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Staff Report

Anaheim City Council
July 28, 2026

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Staff Report
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July 28, 2026
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Anaheim City Council
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200 S. Anaheim Blvd.

Suite #162
Anaheim, CA 92805
Tel: (714) 765-5139
Fax: (714) 765-5280
www.anaheim.net

CITY COUNCIL AGENDA REPORT
City of Anaheim

PLANNING AND BUILDING DEPARTMENT
DATE: JULY 28, 2026
FROM: PLANNING AND BUILDING DEPARTMENT
SUBJECT: DEVELOPMENT APPLICATION NO. 2026-00022, CITY-

INITIATED AMENDMENTS RELATED TO

IMPLEMENTATION OF THE SIXTH CYCLE HOUSING

ELEMENT, INCLUDING A GENERAL PLAN AMENDMENT

TO UPDATE THE GENERAL PLAN LAND USE ELEMENT,
ADJUSTMENT NO. 17 TO THE FESTIVAL SPECIFIC PLAN
NO. 90-1, ADJUSTMENT NO. 5 TO THE MOUNTAIN PARK
SPECIFIC PLAN NO. 90-4, ADJUSTMENT NO. 17 TO THE
ANAHEIM CANYON SPECIFIC PLAN NO. 2015-1,
ADJUSTMENT NO. 12 TO THE BEACH BOULEVARD
SPECIFIC PLAN NO. 2017-1, AND AMENDMENT OF TITLE 18

OF THE ANAHEIM MUNICIPAL CODE (INTRODUCTION)
ATTACHMENT (Y/N): YES ITEM # 16
GOVERNMENT CODE § 84308 APPLIES: NO
RECOMMENDATION:

That the City Council take the following actions:

1. By Resolution, approve an amendment to the General Plan Land Use Element and determine that the proposed amendment is not subject to the California Environmental Quality Act (CEQA) Guidelines, pursuant to Section 15061(b)(3) of Title 14 of the California Code of Regulations (Attachment 1); and

2. By Ordinance, introduce amendments to various sections of Title 18 (Zoning) of the Anaheim Municipal Code (Code) and Adjustment No. 17 to the Festival Specific Plan No. 90-1, Adjustment No. 5 to the Mountain Park Specific Plan No. 90-4, Adjustment No. 17 to the Anaheim Canyon Specific Plan No. 2015- 1, Adjustment No. 12 to the Beach Boulevard Specific Plan No. 2017-1 and determine that these amendments are not subject to CEQA pursuant to Section 15061(b)(3) of the State CEQA Guidelines and Section 21080.085 of the California Public Resources Code (Attachment 2).

DISCUSSION:

In Spring 2025, the City Council adopted the Sixth Cycle Housing Element (“Housing Element”) and its associated implementation actions. The Housing Element was subsequently submitted to the California Department of Housing and Community Development (HCD), which found it to be in substantial compliance with State Housing Element Law on July 10, 2025.

Housing Element Implementation
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The Housing Element’s adopted Housing Policy Program identifies a series of implementation actions to be completed during the 2021–2029 planning period to support housing production, preservation, rehabilitation, quality, and affordability. These actions are phased throughout the planning period, including several requiring amendments to the Zoning Code and specific plans to maintain consistency with State law. The proposed amendments below implement the Housing Element programs that were previously identified for completion by June and July 2026 in the adopted Housing Element:

1. Housing Production Strategy 1I: Facilitate Housing Co-Located with Religious and Community Facilities
State law (Senate Bill (SB) 4) requires cities to facilitate the co-location of housing on land owned by religious institutions and nonprofit colleges. Accordingly, the proposed amendments would codify the State law requirements by establishing a new Zoning Code section and amending related specific plans to identify eligible affordable housing developments as permitted uses on eligible sites and establish development standards for such projects, consistent with those standards specified in State law.

2. Housing Production Strategy 1U: Replacement Housing
State law, including SB 330 and State Density Bonus law, prohibits cities from approving development projects that include demolition of existing residential units unless specified replacement requirements are satisfied. It requires cities to ensure the replacement of demolished residential units that are occupied by lower-income households, subject to affordability restrictions, and/or removed from the housing market within the previous five years. The proposed amendments codify these State law requirements in the Zoning Code by establishing regulations addressing replacement unit obligations, affordability requirements and duration, comparable unit standards, and tenant protections, including relocation assistance and right-to-return provisions.

3. Housing Conservation and Preservation Strategy 2E(i): Residential Uses Not Defined as a Single Housekeeping Unit
State housing and fair housing laws prohibit housing discrimination based on protected classes, including familial status, and require cities to treat a variety of living arrangements as residential uses. The proposed amendments include minor revisions to the definitions related to Single Housekeeping Units and Boarding Houses, along with definitions associated with other residential and quasi-residential use classifications. These changes are intended to provide greater clarity, ensure consistency with State housing and fair housing laws, and accommodate a variety of living arrangements for related and unrelated individuals residing together.

4. Housing Conservation and Preservation Strategy 2E(ii): Group Homes State “Affirmatively Furthering Fair Housing” law requires cities to take meaningful actions to overcome patterns of segregation, address discrimination, and provide equitable access to opportunity. To continue to maintain compliance with State law, the City is required to review and revise regulations applicable to group homes (defined as Community Care Facilities – Unlicensed and Sober Living Homes in the Zoning Code).

Accordingly, the proposed amendments make minor updates to these regulations by Housing Element Implementation
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establishing clearer operational requirements, specifying that all facilities must meet building and safety standards along with applicable parking standards, and clarifying the types of services that may qualify as a legitimate recovery program by giving examples.

The proposed amendments provide greater regulatory clarity while ensuring these uses continue to be treated consistently with residential uses, as required by law.

5. Affordable Housing Opportunity Strategy 5O: Emergency Shelter Requirements State law related to emergency shelters has been updated throughout the years. As such, the proposed amendments revise the City’s emergency shelter regulations to maintain consistency with State law, including Assembly Bills (AB) 139 and AB 2339. The changes update separation requirements between shelters and similar facilities, limit parking requirements to employees only, and clarify permitting requirements for larger shelters, thereby reducing regulatory constraints and ensuring compliance with current State law.

In summary, the proposed amendments implement the existing State law and fulfill five Housing Element programs. Attachment 3 to this staff report shows the redlined version of the proposed ordinance, and Attachment 4 provides summary of the proposed amendments based on each Policy Program strategies.

These programs were previously identified during the Housing Element update process. They are in no way triggered by consideration of a Prohousing Designation from HCD, are not a prerequisite of participation in the Prohousing Designation Program, and were not included in Anaheim’s draft Prohousing Designation application.

Mixed-Use High Minimum Density General Plan Amendment
In addition to the proposed Zoning Code amendments and specific plan adjustments described above, the proposed General Plan amendment includes revisions to Table LU-2 (Residential and Mixed-Use Land Use Designations) and the corresponding narrative description of the Mixed-Use High designation within the Land Use Element. Specifically, the proposed General Plan amendment would reduce the minimum residential density for the Mixed-Use High land use designation from 30 dwelling units per acre to 20 dwelling units per acre, while maintaining the existing maximum density and non-residential development standards. This amendment is proposed based on staff's review of current market conditions and an assessment of the residential product types most likely to be developed on Mixed-Use High-designated properties. Through this evaluation, it was found that the existing minimum density requirement of 30 du/ac may limit development opportunities on certain sites as such minimum density may not always reflect market-supportable development in the areas carrying this designation. Reducing the minimum density requirement to 20 du/ac would provide additional flexibility to accommodate a broader range of housing types and site conditions while maintaining residential densities consistent with the intent of the Mixed-Use High designation. This amendment is intended to provide greater development flexibility, accommodate a broader range of housing types and site conditions, remove potential constraints to housing production, and support implementation of the City's Housing Element goals.

Planning Commission: On June 15, 2026, the Planning Commission recommended City Council approval of the Land Use Element, Zoning Code and specific plan amendments, 5-0, with two Housing Element Implementation
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Planning Commissioners absent (Abdulrahman and Perez). There were no public comments. The Planning Commission minutes are provided as Attachment 5.

Environmental Impact Analysis: Staff recommends that the City Council determine that the proposed General Plan, Zoning Code, and specific plan amendments are not subject to the California Environmental Quality Act (CEQA).

Section 15061(b)(3) of the CEQA Guidelines provides the general rule that CEQA only applies to projects that have the potential for causing a significant effect on the environment. The proposed amendments to the General Plan Land Use Element and Anaheim Municipal Code are limited to implementing the Housing Element Policy Program strategies and clarifying existing provisions and aligning local regulations with the requirements of State Housing Element Law. These amendments do not authorize any new development or modify land use designations beyond what is already permitted under existing regulations. Rather, they streamline implementation, ensure internal consistency of terms and standards, and remove ambiguity in the development review processes.

In addition, the proposed Zoning Code and specific plan amendments qualify for the statutory exemption provided in Section 21080.085 of the California Public Resources Code, which exempts rezoning actions undertaken to implement the schedule of actions in a Housing Element that has been approved by HCD. The proposed amendments implement programs contained in Anaheim's HCD-certified Sixth Cycle Housing Element and are therefore exempt under this provision.

Thus, the proposed amendments are not subject to CEQA.

IMPACT ON BUDGET:

The costs to process and implement these amendments are included in the Planning and Building Department’s FY 2026/27 General Fund budget.

Respectfully submitted,
Heather Allen
Planning and Building Director
Attachments:

1. Resolution for General Plan Amendment

2. Ordinance for Zoning Code Amendment

3. Redlined Ordinance for Zoning Code Amendment

4. Summary of Zoning Code Amendments

5. June 15, 2026 Draft Planning Commission Minutes

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