A City Council committee on Friday approved three related motions calling for an independent analysis of Measure United to House Los Angeles and its impact on housing development.
Earlier in March, the Los Angeles City Council established a new, three-member committee to oversee and recommend potential reforms to the 2022-voter approved Measure ULA, prompted by concerns the measure has negatively impacted the development of affordable housing projects, and a bid at the state level to overturn special taxes, including ULA.
The committee is being led by City Councilwoman Ysabel Jurado, with sitting members Imelda Padilla and John Lee.
“The purpose of this committee is to thoroughly evaluate any proposed changes to ULA in a data-informed process that fully assess both short- and long-term impacts,” Councilwoman Ysabel Jurado said Friday morning.
“We’ll hear from experts. We’ll hear from our departments, and we’ll hear from all of you and our community leaders,” Jurado added.
In its first meeting, the committee unanimously approved a motion, calling for the chief legislative analyst to enter a contract with a consultant, who would be tasked with public engagement. The city is looking to receive feedback from residents and developers about the results of Measure ULA so far, in particular how it has affected local development in the city.
The motion further requests the Measure ULA Citizens Oversight Committee to evaluate Measure ULA, examining financial and chromatic outcomes prior to this outreach work.
The committee also approved two other motions calling for independent studies on the impact of Measure ULA on housing production, and to review any proposed or enacted changes to ordinance in other jurisdictions that are similar to Measure ULA, such as Proposition 1 in San Francisco and Measure RE in Culver City.
San Francisco’s Proposition 1, approved in November 2020, authorized an increase to the city’s transfer tax rate on real estate sales and leases of 35 years or more, applying a 5.5% tax on transactions of $10 million to $25 million and 6,% on transactions of $25 million or more.
Meanwhile, Culver City’s Measure RE — also approved by voters in November 2020 — placed an approximately 2% tax on real property sales on transactions of $1.5 million to nearly $3 million, a 3% on transactions of $3 million to nearly $10 million, and a 4% tax on transactions of $10 million and above. The measure exempted sales under $1.5 million, affordable housing and first transfer of new multi-family properties.
The final approved motion called for an analysis of Measure ULA revenues, expenditures and programmatic outcomes from April 1, 2023 through Jan. 31, 2026.
All three motions will be considered and voted on by the full City Council at a future meeting.