State sides with San Mateo County in La Quinta Inn battle

The state of California has officially taken a side in the lawsuit between San Mateo County and the city of Millbrae, with the state Attorney General’s Office filing an amicus brief Wednesday, Feb. 28, in support of the county’s purchase of La Quinta Inn as part of the state’s Project Homekey to shelter the unhoused population. 

The hearing has now been moved from March 13 to April 3 to give both parties time to review the roughly 100-page document. 

The case originated after the county Board of Supervisors approved the purchase of La Quinta Inn with the intention of using funds from the state’s Project Homekey — which provides local jurisdictions with funds to purchase and rehabilitate housing developments for homeless individuals and families.

In response, Millbrae filed a petition in November, invoking Article 34 of the state Constitution, which prevents the county from purchasing the site for what is referred to as “low-rent housing projects” without a ballot vote. 

The lawsuit has drawn ire from both sides, with some claiming Millbrae’s tactics impede housing production at the peak of an affordability and mental health crisis, especially with its usage of an outdated legal loophole. The city has asserted it is already making substantial progress on its housing goals, mostly done through public-private partnerships, rather than full government ownership and operation. City Manager Tom Williams said the recent state certification of its Housing Element — a state mandated document outlining how a city will allow a certain amount of development growth — is proof of Millbrae’s effective housing approach.

“This shows that Millbrae is doing the right thing, and some of the criticism from special interests is unwarranted,” Williams said. “We support affordable housing, and we build affordable housing.”

He said he is not aware of residents voting on such housing developments in the past. 

The state’s brief notes that “state legislation implementing Homekey provides that Homekey-funded projects are not subject to the requirements” of Article 34 — largely because they have determined not to be low-rent housing projects — and Legislature has leeway in defining its scope due to the article’s ambiguity. It also notes that Homekey is a critical program that leverages the many vacant motels and hotels, largely as a result of the pandemic, and has already funded about 250 projects statewide.  

Williams did not comment on the contents of the amicus brief.

Note to readers: This story has been changed. La Quinta Inn is currently open.