California Law Aims to Slash Affordable-Housing Construction Costs

Governor Gavin Newsom signed a housing affordability bill to cut per-unit construction costs for affordable housing by $60,000–$70,000 by reducing impact fees and streamlining approvals, a move officials say will spur development as California grapples with high living costs. A Terner Center study notes statewide impact fees average about $300 million annually, and supporters argue the reforms will ease the housing shortage while critiques highlight broader policy disputes.