Item No. 19.
TO:HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM:OFFICE OF THE CITY MANAGER
BY:IRMA HUITRON, DIRECTOR OF COMMUNITY DEVELOPMENT
DATE:JUNE 23, 2026
SUBJECT:
RESOLUTION APPROVING THE CITY OF DOWNEY SENATE BILL 79 TRANSIT
ORIENTED DEVELOPMENT ALTERNATIVE PLAN, AND AUTHORIZING SUBMISSION TO
THE CALIFORNIA DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT
EXECUTIVE SUMMARY
The City Council will consider a resolution for a Transit-Oriented Development Alternative Plan pursuant to Senate Bill 79. Senate Bill 79 establishes statewide development standards that allow increased housing density, height, and floor area near qualifying transit stops, including three potential Tier 2 transit-oriented development locations within the City of Downey. Through its ongoing General Plan Update, the City has developed a Transit-Oriented Development Alternative Plan that evaluates housing, transportation, infrastructure, environmental considerations, and community priorities while identifying capacity for approximately 10,350 residential units in transit-accessible and opportunity-rich areas. Supported by extensive technical analysis, environmental review, and public outreach, the Transit-Oriented Development Alternative Plan advances State transportation and housing objectives while ensuring future growth is coordinated with infrastructure and neighborhood compatibility.
RECOMMENDATION
That the City Council:
1. Adopt Resolution No. 26-8370, adopting a local Transit-Oriented Development Alternative Plan pursuant to Government Code Section 65912.161;
2. Find that the Transit-Oriented Development Alternative Plan represents the City's preferred approach for accommodating existing and future housing capacity and transit-supportive development;
3. Authorize submission of the Transit-Oriented Development Alternative Plan to the California Department of Housing and Community Development for review pursuant to Senate Bill 79; and,
4. Authorize the Community Development Director to prepare and provide any supplemental information to the California Department of Housing and Community Development to facilitate its review of Downey’s Transit- Oriented Development Alternative Plan.
BACKGROUND
Recent changes in State law have increased the focus on transit-oriented development and housing production in areas served by public transit. Specifically, Senate Bill (SB) 79, the Abundant and Affordable Homes Near Transit Act, was signed into law by California Governor Gavin Newsom on October 10, 2025, and will go into effect on July 1, 2026. SB 79 expressly allows cities to adopt a Transit-Oriented Development Alternative Plan (TOD Alternative Plan) in lieu of applying the default state development standards. The alternative plan may be adopted through a housing element, specific plan, zoning overlay, ordinance, or similar local planning mechanism, provided it maintains at least the same overall housing and residential floor area capacity required by SB 79 and has been approved by the California Department of Housing and Community Development (HCD).
SB 79 establishes statewide housing standards based on proximity to major transit rather than local zoning alone.
The law applies broadly to any zone that permits residential uses, including single-family, multi-family, commercial, and light manufacturing zones. SB 79 applies to sites that are located within 200 feet, ¼ mile, or ½ mile of an eligible Transit-Oriented Development (TOD) stop.
The City is currently undertaking a comprehensive update of its General Plan. The update represents the first comprehensive review of several General Plan Elements in many years and is intended to establish a long-term vision for growth, housing, transportation, economic development, public infrastructure, environmental sustainability, and community character through the year 2045. The General Plan Update builds upon the City's recently adopted Housing Element, ongoing infrastructure planning efforts, economic development initiatives, circulation planning, environmental justice policies, and extensive public outreach conducted throughout the planning process.
The City believes that land use decisions should be informed by local conditions, infrastructure capacity, neighborhood context, environmental considerations, and long-term planning objectives. The ongoing General Plan Update process took into consideration the local existing and proposed transit facilities within the City and their role in shaping future land use patterns, mobility options, and development opportunities. As part of this effort, the City analyzed existing circulation patterns, travel demand, roadway capacity, multi-modal connectivity, and the relationship between land use and transportation infrastructure. The analysis considered how transit investments can support housing, employment, and mixed-use development while reducing vehicle miles traveled and improving access to local and regional destinations. The evaluation conducted as part of the General Plan Update process provides the most comprehensive and appropriate method for evaluating these opportunities and establishing a coordinated strategy for future growth.
ANALYSIS
Applicability of SB 79 in Downey
SB 79 establishes statewide standards for housing near major transit and limits the ability of cities to apply local regulations that would prevent eligible projects from achieving the height, density, or floor area allowed by the law.
Housing projects with five or more units located near transit are entitled to specific development standards based on their distance from a transit stop, with more housing allowed closer to transit.
Within the City of Downey there are three locations that may qualify as ‘Tier 2’ TOD stops, and the following heights and densities would be applicable to those locations, depicted in Attachment A (City of Downey SB 79 TOD Zones). Once the alternative plan has been approved by the HCD, the above provisions of SB 79 will not apply.
Table 1: SB 79 TOD Standards
Comprehensive Planning Approach
The City has already initiated a comprehensive planning effort through its General Plan Update that includes evaluation of future land use patterns, housing opportunities, circulation improvements, infrastructure needs, environmental constraints, and community priorities for the next 20 years. Unlike a standalone transit-oriented development plan, the General Plan Update evaluates the relationship between housing, transportation, public facilities, economic development, parks and open space, environmental justice, climate resilience, and community character on a citywide basis. The General Plan process provides an opportunity to identify locations where additional housing and mixed-use development can be accommodated while ensuring adequate infrastructure, public services, mobility improvements, and compatibility with surrounding development.
Downey Housing Capacity in Transit-Accessible Locations The City has already identified 6,525 units City-wide within its adopted Housing Element. A majority of these sites are located in transit-accessible locations, such as the existing Metro C Line Lakewood Boulevard Station (397 units), the LA Metro proposed Southeast Gateway Line station (Rancho Los Amigos area) (700 units), the Downtown Downey Specific Plan (1,141 units), the Stonewood Specific Plan (874 units), and major commercial corridors served by high-quality transit, and the remaining in underutilized residential properties.
The ongoing General Plan Update, which is set to be completed by November 2026 is evaluating opportunities to increase residential and mixed-use development capacity along major commercial corridors, near high-quality transit corridors, and within key first-mile and last-mile connection areas (2,355 units). Additional locations that provide access to employment centers, commercial services, educational institutions, and regional transit facilities are identified (1,470 units), creating an overall TOD alternative capacity for 10,350 new units. Exhibit A to the City Council Resolution provides a TOD Alternative Plan map with all the above-mentioned locations. These locations have been available for public review and comments on the City’s website since April 2026 and were included in a report presented to the City Council on May 12, 2026.
The City's planning efforts are intended to build upon existing transit-supportive development patterns while identifying additional opportunities to accommodate housing growth in locations that support transportation choice, walkability, and efficient use of infrastructure. By directing future housing growth to areas with access to opportunity and transportation choices, the City seeks to expand housing options, promote equitable outcomes, and further the goals of Affirmatively Furthering Fair Housing (AFFH) while supporting sustainable and transit-supportive development patterns.
The TOD Alternative Plan includes sites and growth areas previously analyzed as part of the City's adopted Housing Element, including evaluations conducted pursuant to State housing and AFFH requirements. Many of these areas were identified as providing access to employment centers, quality schools, transportation options, parks, commercial services, and other community resources. The City's ongoing General Plan Update, along with the accompanying draft Environmental Impact Report (DEIR), has further evaluated these areas and additional opportunity sites to ensure that future housing capacity is directed toward locations that provide access to opportunity, support transit use, and can be served by existing and planned infrastructure.
The General Plan Update includes an update to the Circulation Element, which requires the City to evaluate the land use patterns and citywide transportation plans. The Circulation Element is further analyzed as part of the General Plan environmental impact report. Informed by these analyses and public input, the Downey TOD Alternative Plan is based upon the following objectives:
Housing Opportunities
Encourage additional housing opportunities in appropriate locations.
Support mixed-use and higher-density residential development near transit services, commercial centers, and employment areas.
Build upon sites identified in the Housing Element and other opportunity areas.
Promote a range of housing types that meet the needs of existing and future residents.
Build upon existing Housing Element capacity located within transit-accessible areas.
Identify additional housing opportunities near high-quality transit corridors and first-mile/last-mile connections through the General Plan Update process.
Transit-Supportive Development
Encourage development patterns that improve access to transit services.
Strengthen connections between housing, employment centers, commercial destinations, and transit facilities.
Improve pedestrian, bicycle, and first/last-mile connections.
Support investments by regional transit providers.
Infrastructure and Public Services
Align future development with available infrastructure capacity.
Coordinate land use decisions with transportation, water, sewer, storm drain, and public safety planning.
Ensure that future growth can be adequately served by public facilities and services.
Neighborhood Compatibility
Encourage transitions between higher-intensity development and established residential neighborhoods.
Respect existing neighborhood character while accommodating future growth.
Promote high-quality urban design and site planning.
Environmental Sustainability
Support development patterns that reduce vehicle miles traveled.
Encourage walking, bicycling, and transit use.
Promote climate resiliency and sustainable development practices.
Public Outreach and Planning Efforts
The TOD Alternative Plan is supported by substantial planning work already completed as part of the General Plan Update process, including:
Existing conditions analyses;
Public surveys and outreach activities;
Housing Element implementation efforts;
Land use and infrastructure evaluations;
Economic Market Demand Study;
Environmental justice planning;
Transportation and circulation planning; and
Community workshops and stakeholder meetings;
The City has conducted outreach efforts to gather input from residents, stakeholders, and the broader community through workshops, questionnaires, multimedia platforms, and multiple pop-up events at family-oriented events.
This was to ensure the planning process was inclusive and reflected community priorities and values. More recently, on April 2, 2026, the City hosted a scoping meeting to initiate preparation of the Environmental Impact Report (EIR). Staff sought input from over 40 responsible and interested agencies such as the California Air Resources Board, Metro, Downey Unified School District, South Coast Air Quality Board, Edison, Los Angeles County Sanitation, and various neighboring cities.
Collectively, these efforts provide a comprehensive factual basis for evaluating future transit-oriented development opportunities within the City and demonstrate a capacity to develop 10,350 new residential units.
CONSISTENCY WITH ADOPTED PLANS
The TOD Alternative Plan is consistent with the 2025 HCD certified City's Housing Element and supports State housing objectives by encouraging additional housing opportunities, promoting mixed-use development, and improving access to transit services.
The framework is also consistent with the goals of the ongoing General Plan Update and regional planning efforts that encourage sustainable growth patterns and transportation choice.
CONCLUSION
The Draft TOD Alternative Plan provides a comprehensive, locally informed approach for evaluating future transit- oriented development opportunities while leveraging the significant planning, outreach, and environmental analysis already underway through the City's Comprehensive General Plan Update. The Plan builds upon existing transit- oriented housing capacity and ongoing efforts to maximize housing opportunities near transit services, high-quality transit corridors, and first-mile and last-mile connection areas, while taking into consideration the community context, including siting housing opportunities near high-resource areas. Through the General Plan Update process, the City intends to continue advancing housing production, transportation choice, and sustainable development objectives in a manner that reflects local conditions and long-term infrastructure planning. The Plan demonstrates that Downey can accommodate substantial housing growth and transit-oriented development through a locally informed approach that balances housing production, mobility, economic development, neighborhood compatibility, and preservation of community character.
ENVIRONMENTAL REVIEW
The proposed action is not a project pursuant to Section 15378 of the California Environmental Quality Act (CEQA) Guidelines because it constitutes organizational and administrative activities that will not result in a direct or indirect physical change in the environment. Alternatively, the action may be considered exempt under CEQA Guidelines Section 15061(b)(3), the common sense exemption, because it can be seen with certainty that approval of the TOD Policy Framework will not have a significant effect on the environment. Environmental review of future General Plan amendments, land use changes, zoning amendments, and implementation measures will occur as part of the ongoing General Plan Environmental Impact Report process.
CITY COUNCIL PRIORITIES
Quality of Life, Safety & Infrastructure
Public Engagement
FISCAL IMPACT
Approval of the recommended action has no fiscal impact.
Attachments
Attachment A - Downey SB 79 TOD Zones
Attachment B - SB 79 Reso w Exhibit A Final
City of Downey SB 79 TOD Zones
KOA Corporation, SCAG, Sources: Esri, TomTom, Garmin, FAO, NOAA, USGS, (c) OpenStreetMap contributors, and the GIS User Community, Esri,
NASA, NGA, USGS
Downey Boundary
DRAFT SB 79 Transit-Oriented Development (TOD) Zones and Tiers
0.25 Miles
0.5 Miles
200 Feet
World_Hillshade
6/18/2026
0 0.7 1.40.35 mi
0 1 20.5 km
1:50,000
ATTACHMENT A
Draft City of Downey Transit-Oriented Development Alternative Plan Lovelana
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6/1 8/2026 1 :50,000
0.7 [J Downey Boundaw DRAFT SB 79 Transit-Oriented Development (TOD) Zones and Bers Resldentla1 CorrIdor Overlay = 0.25 MIles
Ea Resldentlal CorrIdor Overlay ll• O.5 MIles
DowneyHousIngOverlays = 200 Feet
m H,u,i,g O,,d,y Zone 1 (HOU-1) W,dd Ht11,h,d,
m Housing Overlay Zone 2 (HOU-2)
0 0.35 1.4 mi
0 0,5 1 2 km
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KOA Corporation, SCAG, Sources: Esri, TomTom. GarmIn, FAO, NOAA USGS, (c) OpenStreetMap contrIbutors, and the GIS User CommunIty, EsrI
NASA, NGA, USGS, FEMA
EXHIBIT - A*Boundaries are approximate
Existing Capacity