SB and AB – Critical State Housing Laws Approved by Governor Newsom

Governor Newsom recently approved multiple state housing bills passed by the State Assembly and Senate.  The following is a summary of a few of the key bills that are expected to benefit multi-family, mixed-income housing developers.

SENATE BILL 423 – EXPANSION AND EXTENSION OF SENATE BILL 35

Governor Newsom signed SB 423 (Wiener) into law on October 11, 2023.  SB 423, which goes into effect on January 1, 2024, extends the sunset provision for and makes other substantive changes to SB 35 (Wiener, 2017) (codified at Government Code section 65913.4). As explained in our prior legal alert, SB 35 provides for a streamlined ministerial (i.e., no CEQA) approval process for qualifying housing development projects in local jurisdictions that have not made sufficient progress towards their state-mandated Regional Housing Needs Allocation (RHNA), as determined by the California Department of Housing and Community Development (HCD).

SB 423 expands SB 35 to apply when a local jurisdiction fails to adopt a housing element in substantial compliance with state housing element law (regardless of RHNA progress), as specified and as determined by HCD.  Under that circumstance, prior to calculating any density bonus, at least 10% of the dwelling units would need to be designated as very low income (rental) or low income (ownership), as defined, subject to any local ordinance requiring a higher percentage.  Alternatively, in the San Francisco Bay Area (as defined), a minimum of 20% of the units could be designated as (lower) moderate income, as defined, subject to any local ordinance requiring a higher percentage or deeper level of affordability.  SB 423 is expected to result in the increased production of multi-family, mixed-income housing since, as explained in our prior legal alert, multiple local jurisdictions are currently out of compliance with the state housing element law and could be out of compliance in future housing element cycles.

SB 423 also targets the City and County of San Francisco by increasing the frequency of its RHNA reporting period to every year, beginning in 2024.  If HCD determines that San Francisco has not made sufficient progress toward its above-moderate income RHNA by that deadline, projects designating at least 10% of the units as affordable to lower-income households (versus 50%) would qualify for streamlined ministerial approval under SB 35, provided that all other applicable requirements would be met.  According to this San Francisco Housing Needs Assessment, compared to the 2015-2023 reporting period, the total RHNA for San Francisco increased by 184% for the current 2023-2031 reporting period — including a target of 35,471 above-moderate income units (4,434 units annually).  Recall that any higher local percentage requirements must be met, meaning that in San Francisco, 15% of the units must be designated as affordable (for projects approved between November 1, 2023 and November 1, 2026), as specified in San Francisco Ordinance No. 187-23.

To summarize, SB 423 also amends SB 35 as follows:

  • Extends the sunset on SB 35 by ten years (from January 1, 2026 to January 1, 2036).
  • Revises the coastal zone development prohibition to allow for projects in specified urban coastal locations (e.g., property not vulnerable to five feet of sea level rise or within close proximity to a wetland) where the property is zoned for multi-family housing and is subject to a certified local coastal program or a certified land use plan.
  • Revises the fire hazard severity zone development restriction, as specified.
  • Removes skilled and trained workforce requirements for projects below 85 feet in height and imposes modified skilled and trained workforce requirements, as specified, for projects at least 85 feet in height (as measured from grade).
  • Requires projects with 50 or more dwelling units and using construction craft employees to meet apprenticeship program requirements and provide health care expenditures for each employee, as specified.
  • Revises the required affordability level where at least 10% of the units must be designated as affordable (i.e., where a local jurisdiction has not made sufficient progress toward its above-moderate income RHNA) for (i) rental projects — from lower income (at or below 80% AMI) to very low income (at or below 50% AMI) and (ii) San Francisco Bay Area projects where moderate income units would be provided — from below 120% AMI and a required average of at or below 100% AMI to below 100% AMI and a required average of at or below 80% AMI.
  • Requires determinations regarding compliance with applicable objective planning standards (as defined) to be made by the planning director (or any equivalent local government staff).
  • Prohibits local governments from requiring compliance with any standards necessary to receive a post-entitlement permit (as defined) or other information (including technical studies) that do not pertain directly to determining whether the housing development project is consistent with applicable objective planning standards.
  • Removes the planning commission (or equivalent board/commission) public oversight hearing provision (but retains the design review provision).
  • Provides for the inclusive calculation of the total number of dwelling units for purposes of meeting SB 35 requirements where there are multiple projects on the same project site or on a site subdivided from a prior SB 35 project site, as specified.
  • Clarifies that if a local affordable housing ordinance requires units that are restricted to households with incomes higher than the SB 35 income limits, then the units that meet SB 35 income limits shall be deemed to satisfy the local requirement.

SENATE BILL 4 – AFFORDABLE HOUSING ON FAITH AND HIGHER EDUCATION LANDS ACT OF 2023

Governor Newsom signed SB 4 (Wiener) into law on October 11, 2023.  SB 4 provides for a streamlined ministerial (i.e., no CEQA) approval process for qualifying housing development projects, notwithstanding any inconsistent provision in the general plan, specific plan, zoning ordinance, or other regulation.  The land must be owned on or before January 1, 2024, by an independent institution of higher education or a religious institution, as defined.

To qualify, 100% of the units must be designated as affordable, exclusive of (i) manager units (no limit) and (ii) units allocated to staff of the institution that owns the land (up to 5% of the units).  At least 80% of the housing units must be designated as affordable to lower income households (as defined) and up to 20% of the units may be designated as affordable to moderate-income households (as defined).  The project must also satisfy most of the project site requirements already set forth under AB 2011 (operative as of July 1, 2023), as specified and modified by SB 4.  For example, rather than flatly prohibiting housing units within 500 feet of a freeway (per AB 2011), SB 4 requires that specified air filtration must be provided for regularly occupied areas of the building.

Prevailing wages must be paid, and if the project consists of 50 or more dwelling units, health care expenditures and an apprenticeship program must be provided for construction craft employees, as specified.

SB 4 will sunset on January 1, 2036, unless extended before that date.

ASSEMBLY BILL 1287 –  ADDITIONAL DENSITY BONUS UNDER STATE DENSITY BONUS LAW

Governor Newsom signed AB 1287 (Alvarez) into law on October 11, 2023.  AB 1287 amends the State Density Bonus Law (Government Code section 65915) by incentivizing the construction of housing units for both the “missing middle” and very low income households by providing for an additional density bonus, and incentive/concession for projects providing moderate income units or very low income units.

First, the project must provide the requisite percentage of on-site affordable units to obtain the maximum density bonus (50%) under prior law: 15% very-low-income units, or 24% low-income units, or 44% moderate-income (ownership only) units (the “Base Bonus”).  Second, to qualify for an additional density bonus (up to 100%) and an additional incentive/concession under AB 1287, the project must provide additional on-site affordable units, as specified (the “Added Bonus”).  The Added Bonus may be obtained by adding moderate-income units to either a rental or ownership project, but that is capped at a total maximum of 50% moderate-income units.  To illustrate:

  • Rental Project. If the project includes 24% low-income units (50% Base Bonus) and 15% to 16% moderate-income units (50% Added Bonus), the project would now qualify for a 100% density bonus and three to four incentives/concessions, respectively.
  • Ownership Project. if the “base” project includes 44% to 45% moderate-income units (50% Base Bonus) and 10% very-low-income units (38.75% Added Bonus), the project would now qualify for an 88.75% density bonus and three to four incentives/concessions, respectively.

ASSEMBLY BILL 1633 – EXPANSION OF HOUSING ACCOUNTABILITY ACT PROTECTIONS: CEQA

Governor Newsom signed AB 1633 (Ting) into law on October 11, 2023.  AB 1633 closes a loophole in the Housing Accountability Act (HAA) (Government Code section 65589.5 et seq.) by establishing when a local agency’s failure to exercise its discretion under CEQA, or abuse of its discretion under CEQA, constitutes a violation of the HAA.

There have been instances where HAA-protected projects have been stymied by a local agency’s failure to approve or deny a project due to CEQA-related delays.  For example, as explained in this letter from HCD to the City and County of San Francisco, the Board of Supervisors’ actions to decertify and remand an EIR back to the Planning Department based on vague concerns “exemplify a pattern of lengthy processing and entitlements timeframes” that “act as a constraint on housing development.”

To qualify under AB 1633, the project must be a “housing development project” under the HAA (see our prior legal alert for more information about the HAA) and meet the following requirements:

  • The project site is located in an urbanized area, as defined.
  • The project meets or exceeds a dwelling unit density of 15 units per acre.
  • The project site is not located in a coastal zone, on certain types of farmland, on wetlands, on a hazardous waste site, within a delineated earthquake fault zone, within a special flood hazard area, within a regulatory floodway, on lands identified for conservation, or on habitat for protected species, as specified.
  • The project site is not located in a high or very high fire hazard zone, as specified.

Under AB 1633, the following circumstances constitute “disapproval” of the project, in which case the local agency could be subject to enforcement under the HAA:

  • CEQA Exemptions. If (i) the project qualifies for a CEQA exemption — and is not subject to an exception to that exemption — under the CEQA Guidelines based on substantial evidence in the record; (ii) the local agency fails to make a determination of whether the project is exempt under CEQA; and (iii) the local agency does not make a lawful determination, as defined, on the exemption within 90 days of timely written notice from the applicant, as specified.  The local agency may extend that time period by up to an additional 90 days if the extension is necessary to determine if there is substantial evidence in the record that the project is eligible for the exemption sought by the applicant.
  • Other CEQA Determinations. If (i) the project qualifies for a negative declaration, addendum, EIR, or comparable environmental review document under CEQA; (ii) the local agency commits an abuse of discretion, as defined, by failing to approve the applicable CEQA document in bad faith or without substantial evidence in the record to support the legal need for further environmental study; (iii) the local agency requires further environmental study; and (iv) the local agency does not make a lawful determination, as defined, on the applicable CEQA document within 90 days of timely written notice from the applicant, as specified.

AB 1633 does not address potential lead agency staff delays in the preparation of the CEQA document for the project in the first instance.  AB 1633 also includes a limited exception to enforcement where a court finds that the local agency acted in good faith and had reasonable cause to disapprove the project due to the existence of a controlling question of law about the application of CEQA or the CEQA Guidelines as to which there was a substantial ground for difference of opinion at the time of the disapproval.

AB 1633 will sunset on January 1, 2031, unless extended before that date.

ASSEMBLY BILL 1485 – STATE ENFORCEMENT OF HOUSING LAWS

Governor Newsom signed AB 1485 (Haney) into law on October 11, 2023.  AB 1485 grants the California Attorney General the “unconditional right to intervene” in lawsuits enforcing state housing laws, whether intervening in an independent capacity or pursuant to a notice of referral from HCD.  Under prior law, the Attorney General and HCD were required to petition the court to be granted intervenor status and join a lawsuit, which can be a “lengthy and onerous process.”

ASSEMBLY BILL 1307 – CEQA: POPULATION GROWTH AND NOISE IMPACTS

Governor Newsom signed AB 1307 (Wicks) into law on September 7, 2023.  AB 1307 is a legislative response to the ruling in a high-profile appellate CEQA case in which the court held that an Environmental Impact Report (EIR) for a UC Berkeley housing project failed to assess potential noise impacts from loud student parties in residential neighborhoods near the campus and did not justify its decision to not consider alternative project locations. (Make UC a Good Neighbor v. Regents of Univ. of California, 88 Cal. App. 5th 656, [2023], as modified [Mar. 16, 2023]).  See our prior legal alert for more information about that case.

AB 1307 provides that (i) the effects of noise generated by future housing project occupants and their guests is not a significant impact under CEQA and (ii) the University of California, California State University, and California Community Colleges are not required to consider alternatives to the housing project location in an EIR if specified requirements are met.

ASSEMBLY BILL 529 – COMMERCIAL TO RESIDENTIAL CONVERSION PROJECTS

Governor Newsom signed AB 529 (Gabriel and Haney) into law on October 11, 2023.  AB 529 requires HCD to convene a working group, including the California Building Standards Commission, Energy Commission, State Fire Marshal, Public Utilities Commission, and other stakeholders to “identify challenges to, and opportunities to help support, the creation and promotion of adaptive reuse residential projects statewide while not reducing minimum health and safety standards, including identifying and recommended amendments to state building standards.”

AB 529 is a step in the right direction for commercial to residential conversion projects, but a stronger legislative response is needed to make conversion projects financially feasible.  Unfortunately, AB 1532 (Haney) did not make it to the Governor’s desk this legislative session.  That bill would have provided for “by right” streamlined ministerial (i.e., no CEQA) approval of qualifying office to residential conversion projects.  AB 1532 would have also made new state funding available for qualifying office to residential conversion projects.

According to this article, Senator Wiener plans to introduce a bill in January that would include tax breaks for commercial to residential conversion projects.

AB 2234 (Rivas) / Internet Permitting Requirements / Post Entitlement Phase Permits / Housing Development Project Applications / Local Agency Internet Website

CF 23-1378

MOTION (HARRIS-DAWSON – KREKORIAN – YAROSLAVSKY) and RESOLUTION relative to extending the deadline to comply with Assembly Bill (AB) 2234’s Internet Permitting Requirements by two years until January 1, 2026, to allow post entitlement phase permits of housing development projects to be applied for, completed, and retrieved by the applicant on a local agency’s internet website

Recommendation for Council action:

ADOPT the accompanying RESOLUTION, and the FINDINGS as required by AB 2234 (Rivas), Chaptered into law in 2022, Government Code Section 65913.3.5(a)(2), to extend by two years, until January 1, 2026, the deadline to comply with its Internet Permitting Requirements, to allow post entitlement phase permits of housing development projects to be applied for, completed, and retrieved by the applicant on a local agency’s internet website.

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SB 423 (Wiener) / Coastal Zone Exemption / Very High Fire Hazard Severity Zones / Multifamily Housing Development / Ministerial Approval Process

CF 23-0002-S71     UPDATE

RULES, ELECTIONS AND INTERGOVERNMENTAL RELATIONS COMMITTEE REPORT and RESOLUTION relative to establishing the City’s position regarding Senate Bill (SB) 423 (Wiener), to maintain the Coastal Zone exemption and provide an unconditional exemption for the Very High Fire Hazard Severity Zones.

Recommendation for Council action, pursuant to Resolution (Park – Yaroslavsky – Lee), SUBJECT TO THE CONCURRENCE OF THE MAYOR:

RESOLVE to include in the City’s 2023-24 State Legislative Program SUPPORT IF AMENDED for SB 423 (Wiener), to maintain the Coastal Zone exemption and provide an unconditional exemption for the Very High Fire Hazard Severity Zones.

Fiscal Impact Statement: None submitted by the Chief Legislative Analyst. The City Administrative Officer has not completed a financial analysis of this report.

Community Impact Statement: None submitted

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AB-2162 Planning and zoning: housing development: supportive housing.(2017-2018)

Read: AB 2162

SUMMARY: Streamlines affordable housing developments that include a percentage of supportive housing units and onsite services. Specifically, this bill:

1) Requires supportive housing to be a use by right in zones where multifamily and mixed uses are permitted, including in non-residential zones permitting multifamily uses, if the proposed housing development satisfies all of the following requirements:

a) Units within the development are subject to a recorded affordability restriction for 55 years;
b) One hundred percent of the units, excluding manager’s units, within the development are dedicated to lower-income households and are receiving public funding to ensure affordability of the housing to lower-income Californians;
c) At least 25% of the units in the development or 12 units, whichever is greater, are restricted to residents in supportive housing. Requires, if the development consists of fewer than 15 units, then 100% of the units, excluding managers’ units, in the development shall be restricted to residents in supportive housing;
d) The developer provides the planning agency with the information required in 4), below;
e) Nonresidential floor area shall be used for onsite supportive services in the following amounts:

i) For a development with 20 or fewer total units, at least 90 square feet shall be provided for onsite supportive services;

ii) For a development with more than 20 units, at least three percent of the total nonresidential floor area shall be provided for onsite supportive services that are limited to tenant use, including, but not limited to, community rooms, case management offices, computer rooms, and community kitchens;

f) The developer replaces any dwelling units on the site of the supportive housing development, as provided; and,

g) Units within the development, excluding managers’ units, include at least one bathroom and a kitchen or other cooking facilities, including, at minimum, a stovetop, a sink, and a refrigerator.

2) Provides that in a city or the unincorporated area of the county where the population is 200,000 or less and the homeless population based on the annual point-in-time count (PIT) is
1,500 or less, by right applies to developments of 50 units or less. A city or county meeting this description may adopt a policy to approve developments by right above 50 units.

3) Allows a local government to require a supportive housing development to comply with objective, written development standards and policies; provided, however, that the development shall only be subject to the objective standards and policies that apply to other multifamily development within the same zone.

4) Requires the local government to, at the request of the project owner, reduce the number of residents required to live in supportive housing if the project-based rental assistance or operating subsidy for a supportive housing project is terminated through no fault of the project owner, but only if all of the following conditions have been met:

a) The owner demonstrates that it has made good faith efforts to find other sources of financial support;
b) Any change in the number of supportive units is restricted to the minimum necessary to maintain project’s financial feasibility; and,
c) Any change to the occupancy of the supportive housing units is made in a manner that minimizes tenant disruption and only upon the vacancy of any supportive housing units.

5) Requires a developer of supportive housing to provide the planning agency with a plan for providing supportive services, with documentation demonstrating that supportive services will be provided onsite to residents in the project, and describing those services, which shall include the following:

a) The name of the proposed entity or entities that will provide supportive services;
b) The proposed funding source or sources for the provided onsite supportive services; and,
c) Proposed staffing levels.

6) Requires the local government to approve a supportive housing development that complies with the requirements of this bill.

7) Requires the local government to notify the developer whether the application is complete within 30 days of receipt of an application to develop supportive housing. Requires the local government to complete its review of the application within 60 days after the application is complete, for a project with 50 or fewer units, or within 120 days after the application is complete, for a project with more than 50 units.

8) Prohibits the local government from imposing any minimum parking requirements for the units occupied by supportive housing residents, if the supportive housing development is located within 0.5 miles of a public transit stop.

9) States that the bill’s provisions shall not be construed to do either of the following:

a) Preclude or limit the ability of a developer to seek a density bonus from the local government; or,
b) Expand or contract the authority of a local government to adopt or amend an ordinance, charter, general plan, specific plan, resolution, or other land use policy or regulation that promotes the development of supportive housing.

10) Adds provisions to housing element law to specify that supportive housing, as defined in this bill, shall be a use by right in all zones where multifamily and mixed uses are permitted.

11) Finds and declares that the provisions of adequate supportive housing to help alleviate the severe shortage of housing opportunities for people experiencing homelessness in this state is a matter of statewide concern and is not a municipal affair, thereby applying the bill’s provisions to all cities, including charter cities.

12) States that no reimbursement is required by this act because a local agency has the authority to levy service charges, fees, or assessments sufficient to pay for the program or level of service mandated by this act.

13) Defines the following terms:

a) “Target population” to mean persons, including persons with disabilities, and families who are “homeless,” as that term is defined by Section 11302 of Title 42 of the United States Code, or who are “homeless youth,” as that term is defined by Government Code Section 11139.3(e)(2).
b) “Supportive housing” to mean housing with no limit on length of stay, that is occupied by the target population, and that is linked to onsite or offsite services that assist the supportive housing resident in retaining the housing, improving his or her health status, and maximizing his or her ability to live and, when possible, work in the community.
c) “Supportive services” to include, but are not limited to, a combination of subsidized, permanent housing, intensive case management, medical and mental health care, substance abuse treatment, employment services, and benefits advocacy.
d) “Use by right” to mean the local government’s review of the owner-occupied or multifamily residential use that may not require a conditional use permit, planned unit development permit, or other discretionary local government review or approval that would constitute a “project” for purposes of the California Environmental Quality Act (CEQA), as specified.

The Senate amendment:

1) Provides that in a city or the unincorporated area of the county where the population is 200,000 or less and the homeless population based on the annual point-in-time count (PIT) is 1,500 or less, by right applies to developments of 50 units or less. A city or county meeting this description may adopt a policy to approve developments by right above 50 units.

2) Add a definition of “target population.”

3) Make technical changes.

4) Add language to avoid chaptering issues with AB 686 (Santiago) of the current legislative session.

 

SB-4 Planning and zoning: housing development: higher education institutions and religious institutions.

Read;  SB 4        UPDATE 06/28/23  State Asm Housing and Community Development

This bill would require that a housing development project be a use by right upon the request of an applicant who submits an application for streamlined approval, on any land owned by an independent institution of higher education or religious institution on or before January 1, 2024, if the development satisfies specified criteria, including that the development is not adjoined to any site where more than one-third of the square footage on the site is dedicated to industrial use. The bill would define various terms for these purposes. Among other things, the bill would require that 100% of the units, exclusive of manager units, in a housing development project eligible for approval as a use by right under these provisions be affordable to lower-income households, except that 20% of the units may be for moderate-income households, and 5% of the units may be for staff of the independent institution of higher education or the religious institution that owns the land, provided that the units affordable to lower-income households are offered at affordable rent, as set in an amount consistent with the rent limits established by the California Tax Credit Allocation Committee, or affordable housing cost, as specified. The bill would authorize the development to include ancillary uses on the ground floor of the development, as specified.

SB-684 Land use: streamlined approval processes: development projects of 10 or fewer single-family residential units on urban lots under 5 acres.(2023-2024

Read:  SB 684

STATUS:  06/21/23 From committee: Do pass and re-refer to Com. on L. GOV. (Ayes 8. Noes 0.) (June 21). Re-referred to Com. on L. GOV.

The Planning and Zoning Law contains various provisions requiring a local government that receives an application for certain types of qualified housing developments to review the application under a streamlined, ministerial approval process depending on the type of housing development, as specified. Existing law, known as the Starter Home Revitalization Act of 2021, requires a city or county to approve an application for a small home lot housing development project, as defined, on a proposed site to be subdivided unless the city or county makes a finding related to the development’s compliance with certain requirements or the development’s specific, adverse public health or safety impact.

This bill would require a local agency to ministerially approve, without discretionary review or a hearing, a parcel map or a tentative and final map for a housing development project that meets specified requirements. In this regard, the bill would require the housing development to consist of 10 or fewer single-family residential units, meet certain minimum density requirements, and be located on a lot zoned for multifamily or single-family residential development that is no larger than 5 acres and is substantially surrounded by qualified urban uses.

The bill would also require a local agency to issue a building permit for a subdivision if, among other requirements, the applicant received a tentative map approval or parcel map approval for the subdivision pursuant to the bill’s provisions described above.

SB 4 Planning and zoning: housing development: higher education institutions and religious institutions.

Read: SB 4      UPDATE  2023-06-08 Assembly Referred to Coms. on H. & C.D. and NAT. RES.

AMENDED IN SENATE MAY 18, 2023
AMENDED IN SENATE MARCH 28, 2023
AMENDED IN SENATE FEBRUARY 22, 2023

Existing law, the Zenovich-Moscone-Chacon Housing and Home Finance Act, establishes the California Tax Credit Allocation Committee within the Department of Housing and Community Development. Existing law requires the committee to allocate state low-income housing tax credits in conformity with state and federal law that establishes a maximum rent that may be charged to a tenant for a project unit constructed using low-income housing tax credits.
This bill would require that a housing development project be a use by right upon the request of an applicant who submits an application for streamlined approval, on any land owned by an independent institution of higher education or religious institution on or before January 1, 2024, if the development satisfies specified criteria, including that the development is not adjoined to any site where more than one-third of the square footage on the site is dedicated to industrial use. The bill would define various terms for these purposes. Among other things, the bill would require that 100% of the units, exclusive of manager units, in a housing development project eligible for approval as a use by right under these provisions be affordable to lower-income households, except that 20% of the units may be for moderate-income households, and 5% of the units may be for staff of the independent institution of higher education or the religious institution that owns the land, provided that the units affordable to lower-income households are offered at affordable rent, as set in an amount consistent with the rent limits established by the California Tax Credit Allocation Committee, or affordable housing cost, as specified. The bill would authorize the development to include ancillary uses on the ground floor of the development, as specified.

SB 4 (Wiener) / Affordable Housing on Faith Lands Act / Expedited Development

CF 23-0002-S30

COMMUNICATION FROM THE CHIEF LEGISLATIVE ANALYST and RESOLUTION (YAROSLAVSKY – RAMAN) relative to establishing the City’s position regarding SB (Senate Bill) 4 (Wiener), which expresses the intent to enact legislation to address streamlining the creation of affordable low and moderate-income housing on faith-based lands.

Recommendation for Council action, SUBJECT TO THE CONCURRENCE OF THE MAYOR:

ADOPT the accompanying RESOLUTION to include in the City’s 2023-24 State Legislative Program SUPPORT for SB 4 (Wiener) which expresses the intent to enact legislation to address streamlining the creation of affordable low and moderate income housing on faith-based lands.

Community Impact Statement: Yes

Against:
Tarzana Neighborhood Council

Against unless Amended:
Sherman Oaks Neighborhood Council

(Rules, Elections, and Intergovernmental Relations Committee waived consideration of the above matter)

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IMPLEMENTATION OF 2022 STATE DENSITY BONUS LAWS – AB 2334, AB 1551, AB 682

Read: January 31, 2023 Memo

On September 28, 2022, the Governor signed Assembly Bills (AB) 2334, 1551, and 682, three bills that make various amendments and clarifications to State Density Bonus Law, Government Code (GC) Section 65915. State Density Bonus Law is implemented through the City’s Density Bonus Ordinance, primarily Los Angeles Municipal Code (LAMC) Section 12.22 A.25, as amended.

This memo describes the changes, clarifications, and additions to State Density Bonus Law, and will serve as interim guidance for staff and project applicants on the implementation of AB 2334, 1551, and 682 until the time the LAMC is updated to include these provisions, or this memo is otherwise superseded. Staff and interested parties are encouraged to refer to state law in Government Code Section 65915 for additional information, as the memo is not exhaustive. Further, this memorandum provides a summary of pertinent sections for reference purposes only and is not intended to conflict with State Law.

Implementation of State Law SB 897 & AB 2221 Regarding ADUs and JADUs

Read:  ZA Memorandum No. 142 

The California Legislature adopted Senate Bill (SB) 897 and Assembly Bill (AB) 2221, both concerning accessory dwelling units (ADUs) and Junior Accessory Dwelling Units (JADUs). These bills take effect on January 1, 2023, and amend Government Code Sections (GCS) 65852.2, 65852.22, and 65852.23, and Health and Safety Code Section 17980.12.

The purpose of this Zoning Administrator’s Memorandum (ZA Memo) is to provide a summary of pertinent sections and amendments in these state laws and corresponding implementation in the City of Los Angeles. This summary is for reference and discussion purposes only and is not intended to conflict with state law. It reflects most, but does not cover all circumstances and may be subject to additional information, interpretation and consideration.

This ZA Memo clarifies the application of the City’s Accessory Dwelling Unit (ADU) Ordinance, Los Angeles Municipal Code (LAMC) 12.22 A.33, to meet the requirements of the state ADU laws taking effect on January 1, 2023. Furthermore, this memo supersedes any portion of previously issued ZA Memo 134 “Implementation of 2019 Accessory Dwelling Unit (ADU) Ordinance and State ADU Law” which are in conflict and therefore superseded by state law.

AB 2011 Affordable Housing and High Road Jobs Act of 2022.

Read: AB 2011 [ Approved by Governor  September 28, 2022. Filed with Secretary of State  September 28, 2022. ]

Enacts the “Affordable Housing and High Road Jobs Act of 2022” to create a ministerial, streamlined approval process for 100% affordable housing projects in commercial zones and for mixed-income housing projects along commercial corridors, as specified. The bill would also impose specified labor standards on those projects, including requirements that contractors pay prevailing wages, participate in apprenticeship programs, and make specified healthcare expenditures.

Senate Amendments
1) Delay implementation to July 1, 2023, and sunset this bill’s provisions on January 1, 2033.

2) Require HCD to conduct at least two studies of the outcomes of the bill by January 1, 2027 and January 1, 3031, respectively, that include the number of projects built, the number of units build, the jurisdictional and regional location of the housing, the relative wealth and access to resources of the communities in which they are built, the level of affordability, the effect on greenhouse gas emissions, and the creation of construction jobs that pay the prevailing wage.

3) Add an option for developers of mixed-income rental housing to provide 8% of the units for very low-income households and 5% of the units for extremely low-income households.

4) Require developers to provide relocation assistance for displaced small businesses.

5) Require a specified environmental assessment and mitigation of any hazards identified.

6) Allow local governments to exempt parcels from the bill if the local government identifies alternative sites that can be developed by right pursuant to the by criteria of this bill, such that there is no overall loss in units, no loss in affordable units, and that the new sites affirmatively further fair housing.

7) Make certain changes to conform to recent or proposed amendments to SB 35’s (Umberg), Chapter 318, Statutes of 2021, ministerial process.

8) Specify that this bill cannot apply to the following:

a) Sites where a neighborhood plan does not permit housing, and defines neighborhood plans to include specific plans, areas plans, precise plans, master plans, and urban village plans;
b) Sites that include industrial uses or are identified in local general plans as being for industrial uses;
c) Vacant sites in a very high hazard severity zone; and
d) Housing within 500 feet of a freeway or 3,200 feet of an oil or gas extraction facility or refinery.

9) Require, for a vacant site, that it does not contain tribal cultural resources that could be affected by the development and that were found pursuant to a consultation, and that those effects cannot be mitigated, as specified.

10) Specify that the 65 foot height limit within one-half mile of a major transit stop only applies in cities of greater than 100,000 and outside the coastal zone.

11) Enable a local government to require up to half of the ground floor of the new development be utilized as retail, and preclude development from using the density bonus process to avoid any local requirement to provide retail.

12) Allow local governments to adopt an ordinance to implement the bill, the adoption of which would not be subject to the California Environmental Quality Act (CEQA).

13) Require local agencies to report, in their Annual Progress Report to the Department of Housing and Community Development (HCD), whether projects have utilized the provisions of this bill, and other pertinent information.

14) Allow HCD to enforce the provisions of this bill, including referring violations to the Attorney General.

AB 2295 Aallowing educational employee housing on land owned by school districts or county office of education

Read:  AB 2295

This bill would deem a housing development project an allowable use on any real property owned by a local educational agency, as defined, if the housing development satisfies certain conditions, including other local objective zoning standards, objective subdivision standards, and objective design review standards, as described. The bill would deem a housing development that meets these requirements consistent, compliant, and in conformity with local development standards, zoning codes or maps, and the general plan.

The bill, among other things, would authorize the land used for the development of the housing development to be jointly used or jointly occupied by the local educational agency and any other party, subject to specified requirements. The bill would exempt a housing development project subject to these provisions from various requirements regarding the disposal of surplus land. The bill would make these provisions effective on January 1, 2024, except that the bill would require the Department of Housing and Community Development to provide a specified notice to the planning agency of each county and city on or before January 31, 2023. The bill would repeal its provisions on January 1, 2033.

SB-886 California Environmental Quality Act: exemption: public universities: university housing development projects.(2021-2022)

Read: SB 886

This bill would, until January 1, 2030, exempt from CEQA a university housing development project, as defined, carried out by a public university, as defined, on real property owned by the public university if the project meets certain requirements, including that each building within the project is certified as Leadership in Energy and Environmental Design (LEED) platinum or better by the United States Green Building Council, that the project’s construction impacts are fully mitigated, and that the project is not located, in whole or in part, on certain types of sites, including a site that is within a special flood hazard area subject to inundation by a 1% annual chance flood or within a regulatory floodway as determined by the Federal Emergency Management Agency, as provided. The bill, with respect to a site that is within a special flood hazard area subject to inundation by a 1% annual chance flood or within a regulatory floodway, would prohibit a local government from denying an application on the basis that a public university did not comply with any additional permit requirement, standard, or action adopted by that local government applicable to the site if the public university is able to satisfy all applicable federal qualifying criteria in order to demonstrate that the site meets these criteria and is otherwise eligible to be exempt from CEQA pursuant to the above requirements.

By imposing additional duties on local governments, this bill would impose a state-mandated local program. The bill would provide that a university housing development project is not exempt from CEQA if, among other things, the project would require the demolition of specified housing or a historic structure that is listed on a national, state, or local historic register. The bill would require the public university to hold at least one noticed public hearing to hear and respond to public comments before determining that the university housing development project is exempt under the bill’s provisions.

The bill would require the lead agency, before the issuance of a certificate of occupancy for each building within a project, to obtain the LEED certification of the building, and to make a determination that all construction impacts of the project have been fully mitigated and issue a notice of that determination. The bill would require the lead agency to file the LEED certification and the notice with the Office of Planning and Research and the county clerk of the county in which the project is located. The bill would require the Office of Planning and Research and the county clerk to make the certification and notice available to the public. To the extent that this bill would impose additional duties on a local agency, including the county clerk, this bill would impose a state-mandated local program.

AB-2234 Planning and zoning: housing: postentitlement phase permits

ReadAB 2234 

STATUS: Became law  09/28/22 Chaptered by Secretary of State – Chapter 651, Statutes of 2022

DCP, State Housing Update

Assembly Bill (AB) 2234 | Post-Entitlement Phase Permits

Adds requirements for cities during the post-entitlement phase, including posting of online information, digital processing, and new timelines for non-discretionary permits to be deemed complete and appealed.

Assembly Bill (AB) 2334 | Density Bonus: Very Low Vehicle Travel Areas

Allows 100% affordable housing projects to receive added height and unlimited density if the project is located in an urbanized very low vehicle travel area, where at least 80% of the units are restricted to lower income and no more than 20% are for moderate income households.

Note: This bill defines “very low vehicle travel area” to mean an urbanized area, as defined by the Census Bureau, where the existing residential development generates vehicle miles traveled (VMT) per capita that is below 85% of either regional or city VMT per capita.

SUMMARY

This bill requires a local agency to post information related to postentitlement phase permits for housing development projects, process those permits in a specified time period depending on the size of the housing development, and establish a digital permitting system if the local agency meets a specific population threshold.
Senate Amendments

1) Increase the population threshold that a local agency must meet in order to trigger the digital permitting requirements, and allows local agencies subject to the requirement to delay implementation if certain criteria are met.

2) Provide that the bill applies to permits applied for subsequent to both discretionary and ministerial entitlements, and make other technical and clarifying changes.

COMMENTS

This bill replicates elements of the Permit Streamlining Act (PSA) and applies those provisions to the non-discretionary postentitlement permit approval process for housing developments. Specifically, this bill borrows from and applies the following concepts in the PSA to non-discretionary postentitlement housing development permits reviewed by local agencies:

Deemed Complete Timeframe. The PSA requires public agencies to determine if a development proposal is complete within 30 days and to provide specified feedback to an applicant if the proposal is not complete. This bill requires public agencies to determine whether an application for a postentitlement phase housing development permit is complete, and provide specified information to the applicant within 15 days after the agency receives the application.

Substantive Review Timeframe. The PSA requires public agencies to approve or disapprove a development project within a specified timeframe (generally 60 to 180 days) depending on the type of CEQA review that applies to the development approval and the type of approval conferred by the public agency. This bill requires local agencies to review and approve non-discretionary postentitlement housing development permits within 30 to 60 days depending on the size of the project.

According to the Author

“AB 2234 will improve communication systems by requiring local jurisdictions to publish an online checklist for applications to be deemed complete and maintain this checklist online for the public.

 

AB-2334 Density Bonus Law: affordability: incentives or concessions in very low vehicle travel areas: parking standards: definitions.(2021-2022)

Read: AB 2334

Read about: SB 684 — Building Homeownership, California YIMBY

DCP, State Housing Update

Assembly Bill (AB) 2334 | Density Bonus: Very Low Vehicle Travel Areas Allows 100% affordable housing projects to receive added height and unlimited density if the project is located in an urbanized very low vehicle travel area, where at least 80% of the units are restricted to lower income and no more than 20% are for moderate-income households.

Note: This bill defines “very low vehicle travel area” to mean an urbanized area, as defined by the Census Bureau, where the existing residential development generates vehicle miles traveled (VMT) per capita that is below 85% of either regional or city VMT per capita.

STATUS: Became law 09/28/22 Chaptered by Secretary of State – Chapter 653, Statutes of 2022

SUMMARY

Allows a housing development project in 17 specified counties to receive added height and unlimited density if the project is located in an urbanized very low vehicle travel area, at least 80 percent of the units are restricted to lower-income households, and no more than 20 percent are for moderate-income households.

Senate Amendments

Include chaptering amendments to address a conflict with AB 682 and limit the bill’s provisions to the Counties of Alameda, Contra Costa, Marin, Napa, San Francisco, San Mateo, Santa Clara, Solano, Sonoma, Los Angeles, Orange, Riverside, San Bernardino, San Diego, Ventura, Sacramento, and Santa Barbara.

COMMENTS

Density bonus law: The density bonus law was originally enacted in 1979 as an incentive to encourage housing developers to produce affordable units which can be offered at below-market rates. In return for including a certain percentage of affordable units, housing developers receive the ability to add additional units for their project above the jurisdiction’s allowable zoned density for the site (thus the term “density bonus”). In order to qualify for a density bonus, a developer of multifamily housing (5+ units) must agree to build housing that includes at least one of the following:

1) 10% of all units for lower-income households;
2) 5% of all units for very low-income households,
3) Specified senior housing;
4) 10% of all units in a common interest development for moderate-income individuals and families;
5) 10% of all units for transition-age foster youth, disabled veterans, or individuals experiencing homelessness; or
6) 20% of all units for lower-income students within a student housing development.

The affordability requirements for units built via density bonus run for a minimum of 55 years. Additionally, the density bonus law specifies concessions and incentives (e.g., setback requirements) around development standards and reduced vehicle parking requirements that projects can receive to offset the cost of building affordable units. Both market rate and 100 percent affordable housing projects can use the provisions, and all local governments are required to adopt a density bonus ordinance. However, failure to adopt an ordinance does not exempt a local government from complying with state density bonus law.

The housing-climate nexus. California is facing dual crises: a rapidly warming climate due to greenhouse gas emissions (GHG) and a housing crisis stemming from an undersupply of housing which the Department of Housing and Community Development (HCD) recently attributed to “decades of underproduction underscored by exclusionary policies” in its 2022 update to the Statewide Housing Plan1. Housing affordability remains a major challenge for many of California’s most economically-vulnerable households, and, according to data from the 2019 American Communities Survey, over half of the state’s renters are considered cost-burdened, which is defined as paying more than 30 percent of their income towards housing.

At the same time, in order to meet the state’s GHG reduction goals, it is crucial that we rapidly reduce emissions across a variety of sectors, including housing and transportation. In terms of transportation, lowering vehicle miles traveled (VMT) remains an important objective, and Appendix C of the State’s 2017 Climate Change Scoping Plan update states: “California must reduce vehicle miles of travel (VMT) – alongside improvements in vehicle and fuel technology – in order to meet our ambitious greenhouse gas (GHG) reduction goals for the transportation sector.” The document goes on to highlight infill development as a strategy for longer-term VMT reductions.

Similarly, HCD’s 2022 Statewide Housing Plan update lists one of the state’s objectives as the production of more “affordable and climate-smart housing”. Among the specific actions listed under this objective is the encouragement of “new housing development in existing communities to reduce vehicle miles traveled (VMT) and mitigate climate change while simultaneously addressing housing need.”2 Efforts to increase production of dense urban infill housing also support climate adaptation objectives by providing more housing options in city centers and alleviating cost pressures that push households to suburban and rural areas that tend to face higher wildfire risks.

Incentivizing Affordable Infill Housing to Support California’s Climate Change Mitigation Goals: California has taken a number of steps to promote more sustainable urban infill housing, including through the use of the density bonus law. Specifically, in 2019 the Legislature passed and Governor Newsom signed into law AB 1763 (Chiu), a bill that allowed for an enhanced density bonus for certain affordable housing projects located within one-half mile of a major transit stop. AB 1763 allows affordable housing projects to receive unlimited density and a height increase of 33 feet or three stories. To receive this enhanced density bonus, at least 80 percent of the units must be reserved for lower-income households, and no more than 20 percent can be for moderate-income individuals and families.

While AB 1763 made it easier to build dense, affordable housing near transit, many parts of the state lack the level of public transportation service necessary to qualify for the enhanced density bonus the legislation allowed. However, within these areas of the state, it is still important to promote housing in urbanized areas that allow residents to reduce their reliance on vehicle travel. This bill proposes to expand AB 1763’s enhanced density bonus provisions to cover very low vehicle travel areas in urbanized areas where existing residential development generates VMT that is below 85%t of either the region or city’s per capita VMT. Additionally, the bill’s provisions are limited to housing developments located in the following 17 counties: Alameda, Contra Costa, Marin, Napa, San Francisco, San Mateo, Santa Clara, Solano, Sonoma, Los Angeles, Orange, Riverside, San Bernardino, San Diego, Ventura, Sacramento, and Santa Barbara.

The Governor’s Office of Planning and Research (OPR) recently released maps that indicate very low VMT areas within certain regions. Specifically, the maps include regional VMT calculations within Metropolitan Planning Organizations (MPOs). Additionally, under SB 743 (Steinberg, 2013), guidelines for evaluating transportation impacts under the California Environmental Quality Act (CEQA) were updated to better assess transportation-related environmental impacts of proposed development projects. A number of California cities and counties have already produced maps of VMT in their jurisdiction under SB 743, which could be used to implement this bill. In rural areas outside of an MPO, the county’s VMT calculations would be used to determine what areas are considered very low VMT.

According to the Author

“We have seen firsthand the essential role affordable housing has played during the pandemic, providing shelter, support, and community to some of our state’s most vulnerable groups—including seniors and veterans, teachers and firefighters, disabled persons, and the far too many working families that cannot afford the rising cost of market rents. With a gap of 1.2 million homes affordable to low-income households and roughly 150,000 people experiencing homelessness every day, the state must continue to strengthen policies that increase the number of affordable units being constructed.

AB 2334 promotes housing construction by expanding California’s Density Bonus Law, creating opportunities for 100% affordable housing developments to earn an enhanced density bonus in areas with low vehicle miles traveled. This bill will address the state’s affordability crisis and further environmental sustainability goals.” Arguments in Support This bill’s sponsor, California Housing Consortium argues that this bill “will increase the supply of affordable housing by allowing all location-efficient 100% affordable housing developments qualify for the enhanced density bonus.” CHC also notes that it will further sustainability through infill development. The Terner Center for Housing Innovation at UC Berkeley also writes in support of the measure that we can expect both more affordable housing and for the housing units produced to be located in places that will result in lower transportation costs for residents.

1 https://statewide-housing-plan-cahcd.hub.arcgis.com/
2 https://storymaps.arcgis.com/stories/94729ab1648d43b1811c1698a748c136

AB 2244 Religious institution affiliated housing: place of worship

Read:  AB 2244

Completed Legislative Action
Spectrum: Partisan Bill (Democrat 1-0)
Status: Passed on July 19 2022 – 100% progression
Action: 2022-07-19 – Chaptered by Secretary of State – Chapter 122, Statutes of 2022.

Existing law prohibits a local agency from requiring the replacement of religious-use parking spaces, as defined, that a developer of a religious institution affiliated housing development project proposes to eliminate as part of that housing development project.

Existing law prohibits the number of religious-use parking spaces requested to be eliminated from exceeding 50% of the number that are available at the time the request is made. This bill would clarify that the definition of “religious-use parking spaces” applies to both existing parking spaces and those parking spaces required of a proposed development for a new place of worship.

The bill would recast the provisions relating to the elimination of parking spaces to prohibit the number of spaces proposed to be eliminated in the case of a proposal for a newly constructed place of worship from exceeding 50% of the spaces that would otherwise be required.

The bill would also prohibit the number of spaces proposed to be eliminated in the case of an existing place of worship from exceeding 50% of the spaces that exist at the time the request is made. The bill would not preclude the enforcement of any requirement otherwise imposed on new development to provide electric vehicle supply equipment installed parking spaces or parking spaces that are accessible to persons with disabilities.

No SB 9 guidelines yet, but parcel-by-parcel review is available

UPDATES April 1, 2022 *

Commentary provided by Chris Parker, Pacific Crest Consultants at PCC    Please note this post was prepared prior to the following being known:

* SATT:  Since the time of this posting, Los Angeles Planning Department  has issued “Implementation of Senate Bill 9 (2021) – Two-Unit Development and Urban Lot Splits”  Read the Memo  February 10, 2022  and California Department of Housing and Community Development prepared SB 9 Fact Sheet March 2022

* Government Code Sections 65852.21  and 66411.7

* HCD’s Streamlined Ministerial Approval Process Guidelines SB 35 March 2021

This material is typically available only to a paid subscriber, but its importance makes it necessary to allow access to all readers.

As previously reported, Sacramento passed a law late last year that requires cities, counties and other municipalities to approve the creation of up to 4 homes where 1 dwelling unit currently exists, beginning Jan. 1. The state allowed the local governments to exempt certain areas for specific reasons, including but not limited to fire/life/safety concerns, historic preservation, and Coastal resources.

Most local governments issued their regulations on how it would implement SB9 (as the law is known) in their jurisdiction before or on Jan. 1. The city of Los Angeles has not, although executives in the City Planning Department told PCC early last month that the regs would be released “soon.”

However, there is information now available that can help. City Planning recently updated its ZIMAS website so that parcels have a “SB9” link which lists 19 criteria that the subject parcel will be reviewed against to determine whether it is eligible for a fast-track lot split and development via SB9. And City Planning has already filled in the checklist, so property owners can see at a glance whether their parcel will be eligible for SB9 development.

As expected, the city is exempting large swaths of residential neighborhoods, negating the new state law for those property owners. Properties in HPOZs and multi-family zones can’t file for a SB9 lot development. Properties in the city’s very high fire hazard severity zones, 100-year flood zones, earthquake fault zones, and that serve as a habitat for protected species, are all ineligible too. And if the property isn’t located within a ½ mile walking distance of either a major transit stop or high-quality transit corridor, it’s ineligible too.

Property owners with parcels that are eligible for SB9 development will be able to split a lot with their single-family dwelling into two lots, and then construct up to two dwelling units per lot. SB9 also instructed local governments to process these developments administratively, which could potentially save significant time for property owners not to mention the headache of going through multiple public hearings. Owners who maximize their lots in this way will be required to file a covenant guaranteeing that they will reside in at least one of those four dwelling units for at least 3 years.

Still to come: SB9-specific applications and guidelines with guarantees for how these developments will be processed expeditiously.

 

SB 9 / Local Ministerial Approval / Housing Development / Statutory Requirements / Memorandum

CP 21-1414

City Council instructed the Planning Department and Department of Building and Safety, with assistance from the City Attorney and members of the subdivision committee, to prepare a memorandum prior to December 31, 2021, that shall be used by all Departments and agencies until such time as a local implementation ordinance is adopted inclusive of the above-mentioned precepts;

FURTHER MOVED that the City Council instruct the Planning Department, with the assistance of the subdivision committee, to recommend objective standards for specified geography to maintain unique needs for lot design and midpoint width, parking, limits on total dwelling units on substandard streets, and when the development fails to comply with LAMC 12.21 -C1 (g).

FURTHER MOVED that the City Council instruct the Planning Department, as part of SB9 implementation, to develop recommendations on changes in grade, adjustments to building pads, hauling, private streets providing frontage and access for parcels other than those created by lot splits, and the removal of protected and desirable trees without replacement;

FURTHER MOVED that the City Council instruct the Planning Department to prepare a report to clarify exemptions for high-fire hazard severity zones, protected species’ habitats, horse keeping, substandard roadways, and/or other geographic areas as determined for which the implementation of SB 9 would result in a specific, adverse impact;

Lastley, MOVED that the City Council instruct the Planning Department, with the assistance of the City Attorney and the Department of Building and Safety, to begin developing a work program for the preparation of the implementation ordinance for SB 9.


Click on the BLUE HIGHLIGHT to view official documents

  • 03/31/2022 Community Impact Statement submitted by North Westwood Neighborhood Council.  Refer to CP 21-1414
  • 03/10/2022 Community Impact Statement submitted by Westwood Neighborhood Council. Refer to CP 21-1414
  • 03/10/2022 Community Impact Statement submitted by Westwood Neighborhood Council. Refer to CP 21-1414
  • 03/09/2022 Community Impact Statement submitted by Chatsworth Neighborhood Council.  Refer to CP 21-1414
  • 03/04/2022 Community Impact Statement submitted by Empowerment Congress North Area NDC.  Refer to CP 21-1414
  • 02/14/2022 Community Impact Statement submitted by Studio City Neighborhood Council.   Refer to CP 21-1414
  • 02/08/2022 Council action final. Refer to CP 21-1414
  • 02/08/2022 Council adopted item, as amended, forthwith.   Council Action 02/08/2022
  • 02/04/2022 City Clerk scheduled item for Council on February 8, 2022.  Motion 12/01/2021
  • 02/03/2022 Planning and Land Use Management Committee waived consideration of item .  Motion 12/01/2021
  • 01/19/2022 Community Impact Statement submitted by Los Feliz Neighborhood Council, Los Feliz Neighborhood Council.  Refer to CP 21-1414
  • 01/15/2022 Community Impact Statement submitted by Empowerment Congress West Area Neighborhood Development Council.  Refer to CP 21-1414
  • 12/17/2021 Community Impact Statement submitted by Tarzana Neighborhood Council.  Refer to CP 21-1414
  • 12/17/2021 Community Impact Statement submitted by Northridge West Neighborhood Council.  Refer to CP 21-1414
  • 12/17/2021 Community Impact Statement submitted by Tarzana Neighborhood Council.  Refer to CP 21-1414
  • 12/14/2021 Community Impact Statement submitted by Greater Wilshire Neighborhood Council.  Refer to CP 21-1414
  • 12/14/2021 Community Impact Statement submitted by Sherman Oaks NC.  Refer to CP 21-1414
  • 12/13/2021 Community Impact Statement submitted by Northwest San Pedro Neighborhood Council.  Refer to CP 21-1414
  • 12/09/2021 Community Impact Statement submitted by Encino Neighborhood Council.  Refer to CP 21-1414
  • 12/09/2021 Community Impact Statement submitted by NC Valley Village.  Refer to CP 21-1414
  • 12/07/2021 Community Impact Statement submitted by Westwood Neighborhood Council.   Refer to CP 21-1414
  • 12/01/2021 Motion referred to Planning and Land Use Management Committee.  Motion 12/01/2021

SB 8, Skinner. Housing Crisis Act of 2019.

Existing law, the Housing Crisis Act of 2019, requires a housing development project be subject only to the ordinances, policies, and standards adopted and in effect when a preliminary application is submitted, except as specified. The act defines “housing development project” to mean a use consisting of residential units only, mixed-use developments consisting of residential and nonresidential uses with at least 2/3 of the square footage designated for residential use, and transitional or supportive housing.

This bill would clarify, for various purposes of the act, that “housing development project” includes projects that involve no discretionary approvals, projects that involve both discretionary and nondiscretionary approvals, and projects that include a proposal to construct a single dwelling unit. The bill would specify that this clarification is declaratory of existing law, except that the clarification does not affect a project for which an application was submitted to the city, county, or city and county before January 1, 2022.

Existing law specifies that the act does not prohibit a housing development project from being subject to ordinances, policies, and standards adopted after the preliminary application was submitted in certain circumstances, including when the housing development project has not commenced construction within 2.5 years following the date that the project received final approval.

This bill would specify that the act does not prohibit a housing development project that is an affordable housing project, as defined, from being subject to ordinances, policies, and standards adopted after the preliminary application was submitted if the project has not commenced construction within 3.5 years.

Existing law prohibits an affected county or an affected city from approving a housing development project that requires the demolition of occupied or vacant protected units, as defined, unless the developer agrees to provide the occupants of any protected units with relocation benefits and a right of first refusal for a comparable unit available in the new housing development affordable to the household at an affordable rent or an affordable housing cost.

This bill would limit the requirement to provide relocation benefits and a right of first refusal to only the occupants of protected units that are lower income households, as defined. The bill would also specify that the requirement to provide relocation benefits and a right of first refusal does not apply to an occupant of a short-term rental that is rented for a period of fewer than 30 days. The bill would exempt from these provisions, a housing development project for which an application was submitted after January 1, 2019, but before January 1, 2020, that is located in a jurisdiction with a population of under 31,000, and that has adopted a rent or price control ordinance.

This bill would exempt certain protected units from the above requirement to provide a right of first refusal, including a development project that consists of a single residential unit located on a site where a single protected unit is being demolished. The bill would also exempt protected units in a housing development where 100% of the units are reserved for lower income households, not including any manager’s units, unless the occupant of a protected unit qualifies for residence in the new development and the occupant is not precluded from occupancy due to unit size limitations or other requirements of one or more funding source of the housing development.

Existing law requires the department to determine the affected cities and affected counties for purposes of the act, by June 30, 2020, and authorizes the department to update the list of affected cities and affected counties once on or after January 1, 2021, as specified. Existing law provides that the department’s determinations remain valid until January 1, 2025.

This bill would authorize the department to update the list of affected cities and affected counties a 2nd time on or after January 1, 2025. The bill would provide that the department’s determinations remain valid until January 1, 2030.

Existing law prohibits an affected county or affected city from reducing the intensity of land use within an existing general plan land use designation, specific plan land use designation, or zoning district below what was allowed and in effect on January 1, 2018.

This bill would clarify that this prohibition applies to the general plan land use designations, specific plan land use designations, and zoning districts in effect at the time of the proposed change.

Existing law specifies that the act does not prohibit an affected county or an affected city from changing a land use designation or zoning ordinance to a less intensive use if the city or county concurrently changes the development standards, policies, and conditions applicable to other parcels within the jurisdiction to ensure that there is no net loss in residential capacity.

This bill would define “concurrently” to mean that the action is approved at the same meeting of the legislative body or, if the action that would result in a net loss of residential capacity is requested by an applicant for a housing development project, within 180 days. The bill would, in the case of an initiative measure, define “concurrently” to mean that the action is included in the initiative in a manner that ensures the added residential capacity is effective at the same time as the reduction in residential capacity.

Existing law makes the act inoperative on January 1, 2025.

This bill would extend the operation of the act until January 1, 2030. By extending the duties of local officials and a crime with respect to housing, this bill would impose a state-mandated local program.

The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

This bill would provide that with regard to certain mandates no reimbursement is required by this act for a specified reason.

With regard to any other mandates, this bill would provide that, if the Commission on State Mandates determines that the bill contains costs so mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above.

This bill would incorporate additional changes to Sections 65940 and 65941.1 of the Government Code proposed by SB 37 to be operative only if this bill and SB 37 are enacted and this bill is enacted last.

Commentary: City Council Passes Motions Expressing Opposition to SB 9 and SB 10

Read what four South Bay Communities did (December 22, 2021)

The Los Angeles City Council this morning passed two motions submitted by Council District 5 representative Paul Koretz officially opposing state-level housing bills SB 9 and SB 10.  As we’ve previously reported, the bills aim to increase housing production by allowing the construction of multi-family housing in areas currently zoned for lower-density use.  (SB 9 would allow construction of two units on any current single-family lot, as well as the ADU and Junior ADU currently allowed.  It would also allow the splitting of current single-family lots, both developable with up to two units and ADUs, which could result in as many as six units on a lot that currently holds just one home.  And SB 10 would allow construction of up to 10 units per lot in some current single-family neighborhoods near transit- and job-rich areas.)

While density advocates have praised the proposals as necessary to create enough new units to address our current housing shortage, there has also been a lot of opposition from affordable housing advocates who argue that because the bills do not require the construction of any affordable units, they’re simply “trickle-down” policies that would be a gift to market-rate developers.  Opponents also say the bills would drive up land values, accelerate gentrification (especially in low-income areas), and would make homeownership, and the economic benefit it provides, even less accessible to working class families than it is now.

In comments before the vote, City Council Member Nithya Raman said she does not support SB 9, but she does support SB 10 because it provides options to cities instead of mandates.  That said, though, she also said Los Angeles needs to do much more to tackle our housing issues and “we haven’t been doing it.”  She explained that a very large percentage of the city’s buildable land is locked down in single-family neighborhoods, especially in more resource-rich areas, which leaves too little developable land for the new housing we need, and forces most new construction into low income, lower resource areas.  So more privileged districts like the one she represents, she said, “need to do more” to address our housing shortage…and allowing more multi-family development in resource-rich areas would be one way to do that.  “I get a lot of calls from people who say ‘no,’” she said, “but I want to build a community of ‘yes.’”

In other council member comments, Mark Ridley-Thomas agreed with Raman that “we need to do more and we need to do it better” than we’ve been doing to address the housing question, but he said solutions also need to have “an eye to equity and sensitivity,” which these bills do not.  Ridley-Thomas also decried the current polarization in many current housing discussions, and said that, in reality, “supporting this legislation doesn’t make you a YIMBY…and opposing it doesn’t make you a NIMBY ” — it’s much more complex than that.  At the same time, however, he said that the current bills “are not the one-size-fits-all solution that we should embrace,” and that local control and local solutions – like the “right to housing” framework he introduced recently – would be much more useful.

Council Member Mike Bonin said he agrees with both Raman and Ridley-Thomas, and that he’s “getting really exhausted with the annual conversation we have about these bills from Sacramento.”  Bonin said state legislators are trying to balance a “Rubik’s Cube” of interests when it comes to housing, but too often the proposed solutions originate with developers.  Instead, said Bonin, “we should start with affordable housing advocates and build from there.”  He said he agrees with Raman that SB 10 does give cities valuable options, but he says he still has reservations because of the bill’s opposition from environmental groups.  Also, he said, while the racist history of much single-family zoning is undeniable, single-family home ownership has also, over the decades, provided working class families with a valuable way to build generational wealth.  So he said he, too, favors local control and nuance in zoning…and “these two bills just ain’t it.”

Speaking after Bonin, Council Member Gil Cedillo turned out to be the lone voice firmly in support of both SB 9 and SB 10.  Cedillo said he agrees that the bills are not perfect but that we need to start making some changes, and continuing to argue for the status quo is both unacceptable and will “maintain apartheid in the city.”  “We can’t allow the perfect to be the enemy of the good,” he said.

But the discussion quickly veered back to opposition, as Council Member Paul Krekorian decried the bills as the kind of “trickle-down” legislation that originated with Ronald Reagan in the 1980s.  “It was an absurd notion when Ronald Regan proposed it,” said Krekorian, and “it is an absurd proposition now.”  He agreed with several other Council Members who said our city already has many of the tools it needs to fix our housing problems, and that we need to use those tools to find “solutions not mandates.”  And both he and several others suggested that the city be more proactive at the state level and actually start suggesting new legislation that would focus more on affordable housing and allowing cities to craft their own solutions for their own neighborhoods.

Finally, Koretz, who introduced the motions being considered, said SB 9 and 10 do nothing to help our need for affordable housing, and will only enrich developers who will be allowed to build more and more market rate housing.  He acknowledged that it’s easy to argue that the status quo isn’t working, but said that’s no reason to vote for bills that will only make things worse by focusing on the construction of luxury housing, and developments that will significantly reduce our urban tree canopy (which is found largely in low density neighborhoods).  The solution to our housing problems, he said, should start with the defeat of these bills…and then work on new bills that will be appropriate for Los Angeles.

Wrapping up the discussion, Council president Nury Martinez also spoke in favor of local control over housing solutions, saying the state legislature “has lost its credibility on land use in Los Angeles,” and that if it really wants to help, it should talk to individual cities instead of issuing top-down rules.

The final votes were 12-1 (with Cedillo the opposing vote) to support Koretz’s motion expressing opposition to SB 9, and 11-2 (with Cedillo and Raman the opposing votes) to support Koretz’ motion expressing opposition to SB 10.

 

Elizabeth Fuller

Elizabeth Fuller was born and raised in Minneapolis, MN but has lived in LA since 1991 – with deep roots in both the Sycamore Square and West Adams Heights-Sugar Hill neighborhoods. She spent 10 years with the Greater Wilshire Neighborhood Council, volunteers at Wilshire Crest Elementary School, and is the co-owner/publisher of the Buzz.

SB 10 Planning and zoning: housing development: density

Read text of SB 10     07/05/2021 Amended in Assembly

This bill would, notwithstanding any local restrictions on adopting zoning ordinances, authorize a local government to adopt an ordinance to zone any parcel for up to 10 units of residential density per parcel, at a height specified in the ordinance, if the parcel is located in a transit-rich area or an urban infill site, as those terms are defined.

The bill would prohibit a local government from adopting an ordinance pursuant to these provisions on or after January 1, 2029. The bill would specify that an ordinance adopted under these provisions, and any resolution to amend the jurisdiction’s General Plan, ordinance, or other local regulation adopted to be consistent with that ordinance, is not a project for purposes of the California Environmental Quality Act. The bill would prohibit an ordinance adopted under these provisions from superceding a local restriction enacted or approved by a local voter initiative that designates publicly owned land as open-space land or for park or recreational purposes.

The bill would impose specified requirements on a zoning ordinance adopted under these provisions, including a requirement that the zoning ordinance clearly demarcate the areas that are subject to the ordinance and that the legislative body make a finding that the ordinance is consistent with the city or county’s obligation to affirmatively further fair housing. The bill would require an ordinance to be adopted by a 2/3 vote of the members of the legislative body if the ordinance supersedes any zoning restriction established by local voter initiative.

The bill would prohibit an ordinance adopted under these provisions from reducing the density of any parcel subject to the ordinance and would prohibit a legislative body from subsequently reducing the density of any parcel subject to the ordinance. The bill would prohibit a residential or mixed-use residential project consisting of 10 or more units that is located on a parcel zoned pursuant to these provisions from being approved ministerially or by right or from being exempt from the California Environmental Quality Act, except as specified.

This bill would include findings that changes proposed by this bill address a matter of statewide concern rather than a municipal affair and, therefore, apply to all cities, including charter cities.

AB-339 Local government: open and public meetings – Ralph M. Brown Act

Source:  Assembly Local Government

Additional Information and Sources:

Read AB 339      Status:  Amended  in Senate  June 25, 2021

Background of AB 339

Executive Order N-29-20. In March of 2020, the Governor issued Executive Order N-29-20, which stated that, ”Notwithstanding any other provision of state or local law (including, but not limited to, the Bagley-Keene Act or the Brown Act), and subject to the notice and accessibility requirements set forth below, a local legislative body or state body is authorized to hold public meetings via teleconferencing and to make public meetings accessible telephonically or otherwise electronically to all members of the public seeking to observe and to address the local legislative body or state body. All requirements in both the Bagley-Keene Act and the Brown Act expressly or impliedly requiring the physical presence of members, the clerk or other personnel of the body, or of the public as a condition of participation in or quorum for a public meeting are hereby waived.”

“All of the foregoing provisions concerning the conduct of public meetings shall apply only during the period in which state or local public health officials have imposed or recommended social distancing measures.”

AB 339:

AB 339, as amended, Lee. Local government: open and public meetings.
Existing law, the Ralph M. Brown Act, requires, with specified exceptions, that all meetings of a legislative body of a local agency, as those terms are defined, be open and public and that all persons be permitted to attend and participate. Under existing law, a member of the legislative body who attends a meeting where action is taken in violation of this provision, with the intent to deprive the public of information that the member knows the public is entitled to, is guilty of a crime.
This bill would require local agencies to conduct meetings subject to the act consistent with applicable state and federal civil rights laws, as specified.
This bill would, until December 31, 2023, require all open and public meetings of a city council or a county board of supervisors that governs a jurisdiction containing least 250,000 people to include an opportunity for members of the public to attend via a two-way telephonic option or an a two-way internet-based service option. option, as specified, and would require a city council or county board of supervisors that has, as of June 15, 2021, provided video streaming, as defined, of its meetings to continue to provide that video streaming. The bill would require all open and public meetings to include an in-person public comment opportunity, except in specified circumstances during a declared state or local emergency. The bill would require all meetings to provide the public with an opportunity to comment on proposed legislation in person and remotely via a telephonic or an internet-based service option, as provided.
By imposing new duties on local governments and expanding the application of a crime with respect to meetings, this bill would impose a state-mandated local program.
The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.
This bill would provide that no reimbursement is required by this act for specified reasons.
The California Constitution requires local agencies, for the purpose of ensuring public access to the meetings of public bodies and the writings of public officials and agencies, to comply with a statutory enactment that amends or enacts laws relating to public records or open meetings and contains findings demonstrating that the enactment furthers the constitutional requirements relating to this purpose.
This bill would make legislative findings to that effect.
The bill would include findings that changes proposed by this bill address a matter of statewide concern rather than a municipal affair and, therefore, apply to all cities and counties, including charter cities and counties.

SB 314 and AB 16 Alcoholic Beverages/Outdoor Dining

An act to amend Sections 23320, 23399, 24300, 25600.5, 25607, and 25665 of, to add Sections 23398.9, 23406, and 23407 to, and to add Article 7 (commencing with Section 23550) to Chapter 3 of Division 9 of, the Business and Professions Code, and to add Section 65863.15 to the Government Code, relating to alcoholic beverages, and declaring the urgency thereof, to take effect immediately.

Read SB 314      Monitor  status of:   SB 314 Status

Read AB 61       Monitor status of:  AB 61 Status

Read Board of Supervisors motion to expand outdoor dining   June 8, 2021

SB-1299 Housing development: incentives: rezoning of idle retail sites

SB 1299 (by Anthony Portantino)

https://leginfo.legislature.ca.gov/faces/billTextClient.xhtml?bill_id=201920200SB1299

This bill, upon appropriation by the Legislature, would require the department to administer a program to provide incentives in the form of grants allocated as provided to local governments that rezone idle sites used for a big box retailer or a commercial shopping center to instead allow the development of workforce housing. The bill would define various terms for these purposes. In order to be eligible for a grant, the bill would require a local government, among other things, to apply to the department for an allocation of grant funds and provide documentation that it has met specified requirements. The bill would make the allocation of these grants subject to appropriation by the Legislature. The bill would require the department to issue a Notice of Funding Availability for each calendar year in which funds are made available for these purposes. The bill would require that the amount of grant awarded to each eligible local government be equal to the average amount of annual sales and use tax revenue generated by each idle site identified in the local government’s application over the 7 years immediately preceding the date of the local government’s application, subject to certain modifications, and that the local government receive this amount for each of the 7 years following the date of the local government’s application.

STATT NOTE: SB 1299 rewards cities who choose to repurpose big box stores and other idled commercial buildings, and then rebuild them as housing.

AB-3107 Planning and zoning: commercial zoning: housing development

Planning and zoning: general plan: housing development AB-3107

Currently, many cities have yuge areas of commercial zoning where office buildings and stores are OK, but housing isn’t. AB3107 would allow homes in these areas if 20% of them are affordable.

The bill would include findings that changes proposed by this bill address a matter of statewide concern rather than a municipal affair and, therefore, apply to all cities, including charter cities.

This bill, notwithstanding any inconsistent provision of a city’s or county’s general plan, specific plan, zoning ordinance, or regulation, would require that a housing development be an authorized use on a site designated in any element of the general plan for commercial uses if certain conditions apply. Among these conditions, the bill would require that the housing development be subject to a recorded deed restriction requiring that at least 20% of the units have an affordable housing cost or affordable rent for lower income households, as those terms are defined, and located on a site that satisfies specified criteria. The bill would require the city or county to apply certain height, density, and floor area ratio standards to a housing development that meets these criteria. The bill would require a jurisdiction to comply with these requirements only until it has completed the rezoning, required as described above, for the 6th revision of its housing element. The bill would repeal these provisions as of January 1, 2030.