Leaders from Sacramento County, the cities of Folsom and Sacramento, and the Sacramento Continuum of Care joined forces Tuesday to voice strong opposition to Senate Bill 802, which proposes the creation of the Sacramento Area Housing and Homelessness Agency. The bill, they say, would impose unnecessary state oversight and hinder local efforts already in motion to combat homelessness and expand affordable housing.
Standing in a united front, elected officials and regional partners rejected what they called a “false assertion” that local jurisdictions are not already collaborating to address regional housing challenges. Instead, they emphasized that significant coordination and shared accountability are already taking place among Sacramento County, its cities, and the Continuum of Care network.
While acknowledging the need for regional strategies, leaders expressed serious concerns that SB 802 would impose a sweeping restructuring of governance. They warned that such changes could complicate funding streams, interrupt existing programs, and threaten the progress being made on the ground in individual communities.
“Every locally elected governing body in the County, including the Board of Supervisors, has invested substantial resources to expand shelter, build affordable housing and respond to homelessness,” the joint statement noted. “These programs are rooted in deep local knowledge and longstanding partnerships, the efficacy of which materialized with fewer Point-In-Time Count metrics.”
The group agreed that while regional collaboration is essential, any changes to governance or decision-making structures must be transparent and inclusive of all stakeholders, with time to fully evaluate long-term consequences.
“While we appreciate Senator Ashby’s shared concerns regarding affordable housing and more effectively serving our unhoused constituents, SB 802 is not the way to achieve the outcome we all desire,” said Chair of the Board and First District County Supervisor Phil Serna. “As-is, the bill is neither the product of collaboration with affected agencies, partner service providers, nor our nonprofit community. Furthermore, its current construct stands to actually put at risk our collective ability to better serve and shelter those we work to support.”
City of Folsom Mayor Sarah Aquino echoed those concerns, highlighting the progress her city has already made. “We all support regional collaboration, but it must be balanced with local control,” Aquino said. “This bill threatens to divert local resources and decision-making authority, effectively punishing cities like Folsom that are already delivering affordable housing projects and making strides in reducing homelessness.”
Sacramento Mayor Kevin McCarty added that while the city remains committed to working with partners across the region, SB 802 hands too much control to the Sacramento Housing and Redevelopment Agency (SHRA) without sufficient local input.
“Regional coordination is paramount to addressing homelessness,” McCarty said. “Sacramento recognizes and is committed to collaborative solutions while respecting specific local knowledge established over years of work. Senate Bill 802 overreaches, placing housing and Homeless Housing, Assistance and Prevention (HHAP) dollars in SHRA’s — renamed but not reimagined — hands without local input. We need to move away from SHRA’s expensive model that helps too few for too high a cost. This bill is a step in the wrong direction.”
About the Bill: A Proposed Restructure of Regional Oversight
Introduced by Senator Angelique Ashby in February 2025, SB 802 would convert the existing Sacramento Housing and Redevelopment Agency into a new entity—the Sacramento Area Housing and Homelessness Agency—designed as a Joint Powers Authority. The expanded agency would take over decision-making on homelessness and affordable housing funding for all cities in Sacramento County, including Folsom, Elk Grove, Citrus Heights, and Rancho Cordova.
Under the bill, this new authority would become the centralized recipient of state and federal housing dollars, managing programs like Homekey, HHAP, and other grant-funded initiatives. Local jurisdictions and regional partners such as the Continuum of Care fear this shift would reduce their flexibility and sideline long-standing community partnerships that have demonstrated effectiveness at the local level.
The legislation outlines a governing board composed of representatives from larger cities and the County Board of Supervisors, while smaller jurisdictions would be represented indirectly. SB 802 also mandates the adoption of a countywide strategic homelessness plan within three years and includes a strong equity component, prioritizing services for foster youth, extremely low-income households, and survivors of domestic violence.
While supporters of the bill argue that a centralized approach could improve coordination and accountability, opponents warn that it was crafted without adequate input from city governments, nonprofit organizations, service providers, or the Sacramento Continuum of Care.
The bill passed the State Senate earlier this year and is currently being debated in the Assembly, where opposition from local leaders continues to mount.
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