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SB 79 HCD Technical Assistance Letter - Santa Monica

Santa Monica City Council
April 28, 2026

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SB 79 HCD Technical Assistance Letter - Santa Monica
Meeting
April 28, 2026
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Santa Monica City Council
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Community Development Department
City Planning Division
1685 Main Street – Mail Stop 28
Santa Monica, CA 90401
1 April 24, 2026
California Department of Housing & Community Development 651 Bannon Street
Sacramento, CA 95811
RE: Request for Technical Assistance for Senate Bill 79 Implementation Dear Housing and Community Development Staff,
In March 2026, HCD provided SB 79 Advisory Clarifications on Definitions for Metropolitan Planning Organizations. The City has drafted a map of the TOD zones pursuant to the guidance and language contained within SB 79 and HCD’s Advisory. In addition, the City is beginning preliminary analysis of SB 79 and its local effects. In our analysis, some questions have arisen regarding the interpretation of the definitions.

Transit-Oriented Development (TOD) Zones
Government Code Section 65912.156(m) defines transit-oriented development zone (TOD zone) as “the area within one-half mile of a TOD stop”.

Government Code Section 65912.161(b)(1)(B) further states that the local government can adopt an ordinance indicating the site’s exclusion from the standards if it is “a site in a transit-oriented development zone in which at least 33 percent of sites in the relevant transit-oriented development zone have permitted density and residential floor area ratio no less than 50 percent of the standards specified under subdivision (a) of Section 65912.157 and which includes sites with densities that cumulatively allow for at least 75 percent of the aggregate density for the transit-oriented development zone specified under subdivision (a) of Section 65912.157.”
The TOD zone for the Metro E Expo/Bundy covers sites in both the City of Santa Monica and City of Los Angeles.
➢ Question #1: Is the calculation of permitted density of this TOD zone and sites limited to what lies within the City of Santa Monica or does it also include the parcels in the City of Los Angeles?
2 Definition of Bus Service Transit-Oriented Development (TOD) Stop Public Resource Code Section 21060.2 subdivision (a)(1) defines bus rapid transit as follows:
“Full-time dedicated bus lanes or operation in a separate right-of-way dedicated for public transportation with a frequency of service interval of 15 minutes or less during the morning and afternoon peak commute periods.” HCD’s SB79 advisory clarification on definition of “Bus Service” states the following:
“A qualifying bus service TOD stop is a location where the bus stop is adjacent to a full-time dedicated transit lane and the average bus service intervals across the combined morning and afternoon peak periods is 15 minutes or less.” Santa Monica has two full-time dedicated bus lanes with an average service time of 15 minutes or less:
• Westbound direction on Broadway between Ocean Avenue and 5th Street (three blocks); and
• Eastbound on Santa Monica Boulevard between Ocean Avenue and 5th Street (three blocks).
➢ Question #2: In order for a bus stop to be qualify as a TOD stop, is the 15- minute service interval requirement in addition to the full-time dedicated transit lane requirements? Would the bus stops adjacent to these corridors still qualify as a bus service TOD stop if the bus lane is only three blocks in one direction? Definition of Transit-Oriented Development (TOD) Stop
In defining a TOD stop, Government Code Section 65912.156(p) states that “When a new transit route or extension is planned that was not identified in the applicable regional transportation plan on or before January 1, 2026, those stops shall not be eligible as transit-oriented development stops unless they would be eligible as Tier 1 transit-oriented development stops. If a county becomes an urban transit county subsequent to July 1, 2026, then bus service in that county shall remain ineligible for designation of a transit oriented development stop.”
HCD’s Advisory Clarifications specifies that a planned stop on a transit route or extension may be included if it is included in the region’s federally or state-mandated transportation improvement program (TIP). However, it is unclear as to whether an existing bus stop (not planned) could qualify as a TOD stop in the future if physical improvements (such as installation of dedicated bus lanes / separate right-of-way for operation) or enhanced bus service are implemented.
➢ Question #3: Can an existing bus stop become a qualifying TOD stop under Section 65912.156(p) if in the future, full-time dedicated bus lanes are added adjacent to the stop and bus service intervals are 15 minutes or less? 3 Additional Concessions
Government Code Section 65912.157(d) states that “a development shall be eligible for the following additional concessions, if it meets the applicable density threshold specified for its location:
1) For a development providing housing for extremely low income households, three additional concessions.
2) For a development providing housing for very low income households, two additional concessions.
3) For a development providing housing for low-income households, one additional concession.”
However, the statute is unclear as to how many units or what percentage of the project must be dedicated to these affordability categories to be eligible for the additional concessions.
➢ Question #4: How many units or what percentage of affordable units is needed in order to qualify for the additional corresponding concessions? For example, would an eligible housing development project qualify for three additional concessions if only one unit is provided for extremely low-income households? Permitted Capacity
Government Code Section 65912.161(b)(1)(A) states that the local government can adopt an ordinance indicating the site’s exclusion from the standards if it is, “A site that has been identified by the local jurisdiction which permits density and residential floor area ratio at no less than 50 percent of the standards specified under subdivision (a) of Section 65912.157.”
➢ Question #5: In determining permitted density and floor area ratio, can the City utilize the densities and standards guaranteed under SB 9 and SB 1123 to assess whether a site meets the above criterion?
Thank you in advance for your assistance on these matters. Please do not hesitate to contact me at [email protected] if you have any questions.

Sincerely,
Ross Fehrman, AICP
Planning Manager

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