BILL ANALYSIS Ó SENATE COMMITTEE ON APPROPRIATIONS Senator Ricardo Lara, Chair 2015 - 2016 Regular Session AB 2180 (Ting) - Land use: development project review ----------------------------------------------------------------- | | | | | | ----------------------------------------------------------------- |--------------------------------+--------------------------------| | | | |Version: March 31, 2016 |Policy Vote: GOV. & F. 5 - 0 | | | | |--------------------------------+--------------------------------| | | | |Urgency: No |Mandate: Yes | | | | |--------------------------------+--------------------------------| | | | |Hearing Date: August 1, 2016 |Consultant: Mark McKenzie | | | | ----------------------------------------------------------------- This bill meets the criteria for referral to the Suspense File. Bill Summary: AB 2180 would accelerate the timeframes by which a public agency must approve or disapprove certain residential and mixed-use development projects under the Permit Streamlining Act. Fiscal Impact: Unknown significant Coastal Commission costs, potentially in excess of $1 million, to expedite approval of projects in the coastal zone for which the Commission is the responsible agency. In order to comply with the accelerated timelines for project approval, the Commission would require an unknown number of additional staff. The magnitude of additional costs and staffing needs would depend upon the number and complexity of projects requiring a coastal development permit. (General Fund) AB 2180 (Ting) Page 1 of ? Unknown local costs to comply with accelerated project approval timelines. These costs are not state-reimbursable because local agencies can charge fees to offset any increased costs. (local fee disclaimer) Background: The Planning and Zoning Law requires every county and city to adopt a general plan that sets out the intensity (density) and location for planned uses in the area covered by the plan. Local zoning laws and building codes specify where housing may be built, as well as its density, quality, and style. Housing developers must obtain building permits from city and county planning departments and typically must gain approval from local planning commissions and city councils or county boards of supervisors. The 1977 Permit Streamlining Act requires public agencies to act fairly and promptly on applications for development permits. Public agencies generally have 30 days to determine whether applications for development projects are complete and accepted for filing; failure to act results in an application being "deemed complete." If additional information is required, there could be time extensions before an application is deemed complete. Once a complete application has been submitted, the Act requires public officials to act within a specific time period after completing any environmental review documents required under the California Environmental Quality Act (CEQA). Specifically, local governments that serve as lead agencies under CEQA must act within: (1) 60 days after completing a negative declaration or determining that a project is exempt from review, or (2) 180 days after certifying an environmental impact report (EIR). However, shorter deadlines apply to certain affordable housing developments. A lead agency must decide within 90 days of certifying an EIR for a residential or mixed use development that meets specified conditions, including: residential units make up at least half of the overall square footage, commercial space is reserved for specified small businesses that serve local residents, and at least 49% of units are available to low- or very low-income households. The Permit Streamlining Act also sets deadlines for responsible agencies that are not the lead agency under CEQA, but have a role in approving a permit or other authorization for some AB 2180 (Ting) Page 2 of ? aspect of the proposed project. Responsible agencies rely on the lead agency's CEQA documentation to issue permits and make decisions. The Permit Streamlining Act requires responsible agencies to approve or disapprove the development project within 180 days of the date that either the lead agency approved the project or deemed the application complete, whichever is longer. If the public agency fails to approve or disapprove the application in the relevant time period, the application is deemed approved and the applicant may sue to order the local government to issue the permit. Upon mutual agreement between the government and the applicant, the deadlines may be extended once for up to 90 days. Existing law, the Coastal Act, calls for the protection and enhancement of public access and recreation, marine resources, environmentally sensitive habitat areas, marine water quality, agriculture, and scenic resources, and makes provisions for coastal-dependent industrial and energy development. New development in the coastal zone requires a coastal development permit either from a local government or the Coastal Commission. Local governments are required to prepare a local coastal plan (LCP) for the coastal zone portion of their jurisdiction. After an LCP has been reviewed and approved by the Coastal Commission as being consistent with the Coastal Act, the Commission's regulatory authority over most types of new development is delegated to the local government, subject to limited appeals to the Commission. Approximately 83 percent of the state's coastal geographic area is covered by LCPs, but there are currently 27 jurisdictions that do not have a certified LCP in place. As noted above, any permits for new development in these jurisdictions requires approval by the Coastal Commission. Proposed Law: AB 2180 would expedite the Permit Streamlining Act deadlines for a public agency to approve or disapprove certain types of development projects. Specifically, AB 2180 would do the following: Require a lead agency to approve or disapprove an application for a residential or mixed use development within 120 days of certifying the EIR (rather than 180 days), if the project devotes at least half of its square footage to residential AB 2180 (Ting) Page 3 of ? units and only includes small-scale commercial enterprises. Require a responsible agency to approve or disapprove those projects within 90 days (rather than 180 days) of the date that either the lead agency approved the project or deemed the application complete, whichever is longer. Staff Comments: This bill would impose a state-mandated local program on local agencies by increasing the duties of local officials. Since local agencies have the authority to charge fees to recover any increased costs associated with the bill, they are not eligible for state-reimbursement of those costs. The Coastal Commission indicates that the bill's accelerated timelines for development project approvals would hinder its ability to properly review, analyze, revise, and agendize residential projects in the coastal zone for which the Commission is the responsible agency. In those jurisdictional segments of the coastal zone that are not covered by an approved LCP, the Commission must analyze a project for Coastal Act consistency, including public access, public viewsheds, sea level rise, and sensitive habitats. Although many projects are non-controversial and have minimal impacts, some are exceedingly complex and require extensive analysis and revisions to a project's scope. The Commission estimates that it would likely require significant additional staff resources in order to comply with the accelerated timelines. In addition, the Commission meets at different locations in the coastal zone each month, and acceleration of timelines will make it difficult to agendize significant permit actions in places that are near the proposed development site. -- END --