AB-2166 • 2026

Multifamily housing development: offsite housing factories: backstop financing.

Budget Housing

Passed Legislature

This bill passed both chambers and reached final enrollment, even if later executive action is not shown here.

Sponsor: Carrillo (A) , Wicks
Last action: 2026-06-03
Official status: Referred to Coms. on B. P. & E.D. and HOUSING.
Effective date: Not listed

Plain English Breakdown

The official source material does not specify the exact details on how applications will be prioritized or reviewed, leaving this aspect uncertain.

Multifamily Housing Development: Backstop Financing for Offsite Factories

This law establishes a program that provides financial support to surety companies so they can issue bonds for offsite housing factories, which could help build more affordable multifamily homes.

What This Bill Does

Establishes the Multifamily Backstop Financing Program if the Legislature appropriates funds for it.
Authorizes the California Infrastructure and Economic Development Bank (bank) to provide credit backstops to surety companies that issue bonds to offsite housing factories.
Requires the bank to adopt rules and regulations necessary to implement the program.

Who It Names or Affects

Surety companies and insurers who give construction bonds.
Offsite housing factories in California.
The California Infrastructure and Economic Development Bank.

Terms To Know

Multifamily Backstop Financing Program: A program that provides financial support to surety companies so they can issue bonds for offsite housing projects.
Surety company: A company that issues bonds or guarantees payment if a project is not completed as agreed.

Limits and Unknowns

The program will only start if the Legislature appropriates funds for it.
It's unclear how many offsite housing factories will qualify for this support.
Details about prioritization and review of applications are still to be determined.

Bill History

2026-06-03 California Legislative Information
Referred to Coms. on B. P. & E.D. and HOUSING.
2026-05-21 California Legislative Information
In Senate. Read first time. To Com. on RLS. for assignment.
2026-05-21 California Legislative Information
Read third time. Passed. Ordered to the Senate. (Ayes 70. Noes 1.)
2026-05-18 California Legislative Information
Read second time. Ordered to third reading.
2026-05-14 California Legislative Information
From committee: Do pass. (Ayes 13. Noes 0.) (May 14).
2026-05-06 California Legislative Information
In committee: Set, first hearing. Referred to APPR. suspense file.
2026-04-28 California Legislative Information
Re-referred to Com. on APPR.
2026-04-27 California Legislative Information
Read second time and amended.
2026-04-23 California Legislative Information
From committee: Amend, and do pass as amended and re-refer to Com. on APPR. (Ayes 11. Noes 0.) (April 22).
2026-03-23 California Legislative Information
Re-referred to Com. on H. & C.D.
2026-03-19 California Legislative Information
From committee chair, with author's amendments: Amend, and re-refer to Com. on H. & C.D. Read second time and amended.
2026-03-19 California Legislative Information
Referred to Com. on H. & C.D.
2026-02-19 California Legislative Information
From printer. May be heard in committee March 21.
2026-02-18 California Legislative Information
Read first time. To print.

Official Summary Text

AB 2166, as amended, Carrillo.
Multifamily housing development: offsite housing factories: backstop financing.
Existing law establishes the California Housing Finance Agency (agency) and authorizes the agency to, among other things, make loans to finance affordable housing, including residential structures, housing developments, multifamily rental housing, special needs housing, and other forms of housing, as specified.
The Bergeson-Peace Infrastructure and Economic Development Bank Act creates within the Governor’s Office of Business and Economic Development the California Infrastructure and Economic Development Bank (bank) and requires it to administer the act, which, among other things, provides for the financing of certain economic development
projects.
This bill would establish, upon appropriation by the Legislature, the Multifamily Backstop Financing Program (program), for purposes of supporting multifamily projects through the provision of state-backed credit backstops that would enable surety companies to issue payment and performance bonds to qualified offsite housing factories in the state. The bill would authorize the
agency
bank
to provide credit backstops to surety companies and surety insurers that issue construction bonds according to specified parameters. The bill would require the
agency
bank
to adopt rules and regulations necessary to implement the program. The bill would state that it is the Legislature’s intent to include provisions relating to the prioritization and review of applications
received pursuant to this chapter.
received.

Current Bill Text

Read the full stored bill text

Download Bill PDF