The Planning and Zoning Law requires each county and city to adopt a comprehensive, long-term general plan for its physical development, and the development of certain lands outside its boundaries, that includes, among other mandatory elements, a housing element. Existing law requires that the housing element include, among other things, an inventory of land suitable and available for residential development. If the inventory of sites does not identify adequate sites to accommodate the need for groups of all households pursuant to specified law, existing law requires the local government to rezone sites within specified time periods and that this rezoning accommodate 100% of the need for housing for very low and low-income households on sites that will be zoned to permit owner-occupied and rental multifamily residential use by right for specified developments.
This bill, the Neighborhood Homes Act, would deem a housing development project, as defined, an authorized use on a neighborhood lot that is zoned for office or retail commercial use under a local agency's zoning code or general plan. The bill would require the density for a housing development under these provisions to meet or exceed the density deemed appropriate to accommodate housing for lower income households according to the type of local jurisdiction, including a density of at least 20 units per acre for a suburban jurisdiction. The bill would provide that a housing development under these provisions is subject to the local zoning, parking, and design ordinances, and any design review or other public notice, comment, hearing, or procedure applicable to a housing development in a zone with the applicable density. The bill would provide that the local zoning designation applies if the existing zoning designation for the parcel allows residential use at a density greater than that required by these provisions. The bill would authorize a local agency that met its share of the regional housing need, as specified, to exempt a neighborhood lot from these provisions if the local agency concurrently reallocates the lost residential density to other lots so that there is no net loss in residential production capacity in the jurisdiction. This bill would specify that it does not alter or affect the application of any housing, environmental, or labor law applicable to a housing development authorized by these provisions, including, but not limited to, the California Coastal Act, the California Environmental Quality Act, the Housing Accountability Act, obligations to affirmatively further fair housing, and any state or local affordability laws or tenant protection laws. This bill would require an applicant of a housing development under these provisions to provide notice of a pending application to each commercial tenant of the neighborhood lot.
The Mello-Roos Community Facilities Act of 1982 authorizes a local agency to establish a community facilities district to finance various services, including police protection, fire protection, recreation programs, and library services, and provides for the annexation of territory to an existing community facilities district.
This bill would authorize an applicant seeking to develop a housing project on a neighborhood lot to request that a local agency establish a Mello-Roos Community Facilities District, or to request that the neighborhood lot be annexed to an existing community facilities district, as specified, to finance improvements and services to the units proposed to be developed. The bill would prohibit any further proceedings to be taken to annex the territory, or to authorize that annexation in the future, for a period of one year from the decision of the legislative body at the hearing on the annexation if a specified number or groups of persons, including 50% or more of the registered voters or 6 registered voters, whichever is more, residing within the territory proposed for annexation or proposed to be annexed in the future, file written protests with the legislative body. The bill would prohibit a local agency from imposing any development, impact, or mitigation fee, charge, or exaction in connection with the approval of a development project to the extent that those facilities and services are funded by a community facilities district established pursuant to these provisions.
By imposing new duties on local agencies with regard to local planning and zoning, 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.

Statutes affected:
SB1385: 65100 GOV
02/21/20 - Introduced: 65100 GOV
05/06/20 - Amended Senate: 53339.6 GOV, 65100 GOV
SB 1385: 53339.6 GOV, 65100 GOV