Amended in Senate August 19, 2016

Amended in Senate June 14, 2016

Amended in Assembly April 14, 2016

Amended in Assembly April 5, 2016

Amended in Assembly March 18, 2016

California Legislature—2015–16 Regular Session

Assembly BillNo. 2556


Introduced by Assembly Member Nazarian

February 19, 2016


An act to amend Section 65915 of the Government Code, relating to housing.

LEGISLATIVE COUNSEL’S DIGEST

AB 2556, as amended, Nazarian. Density bonuses.

The Planning and Zoning Law requires, when an applicant proposes a housing development within the jurisdiction of a local government, that the city, county, or city and county provide the developer with a density bonus and other incentives or concessions for the production of lower income housing units or for the donation of land within the development if the developer, among other things, agrees to construct a specified percentage of units for very low, low-, or moderate-income households or qualifying residents. That law makes an applicant ineligible for a density bonus if the housing development is proposed on property with existing or certain former dwelling units subject to specific affordability requirements, including a form of rent or price control through a public entity’s valid exercise of its police power, or on property with existing units occupied by lower or very low income households, unless the proposed housing development replaces those units as prescribed. That law defines “replace” for those purposes to mean, among other things, providing the same number of equivalent units to persons or families in the same or lower income categories.

This bill would revise that definition of “replace” to require a rebuttable presumption, based on certain federal data, regarding the proportion of lower income renter households that occupy existing units, if the income category of the households in occupancy is not known. The bill, if the property for the proposed housing development is subject to a form of rent or price control through a local government’s valid exercise of its police power and is or was occupied by a person or family with an income above lower income, would authorize the city, county, or city and county either to require replacement units to be made available at affordable rent or affordable housing cost to, and occupied by, low-income persons or families, as specified, or to require the units to be replaced in compliance with the rent or price control ordinance of the jurisdiction. By increasing the duties of local officials, this bill would impose a state-mandated local program.

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.

begin insert

This bill would incorporate additional changes to Section 65915 of the Government Code, proposed by AB 2442 and AB 2501, that would become operative only if this bill and either or both of those bills are chaptered and become effective on or before January 1, 2017, and this bill is chaptered last.

end insert

Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: yes.

The people of the State of California do enact as follows:

P2    1

SECTION 1.  

Section 65915 of the Government Code is
2amended to read:

3

65915.  

(a) When an applicant seeks a density bonus for a
4housing development within, or for the donation of land for housing
5within, the jurisdiction of a city, county, or city and county, that
6local government shall provide the applicant with incentives or
P3    1concessions for the production of housing units and child care
2facilities as prescribed in this section. A city, county, or city and
3county shall adopt an ordinance that specifies how compliance
4with this section will be implemented. Failure to adopt an ordinance
5shall not relieve a city, county, or city and county from complying
6with this section.

7(b) (1) A city, county, or city and county shall grant one density
8bonus, the amount of which shall be as specified in subdivision
9(f), and incentives or concessions, as described in subdivision (d),
10when an applicant for a housing development seeks and agrees to
11construct a housing development, excluding any units permitted
12by the density bonus awarded pursuant to this section, that will
13contain at least any one of the following:

14(A) Ten percent of the total units of a housing development for
15lower income households, as defined in Section 50079.5 of the
16Health and Safety Code.

17(B) Five percent of the total units of a housing development for
18very low income households, as defined in Section 50105 of the
19Health and Safety Code.

20(C) A senior citizen housing development, as defined in Sections
2151.3 and 51.12 of the Civil Code, or a mobilehome park that limits
22residency based on age requirements for housing for older persons
23pursuant to Section 798.76 or 799.5 of the Civil Code.

24(D) Ten percent of the total dwelling units in a common interest
25development, as defined in Section 4100 of the Civil Code, for
26persons and families of moderate income, as defined in Section
2750093 of the Health and Safety Code, provided that all units in the
28development are offered to the public for purchase.

29(2) For purposes of calculating the amount of the density bonus
30pursuant to subdivision (f), an applicant who requests a density
31bonus pursuant to this subdivision shall elect whether the bonus
32shall be awarded on the basis of subparagraph (A), (B), (C), or (D)
33of paragraph (1).

34(3) For the purposes of this section, “total units” or “total
35dwelling units” does not include units added by a density bonus
36awarded pursuant to this section or any local law granting a greater
37density bonus.

38(c) (1) An applicant shall agree to, and the city, county, or city
39and county shall ensure, the continued affordability of all very low
40and low-income rental units that qualified the applicant for the
P4    1award of the density bonus for 55 years or a longer period of time
2if required by the construction or mortgage financing assistance
3program, mortgage insurance program, or rental subsidy program.
4Rents for the lower income density bonus units shall be set at an
5affordable rent as defined in Section 50053 of the Health and Safety
6Code.

7(2) An applicant shall agree to, and the city, county, or city and
8county shall ensure that, the initial occupant of all for-sale units
9that qualified the applicant for the award of the density bonus are
10persons and families of very low, low, or moderate income, as
11required, and that the units are offered at an affordable housing
12 cost, as that cost is defined in Section 50052.5 of the Health and
13Safety Code. The local government shall enforce an equity sharing
14agreement, unless it is in conflict with the requirements of another
15public funding source or law. The following apply to the equity
16sharing agreement:

17(A) Upon resale, the seller of the unit shall retain the value of
18any improvements, the downpayment, and the seller’s proportionate
19share of appreciation. The local government shall recapture any
20initial subsidy, as defined in subparagraph (B), and its proportionate
21share of appreciation, as defined in subparagraph (C), which
22amount shall be used within five years for any of the purposes
23described in subdivision (e) of Section 33334.2 of the Health and
24Safety Code that promote home ownership.

25(B) For purposes of this subdivision, the local government’s
26initial subsidy shall be equal to the fair market value of the home
27at the time of initial sale minus the initial sale price to the
28moderate-income household, plus the amount of any downpayment
29assistance or mortgage assistance. If upon resale the market value
30is lower than the initial market value, then the value at the time of
31the resale shall be used as the initial market value.

32(C) For purposes of this subdivision, the local government’s
33proportionate share of appreciation shall be equal to the ratio of
34the local government’s initial subsidy to the fair market value of
35the home at the time of initial sale.

36(3) (A) An applicant shall be ineligible for a density bonus or
37any other incentives or concessions under this section if the housing
38development is proposed on any property that includes a parcel or
39parcels on which rental dwelling units are or, if the dwelling units
40have been vacated or demolished in the five-year period preceding
P5    1the application, have been subject to a recorded covenant,
2ordinance, or law that restricts rents to levels affordable to persons
3and families of lower or very low income; subject to any other
4form of rent or price control through a public entity’s valid exercise
5of its police power; or occupied by lower or very low income
6households, unless the proposed housing development replaces
7those units, and either of the following applies:

8(i) The proposed housing development, inclusive of the units
9replaced pursuant to this paragraph, contains affordable units at
10the percentages set forth in subdivision (b).

11(ii) Each unit in the development, exclusive of a manager’s unit
12or units, is affordable to, and occupied by, either a lower or very
13low income household.

14(B) For the purposes of this paragraph, “replace” shall mean
15 either of the following:

16(i) If any dwelling units described in subparagraph (A) are
17occupied on the date of application, the proposed housing
18development shall provide at least the same number of units of
19equivalent sizebegin delete or type, or both,end delete to be made available at affordable
20rent or affordable housing cost to, and occupied by, persons and
21families in the same or lower income category as those households
22in occupancy. If the income category of the household in occupancy
23is not known, it shall be rebuttably presumed that lower income
24renter households occupied these units in the same proportion of
25lower income renter households to all renter households within
26the jurisdiction, as determined by the most recently available data
27from the United States Department of Housing and Urban
28Development’s Comprehensive Housing Affordability Strategy
29database. For unoccupied dwelling units described in subparagraph
30(A) in a development with occupied units, the proposed housing
31development shall provide units of equivalent sizebegin delete or type, or both,end delete
32 to be made available at affordable rent or affordable housing cost
33to, and occupied by, persons and families in the same or lower
34income categorybegin delete in the same proportion of affordability as the
35occupied units.end delete
begin insert as the last household in occupancy. If the income
36category of the last household in occupancy is not known, it shall
37be rebuttably presumed that lower income renter households
38occupied these units in the same proportion of lower income renter
39households to all renter households within the jurisdiction, as
40determined by the most recently available data from the United
P6    1States Department of Housing and Urban Development’s
2Comprehensive Housing Affordability Strategy database.end insert
All
3replacement calculations resulting in fractional units shall be
4rounded up to the next whole number. If the replacement units will
5be rental dwelling units, these units shall be subject to a recorded
6affordability restriction for at least 55 years. If the proposed
7development is for-sale units, the units replaced shall be subject
8to paragraph (2).

9(ii) If all dwelling units described in subparagraph (A) have
10been vacated or demolished within the five-year period preceding
11the application, the proposed housing development shall provide
12at least the same number of units of equivalent sizebegin delete or type, or
13both,end delete
as existed at the highpoint of those units in the five-year
14period preceding the application to be made available at affordable
15rent or affordable housing cost to, and occupied by, persons and
16families in the same or lower income category as those persons
17and families in occupancy at that time, if known. If the incomes
18of the persons and families in occupancy at the highpoint is not
19known, it shall be rebuttably presumed that low-income and very
20low income renter households occupied these units in the same
21proportion of low-income and very low income renter households
22to all renter households within the jurisdiction, as determined by
23the most recently available data from the United States Department
24of Housing and Urban Development’s Comprehensive Housing
25Affordability Strategy database. All replacement calculations
26resulting in fractional units shall be rounded up to the next whole
27number. If the replacement units will be rental dwelling units,
28these units shall be subject to a recorded affordability restriction
29for at least 55 years. If the proposed development is for-sale units,
30the units replaced shall be subject to paragraph (2).

31(C) Notwithstanding subparagraph (B), for any dwelling unit
32described in subparagraph (A) that is orbegin delete wasend deletebegin insert was, within the
33five-year period preceend insert
begin insertding the application,end insert subject to a form of
34rent or price control through a local government’s valid exercise
35of its police power and that is or was occupied by persons or
36families above lower income, the city, county, or city and county
37may do either of the following:

38(i) Require that the replacement units be made available at
39affordable rent or affordable housing cost to, and occupied by,
40low-income persons or families. If the replacement units will be
P7    1rental dwelling units, these units shall be subject to a recorded
2affordability restriction for at least 55 years. If the proposed
3development is for-sale units, the units replaced shall be subject
4to paragraph (2).

5(ii) Require that the units be replaced in compliance with the
6jurisdiction’s rent or price control ordinance, provided that each
7unit described in subparagraph (A) is replaced.begin insert Unless otherwise
8required by the jurisdiction’s rent or price control ordinance, these
9units shall not be subject to a recorded affordability restriction.end insert

begin insert

10
(D) For purposes of this paragraph, “equivalent size” means
11that the replacement units contain at least the same total number
12of bedrooms as the units being replaced.

end insert
begin delete

7 13(D)

end delete

14begin insert(E)end insert Subparagraph (A) does not apply to an applicant seeking a
15density bonus for a proposed housing development if his or her
16application was submitted to, or processed by, a city, county, or
17city and county before January 1, 2015.

18(d) (1) An applicant for a density bonus pursuant to subdivision
19(b) may submit to a city, county, or city and county a proposal for
20the specific incentives or concessions that the applicant requests
21pursuant to this section, and may request a meeting with the city,
22county, or city and county. The city, county, or city and county
23shall grant the concession or incentive requested by the applicant
24unless the city, county, or city and county makes a written finding,
25based upon substantial evidence, of any of the following:

26(A) The concession or incentive is not required in order to
27provide for affordable housing costs, as defined in Section 50052.5
28of the Health and Safety Code, or for rents for the targeted units
29to be set as specified in subdivision (c).

30(B) The concession or incentive would have a specific, adverse
31impact, as defined in paragraph (2) of subdivision (d) of Section
3265589.5, upon public health and safety or the physical environment
33or on any real property that is listed in the California Register of
34Historical Resources and for which there is no feasible method to
35satisfactorily mitigate or avoid the specific, adverse impact without
36rendering the development unaffordable to low- and
37moderate-income households.

38(C) The concession or incentive would be contrary to state or
39federal law.

P8    1(2) The applicant shall receive the following number of
2incentives or concessions:

3(A) One incentive or concession for projects that include at least
410 percent of the total units for lower income households, at least
55 percent for very low income households, or at least 10 percent
6for persons and families of moderate income in a common interest
7development.

8(B) Two incentives or concessions for projects that include at
9least 20 percent of the total units for lower income households, at
10least 10 percent for very low income households, or at least 20
11percent for persons and families of moderate income in a common
12interest development.

13(C) Three incentives or concessions for projects that include at
14least 30 percent of the total units for lower income households, at
15least 15 percent for very low income households, or at least 30
16percent for persons and families of moderate income in a common
17interest development.

18(3) The applicant may initiate judicial proceedings if the city,
19county, or city and county refuses to grant a requested density
20bonus, incentive, or concession. If a court finds that the refusal to
21grant a requested density bonus, incentive, or concession is in
22violation of this section, the court shall award the plaintiff
23reasonable attorney’s fees and costs of suit. Nothing in this
24subdivision shall be interpreted to require a local government to
25grant an incentive or concession that has a specific, adverse impact,
26as defined in paragraph (2) of subdivision (d) of Section 65589.5,
27upon health, safety, or the physical environment, and for which
28there is no feasible method to satisfactorily mitigate or avoid the
29specific adverse impact. Nothing in this subdivision shall be
30interpreted to require a local government to grant an incentive or
31concession that would have an adverse impact on any real property
32that is listed in the California Register of Historical Resources.
33The city, county, or city and county shall establish procedures for
34carrying out this section, that shall include legislative body
35approval of the means of compliance with this section.

36(e) (1) In no case may a city, county, or city and county apply
37any development standard that will have the effect of physically
38precluding the construction of a development meeting the criteria
39of subdivision (b) at the densities or with the concessions or
40incentives permitted by this section. An applicant may submit to
P9    1a city, county, or city and county a proposal for the waiver or
2reduction of development standards that will have the effect of
3physically precluding the construction of a development meeting
4the criteria of subdivision (b) at the densities or with the
5concessions or incentives permitted under this section, and may
6request a meeting with the city, county, or city and county. If a
7court finds that the refusal to grant a waiver or reduction of
8development standards is in violation of this section, the court
9shall award the plaintiff reasonable attorney’s fees and costs of
10suit. Nothing in this subdivision shall be interpreted to require a
11local government to waive or reduce development standards if the
12waiver or reduction would have a specific, adverse impact, as
13defined in paragraph (2) of subdivision (d) of Section 65589.5,
14upon health, safety, or the physical environment, and for which
15there is no feasible method to satisfactorily mitigate or avoid the
16specific adverse impact. Nothing in this subdivision shall be
17interpreted to require a local government to waive or reduce
18development standards that would have an adverse impact on any
19real property that is listed in the California Register of Historical
20Resources, or to grant any waiver or reduction that would be
21contrary to state or federal law.

22(2) A proposal for the waiver or reduction of development
23standards pursuant to this subdivision shall neither reduce nor
24increase the number of incentives or concessions to which the
25applicant is entitled pursuant to subdivision (d).

26(f) For the purposes of this chapter, “density bonus” means a
27density increase over the otherwise maximum allowable residential
28density as of the date of application by the applicant to the city,
29county, or city and county. The applicant may elect to accept a
30lesser percentage of density bonus. The amount of density bonus
31to which the applicant is entitled shall vary according to the amount
32by which the percentage of affordable housing units exceeds the
33percentage established in subdivision (b).

34(1) For housing developments meeting the criteria of
35subparagraph (A) of paragraph (1) of subdivision (b), the density
36bonus shall be calculated as follows:


37

 

Percentage Low-Income UnitsPercentage Density Bonus
1020 
1121.5
1223 
1324.5
1426 
1527.5
1730.5
1832 
1933.5
2035 
P10  1014P10  2330P10  2335P10  18

 

11(2) For housing developments meeting the criteria of
12subparagraph (B) of paragraph (1) of subdivision (b), the density
13bonus shall be calculated as follows:

 

Percentage Very Low Income UnitsPercentage Density Bonus
520 
622.5
725 
827.5
930 
1032.5
1135 
P10  2330P10  2335P10  18

 

24(3) For housing developments meeting the criteria of
25subparagraph (C) of paragraph (1) of subdivision (b), the density
26bonus shall be 20 percent of the number of senior housing units.

27(4) For housing developments meeting the criteria of
28subparagraph (D) of paragraph (1) of subdivision (b), the density
29bonus shall be calculated as follows:

 

Percentage Moderate-Income UnitsPercentage Density Bonus
105
116
127
138
149
1510
1611
1712
1813
1914
2015
2116
2217
2318
2419
2520
2621
2722
2823
2924
3025
3126
3227
3328
3429
3530
3631
3732
3833
3934
4035
P10  2335P10  18

 

24(5) All density calculations resulting in fractional units shall be
25rounded up to the next whole number. The granting of a density
26bonus shall not be interpreted, in and of itself, to require a general
27plan amendment, local coastal plan amendment, zoning change,
28or other discretionary approval.

29(g) (1) When an applicant for a tentative subdivision map,
30parcel map, or other residential development approval donates
31land to a city, county, or city and county in accordance with this
32subdivision, the applicant shall be entitled to a 15-percent increase
33above the otherwise maximum allowable residential density for
34the entire development, as follows:

 

Percentage Very Low IncomePercentage Density Bonus
1015
1116
1217
1318
1419
1520
1621
1722
1823
1924
2025
2126
2227
2328
2429
2530
2631
2732
2833
2934
3035
P10  18

 

19(2) This increase shall be in addition to any increase in density
20mandated by subdivision (b), up to a maximum combined mandated
21density increase of 35 percent if an applicant seeks an increase
22pursuant to both this subdivision and subdivision (b). All density
23calculations resulting in fractional units shall be rounded up to the
24next whole number. Nothing in this subdivision shall be construed
25to enlarge or diminish the authority of a city, county, or city and
26county to require a developer to donate land as a condition of
27development. An applicant shall be eligible for the increased
28density bonus described in this subdivision if all of the following
29conditions are met:

30(A) The applicant donates and transfers the land no later than
31the date of approval of the final subdivision map, parcel map, or
32residential development application.

33(B) The developable acreage and zoning classification of the
34land being transferred are sufficient to permit construction of units
35affordable to very low income households in an amount not less
36than 10 percent of the number of residential units of the proposed
37development.

38(C) The transferred land is at least one acre in size or of
39sufficient size to permit development of at least 40 units, has the
40appropriate general plan designation, is appropriately zoned with
P13   1appropriate development standards for development at the density
2described in paragraph (3) of subdivision (c) of Section 65583.2,
3and is or will be served by adequate public facilities and
4 infrastructure.

5(D) The transferred land shall have all of the permits and
6approvals, other than building permits, necessary for the
7development of the very low income housing units on the
8transferred land, not later than the date of approval of the final
9subdivision map, parcel map, or residential development
10application, except that the local government may subject the
11proposed development to subsequent design review to the extent
12authorized by subdivision (i) of Section 65583.2 if the design is
13not reviewed by the local government prior to the time of transfer.

14(E) The transferred land and the affordable units shall be subject
15to a deed restriction ensuring continued affordability of the units
16consistent with paragraphs (1) and (2) of subdivision (c), which
17shall be recorded on the property at the time of the transfer.

18(F) The land is transferred to the local agency or to a housing
19developer approved by the local agency. The local agency may
20require the applicant to identify and transfer the land to the
21developer.

22(G) The transferred land shall be within the boundary of the
23proposed development or, if the local agency agrees, within
24one-quarter mile of the boundary of the proposed development.

25(H) A proposed source of funding for the very low income units
26shall be identified not later than the date of approval of the final
27subdivision map, parcel map, or residential development
28application.

29(h) (1) When an applicant proposes to construct a housing
30development that conforms to the requirements of subdivision (b)
31and includes a child care facility that will be located on the
32premises of, as part of, or adjacent to, the project, the city, county,
33or city and county shall grant either of the following:

34(A) An additional density bonus that is an amount of square
35feet of residential space that is equal to or greater than the amount
36of square feet in the child care facility.

37(B) An additional concession or incentive that contributes
38significantly to the economic feasibility of the construction of the
39child care facility.

P14   1(2) The city, county, or city and county shall require, as a
2condition of approving the housing development, that the following
3occur:

4(A) The child care facility shall remain in operation for a period
5of time that is as long as or longer than the period of time during
6which the density bonus units are required to remain affordable
7 pursuant to subdivision (c).

8(B) Of the children who attend the child care facility, the
9children of very low income households, lower income households,
10or families of moderate income shall equal a percentage that is
11equal to or greater than the percentage of dwelling units that are
12required for very low income households, lower income
13households, or families of moderate income pursuant to subdivision
14(b).

15(3) Notwithstanding any requirement of this subdivision, a city,
16county, or city and county shall not be required to provide a density
17bonus or concession for a child care facility if it finds, based upon
18substantial evidence, that the community has adequate child care
19facilities.

20(4) “Child care facility,” as used in this section, means a child
21day care facility other than a family day care home, including, but
22 not limited to, infant centers, preschools, extended day care
23facilities, and schoolage child care centers.

24(i) “Housing development,” as used in this section, means a
25development project for five or more residential units. For the
26purposes of this section, “housing development” also includes a
27subdivision or common interest development, as defined in Section
284100 of the Civil Code, approved by a city, county, or city and
29county and consists of residential units or unimproved residential
30lots and either a project to substantially rehabilitate and convert
31an existing commercial building to residential use or the substantial
32rehabilitation of an existing multifamily dwelling, as defined in
33subdivision (d) of Section 65863.4, where the result of the
34rehabilitation would be a net increase in available residential units.
35For the purpose of calculating a density bonus, the residential units
36shall be on contiguous sites that are the subject of one development
37application, but do not have to be based upon individual
38subdivision maps or parcels. The density bonus shall be permitted
39in geographic areas of the housing development other than the
40areas where the units for the lower income households are located.

P15   1(j) (1) The granting of a concession or incentive shall not be
2interpreted, in and of itself, to require a general plan amendment,
3local coastal plan amendment, zoning change, or other discretionary
4approval. This provision is declaratory of existing law.

5(2) Except as provided in subdivisions (d) and (e), the granting
6of a density bonus shall not be interpreted to require the waiver of
7a local ordinance or provisions of a local ordinance unrelated to
8development standards.

9(k) For the purposes of this chapter, concession or incentive
10 means any of the following:

11(1) A reduction in site development standards or a modification
12of zoning code requirements or architectural design requirements
13that exceed the minimum building standards approved by the
14California Building Standards Commission as provided in Part 2.5
15(commencing with Section 18901) of Division 13 of the Health
16and Safety Code, including, but not limited to, a reduction in
17setback and square footage requirements and in the ratio of
18vehicular parking spaces that would otherwise be required that
19results in identifiable, financially sufficient, and actual cost
20reductions.

21(2) Approval of mixed-use zoning in conjunction with the
22housing project if commercial, office, industrial, or other land uses
23will reduce the cost of the housing development and if the
24commercial, office, industrial, or other land uses are compatible
25with the housing project and the existing or planned development
26in the area where the proposed housing project will be located.

27(3) Other regulatory incentives or concessions proposed by the
28developer or the city, county, or city and county that result in
29identifiable, financially sufficient, and actual cost reductions.

30(l) Subdivision (k) does not limit or require the provision of
31direct financial incentives for the housing development, including
32the provision of publicly owned land, by the city, county, or city
33and county, or the waiver of fees or dedication requirements.

34(m) This section does not supersede or in any way alter or lessen
35the effect or application of the California Coastal Act of 1976
36(Division 20 (commencing with Section 30000) of the Public
37Resources Code).

38(n) If permitted by local ordinance, nothing in this section shall
39be construed to prohibit a city, county, or city and county from
40granting a density bonus greater than what is described in this
P16   1section for a development that meets the requirements of this
2section or from granting a proportionately lower density bonus
3than what is required by this section for developments that do not
4meet the requirements of this section.

5(o) For purposes of this section, the following definitions shall
6apply:

7(1) “Development standard” includes a site or construction
8condition, including, but not limited to, a height limitation, a
9setback requirement, a floor area ratio, an onsite open-space
10requirement, or a parking ratio that applies to a residential
11development pursuant to any ordinance, general plan element,
12specific plan, charter, or other local condition, law, policy,
13 resolution, or regulation.

14(2) “Maximum allowable residential density” means the density
15allowed under the zoning ordinance and land use element of the
16general plan, or if a range of density is permitted, means the
17maximum allowable density for the specific zoning range and land
18use element of the general plan applicable to the project. Where
19the density allowed under the zoning ordinance is inconsistent
20with the density allowed under the land use element of the general
21plan, the general plan density shall prevail.

22(p) (1) Except as provided in paragraphs (2) and (3), upon the
23request of the developer, a city, county, or city and county shall
24not require a vehicular parking ratio, inclusive of handicapped and
25guest parking, of a development meeting the criteria of subdivisions
26(b) and (c), that exceeds the following ratios:

27(A) Zero to one bedroom: one onsite parking space.

28(B) Two to three bedrooms: two onsite parking spaces.

29(C) Four and more bedrooms: two and one-half parking spaces.

30(2) Notwithstanding paragraph (1), if a development includes
31the maximum percentage of low- or very low income units
32provided for in paragraphs (1) and (2) of subdivision (f) and is
33located within one-half mile of a major transit stop, as defined in
34subdivision (b) of Section 21155 of the Public Resources Code,
35and there is unobstructed access to the major transit stop from the
36development, then, upon the request of the developer, a city,
37county, or city and county shall not impose a vehicular parking
38ratio, inclusive of handicapped and guest parking, that exceeds 0.5
39spaces per bedroom. For purposes of this subdivision, a
40development shall have unobstructed access to a major transit stop
P17   1if a resident is able to access the major transit stop without
2encountering natural or constructed impediments.

3(3) Notwithstanding paragraph (1), if a development consists
4solely of rental units, exclusive of a manager’s unit or units, with
5an affordable housing cost to lower income families, as provided
6in Section 50052.5 of the Health and Safety Code, then, upon the
7request of the developer, a city, county, or city and county shall
8not impose a vehicular parking ratio, inclusive of handicapped and
9guest parking, that exceeds the following ratios:

10(A) If the development is located within one-half mile of a major
11transit stop, as defined in subdivision (b) of Section 21155 of the
12Public Resources Code, and there is unobstructed access to the
13major transit stop from the development, the ratio shall not exceed
140.5 spaces per unit.

15(B) If the development is a for-rent housing development for
16individuals who are 62 years of age or older that complies with
17Sections 51.2 and 51.3 of the Civil Code, the ratio shall not exceed
180.5 spaces per unit. The development shall have either paratransit
19service or unobstructed access, within one-half mile, to fixed bus
20route service that operates at least eight times per day.

21(C) If the development is a special needs housing development,
22as defined in Section 51312 of the Health and Safety Code, the
23ratio shall not exceed 0.3 spaces per unit. The development shall
24have either paratransit service or unobstructed access, within
25one-half mile, to fixed bus route service that operates at least eight
26times per day.

27(4) If the total number of parking spaces required for a
28development is other than a whole number, the number shall be
29rounded up to the next whole number. For purposes of this
30subdivision, a development may provide on-site parking through
31tandem parking or uncovered parking, but not through on-street
32parking.

33(5) This subdivision shall apply to a development that meets
34the requirements of subdivisions (b) and (c), but only at the request
35of the applicant. An applicant may request parking incentives or
36concessions beyond those provided in this subdivision pursuant
37to subdivision (d).

38(6) This subdivision does not preclude a city, county, or city
39and county from reducing or eliminating a parking requirement
40for development projects of any type in any location.

P18   1(7) Notwithstanding paragraphs (2) and (3), if a city, county,
2city and county, or an independent consultant has conducted an
3areawide or jurisdictionwide parking study in the last seven years,
4then the city, county, or city and county may impose a higher
5vehicular parking ratio not to exceed the ratio described in
6paragraph (1), based upon substantial evidence found in the parking
7study, that includes, but is not limited to, an analysis of parking
8availability, differing levels of transit access, walkability access
9to transit services, the potential for shared parking, the effect of
10parking requirements on the cost of market-rate and subsidized
11developments, and the lower rates of car ownership for low- and
12very low income individuals, including seniors and special needs
13individuals. The city, county, or city and county shall pay the costs
14of any new study. The city, county, or city and county shall make
15findings, based on a parking study completed in conformity with
16this paragraph, supporting the need for the higher parking ratio.

17begin insert

begin insertSEC. 1.3.end insert  

end insert

begin insertSection 65915 of the end insertbegin insertGovernment Codeend insertbegin insert is amended
18to read:end insert

19

65915.  

(a) When an applicant seeks a density bonus for a
20housing development within, or for the donation of land for housing
21within, the jurisdiction of a city, county, or city and county, that
22local government shall provide the applicant with incentives or
23concessions for the production of housing units and child care
24facilities as prescribed in this section.begin delete All cities, counties, or cities
25and countiesend delete
begin insert A city, county, or city and countyend insert shall adopt an
26ordinance that specifies how compliance with this section will be
27implemented. Failure to adopt an ordinance shall not relieve a city,
28county, or city and county from complying with this section.

29(b) (1) A city, county, or city and county shall grant one density
30bonus, the amount of which shall be as specified in subdivision
31(f), and incentives or concessions, as described in subdivision (d),
32when an applicant for a housing development seeks and agrees to
33construct a housing development, excluding any units permitted
34by the density bonus awarded pursuant to this section, that will
35contain at least any one of the following:

36(A) Ten percent of the total units of a housing development for
37lower income households, as defined in Section 50079.5 of the
38Health and Safety Code.

P19   1(B) Five percent of the total units of a housing development for
2very low income households, as defined in Section 50105 of the
3Health and Safety Code.

4(C) A senior citizen housing development, as defined in Sections
551.3 and 51.12 of the Civil Code, or a mobilehome park that limits
6residency based on age requirements for housing for older persons
7pursuant to Section 798.76 or 799.5 of the Civil Code.

8(D) Ten percent of the total dwelling units in a common interest
9development, as defined in Section 4100 of the Civil Code, for
10persons and families of moderate income, as defined in Section
1150093 of the Health and Safety Code, provided that all units in the
12development are offered to the public for purchase.

begin insert

13
(E) Ten percent of the total units of a housing development for
14transitional foster youth, as defined in Section 66025.9 of the
15Education Code, disabled veterans, as defined in Section 18541,
16or homeless persons, as defined in the federal McKinney-Vento
17Homeless Assistance Act (42 U.S.C. Sec. 11301 et seq.). The units
18described in this subparagraph shall be subject to a recorded
19affordability restriction of 55 years and shall be provided at the
20same affordability level as very low income units.

end insert

21(2) For purposes of calculating the amount of the density bonus
22pursuant to subdivision (f), an applicant who requests a density
23bonus pursuant to this subdivision shall elect whether the bonus
24shall be awarded on the basis of subparagraph (A), (B), (C),begin delete or (D)end delete
25begin insert (D), or (E)end insert of paragraph (1).

26(3) For the purposes of this section, “total units” or “total
27dwelling units” does not include units added by a density bonus
28awarded pursuant to this section or any local law granting a greater
29density bonus.

30(c) (1) An applicant shall agree to, and the city, county, or city
31and county shall ensure, the continued affordability of all very low
32and low-income rental units that qualified the applicant for the
33award of the density bonus for 55 years or a longer period of time
34if required by the construction or mortgage financing assistance
35program, mortgage insurance program, or rental subsidy program.
36Rents for the lower income density bonus units shall be set at an
37affordable rent as defined in Section 50053 of the Health and Safety
38Code.

39(2) An applicant shall agree to, and the city, county, or city and
40county shall ensure that, the initial occupant of all for-sale units
P20   1that qualified the applicant for the award of the density bonus are
2persons and families of very low, low, or moderate income, as
3required, and that the units are offered at an affordable housing
4cost, as that cost is defined in Section 50052.5 of the Health and
5Safety Code. The local government shall enforce an equity sharing
6agreement, unless it is in conflict with the requirements of another
7public funding source or law. The following apply to the equity
8sharing agreement:

9(A) Upon resale, the seller of the unit shall retain the value of
10any improvements, the downpayment, and the seller’s proportionate
11share of appreciation. The local government shall recapture any
12initial subsidy, as defined in subparagraph (B), and its proportionate
13share of appreciation, as defined in subparagraph (C), which
14amount shall be used within five years for any of the purposes
15described in subdivision (e) of Section 33334.2 of the Health and
16Safety Code that promote home ownership.

17(B) For purposes of this subdivision, the local government’s
18initial subsidy shall be equal to the fair market value of the home
19at the time of initial sale minus the initial sale price to the
20moderate-income household, plus the amount of any downpayment
21assistance or mortgage assistance. If upon resale the market value
22is lower than the initial market value, then the value at the time of
23the resale shall be used as the initial market value.

24(C) For purposes of this subdivision, the local government’s
25proportionate share of appreciation shall be equal to the ratio of
26the local government’s initial subsidy to the fair market value of
27the home at the time of initial sale.

28(3) (A) An applicant shall be ineligible for a density bonus or
29any other incentives or concessions under this section if the housing
30development is proposed on any property that includes a parcel or
31 parcels on which rental dwelling units are or, if the dwelling units
32have been vacated or demolished in the five-year period preceding
33the application, have been subject to a recorded covenant,
34ordinance, or law that restricts rents to levels affordable to persons
35and families of lower or very low income; subject to any other
36form of rent or price control through a public entity’s valid exercise
37of its police power; or occupied by lower or very low income
38households, unless the proposed housing development replaces
39those units, and either of the following applies:

P21   1(i) The proposed housing development, inclusive of the units
2replaced pursuant to this paragraph, contains affordable units at
3the percentages set forth in subdivision (b).

4(ii) Each unit in the development, exclusive of a manager’s unit
5or units, is affordable to, and occupied by, either a lower or very
6low income household.

7(B) For the purposes of this paragraph, “replace” shall mean
8either of the following:

9(i) If any dwelling units described in subparagraph (A) are
10occupied on the date of application, the proposed housing
11development shall provide at least the same number of units of
12equivalent sizebegin delete or type, or both,end delete to be made available at affordable
13rent or affordable housing cost to, and occupied by, persons and
14families in the same or lower income category as those households
15in occupancy.begin insert If the income category of the household in occupancy
16is not known, it shall be rebuttably presumed that lower income
17renter households occupied these units in the same proportion of
18lower income renter households to all renter households within
19the jurisdiction, as determined by the most recently available data
20from the United States Department of Housing and Urban
21Development’s Comprehensive Housing Affordability Strategy
22database.end insert
For unoccupied dwelling units described in subparagraph
23(A) in a development with occupied units, the proposed housing
24development shall provide units of equivalent sizebegin delete or type, or both,end delete
25 to be made available at affordable rent or affordable housing cost
26to, and occupied by, persons and families in the same or lower
27income categorybegin delete in the same proportion of affordability as the
28occupied units.end delete
begin insert as the last household in occupancy.end insertbegin insert If the income
29category of the last household in occupancy is not known, it shall
30be rebuttably presumed that lower income renter households
31occupied theseend insert
begin insert units in the same proportion of lower income renter
32households to all renter households within the jurisdiction, as
33determined by the most recently available data from the United
34States Department of Housing and Urban Development’s
35Comprehensive Housing Affordability Strategy database.end insert
All
36replacement calculations resulting in fractional units shall be
37rounded up to the next whole number. If the replacement units will
38be rental dwelling units, these units shall be subject to a recorded
39affordability restriction for at least 55 years. If the proposed
P22   1development is for-sale units, the units replaced shall be subject
2to paragraph (2).

3(ii) If all dwelling units described in subparagraph (A) have
4been vacated or demolished within the five-year period preceding
5the application, the proposed housing development shall provide
6at least the same number of units of equivalent sizebegin delete or type, or
7both,end delete
as existed at the highpoint of those units in the five-year
8period preceding the application to be made available at affordable
9rent or affordable housing cost to, and occupied by, persons and
10families in the same or lower income category as those persons
11and families in occupancy at that time, if known. If the incomes
12of the persons and families in occupancy at the highpoint is not
13known, begin delete then one-half of the required units shall be made available
14at affordable rent or affordable housing cost to, and occupied by,end delete

15begin insert it shall be rebuttably presumed that low-income and very low
16income renter households occupied these units in the same
17proportion of low-income andend insert
very low income begin delete persons and
18families and one-half of the required units shall be made available
19for rent at affordable housing costs to, and occupied by,
20low-income persons and families.end delete
begin insert renter households to all renter
21households within the jurisdiction, as determined by the most
22recently available data from the United States Department of
23Housing and Urban Development’s Comprehensive Housing
24Affordability Strategy database.end insert
All replacement calculations
25resulting in fractional units shall be rounded up to the next whole
26number. If the replacement units will be rental dwelling units,
27these units shall be subject to a recorded affordability restriction
28for at least 55 years. If the proposed development is for-sale units,
29the units replaced shall be subject to paragraph (2).

begin insert

30
(C) Notwithstanding subparagraph (B), for any dwelling unit
31described in subparagraph (A) that is or was, within the five-year
32period preceding the application, subject to a form of rent or price
33control through a local government’s valid exercise of its police
34power and that is or was occupied by persons or families above
35lower income, the city, county, or city and county may do either
36of the following:

end insert
begin insert

37
(i) Require that the replacement units be made available at
38affordable rent or affordable housing cost to, and occupied by,
39low-income persons or families. If the replacement units will be
40rental dwelling units, these units shall be subject to a recorded
P23   1affordability restriction for at least 55 years. If the proposed
2development is for-sale units, the units replaced shall be subject
3to paragraph (2).

end insert
begin insert

4
(ii) Require that the units be replaced in compliance with the
5jurisdiction’s rent or price control ordinance, provided that each
6unit described in subparagraph (A) is replaced. Unless otherwise
7required by the jurisdiction’s rent or price control ordinance, these
8units shall not be subject to a recorded affordability restriction.

end insert
begin insert

9
(D) For purposes of this paragraph, “equivalent size” means
10that the replacement units contain at least the same total number
11of bedrooms as the units being replaced.

end insert
begin delete

12(C) Paragraph (3) of subdivision (c)

end delete

13begin insert (E)end insertbegin insertend insertbegin insertSubparagraph (A)end insert does not apply to an applicant seeking
14a density bonus for a proposed housing development if his or her
15application was submitted to, or processed by, a city, county, or
16city and county before January 1, 2015.

17(d) (1) An applicant for a density bonus pursuant to subdivision
18(b) may submit to a city, county, or city and county a proposal for
19the specific incentives or concessions that the applicant requests
20pursuant to this section, and may request a meeting with the city,
21county, or city and county. The city, county, or city and county
22shall grant the concession or incentive requested by the applicant
23unless the city, county, or city and county makes a written finding,
24based upon substantial evidence, of any of the following:

25(A) The concession or incentive is not required in order to
26provide for affordable housing costs, as defined in Section 50052.5
27of the Health and Safety Code, or for rents for the targeted units
28to be set as specified in subdivision (c).

29(B) The concession or incentive would have abegin delete specificend deletebegin insert specific,end insert
30 adverse impact, as defined in paragraph (2) of subdivision (d) of
31Section 65589.5, upon public health and safety or the physical
32environment or on any real property that is listed in the California
33Register of Historical Resources and for which there is no feasible
34method to satisfactorily mitigate or avoid thebegin delete specificend deletebegin insert specific,end insert
35 adverse impact without rendering the development unaffordable
36to low- and moderate-income households.

37(C) The concession or incentive would be contrary to state or
38federal law.

39(2) The applicant shall receive the following number of
40incentives or concessions:

P24   1(A) One incentive or concession for projects that include at least
210 percent of the total units for lower income households, at least
35 percent for very low income households, or at least 10 percent
4for persons and families of moderate income in a common interest
5development.

6(B) Two incentives or concessions for projects that include at
7least 20 percent of the total units for lower income households, at
8least 10 percent for very low income households, or at least 20
9percent for persons and families of moderate income in a common
10interest development.

11(C) Three incentives or concessions for projects that include at
12least 30 percent of the total units for lower income households, at
13least 15 percent for very low income households, or at least 30
14percent for persons and families of moderate income in a common
15interest development.

16(3) The applicant may initiate judicial proceedings if the city,
17county, or city and county refuses to grant a requested density
18bonus, incentive, or concession. If a court finds that the refusal to
19grant a requested density bonus, incentive, or concession is in
20violation of this section, the court shall award the plaintiff
21reasonable attorney’s fees and costs of suit. Nothing in this
22subdivision shall be interpreted to require a local government to
23grant an incentive or concession that has a specific, adverse impact,
24as defined in paragraph (2) of subdivision (d) of Section 65589.5,
25upon health, safety, or the physical environment, and for which
26there is no feasible method to satisfactorily mitigate or avoid the
27specific adverse impact. Nothing in this subdivision shall be
28interpreted to require a local government to grant an incentive or
29concession that would have an adverse impact on any real property
30that is listed in the California Register of Historical Resources.
31The city, county, or city and county shall establish procedures for
32carrying out this section, that shall include legislative body
33approval of the means of compliance with this section.

34(e) (1) In no case may a city, county, or city and county apply
35any development standard that will have the effect of physically
36precluding the construction of a development meeting the criteria
37of subdivision (b) at the densities or with the concessions or
38 incentives permitted by this section. An applicant may submit to
39a city, county, or city and county a proposal for the waiver or
40reduction of development standards that will have the effect of
P25   1physically precluding the construction of a development meeting
2the criteria of subdivision (b) at the densities or with the
3concessions or incentives permitted under this section, and may
4request a meeting with the city, county, or city and county. If a
5court finds that the refusal to grant a waiver or reduction of
6development standards is in violation of this section, the court
7shall award the plaintiff reasonable attorney’s fees and costs of
8suit. Nothing in this subdivision shall be interpreted to require a
9local government to waive or reduce development standards if the
10waiver or reduction would have a specific, adverse impact, as
11defined in paragraph (2) of subdivision (d) of Section 65589.5,
12upon health, safety, or the physical environment, and for which
13there is no feasible method to satisfactorily mitigate or avoid the
14specific adverse impact. Nothing in this subdivision shall be
15interpreted to require a local government to waive or reduce
16development standards that would have an adverse impact on any
17real property that is listed in the California Register of Historical
18Resources, or to grant any waiver or reduction that would be
19contrary to state or federal law.

20(2) A proposal for the waiver or reduction of development
21standards pursuant to this subdivision shall neither reduce nor
22increase the number of incentives or concessions to which the
23applicant is entitled pursuant to subdivision (d).

24(f) For the purposes of this chapter, “density bonus” means a
25density increase over the otherwise maximum allowable residential
26density as of the date of application by the applicant to the city,
27county, or city and county. The applicant may elect to accept a
28lesser percentage of density bonus. The amount of density bonus
29to which the applicant is entitled shall vary according to the amount
30by which the percentage of affordable housing units exceeds the
31percentage established in subdivision (b).

32(1) For housing developments meeting the criteria of
33subparagraph (A) of paragraph (1) of subdivision (b), the density
34bonus shall be calculated as follows:


35

 

Percentage Low-Income UnitsPercentage Density Bonus
1020 
1121.5
1223 
1324.5
1426 
1527.5
1730.5
1832 
1933.5
2035 
P26   812P26  2132P26  2537P26  20

 

9(2) For housing developments meeting the criteria of
10subparagraph (B) of paragraph (1) of subdivision (b), the density
11bonus shall be calculated as follows:

 

Percentage Very Low Income UnitsPercentage Density Bonus
520 
622.5
725 
827.5
930 
1032.5
1135 
P26  2132P26  2537P26  20

 

22(3) begin insert(A)end insertbegin insertend insert For housing developments meeting the criteria of
23subparagraph (C) of paragraph (1) of subdivision (b), the density
24bonus shall be 20 percent of the number of senior housing units.

begin insert

25
(4) For housing developments meeting the criteria of
26subparagraph (E) of paragraph (1) of subdivision (b), the density
27bonus shall be 20 percent of the number of the type of units giving
28rise to a density bonus under that subparagraph.

end insert

29(4) For housing developments meeting the criteria of
30subparagraph (D) of paragraph (1) of subdivision (b), the density
31bonus shall be calculated as follows:

 

Percentage Moderate-Income UnitsPercentage Density Bonus
105
116
127
138
149
1510
1611
1712
1813
1914
2015
2116
2217
2318
2419
2520
2621
2722
2823
2924
3025
3126
3227
3328
3429
3530
3631
3732
3833
3934
4035
P26  2537P26  20

 

26(5) All density calculations resulting in fractional units shall be
27rounded up to the next whole number. The granting of a density
28bonus shall not be interpreted, in and of itself, to require a general
29plan amendment, local coastal plan amendment, zoning change,
30or other discretionary approval.

31(g) (1) When an applicant for a tentative subdivision map,
32parcel map, or other residential development approval donates
33land to a city, county, or city and county in accordance with this
34subdivision, the applicant shall be entitled to a 15-percent increase
35above the otherwise maximum allowable residential density for
36the entire development, as follows:

 

Percentage Very Low IncomePercentage Density Bonus
1015
1116
1217
1318
1419
1520
1621
1722
1823
1924
2025
2126
2227
2328
2429
2530
2631
2732
2833
2934
3035
P26  20

 

21(2) This increase shall be in addition to any increase in density
22mandated by subdivision (b), up to a maximum combined mandated
23density increase of 35 percent if an applicant seeks an increase
24pursuant to both this subdivision and subdivision (b). All density
25calculations resulting in fractional units shall be rounded up to the
26next whole number. Nothing in this subdivision shall be construed
27to enlarge or diminish the authority of a city, county, or city and
28county to require a developer to donate land as a condition of
29development. An applicant shall be eligible for the increased
30density bonus described in this subdivision if all of the following
31conditions are met:

32(A) The applicant donates and transfers the land no later than
33the date of approval of the final subdivision map, parcel map, or
34residential development application.

35(B) The developable acreage and zoning classification of the
36land being transferred are sufficient to permit construction of units
37affordable to very low income households in an amount not less
38than 10 percent of the number of residential units of the proposed
39development.

P29   1(C) The transferred land is at least one acre in size or of
2sufficient size to permit development of at least 40 units, has the
3appropriate general plan designation, is appropriately zoned with
4appropriate development standards for development at the density
5described in paragraph (3) of subdivision (c) of Section 65583.2,
6and is or will be served by adequate public facilities and
7infrastructure.

8(D) The transferred land shall have all of the permits and
9approvals, other than building permits, necessary for the
10development of the very low income housing units on the
11transferred land, not later than the date of approval of the final
12subdivision map, parcel map, or residential development
13application, except that the local government may subject the
14proposed development to subsequent design review to the extent
15authorized by subdivision (i) of Section 65583.2 if the design is
16not reviewed by the local government prior to the time of transfer.

17(E) The transferred land and the affordable units shall be subject
18to a deed restriction ensuring continued affordability of the units
19 consistent with paragraphs (1) and (2) of subdivision (c), which
20shall be recorded on the property at the time of the transfer.

21(F) The land is transferred to the local agency or to a housing
22developer approved by the local agency. The local agency may
23require the applicant to identify and transfer the land to the
24developer.

25(G) The transferred land shall be within the boundary of the
26proposed development or, if the local agency agrees, within
27one-quarter mile of the boundary of the proposed development.

28(H) A proposed source of funding for the very low income units
29shall be identified not later than the date of approval of the final
30subdivision map, parcel map, or residential development
31application.

32(h) (1) When an applicant proposes to construct a housing
33development that conforms to the requirements of subdivision (b)
34and includes a child care facility that will be located on the
35premises of, as part of, or adjacent to, the project, the city, county,
36or city and county shall grant either of the following:

37(A) An additional density bonus that is an amount of square
38feet of residential space that is equal to or greater than the amount
39of square feet in the child care facility.

P30   1(B) An additional concession or incentive that contributes
2significantly to the economic feasibility of the construction of the
3child care facility.

4(2) The city, county, or city and county shall require, as a
5condition of approving the housing development, that the following
6occur:

7(A) The child care facility shall remain in operation for a period
8of time that is as long as or longer than the period of time during
9which the density bonus units are required to remain affordable
10pursuant to subdivision (c).

11(B) Of the children who attend the child care facility, the
12children of very low income households, lower income households,
13or families of moderate income shall equal a percentage that is
14equal to or greater than the percentage of dwelling units that are
15required for very low income households, lower income
16households, or families of moderate income pursuant to subdivision
17(b).

18(3) Notwithstanding any requirement of this subdivision, a city,
19county, or city and county shall not be required to provide a density
20bonus or concession for a child care facility if it finds, based upon
21substantial evidence, that the community has adequate child care
22facilities.

23(4) “Child care facility,” as used in this section, means a child
24day care facility other than a family day care home, including, but
25not limited to, infant centers, preschools, extended day care
26facilities, and schoolage child care centers.

27(i) “Housing development,” as used in this section, means a
28development project for five or more residential units. For the
29purposes of this section, “housing development” also includes a
30subdivision or common interest development, as defined in Section
314100 of the Civil Code, approved by a city, county, or city and
32county and consists of residential units or unimproved residential
33lots and either a project to substantially rehabilitate and convert
34an existing commercial building to residential use or the substantial
35rehabilitation of an existing multifamily dwelling, as defined in
36subdivision (d) of Section 65863.4, where the result of the
37 rehabilitation would be a net increase in available residential units.
38For the purpose of calculating a density bonus, the residential units
39shall be on contiguous sites that are the subject of one development
40application, but do not have to be based upon individual
P31   1subdivision maps or parcels. The density bonus shall be permitted
2in geographic areas of the housing development other than the
3areas where the units for the lower income households are located.

4(j) (1) The granting of a concession or incentive shall not be
5interpreted, in and of itself, to require a general plan amendment,
6local coastal plan amendment, zoning change, or other discretionary
7approval. This provision is declaratory of existing law.

8(2) Except as provided in subdivisions (d) and (e), the granting
9of a density bonus shall not be interpreted to require the waiver of
10a local ordinance or provisions of a local ordinance unrelated to
11development standards.

12(k) For the purposes of this chapter, concession or incentive
13means any of the following:

14(1) A reduction in site development standards or a modification
15of zoning code requirements or architectural design requirements
16that exceed the minimum building standards approved by the
17California Building Standards Commission as provided in Part 2.5
18(commencing with Section 18901) of Division 13 of the Health
19and Safety Code, including, but not limited to, a reduction in
20setback and square footage requirements and in the ratio of
21vehicular parking spaces that would otherwise be required that
22results in identifiable, financially sufficient, and actual cost
23reductions.

24(2) Approval of mixed-use zoning in conjunction with the
25housing project if commercial, office, industrial, or other land uses
26will reduce the cost of the housing development and if the
27commercial, office, industrial, or other land uses are compatible
28with the housing project and the existing or planned development
29in the area where the proposed housing project will be located.

30(3) Other regulatory incentives or concessions proposed by the
31developer or the city, county, or city and county that result in
32identifiable, financially sufficient, and actual cost reductions.

33(l) Subdivision (k) does not limit or require the provision of
34direct financial incentives for the housing development, including
35the provision of publicly owned land, by the city, county, or city
36and county, or the waiver of fees or dedication requirements.

37(m) This section does not supersede or in any way alter or lessen
38the effect or application of the California Coastal Act of 1976
39(Division 20 (commencing with Section 30000) of the Public
40Resources Code).

P32   1(n) If permitted by local ordinance, nothing in this section shall
2be construed to prohibit a city, county, or city and county from
3granting a density bonus greater than what is described in this
4section for a development that meets the requirements of this
5section or from granting a proportionately lower density bonus
6than what is required by this section for developments that do not
7meet the requirements of this section.

8(o) For purposes of this section, the following definitions shall
9apply:

10(1) “Development standard” includes a site or construction
11condition, including, but not limited to, a height limitation, a
12setback requirement, a floor area ratio, an onsite open-space
13requirement, or a parking ratio that applies to a residential
14development pursuant to any ordinance, general plan element,
15specific plan, charter, or other local condition, law, policy,
16resolution, or regulation.

17(2) “Maximum allowable residential density” means the density
18allowed under the zoning ordinance and land use element of the
19general plan, or if a range of density is permitted, means the
20maximum allowable density for the specific zoning range and land
21use element of the general plan applicable to the project. Where
22the density allowed under the zoning ordinance is inconsistent
23with the density allowed under the land use element of the general
24plan, the general plan density shall prevail.

25(p) (1)  Except as provided in paragraphs (2) and (3), upon the
26request of the developer, a city, county, or city and county shall
27not require a vehicular parking ratio, inclusive of handicapped and
28guest parking, of a development meeting the criteria of subdivisions
29(b) and (c), that exceeds the following ratios:

30(A) Zero to one bedroom: one onsite parking space.

31(B) Two to three bedrooms: two onsite parking spaces.

32(C) Four and more bedrooms: two and one-half parking spaces.

33(2) Notwithstanding paragraph (1), if a development includes
34the maximum percentage of low- or very low income units
35provided for in paragraphs (1) and (2) of subdivision (f) and is
36located within one-half mile of a major transit stop, as defined in
37subdivision (b) of Section 21155 of the Public Resources Code,
38and there is unobstructed access to the major transit stop from the
39development, then, upon the request of the developer, a city,
40county, or city and county shall not impose a vehicular parking
P33   1ratio, inclusive of handicapped and guest parking, that exceeds 0.5
2spaces per bedroom. For purposes of this subdivision, a
3development shall have unobstructed access to a major transit stop
4if a resident is able to access the major transit stop without
5encountering natural or constructed impediments.

6(3) Notwithstanding paragraph (1), if a development consists
7solely of rental units, exclusive of a manager’s unit or units, with
8an affordable housing cost to lower income families, as provided
9in Section 50052.5 of the Health and Safety Code, then, upon the
10request of the developer, a city, county, or city and county shall
11not impose a vehicular parking ratio, inclusive of handicapped and
12guest parking, that exceeds the following ratios:

13(A) If the development is located within one-half mile of a major
14transit stop, as defined in subdivision (b) of Section 21155 of the
15Public Resources Code, and there is unobstructed access to the
16major transit stop from the development, the ratio shall not exceed
170.5 spaces per unit.

18(B) If the development is a for-rent housing development for
19individuals who are 62 years of age or older that complies with
20Sections 51.2 and 51.3 of the Civil Code, the ratio shall not exceed
210.5 spaces per unit. The development shall have either paratransit
22service or unobstructed access, within one-half mile, to fixed bus
23route service that operates at least eight times per day.

24(C) If the development is a special needs housing development,
25as defined in Section 51312 of the Health and Safety Code, the
26ratio shall not exceed 0.3 spaces per unit. The development shall
27have either paratransit service or unobstructed access, within
28one-half mile, to fixed bus route service that operates at least eight
29times per day.

30(4) If the total number of parking spaces required for a
31development is other than a whole number, the number shall be
32rounded up to the next whole number. For purposes of this
33subdivision, a development may providebegin delete on-siteend deletebegin insert onsiteend insert parking
34through tandem parking or uncovered parking, but not through
35begin delete on-streetend deletebegin insert onstreetend insert parking.

36(5) This subdivision shall apply to a development that meets
37the requirements of subdivisions (b) and (c), but only at the request
38of the applicant. An applicant may request parking incentives or
39concessions beyond those provided in this subdivision pursuant
40to subdivision (d).

P34   1(6) This subdivision does not preclude a city, county, or city
2and county from reducing or eliminating a parking requirement
3for development projects of any type in any location.

4(7) Notwithstanding paragraphs (2) and (3), if a city, county,
5city and county, or an independent consultant has conducted an
6areawide or jurisdictionwide parking study in the last seven years,
7then the city, county, or city and county may impose a higher
8vehicular parking ratio not to exceed the ratio described in
9paragraph (1), based upon substantial evidence found in the parking
10study, that includes, but is not limited to, an analysis of parking
11availability, differing levels of transit access, walkability access
12to transit services, the potential for shared parking, the effect of
13parking requirements on the cost of market-rate and subsidized
14developments, and the lower rates of car ownership for low- and
15very low income individuals, including seniors and special needs
16individuals. The city, county, or city and county shall pay the costs
17of any new study. The city, county, or city and county shall make
18findings, based on a parking study completed in conformity with
19this paragraph, supporting the need for the higher parking ratio.

20begin insert

begin insertSEC. 1.5.end insert  

end insert

begin insertSection 65915 of the end insertbegin insertGovernment Codeend insertbegin insert is amended
21to read:end insert

22

65915.  

(a) begin insert(1)end insertbegin insertend insert When an applicant seeks a density bonus for
23a housing development within, or for the donation of land for
24housing within, the jurisdiction of a city, county, or city and county,
25that local government shallbegin delete provide the applicant with incentives
26or concessions for the production of housing units and child care
27facilities as prescribed in this section. All cities, counties, or cities
28and countiesend delete
begin insert comply with this section. A city, county, or city and
29countyend insert
shall adopt an ordinance that specifies how compliance
30with this section will be implemented. Failure to adopt an ordinance
31shall not relieve a city, county, or city and county from complying
32with this section.

begin insert

33
(2) A local government shall not condition the submission,
34review, or approval of an application pursuant to this chapter on
35the preparation of an additional report or study that is not
36otherwise required by state law, including this section. This
37subdivision does not prohibit a local government from requiring
38an applicant to provide reasonable documentation to establish
39eligibility for a requested density bonus, incentives or concessions,
40as described in subdivision (d), waivers or reductions of
P35   1development standards, as described in subdivision (e), and
2parking ratios, as described in subdivision (p).

end insert
begin insert

3
(3) In order to provide for the expeditious processing of a
4density bonus application, the local government shall do all of the
5following:

end insert
begin insert

6
(A) Adopt procedures and timelines for processing a density
7bonus application.

end insert
begin insert

8
(B) Provide a list of all documents and information required to
9be submitted with the density bonus application in order for the
10density bonus application to be deemed complete. This list shall
11be consistent with this chapter.

end insert
begin insert

12
(C) Notify the applicant for a density bonus whether the
13application is complete in a manner consistent with Section 65943.

end insert

14(b) (1) A city, county, or city and county shall grant one density
15bonus, the amount of which shall be as specified in subdivision
16(f),begin delete andend deletebegin insert and, if requested by the applicant and consistent with the
17applicable requirements of this section,end insert
incentives or concessions,
18as described in subdivision (d),begin insert waivers or reductions of
19development standards, as described in subdivision (e), and
20parking ratios, as described in subdivision (p),end insert
when an applicant
21for a housing development seeks and agrees to construct a housing
22development, excluding any units permitted by the density bonus
23awarded pursuant to this section, that will contain at least any one
24of the following:

25(A) Ten percent of the total units of a housing development for
26lower income households, as defined in Section 50079.5 of the
27Health and Safety Code.

28(B) Five percent of the total units of a housing development for
29very low income households, as defined in Section 50105 of the
30Health and Safety Code.

31(C) A senior citizen housing development, as defined in Sections
3251.3 and 51.12 of the Civil Code, or a mobilehome park that limits
33residency based on age requirements for housing for older persons
34pursuant to Section 798.76 or 799.5 of the Civil Code.

35(D) Ten percent of the total dwelling units in a common interest
36development, as defined in Section 4100 of the Civil Code, for
37persons and families of moderate income, as defined in Section
3850093 of the Health and Safety Code, provided that all units in the
39development are offered to the public for purchase.

P36   1(2) For purposes of calculating the amount of the density bonus
2pursuant to subdivision (f), an applicant who requests a density
3bonus pursuant to this subdivision shall elect whether the bonus
4shall be awarded on the basis of subparagraph (A), (B), (C), or (D)
5of paragraph (1).

6(3) For the purposes of this section, “total units” or “total
7dwelling units” does not include units added by a density bonus
8awarded pursuant to this section or any local law granting a greater
9density bonus.

10(c) (1) An applicant shall agree to, and the city, county, or city
11and county shall ensure, the continued affordability of all very low
12and low-income rental units that qualified the applicant for the
13award of the density bonus for 55 years or a longer period of time
14if required by the construction or mortgage financing assistance
15program, mortgage insurance program, or rental subsidy program.
16Rents for the lower income density bonus units shall be set at an
17affordable rent as defined in Section 50053 of the Health and Safety
18Code.

19(2) An applicant shall agree to, and the city, county, or city and
20county shall ensure that, the initial occupant of all for-sale units
21that qualified the applicant for the award of the density bonus are
22persons and families of very low, low, or moderate income, as
23required, and that the units are offered at an affordable housing
24cost, as that cost is defined in Section 50052.5 of the Health and
25Safety Code. The local government shall enforce an equity sharing
26agreement, unless it is in conflict with the requirements of another
27public funding source or law. The following apply to the equity
28sharing agreement:

29(A) Upon resale, the seller of the unit shall retain the value of
30any improvements, the downpayment, and the seller’s proportionate
31share of appreciation. The local government shall recapture any
32initial subsidy, as defined in subparagraph (B), and its proportionate
33share of appreciation, as defined in subparagraph (C), which
34amount shall be used within five years for any of the purposes
35described in subdivision (e) of Section 33334.2 of the Health and
36Safety Code that promote home ownership.

37(B) For purposes of this subdivision, the local government’s
38initial subsidy shall be equal to the fair market value of the home
39at the time of initial sale minus the initial sale price to the
40 moderate-income household, plus the amount of any downpayment
P37   1assistance or mortgage assistance. If upon resale the market value
2is lower than the initial market value, then the value at the time of
3the resale shall be used as the initial market value.

4(C) For purposes of this subdivision, the local government’s
5proportionate share of appreciation shall be equal to the ratio of
6the local government’s initial subsidy to the fair market value of
7the home at the time of initial sale.

8(3) (A) An applicant shall be ineligible for a density bonus or
9any other incentives or concessions under this section if the housing
10development is proposed on any property that includes a parcel or
11parcels on which rental dwelling units are or, if the dwelling units
12have been vacated or demolished in the five-year period preceding
13the application, have been subject to a recorded covenant,
14ordinance, or law that restricts rents to levels affordable to persons
15and families of lower or very low income; subject to any other
16form of rent or price control through a public entity’s valid exercise
17of its police power; or occupied by lower or very low income
18households, unless the proposed housing development replaces
19those units, and either of the following applies:

20(i) The proposed housing development, inclusive of the units
21replaced pursuant to this paragraph, contains affordable units at
22the percentages set forth in subdivision (b).

23(ii) Each unit in the development, exclusive of a manager’s unit
24or units, is affordable to, and occupied by, either a lower or very
25low income household.

26(B) For the purposes of this paragraph, “replace” shall mean
27either of the following:

28(i) If any dwelling units described in subparagraph (A) are
29occupied on the date of application, the proposed housing
30development shall provide at least the same number of units of
31equivalent sizebegin delete or type, or both,end delete to be made available at affordable
32rent or affordable housing cost to, and occupied by, persons and
33families in the same or lower income category as those households
34in occupancy.begin insert If the income category of the household in occupancy
35is not known, it shall be rebuttably presumed that lower income
36renter households occupied these units in the same proportion of
37lower income renter households to all renter households within
38the jurisdiction, as determined by the most recently available data
39from the United States Department of Housing and Urban
40Development’s Comprehensive Housing Affordability Strategy
P38   1database.end insert
For unoccupied dwelling units described in subparagraph
2(A) in a development with occupied units, the proposed housing
3development shall provide units of equivalent sizebegin delete or type, or both,end delete
4 to be made available at affordable rent or affordable housing cost
5to, and occupied by, persons and families in the same or lower
6income categorybegin delete in the same proportion of affordability as the
7occupied units.end delete
begin insert as the last household in occupancy.end insertbegin insert If the income
8category of the last household in occupancy is not known, it shall
9be rebuttably presumed that lower income renter households
10occupied theseend insert
begin insert units in the same proportion of lower income renter
11households to all renter households within the jurisdiction, as
12determined by the most recently available data from the United
13States Department of Housing and Urban Development’s
14Comprehensive Housing Affordability Strategy database.end insert
All
15replacement calculations resulting in fractional units shall be
16rounded up to the next whole number. If the replacement units will
17be rental dwelling units, these units shall be subject to a recorded
18affordability restriction for at least 55 years. If the proposed
19development is for-sale units, the units replaced shall be subject
20to paragraph (2).

21(ii) If all dwelling units described in subparagraph (A) have
22been vacated or demolished within the five-year period preceding
23the application, the proposed housing development shall provide
24at least the same number of units of equivalent sizebegin delete or type, or
25both,end delete
as existed at the highpoint of those units in the five-year
26period preceding the application to be made available at affordable
27rent or affordable housing cost to, and occupied by, persons and
28families in the same or lower income category as those persons
29and families in occupancy at that time, if known. If the incomes
30of the persons and families in occupancy at the highpoint is not
31known, begin delete then one-half of the required units shall be made available
32at affordable rent or affordable housing cost to, and occupied by,end delete

33begin insert it shall be rebuttably presumed that low-income and very low
34income renter households occupied these units in the same
35proportion of low-income andend insert
very low income begin delete persons and
36families and one-half of the required units shall be made available
37for rent at affordable housing costs to, and occupied by,
38low-income persons and families.end delete
begin insert renter households to all renter
39households within the jurisdiction, as determined by the most
40recently available data from the United States Department of
P39   1Housing and Urban Development’s Comprehensive Housing
2Affordability Strategy database.end insert
All replacement calculations
3resulting in fractional units shall be rounded up to the next whole
4number. If the replacement units will be rental dwelling units,
5these units shall be subject to a recorded affordability restriction
6for at least 55 years. If the proposed development is for-sale units,
7the units replaced shall be subject to paragraph (2).

begin insert

8
(C) Notwithstanding subparagraph (B), for any dwelling unit
9described in subparagraph (A) that is or was, within the five-year
10period preceding the application, subject to a form of rent or price
11control through a local government’s valid exercise of its police
12power and that is or was occupied by persons or families above
13lower income, the city, county, or city and county may do either
14of the following:

end insert
begin insert

15
(i) Require that the replacement units be made available at
16affordable rent or affordable housing cost to, and occupied by,
17low-income persons or families. If the replacement units will be
18rental dwelling units, these units shall be subject to a recorded
19affordability restriction for at least 55 years. If the proposed
20development is for-sale units, the units replaced shall be subject
21to paragraph (2).

end insert
begin insert

22
(ii) Require that the units be replaced in compliance with the
23jurisdiction’s rent or price control ordinance, provided that each
24unit described in subparagraph (A) is replaced. Unless otherwise
25required by the jurisdiction’s rent or price control ordinance, these
26units shall not be subject to a recorded affordability restriction.

end insert
begin insert

27
(D) For purposes of this paragraph, “equivalent size” means
28that the replacement units contain at least the same total number
29of bedrooms as the units being replaced.

end insert
begin delete

30(C) Paragraph (3) of subdivision (c)

end delete

31begin insert (E)end insertbegin insertend insertbegin insert Subparagraph (A)end insert does not apply to an applicant seeking
32a density bonus for a proposed housing development if his or her
33application was submitted to, or processed by, a city, county, or
34city and county before January 1, 2015.

35(d) (1) An applicant for a density bonus pursuant to subdivision
36(b) may submit to a city, county, or city and county a proposal for
37the specific incentives or concessions that the applicant requests
38pursuant to this section, and may request a meeting with the city,
39county, or city and county. The city, county, or city and county
40shall grant the concession or incentive requested by the applicant
P40   1unless the city, county, or city and county makes a written finding,
2based upon substantial evidence, of any of the following:

3(A) The concession or incentivebegin delete isend deletebegin insert doesend insert notbegin delete required in orderend delete
4begin insert result in identifiable and actual cost reductions, consistent with
5subdivision (k),end insert
to provide for affordable housing costs, as defined
6in Section 50052.5 of the Health and Safety Code, or for rents for
7the targeted units to be set as specified in subdivision (c).

8(B) The concession or incentive would have abegin delete specificend deletebegin insert specific,end insert
9 adverse impact, as defined in paragraph (2) of subdivision (d) of
10Section 65589.5, upon public health and safety or the physical
11environment or on any real property that is listed in the California
12Register of Historical Resources and for which there is no feasible
13method to satisfactorily mitigate or avoid thebegin delete specificend deletebegin insert specific,end insert
14 adverse impact without rendering the development unaffordable
15tobegin delete low-end deletebegin insert low-incomeend insert and moderate-income households.

16(C) The concession or incentive would be contrary to state or
17federal law.

18(2) The applicant shall receive the following number of
19incentives or concessions:

20(A) One incentive or concession for projects that include at least
2110 percent of the total units for lower income households, at least
225 percent for very low income households, or at least 10 percent
23for persons and families of moderate income in a common interest
24development.

25(B) Two incentives or concessions for projects that include at
26least 20 percent of the total units for lower income households, at
27least 10 percent for very low income households, or at least 20
28percent for persons and families of moderate income in a common
29interest development.

30(C) Three incentives or concessions for projects that include at
31least 30 percent of the total units for lower income households, at
32least 15 percent for very low income households, or at least 30
33percent for persons and families of moderate income in a common
34interest development.

35(3) The applicant may initiate judicial proceedings if the city,
36county, or city and county refuses to grant a requested density
37bonus, incentive, or concession. If a court finds that the refusal to
38grant a requested density bonus, incentive, or concession is in
39violation of this section, the court shall award the plaintiff
40reasonable attorney’s fees and costs of suit. Nothing in this
P41   1subdivision shall be interpreted to require a local government to
2grant an incentive or concession that has a specific, adverse impact,
3as defined in paragraph (2) of subdivision (d) of Section 65589.5,
4upon health, safety, or the physical environment, and for which
5there is no feasible method to satisfactorily mitigate or avoid the
6specific adverse impact. Nothing in this subdivision shall be
7interpreted to require a local government to grant an incentive or
8concession that would have an adverse impact on any real property
9that is listed in the California Register of Historical Resources.
10The city, county, or city and county shall establish procedures for
11carrying out this section, that shall include legislative body
12approval of the means of compliance with this section.

begin insert

13
(4) The city, county, or city and county shall bear the burden
14of proof for the denial of a requested concession or incentive.

end insert

15(e) (1) In no case may a city, county, or city and county apply
16any development standard that will have the effect of physically
17precluding the construction of a development meeting the criteria
18of subdivision (b) at the densities or with the concessions or
19incentives permitted by this section. An applicant may submit to
20a city, county, or city and county a proposal for the waiver or
21reduction of development standards that will have the effect of
22physically precluding the construction of a development meeting
23the criteria of subdivision (b) at the densities or with the
24concessions or incentives permitted under this section, and may
25request a meeting with the city, county, or city and county. If a
26court finds that the refusal to grant a waiver or reduction of
27development standards is in violation of this section, the court
28shall award the plaintiff reasonable attorney’s fees and costs of
29suit. Nothing in this subdivision shall be interpreted to require a
30local government to waive or reduce development standards if the
31waiver or reduction would have a specific, adverse impact, as
32defined in paragraph (2) of subdivision (d) of Section 65589.5,
33upon health, safety, or the physical environment, and for which
34there is no feasible method to satisfactorily mitigate or avoid the
35specific adverse impact. Nothing in this subdivision shall be
36interpreted to require a local government to waive or reduce
37development standards that would have an adverse impact on any
38real property that is listed in the California Register of Historical
39Resources, or to grant any waiver or reduction that would be
40contrary to state or federal law.

P42   1(2) A proposal for the waiver or reduction of development
2standards pursuant to this subdivision shall neither reduce nor
3increase the number of incentives or concessions to which the
4applicant is entitled pursuant to subdivision (d).

5(f) For the purposes of this chapter, “density bonus” means a
6density increase over the otherwise maximum allowablebegin insert grossend insert
7 residential density as of the date of application by the applicant to
8the city, county, or city andbegin delete county. The applicant may elect to
9acceptend delete
begin insert county, or, if elected by the applicant,end insert a lesser percentage
10of densitybegin delete bonus.end deletebegin insert increase, including, but not limited to, no increase
11in density.end insert
The amount of densitybegin delete bonusend deletebegin insert increaseend insert to which the
12applicant is entitled shall vary according to the amount by which
13the percentage of affordable housing units exceeds the percentage
14established in subdivision (b).

15(1) For housing developments meeting the criteria of
16subparagraph (A) of paragraph (1) of subdivision (b), the density
17bonus shall be calculated as follows:


18

 

Percentage Low-Income UnitsPercentage Density Bonus
1020 
1121.5
1223 
1324.5
1426 
1527.5
1730.5
1832 
1933.5
2035 
P42  3135P42   411P42   416P42  39

 

32(2) For housing developments meeting the criteria of
33subparagraph (B) of paragraph (1) of subdivision (b), the density
34bonus shall be calculated as follows:

 

Percentage Very Low Income UnitsPercentage Density Bonus
520 
622.5
725 
827.5
930 
1032.5
1135 
P42   411P42   416P42  39

 

5(3) For housing developments meeting the criteria of
6subparagraph (C) of paragraph (1) of subdivision (b), the density
7bonus shall be 20 percent of the number of senior housing units.

8(4) For housing developments meeting the criteria of
9subparagraph (D) of paragraph (1) of subdivision (b), the density
10bonus shall be calculated as follows:

 

Percentage Moderate-Income UnitsPercentage Density Bonus
105
116
127
138
149
1510
1611
1712
1813
1914
2015
2116
2217
2318
2419
2520
2621
2722
2823
2924
3025
3126
3227
3328
3429
3530
3631
3732
3833
3934
4035
P42   416P42  39

 

5(5) All density calculations resulting in fractional units shall be
6rounded up to the next whole number. The granting of a density
7bonus shall notbegin insert require, orend insert be interpreted, in and of itself, to require
8a general plan amendment, local coastal plan amendment, zoning
9change, or other discretionary approval.

10(g) (1) When an applicant for a tentative subdivision map,
11parcel map, or other residential development approval donates
12land to a city, county, or city and county in accordance with this
13subdivision, the applicant shall be entitled to a 15-percent increase
14above the otherwise maximum allowable residential density for
15the entire development, as follows:

 

Percentage Very Low IncomePercentage Density Bonus
1015
1116
1217
1318
1419
1520
1621
1722
1823
1924
2025
2126
2227
2328
2429
2530
2631
2732
2833
2934
3035
P42  39

 

P45   1(2) This increase shall be in addition to any increase in density
2mandated by subdivision (b), up to a maximum combined mandated
3density increase of 35 percent if an applicant seeks an increase
4pursuant to both this subdivision and subdivision (b). All density
5calculations resulting in fractional units shall be rounded up to the
6next whole number. Nothing in this subdivision shall be construed
7to enlarge or diminish the authority of a city, county, or city and
8county to require a developer to donate land as a condition of
9development. An applicant shall be eligible for the increased
10density bonus described in this subdivision if all of the following
11conditions are met:

12(A) The applicant donates and transfers the land no later than
13the date of approval of the final subdivision map, parcel map, or
14residential development application.

15(B) The developable acreage and zoning classification of the
16land being transferred are sufficient to permit construction of units
17affordable to very low income households in an amount not less
18than 10 percent of the number of residential units of the proposed
19development.

20(C) The transferred land is at least one acre in size or of
21sufficient size to permit development of at least 40 units, has the
22appropriate general plan designation, is appropriately zoned with
23appropriate development standards for development at the density
24described in paragraph (3) of subdivision (c) of Section 65583.2,
25and is or will be served by adequate public facilities and
26infrastructure.

27(D) The transferred land shall have all of the permits and
28approvals, other than building permits, necessary for the
29development of the very low income housing units on the
30transferred land, not later than the date of approval of the final
31subdivision map, parcel map, or residential development
32application, except that the local government may subject the
33proposed development to subsequent design review to the extent
34authorized by subdivision (i) of Section 65583.2 if the design is
35not reviewed by the local government prior to the time of transfer.

36(E) The transferred land and the affordable units shall be subject
37to a deed restriction ensuring continued affordability of the units
38consistent with paragraphs (1) and (2) of subdivision (c), which
39shall be recorded on the property at the time of the transfer.

P46   1(F) The land is transferred to the local agency or to a housing
2developer approved by the local agency. The local agency may
3require the applicant to identify and transfer the land to the
4developer.

5(G) The transferred land shall be within the boundary of the
6proposed development or, if the local agency agrees, within
7one-quarter mile of the boundary of the proposed development.

8(H) A proposed source of funding for the very low income units
9shall be identified not later than the date of approval of the final
10subdivision map, parcel map, or residential development
11application.

12(h) (1) When an applicant proposes to construct a housing
13development that conforms to the requirements of subdivision (b)
14and includes a child care facility that will be located on the
15premises of, as part of, or adjacent to, the project, the city, county,
16or city and county shall grant either of the following:

17(A) An additional density bonus that is an amount of square
18feet of residential space that is equal to or greater than the amount
19of square feet in the child care facility.

20(B) An additional concession or incentive that contributes
21significantly to the economic feasibility of the construction of the
22child care facility.

23(2) The city, county, or city and county shall require, as a
24condition of approving the housing development, that the following
25occur:

26(A) The child care facility shall remain in operation for a period
27of time that is as long as or longer than the period of time during
28which the density bonus units are required to remain affordable
29pursuant to subdivision (c).

30(B) Of the children who attend the child care facility, the
31children of very low income households, lower income households,
32or families of moderate income shall equal a percentage that is
33equal to or greater than the percentage of dwelling units that are
34required for very low income households, lower income
35households, or families of moderate income pursuant to subdivision
36(b).

37(3) Notwithstanding any requirement of this subdivision, a city,
38county, or city and county shall not be required to provide a density
39bonus or concession for a child care facility if it finds, based upon
P47   1substantial evidence, that the community has adequate child care
2facilities.

3(4) “Child care facility,” as used in this section, means a child
4day care facility other than a family day care home, including, but
5not limited to, infant centers, preschools, extended day care
6facilities, and schoolage child care centers.

7(i) “Housing development,” as used in this section, means a
8development project for five or more residentialbegin delete units.end deletebegin insert units,
9including mixed-use developments.end insert
For the purposes of this section,
10“housing development” also includes a subdivision or common
11interest development, as defined in Section 4100 of the Civil Code,
12approved by a city, county, or city and county and consists of
13residential units or unimproved residential lots and either a project
14to substantially rehabilitate and convert an existing commercial
15building to residential use or the substantial rehabilitation of an
16existing multifamily dwelling, as defined in subdivision (d) of
17Section 65863.4, where the result of the rehabilitation would be a
18net increase in available residential units. For the purpose of
19calculating a density bonus, the residential units shall be on
20contiguous sites that are the subject of one development
21application, but do not have to be based upon individual
22subdivision maps or parcels. The density bonus shall be permitted
23in geographic areas of the housing development other than the
24areas where the units for the lower income households are located.

25(j) (1) The granting of a concession or incentive shall not
26begin insert require orend insert be interpreted, in and of itself, to require a general plan
27amendment, local coastal plan amendment, zoning change,begin insert stend insertbegin insertudy,end insert
28 or other discretionary approval.begin insert For purposes of this subdivision,
29“study” does not include reasonable documentation to establish
30eligibility for the concession or incentive or to demonstrate that
31the incentive or concession meets the definition set forth in
32subdivision (k).end insert
This provision is declaratory of existing law.

33(2) Except as provided in subdivisions (d) and (e), the granting
34of a density bonus shall notbegin insert require orend insert be interpreted to require
35the waiver of a local ordinance or provisions of a local ordinance
36unrelated to development standards.

37(k) For the purposes of this chapter, concession or incentive
38means any of the following:

39(1) A reduction in site development standards or a modification
40of zoning code requirements or architectural design requirements
P48   1that exceed the minimum building standards approved by the
2California Building Standards Commission as provided in Part 2.5
3(commencing with Section 18901) of Division 13 of the Health
4and Safety Code, including, but not limited to, a reduction in
5setback and square footage requirements and in the ratio of
6vehicular parking spaces that would otherwise be required that
7results inbegin delete identifiable, financially sufficient,end deletebegin insert identifiableend insert and actual
8costbegin delete reductions.end deletebegin insert end insertbegin insertreductions, to provide for affordable housing costs,
9as defined in Section 50052.5 of the Health and Safety Code, or
10for rents for the targeted units to be set as specified in subdivision
11(c).end insert

12(2) Approval of mixed-use zoning in conjunction with the
13housing project if commercial, office, industrial, or other land uses
14will reduce the cost of the housing development and if the
15commercial, office, industrial, or other land uses are compatible
16with the housing project and the existing or planned development
17in the area where the proposed housing project will be located.

18(3) Other regulatory incentives or concessions proposed by the
19developer or the city, county, or city and county that result in
20begin delete identifiable, financially sufficient,end deletebegin insert identifiableend insert and actual cost
21
begin delete reductions.end deletebegin insert reductions to provide for affordable housing costs, as
22defined in Section 50052.5 of the Health and Safety Code, or for
23rents for the targeted units to be set as specified in subdivision (c).end insert

24(l) Subdivision (k) does not limit or require the provision of
25direct financial incentives for the housing development, including
26the provision of publicly owned land, by the city, county, or city
27and county, or the waiver of fees or dedication requirements.

28(m) This section does not supersede or in any way alter or lessen
29the effect or application of the California Coastal Act of 1976
30(Division 20 (commencing with Section 30000) of the Public
31Resources Code).

32(n) If permitted by local ordinance, nothing in this section shall
33be construed to prohibit a city, county, or city and county from
34granting a density bonus greater than what is described in this
35section for a development that meets the requirements of this
36section or from granting a proportionately lower density bonus
37than what is required by this section for developments that do not
38meet the requirements of this section.

39(o) For purposes of this section, the following definitions shall
40apply:

P49   1(1) “Development standard” includes a site or construction
2condition, including, but not limited to, a height limitation, a
3setback requirement, a floor area ratio, an onsite open-space
4requirement, or a parking ratio that applies to a residential
5development pursuant to any ordinance, general plan element,
6specific plan, charter, or other local condition, law, policy,
7resolution, or regulation.

8(2) “Maximum allowable residential density” means the density
9allowed under the zoning ordinance and land use element of the
10general plan,begin delete orend deletebegin insert or,end insert if a range of density is permitted, means the
11maximum allowable density for the specific zoning range and land
12use element of the general plan applicable to the project. Where
13the density allowed under the zoning ordinance is inconsistent
14with the density allowed under the land use element of the general
15plan, the general plan density shall prevail.

16(p) (1)  Except as provided in paragraphs (2) and (3), upon the
17request of the developer, a city, county, or city and county shall
18not require a vehicular parking ratio, inclusive of handicapped and
19guest parking, of a development meeting the criteria of subdivisions
20(b) and (c), that exceeds the following ratios:

21(A) Zero to one bedroom: one onsite parking space.

22(B) Two to three bedrooms: two onsite parking spaces.

23(C) Four and more bedrooms: two and one-half parking spaces.

24(2) Notwithstanding paragraph (1), if a development includes
25the maximum percentage ofbegin delete low-end deletebegin insert low-incomeend insert or very low income
26units provided for in paragraphs (1) and (2) of subdivision (f) and
27is located within one-half mile of a major transit stop, as defined
28in subdivision (b) of Section 21155 of the Public Resources Code,
29and there is unobstructed access to the major transit stop from the
30development, then, upon the request of the developer, a city,
31county, or city and county shall not impose a vehicular parking
32ratio, inclusive of handicapped and guest parking, that exceeds 0.5
33spaces per bedroom. For purposes of this subdivision, a
34development shall have unobstructed access to a major transit stop
35if a resident is able to access the major transit stop without
36encountering natural or constructed impediments.

37(3) Notwithstanding paragraph (1), if a development consists
38solely of rental units, exclusive of a manager’s unit or units, with
39an affordable housing cost to lower income families, as provided
40in Section 50052.5 of the Health and Safety Code, then, upon the
P50   1request of the developer, a city, county, or city and county shall
2not impose a vehicular parking ratio, inclusive of handicapped and
3guest parking, that exceeds the following ratios:

4(A) If the development is located within one-half mile of a major
5transit stop, as defined in subdivision (b) of Section 21155 of the
6Public Resources Code, and there is unobstructed access to the
7major transit stop from the development, the ratio shall not exceed
80.5 spaces per unit.

9(B) If the development is a for-rent housing development for
10individuals who are 62 years of age or older that complies with
11Sections 51.2 and 51.3 of the Civil Code, the ratio shall not exceed
120.5 spaces per unit. The development shall have either paratransit
13service or unobstructed access, within one-half mile, to fixed bus
14route service that operates at least eight times per day.

15(C) If the development is a special needs housing development,
16as defined in Section 51312 of the Health and Safety Code, the
17ratio shall not exceed 0.3 spaces per unit. The development shall
18have either paratransit service or unobstructed access, within
19one-half mile, to fixed bus route service that operates at least eight
20times per day.

21(4) If the total number of parking spaces required for a
22development is other than a whole number, the number shall be
23rounded up to the next whole number. For purposes of this
24subdivision, a development may provide on-site parking through
25tandem parking or uncovered parking, but not through on-street
26parking.

27(5) This subdivision shall apply to a development that meets
28the requirements of subdivisions (b) and (c), but only at the request
29of the applicant. An applicant may request parking incentives or
30concessions beyond those provided in this subdivision pursuant
31to subdivision (d).

32(6) This subdivision does not preclude a city, county, or city
33and county from reducing or eliminating a parking requirement
34for development projects of any type in any location.

35(7) Notwithstanding paragraphs (2) and (3), if a city, county,
36city and county, or an independent consultant has conducted an
37areawide or jurisdictionwide parking study in the last seven years,
38then the city, county, or city and county may impose a higher
39vehicular parking ratio not to exceed the ratio described in
40paragraph (1), based upon substantial evidence found in the parking
P51   1study, that includes, but is not limited to, an analysis of parking
2availability, differing levels of transit access, walkability access
3to transit services, the potential for shared parking, the effect of
4parking requirements on the cost of market-rate and subsidized
5developments, and the lower rates of car ownership forbegin delete low-end delete
6begin insert low-incomeend insert and very low income individuals, including seniors
7and special needs individuals. The city, county, or city and county
8shall pay the costs of any new study. The city, county, or city and
9county shall make findings, based on a parking study completed
10in conformity with this paragraph, supporting the need for the
11higher parking ratio.

begin insert

12
(8) A request pursuant to this subdivision shall neither reduce
13nor increase the number of incentives or concessions to which the
14applicant is entitled pursuant to subdivision (d).

end insert
begin insert

15
(q) Each component of any density calculation, including base
16density and bonus density, resulting in fractional units shall be
17separately rounded up to the next whole number. The Legislature
18finds and declares that this provision is declaratory of existing
19law.

end insert
begin insert

20
(r) This chapter shall be interpreted liberally in favor of
21producing the maximum number of total housing units.

end insert
22begin insert

begin insertSEC. 1.7.end insert  

end insert

begin insertSection 65915 of the end insertbegin insertGovernment Codeend insertbegin insert is amended
23to read:end insert

24

65915.  

(a) begin insert(1)end insertbegin insertend insert When an applicant seeks a density bonus for
25a housing development within, or for the donation of land for
26housing within, the jurisdiction of a city, county, or city and county,
27that local government shallbegin delete provide the applicant with incentives
28or concessions for the production of housing units and child care
29facilities as prescribed in this section. All cities, counties, or cities
30and countiesend delete
begin insert comply with this section. A city, county, or city and
31countyend insert
shall adopt an ordinance that specifies how compliance
32with this section will be implemented. Failure to adopt an ordinance
33shall not relieve a city, county, or city and county from complying
34with this section.

begin insert

35
(2) A local government shall not condition the submission,
36review, or approval of an application pursuant to this chapter on
37the preparation of an additional report or study that is not
38otherwise required by state law, including this section. This
39subdivision does not prohibit a local government from requiring
40an applicant to provide reasonable documentation to establish
P52   1eligibility for a requested density bonus, incentives or concessions,
2as described in subdivision (d), waivers or reductions of
3development standards, as described in subdivision (e), and
4parking ratios, as described in subdivision (p).

end insert
begin insert

5
(3) In order to provide for the expeditious processing of a
6density bonus application, the local government shall do all of the
7following:

end insert
begin insert

8
(A) Adopt procedures and timelines for processing a density
9bonus application.

end insert
begin insert

10
(B) Provide a list of all documents and information required to
11be submitted with the density bonus application in order for the
12density bonus application to be deemed complete. This list shall
13be consistent with this chapter.

end insert
begin insert

14
(C) Notify the applicant for a density bonus whether the
15application is complete in a manner consistent with Section 65943.

end insert

16(b) (1) A city, county, or city and county shall grant one density
17bonus, the amount of which shall be as specified in subdivision
18(f),begin delete andend deletebegin insert and, if requested by the applicant and consistent with the
19applicable requirements of this section,end insert
incentives or concessions,
20as described in subdivision (d),begin insert waivers or reductions of
21development standards, as described in subdivision (e), and
22parking ratios, as described in subdivision (p),end insert
when an applicant
23for a housing development seeks and agrees to construct a housing
24development, excluding any units permitted by the density bonus
25awarded pursuant to this section, that will contain at least any one
26of the following:

27(A) Ten percent of the total units of a housing development for
28lower income households, as defined in Section 50079.5 of the
29Health and Safety Code.

30(B) Five percent of the total units of a housing development for
31very low income households, as defined in Section 50105 of the
32Health and Safety Code.

33(C) A senior citizen housing development, as defined in Sections
3451.3 and 51.12 of the Civil Code, or a mobilehome park that limits
35residency based on age requirements for housing for older persons
36pursuant to Section 798.76 or 799.5 of the Civil Code.

37(D) Ten percent of the total dwelling units in a common interest
38development, as defined in Section 4100 of the Civil Code, for
39persons and families of moderate income, as defined in Section
P53   150093 of the Health and Safety Code, provided that all units in the
2development are offered to the public for purchase.

begin insert

3
(E) Ten percent of the total units of a housing development for
4transitional foster youth, as defined in Section 66025.9 of the
5Education Code, disabled veterans, as defined in Section 18541,
6or homeless persons, as defined in the federal McKinney-Vento
7Homeless Assistance Act (42 U.S.C. Sec. 11301 et seq.). The units
8described in this subparagraph shall be subject to a recorded
9affordability restriction of 55 years and shall be provided at the
10same affordability level as very low income units.

end insert

11(2) For purposes of calculating the amount of the density bonus
12pursuant to subdivision (f), an applicant who requests a density
13bonus pursuant to this subdivision shall elect whether the bonus
14shall be awarded on the basis of subparagraph (A), (B), (C),begin delete or (D)end delete
15begin insert (D), or (E)end insert of paragraph (1).

16(3) For the purposes of this section, “total units” or “total
17dwelling units” does not include units added by a density bonus
18awarded pursuant to this section or any local law granting a greater
19density bonus.

20(c) (1) An applicant shall agree to, and the city, county, or city
21and county shall ensure, the continued affordability of all very low
22and low-income rental units that qualified the applicant for the
23award of the density bonus for 55 years or a longer period of time
24if required by the construction or mortgage financing assistance
25program, mortgage insurance program, or rental subsidy program.
26Rents for the lower income density bonus units shall be set at an
27affordable rent as defined in Section 50053 of the Health and Safety
28Code.

29(2) An applicant shall agree to, and the city, county, or city and
30county shall ensure that, the initial occupant of all for-sale units
31that qualified the applicant for the award of the density bonus are
32persons and families of very low, low, or moderate income, as
33required, and that the units are offered at an affordable housing
34cost, as that cost is defined in Section 50052.5 of the Health and
35Safety Code. The local government shall enforce an equity sharing
36agreement, unless it is in conflict with the requirements of another
37public funding source or law. The following apply to the equity
38sharing agreement:

39(A) Upon resale, the seller of the unit shall retain the value of
40any improvements, the downpayment, and the seller’s proportionate
P54   1share of appreciation. The local government shall recapture any
2initial subsidy, as defined in subparagraph (B), and its proportionate
3share of appreciation, as defined in subparagraph (C), which
4amount shall be used within five years for any of the purposes
5 described in subdivision (e) of Section 33334.2 of the Health and
6Safety Code that promote home ownership.

7(B) For purposes of this subdivision, the local government’s
8initial subsidy shall be equal to the fair market value of the home
9at the time of initial sale minus the initial sale price to the
10moderate-income household, plus the amount of any downpayment
11assistance or mortgage assistance. If upon resale the market value
12is lower than the initial market value, then the value at the time of
13the resale shall be used as the initial market value.

14(C) For purposes of this subdivision, the local government’s
15proportionate share of appreciation shall be equal to the ratio of
16the local government’s initial subsidy to the fair market value of
17the home at the time of initial sale.

18(3) (A) An applicant shall be ineligible for a density bonus or
19any other incentives or concessions under this section if the housing
20development is proposed on any property that includes a parcel or
21parcels on which rental dwelling units are or, if the dwelling units
22have been vacated or demolished in the five-year period preceding
23the application, have been subject to a recorded covenant,
24ordinance, or law that restricts rents to levels affordable to persons
25and families of lower or very low income; subject to any other
26form of rent or price control through a public entity’s valid exercise
27of its police power; or occupied by lower or very low income
28households, unless the proposed housing development replaces
29those units, and either of the following applies:

30(i) The proposed housing development, inclusive of the units
31replaced pursuant to this paragraph, contains affordable units at
32the percentages set forth in subdivision (b).

33(ii) Each unit in the development, exclusive of a manager’s unit
34or units, is affordable to, and occupied by, either a lower or very
35low income household.

36(B) For the purposes of this paragraph, “replace” shall mean
37either of the following:

38(i) If any dwelling units described in subparagraph (A) are
39occupied on the date of application, the proposed housing
40development shall provide at least the same number of units of
P55   1equivalent sizebegin delete or type, or both,end delete to be made available at affordable
2rent or affordable housing cost to, and occupied by, persons and
3families in the same or lower income category as those households
4in occupancy.begin insert If the income category of the household in occupancy
5is not known, it shall be rebuttably presumed that lower income
6renter households occupied these units in the same proportion of
7lower income renter households to all renter households within
8the jurisdiction, as determined by the most recently available data
9from the United States Department of Housing and Urban
10Development’s Comprehensive Housing Affordability Strategy
11database.end insert
For unoccupied dwelling units described in subparagraph
12(A) in a development with occupied units, the proposed housing
13development shall provide units of equivalent sizebegin delete or type, or both,end delete
14 to be made available at affordable rent or affordable housing cost
15to, and occupied by, persons and families in the same or lower
16income categorybegin delete in the same proportion of affordability as the
17occupied units.end delete
begin insert as the last household in occupancy.end insertbegin insert If the income
18category of the last household in occupancy is not known, it shall
19be rebuttably presumed that lower income renter households
20occupied theseend insert
begin insert units in the same proportion of lower income renter
21households to all renter households within the jurisdiction, as
22determined by the most recently available data from the United
23States Department of Housing and Urban Development’s
24Comprehensive Housing Affordability Strategy database.end insert
All
25replacement calculations resulting in fractional units shall be
26rounded up to the next whole number. If the replacement units will
27be rental dwelling units, these units shall be subject to a recorded
28affordability restriction for at least 55 years. If the proposed
29development is for-sale units, the units replaced shall be subject
30to paragraph (2).

31(ii) If all dwelling units described in subparagraph (A) have
32been vacated or demolished within the five-year period preceding
33the application, the proposed housing development shall provide
34at least the same number of units of equivalent sizebegin delete or type, or
35both,end delete
as existed at the highpoint of those units in the five-year
36period preceding the application to be made available at affordable
37rent or affordable housing cost to, and occupied by, persons and
38 families in the same or lower income category as those persons
39and families in occupancy at that time, if known. If the incomes
40of the persons and families in occupancy at the highpoint is not
P56   1known, begin delete then one-half of the required units shall be made available
2at affordable rent or affordable housing cost to, and occupied by,end delete

3begin insert it shall be rebuttably presumed that low-income and very low
4income renter households occupied these units in the same
5proportion of low-income andend insert
very low income begin delete persons and
6families and one-half of the required units shall be made available
7for rent at affordable housing costs to, and occupied by,
8low-income persons and families.end delete
begin insert renter households to all renter
9households within the jurisdiction, as determined by the most
10recently available data from the United States Department of
11Housing and Urban Development’s Comprehensive Housing
12Affordability Strategy database.end insert
All replacement calculations
13resulting in fractional units shall be rounded up to the next whole
14number. If the replacement units will be rental dwelling units,
15these units shall be subject to a recorded affordability restriction
16for at least 55 years. If the proposed development is for-sale units,
17the units replaced shall be subject to paragraph (2).

begin insert

18
(C) Notwithstanding subparagraph (B), for any dwelling unit
19described in subparagraph (A) that is or was, within the five-year
20period preceding the application, subject to a form of rent or price
21control through a local government’s valid exercise of its police
22power and that is or was occupied by persons or families above
23lower income, the city, county, or city and county may do either
24of the following:

end insert
begin insert

25
(i) Require that the replacement units be made available at
26affordable rent or affordable housing cost to, and occupied by,
27low-income persons or families. If the replacement units will be
28rental dwelling units, these units shall be subject to a recorded
29affordability restriction for at least 55 years. If the proposed
30development is for-sale units, the units replaced shall be subject
31to paragraph (2).

end insert
begin insert

32
(ii) Require that the units be replaced in compliance with the
33jurisdiction’s rent or price control ordinance, provided that each
34unit described in subparagraph (A) is replaced. Unless otherwise
35required by the jurisdiction’s rent or price control ordinance, these
36units shall not be subject to a recorded affordability restriction.

end insert
begin insert

37
(D) For purposes of this paragraph, “equivalent size” means
38that the replacement units contain at least the same total number
39of bedrooms as the units being replaced.

end insert
begin delete

40(C) Paragraph (3) of subdivision (c)

end delete

P57   1begin insert (E)end insertbegin insertend insertbegin insertSubparagraph (A)end insert does not apply to an applicant seeking
2a density bonus for a proposed housing development if his or her
3application was submitted to, or processed by, a city, county, or
4city and county before January 1, 2015.

5(d) (1) An applicant for a density bonus pursuant to subdivision
6(b) may submit to a city, county, or city and county a proposal for
7the specific incentives or concessions that the applicant requests
8pursuant to this section, and may request a meeting with the city,
9county, or city and county. The city, county, or city and county
10shall grant the concession or incentive requested by the applicant
11unless the city, county, or city and county makes a written finding,
12based upon substantial evidence, of any of the following:

13(A) The concession or incentivebegin delete isend deletebegin insert doesend insert notbegin delete required in orderend delete
14begin insert result in identifiable and actual cost reductions, consistent with
15subdivision (k),end insert
to provide for affordable housing costs, as defined
16in Section 50052.5 of the Health and Safety Code, or for rents for
17the targeted units to be set as specified in subdivision (c).

18(B) The concession or incentive would have abegin delete specificend deletebegin insert specific,end insert
19 adverse impact, as defined in paragraph (2) of subdivision (d) of
20Section 65589.5, upon public health and safety or the physical
21environment or on any real property that is listed in the California
22Register of Historical Resources and for which there is no feasible
23method to satisfactorily mitigate or avoid thebegin delete specificend deletebegin insert specific,end insert
24 adverse impact without rendering the development unaffordable
25tobegin delete low-end deletebegin insert low-incomeend insert and moderate-income households.

26(C) The concession or incentive would be contrary to state or
27federal law.

28(2) The applicant shall receive the following number of
29incentives or concessions:

30(A) One incentive or concession for projects that include at least
3110 percent of the total units for lower income households, at least
325 percent for very low income households, or at least 10 percent
33for persons and families of moderate income in a common interest
34development.

35(B) Two incentives or concessions for projects that include at
36least 20 percent of the total units for lower income households, at
37least 10 percent for very low income households, or at least 20
38percent for persons and families of moderate income in a common
39interest development.

P58   1(C) Three incentives or concessions for projects that include at
2least 30 percent of the total units for lower income households, at
3least 15 percent for very low income households, or at least 30
4percent for persons and families of moderate income in a common
5interest development.

6(3) The applicant may initiate judicial proceedings if the city,
7county, or city and county refuses to grant a requested density
8bonus, incentive, or concession. If a court finds that the refusal to
9grant a requested density bonus, incentive, or concession is in
10violation of this section, the court shall award the plaintiff
11reasonable attorney’s fees and costs of suit. Nothing in this
12subdivision shall be interpreted to require a local government to
13grant an incentive or concession that has a specific, adverse impact,
14as defined in paragraph (2) of subdivision (d) of Section 65589.5,
15upon health, safety, or the physical environment, and for which
16there is no feasible method to satisfactorily mitigate or avoid the
17specific adverse impact. Nothing in this subdivision shall be
18interpreted to require a local government to grant an incentive or
19concession that would have an adverse impact on any real property
20that is listed in the California Register of Historical Resources.
21The city, county, or city and county shall establish procedures for
22carrying out this section, that shall include legislative body
23approval of the means of compliance with this section.

begin insert

24
(4) The city, county, or city and county shall bear the burden
25of proof for the denial of a requested concession or incentive.

end insert

26(e) (1) In no case may a city, county, or city and county apply
27any development standard that will have the effect of physically
28precluding the construction of a development meeting the criteria
29of subdivision (b) at the densities or with the concessions or
30incentives permitted by this section. An applicant may submit to
31a city, county, or city and county a proposal for the waiver or
32reduction of development standards that will have the effect of
33physically precluding the construction of a development meeting
34the criteria of subdivision (b) at the densities or with the
35concessions or incentives permitted under this section, and may
36request a meeting with the city, county, or city and county. If a
37court finds that the refusal to grant a waiver or reduction of
38development standards is in violation of this section, the court
39shall award the plaintiff reasonable attorney’s fees and costs of
40suit. Nothing in this subdivision shall be interpreted to require a
P59   1local government to waive or reduce development standards if the
2waiver or reduction would have a specific, adverse impact, as
3defined in paragraph (2) of subdivision (d) of Section 65589.5,
4upon health, safety, or the physical environment, and for which
5there is no feasible method to satisfactorily mitigate or avoid the
6specific adverse impact. Nothing in this subdivision shall be
7interpreted to require a local government to waive or reduce
8development standards that would have an adverse impact on any
9real property that is listed in the California Register of Historical
10Resources, or to grant any waiver or reduction that would be
11contrary to state or federal law.

12(2) A proposal for the waiver or reduction of development
13standards pursuant to this subdivision shall neither reduce nor
14increase the number of incentives or concessions to which the
15applicant is entitled pursuant to subdivision (d).

16(f) For the purposes of this chapter, “density bonus” means a
17density increase over the otherwise maximum allowablebegin insert grossend insert
18 residential density as of the date of application by the applicant to
19the city, county, or city andbegin delete county. The applicant may elect to
20acceptend delete
begin insert county, or, if elected by the applicant,end insert a lesser percentage
21of densitybegin delete bonus.end deletebegin insert increase, including, but not limited to, no increase
22in density.end insert
The amount of densitybegin delete bonusend deletebegin insert increaseend insert to which the
23applicant is entitled shall vary according to the amount by which
24the percentage of affordable housing units exceeds the percentage
25established in subdivision (b).

26(1) For housing developments meeting the criteria of
27subparagraph (A) of paragraph (1) of subdivision (b), the density
28bonus shall be calculated as follows:


29

 

Percentage Low-Income UnitsPercentage Density Bonus
1020 
1121.5
1223 
1324.5
1426 
1527.5
1730.5
1832 
1933.5
2035 
P60   26P60  1526P60  1931P60  14

 

3(2) For housing developments meeting the criteria of
4subparagraph (B) of paragraph (1) of subdivision (b), the density
5bonus shall be calculated as follows:

 

Percentage Very Low Income UnitsPercentage Density Bonus
520 
622.5
725 
827.5
930 
1032.5
1135 
P60  1526P60  1931P60  14

 

16(3) begin insert(A)end insertbegin insertend insert For housing developments meeting the criteria of
17subparagraph (C) of paragraph (1) of subdivision (b), the density
18bonus shall be 20 percent of the number of senior housing units.

begin insert

19
(B) For housing developments meeting the criteria of
20subparagraph (E) of paragraph (1) of subdivision (b), the density
21bonus shall be 20 percent of the number of the type of units giving
22rise to a density bonus under that subparagraph.

end insert

23(4) For housing developments meeting the criteria of
24subparagraph (D) of paragraph (1) of subdivision (b), the density
25bonus shall be calculated as follows:

 

Percentage Moderate-Income UnitsPercentage Density Bonus
105
116
127
138
149
1510
1611
1712
1813
1914
2015
2116
2217
2318
2419
2520
2621
2722
2823
2924
3025
3126
3227
3328
3429
3530
3631
3732
3833
3934
4035
P60  1931P60  14

 

20(5) All density calculations resulting in fractional units shall be
21rounded up to the next whole number. The granting of a density
22bonus shall notbegin insert require, orend insert be interpreted, in and of itself, to require
23a general plan amendment, local coastal plan amendment, zoning
24change, or other discretionary approval.

25(g) (1) When an applicant for a tentative subdivision map,
26parcel map, or other residential development approval donates
27land to a city, county, or city and county in accordance with this
28subdivision, the applicant shall be entitled to a 15-percent increase
29above the otherwise maximum allowable residential density for
30the entire development, as follows:

 

Percentage Very Low IncomePercentage Density Bonus
1015
1116
1217
1318
1419
1520
1621
1722
1823
1924
2025
2126
2227
2328
2429
2530
2631
2732
2833
2934
3035
P60  14

 

15(2) This increase shall be in addition to any increase in density
16mandated by subdivision (b), up to a maximum combined mandated
17density increase of 35 percent if an applicant seeks an increase
18pursuant to both this subdivision and subdivision (b). All density
19calculations resulting in fractional units shall be rounded up to the
20next whole number. Nothing in this subdivision shall be construed
21to enlarge or diminish the authority of a city, county, or city and
22county to require a developer to donate land as a condition of
23development. An applicant shall be eligible for the increased
24density bonus described in this subdivision if all of the following
25conditions are met:

26(A) The applicant donates and transfers the land no later than
27the date of approval of the final subdivision map, parcel map, or
28residential development application.

29(B) The developable acreage and zoning classification of the
30land being transferred are sufficient to permit construction of units
31affordable to very low income households in an amount not less
32than 10 percent of the number of residential units of the proposed
33development.

34(C) The transferred land is at least one acre in size or of
35sufficient size to permit development of at least 40 units, has the
36appropriate general plan designation, is appropriately zoned with
37appropriate development standards for development at the density
38described in paragraph (3) of subdivision (c) of Section 65583.2,
39and is or will be served by adequate public facilities and
40infrastructure.

P63   1(D) The transferred land shall have all of the permits and
2approvals, other than building permits, necessary for the
3development of the very low income housing units on the
4transferred land, not later than the date of approval of the final
5subdivision map, parcel map, or residential development
6application, except that the local government may subject the
7proposed development to subsequent design review to the extent
8authorized by subdivision (i) of Section 65583.2 if the design is
9not reviewed by the local government prior to the time of transfer.

10(E) The transferred land and the affordable units shall be subject
11to a deed restriction ensuring continued affordability of the units
12consistent with paragraphs (1) and (2) of subdivision (c), which
13shall be recorded on the property at the time of the transfer.

14(F) The land is transferred to the local agency or to a housing
15developer approved by the local agency. The local agency may
16require the applicant to identify and transfer the land to the
17developer.

18(G) The transferred land shall be within the boundary of the
19proposed development or, if the local agency agrees, within
20one-quarter mile of the boundary of the proposed development.

21(H) A proposed source of funding for the very low income units
22shall be identified not later than the date of approval of the final
23subdivision map, parcel map, or residential development
24application.

25(h) (1) When an applicant proposes to construct a housing
26development that conforms to the requirements of subdivision (b)
27and includes a child care facility that will be located on the
28premises of, as part of, or adjacent to, the project, the city, county,
29or city and county shall grant either of the following:

30(A) An additional density bonus that is an amount of square
31feet of residential space that is equal to or greater than the amount
32of square feet in the child care facility.

33(B) An additional concession or incentive that contributes
34significantly to the economic feasibility of the construction of the
35child care facility.

36(2) The city, county, or city and county shall require, as a
37condition of approving the housing development, that the following
38occur:

39(A) The child care facility shall remain in operation for a period
40of time that is as long as or longer than the period of time during
P64   1which the density bonus units are required to remain affordable
2pursuant to subdivision (c).

3(B) Of the children who attend the child care facility, the
4children of very low income households, lower income households,
5or families of moderate income shall equal a percentage that is
6equal to or greater than the percentage of dwelling units that are
7required for very low income households, lower income
8households, or families of moderate income pursuant to subdivision
9(b).

10(3) Notwithstanding any requirement of this subdivision, a city,
11county, or city and county shall not be required to provide a density
12bonus or concession for a child care facility if it finds, based upon
13substantial evidence, that the community has adequate child care
14facilities.

15(4) “Child care facility,” as used in this section, means a child
16day care facility other than a family day care home, including, but
17not limited to, infant centers, preschools, extended day care
18facilities, and schoolage child care centers.

19(i) “Housing development,” as used in this section, means a
20development project for five or more residentialbegin delete units.end deletebegin insert units,
21including mixed-use developments.end insert
For the purposes of this section,
22“housing development” also includes a subdivision or common
23interest development, as defined in Section 4100 of the Civil Code,
24approved by a city, county, or city and county and consists of
25residential units or unimproved residential lots and either a project
26to substantially rehabilitate and convert an existing commercial
27building to residential use or the substantial rehabilitation of an
28existing multifamily dwelling, as defined in subdivision (d) of
29Section 65863.4, where the result of the rehabilitation would be a
30net increase in available residential units. For the purpose of
31calculating a density bonus, the residential units shall be on
32contiguous sites that are the subject of one development
33application, but do not have to be based upon individual
34subdivision maps or parcels. The density bonus shall be permitted
35in geographic areas of the housing development other than the
36areas where the units for the lower income households are located.

37(j) (1) The granting of a concession or incentive shall not
38begin insert require orend insert be interpreted, in and of itself, to require a general plan
39amendment, local coastal plan amendment, zoning change,begin insert stend insertbegin insertudy,end insert
40 or other discretionary approval.begin insert For purposes of this subdivision,
P65   1“study” does not include reasonable documentation to establish
2eligibility for the concession or incentive or to demonstrate that
3the incentive or concession meets the definition set forth in
4subdivision (k).end insert
This provision is declaratory of existing law.

5(2) Except as provided in subdivisions (d) and (e), the granting
6of a density bonus shall notbegin insert require orend insert be interpreted to require
7the waiver of a local ordinance or provisions of a local ordinance
8unrelated to development standards.

9(k) For the purposes of this chapter, concession or incentive
10means any of the following:

11(1) A reduction in site development standards or a modification
12of zoning code requirements or architectural design requirements
13that exceed the minimum building standards approved by the
14California Building Standards Commission as provided in Part 2.5
15(commencing with Section 18901) of Division 13 of the Health
16and Safety Code, including, but not limited to, a reduction in
17setback and square footage requirements and in the ratio of
18vehicular parking spaces that would otherwise be required that
19results inbegin delete identifiable, financially sufficient,end deletebegin insert identifiableend insert and actual
20costbegin delete reductions.end deletebegin insert reductions, to provide for affordable housing costs,
21as defined in Section 50052.5 of the Health and Safety Code, or
22for rents for the targeted units to be set as specified in subdivision
23(c).end insert

24(2) Approval of mixed-use zoning in conjunction with the
25housing project if commercial, office, industrial, or other land uses
26will reduce the cost of the housing development and if the
27commercial, office, industrial, or other land uses are compatible
28with the housing project and the existing or planned development
29in the area where the proposed housing project will be located.

30(3) Other regulatory incentives or concessions proposed by the
31developer or the city, county, or city and county that result in
32begin delete identifiable, financially sufficient,end deletebegin insert identifiableend insert and actual cost
33
begin delete reductions.end deletebegin insert end insertbegin insertreductions to provide for affordable housing costs, as
34defined in Section 50052.5 of the Health and Safety Code, or for
35rents for the targeted units to be set as specified in subdivision (c).end insert

36(l) Subdivision (k) does not limit or require the provision of
37direct financial incentives for the housing development, including
38the provision of publicly owned land, by the city, county, or city
39and county, or the waiver of fees or dedication requirements.

P66   1(m) This section does not supersede or in any way alter or lessen
2the effect or application of the California Coastal Act of 1976
3(Division 20 (commencing with Section 30000) of the Public
4Resources Code).

5(n) If permitted by local ordinance, nothing in this section shall
6be construed to prohibit a city, county, or city and county from
7granting a density bonus greater than what is described in this
8section for a development that meets the requirements of this
9section or from granting a proportionately lower density bonus
10than what is required by this section for developments that do not
11meet the requirements of this section.

12(o) For purposes of this section, the following definitions shall
13apply:

14(1) “Development standard” includes a site or construction
15condition, including, but not limited to, a height limitation, a
16setback requirement, a floor area ratio, an onsite open-space
17requirement, or a parking ratio that applies to a residential
18development pursuant to any ordinance, general plan element,
19specific plan, charter, or other local condition, law, policy,
20resolution, or regulation.

21(2) “Maximum allowable residential density” means the density
22allowed under the zoning ordinance and land use element of the
23general plan,begin delete orend deletebegin insert or,end insert if a range of density is permitted, means the
24maximum allowable density for the specific zoning range and land
25use element of the general plan applicable to the project. Where
26the density allowed under the zoning ordinance is inconsistent
27with the density allowed under the land use element of the general
28plan, the general plan density shall prevail.

29(p) (1)  Except as provided in paragraphs (2) and (3), upon the
30request of the developer, a city, county, or city and county shall
31not require a vehicular parking ratio, inclusive of handicapped and
32guest parking, of a development meeting the criteria of subdivisions
33(b) and (c), that exceeds the following ratios:

34(A) Zero to one bedroom: one onsite parking space.

35(B) Two to three bedrooms: two onsite parking spaces.

36(C) Four and more bedrooms: two and one-half parking spaces.

37(2) Notwithstanding paragraph (1), if a development includes
38the maximum percentage ofbegin delete low-end deletebegin insert low-incomeend insert or very low income
39units provided for in paragraphs (1) and (2) of subdivision (f) and
40is located within one-half mile of a major transit stop, as defined
P67   1in subdivision (b) of Section 21155 of the Public Resources Code,
2and there is unobstructed access to the major transit stop from the
3development, then, upon the request of the developer, a city,
4county, or city and county shall not impose a vehicular parking
5ratio, inclusive of handicapped and guest parking, that exceeds 0.5
6spaces per bedroom. For purposes of this subdivision, a
7development shall have unobstructed access to a major transit stop
8if a resident is able to access the major transit stop without
9encountering natural or constructed impediments.

10(3) Notwithstanding paragraph (1), if a development consists
11solely of rental units, exclusive of a manager’s unit or units, with
12an affordable housing cost to lower income families, as provided
13in Section 50052.5 of the Health and Safety Code, then, upon the
14request of the developer, a city, county, or city and county shall
15not impose a vehicular parking ratio, inclusive of handicapped and
16guest parking, that exceeds the following ratios:

17(A) If the development is located within one-half mile of a major
18transit stop, as defined in subdivision (b) of Section 21155 of the
19Public Resources Code, and there is unobstructed access to the
20major transit stop from the development, the ratio shall not exceed
210.5 spaces per unit.

22(B) If the development is a for-rent housing development for
23individuals who are 62 years of age or older that complies with
24Sections 51.2 and 51.3 of the Civil Code, the ratio shall not exceed
250.5 spaces per unit. The development shall have either paratransit
26service or unobstructed access, within one-half mile, to fixed bus
27route service that operates at least eight times per day.

28(C) If the development is a special needs housing development,
29as defined in Section 51312 of the Health and Safety Code, the
30ratio shall not exceed 0.3 spaces per unit. The development shall
31have either paratransit service or unobstructed access, within
32one-half mile, to fixed bus route service that operates at least eight
33times per day.

34(4) If the total number of parking spaces required for a
35development is other than a whole number, the number shall be
36rounded up to the next whole number. For purposes of this
37subdivision, a development may providebegin delete on-siteend deletebegin insert onsiteend insert parking
38through tandem parking or uncovered parking, but not through
39begin delete on-streetend deletebegin insert onstreetend insert parking.

P68   1(5) This subdivision shall apply to a development that meets
2the requirements of subdivisions (b) and (c), but only at the request
3of the applicant. An applicant may request parking incentives or
4concessions beyond those provided in this subdivision pursuant
5to subdivision (d).

6(6) This subdivision does not preclude a city, county, or city
7and county from reducing or eliminating a parking requirement
8for development projects of any type in any location.

9(7) Notwithstanding paragraphs (2) and (3), if a city, county,
10city and county, or an independent consultant has conducted an
11areawide or jurisdictionwide parking study in the last seven years,
12then the city, county, or city and county may impose a higher
13vehicular parking ratio not to exceed the ratio described in
14paragraph (1), based upon substantial evidence found in the parking
15study, that includes, but is not limited to, an analysis of parking
16availability, differing levels of transit access, walkability access
17to transit services, the potential for shared parking, the effect of
18parking requirements on the cost of market-rate and subsidized
19developments, and the lower rates of car ownership forbegin delete low-end delete
20begin insert low-incomeend insert and very low income individuals, including seniors
21and special needs individuals. The city, county, or city and county
22shall pay the costs of any new study. The city, county, or city and
23county shall make findings, based on a parking study completed
24in conformity with this paragraph, supporting the need for the
25higher parking ratio.

begin insert

26
(8) A request pursuant to this subdivision shall neither reduce
27nor increase the number of incentives or concessions to which the
28applicant is entitled pursuant to subdivision (d).

end insert
begin insert

29
(q) Each component of any density calculation, including base
30density and bonus density, resulting in fractional units shall be
31separately rounded up to the next whole number. The Legislature
32finds and declares that this provision is declaratory of existing
33law.

end insert
begin insert

34
(r) This chapter shall be interpreted liberally in favor of
35producing the maximum number of total housing units.

end insert
36begin insert

begin insertSEC. 2.end insert  

end insert
begin insert

(a) Section 1.3 of this bill incorporates amendments
37to Section 65915 of the Government Code proposed by both this
38bill and Assembly Bill 2442. It shall only become operative if (1)
39both bills are enacted and become effective on or before January
401, 2017, (2) each bill amends Section 65915 of the Government
P69   1Code, and (3) Assembly Bill 2501 is not enacted or as enacted
2does not amend that section, and (4) this bill is enacted after
3Assembly Bill 2442, in which case Sections 1, 1.5, and 1.7 of this
4bill shall not become operative.

end insert
begin insert

5
(b) Section 1.5 of this bill incorporates amendments to Section
665915 of the Government Code proposed by both this bill and
7Assembly Bill 2501. It shall only become operative if (1) both bills
8are enacted and become effective on or before January 1, 2017,
9(2) each bill amends Section 65915 of the Government Code, (3)
10Assembly Bill 2442 is not enacted or as enacted does not amend
11that section, and (4) this bill is enacted after Assembly Bill 2501
12in which case Sections 1, 1.3, and 1.7 of this bill shall not become
13operative.

end insert
begin insert

14
(c) Section 1.7 of this bill incorporates amendments to Section
1565915 of the Government Code proposed by this bill, Assembly
16Bill 2442, and Assembly Bill 2501. It shall only become operative
17if (1) all three bills are enacted and become effective on or before
18January 1, 2017, (2) all three bills amend Section 65915 of the
19Government Code, and (3) this bill is enacted after Assembly Bill
202442 and Assembly Bill 2501, in which case Sections 1, 1.3, and
211.5 of this bill shall not become operative.

end insert
22

begin deleteSEC. 2.end delete
23
begin insertSEC. 3.end insert  

No reimbursement is required by this act pursuant to
24Section 6 of Article XIII B of the California Constitution because
25a local agency or school district has the authority to levy service
26charges, fees, or assessments sufficient to pay for the program or
27level of service mandated by this act, within the meaning of Section
2817556 of the Government Code.



O

    94