SACRAMENTO – Assembly Bill (AB) 2263, authored by Assemblymember Kalra (D-San José), has been signed into law by Governor Newsom and will greenlight Santa Clara Valley Transportation Authority’s (VTA) ability to set aside affordable housing for their employees.
“As a former Chair of the VTA Board of Directors, I was honored to author this bill and thankful to see it signed into law. Setting aside workforce housing in the robust transit-oriented developments that VTA is already taking on will significantly benefit our region by enhancing housing affordability, reducing emissions from commutes, and improving road safety,” said Assemblymember Kalra. “I look forward to seeing these developments built in our Assembly District 25 and beyond!”
“AB 2263 gives VTA an important new tool to support the dedicated employees who keep our transit system moving every day. By creating workforce housing opportunities near transit, we can help reduce long commutes, strengthen our workforce, and support safer, more sustainable communities. We thank Assemblymember Kalra for his leadership in making this possible,” said Carolyn Gonot, VTA General Manager/CEO.
VTA is a transit agency that serves Santa Clara County. Its approximately 2,300 employees manage and operate the county’s bus and light rail services, as well as paratransit, congestion management, and other services. While VTA workers may be making competitive middle-class wages, they are living in one of the most expensive housing markets in the nation. The high cost of housing has priced many of the VTA workers out of the area, leading them to live outside of the immediate work area or outside of the county, creating long commutes. AB 2263 will give VTA the authority to build affordable housing for its workforce so they can have improved livelihoods with shorter commutes, resulting in overall safety.
“Like many working people, I moved farther away because I could no longer afford to live close to where I work. Today, I commute 86 miles each way from Riverbank, and it can take me three hours or more just to get home. Between gas, tires and wear and tear on my car, I spend thousands of dollars every year just getting to work. Having an opportunity to live closer to where I work would have been life changing,” said Ronald Acosta, Transit Supervisor for VTA and member of AFSCME.
“Keeping experienced transportation workers on the job is critical to keeping Santa Clara County moving. But when the people who operate our transit system can’t afford to live in the communities they serve, we risk losing highly skilled workers and weakening the services our families depend on. AB 2263 is an important step toward creating more affordable housing opportunities for VTA employees and community members alike, helping working people stay in Santa Clara County and ensuring we can build and retain the workforce our public transit system needs,” said Tammy Dhanota, SEIU 521 Vice President and VTA worker.
Assemblymember Patrick Ahrens (D-Cupertino) said, “We must use every tool to address the housing affordability crisis, and I applaud my colleague Assemblymember Ash Kalra for authoring AB 2263 to ensure Santa Clara VTA can build affordable employee housing. I am the proud co-author of AB 2263 because it will help attract and retain vital transit employees, as well as improve transit service safety and reliability for residents. All local workers should have an affordable place to call home in our community.”
“IFPTE Local 21 is thrilled that AB 2263 is now law, paving the way for the hardworking public servants we represent at VTA to live in the county they serve. This investment in VTA’s workforce will improve employees’ quality of life and deliver lasting benefits to our entire community,” said Marc Delong, President of VTA chapter of IFPTE Local 21.
AB 2263 is co-authored by Assemblymembers Ahrens (D-Cupertino) and Pellerin (D-Santa Cruz).
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Assemblymember Ash Kalra represents California’s 25th Assembly District, which encompasses the majority of San José, including downtown and open space areas in southeast Santa Clara County. He was first elected in 2016, becoming the first Indian American to serve in the California Legislature in state history, and was re-elected to his fifth term in 2024. Assemblymember Kalra is the Chair of the Committee on Judiciary and also serves as a member on the Housing & Community Development, Labor & Employment, Natural Resources, and Utilities & Energy committees.
