City Council Meeting Agenda
May 27, 2025

AMENDED IN SENATE MAY 13, 2025
AMENDED IN SENATE APRIL 23, 2025
AMENDED IN SENATE APRIL 9, 2025
AMENDED IN SENATE MARCH 5, 2025
SENATE BILL No. 79
Introduced by Senator Wiener
January 15, 2025
An act to amend Section 54221 of, and to add Chapter 4.1.5 (commencing with Section 65912.155) to Division 1 of Title 7 of, the Government Code, and to add Section 21080.26.5 to the Public Resources Code, relating to land use.
legislative counsel’s digest
SB 79, as amended, Wiener. Local government land: public transit use: housing development: transit-oriented development. (1)  Existing law prescribes requirements for the disposal of surplus land by a local agenc y. Existing law defines “surplus land” for these purposes to mean land o wned in fee simple by an y local agenc y for which the local agency’s governing body takes formal action declaring that the land is surplus and is not necessary for the agency’s use. Existing law defines “agency’s use” for these purposes to include land that is being used for agenc y work or operations, as pro vided. Existing la w exempts from this definition of “agenc y’s use” certain commercial or industrial uses, except that in the case of a local agency that is a district, except a local agency whose primary purpose or mission is to supply the public with a transportation system, “agenc y’s use” may include commercial or industrial uses or activities, as specified.

95 This bill w ould additionally include land leased to support public transit operations in the definition of “agency’s use,” as described above.

The bill would also revise the definition of “agency’s use” with respect to commercial or industrial uses to instead pro vide that a district or a public transit operator may use land for commercial or industrial uses or activities, as described above.
(2)  Existing law, the Planning and Zoning Law, requires each county and city to adopt a comprehensi ve, long-term general plan for the physical development of the county or city, and specified land outside its boundaries, that contains certain mandatory elements, including a land use element and a housing element. Existing law requires that the land use element designate the pr oposed g eneral distrib ution and general location and extent of the uses of the land, as specified. Existing law requires that the housing element consist of an identification and analysis of e xisting and pr ojected housing needs and a statement of goals, policies, quantified objectives, financial resources, and scheduled programs for the pr eservation, impr ovement, and de velopment of housing, as specified. Existing law requires that the housing element include, among other things, an assessment of housing needs and an inventory of resources and constraints that are rele vant to the meeting of these needs, including an in ventory of land suitable for residential development, as pro vided. Existing la w, for the 4th and subsequent revisions of the housing element, requires the Department of Housing and Community Development to determine the existing and projected need for housing for each re gion, as specified, and requires the appropriate council of local governments, or the department for cities and counties without a council of governments, to adopt a final regional housing need plan that allocates a share of the re gional housing need to each locality in the region.

Existing law, the Housing Accountability Act, among other things, requires a local agenc y that proposes to disappro ve a housing development project, as defined, or to impose a condition that the project be developed at a lower density to base its decision on written findings supported by a preponderance of the evidence that specified conditions exist if that project complies with applicable, objecti ve general plan, zoning, and subdivision standards and criteria in effect at the time that the application was deemed complete. The act authorizes the applicant, a person who w ould be eligible to apply for residenc y in the housing development project or emer gency shelter, or a housing or ganization to bring an action to enforce the act’ s pro visions, as pro vided, and 95 — 2 — SB 79

provides for penalties if the court finds that the local agenc y is in violation of specified provisions of the act.

This bill would require that a housing development project, as defined, proposed within a specified distance of a transit-oriented development (TOD) stop, as defined, be an allo wed use on an y site zoned for residential, mix ed, commercial, or light industrial or commer cial development, or a qualified light industrial site , as defined, if the development complies with applicable requirements, as specified. The bill would establish requirements concerning height limits, density, and floor area ratio in accordance with a de velopment’s proximity to specified tiers of TOD stops, as provided. The bill would provide that, for the purposes of the Housing Accountability Act, a proposed development consistent with the applicable standards of these provisions shall be deemed consistent, compliant, and in conformity with prescribed requirements. requirements, as specified. The bill would provide that a local government that denies a project meeting the requirements of these provisions located in a high-resource area, as defined, w ould be presumed in violation of the Housing Accountability Act, as specified, and immediately liable for penalties, as provided. The bill would specify that a development proposed pursuant to these provisions is eligible for streamlined, ministerial approval pursuant to specified law, except that the bill would exempt a project under these pro visions from specified requirements, and would specify that the project is required to comply with certain affordability requirements, under that law.

This bill w ould require a proposed de velopment to comply with specified requirements under existing law relating to the demolition of existing residential units. units and to include housing for lower income households, as specified. The bill would also authorize a transit agency to adopt objecti ve standards for both residential and commercial development proposed pursuant to these provisions if the development would be constructed on land owned by the transit agency or on which the transit agency has a permanent operating easement, provided that if the land is within 1⁄2 mile of a TOD stop and the objective standards allow for the same or greater development intensity as allowed by local standards or applicable state law.

This bill would authorize a local go vernment to enact a local TOD alternative plan as an amendment to the housing element and land use element, and would exempt a local government that has enacted a local TOD alternative plan fr om the abo ve-specified provisions. The bill would require the plan to maintain at least the same total incr ease in 95 SB 79 — 3 —

feasible zoned capacity, in terms of both total units and residential floor area, as provided by these provisions across all TOD zones, as defined.

The bill would require a local government, except as provided, to submit the draft plan to the department and would r equire the department to assess the plan and r ecommend c hanges to r emove unnecessary constraints on housing.

This bill would require the Department of Housing and Community Development to oversee compliance with the bill’s provisions, including, but not limited to, promulg ating specified standards relating to the inventory of land included within a county’s or city’s housing element.

The bill would authorize the r egional council of go vernments or metropolitan planning organization to create a map of designated TOD stops and zones, which would have a rebuttable presumption of validity.

The bill would permit authorize a local government to adopt enact an ordinance to implement mak e its zoning code consistent with these provisions, as provided. The bill w ould require the local go vernment to submit a copy of this ordinance to the department within 60 days of adoption enactment and would require the department to re view the ordinance for compliance, as specified. If the department finds an ordinance is out of compliance, and the local government does not take specified steps to address compliance, the bill w ould require the department to notify the local government in writing and authorize the department to notify the Attorney General, as provided.

This bill would define various terms for its purposes and make related findings and declarations.

This bill w ould include findings that changes proposed by this bill address a matter of state wide concern rather than a municipal af fair and, therefore, apply to all cities, including charter cities. (3)  Existing law, the California Environmental Quality Act (CEQA), requires a lead agency, as defined, to prepare, or cause to be prepared, and certify the completion of an en vironmental impact report on a project that it proposes to carry out or appro ve that may ha ve a significant effect on the environment or to adopt a negative declaration if it finds that the project will not have that effect. CEQA also requires a lead agency to prepare a mitigated negative declaration for a project that may have a significant effect on the environment if revisions in the project would avoid or mitigate that effect and there is no substantial evidence that the project, as revised, would have a significant effect on the en vironment. CEQA, until January 1, 2030, e xempts from its requirements certain transportation-related projects if specified 95 — 4 — SB 79

requirements are met, as provided. CEQA includes within these exempt transportation-related projects a public project for the institution or increase of bus rapid transit, bus, or light rail service, or other passenger rail service, that will be e xclusively used by lo w-emission or zero-emission v ehicles, on e xisting public rights-of-w ay or e xisting highway rights-of-way.

This bill would exempt from CEQA a public or pri vate residential, commercial, or mix ed-used project that, at the time the project application is filed, is located entirely or principally on land owned by a public transit agency, or fully or partially encumbered by an existing operating easement in f avor of a public transit agenc y, and meets specified requirements. The bill would provide that, for a project that requires the construction of new passenger rail storage and maintenance facilities at a publicly or privately owned offsite location distinct from the principal project site, that project w ould be considered a wholly separate project from the project described in these provisions and shall not be exempt from CEQA.
(4)  By increasing the duties of local officials, this bill would impose a state-mandated local program.

The California Constitution requires the state to reimb urse local agencies and school districts for certain costs mandated by the state.

Statutory provisions establish procedures for making that reimbursement.

This bill would provide that no reimbursement is required by this act for a specified reason.

Vote: majority. Appropriation: no. Fiscal committee: yes.​ State-mandated local program: yes.​
The people of the State of California do enact as follows:
line 1 SECTION 1. Section 54221 of the Government Code is line 2 amended to read:
line 3 54221. As used in this article, the follo wing definitions shall line 4 apply:
line 5 (a)  (1)  “Local agenc y” means e very city, whether or ganized line 6 under general law or by charter, county, city and county, district, line 7 including school, sewer, water, utility, and local and regional park line 8 districts of an y kind or class, joint po wers authority, successor line 9 agency to a former rede velopment agency, housing authority, or line 10 other political subdi vision of this state and an y instrumentality line 11 thereof that is empowered to acquire and hold real property. 95 SB 79 — 5 —

line 1 (2)  The Legislature finds and declares that the term “district” line 2 as used in this article includes all districts within the state, line 3 including, but not limited to, all special districts, se wer, water, line 4 utility, and local and regional park districts, and any other political line 5 subdivision of this state that is a district, and therefore the changes line 6 in paragraph (1) made by the act adding this paragraph that specify line 7 that the provisions of this article apply to all districts, including line 8 school, sewer, water, utility, and local and re gional park districts line 9 of an y kind or class, are declaratory of, and not a change in, line 10 existing law.
line 11 (b)  (1)  “Surplus land” means land owned in fee simple by any line 12 local agency for which the local agenc y’s governing body tak es line 13 formal action in a re gular public meeting declaring that the land line 14 is surplus and is not necessary for the agency’s use. Land shall be line 15 declared either “surplus land” or “e xempt surplus land, ” as line 16 supported by written findings, before a local agency may take any line 17 action to dispose of it consistent with an agenc y’s policies or line 18 procedures. A local agenc y, on an annual basis, may declare line 19 multiple parcels as “surplus land” or “exempt surplus land.” line 20 (2)  “Surplus land” includes land held in the Community line 21 Redevelopment Property Trust Fund pursuant to Section 34191.4 line 22 of the Health and Safety Code and land that has been designated line 23 in the long-range property management plan appro ved by the line 24 Department of Finance pursuant to Section 34191.5 of the Health line 25 and Safety Code, either for sale or for future de velopment, but line 26 does not include any specific disposal of land to an identified entity line 27 described in the plan.
line 28 (3)  Nothing in this article prevents a local agency from obtaining line 29 fair market value for the disposition of surplus land consistent with line 30 Section 54226.
line 31 (4)  Notwithstanding paragraph (1), a local agency is not required line 32 to make a declaration at a public meeting for land that is “exempt line 33 surplus land” pursuant to subparagraph (A), (B), (E), (K), (L), or line 34 (Q) of paragraph (1) of subdivision (f) if the local agency identifies line 35 the land in a notice that is published and a vailable for public line 36 comment, including notice to the entities identified in subdivision line 37 (a) of Section 54222, at least 30 days before the e xemption takes line 38 effect.
line 39 (c)  (1)  Except as pro vided in paragraph (2), “agenc y’s use” line 40 shall include, but not be limited to, land that is being used, or is 95 — 6 — SB 79

line 1 planned to be used pursuant to a written plan adopted by the local line 2 agency’s go verning board, for agenc y w ork or operations, line 3 including, but not limited to, utility sites, property owned by a port line 4 that is used to support logistics uses, w atershed property, land line 5 being used for conserv ation purposes, land for demonstration, line 6 exhibition, or educational purposes related to greenhouse g as line 7 emissions, sites for broadband equipment or wireless f acilities, line 8 land leased to support public transit operations, and b uffer sites line 9 near sensitive governmental uses, including, b ut not limited to, line 10 waste disposal sites, and w astewater treatment plants. “Agency’s line 11 use” by a local agenc y that is a district shall also include land line 12 disposed for uses described in subparagraph (B) of paragraph (2). line 13 (2)  (A)  “Agency’s use” shall not include commercial or line 14 industrial uses or acti vities, including nongo vernmental retail, line 15 entertainment, or office development. Property disposed of for the line 16 sole purpose of investment or generation of re venue shall not be line 17 considered necessary for the agency’s use.
line 18 (B)  In the case of a local agenc y that is a district or a public line 19 transit operator , “agenc y’s use” may include commercial or line 20 industrial uses or acti vities, including nongo vernmental retail, line 21 entertainment, or office development or be for the sole purpose of line 22 investment or generation of re venue if the agenc y’s go verning line 23 body takes action in a public meeting declaring that the use of the line 24 site will do one of the following:
line 25 (i)  Directly further the e xpress purpose of agenc y w ork or line 26 operations.
line 27 (ii)  Be expressly authorized by a statute go verning the local line 28 agency, pro vided the district complies with Section 54233.5 if line 29 applicable.
line 30 (d)  (1)  “Dispose” means either of the following:
line 31 (A)  The sale of the surplus land.
line 32 (B)  The entering of a lease for surplus land, which is for a term line 33 longer than 15 years, inclusive of any extension or renewal options line 34 included in the terms of the initial lease, entered into on or after line 35 January 1, 2024.
line 36 (2)  “Dispose” shall not mean either of the following:
line 37 (A)  The entering of a lease for surplus land, which is for a term line 38 of 15 years or less, inclusive of any extension or renewal options line 39 included in the terms of the initial lease.
95 SB 79 — 7 —

line 1 (B)  The entering of a lease for surplus land on which no line 2 development or demolition will occur , regardless of the term of line 3 the lease.
line 4 (e)  “Open-space purposes” means the use of land for public line 5 recreation, enjoyment of scenic beauty, or conservation or use of line 6 natural resources.
line 7 (f)  (1)  Except as pro vided in paragraph (2), “e xempt surplus line 8 land” means any of the following:
line 9 (A)  Surplus land that is transferred pursuant to Section 25539.4 line 10 or 37364.
line 11 (B)  Surplus land that is less than one-half acre in area and is line 12 not contiguous to land o wned by a state or local agenc y that is line 13 used for open-space or lo w- and moderate-income housing line 14 purposes.
line 15 (C)  Surplus land that a local agency is exchanging for another line 16 property necessary for the agency’s use. “Property” may include line 17 easements necessary for the agency’s use.
line 18 (D)  Surplus land that a local agenc y is transferring to another line 19 local, state, or federal agency, or to a third-party intermediary for line 20 future dedication for the receiving agency’s use, or to a federally line 21 recognized California Indian tribe. If the surplus land is transferred line 22 to a third-party intermediary, the receiving agency’s use must be line 23 contained in a legally binding agreement at the time of transfer to line 24 the third-party intermediary.
line 25 (E)  Surplus land that is a former street, right-of-w ay, or line 26 easement, and is conveyed to an owner of an adjacent property. line 27 (F)  (i)  Surplus land that is to be de veloped for a housing line 28 development, which may have ancillary commercial ground floor line 29 uses, that restricts 100 percent of the residential units to persons line 30 and families of low or moderate income, with at least 75 percent line 31 of the residential units restricted to lo wer income households, as line 32 defined in Section 50079.5 of the Health and Safety Code, with line 33 an affordable sales price or an affordable rent, as defined in Section line 34 50052.5 or 50053 of the Health and Safety Code, for 55 years for line 35 rental housing, 45 years for ownership housing, and 50 years for line 36 rental or ownership housing located on tribal trust lands, unless a line 37 local ordinance or a federal, state, or local grant, tax credit, or other line 38 project financing requires a longer period of affordability, and in line 39 no event shall the maximum affordable sales price or rent level be 95 — 8 — SB 79

line 1 higher than 20 percent belo w the median mark et rents or sales line 2 prices for the neighborhood in which the site is located. line 3 (ii)  The requirements of clause (i) shall be contained in a line 4 covenant or restriction recorded against the surplus land at the time line 5 of sale that shall run with the land and be enforceable against any line 6 owner who violates the covenant or restriction and each successor line 7 in interest who continues the violation.
line 8 (G)  (i)  Surplus land that is subject to a local agenc y’s open, line 9 competitive solicitation or that is put to open, competitive bid by line 10 a local agency, provided that all entities identified in subdivision line 11 (a) of Section 54222 will be in vited to participate in the process, line 12 for a housing or a mix ed-use development that is more than one line 13 acre and less than 10 acres in area, consisting of either a single line 14 parcel, or two or more adjacent or non-adjacent parcels combined, line 15 that includes not less than 300 residential units, and that restricts line 16 at least 25 percent of the residential units to lo wer income line 17 households, as defined in Section 50079.5 of the Health and Safety line 18 Code, with an af fordable sales price or an af fordable rent, as line 19 defined in Sections 50052.5 and 50053 of the Health and Safety line 20 Code, for 55 years for rental housing, 45 years for o wnership line 21 housing, and 50 years for rental or ownership housing located on line 22 tribal trust lands, unless a local ordinance or a federal, state, or line 23 local grant, tax credit, or other project financing requires a longer line 24 period of affordability.
line 25 (ii)  The requirements of clause (i) shall be contained in a line 26 covenant or restriction recorded against the surplus land at the time line 27 of sale that shall run with the land and be enforceable against any line 28 owner who violates the covenant or restriction and each successor line 29 in interest who continues the violation.
line 30 (H)  (i)  Surplus land totaling 10 or more acres, consisting of line 31 either a single parcel, or tw o or more adjacent or non-adjacent line 32 parcels combined for disposition to one or more b uyers pursuant line 33 to a plan or ordinance adopted by the legislative body of the local line 34 agency, or a state statute. That surplus land shall be subject to a line 35 local agency’s open, competitive solicitation process or put out to line 36 open, competitive bid by a local agency, provided that all entities line 37 identified in subdivision (a) of Section 54222 will be in vited to line 38 participate in the process for a housing or mixed-use development. line 39 (ii)  The aggregate development shall include the greater of the line 40 following:
95 SB 79 — 9 —

line 1 (I)  Not less than 300 residential units.
line 2 (II)  A number of residential units equal to 10 times the number line 3 of acres of the surplus land or 10,000 residential units, whichever line 4 is less.
line 5 (iii)  At least 25 percent of the residential units shall be restricted line 6 to lower income households, as defined in Section 50079.5 of the line 7 Health and Safety Code, with an af fordable sales price or an line 8 affordable rent pursuant to Sections 50052.5 and 50053 of the line 9 Health and Safety Code, for a minimum of 55 years for rental line 10 housing, 45 years for ownership housing, and 50 years for rental line 11 or ownership housing located on tribal trust lands, unless a local line 12 ordinance or a federal, state, or local grant, tax credit, or other line 13 project financing requires a longer period of affordability. line 14 (iv)  If nonresidential de velopment is included in the line 15 development pursuant to this subparagraph, at least 25 percent of line 16 the total planned units affordable to lower income households shall line 17 be made a vailable for lease or sale and permitted for use and line 18 occupancy before or at the same time with e very 25 percent of line 19 nonresidential development made available for lease or sale and line 20 permitted for use and occupancy.
line 21 (v)  A violation of this subparagraph is subject to the penalties line 22 described in Section 54230.5. Those penalties are in addition to line 23 any remedy a court may order for violation of this subparagraph. line 24 A local agenc y shall only dispose of land pursuant to this line 25 subparagraph through a disposition and de velopment agreement line 26 that includes an indemnification clause that pro vides that if an line 27 action occurs after disposition violates this subparagraph, the line 28 person or entity that acquired the property shall be liable for the line 29 penalties.
line 30 (vi)  The requirements of clauses (i) to (v), inclusi ve, shall be line 31 contained in a covenant or restriction recorded against the surplus line 32 land at the time of sale that shall run with the land and be line 33 enforceable ag ainst an y o wner who violates the co venant or line 34 restriction and each successor in interest who continues the line 35 violation.
line 36 (I)  A mixed-use development, which may include more than line 37 one publicly o wned parcel, that meets all of the follo wing line 38 conditions:
line 39 (i)  The development restricts at least 25 percent of the residential line 40 units to lower income households, as defined in Section 50079.5 95 — 10 — SB 79

line 1 of the Health and Safety Code, with an af fordable sales price or line 2 an affordable rent, as defined in Sections 50052.5 and 50053 of line 3 the Health and Safety Code, for 55 years for rental housing, 45 line 4 years for ownership housing, and 50 years for rental or ownership line 5 housing located on tribal trust lands, unless a local ordinance or a line 6 federal, state, or local grant, tax credit, or other project financing line 7 requires a longer period of affordability.
line 8 (ii)  At least 50 percent of the square footage of the ne w line 9 construction associated with the de velopment is designated for line 10 residential use.
line 11 (iii)  The development is not located in an urbanized area, as line 12 defined in Section 21094.5 of the Public Resources Code. line 13 (J)  (i)  Surplus land that is subject to a v alid legal restriction line 14 that is not imposed by the local agenc y and that mak es housing line 15 prohibited, unless there is a feasible method to satisf actorily line 16 mitigate or a void the prohibition on the site. A declaration of line 17 exemption pursuant to this subparagraph shall be supported by line 18 documentary evidence establishing the valid legal restriction. For line 19 the purposes of this section, “documentary e vidence” includes, line 20 but is not limited to, a contract, agreement, deed restriction, statute, line 21 regulation, or other writing that documents the v alid le gal line 22 restriction.
line 23 (ii)  Valid legal restrictions include, but are not limited to, all of line 24 the following:
line 25 (I)  Existing constraints under o wnership rights or contractual line 26 rights or oblig ations that pre vent the use of the property for line 27 housing, if the rights or oblig ations were agreed to prior to line 28 September 30, 2019.
line 29 (II)  Conservation or other easements or encumbrances that line 30 prevent housing development.
line 31 (III)  Existing leases, or other contractual oblig ations or line 32 restrictions, if the terms were agreed to prior to September 30, line 33 2019.
line 34 (IV)  Restrictions imposed by the source of funding that a local line 35 agency used to purchase a property , pro vided that both of the line 36 following requirements are met:
line 37 (ia)  The restrictions limit the use of those funds to purposes line 38 other than housing.
line 39 (ib)  The proposed disposal of surplus land meets a use consistent line 40 with that purpose.
95 SB 79 — 11 —

line 1 (iii)  Valid legal restrictions that would make housing prohibited line 2 do not include either of the following:
line 3 (I)  An existing nonresidential land use designation on the surplus line 4 land.
line 5 (II)  Covenants, restrictions, or other conditions on the property line 6 rendered void and unenforceable by any other law, including, but line 7 not limited to, Section 714.6 of the Civil Code. line 8 (iv)  Feasible methods to mitig ate or a void a v alid le gal line 9 restriction on the site do not include a requirement that the local line 10 agency acquire additional property rights or property interests line 11 belonging to third parties.
line 12 (K)  Surplus land that was granted by the state in trust to a local line 13 agency or that was acquired by the local agency for trust purposes line 14 by purchase or e xchange, and for which disposal of the land is line 15 authorized or required subject to conditions established by statute. line 16 (L)  Land that is subject to either of the follo wing, unless line 17 compliance with this article is expressly required:
line 18 (i)  Section 17388, 17515, 17536, 81192, 81397, 81399, 81420, line 19 or 81422 of the Education Code.
line 20 (ii)  Part 14 (commencing with Section 53570) of Di vision 31 line 21 of the Health and Safety Code.
line 22 (M)  Surplus land that is a former military base that w as line 23 conveyed by the federal go vernment to a local agenc y, and is line 24 subject to Article 8 (commencing with Section 33492.125) of line 25 Chapter 4.5 of Part 1 of Division 24 of the Health and Safety Code, line 26 provided that all of the following conditions are met:
line 27 (i)  The former military base has an aggregate area greater than line 28 five acres, is e xpected to include a mix of residential and line 29 nonresidential uses, and is expected to include no fewer than 1,400 line 30 residential units upon completion of development or redevelopment line 31 of the former military base.
line 32 (ii)  The affordability requirements for residential units shall be line 33 governed by a settlement agreement entered into prior to September line 34 1, 2020. Furthermore, at least 25 percent of the initial 1,400 line 35 residential units de veloped shall be restricted to lo wer income line 36 households, as defined in Section 50079.5 of the Health and Safety line 37 Code, with an af fordable sales price or an af fordable rent, as line 38 defined in Sections 50052.5 and 50053 of the Health and Safety line 39 Code, for 55 years for rental housing, 45 years for o wnership line 40 housing, and 50 years for rental or ownership housing located on 95 — 12 — SB 79

line 1 tribal trust lands, unless a local ordinance or a federal, state, or line 2 local grant, tax credit, or other project financing requires a longer line 3 period of affordability.
line 4 (iii)  Before disposition of the surplus land, the agenc y adopts line 5 written findings that the land is e xempt surplus land pursuant to line 6 this subparagraph.
line 7 (iv)  Before disposition of the surplus land, the recipient has line 8 negotiated a project labor agreement consistent with the local line 9 agency’s project stabilization agreement resolution, as adopted on line 10 February 2, 2021, and an y succeeding ordinance, resolution, or line 11 policy, regardless of the length of the agreement between the local line 12 agency and the recipient.
line 13 (v)  The agenc y includes in the annual report required by line 14 paragraph (2) of subdi vision (a) of Section 65400 the status of line 15 development of residential units on the former military base, line 16 including the total number of residential units that ha ve been line 17 permitted and what percentage of those residential units are line 18 restricted for persons and families of low or moderate income, or line 19 lower income households, as defined in Section 50079.5 of the line 20 Health and Safety Code.
line 21 A violation of this subparagraph is subject to the penalties line 22 described in Section 54230.5. Those penalties are in addition to line 23 any remedy a court may order for violation of this subparagraph line 24 or the settlement agreement.
line 25 (N)  Real property that is used by a district for an agenc y’s use line 26 expressly authorized in subdivision (c).
line 27 (O)  Land that has been transferred before June 30, 2019, by the line 28 state to a local agenc y pursuant to Section 32667 of the Streets line 29 and Highways Code and has a minimum planned residential density line 30 of at least 100 dwelling units per acre, and includes 100 or more line 31 residential units that are restricted to persons and families of low line 32 or moderate income, with an affordable sales price or an affordable line 33 rent, as defined in Sections 50052.5 and 50053 of the Health and line 34 Safety Code, for 55 years for rental housing, 45 years for ownership line 35 housing, and 50 years for rental or ownership housing located on line 36 tribal trust lands, unless a local ordinance or a federal, state, or line 37 local grant, tax credit, or other project financing requires a longer line 38 period of af fordability. F or purposes of this subparagraph, not line 39 more than 20 percent of the af fordable units may be restricted to line 40 persons and families of moderate income and at least 80 percent 95 SB 79 — 13 —

line 1 of the af fordable units must be restricted to lo wer income line 2 households as defined in Section 50079.5 of the Health and Safety line 3 Code.
line 4 (P)  (i)  Land that meets the following conditions:
line 5 (I)  Land that is subject to a sectional planning area document line 6 that meets both of the following:
line 7 (ia)  The sectional planning area w as adopted prior to January line 8 1, 2019.
line 9 (ib)  The sectional planning area document is consistent with line 10 county and city general plans applicable to the land. line 11 (II)  The land identified in the adopted sectional planning area line 12 document was dedicated prior to January 1, 2019. line 13 (III)  On January 1, 2019, the parcels on the land met at least line 14 one of the following conditions:
line 15 (ia)  The land was subject to an irrevocable offer of dedication line 16 of fee interest requiring the land to be used for a specified purpose. line 17 (ib)  The land was acquired through a land exchange subject to line 18 a land of fer agreement that grants the land’ s original o wner the line 19 right to repurchase the land acquired by the local agency pursuant line 20 to the agreement if the land will not be de veloped in a manner line 21 consistent with the agreement.
line 22 (ic)  The land w as subject to a grant deed specifying that the line 23 property shall be used for educational uses and limiting other types line 24 of uses allowed on the property.
line 25 (IV)  At least 25 percent of the units are dedicated to lo wer line 26 income households, as defined in Section 50079.5 of the Health line 27 and Safety Code, at an affordable rent, as defined by Section 50053 line 28 of the Health and Safety Code, or an af fordable housing cost, as line 29 defined by Section 50052.5 of the Health and Safety Code, and line 30 subject to a recorded deed restriction for a period of 55 years for line 31 rental units and 45 years for owner-occupied units, unless a local line 32 ordinance or a federal, state, or local grant, tax credit, or other line 33 project financing requires a longer period of affordability. line 34 (V)  The land is developed at an average density of at least 10 line 35 units per acre, calculated with respect to the entire sectional line 36 planning area.
line 37 (VI)  No more than 25 percent of the nonresidential square line 38 footage identified in the sectional planning area document receives line 39 its first certificate of occupancy before at least 25 percent of the 95 — 14 — SB 79

line 1 residential square footage identified in the sectional planning area line 2 document has received its first certificate of occupancy. line 3 (VII)  No more than 50 percent of the nonresidential square line 4 footage identified in the sectional planning area document receives line 5 its first certificate of occupancy before at least 50 percent of the line 6 residential square footage identified in the sectional planning area line 7 document has received its first certificate of occupancy. line 8 (VIII)  No more than 75 percent of the nonresidential square line 9 footage identified in the sectional planning area document shall line 10 receive its first certificate of occupancy before at least 75 percent line 11 of the residential square footage identified in the sectional planning line 12 area document has received its first certificate of occupancy. line 13 (ii)  The local agency includes in the annual report required by line 14 paragraph (2) of subdi vision (a) of Section 65400 the status of line 15 development, including the total square footage of the residential line 16 and nonresidential de velopment, the number of residential units line 17 that have been permitted, and what percentage of those residential line 18 units are restricted for persons and f amilies of lo w or moderate line 19 income, or lower income households, as defined in Section 50079.5 line 20 of the Health and Safety Code.
line 21 (iii)  The Department of Housing and Community Development line 22 may request additional information from the agenc y re garding line 23 land disposed of pursuant to this subparagraph. line 24 (iv)  At least 30 days prior to disposing of land declared “exempt line 25 surplus land,” a local agenc y shall pro vide the Department of line 26 Housing and Community De velopment a written notification of line 27 its declaration and findings in a form prescribed by the Department line 28 of Housing and Community De velopment. Within 30 days of line 29 receipt of the written notification and findings, the department line 30 shall notify the local agency if the department has determined that line 31 the local agency is in violation of this article. A local agency that line 32 fails to submit the written notification and findings shall be liable line 33 for a civil penalty pursuant to this subparagraph. A local agency line 34 shall not be liable for the civil penalty if the Department of Housing line 35 and Community Development does not notify the agency that the line 36 agency is in violation of this article within 30 days of recei ving line 37 the written notification and findings. Once the department line 38 determines that the declarations and findings comply with line 39 subclauses (I) to (IV), inclusi ve, of clause (i), the local agenc y 95 SB 79 — 15 —

line 1 may proceed with disposal of land pursuant to this subparagraph. line 2 This clause is declaratory of, and not a change in, existing law. line 3 (v)  If the local agenc y disposes of land in violation of this line 4 subparagraph, the local agenc y shall be liable for a ci vil penalty line 5 calculated as follows:
line 6 (I)  For a first violation, 30 percent of the greater of the final line 7 sale price or the f air mark et v alue of the land at the time of line 8 disposition.
line 9 (II)  For a second or subsequent violation, 50 percent of the line 10 greater of the final sale price or the f air market value of the land line 11 at the time of disposition.
line 12 (III)  For purposes of this subparagraph, fair market value shall line 13 be determined by an independent appraisal of the land. line 14 (IV)  An action to enforce this subparagraph may be brought by line 15 any of the following:
line 16 (ia)  An entity identified in subdivisions (a) to (e), inclusive, of line 17 Section 54222.
line 18 (ib)  A person who w ould ha ve been eligible to apply for line 19 residency in affordable housing had the agenc y not violated this line 20 section.
line 21 (ic)  A housing organization, as that term is defined in Section line 22 65589.5.
line 23 (id)  A beneficially interested person or entity. line 24 (ie)  The Department of Housing and Community Development. line 25 (V)  A penalty assessed pursuant to this subparagraph shall, line 26 except as otherwise pro vided, be deposited into a local housing line 27 trust fund. The local agency may elect to instead deposit the penalty line 28 moneys into the Building Homes and Jobs Trust Fund or the line 29 Housing Rehabilitation Loan Fund. Penalties shall not be paid out line 30 of funds already dedicated to af fordable housing, including, b ut line 31 not limited to, Low and Moderate Income Housing Asset Funds, line 32 funds dedicated to housing for v ery lo w, lo w-, and line 33 moderate-income households, and federal HOME In vestment line 34 Partnerships Program and Community Development Block Grant line 35 Program funds. The local agenc y shall commit and e xpend the line 36 penalty moneys deposited into the local housing trust fund within line 37 five years of deposit for the sole purpose of financing ne wly line 38 constructed housing units that are af fordable to e xtremely low, line 39 very low, or low-income households.
95 — 16 — SB 79

line 1 (VI)  Five years after deposit of the penalty mone ys into the line 2 local housing trust fund, if the funds have not been expended, the line 3 funds shall re vert to the state and be deposited in the Building line 4 Homes and Jobs Trust Fund or the Housing Rehabilitation Loan line 5 Fund for the sole purpose of financing newly constructed housing line 6 units located in the same jurisdiction as the surplus land and that line 7 are af fordable to e xtremely lo w, v ery lo w, or lo w-income line 8 households. Expenditure of any penalty moneys deposited into the line 9 Building Homes and Jobs Trust Fund or the Housing Rehabilitation line 10 Loan Fund pursuant to this subdi vision shall be subject to line 11 appropriation by the Legislature.
line 12 (vi)  For purposes of this subparagraph, the following definitions line 13 apply:
line 14 (I)  “Sectional planning area” means an area composed of line 15 identifiable planning units, within which common services and line 16 facilities, a strong internal unity, and an integrated pattern of land line 17 use, circulation, and townscape planning are readily achievable. line 18 (II)  “Sectional planning area document” means a document or line 19 plan that sets forth, at minimum, a site utilization plan of the line 20 sectional planning area and development standards for each land line 21 use area and designation.
line 22 (vii)  This subparagraph shall become inoperative on January 1, line 23 2034.
line 24 (Q)  Land that is o wned by a California public-use airport on line 25 which residential uses are prohibited pursuant to Federal Aviation line 26 Administration Order 5190.6B, Airport Compliance Program, line 27 Chapter 20 – Compatible Land Use and Airspace Protection. line 28 (R)  Land that is transferred to a community land trust, and all line 29 of the following conditions are met:
line 30 (i)  The property is being or will be de veloped or rehabilitated line 31 as any of the following:
line 32 (I)  An owner-occupied single-family dwelling.
line 33 (II)  An owner-occupied unit in a multifamily dwelling. line 34 (III)  A member -occupied unit in a limited equity housing line 35 cooperative.
line 36 (IV)  A rental housing development.
line 37 (ii)  Improvements on the property are or will be a vailable for line 38 use and ownership or for rent by qualified persons, as defined in line 39 paragraph (6) of subdivision (c) of Section 214.18 of the Revenue line 40 and Taxation Code.
95 SB 79 — 17 —

line 1 (iii)  (I)  A deed restriction or other instrument, requiring a line 2 contract or contracts serving as an enforceable restriction on the line 3 sale or resale value of owner-occupied units or on the affordability line 4 of rental units is recorded on or before the lien date following the line 5 acquisition of the property by the community land trust. line 6 (II)  For the purpose of this clause, the follo wing definitions line 7 apply:
line 8 (ia)  “A contract or contracts serving as an enforceable restriction line 9 on the sale or resale v alue of o wner-occupied units” means a line 10 contract described in paragraph (11) of subdivision (a) of Section line 11 402.1 of the Revenue and Taxation Code.
line 12 (ib)  “A contract or contracts serving as an enforceable restriction line 13 on the af fordability of rental units” means an enforceable and line 14 verifiable agreement with a public agenc y, a recorded deed line 15 restriction, or other legal document described in subparagraph (A) line 16 of paragraph (2) of subdivision (g) of Section 214 of the Revenue line 17 and Taxation Code.
line 18 (iv)  A copy of the deed restriction or other instrument shall be line 19 provided to the assessor.
line 20 (S)  (i)  For local agencies whose primary mission or purpose is line 21 to supply the public with a transportation system, surplus land that line 22 is de veloped for commercial or industrial uses or acti vities, line 23 including nongo vernmental retail, entertainment, or office line 24 development or for the sole purpose of in vestment or generation line 25 of revenue, if the agency meets all of the following conditions:
line 26 (I)  The agenc y has an adopted land use plan or polic y that line 27 designates at least 50 percent of the gross acreage covered by the line 28 adopted land use plan or polic y for residential purposes. The line 29 adopted land use plan or policy shall also require the development line 30 of at least 300 residential units, or at least 10 residential units per line 31 gross acre, averaged across all land covered by the land use plan line 32 or policy, whichever is greater.
line 33 (II)  The agenc y has an adopted land use plan or polic y that line 34 requires at least 25 percent of all residential units to be developed line 35 on the parcels covered by the adopted land use plan or policy made line 36 available to lower income households, as defined in Section 50079 line 37 of the Health and Safety Code, at an affordable sales price or rented line 38 at an affordable rent, as defined in Sections 50052.5 and 50053 of line 39 the Health and Safety Code, for 55 years for rental housing and line 40 45 years for o wnership housing, unless a local ordinance or the 95 — 18 — SB 79

line 1 terms of a federal, state, or local grant, tax credit, or other project line 2 financing requires a longer period of af fordability. These terms line 3 shall be included in the land use plan or polic y and dictate that line 4 they will be contained in a covenant or restriction recorded against line 5 the surplus land at the time of disposition that shall run with the line 6 land and be enforceable against any owner or lessee who violates line 7 the co venant or restriction and each successor in interest who line 8 continues the violation.
line 9 (III)  Land disposed of for residential purposes shall issue a line 10 competitive request for proposals subject to the local agenc y’s line 11 open, competiti ve solicitation process or put out to open, line 12 competitive bid by the local agenc y, pro vided that all entities line 13 identified in subdi vision (a) of Section 54222 are in vited to line 14 participate.
line 15 (IV)  Prior to entering into an agreement to dispose of a parcel line 16 for nonresidential development on land designated for the purposes line 17 authorized pursuant to this subparagraph in an agenc y’s adopted line 18 land use plan or polic y, the agency, since January 1, 2020, must line 19 have entered into an agreement to dispose of a minimum of 25 line 20 percent of the land designated for affordable housing pursuant to line 21 subclause (II).
line 22 (ii)  The agency may exempt at one time all parcels covered by line 23 the adopted land use plan or policy pursuant to this subparagraph. line 24 (2)  Notwithstanding paragraph (1), a written notice of the line 25 availability of surplus land for open-space purposes shall be sent line 26 to the entities described in subdivision (b) of Section 54222 before line 27 disposing of the surplus land, provided the land does not meet the line 28 criteria in subparagraph (H) of paragraph (1), if the land is any of line 29 the following:
line 30 (A)  Within a coastal zone.
line 31 (B)  Adjacent to a historical unit of the State Parks System. line 32 (C)  Listed on, or determined by the State Office of Historic line 33 Preservation to be eligible for , the National Re gister of Historic line 34 Places.
line 35 (D)  Within the Lake Tahoe region as defined in Section 66905.5. line 36 (g)  “Persons and families of low or moderate income” has the line 37 same meaning as pro vided in Section 50093 of the Health and line 38 Safety Code.
line 39 SEC. 2. Chapter 4.1.5 (commencing with Section 65912.155) line 40 is added to Division 1 of Title 7 of the Government Code, to read:
95 SB 79 — 19 —

line 1 Chapter 4.1.5. Transit-Oriented Development
line 2
line 3 65912.155. The Le gislature finds and declares all of the line 4 following:
line 5 (a)  California faces a housing shortage both acute and chronic, line 6 particularly in areas with access to rob ust public transit line 7 infrastructure.
line 8 (b)  Building more homes near transit access reduces housing line 9 and transportation costs for California f amilies, and promotes line 10 environmental sustainability, economic growth, and reduced traffic line 11 congestion.
line 12 (c)  Public transit systems require sustainable funding to provide line 13 reliable service, especially in areas experiencing increased density line 14 and ridership. The state does not invest in public transit service to line 15 the same degree as it does in roads, and the state funds a smaller line 16 proportion of the state’ s major transit agencies’ operations costs line 17 than other states with comparable systems. Transit systems in other line 18 countries deri ve significant re venue from transit-oriented line 19 development at and near their stations.
line 20 65912.156. For purposes of this chapter , the follo wing line 21 definitions apply:
line 22 (a)  “Adjacent” means sharing a property line with a transit stop, line 23 including any parcels that serve a parking or circulation purpose line 24 related to the stop.
line 25 (b)  “Commuter rail” means a rail transit service not meeting line 26 the standards for hea vy rail or light rail, e xcluding California line 27 High-Speed Rail and Amtrak Long Distance Service. line 28 (c)  “Department” means the Department of Housing and line 29 Community Development.
line 30 (d)  “Frequent commuter rail” means a commuter rail service line 31 with a total of at least 24 daily trains per weekday across both line 32 directions and not meeting the standard for v ery high or line 33 high-frequency commuter rail at any point in the past three years. line 34 (e)  “Heavy rail transit” means an electric rail way with the line 35 capacity for a heavy volume of traffic using high-speed and rapid line 36 acceleration passenger rail cars operating singly or in multicar line 37 trains on fixed rails, separate rights-of-way from which all other line 38 vehicular and foot traffic are excluded, and high platform loading. 95 — 20 — SB 79

line 1 (f)  “High-frequency commuter rail” means a commuter rail line 2 service operating a total of at least 48 trains per day across both line 3 directions at any point in the past three years. line 4 (g)  “High-resource area” means a highest resource or line 5 high-resource neighborhood opportunity area, as used in the line 6 opportunity area maps published annually by the California Tax line 7 Credit Allocation Committee and the department.
line 8 (h)  “Housing development project” has the same meaning as line 9 defined in Section 65589.5.
line 10 (i)  “Light rail transit” includes streetcar , trolley, and tramway line 11 service.
line 12 (j)  “Net habitable square footage” means the finished and heated line 13 floor area fully enclosed by the inside surface of walls, windows, line 14 doors, and partitions, and ha ving a headroom of at least six and line 15 one-half feet, including working, living, eating, cooking, sleeping, line 16 stair, hall, service, and storage areas, b ut e xcluding g arages, line 17 carports, parking spaces, cellars, half-stories, and unfinished attics line 18 and basements.
line 19 (k)  “Rail transit” has the same meaning as defined in Section line 20 99602 of the Public Utilities Code.
line 21 (l)  “Residential floor area ratio” means the ratio of net habitable line 22 square footage dedicated to residential use to the area of the lot. line 23 (m)  “Tier 1 transit-oriented development stop” means a major line 24 transit stop, as defined by Section 21155 of the Public Resources line 25 Code, transit-oriented development stop within an urban tr ansit line 26 county serv ed by hea vy rail transit or v ery high frequenc y line 27 commuter rail.
line 28 (n)  “Tier 2 transit-oriented de velopment stop” means a major line 29 transit stop, as defined by Section 21155 of the Public Resources line 30 Code, transit-oriented development stop within an urban tr ansit line 31 county, excluding a Tier 1 transit-oriented development stop, served line 32 by light rail transit, by high-frequenc y commuter rail, or by b us line 33 service meeting the standards of paragraph (1) of subdi vision (a) line 34 of Section 21060.2 of the Public Resources Code. line 35 (o)  “Tier 3 transit-oriented de velopment stop” means a major line 36 transit stop, as defined by Section 21155 of the Public Resources line 37 Code, transit-oriented development stop within an urban tr ansit line 38 county, excluding a Tier 1 or Tier 2 transit-oriented development line 39 stop, served by frequent commuter rail service or by ferry service. line 40 service; or any tr ansit-oriented development stop not within an 95 SB 79 — 21 —

line 1 urban tr ansit county; or any major tr ansit stop otherwise so line 2 designated by the applicable authority.
line 3 (p)  “Transit-oriented development stop” means a major transit line 4 stop, as defined by Section 21155 of the Public Resources Code, line 5 excluding any stop served by rail transit with a frequency of fewer line 6 than 10 total trains per weekday. served by heavy rail transit, very line 7 high frequency commuter rail, high frequency commuter rail, light line 8 rail transit, bus service meeting the standards of paragraph (1) of line 9 subdivision (a) of Section 21060.2 of the Public Resources Code, line 10 frequent commuter rail service, or ferry service, or otherwise so line 11 designated by the applicable authority.
line 12 (q)  “Urban transit county” means a county with 15 or mor e line 13 rail transit stations.
line 14 (q)
line 15 (r)  “Very high frequenc y commuter rail” means a commuter line 16 rail service with a total of at least 72 trains per day across both line 17 directions at any point in the past three years. line 18 (s)  “Qualified light industrial site” means a site zoned for light line 19 industrial use, but not heavy industrial use or Title V industrial line 20 use and that has not been not been e xempted through the local line 21 implementing or dinance or local tr ansit-oriented de velopment line 22 alternative plan. “Light industrial use ,” “heavy industrial use ,” line 23 and “Title V industrial use” have the same meanings as defined line 24 in Section 65913.16.
line 25 65912.157. (a)  A housing development project within one-half line 26 or one-quarter mile of a transit-oriented de velopment stop shall line 27 be an allo wed use on an y site zoned for residential, mix ed, line 28 commercial, or light industrial or commercial development, or a line 29 qualified light industrial site , if the de velopment complies with line 30 the applicable of all of the following requirements:
line 31 (1)  For a residential development within one-quarter mile of a line 32 Tier 1 transit-oriented development stop, all of the following apply:
line 33 (A)  A development may be built up to 75 feet high, or up to the line 34 local height limit, whichever is greater. If a development proposes line 35 a height under this subparagraph in excess of the local height limit, line 36 then a local go vernment shall not be required to grant a w aiver, line 37 incentive, or concession pursuant to Section 65915 for additional line 38 height beyond that specified under this subparagraph, e xcept as line 39 provided in subparagraph (D) of paragraph (2) of subdivision (d) line 40 of Section 65915.
95 — 22 — SB 79

line 1 (B)  A local government shall not impose any maximum density line 2 of less than 120 dwelling units per acre. The de velopment line 3 proponent may seek a further increased density in accordance with line 4 applicable density bonus law.
line 5 (C)  A local go vernment shall not enforce an y other local line 6 development standard or combination of standards that w ould line 7 prevent achieving a residential floor area ratio of up to 3.5. line 8 (D)  A de velopment that otherwise meets the eligibility line 9 requirements of Section 65915, including, b ut not limited to, line 10 affordability requirements, shall be eligible for three additional line 11 concessions pursuant to Section 65915.
line 12 (2)  For a residential development further than one-quarter mile line 13 but within one-half mile of a Tier 1 transit-oriented development line 14 stop, all of the following apply:
line 15 (A)  A development may be built up to 65 feet high, or up to the line 16 local height limit, whichever is greater. If a development proposes line 17 a height under this subparagraph in excess of the local height limit, line 18 then a local go vernment shall not be required to grant a w aiver, line 19 incentive, or concession pursuant to Section 65915 for additional line 20 height beyond that specified under this subparagraph, e xcept as line 21 provided in subparagraph (D) of paragraph (2) of subdivision (d) line 22 of Section 65915.
line 23 (B)  A local government shall not impose any maximum density line 24 standard of less than 100 dwelling units per acre. The development line 25 proponent may seek a further increased density in accordance with line 26 applicable density bonus law.
line 27 (C)  A local go vernment shall not enforce an y other local line 28 development standard or combination of standards that w ould line 29 prevent achieving a residential floor area ratio of up to 3. line 30 (D)  A de velopment that otherwise meets the eligibility line 31 requirements of Section 65915, including, b ut not limited to, line 32 affordability requirements, shall be eligible for tw o additional line 33 concessions pursuant to Section 65915.
line 34 (3)  For a residential development within one-quarter mile of a line 35 Tier 2 transit-oriented development stop, all of the following apply:
line 36 (A)  A development may be built up to 65 feet high, or up to the line 37 local height limit, whichever is greater. If a development proposes line 38 a height under this subparagraph in excess of the local height limit, line 39 then a local go vernment shall not be required to grant a w aiver, line 40 incentive, or concession pursuant to Section 65915 for additional 95 SB 79 — 23 —

line 1 height beyond that specified under this subparagraph, e xcept as line 2 provided in subparagraph (D) of paragraph (2) of subdivision (d) line 3 of Section 65915.
line 4 (B)  A local government shall not impose any maximum density line 5 standard of less than 100 dwelling units per acre. The development line 6 proponent may seek a further increased density in accordance with line 7 applicable density bonus law.
line 8 (C)  A local go vernment shall not enforce an y other local line 9 development standard or combination of standards that w ould line 10 prevent achieving a residential floor area ratio of up to 3. line 11 (D)  A de velopment that otherwise meets the eligibility line 12 requirements of Section 65915, including, b ut not limited to, line 13 affordability requirements, shall be eligible for tw o additional line 14 concessions pursuant to Section 65915.
line 15 (4)  For a residential development further than one-quarter mile line 16 but within one-half mile of a Tier 2 transit-oriented development line 17 stop, all of the following apply:
line 18 (A)  A development may be built up to 55 feet high, or up to the line 19 local height limit, whichever is greater. If a development proposes line 20 a height under this subparagraph in excess of the local height limit, line 21 then a local go vernment shall not be required to grant a w aiver, line 22 incentive, or concession pursuant to Section 65915 for additional line 23 height beyond that specified under this subparagraph, e xcept as line 24 provided in subparagraph (D) of paragraph (2) of subdivision (d) line 25 of Section 65915.
line 26 (B)  A local government shall not impose any maximum density line 27 standard of less than 80 dwelling units per acre. The development line 28 proponent may seek a further increased density in accordance with line 29 applicable density bonus law.
line 30 (C)  A local go vernment shall not enforce an y other local line 31 development standard or combination of standards that w ould line 32 prevent achieving a residential floor area ratio of up to 2.5. line 33 (D)  A de velopment that otherwise meets the eligibility line 34 requirements of Section 65915, including, b ut not limited to, line 35 affordability requirements, shall be eligible for one additional line 36 concession pursuant to Section 65915.
line 37 (5)  For a residential development within one-quarter mile of a line 38 Tier 3 transit-oriented development stop, all of the following apply:
line 39 (A)  A development may be built up to 55 feet high, or up to the line 40 local height limit, whichever is greater. If a development proposes 95 — 24 — SB 79

line 1 a height under this subparagraph in excess of the local height limit, line 2 then a local go vernment shall not be required to grant a w aiver, line 3 incentive, or concession pursuant to Section 65915 for additional line 4 height beyond that specified under this subparagraph, e xcept as line 5 provided in subparagraph (D) of paragraph (2) of subdivision (d) line 6 of Section 65915.
line 7 (B)  A local government shall not impose any maximum density line 8 standard of less than 80 dwelling units per acre. The development line 9 proponent may seek a further increased density in accordance with line 10 applicable density bonus law.
line 11 (C)  A local go vernment shall not enforce an y other local line 12 development standard or combination of standards that w ould line 13 prevent achieving a residential floor area ratio of up to 2.5. line 14 (D)  A de velopment that otherwise meets the eligibility line 15 requirements of Section 65915, including, b ut not limited to, line 16 affordability requirements, shall be eligible for one additional line 17 concession pursuant to Section 65915.
line 18 (6)  For a residential development further than one-quarter mile line 19 but within one-half mile of a Tier 3 transit-oriented development line 20 stop, stop within an urban transit county, all of the following apply:
line 21 (A)  A development may be built up to 45 feet high, or up to the line 22 local height limit, whichever is greater. If a development proposes line 23 a height under this subparagraph in excess of the local height limit, line 24 then a local go vernment shall not be required to grant a w aiver, line 25 incentive, or concession pursuant to Section 65915 for additional line 26 height beyond that specified under this subparagraph, e xcept as line 27 provided in subparagraph (D) of paragraph (2) of subdivision (d) line 28 of Section 65915.
line 29 (B)  A local government shall not impose any maximum density line 30 standard of less than 60 dwelling units per acre. The development line 31 proponent may seek a further increased density in accordance with line 32 applicable density bonus law.
line 33 (C)  A local go vernment shall not enforce an y other local line 34 development standard or combination of standards that w ould line 35 prevent achieving a residential floor area ratio of up to 2. line 36 (b)  A local government may still enact and enforce standards, line 37 including an inclusionary zoning r equirement that applies line 38 generally within the jurisdiction, that do not, alone or in concert, line 39 prevent ac hieving the applicable de velopment standar ds of line 40 subdivision (a).
95 SB 79 — 25 —

line 1 (c)  If a de velopment proposes a height under this section in line 2 excess of the local height limit, then a local government shall not line 3 be required to grant a waiver, incentive, or concession pur suant line 4 to Section 65915 for additional height be yond that specified in line 5 this section, except as provided in subparagraph (D) of paragraph line 6 (2) of subdivision (d) of Section 65915.
line 7 (b)
line 8 (d)  Notwithstanding an y other la w, a housing de velopment line 9 project that meets any of the eligibility criteria under subdivision line 10 (a) and is immediately adjacent to a Tier 1, Tier 2, or Tier 3 line 11 transit-oriented development stop shall be eligible for an adjacency line 12 intensifier to increase the height limit by an additional 20 feet, the line 13 maximum density standard by an additional 40 dwelling units per line 14 acre, and the residential floor area ratio by 1. line 15 (c)
line 16 (e)  A de velopment proposed pursuant to this section shall line 17 comply with the antidisplacement requirements of Section 66300.6. line 18 This subdivision shall apply to any city or county. line 19 (f)  A development proposed pursuant to this section shall include line 20 housing for lower income households in one of the following ways:
line 21 (1)  If ther e is a local inclusionary zoning or dinance or line 22 affordable housing fee , it shall comply with the r equirements of line 23 that ordinance or fee.
line 24 (2)  (A)  If there is no local inclusionary ordinance or affordable line 25 housing fee, a development of more than 10 units shall meet the line 26 requirements to qualify for a density bonus pursuant to subdivision line 27 (b) of Section 65915 or a local ordinance.
line 28 (B)  This paragraph shall not apply to any de velopment of 10 line 29 units or less.
line 30 (d)
line 31 (g)  For purposes of subdi vision (j) of Section 65589.5, a line 32 proposed housing development project that is consistent with the line 33 applicable standards from this chapter shall be deemed consistent, line 34 compliant, and in conformity with an applicable plan, program, line 35 policy, ordinance, standard, requirement, or other similar provision. line 36 This subdivision shall not require a ministerial approval process line 37 or modify the r equirements of Division 13 (commencing with line 38 Section 21000) of the Public Resources Code.
line 39 (e)
95 — 26 — SB 79

line 1 (h)  A local go vernment that denies a housing de velopment line 2 project meeting the requirements of this section that is located in line 3 a high-resource area shall be presumed to be in violation of the line 4 Housing Accountability Act (Section 65589.5) and immediately line 5 liable for penalties pursuant to subparagraph (B) of paragraph (1) line 6 of subdivision (k) of Section 65589.5, unless the local government line 7 demonstrates, pursuant to the standards in subdivisions (j) and (o) line 8 of Section 65589.5, that it has a health, life, or safety reason for line 9 denying the project.
line 10 65912.158. (a)  Notwithstanding any other pro vision of this line 11 chapter, a transit agenc y may adopt objecti ve standards for both line 12 residential and commercial de velopments proposed to be line 13 constructed on land owned by the transit agency or on which the line 14 transit agency has a permanent operating easement, if the land is line 15 within one-half mile of a tr ansit-oriented development stop and line 16 the objective standards allow for the same or greater development line 17 intensity as that allowed by local standards or applicable state law. line 18 (b)  The board of a transit agency may vote to designate a major line 19 transit stop served by the a gency as a Tier 3 tr ansit-oriented line 20 development stop for the purposes of this section. line 21 65912.159. (a)  A housing de velopment project proposed line 22 pursuant to Section 65912.157 shall be eligible for streamlined line 23 ministerial approval pursuant to Section 65913.4 in accordance line 24 with all of the following:
line 25 (a)
line 26 (1)  The proposed project shall be e xempt from subparagraph line 27 (A) of paragraph (4) of, paragraph (5) of, and clause (i v) of line 28 subparagraph (A) of paragraph (6) of, subdi vision (a) of Section line 29 65913.4.
line 30 (b)
line 31 (2)  The proposed project shall comply with the af fordability line 32 requirements in subclauses (I) through to (III), inclusive, of clause line 33 (i) of subparagraph (B) of paragraph (4) of subdi vision (a) of line 34 Section 65913.4.
line 35 (c)
line 36 (3)  The proposed project shall comply with all other line 37 requirements of Section 65913.4, including, but not limited to, the line 38 prohibition against a site that is within a v ery high fire hazard line 39 severity zone, pursuant to subparagraph (D) of paragraph (6) of line 40 subdivision (a) of Section 65913.4.
95 SB 79 — 27 —

line 1 (b)  Any housing de velopment pr oposed pur suant to Section line 2 65912.157 not seeking streamlined approval under Section 65913.4 line 3 shall be r eviewed accor ding to the jurisdiction’ s de velopment line 4 review process and Section 65589.5, except that any local zoning line 5 standard conflicting with the r equirements of this c hapter shall line 6 not apply.
line 7 65912.160. (a)  The department shall oversee compliance with line 8 this chapter, including, but not limited to, promulgating standards line 9 on how to account for capacity pursuant to this chapter in a city line 10 or county’s inventory of land suitable for residential development, line 11 pursuant to Section 65583.2.
line 12 (b)  (1)  A local go vernment may adopt an ordinance to line 13 implement the pro visions of this chapter , which may include line 14 revisions to applicable zoning requirements on indi vidual sites line 15 within a transit-oriented de velopment zone, pro vided that those line 16 revisions maintain the average density allowed for the applicable line 17 tier, or up to a 100-percent increase, subject to re view by the line 18 department pursuant to paragraph (3).
line 19 (b)  The r egional council of go vernments or metr opolitan line 20 planning or ganization may cr eate a map of tr ansit-oriented line 21 development stops and zones designated under this c hapter. This line 22 map shall have a r ebuttable presumption of validity for use by line 23 project applicants and local governments.
line 24 (c)  (1)  A local government may enact an ordinance to make its line 25 zoning code consistent with the provisions of this chapter, subject line 26 to review by the department pursuant to paragraph (3). line 27 (2)  The ordinance may select qualified light industrial sites to line 28 designate as exempt from the requirements of this chapter, so long line 29 as residential uses were not permitted prior to January 1, 2025. line 30 (2)  An
line 31 (3)  The ordinance adopted to implement this section described line 32 in paragraph (2) shall not be considered a project under Division line 33 13 (commencing with Section 21000) of the Public Resources line 34 Code.
line 35 (3)
line 36 (4)  (A)  A local go vernment shall submit a cop y of an y line 37 ordinance adopted enacted pursuant to this section to the line 38 department within 60 days of adoption. enactment. line 39 (B)  Upon receipt of an ordinance pursuant to this paragraph, line 40 the department shall review that ordinance and determine whether 95 — 28 — SB 79

line 1 it complies with this section. If the department determines that the line 2 ordinance does not comply with this section, the department shall line 3 notify the local go vernment in writing and pro vide the local line 4 government a reasonable time, not to exceed 30 days, to respond line 5 before taking further action as authorized by this section. line 6 (C)  The local government shall consider any findings made by line 7 the department pursuant to subparagraph (B) and shall do one of line 8 the following:
line 9 (i)  Amend the ordinance to comply with this section. line 10 (ii)  Adopt Enact the ordinance without changes. The local line 11 government shall include findings in its resolution adopting the line 12 ordinance that explain the reasons the local go vernment believes line 13 that the ordinance complies with this section despite the findings line 14 of the department.
line 15 (D)  If the local go vernment does not amend its ordinance in line 16 response to the department’s findings or does not adopt a resolution line 17 with findings explaining the reason the ordinance complies with line 18 this chapter and addressing the department’ s findings, the line 19 department shall notify the local go vernment and may notify the line 20 Attorney General that the local government is in violation of this line 21 section.
line 22 65912.161. (a)  A local go vernment may enact a local line 23 transit-oriented development alternative plan as an amendment line 24 to the housing element and land use element of its g eneral plan, line 25 subject to review by the department.
line 26 (1)  (A)  A local tr ansit-oriented development alternative plan line 27 shall maintain at least the same total incr ease in feasible zoned line 28 capacity, in terms of both total units and residential floor area, as line 29 provided for in this chapter across all transit-oriented development line 30 zones within the jurisdiction.
line 31 (i)  The plan may select qualified light industrial sites to line 32 designate as exempt from the requirements of this chapter, so long line 33 as r esidential uses wer e not permitted on those sites prior to line 34 January 1, 2025.
line 35 (ii)  The plan shall not reduce the capacity in any station area, line 36 in total units or residential floor area, by more than 50 percent. line 37 (iii)  The plan shall not r educe the allowed density for any line 38 individual site allowing r esidential use by mor e than 50 per cent line 39 below that permitted under this chapter.
95 SB 79 — 29 —

line 1 (iv)  A site’s maximum feasible capacity counted toward the plan line 2 shall be not mor e than 200 per cent of the maximum density line 3 established under this chapter.
line 4 (B)  For the purposes of this par agraph, both of the following line 5 definitions apply:
line 6 (i)  “Feasible” means capable of being accomplished in a line 7 successful manner within a reasonable period of time, taking into line 8 account economic, en vironmental, social, and tec hnological line 9 factors.
line 10 (ii)  “Transit-oriented de velopment zone” means the eligible line 11 area around a qualifying transit-oriented development stop. line 12 (2)  A local transit-oriented development alternative plan may line 13 designate any other major transit stop or stop along a high-quality line 14 transit corridor that is not already identified as a transit-oriented line 15 development stop as a Tier 3 tr ansit-oriented development stop. line 16 A local tr ansit-oriented de velopment plan consisting solely of line 17 adding additional major tr ansit stops as tr ansit-oriented line 18 development stops shall be e xempt fr om the r equirements of line 19 paragraph (4).
line 20 (3)  A local transit-oriented development alternative plan may line 21 consist of an e xisting local tr ansit-oriented zoning or dinance, line 22 overlay zone, specific plan, or zoning incentive ordinance, provided line 23 that it applies to all r esidential pr operties within the line 24 transit-oriented development area and provides at least the same line 25 total feasible capacity for units and floor ar ea as Section line 26 65912.157.
line 27 (4)  Prior to enacting a local tr ansit-oriented de velopment line 28 alternative plan, the local government shall submit the draft plan line 29 to the department for r eview. The submission shall include any line 30 amendments to the local zoning or dinances, any applicable line 31 objective design standar ds that would apply to tr ansit-oriented line 32 developments, and assessments of the plan’ s impact on line 33 development feasibility and fair housing . The department shall line 34 assess whether the plan maintains at least an equal feasible line 35 developable housing capacity as the baseline established under line 36 this section as well as the plan’ s effects on fair housing r elative line 37 to the baseline established under this section, and shall recommend line 38 changes to remove unnecessary constraints on housing fr om the line 39 plan.
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line 1 (b)  Section 65912.157 shall not apply within a jurisdiction that line 2 has a local transit-oriented alternative plan that has been approved line 3 by the department as satisfying the requirements of this section in line 4 effect. The department’ s appr oval pur suant to this subdivision line 5 shall be valid thr ough the jurisdiction’ s next amendment to the line 6 housing element of its general plan.
line 7 65912.161.
line 8 65912.162. The Legislature finds and declares that the state line 9 faces a housing crisis of availability and affordability, in large part line 10 due to a severe shortage of housing, and solving the housing crisis line 11 therefore requires a multif aceted, statewide approach, including, line 12 but not limited to, encouraging an increase in the o verall supply line 13 of housing, encouraging the de velopment of housing that is line 14 affordable to households at all income le vels, removing barriers line 15 to housing production, expanding homeownership opportunities, line 16 and expanding the availability of rental housing, and is a matter line 17 of statewide concern and is not a municipal af fair as that term is line 18 used in Section 5 of Article XI of the California Constitution. line 19 Therefore, this chapter applies to all cities, including charter cities. line 20 SEC. 3. Section 21080.26.5 is added to the Public Resources line 21 Code, to read:
line 22 21080.26.5. (a)  For the purposes of this section, “public line 23 project” means a project constructed by either a public agency or line 24 private entity, that, upon the completion of the construction, will line 25 be operated by a public agency.
line 26 (b)  This division shall not apply to a public or private residential, line 27 commercial, or mixed-used mixed-use project that, at the time the line 28 project application is filed, is located entirely or principally on line 29 land o wned by a public transit agenc y, or fully or partially line 30 encumbered by an existing operating easement in favor of a public line 31 transit agency, and that includes at least one of the following:
line 32 (1)  A project component identified in paragraphs (1) to (5), line 33 inclusive, or paragraph (7) of subdivision (b) of Section 21080.25. line 34 (2)  A public project for passenger rail service f acilities, other line 35 than light rail service eligible under paragraph (5) of subdi vision line 36 (b) of Section 21080.25, including the construction, line 37 reconfiguration, or rehabilitation of stations, terminals, rails, line 38 platforms, or e xisting operations f acilities, which will be line 39 exclusively used by zero-emission or electric trains. The project line 40 shall be located on land owned by a public transit agency, or land 95 SB 79 — 31 —

line 1 fully or partially encumbered by an e xisting operating easement line 2 in f avor of a public transit agenc y, at the time the project line 3 application is filed.
line 4 (3)  An agreement between the project applicant and public line 5 transit agency that owns the land or has the permanent operating line 6 easement to finance transit capital infrastructure, transit line 7 maintenance, or transit operations, including through a proposed line 8 public financing district, community financing district, or tax line 9 increment generated by the project.
line 10 (c)  If the project described in paragraph (1) of subdivision (b) line 11 is located on land fully or partially encumber ed by an e xisting line 12 operating easement in favor of a public transit agency at the time line 13 the project application is filed, the transit agency, the grantor of line 14 the easement, and all fee owner s of the property encumbered by line 15 the easement must sponsor or consent to the application. Nothing line 16 in this section shall be interpr eted to authorize a tr ansit agency line 17 to construct a pr oject described in par agraph (1) of subdivision line 18 (b) unless permitted by its oper ating easement or unless the line 19 easement is terminated, in each case prior to the commencement line 20 of construction.
line 21 (c)
line 22 (d)  If a project described in subdi vision (b) requires the line 23 construction of ne w passenger rail storage and maintenance line 24 facilities at a publicly or privately owned offsite location distinct line 25 from the principal project site, then that project shall be considered line 26 a wholly separate project from the project described in subdivision line 27 (b) and shall not be e xempt from this di vision. Any required line 28 environmental re view shall not af fect or render in valid the line 29 exemption provided in subdivision (b), regardless of whether the line 30 project described in subdi vision (b) cannot proceed unless the line 31 offsite facilities are constructed.
line 32 SEC. 4. No reimbursement is required by this act pursuant to line 33 Section 6 of Article XIIIB of the California Constitution because line 34 a local go vernment or school district has the authority to le vy line 35 service char ges, fees, or assessments sufficient to pay for the line 36 program or le vel of service mandated by this act, within the line 37 meaning of Section 17556 of the Government Code.

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95 — 32 — SB 79