Subscriber Special Content: Supreme Court narrows local governments’ ability to impose impact fees – a potential sea change for California

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On April 12, 2024, the Supreme Court of the United States issued its much-anticipated ruling in Sheetz v. County of El Dorado. The case concerned the legality of a local jurisdiction’s imposition of a traffic impact mitigation (TIM) fee upon a project applicant as a development permit condition. The threshold question in Sheetz was whether a legislatively authorized and broadly applicable permit condition is subject to the same analysis as an administratively imposed, ad-hoc permit condition for the purpose of determining whether it violates the Takings Clause of the Fifth Amendment of the United States Constitution. The Court held that there is no reason to distinguish between permit conditions imposed legislatively or administratively. Consequently, the Court explained that the two-part “Nollan/Dolan” constitutional test indeed applies to legislatively imposed permit conditions. In California, where local governments routinely use legislatively authorized development impact fees to impose sizeable mitigation fees on new development, this ruling could represent a sea change for developers and local governments alike.

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.

 

Response to City Planning 2021 Comprehensive Fees

Source:  Subscriber to SATT Weekly Posts

I tend to be more than a little critical of the Department leadership and of elected officials who do not act in ways that are rational.  With regard to the cost of seeking relief from fence height limitations I understand that they are trying to gain full cost recovery on all cases, however the City needs to consider how elitist and possibly racist these policies are.  Wealthy (primarily white people) can afford the added security of an approved over in height fence but in poor neighborhoods that tend to have higher crime rates, people can not afford to pay for relief so they build the fence without approval then deal with enforcement that they can not afford to properly address.  It could be called the Celebrity Fence Height adjustment ordinance. Leftist ideology and politicians trying to appease special interest groups within their own districts and each other has depleted the General Fund to pay for things that in most Cities are not paid for by the City.

Looking over the list of Departments I see that LA has a Department of Ageing.  In most Cities these matters are handled within Recreation and Parks and Housing.  Each new Department results in redundancies primarily in administration.  Isn’t it time to sell LA’s interest in the Palmdale Airport?  Does cannabis regulation require an entire Department with a full time staff dedicated to a legal albeit regulated use?  Shouldn’t cannabis regulation be a small section within Planning and B&S.

Most Cities contract out Animal Services to the County but OK I get it, LA City is too big.  Is it time to get rid of the Coliseum and any City involvement in it’s day to day operation?  Most Cities don’t have a Cultural Affairs Department this work is generally handled by museums and theaters and the City provides grants.  HCID and Housing Authority – Should this be one Department or should housing enforcement be under B&S? Don’t even get me started on DONE and the Neighborhood Councils.

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.

UNDERSTANDING NITHYA RAMAN ON THE HOLLYWOOD COMMUNITY PLAN

For Immediate Release: February 17, 2021

NITHYA RAMAN RELEASES STATEMENT ON THE HOLLYWOOD COMMUNITY PLAN

LOS ANGELES– Councilmember Nithya Raman released a letter today stating the position of her office on the Hollywood Community Plan. The Hollywood Community Plan will go before the City Planning Commission on Thursday, February 18. The Councilmember’s full statement, contained within her letter to the City Planning Commission, is as follows:

Thank you for the opportunity to comment on the forthcoming update to the Hollywood Community Plan. The advancement of this draft plan marks an important accomplishment for Hollywood after decades of labor, and we are deeply appreciative of the Department of City Planning’s work in this arena.

Council District 4 is committed to advancing tenant protections and expanding affordable housing in Los Angeles, and we believe there are several areas within this plan that can be strengthened to ensure equitable and affordable development in Hollywood. Namely, we believe the plan can enshrine more robust protections against tenant displacement, be more ambitious in its offering of affordable housing incentives, and take additional steps to protect open space in the Santa Monica mountains. We’ll expound upon each of these priorities one at a time.

Council District 4 shares and supports the priorities of the Just Hollywood Coalition around developing a more robust set of anti-displacement tools for the residents of Hollywood. We believe that replacement RSO units in redeveloped properties should not count towards the affordability requirements therein, but rather should be preserved in addition to new affordable units. We believe that new affordability covenants in Hollywood should follow in the lead of Santa Monica, New York City, and other cities and extend in perpetuity, not their current 55-year time horizon. We further support the Just Hollywood Coalition’s demand for increased public input on hotel projects, requiring conditional use permits appealable to the City Council and restricting the conversion and demolition of housing for the development of hotels.

On the issue of affordable housing, CD4 believes strongly that the Hollywood CPIO’s incentives should go further than those within the City’s Transit Oriented Communities Program, and thereby serve as a model for incentivizing affordable housing in high-opportunity neighborhoods across Los Angeles. To achieve this, we support more ambitious affordable housing percentages within incentive programs that allow for increased density, as well as the removal of parking requirements for 100% affordable projects. We oppose the proposed height limits on Sunset Blvd. in Corridor 5 and the proposed height reductions on Hillhurst Ave. in Los Feliz and support opportunities for increasing allowable height along these corridors only for projects that demonstrate a substantial commitment to affordable housing. 

Finally, we believe that the Hollywood Community Plan can go further in preserving our fragile and unique ecosystem in the Santa Monica Mountains. To forever protect gains made in this arena, all lands acquired by the Santa Monica Mountains Conservancy (SMMC) and Mountains Recreation and Conservation Authority (MRCA) should be rezoned to open space as part of the update. In addition, city-owned land in the Santa Monica Mountains that exists within the Hollywood Community Plan should be rezoned as open space as well, as part of the implementation plan for “open space preservation” set out in the Draft Plan.

We understand that this will not be the last opportunity to contribute to the Hollywood Community Plan Update, and we will continue to work with the Department of City Planning and other associated departments to incorporate comments from the City Planning Commission and the public in the coming weeks. Thank you once again for your indefatigable work in updating our city’s Community Plans. We hope that our comments are constructive in furthering this work, and look forward to working closely alongside you as this draft plan is finalized.

Commentary:  Raman Recall Remorse, Dick Platkin, June 24, 2021

Planetizen Courses and the Michigan State University (MSU) Extension Partner on New Planning Commissioner Training Series

Planetizen Courses is pleased to announce a new Planning Commissioner Training series, designed to offer immersive but accessible training on the essential skills and concepts for planning commissioners. Planetizen Courses has partnered with instructors from the Michigan State University (MSU) Extension to offer this online video version of MSU’s pioneering Citizen Planners Program, designed to offer training relevant to commissioners in every U.S. jurisdiction.
The Planning Commissioner Training series bridges the gaps between professional planning practice and public understanding. In their oversight and advisory role, planning commissioners serve as one of the key links between planners and the public. A better informed, better-trained population of planning commissioners is essential to a more effective planning and approval process. When citizens and professional planners collaborate effectively, the entire community stands to benefit.
“Citizen planners are essential to planning processes in local governments all over the country,” says Planetizen Editorial Director James Brasuell. “An online training course can help these planning commissioners prepare for the technical and political challenges they will encounter in service to their communities.”
For a limited time, Planetizen Courses is offering a year-long subscription to the Planning Commissioner Training for $199 before pricing increases to $349. With the Planning Commissioner Training series, citizen planners can learn from any kind of Internet-enabled device on a number of subjects crucial to the effective and efficient practice of planning:
  • The ethics and legal framework of planning
  • The procedures associated with a planning official’s job
  • Every step in the planning and zoning processes
  • The tools planners use to make land use decisions
  • A “roadmap” of planning processes, from the comprehensive plan to code enforcement
Video previews of the course and a detailed course outline are available at: https://courses.planetizen.com/planning-commissioner-training
Citizen planners and professional planners share a common goal of service and the improvement of their communities. The Planning Commissioner Training from Planetizen Courses and Michigan State University is designed to make those ambitions a reality.
Press Contact
Lee Flannery, lee@planetizen.com, 877-260-7526 x117