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A public hearing to consider amendments to the Simi Valley Municipal Code Title 9 (Z-S-2026-0002) to update Density Bonus and Incentives Regulations, a determination that these amendments are exempt from the California Environmental Quality Act, and introduction of an ordinanc

Simi Valley City Council
June 22, 2026

Document
A public hearing to consider amendments to the Simi Valley Municipal Code Title 9 (Z-S-2026-0002) to update Density Bonus and Incentives Regulations, a determination that these amendments are exempt from the California Environmental Quality Act, and introduction of an ordinanc
Meeting
June 22, 2026
Body
Simi Valley City Council
Original file
16.1 MB
Text extracted from the city's file for reading and search. Open the original on simivalley.granicus.com. That file is the official record.

Cit
y of Simi Valley
Staff Report
J
une 22, 2026
To: Cit
y Council
Fr
om: Department of Environmental Services
Stratis Perros, Environmental Services Director
S
ubject: A public hearing to consider amendments to the Simi Valley Municipal Code Title 9 (Z -S-2026-0002) to update Density Bonus and Incentives Regulations, a determination that these amendments are exempt from the California Environmental Quality Act, and introduction of an ordinance R
ecommendation
T
he Planning Commission recommends that the City Council introduce Ordinance No. 1372 (Attachment B) amending the Simi Valley Municipal Code Title 9 (Z -S-2026-0002) to update Density Bonus and Incentives Regulations, and a determination that these amendments are exempt from the California Environmental Quality Act (Attachment C).

B
ackground
G
overnment Code § 65915 (page 29 of Attachment D) requires local jurisdictions to adopt an ordinance that allows housing developers to increase housing density above local zoning regulations and receive incentives (development concessions and waivers) for eligible housing projects in exchange for creating affordable housing. The Density Bonus Law is designed to encourage the construction of affordable housing by requiring public agencies to grant density bonuses and incentives for qualified developments. The City’s current regulations are codified in Simi Valley Municipal Code (SVMC) Chapter 9-31.

T
here are various means by which a developer may increase housing density , including reduced parking requirements , relaxed site development standards , and other similar design and development waivers to accommodate more housing. The amount of each bonus density adjustment is set on a sliding scale, based upon the percentage of affordable units offered by the developer, with each tier of affordability, as shown in Government Code § 65915.

T
he City’s current Density Bonus regulations were last updated on June 21, 2010. These regulations require updating the SVMC to align with ongoing changes to California law. If adopted, the proposed ordinance would help meet the requirements in Simi Valley’s Housing Element (Programs 12, 13, and 18). Additionally, the proposed actions would satisfy Government Code § 65915(a)(1), which requires the City to adopt a Density Bonus Ordinance.
5A
P
lanning Commission
On
April 8, 2026, the Planning Commission held a public hearing and recommended that the City Council approve Z -S-2026-0002 by a 5 -0 vote. The Planning Commission Resolution, Minutes, and Report are attached (Attachment D).

P
ublic Hearing Noticing
T
he Public Hearing Notice was published in the Ventura County Star and posted at City Hall in accordance with the SVMC and Assembly Bill 2904 (2024).

Discussion
T
o ensure compliance with California law, the City has applied Government Code requirements when processing development applications. The proposed ordinance would update the SVMC and align it with current California law. Generally, the draft ordinance would observe the following:
• I
ncrease the percentage of density bonus cap and affordability • Allow “stackable” density bonuses when additional affordable units are provided • Create supplemental bonus incentives prescribed by the Housing Element T
hese various forms of State-imposed incentives are summarized in more detail below.

Table 1: State Density Bonus Law
Income Category Minimum
percent of
affordable
units
Bonus to
be
granted
Additional
bonus for each
1% increase in
affordable
units above
the minimum
Total maximum
bonus
Very Low-Income 5% 20% 2.5% 50%
Low-Income 10% 20% 1.5% 50%
Moderate-Income
(for-sale common
interest
development only)
10% 5% 1% 50%
100% Senior
Citizen Housing
Development or
Senior Citizen
Mobile Home Park
100% 20% N/A 50%
2 Table 2: State Density Bonus Law - Stacking
Income Category Minimum
percent of
affordable
units
Bonus to
be
granted
Additional
bonus for each
1% increase in
affordable
units above
the minimum
Total maximum
bonus
Very Low-Income 5% 20% 3.75% 38.75%
Moderate-Income 5% 20% 2.5% 50%
Table 3: Requirements to Qualify for Incentives or Concessions Income Category Minimum percentage of units needed to qualify for incentives or concessions
Very Low-Income 5% - - 10% 15%
Lower-Income 10%
20%
student
housing
23%
student
housing
17% 24% 16% 100
%
Moderate-Income
(for-sale common
interest
development only)
10% - - 20% 30% 45% <20
%
Maximum
Allowable Number
of Incentives or
Concessions
1 1 2 2 3 4 5
A
n applicant may also submit to the City a proposal for waivers (an unlimited number) to reduce development standards. The developer must demonstrate that not providing these waivers will have the effect of physically precluding the construction of a housing development meeting the criteria for density bonus, or with the concession or incentives permitted under the SVMC.

P
arking reduction under the State Density Bonus Law is another form of incentive that is beyond concession and waivers. Upon the request of the developer, the City shall impose maximum parking no more than the following parking ratios for a density bonus project (inclusive of parking for persons with disabilities):
• Z
ero to one bedroom: one (1) onsite parking space
• Two to three bedrooms: one and one-half (1.5) onsite parking spaces • Four or more bedrooms: two and one-half (2.5) parking spaces • One bedspace in a student housing development: zero (0) parking spaces T
he Housing Element requires the City to provide additional local incentives beyond those offered by California law to further facilitate the construction of affordable housing as part of mixed‐income, multi‐family housing development. The proposed SVMC § 9- 31.060 - Menu of Incentives lists four categories of supplemental incentives for qualifying housing developments located in areas identified in adopted City plans, policies, or regulations as 3 appr
opriate to further offset physical and regulatory constraints. Applicants could determine if their required incentive would qualify under one of the four general categories, listed as follows:
• A
dditional density or height in designated areas – limited additional density or height beyond California law
• Community benefit design flexibility – targeted modifications to objective development or design standards
• Open space and amenity tradeoffs – limited reductions in required common open space
• Parking strategy flexibility – limited reductions in parking requirements, arrangements, and configuration, provided that any minimum requirements permitted by the State law are satisfied
A
pplicants with projects qualifying for incentives may request one or more of the additional local incentives from the menu.

E
nvironmental Analysis
T
his ordinance has been determined to be exempt from additional environmental review under the California Environmental Quality Act (“California Public Resources Code §§ 21000, et seq., “CEQA”) and its implementing guidelines (14 California Code of Regulations §§ 15000, et seq.; “CEQA Guidelines”) because it will not result in either a direct or reasonably foreseeable indirect physical change in the environment (CEQA Guidelines § 15060(c)(2)), does not constitute a “project” as defined by CEQA (CEQA Guidelines § 15378), and it can be seen with certainty that there is no possibility that the Ordinance may have a significant effect on the environment (CEQA Guidelines § 15061(b)(3)), set forth in the enclosed Notice of Exemption (Attachment C ). The Ordinance establishes general policies and procedures only, and any future development project subject to this Ordinance would be subject to its own, separate environmental review, as required.

Fi
nancial Impact
T
here are no financial impacts.

C
ity Council Priority
T
his item supports the Thriving Community Pillar of Excellence.

S
uggested Motion
I move to introduce Ordinance No. 1372 amending the Simi Valley Municipal Code Title 9 (Z -S-2026-0002) to update Density Bonus and Incentives Regulations , and a determination that the amendments are exempt from the California Environmental Quality Act.
4 S
ummary
G
overnment Code § 65915 requires local jurisdictions to adopt an ordinance that allows housing developers to increase housing density above local zoning regulations and receive incentives (development concessions and waivers) for eligible housing projects in exchange for creating affordable housing. The Density Bonus Law is designed to encourage the construction of affordable housing by requiring public agencies to grant density bonuses and incentives for qualified developments. The City’s current regulations are codified in SVMC Chapter 9-31. The Planning Commission recommends that the City Council introduce Ordinance No. 1372 amending the Simi Valley Municipal Code Title 9 (Z-S-2026-0002) to update Density Bonus and Incentives Regulations, and a determination that these amendments are exempt from the California Environmental Quality Act.

P
repared by: Eric Chen, Senior Planner
A
ttachments
A
ttachment A – Public Hearing Procedure
Attachment B – Ordinance No. 1372
Attachment C – CEQA Notice of Exemption
Attachment D – April 8, 2026, Planning Commission Packet, Resolution, Minutes, and Government Code Section 65915
5 Publ
ic Hearing Procedure
Hearing Date: June 22, 2026
______________________________________________________________________

1. CIT
Y CLERK This is the time and place set for a public hearing to consider City-Initiated Municipal Code Amendments (Z -S-2026-0002) to update Density Bonus and Incentives Regulations, a
determination that these amendments are exempt from the California Environmental Quality Act, and introduction of an Ordinance. (Read by City Clerk including reading of
Ordinance)

2. MAYO
R: Before we begin, are there any ex parte communications to report?

3. ANY

COUNCIL
MEMBER: ( Report)

4. MAYO
R: Staff may begin with the oral report on this matter.

5. STA
FF: (Report)

6. MAYO
R: Any questions of staff from City Council Members?
(Questions of staff and staff response)

7. MAYO
R: At this time I would like to open the hearing for anyone in the City Council Chambers wishing to be heard on this matter?

8. AUDI
ENCE: Public Testimony and Comments

9. MAYO
R: Does staff desire to respond to any comments or issues raised?

10. STA
FF: (Response to comments and additional City Council
questions)

11. MAYO
R: Any further comments or questions from City Council
Members?

12. MAYO
R: The hearing is now closed.

13. MAYO
R: I will now entertain a motion.
6 Attachment A

14. A

NY COUNCIL
MEMBER: City Council Actions (by motion of any Council Member):
1) I
ntroduce, modify, or not introduce Ordinance No. 1372
(does not require a second or a vote; requires reading of ordinance).
*
Any action to refer the matter back to staff or to continue the matter requires a second and a vote.

15. A

NY COUNCIL
MEMBER: Second

16. M
AYOR: (Call for vote)

17. M
AYOR: Proceed to the next item.
7 Attachment B
ORDINANCE NO. 1372
A

N ORDINANCE OF THE CITY COUNCIL OF THE CITY OF

SIMI VALLEY FOR CITY -INITIATED MUNICIPAL CODE
TEXT AMENDMENT (Z -S-2026-0002) TO AMEND
PORTIONS OF TITLE 9 OF THE SIMI VALLEY MUNICIPAL

CODE TO UPDATE REGULATIONS IN THE SIMI VALLEY

MUNICIPAL CODE GOVERNING DENSITY BONUS AND

INCENTIVES PROVISIONS, AND A DETERMINATION

THAT THE AMENDMENTS ARE EXEMPT FROM THE

CALIFORNIA ENVIRONMENTAL QUALITY ACT
W
HEREAS, Government Code § 65915(a)(1) requires local jurisdictions to adopt an ordinance that allows housing developers to increase housing density above local zoning regulations and receive incentives (development concessions and waivers) for eligible housing projects in exchange for creating affordable housing; and W
HEREAS, on May 18, 2023, the State of California certified the City’s General Plan Housing Element and its programs, requiring that the City’s density bonus regulations reflect current California law and to provide locally tailored incentives, where permitted by law, to further facilitate mixed -income multi -family and other qualifying housing development; and
W
HEREAS, Z -S-2026-0002 will support the programs, objectives, and policies of the Housing Element of the City’s General Plan; and W
HEREAS, on April 8, 2026, the Planning Commission of the City of Simi Valley held a public hearing and recommended adoption of Z-S-2026-0002; and W
HEREAS, on June 22, 2026, the City Council held a duly noticed public hearing on the proposed ordinance, where they considered evidence and testimony presented; and
W
HEREAS, the proposed amendments are exempt from additional environmental review under California Environmental Quality Act ( CEQA) and CEQA Guidelines because it will not result in either a direct or reasonably foreseeable indirect physical change in the environment (CEQA Guidelines § 15060(c)(2)), does not constitute a “project” as defined by CEQA (CEQA Guidelines § 15378), and it can be seen with certainty that there is no possibility that the ordinance may have a significant effect on the environment (CEQA Guidelines § 15061(b)(3)).

NO

W, THEREFORE, THE CITY COUNCIL OF THE CITY OF SIMI VALLEY DOES ORDAIN AS FOLLOWS:

S
ECTION 1. The findings noted in the City Council staff report dated June 22, 2026, and the recitals set forth above are hereby adopted as findings. 8 SE
CTION 2. Environmental Assessment. The City Council finds that this Ordinance is not subject to additional environmental review under CEQA pursuant to CEQA Guidelines § 15301 and 15061(b)(3) because the amendments will allow minor alterations of existing private structures and will not inv olve the substantial expansion of the existing residential uses; and because it can be seen with certainty that there is no possibility that the ordinance may have a significant effect on the environment. Adopting this ordinance will not have the effect of deleting or substantially changing any regulatory standards or required findings. This ordinance would not result in any development or changes to the physical environment. Following an evaluation of possible adverse impacts, it can be seen with certainty that there is no possibility that the o rdinance will have a significant effect on the environment.

SE
CTION 3 . Title 9 to the SVMC is amended as set forth in attached Ordinance No. 1372, which is incorporated by this reference.

SE
CTION 4. Validity of Previous Code Sections. If the entire ordinance or its application is deemed invalid by a court of competent jurisdiction, any repeal of the Simi Valley Municipal Code (SVMC) or other regulation by this ordinance will be rendered void and cause such SVMC provision or other regulation to remain in full force and effect for all purposes.

SE
CTION 5. Reliance on Record. Each and every one of the findings and determinations in this ordinance is based on the competent and substantial evidence, both oral and written, contained in the entire record relating to the project. The findings and determinations constitute the independent findings and determinations of the City Council in all respects and are fully and completely supported by substantial evidence in the record as a whole.

SE
CTION 6. Limitations. The City Council’s analysis and evaluation of the project is based on the best information currently available. It is inevitable that in evaluating a project, absolute and perfect knowledge of all possible aspects of the project will not exist. One of the major limitations on analysis of the project is the City Council’s lack of knowledge of future events. In all instances, best efforts have been made to form accurate assumptions. Somewhat related to this are limitations on the Ci ty’s ability to solve what are, in effect, regional, state, and national problems and issues. The City must work within the political framework within which it exists and with the limitations inherent in that framework.

SE
CTION 7. Preservation. Repeal or amendment of any previous SVMC Sections does not affect any penalty, forfeiture, or liability incurred before, or preclude prosecution and imposition of penalties for any violation occurring before this ordinance’s effective date. Any such repealed part will remain in full force and effect for sustaining action or prosecuting violations occurring before the effective date of this ordinance.

SE
CTION 8. Severability. If any part of this ordinance or its application is deemed invalid by a court of competent jurisdiction, the City Council intends that such invalidity will not affect the effectiveness of the remaining provision or application, and, to this end, the provisions of this ordinance are severable. 9 Ord. No. 1372
SE
CTION 9. Summaries of Information. All summaries of information in the findings, which precede this section, are based on the substantial evidence in the record.

The absence of any particular fact from any such summary is not an indication that a particular finding is not based in part on that fact.

SE
CTION 10. Publication. The City Clerk is directed to certify the passage and adoption of this ordinance; cause it to be entered into the City of Simi Valley’s book of original ordinances; make a note of the passage and adoption in the records of this meeting; and, within 10 days after the passage and adoption of this o rdinance, cause it to be published or posted in accordance with California law.

SE
CTION 11. Incompatible Provisions. To the extent of any provision of this ordinance is incompatible with or at variance with any prior adopted ordinance or resolution, the provision of this ordinance shall take precedence.

SE
CTION 12. The City Council adopts the attached amendments to Title 9 of the Simi Valley Municipal Code as set forth in Exhibit A.

SE
CTION 1 3. The City Clerk shall cause this ordinance or a summary hereof to be published in a newspaper of general circulation, published in the County of Ventura and circulated in the City, and if applicable, to be posted, in accordance with Section 36933 of the California Government Code; shall certify to the adoption of this ordinance and shall cause a certified copy of this ordinance, together with proof of publication, to be filed in the Office of the Clerk of this City.

SE
CTION 14. This ordinance shall go into effect and be in full force and effect at 12:01 a.m. on the thirty-first (31st) day after its passage.

PASSED
and ADOPTED this _______ day of ______ 2026.

Atte
st:

Lucy Blanco, City Clerk Dee Dee Cavanaugh, Mayor of the City of Simi Valley, California
Appr
oved as to Form: Approved as to Content:

Algeria R. Ford, City Attorney Samantha C. Argabrite, City Manager Stratis Perros
Environmental Services Director
10 Ord. No. 1372
Exhibit A
Si
mi Valley Municipal Code Amendments (Z-S-2026-0002)
Ti
tle 9 Changes (new sections are underlined; removed sections are shown with strikethrough)
Chapter 9-31 – Density Bonus/Affordable Housing Provisions DENS

ITY BONUS AND INCENTIVES PROVISIONS
9-31.
010 Purpose and Intent
9-31.020 Procedures
9-31.030 Definitions
9-31.040 Bonus and Incentives
9-31.050 Amenities
9-31.060 Menu of Incentives
9-31.
010 Purpose of Chapter and Intent
This Chapter establishes procedures for implementing density bonus requirements set forth in California law (Government Code § 65915, et seq.), as it may be amended from time to time (the “Density Bonus Law”).

The purpose of this Chapter is to identify the standards and regulations under which density bonuses and other incentives may be offered by the City to developers of Housing Development projects in compliance with State Law (Government Code Section 65915 et seq.). Neither State Law nor this Chapter require the provision of direct financial incentives for housing development, including the provision of publicly owned land, or the waiver of fees or dedication requirements.
9-31.
020 Procedures
A. In a
ddition to any other requirement, applications for a density bonus must be filed on a form approved by the Environmental Services Director, or designee (the “Director”). An application must be filed concurrently with any other land use application required by this code. At the time the application is submitted, the applicant must pay all applicable fees established by City Council resolution.

B. The D
irector will process the Density Bonus Law application in the same manner as all applications required by this code.
11 Ord. No. 1372

C. Applications filed under this chapter must include reasonable documentation to establish eligibility under the Density Bonus Law.

D. In addition to the procedures in subsections (A)–(C), for projects qualifying under the Density Bonus Law for which ministerial approvals are required, the following procedures apply:

1. Application. An applicant must file a request on a form provided by the Director and accompanied by fees established by City Council resolution.

2. Affordable Housing Agreement. An applicant must comply with the affordable housing agreement requirement in section 9.31-040(C).

3. Director Authority. The Director will review applications for consistency with this title.

4. Action. The City Council will approve a density bonus and requested incentive(s), which may include: 1) the statutory Density Bonus Law incentives, unless the Director makes one or more of the written findings provided for under Government Code § 65915(d)(1); and/or 2) the supplemental incentives identified in Section 9- 31-060 Menu of Incentives.

5. Written Decision. The Director must transmit a written decision to the applicant.
9-31.020 Density Bonus, Incentives and Concessions, Waivers A. Granting of density bonus.

1. Density Bonus. When a developer agrees to build a Housing Development, the City shall grant a density bonus based upon the following table:

Density Bonus
Income Category Min. percent
of affordable
units
Bonus to be
granted
Additional
bonus for
each 1%
increase in
affordable
units above
the minimum
Total
maximum
bonus
Very Low-Income 5% 20% 2.5% 35%
Low-Income 10% 20% 1.5% 35%
Moderate-Income (for-sale common
interest development only)
10% 5% 1% 35%
100% Senior Citizen Housing
Development or Senior Citizen Mobile
Home Park
100% 20% N/A 20%
12 Ord. No. 1372

2. Additional Density. Density bonus in excess of the maximum specified in Section A.1 above is at the sole discretion of the City Council and may be approved only for housing developments affordable to low - and very low -income households upon the applicant demonstrating to the City Council that the project includes additional project benefits such as those included in the following non-exclusive list. However, in no event shall the total density of the site, including density bonus units, exceed 45 dwelling units per acre for non- age restricted housing developments and 50 dwelling units per acre for age restricted housing developments.
a. The project is designed to a minimum of Leadership in Energy and Environmental Design (LEED) Silver standards.
b. The project is ¼ mile or less from a transit stop.
c. The project provides 50% or more of its paving surfaces as permeable. d. Trees are selected to be summer shading and planted in locations that achieve energy efficiencies through reducing the heat island effect by shading a minimum of 30% of paved surfaces at five years growth. e. There is at least a 25% increase in outdoor common areas and recreational space above that which would be required in the offset of a Cluster Development Permit.

f. All units include at least 300 cubic feet of storage area by increasing the garage size over the minimum size required by the City's Development Code or providing private accessory storage areas.

g. A community room of no less than 400 square feet is provided on-site.

3. General Provisions.
a. The applicant can select from only one of the income categories for which they seek a bonus density. The applicant cannot combine bonuses from different income categories.

b. When calculating the number of permitted bonus or affordable units, any calculations resulting in fractional units must be rounded to the next larger whole number.

c. The density bonus units may not be included when determining the number of affordable units necessary to qualify for a density bonus. [As an example, a residential project for which a density of 100 dwelling units would otherwise be allowable under the zoning will 13 Ord. No. 1372
qualify for a 20% density bonus by providing 10% or 10 dwelling units as affordable to low-income households. With the density bonus, the total project size will be 120 dwelling units, of which 10 dwelling units must be affordable to low-income households, and 20 dwelling units are the density bonus units.]
d. An applicant may request a lesser density bonus than the bonus to which a project is entitled, but no reduction will be permitted in the number of affordable units required.
e. The granting of any density bonus, incentive, or concession shall not in and of itself require the need for a general plan amendment, zone change, or other discretionary approval.
f. Applicants shall ensure continued affordability and/or age restrictions of units as follows:
i. The developer shall enter into a written Affordable Agreement or Senior Agreement with the City to either ensure continued affordability of the units or to maintain the availability of all senior units for a period of not less than 55 years.
ii. Rents for the low-income units shall be set at an affordable rent. iii. Owner-occupied affordable units shall be available at an Affordable Housing Cost.
g. When an applicant for a residential development approval donates land to the City for affordable housing, the housing development may be eligible for an additional density bonus, as specified in Government Code Section 65915(g).
h. A residential development which contains the requisite number of affordable units pursuant to the requirements of this Chapter and which contains a childcare facility may be eligible for an additional density bonus or incentive, as specified in Government Code Section 65915(h). i. Condominium conversions qualifying as a Housing Project and containing the requisite number of affordable units may be eligible for a density bonus or incentive as specified in Government Code Section 65915.5.

B. Granting of Incentives or Concessions.

1. Quantity of Incentives or Concessions. When a developer agrees to build a housing development, the City shall grant incentives or concessions based upon the following table:
14 Ord. No. 1372
Requirements to Qualify for Incentives or Concessions
Income category Minimum percentage of units
needed to qualify for incentives or concessions
Very Low-Income 5% 10% 15%
Low-Income 10% 20% 30%
Moderate-Income (for-sale common
interest development only)
10% 20% 30%
Maximum Allowable Number of
Incentives or Concessions
1 2 3

2. Types of Concessions/Incentives. The following is an exclusive list of the concessions/incentives that may be requested:
a. Up to a 20% reduction in any of the following setbacks (each reduction is one concession):
i. Front yard setback.
ii. Rear yard setback.
iii. Side yard setback.
iv. Accessory structure setback.
b. Up to a 20% increase in the maximum allowed building height. c. Up to a 20% decrease in on-site allowed structure separation (each individual building separation is one concession).
d. Up to a 20% decrease in minimum lot sizes.
e. Increase in allowed duplex units up to a maximum of 40% of the total number of units in the project.
f. Up to a 10% reduction in the required length of the driveway in front of the required garage parking.
g. Up to a 20% reduction in the required rear open yard area. h. Up to a 20% increase in the maximum front yard paved area.

3. Decline to Grant. The City may decline to grant a requested incentive or concession if written findings based upon substantial evidence are made by the City Council stating any of the following:
a. The incentive or concession is not necessary in order to provide for affordable housing costs or affordable rents for the targeted units as defined in State Law.
15 Ord. No. 1372
b. The concession or incentive would have a specific adverse impact, as defined in paragraph (2) of subdivision (d) of Section 65589.5 of the Government Code, upon health, safety, or the physical environment, and for which there is no feasible method to satisfactorily mitigate or avoid the specific adverse impact.
c. The concession or incentive would have an adverse impact on any real property that is listed in the California Register of Historical Resources. d. The concession or incentive would be contrary to State or Federal Law.

C. Waivers. An applicant may submit to the City a proposal for the waiver or reduction of development standards that will have the effect of physically precluding the construction of a housing development meeting the criteria of Section 9-31.020.A.1 of this Chapter, exclusive of any additional density bonus that may be granted under Section 9-31.020.A.2, or with the concession or incentives permitted under Section 9-31.020.B of this Chapter, and may request a meeting with the City.

Projects only qualify for a waiver if no feasible design alternatives or product types are available to construct the housing development in compliance with the development standard(s) requested to be waived. The City may decline to grant a requested waiver if:

1. The development standard for which a waiver is requested does not physically preclude the construction of the development of the project at the density allowed by Section 9-31.020.A.1 of this Chapter (exclusive of any additional density bonus allowed under Section 9-31.020.A.2 of this Chapter) or this allowed density can be obtained by altering the site design or product type proposed by the applicant;

2. The waiver or reduction would have a specific, adverse impact, as defined in paragraph (2) of subdivision (d) of Government Code Section 65589.5, upon health, safety, or the physical environment, and for which there is no feasible method to satisfactorily mitigate or avoid the specific adverse impact;

3. The waiver or reduction of a development standard would have an adverse impact on any real property that is listed in the California Register of Historical Resources; or

4. The waiver or reduction would be contrary to State or Federal Law. (Exh. A, Ord. 1157, eff. July, 22, 2010)
9-31.030 – Application
The procedures identified below contain information and requirements necessary for the submittal and evaluation of proposed affordable housing developments:

A. Application. Applicants for bonus density shall submit to the City an application for an affordable or senior housing development. The 16 Ord. No. 1372

application shall include all requested information, documentation, fees, and signatures before acceptance for review.

B. Required contents.

1. Proof of site ownership/control or property owner's signature or Power of Attorney; and

2. A complete pro forma for the proposed project. The required information shall be prepared in compliance with generally accepted accounting standards and shall include all information deemed necessary by the City for thorough evaluation of the proposal. Th e City may require the services of specialized financial consultants to review and corroborate the data in the pro forma and analysis. The applicant will be liable for all staff costs incurred in reviewing the documentation as well as those specified in the Schedule of Service Charges on file with the Department of Environmental Services.

(Exh. A, Ord. 1157, eff. July, 22, 2010)

9-31.030 Definitions

Unless the contrary is stated or clearly appears from the context, the following definitions govern the construction of the words and phrases used in this chapter . Terms and phrases used in this Chapter have the same meaning as defined by the Density Bonus Law. Undefined words and phrases have the same meaning as set forth in this code.

9-31.040 Bonus and Incentives

A. Housing developments qualifying under the Density Bonus Law may receive a bonus or concession pursuant to this chapter.

B. Where the density allowed under this code is inconsistent with the density allowed under the land use element of the General Plan, the maximum density allowed controls.

C. Before the Director issues a zoning clearance in accordance with this code, an applicant receiving bonuses or concessions under this chapter must execute and record an agreement, in a form approved by the City Attorney, securing the continued affordability of all required income- restricted dwelling units in accordance with the Density Bonus Law and this chapter.

D. All dwelling units benefitting from the bonuses or concessions under this chapter must be concurrently built in the same manner as market rates. All affordable units must be integrated and reasonably distributed throughout the approved project with the market rate units to ensure a reasonable mix of affordable and market rate units.
17 Ord. No. 1372
E. Dens
ity Calculation. The area of any land required to be dedicated for street or alley purposes may be included as lot area for purposes of calculating the maximum density permitted by the underlying zone in which the project is located.
9-31.
050 Amenities
Res
idents of affordable units may not be charged for amenities not charged to other residents including, without limitation, access to recreational facilities, parking, fiber internet, and interior amenities/appliance package like dishwashers, microwave ov ens, washers and dryers. Optional services for all residents must be the same. Tenants of affordable units may not be required to purchase additional services. 9-31.
060 Menu of Incentives
Appl
icants with projects qualifying for incentives may request one or more of the following incentives; the number of incentives being requested must be consistent with the Density Bonus Law unless otherwise authorized by the approving body. These incentives are supplemental and do not limit an applicant’s right to request other incentives, concessions, waivers, or reductions of development standards consistent with state law.

A. Addi
tional density or height in designated areas. Limited additional density or height beyond the density bonus required by state law may be considered for qualifying housing developments located in areas identified in adopted City plans or regulations as appropriate for higher intensity or transit - supportive development, subject to applicable objective standards, required height transitions, and any caps or criteria.

B. Com
munity benefit design flexibility. Targeted modifications to objective development or design standards, including without limitation, façade or frontage requirements, may be considered where a project provides clearly identified community benefits that are consistent with applicable objective standards and adopted City plans or policies, such as publicly accessible open space, enhanced streetscape improvements, or additional multimodal access features.

C. Open s
pace and amenity tradeoffs. Limited reductions in required common open space may be considered where enhanced onsite amenities, podium- level or rooftop open space, or publicly accessible open spaces are provided and are consistent with applicable objective standards and adopted City goals and policies addressing open space and recreation. 18 Ord. No. 1372
D. Par
king strategy flexibility. In locations identified in adopted City plans or regulations as appropriate for reduced or shared parking, shared parking arrangements, modified parking configurations, or limited reductions in parking requirements may be considered, provided that any minimum or maximum parking ratios required or permitted by the Density Bonus Law are satisfied and applicable objective access, circulation, and safety standards are met.
19 Ord. No. 1372
Attachment C
ZS20260002 PC Staff Report (kr)

NOTICE OF EXEMPTION
T
o: County Clerk From: City of Simi Valley
County of Ventura 2929 Tapo Canyon Road
800 S. Victoria Avenue Simi Valley, CA 93063
Ventura, CA 93001
P
roject Title: Z-S-2026-0002: Amendments to the Simi Valley Municipal Code regarding Density Bonuses and Incentives Provisions
P
roject Location - Specific: Citywide
P
roject Location - City: Simi Valley Project Location - County: Ventura D
escription of Project: Z-S-2026-0002 will amend the City’s Density Bonus and Incentives Provisions to be consistent with those requirements set forth in the State Density Bonus Law. The standards and regulations will be applied Citywide as prescribed in the City’s certified General Plan Housing Element , to assist the City in meeting its Regional Housing Needs Allocation (RHNA), as required by the State Housing Laws.

N
ame of Public Agency Approving Project: City of Simi Valley 6/22/2026 D ate of Approval
Name of Person or Agency Carrying Out Project: City of Simi Valley Exempt Status: (check one)
Ministerial [Sec. 21080(b)(1); 15268];
D eclared Emergency [Sec. 21080(b)(3); 15269(a)];
E mergency Project [Sec. 21080(b)(4);15269(b)(c)];
_ Categorical Exemption - State type and section number:

S tatutory Exemptions - State code number:

X General Rule [Sec. 15061(b)(3); 15378; 15060(c)(2)]
T
ext of exemption and reasons why project is exempt:

This ordinance is exempt from additional environmental review under the California Environmental Quality Act (“California Public Resources Code §§ 21000, et seq., “CEQA”) and its implementing guidelines (14 California Code of Regulations §§ 15000, et seq.; “CEQA Guidelines”) because it will not result in either a direct or reasonably foreseeable indirect physical change in the environment (CEQA Guidelines § 15060(c)(2)), does not constitute a “project” as defined by CEQA (CEQA Guidelines § 15378), and it can be seen with certainty that there is no possibility that the Ordinance may have a significant effect on the environment (CEQA Guidelines § 15061(b)(3)). The Ordinance establishes general policies and procedures only, and any future development project subject to this Ordinance would be subject to its own, separate environmental review, as required.

Lead A
gency Contact Person: Eric Chen Area Code/Telephone (805) 583-6773 S
ignature: _______________________ Date: _4/8/2026__ Title: Senior Planner __ E ric Chen Dept. of Environmental Services
X S
igned by Lead Agency
20 Planning Commission Package
Z-S-2026-0002
April 8, 2026
INDEX
Resolution No. SVPC 05-2026
Planning Commission Minutes
Planning Commission Staff Report
Government Code § 65915
Attachment D
21 RESOLUTION NO. SVPC 05-2026

A RESOLUTION R ECOMMENDING THAT THE CITY
COUNCIL ADOPT AN ORDINANCE (Z-S-2026-0002) TO

UPDATE REGULATIONS IN THE SIMI VALLEY MUNICIPAL

CODE GOVERNING DENSITY BONUS AND INCENTIVES

PROVISIONS, AND A DETERMINATION THAT THESE

AMENDMENTS ARE EXEMPT FROM THE CALIFORNIA

ENVIRONMENTAL QUALITY ACT
THE PLANNING COMMISSION RESOLVES AS FOLLOWS:

SECTION 1: Factual Findings and Conclusions. The Planning Commission finds as follows:

A. The City's Housing Element requires that the City's density bonus regulations reflect current California law and to provide locally tailored incentives, where permitted by law, to further facilitate mixed-income multifamily and other qualifying housing development.

B. The City reviewed the project's environmental impacts under the California Environmental Quality Act (Public Resources Code§ 21000, et seq., "CEQA"), the regulations promulgated thereunder (14 California Code of Regulations § 15000, et seq., the "CEQA Guidelines") and determined that the Resolution is exempt from additional environmental review for the reasons set forth in Section 3 of this Resolution.

C. The Director completed the review and scheduled the public hearing regarding the application before the Planning Commission for April 8, 2026; D. This Resolution and its findings are made based upon the evidence presented to the Commission at its April 8, 2026, hearing including, without limitation, the staff report submitted by the Director.

SECTION 2: Municipal Code Amendment findings. The Planning Commission makes the following findings pursuant to Simi Valley Municipal Code, "SVMC" § 9-73.070:

A. The amendment is consistent with the purpose, intent, goals, policies, programs, and land use designations specified in the General Plan (Govt. Code, § 65860), in that the request is consistent with the following General Plan policies:

1. Community Development Policy LU-32.1 of the General Plan, titled Consistency Guidelines, that states "Require that new development proposals be consistent with General Plan policies, land use designations, and zoning ... " The zoning text amendments implement the purpose, intent, goals, policies, and programs of the General Plan by updating the City's density bonus 7 2S20260002 PC Staff Report (kr)
22 RES. NO SVPC 05-2026
regulations in SVMC Chapter 9-31, to reflect current Density Bonus Law, establishing clear and ob jective procedures for qualifying h ousing developments, and facilitating the development of mixed-income and affordable housing in appropriate locations within the City, consistent with state law and Housing Element Programs 12, 13, and 18, and with applicable specific plans, including the Envision Simi Valley Specific Plan.

2. Housing Element Policy HE 3.1 of the General Plan, titled Density Bonuses, that states "Make necessary density bonuses or other incentives available consistent with state law to promote affordable housing for lower-income households and special needs populations." The ordinance will implement Density Bonus Law by updating the City's density bonus regulations under SVMC Chapter 9-31, to provide tools and flexibility to the City to approve financially viable projects that developer will build and add to the City's housing stock. Using these implementation tools (density bonus paired with development concessions and waivers) could allow diversity of housing product types within an individual project; including mixed-income housing; and increased sustainability though energy efficiencies and site design to help reduce utility costs.

B. The City has considered the effect of this amendment on the housing needs of the region and has balanced these needs against the public service needs of its residents and against available fiscal and environmental resources, in that the proposed ordinance amendment by updating the City's density bonus regulations under SVMC Chapter 9-31, promotes regional housing needs by aligning local regulations with state law (Govt. Code, § 65915, as it may be amended from time to time), improving regulatory clarity and predictability, and facilitating housing production, while preservinq the City's ability to ensure that development proceeds in an orderly manner consistent with adopted plans, infrastructure capacity, and environmental requirements, consistent with California law.

C. The ordinance would update the City's density bonus regulations under Simi Valley Municipal Code Chapter 9-31, does not by its terms limit the number of housing units which may be constructed on an annual basis. Accordingly, the additional findings required under state law for amendment that reduce regional housing opportunities do not apply.

SECTION 3: Environmental Assessment. The proposed Simi Valley Municipal Code Amendments is exempt from additional environmental review under CEQA and CEQA Guidelines because it will not result in either a direct or reasonably foreseeable indirect physical change in the environment (CEQA Guidelines§ 15060(c)(2)), does not constitute a "project" as defined by CEQA (CEQA Guidelines § 15378), and it can be seen with certainty that there is no possibility that the Ordinance may have a significant effect on the environment (CEQA Guidelines § 15061 (b)(3)), set forth in the attached Notice of Exemption (Attachment A). The Ordinance establishes general policies and procedures only, and any future development project subject to this Ordinance would be subject to its own, separate environmental review, as required.
8 ZS20260002 PC Staff Report (kr)
23 RES. NO SVPC 05-2026
SECTION 4: Recommendation to City Council. The Planning Commission recommends that the City Council adopt the ordinance attached as Exhibit "A," and incorporated by reference (Z-S-2026-0002).

SECTION 5: Reliance on Record. Each of the findings and determinations in this Resolution is based on competent and substantial evidence, both oral and written, contained in the entire record relating to the project. The findings and determinations constitute the independent findings and determinations of the Planning Commission in all respects and are fully and completely supported by substantial evidence in the record as a whole.

SECTION 6: Limitations. The Planning Commission's analysis and evaluation of the project is based on the best information currently available. It is inevitable that in evaluating a project that absolute and perfect knowledge of all possible aspects of the project will not exist. One of the major limitations on analysis of the project is the Planning Commission's lack of knowledge of future events. In all instances, best efforts have been made to form accurate assumptions. Somewhat related to this are the limitations on the City's ability to solve what are in effect regional, state, and national problems and issues.

The City must work within the political framework within which it exists and with the limitations inherent in that framework.

SECTION 7: This Resolution will remain effective until superseded by a subsequent resolution.
9 ZS20260002 PC Staff Report (kr)
24 RES. NO SVPC 05-2026
SECTION 8: The Planning Commission secretary is directed to mail a copy of this Resolution to any person requesting a copy.

PASSED and ADOPTED this 8th day of April 2026.

Approved as to Form:

ALGERIA R. FORD, City Attorney
phn ie Gutierre
Senior Assistant City Attorney
G ~ ~ Lee Kennedy
Chairperson Planning Commission
Approved as to Content:

Sean Gibson
Deputy Environmental Services Director/
City Planner
I HEREBY CERTIFY that the foregoing resolution was duly adopted by the Planning Commission of the City of Simi Valley, California, at a regular meeting held on April 8, 2026, by the following vote:

AYES:

NAYS:

ABSTAIN:

ABSENT:
10 ZS20260002 PC Staff Report (kr)
25 MINUTES OF THE MEETING OF THE

PLANNING COMMISSION

MOBILE HOME RENT MEDIATION BOARD

TREE ADVISORY BOARD

City Council Chamber April 8, 2026
2929 Tapo Canyon Road
Simi Valley, CA 93063

1. CALL TO ORDER
The regular meeting of the Planning Commission of the City of Simi Valley was called to order at 6:30 p.m.

2. PLEDGE OF ALLEGIANCE

3. ROLL CALL

Present: Chairperson Kennedy; Vice Chairperson Rice; Commissioners Christmann and Mann

Absent: None
Remote: Commissioner Tolson

4. APPROVAL OF AGENDA
It was the consensus of the Commission to approve the agenda as submitted.

5. APPROVAL OF MINUTES – February 18, 2026
It was the consensus of the Commission to approve the minutes as submitted.

6. DECLARATION OF CONFLICT – None

7. PUBLIC STATEMENTS
Resident James McGillis stated that he is opposed to Short Term Rentals in Simi Valley.

8. CORRESPONDENCE
Deputy Environmental Services Director/City Planner Sean Gibson stated that there was one correspondence that was received regarding agenda item 11.A.1, the proposed Accessory Dwelling Units (ADU) ordinance amendments (Z-S-2026- 0001). The correspondence is in the Supplemental Staff Report. Copies of the 26 Planning Commission Meeting
Mobile Home Rent Mediation Board
Tree Advisory Board Minutes – Page 2 April 8, 2026
Supplemental Staff Report was provided at the dais, as well as at the table in the lobby.

9. CONSENT CALENDAR
A. Review of Potential Fiscal Year (FY) 2026-27 Capital Improvement Program for Conformance with the Simi Valley General Plan
It was a consensus of the Commission to approve the Consent Calendar as submitted.

10. CONTINUED BUSINESS – None

11. NEW BUSINESS
A. PUBLIC HEARINGS

1. Z-S-2026-0001: To consider recommending that the City Council amend the Simi Valley Municipal Code to update regulations for Accessory Dwelling Units; and a determination that these amendments are exempt from the California Environmental Quality Act.

Staff Contact: Mark Nason
(805) 583-6836
Ther
e were no ex parte communications to report.

Deputy Environmental Services Director/City Planner Gibson gave a brief overview of the project.

Assistant Planner Mark Nason gave a presentation of the staff report.

Commissioner Christmann inquired about the setback requirements for both Junior Accessory Dwelling Units (JADUs) and Accessory Dwelling Units (ADUs).

Assistant Planner Nason explained that a JADU is created from existing structures, which means it adheres to the municipal code requiring a 20-foot setback. Principal Planner Naren Gunasekera further clarified that a detached “State Exempt” ADU, needs to have a four-foot setback on the sides and rear, with no setback requirement for the front yard. The ADUs that are not “State Exempt”, the City could mandate a 20-foot setback. There has been minimal interest from residents regarding no front setbacks. When residents request no front setbacks for a “State Exempt” ADU, the staff will advise them on the reasons to reconsider this choice.

Commissioner Mann inquired about the possibility of constructing two 400-square foot ADUs on the same property with no front yard setback. Assistant Planner Nason clarified that a property is not permitted to have two state exempt detached 27 Planning Commission Meeting
Mobile Home Rent Mediation Board
Tree Advisory Board Minutes – Page 3 April 8, 2026
ADUs. Principal Planner Gunasekera elaborated that there are two types of “State Exempt” ADUs: one being a JADU that must be within the existing home’s footprint, or a conversion of an existing structure that is under 800 square feet.

Both of those would have had to adhere to the current municipal code concerning setbacks since they are within existing structures. The other “State Exempt” ADU would be a detached new building under 800 square feet that could be built with no front setback. Commissioner Mann then asked for further clarification of the possibility of having one 600-square foot ADU with a front setback and one 600 square foot ADU that has no front setback. Principal Planner Gunasekera affirmed that his scenario would be possible.

Chairperson Kennedy opened the public testimony portion of the hearing.

No members of the public requested to speak during the public testimony.

Chairperson Kennedy closed the public testimony portion of the hearing.

No additional comments or questions from Planning Commission.

VICE CHAIRPERSON RICE MOVED THAT THE

PLANNING COMMISSION OF THE CITY OF SIMI

VALLEY RECOMMEND THAT THE CITY COUNCIL

ADOPT AN ORDINANCE TO UPDATE

REGULATIONS IN THE SIMI VALLEY MUNICIPAL

CODE GOVERNING ACCESSORY DWELLING
UNITS; AND A DETERMINATION THAT THE

PROJECT IS EXEMPT FROM THE CALIFORNIA

ENVIRONMENTAL QUALITY ACT
Commissioner Christmann seconded the motion.

AYES: Commissioners Mann, Christmann, and
Tolson; Vice Chairperson Rice; and
Chairperson Kennedy
NAYS: None
ABSTAIN: None
ABSENT: None
28 Planning Commission Meeting
Mobile Home Rent Mediation Board
Tree Advisory Board Minutes – Page 4 April 8, 2026

2. Z-S-2026-0002: To consider recommending that the City Council amend the Simi Valley Municipal Code to update the City’s Density Bonus and Incentives Provisions; and a determination that the amendments are exempt from the California Environmental Quality Act.

Staff Contact: Eric Chen
(805) 583-6773
There were no ex parte communications to report.

Deputy Environmental Services Director/City Planner Gibson gave a brief overview of the project.

Senior Planner Eric Chen gave a presentation of the staff report.

Chairperson Kennedy inquired about any changes to parking regulations concerning the incentives for density bonuses. Senior Planner Chen clarified that the required parking is based on unit size and that there have been no changes to the parking requirements associated with density bonuses.

Vice Chairperson Rice asked about the potential consequences if the City were to reject the proposal. Senior Planner Chen explained that such a decision would result in the City falling out of compliance with the housing element for the state.

Senior Assistant City Attorney Gutierrez added that failing to update the density ordinance could expose the City to legal challenges from builders who might contest the City’s interpretation of the existing ordinance. Senior Assistant City Attorney Gutierrez noted that we have been operating under state law regardless of what our current ordinance list and that we would have the ability to refrain from adopting the updated regulations in the municipal code. Vice Chairperson Rice further questioned whether adopting the ordinance could incur costs for the City.

Senior Assistant City Attorney Gutierrez confirmed that rejecting the ordinance could lead to financial repercussions, with a significant likelihood of monetary loss.

Chairperson Kennedy wanted to confirm the City’s compliance with state regulations, noting that we are simply updating the language in our municipal code.

Senior Assistant City Attorney Gutierrez confirmed that the City is currently in compliance and that we are currently updating the language in our municipal code.

Commissioner Christmann inquired about the concept of stacked density bonuses, and how this could impact the City’s height regulations while ensuring sufficient low-income housing. Senior Planner Chen presented an example using the Lighthouse Bible Church Project, an 80-unit mixed-use income apartment complex that received approval last year. The developer sought a two-tier stacked density bonus and successfully obtained 100% of this bonus while providing 10 low- income units and 6 moderate-income units. Senior Planner Chen also showed a calculation example for this project.

Commissioner Mann wanted to confirm the details listed in the example of density 29 Planning Commission Meeting
Mobile Home Rent Mediation Board
Tree Advisory Board Minutes – Page 5 April 8, 2026

bonus stacking for the Lighthouse Bible Church project, specifically the method on how the builder obtained the stacking density bonuses. Senior Planner Chen clarified that the builder requested double density bonuses and elaborated on how the builder was successful in their strategy to obtain double density bonuses.

Commissioner Mann inquired about the planned parking for the project and whether there had been any updates regarding parking allocations from the state.

Deputy Environmental Services Director/City Planner Gibson explained that, regardless of the number of density bonus or affordable units, the state parking reduction would still apply. He also pointed out that stacking density bonuses relates to the ability to receive multiple bonuses, rather than height of the structure.

Commissioner Christmann wanted to verify that stacking could mean height for different projects. Deputy Environmental Services Director/City Planner Gibson replied that stacking can mean height for different projects; and in this case, they are reviewing incentive stacking bonuses that the builder can receive; and not a height increase, which is an incentive.

Chairperson Kennedy opened the public testimony portion of the hearing.

Resident Jill Abele asked if we have flexibility in creating more parking per units.

Senior Planner Chen responded to Resident Abele’s question by clarifying that the City has the option to offer additional bonus incentives outlined in the housing element, above the requirements set by state law. Typically, it is builders who seek to reduce parking requirements rather than increasing them. The City Council has the authority to inform builders that no further reductions in parking will be granted.

Deputy Environmental Services Director/City Planner Gibson added that the state is encouraging the City to propose various housing incentives for builders to consider for additional bonuses. However, builders already have the option to select waivers or concessions from the City’s objective developments that are existing in our code, including those related to parking. The four proposed items offered for discussion during this meeting serve as a guide that has already been approved by the California Department of Housing and Community Development (HCD) that could assist builders in facilitating the City’s efforts to enhance housing affordability and availability while adhering to state regulations.

Chairperson Kennedy closed the public testimony portion of the hearing.

Commission comments:

Commissioners Mann raised concerns that the state already has incredibly low parking requirements for new developments, questioning whether the state is suggesting that the City could reduce these requirements even further. Senior Planner Chen confirmed that is correct.

Commissioner Christmann is concerned that the City is required to allow the items listed for approval and she doesn’t see how these items will help the City with affordability and growth within the community.
30 Planning Commission Meeting
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Tree Advisory Board Minutes – Page 6 April 8, 2026

Vice Chair Rice mentioned that if all proposed housing developments were close in proximity and the City had extra land available, we could put in a public parking lot to help alleviate the parking challenges.

COMMISSIONER CHRISTMANN MOVED THAT THE

PLANNING COMMISSION OF THE CITY OF SIMI

VALLEY RECOMMEND THAT THE CITY COUNCIL
ADOPT AN ORDINANCE (Z-S-2026-0002) TO

UPDATE REGULATIONS IN THE SIMI VALLEY

MUNICIPAL CODE GOVERNING DENSITY BONUS

AND INCENTIVES PROVISIONS, AND A

DETERMINATION THAT THESE AMENDMENTS

ARE EXEMPT FROM THE CALIFORNIA

ENVIRONMENTAL QUALITY ACT

Commissioner Mann seconded the motion.

AYES: Commissioners Mann, Christmann, and
Tolson; Vice Chairperson Rice; and
Chairperson Kennedy

NAYS: None

ABSTAIN: None

ABSENT: None

B. OTHER – None

12. ORAL COMMUNICATIONS AND REPORTS
A. STAFF – None
B. PLANNING COMMISSION
Commissioner Christmann and Commissioner Mann discussed attending the League of the California Cities 2026 Planning Commissioners’ Academy Conference in Anaheim during March.

C. MOBILE HOME RENT MEDIATION BOARD – None
D. TREE ADVISORY BOARD
31 Planning Commission Meeting
Mobile Home Rent Mediation Board
Tree Advisory Board Minutes – Page 7 April 8, 2026

There was an inquiry from City Council to see if a memorial plaque can be placed on a specific pristine oak tree within the City. Staff are looking into the request.

13. ADJOURNMENT
The regular meeting of the Planning Commission of the City of Simi Valley was adjourned at 7:27 p.m. The next scheduled Planning Commission meeting is on April 22, 2026.

Minutes prepared by:

Krystal Ryan
32 ZS20260002 PC Staff Report (kr)

CITY OF SIMI VALLEY

MEMORANDUM
Ap
ril 8, 2026
TO: P
lanning Commission
FR
OM: Sean Gibson, Deputy Environmental Services Director/City Planner SUBJ
ECT: A PUBLIC HEARING TO CONSIDER RECOMMENDING THAT THE CITY COUNCIL AMEND THE SIMI VALLEY MUNICIPAL CODE (Z-S- 2026- 0002) TO UPDATE DENSITY BONUS AND INCENTIVES REGULATIONS;

AND A DETERMINATION THAT THE SE AMENDMENTS ARE EXEMPT

FROM THE CALIFORNIA ENVIRONMENTAL QUALITY ACT
RECO

MMENDATION
It
is recommended that the Planning Commission adopt a resolution recommending that the City Council adopt the City-initiated Simi Valley Municipal Code (SVMC) Amendments (Z-S-2026-0002) to update regulations governing Density Bonus and Incentives; and a determination that the se amendments are exempt from the California Environmental Quality Act.

BACKGRO

UND AND OVERVIEW
Gov
ernment Code § 65915 (Exhibit 1) requires local jurisdictions to adopt an ordinance that allows housing developers to increase housing density above local zoning regulations and receive incentives (development concessions and waivers) for eligible housing projects in exchange for creating affordable housing. The Density Bonus Law is designed to encourage construction of affordable housing by requiring public agencies to grant density bonuses and incentives for qualified developments. The City’s current regulations are codified in SVMC Chapter 9-31.

Ther
e are various means by which a developer may increase housing density including reduced parking requirements; relaxed site development standards; and other, similar, design/development waivers to accommodate more housing. The amount of each bonus density adjustment is set on a sliding scale, based upon the percentage of affordable units offered by the developer, with each tier of affordability, as shown in Government Code § 65915 in Exhibit 1.

Th
e City’s current Density Bonus regulations were last updated on June 21, 2010. These regulations require updating to reconcile them with ongoing changes to California law. If adopted, the proposed ordinance would help meet the requirements in Simi Valley’s Housing Element ( Programs 12, 13, and 18) . Additionally, the proposed actions would satisfy Government Code § 65915(a)(1).

AGENDA ITEM
NO.

11.A.2

33 2
ZS20260002 PC Staff Report (kr)

ANALYSIS

To ensure compliance with California law, the City has applied Government Code requirements when processing development applications; regulations in the SVMC do not reflect current law and have not, therefore, generally been enforced. The proposed ordinance would update the SVMC and align it with current California law.

Generally, the draft ordinance would:
• Increase the percentage of density bonus cap and affordability • A llow “stackable” density bonuses when additional affordable units are provided • Create supplemental bonus incentives prescribed by the Housing Element

These are reflected as follows;

Table 1: State Density Bonus Law
Income Category Min. percent
of affordable
units
Bonus to be
granted
Additional bonus for
each 1% increase in
affordable units
above the minimum
Total
maximum
bonus
Very Low-Income 5% 20% 2.5% 50%
Low-Income 10% 20% 1.5% 50%
Moderate-Income (for-sale
common interest
development only)
10% 5% 1% 50%
100% Senior Citizen
Housing Development or
Senior Citizen Mobile
Home Park
100% 20% N/A 50%

Table 2: State Density Bonus Law - Stacking
Income Category Min. percent
of affordable
units
Bonus to be
granted
Additional bonus for
each 1% increase in
affordable units
above the minimum
Total
maximum
bonus
Very Low-Income 5% 20% 3.75% 38.75%
Moderate-Income 5% 20% 2.5% 50%

Table 3: Requirements to Qualify for Incentives or Concessions Income Category Minimum percentage of units needed to qualify for incentives or concessions
Very Low-Income 5% - - 10% 15%
Lower-Income 10%
20%
student
housing
23%
student
housing
17% 24% 16% 100%
Moderate-Income (for-
sale common interest
development only)
10% - - 20% 30% 45% <20%
Maximum Allowable
Number of Incentives
or Concessions
1 1 2 2 3 4 5

34 3
ZS20260002 PC Staff Report (kr)
An applicant may also submit to the City a proposal for waivers (an unlimited number) to reduce development standards. The developer must demonstrate that not providing these waivers will have the effect of physically precluding the construction of a housing development meeting the criteria for density bonus, or with the concession or incentives permitted under the SVMC.

The Housing Element requires the City to provide additional incentives beyond those offered by California law to further facilitate the construction of affordable housing as part of mixed‐income, multi‐family housing development. The proposed SVMC § 9-31.060 - Menu of Incentives lists four categories of supplemental incentives for qualifying housing developments located in areas identified in adopted City plans, policies, or regulations as appropriate to further offset physical and regulatory constraints . Applicants could determine if their required incentive would qualify under one of the four general categories, listed as follows:

• Additional density or height in designated areas – limited additional density or height beyond California Law
• Community benefit design flexibility – targeted modifications to objective development or design standards
• Open space and amenity tradeoffs – limited reductions in required common open space
• Parking strategy flexibility – limited reduction s in parking requirements, arrangements, and configuration, provided that any minimum requirements permitted by the State Law are satisfied

Applicants with projects qualifying for incentives may request one or more of the incentives from the menu. The number of incentives being requested must be consistent with the Density Bonus Law unless otherwise authorized by the City Council.

ENVIRONMENTAL ASSESSMENT

This ordinance is exempt from additional environmental review under the California Environmental Quality Act (“California Public Resources Code §§ 21000, et seq., “CEQA”) and its implementing guidelines (14 California Code of Regulations §§ 15000, et seq.; “CEQA Guidelines”) because it will not result in either a direct or reasonably foreseeable indirect physical change in the environment (CEQA Guidelines § 15060(c)(2)), does not constitute a “project” as defined by CEQA (CEQA Guidelines § 15378), and it can be seen with certainty that there is no possibility that the Ordinance may have a significant effect on the environment (CEQA Guidelines § 15061(b)(3)) , set forth in the enclosed Notice of Exemption (Attachment A). The Ordinance establishes general policies and procedures only, and any future development project subject to this Ordinance would be subject to its own, separate environmental review, as required.

35 4
ZS20260002 PC Staff Report (kr)
INDEX Page

Planning Commission Public Hearing Procedure ............................................................ 5 Resolution No. SVPC 05-2026 ........................................................................................ 7 Exhibit A: Proposed SVMC Text Amendments (Z-S-2026-0002) ....................... 11 Attachment A: Notice of Exemption ............................................................................... 20 Exhibit 1: Government Code § 65915

36 5
ZS20260002 PC Staff Report (kr)
PL

ANNING COMMISSION PUBLIC HEARING PROCEDURE
HEA
RING DATE: April 8, 2026
Z-S-2026-000
2 1. CHAI
RPERSON: a) This is the time and place set for a public hearing on the consideration of Z-S- 2026-0002, to consider
recommending that the City Council adopt the City -
initiated Simi Valley Municipal Code amendments (Z-S-
2026-0002) to update regulations governing Density
Bonus and Incentives; and a determination that these
amendments are exempt from the California
Environmental Quality Act.
b)
Are there any ex parte communications to report?
c) May w
e have an oral report on this matter by staff?

2. STA
FF: (Report)

3. ANY
COM
MISSIONER: (Questions of staff)

4. CHAI
RPERSON: We will open the public testimony portion of the hearing.

5. CHAI
RPERSON: Are there any questions for staff?

6. CHAI
RPERSON: Is there anyone in the Chamber wishing to be heard on this matter?

7. AUDI
ENCE: (Comments)

8. CHAI
RPERSON: a) Are there any comments from staff regarding statements made during the public hearing? (Check with
Deputy Environmental Services Director/City Planner, and staff members in the audience.)
b) If
there are no further questions, we will close the
public testimony portion of the hearing.
c) Ar
e there any comments or questions from members
of the Planning Commission?

9. ANY
COM
MISSIONER: (Comments)
37 6
ZS20260002 PC Staff Report (kr)

10. CHAIRPERSON: May I please have a reading of the Resolution?

11. RECORDING
SECRETARY: (Reads Number and Title of Resolution)

13. CHAIRPERSON: The Chair will now entertain a motion.

14. ANY
COMMISSIONER: I move to adopt a resolution recommending that the City Council adopt the City -initiated Simi Valley Municipal Code amendments (Z-S-2026-0002) to update regulations
governing Density Bonus and Incentives; and a
determination that these amendments are exempt from
the California Environmental Quality Act (include any
recommended revisions).

15. CHAIRPERSON: A motion was made by Commissioner ___________.

16. CHAIRPERSON: May I have a Second?

17. ANY
COMMISSIONER: I second the motion.

18. CHAIRPERSON: Call for the vote.

19. RECORDING
SECRETARY: The motion (passes or fails).

20. CHAIRPERSON: There is no Appeal period for Z-S-2026-0002, and the item will proceed to the City Council with the Planning
Commission’s recommendation.

or

21. ANY
COMMISSIONER: I move continuation of the matter until the meeting of ___.

or

22. ANY
COMMISSIONER: I move continuation of the matter to a date uncertain.

23. CHAIRPERSON: Proceed to the next item.

38 Exhibit A

11 ZS20260002 PC Staff Report (kr)

Simi Valley Municipal Code Amendments (Z-S-2026-0002)

Title 9 Changes (new sections are underlined; removed sections are shown with strikethrough)

Chapter 9-31 – Density Bonus/Affordable Housing Provisions

DENSITY BONUS AND INCENTIVES PROVISIONS

9-31.010 Purpose and Intent
9-31.020 Procedures
9-31.030 Definitions
9-31.040 Bonus and Incentives
9-31.050 Amenities
9-31.060 Menu of Incentives

9-31.010 Purpose of Chapter and Intent
This Chapter establishes procedures for implementing density bonus requirements set forth in California law (Government Code § 65915, et seq.), as it may be amended from time to time (the “Density Bonus Law”).

The purpose of this Chapter is to identify the standards and regulations under which density bonuses and other incentives may be offered by the City to developers of Housing Development projects in compliance with State Law (Government Code Section 65915 et seq.). Neither State Law nor this Chapter require the provision of direct financial incentives for housing development, including the provision of publicly owned land, or the waiver of fees or dedication requirements.

9-31.020 Procedures

A. In addition to any other requirement, applications for a density bonus must be filed on a form approved by the Environmental Services Director, or designee (the “Director”). An application must be filed concurrently with any other land use application required by this code. At the time the application is submitted, the applicant must pay all applicable fees established by City Council resolution.

B. The Director will process the Density Bonus Law application in the same manner as all applications required by this code.

39 Exhibit A
12 ZS20260002 PC Staff Report (kr)
C. Applications filed under this chapter must include reasonable documentation to establish eligibility under the Density Bonus Law.

D. In addition to the procedures in subsections (A)–(C), for projects qualifying under the Density Bonus Law for which ministerial approvals are required, the following procedures apply:

1. Application. An applicant must file a request on a form provided by the Director and accompanied by fees established by City Council resolution.

2. Affordable Housing Agreement. An applicant must comply with the affordable housing agreement requirement in section 9.31-040(C).

3. Director Authority. The Director will review applications for consistency with this title.

4. Action. The City Council will approve a density bonus and requested incentive(s), which may include: 1) the statutory Density Bonus Law incentives, unless the Director makes one or more of the written findings provided for under Government Code § 65915(d)(1); and/or 2) the supplemental incentives identified in Section 9 -31-060 Menu of Incentives.

5. Written Decision. The Director must transmit a written decision to the applicant.
9-31.020 Density Bonus, Incentives and Concessions, Waivers A. Granting of density bonus.

1. Density Bonus. When a developer agrees to build a Housing Development, the City shall grant a density bonus based upon the following table:

Density Bonus
Income Category Min. percent
of affordable
units
Bonus to be
granted
Additional
bonus for
each 1%
increase in
affordable
units above
the minimum
Total
maximum
bonus
Very Low-Income 5% 20% 2.5% 35%
Low-Income 10% 20% 1.5% 35%
Moderate-Income (for-sale common
interest development only)
10% 5% 1% 35%
100% Senior Citizen Housing
Development or Senior Citizen Mobile
Home Park
100% 20% N/A 20%
40 Exhibit A
13 ZS20260002 PC Staff Report (kr)

2. Additional Density. Density bonus in excess of the maximum specified in Section A.1 above is at the sole discretion of the City Council and may be approved only for housing developments affordable to low - and very low -income households upon the applicant demonstrating to the City Council that the proj ect includes additional project benefits such as those included in the following non -exclusive list. However, in no event shall the total density of the site, including density bonus units, exceed 45 dwelling units per acre for non -age restricted housing developments and 50 dwelling units per acre for age restricted housing developments.
a. The project is designed to a minimum of Leadership in Energy and Environmental Design (LEED) Silver standards.
b. The project is ¼ mile or less from a transit stop.
c. The project provides 50% or more of its paving surfaces as permeable. d. Trees are selected to be summer shading and planted in locations that achieve energy efficiencies through reducing the heat island effect by shading a minimum of 30% of paved surfaces at five years growth. e. There is at least a 25% increase in outdoor common areas and recreational space above that which would be required in the offset of a Cluster Development Permit.
f. All units include at least 300 cubic feet of storage area by increasing the garage size over the minimum size required by the City's Development Code or providing private accessory storage areas.
g. A community room of no less than 400 square feet is provided on-site.

3. General Provisions.
a. The applicant can select from only one of the income categories for which they seek a bonus density. The applicant cannot combine bonuses from different income categories.
b. When calculating the number of permitted bonus or affordable units, any calculations resulting in fractional units must be rounded to the next larger whole number.
c. The density bonus units may not be included when determining the number of affordable units necessary to qualify for a density bonus. [As an example, a residential project for which a density of 100 dwelling units would otherwise be allowable under the zoning will 41 Exhibit A

14 ZS20260002 PC Staff Report (kr)
qualify for a 20% density bonus by providing 10% or 10 dwelling units as affordable to low-income households. With the density bonus, the total project size will be 120 dwelling units, of which 10 dwelling units must be affordable to low-income households, and 20 dwelling units are the density bonus units.]
d. An applicant may request a lesser density bonus than the bonus to which a project is entitled, but no reduction will be permitted in the number of affordable units required.

e. The granting of any density bonus, incentive, or concession shall not in and of itself require the need for a general plan amendment, zone change, or other discretionary approval.

f. Applicants shall ensure continued affordability and/or age restrictions of units as follows:
i. The developer shall enter into a written Affordable Agreement or Senior Agreement with the City to either ensure continued affordability of the units or to maintain the availability of all senior units for a period of not less than 55 years.

ii. Rents for the low-income units shall be set at an affordable rent. iii. Owner-occupied affordable units shall be available at an Affordable Housing Cost.
g. When an applicant for a residential development approval donates land to the City for affordable housing, the housing development may be eligible for an additional density bonus, as specified in Government Code Section 65915(g).

h. A residential development which contains the requisite number of affordable units pursuant to the requirements of this Chapter and which contains a childcare facility may be eligible for an additional density bonus or incentive, as specified in Government Code Section 65915(h).

i. Condominium conversions qualifying as a Housing Project and containing the requisite number of affordable units may be eligible for a density bonus or incentive as specified in Government Code Section 65915.5.

B. Granting of Incentives or Concessions.

1. Quantity of Incentives or Concessions. When a developer agrees to build a housing development, the City shall grant incentives or concessions based upon the following table:

42 Exhibit A

15 ZS20260002 PC Staff Report (kr)
Requirements to Qualify for Incentives or Concessions
Income category Minimum percentage of units
needed to qualify for incentives or concessions
Very Low-Income 5% 10% 15%
Low-Income 10% 20% 30%
Moderate-Income (for-sale common
interest development only)
10% 20% 30%
Maximum Allowable Number of
Incentives or Concessions
1 2 3

2. Types of Concessions/Incentives. The following is an exclusive list of the concessions/incentives that may be requested:
a. Up to a 20% reduction in any of the following setbacks (each reduction is one concession):
i. Front yard setback.

ii. Rear yard setback.

iii. Side yard setback.

iv. Accessory structure setback.
b. Up to a 20% increase in the maximum allowed building height.

c. Up to a 20% decrease in on-site allowed structure separation (each individual building separation is one concession).

d. Up to a 20% decrease in minimum lot sizes.

e. Increase in allowed duplex units up to a maximum of 40% of the total number of units in the project.

f. Up to a 10% reduction in the required length of the driveway in front of the required garage parking.

g. Up to a 20% reduction in the required rear open yard area.

h. Up to a 20% increase in the maximum front yard paved area.

3. Decline to Grant. The City may decline to grant a requested incentive or concession if written findings based upon substantial evidence are made by the City Council stating any of the following:
a. The incentive or concession is not necessary in order to provide for affordable housing costs or affordable rents for the targeted units as defined in State Law.

43 Exhibit A

16 ZS20260002 PC Staff Report (kr)
b. The concession or incentive would have a specific adverse impact, as defined in paragraph (2) of subdivision (d) of Section 65589.5 of the Government Code, upon health, safety, or the physical environment, and for which there is no feasible method to satisfactorily mitigate or avoid the specific adverse impact.

c. The concession or incentive would have an adverse impact on any real property that is listed in the California Register of Historical Resources.

d. The concession or incentive would be contrary to State or Federal Law.

C. Waivers. An applicant may submit to the City a proposal for the waiver or reduction of development standards that will have the effect of physically precluding the construction of a housing development meeting the criteria of Section 9-31.020.A.1 of this Chapter, exclusive of any additional density bonus that may be granted under Section 9-31.020.A.2, or with the concession or incentives permitted under Section 9-31.020.B of this Chapter, and may request a meeting with the City.

Projects only qualify for a waiver if no feasible design alternatives or product types are available to construct the housing development in compliance with the development standard(s) requested to be waived. The City may decline to grant a requested waiver if:

1. The development standard for which a waiver is requested does not physically preclude the construction of the development of the project at the density allowed by Section 9-31.020.A.1 of this Chapter (exclusive of any additional density bonus allowed under Section 9-31.020.A.2 of this Chapter) or this allowed density can be obtained by altering the site design or product type proposed by the applicant;

2. The waiver or reduction would have a specific, adverse impact, as defined in paragraph (2) of subdivision (d) of Government Code Section 65589.5, upon health, safety, or the physical environment, and for which there is no feasible method to satisfactorily mitigate or avoid the specific adverse impact;

3. The waiver or reduction of a development standard would have an adverse impact on any real property that is listed in the California Register of Historical Resources; or

4. The waiver or reduction would be contrary to State or Federal Law. (Exh. A, Ord. 1157, eff. July, 22, 2010)

9-31.030 – Application

The procedures identified below contain information and requirements necessary for the submittal and evaluation of proposed affordable housing developments:

A. Application. Applicants for bonus density shall submit to the City an application for an affordable or senior housing development. The 44 Exhibit A

17 ZS20260002 PC Staff Report (kr)
application shall include all requested information, documentation, fees, and signatures before acceptance for review.

B. Required contents.

1. Proof of site ownership/control or property owner's signature or Power of Attorney; and

2. A complete pro forma for the proposed project. The required information shall be prepared in compliance with generally accepted accounting standards and shall include all information deemed necessary by the City for thorough evaluation of the proposal. Th e City may require the services of specialized financial consultants to review and corroborate the data in the pro forma and analysis. The applicant will be liable for all staff costs incurred in reviewing the documentation as well as those specified in the Schedule of Service Charges on file with the Department of Environmental Services.

(Exh. A, Ord. 1157, eff. July, 22, 2010)

9-31.030 Definitions

Unless the contrary is stated or clearly appears from the context, the following definitions govern the construction of the words and phrases used in this chapter . Terms and phrases used in this Chapter have the same meaning as defined by the Density Bonus Law. Undefined words and phrases have the same meaning as set forth in this code.

9-31.040 Bonus and Incentives

A. Housing developments qualifying under the Density Bonus Law may receive a bonus or concession pursuant to this chapter.

B. Where the density allowed under this code is inconsistent with the density allowed under the land use element of the General Plan, the maximum density allowed controls.

C. Before the Director issues a zoning clearance in accordance with this code, an applicant receiving bonuses or concessions under this chapter must execute and record an agreement, in a form approved by the City Attorney, securing the continued affordability of all required income -restricted dwelling units in accordance with the Density Bonus Law and this chapter.

D. All dwelling units benefitting from the bonuses or concessions under this chapter must be concurrently built in the same manner as market rates. All affordable units must be integrated and reasonably distributed throughout the approved project with the market rate units to ensure a reasonable mix of affordable and market rate units.
45 Exhibit A

18 ZS20260002 PC Staff Report (kr)

E. Density Calculation. The area of any land required to be dedicated for street or alley purposes may be included as lot area for purposes of calculating the maximum density permitted by the underlying zone in which the project is located.

9-31.050 Amenities

Residents of affordable units may not be charged for amenities not charged to other residents including, without limitation, access to recreational facilities, parking, fiber internet, and interior amenities/appliance package like dishwashers, microwave ov ens, washers and dryers. Optional services for all residents must be the same. Tenants of affordable units may not be required to purchase additional services.

9-31.060 Menu of Incentives

Applicants with projects qualifying for incentives may request one or more of the following incentives; the number of incentives being requested must be consistent with the Density Bonus Law unless otherwise authorized by the approving body. These incentiv es are supplemental and do not limit an applicant’s right to request other incentives, concessions, waivers, or reductions of development standards consistent with state law.

A. Additional density or height in designated areas. Limited additional density or height beyond the density bonus required by state law may be considered for qualifying housing developments located in areas identified in adopted City plans or regulations as appropriate for higher intensity or transit - supportive development, subject to applicable objective standards, required height transitions, and any caps or criteria.

B. Community benefit design flexibility. Targeted modifications to objective development or design standards, including without limitation, façade or frontage requirements, may be considered where a project provides clearly identified community benefits that are consistent with applicable objective standards and adopted City plans or policies, such as publicly accessible open space, enhanced streetscape improvements, or additional multimodal access features.

C. Open space and amenity tradeoffs. Limited reductions in required common open space may be considered where enhanced onsite amenities, podium- level or rooftop open space, or publicly accessible open spaces are provided and are consistent with applicable obj ective standards and adopted City goals and policies addressing open space and recreation.

46 Exhibit A

19 ZS20260002 PC Staff Report (kr)
D. Parking strategy flexibility. In locations identified in adopted City plans or regulations as appropriate for reduced or shared parking, shared parking arrangements, modified parking configurations, or limited reductions in parking requirements may be cons idered, provided that any minimum or maximum parking ratios required or permitted by the Density Bonus Law are satisfied and applicable objective access, circulation, and safety standards are met.

47 ATTACHMENT A
20 ZS20260002 PC Staff Report (kr)

NOTICE OF EXEMPTION
To: County Clerk From: City of Simi Valley
County of Ventura 2929 Tapo Canyon Road
800 S. Victoria Avenue Simi Valley, CA 93063
Ventura, CA 93001
Project Title: Z-S-2026-0002: Amendments to the Simi Valley Municipal Code regarding Density Bonuses and Incentives Provisions
Project Location - Specific: Citywide
Project Location - City: Simi Valley Project Location - County: Ventura Description of Project: Z-S-2026-0002 will amend the City’s Density Bonus and Incentives Provisions to be consistent with those requirements set forth in the State Density Bonus Law. The standards and regulations will be applied Citywide as prescribed in the City’s certified General Plan Housing Element , to assist the City in meeting its Regional Housing Needs Allocation (RHNA), as required by the State Housing Laws.

Name of Public Agency Approving Project: City of Simi Valley Date of Approval
Name of Person or Agency Carrying Out Project: City of Simi Valley Exempt Status: (check one)
Ministerial [Sec. 21080(b)(1); 15268];
Declared Emergency [Sec. 21080(b)(3); 15269(a)];
Emergency Project [Sec. 21080(b)(4);15269(b)(c)];
_ Categorical Exemption - State type and section number:

Statutory Exemptions - State code number:

X General Rule [Sec. 15061(b)(3); 15378; 15060(c)(2)]
Text of exemption and reasons why project is exempt:

This ordinance is exempt from additional environmental review under the California Environmental Quality Act (“California Public Resources Code §§ 21000, et seq., “CEQA”) and its implementing guidelines (14 California Code of Regulations §§ 15000, et seq.; “CEQA Guidelines”) because it will not result in either a direct or reasonably foreseeable indirect physical change in the environment (CEQA Guidelines § 15060(c)(2)), does not constitute a “project” as defined by CEQA (CEQA Guidelines § 15378), and it can be seen with certainty that there is no possibility that the Ordinance may have a significant effect on the environment (CEQA Guidelines § 15061(b)(3)). The Ordinance establishes general policies and procedures only, and any future development project subject to this Ordinance would be subject to its own, separate environmental review, as required.

Lead Agency Contact Person: Eric Chen Area Code/Telephone (805) 583-6773 Signature: _______________________ Date: _ _ Title: Senior Planner __ Eric Chen Dept. of Environmental Services
X Signed by Lead Agency
48 EXHIBIT 1

State of California

GOVERNMENT CODE
Section (§) 65915

49 (1;;\~~
~ STATE OF CALIFORNIA
L~:::,\::'.if' AUTHENTICATED
Bur ~u ELECTRONIC LEGAL MATERIAL
State of California

GOVERNMENT CODE
Section 65915
65915. (a) (1) When an applicant seeks a density bonus for a housing development within, or for the donation ofland 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 how compliance with this section will be implemented. Except as otherwise provided in subdivision (s), failure to adopt an ordinance shall not relieve a city, county, or city and county from complying with this section.
(2) A local government shall not condition the submission, review, 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 law, 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, as described in subdivision (b ), 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), provide 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.
(11) If the applicant requests a parking ratio pursuant to subdivision (p ), the parking ratio for which the applicant is eligible.
(111) If the applicant requests incentives 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 government to make a determination as to those incentives, concessions, 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 50 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 development, 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 development, 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 development, as defined in Sections 51.3 and 51.12 of the Civil Code, or a mobilehome park that limits residency based on age requirements for housing for older persons pursuant to Section 798. 76 or 799.5 of the Civil Code. For purposes of this subparagraph, "development" includes a shared housing building development and a residential care facility for the elderly, as defined in Section 1569.2 of the Health and Safety Code.
(D) Ten percent of the total dwelling units of a housing development are sold to persons and families of moderate income, as defined in Section 50093 of the Health and Safety Code, provided 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 McKinney-Vento Homeless Assistance Act (42 U.S.C. Sec. 11301 et seq.). The units described in this subparagraph are 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 lower income students in a student housing development that meets the following requirements:
(I) All units in the student housing development shall be used exclusively for undergraduate, graduate, or professional students enrolled currently or in the past six months in at least six units 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 done any one of the following:
51 (ia) 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 insufficient students enrolled in an institution of higher education to fill all units in the student housing development. (ib) Established a system for confirming its renters' status as students to ensure that all units of the student housing development are occupied with students from an institution of higher education.
(II) The applicable units in the student housing development for lower income students shall be used for and occupied by lower income students. (III) The rent provided in the applicable units of the development 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 shall provide priority for the applicable affordable units for lower income students experiencing homelessness. A homeless service provider, as defined in paragraph (3) of subdivision (e) of Section 103577 of the Health and Safety Code, or institution of higher education that has knowledge of a person's homeless status may verify a person's status as homeless for purposes of this subclause. (V) The student housing development is not located on a site that pursuant to paragraph (3) of subdivision (c) would require replacement units for projects with greater than a 35-percent density bonus.
(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 facilities. The units described in this subparagraph are subject to a recorded affordability restriction of 55 years, which shall not tie any rental bed reserved for lower income students to a specific bedroom.

Notwithstanding any other law, an affordability restriction provision, state or county law or policy, or property management policy shall not prevent a lower income student from sharing a room or unit with a nonlower income student. Any attempted waiver of the requirements of this clause is void as against public policy. (G) One hundred percent of all units in the development, including total units and density. bonus units, but exclusive of a manager's unit or units, are for lower income households, as defined by Section 50079.5 of the Health and Safety Code, except 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 affordability of all very low and low-income rental units 52 that qualified the applicant for the award 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 provided in clause (ii), rents for the lower 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 development, 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 development 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 development shall be set at an amount consistent with the maximum rent levels for lower 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 one of the following conditions:
(i) The unit is initially sold to and 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) If the unit is not purchased by an income-qualified person or family within 180 days after the issuance of the certificate of occupancy, the unit is purchased by a qualified nonprofit housing corporation that meets all of the following requirements pursuant to a recorded contract that satisfies all of the requirements specified in paragraph (10) of subdivision (a) of Section 402.1 of the Revenue and Taxation Code:
(I) The nonprofit corporation has a determination letter from the Internal Revenue Service affirming its tax-exempt status pursuant to Section 501(c)(3) of the Internal Revenue Code and is not a private foundation as that term is defined in Section 509 of the Internal Revenue Code.
(II) The nonprofit corporation is based in California.
(III) All of the board members of the nonprofit corporation have their primary residence in California.
(IV) The primary activity of the nonprofit corporation is the development and preservation of affordable home ownership housing in California that incorporates within their contracts for initial purchase a repurchase option that requires a subsequent purchaser of the property that desires to resell or convey 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 pursuant to an equity sharing agreement or affordability restrictions on the sale and conveyance of the property that ensure that the property will be preserved for lower income housing for at least 45 years for owner-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.
53 (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 Revenue and Taxation Code for properties intended to be sold to low-income families who participate in a special no-interest loan program.
(C) The local government 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 or may defer to the recapture provisions of the public funding source. The following apply to the equity sharing agreement:
(i) Upon resale, the seller of the unit shall retain the value of any improvements, the downpayment, 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 any of the purposes described in subdivision (e) of Section 33334.2 of the Health and Safety Code that promote home ownership.
( iii) For purposes of this subdivision, the local government's initial subsidy shall be equal to the fair market value of the home at the time ofinitial 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 government'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 would 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 home ownership for lower income households as defined by Section 50079.5 of the Health and Safety Code within the jurisdiction of the local government.
(3) (A) Except as provided in subclause (V) of clause (i) of subparagraph (F) of paragraph (1) of subdivision (b ), an applicant shall be ineligible for a density bonus or any other incentives or concessions under th_is section if the housing development is proposed on any property that inch,1des a parcel or parcels on which rental dwelling units are located or, if the dwelling units have been vacated or demolished in the five-year period preceding the application, have 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 any 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 54 income households, unless the proposed housing development replaces those units, and either of the following applies:
(i) The proposed housing development, 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 affordable to, and occupied by, either a lower or very low 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 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 those households in occupancy. If the income category of the household in occupancy 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. 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 occupancy. If the income category of the last household in occupancy is not known, it shall be rebuttably presumed that lower income renter households occupied these units in the same proportion oflower 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 affordability restriction for at least 55 years. If the proposed development 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 five-year period preceding the application, the proposed housing development shall provide at least the same number of units of equivalent size as existed 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 families in the same or lower income category as those persons and families 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 very low income renter households occupied these units in the same proportion of low-income and very low 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 55 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 development 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 was, within the five-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 families above lower income, the city, county, or city and county may do either of the following:
(i) Require that the replacement units be made available at affordable 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 development 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, provided 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, "equivalent 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 development 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 incentive 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 subdivision (k), to provide 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 subdivision (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 satisfactorily mitigate or avoid the specific, adverse impact without rendering the development unaffordable to low-income and moderate-income households.
(C) The concession or incentive would be contrary to state or federal law. (2) The applicant shall receive the following number of incentives or concessions:
56 (A) One incentive 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 lower 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 development 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 lower 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 development in which the units are for sale.
(D) Five 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 incentive or concession for projects that include at least 20 percent of the total units for lower income students in a student housing development. If a project includes at least 23 percent of the total units for lower income students in a student housing project, the applicant shall instead receive two incentives or concessions. (F) Four incentives or concessions for projects that include at least 16 percent of the units for very low income households or at least 45 percent for persons and families of moderate income in a development in which the units are for sale. (3) The applicant may initiate judicial proceedings if the city, county, or city and county refuses to grant a requested density bonus, incentive, 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 plaintiff reasonable attorney's fees and costs of suit. This subdivision shall not be interpreted to require a local government to grant an incentive or concession that has a specific, adverse 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, adverse impact. This subdivision shall not be interpreted to require a local government to grant an incentive or concession that would have an adverse impact on any rea l 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 burden 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 any 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 incentives permitted by this section. Subject to paragraph (3), an 57 applicant may submit to a city, county, or city and county a proposal for the waiver or reduction of development standards 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 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 o.f suit. This subdivision shall not be interpreted to require a local government to waive or reduce development standards if the waiver or reduction would have a specific, adverse 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, adverse impact. This subdivision shall not be interpreted to require a local government to waive or reduce development standards that would have an adverse impact on any real property that is listed in the California Register of Historical Resources, or to grant any waiver or reduction that would be contrary to state or federal law.
(2) A proposal for the waiver or reduction of development 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 subdivision (f) shall only be eligible for a waiver or reduction of development standards as provided 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 allowable 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 Low-Income Units
10 11
12 13
14 15
16 Percentage Density
Bonus
20 21.5
23 24.5
26 27.5
29 58
17 30.5
18 32
19 33.5
20 35
21 38.75
22 42.5
23 46.25
24 50
(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 Very Low Income Units
5 6
7 8
9 10
11 12
13 14
15 Percentage Density Bonus
20 22.5
25 27.5
30 32.5
35 38.75

42.5 46.25
50 (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 subdivision (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 subdivision (b ), the density bonus shall be calculated as follows:

Percentage Very Low Income Units
20 21
22 23
24 Percentage Density Bonus
35 38.75

42.5 46.25
50 59
(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 any maximum controls on density.
(iii) If the housing development is located in a very 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 Moderate-Income Units
10 11
12 13
14 15
16 17
18 19
20 21
22 23
24 25
26 27
28 29
30 31
32 33
34 35
Percentage Density Bonus
5 6
7 8
9 10
11 12
13 14
15 16
17 18
19 20
21 22
23 24
25 26
27 28
29 30
60 36 31
37 32
38 33
39 34
40 35
41 38.75
42 42.5
43 46.25
44 50
(5) All density calculations resulting in fractional units shall be rounded up to the next 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 subdivision, the applicant shall be entitled to a 15-percent increase above the otherwise maximum allowable residential density for the entire development, as follows:

Percentage Very Low Income Percentage Density Bonus
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
61 (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 3 5 percent if an applicant seeks an increase pursuant to both this subdivision and subdivision (b ). All density calculations resulting in fractional units shall be rounded up to the next whole number. Nothing in this subdivision shall be construed to enlarge 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 approval of the final subdivision 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 served by adequate public facilities and infrastructure. (D) The transferred land shall have all of the permits and approvals, other than building permits, necessary for the development of the ve1y 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 review to the extent authorized by subdivision (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 affordable units shall be subject to a deed restriction ensuring continued affordability of the units consistent with paragraphs (1) and (2) of subdivision ( 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 agency agrees, within one-quarter mile of the boundary of the proposed development.
(H) A proposed source offunding for the very low income units shall be identified not later than the date of approval of the final subdivision 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:
62 (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 r~quired 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 very 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 provide 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 family daycare home, including, but not limited to, infant centers, preschools, extended daycare facilities, 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 development" also includes a subdivision or common interest development, as defined in Section 4100 of the Civil Code, approved by a city, county, or city and county and consists of residential units or unimproved residential lots and either a project to substantially rehabilitate and convert an existing commercial building to residential use or the substantial rehabilitation of an existing multifamily dwelling, as defined in subdivision (d) of Section 65863.4, where the result of the rehabilitation would be a net increase in available 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 individual 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 lower 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. For purposes of this subdivision, "study" does not include reasonable documentation to establish eligibility for the concession or incentive or to demonstrate that the incentive or concession meets the definition set forth in subdivision (k). This provision is declaratory of existing law. (2) Except as provided in subdivisions ( d) and ( e ), the granting of a density bonus shall not require or be interpreted to require the waiver of a local ordinance or provisions of a local ordinance unrelated to development standards. 63 (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 exceed 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 would otherwise be required that results 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 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 targeted units to be set as specified in subdivision (c).
([) (1) (A) A concession or incentive shall not result in a proposed project with a commercial floor area ratio that is greater than two and a half times the premises' current allowed base zone commercial floor area ratio.
(B) This paragraph shall not apply to proposed projects that have submitted a preliminary application or an entitlement application prior to January 1, 2026. (2) Subdivisions (e) and (k) do not require a city, county, or city and county to approve, to grant a concession or incentive requiring approval of, or to waive or reduce development standards otherwise applicable to, a hotel, motel, bed and breakfast inn, or other transient lodging, other than a residential hotel, as defined in Section 50519 of the Health and Safety Code, as part of a housing development subject to this section.

For purposes of this paragraph, "other transient lodging" does not include a resident's use or marketing of their unit as short.;.term lodging, as defined in Section 17568.8 of the Business and Professions Code, subsequent to the issuance of a certificate of occupancy in a manner otherwise consistent with local law. (3) Subdivision (k) does not limit or require the provision of direct financial incentives for the housing development, including the provision 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 any way alter or lessen the effect or application of the California Coastal Act of 1976 (Division 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 64 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, c.ounty, 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 Mateo, Santa Barbara, Santa Clara, Solano, Sonoma, and Ventura, and the City and County of San Francisco.
(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 that is adopted by the local government or that is enacted by the local government's electorate exercising its local initiative or referendum power, whether that power is derived from the California Constitution, statute, or the charter or ordinances of the local government.
(3) "Located within one-half mile of a major transit stop" means that any point on a proposed development, for which an applicant seeks a density bonus, other incentives or concessions, waivers or reductions of development standards, or a vehicular 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 owned 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 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 provided by the institution of higher education in which the student is enrolled or by the Student Aid Commission that the student receives or is eligible for financial aid, including an institutional grant or fee waiver from the college or university, the 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 greatest 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 greatest number of units allowed by the specific zoning range, specific plan, or land use element of the general plan applicable to the project. Density shall be determined using dwelling 65 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 development 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 any nonresidential component, and parking requirements, unless not required for the base project. Parking 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 average 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 apply to the extent 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, provided 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) (i) "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 Regulations), 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 beyond the requirements established in this section, the local definition shall apply to the extent that it does not conflict with the requirements of this section.
(ii) "Shared housing unit" for purposes of a residential care facility for the elderly, as defined in Section 1569 .2 of the Health and Safety Code, includes a unit without an individual kitchen where a unit may be shared by unrelated persons, and a unit where a room that may be shared by unrelated persons meets the "minimum room area" requirements of clause (i).
(8) "Student housing development" means a development that contains bedrooms containing two or more bedspaces that have a shared or private bathroom, access to 66 a shared or private living room and laundry facilities, and access to a shared or private kitchen.
(9) (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 awarded pursuant to this section or any local law granting a greater density bonus.
(ii) Includes a unit designated to satisfy an inclusionary zoning requiremeni 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.
( 10) "Very low vehicle travel area" means an urbanized area, as designated by the United States Census Bureau, where the existing residential development generates vehicle miles traveled per capita that is below 85 percent of either regional vehicle miles traveled per capita or city vehicle miles traveled per capita. For purposes of this paragraph, "area" may include a travel analysis zone, hexagon, or grid. For the purposes of determining "regional vehicle miles traveled 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 organization, or the entirety of the incorporated and unincorporated areas of an individual county that is not part of a metropolitan planning organization.
(p) (1) Except as provided 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 development meeting the criteria of subdivisions (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. (D) One bedspace in a student housing development: zero parking spaces. (2) (A) Notwithstanding paragraph (1), if a development includes at least 20 percent low-income units for housing developments meeting the criteria of subparagraph (A) of paragraph (1) of subdivision (b) or at least 11 percent very low income units for housing developments 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 development, 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 exceeds 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 developer, a city, county, or city and county shall not 67 impose a vehicular parking ratio, inclusive of parking for persons with a disability and guests, that exceeds 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. For purposes of this subparagraph, "natural or constructed impediments" includes, but is not limited to, freeways, rivers, mountains, and bodies of water, but does not include residential structures, shopping centers, parking lots, or rails used for transit.
(3) Notwithstanding paragraph (1), if a development meets the criteria of subparagraph ( G) of paragraph (1) of subdivision (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 Civil Code and the development has either paratransit service or unobstructed access, within one-half mile, to fixed 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 supportive housing development, as defined in Section 50675.14 of the Health and Safety Code. A development that is a special needs housing development 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 development is other than a whole number, the number shall be rounded up to the next whole number. For purposes of this subdivision, a development may provide onsite parking through tandem parking or uncovered parking, but not through onstreet parking. (5) This subdivision shall apply to a development that meets the requirements of subdivisions (b) and ( c ), but only at the request of the applicant. An applicant may request parking incentives 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 areawide 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, walkability 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 68 seniors and special needs individuals. The city, county, or city and county shall pay the costs of any 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 any density calculation, including base density and bonus density, resulting in fractional units shall be separately rounded up to the next whole number. The Legislature finds and declares that this provision is declaratory of existing law.
(r) This chapter shall be interpreted liberally in favor of producing the maximum number of total housing units.
(s) Notwithstanding any other law, 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 incentivizes the development of affordable housing that allows 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 subdivision, and is exempt 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 and county shall not require any minimum unit size requirements or minimum bedroom requirements that are in conflict with paragraph (7) of subdivision ( o ).
(u) (1) The Legislature finds and declares that the intent behind the Density Bonus Law is to allow public entities to reduce or even eliminate subsidies for a particular project by allowing 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 cover at least some of the financing gap of affordable 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 Law by the act adding this subdivision 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 developer are balanced with the receipt of a public benefit in the form of adequate levels of affordable housing. The Legislature further intends that these modifications will ensure that the Density Bonus Law creates incentives for the construction of more housing across all areas of the state. 69 (v) (1) Provided that the resulting housing development would not restrict more than 50 percent of the total units to moderate-income, lower income, or very low income households, a city, county, or city and county shall grant an additional density bonus calculated pursuant to paragraph (2) when an applicant proposes to construct a housing development that conforms to the requirements of paragraph (1) of subdivision (b ), agrees to include additional rental or for-sale units affordable to very low income households or moderate-income households, and meets any of the following requirements:
(A) The housing development conforms to the requirements of subparagraph (A) of paragraph ( 1) of subdivision (b) and provides 24 percent of the total units to lower income households.
(B) The housing development conforms to the requirements of subparagraph (B) of paragraph ( 1) of subdivision (b) and provides 15 percent of the total units to very low income households. ·
(C) The housing development conforms to the requirements of subparagraph (D) of paragraph (1) of subdivision (b) and provides 44 percent of the total units to moderate-income households.
(2) A city, county, or city and county shall grant an additional density bonus for a housing development that meets the requirements of paragraph ( 1 ), calculated as follows:

Percentage Very Low Income Units
5 6
7 8
9 10
Percentage Moderate-Income Units
5 6
7 8
9 10
11 12
13 14
15 Percentage Density Bonus
20 23.75

27.5 31.25
35 38.75
Percentage Density Bonus
20 22.5
25 27.5
30 32.5
35 38.75

42.5 46.25
50 (3) The increase required by paragraphs (1) and (2) shall be in addition to any increase in density granted by subdivision (b ).
70 ( 4) The additional density bonus required under this subdivision shall be calculated using the number of units excluding any density bonus awarded by this section. (Amended by Stats. 2025, Ch. 486, Sec. 1.5. (AB 87) Effective January 1, 2026.) 71

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