SR-407-000-05 (7)
F:\CityPlanning\Share\COUNCIL\STRPT\2005\Density Bonus Discussion(Final).doc 0 A
July 26, 2005 Santa Monica, California 0
J~L J 8 (000
AUG = 9 2005
TO:
Mayor and Councilmembers
FROM: City Staff
SUBJECT: Discussion Regarding State Density Bonus Requirements, Affordable and
Market Rate Housing in Santa Monica, Housing Development Incentives,
Options and Direction to Staff to Prepare an Ordinance Addressing Related
Inconsistencies Between State Law and Local Regulations
INTRODUCTION
Significant changes to the state's density bonus law became effective on January 1, 2005.
These new provisions, among other requirements, reduce the number of units that a
developer must provide in order to receive a density bonus and require the city to provide
three development incentives or concessions to facilitate the production of housing. The
law also requires cities and counties to bring local ordinances into compliance with state
law. Included with this report is a document prepared by the California Chapter of the
American Planning Association (CCAPA) that summarizes the changes and provides
answers to common questions (Attachment A). The attached document provides a concise
explanation that may be helpful in understanding the following sections of this report. Also
included is the actual language of SB 1818, chaptered as Government Code Sections
65915 - 65918 (Attachment B).
This report recommends that the City Council discuss the recent changes to state law,
provide direction on how best to align its requirements with local policies and objectives
regarding affordable housing, and direct staff to prepare an ordinance to comply with its
provisions.
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DISCUSSION
As detailed in the CCAPA document, a sliding scale is used in the new density bonus law
to increase the density bonus up to 35 percent, based on percentage increases to the
number of on-site affordable units proposed as part of the development. New parking
standards that supersede local requirements reduce, in some cases, the number of spaces
that would be required with local regulation and allow tandem configurations, which
previously were available only for parcels with narrow widths or with approval of a variance.
The number of incentives (up to three) required to be provided by the City to developers,
such as financial assistance or a reduction in development standards, to facilitate the
development of housing, is based on the percent of affordable housing units in the project.
These changes have the potential to profoundly impact the quality and character of
residential neighborhoods in the city, including commercial districts where housing is
permitted. Allowing greater density, reduced parking, and providing up to three
development incentives may increase the number of residents living in a particular
neighborhood, alter the way residents move around the city, and could result in larger
buildings. While the City has several incentives to encourage housing in the community, a
total of three incentives for each district that allows housing are currently not available.
Staff intends to evaluate alternative incentives based on Council direction and return with
an ordinance that aligns state law with local goals and policies.
Issues concerning land use density, urban design, parking and mobility are currently being
evaluated through the Land Use and Circulation Element project. but the need to promptly
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implement state regulations will require some decisions in advance of that effort to align
local goals with state law. All of these decisions, however, can be reevaluated as
appropriate when such matters are being considered in the General Plan effort.
As part of the staff evaluation of incentives, it may be necessary to prepare an economic
analysis to evaluate how each of the incentives will reduce costs to the developer, which is
a required criterion of state law. The level of environmental review required to implement a
future ordinance will also be evaluated and the appropriate course pursued. This effort will
take a minimum of two months, but possibly longer depending on the nature of this review.
In preparation of the ordinance, it would be helpful to know if there are certain incentives
the Council does not want staff to evaluate, because of conflicts with longstanding policies,
or, if there are other incentives that should be considered that are not identified below.
The City currently offers a variety of incentives for housing, including affordable housing, in
various districts throughout the City:
. In the SSC, C3, C3-C, and CM districts, floor area devoted to residential uses is
discounted fifty percent. In the BCD, C2, C4, and C6 districts, the City offers
increased floor area if at least 30 percent of the project floor area is residential.
. In the SSC, C3, C3-C, and C6 districts, the City eliminates the restriction on the
number of stories within the height limit that can be built if the structure contains at
least one floor of residential use and offers increased maximum heights to
projects with a designated number of floors of residential use.
. In the CM district, there is no limit to the number of stories within the height limit if
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at least 50 percent is residential. In the CP, R2, R3, and R4 districts, there is no
limit to the number of stories within the height limit if the project is affordable
housing.
. The City's Affordable Housing Production Program in-lieu fees are discounted for
residential development in commercial areas.
. In the asc, aCD, C2, C3, C3-C, C4, C5, ca, CM, CP, M1, LMSD, RVC, R2. R3,
and R4 districts, the floor area devoted to residential use is discounted 50 percent
when determining the threshold for a Development Review Permit.
Although the City currently provides these incentives, not every district that allows housing
has a total of three incentives. Staff will reassess the value of the above incentives in the
context of state law and further examine possible incentives related to increased building
heights and parcel coverage; reduced setbacks, open space and parking requirements;
application processing incentives; and, mixed use zoning (currently allowed in most
commercial districts and the M1 zone).
It is anticipated that there will be significant modifications to the development standards or
incentives offered in each zoning district that allows housing. A proposed ordinance may
include modifications to the Housing Development Incentives section in the Zoning
Ordinance (Part 9.04.10.14) and possible elimination, retention or expansion of some
existing incentives. In evaluating these various incentive alternatives, including preparation
of the associated financial analysis, it is important to understand if it is the City Council's
direction to add these incentives to the existing development standards set forth in these
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districts, or if consideration should be given to reducing building height and density or
increasing setbacks and open space requirements beyond current zoning standards in an
effort to minimize the impact of state law. Modifying existing development standards may
result in fewer or smaller dwelling units, less buildable floor area, and lowered building
heights for projects not qualifying as state density bonus projects.
BUDGET/FINANCIAL IMPACT
The recommendation presented in this report does not have any budget or fiscal impact.
Staff will prepare a scope of work for the necessary economic and environmental analysis.
If the work exceeds the amount authorized in the City Planning Division's professional
services account (01266.55060), staff will return to Council with a request for additional
budget allocations.
RECOMMENDATION
Staff recommends that the City Council discuss the recent changes to California's density
bonus law, provide direction on how best to align local objectives and policies regarding
affordable housing with State law, and direct staff to prepare an ordinance to comply with
State law.
Prepared by:
Andy Agle, Interim Director
Amanda Schachter, Planning Manager
Jonathan Lait, AICP, Principal Planner
Tony Kim, Associate Planner
Planning and Community Development Department
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Attachments:
A. CCAPA's Answers to Frequently Asked Questions Regarding 5B 1818 -
Changes to Density Bonus Law - 2005 (available online:
http://www.calapa.orQ/attachments/articles/15/5B-1818-Q-A-Final-1-26-05.pdf)
B. Government Code Sections 65915 - 65918 (available online:
http://www.leQinfo.ca .Qov/cgi-bin/displavcode?section=oov&oroup=6500 1-
66000&file=65915-65918)
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A IT ACHMENT A
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SB1818Q&A
CCAPA's Answers to Frequently Asked Questions Regarding
5B 1818 (Hollingsworth) - Changes to Density Bonus Law - 2005
Prepared by Vince Bertoni, AICP, Bertoni Civic Consulting & CCAPA Vice President for
Policy and Legislation; Barbara Kautz, Esq., FAICP, Goldfarb & Lipman, LLP; Vivian
Kahn, FAICP, Dyett & Bhatia; and Terry Rivasplata, AICP, Jones & Stokes Associates.
Background
The State of California enacted significant changes to the state's density bonus law,
which went into effect on January 1, 2005. The legislation, sa 1818 introduced by
Senator Hollingsworth (chaptered as Government Code Section 65915-65918), requires
cities and counties to overhaul their ordinances to bring them into conformance with new
state mandates. The previous law allowed for a 25% density bonus when housing
projects provided between 10- 20% of the units affordable (depending upon the level of
affordability). In addition, cities and counties needed to provide at least one
"concession" such as financial assistance or a reduction in development standards. The
new law significantly reduces the amount of units that a developer must provide in order
to receive a density bonus and requires cities and counties to provide between one to
three concessions, depending upon the percentage of affordable units that the developer
provides. It also imposes a new land donation rule, and statewide parking standards.
Given the sweeping changes that the state has put in effect, CCAPA received numerous
questions from its members regarding the new law and the following are answers to the
most frequently asked questions.
Please note that the information provided is the opinion of experts in State housing law,
but are not intended as legal advice. Please seek the guidance of your city attorney or
county counsel on implementing the provisions of the new law in your jurisdiction.
Major Provisions
Density Bonus. The number of affordable units that a developer must provide in order
to receive a density bonus is significantly reduced from prior law.
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If at least 5% of the units are affordable to Very Low income households or 10% of the
units are affordable to Low income households, then the project is eligible for a 20%
density bonus.
If 10% of condominium or planned development units are affordable to Moderate income
households, then the project is eligible to receive a 5% density bonus.
In addition, there is a sliding scale that requires:
?? an additional 2.5% density bonus for each additional increase of 1 % Very Low
income units above the initial 5% threshold;
?? a density increase of 1.5% for each additional 1 % increase in Low income units
above the initial 10% threshold; and
?? a 1 % density increase for each 1 % increase in Moderate income units above the
initial 1 0% threshold.
These bonuses reach a maximum density bonus of 35% when a project provides either
11 % Very Low income units, 20% Low income units, or 40% Moderate income units.
Continued Affordability. The continued affordability requirements for Very Low and
Low income units' have not changed. However, the requirements for Moderate income
condominium units have changed significantly. The new law specifies that the city or
county must insure that the initial occupants of Moderate income units meet the income
qualifications. However, upon resale of the units the seller retains the down payment,
the value of any improvements, and the seller's proportionate share of appreciation. The
city or county recaptures its proportionate share of appreciation and those funds must be
used within three years to promote Lower or Moderate income home ownership. It is
unclear whether these units must be sold at market rate, or if a city or county ean limit
appreciation (see Question 7 below).
Concessions and Incentives. Cities and counties must grant more "concessions or
incentives" reducing development standards, depending on the percentage of affordable
units provided. "Concessions and incentives" include reductions in zoning standards,
other development standards, design requirements, mixed use zoning, and any other
incentive that would reduce costs for the developer. Any project that meets the
minimum criteria for a density bonus is entitled to one concession from the Ipeal
government agency, increasing up to a maximum of three concessions depending upon
the amount of affordable housing provided. For example:
?? For projects that provide either 5% of the units affordable to Very Low income
households,10% of the units affordable to Lower Income households, or 25%
Moderate Income condominiums, then the developer is entitled to one
concession.
?? When the number of affordable units is increased to 10% Very Low income units,
20% Lower income units, or 20% Moderate income units, then the developer is
entitled to two concessions.
?? When the number of affordable units is increased to 15% Very Low income, 30%
Lower income, or 30% Moderate income units, then the number of concessions
is increased to three.
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Waivers and Modifications of "Development Standards." A city or county may not
impose a "development standard" that makes it infeasible to construct the housing
development with the proposed density bonus. In addition to requesting "incentives and
concessions," applicants may request the waiver of an unlimited number of
"development standards" by showing that the waivers are needed to make the project
economically feasible. The bill defines "development standards" as "site or construction
cond itions."
Land Donation. Additional density is available to projects that donate land for residential
use. The land must satisfy all of the following requirements:
a) have the appropriate general plan designation and zoning to permit construction
of units affordable to Very Low income households in an amount not less than
1 0% of the units in the residential development;
b) be at least one acre in size or of sufficient size to permit development of at least
40 units; and
c) be served by adequate public facilities and infrastructure.
The base density bonus is 15%, with increases in 1 % increments for each percentage
increase in the units that can be accommodated above the minimum 10% of the units
described in (a), up to a maximum of 35%. The maximum combined density bonus is
35% under all rules. When the land is transferred, it must have all of the permits and
approvals necessary for the development of the Very Low income housing units. The
land and affordable units must be subject to deed restrictions ensuring continued
afford ability. The city or county may require that the land be transferred to a developer
instead of the city.
Parking Standards. If a project qualifies for a density bonus, the developer may
request (and the City and County must grant) new parking standards for the entire
development project. The new standards are:
?? zero to one bedroom - one on-site parking space
?? two to three bedrooms - two onsite parking spaces
?? four or more bedrooms - two and one-half on-site parking spaces.
These numbers are inclusive of guest parking and handicapped parking and may be
tandem or uncovered (but cannot be on-street). The parking standards may be
requested even if no density bonus is requested.
Questions
1. Does this law apply to charter cities and charter counties?
Yes.
2. Can inclusionary requirements be imposed on the bonus units?
Most experts agree that inclusionary requirements cannot be imposed on the
density bonus units themselves. The reasoning is that the Legislature intended to
give developers market-rate units in exchange for affordable units. For instance,
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if a 1 OO-unit project becomes a 120-unit project after receiving a density bonus,
the inclusionary requirements may be imposed only on the original 1 00 units, not
the 20 bonus units. If a city has a 20% inclusionary requirement, normally the
city would require 24 inclusionary units in a 120-unit project (20% of 120 units).
However, if 20 units are density bonus units, then the 20% inclusionary
requirement can only be imposed on 100 units, requiring only 20 inclusionary
units (20% of 100 units). The net impact is that only 16.7% (20/120) of the total
units will be affordable inclusionary units, rather than 20% (24/120) as intended
by the inclusionary ordinance.
3. Do inclusionary units qualify a project for a density bonus?
The density bonus law applies when an applicant "seeks a density bonus" and
"agrees to construct" the required percentages of affordable units. There have
been two interpretations of this section.
Many localities interpret the bill to mean that if the inclusionary units meet the
requirements of the density bonus law, then the inclusionary units will qualify the
development for a density bonus. For instance, in these jurisdictions, if an
inclusionary ordinance requires that ten percent of the units be affordable to Low
income households, a project complying with the ordinance will be eligible for a
20% density bonus.
Other localities interpret this to mean that when a local jurisdiction imposes its
inclusionary housing requirement, the applicant is not "agreeing to construct" the
units and so is not eligible for a density bonus. The legislative history of the
amendments to S8 1818 confirms that the changes in the law were not intended
to affect an inclusionary zoning ordinance.
You may want to discuss this issue with your city or county attorney.
Note that no density bonus need be given in any case unless an applicant
actually "seeks"--applies for--the bonus, even if the project would otherwise be
eligible for a density bonus.
4. Can a developer successfully argue that the inclusionary requirements
make the project infeasible?
No. Developers can only request a waiver of "development standards" that make
a project infeasible. "Development standards" are defined as "site or construction
conditions." The proponents of the bill included this definition specifically so that
an inclusionary ordinance would not be considered a development standard. An
inclusionary ordinance doesn't regulate site or construction conditions; it only
affects the economics of the project. Consequently, a developer cannot request a
waiver by arguing that the inclusionary ordinance makes the project infeasible.
Some inclusionary ordinances do have requirements that might be considered to
be site and construction conditions such as requiring dispersal of units, similarity
in design to market-rate units, etc. Presumably a developer could try to show that
these are site or construction conditions and request that they be waived,
following the procedures discussed in Question 9.
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5. Can a city or county require design review for density bonus projects, even
if it renders the project infeasible?
The short answer is "no"--if, indeed, design reviewwill make the project
infeasible. As discussed in the previous question, no local agency can
apply any development standard that will preclude the development of a density
bonus project. How would this work in the case of design review? The process
of design review is not a development standard, so no waiver could be
requested. Design review conditions. however, usually involve site or
construction requirements, so would probably be considered to be "development
standards." The issue would most likely arise if an applicant argued that design
review conditions made the project infeasible and presented evidence showing
that the project would not be economically feasible with the conditions. Cities
and counties should consider including in their local ordinances a process for
evaluating requests for waivers including the type of economic information which
must accompany the request and how the information will be evaluated.
6. Can a city or county place additional resale restrictions on a Moderate
income condominium and planned developments?
If an applicant receives no public subsidy and agrees to impose the
equity-sharing required by SB 1818, the city or county cannot require additional
resale restrictions (see discussion in Question 7 below).
However, if a city or county has an inclusionary ordinance that requires Moderate
income units to have resale restrictions or longer periods of affordability, the city
is under no obligation to count as inclusionary units, those Moderate income
units that meet only density bonus standards. For instance, assume that a city
has a 15% Moderate income inclusionary requirement and requires a 55-year
resale restriction. A developer could propose 15% Moderate income units with
the equity-sharing required by SB 1818 and receive a density bonus. However,
since none of the units would meet the standards in the City's inclusionary
ordinance, the City would not be required to count any of the units as
inclusionary units. The developer would have to provide another 15% Moderate
income units meeting the City's standards for resale restrictions and 55 years of
affordability. In this case, most developers would choose to apply the city's
standards to their Moderate income units.
7. Is there a requirement for continued affordability for Moderate income
condominium and planned developments?
No, only the initial occupant must meet the affordable income criteria. After the
initial owner sells the unit, that person is entitled to receive the value of their
down payment, improvements to the property, and proportional share of the
appreciation of the unit. The City or County receives its proportional share of the
appreciation and must use that money within three years to promote affordable,
ownership housing.
The bill is not clear about how appreciation is defined. Proponents of the bill state
that it was intended to work as follows: if a locality makes a unit available for
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$200,000 to a moderate income purchaser but the unit has a value at the time of
purchase of $300,000, then the locality gets to recapture the $100,000 subsidy
upon resale. In addition, if the unit goes up in value another $30,000 between the
date or purchase and the date of resale, the locality and purchaser split the
appreciation per the formula in the bill. The bill does not specifically require that
the units be re-sold at fair market price, which may allow localities to impose
resale controls limiting the amount of appreciation.
8. If a developer is proposing a mixture of affordable housing types (i.e., 5%
Very Low plus 10% Low income units) how is the density bonus
calculated?
S8 1818 amended Government Code Section 65915 to delete the language in
subsection (I), which previously stipulated that an applicant who "agrees to
construct both 20 percent of the total units for Lower income households and 10
percent of the total units for Very Low income households is entitled to only one
density bonus and at least one additional concession or incentive". Localities
should assume, therefore, that if the proposed percentage of units by affordable
housing type meets or exceeds the thresholds stipulated in subsection (g) they
will have to grant the 20 percent density bonus to which the applicant is entitled
for each type of affordable housing that exceeds the threshold specified in
subsection (g) (1). Note, however, that this subsection now specifies that the
maximum density bonus to which an applicant is entitled is 35 percent, in
contrast to the previous requirement, which stated that the applicant was entitled
to a minimum bonus of 25 percent but did not specify a maximum. If the
applicant proposes a mixture of affordable housing types that meets or exceeds
the threshold for more than one housing type, he or she is, therefore, not entitled
to receive a bonus that exceeds 35 percent of the density that would otherwise
be allowed by applicable zoning and the land use element.
Neither the former version of Sec. 65915 nor the amendments in S8 1818
provide more guidance about how agencies should calculate the density bonus
for a project that includes a mixture of affordable housing types when the project
does not meet the specified thresholds for each affordable housing type. For
example, an applicant might propose to make 5 percent of the units affordable to
Very Low income households plus 5 percent affordable to Low.income
households. In that case, one way to calculate the bonus would be to grant the
incremental density allowed in subsection (g) for the Low income units (1.5
percent multiplied by 5 or a total of 7.5 percent for the Low income units) in
addition to the 20 percent bonus to which the applicant is entitled for the 5
percent Very Low income units.
Another way to calculate a mixture of affordable housing types it to first evaluate
the Very Low income units only. If a project has 5% Very Low income units then
it would be entitled to a 20% bonus. Then evaluate the 5% Low income units by
themselves. These don't qualify for any density bonus (10% Low income units
required). Then, consider all 1 0% of the units as Low income units. This again
permits a 20% bonus. Consequently, the project is only entitled to a 20% bonus.
(This has the effect of encouraging developers to have more Very Low income
units, since 8% Very Low income units would give the developer the 27.5%
density bonus.) Since the law is silent on which manner to calculate a density
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bonus for a mixture of income levels, it is important for the city or county to
choose a method and be clear and consistent in the implementation.
Also, cities and counties should amend their density bonus provisions to delete
any reference to the "one density bonus" limit that Sec. 65915 previously
imposed. They may want to amend their ordinances to also specify how to
calculate both the minimum and the maximum number of additional units that
might be granted pursuant to this section and to specify the 35 percent maximum
stipulated as a result of SB 1818.
9. Can a city or county require the developer to choose from a specific list of
concessions chosen by the local agency? What happens if they want a
concession that is not on the list?
A city or county can request that a developer choose a concession or incentive
from a list that the city or county has prepared as acceptable concessions;
however, under certain circumstances, the developer may be entitled to other
incentives not on the city or county list.
Section 65915 (I) defines "concession or incentive" as a reduction in site
development standards or a modification of zoning code requirements or
architectural design requirements that exceed the minimum building standards
approved by the California Building Standards Commission. Examples include a
reduction in setback and square footage requirements and reduction in parking
ratios. Approval of mixed use zoning is a "concession" if the non-residential use
is compatible with the housing project and the existing or planned development in
the area. In addition, the developer may propose other regulatory incentives or
concessions that result in "identifiable, financially sufficient, and actual cost
reductions"
Subsection (d)(1) does make clear that the city or county may refuse to grant a
concession or incentive if it makes certain findings based upon substantial
evidence. The type of evidence that would be required to support such findings
is spelled out in subsections (d)(1) (A) and (B) and includes a determination that
the concession or incentive is not required in order to provide the proposed
affordable housing units or "would have a specific adverse impact... upon public
health and safety or the physical environment or on any real property that is
listed in the California Register of Historical Resources" so long as there is no
way to mitigate or avoid the specific impact without making the development
unaffordable to Low and Moderate income households. As noted in subsection
(d)(3), these are essentially the same findings that Government code Section
65589.5 requires in order to deny or impose certain conditions on an affordable
housing development.
Local agencies are advised to pay close attention to these provisions because of
the penalties that subsection (e) imposes on localities that refuse to waive
standards and requirements in violation of the law. In addition to being ordered
to grant the requested waiver, the local agency may be liable for the plaintiff's
attorney's fees and litigation costs.
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In addition to the required concessions and incentives, note that subsection (f)
states that cities may not apply development standards that would preclude th~
development of the density bonus units. The applicant may request a waiver and
"shall show that the waiver or modification is necessary to make the housing
units economically feasible." Local agencies should, therefore, require that
applicants provide financial data showing that the proposed waiver or
modification is necessary to make the affordable units economically feasible.
Pursuant to subsection (d) (3), agencies should also amend their ordinances to
establish procedures for accommodating qualified projects by ''waiving or
modifying development and zoning standards that would otherwise inhibit the
utilization of the density bonus on specific sites." Applicants proposing qualified
projects should not be subjected to a variance procedure but, instead, should be
able to apply for an exception or waiver based on specific findings. including
economic considerations, that are spelled out in the ordinance.
10. Do the new reduced parking requirements apply to the affordable units
only or to the entire project?
The new parking standards apply to the entire project, both affordable and
market rate units but only upon request of the developer.
11. Can cities and counties require guest parking for affordable projects?
No. The new parking standards that apply upon request of the developer are
inclusive of guest parking and handicapped parking. It should be noted that state
law cannot preempt federal ADA requirements.
12. Does a city or county need to conduct a CEQA analysis prior to adopting
changes to their local ordinances in order to comply with the new law?
Yes. A change in zoning or other land use ordinance is a project subject to
CEQA (State CEQA Guidelines Section 15378(a)[1]; Bozung v. LAFCO [1975] 13
Cal.3d 263). Under CEQA, the baseline for determining the significance of a
project is the existing environment. 5B 1818 will require agencies to adopt
ordinances that may result in significant indirect effects on the environment by
reducing the effectiveness of existing protective standards. Adopting new, less
restrictive standards may result in a significant effect.
For example, in City of Redlands, et al. v. County of San Bernardino (2002) 96
Cal.App.4th 398, Redlands and other cities sued San Bernardino County over a
general plan amendment which modified existing County general plan provisions
relating to development within City spheres of influence. Where previous County
policy had been to defer to City development standards within the spheres
(including more restrictive regulations and growth control measures), the general
plan amendment would have provided the County more leeway to approve
projects that did not conform to City standards. The County adopted a negative
declaration for the general plan amendment.
The court found that the County's initial study "does not provide evidence to
show how such a shift in policy would have little or no effect on the environment."
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The court noted that "CEQA reaches beyond mere changes in the language in
the agency's policy to the ultimate consequences of such changes to the physical
environment." Although the CEQA analysis is not required to be as detailed as a
project-specific analysis, it is required to analyze the expected secondary effects
of the general plan amendment. The cities presented substantial evidence, in
the form of specific examples of city standards that were more restrictive than
County standards and that would no longer be required within unincorporated
spheres if the general plan amendment were approved, that the general plan
amendment may have a significant effect. The court ordered preparation of an
EIR.
13. Are affordable projects exempt from CEQA or can a local government
agency require negative declarations or environmental impact reports for
affordable projects with inadequate parking?
SB 1818 does not establish an exemption from CEQA requirements. The
regulatory concessions that must be offered to a qualifying project do not and
cannot include non-compliance with CEQA. CEQA operates independently of
SB 1818 and is not limited by that statute. However, a project may qualify for a
categorical exemption under State CEQA Guidelines Section 15332 (Infill
Development Projects) if it meets the criteria set out in that section and is not
subject to any of the exceptions established under Section 15300.2.
Separately, Public Resources Section 21159.24 provides a qualified, statutory
exemption for specified inclusionary intill housing projects. This exemption would
not apply if there is "a reasonable possibility that the project will have a project-
specific, significant effect on the environment due to unusual circumstances."
An agency must prepare an initial study for any project (including an affordable
project) that is not exempt from CEQA. If there is substantial evidence (e.g.,
facts or expert opinion based on facts) that the project may result in a significant
effect on the environment, an EIR must be prepared. If there is no substantial
evidence to that effect, a negative declaration or mitigated negative declaration
can be prepared.
The baseline for determining the significance of a project impact is the existing
environment. The significance of a project's impacts depends upon the extent of
adverse change to the environment that would result from the project. Where a
project involves a density bonus, the "project" for purposes of CEQA is the
proposed activity including the bonus and any related concessions.
Government Code Section 65915 comprises the density bonus law. Subdivision
(d) authorizes a local agency to deny a proposed incentive/concession when
there is substantial evidence that the incentive/concession would have a "specific
adverse impact" on "public health and safety" (as defined in Government Code
Section 65589.5(d)[2]), or the physical environment, or on a property listed on the
California Register of Historical Resources and there is "no feasible method to
satisfactorily mitigate or avoid the specific adverse impact without rendering the
development unaffordable to low- and moderate-income households." This
would authorize an agency to deny a proposed incentive/concession when an
EIR has been prepared that identifies significant project impacts that either
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cannot be avoided or that could be mitigated, but the mitigation would make the
project unaffordable. Because a mitigated negative declaration can only be
released when the applicant has agreed to the mitigation measures, a local
agency could also deny incentives/concessions on the basis of an initial study if
the applicant was unwilling to agree to the mitigation measures due to cost. The
EIR or the initial study would provide the "substantial evidence" necessary to
support denial under Section 6S915(d).
It is important to note that the clear intent of the legislation is to facilitate the
construction of affordable housing through density bonuses and reductions in
local development standards. Therefore, the CEQA analysis conducted by the
city or county should focus on reasonable CEQA impacts, and not as a potential
loophole to make the process of building affordable housing more difficult.
1333 36th Street .es Sacramento. CA 95816 .es(916)736-2434.esFAX (916)456-1283
www.calapa.org
10
ATTACHMENT B
CA Codes (gov:65915-65918)
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GOVERNMENT CODE
SECTION 65915-65918
65915. (a) When an applicant seeks a density bonus for a housing
development within, or for the donation of land for housing within,
the jurisdiction of a city, county, or city and county, that local
government shall provide the applicant incentives or concessions for
the production of housing units and child care facilities as
prescribed in this section. All cities, counties, or cities and
counties shall adopt an ordinance that specifies how compliance with
this section will be implemented.
(b) A city, county, or city and county shall grant a density bonus
and incentives or concessions described in subdivision (d) when the
applicant for the housing development seeks and agrees to construct
at least anyone of the following:
(1) Ten percent of the total units of a housing development for
lower income households, as defined in Section 50079.5 of the Health
and Safety Code.
(2) Five percent of the total units of a housing development for
very low income households, as defined in Section 50105 of the Health
and Safety Code.
(3) A senior citizen housing development as defined in Sections
51.3 and 51.12 of the Civil Code.
(4) Ten percent of the total dwelling units in a condominium
project as defined in subdivision (f) of, or in a planned development
as defined in subdivision (k) of, Section 1351 of the Civil Code,
for persons and families of moderate income, as defined in Section
50093 of the Health and Safety Code.
(c) (1) An applicant shall agree to, and the city, county, or city
and county shall ensure, continued affordability of all lower income
density bonus units for 30 years or a longer period of time if
required by the construction or mortgage financing assistance
program, mortgage insurance program, or rental subsidy program.
Those units targeted for lower income households, as defined in
Section 50079.5 of the Health and Safety Code, shall be affordable at
a rent that does not exceed 30 percent of 60 percent of area median
income. Those units targeted for very low income households, as
defined in Section 50105 of the Health and safety Code, shall be
affordable at a rent that does not exceed 30 percent of 50 percent of
area median income.
(2) An applicant shall agree to, and the city, county, or city and
county shall ensure that, the initial occupant of the
moderate-income units that are directly related to the receipt of the
density bonus in the condominium project as defined in subdivision
(f) of, or in the planned unit development as defined in subdivision
(k) of, Section 1351 of the civil Code, are persons and families of
moderate income, as defined in Section 50093 of the Health and Safety
Code. Upon resale, the seller of the unit shall retain the value of
any improvements, the downpayment, and the seller's proportionate
share of appreciation. The local government shall recapture its
proportionate share of appreciation, which shall then be used within
three years for any of the purposes described in subdivision (e) of
Section 33334.2 of the Health and Safety Code that promote
homeownership_ For purposes of this subdivision, the-local
government's proportionate share of appreciation shall be equal to
the percentage by which the initial sale price to the moderate-income
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CA Codes (gov:65915-65918)
household was less than the fair market value of the home at the
time of initial sale.
(d) (1) An applicant may submit to a city, county, or city and
county a proposal for the specific incentives or concessions that the
applicant requests pursuant to this section, and may request a
meeting with the city, county, or city and county. The city, county,
or city and county shall grant the concession or incentive requested
by the applicant unless the city, county, or city and county makes a
written finding, based upon substantial evidence, of either of the
following:
(A) The concession or incentive is not required in order to
provide for affordable housing costs, as defined in Section 50052.5
of the Health and Safety Code, or for rents for the targeted units to
be set as specified in subdivision (c).
(B) The concession or incentive would have a specific adverse
impact, as defined in paragraph (2) of subdivision (d) of Section
65589.5, upon public health and safety or the physical environment or
on any real property that is listed in the California Register of
Historical Resources and for which there is no feasible method to
satisfactorily mitigate or avoid the specific adverse impact without
rendering the development unaffordable to low- and moderate-income
households.
(2) The applicant shall receive the following number of incentives
or concessions:
(A) One incentive or concession for projects that include at least
10 percent of the total units for lower income households, at least
5 percent for very low income households, or at least 10 percent for
persons and families of moderate income in a condominium or planned
development.
(B) Two incentives or concessions for projects that include at
least 20 percent of the total units for lower income households, at
least 10 percent for very low income households, or at least 20
percent for persons and families of moderate income in a condominium
or planned development.
(C) Three incentives or concessions for projects that include at
least 30 percent of the total units for lower income households, at
least 15 percent for very low income households, or at least 30
percent for persons and families of moderate income in a condominium
or planned development.
(3) The applicant may initiate judicial proceedings if the city,
county, or city and county refuses to grant a requested density
bonus, incentive, or concession. If a court finds that the refusal
to grant a requested density bonus, incentive, or concession is in
violation of this section, the court shall award the plaintiff
reasonable attorney's fees and costs of suit. Nothing in this
subdivision shall be interpreted to require a local government to
grant an incentive or concession that has a specific, adverse impact,
as defined in paragraph (2) of subdivision (d) of Section 65589.5,
upon health, safety, or the physical environment, and for which there
is no feasible method to satisfactorily mitigate or avoid the
specific adverse impact. Nothing in this subdivision shall be
interpreted to require a local government to grant an incentive or
concession that would have an adverse impact on any real property
that is listed in the California Register of. Historical Resources.
The city, county, or city and county shall establish procedures for
carrying out this section, that shall include legislative body
approval of the means of compliance with this section. The city,
county, or city and county shall also establish procedures for
waiving or modifying development and zoning standards that would
otherwise inhibit the utilization of the density bonus on specific
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CA Codes (gov:65915-65918)
Page 3 of 10
sites. These procedures shall include, but not be limited to, such
items as minimum lot size, side yard setbacks, and placement of
public works improvements.
(e) In no case may a city, county, or city and county apply any
development standard that will have the effect of precluding the
construction of a development meeting the criteria of subdivision (b)
at the densities or with the concessions or incentives permitted by
this section. An applicant may submit to a city, county, or city and
county a proposal for the waiver or reduction of development
standards and may request a meeting with the city, county, or city
and county. If a court finds that the refusal to grant a waiver or
reduction of development standards is in violation of this section,
the court shall award the plaintiff reasonable attorney's fees and
costs of suit. Nothing in this subdivision shall be interpreted to
require a local government to waive or reduce development standards
if the waiver or reduction would have a specific, adverse impact, as
defined in paragraph (2) of subdivision (d) of Section 65589.5, upon
health, safety, or the physical environment, and for which there is
no feasible method to satisfactorily mitigate or avoid the specific
adverse impact. Nothing in this subdivision shall be interpreted to
require a local government to waive or reduce development standards
that would have an adverse impact on any real property that is listed
in the California Register of Historical Resources.
(f) The applicant shall show that the waiver or modification is
necessary to make the housing units economically feasible.
(g) (I) For the purposes of this chapter, except as provided in
paragraph (2), "density bonus" means a density increase of at least
20 percent, unless a lesser percentage is elected by the applicant,
over the otherwise maximum allowable residential density under the
applicable zoning ordinance and land use element of the general plan
as of the date of application by the applicant to the city, county,
or city and county. The amount of density bonus to which the
applicant is entitled shall vary according to the amount by which the
percentage of affordable housing units exceeds the percentage
established in subdivision (b). For each 1 percent increase above 10
percent in the percentage of units affordable to lower income
households, the density bonus shall be increased by 1.5 percent up to
a maximum of 35 percent. For each 1 percent increase above 5
percent in the percentage of units affordable to very low income
households, the density bonus shall be increased by 2.5 percent up to
a maximum of 35 percent. All density calculations resulting in
fractional units shall be rounded up to the next whole number. The
granting of a density bonus shall not be interpreted, in and of
itself, to require a general plan amendment, local coastal plan
amendment, zoning change, or other discretionary approval. The
density bonus shall not be included when determining the number of
housing units that is equal to 5 or 10 percent of the total. The
density bonus shall apply to housing developments consisting of five
or more dwelling units.
(2) For the purposes of this chapter, if a development does not
meet the requirements of paragraph (I), (2), or (3) of subdivision
(b), but the applicant agrees or proposes to construct a condominium
project as defined in subdivision (f) of, or a planned development as
defined in subdivision (k) of, Section l35l of the civil Code, in
which at least 10 percent of the total dwelling units are reserved
for persons and families of moderate income, as defined in Section
50093 of the Health and Safety Code, a "density bonus" of at least 5
percent shall be granted, unless a lesser percentage is elected by
the applicant, over the otherwise maximum allowable residential
density under the applicable zoning ordinance and land use element of
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CA Codes (gov:65915-65918)
the general plan as of the date of application by the applicant to
the city, county, or city and county. For each 1 percent increase
above 10 percent of the percentage of units affordable to
moderate-income households, the density bonus shall be increased by 1
percent up to a maximum of 35 percent. All density calculations
resulting in fractional units shall be rounded up to the next whole
number. The granting of a density bonus shall not be interpreted, in
and of itself, to require a general plan amendment, local coastal
plan amendment, zoning change; or other discretionary approval. The
density bonus shall not be included when determining the number of
housing units that is equal to 10 percent of the total. The density
bonus shall apply to housing developments consisting of five or more
dwelling units.
(h) When an applicant for a tentative subdivision map, parcel map,
or other residential development approval donates land to a city,
county, or city and county as provided for in this subdivision, the
applicant shall be entitled to a 15 percent increase above the
otherwise maximum allowable residential density under the applicable
zoning ordinance and land use element of the general plan for the
entire development. For each 1 percent increase above the minimum 10
percent land donation described in paragraph (2) of this
subdivision, the density bonus shall be increased by 1 percent, up to
a maximum of 35 percent. This increase shall be in addition to any
increase in density mandated by subdivision (b), up to a maximum
combined mandated density increase of 35 percent if an applicant
seeks both the increase required pursuant to this subdivision and
subdivision (b). All density calculations resulting in fractional
units shall be rounded up to the next whole number. Nothing in this
subdivision shall be construed to enlarge or diminish the authority
of a city, county, or city and county to require a developer to
donate land as a condition of development. An applicant shall be
eligible for the increased density bonus described in this
subdivision if all of the following conditions are met:
(1) The applicant donates and transfers the land no later than the
date of approval of the final subdivision map, parcel map, or
residential development application.
(2) The developable acreage and zoning classification of the land
being transferred are sufficient to permit construction of units
affordable to very low income households in an amount not less than
10 percent of the number of residential units of the proposed
development.
(3) The transferred land is at least one acre in size or of
sufficient size to permit development of at least 40 units, has the
appropriate general plan designation, is appropriately zoned for
development as affordable housing, and is or will be served by
adequate public facilities and infrastructure. The land shall have
appropriate zoning and development standards to make the development
of the affordable units feasible. No later than the date of approval
of the final subdivision map, parcel map, or of the residential
development, the transferred land shall have all of the permits and
approvals, other than building permits, necessary for the development
of the very low income housing units on the transferred land, except
that the local government may subject the proposed development to
subsequent design review to the extent authorized by subdivision (i)
of Section 65583.2 if the design is not reviewed by the local
government prior to the time of transfer.
(4) The transferred land and the affordable units shall be subject
to a deed restriction ensuring continued affordability of the units
consistent with paragraphs (1) and (2) of subdivision (c), which
shall be recorded on the property at the time of dedication.
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(5) The land is transferred to the local agency or to a housing
developer approved by the local agency. The local agency may require
the applicant to identify and transfer the land to the developer.
(6) The transferred land shall be within the boundary of the
proposed development or, if the local agency agrees, within
one-quarter mile of the boundary of the proposed development.
(i) (1) When an applicant proposes to construct a housing
development that conforms to the requirements of subdivision (b) and
includes a child care facility that will be located on the premises
of, as part of, or adjacent to, the project, the city, county, or
city and county shall grant either of the following:
(A) An additional density bonus that is an amount of square feet
of residential space that is equal to or greater than the amount of
square feet in the child care facility.
(B) An additional concession or incentive that contributes
significantly to the economic feasibility of the construction of the
child care facility.
(2) The city, county, or city and county shall require, as a
condition of approving the housing development, that the following
occur:
(A) The child care facility shall remain in operation for a period
of time that is as long as or longer than the period of time during
which the density bonus units are required to remain affordable
pursuant to subdivision (c).
(B) Of the children who attend the child care facility, the
children of very low income households, lower income households, or
families of moderate income shall equal a percentage that is equal to
or greater than the percentage of dwelling units that are required
for very low income households, lower income households, or families
of moderate income pursuant to subdivision (b).
(3) Notwithstanding any requirement of this subdivision, a city,
county, or a city and county shall not be required to provide a
density bonus or concession for a child care facility if it finds,
based upon substantial evidence, that the community has adequate
child care facilities.
(4) ~Child care facility,~ as used in this section, means a child
day care facility other than a family day care home, including, but
not limited to, infant centers, preschools, extended day care
facilities, and schoolage child care centers.
(j) ~Housing development,~ as used in this section, means one or
more groups of projects for residential units constructed in the
planned development of a city, county, or city and county. For the
purposes of this section, "housing development" also includes a
subdivision or a planned unit development or condominium project, as
defined in Section 1351 of the Civil Code, approved by a city,
county, or city and county and consists of residential units or
unimproved residential lots and either a project to substantially
rehabilitate and convert an existing commercial building to
residential use or the substantial rehabilitation of an existing
multifamily dwelling, as defined in subdivision Cd) of Section
65863.4, where the result of the rehabilitation would be a net
increase in available residential units. For the purpose of
calculating a density bonus, the residential units do not have to be
based upon individual subdivision maps or parcels. The density bonus
shall be permitted in geographic areas of the housing development
other than the areas where the units for the lower income households
are located.
(k) The granting of a concession or incentive shall not be
interpreted, in and of itself, to require a general plan amendment,
local coastal plan amendment, zoning change, or other discretionary
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CA Codes (gov:65915-65918)
approval. This provision is declaratory of existing law.
(1) For the purposes of this chapter, concession or incentive
means any of the following:
(1) A reduction in site development standards or a modification of
zoning code requirements or architectural design requirements that
exceed the minimum building standards approved by the California
Building Standards Commission as provided in Part 2.5 (commencing
with Section 18901) of Division 13 of the Health and Safety Code,
including, but not limited to, a reduction in setback and square
footage requirements and in the ratio of vehicular parking spaces
that would otherwise be required that results in identifiable,
financially sufficient, and actual cost reductions.
(2) Approval of mixed use zoning in conjunction with the housing
project if commercial, office, industrial, or other land uses will
reduce the cost of the housing development and if the commercial,
office, industrial, or other land uses are compatible with the
housing project and the existing or planned development in the area
where the proposed housing project will be located.
(3) Other regulatory incentives or concessions proposed by the
developer or the city, county, or city and county that result in
identifiable, financially sufficient, and actual cost reductions.
This subdivision does not limit or require the provision of direct
financial incentives for the housing development, including the
provision of publicly owned land, by the city, county, or city and
county, or the waiver of fees or dedication requirements.
(m) Nothing in this section shall be construed to supersede or in
any way alter or lessen the effect or application of the California
Coastal Act (Division 20 (commencing with Section 30000) of the
Public Resources Code) _
(n) Nothing in this section shall be construed to prohibit a city,
county, or city and county from granting a density bonus greater
than what is described in this section for a development that meets
the requirements of this section or from granting a proportionately
lower density bonus than what is required by this section for
developments that do not meet the requirements of this section.
(0) For purposes of this section, the following definitions shall
apply:
(1) "Development standard" includes site or construction
conditions that apply to a residential development pursuant to any
ordinance, general plan element, specific plan, charter amendment, or
other local condition, law, policy, resolution, or regulation.
(2) "Maximum allowable residential density" means the density
allowed under the zoning ordinance, or if a range of density is
permitted, means the maximum allowable density for the specific
zoning range applicable to the project.
(p) (1) Upon the request of the developer, no city, county, or
city and county shall require a vehicular parking ratio, inclusive of
handicapped and guest parking, of a development meeting the criteria
of subdivision (b), that exceeds the following ratios:
(A) Zero to one bedrooms: one onsite parking space.
(B) Two to three bedrooms: two onsite parking spaces.
(C) Four and more bedrooms: two and one-half parking spaces.
(2) If the total number of parking spaces required for a
development is other than a whole number, the number shall be rounded
up to the next whole number. For purposes of this subdivision, a
development may provide "onsite parking" through tandem parking or
uncovered parking, but not through onstreet parking.
(3) This subdivision shall apply to a development that meets the
requirements of subdivision (b) but only at the request of the
applicant. An applicant may request additional parking incentives or
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CA Codes (gov:65915-65918)
concessions beyond those provided in this section, subject to
subdivision (d).
65915.5. (a) When an applicant for approval to convert apartments
to a condominium project agrees to provide at least 33 percent of the
total units of the proposed condominium project to persons and
families of low or moderate income as defined in Section 50093 of the
Health and Safety Code, or 15 percent of the total unit~ of the
proposed condominium project to lower income households--as defined in
Section 50079.5 of the Health and Safety Code, and agrees to pay for
the reasonably necessary administrative costs incurred by a city,
county, or city and county pursuant to this section, the city,
county, or city and county shall either (1) grant a density bonus or
(2) provide other incentives of equivalent financial value. A city,
county, or city and county may place such reasonable conditions on
the granting of a density bonus or other incentives of equivalent
financial value as it finds appropriate, including, but not limited
to, conditions which assure continued affordability of units to
subsequent purchasers who are persons and families of low and
moderate income or lower income households.
(b) For purposes of this section, "density bonus" means an
increase in units of 25 percent over the number of apartments, to be
provided within the existing structure or structures proposed for
conversion.
(c) For purposes of this section, "other incentives of equivalent
financial value" shall not be construed to require a city, county, or
city and county to provide cash transfer payments or ather monetary
compensation but may include the reduction or waiver of requirements
which the city, county, or city and county might otherwise apply as
conditions of conversion approval.
(d) An applicant for approval to convert apartments to a
condominium project may submit to a city, county, or city and county
a preliminary proposal pursuant to this section prior to the
submittal of any formal requests for subdivision map approvals. The
city, county, or city and county shall, within 90 days of receipt of
a written proposal, notify the applicant in writing of the manner in
which it will comply with this section. The city, county, or city
and county shall establish procedures for carrying out this section,
which shall include legislative body approval of the means of
compliance with this section.
(e) Nothing in this section shall be construed to require a city,
county, or city and county to approve a proposal to convert
apartments to condominiums.
(f) An applicant shall be ineligible for a density bonus or other
incentives under this section if the apartments proposed for
conversion constitute a housing development far which a density bonus
or other incentives were provided under Section 65915.
65916. Where there is a direct financial contribution to a housing
development pursuant to section 65915 through participation in cost
of infrastructure, write-down of land costs, or subsidizing the cost
of construction, the city, county, or city and county shall assure
continued availability for low- and moderate-income units for 30
years. When appropriate, the agreement provided for in Section 65915
shall specify the mechanisms and procedures necessary to carry out
this section.
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CA Codes (gov:65915-65918)
65917. In enacting this chapter it is the intent of the Legislature
that the density bonus or other incentives offered by the city,
county, or city and county pursuant to this chapter shall contribute
significantly to the economic feasibility of lower income housing in
proposed housing developments. In the absence of an agreement by a
developer in accordance with Section 65915, a locality shall not
offer a density bonus or any other incentive that would undermine the
intent of this chapter.
65917.5. (a) As used in this section, the following terms shall
have the following meanings:
(1) ~Child care facility~ means a facility installed, operated,
and maintained under this section for the nonresidential care of
children as defined under applicable state licensing requirements for
the facility.
(2) ~Density bonus" means a floor area ratio bonus over the
otherwise maximum allowable density permitted under the applicable
zoning ordinance and land use elements of the general plan of a city,
including a charter city, city and county, or county of:
(A) A maximum of five square feet of floor area for each one
square foot of floor area contained in the child care facility for
existing structures.
(B) A maximum of 10 square feet of floor area for each one square
foot of floor area contained in the child care facility for new
structures.
For purposes of calculating the density bonus under this section,
both indoor and outdoor square footage requirements for the child
care facility as set forth in applicable state child care licensing
requirements shall be included in the floor area of the child care
facility.
(3) "Developer" means the owner or other person, including a
lessee, having the right under the applicable zoning ordinance of a
city council, including a charter city council, city and county board
of supervisors, or county board of supervisors to make application
for development approvals for the development or redevelopment of a
commercial or industrial project.
(4) "Floor area" means as to a commercial or industrial project,
the floor area as calculated under the applicable zoning ordinance of
a city council, including a charter city council, city and county
board of supervisors, or county board of supervisors and as to a
child care facility, the total area contained within the exterior
walls of the facility and all outdoor areas devoted to the use of the
facility in accordance with applicable state child care licensing
requirements.
(b) A city council, including a charter city council, city and
county board of supervisors, or county board of supervisors may
establish a procedure by ordinance to grant a developer of a
commercial or industrial project, containing at least 50,000 square
feet of floor area, a density bonus when that developer has set aside
at least 2,000 square feet of floor area and 3,000 outdoor square
feet to be used for a child care facility. The granting of a bonus
shall not preclude a city council, including a charter city council,
city and county board of supervisors, or county board of supervisors
from imposing necessary conditions on the project or on the
additional square footage. Projects constructed under this section
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shall conform to height, setback, lot coverage, architectural review,
site plan review, fees, charges, and other health, safety, and
zoning requirements generally applicable to construction in the zone
in which the property is located. A consortium with more than one
developer may be permitted to achieve the threshold amount for the
available density bonus with each developer's density bonus equal to
the percentage participation of the developer. This facility may be
located on the project site or may be located offsite as agreed upon
by the developer and local agency. If the child care facility is not
located on the site of the project, the local agency shall determine
whether the location of the child care facility is appropriate and
whether it conforms with the intent of this section. The child care
facility shall be of a size to comply with all state licensing
requirements in order to accommodate at least 40 children.
(c) The developer may operate the child care facility itself or
may contract with a licensed child care provider to operate the
facility. In all cases, the developer shall show ongoing
coordination with a local child care resource and referral network or
local governmental child care coordinator in order to qualify for
the density bonus.
(d) If the developer uses space allocated for child care facility
purposes, in accordance with subdivision (b), for any purposes other
than for a child care facility, an assessment based on the square
footage of the project may be levied and collected by the city
council, including a charter city council, city and county board of
supervisors, or county board of supervisors. The assessment shall be
consistent with the market value of the space. If the developer
fails to have the space allocated for the child care facility within
three years, from the date upon which the first temporary certificate
of occupancy is granted, an assessment based on the square footage
of the project may be levied and collected by the city council,
including a charter city council, city and county board of
supervisors, or county board of supervisors in accordance with
procedures to be developed by the legislative body of the city
council, including a charter city council, city and county board of
supervisors, or county board of supervisors. The assessment shall be
consistent with the market value of the space. Any penalty levied
against a consortium of developers shall be charged to each developer
in an amount equal to the developer's percentage square feet
participation. Funds collected pursuant to this subdivision shall be
deposited by the city council, including a charter city council,
city and county board of supervisors, or county board of supervisors
into a special account to be used for childcare services or child
care facilities.
(e) Once the child care facility has been established, prior to
the closure, change in use, or reduction in the physical size of, the
facility, the city, city council, including a charter city council,
city and county board of supervisors, or county board of supervisors
shall be required to make a finding that the need for child care is
no longer present, or is not present to the same degree as it was at
the time the facility was established.
(f) The requirements of Chapter 5 (commencing with Section 66000)
and of the amendments made to Sections 53077, 54997, and 54998, by
Chapter 1002 of the Statutes of 1987 shall not apply to actions taken
in accordance with this section.
(g) This section shall not apply to a voter-approved ordinance
adopted by referendum or initiative.
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Page 9 of 10
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CA Codes (gov:65915-65918)
65918. The provisions of this chapter shall apply to charter
cities.
Page 10 of 10
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