CA Review CDS
Meeting Date: Sept. 29, 2026
To: Mayor and City Council
From: Geoff Patnoe, City Manager
Staff Contact: Curtis Jackson, Real Estate Manager
[email protected], 442-339-2836
Subject: Declaration of city-owned vacant property generally located near the northwest corner of College Boulevard and Palomar Point Way as exempt surplus land (APN 212-270-05)
District: 2
Recommended Actions
Adopt a resolution declaring the vacant 11.4-acre city-owned property generally located near the northwest corner of College Boulevard and Palomar Point Way (APN 212-270-05) as exempt surplus land under California Government Code Section 54221(f)(1)(A) and authorizing the City Manager or designee to proceed with the competitive selection and disposition process required by state law.
Executive Summary
This city owned property has been identified as a future housing site under the Housing Element Rezone Program, which the City Council approved on Jan. 30, 2024. Since that action, city staff have received informal inquiries from affordable housing developers interested in developing the property.
However, under the California Surplus Land Act, before the city can negotiate the sale or long-term lease of the property, it must first formally declare the property as surplus land. Based on the property’s designation under the city’s Housing Element, staff has determined that the property qualifies as “exempt” surplus land under Government Code Section 54221(f)(1)(A). This designation allows the city to use a streamlined process for disposing of the property.
The California Department of Housing and Community Development has final authority over whether the city’s exemption declaration complies with the Surplus Land Act. Based on preliminary discussions, the Department of Housing and Community Development indicated that the property could qualify under Government Code Section 54221(f)(1)(A), provided the city first adopts this item’s resolution. Final determination from the state will require the city to submit an executed disposition and development agreement (or equivalent), consistent with Government Code Section 37364. The resolution also authorizes the City Manager to take all necessary steps to execute property disposal.
Explanation & Analysis
Background
When the city developed The Crossings at Carlsbad Golf Course, it also created (graded) two adjacent industrial-zoned lots. One lot is near the southwest corner of College Boulevard and Palomar Point Sept. 29, 2026
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Way. The other lot — the subject of this action — is at the northwest corner of the same intersection, as described in Exhibit 2 and Exhibit 3. The 11.4-acre site is currently vacant and was zoned for industrial use such as manufacturing, offices and hotels. The City Council transferred money on June 29, 2010, from the General Fund to the Golf Course Fund to reimburse associated pad development costs since the pads were not related to golf operations. Since then, the two industrial lots were kept as investment properties until 2019, when the city began updating its Housing Element.
A key goal of the Housing Element is to make sure the city has enough land to meet its required share of regional housing needs. Under state law, the city must plan for 3,873 new housing units during the 2021-29 housing cycle. There are criteria imposed by the state when identifying property for possible housing development and the Department of Housing and Community Development prefers that cities identify vacant, level properties with access to existing public utilities.
After significant community input and public meetings, the City Council adopted the Housing Element Rezone Program on Jan. 30, 2024. This action rezoned 16 properties across the city, including this property. The property’s zoning was changed from industrial to multi-family residential, allowing up to 30 housing units per acre. The City Council also adopted a resolution which required that at least 20% of units on privately owned rezoned properties be set aside for lower-income households. For city-owned properties like this one, at least 40% of the units must be affordable.
Surplus Land Act
The California Surplus Land Act was originally passed in 1968. It requires cities to offer publicly owned land that is no longer needed for public use for certain priority purposes — such as housing, parks, or schools — before selling or leasing it on the open market. In recent years, the state strengthened the law to increase affordable housing opportunities. Under state law, the act applies when a city sells surplus land or leases it for a term greater than 15 years, while shorter-term leases that do not allow for residential development are excluded.
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The law is found in Government Code Sections 54220-54234 and related sections, as well as guidance documents provided by the Department of Housing and Community Development. The full disposition procedure is lengthy with several mandatory steps, but some properties qualify as “exempt surplus” under the Surplus Land Act, allowing for a streamlined process. For exempt surplus property, the general steps include the following:
1. The City Council must declare at a public meeting that the property is exempt surplus.
2. Before disposition of the surplus land, the city must send the resolution to the California Department of Housing and Community Development and receive confirmation that the exemption was correctly applied. The department has 30 days to respond.
3. After Department of Housing and Community Development confirmation, the city may proceed with the disposition of the property or enter a lease with a term greater than 15 years.
Exempt Surplus Land – Government Code Section 54221(f)(1)(A) Government Code Section 54221(f)(1)(A) is a type of exempt surplus allowance under the Surplus Land Act when property will be used to develop a high percentage of new affordable housing. To qualify, several conditions must be met. Many of these have already been satisfied by prior City Council actions (see Attachment A to Exhibit 1). The remaining conditions are addressed in the proposed resolution and summarized below (also included in Exhibit 1):
• Government Code Section 37364(a): The City Council has determined that the property can be used to provide housing affordable to persons and families of low or moderate income and that this use is in the city's best interest, authorizing the city to dispose of the property, including at less than fair market value, for that purpose (see Resolution, Section 5 and Attachment A to Exhibit 1).
• Government Code Section 37364(f): income categories referenced above are defined through cross-references to the Health and Safety Code. Staff identified that the citation used for "lower income households" needs updating to reference the correct, currently operative code section (Health and Safety Code Section 50079.5, rather than Section 50079). The proposed resolution makes this correction (see Resolution, Section 6).
California Department of Housing and Community Development Review Pursuant to guidelines published by the Department of Housing and Community Development, the state encourages jurisdictions to have the Department of Housing and Community Development review and comment on draft property disposition resolutions before they are formally adopted.
Accordingly, staff submitted a letter to the Department of Housing and Community Development requesting guidance regarding the Section 54221(f)(1)(A) exemption. On Nov. 18, 2025, The Department of Housing and Community Development advised that the property "could qualify" as exempt surplus land, provided the city first adopts a resolution declaring the property exempt surplus land.
The Department of Housing and Community Development also advised that the City Council may first adopt a resolution declaring the property exempt surplus land and proceed with a process to select a developer. After a developer is selected, an executed exclusive negotiations agreement, disposition and development agreement, lease or other applicable documentation demonstrating compliance Sept. 29, 2026
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with Section 54221(f)(1)(A) must be submitted to the Department of Housing and Community Development for final determination. Once the Department of Housing and Community Development approves, then the city may proceed with property disposition and housing development.
Fiscal Analysis
There is no direct fiscal impact associated with the proposed action.
Next Steps
The proposed resolution authorizes the City Manager, or designee, to proceed with the competitive solicitation and developer selection process, and to negotiate and execute a disposition and development agreement, exclusive negotiating agreement or lease documenting the terms of disposition. Staff will issue a request for proposals to solicit proposals from qualified housing developers and conduct the open, competitive solicitation process. Staff will evaluate the proposals and return to the City Council with recommendations regarding a preferred developer and proposed development. Final disposition of the property, including the close of any sale or the effective date of any qualifying long-term lease, shall not occur until the city has submitted the executed agreement to the California Department of Housing and Community Development and that department has issued its final determination confirming that the disposition satisfies the requirements of Government Code Section 37364.
Environmental Evaluation
The action is not a “project” as defined by Public Resources Code section 21065 and Title 14 California Code of Regulations section 15378(b)(5) and therefore does not require environmental review under the California Environmental Quality Act, or CEQA. Adoption of this resolution does not have the potential for resulting in either a direct physical change in the environment or a reasonably foreseeable indirect physical change in the environment.
Exhibits
1. City Council resolution
2. Legal Description
3. Location map
Sept. 29, 2026
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RESOLUTION NO. 2026-173 .
A
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD, CALIFORNIA, DECLARING THE VACANT 11.4- ACRE CITY -OWNED
PROPERTY GENERALLY LOCATED NEAR THE NORTHWEST CORNER OF COLLEGE BOULEVARD AND PALOMAR POINT WAY (APN 212- 270-05) AS
EXEMPT SURPLUS LAND UNDER CALIFORNIA GOVERNMENT CODE
SECTION 54221(f)(1)(A) AND AUTHORIZING THE CITY MANAGER OR
DESIGNEE TO PROCEED WITH THE COMPETITIVE SELECTION AND
DISPOSITION PROCESS REQUIRED BY STATE LAW
W
HEREAS, the City of Carlsbad ( City) owns in fee simple certain real property, which consists of approximately 11.4-acres of vacant land generally located near the northwest corner of College Boulevard and Palomar Point Way (APN 212-270-05) (Property); and WHEREAS, the City Council adopted on April 6 , 2021, the 2021 –2029 Housing Element, subsequently certified by the California Department of Housing and Community Development (HCD) on July 13, 2021, which identified the Property as a potential housing site to accommodate a portion of the city’s Regional Housing Needs Allocation (RHNA); and WHEREAS, the City Council adopted on Jan. 30, 2024, Resolution No. 2024-015 amending the General Plan land use designation for the Property from Planned Industrial/Office to Residential (R-30) and adopted Ordinance No. CS-465 which rezoned the Property from a Planned Industrial/Office zone to a Residential Density – Multiple zone (RD-M), which would allow up to 342 multi-family residential housing units; and
WHEREAS, the City Council adopted on Jan. 30, 2024, Resolution No. 2024- 016 establishing minimum affordability requirements for housing development on city -owned properties, including the Property, requiring that at least 40% of the total dwelling units be restricted as affordable to lower income households; and WHEREAS, the Surplus Land Act, Government Code sections 54220, et seq. (Act), applies when a local agency disposes of "surplus land," as that term is defined in Government Code section 54221; and
WHEREAS, Government Code section 54221(b)(1) requires the city to declare property as surplus land or exempt surplus land and not necessary for the city’s use, during a regular public Sept. 29, 2026
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WHEREAS, pursuant to the Act, at Government Code section 54221(f)(1)(A), “exempt surplus land” includes surplus land that is transferred pursuant to Government Code section 37364; and
WHEREAS, Government Code section 37364 allows the city, when it is in their best interest, to dispose or transfer city owned property so long as the following requirements are met: (1) not less than 80 percent of the area of any parcel of property disposed of pursuant to this section shall be used for development of housing ; (2) Not less than 40 percent of the total number of those housing units developed on any parcel pursuant to this section shall be affordable to households whose incomes are equal to, or less than, 75 percent of the maximum income of lower income households, and at least half of which shall be affordable to very low income households ; (3) dwelling units for low or moderate income must be restricted by
regulatory agreement to remain continually affordable to those persons and families for the longest feasible time, but not less than 30 years, pursuant to a method prescribed by the city ; and
WHEREAS, Government Code section 54222.3 provides that the city does not have to comply with section 54222 relating to the disposal of exempt surplus land as defined in Section 54221; and
WHEREAS, while pre -adoption review of a local agency's resolution finding land to be exempt surplus land under the Act is encouraged but not required, the city consulted with HCD regarding the necessary steps for the Property to qualify as exempt surplus land under Government Code section 54221(f)(1)(A). The city s ubmitted a letter to HCD on Nov . 6, 2025, requesting HCD's concurrence . On Nov . 18, 2025, HCD advised that it could issue a letter indicating that the Property "could qualify" as exempt surplus land under Government Code section 54221(f)(1)(A), provided the c ity first adopt a resolution declaring the Property exempt surplus land. HCD further advised that a final determination confirming the exemption cannot occur until the city submits an executed disposition and development agreement, exclusive Sept. 29, 2026
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WHEREAS, the Property is eligible to be declared as "exempt surplus land" consistent with and in compliance with the Act and that a copy of this Resolution be transmitted to HCD at least 30 days prior to disposition, as required by HCD Surplus Land Act Guidelines (dated Aug. 1, 2024); and
WHEREAS, the city desires to solicit proposals for disposition of the e xempt surplus property in accordance with the requirements of Government Code section 37364.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Carlsbad, California, as follows:
1. That the above recitals are true and correct.
2. The action is not a “project” as defined by Public Resources Code section 21065 and Title 14 California Code of Regulations section 15378(b)( 5) and therefore does not require environmental review under the California Environmental Quality Act, or CEQA.
Adoption of this Resolution does not have the potential for resulting in either a direct physical change in the environment or a reasonably foreseeable indirect physical change in the environment.
3. Under Government Code section 54221(f)(1)(A) the city declares the Property is exempt surplus land and is not necessary for the city’s use, as demonstrated by the findings set forth in Attachment A regarding compliance with Government Code Section 37364, which are hereby adopted and incorporated as the basis for this determination.
4. Disposition of the Property shall be conducted through the city’s established publicly noticed, open, and competitive solicitation processes and procedures and shall also be provided to all entities identified in Government Code section 54222(a), for participation in the development of the site with housing or residential mixed -use development.
5. Pursuant to Government Code Section 37364(a), the City Council finds and determines that the Property can be used to provide housing affordable to persons and families of low or moderate income, as defined in Health and Safety Code Section 50093, and that Sept. 29, 2026
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Docusign Envelope ID: 522E5F40-3C92-8136-833A-B0EFAE1AABAD this use of the Property is in the c ity's best interests. Based on this determination, the city is authorized to sell, lease, exchange, quitclaim, convey, or otherwise dispose of the Property, including at less than fair market value, under whatever terms and conditions the city deems best suited to the provision of such housing and in compliance with the Act.
6. The City Council further finds that, to the extent Resolution No. 2024 -016 and Government Code Section 37364(f) cite Section 50079 of the Health and Safety Code in connection with the definition of "lower income households," that citation is corrected for purposes of this Resolution: the operative definition of "lower income households" applicable to any regulatory agreement or affordability determination made with respect to the Property is the definition set forth in Health and Safety Code Section 50079.5.
7. The City Manager, or designee, is authorized to proceed with the competitive solicitation and developer selection process mentioned in Section 4 above, and to negotiate and execute a disposition and development agreement, exclusive negotiating agreement, or lease documenting the terms of disposition of the Property; provided, however, that final disposition of the Property , including the close of any sale or the effective date of any qualifying long-term lease, shall not occur until:
a. The City Manager, or designee, has submitted the required documentation described in section 8, below, to HCD; and
b. HCD notifies the city that the exemption was properly claimed and HCD has issued its final determination confirming that the disposition satisfies the requirements under state law.
8. The City Manager , or designee, is directed to submit the following required documentation to HCD at least 30 days prior to disposition in order t o review and confirm that the exemption has been properly applied:
a. A copy of this Resolution declaring the property exempt surplus land and written findings supporting such a declaration, including Attachment A; and Sept. 29, 2026
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PASSED, APPROVED AND ADOPTED at a Regular Meeting of the City Council of the City of Carlsbad on the 29th day of September, 2026, by the following vote, to wit:
AYES: Blackburn, Bhat-Patel, Acosta, Burkholder, Shin.
NAYS: None.
ABSTAIN: None.
ABSENT: None.
_______
_______________________________
KEITH BLACKBURN, Mayor
__
____________________________________
SHERRY FREISINGER, City Clerk
(SEAL)
Sept. 29, 2026
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EXEMPT SURPLUS LAND DETERMINATION Attachment A
Government Code Section 54221(f)(1)(A)
APN 212-270-05
A. OVERVIEW
The city owns in fee simple interest a vacant, relatively flat parcel of land consisting of approximately 11.4-acres, generally located near the northwest corner of College Boulevard and Palomar Point Way, identified as Assessor Parcel Number 212-270-05 (Property).
The City Council adopted the 2021–2029 Housing Element on April 6, 2021 (Resolution No. 2021-073), which was subsequently certified by the California Department of Housing & Community Development (HCD) on July 13, 2021 (Certification Letter). The city has remained in good standing with HCD following its certification. Program 1.1 of the 2021–2029 Housing Element required completion of the Housing Element Rezone Program, which identified several parcels throughout the city that required rezoning or upzoning necessary to satisfy the city’s assigned Regional Housing Needs Assessment.
After significant community input and public meetings the City Council adopted the Housing Element Rezone Program on Jan. 30, 2024 (Resolution No. 2024-015 & Ordinance No. CS-465).
This program changed the General Plan land use designations and rezoned 16 properties across the city, including the Property. The Property zoning was changed from industrial to multi- family residential, allowing up to 30 residential dwelling units per acre. This zoning would allow up to 342 units on the Property, even more if state density bonus law was applied.
At the same meeting, the City Council also adopted Resolution No. 2024-016, which required that at least 20% of units on privately owned rezoned/upzoned properties be set aside for lower-income households. For city-owned properties like this one, at least 40% of the units must be affordable.
The City Council on September 29, 2026, passed a resolution declaring the Property as surplus land, with the intent of either selling or leasing the Property long-term. Pursuant to Government Code Section 54220 et seq and guidance from HCD, the Property is subject to provisions of the CA Surplus Land Act (SLA).
Government Code Section 54221(f)(1)(A) provides that surplus land transferred pursuant to Government Code Section 37364 qualifies as exempt surplus land, exempting the transfer from the SLA's notice and priority-of-use requirements. Section 37364 authorizes a city to dispose of real property for the provision of affordable housing, subject to the requirements set forth in that section. The city finds that the conditions specified under Government Code Section 54221(f)(1)(A) and Government Code Section 37364 have been satisfied as detailed in the following sections, resulting in the Property qualifying as exempt surplus.
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B. GOVERNMENT CODE SECTION 54221(F)(1)(A) – CONDITION SATISFACTION The following findings demonstrate that the proposed disposition of the Property satisfies the requirements for exempt surplus land pursuant to Government Code section 54221(f)(1)(A), which requires compliance with Government Code section 37364.
1. Government Code Section 37364(a)
a. Requirement
“The Legislature reaffirms its finding that the provision of housing for all Californians is a concern of vital statewide importance. The Legislature recognizes that real property of cities can be utilized, in accordance with a city’s best interests, to provide housing affordable to persons and families of low or moderate income. Therefore, notwithstanding any provision of a city’s charter, or any other provision of law, whenever the legislative body of a city determines that any real property or interest therein owned or to be purchased by the city can be used to provide housing affordable to persons and families of low or moderate income, as defined by Section 50093 of the Health and Safety Code or as defined by the United States Department of Housing and Urban Development or its successors, and that this use is in the city’s best interests, the city may sell, lease, exchange, quitclaim, convey, or otherwise dispose of the real property or interest therein at less than fair market value, or purchase an interest in the real property, to provide that affordable housing under whatever terms and conditions the city deems best suited to the provision of such housing.”
b. Response
The city finds that this condition has been satisfied. The Property (APN 212-270-05) is an approximately 11.4-acre, city-owned parcel located near the northwest corner of College Boulevard and Palomar Point Way. The City Council adopted the 2021– 2029 Housing Element on April 6, 2021 (Resolution No. 2021-073), which HCD certified as being in substantial compliance with state housing law on July 13, 2021.
On January 30, 2024, the City Council adopted the Housing Element Rezone Program (Resolution No. 2024-015 and Ordinance No. CS-465), which changed the Property's General Plan land use designation from Planned Industrial/Office to a multi-family residential designation, and its zoning from Planned Industrial/Office to Residential Density-Multiple (RD-M), making the Property available for residential development consistent with the city's Regional Housing Needs Assessment (RHNA) obligations.
At the same meeting, the City Council adopted Resolution No. 2024-016, which, for city-owned sites such as the Property, requires that not less than 40 percent of units Sept. 29, 2026
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developed be affordable to households at or below 75 percent of the maximum lower-income limit, with at least half of those units affordable to very low-income households. This standard tracks the income categories defined in Health and Safety Code Section 50093, which are incorporated into the affordable-housing-use determination required by subsection (a).
Health and Safety Code Section 50093 defines “persons and families of low or moderate income” broadly to include households whose incomes do not exceed the applicable statutory limits, including extremely low-income, very low-income, lower- income, moderate-income and middle-income households. The affordability standard imposed by Resolution No. 2024-016 for the Property (40 percent of units at or below 75 percent of the lower-income limit, at least half of which affordable to very low-income households) falls squarely within these income categories.
The Property's availability for residential development, and the affordability commitment attached to it, directly implement the city's certified Housing Element and its RHNA obligations under state law. Compliance with these obligations is in the city's best interest because it preserves the city's discretionary land use authority over future development applications on this site for the purpose of affordable housing.
Accordingly, the City Council finds and determines that the Property can be used to provide affordable housing to persons and families of lower income, as defined in Health and Safety Code Section 50093, and that disposition of the Property for that purpose is in the city's best interest.
2. Government Code Section 37364(b)
a. Requirement
“Not less than 80 percent of the area of any parcel of property disposed of pursuant to this section shall be used for development of housing.” b. R esponse
The city finds that this condition has been satisfied. The Property is one of the city- owned sites that received a residential designation as part of the Housing Element Rezone Program approved by Resolution No. 2024-015 and Ordinance No. CS-465.
Furthermore, Resolution No. 2024-016, Section 2(a), requires that for city-owned sites subject to that approval, "not less than 80 percent of the area of any parcel of property shall be used for development of housing." This language tracks Section 37364(b) verbatim and because the Property is a city-owned site to which Sept. 29, 2026
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Resolution No. 2024-016 applies, this requirement is already in effect and binding on any residential development of the Property.
3. Government Code Section 37364(c)
a. Requirement
“Not less than 40 percent of the total number of those housing units developed on any parcel pursuant to this section shall be affordable to households whose incomes are equal to, or less than, 75 percent of the maximum income of lower income households, and at least half of which shall be affordable to very low-income households.”
b. Response
The city finds that this condition has been satisfied. The Property is one of the city- owned sites that received a residential designation as part of the Housing Element Rezone Program approved by Resolution No. 2024-015 and Ordinance No. CS-465, and it was not among the sites subsequently removed from that approval.
Resolution No. 2024-016, Section 2(b), requires that for city-owned sites subject to that approval, "not less than 40 percent of the total number of those housing units developed on any parcel shall be affordable to households whose incomes are equal to, or less than, 75 percent of the maximum income of lower income households, and at least half of which shall be affordable to very low income households,” language that tracks Section 37364(c) verbatim.
This standard imposes two distinct thresholds: all units within the 40 percent set- aside must be affordable at or below 75 percent of the maximum lower-income limit, and, within that set-aside, at least half must independently qualify as affordable to very low-income households (a stricter, separately defined income category).
Resolution No. 2024-016, Section 2(d), further provides that the definitions of "persons and families of low and moderate income," "lower income households," and "very low income households" set forth in Sections 50079, 50093, and 50105 of the Health and Safety Code shall apply, mirroring the citation in Government Code Section 37364(f). The operative definition of "lower income households" is set forth at Health and Safety Code Section 50079.5; Section 37364(f)'s reference to Section does not itself define that term, and Section 50079.5 is the section currently in effect defining that term. Applying the current definitions, the income thresholds used in Resolution No. 2024-016, Section 2(b), match those required by state law.
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Because the Property is a city-owned site to which Resolution No. 2024-016 applies, this requirement is already in effect and binding on any residential development of the Property. Accordingly, the City Council finds and determines that the requirement of Government Code Section 37364(c) has been satisfied pursuant to Resolution No. 2024-016, Sections 2(b) and 2(d).
4. Government Code Section 37364(d)
a. Requirement
“Dwelling units produced for persons and families of low or moderate income under this section shall be restricted by regulatory agreement to remain continually affordable to those persons and families for the longest feasible time, but not less than 30 years, pursuant to a method prescribed by the city. The regulatory agreement shall contain a provision making the covenants and conditions of the agreement binding upon successors in interest of the housing sponsor. The regulatory agreement shall be recorded in the office of the county recorder of the county in which the housing development is located. The regulatory agreement shall be recorded in the grantor-grantee index to the name of the property owner as grantor and to the name of the city as grantee.”
b. Response
The city finds that this condition has been satisfied. Resolution No. 2024-016, Section 2(c), requires that dwelling units produced for persons and families of low income on city-owned sites "shall be restricted by regulatory agreement to remain continually affordable to those persons and families for the longest feasible time, but not less than 30 years," that the regulatory agreement "contain a provision making the covenants and conditions of the agreement binding upon successors in interest of the housing sponsor," and that the agreement "be recorded in the office of the county recorder... in the grantor-grantee index to the name of the property owner as grantor and to the name of the city as grantee," language that tracks Section 37364(d) nearly verbatim. Applying the definitions confirmed in Resolution No. 2024-016, Section 2(d), the "persons and families of low income" to be served by these restricted units are the same lower and very low-income households required to be served under Section 2(b); no substantive gap results from this difference in phrasing.
Section 37364(d) further requires that the affordability restriction be imposed "pursuant to a method prescribed by the city." Resolution No. 2024-016, Section 2(c) is itself the city's prescribed method: it is a duly adopted City Council resolution Sept. 29, 2026
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establishing the specific requirements; a recorded regulatory agreement, a minimum 30-year affordability term, binding effect on successors, and recordation in the grantor-grantee index that will govern development of the Property.
Accordingly, the City Council finds and determines that the requirement of Government Code Section 37364(d) has been satisfied pursuant to Resolution No. 2024-016, Section 2(c).
5. Government Code Section 37364(e)
a. Requirement
“The provisions of this section shall apply to all cities, including charter cities.” b. Response
The city finds that this condition has been satisfied. The City of Carlsbad, being a charter city, acknowledges that Government Code Section 37364 is applicable to the disputation of the subject property.
6. Government Code Section 37364(f)
a. Requirement
“The definitions of “persons and families of low and moderate income,” “lower income households,” and “very low income households” set forth in Sections 50079, 50093, and 50105 of the Health and Safety Code shall apply to this section.” b. Response
The city finds that this condition has been satisfied in part and will be satisfied in full through this resolution. Resolution No. 2024-016, Section 2(d), provides that "[t]he definitions of 'persons and families of low and moderate income,' 'lower income households,' and 'very low-income households' set forth in Sections 50079, 50093, and 50105 of the Health and Safety Code shall apply,” language that tracks Section 37364(f) verbatim, including its citation to Health and Safety Code Section 50079. As to the definitions of "persons and families of low and moderate income" (Health & Safety Code Section 50093) and "very low-income households" (Health & Safety Code § 50105), Resolution No. 2024-016 and Section 37364(f) are consistent and correctly cited, and no further action is required.
As to "lower income households," Health and Safety Code Section 50079 does not itself define that term; the operative definition is currently codified at Health and Safety Code Section 50079.5. This is the same citation used in Section 37364(f) itself, Sept. 29, 2026
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and Resolution No. 2024-016, Section 2(d) mirrors that statutory citation without independently correcting it. To ensure the city's definitions match those currently required by state law, the City Council hereby commits, through this resolution, that the definition of "lower income households" applied to any regulatory agreement or affordability determination made pursuant to Section 37364 and Resolution No. 2024-016 shall be the definition set forth in Health and Safety Code Section 50079.5, consistent with the substance and intent of both Section 37364(f) and Resolution No. 2024-016, Section 2(d).
Accordingly, the City Council finds that the requirements of Government Code Section 37364(f) applicable to Health and Safety Code Sections 50093 and 50105 have already been satisfied pursuant to Resolution No. 2024-016, Section 2(d), and that the requirement applicable to "lower income households" will be satisfied through the city's commitment in this resolution to apply Health and Safety Code Section 50079.5.
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Docusign Envelope ID: 522E5F40-3C92-8136-833A-B0EFAE1AABAD Exhibit 2
LEGAL DESCRIPTION
Real property in the City of Carlsbad, County of San Diego, State of California, described as follows:
LOT 5 OF TRACT NO. 15902, IN THE CITY OF CARLSBAD, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, ACCORDING TO MAP THEREOF NO. 15902, FILED IN THE OFFICE OF THE COUNTY RECORDER OF SAN DIEGO COUNTY.
Sept. 29, 2026
Item #2 Page 17 of 18
Docusign Envelope ID: 522E5F40-3C92-8136-833A-B0EFAE1AABAD Exhibit 3
Location Map
Sept. 29, 2026
Item #2 Page 18 of 18
Docusign Envelope ID: 522E5F40-3C92-8136-833A-B0EFAE1AABAD