Mastering Supplier Diversity Compliance for California’s Affordable Housing Developers (AB 2873)

California is fostering inclusive growth in housing construction.

The New Landscape 2024 – Beyond

The California Tax Credit Allocation Committee (CTCAC) is committed to creating a more equitable housing market. California Assembly Bill 2873 (AB 2873) requires developers to use more certified women-owned, minority-owned, disabled veteran-owned, and LGBT-owned businesses (WMDVLGBTBEs) in construction projects. Failure to comply could lead to significant legal repercussions.

Do you need to comply with AB 2873?

Yes, if you meet either of these conditions:

• Completed 5 or more housing projects by January 1, 2023.
• Received an annual LIHTC allocation of $1 million or more.

What are the deadlines?

• Submit a report by January 31st every year starting January 31, 2025.
• Starting in 2029, CTCAC will establish specific goals for WMDVLGBTE participation.

What steps do you need to take?

• Develop a Diversity Plan: Outline how you’ll increase WMDVLGBTE participation in your projects.
• Track Procurement Data: Monitor spending on all businesses, including WMDVLGBTBEs.
• Report Annually: Submit your Diversity Plan and procurement data to CTCAC every year.

Unsure Where to Start? Sweeten Enterprise can help.

Sweeten Enterprise is already helping California’s affordable developers to automate their annual reporting and diversity plan. Here’s how: 

• Effortlessly Find Certified WMDVLGBTBEs: Find qualified businesses that meet the criteria using our national directory.
• Seamless Data Collection & Reporting: Effortlessly compile data in one place using our contracting, workforce, and local reporting tools. 
• Real-Time Progress Tracking: Provide stakeholders with a Tier 1 and Tier 2 supplier dashboard that aggregates all past and present projects into a single view.

Focus on What Matters Most

Leverage Sweeten Enterprise and dedicate your resources to building and strengthening the affordable housing market for a more equitable California. Sweeten simplifies the State’s new requirements, freeing you to achieve your core mission.

Ready to Get Started?

Contact Sweeten Enterprise today and discover how our platform ensures compliance with California’s Housing Supplier Diversity Guidelines, allowing you to stay focused on building a better California.