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CC SR 20210202 M - SB10 Letter of Opposition Report CITY COUNCIL MEETING DATE: 02/02/2021 AGENDA REPORT AGENDA HEADING: Consent Calendar AGENDA TITLE: Consideration and possible action to authorize the Mayor to sign a letter of opposition to SB 10. RECOMMENDED COUNCIL ACTION: (1) Authorize the Mayor to sign a letter of opposition to SB 10. FISCAL IMPACT: None Amount Budgeted: N/A Additional Appropriation: N/A Account Number(s): N/A ORIGINATED BY: McKenzie Bright, Administrative Analyst REVIEWED BY: Karina Bañales, Deputy City Manager APPROVED BY: Ara Mihranian, AICP, City Manager ATTACHED SUPPORTING DOCUMENTS: A. Draft letter in opposition to SB 10 (page A-1) B. Text of SB 10 (as introduced December 7, 2020) (page B-1) BACKGROUND AND DISCUSSION: In the last legislative session, Senator Scott Wiener of San Francisco introduced SB 902, seeking to limit local land use authority related to housing in “jobs-rich” areas, to allow, but not require, local governments to adopt zoning ordinances that bypass California Environmental Quality Act (CEQA) review for housing developments of up to 10 units per parcel in a transit- or jobs-rich area, or an urban infill site. The City Council opposed SB 902 on July 7, 2020 and the bill died in committee on August 20, 2020. Senator Wiener reintroduced the bill as SB 10 at the start of the current legislative session. SB 10 would also require that cities allow midrise, medium-density housing on sites that are either within one-half mile of high-quality public transportation or within a jobs-rich, high-opportunity neighborhood close to key job centers without affordability requirements or sensitivity to the character of existing neighborhoods. 1 If enacted, SB 10 would undermine local land use authority by imposing state legislation on local government agencies and municipalities. Staff remains concerned that the legislation has the potential to negatively impact cities that do not elect to use the zoning tool created by the bill. If a neighboring city were to rezone a parcel for such a project along the City border, residents would be impacted, but would be unable to voice their concerns via the CEQA review process. Additionally, SB 10’s definition of “jobs-rich areas” is unclear. The bill leaves these areas to be determined by the Department of Housing and Community Development and the Office of Planning and Research. For these reasons, Staff recommends the City Council authorize the M ayor to sign a letter to Senator Wiener, as drafted, opposing SB 10. ALTERNATIVES: In addition to the Staff recommendation, the following alternative actions are available for the City Council’s consideration: 1. Identify revised language to add to the letter. 2. Do not authorize the Mayor to sign the letter. 3. Take other action, as deemed appropriate. 2 February 2, 2021 Via Email The Honorable Scott Wiener California State Senate State Capitol, Room 5100 Sacramento, CA 95814 SUBJECT: Notice of Opposition to SB 10 Dear Senator Wiener: The City of Rancho Palos Verdes opposes SB 10, which would limit local land use authority related to housing in “jobs-rich” areas. Like its predecessor, SB 902, the bill has the potential to negatively impact cities that do not elect to use the zoning tool it creates. If a neighboring city were to rezone a parcel for a project of up to 10 units along the City border, our residents would be impacted, but would be unable to voice their concerns via the entitlement and CEQA review processes. Additionally, SB 10 leaves “jobs-rich areas” to be determined by the Department of Housing and Community Development and the Office of Planning and Research. More specificity is needed to meaningfully understand where these projects could be built. While we appreciate efforts to ensure that all Californians have access to affordable housing, instead, this bill, like many other housing bills, erodes local control and pursues a once-size-fits-all approach that does not work for many cities, like ours. For these reasons, the City of Rancho Palos Verdes opposes SB 10. Sincerely, A-1 Senator Wiener February 2, 2021 Page 2 Eric Alegria Mayor cc: Ben Allen, Senator, 26th State Senate District Al Muratsuchi, Assembly Member, 66th Assembly District Jeff Kiernan, League of California Cities Meg Desmond, League of California Cities Marcel Rodarte, California Contract Cities Association Rancho Palos Verdes City Council Ara Mihranian, City Manager Karina Bañales, Deputy City Manager A-2 SENATE BILL No. 10 Introduced by Senator Wiener (Principal coauthors: Senators Atkins and Caballero) (Principal coauthor: Assembly Member Robert Rivas) December 7, 2020 An act to add Section 65913.5 to the Government Code, relating to land use. legislative counsel’s digest SB 10, as introduced, Wiener. Planning and zoning: housing development: density. 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. 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, notwithstanding any local restrictions on adopting zoning ordinances, authorize a local government to pass an ordinance to zone any parcel for up to 10 units of residential density per parcel, at a height specified in the ordinance, if the parcel is located in a transit-rich area, a jobs-rich area, or an urban infill site, as those terms are defined. In this regard, the bill would require the Department of Housing and Community Development, in consultation with the Office 99 B-1 of Planning and Research, to determine jobs-rich areas and publish a map of those areas every 5 years, commencing January 1, 2022, based on specified criteria. The bill would specify that an ordinance adopted under these provisions is not a project for purposes of the California Environmental Quality Act. The bill would prohibit a residential or mixed-use residential project consisting of 10 or more units that is located on a parcel rezoned pursuant to these provisions from being approved ministerially or by right. This bill would include findings that changes proposed by this bill address a matter of statewide concern rather than a municipal affair and, therefore, apply to all cities, including charter cities. Vote: majority. Appropriation: no. Fiscal committee: yes.​ State-mandated local program: no.​ The people of the State of California do enact as follows: line 1 SECTION 1. Section 65913.5 is added to the Government line 2 Code, to read: line 3 65913.5. (a)  (1)  Notwithstanding any local restrictions on line 4 adopting zoning ordinances enacted by the jurisdiction, including line 5 restrictions enacted by a local voter initiative, that limit the line 6 legislative body’s ability to adopt zoning ordinances, a local line 7 government may pass an ordinance to zone a parcel for up to 10 line 8 units of residential density per parcel, at a height specified by the line 9 local government in the ordinance, if the parcel is located in one line 10 of the following: line 11 (A)  A transit-rich area. line 12 (B)  A jobs-rich area. line 13 (C)  An urban infill site. line 14 (2)  An ordinance adopted in accordance with this subdivision line 15 shall not constitute a “project” for purposes of Division 13 line 16 (commencing with Section 21000) of the Public Resources Code. line 17 (3)  Paragraph (1) shall not apply to parcels located within a very line 18 high fire hazard severity zone, as determined by the Department line 19 of Forestry and Fire Protection pursuant to Section 51178, or within line 20 a high or very high fire hazard severity zone as indicated on maps line 21 adopted by the Department of Forestry and Fire Protection pursuant line 22 to Section 4202 of the Public Resources Code. This paragraph line 23 does not apply to parcels excluded from the specified hazard zones line 24 by a local agency pursuant to subdivision (b) of Section 51179, or 99 — 2 — SB 10 B-2 line 1 sites that have adopted fire hazard mitigation measures pursuant line 2 to existing building standards or state fire mitigation measures line 3 applicable to the development. line 4 (b)  (1)  Notwithstanding any other law, a residential or line 5 mixed-use residential project consisting of more than 10 new line 6 residential units on one or more parcels that have been zoned to line 7 permit residential development pursuant to this section shall not line 8 be approved ministerially or by right, and shall not be exempt from line 9 Division 13 (commencing with Section 21000) of the Public line 10 Resources Code. line 11 (2)  Paragraph (1) shall not apply to a project to create no more line 12 than two accessory dwelling units and no more than two junior line 13 accessory dwelling units per parcel pursuant to Sections 65852.2 line 14 and 65852.22 of the Government Code. line 15 (3)  A project may not be divided into smaller projects in order line 16 to exclude the project from the prohibition in this subdivision. line 17 (c)  For purposes of this section: line 18 (1)  “High-quality bus corridor” means a corridor with fixed line 19 route bus service that meets all of the following criteria: line 20 (A)  It has average service intervals of no more than 15 minutes line 21 during the three peak hours between 6 a.m. to 10 a.m., inclusive, line 22 and the three peak hours between 3 p.m. and 7 p.m., inclusive, on line 23 Monday through Friday. line 24 (B)  It has average service intervals of no more than 20 minutes line 25 during the hours of 6 a.m. to 10 a.m., inclusive, on Monday through line 26 Friday. line 27 (C)  It has average intervals of no more than 30 minutes during line 28 the hours of 8 a.m. to 10 p.m., inclusive, on Saturday and Sunday. line 29 (2)  (A) “Jobs-rich area” means an area identified by the line 30 Department of Housing and Community Development in line 31 consultation with the Office of Planning and Research that is high line 32 opportunity and either is jobs rich or would enable shorter commute line 33 distances based on whether, in a regional analysis, the tract meets line 34 both of the following: line 35 (i)  The tract is high opportunity, meaning its characteristics are line 36 associated with positive educational and economic outcomes for line 37 households of all income levels residing in the tract. line 38 (ii)  The tract meets either of the following criteria: line 39 (I)  New housing sited in the tract would enable residents to live line 40 near more jobs than is typical for tracts in the region. 99 SB 10 — 3 — B-3 line 1 (II)  New housing sited in the tract would enable shorter commute line 2 distances for residents, relative to existing commute patterns and line 3 jobs-housing fit. line 4 (B)  The Department of Housing and Community Development line 5 shall, commencing on January 1, 2022, publish and update, every line 6 five years thereafter, a map of the state showing the areas identified line 7 by the department as “jobs-rich areas.” line 8 (3)  “Transit-rich area” means a parcel within one-half mile of line 9 a major transit stop, as defined in Section 21064.3 of the Public line 10 Resources Code, or a parcel on a high-quality bus corridor. line 11 (4)  “Urban infill site” means a site that satisfies all of the line 12 following: line 13 (A)  A site that is a legal parcel or parcels located in a city if, line 14 and only if, the city boundaries include some portion of either an line 15 urbanized area or urban cluster, as designated by the United States line 16 Census Bureau, or, for unincorporated areas, a legal parcel or line 17 parcels wholly within the boundaries of an urbanized area or urban line 18 cluster, as designated by the United States Census Bureau. line 19 (B)  A site in which at least 75 percent of the perimeter of the line 20 site adjoins parcels that are developed with urban uses. For the line 21 purposes of this section, parcels that are only separated by a street line 22 or highway shall be considered to be adjoined. line 23 (C)  A site that is zoned for residential use or residential line 24 mixed-use development, or has a general plan designation that line 25 allows residential use or a mix of residential and nonresidential line 26 uses, with at least two-thirds of the square footage of the line 27 development designated for residential use. line 28 (d)  The Legislature finds and declares that ensuring the adequate line 29 production of affordable housing is a matter of statewide concern line 30 and is not a municipal affair as that term is used in Section 5 of line 31 Article XI of the California Constitution. Therefore, this section line 32 applies to all cities, including charter cities. O 99 — 4 — SB 10 B-4