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CC SR 20170905 E - Letter Opposing SB 35RANCHO PALOS VERDES CITY COUNCIL AGENDA REPORT AGENDA DESCRIPTION: MEETING DATE: 09/05/2017 AGENDA HEADING: Consent Calendar Consideration and possible action to oppose (unless amended) Senate Bill No. 35 regarding streamlined permitting of multifamily housing RECOMMENDED COUNCIL ACTION: (1) Authorize the Mayor to sign a letter to the State Legislature in opposition (unless amended) to Senate Bill No. 35 (SB 35) regarding streamlined permitting of multifamily housing. FISCAL IMPACT: None Amount Budgeted: N/A Additional Appropriation: N/A Account Number(s): N/A ORIGINATED BY: Kit Fox, AICP, Senior Administrative Analyst;/:,_ REVIEWED BY: Gabriella Yap, Deputy City Manager APPROVED BY: Doug Willmore, City Manager :`'3... F ATTACHED SUPPORTING DOCUMENTS: A. Draft letter in opposition to SB 35 (page A-1) B. League of California Cities "Action Alert" and letter in opposition to SB 35 (page B-1) C. SB 35 (page C-1) BACKGROUND AND DISCUSSION: On August 18, 2017, the League of California Cities (League) advised Staff that Senate Bill No. 35 (SB 35) would be taken up again by the State Legislature when it returned from its summer recess on August 21, 2017 (Attachment B). SB 35 was introduced on February 21, 2017, by Senator Scott Wiener from San Francisco. As currently proposed, SB 35 would require streamlined, ministerial permits for qualifying housing projects if a city doesn't provide the numbers of housing units required in categories of its Regional Housing Needs Allocation (RHNA). "Streamlining" would include the elimination of public hearing and environmental review processes for certain multifamily housing projects in nearly all California cities with more than 2,500 residents. The League is opposed to SB 35 (Attachment C) and has asked cities to express their opposition to the bill as well. 1 SB 35 has been characterized as a measure targeting "bad actor" jurisdictions that fail to approve enough housing to meet their RHNA numbers. However, SB 35 dodges the reality that state and federal affordable housing funding have slowed to a trickle. More than $1 billion annually in affordable housing money has evaporated with the elimination of redevelopment agencies in 2011. This massive withdraw of resources has contributed to the current challenges, but no significant source of ongoing affordable housing funding is on the horizon. Forcing nearly all communities with a population over 2,500 to "streamline" housing approvals by eliminating opportunities for environmental and public review of major multifamily developments goes against the principles of local democracy and public engagement. Public engagement also often leads to better projects, but not having such outlets will increase public distrust in government. The League argues that, at a minimum, SB 35 should be amended to provide a "safe harbor" for "good actor/pro-housing" jurisdictions that: • Have not violated the State's housing laws in the last five years; • Approved all submitted housing projects that have been submitted on sites identified in its housing element inventory; • Have not reduced density of housing project below density as submitted by developer on initial application; • Have implemented the programs in its housing element in accordance with schedule in housing element; • Have completed any rezoning required by housing element within 2 years of adoption of housing element; and, • Can demonstrate that it did not receive applications for housing units that would have allowed it to issue building permits equal to the city's share of RHNA by income category for that reporting period. In light of the adverse impacts that the enactment of SB 35 could have upon the City, Staff has prepared a letter in opposition to the bill for the Mayor's signature (Attachment A). If approved, Staff will immediately transmit this letter to the State Legislature and the League. ALTERNATIVES: In addition to the Staff recommendation, the following alternative action is available for the City Council's consideration: Do not authorize the Mayor to sign the letter in opposition to SB 35. 2 September 5, 2017 The Honorable Kevin de Leon President pro Tempore California State Senate State Capitol Building, Room 205 Sacramento, CA 95814 VIA FAX: (916) 651-4924 The Honorable Anthony Rendon Speaker California State Assembly State Capitol Building, Room 219 Sacramento, CA 95814 VIA FAX: (916) 319-2163 SUBJECT: SB 35 (Wiener) Affordable Housing: Streamlined Approval Process. Notice of Opposition (as amended 7/14/17) Dear President pro Tempore de Leon and Speaker Rendon: The City of Rancho Palos Verdes is opposed to SB 35 (Wiener), which would pre-empt local discretionary land use authority by making approvals of multifamily developments, that meet inadequate criteria, "ministerial" actions, thus bypassing the California Environmental Quality Act (CEQA) and public input. SB 35 has been characterized as a measure targeting "bad actor" jurisdictions that fail to approve enough housing to meet their Regional Housing Needs Allocation (RHNA) in all four income categories. However, SB 35 dodges the reality that state and federal affordable housing funding have slowed to a trickle. More than $1 billion annually in affordable housing money has evaporated with the elimination of redevelopment agencies in 2011. Funds from the 2006 state housing bond have been exhausted and federal dollars have been declining for decades. This massive withdraw of resources has contributed to the current challenges, yet no significant source of ongoing affordable housing funding is on the horizon. Forcing nearly all comm itiesvith a population over 2,500 to "streamline" housing approvals by eliminating opportunities for environmental and public review of major multifamily developments goes against the principles of local democracy and public engagement. While frustrating for some to address neighborhood concerns about traffic, parking and other development impacts, those directly affected by such projects have a right to be heard. Public engagement also often leads to better projects. Not having such outlets will increase public distrust in government and additional ballot measures dealing with growth management. At a minimum, SB 35 should be amended to provide a "Safe Harbor" for "Good Actor/Pro-Housing" jurisdictions that: Have not violated the State's housing laws in the last five years; Approved all submitted housing projects that have been submitted on sites identified in its housing element inventory: A-1 • Have not reduced density of housing project below density as submitted by developer on initial application: • Have implemented the programs in its housing element in accordance with schedule in housing element; • Have completed any rezonings required by housing element within 2 years of adoption of housing element; and, • Can demonstrate that it did not receive applications for housing units that would have allowed it to issue building permits equal to the city's share of RHNA by income category for that reporting period. For these reasons, the City of Rancho Palos Verdes opposes SB 35. Sincerely, Brian Campbell Mayor 4i cc: Senator Ben Allen, 26th District (VIA FAX: (916) 651-4926) Assembly Member Al Muratsuchi, 66th District (VIA FAX: (916) 319-2166) Jeff Kiernan, League of California Cities Meg Desmond, League of California Cities A-2 From: Jeff Kiernan To: Jeff Kiernan Subject: What to Expect When the Legislature Returns to Sacamento Next Week Date: Friday, August 18, 2017 12:41:32 PM Attachments: SB 649 - Myth v Fact.odf SB 649 Not So Small Cell Examples.pdf Happy Friday Mayors, Council Members, City Staff, & Local Government Stakeholders: The legislature returns from summer recess on Monday and there are still a number of critical issues that cities should keep a watchful eye on as legislators get back to work for the last four weeks of their 2017 legislative session (end of session is September 15). 1 hope this email can serve as a refresher of sorts for several of those issues, including SB 649 (Hueso) Small Cells and the many housing bills, which are likely to be taken up as a package soon after they return. The League's CA Cities Advocate from today also focuses in on the legislature with an important look at the upcoming bills in committee next week, our updated hot bills, and the housing package. I. SB 649 (Hueso) Small Cells, aka Wireless Telecommunications Facilities: This bill is currently in the Assembly Appropriations Committee which has scheduled a hearing on this bill for Wednesday, August 23 and which must send all bills to the Floor by Friday, September 1. The League opposes SB 649 for many reasons including that this bill: requires local governments to lease out public property for cellular technology; it caps the amount that cities can charge for these leases at $250 while eliminating our ability to negotiate alternative public benefits; and eliminates all public input and discretionary review These changes are significant because: • The bill allows for antennas as large as 6 cubic feet, and ground mounted equipment totaling a whopping 35 cubic feet, with no size or quantity limitations for a host of "ancillary' equipment. • To be clear, because this equipment can already go up on utility poles, this bill goes after street lights, traffic lights, and public buildings such as libraries where communities currently have a say. • Gives the wireless industry too much control over public infrastructure without imposing any meaningful requirements that they use the facilities appropriately. More than 250 cities(!) have already officially opposed this bill and yet the telecommunications industry lobby carries so much weight that this bill has received just 3 no votes as it has sailed through the Senate and five committees. Cities have a responsibility to protect public property and to condition fair use over taxpayer assets. Unlike the wireless industry, cities are not driven by profit, but by the public services we strive to deliver — from police, fire, libraries, infrastructure, and parks. Despite promises made by the wireless industry, this bill does nothing to require the technology meet 5G, that it gets deployed to unserved/underserved areas, and that whatever cost savings they see from this bill are passed onto their customers. Make sure that your voice — and the voice of your residents — are heard in Sacramento. Tell As legislators that SB 649 is the wrong answer for California. SB 649 Resources: • City SAMPLE Oppose Letter to Approps Chair • League's Opposition Letter to Approps Chair • CapitolTrack SB 649 Page w League Letters & Current Status • Myth vs. Fact (attached) • Not So Small Cell Examples (attached) II. Housing Legislation: The Governor and legislative leaders had hoped to pass a comprehensive housing package before they left on their summer recess, but they couldn't agree on additional funding or a reduction of local regulations (which the Governor has said must be included in order for him to agree to additional funding). The League is supporting a Blueprint for More Housing which includes a package of 3 bills: • SB 540 (Roth) Workforce Housing Opportunity Zones: This League sponsored bill streamlines the housing approval process by having cities and counties identify priority housing areas where enhanced planning, necessary environmental reviews and public engagement would occur at the front-end allowing all qualifying projects within the zone to proceed without individual project EIRs for a period of five years. These Workforce Housing Opportunity Zones would focus on workforce and affordable housing in areas close to jobs and transit and conform to California's greenhouse gas reduction laws. • SB 2 (Atkins) Building Homes and Jobs Act: Imposes a fee of $75 recordation on specified real estate documents to generate hundreds of millions of dollars per year for affordable housing, supportive housing, emergency shelters, and transitional housing. This bill has faced difficulty gaining traction, but would be a critical permanent source of funding, albeit just a drop in the bucket of the funds that are actually needed to support affordable housing development. • SB 3 (Beall) Affordable Housing Bond Act of 2018: Authorizes a $3 billion general obligation bond to fund affordable housing programs and infill infrastructure projects including multifamily housing, CalHome, Joe Serna Farmworker Housing, Local Housing Trust Fund Matching Grant, BEGIN, and TODs. A bill which is not part of the League's Blueprint for More Housing, but is very much a part of the Governor's proposed package is SB 35 (Weiner). This bill is a revamped version of the by -right housing proposal from last year and will require streamlined, ministerial permits for qualifying housing projects if your city doesn't meet the housing numbers in ALL categories of your regional housing need allocations, i.e. RHNA numbers. As you likely already know the League is very much opposed to this bill... SB 35 seeks to streamline housing approvals by eliminating public input, prohibiting CEQA, and removing nearly all local discretion. Specifically, this measure: • Applies to multifamily housing developments containing two or more units. • Prohibits parking requirements if the development is within one-half mile of public transit, located within a historic district, or has a car share service within one block. • Limits zoning and design review. Folow LRIFAI • Requires prevailing wage(!). SB 35 doesn't make sense because it: • Uses the Regional Housing Needs Allocation (RHNA) as one metric to determine if a city must comply. If a city doesn't approve enough housing units in the first half (four years) or the last half (remaining 4 years) of the RHNA cycle in all four income categories, a city must approve housing projects with no environmental review. With redevelopment eliminated and the state reluctant to approve any funding for affordable housing, all of the above communities can expect to be subject to being deemed "bad actors" by the state for not producing low income and very low income housing to match state quotas. • Ignores local housing market conditions and punishes even those communities with progressive affordable housing policies. Realizing that the Governor is going to require this bill pass in order to provide any additional funding for housing, the League has proposed amendments to provide "Safe Harbor" for those jurisdictions that meet the following criteria: No violations, within the last five years, of the Housing Accountability Act (Government Code 655859.5), Mitigation Fee Act (Government Code 66000), density bonus (Government Code 65915), no net loss (Government Code 65863), anti -discrimination provisions (Government Code 65008). Jurisdiction has approved all submitted housing projects that have been submitted on sites identified in its housing element inventory. Jurisdiction has not reduced density of housing project below density as submitted by developer on initial application Jurisdiction implemented the programs in its housing element in accordance with schedule in housing element. Jurisdiction completed any re -zonings required by housing element within 2 years of adoption of housing element. Jurisdiction can demonstrate that it did not receive applications for housing units that would have allowed it to issue building permits equal to the city's share of RHNA by income category for that reporting period. Housing Resources: • SB 540 SAMPLE Support Letter • SB 2 SAMPLE Support Letter • SB 3 SAMPLE Support Letter • Blueprint for More HousingPortal • SB 35 SAMPLE Opposition Letter Please let me know if you have any questions or feedback on these or any issues. Thanks for reading! Jeff Jeffrey Kiernan Regional Public Affairs Manager League of California Cities® 8581 Santa Monica Blvd. #325 West Hollywood, CA 9oo69 Cell: (31o) 630-7505 IA LL E AIGU E° CITIES July 5 2017 1400 K Street, Suite 400 • Sacramento, California 95814 Phone: 916.658.8200 Fax: 916.658.8240 www.cacities.org The Honorable David Chiu, Chair Assembly Committee on Housing and Community Development 1020 N Street, Room 162 Sacramento, CA 95814 RE: SB 35 (Wiener) Affordable Housing: Streamlined Approval Process. Notice of Opposition (as amended 7/05/17) Dear Chair Chiu: The League of California Cities is writing to oppose SB 35 (Wiener), which would preempt local discretionary land use authority by making approvals of multifamily developments that meet inadequate criteria, "ministerial" actions. Like the flawed By -Right proposal from last year, this measure would rely on often outdated community plans and would compromise critical project level environmental review, public input, and community integrity. The League of California Cities agrees that California is facing a housing supply and affordability crisis. In fact, one the League's four strategic goals for 2017 is focused on improving the affordability of workforce housing and securing additional funds for affordable housing. Unfortunately, SB 35 as recently amended is not the balanced proposal that is needed to provide meaningful relief from soaring home prices. SB 35 is purported to be a response to the state's needs for market rate and affordable housing. However, it sidesteps the reality that state and federal affordable housing funding have slowed to a trickle. More than $1 billion annually in affordable housing money has evaporated with the elimination of redevelopment agencies in 2011. Funds from the 2006 state housing bond have been exhausted and federal dollars have been declining for decades. This massive withdraw of resources has contributed to the current challenges, yet no significant source of ongoing affordable housing funding is on the horizon. It is very important to note that there are many laws related to housing planning and approvals that are already on the books. The Housing Accountability Act requires local governments to approve affordable housing projects with very limited exceptions. Local governments cannot deny housing projects just because residents object to the proposal. Eliminating opportunities for public review of major multifamily developments goes against the principles of local democracy and public engagement. Public hearings allow members of the community to inform their representatives of their support or concerns. "Streamlining" in the context of SB 35 appears to mean a shortcut around public input. While it may be frustrating for some developers to address neighborhood concerns about traffic, parking and other development impacts, those directly affected by such projects have a right to be heard. Public engagement also often leads to better projects. Not having such outlets will increase public distrust in government and additional ballot measures dealing with growth management. SB 35 would also completely exempt multifamily projects from CEQA, undermining one of the state's premier environmental protection laws. While these laws have their critics and issues, most would acknowledge that they have made enormous contributions to the environment and quality of life. If there are issues with these laws then they must be addressed, not ignored with preference to work around the edges. The League of California Cities is supporting various legislative efforts this year to develop and restore affordable housing funding, and to streamline housing approvals without undermining important environmental review and public engagement. Proposals include SB 2 (Atkins), which would charge new fees on real estate documents, SB 3 (Beall), which would authorize a $3 billion general obligation housing bond, and SB 540 (Roth), which would streamline housing project approvals by developing up -front specific plans and conducting all associated environmental studies on areas designated by local governments. While the League commends the author for being a strong affordable housing advocate, SB 35 currently falls short. The League is committed to working collaboratively on finding comprehensive solutions to the housing supply and affordability crisis gripping many areas of the state. However, in its present form, the League must oppose SB 35. If you have any questions, please do not hesitate to contact me at (916) 658-8264. Sincerely, la -L -- Jason Rhine Legislative Representative cc: Senator Scott Wiener Members, Assembly Committee on Housing and Community Development Lisa Engel, Chief Consultant, Assembly Committee on Housing and Community Development William Weber, Consultant, Assembly Republican Caucus AMENDED IN ASSEMBLY JULY 14, 2017 AMENDED IN ASSEMBLY JULY 5, 2017 AMENDED IN ASSEMBLY JUNE 20, 2017 AMENDED IN SENATE MAY 26, 2017 AMENDED IN SENATE APRIL 4, 2017 AMENDED IN SENATE MARCH 21, 2017 AMENDED IN SENATE MARCH 9, 2017 AMENDED IN SENATE FEBRUARY 21, 2017 SENATE BILL No. 35 Introduced by Senator Wiener (Principal coauthor: Senator Atkins) (Coauthors: Senators Allen and Vidak) (GoaW-hor. Assembly Membef Caballero) (Coauthors: Assembly Members Caballero, Dahle, Gloria, Grayson, Santiago, Arambula, Bonta, and Gipson) December 5, 2016 An act to amend Sections 65400 and 65582.1 of, and to add and repeal Section 65913.4 to, the Government Code, relating to housing. LEGISLATIVE COUNSEL'S DIGEST SB 35, as amended, Wiener. Planning and zoning: affordable housing: streamlined approval process. (1) The Planning and Zoning Law requires a city or county to adopt a general plan for land use development within its boundaries that includes, among other things, a housing element. The Planning and Revised 7-21-17—See last page. 91 C-1 SB 35 —2— Zoning 2— Zoning Law requires a planning agency, after a legislative body has adopted all or part of a general plan, to provide an annual report to the legislative body, the Office of Planning and Research, and the Department of Housing and Community Development on the status of the general plan and progress in meeting the community's share of regional housing needs. Existing law requires the housing element portion of the annual report to be prepared through the use of forms and definitions adopted by the departmentpursuant to the Administrative Procedure Act. This bill would require the housing element portion of the annual report to be prepared through the use of standards, forms, and definitions adopted by the department. The bill would eliminate the requirement that the forms and definitions be adopted by the department pursuant to the Administrative Procedure Act and would instead authorize the department to review, adopt, amend, and repeal the standards, forms, or definitions, as provided. The bill would also require the planning agency to include in its annual report specified information regarding units of net new housing, including rental housing ander ownership,designated for home for -sale housing that have been issued an a completed entitlement, building permit, or certificate of occupancy. The bill would also require the Department of Housing and Community Development to post an annual report submitted pursuant to the requirement described above on its Internet Web site, as provided. (2) Existing law requires an attached housing development to be a permitted use, not subject to a conditional use permit, on any parcel zoned for multifamily housing if at least certain percentages of the units are available at affordable housing costs to very low income, lower income, and moderate -income households for at least 30 years and if the project meets specified conditions relating to location and being subject to a discretionary decision other than a conditional use permit. Existing law provides for various incentives intended to facilitate and expedite the construction of affordable housing. This bill would authorize a development proponent to submit an application for a multifamily housing development4h-at which satisfies specified planning objectives standards, is subject to a streamlined, ministerial approval process, as provided, and note subject to a conditional use permit. The bill would require a local government to notify the development proponent in writing if the local government determines that the development conflicts with any of those objective standards by a specified time; otherwise, the development is deemed 91 C-2 — 3 — SB 35 to comply with those standards. The bill would limit the authority of a local government to impose parking standards or requirements on a streamlined development approved pursuant to these provisions, as provided. The bill would provide that if a local government approves a project pursuant to that process, that approval will not expire if that project includes investment in housing affordability, and would otherwise provide that the approval of a project expire automatically after 3 years, unless that project qualifies for a one-time, one-year extension of that approval. The bill would provide that approval pursuant to its provisions would remain valid for three years and remain valid thereafter so long as vertical construction of the development has begun and is in progress, and would authorize a discretionary one-year extension, as provided. The bill would prohibit a local government from adopting any requirement that applies to a project solely or partially on the basis that the project receives ministerial or streamlined approval pursuant to these provisions. The bill would repeal these provisions as ofJanuary 1, 2026 (3) The bill would make findings that ensuring access to affordable housing is a matter of statewide concern and declare that its provisions would apply to all cities and counties, including a charter city, a charter county, or a charter city and county. (4) By imposing new duties upon local agencies with respect to the streamlined approval process and reporting requirement described above, this bill would impose a state -mandated local program. The The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement. This bill would provide that no reimbursement is required by this act for a specified reason. (5) This bill would incorporate additional changes to Section 65400 of the Government Code proposed by AB 879 to be operative only if this bill and AB 879 are enacted and this bill is enacted last. This bill would incorporate additional changes to Section 65582.1 of the Government Code proposed by AB 73 to be operative only if this bill and AB 73 are enacted and this bill is enacted last. Vote: majority. Appropriation: no. Fiscal committee: yes. State -mandated local program: yes. 91 C-3 SB 35 The people of the State of California do enact as follows: 1 SECTION 1. Section 65400 of the Government Code is 2 amended to read: 3 65400. (a) After the legislative body has adopted all or part 4 of a general plan, the planning agency shall do both of the 5 following: 6 (1) Investigate and make recommendations to the legislative 7 body regarding reasonable and practical means for implementing 8 the general plan or element of the general plan, so that it will serve 9 as an effective guide for orderly growth and development, 10 preservation and conservation of open -space land and natural 11 resources, and the efficient expenditure of public funds relating to 12 the subjects addressed in the general plan. 13 (2) Provide by April 1 of each year an annual report to the 14 legislative body, the Office of Planning and Research, and the 15 Department of Housing and Community Development that includes 16 all of the following: 17 (A) The status of the plan and progress in its implementation. 18 (B) The progress in meeting its share of regional housing needs 19 determined pursuant to Section 65584 and local efforts to remove 20 governmental constraints to the maintenance, improvement, and 21 development of housing pursuant to paragraph (3) of subdivision 22 (c) of Section 65583. 23 The housing element portion of the annual report, as required 24 by this paragraph, shall be prepared through the use offs 25 standards, forms, and definitions adopted by the Department of 26 Housing and Community 27 28 (eommeneing with Seetion 11340) of Part 1 of Division 3 of Title 29 Development. The department may review, adopt, amend, and 30 repeal the standards, forms, or definitions, to implement this 31 article. Any standards, forms, or definitions adopted to implement 32 this article shall not be subject to Chapter 3.5 (commencing with 33 Section 11340) or Part I of Division 3 of Title 2. Before and after 34 adoption of the forms, the housing element portion of the annual 35 report shall include a section that describes the actions taken by 36 the local government towards completion of the programs and 37 status of the local government's compliance with the deadlines in 38 its housing element. That report shall be considered at an annual 91 C-4 -5— SB 35 1 public meeting before the legislative body where members of the 2 public shall be allowed to provide oral testimony and written 3 comments. 4 The report may include the number of units that have been 5 substantially rehabilitated, converted from nonaffordable to 6 affordable by acquisition, and preserved consistent with the 7 standards set forth in paragraph (2) of subdivision (c) of Section 8 65583.1. The report shall document how the units meet the 9 standards set forth in that subdivision. 10 (C) The degree to which its approved general plan complies 11 with the guidelines developed and adopted pursuant to Section 12 65040.2 and the date of the last revision to the general plan. 13 (D) The number of net new units of housing, including both 14 rental housing andhottsing desinated for home erwnership-,for-sale 15 housing, that have been issued—an a completed entitlement, a 16 building permit, or a certificate of occupancy, thus far in the 17 housing element cycle, and the income category, by area median 18 income category, that each unit of housing, including both rental 19 housing and housing designated for home ownership, satisfies. 20 That production report shall, for each income category described 21 in this subparagraph, distinguish between the number of rental 22 housing units and the number 23 of for -sale housing units that are hottsing des ignated for home 24 fmership that satisfy each income category. The production report 25 shall include, for each entitlement, building permit, or certificate 26 of occupancy, a unique site identifier,sttehas street address, 27 which must include an 28 assessor's parcel number, but may also include street address or 29 other identifiers. 30 (E) The number of applications submitted pursuant to 31 subdivision (a) of Section 65913.4, the location and the total 32 number of developments approved pursuant to subdivision (b) of 33 Section 65913.4, the total number of building permits issued 34 pursuant to subdivision (b) of Section 65913.4, the total number 35 of units including both rental housing and for -sale housing by area 36 median income category constructed using the process provided 37 for in subdivision (b) of Section 65913.4. 38 (E-) 91 C-5 SB 35 I (F) The Department of Housing and Community Development 2 shall post a report submitted pursuant to this paragraph on its 3 Internet Web site within a reasonable time of receiving the report. 4 (b) If a court finds, upon a motion to that effect, that a city, 5 county, or city and county failed to submit, within 60 days of the 6 deadline established in this section, the housing element portion 7 of the report required pursuant to subparagraph (B) of paragraph 8 (2) of subdivision (a) that substantially complies with the 9 requirements of this section, the court shall issue an order or 10 judgment compelling compliance with this section within 60 days. 11 If the city, county, or city and county fails to comply with the 12 court's order within 60 days, the plaintiff or petitioner may move 13 for sanctions, and the court may, upon that motion, grant 14 appropriate sanctions. The court shall retain jurisdiction to ensure 15 that its order or judgment is carried out. If the court determines 16 that its order or judgment is not carried out within 60 days, the 17 court may issue further orders as provided by law to ensure that 18 the purposes and policies of this section are fulfilled. This 19 subdivision applies to proceedings initiated on or after the first 20 day of October following the adoption of forms and definitions by 21 the Department of Housing and Community Development pursuant 22 to paragraph (2) of subdivision (a), but no sooner than six months 23 following that adoption. 24 SEC. 1.5. Section 65400 of the Government Code is amended 25 to read: 26 65400. (a) After the legislative body has adopted all or part 27 of a general plan, the planning agency shall do both of the 28 following: 29 (1) Investigate and make recommendations to the legislative 30 body regarding reasonable and practical means for implementing 31 the general plan or element of the general plan, so that it will serve 32 as an effective guide for orderly growth and development, 33 preservation and conservation of open -space land and natural 34 resources, and the efficient expenditure of public funds relating to 35 the subjects addressed in the general plan. 36 (2) Provide by April I of each year an annual report to the 37 legislative body, the Office of Planning and Research, and the 38 Department of Housing and Community Development that includes 39 all of the following: 40 (A) The status of the plan and progress in its implementation. U C-6 1 2 3 4 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 31 32 33 34 35 36 37 38 39 40 —7— SB 35 (B) The progress in meeting its share of regional housing needs determined pursuant to Section 65584 and local efforts to remove governmental constraints to the maintenance, improvement, and development of housing pursuant to paragraph (3) of subdivision (c) of Section 65583. The housing element portion of the annual report, as required by this paragraph, shall be prepared through the use offs standards, forms, and definitions adopted by the Department of Housing and CommunityDevelopment pttrsttant to the rulemaking of the A nittistrative Aet (Chapter 3.5 ing with Seetion 113 40) of Part I of Division 3 of Title 2). Priore Development. The department may review, adopt, amend, and repeal the standards, forms, or definitions, to implement this article. Any standards, forms, or definitions adopted to implement this article shall not be subject to Chapter 3.5 (commencing with Section 11340) of Part I of Division 3 of Title 2. Before and after adoption of the forms, the housing element portion of the annual report shall include a section that describes the actions taken by the local government towards completion of the programs and status of the local government's compliance with the deadlines in its housing element. That report shall be considered at an annual public meeting before the legislative body where members of the public shall be allowed to provide oral testimony and written comments. The report may include the number of units that have been substantially rehabilitated, converted from nonaffordable to affordable by acquisition, and preserved consistent with the standards set forth in paragraph (2) of subdivision (c) of Section 65583.1. The report shall document how the units meet the standards set forth in that subdivision. (C) The number of housing development applications received in the prior year. (D) The number of units included in all development applications in the prior year (E) The number of units approved and disapproved in the prior year. (F) The degree to which its approved general plan complies with the guidelines developed and adopted pursuant to Section 65040.2 and the date of the last revision to the general plan. 91 C-7 SB 35 1 (G) A listing of sites rezoned to accommodate that portion of 2 the city's or county's share of the regional housing need for each 3 income level that could not be accommodated on sites identified 4 in the inventory required by paragraph (1) of subdivision (c) of 5 Sections 65583 and 65584.09. The listing of sites shall also include 6 any additional sites that may have been required to be identified 7 by Section 65863. 8 (H) The number of net new units of housing, including both 9 rental housing and for -sale housing, that have been issued a 10 completed entitlement, a building permit, or a certificate of 11 occupancy, thus far in the housing element cycle, and the income 12 category, by area median income category, that each unit of 13 housing satisfies. That production report shall, for each income 14 category described in this subparagraph, distinguish between the 15 number of rental housing units and the number of for -sale units 16 that satisfy each income category. The production report shall 17 include, for each entitlement, building permit, or certificate of 18 occupancy, a unique site identifier which must include the 19 assessor's parcel number, but may include street address, or other 20 identifiers. 21 (I) The number of applications submitted pursuant to subdivision 22 (a) of Section 65913.4, the location and the total number of 23 developments approved pursuant to subdivision (b) of Section 24 65913.4, the total number of building permits issued pursuant to 25 subdivision (b) of Section 65913.4, the total number of units 26 including both rental housing and for -sale housing by area median 27 income category constructed using the process provided for in 28 subdivision (b) of Section 65913.4. 29 (J) The Department of Housing and Community Development 30 shall post a report submitted pursuant to this paragraph on its 31 Internet Web site within a reasonable time of receiving the report. 32 (b) If a court finds, upon a motion to that effect, that a city, 33 county, or city and county failed to submit, within 60 days of the 34 deadline established in this section, the housing element portion 35 of the report required pursuant to subparagraph (B) of paragraph 36 (2) of subdivision (a) that substantially complies with the 37 requirements of this section, the court shall issue an order or 38 judgment compelling compliance with this section within 60 days. 39 If the city, county, or city and county fails to comply with the 40 court's order within 60 days, the plaintiff or petitioner may move 91 • -9— SB 35 1 for sanctions, and the court may, upon that motion, grant 2 appropriate sanctions. The court shall retain jurisdiction to ensure 3 that its order or judgment is carried out. If the court determines 4 that its order or judgment is not carried out within 60 days, the 5 court may issue further orders as provided by law to ensure that 6 the purposes and policies of this section are fulfilled. This 7 subdivision applies to proceedings initiated on or after the first 8 day of October following the adoption of forms and definitions by 9 the Department of Housing and Community Development pursuant 10 to paragraph (2) of subdivision (a), but no sooner than six months 11 following that adoption. 12 SEC. 2. Section 65582.1 of the Government Code is amended 13 to read: 14 65582.1. The Legislature finds and declares that it has provided 15 reforms and incentives to facilitate and expedite the approval and 16 construction of affordable housing. Those reforms and incentives 17 can be found in the following provisions: 18 (a) Housing element law (Article 10.6 (commencing with 19 Section 65580) of Chapter 3). 20 (b) Extension of statute of limitations in actions challenging the 21 housing element and brought in support of affordable housing 22 (subdivision (d) of Section 65009). 23 (c) Restrictions on disapproval of housing developments 24 (Section 65589.5). 25 (d) Priority for affordable housing in the allocation of water and 26 sewer hookups (Section 65589.7). 27 (e) Least cost zoning law (Section 65913.1). 28 (f) Density bonus law (Section 65915). 29 (g) Accessory dwelling units (Sections 65852.150 and 65852.2). 30 (h) By -right housing, in which certain multifamily housing are 31 designated a permitted use (Section 65589.4). 32 (i) No -net -loss -in zoning density law limiting downzonings and 33 density reductions (Section 65863). 34 0) Requiring persons who sue to halt affordable housing to pay 35 attorney fees (Section 65914) or post a bond (Section 529.2 of the 36 Code of Civil Procedure). 37 (k) Reduced time for action on affordable housing applications 38 under the approval of development permits process (Article 5 39 (commencing with Section 65950) of Chapter 4.5). 91 C-9 SB 35 _10- 1 10- 1 (l) Limiting moratoriums on multifamily housing (Section 2 65858). 3 (m) Prohibiting discrimination against affordable housing 4 (Section 65008). 5 (n) California Fair Employment and Housing Act (Part 2.8 6 (commencing with Section 12900) of Division 3). 7 (o) Community redevelopment law (Part 1 (commencing with 8 Section 33000) of Division 24 of the Health and Safety Code, and 9 in particular Sections 33334.2 and 33413). 10 (p) Streamlining housing approvals during a housing shortage 11 (Section 65913.4). 12 SEC. 2.5. Section 65582.1 of the Government Code is amended 13 to read: 14 65582.1. The Legislature finds and declares that it has provided 15 reforms and incentives to facilitate and expedite the construction 16 of affordable housing. Those reforms and incentives can be found 17 in the following provisions: 18 (a) Housing element law (Article 10.6 (commencing with 19 Section 65580) of Chapter 3). 20 (b) Extension of statute of limitations in actions challenging the 21 housing element and brought in support of affordable housing 22 (subdivision (d) of Section 65009). 23 (c) Restrictions on disapproval of housing developments 24 (Section 65589.5). 25 (d) Priority for affordable housing in the allocation of water and 26 sewer hookups (Section 65589.7). 27 (e) Least cost zoning law (Section 65913.1). 28 (f) Density bonus law (Section 65915). 29 (g) Accessory dwelling units (Sections 65852.150 and 65852.2). 30 (h) By -right housing, in which certain multifamily housing are 31 designated a permitted use (Section 65589.4). 32 (i) No -net -loss -in zoning density law limiting downzonings and 33 density reductions (Section 65863). 34 0) Requiring persons who sue to halt affordable housing to pay 35 attorney fees (Section 65914) or post a bond (Section 529.2 of the 36 Code of Civil Procedure). 37 (k) Reduced time for action on affordable housing applications 38 under the approval of development permits process (Article 5 39 (commencing with Section 65950) of Chapter 4.5). 91 C-10 -11— SB 35 1 (Z) Limiting moratoriums on multifamily housing (Section 2 65858). 3 (m) Prohibiting discrimination against affordable housing 4 (Section 65008). 5 (n) California Fair Employment and Housing Act (Part 2.8 6 (commencing with Section 12900) of Division 3). 7 (o) Community redevelopment law (Part 1 (commencing with 8 Section 33000) of Division 24 of the Health and Safety Code, and 9 in particular Sections 33334.2 and 33413). 10 (p) Streamlining housing approvals during a housing shortage 11 (Section 65913.4). 12 (q) Housing sustainability districts (Chapter 11 (commencing 13 with Section 66200)). 14 SEC. 3. Section 65913.4 is added to the Government Code, to 15 read: 16 65913.4. (a) A development proponent may submit an 17 application for a development that is subject to the streamlined, 18 ministerial approval process provided by subdivision (b) and not 19 subject to a conditional use permit if the development satisfies all 20 of the following objective planning standards: 21 (1) The development is a multifamily housing development that 22 contains two or more residential units. 23 (2) The development is located on a site that satisfiesJ00+ all 24 of the following: 25 (A) is an ttrbatt infill site as defitted by Seetiott 21061.3 of the 26 Nbli . rye, tt s Godo 27 (A) A site that is a legal parcel or parcels located in a city if, 28 and only if, the city boundaries include some portion of either an 29 urbanized area or urban cluster, as designated by the United States 30 Census Bureau, or, for unincorporated areas, a legal parcel or 31 parcels wholly within the boundaries of an urbanized area or 32 urban cluster, as designated by the United States Census Bureau. 33 (B) A site in which at least 75 percent of the perimeter of the 34 site adjoins parcels that are developed with urban uses. For the 35 purposes of this section, parcels that are only separated by a street 36 or highway shall be considered to be adjoined. 37 (B)is 38 (C) A site that is zoned for residential use or residential 39 mixed-use development with at least two-thirds of the square 40 footage designated for residential use. 91 C-11 SB 35 —12- 1 12- 1 (3) If the development contains units that are subsidized, the 2 development proponent already has recorded, or is required by 3 law to record, a land use restriction for the following applicable 4 minimum durations: 5 (A) Fifty-five years for units that are rented. 6 (B) Forty-five years for units that are owned. 7 (4) The development, exeluding my additional density or afl.y 8 other eotte ttives, or waivers of development stattdards 9 , 10 development satisfies both of the following: 11 (A) Is located in a locality that the 12 Gommunity Developme department has determined isle 13 under subject to this subparagraph on the basis that the number of 14 units that have been issued building permits is less than the 15 locality's share of the regional housing needs, by income category, 16 for that reporting period. A locality shall remain eligible under 17 this subparagraphfor Four years after the date that the depaAment 18 determined the loeality was eligible, and, at that date, the 19 department shall detennitte, based on the last pfodttetiott repotq. 20 , w4tether the loeality is eligible for anothe 21 . until the 22 department's determination for the next reporting period. A 23 locality shall be deemed to be eligible tmde.r subject to this 24 subparagraph if it has not submitted an annual housing element 25 report to the 26 department pursuant to paragraph (2) of subdivision (a) of Section 27 65400 for at least two consecutive years before the development 28 submitted an application for approval under this section. 29 (B) The development is subject to a requirement mandating a 30 minimum percentage of below market rate housing based on either 31 of the following: 32 (i) The locality did not submit its latest production report to the 33 DepartineW ofilottsing and Community Developmen department 34 by the time period required by Section 65400, or that production 35 report reflects that there were fewer units of above 36 moderate -income housing approved than were required for the 37 regional housing needs assessment cycle for that reporting period. 38 In addition, if the project contains more than 10 units of housing, 39 the project seeking approval dedicates a minimum of 10 percent 40 of the total number of units to housing affordable to households 91 C-12 -13— SB 35 1 making below 80 percent of the area median ' , 2 3 making below 50 pereent of the area median ineome. income. If 4 the locality has adopted a local ordinance that requires that greater 5 than 10 percent of the units be dedicated to housing affordable to 6 households making below 80 percent of the area median income, 7 that zoning ordinance applies. 8 (ii) The locality did not submit its latest production report to 9 the 10 department by the time period required by Section 65400, or that 11 production report reflects that there were fewer units of housing 12 affordable to households making below 80 percent of the area 13 median income that were issued building permits than were 14 required for the regional housing needs assessment cycle for that 15 reporting period, and the project seeking approval dedicates 50 16 percent of the total number of units to housing affordable to 17 households making below 80 percent of the area median income, 18 unless the locality has adopted a local ordinance that requires that 19 greater than 50 percent of the units be dedicated to housing 20 affordable to households making below 80 percent of the area 21 median income, in which case that ordinance applies. 22 (5) Thedevelopment development, excluding any additional 23 density or any other concessions, incentives, or waivers of 24 development standards granted pursuant to the Density Bonus 25 Law in Section 65915, is consistent with objective zoning 26 standards, ' , 27 standards and objective design review standards in effect at the 28 time that the development is submitted to the local government 29 pursuant to this section. For purposes of this paragraph, "objective 30 zoning standards" and "objective design review standards" mean 31 standards that involve no personal or subjective judgment by a 32 publics official and are uniformly verifiable by reference 33 to an external and uniform benchmark or criterion available and 34 knowable by both the development applicant or proponent and the 35 public official prior to submittal. These standards may be embodied 36 in alternative objective land use specifications adopted by a city 37 or county, and may include, but are not limited to, housing overlay 38 zones, speck plans, inclusionary zoning ordinances, and density 39 bonus ordinances. 91 C-13 SB 35 —14- 1 14- 1 (6) The development is not located on a site that is any of the 2 following: 3 (A) A coastal zone, as defined in Division 20 (commencing 4 with Section 30000) of the Public Resources Code. 5 (B) Either prime farmland or farmland of statewide importance, 6 as defined pursuant to United States Department of Agriculture 7 land inventory and monitoring criteria, as modified for California, 8 and designated on the maps prepared by the Farmland Mapping 9 and Monitoring Program of the Department of Conservation, or 10 land zoned or designated for agricultural protection or preservation 11 by a local ballot measure that was approved by the voters of that 12 jurisdiction. 13 (C) Wetlands, as defined in the United States Fish and Wildlife 14 Service Manual, Part 660 FW 2 (June 21, 1993). 15 (D) Within a very high fire hazard severity zone, as determined 16 by the Department of Forestry and Fire Protection pursuant to 17 Section 51178, or within a high or very high fire hazard severity 18 zone as indicated on maps adopted by the Department of Forestry 19 and Fire Protection pursuant to Section 4202 of the Public 20 Resources Code. This subparagraph does not apply to sites 21 excluded from the specified hazard zones by a local agency, 22 pursuant to subdivision (b) of Section 51179, or sites that have 23 adopted sufficient fire hazard mitigation measures as may be 24 determined by their local agency with land use authority. 25 (E) A hazardous waste site that is listed pursuant to Section 26 65962.5 or a hazardous waste site designated by the Department 27 of Toxic Substances Control pursuant to Section 25356 of the 28 Health and Safety Code, unless the Department of Toxic 29 Substances Control has cleared the site for residential use or 30 residential mixed uses. 31 (F) Within a delineated earthquake fault zone as determined by 32 the State Geologist in any official maps published by the State 33 Geologist, unless the development complies with applicable seismic 34 protection building code standards adopted by the California 35 Building Standards Commission under the California Building 36 Standards Law (Part 2.5 (commencing with Section 18901) of 37 Division 13 of the Health and Safety Code), and by any local 38 building department under Chapter 12.2 (commencing with Section 39 8875) of Division 1 of Title 2. 91 C-14 -15 — SB 35 1 (G) Within a flood plain as determined by maps promulgated 2 by the Federal Emergency Management Agency, unless the 3 development has been issued a flood plain development permit 4 pursuant to Part 59 (commencing with Section 59.1) and Part 60 5 (commencing with Section 60.1) of Subchapter B of Chapter I of 6 Title 44 of the Code of Federal Regulations. 7 (H) Within a floodway as determined by maps promulgated by 8 the Federal Emergency Management Agency, unless the 9 development has received a no -rise certification in accordance 10 with Section 60.3(d)(3) of Title 44 of the Code of Federal 11 Regulations. 12 (I) Lands identified for conservation in an adopted natural 13 community conservation plan pursuant to the Natural Community 14 Conservation Planning Act (Chapter 10 (commencing with Section 15 2800) of Division 3 of the Fish and Game Code), habitat 16 conservation plan pursuant to the federal Endangered Species Act 17 of 1973 (16 U.S.C. Sec. 1531 et seq.), or other adopted natural 18 resource protection plan. 19 (J) Habitat for protected species identified as 20 candidate, sensitive, or species of special status by state or federal 21 agencies, fully protected species, or species protected by the federal 22 Endangered Species Act of 1973 (16 U.S.C. Sec. 1531 et seq.), 23 the California Endangered Species Act (Chapter 1.5 (commencing 24 with Section 2050) of Division 3 of the Fish and Game Code), or 25 the Native Plant Protection Act (Chapter 10 (commencing with 26 Section 1900) of Division 2 of the Fish and Game Code). 27 (K) Lands under conservation easement. 28 (7) The development is not located on a site where any of the 29 following apply: 30 (A) The development would require the demolition ofd 31 the following types of housing: 32 (i) Housing that is subject to a recorded covenant, ordinance, 33 or law that restricts rents to levels affordable to persons and 34 families of moderate, low, or very low4neame,–fto� income. 35 (ii) Housing that is subject to any form of rent or price control 36 through a public entity's valid exercise of its police power, 0 37 hottsitig power. 38 (iii) Housing that has been occupied by tenants within the past 39 10 years. 91 C-15 SB 35 —16— I 16- 1 (B) The site was previously used for housing that was occupied 2 by tenants that was demolished within 10 years before the 3 development proponent submits an application under this section. 4 (C) The development would require the demolition of a historic 5 structure that was placed on a national, state, or local historic 6 register. 7 (9) The development proponent has eertified that one of the 8 following is tMe.- 9 (D) The property contains housing units that are occupied by 10 tenants, and units at the property are, or were, subsequently offered 11 for sale to the general public by the subdivider or subsequent 12 owner of the property. 13 (8) The development proponent has done both of the following, 14 as applicable: 15 (A) 16 (A) Certified to the locality that either of the following is true, 17 as applicable: 18 (i) The prejeet entirety of the development is a public work for 19 purposes of Chapter 1 (commencing with Section 1720) of Part 7 20 of Division 2 of the Labor Code. 21 (13) 22 (ii) If the projeet development is not in its entirety a public work, 23 that all construction workers employed in the execution of the 24 prejeet development will be paid at least the general prevailing 25 rate of per diem wages for the type of work and geographic area, 26 as determined by the Director of Industrial Relations pursuant to 27 Sections 1773 and 1773.9 of the Labor -Fede: Code, except that 28 apprentices registered in programs approved by the Chief of the 29 Division of Apprenticeship Standards may be paid at least the 30 applicable apprentice prevailing rate. If the development is subject 31 to this subparagraph, then for those portions of the development 32 that are not a public work all of the following shall apply: 33 (i) 34 (I) The development proponent shall ensure that the prevailing 35 wage requirement is included in all contracts for the performance 36 of the work. 37 (ii) Gott&aetors and 38 (H) All contractors and subcontractors shall pay to all 39 construction workers employed in the execution of the work at 40 least the general prevailing rate of per diem ages. wages, except 91 C-16 -17 — SB 35 1 that apprentices registered in programs approved by the Chief of 2 the Division of Apprenticeship Standards may be paid at least the 3 applicable apprentice prevailing rate. 4 (III) Except as provided in subclause (V), all contractors and 5 subcontractors shall maintain and verify payroll records pursuant 6 to Section 1776 of the Labor Code and make those records 7 available for inspection and copying as provided in therein. 8 9 (IV) Except as provided in ellattse (iv); subclause (V), the 10 obligation of the contractors and subcontractors to pay prevailing 11 wages may be enforced by the Labor Commissioner through the 12 issuance of a civil wage and penalty assessment pursuant to Section 13 1741 of the Labor Code, which may be reviewed pursuant to 14 Section 1742 of the Labor Code, within 18 months after the 15 completion of theprsjeet, o development, by an underpaid worker 16 through an administrative complaint or civilr. action, or by 17 a joint labor-management committee though a civil action under 18 Section 1771.2 of the Labor Code. If a civil wage and penalty 19 assessment is issued, the contractor, subcontractor, and surety on 20 a bond or bonds issued to secure the payment of wages covered 21 by the assessment shall be liable for liquidated damages pursuant 22 to Section 1742.1 of the Labor Code. 23 (iv) Glattse (iii) 24 (V) Subclauses (III) and (IV) shall not apply if all contractors 25 and subcontractors performing work on the projeet development 26 are subject to a project labor agreement that requires the payment 27 of prevailing wages to all construction workers employed in the 28 execution of the projee development and provides for enforcement 29 of that obligation through an arbitration procedure. For purposes 30 of this clause, "project labor agreement" has the same meaning as 31 set forth in paragraph (1) of subdivision (b) of Section 2500 of the 32 Public Contract Code. 33 (ie) 34 (VI) Notwithstanding subdivision (c) of Section 1773.1 of the 35 Labor Code, the requirement that employer payments not reduce 36 the obligation to pay the hourly straight time or overtime wages 37 found to be prevailing shall not apply if otherwise provided in a 38 bona fide collective bargaining agreement covering the worker. 39 The reqttirements of paragraph (2) of sttbdivision (e) of Seetion 40 1773.1 of the ] �or `ode do requirement to pay at least the 91 C-17 SB 35 —18— I 18- 1 general prevailing rate of per diem wages does not preclude use 2 of an alternative workweek schedule adopted pursuant to Section 3 511 or 514 of the Labor Code. 4 (E) 5 (B) (i) For developments that are not 100 pereetit subsidized 6 , for which any 7 of the following conditions apply, certified that a skilled and trained 8 workforce shall be used to complete the prejeet. Fe r development 9 if the application is approved: 10 (I) On and after January 1, 2018, until December 31, 2021, the 11 development consists of 75 or more units that are not 100 percent 12 subsidized affordable housing and will be located within a 13 jurisdiction located in a coastal or bay county with a population 14 of 225, 000 or more. 15 (II) On and after January 1, 2022, until December 31, 2025, 16 the development consists of 50 or more units that are not 100 17 percent subsidized affordable housing and will be located within 18 a jurisdiction located in a coastal or bay county with a population 19 of 225, 000 or more. 20 (III) On and after January 1, 2018, until December 31, 2019, 21 the development consists of 75 or more units that are not 100 22 percent subsidized affordable housing and will be located within 23 a jurisdiction with a population offewer than 550, 000 and that is 24 not located in a coastal or bay county. 25 (IV) On and after January 1, 2020, until December 31, 2021, 26 the development consists of more than 50 units and will be located 27 within a jurisdiction with a population of fewer than 550, 000 and 28 that is not located in a coastal or bay county. 29 (V) On and after January 1, 2022, until December 31, 2025, 30 the development consists of more than 25 units and will be located 31 within a jurisdiction with a population of fewer than 550, 000 and 32 that is not located in a coastal bay county. 33 (ii) For purposes of this subparagraph-, section, "skilled and 34 trained workforce" has the same meaning as provided in 35 . 36 Chapter 2.9 (commencing with Section 2600) of Part I of Division 37 2 of the Public Contract Code. 38 (iii) If the development proponent has certified that a skilled 39 and trained workforce will be used to complete the development 40 and the application is approved, the following shall apply: 91 C-18 -19— SB 35 1 (I) The applicant shall require in all contracts for the 2 performance of work that every contractor and subcontractor at 3 every tier will individually use a skilled and trained workforce to 4 complete the development. 5 (II) Every contractor and subcontractor shall use a skilled and 6 trained workforce to complete the development. 7 (III) Except as provided in subclause (IV), the applicant shall 8 provide to the locality, on a monthly basis while the development 9 or contract is being performed, a report demonstrating compliance 10 with Chapter 2.9 (commencing with Section 2600) of Part I of 11 Division 2 of the Public Contract Code. A monthly reportprovided 12 to the locality pursuant to this subclause shall be a public record 13 under the California Public Records Act (Chapter 3.5 (commencing 14 with Section 6250) of Division 7 of Title 1) and shall be open to 15 public inspection. An applicant that fails to provide a monthly 16 report demonstrating compliance with Chapter 2.9 (commencing 17 with Section 2600) of Part 1 of Division 2 of the Public Contract 18 Code shall be subject to a civil penalty of ten thousand dollars 19 ($10, 000) per month for each month for which the report has not 20 been provided. Any contractor or subcontractor that fails to use 21 a skilled and trained workforce shall be subject to a civil penalty 22 of two hundred dollars ($200) per day for each worker employed 23 in contravention of the skilled and trained workforce requirement. 24 Penalties may be assessed by the Labor Commissioner within 18 25 months of completion of the development using the same 26 procedures for issuance of civil wage and penalty assessments 27 pursuant to Section 1741 of the Labor Code, and may be reviewed 28 pursuant to the same procedures in Section 1742 of the Labor 29 Code. Penalties shall be paid to the State Public Works 30 Enforcement Fund. 31 (IV) Subclause (III) shall not apply if all contractors and 32 subcontractors performing work on the development are subject 33 to a project labor agreement that requires compliance with the 34 skilled and trained workforce requirement and provides for 35 enforcement of that obligation through an arbitration procedure. 36 For purposes of this subparagraph, `project labor agreement 37 has the same meaning as set forth in paragraph (1) of subdivision 38 (b) of Section 2500 of the Public Contract Code. 39 (C) Notwithstanding subparagraphs (A) and (B), a development 40 that is subject to approval pursuant to this section is exempt from 91 C-19 SB 35 —20— I 20- 1 any requirement to pay prevailing wages or use a skilled and 2 trained workforce if it meets both of the following: 3 (i) The project includes 10 or fewer units. 4 (ii) The project is not a public work for purposes of Chapter 1 5 (commencing with Section 1720) of Part 7 of Division 2 of the 6 Labor Code. 7 (9) The development did not or does not involve a subdivision 8 of a parcel that is, or, notwithstanding this section, would otherwise 9 be, subject to the Subdivision Map Act (Division 2 (commencing 10 with Section 66410)) or any other applicable law authorizing the 11 subdivision of land, unless either of the following apply: 12 (A) The development has received or will receive financing or 13 funding by means of a low-income housing tax credit and is subject 14 to the requirement that prevailing wages be paid pursuant to 15 subparagraph (A) of paragraph (8). 16 (B) The development is subject to the requirement that prevailing 17 wages be paid, and a skilled and trained workforce used, pursuant 18 to paragraph (8). 19 (9) 20 (10) The development shall not be upon an existing parcel of 21 land or site that is governed under the Mobilehome Residency Law 22 (Chapter 2.5 (commencing with Section 798) of Title 2 of Part 2 23 of Division 2 of the Civil Code), the Recreational Vehicle Park 24 Occupancy Law (Chapter 2.6 (commencing with Section 799.20) 25 of Title 2 of Part 2 of Division 2 of the Civil Code), the 26 Mobilehome Parks Act (Part 2.1 (commencing with Section 18200) 27 of Division 13 of the Health and Safety Code), or the Special 28 Occupancy Parks Act (Part 2.3 (commencing with Section 18 860) 29 of Division 13 of the Health and Safety Code). 30 (b) (1) If a local government determines that a development 31 submitted pursuant to this section is in conflict with any of the 32 objective planning standards specified in subdivision (a), it shall 33 provide the development proponent written documentation of 34 which standard or standards the development conflicts with, and 35 an explanation for the reason or reasons the development conflicts 36 with that standard or standards, as follows: 37 (A) Within 60 days of submittal of the development to the local 38 government pursuant to this section if the development contains 39 150 or fewer housing units. 91 C-20 — 21— SB 35 1 (B) Within 90 days of submittal of the development to the local 2 government pursuant to this section if the development contains 3 more than 150 housing units. 4 (2) If the local government fails to provide the required 5 documentation pursuant to paragraph (1), the development shall 6 be deemed to satisfy the objective planning standards specified in 7 subdivision (a). 8 (c) Any design review or public oversight of the development 9 may be conducted by the local government's planning commission 10 or any equivalent board or commission responsible for review and I 1 approval of development projects, or the city council or board of 12 supervisors, as appropriate. That design review or public oversight 13 shall be objective and be strictly focused on assessing compliance 14 with criteria required for streamlined projects, as well as any 15 reasonable objective design standards published and adopted by 16 ordinance or resolution by a local jurisdiction before submission 17 of a development application, and shall be broadly applicable to 18 development within the jurisdiction. That design review or public 19 oversight shall be completed as follows and shall not in any way 20 inhibit, chill, or preclude the ministerial approval provided by this 21 section or its effect, as applicable: 22 (1) Within 90 days of submittal of the development to the local 23 government pursuant to this section if the development contains 24 150 or fewer housing units. 25 (2) Within 180 days of submittal of the development to the local 26 government pursuant to this section if the development contains 27 more than 150 housing units. 28 (d) (1) Notwithstanding any other law, a local government, 29 whether or not it has adopted an ordinance governing parking 30 requirements in multifamily developments, shall not impose 31 parking standards for a streamlined development that was approved 32 pursuant to this section in any of the following instances: 33 (A) The development is located within one-half mile of public 34 transit. 35 (B) The development is located within an architecturally and 36 historically significant historic district. 37 (C) When on -street parking permits are required but not offered 38 to the occupants of the development. 39 (D) When there is a car share vehicle located within one block 40 of the development. 91 C-21 SB 35 —22- 1 22- 1 (2) If the development does not fall within any of the categories 2 described in paragraph (1), the local government shall not impose 3 parking requirements for streamlined developments approved 4 pursuant to this section that exceed one parking space per unit. 5 (e) (1) If a local government approves a development pursuant 6 to this section, then, notwithstanding any other law, that approval 7 shall not expire if the project includes public investment in housing 8 affordability, beyond tax credits, where 50 percent of the units are 9 affordable to households making below 80 percent of the area 10 median income. 11 (2) If a local government approves a development pursuant to 12 this section and the project does not include 50 percent of the units 13 affordable to households making below 80 percent of the area 14 median income, that approval shall automatically expire after three 15 years except that a project may receive a one-time, one-year 16 extension if the project proponent can provide documentation that 17 there has been significant progress toward getting the development 18 construction ready, such as filing a building permit application. 19 (3) If a local government approves a development pursuant to 20 this section, that approval shall remain valid for three years from 21 the date of the final action establishing that approval and shall 22 remain valid thereafter for a project so long as vertical 23 construction of the development has begun and is in progress. 24 Additionally, the development proponent may request, and the 25 local government shall have discretion to grant, an additional 26 one-year extension to the original three-year period. The local 27 government's action and discretion in determining whether to 28 grant the foregoing extension shall be limited to considerations 29 and process set forth in this section. 30 (f) A local government shall not adopt any requirement, 31 including, but not limited to, increased fees or inclusionary housing 32 requirements, that applies to a project solely or partially on the 33 basis that the project is eligible to receive ministerial or streamlined 34 approval pursuant to this section. 35 (g) This section shall not affect a development proponent's 36 ability to use any alternative streamlined by rightpermitprocessing 37 adopted by a local government, including the provisions of 38 subdivision (i) of Section 65583.2. 39 (-g) 40 (h) For purposes of this section: 91 C-22 -23— SB 35 1 (1) "Development proponent" means the developer who submits 2 an application for streamlined approval pursuant to this section. 3 (2) "Completed entitlements" means a housing development 4 which has received all the required land use approvals or 5 entitlements necessary for the issuance of building permit. 6 (2) 7 (3) "Locality" or "local government" means a city, including a 8 charter city, a county, including a charter county, or a city and 9 county, including a charter city and county. 10 (3-) 11 (4) "Production report" means the information reported pursuant 12 to subparagraph (D) of paragraph (2) of subdivision (a) of Section 13 65400. 14 (4-) 15 (5) "Subsidized" means units that are price or rent restricted 16 such that the units are permanently affordable to households 17 meeting the definitions of very low and lower income, as defined 18 in Sections 50079.5 and 50105 of the Health and Safety Code. 19 (5) 20 (6) "Reporting period" means either of the following: 21 (A) The first half of the regional housing needs assessment 22 cycle. 23 (B) The last half of the regional housing needs assessment cycle. 24 (7) "Urban uses" means any current or former residential, 25 commercial, public institutional, transit or transportation 26 passenger facility, or retail use, or any combination of those uses. 27 (i) This Section shall remain in effect only until January], 2026, 28 and as of that date is repealed. 29 SEC. 4. The Legislature finds and declares that ensuring access 30 to affordable housing is a matter of statewide concern, and not a 31 municipal affair. Therefore, the changes made by this act are 32 applicable to a charter city, a charter county, and a charter city and 33 county. 34 SEC. 5. Each provision of this measure is a material and 35 integral part of this measure, and the provisions of this measure 36 are not severable. If any provision of this measure or its application 37 is held invalid, this entire measure shall be null and void. 38 SEC. 6. (a) Section 1.5 of this bill incorporates amendments 39 to Section 65400 of the Government Code proposed by both this 40 bill and Assembly Bill 879. That section shall only become 91 C-23 SB 35 —24— I 24- 1 operative if (1) both bills are enacted and become effective on or 2 before January 1, 2018, (2) each bill amends Section 65400 of the 3 Government Code, and (3) this bill is enacted after Assembly Bill 4 879, in which case Section I of this bill shall not become operative. 5 (b) Section 2.5 of this bill incorporates amendments to Section 6 65582.1 of the Government Code proposed by both this bill and 7 Assembly Bill 73. That section shall only become operative if (1) 8 both bills are enacted and become effective on or before January 9 1, 2019, (2) each bill amends Section 65582.1 of the Government 10 Code, and (3) this bill is enacted after Assembly Bill 73, in which 11 case Section 2 of this bill shall not become operative. 12 13 SEC. 7. No reimbursement is required by this act pursuant to 14 Section 6 of Article X111B of the California Constitution because 15 a local agency or school district has the authority to levy service 16 charges, fees, or assessments sufficient to pay for the program or 17 level of service mandated by this act, within the meaning of Section 18 17556 of the Government Code. 19 20 21 REVISIONS: 22 Heading—Line 6. 23 31 91 C-24