Item 28 - Resolutions to Exempt Parcels from AB 2011 and SB 6

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Resolutions to Exempt Parcels from AB 2011 and SB 6 May 16, 2023 Page 2 3 4 5 0 DISCUSSION Recent Housing Bills Numerous housing bills have been signed into law during the past half-decade to address the State's housing crisis. In 2019, Governor Newsom signed a package of bills aimed at increasing housing supply and affordability. The package included bills that made it easier to build accessory dwelling units (ADUs) and increased funding for affordable housing. In 2020, the Governor signed Senate Bill 330, knows as the "Housing Crisis Act of 2019," which streamlined the approval process for new housing developments and limited the ability of local governments to block or delay such projects. In 2022, the Governor signed a package of over 40 bills related to housing and homelessness, including AB 2011 and SB 6. Overall, these bills represent a concerted effort by California's government to address the State's housing crisis by limiting local land use controls. Assembly Bill 2011 AB 2011, known as the Affordable Housing and High Road Jobs Act of 2022, was approved by the State Legislature, signed into law by the Governor on September 28, 2022, and is scheduled to take effect July 1, 2023. The bill creates a streamlined, ministerial approval process for housing developments that meet specified objective standards, affordability, site criteria, and wage and labor standards. Specifically, the bill will allow residential development on sites currently zoned and designated for commercial or retail uses. The bill will also create a CEQA-exempt, ministerial approval process for qualifying development projects. The law provides different qualifying criteria for 100-percent affordable projects and for mixed-income projects. The criteria for each type of project is listed in Exhibit 3. The provisions will sunset on January 1, 2033, unless extended through subsequent legislation. AB 2011 includes a provision that permits local governments to exempt parcels from the streamlining provisions permitted under the bill before a development proponent submits a development application on a parcel, provided certain findings are made. A local government must identify one or more alternative sites for residential development and make findings that the alternative development would result in no net loss of the total potential residential density in the jurisdiction, no net loss of the potential residential density of housing affordable to lower income households in the jurisdiction, and will affirmatively further fair housing. Senate Bill 6 SB 6, known as the Middle Class Housing Act of 2022, was approved by the State legislature, signed into law by the Governor on September 29, 2022, and is also scheduled to take effect July 1, 2023. SB 6 also will allow residential and mixed-use development on sites currently zoned and designated for commercial or retail uses. The law provides a list of qualifying criteria including density, location, and workforce requirements; and a qualifying project may invoke streamline review processes