BILL ANALYSIS
AB 305
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Date of Hearing: April 9, 2003
ASSEMBLY COMMITTEE ON HOUSING AND COMMUNITY DEVELOPMENT
Alan Lowenthal, Chair
AB 305 (Mullin) - As Amended: March 24, 2003
SUBJECT : Density bonus
SUMMARY : Requires additional incentives to be granted by a
local government to a developer entitled to a density bonus if
the project includes a child care facility unless sufficient
child care facilities already exist in the area.
Specifically, this bill requires a city or county to grant an
additional density bonus, concession, or incentive to a
developer of housing, otherwise entitled to a density bonus or
other incentive if that developer includes a child care facility
as part of the housing development, unless the city or county
makes a finding that the existing area has adequate child care
facilities.
EXISTING LAW:
1)Requires a city or county to grant a density bonus and at
least one other specified incentive, or other housing
incentives of equivalent value, to a developer who agrees to
construct an affordable housing development of five or more
units unless the local government makes a finding that the
bonus and incentives are not needed to achieve affordability.
(Government Code Section 65915)
2)Provides that to qualify for the benefits of this provision, a
proposed housing development must contain at least 20 percent
of the units affordable to low income households, 10 percent
of the units affordable to very low income households, or 50
percent of the units reserved for seniors. (Government Code
Section 65915)
3)Requires that the density bonus must be at least 25 percent
over the existing maximum density for the site, unless a
lesser amount is elected by the developer. (Government Code
Section 65915)
4)Provides that local government incentives may include:
AB 305
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a) Reduction in site development standards.
b) Modification of zoning code requirements (including a
reduction in setbacks, square footage requirements, or
parking spaces, or architectural design requirements that
exceed the minimum building standards).
c) Approval of mixed use zoning in conjunction with the
housing project if commercial, office, industrial, or other
land uses will reduce the cost of the housing development,
and if such nonresidential uses are compatible with the
project.
d) Other regulatory incentives or concessions proposed by
the developer or the city or county that result in
identifiable cost reductions.
(Government Code Section 65915)
FISCAL EFFECT : Unknown.
COMMENTS :
California's current housing shortage is well documented. To
keep up with demand, the state needs to build over 100,000 more
housing units per year than it currently produces. Lack of
available affordable housing poses a danger to the state's
economy. Employers will find it increasingly difficult to
attract and retain a qualified workforce if workers are unable
to find affordable housing near their jobs.
In addition to the lack of affordable housing, according to the
author, the demand for licensed day care also exceeds supply.
The author asserts that there are 4.06 million children in need
of child care and only 886,871 licensed day care slots. The
state average cost of child care is $8,521 annually and for the
larger urban counties the average cost is approximately $10,000
annually. The author argues that builders need an incentive to
build child care in most urban areas, because of the high cost
of land, in San Mateo the average home sells for approximately
$600,000. California is the largest state by population and
still among the fastest growing.
AB 305
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To help address the affordable housing shortage, the Legislature
enacted the density bonus law to encourage development of more
housing units.
This bill seeks to allow local governments to offer additional
density bonuses and other incentives to builders of affordable
housing who also include child care facilities within the
development.
Double referred : The Assembly Committee on Rules referred AB
305 to the Assembly Committee on Housing and Community and Local
Government. If AB 305 passes this committee, the bill must be
referred to the Assembly Committee on Local Government.
REGISTERED SUPPORT / OPPOSITION :
Support
California Federation of Teachers
Opposition
None on file.
Analysis Prepared by : Hubert Bower / H. & C.D. / (916)
319-2085