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HomeMy WebLinkAbout2019-02-26 - AGENDA REPORTS - STATE LEGISLATION: SB 50 (2)Agenda Item: 3 DATE: February 26, 2019 SUBJECT: STATE LEGISLATION: SENATE BILL 50 DEPARTMENT: City Manager's Office PRESENTER: Masis Hagobian RECOMMENDED ACTION City Council oppose Senate Bill 50 (Wiener) and transmit position statements to Senator Wiener, Santa Clarita's state legislative delegation, appropriate legislative committees, Governor Newsom, and the League of California Cities. BACKGROUND Authored by Senator Scott Wiener (D -11 -San Francisco), Senate Bill 50 restricts certain local land use authority including density, height, parking, and floor area ratio standards related to specific residential developments near a major transit stop, major transit corridor or major job center. Specifically, this bill: 1. Establishes a building incentive for multi -unit residential projects that are located within a one-half mile radius of a major transit stop, one-quarter mile radius of a high quality transit corridor, or near a high-volume of jobs. 2. Establishes a "job -rich housing project" and assigns the California Department of Housing and Community Development and the Office of Planning Research to identify the criteria needed for a development to qualify as "job -rich." 3. Exempts a multi -unit residential project that qualifies as either a job -rich housing project or is located within a one-half mile radius of a major transit stop or a one-quarter mile radius of a high quality transit corridor from the following: a. Maximum controls on residential density b. Minimum automobile parking requirements greater than 0.5 automobile parking Page 1 spots per unit 4. In addition to the exemptions listed in Section 3 above, a transit oriented multi -unit residential project is exempted from any local ordinance, resolution, or regulation related to the height and floor -area ratio of the residential project and establishes the following height and floor -area ratio regulations: a. If a project is within a one-half mile radius, but outside a one-quarter mile radius, of a major transit stop, the maximum height requirements cannot be less than 45 feet and the maximum floor -area ratio requirements cannot be less than 2.5 b. If a project is within a one-quarter mile radius of a major transit stop, the maximum height requirements cannot be less than 55 feet and the maximum floor -area ratio requirements cannot be less than 3.25 Analysis The attached map identifies four locations and three corridors within the City that could be impacted if this bill is passed by the Legislature and signed into law. The City's three existing Metrolink stations (Via Princessa, Santa Clarita, and Newhall) and one future station (Vista Canyon) are all "major transit stops," as it is defined in the California Constitution. Therefore, potential developers interested in building a multi -unit residential development within the prescribed proximity of the four locations would be exempt from local regulations related to residential density, height, parking and floor -area ratio standards. Additionally, staff identified the following three corridors within the City as other areas this bill would apply to: 1. Soledad Canyon Road/Valencia Boulevard (beginning at the Santa Clarita Metrolink station and ending at McBean Parkway) 2. Lyons Avenue (beginning at Railroad Avenue and ending at Wiley Canyon Road) 3. Newhall Avenue (beginning at Lyons Avenue and ending at Sierra Highway) The City currently has policies in place related to residential development standards on parking, height, and open space of multi -unit residential developments. If this bill is implemented, the following standards in the City's Unified Development Code will no longer apply to multi -unit residential developments built within the prescribed distance of the four identified major transit stops and three high-quality transit corridors in the City: Buildings and structures exceeding two stories or 35 feet in height, whichever is more restrictive, require approval of a conditional use permit. 2. Parking to be provided based on the size of each residential unit, as follows: a. Studio units - one enclosed parking space per unit; b. One bedroom units - two enclosed parking spaces per unit; Page 2 c. Two bedroom units - two enclosed parking spaces per unit; and d. Guest parking - one parking space per each two units 3. Open space to be provided based on the size of each residential unit, as follows: a. Studio units - 200 square feet of open space; b. One bedroom units - 300 square feet of open space; c. Two bedroom units - 400 square feet of open space; and d. Single family detached/townhome units - 650 square feet of open space 4. A fully enclosed garage or a minimum of 250 cubic feet of lockable, enclosed storage per unit. 5. A minimum distance of ten feet between all main residential buildings. 6. Recreational facilities, including: a. Landscaped park -like quiet area; b. Children's play area; and c. Family picnic area The City Council opposed a similar bill that was introduced during the 2017-18 Legislative Session, Senate Bill 827 (Wiener) at the March 27, 2018, Regular City Council Meeting. Additionally, the City of Santa Clarita 2019 Legislative Platform (Legislative Platform) includes a component related to local land use authority. Specifically, component 21 under the "State" section of the Legislative Platform advises that the City Council, "Oppose legislation that would interfere with, limit or eliminate the decision-making authority of municipalities in the area of local land use." Senate Bill 50 was introduced on December 3, 2018, and was referred to the Senate Committee on Housing and Senate Committee on Governance and Finance. No hearing date was scheduled at the time of the draft of this report. ALTERNATIVE ACTION 1. Adopt a "neutral" position on Senate Bill 50 2. Adopt a "support" position on Senate Bill 50 3. Take no action on Senate Bill 50 4. Refer Senate Bill 50 to the Legislative Committee Page 3 5. Other action, as determined by the City Council FISCAL IMPACT The resources required to implement the recommended action are contained within the City of Santa Clarita's adopted Fiscal Year 2018-19 budget. ATTACHMENTS Senate Bill No. 50 - Bill Text Map related to Senate Bill No. 50 Page 4 SENATE BILL No. 50 Introduced by Senator Wiener (Coauthors: Senators Caballero, Hueso, Moorlach, and Skinner) (Coauthors: Assembly Members Burke, Kalra, Kiley, Low, Robert Rivas, Ting, and Wicks) December 3, 2018 An act to add Chapter 4.35 (commencing with Section 65918.50) to Division 1 of Title 7 of the Government Code, relating to housing. LEGISLATIVE COUNSEL'S DIGEST SB 50, as introduced, Wiener. Planning and zoning: housing development: equitable communities incentive. Existing law, known as the Density Bonus Law, requires, when an applicant proposes a housing development within the jurisdiction of a local government, that the city, county, or city and county provide the developer with a density bonus and other incentives or concessions for the production of lower income housing units or for the donation of land within the development if the developer, among other things, agrees to construct a specified percentage of units for very low, low-, or moderate -income households or qualifying residents. This bill would require a city, county, or city and county to grant upon request an equitable communities incentive when a development proponent seeks and agrees to construct a residential development, as defined, that satisfies specified criteria, including, among other things, that the residential development is either a job -rich housing project or a transit -rich housing project, as those terms are defined; the site does not contain, or has not contained, housing occupied by tenants or accommodations withdrawn from rent or lease in accordance with specified law within specified time periods; and the residential development complies with specified additional requirements under 99 SB 50 existing law. The bill would require that a residential development eligible for an equitable communities incentive receive waivers from maximum controls on density and automobile parking requirements greater than 0.5 parking spots per unit, up to 3 additional incentives or concessions under the Density Bonus Law, and specified additional waivers if the residential development is located within a V, -mile or V, -mile radius of a major transit stop, as defined. The bill would authorize a local government to modify or expand the terms of an equitable communities incentive, provided that the equitable communities incentive is consistent with these provisions. The bill would include findings that the 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. The bill would also declare the intent of the Legislature to delay implementation of this bill in sensitive communities, as defined, until July 1, 2020, as provided. By adding to the duties of local planning officials, 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 a specified reason. Vote: majority. Appropriation: no. Fiscal committee: yes. State -mandated local program: yes. The people of the State of California do enact as follows: 1 SECTION 1. Chapter 4.35 (commencing with Section 2 65918.50) is added to Division 1 of Title 7 of the Government 3 Code, to read: 4 5 CHAPTER 4.35. EQUITABLE COMMUNITIES INCENTIVES 6 7 65918.50. For purposes of this chapter: 8 (a) "Affordable" means available at affordable rent or affordable 9 housing cost to, and occupied by, persons and families of extremely 10 low, very low, low, or moderate incomes, as specified in context, 11 and subject to a recorded affordability restriction for at least 55 12 years. 99 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 — 3 — SB 50 (b) "Development proponent" means an applicant who submits an application for an equitable communities incentive pursuant to this chapter. (c) "Eligible applicant" means a development proponent who receives an equitable communities incentive. (d) "FAR" means floor area ratio. (e) "High-quality bus corridor" means a corridor with fixed route bus service that meets all of the following criteria: (1) It has average service intervals of no more than 15 minutes during the three peak hours between 6 a.m. to 10 a.m., inclusive, and the three peak hours between 3 p.m. and 7 p.m., inclusive, on Monday through Friday. (2) It has average service intervals of no more than 20 minutes during the hours of 6 a.m. to 10 a.m., inclusive, on Monday through Friday. (3) It has average intervals of no more than 30 minutes during the hours of 8 a.m. to 10 p.m., inclusive, on Saturday and Sunday. (f) "Job -rich housing project" means a residential development within an area identified by the Department of Housing and Community Development and the Office of Planning and Research, based on indicators such as proximity to jobs, high area median income relative to the relevant region, and high-quality public schools, as an area of high opportunity close to jobs. A residential development shall be deemed to be within an area designated as job -rich if both of the following apply: (1) All parcels within the project have no more than 25 percent of their area outside of the job -rich area. (2) No more than 10 percent of residential units or 100 units, whichever is less, of the development are outside of the job -rich area. (g) "Local government" means a city, including a charter city, a county, or a city and county. (h) "Major transit stop" means a site containing an existing rail transit station or a ferry terminal served by either bus or rail transit service. (i) "Residential development" means a project with at least two-thirds of the square footage of the development designated for residential use. 0) "Sensitive community" means an area identified by the Department of Housing and Community Development, in 99 SB 50 1 consultation with local community-based organizations in each 2 region, as an area vulnerable to displacement pressures, based on 3 indicators such as percentage of tenant households living at, or 4 under, the poverty line relative to the region. 5 (k) "Tenant" means a person residing in any of the following: 6 (1) Residential real property rented by the person under a 7 long-term lease. 8 (2) A single -room occupancy unit. 9 (3) An accessory dwelling unit that is not subject to, or does 10 not have a valid permit in accordance with, an ordinance adopted 11 by a local agency pursuant to Section 65852.22. 12 (4) A residential motel. 13 (5) Any other type of residential property that is not owned by 14 the person or a member of the person's household, for which the 15 person or a member of the person's household provides payments 16 on a regular schedule in exchange for the right to occupy the 17 residential property. 18 ([) "Transit -rich housing project" means a residential 19 development the parcels of which are all within a one-half mile 20 radius of a major transit stop or a one-quarter mile radius of a stop 21 on a high-quality bus corridor. A project shall be deemed to be 22 within a one-half mile radius of a major transit stop or a one-quarter 23 mile radius of a stop on a high-quality bus corridor if both of the 24 following apply: 25 (1) All parcels within the project have no more than 25 percent 26 of their area outside of a one-half mile radius of a major transit 27 stop or a one-quarter mile radius of a stop on a high-quality bus 28 corridor. 29 (2) No more than 10 percent of the residential units or 100 units, 30 whichever is less, of the project are outside of a one-half mile 31 radius of a major transit stop or a one-quarter mile radius of a stop 32 on a high-quality bus corridor. 33 65918.51. (a) A local government shall, upon request of a 34 development proponent, grant an equitable communities incentive, 35 as specified in Section 65918.53, when the development proponent 36 seeks and agrees to construct a residential development that 37 satisfies the requirements specified in Section 65918.52. 38 (b) It is the intent of the Legislature that, absent exceptional 39 circumstances, actions taken by a local legislative body that 99 — 5 — SB 50 1 increase residential density not undermine the equitable 2 communities incentive program established by this chapter. 3 65918.52. In order to be eligible for an equitable communities 4 incentive pursuant to this chapter, a residential development shall 5 meet all of the following criteria: 6 (a) The residential development is either a job -rich housing 7 project or transit -rich housing project. 8 (b) The residential development is located on a site that, at the 9 time of application, is zoned to allow housing as an underlying 10 use in the zone, including, but not limited to, a residential, 11 mixed-use, or commercial zone, as defined and allowed by the 12 local government. 13 (c) (1) If the local government has adopted an inclusionary 14 housing ordinance requiring that the development include a certain 15 number of units affordable to households with incomes that do not 16 exceed the limits for moderate -income, lower income, very low 17 income, or extremely low income specified in Sections 50079.5, 18 50093, 50105, and 50106 of the Health and Safety Code, and that 19 ordinance requires that a new development include levels of 20 affordable housing in excess of the requirements specified in 21 paragraph (2), the residential development complies with that 22 ordinance. 23 (2) If the local government has not adopted an inclusionary 24 housing ordinance, as described in paragraph (1), and the residential 25 development includes or more residential units, the residential 26 development includes onsite affordable housing for households 27 with incomes that do not exceed the limits for extremely low 28 income, very low income, and low income specified in Sections 29 50093, 50105, and 50106 of the Health and Safety Code. It is the 30 intent of the Legislature to require that any development of 31 or more residential units receiving an equitable communities 32 incentive pursuant to this chapter include housing affordable to 33 low, very low or extremely low income households, which, for 34 projects with low or very low income units, are no less than the 35 number of onsite units affordable to low or very low income 36 households that would be required pursuant to subdivision (f) of 37 Section 65915 for a development receiving a density bonus of 35 38 percent. 39 (d) The site does not contain, or has not contained, either of the 40 following: 99 SB 50 1 (1) Housing occupied by tenants within the seven years 2 preceding the date of the application, including housing that has 3 been demolished or that tenants have vacated prior to the 4 application for a development permit. 5 (2) A parcel or parcels on which an owner of residential real 6 property has exercised his or her rights under Chapter 12.75 7 (commencing with Section 7060) of Division 7 of Title 1 to 8 withdraw accommodations from rent or lease within 15 years prior 9 to the date that the development proponent submits an application 10 pursuant to this chapter. 11 (e) The residential development complies with all applicable 12 labor, construction employment, and wage standards otherwise 13 required by law and any other generally applicable requirement 14 regarding the approval of a development project, including, but 15 not limited to, the local government's conditional use or other 16 discretionary permit approval process, the California 17 Environmental Quality Act (Division 13 (commencing with Section 18 21000) of the Public Resources Code), or a streamlined approval 19 process that includes labor protections. 20 (f) The residential development complies with all other relevant 21 standards, requirements, and prohibitions imposed by the local 22 government regarding architectural design, restrictions on or 23 oversight of demolition, impact fees, and community benefits 24 agreements. 25 (g) The equitable communities incentive shall not be used to 26 undermine the economic feasibility of delivering low-income 27 housing under the state density bonus program or a local 28 implementation of the state density bonus program, or any locally 29 adopted program that puts conditions on new development 30 applications on the basis of receiving a zone change or general 31 plan amendment in exchange for benefits such as increased 32 affordable housing, local hire, or payment of prevailing wages. 33 65918.53. (a) A residential development that meets the criteria 34 specified in Section 65918.52 shall receive, upon request, an 35 equitable communities incentive as follows: 36 (1) Any eligible applicant shall receive the following: 37 (A) A waiver from maximum controls on density. 38 (B) A waiver from maximum automobile parking requirements 39 greater than 0.5 automobile parking spots per unit. 99 X 'm 0 LO 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 — 7 — SB 50 (C) Up to three incentives and concessions pursuant to subdivision (d) of Section 65915. (2) An eligible applicant proposing a residential development that is located within a one-half mile radius, but outside a one-quarter mile radius, of a major transit stop and includes no less than percent affordable housing units shall receive, in addition to the incentives specified in paragraph (1), waivers from all of the following: (A) Maximum height requirements less than 45 feet. (B) Maximum FAR requirements less than 2.5. (C) Notwithstanding subparagraph (B) of paragraph (1), any maximum automobile parking requirement. (3) An eligible applicant proposing a residential development that is located within a one-quarter mile radius of a major transit and includes no less than percent affordable housing units shall receive, in addition to the incentives specified in paragraph (1), waivers from all of the following: (A) Maximum height requirements less than 55 feet. (B) Maximum FAR requirements less than 3.25. (C) Notwithstanding subparagraph (B) of paragraph (1), any maximum automobile parking requirement. (4) Notwithstanding any other law, for purposes of calculating any additional incentive or concession in accordance with Section 65915, the number of units in the residential development after applying the equitable communities incentive received pursuant to this chapter shall be used as the base density for calculating the incentive or concession under that section. (5) An eligible applicant proposing a project that meets all of the requirements under Section 65913.4 may submit an application for streamlined, ministerial approval in accordance with that section. (b) The local government may modify or expand the terms of an equitable communities incentive provided pursuant to this chapter, provided that the equitable communities incentive is consistent with, and meets the minimum standards specified in, this chapter. 65918.54. The Legislature finds and declares that this chapter addresses a matter of statewide concern rather than a municipal affair as that term is used in Section 5 of Article XI of the 99 SB 50 1 California Constitution. Therefore, this chapter applies to all cities, 2 including charter cities. 3 65918.55. (a) It is the intent of the Legislature that 4 implementation of this chapter be delayed in sensitive communities 5 until July 1, 2020. 6 (b) It is further the intent of the Legislature to enact legislation 7 that does all of the following: 8 (1) Between January 1, 2020, and allows a local 9 government, in lieu of the requirements of this chapter, to opt for 10 a community -led planning process aimed toward increasing 11 residential density and multifamily housing choices near transit 12 stops. 13 (2) Encourages sensitive communities to opt for a 14 community -led planning process at the neighborhood level to 15 develop zoning and other policies that encourage multifamily 16 housing development at a range of income levels to meet unmet 17 needs, protect vulnerable residents from displacement, and address 18 other locally identified priorities. 19 (3) Sets minimum performance standards for community plans, 20 such as minimum overall residential development capacity and 21 the minimum affordability standards set forth in this chapter. 22 (4) Automatically applies the provisions of this chapter on 23 January 1, 2025, to sensitive communities that do not have adopted 24 community plans that meet the minimum standards described in 25 paragraph (3), whether those plans were adopted prior to or after 26 enactment of this chapter. 27 SEC. 2. No reimbursement is required by this act pursuant to 28 Section 6 of Article XIIIB of the California Constitution because 29 a local agency or school district has the authority to levy service 30 charges, fees, or assessments sufficient to pay for the program or 31 level of service mandated by this act, within the meaning of Section 32 17556 of the Government Code. X 99 x 'm 0 X05 IHS 04euOS :U01MISIBe-1 eMS) 09 'ON 11!8 e4eueS o4 pe4ejej deLAj :4uewq3e44V CL E I o6 E2 o ----------------- I .2 Z z 00 V ro m yob/ky w,r: CO, co 44 03 lo Q 4Y IW gn� tu Jl� a0/V L-. —.1 Ld Jk �10 00 z < opi J