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HomeMy WebLinkAbout2025-04-22 - AGENDA REPORTS - STATE LEGISLATIONO Agenda Item: 6 CITY OF SANTA CLARITA AGENDA REPORT CONSENT CALENDAR CITY MANAGER APPROVAL: Li DATE: April 22, 2025 SUBJECT: STATE LEGISLATION: AB 507, AB 893, AB 1154, AB 1206, and SB 677 DEPARTMENT: City Manager's Office PRESENTER: Masis Hagobian RECOMMENDED ACTION City Council: 1. Oppose AB 507 (Haney), AB 893 (Fong), AB 1154 (Carrillo), AB 1206 (Harabedian), and SB 677 (Wiener). 2. Transmit position statements to the authors of the bills, Santa Clarita's state legislative delegation, appropriate legislative committees, Governor Newsom, and other stakeholder organizations. BACKGROUND The following state legislative items were presented to the City Council Legislative Committee on March 27, 2025. Included as part of this report is a brief summary of each piece of legislation and its current status in the state legislative process. The state legislative items in this report are related to local land use authority. The City of Santa Clarita (City) currently has policies and standards in place regarding proposed residential projects related to parking, design standards, zoning, and overall application review. Typically, residential projects undergo an extensive review process, including public hearings, administrative review, and an opportunity for appeal. This allows the City's Planning division, Planning Commission (Commission), and the public the ability to review residential projects and subdivision proposals based on unique community circumstances and needs. Four of the five bills in this report require residential project applications to be reviewed through a streamlined and ministerial process. Projects under a streamlined and ministerial review are not subject to an appeals process, public hearing, and the California Environmental Quality Act Page 1 Packet Pg. 225 O (CEQA) review. Streamlined and ministerial review preempts the following standards in the City's Unified Development Code: 1. Discretionary Review a. Typical residential applications include a discretionary review affording the City the ability to either approve, approve with conditions, approve with modifications, refer the request to the Commission, or deny the application for a proposed use, modification, or development based on the following: i. That the use, development of land, or application of development standards is in compliance with all applicable provisions of the Santa Clarita Unified Development Code; and ii. That the use, development of land, or application of development standards, when considered on the basis of the suitability of the site for the particular use or development intended, is so arranged as to avoid traffic congestion, ensure the protection of public health, safety, and general welfare, prevent adverse effects on neighboring property, and is in conformity with good zoning practice. 2. Zoning a. Specific zoning is reserved in the City to achieve the following purposes: i. To reserve appropriate areas for the continuation of residential living at specific dwelling unit densities, consistent with the Santa Clarita General Plan and with sound standards to preserve public health, safety, and welfare. ii. To minimize traffic congestion and to avoid the overloading of public services and utilities by preventing the construction of buildings of excessive bulk or number in relation to the land area around them. iii. To facilitate the provision of utility services and other public facilities commensurate with anticipated population, dwelling unit densities, and service requirements. iv. To promote high standards for site planning, architecture, and landscape design for development within the City, while preserving the City's historical and natural resources such as oak trees, river areas, and ridgelines. 3. City's Parking Standards a. Studio units - one enclosed parking space per unit Page 2 Packet Pg. 226 O b. One -bedroom units - two enclosed parking spaces per unit c. Two -bedroom units - two enclosed parking spaces per unit d. Guest parking - one parking space per each two units Assembly Bill 507 Introduced by Assembly Member Matt Haney (D-17-San Francisco), Assembly Bill 507 requires cities and counties to approve an adaptive reuse project as a use by -right, regardless of local zoning, and subject to a streamlined and ministerial review process, if the project meets objective design standards and an affordable housing criterion, as listed below. An adaptive reuse project is the conversion of an existing office or commercial space into housing. • Rental project dedicates 8 percent of units for very low-income households and 5 percent of units for extremely low-income households, or 15 percent of units for lower -income households. Homeownership project dedicates 30 percent for moderate -income households or 15 percent for lower -income households. Additionally, Assembly Bill 507 requires eligible adaptive reuse projects to be reviewed within 60 days if the project contains fewer than 150 housing units, and 90 days if the project is larger. Similar proposals typically take six to nine months. Assembly Bill 507 was introduced on February 10, 2025, and is pending a committee hearing in the Assembly Committee on Housing and Community Development. Assembly Bill 893 Introduced by Assembly Member Mike Fong (D-49-Alhambra), Assembly Bill 893 requires cities and counties to approve an affordable housing project located within a one -mile radius from a college or community college as a use by -right, regardless of local zoning, and subject to a streamlined and ministerial review process, if the project meets objective design standards and an affordable housing criterion, as listed below. • Rental project dedicates 5 percent of units for extremely low-income households, extremely low-income faculty or staff, or students experiencing homelessness, or 8 percent for very low-income households, very low-income faculty or staff, or students experiencing homelessness; or • Rental project dedicates 15 percent of units for lower -income households, lower - income students, or lower income faculty or staff. • Owner -occupied project that offers 30 percent of units at an affordable housing cost, as defined in Section 50052.5 of the Health and Safety Code, to moderate -income households; or 15 percent of units offered at an affordable housing cost, as defined in Page 3 Packet Pg. 227 O the same section, to lower income households, lower income students, or lower income faculty or staff. Under Section 50052.5 of the Health and Safety Code, any owner -occupied housing may not exceed the following: • For extremely low-income households, the product of 30 percent times 30 percent of the area median income adjusted for family size appropriate for the unit. • For very low-income households, the product of 30 percent times 50 percent of the area median income adjusted for family size appropriate for the unit. • For lower income households whose gross incomes exceed the maximum income for very low-income households, and do not exceed 70 percent of the area median income adjusted for family size, the product of 30 percent times 70 percent of the area median income adjusted for family size appropriate for the unit. • For moderate -income households, affordable housing cost shall not be less than 28 percent of the gross income of the household, nor exceed the product of 35 percent times 110 percent of area median income adjusted for family size appropriate for the unit. Assembly Bill 893 was introduced on February 19, 2025, and is pending a committee hearing in the Assembly Committee on Housing and Community Development. Assembly Bill 1154 Introduced by Assembly Member Juan Carrillo (D-39-Palmdale), Assembly Bill 1154 prohibits cities and counties from imposing any parking standards for the construction of an accessory dwelling unit (ADU), if the unit is 500 square feet or smaller. Under current state law, local governments are prohibited from requiring the replacement of a garage, carport, or covered parking structure when it is demolished in conjunction with the construction of, or conversion to an ADU on a single-family or multi -family housing property. Recently, the legislature has passed legislation to preempt parking standards on housing projects that are close in proximity to transit stops or high -quality transit corridors. Assembly Bill 1154 seeks to extend state law to preempt local governments from imposing parking standards for the construction of an ADU that is 500 square feet or smaller, also known as a Junior ADU, regardless of its proximity to public transit. In addition to the City's minimum parking standards on new developments, the City reserves the authority to require additional parking as a condition of approval on renovations, remodels, or additions to an existing single-family residence. The City imposes minimum on -site parking requirements to ensure adequate and reasonable access to homes. Additionally, the standards serve as a safeguard to prevent congestion of on - Page 4 Packet Pg. 228 O street vehicle parking that may cause unsafe conditions for surrounding residents and businesses and access challenges for emergency personnel, especially in the event of an emergency evacuation. Assembly Bill 1154 passed the Assembly Committee on Housing and Community Development (10-0-1) on March 26, 2025, and is pending a hearing in the Assembly Committee on Local Government. Assembly Bill 1206 Introduced by Assembly Member John Harabedian (D-41-Pasadena), Assembly Bill 1206 requires cities and counties to develop a program for the preapproval of a housing plan by July 1, 2026. The bill would also require cities and counties to post preapproved plans on the local government's website and approve or deny a housing project application that utilizes a preapproved plan, or a plan identical to one that was previously approved by the local government, within 30 days. In requiring local governments to accept preapproved plans and approve or deny project applications within 30 days, Assembly Bill 1206 preempts the City's ability to maintain due diligence when reviewing a residential project application. The City, not unlike areas within the author's district, varies in topography and is predominantly located within California's Very - High Fire Hazard Severity Zone (VHFHSZ). As the legislation lacks an exemption to areas within a VHF HSZ, Assembly Bill 1206 poses significant constraints to the City's review in determining project suitability and potential risk to health and safety in these areas, especially given the recent wildfires in Altadena and Pacific Palisades. Assembly Bill 1206 was amended subsequent to the City Council Legislative Committee meeting on March 27, 2025. The amendments to the legislation were: (1) changing the effective date from January 1, 2026 to July 1, 2026; and (2) adding that the project site meets the soil conditions, topography, flood zone, zoning regulations, and design review standards for which the preapproved plan was designed for. Assembly Bill 1206 passed the Assembly Committee on Housing and Community Development (11-0) on March 26, 2025, and is pending a hearing in the Assembly Committee on Local Government. Senate Bill 677 Introduced by Senator Scott Wiener (D-11-San Francisco), Senate Bill 677, among other things, expands Senate Bill 9 (Chapter 162, Statutes of 2021) by requiring cities and counties to approve the development of up to two -residential units on any property containing a single-family home or property zoned for four or less residential units through a streamlined and ministerial review process, if the project meets specified requirements. The specified requirements include that the project would not require the demolition or alteration of an existing home that is under rent or price control or has been occupied in the last three years, unless an existing structure located on the project property was damaged due to an earthquake or Page 5 Packet Pg. 229 O catastrophic event. Senate Bill 677 preempts local parking standards by prohibiting cities and counties from requiring more than one space of off-street parking per unit. The legislation restricts a local government from imposing any parking requirements if any of the following applies: a. The parcel is located within one-half mile walking distance of public transit; b. The parcel is located within an architecturally and historically significant historic district; or c. There is a car share vehicle located within one block of the parcel. Additionally, Senate Bill 677 prohibits cities and counties from denying a project due to the presence of preexisting nonconforming zoning conditions, building code violations, or unpermitted structures that do not present a threat to public health and safety and are not affected by the construction of the unit or units. The legislation also prohibits cities and counties from imposing an impact fee upon an eligible project when a unit is less than 1,750 square feet. Senate Bill 677 was amended subsequent to the City Council Legislative Committee meeting on March 27, 2025, to no longer apply to the coastal zone. Senate Bill 677 was introduced on February 21, 2025, and is pending a committee hearing in the Senate Housing Committee. The recommendation to oppose AB 507 (Haney), AB 893 (Fong), AB 1154 (Carrillo), AB 1206 (Harabedian), and SB 677 (Wiener) is consistent with the City of Santa Clarita 2025 Executive and Legislative Platform. Specifically, Component 1 under the "State" section 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." ALTERNATIVE ACTION Other action as determined by the City Council. FISCAL IMPACT There is no fiscal impact as a result of this item. ATTACHMENTS Assembly Bill 507 - Bill Text Assembly Bill 893 - Bill Text Assembly Bill 1154 - Bill Text Assembly Bill 1206 - Bill Text (Amended) Senate Bill 677 - Bill Text (Amended) Page 6 Packet Pg. 230 6.a CALIFORNIA LEGISLATURE-2025-26 REGULAR SESSION ASSEMBLY BILL No. 507 Introduced by Assembly Member Haney February 10, 2025 An act to add Chapter 9 (commencing with Section 51299) to Part 1 of Division 1 of Title 5 of, and to add Article 11.5 (commencing with Section 65658) to Chapter 3 of Division 1 of Title 7 of, the Government Code, relating to housing. LEGISLATIVE COUNSEL'S DIGEST AB 507, as introduced, Haney. Adaptive reuse: streamlining: incentives. (1) Existing law, the Planning and Zoning Law, requires each county and city to adopt a comprehensive, long-term general plan for its physical development, and the development of certain lands outside its boundaries, that includes, among other mandatory elements, a housing element. That law allows a development proponent to submit an application for a development that is subject to a specified streamlined, ministerial approval process not subject to a conditional use permit, if the development satisfies certain objective planning standards, including that the development is a multifamily housing development that contains two or more residential units. This bill would deem an adaptive reuse project a use by right in all zones, regardless of the zoning of the site, and subject to a streamlined, ministerial review process if the project meets specified requirements, subject to specified exceptions. In this regard, an adaptive reuse project, in order to qualify for the streamlined, ministerial review process, would be required to be proposed for an existing building that is less than 50 years old or meets certain requirements regarding the preservation of 99 Packet Pg. 231 AB 507 — 2 — 6.a historic resources, including the signing of an affidavit declaring that the project will comply with the United States Secretary of the Interior's Standards for Rehabilitation for, among other things, the preservation of exterior facades of a building that face a street, or receive federal or state historic rehabilitation tax credits, as specified. The bill would require an adaptive reuse project to meet specified affordability criteria. In this regard, the bill would require an adaptive reuse project for rental housing to include either 8% of the unit for very low income households and 5% of the units for extremely low income households or 15% of the units for lower income households. For an adaptive reuse project for owner -occupied housing, the bill would require the development to offer either 30% of the units at an affordable housing cost to moderate -income households or 15% of the units at an affordable housing cost to lower income households. For an adaptive reuse project including mixed uses, the bill would require at least one-half of the square footage of the adaptive reuse project to be dedicated to residential uses. The bill would provide, among other things relating to projects involving adaptive reuse, that parking is not required for the portion of a project consisting of a building subject to adaptive reuse that does not have existing onsite parking. The bill would authorize an adaptive reuse project subject to these provisions to include the development of new residential or mixed -use structures on undeveloped areas and parking areas located on the same parcel as the proposed repurposed building, or on the parcels adjacent to the proposed adaptive reuse project site if certain conditions are met. The bill would authorize a local government to adopt an ordinance, as specified, to, among other things, specify the process and requirements applicable to adaptive reuse projects, as specified, and would require an adaptive reuse project to comply with all objective planning standards found in the ordinance. The bill would specify that nothing in its provisions relating to adaptive reuse projects is intended to preempt the adoption and implementation of a local ordinance that provides alternative procedures and substantive requirements for adaptive reuse projects, provided that the local ordinance does not prohibit an applicant from electing to pursue an adaptive reuse project, as specified. The bill would require a local agency that has not adopted an above -described ordinance to ministerially without discretionary review approve or disapprove applications for a permit to create or serve an 99 Packet Pg. 232 — 3 — AB 507 6.a adaptive reuse project, as specified. The bill would, if a local government's planning director or equivalent position determines that the adaptive reuse project submitted pursuant to these provisions is consistent with the objective planning standards, require the local government to approve the adaptive reuse project within specified timeframes. The bill would require the local government staff or relevant local planning and permitting department, upon determining that the adaptive reuse project is in conflict with any of the objective planning standards, to provide the proponent written documentation of, among other things, which standard or standards the development conflicts with within specific timeframes. The bill would prohibit a local government from imposing any local development standard on any project that is an adaptive reuse that would require alteration of the existing building envelope, except as specified, whether or not the local government has adopted an ordinance. By requiring local governments to implement the streamlined, ministerial review process for adaptive reuse projects, the bill would impose a state -mandated local program. This bill would, except as specified, exempt an adaptive reuse project from all impact fees that are not reasonably related to the impacts resulting from the change of use of the site from nonresidential to residential or mixed use and would require any fees charged to be roughly proportional to the difference in impacts caused by the change of use. This bill would authorize a city or county, or city and county, commencing in the 2026-27 fiscal year, to establish an adaptive reuse investment incentive program to pay adaptive reuse investment incentive funds to the proponent of an adaptive reuse project approved pursuant to the streamlined, ministerial process described above for up to 30 consecutive fiscal years, as specified. The bill would define "adaptive reuse investment incentive funds" to mean an amount up to or equal to the amount of ad valorem property tax revenue allocated to the participating local agency from the taxation of that portion of the total assessed value of the real and personal property of an adaptive reuse project property that is in excess of the qualified adaptive reuse project property's valuation at the time of the proponent's initial request for funding. The bill would define terms for these purposes, and would make findings and declarations related to its provisions. (2) Existing law, the California Environmental Quality Act (CEQA), requires a lead agency, as defined, to prepare, or cause to be prepared, 99 Packet Pg. 233 AB 507 —4— 6.a and certify the completion of, an environmental impact report on a project that it proposes to carry out or approve that may have a significant effect on the environment. CEQA does not apply to the approval of ministerial projects. This bill, by establishing the streamlined, ministerial review process described above, would exempt the approval of adaptive reuse projects subject to those processes from CEQA. The bill would also exempt specified findings regarding industrial uses and ordinances adopted to implement specified provisions from CEQA. (3) 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. (4) 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. 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. The Legislature finds and declares all of the 2 following: 3 (a) Converting vacant commercial space into residential housing, 4 through adaptive reuse, could reduce underutilized and vacant 5 buildings that have been decreasing in value, thereby helping to 6 stabilize the commercial real estate market and filling those spaces 7 with more valuable tax -generating uses. 8 (b) Adaptive reuse projects can increase activity and foot traffic 9 in neighborhoods across the state, which helps support local 10 businesses and enhance the cultural life of cities and towns. l l (c) Adaptive reuse projects create new construction jobs and 12 preserve historic structures. 13 (d) Adaptive reuse projects are more environmentally friendly 14 than new construction by repurposing existing materials, reducing 15 transportation emissions, and preserving embodied carbon. 16 (e) New housing construction, at all affordability levels, can 17 help to mitigate, and eventually reverse, the statewide housing 18 shortage. 99 Packet Pg. 234 —5— AB 507 6.a 1 SEC. 2. Chapter 9 (commencing with Section 51299) is added 2 to Part 1 of Division 1 of Title 5 of the Government Code, to read: 3 4 CHAPTER 9. ADAPTIVE REUSE INVESTMENT INCENTIVE 5 PROGRAM 6 7 51299. It is the intent of the Legislature in enacting this chapter 8 to provide cities and counties with opportunities to adaptively 9 reuse existing buildings, such as office buildings, in order to 10 facilitate their conversion to housing and mixed uses. 11 51299.1. For purposes of this chapter: 12 (a) "Adaptive reuse investment incentive funds" means, with 13 respect to a qualified adaptive reuse project property for a relevant 14 fiscal year, an amount up to or equal to the amount of ad valorem 15 property tax revenue allocated to the participating local agency, 16 excluding the revenue transfers required by Sections 97.2 and 97.3 17 of the Revenue and Taxation Code, from the taxation of that portion 18 of the total assessed value of the real and personal property of an 19 adaptive reuse project property that is in excess of the qualified 20 adaptive reuse project property's valuation at the time of the 21 proponent's initial request for funding. 22 (b) "Program" means an adaptive reuse investment incentive 23 program established pursuant to Section 51299.2. 24 (c) (1) "Proponent" means a party or parties that meet all of 25 the following criteria: 26 (A) The party is named in the application for a permit to 27 construct a qualified adaptive reuse project submitted to the city 28 or county. 29 (B) The party will be the fee owner of the qualified adaptive 30 reuse project property upon the completion of that development. 31 (2) If a proponent that is receiving adaptive reuse investment 32 incentive amounts subsequently leases the qualified adaptive reuse 33 project property to another party, the lease may provide for the 34 payment to that lessee of any portion of adaptive reuse investment 35 incentive funds. A lessee that receives any portion of adaptive 36 reuse investment incentive funds shall also be considered a 37 proponent for the purposes of this chapter. 38 (d) "Qualified adaptive reuse project property" means an 39 adaptive reuse project proposed pursuant to Article 11.5 99 Packet Pg. 235 AB 507 — 6 — 6.a 1 (commencing with Section 65658) of Chapter 3 of Division 1 of 2 Title 7 that is located within the city or county. 3 51299.2. (a) Commencing in the 202627 fiscal year, the 4 governing body of a city or county, or city and county, may, by 5 ordinance or resolution, establish an adaptive reuse investment 6 incentive program pursuant to this chapter. 7 (b) (1) A city or county, or city and county, that establishes a 8 program shall, upon the approval by a majority of the entire 9 membership of its governing body of a written request therefor, 10 pay adaptive reuse investment incentive funds to the proponent of 11 a qualified adaptive reuse project property to subsidize the 12 affordable housing units, as required pursuant to Article 11.5 13 (commencing with Section 65658) of Chapter 3 of Division 1 of 14 Title 7, for up to 30 consecutive fiscal years. Nothing in this 15 paragraph shall prohibit a city or county, or city and county, from 16 paying adaptive reuse investment incentive funds to a proponent 17 pursuant to this paragraph for a period of fewer than 30 years. 18 (2) A request for the payment of adaptive reuse investment 19 incentive funds shall be filed by a proponent in writing with the 20 governing body of the city or county in the time and manner 21 established by that governing body. 22 (c) After a city or county, or city and county, approves a request 23 for the payment of adaptive reuse investment incentive funds, 24 payment of adaptive reuse investment incentive funds shall begin 25 with the first fiscal year that commences after the qualified adaptive 26 reuse property is issued a certificate of occupancy. 27 51299.3. A city or special district may pay to the city or county, 28 or city and county, an amount equal to the amount of ad valorem 29 property tax revenue allocated to that city or special district, but 30 not the actual allocation, derived from the taxation of that portion 31 of the total assessed value of that real property that is in excess of 32 the property's valuation at the time of the proponent's initial 33 request for funding, for the purpose of subsidizing the affordable 34 housing units required pursuant to Article 11.5 (commencing with 35 Section 65658) of Chapter 3 of Division 1 of Title 7. 36 SEC. 3. Article 11.5 (commencing with Section 65658) is 37 added to Chapter 3 of Division 1 of Title 7 of the Government 38 Code, to read: 99 Packet Pg. 236 — 7 — AB 507 6.a 1 Article 11.5. Office to Housing Conversion Act 2 3 65658. This article may be cited as the Office to Housing 4 Conversion Act. 5 65658.1. For purposes of this article: 6 (a) (1) "Adaptive reuse project" means the retrofitting and 7 repurposing of an existing building to create new residential or 8 mixed uses including office conversion projects. 9 (2) "Adaptive reuse project" shall not include any of the 10 following: 1 1 (A) The retrofitting and repurposing of any industrial use, unless 12 the planning director or equivalent position finds, based on 13 substantial evidence in the record, that the building is no longer 14 economically viable for industrial use or uses. A finding described 15 in this subparagraph that a building for industrial use is no longer 16 economically viable shall not be considered a "project" under the 17 California Environmental Quality Act (Division 13 (commencing 18 with Section 21000) of the Public Resources Code). 19 (B) The retrofitting and repurposing of any hotels, or any 20 mixed -use buildings that contain hotel use, except if they have 21 been discontinued for a minimum of five years from the date on 22 which this article becomes operative. 23 (b) "Adjacent portion of the project" means the portion of the 24 project located on a site adjacent to and attached to the proposed 25 repurposed existing building, including on the same parcel as the 26 proposed repurposed existing building. 27 (c) `Broadly applicable housing affordability requirement" 28 means a local ordinance or other regulation that requires a 29 minimum percentage of affordable units and that applies to a 30 variety of housing development types or entitlement pathways. 31 (d) "Impact fee" means any fee imposed pursuant to Chapter 5 32 (commencing with Section 66000). 33 (e) "Industrial use" means utilities, manufacturing, transportation 34 storage and maintenance facilities, warehousing uses, and any 35 other use that is a source that is subject to permitting by a district, 36 as defined in Section 39025 of the Health and Safety Code, 37 pursuant to Division 26 (commencing with Section 39000) of the 38 Health and Safety Code or the federal Clean Air Act (42 U.S.C. 39 Sec. 7401 et seq.). "Industrial use" does not include any of the 40 following: 99 Packet Pg. 237 AB 507 — 8 — 6.a 1 (1) Power substations or utility conveyances such as power 2 lines, broadband wires, and pipes. 3 (2) A use where the only source permitted by a district is an 4 emergency backup generator. 5 (3) Self -storage for the residents of a building. 6 (f) "Historical resource" means the same as defined in 7 subdivision 0) of Section 5020.1 of the Public Resources Code, 8 or a resource listed in the California Register of Historical 9 Resources as described in Section 5024.1 of the Public Resources 10 Code. l l (g) "Local affordable housing requirement" means either of the 12 following: 13 (1) A local government requirement that a housing development 14 project include a certain percentage of units affordable to, and 15 occupied by, extremely low, very low, lower, or moderate -income 16 households as a condition of development of residential units. 17 (2) A local government requirement allowing a housing 18 development project to be a use by right if the project includes a 19 certain percentage of units affordable to, and occupied by, 20 extremely low, very low, lower, or moderate -income households 21 as a condition of development of residential units. 22 (h) "Local government" means a city, including a charter city, 23 a county, including a charter- county, or a city and county, including 24 a charter city and county. 25 (1) "Mixed use" means residential uses combined with at least 26 one other land use, but not including any industrial use. 27 0) "Office conversion project" means the conversion of a 28 building used for office purposes or a vacant office building into 29 residential dwelling units. 30 (k) "Persons and families of low or moderate income" means 31 the same as defined in Section 50093 of the Health and Safety 32 Code. 33 (1) "Phase I environmental assessment" means the same as 34 defined in Section 78090 of the Health and Safety Code. 35 (m) "Phase II environmental assessment" means the same as 36 defined in Section 25403 of the Health and Safety Code. 37 (n) "Preliminary endangerment assessment" means the same as 38 defined in Section 78095 of the Health and Safety Code. 39 (o) "Residential uses" includes, but is not limited to, housing 40 units, dormitories, boarding houses, group housing, and other 99 Packet Pg. 238 — 9 — AB 507 6.a 1 congregate residential uses. "Residential uses" does not include 2 prisons or jails. 3 (p) "Urban uses" has the same meaning as defined in Section 4 65912.101. 5 (q) "Use by right" means that the city's or county's review of 6 the adaptive reuse project may not require a conditional use permit, 7 planned unit development permit, or other discretionary city or 8 county review or approval that would constitute a "project" for 9 purposes of Division 13 (commencing with Section 21000) of the 10 Public Resources Code. Any subdivision of the sites shall be 1 1 subject to all laws, including, but not limited to, a city or county 12 ordinance implementing the Subdivision Map Act (Division 2 13 (commencing with Section 66410)). 14 65658.3. (a) A local government may adopt an ordinance to 15 implement this article and specify the process and requirements 16 applicable to adaptive reuse projects, provided that the ordinance 17 is consistent with, and does not inhibit the objectives of, this article. 18 (b) An ordinance adopted pursuant to subdivision (a) shall not 19 be considered a "project" under the California Environmental 20 Quality Act (Division 13 (commencing with Section 21000) of 21 the Public Resources Code). 22 (c) A local agency that has not adopted an ordinance governing 23 adaptive reuse pursuant to subdivision (a) shall ministerially 24 without discretionary review approve or disapprove applications 25 the local agency receives for a permit to create or serve an adaptive 26 reuse project pursuant to this article. 27 (d) Notwithstanding Section 65455, any zoning ordinance 28 authorizing adaptive reuse projects may be adopted or amended 29 even if it is inconsistent with the adopted specific plan, and any 30 conflicting provisions authorizing adaptive reuse projects in the 31 zoning ordinance shall supersede the conflicted provisions in the 32 specific plan. 33 (e) Nothing in this article is intended to preempt the adoption 34 and implementation of a local ordinance that provides alternative 35 procedures and substantive requirements for adaptive reuse 36 projects, provided that the local ordinance does not prohibit an 37 applicant from electing to pursue an adaptive reuse project under 38 this article or under any ordinance adopted to implement this 39 article. 99 Packet Pg. 239 AB 507 —10 — 6.a 1 65658.4. The Legislature finds and declares that this article 2 addresses a matter of statewide concern rather than a municipal 3 affair as that term is used in Section 5 of Article XI of the 4 California Constitution. Therefore, this article applies to all cities, 5 including charter cities. 6 65658.5. (a) An adaptive reuse project that meets the 7 requirements of subdivision (b) shall be deemed a use by right in 8 all zones, regardless of the zoning of the site, and subject to the 9 streamlined, ministerial review process described in Section 10 65658.8, except that both of the following conditions apply: l l (1) Any nonresidential uses of a proposed mixed -use adaptive 12 reuse project shall be consistent with the land uses allowed by the 13 zoning or a continuation of an existing zoning nonconforming use. 14 (2) Any tourist hotel uses of a proposed adaptive reuse project 15 shall be subject to the existing approval processes required by that 16 local jurisdiction. 17 (b) An adaptive reuse project shall comply with all of the 18 following requirements: 19 (1) The adaptive reuse project and the site on which it is located 20 shall satisfy both of the following: 21 (A) it is a legal parcel or parcels located in a city if, and only 22 if, the city boundaries include some portion of an urbanized area, 23 as designated by the United States Census Bureau, or, for 24 unincorporated areas, a legal parcel or parcels wholly within the 25 boundaries of an urbanized area, as designated by the United States 26 Census Bureau. 27 (B) At least 75 percent of the perimeter of the site adjoins parcels 28 that are developed with urban uses. For the purposes of this section, 29 parcels that are separated by a street, highway, or any other 30 right-of-way shall be considered to be adjoined. 31 (2) The adaptive reuse project is proposed for any of the 32 following, as applicable: 33 (A) The project is proposed for an existing building that is less 34 than 50 years old. 35 (B) The project is proposed for an existing building that is listed 36 on a local, state, or federal register of historic resources and the 37 adaptive reuse project proponent complies with Section 65658.7. 38 (C) The project is proposed for an existing building that is more 39 than 50 years old and the local government has evaluated the site 99 Packet Pg. 240 —11— AB 507 6.a 1 through a preliminary application submitted pursuant to subdivision 2 (a) of Section 65658.7 and either of the following are satisfied: 3 (i) The local government determines that the building or site is 4 a historic resource and the adaptive reuse project proponent 5 complies with Section 65658.7. 6 (ii) The local government determines that the building or site 7 is not a historic resource. 8 (3) The adaptive reuse project meets the following affordability 9 criteria, as applicable: 10 (A) (i) An adaptive reuse project for rental housing shall include 11 either of the following: 12 (I) Eight percent of the units for very low income households 13 and 5 percent of the units for extremely low income households. 14 (II) Fifteen percent of the units for lower income households. 15 (ii) The development proponent shall agree to, and the local 16 government shall require, the continued affordability of all 17 affordable rental units included pursuant to this subdivision through 18 a recorded affordability restriction for a period of 55 years. Rents 19 shall be set at an affordable rent, as defined in Section 50053 of 20 the Health and Safety Code. 21 (B) (i) An adaptive reuse project for owner -occupied housing 22 shall comply with either of the following: 23 (1) Thirty percent of the units shall be offered at an affordable 24 housing cost, as defined in Section 50052.5 of the Health and 25 Safety Code, to moderate -income households. 26 (II) Fifteen percent of the units shall be offered at an affordable 27 housing cost, as defined in Section 50052.5 of the Health and 28 Safety Code, to lower income households. 29 (ii) The development proponent shall agree to, and the local 30 government shall require, the continued affordability of all 31 affordable ownership units through a recorded affordability 32 restriction for a period of 45 years. 33 (C) If the local government has a local affordable housing 34 requirement, the housing development project shall comply with 35 all of the following: 36 (1) The development project shall include the percentage of 37 affordable units required by this section or the local requirement, 38 whichever is higher. 39 (ii) The development project shall meet the lowest income 40 targeting required by either this section or the local requirement. 99 Packet Pg. 241 AB 507 —12 — 6.a 1 (iii) If the local affordable housing requirement requires greater 2 than 15 percent of the units to be dedicated for lower income 3 households and does not require the inclusion of units affordable 4 to very low and extremely low income households, then the rental 5 housing development shall do both of the following: 6 (1) Include 8 percent of the units for very low income households 7 and 5 percent of the units for extremely low income households. 8 (II) Fifteen percent of units affordable to lower income 9 households shall be subtracted from the percentage of units 10 required by the local policy at the highest required affordability 1 1 level. 12 (D) Affordable units in the development project shall have the 13 same bedroom and bathroom count ratio as the market rate units, 14 be equitably distributed within the project, and have the same type 15 or quality of appliances, fixtures, and finishes. 16 (4) If the adaptive reuse project includes mixed uses, at least 17 one-half of the square footage of the adaptive reuse project shall 18 be dedicated to residential uses. For purposes of this subparagraph, 19 square footage of the project does not include underground space, 20 including basements or underground parking garages. 21 (5) (A) The local government shall, as a condition of approval 22 of the development, require the development proponent to complete 23 a Phase I environmental assessment. 24 (B) If a recognized environmental condition is found, the 25 development proponent shall undertake a preliminary 26 endangerment assessment, as defined in Section 78095 of the 27 Health and Safety Code, prepared by an environmental assessor 28 to determine the existence of any release of a hazardous substance 29 on the site and to determine the potential for exposure of future 30 occupants to significant health hazards from any nearby property 31 or activity. 32 (1) If a release of a hazardous substance is found to exist on the 33 site, before the local government issues a certificate of occupancy, 34 the release shall be removed, or any significant effects of the 35 release shall be mitigated to a level of insignificance in compliance 36 with current state and federal requirements. 37 (ii) If a potential for exposure to significant hazards from 38 surrounding properties or activities is found to exist, before the 39 local government issues a certificate of occupancy, the effects of 99 Packet Pg. 242 —13 — AB 507 6.a 1 the potential exposure shall be mitigated to a level of insignificance 2 in compliance with current state and federal requirements. 3 (6) (A) The adaptive reuse project complies with all objective 4 planning standards found in an ordinance adopted pursuant to 5 Section 65658.3. 6 (B) A local government shall not impose any local development 7 standard on any project that is an adaptive reuse project pursuant 8 to this article that would require alteration of the existing building 9 envelope, except if required by any applicable local building code, 10 regardless of whether the local government has adopted an 1 1 ordinance pursuant to Section 65658.3. 12 (7) The acreage of the project site is 20 acres or less. 13 (c) An adaptive reuse project that meets all the requirements of 14 subdivision (b) may include rooftop structures that exceed any 15 applicable height limitation imposed by the local government, 16 provided that the rooftop structure does not exceed one story and 17 is used for shared amenities or equipment, including, but not 18 limited to, shared cooking facilities, exercise facilities, common 19 area lounges, or mechanical and stair penthouse facilities. 20 (d) (1) Parking shall not be required for the portion of a project 21 consisting of a building subject to adaptive reuse that does not 22 have existing onsite parking. 23 (2) This article shall not reduce, eliminate, or preclude the 24 enforcement of any requirement imposed on a new multifamily 25 residential or nonresidential development to provide bicycle 26 parking, if feasible. 27 (3) This article shall not reduce, eliminate, or preclude the 28 enforcement of any requirement imposed on a project that includes 29 existing onsite parking to provide electric vehicle supply equipment 30 installed parking spaces or parking spaces that are accessible to 31 persons with disabilities that would have otherwise applied to the 32 development if this section did not apply. 33 (e) An adaptive reuse project shall not violate the terms of any 34 conservation easement applicable to the site. 35 (f) (1) Ahousing development proposed pursuant to this article 36 shall be eligible for a density bonus, incentives or concessions, 37 waivers or reductions of development standards, and parking ratios 38 pursuant to Section 65915. 39 (2) For the purpose of calculating a density bonus for a project 40 proposed pursuant to this article, the base density of an adaptive 99 Packet Pg. 243 AB 507 —14 — 6.a 1 reuse project shall be the density proposed by the developer, 2 including the portion of a project consisting of a building with a 3 proposed change in use and any adjacent portion of the project, 4 notwithstanding any general plan density limit as described in 5 paragraph (6) of subdivision (o) of Section 65915. 6 (3) The affordability criteria described in paragraph (3) of 7 subdivision (b) shall apply to the base density of the project, and 8 shall not apply to any bonus units proposed pursuant to Section 9 65915. 10 (g) A housing development proposed to adaptively reuse a 11 building shall not be eligible for a density bonus waiver or 12 incentive that has the effect of increasing the height of the 13 adaptively reused building above what is allowed under subdivision 14 (c). 15 65658.6. (a) An adaptive reuse project that satisfies the 16 requirements of Section 65658.5 may include the development of 17 new residential or mixed -use structures on undeveloped areas and 18 parking areas located on the same parcel as the proposed 19 repurposed building, or on the parcels adjacent to the proposed 20 adaptive reuse project site if all of the following requirements are 21 met: 22 (1) The adjacent portion of the project complies with the 23 requirements of any of the following: 24 (A) The requirements of paragraphs (5) and (8) of subdivision 25 (a) of Section 65913.4. 26 (B) The requirements of the Affordable Housing and High Road 27 Jobs Act of 2022 (Chapter 4.1 (commencing with Section 28 65912.100)), including the labor standards for construction workers 29 in the act. 30 (C) The requirements of the Middle Class Housing Act of 2022 31 (Section 65852.24), including the labor standards for construction 32 workers in the act. 33 (2) The adjacent portion of the project is located on a parcel 34 that satisfies the requirements specified in subparagraphs (A) and 35 (B) of paragraph (2) of subdivision (a) of Section 65913.4. 36 (3) The adjacent portion of the project is located on a parcel 37 that satisfies the requirements specified in paragraph (6) of 38 subdivision (a) of Section 65913.4, exclusive of clause (iv) of 39 subparagraph (A), and subparagraph (K), of that paragraph. 99 Packet Pg. 244 —15 — AB 507 6.a 1 (4) The adjacent portion of the project is located on a parcel 2 that satisfies the requirements specified in paragraph (7) of 3 subdivision (a) of Section 65913.4. 4 (5) The applicant and local agency comply with the requirements 5 of subdivision (b) of Section 65913.4. 6 (6) Any existing open space on the proposed project site is not 7 a historic resource. 8 (b) The adjacent portion of the project shall be eligible for a 9 density bonus, incentives or concessions, waivers or reductions of 10 development standards, and parking ratios pursuant to Section 11 65915. 12 65658.7. (a) (1) Before submitting an application for an 13 adaptive reuse project pursuant to Section 65658.5 for a structure 14 that is more than 50 years old and not listed on a local, state, or 15 federal register of historic resources, the development proponent 16 shall submit to the local government a notice of its intent to submit 17 an application. The notice of intent shall be in the form of a 18 preliminary application that includes all of the information 19 described in Section 65941.1. 20 (2) Upon receipt of a notice of intent to submit an application 21 described in subdivision (a), the local government shall evaluate 22 the project site for historical resources. The local government shall 23 make ahistoric resource significance determination within 90 days 24 of submission of the notice of intent for purposes of paragraph (1) 25 of subdivision (b) of Section 65658.5. 26 (3) Submission of a notice of intent pursuant to this section does 27 not constitute owner consent for determination of eligibility for 28 the California or national registers of historic places. Any 29 determination of historic resource significance made pursuant to 30 this subdivision shall apply only for the purposes of this article 31 and shall not affect or be applicable to any other law. 32 (b) If the adaptive reuse project is proposed for an existing 33 building that is listed on a local, state, or federal register of historic 34 resources or if the local government has determined that the project 35 site is a significant historic resource pursuant to subdivision (a), 36 the adaptive reuse project proponent shall sign an affidavit 37 declaring that the project will only move forward if it complies 38 with either of the following: 39 (1) The United States Secretary of the Interior's Standards for 40 Rehabilitation, as found in Part 67 of Title 36 of the Code of 99 Packet Pg. 245 AB 507 —16 — 6.a 1 Federal Regulations, for the preservation of exterior facades of a 2 building that face a street, interior facades of a building that face 3 a courtyard, and interior spaces of a building that are publicly 4 accessible and character defining, including ground floor lobbies. 5 Exterior facades that do not face a street, interior facades that do 6 not face a courtyard, and interior spaces that are not publicly 7 accessible and character defining may be modified without regard 8 to the United States Secretary of the Interior's Standards for 9 Rehabilitation. 10 (2) The project is awarded federal historic rehabilitation tax 1 1 credits pursuant to Section 47 of the Internal Revenue Code, or 12 state historic rehabilitation tax credits pursuant to Section 17053.91 13 or 23691 of the Revenue and Taxation Code. 14 (c) (1) (A) Notwithstanding subdivision (b), if the adaptive 15 reuse project is proposed for a site that is listed on a local, state, 16 or federal historic register and the adaptive reuse project proponent 17 does not sign an affidavit pursuant to subdivision (b), the local 18 government shall process the adaptive reuse project pursuant to 19 Section 65658.8, but the local government may deny or 20 conditionally approve the project if the local government makes 21 a finding, based upon a preponderance of evidence in the record, 22 that the project will cause a significant adverse impact to historic 23 resources. 24 (B) A local agency may impose conditions of approval to 25 mitigate impacts to historic resources and to comply with the 26 United States Secretary of the Interior's Standards for 27 Rehabilitation, as found in Part 67 of Title 36 of the Code of 28 Federal Regulations, for the preservation of exterior facades of a 29 building that face a street and interior spaces of a building that are 30 publicly accessible and character defining, including ground floor 31 lobbies, but shall not impose other conditions of approval. Exterior 32 facades that do not face a street and interior spaces that are not 33 publicly accessible and character defining shall not be required to 34 be preserved according to the United States Secretary of the 35 Interior's Standards for Rehabilitation. 36 (2) An adaptive reuse project pursuant to this section shall not 37 constitute a "project" for purposes of Division 13 (commencing 38 with Section 21000) of the Public Resources Code. 39 (d) For the purposes of this article, a local government's 40 evaluation of a site for historical resources and review of an 99 Packet Pg. 246 —17 — AB 507 6.a 1 adaptive reuse project for consistency with the United States 2 Secretary of the Interior's Standards for Rehabilitation shall be 3 conducted by a person who meets the United States Secretary of 4 the Interior's Professional Qualifications Standards, as published 5 in Part 67 (commencing with Section 67.1) of Title 36 of the Code 6 of Federal Regulations. Any revised professional qualifications 7 standards adopted by the Secretary of the Interior that supersede 8 the standards described in this paragraph shall apply. 9 65658.8. (a) (1) Notwithstanding any local law, if a local 10 government's planning director or equivalent position determines 1 1 that an adaptive reuse project submitted pursuant to this article is 12 consistent with the objective planning standards specified in 13 Section 65658.5 and Section 65658.6, if applicable, the local 14 government shall approve the adaptive reuse project within the 15 following timefi-ames: 16 (A) Within 60 days of the date that the project has been deemed 17 consistent pursuant to this paragraph and paragraph (2), if the 18 project contains 150 or fewer housing units. 19 (B) Within 90 days of the date that the project has been deemed 20 consistent pursuant to this paragraph and paragraph (2), if the 21 project contains more than 150 housing units. 22 (2) Upon a determination that an adaptive reuse project 23 submitted pursuant to this section is in conflict with any of the 24 objective planning standards specified in Section 65658.5 or 25 Section 65658.6, if applicable, the local government staff or 26 relevant local planning and permitting department that made the 27 determination shall provide the development proponent written 28 documentation of which standard or standards the development 29 conflicts with, and an explanation for the reason or reasons the 30 development conflicts with that standard or standards within the 31 following timeframes: 32 (A) Within 60 days of submittal of the adaptive reuse project 33 to the local government pursuant to this section if the project 34 contains 150 or fewer housing units. 35 (B) Within 90 days of submittal of the adaptive reuse project 36 to the local government pursuant to this section if the project 37 contains more than 150 housing units. 38 (C) Within 30 days of submittal of any adaptive reuse project 39 that was resubmitted to the local government following a 99 Packet Pg. 247 AB 507 —18 — 6.a 1 determination of a conflict with one or more objective planning 2 standards pursuant to this paragraph. 3 (3) if the local government's planning director or equivalent 4 position fails to provide the required documentation pursuant to 5 paragraph (2), the adaptive reuse project shall be deemed to satisfy 6 the objective planning standards specified in Section 65658.5 and 7 Section 65658.6, if applicable. 8 (4) For purposes of this section, an adaptive reuse project is 9 consistent with the objective planning standards specified in 10 Section 65658.5 and Section 65658.6, if applicable, if there is 11 substantial evidence that would allow a reasonable person to 12 conclude that the project is consistent with the objective planning 13 standards. The local government shall not determine that an 14 adaptive reuse project, including an application for a modification 15 under subdivision (f), is in conflict with the objective planning 16 standards on the basis that application materials are not included, 17 if the application contains substantial evidence that would allow 18 a reasonable person to conclude that the project is consistent with 19 the objective planning standards. 20 (5) Upon submittal of an application for streamlined, ministerial 21 approval pursuant to this section to the local government, all 22 departments of the local government that are required to issue an 23 approval of the adaptive reuse project before the granting of an 24 entitlement shall comply with the requirements of this section 25 within the time periods specified in paragraphs (1) and (2). 26 (b) (1) (A) Any design review of the project maybe conducted 27 by the local government's planning commission or any equivalent 28 board or commission responsible for design review. That design 29 review shall be objective and be strictly focused on assessing 30 compliance with the criteria required for streamlined projects. That 31 design review shall not in any way inhibit, chill, or preclude the 32 ministerial approval provided by this article. 33 (B) Any design review for the adjacent portion of the project 34 shall be objective and be strictly focused on assessing compliance 35 with the objective criteria required for streamlined projects, 36 including, as applicable, those for new exterior additions to historic 37 buildings described in Preservation Brief 14: New Exterior 38 Additions to Historic Buildings: Preservation Concerns released 39 by the National Park Service within the United States Department 40 of the Interior. 99 Packet Pg. 248 —19 — AB 507 6.a 1 (2) If the adaptive reuse project is consistent with the 2 requirements of Section 65658.5 and Section 65658.6, if applicable, 3 and is consistent with all objective subdivision standards in the 4 local subdivision ordinance, an application for a subdivision 5 pursuant to the Subdivision Map Act (Division 2 (commencing 6 with Section 66410)) shall be exempt from the requirements of 7 the California Environmental Quality Act (Division 13 8 (commencing with Section 21000) of the Public Resources Code) 9 and shall be subject to the public oversight timelines set forth in 10 paragraph (1). 1 1 (c) (1) Notwithstanding any law, a local government, whether 12 or not it has adopted an ordinance governing automobile parking 13 requirements in multifamily developments, shall not impose 14 automobile parking standards for an adjacent portion of the project 15 that was approved pursuant to this article in any of the following 16 instances: 17 (A) The adjacent portion of the project is located within one-half 18 mile of public transit. 19 (B) The adjacent portion of the project is located within an 20 architecturally and historically significant historic district. 21 (C) When on -street parking permits are required but not offered 22 to the occupants of the adjacent portion of the project. 23 (D) When there is a cat- share vehicle located within one block 24 of the adjacent portion of the project. 25 (2) If the adjacent portion of the project does not fall within any 26 of the categories described in paragraph (1), the local government 27 shall not impose automobile parking requirements for the adjacent 28 portion of the project approved pursuant to this article that exceed 29 one parking space per unit. 30 (d) Notwithstanding any other law, a local government shall 31 not require any of the following prior to approving an adaptive 32 reuse project that meets the requirements of this article: 33 (1) Studies, information, or other materials that do not pertain 34 directly to determining whether the adaptive reuse project is 35 consistent with the objective planning standards applicable to the 36 development. 37 (2) (A) Compliance with any standards necessary to receive a 38 postentitlement permit. 39 (B) This paragraph does not prohibit a local agency from 40 requiring compliance with any standards necessary to receive a 99 Packet Pg. 249 AB 507 — 20 — 6.a 1 postentitlement permit after a permit has been issued pursuant to 2 this section. 3 (C) For purposes of this paragraph, "postentitlement permit" 4 has the same meaning as provided in subparagraph (A) of 5 paragraph (3) of subdivision 0) of Section 65913.3. 6 (e) (1) If a local government approves an adaptive reuse project 7 pursuant to this article, then, notwithstanding any other law, that 8 approval shall not expire if the project satisfies both of the 9 following requirements: 10 (A) The project includes public investment in housing 1 1 affordability, beyond tax credits. 12 (B) At least 20 percent of the units are affordable to households 13 making at or below 80 percent of the area median income. 14 (2) (A) If a local government approves an adaptive reuse project 15 pursuant to this article, and the project does not satisfy the 16 requirements of subparagraphs (A) and (B) of paragraph (1), that 17 approval shall remain valid for three years from the date of the 18 final action establishing that approval, or if litigation is filed 19 challenging that approval, from the date of the final judgment 20 upholding that approval. Approval shall remain valid for a project 21 provided construction activity, including demolition and grading 22 activity, on the development site has begun pursuant to a permit 23 issued by the local jurisdiction and is in progress. For purposes of 24 this subdivision, "in progress" means one of the following: 25 (1) Construction has begun and has not ceased for more than 26 365 days. 27 (ii) If the project requires multiple building permits, an initial 28 phase has been completed, and the project proponent has applied 29 for and is diligently pursuing a building permit for a subsequent 30 phase, provided that once it has been issued, the building permit 31 for the subsequent phase does not lapse. 32 (B) Notwithstanding subparagraph (A), a local government may 33 grant a project a one-time, one-year extension if the project 34 proponent can provide documentation that there has been 35 significant progress toward getting the adaptive reuse project 36 construction ready, such as filing a building permit application. 37 (3) If the qualified adaptive reuse project proponent requests a 38 modification pursuant to subdivision (f), then the time during which 39 the approval shall remain valid shall be extended for the number 40 of days between the submittal of a modification request and the 99 Packet Pg. 250 — 21— AB 507 6.a 1 date of its final approval, plus an additional 180 days to allow time 2 to obtain a building permit. If litigation is filed relating to the 3 modification request, the time shall be further extended during the 4 pendency of the litigation. The extension required by this paragraph 5 shall only apply to the first request for a modification submitted 6 by the development proponent. 7 (f) (1) (A) A development proponent may request a 8 modification to a qualified adaptive reuse project that has been 9 approved under the streamlined approval process provided in this 10 article if that request is submitted to the local government before 1 1 the issuance of the final building permit required for construction 12 of the adaptive reuse project. 13 (B) Except as provided in paragraph (3), the local government 14 shall approve a modification if it determines that the modification 15 is consistent with the objective planning standards specified in 16 subdivision (a) that were in effect when the original adaptive reuse 17 project application was first submitted. 18 (C) The local government shall evaluate any modifications 19 requested pursuant to this subdivision for consistency with the 20 objective planning standards using the same assumptions and 21 analytical methodology that the local government originally used 22 to assess consistency for the adaptive reuse project that was 23 approved for streamlined, ministerial approval pursuant to 24 subdivision (a). 25 (2) Upon receipt of the adaptive reuse project proponent's 26 application requesting a modification, the local government shall 27 determine if the requested modification is consistent with the 28 objective planning standard and either approve or deny the 29 modification request within 60 days after submission of the 30 modification, or within 90 days if design review is required. 31 (3) Notwithstanding paragraph (1), the local government may 32 apply objective planning standards to an adjacent portion of the 33 project adopted after the project application was first submitted to 34 the requested modification in any of the following instances: 35 (A) The adjacent portion of the project is revised such that the 36 total number of residential units or total square footage of 37 construction changes by 15 percent or more. The calculation of 38 the square footage of construction changes shall not include 39 underground space. 99 Packet Pg. 251 AB 507 — 22 — 6.a 1 (B) The adjacent portion of the project is revised such that the 2 total number of residential units or total square footage of 3 construction changes by 5 percent or more and it is necessary to 4 subject the project to an objective standard beyond those in effect 5 when the project application was submitted in order to mitigate or 6 avoid a specific, adverse impact, as that term is defined in 7 subparagraph (A) of paragraph (1) of subdivision 0) of Section 8 65589.5, upon the public health or safety and there is no feasible 9 alternative method to satisfactorily mitigate or avoid the adverse 10 impact. The calculation of the square footage of construction 1 1 changes shall not include underground space. 12 (C) Objective building standards contained in the California 13 Building Standards Code (Title 24 of the California Code of 14 Regulations) or the California Historical Building Code (Part 8 of 15 Title 24 of the California Code of Regulations), including, but not 16 limited to, building plumbing, electrical, fire, and grading codes, 17 may be applied to all modification applications that are submitted 18 prior to the first building permit application. Those standards may 19 be applied to modification applications submitted after the first 20 building permit application if agreed to by the development 21 proponent. 22 (4) The local government's review of a modification request 23 pursuant to this subdivision shall be strictly limited to determining 24 whether the modification, including any modification to previously 25 approved density bonus concessions or waivers, renders the project 26 inconsistent with the applicable objective planning standards and 27 shall not reconsider prior determinations that are not affected by 28 the modification. 29 65658.9. (a) A local government shall issue a subsequent 30 permit required for an adaptive reuse project approved under this 31 article if the application substantially complies with the project as 32 it was approved pursuant to Section 65658.8. Upon receipt of an 33 application for a subsequent permit, the local government shall 34 process the permit without unreasonable delay and shall not impose 35 any procedure or requirement that is not imposed on projects that 36 are not approved pursuant to this article. The local government 37 shall consider the application for subsequent permits based upon 38 the applicable objective standards specified in any state or local 39 laws that were in effect when the original adaptive reuse project 40 application was submitted, unless the proponent agrees to a change 99 Packet Pg. 252 — 23 — AB 507 6.a 1 in objective standards. Issuance of subsequent permits shall 2 implement the approved project, and review of the permit 3 application shall not inhibit, chill, or preclude the adaptive reuse 4 project. For purposes of this paragraph, a "subsequent permit" 5 means a permit required subsequent to receiving approval under 6 subdivision (a) of Section 65658.8, and includes, but is not limited 7 to, demolition, grading, encroachment, and building permits and 8 final maps. 9 (b) (1) If a public improvement is necessary to implement a 10 project subject to this article, including, but not limited to, a bicycle 1 1 lane, sidewalk or walkway, public transit stop, driveway, street 12 paving or overlay, a curb or gutter, a modified intersection, a street 13 sign or street light, landscape or hardscape, an aboveground or 14 underground utility connection, a water line, fire hydrant, storm 15 or sanitary sewer connection, retaining wall, and any related work, 16 and that public improvement is located on land owned by the local 17 government, to the extent that the public improvement requires 18 approval from the local government, the local government shall 19 not exercise its discretion over any approval relating to the public 20 improvement in a manner that would inhibit, chill, or preclude the 21 project. 22 (2) If an application for a public improvement described in 23 paragraph (1) is submitted to a local government, the local 24 government shall do all of the following: 25 (A) Consider the application based upon any objective standards 26 specified in any state or local laws that were in effect when the 27 original adaptive reuse project application was submitted. 28 (B) Conduct its review and approval in the same manner as it 29 would evaluate the public improvement if required by a project 30 that is not eligible to receive ministerial or streamlined approval 31 pursuant to this section. 32 (3) If an application for a public improvement described in 33 paragraph (1) is submitted to a local government, the local 34 government shall not do either of the following: 35 (A) Adopt or impose any requirement that applies to a project 36 solely or partially on the basis that the project is eligible to receive 37 ministerial or streamlined approval pursuant to this article. 38 (B) Unreasonably delay in its consideration, review, or approval 39 of the application. 99 Packet Pg. 253 AB 507 — 24 — 6.a 1 (c) Nothing in this article shall be interpreted to limit the 2 applicability of Section 65913.3. 3 65658.10. (a) A local government shall not adopt or impose 4 any requirement, including, but not limited to, increased fees or 5 inclusionary housing requirements, that applies to a project solely 6 or partially on the basis that the project is eligible to receive 7 ministerial or streamlined approval pursuant to this article. 8 (b) This article shall not affect a project proponent's ability to 9 use any alternative streamlined by right permit processing adopted 10 by a local government. 11 (c) Any project that qualifies as an adaptive reuse project 12 pursuant to this article shall also qualify as a housing development 13 project entitled to the protections of Section 65589.5. 14 (d) Alterations to an existing building necessary to comply with 15 local code, the California Building Standards Code (Title 24 of 16 the California Code of Regulations), or the California Historical 17 Building Code (Part 8 of Title 24 of the California Code of 18 Regulations) shall not disqualify a qualified adaptive reuse proj ect 19 from the streamlined, ministerial review process established under 20 this article. 21 65658.11. (a) Notwithstanding any other law, an adaptive 22 reuse project shall be exempt from all impact fees that are not 23 reasonably related to the impacts resulting from the change of use 24 of the site from nonresidential to residential or mixed use. Any 25 fees charged shall be roughly proportional to the difference in 26 impacts caused by the change of use. 27 (b) This section shall not apply to any adjacent portion of the 28 project. 29 SEC. 4. No reimbursement is required by this act pursuant to 30 Section 6 of Article XIIIB of the California Constitution because 31 a local agency or school district has the authority to levy service 32 charges, fees, or assessments sufficient to pay for the program or 33 level of service mandated by this act or because costs that may be 34 incurred by a local agency or school district will be incurred 35 because this act creates a new crime or infraction, eliminates a 36 crime or infraction, or changes the penalty for a crime or infraction, 37 within the meaning of Section 17556 of the Government Code, or 99 X as m Packet Pg. 254 — 25 — AB 507 6.a 1 changes the definition of a crime within the meaning of Section 6 2 of Article XIII B of the California Constitution. 99 X d H m Packet Pg. 255 6.b CALIFORNIA LEGISLATURE-2025-26 REGULAR SESSION ASSEMBLY BILL No. 893 Introduced by Assembly Member Fong February 19, 2025 An act to amend Sections 65912.101, 65912.104, 65912.121, 65912.122, and 65912.123 of the Government Code, relating to housing. LEGISLATIVE COUNSEL'S DIGEST AB 893, as introduced, Fong. Housing development projects: objective standards: campus development zone. Existing law, the Affordable Housing and High Road Jobs Act of 2022, until January 1, 2033, authorizes a development proponent to submit an application for an affordable housing development or a mixed -income housing development that meets specified objective standards and affordability and site criteria, including being located within a zone where office, retail, or parking are a principally permitted use. The act makes a development that meets those objective standards and affordability and site criteria a use by right and subject to one of 2 streamlined, ministerial review processes depending on, among other things, the affordability requirements applicable to the project. The act requires the Department of Housing and Community Development to undertake at least 2 studies, one completed on or before January 1, 2027, and one completed on or before January 1, 2031, on the outcomes of the act. This bill would expand the eligibility for the above -described streamlined, ministerial approval to include developments located in a campus development zone, as defined, as long as the development meets certain affordability requirements and objective standards, as provided. The bill would require the outcomes of projects built under campus 99 Packet Pg. 256 AB 893 —2— 6.b development zones to be reported in the January 1, 2031, outcomes report. The bill would also make related findings and declarations. The California Environmental Quality Act (CEQA) requires a lead agency, as defined, to prepare, or cause to be prepared, and certify the completion of, an environmental impact report on a project that it proposes to carry out or approve that may have a significant effect on the environment or to adopt a negative declaration if it finds that the project will not have that effect. CEQA also requires a lead agency to prepare a mitigated negative declaration for a project that may have a significant effect on the environment if revisions in the project would avoid or mitigate that effect and there is no substantial evidence that the project, as revised, would have a significant effect on the environment. CEQA does not apply to the approval of ministerial projects. By expanding the scope of projects eligible for streamlined, ministerial approval as described above, this bill would expand the scope of the exemption from CEQA for ministerial projects. By changing the criteria local agencies must follow for the approval of certain development projects, 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. (a) The Legislature finds and declares all of the 2 following: 3 (1) The state is experiencing a widespread student housing crisis, 4 which has been caused by the shortage of housing units on and 5 around university and college campuses. 6 (2) Housing costs represent a significant proportion of the cost 7 of attendance of California's public and private higher education 8 institutions, and the lack of housing for students represents a 9 significant barrier to academic achievement. 99 Packet Pg. 257 —3— AB 893 6.b 1 (3) Efforts to promote the development of off -campus housing 2 to help address the state's student housing crisis are not intended 3 to supplant planning, financing, and facilitating on -campus housing 4 developments. 5 (b) it is the intent of the Legislature to continue to promote the 6 development of housing units for students and faculty of 7 California's colleges and universities, in order to address the 8 ongoing student housing crisis. 9 SEC. 2. Section 65912.101 of the Government Code is amended 10 to read: 11 65912.101. For purposes of this chapter: 12 (a) "Base units" has the same meaning as "total units" as defined 13 in subparagraph (A) of paragraph (8) of subdivision (o) of Section 14 65915. 15 (h) "Campus development zone" means the set of parcels that 16 are contained either wholly or partially within a one -mile radius 17 of a "main campus," as defined by Section 94849 of the Education 18 Code, of the University of California, the California State 19 University, or the California Community Colleges, or of a private 20 postsecondary educational institution as defined by Section 94858 21 of the Education Code. 22 23 (c) "Commercial corridor" means a street that is not a freeway 24 and that has a right-of-way of at least 70 and not greater than 150 25 feet. 26 {e) 27 (d) "Development proponent" means a developer who submits 28 a housing development project application to a local government 29 under the streamlined, ministerial review process pursuant to this 30 chapter. 31 (e) "Extremely low income faculty or staff" means an employee 32 of the University of California, the California State University, or 33 the California Community Colleges, or a private postsecondary 34 educational institution, as defined by Section 94858 of the 35 Education Code, who satisfies the requirements of Section 50106 36 of the Health and Safety Code. 37 0) 38 69 "Extremely low income households" has the same meaning 39 as defined in Section 50106 of the Health and Safety Code. 40 f O 99 Packet Pg. 258 AB 893 — 4 — 6.b 1 (g) "Freeway" has the same meaning as defined in Section 332 2 of the Vehicle Code, except it does not include the portion of a 3 freeway that is an on ramp or off ramp that serves as a connector 4 between the freeway and other roadways that are not freeways. 5 {9 6 (h) "Health care expenditures" include contributions under 7 Sections 501(c) or (d) or 401(a) of the Internal Revenue Code and 8 payments toward "medical care" as defined under Section 213(d)(1) 9 of the Internal Revenue Code. 10 {gj l l (i) "Housing development project" has the same meaning as 12 defined in Section 65589.5. 13 {h) 14 6) "Industrial use" means utilities, manufacturing, transportation 15 storage and maintenance facilities, warehousing uses, and any 16 other use that is a source that is subject to permitting by a district, 17 as defined in Section 39025 of the Health and Safety Code, 18 pursuant to Division 26 (commencing with Section 39000) of the 19 Health and Safety Code or the federal Clean Air Act (42 U.S.C. 20 Sec. 7401 et seq.). "Industrial use" does not include any of the 21 following: 22 (1) Power substations or utility conveyances such as power 23 lines, broadband wires, and pipes. 24 (2) A use where the only source permitted by a district is an 25 emergency backup generator. 26 (3) Self -storage for the residents of a building. 27 28 (k) "Local affordable housing requirement" means either of the 29 following: 30 (1) A local government requirement, as a condition of 31 development of residential units, that a housing development 32 project include a certain percentage of units affordable to, and 33 occupied by, extremely low, very low, lower, or moderate -income 34 households as a condition of development of residential units. 35 (2) A local government requirement allowing a housing 36 development project to be a use by right if the project includes a 37 certain percentage of units affordable to, and occupied by, 38 extremely low, very low, lower, or moderate -income households 39 as a condition of development of residential units. 40 99 Packet Pg. 259 — 5 — AB 893 6.b 1 (l) "Local government" means a city, including a charter city, 2 a county, including a charter county, or a city and county, including 3 a charter city and county. 4 (m) `Lower income faculty or staff 'means an employee of the 5 University of California, the California State University, or the 6 California Community Colleges, or a private postsecondary 7 educational institution, as defined by Section 94858 of the 8 Education Code, who satisfies the requirements of Section 50079.5 9 of the Health and Safety Code. 10 l l (n) "Lower income households" has the same meaning as 12 defined in Section 50079.5 of the Health and Safety Code. 13 (o) (1) Lower income student" means any of the following: 14 (A) A student who has a household income and asset level that 15 does not exceed either of the following: 16 (i) The level for Cal Grant A or Cal Grant B award recipients 17 as set forth in subdivision (k) of Section 69432.7 of the Education 18 Code. 19 (ii) The level for the California College Promise Grant as set 20 forth in clause (ii) of subparagraph (B) of paragraph (1) of 21 subdivision (g) of Section 76300 of the Education Code. 22 (B) A student who otherwise quakes for the California College 23 Promise Grant as set forth in subparagraph (B) of paragraph (1) 24 of subdivision (g) of Section 76300 of the Education Code. 25 (C) A student who quakes for Federal Pell Grant financial 26 aid pursuant to Section 1070a of Title 20 of the United States Code. 27 (D) A student who quakes for an exemption from paying 28 nonresident tuition pursuant to Section 68130.5 of the Education 29 Code, provided that the student also meets income criteria 30 applicable to the California Dream Act application. 31 (E) A graduate student with income and asset levels that would 32 qualms for one or more of the benefits in subparagraphs (A) to 33 (D), inclusive, as determined by the campus at which the student 34 is enrolled. 35 (2) The eligibility ofa student to occupy a unitfor lower income 36 students under this subdivision shall he verified by an affidavit, 37 award letter, or letter of eligibility demonstrating that the student 38 is eligible for financial aid, including an institutional grant or fee 39 waiver, provided by the institution of higher education in which 99 Packet Pg. 260 AB 893 — 6 — 6.b 1 the student is enrolled, by the Student Aid Commission, or by the 2 federal government. 3 (4) 4 (p) "Major transit stop" has the same meaning as defined in 5 subdivision (b) of Section 21155 of the Public Resources Code. 6 (m) 7 (q) "Minimum efficiency reporting value" or "MERV" means 8 the measurement scale developed by the American Society of 9 Heating, Refrigerating and Air -Conditioning Engineers used to 10 report the effectiveness of air filters. 11 12 (r) "Moderate -income households" means households of persons 13 and families of moderate income, as defined in Section 50093 of 14 the Health and Safety Code. 15 0g) 16 (s) "Multifamily" means a property with five or more housing 17 units for sale or for rent. 18 (5,) 19 (t) "Neighborhood plan" means a specific plan adopted pursuant 20 to Article 8 (commencing with Section 65450) of Chapter 3, an 21 area plan, precise plan, community plan, urban village plan, or 22 master plan. To qualify as a neighborhood plan, the plan must have 23 been adopted by a local government before January 1, 2024, and 24 within 25 years of the date that a development proponent submits 25 an application pursuant to this chapter. A neighborhood plan does 26 not include a community plan or plans where the cumulative area 27 covered by the community plans in the jurisdiction is more than 28 one-half of the area of the jurisdiction. 29 00 30 (u) "Principally permitted use" means a use that, as of January 31 1, 2023, or thereafter, may occupy more than one-third of the 32 square footage of designated use on the site and does not require 33 a conditional use permit, except that parking uses are considered 34 principally permitted whether or not they require a conditional use 35 permit. 36 (r) 37 (v) "Regional mall" means a site that meets all of the following 38 criteria on the date that a development proponent submits an 39 application pursuant to this chapter: 99 Packet Pg. 261 — 7 — AB 893 6.b 1 (1) The permitted uses on the site include at least 250,000 square 2 feet of retail use. 3 (2) At least two-thirds of the permitted uses on the site are retail 4 uses. 5 (3) At least two of the permitted retail uses on the site are at 6 least 10,000 square feet. 7 (s) 8 (w) "Street" has the same meaning as defined in Section 590 of 9 the Vehicle Code, and includes sidewalks, as defined in Section 10 555 of the Vehicle Code. 11 fO 12 (x) "Urban uses" means any current or former residential, 13 commercial, public institutional, public park that is surrounded by 14 other urban uses, parking lot or structure, transit or transportation 15 passenger facility, or retail use, or any combination of those uses. 16 0? 17 (y) "Use by right" means a development project for which both 18 of the following are true: 19 (1) The development project is not subject to a conditional use 20 permit, planned unit development permit, or any other discretionary 21 local government approval, permit, or review process. 22 (2) No aspect of the development project, including any permits 23 required for the development project, is a "project" for purposes 24 of Division 13 (commencing with Section 21000) of the Public 25 Resources Code. 26 (z) "Very low income facultv or staff' means an employee of 27 the University of California, the California State University, or 28 the California Community Colleges, or a private postsecondary 29 educational institution, as defined by Section 94858 of the 30 Education Code, who satisfies the requirements of Section 50105 31 of the Health and Safety Code. 32 {O 33 (aa) "Very low income households" has the same meaning as 34 defined in Section 50105 of the Health and Safety Code. 35 36 (ah) "Very low vehicle travel area" has the same meaning as 37 defined in subdivision (h) of Section 65589.5. 38 SEC. 3. Section 65912.104 of the Government Code is amended 39 to read: 99 Packet Pg. 262 AB 893 — 8 — 6.b 1 65912.104. (a) The department shall undertake at least two 2 studies of the outcomes of this chapter. One study shall be 3 completed on or before January 1, 2027, and one shall be 4 completed on or before January 1, 2031. 5 (b) The studies required by subdivision (a) shall include, but 6 not be limited to, the number of projects built, the number of units 7 built, the jurisdictional and regional location of the housing, the 8 relative wealth and access to resources of the communities in which 9 they are built, the level of affordability, the effect on greenhouse 10 gas emissions, and the creation of construction jobs that pay the 1 1 prevailing wage. 12 (c) (1) The department shall publish a report of the findings of 13 a study required by subdivision (a), post the report on its internet 14 website, and submit the report to the Legislature pursuant to 15 Section 9795. 16 (2) The outcomes of projects built under campus development 17 zones shall he reported in the January 1, 2031, report. 18 SEC. 4. Section 65912.121 of the Government Code is amended 19 to read: 20 65912.121. A development project shall not be subject to the 21 streamlined, ministerial review process provided by Section 22 65912.124 unless the development project is on a site that satisfies 23 all of the following criteria: 24 (a) It is located within a zone where office, retail, or parking 25 are principally permitted use. 26 (b) It is located on a legal parcel, or parcels, that meet either of 27 the following: 28 (1) It is within a city where the city boundaries include some 29 portion of an urbanized area, as designated by the United States 30 Census Bureau. 31 (2) It is in an unincorporated area, and the legal parcel, or 32 parcels, are wholly within the boundaries of an urbanized area, as 33 designated by the United States Census Bureau. 34 (c) T4te-lt satisfies either of the following criteria: 35 (1) The project site abuts a commercial corridor and has a 36 frontage along the commercial corridor of a minimum of 50 feet. 37 (2) The site is in a campus development zone. 38 (d) The site is not greater than 20 acres, unless the site is a 39 regional mall, in which case the site is not greater than 100 acres. 99 Packet Pg. 263 — 9 — AB 893 6.b 1 (e) At least 75 percent of the perimeter of the site adjoins parcels 2 that are developed with urban uses. For purposes of this 3 subdivision, parcels that are only separated by a street, pedestrian 4 path, or bicycle path shall be considered to be adjoined. 5 (f) (1) it is not on a site or adjoined to any site where more than 6 one-third of the square footage on the site is dedicated to industrial 7 use. 8 (2) For purposes of this subdivision, parcels only separated by 9 a street shall be considered to be adjoined. 10 (3) For purposes of this subdivision, "dedicated to industrial 1 1 use" means any of the following: 12 (A) The square footage is currently being used as an industrial 13 use. 14 (B) The most recently permitted use of the square footage is an 15 industrial use, and the site has been occupied within the past three 16 years. 17 (C) The site was designated for industrial use in the latest 18 version of a local government's general plan adopted before 19 January 1, 2022, and residential uses are not principally permitted 20 on the site. 21 (g) it satisfies the requirements specified in paragraph (6) of 22 subdivision (a) of Section 65913.4, exclusive of clause (iv) of 23 subparagraph (A) of paragraph (6) of subdivision (a) of Section 24 65913.4. 25 (h) The development is not located on a site where any of the 26 following apply: 27 (1) The development would require the demolition of the 28 following types of housing: 29 (A) Housing that is subject to a recorded covenant, ordinance, 30 or law that restricts rents to levels affordable to persons and 31 families of moderate, low, or very low income. 32 (B) Housing that is subject to any form of rent or price control 33 through a public entity's valid exercise of its police power. 34 (C) Housing that has been occupied by tenants within the past 35 10 years, excluding any manager's units. 36 (2) The site was previously used for permanent housing that 37 was occupied by tenants, excluding any manager's units, that was 38 demolished within 10 years before the development proponent 39 submits an application under this article. 99 Packet Pg. 264 AB 893 —10 — 6.b 1 (3) The development would require the demolition of a historic 2 structure that was placed on a national, state, or local historic 3 regi ster. 4 (4) The property contains one to four dwelling units. 5 (5) The property is vacant and zoned for housing but not for 6 multifamily residential use. 7 (6) The existing parcel of land or site is governed under the 8 Mobilehome Residency Law (Chapter 2.5 (commencing with 9 Section 798) of Title 2 of Part 2 of Division 2 of the Civil Code), 10 the Recreational Vehicle Park Occupancy Law (Chapter 2.6 11 (commencing with Section 799.20) of Title 2 of Part 2 of Division 12 2 of the Civil Code), the Mobilehome Parks Act (Part 2.1 13 (commencing with Section 18200) of Division 13 of the Health 14 and Safety Code), or the Special Occupancy Parks Act (Part 2.3 15 (commencing with Section 18860) of Division 13 of the Health 16 and Safety Code). 17 (i) For a site within a neighborhood plan area, the neighborhood 18 plan applicable to the site permitted multifamily housing 19 development on the site. 20 0) For a vacant site, the site satisfies both of the following: 21 (1) it does not contain tribal cultural resources, as defined by 22 Section 21074 of the Public Resources Code, that could be affected 23 by the development that were found pursuant to a consultation as 24 described by Section 21080.3.1 of the Public Resources Code and 25 the effects of which cannot be mitigated pursuant to the process 26 described in Section 21080.3.2 of the Public Resources Code. 27 (2) it is not within a very high fire hazard severity zone, as 28 indicated on maps adopted by the Department of Forestry and Fire 29 Protection pursuant to Section 4202 of the Public Resources Code 30 or as designated pursuant to subdivisions (a) and (b) of Section 31 51179. 32 SEC. 5. Section 65912.122 of the Government Code is amended 33 to read: 34 65912.122. A development project shall not be subject to the 35 streamlined, ministerial review process provided by Section 36 65912.124 unless the new housing units created by the development 37 project meet all of the following affordability criteria: 38 (a) (1) A -Except as provided in paragraph (2), a rental housing 39 development shall include either of the following: 99 Packet Pg. 265 —11— AB 893 6.b 1 (A) Eight percent of the base units for very low income 2 households and 5 percent of the units for extremely low income 3 households. 4 (B) Fifteen percent of the base units for lower income 5 households. 6 (2) Notwithstanding paragraph (1), a rental housing 7 development in a campus development zone shall include either 8 of the following: 9 (A) (i) Both of the following: l0 (I) Five percent of the base units for extremely low income l l households, extremely low income faculty or staff, or students 12 experiencing homelessness. 13 (II) Eight percent of the base units for very low income 14 households, very low income faculty or staff, or students 15 experiencing homelessness. 16 (ii) For the purposes of this subparagraph, a homeless services 17 provider, as defined in paragraph (3) of subdivision (e) of Section 18 103577 of the Health and Safety Code, or institution of higher 19 education that has knowledge of a person's homelessness status 20 may verify a person's status as homeless. 21 (B) Fifteen percent of the base units for lower income 22 households, lower income students, or lower income faculty or 23 staff 24 {� 25 (3) The development proponent shall agree to, and the local 26 government shall ensure, the continued affordability of all 27 affordable rental units included pursuant to this subdivision for 55 28 years. Rents shall be set at an affordable rent, as defined in Section 29 50053 of the Health and Safety Code. 30 (b) (1) Except as provided in paragraph (2), an 31 owner -occupied housing development shall include either of the 32 following: 33 (A) Thirty percent of the base units must be offered at an 34 affordable housing cost, as defined in Section 50052.5 of the Health 35 and Safety Code, to moderate -income households. 36 (B) Fifteen percent of the base units must be offered at an 37 affordable housing cost, as defined in Section 50052.5 of the Health 38 and Safety Code, to lower income households. 99 Packet Pg. 266 AB 893 —12 — 6.b 1 (2) Notwithstandingparagraph (]),an owner -occupied housing 2 development in a campus development zone shall include either 3 of the following: 4 (A) Thirty percent of the base units must be offered at an 5 affordable housing cost, as defined in Section 50052.5 of the Health 6 and Safety Code, to moderate -income households. 7 (B) Fifteen percent of the base units must be offered at an 8 affordable housing cost, as defined in Section 50052.5 of the Health 9 and Safety Code, to lower income households, lower income 10 students, or lower income faculty or staff 11 {� 12 (3) The development proponent shall agree to, and the local 13 government shall ensure, the continued affordability of all 14 affordable ownership units for a period of 45 years. 15 (c) If the local government has a local affordable housing 16 requirement, the housing development project shall comply with 17 all of the following: 18 (1) The development project shall include the percentage of 19 affordable units required by this section or the local requirement, 20 whichever is higher. 21 (2) The development project shall meet the affordability level 22 of a local affordable housing requirement if it is a deeper 23 affordability level than required by this section. 24 (3) If the local affordable housing requirement requires greater 25 than 15 percent of the units to be dedicated for lower income 26 households and does not require the inclusion of units affordable 27 to very low and extremely low income households, then the rental 28 housing development shall do both of the following: 29 (A) Include 8 percent of the units for very low income 30 households and 5 percent of the units for extremely low income 31 households. 32 (B) Fifteen percent of units affordable to lower income 33 households shall be subtracted from the percentage of units 34 required by the local policy at the highest required affordability 35 level. 36 (d) Affordable units in the development project shall have the 37 same bedroom and bathroom count ratio as the market rate units, 38 be equitably distributed within the project, and have the same type 39 or quality of appliances, fixtures, and finishes. 99 Packet Pg. 267 —13 — AB 893 6.b 1 SEC. 6. Section 65912.123 of the Government Code is amended 2 to read: 3 65912.123. A development project shall not be subject to the 4 streamlined, ministerial review process provided by Section 5 65912.124 unless the development project meets all of the 6 following objective development standards: 7 (a) The development shall be a multifamily housing development 8 project. 9 (b) The residential density for the development, prior to the 10 award of any eligible density bonus pursuant to Section 65915, 11 shall be determined as follows: 12 (1) In a metropolitan jurisdiction, as determined pursuant to 13 subdivisions (d) and (e) of Section 65583.2, the allowable 14 residential density for the development shall be the greater of the 15 following: 16 (A) The maximum allowable residential density, as defined in 17 paragraph (6) of subdivision (o) of Section 65915, allowed on the 18 parcel by the local government. 19 (B) For sites of less than one acre in size, 30 units per acre. 20 (C) For sites of one acre in size or greater located on a 21 commercial corridor of less than 100 feet in width, 40 units per 22 acre. 23 (D) For sites of one acre in size or greater located on a 24 commercial corridor of 100 feet in width or greater, 60 units per 25 acre. 26 (E) Notwithstanding subparagraph (B), (C), or (D), for sites 27 within a very low vehicle traveler area, within one-half mile 28 of a major transit stop, or within a cafnpus development zone, 80 29 units per acre. 30 (2) In a jurisdiction that is not a metropolitan jurisdiction, as 31 determined pursuant to subdivisions (d) and (e) of Section 65583.2, 32 the allowable residential density for the development shall be the 33 greater of the following: 34 (A) The maximum allowable residential density, as defined in 35 paragraph (6) of subdivision (o) of Section 65915, allowed on the 36 parcel by the local government. 37 (B) For sites of less than one acre in size, 20 units per acre. 38 (C) For sites of one acre in size or greater located on a 39 commercial corridor of less than 100 feet in width, 30 units per 40 acre. 99 Packet Pg. 268 AB 893 —14 — 6.b 1 (D) For sites of one acre in size or greater located on a 2 commercial corridor of 100 feet in width or greater, 50 units per 3 acre. 4 (E) Notwithstanding subparagraph (B), (C), or (D), for sites 5 within a very low vehicle traveler area, within one-half mile 6 of a major transit stop, or within a campus development zone, 70 7 units per acre. 8 (3) (A) For a housing development project application that has 9 been determined to be consistent with the objective planning 10 standards specified in this article, pursuant to subdivision (a) of 11 Section 65912.124, before January 1, 2027, the development 12 project shall be developed at a density as follows: 13 (1) Except as provided in clause (ii), 50 percent or greater of the 14 applicable allowable residential density contained in subparagraphs 15 (B) to (E), inclusive, of paragraph (1) or subparagraphs (B) to (E), 16 inclusive, of paragraph (2), as applicable. 17 (ii) For a site within one-half mile of an existing passenger rail 18 or bus rapid transit station, 75 percent or greater of the applicable 19 allowable residential density contained in subparagraphs (B) to 20 (E), inclusive, of paragraph (1) or subparagraphs (B) to (E), 21 inclusive, of paragraph (2), as applicable. 22 (iii) For a site within a campus development zone, 75 percent 23 or greater of the applicable allowable residential density contained 24 in subparagraph (E) of paragraph (2). 25 (B) For a housing development prof ect application that has been 26 determined to be consistent with the objective planning standards 27 specified in this article, pursuant to subdivision (a) of Section 28 65912.124, on or after January 1, 2027, the development project 29 shall be developed at a density that is 75 percent or greater of the 30 applicable allowable residential density contained in subparagraphs 31 (B) to (E), inclusive, of paragraph (1) or subparagraphs (B) to (E), 32 inclusive, of paragraph (2), as applicable. 33 (4) Notwithstanding paragraphs (1) and (2), a development 34 project shall not be subject to any density limitation if the 35 development project is a conversion of existing buildings into 36 residential use, unless the development project includes additional 37 new square footage that is more than 20 percent of the overall 38 square footage of the project. 39 (c) The height limit applicable to the housing development shall 40 be the greater of the following: 99 Packet Pg. 269 —15 — AB 893 6.b 1 (1) The height allowed on the parcel by the local government. 2 (2) For sites on a commercial corridor of less than 100 feet in 3 width, 35 feet. 4 (3) For sites on a commercial corridor of 100 feet in width or 5 greater, 45 feet. 6 (4) Notwithstanding paragraphs (2) and (3), 65 feet for sites 7 that meet all of the following criteria: 8 (A) They are within one-half mile of a major transit stop. 9 (B) They are within a city with a population of greater than 10 100,000. 1 1 (C) They are not within a coastal zone, as defined in Division 12 20 (commencing with Section 30000) of the Public Resources 13 Code. 14 (5) For sites in a campus development zone, 65 feet. 15 (d) The property meets the following standards: 16 (1) For the portion of the property that fronts a commercial 17 eon-idor-, corridor or for a property in a campus development zone, 18 the following shall occur: 19 (A) No setbacks shall be required. 20 (B) All parking must be set back at least 25 feet. 21 (C) On the ground floor, a building or buildings must abut within 22 10 feet of the street for at least 80 percent of the frontage. 23 (2) For the portion of the property that abuts an adjoining 24 property that also abuts the same commercial corridor as the 25 property, no setbacks are required unless the adjoining property 26 contains a residential use that was constructed prior to the 27 enactment of this chapter, in which case the requirements of 28 subparagraph (A) of paragraph (3) apply. 29 (3) For the portion of the property line that does not abut or lie 30 within a commercial corridor, or an adjoining property that also 31 abuts the same commercial corridor as the property, the following 32 shall occur: 33 (A) Along property lines that abut a property that contains a 34 residential use, the following shall occur: 35 (i) The ground floor of the development project shall beset back 36 at 10 feet. The amount required to be set back may be decreased 37 by the local government. 38 (ii) Starting with the second floor of the property, each 39 subsequent floor of the development project shall be stepped back 40 in an amount equal to seven feet multiplied by the floor number. 99 Packet Pg. 270 AB 893 —16 — 6.b 1 For purposes of this paragraph, the ground floor counts as the first 2 floor. The amount required to be stepped back may be decreased 3 by the local government. 4 (B) Along property lines that abut a property that does not 5 contain a residential use, the development shall be setback 15 feet. 6 The amount required to be stepped back may be decreased by the 7 local government. 8 (4) For a development project at a regional mall, all of the 9 following requirements apply: 10 (A) The average size of a block shall not exceed three acres. 1 1 For purposes of this subparagraph, a "block" means an area fully 12 surrounded by streets, pedestrian paths, or a combination of streets 13 and pedestrian paths that are each at least 40 feet in width. 14 (B) At least 5 percent of the site shall be dedicated to open 15 space. 16 (C) For the portion of the property that fronts a street that is 17 newly created by the project and is not a commercial corridor, a 18 building shall abut within 10 feet of the street for at least 60 percent 19 of the frontage. 20 (e) No parking shall be required, including replacement parking, 21 except that this article shall not reduce, eliminate, or preclude the 22 enforcement of any requirement imposed on a new multifamily 23 residential or nonresidential development to provide bicycle 24 parking, electric vehicle supply equipment installed parking spaces, 25 or parking spaces that are accessible to persons with disabilities 26 that would have otherwise applied to the development if this article 27 did not apply. 28 (f) For any housing on the site located within 500 feet of a 29 freeway, all of the following shall apply: 30 (1) The building shall have a centralized heating, ventilation, 31 and air-conditioning system. 32 (2) The outdoor air intakes for the heating, ventilation, and 33 air-conditioning system shall face away from the freeway. 34 (3) The building shall provide air filtration media for outside 35 and return air that provide a minimum efficiency reporting value 36 of 16. 37 (4) The air filtration media shall be replaced at the 38 manufacturer's designated interval. 39 (5) The building shall not have any balconies facing the freeway. 99 Packet Pg. 271 —17 — AB 893 6.b 1 (g) None of the housing on the site is located within 3,200 feet 2 of a facility that actively extracts or refines oil or natural gas. 3 (h) (1) The development proponent shall provide written notice 4 of the pending application to each commercial tenant on the parcel 5 when the application is submitted. 6 (2) The development proponent shall provide relocation 7 assistance to each eligible commercial tenant located on the site 8 as follows: 9 (A) For a commercial tenant operating on the site for at least 10 one year but less than five years, the relocation assistance shall be 1 1 equivalent to six months' rent. 12 (B) For a commercial tenant operating on the site for at least 5 13 years but less than 10 years, the relocation assistance shall be 14 equivalent to nine months' rent. 15 (C) For a commercial tenant operating on the site for at least 16 10 years but less than 15 years, the relocation assistance shall be 17 equivalent to 12 months' rent. 18 (D) For a commercial tenant operating on the site for at least 19 15 years but less than 20 years, the relocation assistance shall be 20 equivalent to 15 months' rent. 21 (E) For a commercial tenant operating on the site for at least 20 22 years, the relocation assistance shall be equivalent to 18 months' 23 rent. 24 (3) The relocation assistance shall be provided to an eligible 25 commercial tenant upon expiration of the lease of that commercial 26 tenant. 27 (4) For purposes of this subdivision, a commercial tenant is 28 eligible for relocation assistance if the commercial tenant meets 29 all of the following criteria: 30 (A) The commercial tenant is an independently owned and 31 operated business with its principal office located in the county in 32 which the property on the site that is leased by the commercial 33 tenant is located. 34 (B) The commercial tenant's lease expired and was not renewed 35 by the property owner. 36 (C) The commercial tenant's lease expired within the three years 37 following the development proponent's submission of the 38 application for a housing development pursuant to this article. 39 (D) The commercial tenant employs 20 or fewer employees and 40 has annual average gross receipts under one million dollars 99 Packet Pg. 272 AB 893 —18 — 6.b 1 ($1,000,000) for the three -taxable -year period ending with the 2 taxable year that precedes the expiration of their lease. 3 (E) The commercial tenant is still in operation on the site at the 4 time of the expiration of its lease. 5 (5) Notwithstanding paragraph (4), for purposes of this 6 subdivision, a commercial tenant is ineligible for relocation 7 assistance if the commercial tenant meets both of the following 8 criteria: 9 (A) The commercial tenant entered into a lease on the site after 10 the development proponent's submission of the application for a 1 1 housing development pursuant to this article. 12 (B) The commercial tenant had not previously entered into a 13 lease on the site. 14 (6) (A) The commercial tenant shall utilize the funds provided 15 by the development proponent to relocate the business or for costs 16 of a new business. 17 (B) Notwithstanding paragraph (2), if the commercial tenant 18 elects not to use the funds provided as required by subparagraph 19 (A), the development proponent shall provide only assistance equal 20 to three months' rent, regardless of the duration of the commercial 21 tenant's lease. 22 (7) For purposes of this subdivision, monthly rent is equal to 23 one -twelfth of the total amount of rent paid by the commercial 24 tenant in the last 12 months. 25 (1) For any project that is the conversion of an existing building 26 for nonresidential use building to residential use, the local 27 government shall not require the provision of common open space 28 beyond what is required for the existing project site. 29 0) Objective zoning standards, objective subdivision standards, 30 and objective design review standards not specified elsewhere in 31 this section, as follows: 32 (1) The applicable objective standards shall be those for the 33 closest zone in the city, county, or city and county that allows 34 multifamily residential use at the residential density proposed by 35 the project. If no zone exists that allows the residential density 36 proposed by the project, the applicable objective standards shall 37 be those for the zone that allows the greatest density within the 38 city, county, or city and county. 99 Packet Pg. 273 —19 — AB 893 6.b 1 (2) The applicable objective standards shall be those in effect 2 at the time that the development application is submitted to the 3 local government pursuant to this article. 4 (3) The objective standards shall not preclude a development 5 from being built at the residential density required pursuant to 6 subdivision (b) and shall not require the development to reduce 7 unit size to meet the objective standards. 8 (4) The applicable objective standards may include a 9 requirement that up to one-half of the ground floor of the housing 10 development project be dedicated to retail use. 11 (5) For purposes of this section, "objective zoning standards," 12 "objective subdivision standards," and "objective design review 13 standards" mean standards that involve no personal or subjective 14 judgment by a public official and are uniformly verifiable by 15 reference to an external and uniform benchmark or criterion 16 available and knowable by both the development applicant or 17 proponent and the public official before submittal. These standards 18 may be embodied in alternative objective land use specifications 19 adopted by a city or county, and may include, but are not limited 20 to, housing overlay zones, specific plans, inclusionary zoning 21 ordinances, and density bonus ordinances. in the event that 22 objective zoning, general plan, subdivision, or design review 23 standards are mutually inconsistent, a development shall be deemed 24 consistent with the objective zoning and subdivision standards 25 pursuant to this subdivision if the development is consistent with 26 the standards set forth in the general plan. 27 SEC. 7. 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 Packet Pg. 274 6.c CALIFORNIA LEGISLATURE-2025-26 REGULAR SESSION ASSEMBLY BILL No. 1154 Introduced by Assembly Member Carrillo February 20, 2025 An act to amend Sections 66322 and 66333 of the Government Code, relating to land use. LEGISLATIVE COUNSEL'S DIGEST AB 1 154, as introduced, Carrillo. Accessory dwelling units: junior accessory dwelling units. The Planning and Zoning Law, among other things, provides for the creation of accessory dwelling units by local ordinance, or, if a local agency has not adopted an ordinance, by ministerial approval, in accordance with specified standards and conditions. Existing law prohibits a local agency from imposing parking standards for an accessory dwelling unit under certain circumstances, whether or not the local agency has adopted a local ordinance pursuant to the above provisions. Under existing law, those circumstances include, among others, if the accessory dwelling unit is located within %Z of one mile walking distance of public transit or there is a car share vehicle located within one block of the accessory dwelling unit. This bill would additionally prohibit a local agency from imposing any parking standards if the accessory dwelling unit is 500 square feet or smaller. Existing law also provides for the creation of junior accessory dwelling units by local ordinance, or, if a local agency has not adopted an ordinance, by ministerial approval, in accordance with specified standards and conditions. Existing law requires an ordinance that provides for the creation of a junior accessory dwelling unit to, among 99 Packet Pg. 275 AB 1154 —2— 6.c other things, require owner -occupancy in the single-family residence in which the junior accessory dwelling unit is permitted. Under this bill, that owner -occupancy requirement would apply only ifthe junior accessory dwelling unit has shared sanitation facilities with the existing structure. The bill would require an ordinance that provides for the creation of a junior accessory dwelling unit to require that a rental of a junior accessory dwelling unit be for a term longer than 30 days. By imposing new duties on local governments with respect to the approval of accessory dwelling units and junior accessory dwelling units, the 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. Section 66322 of the Government Code is 2 amended to read: 3 66322. Notwithstanding any other law, and whether or not the 4 local agency has adopted an ordinance governing accessory 5 dwelling units in accordance with Section 66314, all of the 6 following shall apply: 7 (a) A local agency shall not impose any parking standards for 8 an accessory dwelling unit in any of the following instances: 9 (1) "tee -The accessory dwelling unit is located within 10 one-half of one mile walking distance of public transit. 11 (2) "tee The accessory dwelling unit is located within an 12 architecturally and historically significant historic district. 13 (3) NV`liere the The accessory dwelling unit is part of the 14 proposed or existing primary residence or an accessory structure. 15 (4) )A4teti on str ` On -street parking permits are required but 16 not offered to the occupant of the accessory dwelling unit. 17 (5) "tee There is a car share vehicle located within one 18 block of the accessory dwelling unit. 99 Packet Pg. 276 —3— AB 1154 6.c 1 (6) "A permit application for an accessory dwelling unit 2 is submitted with a permit application to create a new single-family 3 dwelling or a new multifamily dwelling on the same lot, provided 4 that the accessory dwelling unit or the parcel satisfies any other 5 criteria listed in this subdivision. 6 (7) The accessory dwelling unit is 500 square feet or smaller 7 (b) The local agency shall not deny an application for a permit 8 to create an accessory dwelling unit due to the correction of 9 nonconforming zoning conditions, building code violations, or 10 unpermitted structures that do not present a threat to public health 1 1 and safety and are not affected by the construction of the accessory 12 dwelling unit. 13 SEC. 2. Section 66333 of the Government Code is amended 14 to read: 15 66333. Notwithstanding Article 2 (commencing with Section 16 66314), a local agency may, by ordinance, provide for the creation 17 of junior accessory dwelling units in single-family residential 18 zones. The ordinance may require a permit to be obtained for the 19 creation of a junior accessory dwelling unit, and shall do all of the 20 following: 21 (a) Limit the number of junior accessory dwelling units to one 22 per residential lot zoned for single-family residences with a 23 single-family residence built, or proposed to be built, on the lot. 24 (b) R if the junior accessory dwelling unit has shared 25 sanitation facilities with the existing structure, require 26 owner -occupancy in the single family residence in which the junior 27 accessory dwelling unit will be permitted. The owner may reside 28 in either the remaining portion of the structure or the newly created 29 junior accessory dwelling unit. Owner -occupancy shall not be 30 required if the junior accessory dwelling unit has separate 31 sanitation facilities, or if the owner is another governmental 32 agency, land trust, or housing organization. 33 (c) Require the recordation of a deed restriction, which shall 34 run with the land, shall be filed with the permitting agency, and 35 shall include both of the following: 36 (1) A prohibition on the sale of the junior accessory dwelling 37 unit separate from the sale of the single-family residence, including 38 a statement that the deed restriction may be enforced against future 39 purchasers. 99 Packet Pg. 277 AB 1154 —4- 6.c 1 (2) A restriction on the size and attributes of the junior accessory 2 dwelling unit that conforms with this article. 3 (d) Require a permitted junior accessory dwelling unit to be 4 constructed within the walls of the proposed or existing 5 single-family residence. For purposes of this subdivision, enclosed 6 uses within the residence, such as attached garages, are considered 7 a part of the proposed or existing single-family residence. 8 (e) (1) Require a permitted junior accessory dwelling unit to 9 include a separate entrance from the main entrance to the proposed 10 or existing single-family residence. 11 (2) If a permitted junior accessory dwelling unit does not include 12 a separate bathroom, the permitted junior accessory dwelling unit 13 shall include a separate entrance from the main entrance to the 14 structure, with an interior entry to the main living area. 15 (f) Require the permitted junior accessory dwelling unit to 16 include an efficiency kitchen, which shall include all of the 17 following: 18 (1) A cooking facility with appliances. 19 (2) A food preparation counter and storage cabinets that are of 20 reasonable size in relation to the size of the junior accessory 21 dwelling unit. 22 (g) Require that a rental of a junior accessory dwelling unit be 23 for a term longer than 30 days. 24 SEC. 3. No reimbursement is required by this act pursuant to 25 Section 6 of Article XIIIB of the California Constitution because 26 a local agency or school district has the authority to levy service 27 charges, fees, or assessments sufficient to pay for the program or 28 level of service mandated by this act, within the meaning of Section 29 17556 of the Government Code. X 99 Packet Pg. 278 6.d AMENDED IN ASSEMBLY MARCH 27, 2025 CALIFORNIA LEGISLATURE-2025-26 REGULAR SESSION ASSEMBLY BILL No. 1206 Introduced by Assembly Member Harabedian (Coauthor: Assembly Member Haney) February 21, 2025 An act to add Section 65852.29 to the Government Code, relating to housing. LEGISLATIVE COUNSEL'S DIGEST AB 1206, as amended, Harabedian. Single-family and multifamily housing units: preapproved plans. Existing law, the Planning and Zoning Law, provides for the adoption and administration of zoning laws, ordinances, rules and regulations by counties and cities and the implementation of those general plans as may be in effect in those counties or cities. In that regard, existing law requires each local agency, by January 1, 2025, to develop a program for the preapproval of accessory dwelling unit plans. This bill would require each local agency, as defined and by4y July 1, 2026, to develop a program for the preapproval of single-family and multifamily residential housing plans, whereby the local agency accepts single-family and multifamily plan submissions for preapproval and approves or denies the preapproval applications, as specified. The bill would authorize a local agency to charge a fee to an applicant for the preapproval of a single-family or multifamily residential housing plan, as specified. The bill would require the local agency to post preapproved single-family or multifamily residential housing plans and the contact information of the applicant on the local agency's Internet website. The bill would require a local agency to either approve or deny 98 Packet Pg. 279 AB 1206 — 2 — 6.d an application for a single-family or multifamily residential housing unit, both as defined, within 30 days if the lot meets certain conditions and the application utilizes either a single-family or multifamily residential housing unit plan preapproved within the current triennial California Building Standards Code rulemaking cycle or a plan that is identical to a plan used in an application for a single-family or multifamily residential housing unit approved by the local agency within the current triennial California Building Standards Code rulemaking cycle. The bill would also provide that its provisions do not prevent a local agency from voluntarily accepting or admitting additional plans at higher densities in additional zoning districts into the preapproved housing plan program, at the local agency's discretion. By imposing new duties on local agencies, the bill would create a state -mandated local program. 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. 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. Section 65852.29 is added to the Government 2 Code, to read: 3 65852.29. (a) Each local agency shall, by4ftntta-ryJu1y 1, 2026, 4 develop a program for the preapproval of single-family and 5 multifamily residential housing plans. The program shall comply 6 with all of the following: 7 (1) The local agency shall accept single-family and multifamily 8 residential housing plan submissions for preapproval. 9 10 11 submissiotts for preapproyal. 12 {� 98 Packet Pg. 280 —3— AB 1206 6.d 1 (2) (A) The local agency shall approve or deny the application 2 for preapproval pursuant to the standards established in applicable 3 state and local housing regulations. 4 (B) The local agency may charge the applicant the same 5 permitting fees that the local agency would charge an applicant 6 seeking approval for the same -sized single-family or multifamily 7 residential housing unit in reviewing and approving a preapproved 8 housing plan submission. 9 10 (3) (A) (i) Single-family and multifamily residential housing 1 1 plans that are preapproved pursuant to this subdivision shall be 12 posted on the local agency's internet website. 13 (ii) The posting of a preapproved housing plan pursuant to clause 14 (1) shall not be considered an endorsement of the applicant or 15 approval of the applicant's application for a 16 single family or multifamily residential housing unit by the local 17 agency. 18 (B) (1) The local agency shall also post the contact information 19 of the applicant of a preapproved housing plan, as provided by the 20 applicant. 21 (ii) The local agency shall not be responsible for the accuracy 22 of the contact information posted pursuant to clause (i). 23 (C) A local agency shall remove a preapproved housing plan 24 from their internet website within 30 days of receiving a request 25 for removal from the applicant. 26 {3) 27 (4) A local agency may also admit plans that have been 28 developed and preapproved by the local agency for single-family 29 and multifamily residential housing plans into the program. 30 (5) Nothing in this section shall prevent a local agency from 31 voluntarily accepting or admitting additional plans at higher 32 densities in additional zoning districts into the preapproved 33 housing plan program, at the local agency's discretion. 34 (b) A local agency shall approve or deny an application for a 35 single-family or multifamily residential housing unit ministerially 36 without discretionary review, except that the local agency shall 37 either approve or deny the application within 30 days from the 38 date the local agency receives a completed application, if the lot 39 for which the application is proposed meet the soil conditions, 40 topography, flood zone, zoning regulations, and design review 98 Packet Pg. 281 AB 1206 — 4 — 6.d 1 standards for which the preapproved plan was designed and the 2 application utilizes either of the following: 3 (1) A plan for a single-family or multifamily residential housing 4 unit that has been preapproved by the local agency within the 5 current triennial California Building Standards Code rulemaking 6 cycle. 7 (2) A plan that is identical to a plan used in an application for 8 a single- or multifamily residential housing unit approved by the 9 local agency within the current triennial California Building 10 Standards Code rulemaking cycle. l l (c) For purposes of this seetiaii, "single fitmil section: 12 (1) "Local agency" means a city, county, or city and county. 13 (2) "Multifamlily residential housing unit" means a building 14 containing 2 to 10 residential units. 15 (3) "Single family residential housing ," " 16 residential hattsing tHiit," unit" has the 17 same meaning as those e tenz s am— defined in applicable housing 18 regulations. 19 (d) The Legislature finds and declares that the lack of housing 20 is a matter of statewide concern and is not a municipal affair as 21 that term is used in Section 5 of Article XI of the California 22 Constitution. Therefore, this section applies to all cities, including 23 charter cities. 24 SEC. 2. No reimbursement is required by this act pursuant to 25 Section 6 of Article XIIIB of the California Constitution because 26 a local agency or school district has the authority to levy service 27 charges, fees, or assessments sufficient to pay for the program or 28 level of service mandated by this act, within the meaning of Section 29 17556 of the Government Code. x 98 Packet Pg. 282 6.e AMENDED IN SENATE APRIL 1, 2025 SENATE BILL No. 677 Introduced by Senator Wiener (Coauthor: Assembly Member Wicks) February 21, 2025 An act to amend Section 4751 of the Civil Code, and to amend Sections 65852.21, 65913.4, and 66411.7 of the Government Code, to , ettt Seetiot 30500.1 of 4te Publie Resottfees r o l relating to land use. LEGISLATIVE COUNSEL'S DIGEST SB 677, as amended, Wiener. Housing development: streamlined approvals. (1) Existing law, the Planning and Zoning Law, requires a proposed housing development containing no more than 2 residential units within a single-family residential zone to be considered ministerially, without discretionary review or hearing, if the proposed housing development meets certain requirements. This bill would require ministerial approval for proposed housing developments containing no more than 2 residential units on any lot hosting a single-family home or zoned for 4 or fewer residential units, notwithstanding any covenant, condition, or restriction imposed by a common interest development association. Existing law prohibits ministerial approval for proposed housing developments that would require the demolition or alteration of housing that, among other things, has been occupied by a tenant in the last three years. This bill would provide an exception to that prohibition for housing located in a county subject to a state of emergency declaration, as 9s Packet Pg. 283 SB 677 — 2 — 6.e specified. The bill would also provide an exemption to the prohibition if a structure on the development site that includes at least one housing unit was involuntarily damaged or destroyed by an earthquake, other catastrophic event, or the public enemy. Existing law authorizes a local agency to impose objective zoning standards, objective subdivision standards, and objective design review standards on the proposed housing development, except as specified, including that (1) the imposed standards may not have the effect of physically precluding a unit from being at least 800 square feet in floor area, (2) a local agency's authority to impose, among other things, setbacks, is restricted, and (3) the local agency is prohibited from imposing standards that do not apply uniformly to development within the underlying zone. This bill would revise and recast those provisions to, among other things, as to the exceptions specified above, raise the minimum size of a unit to 1,750 net habitable square feet, revise a local agency's authority to impose setbacks, and, in addition to objective standards, prohibit a local agency from imposing permitting requirements that do not apply uniformly to development within the underlying zone, except as specified. The bill would prohibit a local agency from imposing a low-income deed restriction or covenant that restricts rents, as specified. The bill would prohibit local agencies from using or imposing any standards other than those provided by its provisions. Existing law authorizes a local agency to adopt an ordinance to implement these provisions. This bill would require a local agency that has adopted an ordinance to submit a copy of that ordinance to the Department of Housing and Community Development within 60 days after adoption, as specified. The bill would authorize the department to review the ordinance and submit written findings to the local agency as to whether the ordinance is in compliance with these provisions. Should the department conclude an ordinance is not in compliance, the bill would establish a process for the department to notify the local agency and the local agency to amend the ordinance or adopt the ordinance without changes, as provided. The bill would require the local agency to include the ordinance with the annual housing element report. The bill would prohibit a local agency from denying a proposed housing development due to the presence of preexisting issues under specified conditions, including that the issues do not present a threat to public health and safety. 98 Packet Pg. 284 — 3 — SR 677 6.e The bill would also require a local agency to provide applicants with a single application for a housing development that falls under these provisions and also involves an urban lot split to review both applications concurrently. This bill would prohibit the imposition of an impact fee, as defined, upon a proposed housing development that is less than 1,750 square feet and require any impact fees imposed on proposed developments of 1,750 square feet or greater to be charged proportionately. (2) The Planning and Zoning Law authorizes a development proponent to submit an application for a multifamily housing development that is subject to a streamlined, ministerial approval process, as provided, and not subject to a conditional use permit, if the development satisfies specified objective planning standards. These standards include that, among other things, the development is subject to a requirement mandating a minimum percentage of below market rate housing because the locality's latest production report reflects there were fewer units of affordable housing issued building permits than required for the regional housing needs assessment cycle for that period and the project seeking approval dedicates 50 percent of the units to affordable housing, as specified. The standards include that the development is not located on a site that meets specified environmental criteria. The standards also include that the development is not located on a site that would require the demolition of specified types housing, including, among others, a historic structure that was placed on a national, state, or local historic register. The bill would revise the first planning standard so that it would be met if a development meets the above -described criteria and dedicates 20 percent of the units to affordable housing, as specified. The bill would revise the second planning standard so that it would be met if a development is not located within a site that meets specified criteria. The bill would revise the third planning standard to instead include a development is not located on a site that would require the demolition of a property individually listed on the National Register of Historic Places or the California Register of Historical Resources historic or of a contributing structure located within a historic district included on the National Register of Historic Places or the California Register of Historical Resources. The bill would also exempt a proposed housing development from restrictions on demolition if a structure on the development site that includes at least one housing unit was involuntarily 98 Packet Pg. 285 SB 677 — 4 — 6.e damaged or destroyed by an earthquake, other catastrophic event, or the public enemy. Existing law provides that a development is consistent with the objective planning standards in these provisions if there is substantial evidence that would allow a reasonable person to conclude that the development is consistent and prohibits a local government from determining a development is in conflict on a specified basis, as provided. This bill would require the local government to beat- the burden of proof in any evaluation of a development related to compliance with objective planning standards related to specified environmental criteria, as provided. The bill would require a local government to demonstrate, with a preponderance of the evidence, that the development does not comply with the applicable environmental criteria established under state or federal law, as provided. Existing law defines a "reporting period" as either the first or last half of the regional housing needs assessment cycle. This bill would require the reporting period to instead include each quarter of the regional housing needs assessment cycle. (3) The Subdivision Map Act vests the authority to regulate and control the design and improvement of subdivisions in the legislative body of a local agency and sets forth procedures governing the local agency's processing, approval, conditional approval or disapproval, and filing of tentative, final, and parcel maps, and the modification of those maps. Existing law requires a local agency to ministerially approve a parcel map for an urban lot split that meets certain requirements, including that one parcel is not smaller than 40% of the lot area of the original parcel and the owner of the parcel being subdivided has not previously subdivided an adjacent parcel using an urban lot split, as provided. This bill would remove the requirement that one parcel of a split lot be no smaller than 40% of the lot area of the original parcel and would exempt both newly created lots from following certain additional requirements, as specified. The bill would also remove the prohibition against owners who have previously subdivided an adjacent parcel using an urban lot split. Existing law prohibits ministerial approval for a proposed urban lot split that would require the demolition or alteration of housing that, among other things, has been occupied by a tenant in the last three years. 98 Packet Pg. 286 — 5 — SR 677 6.e The bill would exempt a lot split from restrictions on demolition if a structure on the development site that includes at least one housing unit was involuntarily damaged or destroyed by an earthquake, other catastrophic event, or the public enemy. Existing law authorizes a local agency, except as provided, to impose objective zoning standards, objective subdivision standards, and objective design review standards related to the design or improvements of a parcel subject to an urban lot split, including that the imposed standards may not have the effect of physically precluding a unit being constructed on either of the resulting parcels from being at least 800 square feet. Existing law allows a local agency to require specified conditions when considering an application for a parcel map for an urban lot split, including access requirements. This bill would revise and recast those provisions to, among other things, prohibit a local agency from imposing standards that would have the effect of physically precluding an urban lot split from occurring or a unit being constructed on either of the resulting parcels from being at least 1,750 net habitable square feet. The bill would also revise and recast the restrictions on a local agency's authority to impose a setback, as provided. The bill would prohibit a local agency from imposing a driveway requirement width requirement, as provided. This bill would specify that a local agency's access requirement may not physically preclude the lot split from occurring if another access method would facilitate the lot split. The bill would require a local agency to provide applicants with a single application for an urban lot split that falls under these provisions and also includes a proposed housing development that falls under the provisions discussed above to review both applications concurrently. Under existing law, a local agency must require an applicant for an urban lot split to sign an affidavit stating that the applicant intends to occupy one of the housing units as their principal residence, as specified. This bill would remove the requirement that an applicant sign an affidavit stating that the applicant intends to occupy one of the housing units as their principal residence and prohibit a local agency from using or imposing any additional standards, except as specified. Existing law authorizes a local agency to adopt an ordinance to implement these provisions. This bill would require a local agency that has adopted an ordinance to submit a copy of that ordinance to the Department of Housing and Community Development within 60 days after adoption, as specified. 98 Packet Pg. 287 SB 677 — 6 — 6.e The bill would authorize the department to review the ordinance and submit written findings to the local agency as to whether the ordinance is in compliance with these provisions. Should the department conclude an ordinance is not in compliance, the bill would establish a process for the department to notify the local agency and the local agency to amend the ordinance or adopt the ordinance without changes, as provided. The bill would require a local agency to ministerially review a condominium map that would subdivide a specified housing development, as provided. The bill would prohibit the imposition of an impact fee upon an urban lot split, as specified. (4) Existing law authorizes a local agency, by ordinance, to provide for the creation of accessory dwelling units (ADUs) in areas zoned for residential use and requires ministerial approval of ADUs, as specified. Existing law, the Davis -Stirling Common interest Development Act, governs the management and operation of common interest developments. Existing law makes void and unenforceable any covenant, restriction, or condition contained in any deed, contract, security instrument, or other instrument affecting the transfer or sale of any interest in a planned development, and any provision of a governing document, that effectively prohibits or unreasonably restricts the construction or use of an accessory dwelling unit or junior accessory dwelling unit on a lot zoned for single-family residential use that meets the above -described requirements established for those units, except as provided. This bill would, additionally, apply the above -described provisions to housing developments and urban lot splits receiving ministerial approval, as specified. (5) Existing law, the California Coastal Act of 1976, establishes the California Coastal Commission and prescribes the powers and responsibilities of the commission with regard to the regulation of development along the California coast. This bill would express the intent of the T=egislalttfe to ae-hieve the goal of ittereasittg the supply of hattsitig itt the eoastal totte while also 98 Packet Pg. 288 —7— SR 677 6.e utbaft lof splits, as provided. The bill would speeify eriteria 4taf wott! allow a loeal government's amendment to be proeessed as de as speeified. Existing law specifies that proposed housing developments and urban lot splits considered ministerially under the above-descrihedprovisions ofthis bill may be required to obtain a coastal development permit, but a local agency is not required to hold public hearings for coastal development permit applications, as provided. This bill would instead specify that these provisions do not relieve a proposed housing development's or urban lot split's requirement to obtain a coastal development permit if the proposed activity would take place in the coastal zone, as provided. (6) The bill would define key terms and make nonsubstantive and conforming changes. (7) By increasing the duties of local agencies with respect to land use regulations, the bill would impose a state -mandated local program. (8) 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. (9) 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. Section 4751 of the Civil Code is amended to 2 read: 3 4751. (a) Any covenant, restriction, or condition contained in 4 any deed, contract, security instrument, or other instrument 5 affecting the transfer or sale of any interest in a planned 6 development, and any provision of a governing document, that 7 either effectively prohibits or unreasonably restricts the 8 construction or use of an accessory dwelling unit or junior 9 accessory dwelling unit on a lot zoned for single-family residential 10 use that meets the requirements of Article 2 (commencing with 1 1 Section 66314) or Article 3 (commencing with Section 66333) of 98 Packet Pg. 289 SB 677 — 8 — 6.e 1 Chapter 13 of Division 1 of Title 7, or of a housing development 2 pursuant to Section 65852.21 of the Government Code, or an urban 3 lot split pursuant to Section 66411.7 of the Government Code, is 4 void and unenforceable. 5 (b) This section does not apply to provisions that impose 6 reasonable restrictions on accessory dwelling units or junior 7 accessory dwelling units or a housing development pursuant to 8 Section 65852.21 of the Government Code or an urban lot split 9 pursuant to 66411.7 of the Government Code. For purposes of this 10 subdivision, "reasonable restrictions" means restrictions that do 1 1 not unreasonably increase the cost to construct, effectively prohibit 12 the construction of, or extinguish the ability to otherwise construct, 13 an accessory dwelling unit or junior accessory dwelling unit 14 consistent with the provisions of Article 2 (commencing with 15 Section 66314) or Article 3 (commencing with Section 66333) of 16 Chapter- 13 of Division 1 of Title 7, or a housing development 17 pursuant to Section 65852.21 of the Government Code, or an urban 18 lot split pursuant to Section 66411.7 of the Government Code. 19 SEC. 2. Section 65852.21 of the Government Code is amended 20 to read: 21 65852.21. (a) Notwithstanding any covenant, condition, or 22 restriction set by an association, a proposed housing development 23 containing no more than two residential units on any lot hosting 24 a single-family home or zoned for four or fewer residential units 25 shall be considered ministerially, without discretionary review or 26 a hearing, if the proposed housing development meets all of the 27 following requirements: 28 (1) The parcel subject to the proposed housing development is 29 located within a city, the boundaries of which include some portion 30 of either an urbanized area or urban cluster, as designated by the 31 United States Census Bureau, or, for unincorporated areas, a legal 32 parcel wholly within the boundaries of an urbanized area or urban 33 cluster, as designated by the United States Census Bureau. 34 (2) The parcel satisfies the requirements specified in 35 subparagraphs (B) to (K), inclusive, of paragraph (6) of subdivision 36 (a) of Section 65913.4. 37 (3) (A) Notwithstanding any provision of this section or any 38 local law, the proposed housing development would not require 39 demolition or alteration of any of the following types of housing: 98 Packet Pg. 290 — 9 — SR 677 6.e 1 (1) Housing that is subject to a recorded covenant, ordinance, 2 or law that restricts rents to levels affordable to persons and 3 families of moderate income, as defined in subdivision (m) of 4 Section 65582, or lower income, as defined in subdivision (0 of 5 Section 65582. 6 (ii) Housing that is subject to any form of rent or price control 7 through a public entity's valid exercise of its police power. 8 (iii) Housing that has been occupied by a tenant in the last three 9 years, except for housing in any county subject to a state of 10 emergency declaration by the Governor, pursuant to Section 8625, 11 provided the declaration was made prior to the date of tenancy, 12 and the housing is occupied by a tenant for no more than 24 months 13 from the date of the declaration. 14 (B) This paragraph shall not apply if a structure on the 15 development site that includes at least one housing unit was 16 involuntarily damaged or destroyed by an earthquake, other 17 catastrophic event, or the public enemy. 18 (4) The parcel subject to the proposed housing development is 19 not a parcel on which an owner of residential real property has 20 exercised the owner's rights under Chapter 12.75 (commencing 21 with Section 7060) of Division 7 of Title 1 to withdraw 22 accommodations from rent or lease within 15 years before the date 23 that the development proponent submits an application. 24 (5) The development is not located within a historic district or 25 property included on the State Historic Resources Inventory, as 26 defined in Section 5020.1 of the Public Resources Code, or within 27 a site that is designated or listed as a city or county landmark or 28 historic property or district pursuant to a city or county ordinance. 29 (b) (1) (A) Notwithstanding any local law and except as 30 provided in paragraphs (2) and (3), a local agency may impose 31 objective zoning standards, objective subdivision standards, and 32 objective design review standards that do not conflict with this 33 section. 34 (B) Notwithstanding subparagraph (A), a local agency may only 35 impose a front setback with respect to the original lot line. 36 (2) (A) The local agency shall not impose objective zoning 37 standards, objective subdivision standards, and objective design 38 standards that would have the effect of physically precluding the 39 construction of up to two units or that would physically preclude 98 Packet Pg. 291 SB 677 —10 — 6.e 1 either of the two units from being at least 1,750 net habitable square 2 feet in floor area. 3 (B) (i) Notwithstanding subparagraph (A), no setback, height 4 limitation, lot coverage limitation, floor area ratio, or other standard 5 that would limit residential development capacity shall be required 6 for an existing structure or a structure constructed in the same 7 location and within the same dimensions as an existing structure. 8 (ii) Notwithstanding subparagraph (A), in all other circumstances 9 not described in clause (i), a local agency may require a setback 10 from the original lot line of up to four feet fi-om the side and rear 1 1 lot lines. 12 (iii) A local agency shall not require a setback between the units, 13 except as required in the California Building Standards Code (Title 14 24 of the California Code of Regulations). 15 (3) A local agency shall not impose objective zoning standards, 16 objective subdivision standards, objective design standards, or 17 permitting requirements that do not apply uniformly to 18 development within the underlying zone. This subdivision shall 19 not prevent a local agency from adopting or imposing objective 20 zoning standards, objective subdivision standards, objective design 21 standards, or permitting requirements on development authorized 22 by this section if those standards are more permissive than 23 applicable standards within the underlying zone. 24 (4) A local agency shall not require a deed restriction or 25 covenant that restricts rents to the levels affordable to persons and 26 families of moderate income, as defined in subdivision (m) of 27 Section 65582, or lower income, as defined in subdivision (0 of 28 Section 65582. 29 (5) This section establishes the maximum standards that a local 30 agency shall use to evaluate a housing development proposed 31 pursuant to this section. No additional standards, other than those 32 provided in this section, shall be used or imposed, including an 33 owner occupancy requirement. 34 (c) A local agency may require any of the following conditions 35 when considering an application for two residential units as 36 provided for in this section: 37 (1) Offstreet parking of up to one space per unit, except that a 38 local agency shall not impose parking requirements in any of the 39 following instances: 98 Packet Pg. 292 —11— SR 677 6.e 1 (A) The parcel is located within one-half mile walking distance 2 of either a high -quality transit corridor, as defined in subdivision 3 (b) of Section 21 155 of the Public Resources Code, or a major 4 transit stop, as defined in Section 21064.3 of the Public Resources 5 Code. 6 (B) There is a car share vehicle located within one block of the 7 parcel. 8 (2) For residential units connected to an onsite wastewater 9 treatment system, a percolation test completed within the last 5 10 years, or, if the percolation test has been recertified, within the last 1 1 10 years. 12 (d) Notwithstanding subdivision (a), a local agency may deny 13 a proposed housing development project if the building official 14 makes a written finding, based upon a preponderance of the 15 evidence, that the proposed housing development project would 16 have a specific, adverse impact, as defined and determined in 17 paragraph (2) of subdivision (d) of Section 65589.5, upon public 18 health and safety for which there is no feasible method to 19 satisfactorily mitigate or avoid the specific, adverse impact. 20 (e) A local agency shall require that a rental of any unit created 21 pursuant to this section be for a term longer than 30 days. 22 (f) Notwithstanding Article 2 (commencing with Section 66314) 23 or Article 3 (commencing with Section 66333) of Chapter 13, a 24 local agency may permit an accessory dwelling unit or a junior 25 accessory dwelling unit on a parcel that uses the authority contained 26 within this section and that was created pursuant to the authority 27 contained in Section 6641 1.7. 28 (g) Notwithstanding subparagraph (B) of paragraph (2) of 29 subdivision (b), an application shall not be rejected solely because 30 it proposes adjacent or connected structures provided that the 31 structures meet building code safety standards and are sufficient 32 to allow separate conveyance. 33 (h) (1) An application for a proposed housing development 34 pursuant to this section shall be considered and approved or denied 35 within 60 days from the date the local agency receives a completed 36 application. If the local agency has not approved or denied the 37 completed application within 60 days, the application shall be 38 deemed approved. 39 (2) If a permitting agency denies an application for a proposed 40 housing development pursuant to paragraph (1), the permitting 98 Packet Pg. 293 SB 677 —12 — 6.e 1 agency shall, within the time period described in paragraph (1), 2 return in writing a full set of comments to the applicant with a list 3 of items that are defective or deficient and a description of how 4 the application can be remedied by the applicant. 5 (i) Local agencies shall include units constructed and any 6 ordinance adopted pursuant to this section in the annual housing 7 element report as required by subparagraph (I) of paragraph (2) 8 of subdivision (a) of Section 65400. 9 0) For purposes of this section, all of the following apply: 10 (1) A housing development contains two residential units if the 1 1 development proposes no more than two new units or if it proposes 12 to add one new unit to one existing unit. 13 (2) The terms "objective zoning standards," "objective 14 subdivision standards," and "objective design review standards" 15 mean standards that involve no personal or subjective judgment 16 by a public official and are uniformly verifiable by reference to 17 an external and uniform benchmark or criterion available and 18 knowable by both the development applicant or proponent and the 19 public official prior to submittal. These standards may be embodied 20 in alternative objective land use specifications adopted by a local 21 agency, and may include, but are not limited to, housing overlay 22 zones, specific plans, inclusionary zoning ordinances, and density 23 bonus ordinances. 24 (3) "Local agency" means a city, county, or city and county, 25 whether general law or chartered. 26 (4) "Association" has the same meaning as defined in Section 27 4080 of the Civi l Code. 28 (5) "Urbanized area" means an urbanized area designated by 29 the United States Census Bureau, as published in the Federal 30 Register, Volume 77, Number 59, on March 27, 2012. 31 (6) "Urban cluster" means an urbanized area designated by the 32 United States Census Bureau, as published in the Federal Register, 33 Volume 77, Number 59, on March 27, 2012. 34 (7) "Net habitable square feet" means the finished and heated 35 floor area fully enclosed by the inside surface of walls, windows, 36 doors, and partitions, and having a headroom of at least six and 37 one-half feet, including working, living, eating, cooking, sleeping, 38 stair, hall, service, and storage areas, but excluding garages, 39 carports, parking spaces, cellars, half -stories, and unfinished attics 40 and basements. 98 Packet Pg. 294 —13— SR 677 6.e 1 (k) A local agency may adopt an ordinance to implement the 2 provisions of this section. An ordinance adopted to implement this 3 section shall not be considered a project under Division 13 4 (commencing with Section 21000) of the Public Resources Code. 5 (1) A local agency shall submit a copy of the ordinance adopted 6 pursuant to this section to the department within 60 days after 7 adoption. After adoption of an ordinance, the department may 8 submit written findings to the local agency as to whether the 9 ordinance complies with this section. The local agency shall submit 10 a copy of any existing ordinance adopted pursuant to this section 1 1 to the department within 60 days of the date this act becomes 12 effective. 13 (2) (A) The department may review the ordinance and if the 14 department finds that the local agency's ordinance does not comply 15 with this section, the department shall notify the local agency and 16 shall provide the local agency with a reasonable time, not to exceed 17 30 days, to respond to the findings before taking any other action 18 authorized by this section. 19 (B) The local agency shall consider any findings made by the 20 department pursuant to paragraph (1) and shall do one of the 21 following: 22 (i) Amend the ordinance to comply with this section. 23 (ii) Adopt the ordinance without changes. The local agency 24 shall include findings in its resolution adopting the ordinance that 25 explain the reasons the local agency believes that the ordinance 26 complies with this section despite the findings of the department. 27 (3) if the local agency does not amend its ordinance in response 28 to the department's findings or does not adopt a resolution with 29 findings explaining the reason the ordinance complies with this 30 section and addressing the department's findings, the department 31 shall notify the local agency and may notify the Attorney General 32 that the local agency is in violation of state law. 33 (1) A local agency shall provide applicants with a single 34 application for a housing development pursuant to this section and 35 any urban lot split pursuant to Section 66411.7. Both applications 36 shall be reviewed concurrently. 37 (m) For a project located in the coastal zone, as specified in the 38 California Coastal Act of 1976 (Division 20 (commencing with 39 Section 30000) of the Public Resources Code), this section does 40 not relieve a project relying on the provisions of this section from 98 Packet Pg. 295 SB 677 —14 — 6.e 1 the requirement to obtain a coastal development permit as required 2 by Section 30600 of the Public Resources Code. Any standards to 3 which the applicant is entitled under this section shall be permitted 4 in a manner that is consistent with this section and does not result 5 in significant adverse impacts to coastal resources and public 6 coastal access pursuant to Chapter 3 (commencing with Section 7 30200) of Division 20 of the Public Resources Code. 8 (n) The local agency shall not deny an application for a permit 9 due to the presence of preexisting nonconforming zoning 10 conditions, building code violations, or unpermitted structures that 1 1 do not present a threat to public health and safety and are not 12 affected by the construction of the unit or units. 13 (o) (1) A local agency, special district, or water corporation 14 shall not impose any impact fee upon a housing development 15 proposed pursuant to this section of less than 1,750 square feet. 16 Any impact fees charged for a housing development proposed 17 pursuant to this section of 1,750 square feet or greater shall be 18 charged proportionately. 19 (2) For purposes of this subdivision, "impact fee" has the same 20 meaning as the term "fee" as defined in subdivision (b) of Section 21 66000, except that it also includes fees specified in Section 66477. 22 "impact fee" does not include any connection fee or capacity 23 charge charged by a local agency, special district, or water 24 corporation. 25 SEC. 3. Section 65913.4 of the Government Code is amended 26 to read: 27 65913.4. (a) Except as provided in subdivision (r), a 28 development proponent may submit an application for a 29 development that is subject to the streamlined, ministerial approval 30 process provided by subdivision (c) and is not subject to a 31 conditional use permit or any other nonlegislative discretionary 32 approval if the development complies with subdivision (b) and 33 satisfies all of the following objective planning standards: 34 (1) The development is a multifamily housing development that 35 contains two or more residential units. 36 (2) The development and the site on which it is located satisfy 37 all of the following: 38 (A) It is a legal parcel or parcels located in a city if, and only 39 if, the city boundaries include some portion of either an urbanized 40 area or urban cluster, as designated by the United States Census 98 Packet Pg. 296 —15 — SR 677 6.e 1 Bureau, or, for unincorporated areas, a legal parcel or parcels 2 wholly within the boundaries of an urbanized area or urban cluster, 3 as designated by the United States Census Bureau. 4 (B) At least 75 percent of the perimeter of the site adjoins parcels 5 that are developed with urban uses. For the purposes of this section, 6 parcels that are only separated by a street or highway shall be 7 considered to be adjoined. 8 (C) (1) A site that meets the requirements of clause (ii) and 9 satisfies any of the following: 10 (1) The site is zoned for residential use or residential mixed -use 11 development. 12 (II) The site has a general plan designation that allows residential 13 use or a mix of residential and nonresidential uses. 14 (III) The site meets the requirements of Section 65852.24. 15 (ii) At least two-thirds of the square footage of the development 16 is designated for residential use. Additional density, floor area, 17 and units, and any other concession, incentive, or waiver of 18 development standards granted pursuant to the Density Bonus Law 19 in Section 65915 shall be included in the square footage 20 calculation. The square footage of the development shall not 21 include underground space, such as basements or underground 22 parking garages. 23 (3) (A) The development proponent has committed to record, 24 prior to the issuance of the first building permit, a land use 25 restriction or covenant providing that any lower or 26 moderate -income housing units required pursuant to subparagraph 27 (B) of paragraph (4) shall remain available at affordable housing 28 costs or rent to persons and families of lower or moderate income 29 for no less than the following periods of time: 30 (1) Fifty-five years for units that are rented. 31 (ii) Forty-five years for units that are owned. 32 (B) The city or county shall require the recording of covenants 33 or restrictions implementing this paragraph for each parcel or unit 34 of real property included in the development. 35 (4) The development satisfies clause (i) or (ii) of subparagraph 36 (A) and satisfies subparagraph (B) below: 37 (A) (1) For a development located in a locality that is in its sixth 38 or earlier housing element cycle, the development is located in 39 either of the following: 98 Packet Pg. 297 SB 677 —16 — 6.e 1 (I) In a locality that the department has determined is subject 2 to this clause on the basis that the number of units that have been 3 issued building permits, as shown on the most recent production 4 report received by the department, is less than the locality's share 5 of the regional housing needs, by income category, for that 6 reporting period. A locality shall remain eligible under this 7 subclause until the department's determination for the next 8 reporting period. 9 (11) In a locality that the department has determined is subject 10 to this clause on the basis that the locality did not adopt a housing 1 1 element that has been found in substantial compliance with housing 12 element law (Article 10.6 (commencing with Section 65580) of 13 Chapter 3) by the department. A locality shall remain eligible under 14 this subclause until such time as the locality adopts a housing 15 element that has been found in substantial compliance with housing 16 element law (Article 10.6 (commencing with Section 65580) of 17 Chapter- 3) by the department. 18 (ii) For a development located in a locality that is in its seventh 19 or later housing element cycle, is located in a locality that the 20 department has determined is subject to this clause on the basis 21 that the locality did not adopt a housing element that has been 22 found in substantial compliance with housing element law (Article 23 10.6 (commencing with Section 65580) of Chapter- 3) by the 24 department by the statutory deadline, or that the number of units 25 that have been issued building permits, as shown on the most recent 26 production report received by the department, is less than the 27 locality's share of the regional housing needs, by income category, 28 for that reporting period. A locality shall remain eligible under 29 this subparagraph until the department's determination for the next 30 reporting period. 31 (B) The development is subject to a requirement mandating a 32 minimum percentage of below market rate housing based on one 33 of the following: 34 (i) The locality did not adopt a housing element pursuant to 35 Section 65588 that has been found in substantial compliance with 36 the housing element law (Article 10.6 (commencing with Section 37 65580) of Chapter 3) by the department, did not submit its latest 38 production report to the department by the time period required 39 by Section 65400, or that production report submitted to the 40 department reflects that there were fewer units of above 98 Packet Pg. 298 —17 — SB 677 6.e 1 moderate -income housing issued building permits than were 2 required for the regional housing needs assessment cycle for that 3 reporting period. In addition, if the project contains more than 10 4 units of housing, the project does one of the following: 5 (I) For for -rent projects, the project dedicates a minimum of 10 6 percent of the total number of units, before calculating any density 7 bonus, to housing affordable to households making at or below 50 8 percent of the area median income. However, if the locality has 9 adopted a local ordinance that requires that greater than 10 percent 10 of the units be dedicated to housing affordable to households 11 making below 50 percent of the area median income, that local 12 ordinance applies. 13 (II) For for -sale projects, the project dedicates a minimum of 14 10 percent of the total number of units, before calculating any 15 density bonus, to housing affordable to households making at or 16 below 80 percent of the area median income. However, if the 17 locality has adopted a local ordinance that requires that greater 18 than 10 percent of the units be dedicated to housing affordable to 19 households making below 80 percent of the area median income, 20 that local ordinance applies. 21 (111) (ia) If the project is located within the San Francisco Bay 22 area, the project, in lieu of complying with subclause (1) or (I1), 23 may opt to abide by this subclause. Projects utilizing this subclause 24 shall dedicate 20 percent of the total number of units, before 25 calculating any density bonus, to housing affordable to households 26 making below 100 percent of the area median income with the 27 average income of the units at or below 80 percent of the area 28 median income. However, a local ordinance adopted by the locality 29 applies if it requires greater than 20 percent of the units be 30 dedicated to housing affordable to households making at or below 31 100 percent of the area median income, or requires that any of the 32 units be dedicated at a level deeper than 100 percent. In order to 33 comply with this subclause, the rent or sale price charged for units 34 that are dedicated to housing affordable to households between 80 35 percent and 100 percent of the area median income shall not exceed 36 30 percent of the gross income of the household. 37 (ib) For purposes of this subclause, "San Francisco Bay area" 38 means the entire area within the territorial boundaries of the 39 Counties of Alameda, Contra Costa, Marin, Napa, San Mateo, 98 Packet Pg. 299 SB 677 —18 — 6.e 1 Santa Clara, Solano, and Sonoma, and the City and County of San 2 Francisco. 3 (ii) (I) The locality's latest production report reflects that there 4 were fewer units of housing issued building permits affordable to 5 either very low income or low-income households by income 6 category than were required for the regional housing needs 7 assessment cycle for that reporting period, and one of the following 8 conditions exist: 9 (ia) The project seeking approval dedicates 20 percent of the 10 total number of units, before calculating any density bonus, to 1 1 housing affordable to households making at or below 80 percent 12 of the area median income. 13 (ib) The project application was submitted prior to January 1, 14 2019, and the project includes at least 500 units of housing, the 15 project seeking approval or seeking a modification to a prior 16 approval dedicates 20 percent of the total number of units, before 17 calculating any density bonus, as affordable units, with at least 9 18 percent affordable to households making at or below 50 percent 19 of the area median income and the remainder affordable to 20 households making at or below 80 percent of the area median 21 income. 22 (1I) Notwithstanding the conditions described in sub-subclauses 23 (ia) and (ib) of subclause (I), if the locality has adopted a local 24 ordinance that requires that greater than 20 percent of the units be 25 dedicated to housing affordable to households making at or below 26 80 percent of the area median income, that local ordinance applies. 27 (11I) For purposes of this clause, the reference to units affordable 28 to very low income households includes units affordable to acutely 29 low income households, as defined in Section 50063.5 of the Health 30 and Safety Code, and to extremely low income households, as 31 defined in Section 50106 of the Health and Safety Code. 32 (iii) The locality did not submit its latest production report to 33 the department by the time period required by Section 65400, or- 34 if the production report reflects that there were fewer units of 35 housing affordable to both income levels described in clauses (i) 36 and (ii) that were issued building permits than were required for 37 the regional housing needs assessment cycle for that reporting 38 period, the project seeking approval may choose between utilizing 39 clause (i) or (ii). 98 Packet Pg. 300 —19 — SR 677 6.e 1 (C) (1) A development proponent that uses a unit of affordable 2 housing to satisfy the requirements of subparagraph (B) may also 3 satisfy any other local or state requirement for affordable housing, 4 including local ordinances or the Density Bonus Law in Section 5 65915, provided that the development proponent complies with 6 the applicable requirements in the state or local law. If a local 7 requirement for affordable housing requires units that are restricted 8 to households with incomes higher than the applicable income 9 limits required in subparagraph (B), then units that meet the 10 applicable income limits required in subparagraph (B) shall be 1 1 deemed to satisfy those local requirements for higher income units. 12 (ii) A development proponent that uses a unit of affordable 13 housing to satisfy any other state or local affordability requirement 14 may also satisfy the requirements of subparagraph (B), provided 15 that the development proponent complies with applicable 16 requirements of subparagraph (B). 17 (iii) A development proponent may satisfy the affordability 18 requirements of subparagraph (B) with a unit that is restricted to 19 households with incomes lower than the applicable income limits 20 required in subparagraph (B). 21 (D) The amendments to this subdivision made by the act adding 22 this subparagraph do not constitute a change in, but are declaratory 23 of, existing law. 24 (5) The development, excluding any additional density or any 25 other concessions, incentives, or waivers of development standards 26 for which the development is eligible pursuant to the Density Bonus 27 Law in Section 65915, is consistent with objective zoning 28 standards, objective subdivision standards, and objective design 29 review standards in effect at the time that the development is 30 submitted to the local government pursuant to this section, or at 31 the time a notice of intent is submitted pursuant to subdivision (b), 32 whichever occurs earlier. For purposes of this paragraph, "objective 33 zoning standards," "objective subdivision standards," and 34 "objective design review standards" mean standards that involve 35 no personal or subjective judgment by a public official and are 36 uniformly verifiable by reference to an external and uniform 37 benchmark or criterion available and knowable by both the 38 development applicant or proponent and the public official before 39 submittal. These standards may be embodied in alternative 40 objective land use specifications adopted by a city or county, and 98 Packet Pg. 301 SB 677 — 20 — 6.e 1 may include, but are not limited to, housing overlay zones, specific 2 plans, inclusionary zoning ordinances, and density bonus 3 ordinances, subject to the following: 4 (A) A development shall be deemed consistent with the objective 5 zoning standards related to housing density, as applicable, if the 6 density proposed is compliant with the maximum density allowed 7 within that land use designation, notwithstanding any specified 8 maximum unit allocation that may result in fewer units of housing 9 being permitted. 10 (B) In the event that objective zoning, general plan, subdivision, 11 or design review standards are mutually inconsistent, a 12 development shall be deemed consistent with the objective zoning 13 and subdivision standards pursuant to this subdivision if the 14 development is consistent with the standards set forth in the general 15 plan. 16 (C) It is the intent of the Legislature that the objective zoning 17 standards, objective subdivision standards, and objective design 18 review standards described in this paragraph be adopted or 19 amended in compliance with the requirements of Chapter 905 of 20 the Statutes of 2004. 21 (D) The amendments to this subdivision made by the act adding 22 this subparagraph do not constitute a change in, but are declaratory 23 of, existing law. 24 (E) A project that satisfies the requirements of Section 65852.24 25 shall be deemed consistent with objective zoning standards, 26 objective design standards, and objective subdivision standards if 27 the project is consistent with the provisions of subdivision (b) of 28 Section 65852.24 and if none of the square footage in the project 29 is designated for hotel, motel, bed and breakfast inn, or other 30 transient lodging use, except for a residential hotel. For purposes 31 of this subdivision, "residential hotel" shall have the same meaning 32 as defined in Section 50519 of the Health and Safety Code. 33 (6) The development is not located within any of the following: 34 (A) (i) An area of the coastal zone subject to paragraph (1) or 35 (2) of subdivision (a) of Section 30603 of the Public Resources 36 Code. 37 (ii) An area of the coastal zone that is not subject to a certified 38 local coastal program or a certified land use plan. 39 (iii) An area of the coastal zone that is vulnerable to five feet 40 of sea level rise, as determined by the National Oceanic and 98 Packet Pg. 302 —21— SR 677 6.e 1 Atmospheric Administration, the Ocean Protection Council, the 2 United States Geological Survey, the University of California, or 3 a local government's coastal hazards vulnerability assessment. 4 (iv) In a parcel within the coastal zone that is not zoned for 5 multifamily housing. 6 (v) In a parcel in the coastal zone and located on either of the 7 following: 8 (1) A 100-foot radius of, or on, a wetland, as defined in Section 9 30121 of the Public Resources Code. 10 (11) Prime agricultural land, as defined in Sections 30113 and 11 30241 of the Public Resources Code. 12 (B) Either prime farmland or farmland of statewide importance, 13 as defined pursuant to the United States Department ofAgriculture 14 land inventory and monitoring criteria, as modified for California, 15 and designated on the maps prepared by the Farmland Mapping 16 and Monitoring Program of the Department of Conservation, or 17 land zoned or designated for agricultural protection or preservation 18 by a local ballot measure that was approved by the voters of that 19 jurisdiction. 20 (C) Wetlands, as defined in the United States Fish and Wildlife 21 Service Manual, Part 660 FW 2 (June 21, 1993). 22 (D) A very high fire hazard severity zone, as determined by the 23 Department of Forestry and Fire Protection pursuant to Section 24 51178, or within the state responsibility area, as defined in Section 25 4102 of the Public Resources Code. This subparagraph does not 26 apply to sites that have adopted fire hazard mitigation measures 27 pursuant to existing building standards or state fire mitigation 28 measures applicable to the development, including, but not limited 29 to, standards established under all of the following or their 30 successor provisions: 31 (1) Section 4291 of the Public Resources Code or Section 51182, 32 as applicable. 33 (ii) Section 4290 of the Public Resources Code. 34 (iii) Chapter 7A of the California Building Code (Title 24 of 35 the California Code of Regulations). 36 (E) A hazardous waste site that is listed pursuant to Section 37 65962.5 or a hazardous waste site designated by the Department 38 of Toxic Substances Control pursuant to Section 25356 of the 39 Health and Safety Code, unless either of the following apply: 98 Packet Pg. 303 SB 677 — 22 — 6.e 1 (1) The site is an underground storage tank site that received a 2 uniform closure letter issued pursuant to subdivision (g) of Section 3 25296.10 of the Health and Safety Code based on closure criteria 4 established by the State Water Resources Control Board for 5 residential use or residential mixed uses. This section does not 6 alter or change the conditions to remove a site from the list of 7 hazardous waste sites listed pursuant to Section 65962.5. 8 (ii) The State Department of Public Health, State Water 9 Resources Control Board, Department of Toxic Substances Control, 10 or a local agency making a determination pursuant to subdivision 11 (c) of Section 25296.10 of the Health and Safety Code, has 12 otherwise determined that the site is suitable for residential use or 13 residential mixed uses. 14 (F) A delineated earthquake fault zone as determined by the 15 State Geologist in any official maps published by the State 16 Geologist, unless the development complies with applicable seismic 17 protection building code standards adopted by the California 18 Building Standards Commission under the California Building 19 Standards Law (Part 2.5 (commencing with Section 18901) of 20 Division 13 of the Health and Safety Code), and by any local 21 building department under Chapter 12.2 (commencing with Section 22 8875) of Division 1 of Title 2. 23 (G) A special flood hazard area subject to inundation by the 1 24 percent annual chance flood (100-year flood) as determined by 25 the Federal Emergency Management Agency in any official maps 26 published by the Federal Emergency Management Agency. If a 27 development proponent is able to satisfy all applicable federal 28 qualifying criteria in order to provide that the site satisfies this 29 subparagraph and is otherwise eligible for streamlined approval 30 under this section, a local government shall not deny the application 31 on the basis that the development proponent did not comply with 32 any additional permit requirement, standard, or action adopted by 33 that local government that is applicable to that site. A development 34 may be located on a site described in this subparagraph if either 35 of the following are met: 36 (1) The site has been subject to a Letter of Map Revision 37 prepared by the Federal Emergency Management Agency and 38 issued to the local jurisdiction. 39 (ii) The site meets Federal Emergency Management Agency 40 requirements necessary to meet minimum flood plain management 98 Packet Pg. 304 — 23 — SR 677 6.e 1 criteria of the National Flood Insurance Program pursuant to Part 2 59 (commencing with Section 59.1) and Part 60 (commencing 3 with Section 60.1) of Subchapter B of Chapter I of Title 44 of the 4 Code of Federal Regulations. 5 (H) A regulatory floodway as determined by the Federal 6 Emergency Management Agency in any official maps published 7 by the Federal Emergency Management Agency, unless the 8 development has received a no -rise certification in accordance 9 with Section 60.3(d)(3) of Title 44 of the Code of Federal 10 Regulations. If a development proponent is able to satisfy all 1 1 applicable federal qualifying criteria in order to provide that the 12 site satisfies this subparagraph and is otherwise eligible for 13 streamlined approval under this section, a local government shall 14 not deny the application on the basis that the development 15 proponent did not comply with any additional permit requirement, 16 standard, or action adopted by that local government that is 17 applicable to that site. 18 (I) Lands identified for conservation in an adopted natural 19 community conservation plan pursuant to the Natural Community 20 Conservation Planning Act (Chapter 10 (commencing with Section 21 2800) of Division 3 of the Fish and Game Code), habitat 22 conservation plan pursuant to the federal Endangered Species Act 23 of 1973 (16 U.S.C. Sec. 1531 et seq.), or other adopted natural 24 resource protection plan. 25 (J) Habitat for protected species identified as candidate, 26 sensitive, or species of special status by state or federal agencies, 27 fully protected species, or species protected by the federal 28 Endangered Species Act of 1973 (16 U.S.C. Sec. 1531 et seq.), 29 the California Endangered Species Act (Chapter 1.5 (commencing 30 with Section 2050) of Division 3 of the Fish and Game Code), or 31 the Native Plant Protection Act (Chapter 10 (commencing with 32 Section 1900) of Division 2 of the Fish and Game Code). 33 (K) Lands under conservation easement. 34 (7) (A) The development is not located on a site where any of 35 the following apply: 36 (1) The development would require the demolition of the 37 following types of housing: 38 (I) Housing that is subject to a recorded covenant, ordinance, 39 or law that restricts rents to levels affordable to persons and 40 families of moderate income, as defined in subdivision (m) of 98 Packet Pg. 305 SB 677 — 24 — 6.e 1 Section 65582, or lower income, as defined in subdivision (0 of 2 Section 65582. 3 (11) Housing that is subject to any form of rent or price control 4 through a public entity's valid exercise of its police power. 5 (11I) Housing that has been occupied by tenants within the past 6 10 years. 7 (ii) The site was previously used for housing that was occupied 8 by tenants that was demolished within 10 years before the 9 development proponent submits an application under this section. 10 (iii) The development would require the demolition of a property 11 individually listed on the National Register of Historic Places or 12 the California Register of Historical Resources or of a contributing 13 structure located within a historic district included on the National 14 Register of Historic Places or the California Register of Historical 15 Resources. 16 (iv) The property contains housing units that are occupied by 17 tenants, and units at the property are, or were, subsequently offered 18 for sale to the general public by the subdivider or subsequent owner 19 of the property. 20 (B) This paragraph shall not apply if a structure on the 21 development site that includes at least one housing unit was 22 involuntarily damaged or destroyed by an earthquake, other 23 catastrophic event, or the public enemy. 24 (8) Except as provided in paragraph (9), a proponent of a 25 development project approved by a local government pursuant to 26 this section shall require in contracts with construction contractors, 27 and shall certify to the local government, that the following 28 standards specified in this paragraph will be met in project 29 construction, as applicable: 30 (A) A development that is not in its entirety a public work for 31 purposes of Chapter 1 (commencing with Section 1720) of Part 7 32 of Division 2 of the Labor Code and approved by a local 33 government pursuant to Article 2 (commencing with Section 34 65912.1 10) or Article 3 (commencing with Section 65912.120) 35 shall be subject to all of the following: 36 (1) All construction workers employed in the execution of the 37 development shall be paid at least the general prevailing rate of 38 per diem wages for the type of work and geographic area, as 39 determined by the Director of industrial Relations pursuant to 40 Sections 1773 and 1773.9 of the Labor Code, except that 98 Packet Pg. 306 — 25 — SR 677 6.e 1 apprentices registered in programs approved by the Chief of the 2 Division of Apprenticeship Standards may be paid at least the 3 applicable apprentice prevailing rate. 4 (ii) The development proponent shall ensure that the prevailing 5 wage requirement is included in all contracts for the performance 6 of the work, and shall also provide notice of all contracts for the 7 performance of the work to the Department of Industrial Relations, 8 in accordance with Section 1773.35 of the Labor Code, for those 9 portions of the development that are not a public work. 10 (iii) A I I contractors and subcontractors for those portions of the 11 development that are not a public work shall comply with all of 12 the following: 13 (I) Pay to all construction workers employed in the execution 14 of the work at least the general prevailing rate of per diem wages, 15 except that apprentices registered in programs approved by the 16 Chief of the Division of Apprenticeship Standards may be paid at 17 least the applicable apprentice prevailing rate. 18 (II) Maintain and verify payroll records pursuant to Section 19 1776 of the Labor Code and make those records available for 20 inspection and copying as provided in that section. This subclause 21 does not apply if all contractors and subcontractors performing 22 work on the development are subject to a project labor agreement 23 that requires the payment of prevailing wages to all construction 24 workers employed in the execution of the development and 25 provides for enforcement of that obligation through an arbitration 26 procedure. For purposes of this subclause, "project labor 27 agreement" has the same meaning as set forth in paragraph (1) of 28 subdivision (b) of Section 2500 of the Public Contract Code. 29 (111) Be registered in accordance with Section 1725.6 of the 30 Labor Code. 31 (B) (1) The obligation of the contractors and subcontractors to 32 pay prevailing wages pursuant to this paragraph may be enforced 33 by any of the following: 34 (1) The Labor Commissioner through the issuance of a civil 35 wage and penalty assessment pursuant to Section 1741 of the Labor 36 Code, which may be reviewed pursuant to Section 1742 of the 37 Labor Code, within 18 months after the completion of the 38 development. 39 (11) An underpaid worker through an administrative complaint 40 or civil action. 98 Packet Pg. 307 SB 677 — 26 — 6.e 1 (III) A joint labor-management committee through a civil action 2 under Section 1771.2 of the Labor Code. 3 (ii) If a civil wage and penalty assessment is issued pursuant to 4 this paragraph, the contractor, subcontractor, and surety on a bond 5 or bonds issued to secure the payment of wages covered by the 6 assessment shall be liable for liquidated damages pursuant to 7 Section 1742.1 of the Labor Code. 8 (iii) This paragraph does not apply if all contractors and 9 subcontractors performing work on the development are subject 10 to a project labor agreement that requires the payment of prevailing 1 1 wages to all construction workers employed in the execution of 12 the development and provides for enforcement of that obligation 13 through an arbitration procedure. For purposes of this clause, 14 "project labor agreement" has the same meaning as set forth in 15 paragraph (1) of subdivision (b) of Section 2500 of the Public 16 Contract Code. 17 (C) Notwithstanding subdivision (c) of Section 1773.1 of the 18 Labor Code, the requirement that employer payments not reduce 19 the obligation to pay the hourly straight time or overtime wages 20 found to be prevailing does not apply to those portions of a 21 development that are not a public work if otherwise provided in a 22 bona fide collective bargaining agreement covering the worker. 23 (D) The requirement of this paragraph to pay at least the general 24 prevailing rate of per diem wages does not preclude use of an 25 alternative workweek schedule adopted pursuant to Section 511 26 or 514 of the Labor Code. 27 (E) A development of 50 or more housing units approved by a 28 local government pursuant to this section shall meet all of the 29 following labor standards: 30 (1) The development proponent shall require in contracts with 31 construction contractors and shall certify to the local government 32 that each contractor of any tier who will employ construction craft 33 employees or will let subcontracts for at least 1,000 hours shall 34 satisfy the requirements in clauses (ii) and (iii). A construction 35 contractor is deemed in compliance with clauses (ii) and (iii) if it 36 is signatory to a valid collective bargaining agreement that requires 37 utilization of registered apprentices and expenditures on health 38 care for employees and dependents. 39 (ii) A contractor with construction craft employees shall either 40 participate in an apprenticeship program approved by the California 98 Packet Pg. 308 — 27 — SR 677 6.e 1 Division of Apprenticeship Standards pursuant to Section 3075 of 2 the Labor Code, or request the dispatch of apprentices from a 3 state -approved apprenticeship program under the terms and 4 conditions set forth in Section 1777.5 of the Labor Code. A 5 contractor without construction craft employees shall show a 6 contractual obligation that its subcontractors comply with this 7 clause. 8 (iii) Each contractor with construction craft employees shall 9 make health care expenditures for each employee in an amount 10 per hour worked on the development equivalent to at least the 1 1 hourly pro rata cost of a Covered California Platinum level plan 12 for two adults 40 years of age and two dependents 0 to 14 years 13 of age for the Covered California rating area in which the 14 development is located. A contractor without construction craft 15 employees shall show a contractual obligation that its 16 subcontractors comply with this clause. Qualifying expenditures 17 shall be credited toward compliance with prevailing wage payment 18 requirements set forth in this paragraph. 19 (iv) (I) The development proponent shall provide to the local 20 government, on a monthly basis while its construction contracts 21 on the development are being performed, a report demonstrating 22 compliance with clauses (ii) and (iii). The reports shall be 23 considered public records under the California Public Records Act 24 (Division 10 (commencing with Section 7920.000) of Title 1) and 25 shall be open to public inspection. 26 (II) A development proponent that fails to provide the monthly 27 report shall be subject to a civil penalty for each month for which 28 the report has not been provided, in the amount of 10 percent of 29 the dollar value of construction work performed by that contractor 30 on the development in the month in question, up to a maximum 31 of ten thousand dollars ($10,000). Any contractor or subcontractor 32 that fails to comply with clauses (ii) and (iii) shall be subject to a 33 civil penalty of two hundred dollars ($200) per day for each worker 34 employed in contravention of clauses (ii) and (iii). 35 (III) Penalties may be assessed by the Labor Commissioner 36 within 18 months of completion of the development using the 37 procedures for issuance of civil wage and penalty assessments 38 specified in Section 1741 of the Labor Code, and may be reviewed 39 pursuant to Section 1742 of the Labor Code. Penalties shall be 98 Packet Pg. 309 SB 677 — 28 — 6.e 1 deposited in the State Public Works Enforcement Fund established 2 pursuant to Section 1771.3 of the Labor Code. 3 (v) Each construction contractor shall maintain and verify 4 payroll records pursuant to Section 1776 of the Labor Code. Each 5 construction contractor shall submit payroll records directly to the 6 Labor Commissioner at least monthly in a format prescribed by 7 the Labor Commissioner in accordance with subparagraph (A) of 8 paragraph (3) of subdivision (a) of Section 1771.4 of the Labor 9 Code. The records shall include a statement of fringe benefits. 10 Upon request by a joint labor-management cooperation committee 1 1 established pursuant to the federal Labor Management Cooperation 12 Act of 1978 (29 U.S.C. Sec. 175a), the records shall be provided 13 pursuant to subdivision (e) of Section 1776 of the Labor Code. 14 (vi) All construction contractors shall report any change in 15 apprenticeship program participation or health care expenditures 16 to the local government within 10 business days, and shall reflect 17 those changes on the monthly report. The reports shall be 18 considered public records pursuant to the California Public Records 19 Act (Division 10 (commencing with Section 7920.000) of Title 1) 20 and shall be open to public inspection. 21 (vii) A joint labor-management cooperation committee 22 established pursuant to the federal Labor Management Cooperation 23 Act of 1978 (29 U.S.C. Sec. 175a) shall have standing to sue a 24 construction contractor for failure to make health care expenditures 25 pursuant to clause (iii) in accordance with Section 218.7 or 218.8 26 of the Labor Code. 27 (F) For any project over 85 feet in height above grade, the 28 following skilled and trained workforce provisions apply: 29 (i) Except as provided in clause (ii), the developer shall enter 30 into construction contracts with prime contractors only if all of the 31 following are satisfied: 32 (I) The contract contains an enforceable commitment that the 33 prime contractor and subcontractors at every tier will use a skilled 34 and trained workforce, as defined in Section 2601 of the Public 35 Contract Code, to perform work on the project that falls within an 36 apprenticeable occupation in the building and construction trades. 37 However, this enforceable commitment requirement shall not apply 38 to any scopes of work where new bids are accepted pursuant to 39 subclause (1) of clause (ii). 98 Packet Pg. 310 — 29 — SR 677 6.e 1 (II) The developer or prime contractor shall establish minimum 2 bidding requirements for subcontractors that are objective to the 3 maximum extent possible. The developer or prime contractor shall 4 not impose any obstacles in the bid process for subcontractors that 5 go beyond what is reasonable and commercially customary. The 6 developer or prime contractor must accept bids submitted by any 7 bidder that meets the minimum criteria set forth in the bid 8 solicitation. 9 (111) The prime contractor has provided an affidavit under 10 penalty of perjury that, in compliance with this subparagraph, it 1 1 will use a skilled and trained workforce and will obtain from its 12 subcontractors an enforceable commitment to use a skilled and 13 trained workforce for each scope of work in which it receives at 14 least three bids attesting to satisfaction of the skilled and trained 15 workforce requirements. 16 (IV) When a prime contractor or subcontractor is required to 17 provide an enforceable commitment that a skilled and trained 18 workforce will be used to complete a contract or project, the 19 commitment shall be made in an enforceable agreement with the 20 developer that provides the following: 21 (ia) The prime contractor and subcontractors at every tier will 22 comply with this chapter. 23 (ib) The prime contractor- will provide the developer, on a 24 monthly basis while the project or contract is being performed, a 25 report demonstrating compliance by the prime contractor. 26 (ic) The prime contractor shall provide the developer, on a 27 monthly basis while the project or contract is being performed, 28 the monthly reports demonstrating compliance submitted to the 29 prime contractor by the affected subcontractors. 30 (ii) (I) If a prime contractor fails to receive at least three bids 31 in a scope of construction work from subcontractors that attest to 32 satisfying the skilled and trained workforce requirements as 33 described in this subparagraph, the prime contractor may accept 34 new bids for that scope of work. The prime contractor need not 35 require that a skilled and trained workforce be used by the 36 subcontractors for that scope of work. 37 (II) The requirements of this subparagraph shall not apply if all 38 contractors, subcontractors, and craft unions performing work on 39 the development are subject to a multicraft project labor agreement 40 that requires the payment of prevailing wages to all construction 98 Packet Pg. 311 SB 677 — 30 — 6.e 1 workers employed in the execution of the development and 2 provides for enforcement of that obligation through an arbitration 3 procedure. The multicraft project labor agreement shall include 4 all construction crafts with applicable coverage determinations for 5 the specified scopes of work on the project pursuant to Section 6 1773 of the Labor Code and shall be executed by all applicable 7 labor organizations regardless of affiliation. For purposes of this 8 clause, "project labor agreement" means a prehire collective 9 bargaining agreement that establishes terms and conditions of 10 employment for a specific construction project or projects and is l l an agreement described in Section l 58(f) of Title 29 of the United 12 States Code. 13 (III) Requirements set forth in this subparagraph shall not apply 14 to projects where 100 percent of the units, exclusive of a manager's 15 unit or units, are dedicated to lower income households, as defined 16 in Section 50079.5 of the Health and Safety Code. 17 (iii) If the skilled and trained workforce requirements of this 18 subparagraph apply, the prime contractor shall require 19 subcontractors to provide, and subcontractors on the project shall 20 provide, the following to the prime contractor: 21 (1) An affidavit signed under penalty of perjury that a skilled 22 and trained workforce shall be employed on the project. 23 (11) Reports on a monthly basis, while the project or contract is 24 being performed, demonstrating compliance with this chapter. 25 (iv) Upon issuing any invitation or bid solicitation for the 26 project, but no less than seven days before the bid is due, the 27 developer shall send a notice of the invitation or solicitation that 28 describes the project to the following entities within the jurisdiction 29 of the proposed project site: 30 (I) Any bona fide labor organization representing workers in 31 the building and construction trades who may perform work 32 necessary to complete the project and the local building and 33 construction trades council. 34 (11) Any organization representing contractors that may perform 35 work necessary to complete the project, including any contractors' 36 association or regional builders' exchange. 37 (v) The developer or prime contractor shall, within three 38 business days of a request by a joint labor-management cooperation 39 committee established pursuant to the federal Labor Management 98 Packet Pg. 312 — 31— SR 677 6.e 1 Cooperation Act of 1978 (29 U.S.C. Sec. 175a), provide all of the 2 following: 3 (1) The names and Contractors State License Board numbers of 4 the prime contractor and any subcontractors that submitted a 5 proposal or bid for the development project. 6 (II) The names and Contractors State License Board numbers 7 of contractors and subcontractors that are under contract to perform 8 construction work. 9 (vi) (1) For all projects subject to this subparagraph, the 10 development proponent shall provide to the locality, on a monthly 1 1 basis while the project or contract is being performed, a report 12 demonstrating that the self -performing prime contractor and all 13 subcontractors used a skilled and trained workforce, as defined in 14 Section 2601 of the Public Contract Code, unless otherwise exempt 15 under this subparagraph. A monthly report provided to the locality 16 pursuant to this subclause shall be a public record under the 17 California Public Records Act Division 10 (commencing with 18 Section 7920.000) of Title 1 and shall be open to public inspection. 19 A developer that fails to provide a complete monthly report shall 20 be subject to a civil penalty of 10 percent of the dollar value of 21 construction work performed by that contractor on the project in 22 the month in question, up to a maximum of ten thousand dollars 23 ($10,000) per month for each month for which the report has not 24 been provided. 25 (II) Any subcontractors or prime contractor self -performing 26 work subject to the skilled and trained workforce requirements 27 under this subparagraph that fail to use a skilled and trained 28 workforce shall be subject to a civil penalty of two hundred dollars 29 ($200) per day for each worker employed in contravention of the 30 skilled and trained workforce requirement. Penalties may be 31 assessed by the Labor Commissioner within 18 months of 32 completion of the project using the same issuance of civil wage 33 and penalty assessments pursuant to Section 1741 of the Labor 34 Code and may be reviewed pursuant to the same procedures in 35 Section 1742 of the Labor Code. Prime contractors shall not be 36 jointly liable for violations of this subparagraph by subcontractors. 37 Penalties shall be paid to the State Public Works Enforcement 38 Fund or the locality or its labor standards enforcement agency, 39 depending on the lead entity performing the enforcement work. 98 Packet Pg. 313 SB 677 — 32 — 6.e 1 (III) Any provision of a contract or agreement of any kind 2 between a developer and a prime contractor that purports to 3 delegate, transfer, or assign to a prime contractor any obligations 4 of or penalties incurred by a developer shall be deemed contrary 5 to public policy and shall be void and unenforceable. 6 (G) A locality, and any labor standards enforcement agency the 7 locality lawfully maintains, shall have standing to take 8 administrative action or sue a construction contractor for failure 9 to comply with this paragraph. A prevailing locality or labor 10 standards enforcement agency shall distribute any wages and 1 1 penalties to workers in accordance with law and retain any fees, 12 additional penalties, or assessments. 13 (9) Notwithstanding paragraph (8), a development that is subject 14 to approval pursuant to this section is exempt from any requirement 15 to pay prevailing wages, use a workforce participating in an 16 apprenticeship, or provide health care expenditures if it satisfies 17 both of the following: 18 (A) The project consists of 10 or fewer units. 19 (B) The project is not a public work for purposes of Chapter 1 20 (commencing with Section 1720) of Part 7 of Division 2 of the 21 Labor Code. 22 (10) The development shall not be upon an existing parcel of 23 land or site that is governed under the Mobilehome Residency Law 24 (Chapter 2.5 (commencing with Section 798) of Title 2 of Part 2 25 of Division 2 of the Civil Code), the Recreational Vehicle Park 26 Occupancy Law (Chapter 2.6 (commencing with Section 799.20) 27 of Title 2 of Part 2 of Division 2 of the Civil Code), the 28 Mobilehome Parks Act (Part 2.1 (commencing with Section 18200) 29 of Division 13 of the Health and Safety Code), or the Special 30 Occupancy Parks Act (Part 2.3 (commencing with Section 18860) 31 of Division 13 of the Health and Safety Code). 32 (b) (1) (A) (1) Before submitting an application for a 33 development subject to the streamlined, ministerial approval 34 process described in subdivision (c), the development proponent 35 shall submit to the local government a notice of its intent to submit 36 an application. The notice of intent shall be in the form of a 37 preliminary application that includes all of the information 38 described in Section 65941.1, as that section read on January 1, 39 2020. 98 Packet Pg. 314 — 33 — SR 677 6.e 1 (ii) Upon receipt of a notice of intent to submit an application 2 described in clause (1), the local government shall engage in a 3 scoping consultation regarding the proposed development with 4 any California Native American tribe that is traditionally and 5 culturally affiliated with the geographic area, as described in 6 Section 21080.3.1 of the Public Resources Code, of the proposed 7 development. In order to expedite compliance with this subdivision, 8 the local government shall contact the Native American Heritage 9 Commission for assistance in identifying any California Native 10 American tribe that is traditionally and culturally affiliated with 1 1 the geographic area of the proposed development. 12 (iii) The timeline for noticing and commencing a scoping 13 consultation in accordance with this subdivision shall be as follows: 14 (1) The local government shall provide a formal notice of a 15 development proponent's notice of intent to submit an application 16 described in clause (i) to each California Native American tribe 17 that is traditionally and culturally affiliated with the geographic 18 area of the proposed development within 30 days of receiving that 19 notice of intent. The formal notice provided pursuant to this 20 subclause shall include all of the following: 21 (ia) A description of the proposed development. 22 (ib) The location of the proposed development. 23 (ic) An invitation to engage in a scoping consultation in 24 accordance with this subdivision. 25 (Il) Each California Native American tribe that receives a formal 26 notice pursuant to this clause shall have 30 days from the receipt 27 of that notice to accept the invitation to engage in a scoping 28 consultation. 29 (111) if the local government receives a response accepting an 30 invitation to engage in a scoping consultation pursuant to this 31 subdivision, the local government shall commence the scoping 32 consultation within 30 days of receiving that response. 33 (B) The scoping consultation shall recognize that California 34 Native American tribes traditionally and culturally affiliated with 35 a geographic area have knowledge and expertise concerning the 36 resources at issue and shall take into account the cultural 37 significance of the resource to the culturally affiliated California 38 Native American tribe. 39 (C) The parties to a scoping consultation conducted pursuant 40 to this subdivision shall be the local government and any California 98 Packet Pg. 315 SB 677 — 34 — 6.e 1 Native American tribe traditionally and culturally affiliated with 2 the geographic area of the proposed development. More than one 3 California Native American tribe traditionally and culturally 4 affiliated with the geographic area of the proposed development 5 may participate in the scoping consultation. However, the local 6 government, upon the request of any California Native American 7 tribe traditionally and culturally affiliated with the geographic area 8 of the proposed development, shall engage in a separate scoping 9 consultation with that California Native American tribe. The 10 development proponent and its consultants may participate in a 1 1 scoping consultation process conducted pursuant to this subdivision 12 if all of the following conditions are met: 13 (1) The development proponent and its consultants agree to 14 respect the principles set forth in this subdivision. 15 (ii) The development proponent and its consultants engage in 16 the scoping consultation in good faith. 17 (iii) The California Native American tribe participating in the 18 scoping consultation approves the participation of the development 19 proponent and its consultants. The California Native American 20 tribe may rescind its approval at any time during the scoping 21 consultation, either for the duration of the scoping consultation or 22 with respect to any particular meeting or discussion held as part 23 of the scoping consultation. 24 (D) The participants to a scoping consultation pursuant to this 25 subdivision shall comply with all of the following confidentiality 26 requirements: 27 (i) Section 7927.000. 28 (ii) Section 7927.005. 29 (iii) Subdivision (c) of Section 21082.3 of the Public Resources 30 Code. 31 (iv) Subdivision (d) of Section 15120 of Title 14 of the 32 California Code of Regulations. 33 (v) Any additional confidentiality standards adopted by the 34 California Native American tribe participating in the scoping 35 consultation. 36 (E) The California Environmental Quality Act (Division 13 37 (commencing with Section 21000) of the Public Resources Code) 38 shall not apply to a scoping consultation conducted pursuant to 39 this subdivision. 98 Packet Pg. 316 — 35 — SR 677 6.e 1 (2) (A) If, after concluding the scoping consultation, the parties 2 find that no potential tribal cultural resource would be affected by 3 the proposed development, the development proponent may submit 4 an application for the proposed development that is subject to the 5 streamlined, ministerial approval process described in subdivision 6 (c). 7 (B) If, after concluding the scoping consultation, the parties 8 find that a potential tribal cultural resource could be affected by 9 the proposed development and an enforceable agreement is 10 documented between the California Native American tribe and the 1 1 local government on methods, measures, and conditions for tribal 12 cultural resource treatment, the development proponent may submit 13 the application for a development subject to the streamlined, 14 ministerial approval process described in subdivision (c). The local 15 government shall ensure that the enforceable agreement is included 16 in the requirements and conditions for the proposed development. 17 (C) If, after concluding the scoping consultation, the parties 18 find that a potential tribal cultural resource could be affected by 19 the proposed development and an enforceable agreement is not 20 documented between the California Native American tribe and the 21 local government regarding methods, measures, and conditions 22 for tribal cultural resource treatment, the development shall not 23 be eligible for the streamlined, ministerial approval process 24 described in subdivision (c). 25 (D) For purposes of this paragraph, a scoping consultation shall 26 be deemed to be concluded if either of the following occur: 27 (i) The parties to the scoping consultation document an 28 enforceable agreement concerning methods, measures, and 29 conditions to avoid or address potential impacts to tribal cultural 30 resources that are or may be present. 31 (ii) One or more parties to the scoping consultation, acting in 32 good faith and after reasonable effort, conclude that a mutual 33 agreement on methods, measures, and conditions to avoid or 34 address impacts to tribal cultural resources that are or may be 35 present cannot be reached. 36 (E) If the development or environmental setting substantially 37 changes after the completion of the scoping consultation, the local 38 government shall notify the California Native American tribe of 39 the changes and engage in a subsequent scoping consultation if 40 requested by the California Native American tribe. 98 Packet Pg. 317 SB 677 — 36 — 6.e 1 (3) A local government may only accept an application for 2 streamlined, ministerial approval pursuant to this section if one of 3 the following applies: 4 (A) A California Native American tribe that received a formal 5 notice of the development proponent's notice of intent to submit 6 an application pursuant to subclause (1) of clause (iii) of 7 subparagraph (A) of paragraph (1) did not accept the invitation to 8 engage in a scoping consultation. 9 (B) The California Native American tribe accepted an invitation 10 to engage in a scoping consultation pursuant to subclause (1I) of 1 1 clause (iii) of subparagraph (A) of paragraph (1) but substantially 12 failed to engage in the scoping consultation after repeated 13 documented attempts by the local government to engage the 14 California Native American tribe. 15 (C) The parties to a scoping consultation pursuant to this 16 subdivision find that no potential tribal cultural resource will be 17 affected by the proposed development pursuant to subparagraph 18 (A) of paragraph (2). 19 (D) A scoping consultation between a California Native 20 American tribe and the local government has occurred in 21 accordance with this subdivision and resulted in agreement 22 pursuant to subparagraph (B) of paragraph (2). 23 (4) A project shall not be eligible for the streamlined, ministerial 24 process described in subdivision (c) if any of the following apply: 25 (A) There is a tribal cultural resource that is on a national, state, 26 tribal, or local historic register list located on the site of the project. 27 (B) There is a potential tribal cultural resource that could be 28 affected by the proposed development and the parties to a scoping 29 consultation conducted pursuant to this subdivision do not 30 document an enforceable agreement on methods, measures, and 31 conditions for tribal cultural resource treatment, as described in 32 subparagraph (C) of paragraph (2). 33 (C) The parties to a scoping consultation conducted pursuant 34 to this subdivision do not agree as to whether a potential tribal 35 cultural resource will be affected by the proposed development. 36 (5) (A) If, after a scoping consultation conducted pursuant to 37 this subdivision, a project is not eligible for the streamlined, 38 ministerial approval process described in subdivision (c) for any 39 or all of the following reasons, the local government shall provide 40 written documentation of that fact, and an explanation of the reason 98 Packet Pg. 318 — 37 — SR 677 6.e 1 for which the project is not eligible, to the development proponent 2 and to any California Native American tribe that is a party to that 3 scoping consultation: 4 (i) There is a tribal cultural resource that is on a national, state, 5 tribal, or local historic register list located on the site of the project, 6 as described in subparagraph (A) of paragraph (4). 7 (ii) The parties to the scoping consultation have not documented 8 an enforceable agreement on methods, measures, and conditions 9 for tribal cultural resource treatment, as described in subparagraph 10 (C) of paragraph (2) and subparagraph (B) of paragraph (4). 11 (iii) The parties to the scoping consultation do not agree as to 12 whether a potential tribal cultural resource will be affected by the 13 proposed development, as described in subparagraph (C) of 14 paragraph (4). 15 (B) The written documentation provided to a development 16 proponent pursuant to this paragraph shall include information on 17 how the development proponent may seek a conditional use permit 18 or other discretionary approval of the development from the local 19 government. 20 (6) This section is not intended, and shall not be construed, to 21 limit consultation and discussion between a local government and 22 a California Native American tribe pursuant to other applicable 23 law, confidentiality provisions under other applicable law, the 24 protection of religious exercise to the fullest extent permitted under 25 state and federal law, or the ability of a California Native American 26 tribe to submit information to the local government or participate 27 in any process of the local government. 28 (7) For purposes of this subdivision: 29 (A) "Consultation" means the meaningful and timely process 30 of seeking, discussing, and considering carefully the views of 31 others, in a manner that is cognizant of all parties' cultural values 32 and, where feasible, seeking agreement. Consultation between 33 local governments and Native American tribes shall be conducted 34 in a way that is mutually respectful of each party's sovereignty. 35 Consultation shall also recognize the tribes' potential needs for 36 confidentiality with respect to places that have traditional tribal 37 cultural importance. A lead agency shall consult the tribal 38 consultation best practices described in the "State of California 39 Tribal Consultation Guidelines: Supplement to the General Plan 40 Guidelines" prepared by the Office of Planning and Research. 98 Packet Pg. 319 SB 677 — 38 — 6.e 1 (B) "Scoping" means the act of participating in early discussions 2 or investigations between the local government and California 3 Native American tribe, and the development proponent if 4 authorized by the California Native American tribe, regarding the 5 potential effects a proposed development could have on a potential 6 tribal cultural resource, as defined in Section 21074 of the Public 7 Resources Code, or California Native American tribe, as defined 8 in Section 21073 of the Public Resources Code. 9 (8) This subdivision shall not apply to any project that has been 10 approved under the streamlined, ministerial approval process 1 1 provided under this section before the effective date of the act 12 adding this subdivision. 13 (c) (1) Notwithstanding any local law, if a local government's 14 planning director or equivalent position determines that a 15 development submitted pursuant to this section is consistent with 16 the objective planning standards specified in subdivision (a) and 17 pursuant to paragraph (3) of this subdivision, the local government 18 shall approve the development. Upon a determination that a 19 development submitted pursuant to this section is in conflict with 20 any of the objective planning standards specified in subdivision 21 (a), the local government staff or relevant local planning and 22 permitting department that made the determination shall provide 23 the development proponent written documentation of which 24 standard or standards the development conflicts with, and an 25 explanation for the reason or reasons the development conflicts 26 with that standard or standards, as follows: 27 (A) Within 60 days of submittal of the development to the local 28 government pursuant to this section if the development contains 29 150 or fewer housing units. 30 (B) Within 90 days of submittal of the development to the local 31 government pursuant to this section if the development contains 32 more than 150 housing units. 33 (C) Within 30 days of submittal of any development proposal 34 that was resubmitted to address written feedback provided by the 35 local government pursuant to this paragraph. 36 (2) If the local government's planning director or equivalent 37 position fails to provide the required documentation pursuant to 38 paragraph (1), the development shall be deemed to satisfy the 39 objective planning standards specified in subdivision (a). 98 Packet Pg. 320 — 39 — SR 677 6.e 1 (3) For purposes of this section, and except as provided in 2 paragraph (4), a development is consistent with the objective 3 planning standards specified in subdivision (a) if there is substantial 4 evidence that would allow a reasonable person to conclude that 5 the development is consistent with the objective planning standards. 6 The local government shall not determine that a development, 7 including an application for a modification under subdivision (h), 8 is in conflict with the objective planning standards on the basis 9 that application materials are not included, if the application 10 contains substantial evidence that would al low a reasonable person 1 1 to conclude that the development is consistent with the objective 12 planning standards. 13 (4) Notwithstanding paragraph (3), in any evaluation of a 14 development under this section related to compliance with 15 paragraph (6) of subdivision (a), the local government shall bear 16 the burden of proof. it shall demonstrate, with a preponderance of 17 the evidence, that the development does not comply with applicable 18 environmental criteria established under state or federal law. This 19 demonstration shall include detailed written findings that specify 20 the environmental criteria the project fails to meet and provide a 21 clear linkage to the empirical or scientific evidence supporting 22 these written findings. 23 (5) Upon submittal of an application for streamlined, ministerial 24 approval pursuant to this section to the local government, all 25 departments of the local government that are required to issue an 26 approval of the development prior to the granting of an entitlement 27 shall comply with the requirements of this section within the time 28 periods specified in paragraph (1). 29 (d) (1) Any design review of the development maybe conducted 30 by the local government's planning commission or any equivalent 31 board or commission responsible for design review. That design 32 review shall be objective and be strictly focused on assessing 33 compliance with criteria required for streamlined projects, as well 34 as any reasonable objective design standards published and adopted 35 by ordinance or resolution by a local jurisdiction before submission 36 of a development application, and shall be broadly applicable to 37 development within the jurisdiction. That design review shall be 38 completed, and if the development is consistent with all objective 39 standards, the local government shall approve the development as 40 follows and shall not in any way inhibit, chill, or preclude the 98 Packet Pg. 321 SB 677 — 40 — 6.e 1 ministerial approval provided by this section or its effect, as 2 applicable: 3 (A) Within 90 days of submittal of the development to the local 4 government pursuant to this section if the development contains 5 150 or fewer housing units. 6 (B) Within 180 days of submittal of the development to the 7 local government pursuant to this section if the development 8 contains more than 150 housing units. 9 (2) An application for a subdivision pursuant to the Subdivision 10 Map Act (Division 2 (commencing with Section 66410)) shall be 1 1 exempt from the requirements of the California Environmental 12 Quality Act (Division 13 (commencing with Section 21000) of 13 the Public Resources Code) and shall be subject to the public 14 oversight timelines set forth in paragraph (1) if the development 15 is consistent with the requirements of this section, including, but 16 not limited to, paragraph (8) of subdivision (a), and all objective 17 subdivision standards in the local subdivision ordinance, and meets 18 at least one of the following requirements: 19 (A) The development has received or will receive financing or 20 funding by means of a low-income housing tax credit. 21 (B) The development is located on a legal parcel or parcels 22 within either of the following: 23 (i) An incorporated city, the boundaries of which include some 24 portion of an urbanized area. 25 (ii) An urbanized area or urban cluster in a county with a 26 population greater than 250,000 based on the most recent United 27 States Census Bureau data. 28 (iii) For purposes of this subparagraph, the following definitions 29 apply: 30 (I) "Urbanized area" means an urbanized area designated by 31 the United States Census Bureau, as published in the Federal 32 Register, Volume 77, Number 59, on March 27, 2012. 33 (11) "Urban cluster" means an urban cluster- designated by the 34 United States Census Bureau, as published in the Federal Register, 35 Volume 77, Number 59, on March 27, 2012. 36 (3) If a local government determines that a development 37 submitted pursuant to this section is in conflict with any of the 38 standards imposed pursuant to paragraph (1), it shall provide the 39 development proponent written documentation of which objective 40 standard or standards the development conflicts with, and an 98 Packet Pg. 322 — 41— SR 677 6.e 1 explanation for the reason or reasons the development conflicts 2 with that objective standard or standards consistent with the 3 timelines described in paragraph (1) of subdivision (c). 4 (e) (1) Notwithstanding any other law, a local government, 5 whether or not it has adopted an ordinance governing automobile 6 parking requirements in multifamily developments, shall not 7 impose automobile parking standards for a streamlined 8 development that was approved pursuant to this section in any of 9 the following instances: 10 (A) The development is located within one-half mile of public 11 transit. 12 (B) The development is located within an architecturally and 13 historically significant historic district. 14 (C) When on -street parking permits are required but not offered 15 to the occupants of the development. 16 (D) When there is a cat- share vehicle located within one block 17 of the development. 18 (2) If the development does not fall within any of the categories 19 described in paragraph (1), the local government shall not impose 20 automobile parking requirements for streamlined developments 21 approved pursuant to this section that exceed one parking space 22 per unit. 23 (f) Notwithstanding any law, a local government shall not 24 require any of the following prior to approving a development that 25 meets the requirements of this section: 26 (1) Studies, information, or other materials that do not pertain 27 directly to determining whether the development is consistent with 28 the objective planning standards applicable to the development. 29 (2) (A) Compliance with any standards necessary to receive a 30 postentitlement permit. 31 (B) This paragraph does not prohibit a local agency from 32 requiring compliance with any standards necessary to receive a 33 postentitlement permit after a permit has been issued pursuant to 34 this section. 35 (C) For purposes of this paragraph, "postentitlement permit" 36 has the same meaning as provided in subparagraph (A) of 37 paragraph (3) of subdivision 0) of Section 65913.3. 38 (g) (1) If a local government approves a development pursuant 39 to this section, then, notwithstanding any other law, that approval 98 Packet Pg. 323 SB 677 — 42 — 6.e 1 shall not expire if the project satisfies both of the following 2 requirements: 3 (A) The project includes public investment in housing 4 affordability, beyond tax credits. 5 (B) At least 50 percent of the units are affordable to households 6 making at or below 80 percent of the area median income. 7 (2) (A) If a local government approves a development pursuant 8 to this section, and the project does not satisfy the requirements 9 of subparagraphs (A) and (B) of paragraph (1), that approval shall 10 remain valid for three years from the date of the final action 1 1 establishing that approval, or if litigation is filed challenging that 12 approval, from the date of the final judgment upholding that 13 approval. Approval shall remain valid for a project provided 14 construction activity, including demolition and grading activity, 15 on the development site that has begun pursuant to a permit issued 16 by the local jurisdiction and is in progress. For purposes of this 17 subdivision, "in progress" means one of the following: 18 (1) The construction has begun and has not ceased for more than 19 180 days. 20 (ii) If the development requires multiple building permits, an 21 initial phase has been completed, and the project proponent has 22 applied for and is diligently pursuing a building permit for a 23 subsequent phase, provided that once it has been issued, the 24 building permit for the subsequent phase does not lapse. 25 (B) Notwithstanding subparagraph (A), a local government may 26 grant a project a one-time, one-year extension if the project 27 proponent can provide documentation that there has been 28 significant progress toward getting the development construction 29 ready, such as filing a building permit application. 30 (3) If the development proponent requests a modification 31 pursuant to subdivision (h), then the time during which the approval 32 shall remain valid shall be extended for the number of days 33 between the submittal of a modification request and the date of its 34 final approval, plus an additional 180 days to allow time to obtain 35 a building permit. If litigation is filed relating to the modification 36 request, the time shall be further extended during the pendency of 37 the litigation. The extension required by this paragraph shall only 38 apply to the first request for a modification submitted by the 39 development proponent. 98 Packet Pg. 324 — 43 — SR 677 6.e 1 (4) The amendments made to this subdivision by the act that 2 added this paragraph shall also be retroactively applied to 3 developments approved prior to January 1, 2022. 4 (h) (1) (A) A development proponent may request a 5 modification to a development that has been approved under the 6 streamlined, ministerial approval process provided in subdivision 7 (c) if that request is submitted to the local government before the 8 issuance of the final building permit required for construction of 9 the development. 10 (B) Except as provided in paragraph (3), the local government 1 1 shall approve a modification if it determines that the modification 12 is consistent with the objective planning standards specified in 13 subdivision (a) that were in effect when the original development 14 application was first submitted. 15 (C) The local government shall evaluate any modifications 16 requested pursuant to this subdivision for consistency with the 17 objective planning standards using the same assumptions and 18 analytical methodology that the local government originally used 19 to assess consistency for the development that was approved for 20 streamlined, ministerial approval pursuant to subdivision (c). 21 (D) A guideline that was adopted or amended by the department 22 pursuant to subdivision (n) after a development was approved 23 through the streamlined, ministerial approval process described in 24 subdivision (c) shall not be used as a basis to deny proposed 25 modifications. 26 (2) Upon receipt of the development proponent's application 27 requesting a modification, the local government shall determine 28 if the requested modification is consistent with the objective 29 planning standard and either approve or deny the modification 30 request within 60 days after submission of the modification, or 31 within 90 days if design review is required. 32 (3) Notwithstanding paragraph (1), the local government may 33 apply objective planning standards adopted after the development 34 application was first submitted to the requested modification in 35 any of the following instances: 36 (A) The development is revised such that the total square footage 37 of construction increases by 15 percent or more or the total number 38 of residential units decreases by 15 percent or more. The calculation 39 of the square footage of construction increases shall not include 40 underground space. 98 Packet Pg. 325 SB 677 — 44 — 6.e 1 (B) The development is revised such that the total square footage 2 of construction increases by 5 percent or more or the total number 3 of residential units decreases by 5 percent or more and it is 4 necessary to subject the development to an objective standard 5 beyond those in effect when the development application was 6 submitted in order to mitigate or avoid a specific, adverse impact, 7 as that term is defined in subparagraph (A) of paragraph (1) of 8 subdivision 0) of Section 65589.5, upon the public health or safety 9 and there is no feasible alternative method to satisfactorily mitigate 10 or avoid the adverse impact. The calculation of the square footage 1 1 of construction increases shall not include underground space. 12 (C) (1) Objective building standards contained in the California 13 Building Standards Code (Title 24 of the California Code of 14 Regulations), including, but not limited to, building plumbing, 15 electrical, fire, and grading codes, may be applied to all 16 modification applications that are submitted prior to the first 17 building permit application. Those standards may be applied to 18 modification applications submitted after the first building permit 19 application if agreed to by the development proponent. 20 (ii) The amendments made to clause (1) by the act that added 21 clause (i) shall also be retroactively applied to modification 22 applications submitted prior to January 1, 2022. 23 (4) The local government's review of a modification request 24 pursuant to this subdivision shall be strictly limited to determining 25 whether the modification, including any modification to previously 26 approved density bonus concessions or waivers, modify the 27 development's consistency with the objective planning standards 28 and shall not reconsider prior determinations that are not affected 29 by the modification. 30 (1) (1) A local government shall not adopt or impose any 31 requirement, including, but not limited to, increased fees or 32 inclusionary housing requirements, that applies to a project solely 33 or partially on the basis that the project is eligible to receive 34 ministerial or streamlined approval pursuant to this section. 35 (2) (A) A local government shall issue a subsequent permit 36 required for a development approved under this section if the 37 application substantially complies with the development as it was 38 approved pursuant to subdivision (c). Upon receipt of an 39 application for a subsequent permit, the local government shall 40 process the permit without unreasonable delay and shall not impose 98 Packet Pg. 326 — 45 — SR 677 6.e 1 any procedure or requirement that is not imposed on projects that 2 are not approved pursuant to this section. The local government 3 shall consider the application for subsequent permits based upon 4 the objective standards specified in any state or local laws that 5 were in effect when the original development application was 6 submitted, unless the development proponent agrees to a change 7 in objective standards. Issuance of subsequent permits shall 8 implement the approved development, and review of the permit 9 application shall not inhibit, chill, or preclude the development. 10 For purposes of this paragraph, a "subsequent permit" means a 1 1 permit required subsequent to receiving approval under subdivision 12 (c), and includes, but is not limited to, demolition, grading, 13 encroachment, and building permits and final maps, if necessary. 14 (B) The amendments made to subparagraph (A) by the act that 15 added this subparagraph shall also be retroactively applied to 16 subsequent permit applications submitted prior to January 1, 2022. 17 (3) (A) If a public improvement is necessary to implement a 18 development that is subject to the streamlined, ministerial approval 19 pursuant to this section, including, but not limited to, a bicycle 20 lane, sidewalk or walkway, public transit stop, driveway, street 21 paving or overlay, a curb or gutter, a modified intersection, a street 22 sign or street light, landscape or hardscape, an above -ground or 23 underground utility connection, a water line, fire hydrant, storm 24 or sanitary sewer connection, retaining wall, and any related work, 25 and that public improvement is located on land owned by the local 26 government, to the extent that the public improvement requires 27 approval from the local government, the local government shall 28 not exercise its discretion over any approval relating to the public 29 improvement in a manner that would inhibit, chill, or preclude the 30 development. 31 (B) If an application for a public improvement described in 32 subparagraph (A) is submitted to a local government, the local 33 government shall do all of the following: 34 (i) Consider the application based upon any objective standards 35 specified in any state or local laws that were in effect when the 36 original development application was submitted. 37 (ii) Conduct its review and approval in the same manner as it 38 would evaluate the public improvement if required by a project 39 that is not eligible to receive ministerial or streamlined approval 40 pursuant to this section. 98 Packet Pg. 327 SB 677 — 46 — 6.e 1 (C) If an application for a public improvement described in 2 subparagraph (A) is submitted to a local government, the local 3 government shall not do either of the following: 4 (i) Adopt or impose any requirement that applies to a project 5 solely or partially on the basis that the project is eligible to receive 6 ministerial or streamlined approval pursuant to this section. 7 (ii) Unreasonably delay in its consideration, review, or approval 8 of the application. 9 0) (1) This section shall not affect a development proponent's 10 ability to use any alternative streamlined by right permit processing 11 adopted by a local government, including the provisions of 12 subdivision (1) of Section 65583.2. 13 (2) This section shall not prevent a development from also 14 qualifying as a housing development project entitled to the 15 protections of Section 65589.5. This paragraph does not constitute 16 a change in, but is declaratory of, existing law. 17 (k) The California Environmental Quality Act (Division 13 18 (commencing with Section 21000) of the Public Resources Code) 19 does not apply to actions taken by a state agency, local government, 20 or the San Francisco Bay Area Rapid Transit District to: 21 (1) Lease, convey, or encumber land owned by the local 22 government or the San Francisco Bay Area Rapid Transit District 23 or to facilitate the lease, conveyance, or encumbrance of land 24 owned by the local government, or for the lease of land owned by 25 the San Francisco Bay Area Rapid Transit District in association 26 with an eligible TOD project, as defined pursuant to Section 27 29010.1 of the Public Utilities Code, not- to any decisions 28 associated with that lease, or to provide financial assistance to a 29 development that receives streamlined approval pursuant to this 30 section that is to be used for housing for persons and families of 31 very low, low, or moderate income, as defined in Section 50093 32 of the Health and Safety Code. 33 (2) Approve improvements located on land owned by the local 34 government or the San Francisco Bay Area Rapid Transit District 35 that are necessary to implement a development that receives 36 streamlined approval pursuant to this section that is to be used for 37 housing for persons and families of very low, low, or moderate 38 income, as defined in Section 50093 of the Health and Safety Code. 98 Packet Pg. 328 — 47 — SR 677 6.e 1 (i For purposes of establishing the total number of units in a 2 development under this chapter, a development or development 3 project includes both of the following: 4 (1) All projects developed on a site, regardless of when those 5 developments occur. 6 (2) All projects developed on sites adjacent to a site developed 7 pursuant to this chapter if, after January 1, 2023, the adjacent site 8 had been subdivided from the site developed pursuant to this 9 chapter. 10 (m) For purposes of this section, the following terms have the 1 1 following meanings: 12 (1) "Affordable housing cost" has the same meaning as set forth 13 in Section 50052.5 of the Health and Safety Code. 14 (2) (A) Subject to the qualification provided by subparagraphs 15 (B) and (C), "affordable rent" has the same meaning as set forth 16 in Section 50053 of the Health and Safety Code. 17 (B) For a development for which an application pursuant to this 18 section was submitted prior to January 1, 2019, that includes 500 19 units or more of housing, and that dedicates 20 percent of the total 20 number of units, before calculating any density bonus, to housing 21 affordable to households making at, or below, 80 percent of the 22 area median income, affordable rent for at least 30 percent of these 23 units shall be set at an affordable rent as defined in subparagraph 24 (A) and "affordable rent" for the remainder of these units shall 25 mean a rent that is consistent with the maximum rent levels for a 26 housing development that receives an allocation of state or federal 27 low-income housing tax credits from the California Tax Credit 28 Allocation Committee. 29 (C) For a development that dedicates 100 percent of units, 30 exclusive of a manager's unit or units, to lower income households, 31 "affordable rent" shall mean a rent that is consistent with the 32 maximum rent levels stipulated by the public program providing 33 financing for the development. 34 (3) "Department" means the Department of Housing and 35 Community Development. 36 (4) "Development proponent" means the developer who submits 37 a housing development project application to a local government 38 under the streamlined ministerial review process pursuant to this 39 section. 98 Packet Pg. 329 SB 677 — 48 — 6.e 1 (5) "Completed entitlements" means a housing development 2 that has received all the required land use approvals or entitlements 3 necessary for the issuance of a building permit. 4 (6) "Health care expenditures" include contributions under- 5 Section 401(a), 501(c), or 501(d) of the Internal Revenue Code 6 and payments toward "medical care," as defined in Section 7 213(d)(1) of the Internal Revenue Code. 8 (7) "Housing development project" has the same meaning as in 9 Section 65589.5. 10 (8) "Locality" or "local government" means a city, including a 1 1 charter city, a county, including a charter county, or a city and 12 county, including a charter city and county. 13 (9) "Moderate -income housing units" means housing units with 14 an affordable housing cost or affordable rent for persons and 15 families of moderate income, as that term is defined in Section 16 50093 of the Health and Safety Code. 17 (10) "Production report" means the information reported 18 pursuant to subparagraph (H) of paragraph (2) of subdivision (a) 19 of Section 65400. 20 (11) "State agency" includes every state office, officer, 21 department, division, bureau, board, and commission, but does not 22 include the California State University or the University of 23 California. 24 (12) (A) "Reporting period" means any of the following: 25 (1) The first quarter of the regional housing needs assessment 26 cycle. 27 (ii) The second quarter- of the regional housing needs assessment 28 cycle. 29 (iii) The third quarter of the regional housing needs assessment 30 cycle. 31 (iv) The last quarter of the regional housing needs assessment 32 cycle. 33 (B) Notwithstanding subparagraph (A), "reporting period" 34 means annually for the City and County of San Francisco. 35 (13) "Urban uses" means any current or former residential, 36 commercial, public institutional, public park that is surrounded by 37 other urban uses, parking lot or structure, transit or transportation 38 passenger facility, or retail use, or any combination of those uses. 39 (n) The department may review, adopt, amend, and repeal 40 guidelines to implement uniform standards or criteria that 98 Packet Pg. 330 — 49 — SR 677 6.e 1 supplement or clarify the terms, references, or standards set forth 2 in this section. Any guidelines or terms adopted pursuant to this 3 subdivision shall not be subject to Chapter 3.5 (commencing with 4 Section 1 1340) of Part 1 of Division 3 of Title 2 of the Government 5 Code. 6 (o) The determination of whether an application for a 7 development is subject to the streamlined ministerial approval 8 process provided by subdivision (c) is not a "project" as defined 9 in Section 21065 of the Public Resources Code. 10 (p) Notwithstanding any other law, for purposes of this section 1 1 and for development in compliance with the requirements of this 12 section on property owned by or leased to the state, the Department 13 of General Services may act in the place of a locality or local 14 government, at the discretion of the department. 15 (q) (1) For developments proposed in a census tract that is 16 designated either as a moderate resource area, low resource area, 17 or an area of high segregation and poverty on the most recent 18 "CTCAC/HCD Opportunity Map" published by the California 19 Tax Credit Allocation Committee and the Department of Housing 20 and Community Development, within 45 days after receiving a 21 notice of intent, as described in subdivision (b), and before the 22 development proponent submits an application for the proposed 23 development that is subject to the streamlined, ministerial approval 24 process described in subdivision (c), the local government shall 25 provide for a public meeting to be held by the city council or 26 county board of supervisors to provide an opportunity for the public 27 and the local government to comment on the development. 28 (2) The public meeting shall be held at a regular meeting and 29 be subject to the Ralph M. Brown Act (Chapter 9 (commencing 30 with Section 54950) of Part 1 of Division 2 of Title 5). 31 (3) If the development proposal is located within a city with a 32 population of greater than 250,000 or the unincorporated area of 33 a county with a population of greater than 250,000, the public 34 meeting shall be held by the jurisdiction's planning commission. 35 (4) Comments may be provided by testimony during the meeting 36 or in writing at any time before the meeting concludes. 37 (5) The development proponent shall attest in writing that it 38 attended the meeting described in paragraph (1) and reviewed the 39 public testimony and written comments from the meeting in its 40 application for the proposed development that is subject to the 98 Packet Pg. 331 SB 677 — 50 — 6.e 1 streamlined, ministerial approval process described in subdivision 2 (c). 3 (6) If the local government fails to hold the hearing described 4 in paragraph (1) within 45 days after receiving the notice of intent, 5 the development proponent shall hold a public meeting on the 6 proposed development before submitting an application pursuant 7 to this section. 8 (r) (1) This section shall not apply to applications for 9 developments proposed on qualified sites that are submitted on or 10 after January 1, 2024, but before July 1, 2025. 11 (2) For purposes of this subdivision, "qualified site" means a 12 site that meets the following requirements: 13 (A) The site is located within an equine or equestrian district 14 designated by a general plan or specific or master plan, which may 15 include a specific narrative reference to a geographically 16 determined area or map of the same. Parcels adjoined and only 17 separated by a street or highway shall be considered to be within 18 an equestrian district. 19 (B) As of January 1, 2024, the general plan applicable to the 20 site contains, and has contained for five or more years, an equine 21 or equestrian district designation where the site is located. 22 (C) As of January 1, 2024, the equine or equestrian district 23 applicable to the site is not zoned to include residential uses, but 24 authorizes residential uses with a conditional use permit. 25 (D) The applicable local government has an adopted housing 26 element that is compliant with applicable law. 27 (3) The Legislature finds and declares that the purpose of this 28 subdivision is to allow local governments to conduct general plan 29 updates to align their general plan with applicable zoning changes. 30 (s) The provisions of clause (iii) of subparagraph (E) of 31 paragraph (8) of subdivision (a) relating to health care expenditures 32 are distinct and severable from the remaining provisions of this 33 section. However, the remaining portions of paragraph (8) of 34 subdivision (a) are a material and integral part of this section and 35 are not severable. If any provision or application of paragraph (8) 36 of subdivision (a) is held invalid, this entire section shall be null 37 and void. 38 (t) (1) The changes made to this section by the act adding this 39 subdivision shall apply in a coastal zone, as defined in Division 98 Packet Pg. 332 — 51— SR 677 6.e 1 20 (commencing with Section 30000) of the Public Resources 2 Code, on and after January 1, 2025. 3 (2) In an area of the coastal zone not excluded under paragraph 4 (6) of subdivision (a), a development that satisfies the requirements 5 of subdivision (a) shall require a coastal development permit 6 pursuant to Chapter 7 (commencing with Section 30600) of 7 Division 20 of the Public Resources Code. A public agency with 8 coastal development permitting authority shall approve a coastal 9 development permit if it determines that the development is 10 consistent with all objective standards of the local government's 1 1 certified local coastal program or, for areas that are not subject to 12 a fully certified local coastal program, the certified land use plan 13 of that area. 14 (3) For purposes of this section, receipt of any density bonus, 15 concessions, incentives, waivers or reductions of development 16 standards, and parking ratios to which the applicant is entitled 17 under Section 65915 shall not constitute a basis to find the project 18 inconsistent with the local coastal program. 19 (u) It is the policy of the state that this section be interpreted 20 and implemented in a manner to afford the fullest possible weight 21 to the interest of, and the approval and provision of, increased 22 housing supply. 23 (v) This section shall remain in effect only until January 1, 2036, 24 and as of that date is repealed. 25 SEC. 4. Section 66411.7 of the Government Code is amended 26 to read: 27 66411.7. (a) Notwithstanding any other provision of this 28 division and any local law, a local agency shall ministerially 29 approve, as set forth in this section, a parcel map for an urban lot 30 split only if the local agency determines that the parcel map for 31 the urban lot split meets all the following requirements: 32 (1) The parcel map subdivides an existing parcel to create no 33 more than two new parcels. 34 (2) (A) Except as provided in subparagraph (B), both newly 35 created parcels are no smaller than 1,200 square feet. 36 (B) A local agency may by ordinance adopt a smaller minimum 37 lot size subject to ministerial approval under this subdivision. 38 (3) Newly created lots subdivided pursuant to this section are 39 not required to comply with any of the following requirements: 98 Packet Pg. 333 SB 677 —52— 6.e 1 2 3 4 5 6 7 8 9 ]0 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 (A) A minimum or maximum requirement on the size, width, depth, frontage, or dimensions of any individual parcel beyond the minimum parcel size specified in, or established pursuant to, paragraph (1) of subdivision (a) of this section. (B) The formation of an association. (C) A deed restriction or covenant that restricts rents to levels affordable to persons and families of moderate income, as defined in subdivision (m) of Section 65582, or lower income, as defined in subdivision (0 of Section 65582. (4) The parcel being subdivided meets all the following requirements: (A) The parcel is located within a residential zone. (B) The parcel subject to the proposed urban lot split is located within a city, the boundaries of which include some portion of either an urbanized area or urban cluster, as designated by the United States Census Bureau, or, for unincorporated areas, a legal parcel wholly within the boundaries of an urbanized area or urban cluster, as designated by the United States Census Bureau. (C) The parcel satisfies the requirements specified in subparagraphs (B) to (K), inclusive, of paragraph (6) of subdivision (a) of Section 65913.4. (D) (i) The proposed urban lot split would not require demolition or alteration of any of the following types of housing: (I) Housing that is subject to a recorded covenant, ordinance, or law that restricts rents to levels affordable to persons and families of moderate income, as defined in subdivision (m) of Section 65582, or lower- income, as defined in subdivision (0 of Section 65582. (11) Housing that is subject to any form of rent or price control through a public entity's valid exercise of its police power. (III) A parcel or parcels on which an owner of residential real property has exercised the owner's rights under Chapter 12.75 (commencing with Section 7060) of Division 7 of Title 1 to withdraw accommodations from rent or lease within 15 years before the date that the development proponent submits an application. (IV) Housing that has been occupied by a tenant in the last three years. (ii) This subparagraph shall not apply if a structure on the development site that includes at least one housing unit was 98 Packet Pg. 334 — 53 — SR 677 6.e 1 involuntarily damaged or destroyed by an earthquake, catastrophic 2 event, or the public enemy. 3 (E) The parcel is not located within a historic district or property 4 included on the State Historic Resources inventory, as defined in 5 Section 5020.1 of the Public Resources Code, or within a site that 6 is designated or listed as a city or county landmark or historic 7 property or district pursuant to a city or county ordinance. 8 (F) The parcel has not been established through prior exercise 9 of an urban lot split as provided for in this section. 10 (b) An application for a parcel map for an urban lot split shall 1 1 be approved in accordance with the following requirements: 12 (1) (A) A local agency shall approve or deny an application for 13 a parcel map for an urban lot split ministerially without 14 discretionary review. 15 (B) An application for an urban lot split shall be considered and 16 approved or denied within 60 days from the date the local agency 17 receives a completed application. if the local agency has not 18 approved or denied the completed application within 60 days, the 19 application shall be deemed approved. 20 (C) If a permitting agency denies an application for an urban 21 lot split pursuant to subparagraph (B), the permitting agency shall, 22 within the time period described in subparagraph (B), return in 23 writing a full set of comments to the applicant with a list of items 24 that are defective or deficient and a description of how the 25 application can be remedied by the applicant. 26 (D) Any action or proceeding to attack, review, set aside, void, 27 or annul the decision of a local agency concerning an urban lot 28 split, or of any proceeding, act, or determination taken, done, or 29 made prior to the decision, or to determine the reasonableness, 30 legality, or validity of any condition attached to the decision, 31 including, but not limited to, the approval of the urban lot split, 32 shall not be maintained by any person unless the action or 33 proceeding is commenced and service of summons effected in 34 accordance with Section 66499.37. This subparagraph is 35 declaratory of existing law. 36 (2) A local agency shall approve an urban lot split only if it 37 conforms to all applicable objective requirements of the 38 Subdivision Map Act (Division 2 (commencing with Section 39 66410)), except as otherwise expressly provided in this section. 98 Packet Pg. 335 SB 677 — 54 — 6.e 1 (3) Notwithstanding Section 66411.1, a local agency shall not 2 impose regulations that require dedications of rights -of -way or the 3 construction of offsite improvements for the parcels being created 4 as a condition of issuing a parcel map for an urban lot split pursuant 5 to this section. 6 (c) (1) Except as provided in this subdivision, notwithstanding 7 any local law, a local agency may impose objective zoning 8 standards, objective subdivision standards, and objective design 9 review standards that are related to the design or to improvements 10 of a parcel, consistent with paragraph (3) of subdivision (b) and 1 1 with subdivision (e), and are applicable to a parcel created by an 12 urban lot split that do not conflict with this section. 13 (2) A local agency shall not impose objective zoning standards, 14 objective subdivision standards, objective design review standards, 15 or permitting requirements that would have the effect of physically 16 precluding an urban lot split from occurring or the construction of 17 two units on either of the resulting parcels or that would result in 18 a unit size of less than 1,750 net habitable square feet. 19 (3) (A) Notwithstanding paragraph (2), no setback height 20 limitation, lot coverage limitation, floor area ratio, or other standard 21 that shall be required for an existing structure or a structure 22 constructed in the same location and within the dimensions as an 23 existing structure. 24 (B) Notwithstanding paragraph (2), in all other circumstances 25 not described in subparagraph (A), a local agency may require a 26 setback from the original lot line of up to four feet from the side 27 and rear lot lines. 28 (4) Notwithstanding paragraph (1), a local agency may only 29 impose a front setback with respect to the original lot line. 30 (5) Notwithstanding paragraph (1), a local agency shall not 31 require a setback between the units, except as required in the 32 California Building Standards Code (Title 24 of the California 33 Code of Regulations). 34 (6) Notwithstanding paragraph (1), a local agency shall not 35 impose a driveway width requirement that exceeds a driveway 36 width requirement applied uniformly to development within the 37 underlying zone. If the underlying zone does not have a driveway 38 width requirement, the local agency shall not impose a driveway 39 width greater than 10 feet if serving one lot, or 14 feet if serving 40 multiple lots. A driveway constructed pursuant to this paragraph 98 Packet Pg. 336 — 55 — SR 677 6.e 1 shall be considered sufficient to provide access to multiple units 2 either on a single lot, or multiple units that share an access 3 easement. 4 (d) Notwithstanding subdivision (a), a local agency may deny 5 an urban lot split if the building official makes a written finding, 6 based upon a preponderance of the evidence, that the proposed 7 housing development project would have a specific, adverse 8 impact, as defined and determined in paragraph (2) of subdivision 9 (d) of Section 65589.5, upon public health and safety for which 10 there is no feasible method to satisfactorily mitigate or avoid the 1 1 specific, adverse impact. 12 (e) A local agency may require any of the following conditions 13 when considering an application for a parcel map for an urban lot 14 split: 15 (1) Easements required for the provision of public services and 16 facilities. 17 (2) A requirement that the parcels have access to, provide access 18 to, or adjoin the public right-of-way. This paragraph should not 19 be interpreted as to allow a local agency to impose an access 20 method if it would physically preclude the lot split from occurring 21 while the use of another method would facilitate the lot split. 22 (3) Offstreet parking of up to one space per unit, except that a 23 local agency shall not impose parking requirements in any of the 24 following instances: 25 (A) The parcel is located within one-half mile walking distance 26 of either a high -quality transit corridor as defined in subdivision 27 (b) of Section 21155 of the Public Resources Code, or a major 28 transit stop as defined in Section 21064.3 of the Public Resources 29 Code. 30 (B) There is a car share vehicle located within one block of the 31 parcel. 32 (f) A local agency shall require that the uses allowed on a lot 33 created by this section be limited to residential uses. 34 (g) A local agency shall not use or impose any additional 35 standards, other than those provided in this section, including any 36 owner -occupant requirement. 37 (h) A local agency shall require that a rental of any unit created 38 pursuant to this section be for a term longer than 30 days. 39 (i) A local agency shall not require, as a condition for ministerial 40 approval of a parcel map application for the creation of an urban 98 Packet Pg. 337 SB 677 — 56 — 6.e 1 lot split, the correction of nonconforming zoning or subdivision 2 conditions. 3 0) (1) Notwithstanding any provision of Section 65852.21, 4 65915, Article 2 (commencing with Section 66314) or Article 3 5 (commencing with Section 66333) of Chapter 13 of Division 1, 6 or this section, a local agency shall not be required to permit more 7 than two units on a parcel created through the exercise of the 8 authority contained within this section. 9 (2) For the purposes of this section, "unit" means any dwelling 10 unit, including, but not limited to, a unit or units created pursuant 1 1 to Section 65852.21, a primary dwelling, an accessory dwelling 12 unit as defined in subdivision (a) of Section 66313, or a junior 13 accessory dwelling unit as defined in subdivision (d) of Section 14 66313. 15 (k) Notwithstanding paragraph (3) of subdivision (c), an 16 application shall not be rejected solely because it proposes adjacent 17 or connected structures provided that the structures meet building 18 code safety standards and are sufficient to allow separate 19 conveyance. 20 (� Local agencies shall include the number of applications for 21 parcel maps for urban lot splits pursuant to this section in the 22 annual housing element report as required by subparagraph (I) of 23 paragraph (2) of subdivision (a) of Section 65400. 24 (m) For purposes of this section, all of the following shall apply: 25 (1) "Objective zoning standards," "objective subdivision 26 standards," and "objective design review standards" mean standards 27 that involve no personal or subjective judgment by a public official 28 and are uniformly verifiable by reference to an external and 29 uniform benchmark or criterion available and knowable by both 30 the development applicant or proponent and the public official 31 prior to submittal. These standards may be embodied in alternative 32 objective land use specifications adopted by a local agency, and 33 may include, but are not limited to, housing overlay zones, specific 34 plans, inclusionary zoning ordinances, and density bonus 35 ordinances. 36 (2) "Local agency" means a city, county, or city and county, 37 whether general law or chartered. 38 (3) "Association" has the same meaning as defined in Section 39 4080 of the Civil Code. 98 Packet Pg. 338 — 57 — SR 677 6.e 1 (4) "Urbanized area" means an urbanized area designated by 2 the United States Census Bureau, as published in the Federal 3 Register, Volume 77, Number 59, on March 27, 2012. 4 (5) "Urban cluster" means an urbanized area designated by the 5 United States Census Bureau, as published in the Federal Register, 6 Volume 77, Number 59, on March 27, 2012. 7 (6) "Net habitable square feet" means the finished and heated 8 floor area fully enclosed by the inside surface of walls, windows, 9 doors, and partitions, and having a headroom of at least six and 10 one-half feet, including working, living, eating, cooking, sleeping, 11 stair, hall, service, and storage areas, but excluding garages, 12 carports, parking spaces, cellars, half -stories, and unfinished attics 13 and basements. 14 (n) A local agency may adopt an ordinance to implement the 15 provisions of this section. An ordinance adopted to implement this 16 section shall not be considered a project under Division 13 17 (commencing with Section 21000) of the Public Resources Code. 18 (o) (1) A local agency shall submit a copy of the ordinance 19 adopted pursuant to this section to the department within 60 days 20 after adoption. After adoption of an ordinance, the department may 21 submit written findings to the local agency as to whether the 22 ordinance complies with this section. The local agency shall submit 23 a copy of any existing ordinance adopted pursuant to this section 24 to the department within 60 days of the date this act becomes 25 effective. 26 (2) (A) If the department finds that the local agency's ordinance 27 does not comply with this section, the department shall notify the 28 local agency and shall provide the local agency with a reasonable 29 time, no longer than 30 days, to respond to the findings before 30 taking any other action authorized by this section. 31 (B) The local agency shall consider any findings made by the 32 department pursuant to paragraph (1) and shall do one of the 33 following: 34 (i) Amend the ordinance to comply with this section. 35 (ii) Adopt the ordinance without changes. The local agency 36 shall include findings in its resolution adopting the ordinance that 37 explain the reasons the local agency believes that the ordinance 38 complies with this section despite the findings of the department. 39 (3) If the local agency does not amend its ordinance in response 40 to the department's findings or does not adopt a resolution with 98 Packet Pg. 339 SB 677 — 58 — 6.e 1 findings explaining the reason the ordinance complies with this 2 section and addressing the department's findings, the department 3 shall notify the local agency and may notify the Attorney General 4 that the local agency is in violation of state law. 5 (p) A local agency shall ministerially review a condominium 6 map to subdivide a housing development built pursuant to Section 7 65852.21, consistent with the standards set out for an urban lot 8 split in this section. 9 (q) A local agency shall provide applicants with a single 10 application for an urban lot split pursuant to this section and any 11 housing development pursuant to Section 65852.21. Both 12 applications shall be reviewed concurrently. 13 (r) For a project located in the coastal zone, as specified in the 14 California Coastal Act of 1976 (Division 20 (commencing with 15 Section 30000) of the Public Resources Code), this section does 16 not relieve a project relying on the provisions of this section from 17 the requirement to obtain a coastal development permit as required 18 by Section 30600 of the Public Resources Code. Any standards to 19 which the applicant is entitled under this section shall be permitted 20 in a manner that is consistent with this section and does not result 21 in significant adverse impacts to coastal resources and public 22 coastal access pursuant to Chapter 3 (commencing with Section 23 30200) of Division 20 of the Public Resources Code. 24 (s) (1) A local agency, special district, or water corporation 25 shall not impose any impact fee upon an urban lot split proposed 26 pursuant to this section. 27 (2) For purposes of this subdivision, "impact fee" has the same 28 meaning as the term "fee" is defined in subdivision (b) of Section 29 66000, except that it also includes fees specified in Section 66477. 30 "Impact fee" does not include any connection fee or capacity 31 charge charged by a local agency, special district, or water 32 corporation. 33 SL-�5. Scetion 30500.1 of the Publie n esottrees Code is 34 aiznended to read! 35 30500.1. (a) it is the ititetit of the Legislaittre that this d�visiorx 37 hamottized so as to aehieve the goal of ittereasittg the supply -'Of 38 39 . 98 Packet Pg. 340 — 59 — SR 677 6.e 1 , 2 3government's 4 6 1 fh s l' 7 8 ' 9 ]0 11 Code or an utbaii lot split ptti-sttaiit to Seetiaii 66411.7 of the 12 13 14 , 15 16 aiid publie eoastal tteeess, 17 the laeal eoastal program, the amendment shal�be Pt",essed—as 18 . 19 20 SEC. 5. The Legislature finds and declares that Sections 2, 3, 21 4, and 5 and 4 of this act amending Sections 65852.21, 65913.4, 22 and 66411.7 of the Government Code and Seetion 30500.1 of`' 23 Publi e Resattrees Code address a matter of statewide concern rather 24 than a municipal affair as that term is used in Section 5 of Article 25 XI of the California Constitution. Therefore, Sections 2, 3, 4, aft 26 § and 4 of this act apply to all cities, including charter cities. 27 SEC. 7. 28 SEC. 6. No reimbursement is required by this act pursuant to 29 Section 6 of Article XITTB of the California Constitution because 30 a local agency or school district has the authority to levy service 31 charges, fees, or assessments sufficient to pay for the program or 32 level of service mandated by this act, within the meaning of Section 33 17556 of the Government Code. x 98 Packet Pg. 341