City Council
Report
City Council Meeting: April 14, 2026
Agenda Item: 12.C
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To: Mayor and City Council
From: Jing Yeo, Director, Administration
Subject: Public Hearing and Introduction for First Reading of an Ordinance to Amend the Text of the Zoning Ordinance to Align Santa Monica Municipal Code Section 9.31.125, Duplexes and Lot Splits on Parcels Zoned for Single-Unit Residential, with State Law as Modified by Santa Monica’s 6th Cycle Housing Element
Recommended Action
Staff recommends that the City Council:
1. Adopt a finding of statutory exemption from the California Environmental Quality Act (CEQA) pursuant to Government Code Section 65852.21(k); and
2. Introduce for First Reading an Ordinance amending the text of the City’s Zoning Ordinance to align Santa Monica Municipal Code Section 9.31.125, Duplexes and Lot Splits on Parcels Zoned for Single-Unit Residential, with State law as modified by Santa Monica’s 6th cycle Housing Element.
3. Alternatively, the City Council has the option to: 1) Adopt a finding of statutory exemption from the California Environmental Quality Act (CEQA) pursuant to Government Code Section 65852.21(k); and 2) Introduce for First Reading an Ordinance amending the text of the City’s Zoning Ordinance to align Santa Monica Municipal Code Section 9.31.125, Duplexes and Lot Splits on Parcels Zoned for Single-Unit Residential, with State law as modified by Santa Monica’s 6 th cycle Housing Element, with additional amendment to maintain the Stateauthorized adjustment guaranteeing unit sizes of 1,500 square feet.
Summary
Pursuant to City Council direction, the proposed text amendments being presented would, if adopted, make changes to the City’s Zoning Ordinance that would align Santa Monica’s implementation of Senate Bill (SB) 9 (through Santa Monica Municipal Code (SMMC) Section 9.31.125, Duplexes and Lot Split on Parcels Zoned for Single-Unit Residential) with State law. With regard to alignment of SB 9 with State law, staff has 2 of 9
also confirmed with the State that prior Council direction provided in May 2025, which guaranteed unit sizes of 1,500 square feet pursuant to SB 9 lot splits, can be maintained locally and is allowed consistent with existing State law. Accordingly, the City Council can provide direction to maintain guaranteed unit sizes of 1,500 square feet as part of the consideration of this item. Finally, in addition to amendments for consistency with State law, minor revisions and additions have been included for clarification and ease of implementation.
Background
On January 1, 2022, Senate Bill 9 (SB 9), known as the California Housing Opportunity and More Efficiency (HOME) act, became effective. SB 9 allows for duplexes and lot splits on parcels zoned for single-unit residential. Pursuant to SB 9, a property owner could either (1) construct a duplex (two units) and two Accessory Dwelling Units (ADUs) on a single parcel or (2) subdivide a parcel into two and construct up two units (including ADUs) on each resulting parcel. Ultimately, both paths limit the development to four units. Additionally, certain parameters were applied such as locational limitations, displacement protections, and an owner occupancy requirement obligating an applicant to sign an affidavit stating that they intend to occupy one of the housing units as their personal residences for a minimum of three years from the date of approval of a lot split.
Pursuant to Programs 4.E of the City’s certified 6th Cycle (2021-2029) Housing Element, City Council adopted implementation of SB 9 on April 11, 2023, as SMMC Section
9.31.125, Duplexes and Lot Split on Parcels Zoned for Single-Unit Residential, with a local amendment allowing for more than four units on parcels 10,000 square feet or greater in order to meet local housing goals and facilitate more diverse housing choices in the City’s highest opportunity areas.
Subsequent to Santa Monica’s original implementation, SB 9 was revised by Senate Bill 450 (SB 450) which amended the law as follows:
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• Removes the option to prohibit projects that would result in the demolition of more than 25% of existing exterior walls.
• Makes clear that a local agency cannot impose objective standards to lot split/duplex projects unless: 1) the standards apply uniformly within the zone; or 2) the standards are more permissive than those of the underlying zoning district. • Removes authorization for a local agency to deny a proposed housing development if the building official makes a written finding that the proposed housing development project would have a specific, adverse impact upon the physical environment (the authorization to deny based on a written finding that the proposed project would have a specific, adverse impact on public health or safety remains in place).
• Requires agencies to approve or deny applications within 60 days of the submittal of a complete application, otherwise the application will be deemed approved.
• Makes additional legislative findings to clarify that SB 9 applies to all cities, including charter cities.
In addition to the above State law required amendments, on January 28, 2025, “in order to facilitate diverse housing choices in the City’s highest opportunity areas,” the City Council gave direction to staff to “return with an ordinance to amend the City’s regulations governing ministerial approval for certain lot splits and duplexes on parcels zoned for single-unit residential by: (1) removing the owner-occupancy requirement for lot splits and duplexes and clarifying that vacant or demolished parcels, as well as lots with approved demolition permits, are eligible for lot splits and duplexes, (2) allowing one roof deck per unit, and (3) ensuring that no standard within this ordinance or the underlying zoning district shall preclude the construction of 2 units, not including ADUs, of at least 1,200 square feet each.”
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On May 27, 2025, Council adopted a revised SMMC Section 9.31.125 to implement SB 450 and Council direction with an amendment to increase guaranteed unit size to 1,500 square feet.
Subsequent to adoption of the City’s most recent amendments, on August 15, 2025, staff submitted a Technical Assistance request (Attachment B) to the California Department of Housing and Community Development (HCD) regarding implementation of SB9/450 that asked for clarification on the following items:
• Do projects on vacant parcel qualify for SB 9/450?
• May the City, through a local, more permissive expansion of SB 9/450, remove the owner occupancy requirement that requires an applicant to intend to live in the project for a minimum of three years after the approval of a lot split? • May the City adopt an ordinance, separate and apart from the statutory requirement of SB 9/450?
On November 3, 2025, staff met with HCD staff and were informed that HCD would not be providing an official written response of technical assistance on all of the above topics. However, during that meeting HCD responded that they saw no issue with Santa Monica adopting two implementations – one codifying a strict implementation of SB 9/450 with the required amendment pursuant to Santa Monica’s Housing Element Program 4.E allowing more than four units on parcels 10,000 SF or greater and another to implement local provisions for duplexes and lot splits in single-unit residential zoning districts pursuant to prior Council direction. This direction from HCD is memorialized in their November 6, 2025 email to staff that is provided as Attachment C.
On January 13, 2026, the City Council adopted Resolution Number 11733 (CCS), initiating the process to amend the text of the Zoning Ordinance to, among other things, 5 of 9
align SMMC 9.31.125 with State Law and Program 4.E of the 6th Cycle Housing Element, which requires a State Law-compliant ordinance implementing SB9 with provisions for larger parcels. At this time staff has returned to only move forward with modifying the City’s existing implementation of SB 9/450 to align with State law, as modified by Santa Monica’s 6th cycle Housing Element, as discussed in more detail below. It should be noted that this does not preclude the Council from adopting a local ordinance for duplexes and lot splits.
Planning Commission Recommendation
On March 4, 2026, the Planning Commission voted 6-1 to recommend to the City Council that the Council “amend the text of zoning ordinance related to projects consisting of duplexes and lot splits on parcels zoned for single-unit residential to align with State law as modified by the City’s certified 6th cycle Housing Element” and to seek clarification from HCD regarding the eligibility of beneficial ownerships and trusts in utilizing “SB 9”. One Commissioner voted to oppose the amendments until the City simultaneously considers adoption of a local ordinance of SB 9 that would remove the owner-occupancy requirement and provide guaranteed unit sizes of 1,500 SF pursuant to City Council’s prior direction. The Commissioner also highlighted that even in a State law version of SB 9; pursuant to HCD, the City is not required to reduce the minimum unit size to 800 SF. Ultimately, the Commission did not recommend increasing the minimum unit size from 800 SF.
Discussion
Pursuant to guidance from HCD and City Council direction provided on January 13, 2026 to align the City’s implementation of “SB 9” with State law, as required to be modified by Program 4.E of Santa Monica’s 6th cycle Housing Element, the following is a summary of the proposed amendments to SMMC Section 9.31.125, Duplex and Lot Splits on Parcels Zoned for Single-Unit Residential.
• Applicability. Removal of text that is not included in State law specifying eligibility of projects located on a “developed parcel, currently developed parcel 6 of 9
proposing demolition, and vacant parcel.” However, on January 23, 2026, HCD provided guidance in a Technical Assistance letter to the City of Glendora clarifying “that if an applicant submits an SB 9 development application concurrently with an SB 9 urban lot split application,” a jurisdiction “should approve the urban lot split application even if the parcel is vacant because the presence of a development application demonstrates the applicant’s good-faith intent to reside on the site.”
• Lot Split Standards and Requirements. Reintroduction of the occupancy requirement that, amongst other provisions, requires “an applicant for a lot split shall sign an affidavit stating that the applicant intends to occupy one of the housing units as their principal residence for a minimum of three years from the date of the approval of the lot split.”
• Guaranteed Units. Reversion of guaranteed unit sizes from 1,500 to 800 square feet to align with the minimum size stipulated in State law. However, HCD has stated that this is an area that the City can exceed State law by guaranteeing larger unit sizes, and as outlined in recommended options section, the Council has discretion to increase the guaranteed unit size in the proposed ordinance.
Adopting larger guaranteed unit sizes could also create the need to modify additional standards, such as building height or front setback dimensions.
In addition to the amendments for prior State laws, staff is also proposing to incorporate amendments pertaining to historic districts that have been added to the Government Code through Assembly Bill 1061 (AB 1061), a new State law that became effective on January 1, 2026. AB 1061 makes clear that demolition of a contributing structure within a historic district included on the State Historic Resources Inventory or within a City designated historic district is not permitted. AB 1061 also prohibits the alteration of an existing exterior structural wall of a structure located within either a historic district that is included on the California Register of Historical Resources or within a City designated historic district.
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Furthermore, staff is proposing the following development standard provision for clarification and ease of implementation in order to avoid conflict between State law and local standards:
• Upper-Story Stepbacks. In the case of a lot split, no upper-story stepback shall be required from the newly created interior parcel line for permitted projects pursuant to this Section, provided that the structures meet fire and safety standards.
Environmental Review
The approval of the proposed ordinance to implement amendments for consistency with State law is statutorily exempt from the provisions of the California Environmental Quality Act (CEQA) pursuant to Government Code Section 65852.21(k), which states that an ordinance adopted to implement “SB 9” shall not be considered a project under CEQA (Section 21000 et seq of the Public Resources Code).
Past Council Actions
Meeting Date Description
April 11, 2023 Second Reading and Adoption of an Ordinance Amending the Text of the Zoning Ordinance for Consistency with the Goals, Policies, and Programs set forth in the 6th Cycle (2021-2029) Housing Element; for Consistency with Updates to State Law Related to Housing Production and Minimum
Parking Requirements; and to Make Minor Changes,
Clarifications and Corrections Including Modifications to Parcel Coverage Limitations for Existing Structures in the R1 (Single-Unit) District and Modifications to the Standards for Accessory Structures
January 25, 2025 Request of Councilmembers Zwick, Zernitskaya, and Hall that, in conjunction with necessary updates arising out of SB 450, and in order to facilitate diverse housing choices in the City’s highest opportunity areas, the City Council directs the City Manager and the City Attorney to return with an
ordinance to amend the City’s regulations governing
ministerial approval for certain lot splits and duplexes on parcels zoned for single-unit residential by: (1) removing the owner-occupancy requirement for lot splits and duplexes 8 of 9
and clarifying that vacant or demolished parcels, as well as lots with approved demolition permits, are eligible for lot splits and duplexes, (2) allowing one roof deck per unit, and (3) ensuring that no standard within this ordinance or the underlying zoning district shall preclude the construction of 2 units, not including ADUs, of at least 1200 square feet each.
One year after implementation, city staff shall return with a report on any impacts of the ordinance, as amended,
including data on net new housing units permitted, effects on displacement (if any), concentration of ownership, and other pertinent information to evaluate its success in
affirmatively furthering fair housing and creating more affordable “missing middle” homes.
May 27, 2025 Second Reading and Adoption of an Ordinance Amending the Text of the City’s Zoning Ordinance to Eliminate Parcel Size Threshold for Streamlined Review of Housing Projects, Increase the Maximum Square Footage for Accessory
Dwelling Units, Revise Provisions Related to Ministerially Approved Lot Splits and Duplexes on Parcels Zoned SingleUnit Residential, Adjust the Criteria for Streamlined Review of Housing Projects on Large Sites Within Bergamot Zoning Districts, Provide Extensions for Projects Approved prior to January 6, 2025, Convert Parcel Coverage Development
Standards to Floor Area Ratio for the City’s Residential Zoning Districts, and Align Density Standards for the City’s Multiple-Unit Residential Zoning Districts with the Intensities Envisioned in the Land Use and Circulation Element; for Consistency With Recent Updates to State law; and Making Other Minor Changes, Corrections and Clarifications
January 13, 2026 Consideration of Certain Prior Housing-Production Related Votes and Repeal of Interim Zoning Regulations Related to Projects Utilizing State Law for Small Lot Subdivisions and Duplexes and Lot Splits on Parcels Zoned for Single-Unit Residential
Financial Impacts and Budget Actions
There is no immediate financial impact or budget action necessary as a result of the recommended action. Staff will return to Council if specific budget actions are required in the future.
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Prepared By: Ross Fehrman, Planning Manager
Approved Forwarded to Council
Attachments:
A. Attachment A - 2026.04.14 - SB 9 Ord
B. Attachment B - August 15, 2025 Technical Assistance Request to HCD C. Attachment C - November 6, 2025 HCD Technical Assistance Response D. Written Comments