HOUSING LINKAGE FEES - LESSONS FOR LOS-ANGELES

Housing linkage fee programs require developers of commercial office b uildings to either provide low-income and moderate-income housing or p ay an in-lieu fee to local municipalities to provide such housing. The writer evaluates a proposal by the city of Los Angeles to adopt such a program, similar to those currently found in San Francisco, Santa Mo nica, Calif., Boston, and other jurisdictions. Root causes of the affo rdable housing shortage in Southern California are examined. The benef its of housing linkage programs are examined in relation to whether or not the costs incurred by the development industry justify the assess ments. The greater public-policy question of which segment of society should bear the burden of providing affordable housing is debated. Pro blematic issues surrounding implementation are considered, focusing pa rticularly on those aspects that most impact the development industry. Modifications to the city's proposal and suggested alternative policy options are advanced.