BILL ANALYSIS Ó SENATE COMMITTEE ON TRANSPORTATION AND HOUSING Senator Jim Beall, Chair 2015 - 2016 Regular Bill No: AB 2299 Hearing Date: 6/14/2016 ----------------------------------------------------------------- |Author: |Bloom | |----------+------------------------------------------------------| |Version: |4/5/2016 | ----------------------------------------------------------------- ----------------------------------------------------------------- |Urgency: |No |Fiscal: |Yes | ----------------------------------------------------------------- ----------------------------------------------------------------- |Consultant|Alison Dinmore | |: | | ----------------------------------------------------------------- SUBJECT: Second Units DIGEST: This bill requires, rather than permits, a local government to adopt an ordinance for the creation of second units in single-family and multifamily residential zones. ANALYSIS: Existing law: 1) Requires local governments to consider applications for a second unit ministerially, without discretionary review or hearing, regardless of any local ordinance regulating the issuance of special-use permits. 2) Provides that a local government may by ordinance provide for the creation of second units in single-family and multi-family zones. 3) Provides that a local ordinance for second units may do all of the following: a) Designate areas where second units may be permitted based on criteria that may include the adequacy of water and sewer services and the impact on traffic flow. b) Impose parking, height, setback, lot coverage, architectural review, maximum unit size and standards that prevent adverse impacts on any property listed in the AB 2299 (Bloom) Page 2 of ? California Register of Historic Places. c) Provide that second units do not exceed the allowable density for the lot on which it is located and that second units are a residential use that is consistent with the existing general plan and zoning designation on a lot. This bill: 1)Requires a local government to provide for the creation of second units in single-family and multifamily residential zones. 2)Prohibits a local government from imposing parking standards for a second unit that is located within a half-mile of public transit or shopping or is within an architecturally and historically significant historic district. A local government may otherwise reduce or eliminate parking requirements for any second unit located within its jurisdiction. 3)Prohibits a local government from requiring a passageway or pathway clear to the sky between the second unit and a public street when constructing a second unit. 4)Prohibits a local government from requiring a setback more than five feet from the side and rear lot line for a second unit constructed above a garage located on an alley. 5)Provides that when a garage, carport, or covered parking structure is demolished in conjunction with the construction of a second unit, and the local government requires that those off-street parking spaces be replaced, the replacement spaces may be located in any configuration on the same lot as the second unit, including, but not limited to, as covered spaces, uncovered spaces, or tandem spaces, or by the use of mechanical automobile parking lifts. COMMENTS: 1)Purpose of the bill. According to the author, many local governments have not adopted a local second-unit law or have made their laws so stringent that homeowners are unable to add AB 2299 (Bloom) Page 3 of ? a second unit. Given California's current housing deficiency, this bill is intended to help California bring more housing online. The bill focuses on second units located near transit and eliminated stringent parking standards in these areas. This bill mandates local governments to adopt a second-unit ordinance and prohibits them from imposing parking standards on those units that are located within a half- mile of a public transit or shopping or within an architecturally and historically significant historic district. 2)What are second units? Second units, also known as accessory dwelling units, accessory apartments, accessory dwellings, mother-in-law units, or granny flats, are additional living spaces on single-family lots that have a separate kitchen, bathroom, and exterior access independent of the primary residence. These spaces can either be attached to or detached from the primary residence. 3)Relaxing second unit requirements. According to a UC Berkeley study, Yes in My Backyard: Mobilizing the Market for Secondary Units, second units are a means to accommodate future growth and encourage infill development in developed neighborhoods. Despite existing state law, which requires each city in the state to have a ministerial process for approving second units, the study found that local regulations often impede development. Easing these burdens to permit more second units could permit a family to rent out the unit (about 49% of the units) or provide housing for a family member (about 51% of the units). In fact, the study found that the average second unit was advertised at a rental rate that makes it affordable to a household earning 62% of the area median income. About 30% were affordable to households in the very low-income category, and 49% were in the low-income category. The study, which evaluated five adjacent cities in the East Bay, concluded that there is a substantial market of interested homeowners; cities could reduce parking requirements without contributing to parking issues; second units could accommodate future growth and affordable housing; and that scaling up second unit strategy could mean economic and fiscal benefits for cities. This bill eases barriers to the construction and permitting of second units by: a) Requiring a local government to adopt an ordinance for AB 2299 (Bloom) Page 4 of ? the creation of second units in single-family and multifamily residential zones. b) Prohibiting a local government from imposing parking standards for a second unit located within half a mile of public transit or that is within an architecturally and historically significant historic district. c) Prohibiting a local government from requiring a passageway or pathway clear to the sky between the second unit and a public street. d) Prohibiting a local government from requiring a setback more than five feet from the side and real lot line for a second unit constructed above a garage on an alley. e) Providing that replacement covered parking may be located in any configuration on the same lot. 1)Opposition. According to the opposition, this bill departs from current law by requiring local governments to adopt a second-unit ordinance, which is a costly mandate. This will prohibit cities from imposing parking standards in certain circumstances, which could lead to unintended consequences, including community opposition to second units. Existing law already provides authority to local governments to adopt a second-unit ordinance and does not account for the realities of many suburban and rural communities. 2)Double-referral. This bill was double-referred to the Senate Governance and Finance Committee. Assembly Votes: Floor: 51-24 Appr: 14-6 L.Govt: 6-2 H&CD: 5-2 Related Legislation: AB 2406 (Thurmond) - Allows a local agency to create an ordinance for junior accessory dwelling units in single-family residential zones. This bill is pending in the Senate Transportation and Housing Committee. SB 1069 (Wieckowski) - This bill requires an ordinance for the creation of accessory dwelling units (ADUs) to include specified provisions regarding areas where ADUs may be located, standards, AB 2299 (Bloom) Page 5 of ? and lot density. This bill revises requirements for the approval or disapproval of an ADU application when a local agency has not adopted an ordinance. This bill is pending in the Assembly Housing and Community Development Committee. FISCAL EFFECT: Appropriation: No Fiscal Com.: Yes Local: Yes POSITIONS: (Communicated to the committee before noon on Wednesday, June 8, 2016.) SUPPORT: California Apartment Association (sponsor) American Planning Association, California Chapter California Association of Realtors City of Morgan Hill City of Los Angeles West Hollywood Chamber of Commerce OPPOSITION: City of Camarillo City of San Dimas Ventura Council of Governments -- END --