BILL ANALYSIS                                                                                                                                                                                                    �



                                                                      



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          |SENATE RULES COMMITTEE            |                  AB 2308|
          |Office of Senate Floor Analyses   |                         |
          |1020 N Street, Suite 524          |                         |
          |(916) 651-1520         Fax: (916) |                         |
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                                    CONSENT


          Bill No:  AB 2308
          Author:   Torres (D)
          Amended:  3/29/12 in Assembly
          Vote:     21

           
           SENATE TRANSPORTATION & HOUSING COMM.  :  9-0, 6/12/12
          AYES:  DeSaulnier, Gaines, Harman, Kehoe, Lowenthal, 
            Pavley, Rubio, Simitian, Wyland

           ASSEMBLY FLOOR  :  75-0, 5/17/12 (Consent) - See last page 
            for vote


           SUBJECT  :    Housing element law and regional housing need 
          allocations

           SOURCE  :     Author


           DIGEST  :    This bill allow cities and counties to reduce 
          their share of the regional housing need by the number of 
          units built between the start of a housing element 
          projection period and the housing element due date.

           ANALYSIS  :    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.  Cities and counties located within the 
          territory of a metropolitan planning organization (MPO) 
          must revise their housing elements every eight years 
          following the adoption of every other regional 
          transportation plan.  Cities and counties in rural non-MPO 
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          regions must revise their housing elements every five 
          years.  These five- and eight-year periods are known as the 
          housing element planning period.

          Before each revision, each community receives its fair 
          share of housing need for four separate income categories 
          (very low-, low-, moderate-, and above-moderate income 
          households) through a two-step process known as the 
          regional housing needs assessment (RHNA).  In the first 
          step, the Department of Housing and Community Development 
          (HCD) determines the aggregate housing need for the region 
          during the planning period the housing element will cover.  
          In the second step, the council of governments (COG) for 
          the region allocates the regional housing need to each city 
          and county within the region.  Because this process takes 
          one year and state law requires the COG to finalize the 
          numbers one year prior to a region's housing element due 
          date, the RHNA numbers cover a period of time that begins 
          two years before the beginning of the planning period.  
          This longer time frame is known as the projection period. 

          A housing element must identify and analyze existing and 
          projected housing needs, identify adequate sites with 
          appropriate zoning to meet its share of the RHNA, and 
          ensure that regulatory systems provide opportunities for, 
          and do not unduly constrain, housing development.  HCD 
          reviews both draft and adopted housing elements to 
          determine whether or not they are in substantial compliance 
          with the law.  

          As part of its review process, HCD in practice has always 
          allowed cities and counties to reduce their RHNA shares by 
          the number of units built between the beginning of the 
          projection period and the adoption of the housing element.  
          In order to credit units against the appropriate income 
          category, HCD requires cities and counties to demonstrate 
          the projected sale or rental price of the new units.  
           
           This bill allows a city or county to reduce its RHNA fair 
          share by the number of units built between the start of the 
          projection period and the housing element due date, 
          provided that the housing element includes a description of 
          the methodology for assigning those housing units to the 
          appropriate income category based on actual or projected 

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          sales prices, rent levels, or other mechanisms establishing 
          affordability.
          
           FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  No   
          Local:  No

           SUPPORT  :   (Verified  6/14/12)

          League of California Cities
          Town of Apple Valley



           ASSEMBLY FLOOR  :  75-0, 5/17/12
          AYES:  Achadjian, Alejo, Allen, Ammiano, Atkins, Beall, 
            Bill Berryhill, Block, Blumenfield, Bonilla, Bradford, 
            Brownley, Buchanan, Butler, Charles Calderon, Campos, 
            Carter, Cedillo, Chesbro, Conway, Cook, Davis, Dickinson, 
            Donnelly, Eng, Feuer, Fong, Fuentes, Furutani, Beth 
            Gaines, Galgiani, Garrick, Gatto, Gordon, Gorell, Grove, 
            Hagman, Halderman, Hall, Harkey, Hayashi, Roger 
            Hern�ndez, Hill, Huber, Hueso, Huffman, Jeffries, Jones, 
            Knight, Lara, Logue, Ma, Mansoor, Mendoza, Miller, 
            Mitchell, Monning, Morrell, Nestande, Nielsen, Norby, 
            Olsen, Pan, V. Manuel P�rez, Portantino, Silva, Smyth, 
            Solorio, Swanson, Torres, Valadao, Wagner, Wieckowski, 
            Williams, John A. P�rez
          NO VOTE RECORDED:  Fletcher, Bonnie Lowenthal, Perea, 
            Skinner, Yamada


          JJA:mw  6/14/12   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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