CA SB240

Expands priority buyer requirements for surplus state real property to include local agencies and nonprofit affordable housing sponsors planning to develop housing for formerly incarcerated individuals, in addition to existing affordable housing projects.

Allows the Department of General Services to sell surplus state real property to qualified buyers at prices below fair market value if the discount enables provision of housing for low or moderate income persons or formerly incarcerated individuals.

Requires affordability covenants and regulatory agreements lasting at least 40 years as a first priority lien on properties sold for affordable housing or housing for formerly incarcerated individuals.

Exempts development of surplus state real property by local agencies or nonprofit affordable housing sponsors for affordable housing projects from California Environmental Quality Act (CEQA) requirements by classifying such development as ministerial and a use by right.

Prioritizes local agencies and nonprofit sponsors intending to use property for affordable housing or housing for formerly incarcerated individuals over those planning open space, parks, or government facilities when multiple agencies express interest.