BILL ANALYSIS                                                                                                                                                                                                    



                                                                       



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          |SENATE RULES COMMITTEE            |                   SB 575|
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                                 THIRD READING


          Bill No:  SB 575
          Author:   Steinberg (D)
          Amended:  5/4/09
          Vote:     21

           
           SENATE TRANSPORTATION & HOUSING COMM.  :  6-3, 4/28/09
          AYES:  Lowenthal, DeSaulnier, Kehoe, Pavley, Simitian, Wolk
          NOES:  Huff, Ashburn, Harman
          NO VOTE RECORDED:  Hollingsworth, Oropeza

           SENATE APPROPRIATIONS COMMITTEE  :  Senate Rule 28.8


           SUBJECT  :    Local planning:  housing element

           SOURCE  :     Author


           DIGEST  :    This bill cleans up provisions of last years SB  
          375 (Steinberg), Chapter 728, by clarifying the rezoning  
          requirement under housing element law, housing elements due  
          dates generally, and allows the Department of Housing and  
          Community Development to adjust the deadlines for adoption  
          of the 6th and subsequent revisions of the housing element  
          so that the deadlines occur 18 months after adoption of the  
          applicable regional transportation plan, provided that the  
          planning period, as defined, for the housing element is not  
          less than 90 months and not more than 102 months.  The bill  
          also clarifies a provision of last year's SB 732  
          (Steinberg), Chapter 729, regarding the open meeting  
          requirements applicable to the Strategic Growth Council.

                                                           CONTINUED





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           ANALYSIS  :    SB 375 (Steinberg), Chapter 728, Statutes of  
          2008, required the Air Resources Board (ARB), by September  
          30, 2010, to provide each region that has a metropolitan  
          planning organization (MPO) with a greenhouse gas emission  
          reduction target for the automobile and light truck sector  
          for 2020 and 2035, respectively.  Each MPO, in turn, is  
          required to include within its regional transportation plan  
          (RTP) a sustainable communities strategy designed to  
          achieve the ARB targets for greenhouse gas emission  
          reduction.  The sustainable communities strategy and all  
          other elements of the RTP, including the programming of  
          funding to transportation projects, must be internally  
          consistent.  SB 375 provides that the internal consistency  
          requirement does not affect any transportation project  
          programmed for funding by the California Transportation  
          Commission on or before December 31, 2011, if it is  
          contained in the 2007 or 2009 State Transportation  
          Improvement Program, funded through the Transportation  
          Congestion Relief Program, or specifically listed in a  
          local transportation sales tax ballot measure approved  
          prior to December 31, 2008.  Nor does it require a  
          transportation sales tax authority to change the funding  
          allocations approved by the voters for categories of  
          transportation projects in a sales tax measure adopted  
          prior to December 31, 2010.

          The Planning and Zoning Law requires cities and counties to  
          prepare and adopt a general plan, including a housing  
          element to guide the future growth of a community.  A  
          housing element must identify and analyze existing and  
          projected housing needs, identify adequate sites with  
          appropriate zoning to meet its fair share of the regional  
          housing need, and ensure that regulatory systems provide  
          opportunities for, and do not unduly constrain, housing  
          development.  The Department of Housing and Community  
          Development (HCD) reviews both draft and adopted housing  
          elements to determine whether or not they are in  
          substantial compliance with the law.  

          Cities and counties are required to revise their housing  
          elements on a regular basis.  Before each revision, each  
          city and county is assigned its fair share of the regional  
          housing need for four separate income categories through a  
          two-step process known as the regional housing needs  







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          assessment (RHNA).  In the first step, HCD determines the  
          aggregate housing need for the region during the planning  
          period to be covered by the housing element.  Depending on  
          whether or not subregions are involved in the RHNA process,  
          this step begins 26 or 24 months prior to the regional  
          housing element due date, when HCD is required to meet and  
          consult with the council of governments regarding the  
          assumptions and methodology HCD will use to determine the  
          region's housing need.  In the second step, the council of  
          governments allocates the regional housing need to each  
          city and county within the region.  

          Prior to the enactment of SB 375, cities and counties were  
          required to revise their housing elements every five years  
          according to a staggered schedule by region.  All regions  
          have now completed the fourth revision cycle to the housing  
          element, and some regions are about to begin the fifth  
          revision cycle.  In order to align the population  
          projections used in the RHNA process with those used for  
          transportation planning and to coordinate the RHNA  
          allocation with the sustainable communities strategy of the  
          RTP that an MPO adopts every four years, SB 375 put housing  
          elements in regions with an MPO on an eight-year cycle.  SB  
          375 established the due date for the fifth revision of  
          housing elements within each region at eighteen months  
          after the date of the first RTP adopted after September 30,  
          2010 and the due date for the sixth and subsequent revision  
          every eight years thereafter.  Pursuant to SB 375, housing  
          elements within the region of the San Diego Association of  
          Governments for the fifth revision are due on June 30,  
          2010, and housing elements for the sixth revision are due  
          around May of 2013.  

          SB 732 (Steinberg), Chapter 729, Statutes of 2008,  
          established the Strategic Growth Council, comprised of the  
          Director of the Office of Planning and Research; the  
          Secretary of the Resources Agency; the Secretary for  
          Environmental Protection; the Secretary of Business,  
          Transportation and Housing; the Secretary of California  
          Health and Human Services; and one member of the public to  
          be appointed by the Governor.  The bill further required  
          the Council to coordinate specified programs of member  
          state agencies and to award grants and loans to support the  
          planning and development of sustainable communities.  The  







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          Strategic Growth Council is required to comply with the  
          Bagley-Keene Open Meeting Act.  All but the public member  
          of the council are also members of the Governor's Cabinet.   
          The concern has been raised that the presence of these  
          members at a cabinet meeting may inadvertently require that  
          the cabinet meeting comply with the Bagley-Keene Act.  

          This bill:

          1. Allows the deadline to complete required rezonings to be  
             extended by one year if the local government has  
             completed rezonings at densities sufficient to  
             accommodate at least 75% of the "units," as opposed to  
             sites, for very low and low-income housing.

          2. Clarifies that a meeting of the Governor's cabinet does  
             not qualify as a meeting of the Strategic Growth Council  
             for purposes of the Bagley-Keene Act.

          3. Clarifies the start time of the RHNA process for local  
             governments within MPOs.

          4. Requires a MPO or a regional transportation planning  
             agency for a region that has an eight-year revision  
             interval to notify HCD and the Department of  
             Transportation (Caltrans) in writing of the estimated  
             adoption date for its next regional transportation plan  
             at least 12 months prior to the estimated adoption date.  


          5. Requires Caltrans to maintain and publish on its  
             Internet Web site a current schedule of the estimated  
             regional transportation plan adoption dates. For  
             purposes of determining the existing and projected need  
             for housing a region, the date of the next scheduled  
             revision of the housing element shall be deemed to be  
             the estimated adoption date of the regional  
             transportation plan described in the notice plus 18  
             months.

          6. Allow HCD to adjust the deadlines for adoption of the  
             sixth and subsequent revisions of the housing element so  
             that the deadlines occur 18 months after adoption of the  
             applicable regional transportation plan, provided that  







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             the planning period for the housing element is not less  
             than 90 months and not more than 102 months. 

          7. Specifies the regional housing need for the new  
             projection period shall begin on the date of December 31  
             or June 30 that most closely precedes the end of the  
             previous projection period.

          8. Redefines "planning period" as the time period between  
             the due date for one housing element and the due date  
             for the next housing element.

          9. Defines "projection period" as the time period for which  
             the regional housing need is calculated.

           FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  Yes    
          Local:  Yes

          JA:nl  5/20/09   Senate Floor Analyses 

                       SUPPORT/OPPOSITION:  NONE RECEIVED

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