Assembly Bill No. 682
CHAPTER 634
An act to amend Section 65915 of the Go vernment Code, relating to housing.
[Approved by Governor September 28, 2022. Filed with
Secretary of State September 28, 2022.]
legislative counsel’s digest
AB 682, Bloom. Planning and zoning: density bonuses: shared housing buildings.
Existing law, commonly referred to as the Density Bonus La w, requires a city or county to provide a developer that proposes a housing development within the city or county with a density bonus and other incenti ves or concessions, as specified, if the developer agrees to construct, among other options, 10% of the total units of a housing de velopment for rental or sale to lower income households, as defined; or 5% of the total units for rental or sale to very low income households, as defined; a senior citizen housing development, as defined, or a mobilehome park that limits residency based on age requirements, as specified; or 100% of all units in the development for lower income households, as defined, subject to certain exceptions, and meets other requirements.
This bill would provide that a housing development eligible for a density bonus be provide under these provisions includes a shared housing building, as defined, that will contain 10% of the total units for lo wer income households; contain or 5% of the total units for very low income households; is a senior housing development; or in which 100% of all the units are for lower income households, as described above. The bill would prohibit the city, county, or city and county from requiring an y minimum unit size requirements or minimum bedroom requirements in conflict with the bill’s provisions with respect to a shared housing b uilding eligible for a density bonus under these provisions. The bill would also make a technical change to the Density Bonus Law by deleting certain duplicative provisions.
By adding to the duties of local planning officials in implementing the Density Bonus Law, this bill would impose a state-mandated local program.
The California Constitution requires the state to reimburse 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.
This bill would incorporate additional changes to Section 65915 of the Government Code proposed by AB 2334 to be operati ve only if this bill and AB 2334 are enacted and this bill is enacted last.
91 The people of the State of California do enact as follows:
SECTION 1. Section 65915 of the Government Code, as amended by Section 1.5 of Chapter 365 of the Statutes of 2021, is amended to read:
65915. (a) (1) When an applicant seeks a density bonus for a housing development within, or for the donation of land for housing within, the jurisdiction of a city, county, or city and county, that local government shall comply with this section. A city, county, or city and county shall adopt an ordinance that specifies ho w compliance with this section will be implemented. Except as otherwise pro vided in subdi vision (s), f ailure to adopt an ordinance shall not relieve a city, county, or city and county from complying with this section.
(2) A local go vernment shall not condition the submission, re view, or approval of an application pursuant to this chapter on the preparation of an additional report or study that is not otherwise required by state la w, including this section. This subdivision does not prohibit a local government from requiring an applicant to provide reasonable documentation to establish eligibility for a requested density bonus, incenti ves or concessions, as described in subdivision (d), waivers or reductions of development standards, as described in subdivision (e), and parking ratios, as described in subdivision (p).
(3) In order to provide for the expeditious processing of a density bonus application, the local government shall do all of the following:
(A) Adopt procedures and timelines for processing a density bonus application.
(B) Provide a list of all documents and information required to be submitted with the density bonus application in order for the density bonus application to be deemed complete. This list shall be consistent with this chapter.
(C) Notify the applicant for a density bonus whether the application is complete in a manner consistent with the timelines specified in Section 65943.
(D) (i) If the local government notifies the applicant that the application is deemed complete pursuant to subparagraph (C), pro vide the applicant with a determination as to the following matters:
(I) The amount of density bonus, calculated pursuant to subdivision (f), for which the applicant is eligible.
(II) If the applicant requests a parking ratio pursuant to subdivision (p), the parking ratio for which the applicant is eligible.
(III) If the applicant requests incenti ves or concessions pursuant to subdivision (d) or waivers or reductions of development standards pursuant to subdivision (e), whether the applicant has provided adequate information for the local go vernment to mak e a determination as to those incenti ves, concessions, or waivers or reductions of development standards. (ii) Any determination required by this subparagraph shall be based on the development project at the time the application is deemed complete.
The local government shall adjust the amount of density bonus and parking 91 — 2 — Ch. 634
ratios awarded pursuant to this section based on any changes to the project during the course of development.
(b) (1) A city, county, or city and county shall grant one density bonus, the amount of which shall be as specified in subdivision (f), and, if requested by the applicant and consistent with the applicable requirements of this section, incentives or concessions, as described in subdivision (d), waivers or reductions of development standards, as described in subdivision (e), and parking ratios, as described in subdivision (p), if an applicant for a housing development seeks and agrees to construct a housing development, excluding any units permitted by the density bonus awarded pursuant to this section, that will contain at least any one of the following:
(A) Ten percent of the total units of a housing de velopment, including a shared housing building development, for rental or sale to lower income households, as defined in Section 50079.5 of the Health and Safety Code. (B) Five percent of the total units of a housing de velopment, including a shared housing building development, for rental or sale to very low income households, as defined in Section 50105 of the Health and Safety Code. (C) A senior citizen housing de velopment, as defined in Sections 51.3 and 51.12 of the Ci vil Code, or a mobilehome park that limits residenc y based on age requirements for housing for older persons pursuant to Section 798.76 or 799.5 of the Ci vil Code. F or purposes of this subparagraph, “development” includes a shared housing building development. (D) Ten percent of the total dwelling units of a housing development are sold to persons and f amilies of moderate income, as defined in Section 50093 of the Health and Safety Code, pro vided that all units in the development are offered to the public for purchase.
(E) Ten percent of the total units of a housing development for transitional foster youth, as defined in Section 66025.9 of the Education Code, disabled veterans, as defined in Section 18541, or homeless persons, as defined in the federal McKinne y-Vento Homeless Assistance Act (42 U.S.C. Sec. 11301 et seq.). The units described in this subparagraph shall be subject to a recorded affordability restriction of 55 years and shall be provided at the same affordability level as very low income units.
(F) (i) Twenty percent of the total units for lo wer income students in a student housing development that meets the following requirements:
(I) All units in the student housing development will be used exclusively for undergraduate, graduate, or professional students enrolled full time at an institution of higher education accredited by the Western Association of Schools and Colleges or the Accrediting Commission for Community and Junior Colleges. In order to be eligible under this subclause, the developer shall, as a condition of receiving a certificate of occupancy, provide evidence to the city, county, or city and county that the developer has entered into an operating agreement or master lease with one or more institutions of higher education for the institution or institutions to occupy all units of the student housing development with students from that institution or institutions. An operating agreement or master lease entered into pursuant to this subclause is not violated or breached if, in any subsequent year, there are not sufficient 91 Ch. 634 — 3 —
students enrolled in an institution of higher education to fill all units in the student housing development.
(II) The applicable 20-percent units will be used for lo wer income students.
(III) The rent pro vided in the applicable units of the de velopment for lower income students shall be calculated at 30 percent of 65 percent of the area median income for a single-room occupancy unit type. (IV) The development will provide priority for the applicable affordable units for lo wer income students e xperiencing homelessness. A homeless service provider, as defined in paragraph (3) of subdi vision (e) of Section 103577 of the Health and Safety Code, or institution of higher education that has kno wledge of a person’ s homeless status may v erify a person’ s status as homeless for purposes of this subclause.
(ii) For purposes of calculating a density bonus granted pursuant to this subparagraph, the term “unit” as used in this section means one rental bed and its pro rata share of associated common area f acilities. The units described in this subparagraph shall be subject to a recorded af fordability restriction of 55 years.
(G) One hundred percent of all units in the development, including total units and density bonus units, b ut exclusive of a manager’ s unit or units, are for lo wer income households, as defined by Section 50079.5 of the Health and Safety Code, e xcept that up to 20 percent of the units in the development, including total units and density bonus units, may be for moderate-income households, as defined in Section 50053 of the Health and Safety Code. For purposes of this subparagraph, “development” includes a shared housing building development.
(2) For purposes of calculating the amount of the density bonus pursuant to subdivision (f), an applicant who requests a density bonus pursuant to this subdivision shall elect whether the bonus shall be awarded on the basis of subparagraph (A), (B), (C), (D), (E), (F), or (G) of paragraph (1). (c) (1) (A) An applicant shall agree to, and the city, county, or city and county shall ensure, the continued af fordability of all v ery lo w and low-income rental units that qualified the applicant for the a ward of the density bonus for 55 years or a longer period of time if required by the construction or mortgage financing assistance program, mortgage insurance program, or rental subsidy program.
(B) (i) Except as otherwise pro vided in clause (ii), rents for the lo wer income density bonus units shall be set at an affordable rent, as defined in Section 50053 of the Health and Safety Code.
(ii) For housing developments meeting the criteria of subparagraph (G) of paragraph (1) of subdivision (b), rents for all units in the de velopment, including both base density and density bonus units, shall be as follows:
(I) The rent for at least 20 percent of the units in the de velopment shall be set at an affordable rent, as defined in Section 50053 of the Health and Safety Code.
(II) The rent for the remaining units in the de velopment shall be set at an amount consistent with the maximum rent le vels for a housing 91 — 4 — Ch. 634
development that recei ves an allocation of state or federal lo w-income housing tax credits from the California Tax Credit Allocation Committee. (2) (A) An applicant shall agree to ensure, and the city , county, or city and county shall ensure, that a for-sale unit that qualified the applicant for the award of the density bonus meets either of the following conditions:
(i) The unit is initially occupied by a person or family of very low, low, or moderate income, as required, and it is offered at an affordable housing cost, as that cost is defined in Section 50052.5 of the Health and Safety Code and is subject to an equity sharing agreement.
(ii) The unit is purchased by a qualified nonprofit housing corporation pursuant to a recorded contract that satisfies all of the requirements specified in paragraph (10) of subdi vision (a) of Section 402.1 of the Re venue and Taxation Code and that includes all of the following:
(I) A repurchase option that requires a subsequent purchaser of the property that desires to resell or con vey the property to offer the qualified nonprofit corporation the right to repurchase the property prior to selling or conveying that property to any other purchaser.
(II) An equity sharing agreement.
(III) Affordability restrictions on the sale and conveyance of the property that ensure that the property will be preserv ed for lo wer income housing for at least 45 years for o wner-occupied housing units and will be sold or resold only to persons or families of very low, low, or moderate income, as defined in Section 50052.5 of the Health and Safety Code. (B) For purposes of this paragraph, a “qualified nonprofit housing corporation” is a nonprofit housing corporation organized pursuant to Section 501(c)(3) of the Internal Revenue Code that has received a welfare exemption under Section 214.15 of the Re venue and Taxation Code for properties intended to be sold to lo w-income families who participate in a special no-interest loan program.
(C) The local go vernment shall enforce an equity sharing agreement required pursuant to clause (i) or (ii) of subparagraph (A), unless it is in conflict with the requirements of another public funding source or law. The following apply to the equity sharing agreement:
(i) Upon resale, the seller of the unit shall retain the v alue of an y improvements, the do wnpayment, and the seller’ s proportionate share of appreciation.
(ii) Except as provided in clause (v), the local government shall recapture any initial subsidy, as defined in clause (iii), and its proportionate share of appreciation, as defined in clause (iv), which amount shall be used within five years for an y of the purposes described in subdi vision (e) of Section 33334.2 of the Health and Safety Code that promote home ownership. (iii) For purposes of this subdi vision, the local go vernment’s initial subsidy shall be equal to the f air market value of the home at the time of initial sale minus the initial sale price to the moderate-income household, plus the amount of any downpayment assistance or mortgage assistance. If upon resale the market value is lower than the initial market value, then the value at the time of the resale shall be used as the initial market value. 91 Ch. 634 — 5 —
(iv) For purposes of this subdivision, the local government’s proportionate share of appreciation shall be equal to the ratio of the local go vernment’s initial subsidy to the fair market value of the home at the time of initial sale. (v) If the unit is purchased or developed by a qualified nonprofit housing corporation pursuant to clause (ii) of subparagraph (A) the local government may enter into a contract with the qualified nonprofit housing corporation under which the qualified nonprofit housing corporation w ould recapture any initial subsidy and its proportionate share of appreciation if the qualified nonprofit housing corporation is required to use 100 percent of the proceeds to promote homeo wnership for lo wer income households as defined by Health and Safety Code Section 50079.5 within the jurisdiction of the local government.
(3) (A) An applicant shall be ineligible for a density bonus or any other incentives or concessions under this section if the housing de velopment is proposed on any property that includes a parcel or parcels on which rental dwelling units are or, if the dwelling units have been vacated or demolished in the fiv e-year period preceding the application, ha ve been subject to a recorded covenant, ordinance, or law that restricts rents to levels affordable to persons and families of lower or very low income; subject to an y other form of rent or price control through a public entity’ s valid exercise of its police power; or occupied by lower or very low income households, unless the proposed housing de velopment replaces those units, and either of the following applies:
(i) The proposed housing de velopment, inclusive of the units replaced pursuant to this paragraph, contains affordable units at the percentages set forth in subdivision (b).
(ii) Each unit in the development, exclusive of a manager’s unit or units, is af fordable to, and occupied by , either a lo wer or v ery lo w income household.
(B) For the purposes of this paragraph, “replace” shall mean either of the following:
(i) If any dwelling units described in subparagraph (A) are occupied on the date of application, the proposed housing development shall provide at least the same number of units of equi valent size to be made a vailable at affordable rent or affordable housing cost to, and occupied by, persons and families in the same or lo wer income cate gory as those households in occupancy. If the income cate gory of the household in occupanc y is not known, it shall be rebuttably presumed that lower income renter households occupied these units in the same proportion of lo wer income renter households to all renter households within the jurisdiction, as determined by the most recently a vailable data from the United States Department of Housing and Urban Development’s Comprehensive Housing Affordability Strategy database. For unoccupied dwelling units described in subparagraph (A) in a development with occupied units, the proposed housing development shall provide units of equivalent size to be made available at affordable rent or affordable housing cost to, and occupied by, persons and families in the same or lower income category as the last household in occupanc y. If the 91 — 6 — Ch. 634
income category of the last household in occupanc y is not known, it shall be rebuttably presumed that lower income renter households occupied these units in the same proportion of lower income renter households to all renter households within the jurisdiction, as determined by the most recently available data from the United States Department of Housing and Urban Development’s Comprehensive Housing Affordability Strategy database.
All replacement calculations resulting in fractional units shall be rounded up to the next whole number. If the replacement units will be rental dwelling units, these units shall be subject to a recorded af fordability restriction for at least 55 years. If the proposed de velopment is for -sale units, the units replaced shall be subject to paragraph (2).
(ii) If all dwelling units described in subparagraph (A) have been vacated or demolished within the fiv e-year period preceding the application, the proposed housing development shall provide at least the same number of units of equi valent size as e xisted at the highpoint of those units in the five-year period preceding the application to be made available at affordable rent or affordable housing cost to, and occupied by , persons and f amilies in the same or lo wer income cate gory as those persons and f amilies in occupancy at that time, if known. If the incomes of the persons and families in occupancy at the highpoint is not known, it shall be rebuttably presumed that low-income and v ery low income renter households occupied these units in the same proportion of lo w-income and v ery low income renter households to all renter households within the jurisdiction, as determined by the most recently a vailable data from the United States Department of Housing and Urban Development’s Comprehensive Housing Affordability Strategy database. All replacement calculations resulting in fractional units shall be rounded up to the next whole number. If the replacement units will be rental dwelling units, these units shall be subject to a recorded affordability restriction for at least 55 years. If the proposed de velopment is for-sale units, the units replaced shall be subject to paragraph (2). (C) Notwithstanding subparagraph (B), for any dwelling unit described in subparagraph (A) that is or w as, within the fiv e-year period preceding the application, subject to a form of rent or price control through a local government’s valid exercise of its police power and that is or was occupied by persons or f amilies above lower income, the city , county, or city and county may do either of the following:
(i) Require that the replacement units be made a vailable at af fordable rent or affordable housing cost to, and occupied by, low-income persons or families. If the replacement units will be rental dwelling units, these units shall be subject to a recorded affordability restriction for at least 55 years.
If the proposed de velopment is for -sale units, the units replaced shall be subject to paragraph (2).
(ii) Require that the units be replaced in compliance with the jurisdiction’s rent or price control ordinance, pro vided that each unit described in subparagraph (A) is replaced. Unless otherwise required by the jurisdiction’s rent or price control ordinance, these units shall not be subject to a recorded affordability restriction.
91 Ch. 634 — 7 —
(D) For purposes of this paragraph, “equi valent size” means that the replacement units contain at least the same total number of bedrooms as the units being replaced.
(E) Subparagraph (A) does not apply to an applicant seeking a density bonus for a proposed housing de velopment if the applicant’ s application was submitted to, or processed by, a city, county, or city and county before January 1, 2015.
(d) (1) An applicant for a density bonus pursuant to subdivision (b) may submit to a city , county, or city and county a proposal for the specific incentives or concessions that the applicant requests pursuant to this section, and may request a meeting with the city , county, or city and county . The city, county, or city and county shall grant the concession or incenti ve requested by the applicant unless the city, county, or city and county makes a written finding, based upon substantial evidence, of any of the following:
(A) The concession or incentive does not result in identifiable and actual cost reductions, consistent with subdi vision (k), to pro vide for affordable housing costs, as defined in Section 50052.5 of the Health and Safety Code, or for rents for the targeted units to be set as specified in subdivision (c). (B) The concession or incentive would have a specific, adverse impact, as defined in paragraph (2) of subdi vision (d) of Section 65589.5, upon public health and safety or on any real property that is listed in the California Register of Historical Resources and for which there is no feasible method to satisf actorily mitig ate or a void the specific, adv erse impact without rendering the development unaffordable to low-income and moderate-income households.
(C) The concession or incenti ve would be contrary to state or federal law.
(2) The applicant shall recei ve the follo wing number of incenti ves or concessions:
(A) One incenti ve or concession for projects that include at least 10 percent of the total units for lower income households, at least 5 percent for very low income households, or at least 10 percent for persons and families of moderate income in a development in which the units are for sale. (B) Two incentives or concessions for projects that include at least 17 percent of the total units for lo wer income households, at least 10 percent for very low income households, or at least 20 percent for persons and families of moderate income in a de velopment in which the units are for sale.
(C) Three incentives or concessions for projects that include at least 24 percent of the total units for lo wer income households, at least 15 percent for very low income households, or at least 30 percent for persons and families of moderate income in a de velopment in which the units are for sale.
(D) Four incentives or concessions for a project meeting the criteria of subparagraph (G) of paragraph (1) of subdivision (b). If the project is located within one-half mile of a major transit stop, the applicant shall also receive a height increase of up to three additional stories, or 33 feet. 91 — 8 — Ch. 634
(E) One incenti ve or concession for projects that include at least 20 percent of the total units for lo wer income students in a student housing development.
(3) The applicant may initiate judicial proceedings if the city, county, or city and county refuses to grant a requested density bonus, incenti ve, or concession. If a court finds that the refusal to grant a requested density bonus, incentive, or concession is in violation of this section, the court shall award the plaintif f reasonable attorne y’s fees and costs of suit. This subdivision shall not be interpreted to require a local go vernment to grant an incentive or concession that has a specific, adv erse impact, as defined in paragraph (2) of subdivision (d) of Section 65589.5, upon health or safety, and for which there is no feasible method to satisfactorily mitigate or avoid the specific adv erse impact. This subdivision shall not be interpreted to require a local government to grant an incentive or concession that w ould have an adverse impact on any real property that is listed in the California Register of Historical Resources. The city, county, or city and county shall establish procedures for carrying out this section that shall include legislative body approval of the means of compliance with this section. (4) The city, county, or city and county shall bear the b urden of proof for the denial of a requested concession or incentive.
(e) (1) In no case may a city , county, or city and county apply an y development standard that will have the effect of physically precluding the construction of a development meeting the criteria of subdivision (b) at the densities or with the concessions or incenti ves permitted by this section.
Subject to paragraph (3), an applicant may submit to a city, county, or city and county a proposal for the waiver or reduction of development standards that will ha ve the ef fect of ph ysically precluding the construction of a development meeting the criteria of subdivision (b) at the densities or with the concessions or incentives permitted under this section, and may request a meeting with the city, county, or city and county. If a court finds that the refusal to grant a waiver or reduction of development standards is in violation of this section, the court shall award the plaintiff reasonable attorney’s fees and costs of suit. This subdivision shall not be interpreted to require a local government to w aive or reduce de velopment standards if the w aiver or reduction would have a specific, adv erse impact, as defined in paragraph (2) of subdi vision (d) of Section 65589.5, upon health or safety , and for which there is no feasible method to satisf actorily mitigate or a void the specific adverse impact. This subdivision shall not be interpreted to require a local government to waive or reduce de velopment standards that w ould have an adverse impact on any real property that is listed in the California Register of Historical Resources, or to grant an y waiver or reduction that would be contrary to state or federal law.
(2) A proposal for the w aiver or reduction of de velopment standards pursuant to this subdivision shall neither reduce nor increase the number of incentives or concessions to which the applicant is entitled pursuant to subdivision (d).
91 Ch. 634 — 9 —
(3) A housing development that receives a waiver from any maximum controls on density pursuant to clause (ii) of subparagraph (D) of paragraph (3) of subdi vision (f) shall only be eligible for a w aiver or reduction of development standards as pro vided in subparagraph (D) of paragraph (2) of subdivision (d) and clause (ii) of subparagraph (D) of paragraph (3) of subdivision (f), unless the city, county, or city and county agrees to additional waivers or reductions of development standards.
(f) For the purposes of this chapter , “density bonus” means a density increase over the otherwise maximum allo wable gross residential density as of the date of application by the applicant to the city, county, or city and county, or, if elected by the applicant, a lesser percentage of density increase, including, but not limited to, no increase in density. The amount of density increase to which the applicant is entitled shall vary according to the amount by which the percentage of affordable housing units exceeds the percentage established in subdivision (b).
(1) For housing developments meeting the criteria of subparagraph (A) of paragraph (1) of subdivision (b), the density bonus shall be calculated as follows:
Percentage Density
Bonus
Percentage Low-Income Units
20 10
21.5 11
23 12
24.5 13
26 14
27.5 15
29 16
30.5 17
32 18
33.5 19
35 20
38.75 21
42.5 22
46.25 23
50 24
(2) For housing developments meeting the criteria of subparagraph (B) of paragraph (1) of subdivision (b), the density bonus shall be calculated as follows:
Percentage Density Bonus Percentage Very Low Income Units 20 5
22.5 6
25 7
27.5 8
30 9
91 — 10 — Ch. 634
32.5 10
35 11
38.75 12
42.5 13
46.25 14
50 15
(3) (A) For housing developments meeting the criteria of subparagraph (C) of paragraph (1) of subdivision (b), the density bonus shall be 20 percent of the number of senior housing units.
(B) For housing developments meeting the criteria of subparagraph (E) of paragraph (1) of subdi vision (b), the density bonus shall be 20 percent of the number of the type of units giving rise to a density bonus under that subparagraph.
(C) For housing developments meeting the criteria of subparagraph (F) of paragraph (1) of subdi vision (b), the density bonus shall be 35 percent of the student housing units.
(D) For housing developments meeting the criteria of subparagraph (G) of paragraph (1) of subdivision (b), the following shall apply:
(i) Except as otherwise pro vided in clause (ii), the density bonus shall be 80 percent of the number of units for lower income households. (ii) If the housing development is located within one-half mile of a major transit stop, the city , county , or city and county shall not impose an y maximum controls on density.
(4) For housing developments meeting the criteria of subparagraph (D) of paragraph (1) of subdivision (b), the density bonus shall be calculated as follows:
Percentage Density Bonus Percentage Moderate-Income Units 5 10
6 11
7 12
8 13
9 14
10 15
11 16
12 17
13 18
14 19
15 20
16 21
17 22
18 23
19 24
20 25
21 26
22 27
91 Ch. 634 — 11 —
23 28
24 29
25 30
26 31
27 32
28 33
29 34
30 35
31 36
32 37
33 38
34 39
35 40
38.75 41
42.5 42
46.25 43
50 44
(5) All density calculations resulting in fractional units shall be rounded up to the ne xt whole number . The granting of a density bonus shall not require, or be interpreted, in and of itself, to require a general plan amendment, local coastal plan amendment, zoning change, or other discretionary approval.
(g) (1) When an applicant for a tentative subdivision map, parcel map, or other residential development approval donates land to a city, county, or city and county in accordance with this subdi vision, the applicant shall be entitled to a 15-percent increase abo ve the otherwise maximum allowable residential density for the entire development, as follows:
Percentage Density Bonus Percentage Very Low Income
15 10
16 11
17 12
18 13
19 14
20 15
21 16
22 17
23 18
24 19
25 20
26 21
27 22
28 23
29 24
30 25
31 26
91 — 12 — Ch. 634
32 27
33 28
34 29
35 30
(2) This increase shall be in addition to any increase in density mandated by subdivision (b), up to a maximum combined mandated density increase of 35 percent if an applicant seeks an increase pursuant to both this subdivision and subdi vision (b). All density calculations resulting in fractional units shall be rounded up to the ne xt whole number. Nothing in this subdivision shall be construed to enlar ge or diminish the authority of a city, county, or city and county to require a developer to donate land as a condition of development. An applicant shall be eligible for the increased density bonus described in this subdivision if all of the following conditions are met:
(A) The applicant donates and transfers the land no later than the date of appro val of the final subdi vision map, parcel map, or residential development application.
(B) The developable acreage and zoning classification of the land being transferred are sufficient to permit construction of units affordable to very low income households in an amount not less than 10 percent of the number of residential units of the proposed development.
(C) The transferred land is at least one acre in size or of sufficient size to permit development of at least 40 units, has the appropriate general plan designation, is appropriately zoned with appropriate development standards for development at the density described in paragraph (3) of subdivision (c) of Section 65583.2, and is or will be serv ed by adequate public f acilities and infrastructure.
(D) The transferred land shall have all of the permits and approvals, other than building permits, necessary for the development of the very low income housing units on the transferred land, not later than the date of approval of the final subdivision map, parcel map, or residential development application, except that the local government may subject the proposed development to subsequent design re view to the e xtent authorized by subdi vision (i) of Section 65583.2 if the design is not reviewed by the local government before the time of transfer.
(E) The transferred land and the af fordable units shall be subject to a deed restriction ensuring continued affordability of the units consistent with paragraphs (1) and (2) of subdi vision (c), which shall be recorded on the property at the time of the transfer.
(F) The land is transferred to the local agency or to a housing developer approved by the local agency. The local agency may require the applicant to identify and transfer the land to the developer.
(G) The transferred land shall be within the boundary of the proposed development or, if the local agenc y agrees, within one-quarter mile of the boundary of the proposed development.
91 Ch. 634 — 13 —
(H) A proposed source of funding for the very low income units shall be identified not later than the date of appro val of the final subdi vision map, parcel map, or residential development application.
(h) (1) When an applicant proposes to construct a housing development that conforms to the requirements of subdivision (b) and includes a childcare facility that will be located on the premises of, as part of, or adjacent to, the project, the city, county, or city and county shall grant either of the following:
(A) An additional density bonus that is an amount of square feet of residential space that is equal to or greater than the amount of square feet in the childcare facility.
(B) An additional concession or incentive that contributes significantly to the economic feasibility of the construction of the childcare facility. (2) The city, county, or city and county shall require, as a condition of approving the housing development, that the following occur:
(A) The childcare facility shall remain in operation for a period of time that is as long as or longer than the period of time during which the density bonus units are required to remain affordable pursuant to subdivision (c). (B) Of the children who attend the childcare facility, the children of very low income households, lower income households, or families of moderate income shall equal a percentage that is equal to or greater than the percentage of dwelling units that are required for v ery low income households, lower income households, or families of moderate income pursuant to subdivision (b).
(3) Notwithstanding any requirement of this subdivision, a city, county, or city and county shall not be required to pro vide a density bonus or concession for a childcare facility if it finds, based upon substantial evidence, that the community has adequate childcare facilities.
(4) “Childcare facility,” as used in this section, means a child daycare facility other than a f amily daycare home, including, b ut not limited to, infant centers, preschools, e xtended daycare f acilities, and schoolage childcare centers.
(i) “Housing development,” as used in this section, means a development project for five or more residential units, including mixed-use developments.
For the purposes of this section, “housing de velopment” also includes a subdivision or common interest de velopment, as defined in Section 4100 of the Civil Code, approved by a city, county, or city and county and consists of residential units or unimpro ved residential lots and either a project to substantially rehabilitate and con vert an e xisting commercial b uilding to residential use or the substantial rehabilitation of an e xisting multifamily dwelling, as defined in subdivision (d) of Section 65863.4, where the result of the rehabilitation w ould be a net increase in a vailable residential units.
For the purpose of calculating a density bonus, the residential units shall be on contiguous sites that are the subject of one development application, but do not have to be based upon indi vidual subdivision maps or parcels. The density bonus shall be permitted in geographic areas of the housing development other than the areas where the units for the lo wer income households are located.
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(j) (1) The granting of a concession or incentive shall not require or be interpreted, in and of itself, to require a general plan amendment, local coastal plan amendment, zoning change, study , or other discretionary approval. F or purposes of this subdi vision, “study” does not include reasonable documentation to establish eligibility for the concession or incentive or to demonstrate that the incenti ve or concession meets the definition set forth in subdi vision (k). This pro vision is declaratory of existing law.
(2) Except as pro vided in subdi visions (d) and (e), the granting of a density bonus shall not require or be interpreted to require the w aiver of a local ordinance or provisions of a local ordinance unrelated to development standards.
(k) For the purposes of this chapter, concession or incentive means any of the following:
(1) A reduction in site development standards or a modification of zoning code requirements or architectural design requirements that e xceed the minimum building standards approved by the California Building Standards Commission as provided in Part 2.5 (commencing with Section 18901) of Division 13 of the Health and Safety Code, including, but not limited to, a reduction in setback and square footage requirements and in the ratio of vehicular parking spaces that w ould otherwise be required that results in identifiable and actual cost reductions, to pro vide for af fordable housing costs, as defined in Section 50052.5 of the Health and Safety Code, or for rents for the targeted units to be set as specified in subdivision (c). (2) Approval of mixed-use zoning in conjunction with the housing project if commercial, office, industrial, or other land uses will reduce the cost of the housing development and if the commercial, office, industrial, or other land uses are compatible with the housing project and the existing or planned development in the area where the proposed housing project will be located. (3) Other regulatory incentives or concessions proposed by the developer or the city, county, or city and county that result in identifiable and actual cost reductions to provide for affordable housing costs, as defined in Section 50052.5 of the Health and Safety Code, or for rents for the tar geted units to be set as specified in subdivision (c).
(l) Subdivision (k) does not limit or require the pro vision of direct financial incentives for the housing de velopment, including the pro vision of publicly owned land, by the city, county, or city and county, or the waiver of fees or dedication requirements.
(m) This section does not supersede or in an y way alter or lessen the effect or application of the California Coastal Act of 1976 (Di vision 20 (commencing with Section 30000) of the Public Resources Code). Any density bonus, concessions, incentives, waivers or reductions of development standards, and parking ratios to which the applicant is entitled under this section shall be permitted in a manner that is consistent with this section and Division 20 (commencing with Section 30000) of the Public Resources Code.
91 Ch. 634 — 15 —
(n) If permitted by local ordinance, nothing in this section shall be construed to prohibit a city , county, or city and county from granting a density bonus greater than what is described in this section for a development that meets the requirements of this section or from granting a proportionately lower density bonus than what is required by this section for developments that do not meet the requirements of this section.
(o) For purposes of this section, the following definitions shall apply:
(1) “Development standard” includes a site or construction condition, including, but not limited to, a height limitation, a setback requirement, a floor area ratio, an onsite open-space requirement, or a parking ratio that applies to a residential development pursuant to any ordinance, general plan element, specific plan, charter , or other local condition, la w, polic y, resolution, or regulation.
(2) “Located within one-half mile of a major transit stop” means that any point on a proposed de velopment, for which an applicant seeks a density bonus, other incentives or concessions, waivers or reductions of development standards, or a v ehicular parking ratio pursuant to this section, is within one-half mile of any point on the property on which a major transit stop is located, including any parking lot o wned by the transit authority or other local agency operating the major transit stop.
(3) “Lower income student” means a student who has a household income and asset level that does not exceed the level for Cal Grant A or Cal Grant B award recipients as set forth in paragraph (1) of subdivision (k) of Section 69432.7 of the Education Code. The eligibility of a student to occupy a unit for lower income students under this section shall be verified by an affidavit, award letter, or letter of eligibility pro vided by the institution of higher education in which the student is enrolled or by the California Student Aid Commission that the student receives or is eligible for financial aid, including an institutional grant or fee w aiver from the colle ge or uni versity, the California Student Aid Commission, or the federal government. (4) “Major transit stop” has the same meaning as defined in subdivision (b) of Section 21155 of the Public Resources Code.
(5) “Maximum allowable residential density” means the density allowed under the zoning ordinance and land use element of the general plan, or, if a range of density is permitted, means the maximum allowable density for the specific zoning range and land use element of the general plan applicable to the project. If the density allo wed under the zoning ordinance is inconsistent with the density allo wed under the land use element of the general plan, the general plan density shall prevail.
(6) (A) (i) “Shared housing building” means a residential or mixed-use structure, with five or more shared housing units and one or more common kitchens and dining areas designed for permanent residence of more than 30 days by its tenants. The kitchens and dining areas within the shared housing building shall be able to adequately accommodate all residents. If a local ordinance further restricts the attributes of a shared housing building beyond the requirements established in this section, the local definition shall 91 — 16 — Ch. 634
apply to the e xtent that it does not conflict with the requirements of this section.
(ii) A “shared housing building” may include other dwelling units that are not shared housing units, pro vided that those dwelling units do not occupy more than 25 percent of the floor area of the shared housing building.
A shared housing building may include 100 percent shared housing units. (iii) A “shared housing b uilding” may include incidental commercial uses, provided that those commercial uses are otherwise allowable and are located only on the ground floor or the level of the shared housing building closest to the street or sidewalk of the shared housing building. (B) “Shared housing unit” means one or more habitable rooms, not within another dwelling unit, that includes a bathroom, sink, refrigerator , and microwave, is used for permanent residence, that meets the “minimum room area” specified in Section R304 of the California Residential Code (Part 2.5 of Title 24 of the California Code of Re gulations), and complies with the definition of “guestroom” in Section R202 of the California Residential Code. If a local ordinance further restricts the attributes of a shared housing building be yond the requirements established in this section, the local definition shall apply to the e xtent that it does not conflict with the requirements of this section.
(7) (A) “Total units” or “total dwelling units” means a calculation of the number of units that:
(i) Excludes a unit added by a density bonus a warded pursuant to this section or any local law granting a greater density bonus. (ii) Includes a unit designated to satisfy an inclusionary zoning requirement of a city, county, or city and county.
(B) For purposes of calculating a density bonus granted pursuant to this section for a shared housing building, “unit” means one shared housing unit and its pro rata share of associated common area facilities. (p) (1) Except as pro vided in paragraphs (2), (3), and (4), upon the request of the developer, a city, county, or city and county shall not require a vehicular parking ratio, inclusive of parking for persons with a disability and guests, of a de velopment meeting the criteria of subdi visions (b) and (c), that exceeds the following ratios:
(A) Zero to one bedroom: one onsite parking space.
(B) Two to three bedrooms: one and one-half onsite parking spaces. (C) Four and more bedrooms: two and one-half parking spaces. (2) (A) Notwithstanding paragraph (1), if a de velopment includes at least 20 percent lo w-income units for housing de velopments meeting the criteria of subparagraph (A) of paragraph (1) of subdi vision (b) or at least 11 percent v ery low income units for housing de velopments meeting the criteria of subparagraph (B) of paragraph (1) of subdivision (b), is located within one-half mile of a major transit stop, and there is unobstructed access to the major transit stop from the de velopment, then, upon the request of the developer, a city, county, or city and county shall not impose a vehicular parking ratio, inclusive of parking for persons with a disability and guests, that e xceeds 0.5 spaces per unit. Notwithstanding paragraph (1), if a 91 Ch. 634 — 17 —
development includes at least 40 percent moderate-income units for housing developments meeting the criteria of subparagraph (D) of paragraph (1) of subdivision (b), is located within one-half mile of a major transit stop, as defined in subdivision (b) of Section 21155 of the Public Resources Code, and the residents of the development have unobstructed access to the major transit stop from the development then, upon the request of the de veloper, a city, county, or city and county shall not impose a vehicular parking ratio, inclusive of parking for persons with a disability and guests, that e xceeds
0.5 spaces per bedroom.
(B) For purposes of this subdivision, “unobstructed access to the major transit stop” means a resident is able to access the major transit stop without encountering natural or constructed impediments. F or purposes of this subparagraph, “natural or constructed impediments” includes, b ut is not limited to, freeways, rivers, mountains, and bodies of w ater, but does not include residential structures, shopping centers, parking lots, or rails used for transit.
(3) Notwithstanding paragraph (1), if a de velopment consists solely of rental units, e xclusive of a manager’ s unit or units, with an af fordable housing cost to lower income families, as provided in Section 50052.5 of the Health and Safety Code, then, upon the request of the developer, a city, county, or city and county shall not impose v ehicular parking standards if the development meets either of the following criteria:
(A) The development is located within one-half mile of a major transit stop and there is unobstructed access to the major transit stop from the development.
(B) The development is a for-rent housing development for individuals who are 62 years of age or older that complies with Sections 51.2 and 51.3 of the Ci vil Code and the de velopment has either paratransit service or unobstructed access, within one-half mile, to fix ed bus route service that operates at least eight times per day.
(4) Notwithstanding paragraphs (1) and (8), if a de velopment consists solely of rental units, e xclusive of a manager’ s unit or units, with an affordable housing cost to lo wer income f amilies, as pro vided in Section 50052.5 of the Health and Safety Code, and the de velopment is either a special needs housing de velopment, as defined in Section 51312 of the Health and Safety Code, or a supporti ve housing development, as defined in Section 50675.14 of the Health and Safety Code, then, upon the request of the de veloper, a city , county, or city and county shall not impose an y minimum vehicular parking requirement. A development that is a special needs housing de velopment shall ha ve either paratransit service or unobstructed access, within one-half mile, to fix ed bus route service that operates at least eight times per day.
(5) If the total number of parking spaces required for a de velopment is other than a whole number , the number shall be rounded up to the ne xt whole number. For purposes of this subdivision, a development may provide onsite parking through tandem parking or uncovered parking, but not through onstreet parking.
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(6) This subdi vision shall apply to a de velopment that meets the requirements of subdi visions (b) and (c), b ut only at the request of the applicant. An applicant may request parking incenti ves or concessions beyond those provided in this subdivision pursuant to subdivision (d). (7) This subdivision does not preclude a city, county, or city and county from reducing or eliminating a parking requirement for development projects of any type in any location.
(8) Notwithstanding paragraphs (2) and (3), if a city , county, city and county, or an independent consultant has conducted an area wide or jurisdictionwide parking study in the last seven years, then the city, county, or city and county may impose a higher vehicular parking ratio not to exceed the ratio described in paragraph (1), based upon substantial evidence found in the parking study, that includes, but is not limited to, an analysis of parking availability, differing levels of transit access, w alkability access to transit services, the potential for shared parking, the effect of parking requirements on the cost of market-rate and subsidized developments, and the lower rates of car ownership for low-income and very low income individuals, including seniors and special needs individuals. The city, county, or city and county shall pay the costs of an y new study. The city, county, or city and county shall make findings, based on a parking study completed in conformity with this paragraph, supporting the need for the higher parking ratio. (9) A request pursuant to this subdivision shall neither reduce nor increase the number of incentives or concessions to which the applicant is entitled pursuant to subdivision (d).
(q) Each component of an y density calculation, including base density and bonus density, resulting in fractional units shall be separately rounded up to the ne xt whole number. The Legislature finds and declares that this provision is declaratory of existing law.
(r) This chapter shall be interpreted liberally in f avor of producing the maximum number of total housing units.
(s) Notwithstanding an y other la w, if a city , including a charter city , county, or city and county has adopted an ordinance or a housing program, or both an ordinance and a housing program, that incenti vizes the development of af fordable housing that allo ws for density bonuses that exceed the density bonuses required by the version of this section effective through December 31, 2020, that city , county, or city and county is not required to amend or otherwise update its ordinance or corresponding affordable housing incentive program to comply with the amendments made to this section by the act adding this subdi vision, and is e xempt from complying with the incentive and concession calculation amendments made to this section by the act adding this subdivision as set forth in subdivision (d), particularly subparagraphs (B) and (C) of paragraph (2) of that subdivision, and the amendments made to the density tables under subdivision (f).
(t) When an applicant proposes to construct a housing development that conforms to the requirements of subparagraph (A) or (B) of paragraph (1) of subdivision (b) that is a shared housing building, the city, county, or city 91 Ch. 634 — 19 —
and county shall not require an y minimum unit size requirements or minimum bedroom requirements that are in conflict with paragraph (6) of subdivision (o).
(u) (1) The Le gislature finds and declares that the intent behind the Density Bonus Law is to allow public entities to reduce or e ven eliminate subsidies for a particular project by allo wing a developer to include more total units in a project than would otherwise be allowed by the local zoning ordinance in exchange for affordable units. It further reaffirms that the intent is to co ver at least some of the financing g ap of af fordable housing with regulatory incentives, rather than additional public subsidy. (2) It is therefore the intent of the Legislature to make modifications to the Density Bonus La w by the act adding this subdi vision to further incentivize the construction of very low, low-, and moderate-income housing units. It is further the intent of the Legislature in making these modifications to the Density Bonus Law to ensure that any additional benefits conferred upon a de veloper are balanced with the receipt of a public benefit in the form of adequate le vels of af fordable housing. The Le gislature further intends that these modifications will ensure that the Density Bonus La w creates incentives for the construction of more housing across all areas of the state.
SEC. 1.5. Section 65915 of the Government Code is amended to read:
65915. (a) (1) When an applicant seeks a density bonus for a housing development within, or for the donation of land for housing within, the jurisdiction of a city, county, or city and county, that local government shall comply with this section. A city, county, or city and county shall adopt an ordinance that specifies ho w compliance with this section will be implemented. Except as otherwise pro vided in subdi vision (s), f ailure to adopt an ordinance shall not relieve a city, county, or city and county from complying with this section.
(2) A local go vernment shall not condition the submission, re view, or approval of an application pursuant to this chapter on the preparation of an additional report or study that is not otherwise required by state la w, including this section. This subdivision does not prohibit a local government from requiring an applicant to provide reasonable documentation to establish eligibility for a requested density bonus, incenti ves or concessions, as described in subdivision (d), waivers or reductions of development standards, as described in subdivision (e), and parking ratios, as described in subdivision (p).
(3) In order to provide for the expeditious processing of a density bonus application, the local government shall do all of the following:
(A) Adopt procedures and timelines for processing a density bonus application.
(B) Provide a list of all documents and information required to be submitted with the density bonus application in order for the density bonus application to be deemed complete. This list shall be consistent with this chapter.
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(C) Notify the applicant for a density bonus whether the application is complete in a manner consistent with the timelines specified in Section 65943.
(D) (i) If the local government notifies the applicant that the application is deemed complete pursuant to subparagraph (C), pro vide the applicant with a determination as to the following matters:
(I) The amount of density bonus, calculated pursuant to subdivision (f), for which the applicant is eligible.
(II) If the applicant requests a parking ratio pursuant to subdivision (p), the parking ratio for which the applicant is eligible.
(III) If the applicant requests incenti ves or concessions pursuant to subdivision (d) or waivers or reductions of development standards pursuant to subdivision (e), whether the applicant has provided adequate information for the local go vernment to mak e a determination as to those incenti ves, concessions, or waivers or reductions of development standards. (ii) Any determination required by this subparagraph shall be based on the development project at the time the application is deemed complete.
The local government shall adjust the amount of density bonus and parking ratios awarded pursuant to this section based on any changes to the project during the course of development.
(b) (1) A city, county, or city and county shall grant one density bonus, the amount of which shall be as specified in subdivision (f), and, if requested by the applicant and consistent with the applicable requirements of this section, incentives or concessions, as described in subdivision (d), waivers or reductions of development standards, as described in subdivision (e), and parking ratios, as described in subdivision (p), if an applicant for a housing development seeks and agrees to construct a housing development, excluding any units permitted by the density bonus awarded pursuant to this section, that will contain at least any one of the following:
(A) Ten percent of the total units of a housing de velopment, including a shared housing building development, for rental or sale to lower income households, as defined in Section 50079.5 of the Health and Safety Code. (B) Five percent of the total units of a housing de velopment, including a shared housing building development, for rental or sale to very low income households, as defined in Section 50105 of the Health and Safety Code. (C) A senior citizen housing de velopment, as defined in Sections 51.3 and 51.12 of the Ci vil Code, or a mobilehome park that limits residenc y based on age requirements for housing for older persons pursuant to Section 798.76 or 799.5 of the Ci vil Code. F or purposes of this subparagraph, “development” includes a shared housing building development. (D) Ten percent of the total dwelling units of a housing development are sold to persons and f amilies of moderate income, as defined in Section 50093 of the Health and Safety Code, pro vided that all units in the development are offered to the public for purchase.
(E) Ten percent of the total units of a housing development for transitional foster youth, as defined in Section 66025.9 of the Education Code, disabled veterans, as defined in Section 18541, or homeless persons, as defined in 91 Ch. 634 — 21 —
the federal McKinne y-Vento Homeless Assistance Act (42 U.S.C. Sec. 11301 et seq.). The units described in this subparagraph shall be subject to a recorded affordability restriction of 55 years and shall be provided at the same affordability level as very low income units.
(F) (i) Twenty percent of the total units for lo wer income students in a student housing development that meets the following requirements:
(I) All units in the student housing development will be used exclusively for undergraduate, graduate, or professional students enrolled full time at an institution of higher education accredited by the Western Association of Schools and Colleges or the Accrediting Commission for Community and Junior Colleges. In order to be eligible under this subclause, the developer shall, as a condition of receiving a certificate of occupancy, provide evidence to the city, county, or city and county that the developer has entered into an operating agreement or master lease with one or more institutions of higher education for the institution or institutions to occupy all units of the student housing development with students from that institution or institutions. An operating agreement or master lease entered into pursuant to this subclause is not violated or breached if, in any subsequent year, there are not sufficient students enrolled in an institution of higher education to fill all units in the student housing development.
(II) The applicable 20-percent units will be used for lo wer income students.
(III) The rent pro vided in the applicable units of the de velopment for lower income students shall be calculated at 30 percent of 65 percent of the area median income for a single-room occupancy unit type. (IV) The development will provide priority for the applicable affordable units for lo wer income students e xperiencing homelessness. A homeless service provider, as defined in paragraph (3) of subdi vision (e) of Section 103577 of the Health and Safety Code, or institution of higher education that has kno wledge of a person’ s homeless status may v erify a person’ s status as homeless for purposes of this subclause.
(ii) For purposes of calculating a density bonus granted pursuant to this subparagraph, the term “unit” as used in this section means one rental bed and its pro rata share of associated common area f acilities. The units described in this subparagraph shall be subject to a recorded af fordability restriction of 55 years.
(G) One hundred percent of all units in the development, including total units and density bonus units, b ut exclusive of a manager’ s unit or units, are for lo wer income households, as defined by Section 50079.5 of the Health and Safety Code, e xcept that up to 20 percent of the units in the development, including total units and density bonus units, may be for moderate-income households, as defined in Section 50053 of the Health and Safety Code. For purposes of this subparagraph, “development” includes a shared housing building development.
(2) For purposes of calculating the amount of the density bonus pursuant to subdivision (f), an applicant who requests a density bonus pursuant to 91 — 22 — Ch. 634
this subdivision shall elect whether the bonus shall be awarded on the basis of subparagraph (A), (B), (C), (D), (E), (F), or (G) of paragraph (1). (c) (1) (A) An applicant shall agree to, and the city, county, or city and county shall ensure, the continued af fordability of all v ery lo w and low-income rental units that qualified the applicant for the a ward of the density bonus for 55 years or a longer period of time if required by the construction or mortgage financing assistance program, mortgage insurance program, or rental subsidy program.
(B) (i) Except as otherwise pro vided in clause (ii), rents for the lo wer income density bonus units shall be set at an affordable rent, as defined in Section 50053 of the Health and Safety Code.
(ii) For housing developments meeting the criteria of subparagraph (G) of paragraph (1) of subdivision (b), rents for all units in the de velopment, including both base density and density bonus units, shall be as follows:
(I) The rent for at least 20 percent of the units in the de velopment shall be set at an affordable rent, as defined in Section 50053 of the Health and Safety Code.
(II) The rent for the remaining units in the de velopment shall be set at an amount consistent with the maximum rent le vels for lo wer income households, as those rents and incomes are determined by the California Tax Credit Allocation Committee.
(2) (A) An applicant shall agree to ensure, and the city , county, or city and county shall ensure, that a for-sale unit that qualified the applicant for the award of the density bonus meets either of the following conditions:
(i) The unit is initially occupied by a person or family of very low, low, or moderate income, as required, and it is offered at an affordable housing cost, as that cost is defined in Section 50052.5 of the Health and Safety Code and is subject to an equity sharing agreement.
(ii) The unit is purchased by a qualified nonprofit housing corporation pursuant to a recorded contract that satisfies all of the requirements specified in paragraph (10) of subdi vision (a) of Section 402.1 of the Re venue and Taxation Code and that includes all of the following:
(I) A repurchase option that requires a subsequent purchaser of the property that desires to resell or con vey the property to offer the qualified nonprofit corporation the right to repurchase the property prior to selling or conveying that property to any other purchaser.
(II) An equity sharing agreement.
(III) Affordability restrictions on the sale and conveyance of the property that ensure that the property will be preserv ed for lo wer income housing for at least 45 years for o wner-occupied housing units and will be sold or resold only to persons or families of very low, low, or moderate income, as defined in Section 50052.5 of the Health and Safety Code. (B) For purposes of this paragraph, a “qualified nonprofit housing corporation” is a nonprofit housing corporation organized pursuant to Section 501(c)(3) of the Internal Revenue Code that has received a welfare exemption under Section 214.15 of the Re venue and Taxation Code for properties 91 Ch. 634 — 23 —
intended to be sold to lo w-income families who participate in a special no-interest loan program.
(C) The local go vernment shall enforce an equity sharing agreement required pursuant to clause (i) or (ii) of subparagraph (A), unless it is in conflict with the requirements of another public funding source or la w or may defer to the recapture pro visions of the public funding source. The following apply to the equity sharing agreement:
(i) Upon resale, the seller of the unit shall retain the v alue of an y improvements, the do wnpayment, and the seller’ s proportionate share of appreciation.
(ii) Except as provided in clause (v), the local government shall recapture any initial subsidy, as defined in clause (iii), and its proportionate share of appreciation, as defined in clause (iv), which amount shall be used within five years for an y of the purposes described in subdi vision (e) of Section 33334.2 of the Health and Safety Code that promote home ownership. (iii) For purposes of this subdi vision, the local go vernment’s initial subsidy shall be equal to the f air market value of the home at the time of initial sale minus the initial sale price to the moderate-income household, plus the amount of any downpayment assistance or mortgage assistance. If upon resale the market value is lower than the initial market value, then the value at the time of the resale shall be used as the initial market value. (iv) For purposes of this subdivision, the local government’s proportionate share of appreciation shall be equal to the ratio of the local go vernment’s initial subsidy to the fair market value of the home at the time of initial sale. (v) If the unit is purchased or developed by a qualified nonprofit housing corporation pursuant to clause (ii) of subparagraph (A) the local government may enter into a contract with the qualified nonprofit housing corporation under which the qualified nonprofit housing corporation w ould recapture any initial subsidy and its proportionate share of appreciation if the qualified nonprofit housing corporation is required to use 100 percent of the proceeds to promote homeo wnership for lo wer income households as defined by Health and Safety Code Section 50079.5 within the jurisdiction of the local government.
(3) (A) An applicant shall be ineligible for a density bonus or any other incentives or concessions under this section if the housing de velopment is proposed on any property that includes a parcel or parcels on which rental dwelling units are or, if the dwelling units have been vacated or demolished in the fiv e-year period preceding the application, ha ve been subject to a recorded covenant, ordinance, or law that restricts rents to levels affordable to persons and families of lower or very low income; subject to an y other form of rent or price control through a public entity’ s valid exercise of its police power; or occupied by lower or very low income households, unless the proposed housing de velopment replaces those units, and either of the following applies:
(i) The proposed housing de velopment, inclusive of the units replaced pursuant to this paragraph, contains affordable units at the percentages set forth in subdivision (b).
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(ii) Each unit in the development, exclusive of a manager’s unit or units, is af fordable to, and occupied by , either a lo wer or v ery lo w income household.
(B) For the purposes of this paragraph, “replace” shall mean either of the following:
(i) If any dwelling units described in subparagraph (A) are occupied on the date of application, the proposed housing development shall provide at least the same number of units of equi valent size to be made a vailable at affordable rent or affordable housing cost to, and occupied by, persons and families in the same or lo wer income cate gory as those households in occupancy. If the income cate gory of the household in occupanc y is not known, it shall be rebuttably presumed that lower income renter households occupied these units in the same proportion of lo wer income renter households to all renter households within the jurisdiction, as determined by the most recently a vailable data from the United States Department of Housing and Urban Development’s Comprehensive Housing Affordability Strategy database. For unoccupied dwelling units described in subparagraph (A) in a development with occupied units, the proposed housing development shall provide units of equivalent size to be made available at affordable rent or affordable housing cost to, and occupied by, persons and families in the same or lower income category as the last household in occupanc y. If the income category of the last household in occupanc y is not known, it shall be rebuttably presumed that lower income renter households occupied these units in the same proportion of lower income renter households to all renter households within the jurisdiction, as determined by the most recently available data from the United States Department of Housing and Urban Development’s Comprehensive Housing Affordability Strategy database.
All replacement calculations resulting in fractional units shall be rounded up to the next whole number. If the replacement units will be rental dwelling units, these units shall be subject to a recorded af fordability restriction for at least 55 years. If the proposed de velopment is for -sale units, the units replaced shall be subject to paragraph (2).
(ii) If all dwelling units described in subparagraph (A) have been vacated or demolished within the fiv e-year period preceding the application, the proposed housing development shall provide at least the same number of units of equi valent size as e xisted at the highpoint of those units in the five-year period preceding the application to be made available at affordable rent or affordable housing cost to, and occupied by , persons and f amilies in the same or lo wer income cate gory as those persons and f amilies in occupancy at that time, if known. If the incomes of the persons and families in occupancy at the highpoint is not known, it shall be rebuttably presumed that low-income and v ery low income renter households occupied these units in the same proportion of lo w-income and v ery low income renter households to all renter households within the jurisdiction, as determined by the most recently a vailable data from the United States Department of Housing and Urban Development’s Comprehensive Housing Affordability Strategy database. All replacement calculations resulting in fractional units 91 Ch. 634 — 25 —
shall be rounded up to the next whole number. If the replacement units will be rental dwelling units, these units shall be subject to a recorded affordability restriction for at least 55 years. If the proposed de velopment is for-sale units, the units replaced shall be subject to paragraph (2). (C) Notwithstanding subparagraph (B), for any dwelling unit described in subparagraph (A) that is or w as, within the fiv e-year period preceding the application, subject to a form of rent or price control through a local government’s valid exercise of its police power and that is or was occupied by persons or f amilies above lower income, the city , county, or city and county may do either of the following:
(i) Require that the replacement units be made a vailable at af fordable rent or affordable housing cost to, and occupied by, low-income persons or families. If the replacement units will be rental dwelling units, these units shall be subject to a recorded affordability restriction for at least 55 years.
If the proposed de velopment is for -sale units, the units replaced shall be subject to paragraph (2).
(ii) Require that the units be replaced in compliance with the jurisdiction’s rent or price control ordinance, pro vided that each unit described in subparagraph (A) is replaced. Unless otherwise required by the jurisdiction’s rent or price control ordinance, these units shall not be subject to a recorded affordability restriction.
(D) For purposes of this paragraph, “equi valent size” means that the replacement units contain at least the same total number of bedrooms as the units being replaced.
(E) Subparagraph (A) does not apply to an applicant seeking a density bonus for a proposed housing de velopment if the applicant’ s application was submitted to, or processed by, a city, county, or city and county before January 1, 2015.
(d) (1) An applicant for a density bonus pursuant to subdivision (b) may submit to a city , county, or city and county a proposal for the specific incentives or concessions that the applicant requests pursuant to this section, and may request a meeting with the city , county, or city and county . The city, county, or city and county shall grant the concession or incenti ve requested by the applicant unless the city, county, or city and county makes a written finding, based upon substantial evidence, of any of the following:
(A) The concession or incentive does not result in identifiable and actual cost reductions, consistent with subdi vision (k), to pro vide for affordable housing costs, as defined in Section 50052.5 of the Health and Safety Code, or for rents for the targeted units to be set as specified in subdivision (c). (B) The concession or incentive would have a specific, adverse impact, as defined in paragraph (2) of subdi vision (d) of Section 65589.5, upon public health and safety or on any real property that is listed in the California Register of Historical Resources and for which there is no feasible method to satisf actorily mitig ate or a void the specific, adv erse impact without rendering the development unaffordable to low-income and moderate-income households.
91 — 26 — Ch. 634
(C) The concession or incenti ve would be contrary to state or federal law.
(2) The applicant shall recei ve the follo wing number of incenti ves or concessions:
(A) One incenti ve or concession for projects that include at least 10 percent of the total units for lower income households, at least 5 percent for very low income households, or at least 10 percent for persons and families of moderate income in a development in which the units are for sale. (B) Two incentives or concessions for projects that include at least 17 percent of the total units for lo wer income households, at least 10 percent for very low income households, or at least 20 percent for persons and families of moderate income in a de velopment in which the units are for sale.
(C) Three incentives or concessions for projects that include at least 24 percent of the total units for lo wer income households, at least 15 percent for very low income households, or at least 30 percent for persons and families of moderate income in a de velopment in which the units are for sale.
(D) Four incentives or concessions for a project meeting the criteria of subparagraph (G) of paragraph (1) of subdivision (b). If the project is located within one-half mile of a major transit stop or is located in a very low vehicle travel area in a designated county, the applicant shall also receive a height increase of up to three additional stories, or 33 feet. (E) One incenti ve or concession for projects that include at least 20 percent of the total units for lo wer income students in a student housing development.
(3) The applicant may initiate judicial proceedings if the city, county, or city and county refuses to grant a requested density bonus, incenti ve, or concession. If a court finds that the refusal to grant a requested density bonus, incentive, or concession is in violation of this section, the court shall award the plaintif f reasonable attorne y’s fees and costs of suit. This subdivision shall not be interpreted to require a local go vernment to grant an incentive or concession that has a specific, adv erse impact, as defined in paragraph (2) of subdivision (d) of Section 65589.5, upon health or safety, and for which there is no feasible method to satisfactorily mitigate or avoid the specific adv erse impact. This subdivision shall not be interpreted to require a local government to grant an incentive or concession that w ould have an adverse impact on any real property that is listed in the California Register of Historical Resources. The city, county, or city and county shall establish procedures for carrying out this section that shall include legislative body approval of the means of compliance with this section. (4) The city, county, or city and county shall bear the b urden of proof for the denial of a requested concession or incentive.
(e) (1) In no case may a city , county, or city and county apply an y development standard that will have the effect of physically precluding the construction of a development meeting the criteria of subdivision (b) at the densities or with the concessions or incenti ves permitted by this section. 91 Ch. 634 — 27 —
Subject to paragraph (3), an applicant may submit to a city, county, or city and county a proposal for the waiver or reduction of development standards that will ha ve the ef fect of ph ysically precluding the construction of a development meeting the criteria of subdivision (b) at the densities or with the concessions or incentives permitted under this section, and may request a meeting with the city, county, or city and county. If a court finds that the refusal to grant a waiver or reduction of development standards is in violation of this section, the court shall award the plaintiff reasonable attorney’s fees and costs of suit. This subdivision shall not be interpreted to require a local government to w aive or reduce de velopment standards if the w aiver or reduction would have a specific, adv erse impact, as defined in paragraph (2) of subdi vision (d) of Section 65589.5, upon health or safety , and for which there is no feasible method to satisf actorily mitigate or a void the specific adverse impact. This subdivision shall not be interpreted to require a local government to waive or reduce de velopment standards that w ould have an adverse impact on any real property that is listed in the California Register of Historical Resources, or to grant an y waiver or reduction that would be contrary to state or federal law.
(2) A proposal for the w aiver or reduction of de velopment standards pursuant to this subdivision shall neither reduce nor increase the number of incentives or concessions to which the applicant is entitled pursuant to subdivision (d).
(3) A housing development that receives a waiver from any maximum controls on density pursuant to clause (ii) of subparagraph (D) of paragraph (3) of subdi vision (f) shall only be eligible for a w aiver or reduction of development standards as pro vided in subparagraph (D) of paragraph (2) of subdivision (d) and clause (ii) of subparagraph (D) of paragraph (3) of subdivision (f), unless the city, county, or city and county agrees to additional waivers or reductions of development standards.
(f) For the purposes of this chapter , “density bonus” means a density increase over the otherwise maximum allo wable gross residential density as of the date of application by the applicant to the city, county, or city and county, or, if elected by the applicant, a lesser percentage of density increase, including, but not limited to, no increase in density. The amount of density increase to which the applicant is entitled shall vary according to the amount by which the percentage of affordable housing units exceeds the percentage established in subdivision (b).
(1) For housing developments meeting the criteria of subparagraph (A) of paragraph (1) of subdivision (b), the density bonus shall be calculated as follows:
Percentage Density
Bonus
Percentage Low-Income Units
20 10
21.5 11
23 12
24.5 13
91 — 28 — Ch. 634
26 14
27.5 15
29 16
30.5 17
32 18
33.5 19
35 20
38.75 21
42.5 22
46.25 23
50 24
(2) For housing developments meeting the criteria of subparagraph (B) of paragraph (1) of subdivision (b), the density bonus shall be calculated as follows:
Percentage Density Bonus Percentage Very Low Income Units 20 5
22.5 6
25 7
27.5 8
30 9
32.5 10
35 11
38.75 12
42.5 13
46.25 14
50 15
(3) (A) For housing developments meeting the criteria of subparagraph (C) of paragraph (1) of subdivision (b), the density bonus shall be 20 percent of the number of senior housing units.
(B) For housing developments meeting the criteria of subparagraph (E) of paragraph (1) of subdi vision (b), the density bonus shall be 20 percent of the number of the type of units giving rise to a density bonus under that subparagraph.
(C) For housing developments meeting the criteria of subparagraph (F) of paragraph (1) of subdi vision (b), the density bonus shall be 35 percent of the student housing units.
(D) For housing developments meeting the criteria of subparagraph (G) of paragraph (1) of subdivision (b), the following shall apply:
(i) Except as otherwise provided in clauses (ii) and (iii), the density bonus shall be 80 percent of the number of units for lower income households. (ii) If the housing development is located within one-half mile of a major transit stop, the city , county , or city and county shall not impose an y maximum controls on density.
91 Ch. 634 — 29 —
(iii) If the housing de velopment is located in a v ery low vehicle travel area within a designated county , the city, county, or city and county shall not impose any maximum controls on density.
(4) For housing developments meeting the criteria of subparagraph (D) of paragraph (1) of subdivision (b), the density bonus shall be calculated as follows:
Percentage Density Bonus Percentage Moderate-Income Units 5 10
6 11
7 12
8 13
9 14
10 15
11 16
12 17
13 18
14 19
15 20
16 21
17 22
18 23
19 24
20 25
21 26
22 27
23 28
24 29
25 30
26 31
27 32
28 33
29 34
30 35
31 36
32 37
33 38
34 39
35 40
38.75 41
42.5 42
46.25 43
50 44
(5) All density calculations resulting in fractional units shall be rounded up to the ne xt whole number . The granting of a density bonus shall not require, or be interpreted, in and of itself, to require a general plan 91 — 30 — Ch. 634
amendment, local coastal plan amendment, zoning change, or other discretionary approval.
(g) (1) When an applicant for a tentative subdivision map, parcel map, or other residential development approval donates land to a city, county, or city and county in accordance with this subdi vision, the applicant shall be entitled to a 15-percent increase abo ve the otherwise maximum allowable residential density for the entire development, as follows:
Percentage Density Bonus Percentage Very Low Income
15 10
16 11
17 12
18 13
19 14
20 15
21 16
22 17
23 18
24 19
25 20
26 21
27 22
28 23
29 24
30 25
31 26
32 27
33 28
34 29
35 30
(2) This increase shall be in addition to any increase in density mandated by subdivision (b), up to a maximum combined mandated density increase of 35 percent if an applicant seeks an increase pursuant to both this subdivision and subdi vision (b). All density calculations resulting in fractional units shall be rounded up to the ne xt whole number. Nothing in this subdivision shall be construed to enlar ge or diminish the authority of a city, county, or city and county to require a developer to donate land as a condition of development. An applicant shall be eligible for the increased density bonus described in this subdivision if all of the following conditions are met:
(A) The applicant donates and transfers the land no later than the date of appro val of the final subdi vision map, parcel map, or residential development application.
(B) The developable acreage and zoning classification of the land being transferred are sufficient to permit construction of units affordable to very 91 Ch. 634 — 31 —
low income households in an amount not less than 10 percent of the number of residential units of the proposed development.
(C) The transferred land is at least one acre in size or of sufficient size to permit development of at least 40 units, has the appropriate general plan designation, is appropriately zoned with appropriate development standards for development at the density described in paragraph (3) of subdivision (c) of Section 65583.2, and is or will be serv ed by adequate public f acilities and infrastructure.
(D) The transferred land shall have all of the permits and approvals, other than building permits, necessary for the development of the very low income housing units on the transferred land, not later than the date of approval of the final subdivision map, parcel map, or residential development application, except that the local government may subject the proposed development to subsequent design re view to the e xtent authorized by subdi vision (i) of Section 65583.2 if the design is not reviewed by the local government before the time of transfer.
(E) The transferred land and the af fordable units shall be subject to a deed restriction ensuring continued affordability of the units consistent with paragraphs (1) and (2) of subdi vision (c), which shall be recorded on the property at the time of the transfer.
(F) The land is transferred to the local agency or to a housing developer approved by the local agency. The local agency may require the applicant to identify and transfer the land to the developer.
(G) The transferred land shall be within the boundary of the proposed development or, if the local agenc y agrees, within one-quarter mile of the boundary of the proposed development.
(H) A proposed source of funding for the very low income units shall be identified not later than the date of appro val of the final subdi vision map, parcel map, or residential development application.
(h) (1) When an applicant proposes to construct a housing development that conforms to the requirements of subdivision (b) and includes a childcare facility that will be located on the premises of, as part of, or adjacent to, the project, the city, county, or city and county shall grant either of the following:
(A) An additional density bonus that is an amount of square feet of residential space that is equal to or greater than the amount of square feet in the childcare facility.
(B) An additional concession or incentive that contributes significantly to the economic feasibility of the construction of the childcare facility. (2) The city, county, or city and county shall require, as a condition of approving the housing development, that the following occur:
(A) The childcare facility shall remain in operation for a period of time that is as long as or longer than the period of time during which the density bonus units are required to remain affordable pursuant to subdivision (c). (B) Of the children who attend the childcare facility, the children of very low income households, lower income households, or families of moderate income shall equal a percentage that is equal to or greater than the percentage of dwelling units that are required for v ery low income households, lower 91 — 32 — Ch. 634
income households, or families of moderate income pursuant to subdivision (b).
(3) Notwithstanding any requirement of this subdivision, a city, county, or city and county shall not be required to pro vide a density bonus or concession for a childcare facility if it finds, based upon substantial evidence, that the community has adequate childcare facilities.
(4) “Childcare facility,” as used in this section, means a child daycare facility other than a f amily daycare home, including, b ut not limited to, infant centers, preschools, e xtended daycare f acilities, and schoolage childcare centers.
(i) “Housing development,” as used in this section, means a development project for five or more residential units, including mixed-use developments.
For the purposes of this section, “housing de velopment” also includes a subdivision or common interest de velopment, as defined in Section 4100 of the Civil Code, approved by a city, county, or city and county and consists of residential units or unimpro ved residential lots and either a project to substantially rehabilitate and con vert an e xisting commercial b uilding to residential use or the substantial rehabilitation of an e xisting multifamily dwelling, as defined in subdivision (d) of Section 65863.4, where the result of the rehabilitation w ould be a net increase in a vailable residential units.
For the purpose of calculating a density bonus, the residential units shall be on contiguous sites that are the subject of one development application, but do not have to be based upon indi vidual subdivision maps or parcels. The density bonus shall be permitted in geographic areas of the housing development other than the areas where the units for the lo wer income households are located.
(j) (1) The granting of a concession or incentive shall not require or be interpreted, in and of itself, to require a general plan amendment, local coastal plan amendment, zoning change, study , or other discretionary approval. F or purposes of this subdi vision, “study” does not include reasonable documentation to establish eligibility for the concession or incentive or to demonstrate that the incenti ve or concession meets the definition set forth in subdi vision (k). This pro vision is declaratory of existing law.
(2) Except as pro vided in subdi visions (d) and (e), the granting of a density bonus shall not require or be interpreted to require the w aiver of a local ordinance or provisions of a local ordinance unrelated to development standards.
(k) For the purposes of this chapter, concession or incentive means any of the following:
(1) A reduction in site development standards or a modification of zoning code requirements or architectural design requirements that e xceed the minimum building standards approved by the California Building Standards Commission as provided in Part 2.5 (commencing with Section 18901) of Division 13 of the Health and Safety Code, including, but not limited to, a reduction in setback and square footage requirements and in the ratio of vehicular parking spaces that w ould otherwise be required that results in 91 Ch. 634 — 33 —
identifiable and actual cost reductions, to pro vide for af fordable housing costs, as defined in Section 50052.5 of the Health and Safety Code, or for rents for the targeted units to be set as specified in subdivision (c). (2) Approval of mixed-use zoning in conjunction with the housing project if commercial, office, industrial, or other land uses will reduce the cost of the housing development and if the commercial, office, industrial, or other land uses are compatible with the housing project and the existing or planned development in the area where the proposed housing project will be located. (3) Other regulatory incentives or concessions proposed by the developer or the city, county, or city and county that result in identifiable and actual cost reductions to provide for affordable housing costs, as defined in Section 50052.5 of the Health and Safety Code, or for rents for the tar geted units to be set as specified in subdivision (c).
(l) Subdivision (k) does not limit or require the pro vision of direct financial incentives for the housing de velopment, including the pro vision of publicly owned land, by the city, county, or city and county, or the waiver of fees or dedication requirements.
(m) This section does not supersede or in an y way alter or lessen the effect or application of the California Coastal Act of 1976 (Di vision 20 (commencing with Section 30000) of the Public Resources Code). Any density bonus, concessions, incentives, waivers or reductions of development standards, and parking ratios to which the applicant is entitled under this section shall be permitted in a manner that is consistent with this section and Division 20 (commencing with Section 30000) of the Public Resources Code.
(n) If permitted by local ordinance, nothing in this section shall be construed to prohibit a city , county, or city and county from granting a density bonus greater than what is described in this section for a development that meets the requirements of this section or from granting a proportionately lower density bonus than what is required by this section for developments that do not meet the requirements of this section.
(o) For purposes of this section, the following definitions shall apply:
(1) “Designated county” includes the Counties of Alameda, Contra Costa, Los Angeles, Marin, Napa, Orange, Riverside, Sacramento, San Bernardino, San Diego, San Francisco, San Mateo, Santa Barbara, Santa Clara, Solano, Sonoma, and Ventura.
(2) “Development standard” includes a site or construction condition, including, but not limited to, a height limitation, a setback requirement, a floor area ratio, an onsite open-space requirement, a minimum lot area per unit requirement, or a parking ratio that applies to a residential development pursuant to any ordinance, general plan element, specific plan, charter , or other local condition, law, policy, resolution, or regulation. (3) “Located within one-half mile of a major transit stop” means that any point on a proposed de velopment, for which an applicant seeks a density bonus, other incentives or concessions, waivers or reductions of development standards, or a v ehicular parking ratio pursuant to this section, is within one-half mile of any point on the property on which a major transit stop is 91 — 34 — Ch. 634
located, including any parking lot o wned by the transit authority or other local agency operating the major transit stop.
(4) “Lower income student” means a student who has a household income and asset level that does not exceed the level for Cal Grant A or Cal Grant B award recipients as set forth in paragraph (1) of subdivision (k) of Section 69432.7 of the Education Code. The eligibility of a student to occupy a unit for lower income students under this section shall be verified by an affidavit, award letter, or letter of eligibility pro vided by the institution of higher education in which the student is enrolled or by the California Student Aid Commission that the student receives or is eligible for financial aid, including an institutional grant or fee w aiver from the colle ge or uni versity, the California Student Aid Commission, or the federal government. (5) “Major transit stop” has the same meaning as defined in subdivision (b) of Section 21155 of the Public Resources Code.
(6) “Maximum allowable residential density” or “base density” means the maximum number of units allowed under the zoning ordinance, specific plan, or land use element of the general plan, or , if a range of density is permitted, means the maximum number of units allo wed by the specific zoning range, specific plan, or land use element of the general plan applicable to the project. If the density allo wed under the zoning ordinance is inconsistent with the density allo wed under the land use element of the general plan or specific plan, the greater shall pre vail. Density shall be determined using dwelling units per acre. However, if the applicable zoning ordinance, specific plan, or land use element of the general plan does not provide a dwelling-units-per-acre standard for density, then the local agency shall calculate the number of units by:
(A) Estimating the realistic de velopment capacity of the site based on the objective development standards applicable to the project, including, but not limited to, floor area ratio, site coverage, maximum building height and number of stories, building setbacks and stepbacks, public and private open space requirements, minimum percentage or square footage of an y nonresidential component, and parking requirements, unless not required for the base project. P arking requirements shall include considerations regarding number of spaces, location, design, type, and circulation. A developer may provide a base density study and the local agency shall accept it, provided that it includes all applicable objective development standards. (B) Maintaining the same a verage unit size and other project details relevant to the base density study, excepting those that may be modified by waiver or concession to accommodate the bonus units, in the proposed project as in the study.
(7) (A) (i) “Shared housing building” means a residential or mixed-use structure, with five or more shared housing units and one or more common kitchens and dining areas designed for permanent residence of more than 30 days by its tenants. The kitchens and dining areas within the shared housing building shall be able to adequately accommodate all residents. If a local ordinance further restricts the attributes of a shared housing building beyond the requirements established in this section, the local definition shall 91 Ch. 634 — 35 —
apply to the e xtent that it does not conflict with the requirements of this section.
(ii) A “shared housing building” may include other dwelling units that are not shared housing units, pro vided that those dwelling units do not occupy more than 25 percent of the floor area of the shared housing building.
A shared housing building may include 100 percent shared housing units. (B) “Shared housing unit” means one or more habitable rooms, not within another dwelling unit, that includes a bathroom, sink, refrigerator , and microwave, is used for permanent residence, that meets the “minimum room area” specified in Section R304 of the California Residential Code (Part 2.5 of Title 24 of the California Code of Re gulations), and complies with the definition of “guestroom” in Section R202 of the California Residential Code. If a local ordinance further restricts the attributes of a shared housing building be yond the requirements established in this section, the local definition shall apply to the e xtent that it does not conflict with the requirements of this section.
(8) (A) “Total units” or “total dwelling units” means a calculation of the number of units that:
(i) Excludes a unit added by a density bonus a warded pursuant to this section or any local law granting a greater density bonus. (ii) Includes a unit designated to satisfy an inclusionary zoning requirement of a city, county, or city and county.
(B) For purposes of calculating a density bonus granted pursuant to this section for a shared housing building, “unit” means one shared housing unit and its pro rata share of associated common area facilities. (9) “Very low vehicle travel area” means an urbanized area, as designated by the United States Census Bureau, where the e xisting residential development generates v ehicle miles tra veled per capita that is belo w 85 percent of either re gional vehicle miles traveled per capita or city v ehicle miles traveled per capita. For purposes of this paragraph, “area” may include a travel analysis zone, he xagon, or grid. F or the purposes of determining “regional vehicle miles tra veled per capita” pursuant to this paragraph, a “region” is the entirety of incorporated and unincorporated areas governed by a multicounty or single-county metropolitan planning or ganization, or the entirety of the incorporated and unincorporated areas of an indi vidual county that is not part of a metropolitan planning organization. (p) (1) Except as pro vided in paragraphs (2), (3), and (4), upon the request of the developer, a city, county, or city and county shall not require a vehicular parking ratio, inclusive of parking for persons with a disability and guests, of a de velopment meeting the criteria of subdi visions (b) and (c), that exceeds the following ratios:
(A) Zero to one bedroom: one onsite parking space.
(B) Two to three bedrooms: one and one-half onsite parking spaces. (C) Four and more bedrooms: two and one-half parking spaces. (2) (A) Notwithstanding paragraph (1), if a de velopment includes at least 20 percent lo w-income units for housing de velopments meeting the criteria of subparagraph (A) of paragraph (1) of subdi vision (b) or at least 91 — 36 — Ch. 634
11 percent v ery low income units for housing de velopments meeting the criteria of subparagraph (B) of paragraph (1) of subdivision (b), is located within one-half mile of a major transit stop, and there is unobstructed access to the major transit stop from the de velopment, then, upon the request of the developer, a city, county, or city and county shall not impose a vehicular parking ratio, inclusive of parking for persons with a disability and guests, that e xceeds 0.5 spaces per unit. Notwithstanding paragraph (1), if a development includes at least 40 percent moderate-income units for housing developments meeting the criteria of subparagraph (D) of paragraph (1) of subdivision (b), is located within one-half mile of a major transit stop, as defined in subdivision (b) of Section 21155 of the Public Resources Code, and the residents of the development have unobstructed access to the major transit stop from the development then, upon the request of the de veloper, a city, county, or city and county shall not impose a vehicular parking ratio, inclusive of parking for persons with a disability and guests, that e xceeds
0.5 spaces per bedroom.
(B) For purposes of this subdivision, “unobstructed access to the major transit stop” means a resident is able to access the major transit stop without encountering natural or constructed impediments. F or purposes of this subparagraph, “natural or constructed impediments” includes, b ut is not limited to, freeways, rivers, mountains, and bodies of w ater, but does not include residential structures, shopping centers, parking lots, or rails used for transit.
(3) Notwithstanding paragraph (1), if a de velopment meets the criteria of subparagraph (G) of paragraph (1) of subdi vision (b), then, upon the request of the developer, a city, county, or city and county shall not impose vehicular parking standards if the development meets any of the following criteria:
(A) The development is located within one-half mile of a major transit stop and there is unobstructed access to the major transit stop from the development.
(B) The development is a for-rent housing development for individuals who are 55 years of age or older that complies with Sections 51.2 and 51.3 of the Ci vil Code and the de velopment has either paratransit service or unobstructed access, within one-half mile, to fix ed bus route service that operates at least eight times per day.
(C) The development is either a special needs housing development, as defined in Section 51312 of the Health and Safety Code, or a supporti ve housing development, as defined in Section 50675.14 of the Health and Safety Code. A development that is a special needs housing de velopment shall have either paratransit service or unobstructed access, within one-half mile, to fixed bus route service that operates at least eight times per day. (4) If the total number of parking spaces required for a de velopment is other than a whole number , the number shall be rounded up to the ne xt whole number. For purposes of this subdivision, a development may provide onsite parking through tandem parking or uncovered parking, but not through onstreet parking.
91 Ch. 634 — 37 —
(5) This subdi vision shall apply to a de velopment that meets the requirements of subdi visions (b) and (c), b ut only at the request of the applicant. An applicant may request parking incenti ves or concessions beyond those provided in this subdivision pursuant to subdivision (d). (6) This subdivision does not preclude a city, county, or city and county from reducing or eliminating a parking requirement for development projects of any type in any location.
(7) Notwithstanding paragraphs (2) and (3), if a city , county, city and county, or an independent consultant has conducted an area wide or jurisdictionwide parking study in the last seven years, then the city, county, or city and county may impose a higher vehicular parking ratio not to exceed the ratio described in paragraph (1), based upon substantial evidence found in the parking study, that includes, but is not limited to, an analysis of parking availability, differing levels of transit access, w alkability access to transit services, the potential for shared parking, the effect of parking requirements on the cost of market-rate and subsidized developments, and the lower rates of car ownership for low-income and very low income individuals, including seniors and special needs individuals. The city, county, or city and county shall pay the costs of an y new study. The city, county, or city and county shall make findings, based on a parking study completed in conformity with this paragraph, supporting the need for the higher parking ratio. (8) A request pursuant to this subdivision shall neither reduce nor increase the number of incentives or concessions to which the applicant is entitled pursuant to subdivision (d).
(q) Each component of an y density calculation, including base density and bonus density, resulting in fractional units shall be separately rounded up to the ne xt whole number. The Legislature finds and declares that this provision is declaratory of existing law.
(r) This chapter shall be interpreted liberally in f avor of producing the maximum number of total housing units.
(s) Notwithstanding an y other la w, if a city , including a charter city , county, or city and county has adopted an ordinance or a housing program, or both an ordinance and a housing program, that incenti vizes the development of af fordable housing that allo ws for density bonuses that exceed the density bonuses required by the version of this section effective through December 31, 2020, that city , county, or city and county is not required to amend or otherwise update its ordinance or corresponding affordable housing incentive program to comply with the amendments made to this section by the act adding this subdi vision, and is e xempt from complying with the incentive and concession calculation amendments made to this section by the act adding this subdivision as set forth in subdivision (d), particularly subparagraphs (B) and (C) of paragraph (2) of that subdivision, and the amendments made to the density tables under subdivision (f).
(t) When an applicant proposes to construct a housing development that conforms to the requirements of subparagraph (A) or (B) of paragraph (1) of subdivision (b) that is a shared housing building, the city, county, or city 91 — 38 — Ch. 634
and county shall not require an y minimum unit size requirements or minimum bedroom requirements that are in conflict with paragraph (7) of subdivision (o).
(u) (1) The Le gislature finds and declares that the intent behind the Density Bonus Law is to allow public entities to reduce or e ven eliminate subsidies for a particular project by allo wing a developer to include more total units in a project than would otherwise be allowed by the local zoning ordinance in exchange for affordable units. It further reaffirms that the intent is to co ver at least some of the financing g ap of af fordable housing with regulatory incentives, rather than additional public subsidy. (2) It is therefore the intent of the Legislature to make modifications to the Density Bonus La w by the act adding this subdi vision to further incentivize the construction of very low, low-, and moderate-income housing units. It is further the intent of the Legislature in making these modifications to the Density Bonus Law to ensure that any additional benefits conferred upon a de veloper are balanced with the receipt of a public benefit in the form of adequate le vels of af fordable housing. The Le gislature further intends that these modifications will ensure that the Density Bonus La w creates incentives for the construction of more housing across all areas of the state.
SEC. 2. No reimbursement is required by this act pursuant to Section 6 of Article XIII B of the California Constitution because a local agenc y or school district has the authority to levy service charges, fees, or assessments sufficient to pay for the program or le vel of service mandated by this act, within the meaning of Section 17556 of the Government Code.
SEC. 3. Section 1.5 of this bill incorporates amendments to Section 65915 of the Go vernment Code proposed by both this bill and Assembly Bill 2334. That section of this bill shall only become operati ve if (1) both bills are enacted and become ef fective on or before January 1, 2023, (2) each bill amends Section 65915 of the Government Code, and (3) this bill is enacted after Assembly Bill 2334, in which case Section 1 of this bill shall not become operative.
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91 Ch. 634 — 39 —