Bill Text: CA AB2501 | 2015-2016 | Regular Session | Introduced

NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Housing: density bonuses.

Spectrum: Partisan Bill (Democrat 3-0)

Status: (Passed) 2016-09-28 - Chaptered by Secretary of State - Chapter 758, Statutes of 2016. [AB2501 Detail]

Download: California-2015-AB2501-Introduced.html
BILL NUMBER: AB 2501	INTRODUCED
	BILL TEXT


INTRODUCED BY   Assembly Members Bloom and Low
   (Coauthor: Assembly Member Daly)

                        FEBRUARY 19, 2016

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



	LEGISLATIVE COUNSEL'S DIGEST


   AB 2501, as introduced, Bloom. Housing: density bonuses.
   Existing law, the Planning and Zoning Law, requires, when an
applicant proposes a housing development within the jurisdiction of
the 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. Existing law requires continued affordability for 55 years
or longer, as specified, of all very low and low-income units that
qualified an applicant for a density bonus.
   This bill would require the local government to make a written
determination on whether the applicant's application is complete
within 30 calendar days of receipt, and to make the determination on
an application for a density bonus within 60 calendar days of receipt
of a completed application. The bill would further provide an
applicant with appeal rights under specified circumstances. By
increasing the duties of local officials, this bill would impose a
state-mandated local program. The bill would prohibit a local
government from requiring an additional fee or additional reports or
studies to be prepared by the developer as a condition of the
application. The bill would additionally require each component of
any density calculation that results in fractional units to be
rounded up to the next whole number, and would provide that this
provision is declaratory of existing law.
   Existing law defines the term "density bonus" for these purposes
to mean a density increase over the otherwise maximum allowable
residential density as of the date of the application and provides
that the applicant may elect to accept a lesser percentage of density
bonus.
   This bill would specify that the term "density bonus" means a
density increase over the maximum allowable gross residential density
at the time of the date of the application, and would provide that
an applicant may elect to accept no density bonus. The bill would
additionally provide that the term "density bonus" includes any
incentive or concession, or waiver or reduction of development
standard, provided to the applicant for the production of housing
units and child care facilities, as provided.
   Existing law requires a local government to provide the applicant
for a density bonus with incentives or concessions for the production
of housing units and child care facilities, as specified.
   The bill would additionally require the local government to
provide the applicant with a waiver or reduction of development
standards, as specified.
   Existing law requires a local government to grant a proposal for
specific incentives or concessions requested by an applicant unless
the local government makes written findinds, based on substantial
evidence, that, among others, the concession or incentive is not
required in order to provide affordable housing costs or for rents
for the targeted units, as specified.
   This bill would, instead, provide that the local government is
required to provide the requested concessions or incentives unless it
finds, based on substantial evidence, that the concession or
incentive does not reduce the cost of development to provide for
affordable housing costs or rents for the targeted units.
   Existing law defines the term "housing development" for these
purposes to mean a development project for five or more residential
units.
   This bill would expand that definition to include mixed-use
housing, as specified.
   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.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: yes.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 65915 of the Government Code is amended to
read:
   65915.  (a)  (1)    When an applicant seeks a
density bonus for a housing development within, or for the donation
of land for housing within, the jurisdiction of a city, county, or
city and county, that local government shall provide the applicant
with  incentives or   incentives, 
concessions  , or waiver and reduction of development standards
 for the production of housing units and child care facilities
as prescribed in this section. All cities, counties, or cities and
counties shall adopt an ordinance that specifies how compliance with
this section will be implemented.  The ordinance shall specify
all the information and documents, consistent with this chapter, that
shall be submitted with the application for a density bonus. 
Failure to adopt an ordinance shall not relieve a city, county, or
city and county from complying with this section.  The local
government shall not require public notice or hold a public hearing
on the application. Acting on the application shall be considered a
ministerial act.  
   (2) A local government shall not condition the submission of an
application for a density bonus pursuant to this chapter on the
payment of an additional fee or preparation of any additional report
or study that is not otherwise required by any other applicable law.
 
   (3) (A) The local government shall, within 30 calendar days
following receipt of the application, make a written determination of
whether the application for a density bonus is complete and shall
transmit that determination to the applicant. If the written
determination is not made within 30 calendar days of receipt of the
application, the application shall be deemed complete for purposes of
this section. If the application is determined to be incomplete, the
determination shall include a list and thorough description of the
specific information needed to complete the application. An applicant
may appeal the decision in writing to the administrator of the
department. The local government shall make a decision on the appeal
within 15 calendar days of receipt of the appeal. An applicant shall
have the right to appeal the decision on the first appeal to the
governing body of the local government. A decision shall be made by
the governing body within 15 calendar days.  
   (B) If the application was determined incomplete pursuant to
subparagraph (A), the applicant may resubmit the application in
complete form. The local government shall make a written
determination, within 10 business days of receipt of the resubmittal,
of whether the application is complete after resubmittal. If a
written determination is not made within 10 business days, the
application shall be deemed complete for purposes of this section.
This subparagraph shall apply to all subsequent resubmittals after a
written determination that the application is incomplete. An
applicant may appeal the decision in writing to the administrator of
the planning department. The local government shall make a decision
on the appeal within 15 calendar days of receipt of the appeal. An
applicant shall have the right to appeal the decision on the first
appeal to the governing body of the local government. A decision
shall be made by the governing body within 15 calendar days. 

   (C) The local government shall, within 60 days of determining an
application is complete, act to approve or disapprove the density
bonus, or inform the applicant in writing as to the reason for
refusing to grant the request. A decision made pursuant to this
subparagraph shall constitute a final decision on the application. If
a local government fails to act to approve or disapprove the
application within 60 days, the application shall be deemed approved.

   (b) (1) A city, county, or city and county shall grant one density
bonus, the amount of which shall be as specified in subdivision (f),
and incentives or concessions, as described in subdivision (d), when
an applicant for a housing development seeks and agrees to construct
a housing development, excluding any units permitted by the density
bonus awarded pursuant to this section, that will contain at least
any one of the following:
   (A) Ten percent of the total units of a housing development for
lower income households, as defined in Section 50079.5 of the Health
and Safety Code.
   (B) Five percent of the total units of a housing development for
very low income households, as defined in Section 50105 of the Health
and Safety Code.
   (C) A senior citizen housing development, as defined in Sections
51.3 and 51.12 of the Civil Code, or a mobilehome park that limits
residency based on age requirements for housing for older persons
pursuant to Section 798.76 or 799.5 of the Civil Code.
   (D) Ten percent of the total dwelling units in a common interest
development, as defined in Section 4100 of the Civil Code, for
persons and families of moderate income, as defined in Section 50093
of the Health and Safety Code, provided that all units in the
development are offered to the public for purchase.
   (2) For purposes of calculating the amount of the density bonus
pursuant to subdivision (f), an applicant who requests a density
bonus pursuant to this subdivision shall elect whether the bonus
shall be awarded on the basis of subparagraph (A), (B), (C), or (D)
of paragraph (1).
   (3) For the purposes of this section, "total units" or "total
dwelling units" does not include units added by a density bonus
awarded pursuant to this section or any local law granting a greater
density bonus.
   (c) (1) An applicant shall agree to, and the city, county, or city
and county shall ensure, the continued affordability of all very low
and low-income rental units that qualified the applicant for the
award of the density bonus for 55 years or a longer period of time if
required by the construction or mortgage financing assistance
program, mortgage insurance program, or rental subsidy program. Rents
for the lower income density bonus units shall be set at an
affordable rent as defined in Section 50053 of the Health and Safety
Code.
   (2) An applicant shall agree to, and the city, county, or city and
county shall ensure that, the initial occupant of all for-sale units
that qualified the applicant for the award of the density bonus are
persons and families of very low, low, or moderate income, as
required, and that the units are offered at an affordable housing
cost, as that cost is defined in Section 50052.5 of the Health and
Safety Code. The local government shall enforce an equity sharing
agreement, unless it is in conflict with the requirements of another
public funding source or law. The following apply to the equity
sharing agreement:
   (A) Upon resale, the seller of the unit shall retain the value of
any improvements, the downpayment, and the seller's proportionate
share of appreciation. The local government shall recapture any
initial subsidy, as defined in subparagraph (B), and its
proportionate share of appreciation, as defined in subparagraph (C),
which amount shall be used within five years for any of the purposes
described in subdivision (e) of Section 33334.2 of the Health and
Safety Code that promote home ownership.
   (B) For purposes of this subdivision, the local government's
initial subsidy shall be equal to the fair market value of the home
at the time of initial sale minus the initial sale price to the
moderate-income household, plus the amount of any downpayment
assistance or mortgage assistance. If upon resale the market value is
lower than the initial market value, then the value at the time of
the resale shall be used as the initial market value.
   (C) For purposes of this subdivision, the local government's
proportionate share of appreciation shall be equal to the ratio of
the local government's initial subsidy to the fair market value of
the home at the time of initial sale.
   (3) (A) An applicant shall be ineligible for a density bonus or
any other incentives or concessions under this section if the housing
development is proposed on any property that includes a parcel or
parcels on which rental dwelling units are or, if the dwelling units
have been vacated or demolished in the five-year period preceding the
application, have been subject to a recorded covenant, ordinance, or
law that restricts rents to levels affordable to persons and
families of lower or very low income; subject to any other form of
rent or price control through a public entity's valid exercise of its
police power; or occupied by lower or very low income households,
unless the proposed housing development replaces those units, and
either of the following applies:
   (i) The proposed housing development, inclusive of the units
replaced pursuant to this paragraph, contains affordable units at the
percentages set forth in subdivision (b).
   (ii) Each unit in the development, exclusive of a manager's unit
or units, is affordable to, and occupied by, either a lower or very
low income household.
   (B) For the purposes of this paragraph, "replace" shall mean
either of the following:
   (i) If any dwelling units described in subparagraph (A) are
occupied on the date of application, the proposed housing development
shall provide at least the same number of units of equivalent size
or type, or both, to be made available at affordable rent or
affordable housing cost to, and occupied by, persons and families in
the same or lower income category as those households in occupancy.
For unoccupied dwelling units described in subparagraph (A) in a
development with occupied units, the proposed housing development
shall provide units of equivalent size or type, or both, to be made
available at affordable rent or affordable housing cost to, and
occupied by, persons and families in the same or lower income
category in the same proportion of affordability as the occupied
units. All replacement calculations resulting in fractional units
shall be rounded up to the next whole number. If the replacement
units will be rental dwelling units, these units shall be subject to
a recorded affordability restriction for at least 55 years. If the
proposed development is for-sale units, the units replaced shall be
subject to paragraph (2).
   (ii) If all dwelling units described in subparagraph (A) have been
vacated or demolished within the five-year period preceding the
application, the proposed housing development shall provide at least
the same number of units of equivalent size or type, or both, as
existed at the highpoint of those units in the five-year period
preceding the application to be made available at affordable rent or
affordable housing cost to, and occupied by, persons and families in
the same or lower income category as those persons and families in
occupancy at that time, if known. If the incomes of the persons and
families in occupancy at the highpoint is not known, then one-half of
the required units shall be made available at affordable rent or
affordable housing cost to, and occupied by, very low income persons
and families and one-half of the required units shall be made
available for rent at affordable housing costs to, and occupied by,
low-income persons and families. All replacement calculations
resulting in fractional units shall be rounded up to the next whole
number. If the replacement units will be rental dwelling units, these
units shall be subject to a recorded affordability restriction for
at least 55 years. If the proposed development is for-sale units, the
units replaced shall be subject to paragraph (2).
   (C) Paragraph (3) of subdivision (c) does not apply to an
applicant seeking a density bonus for a proposed housing development
if his or her application was submitted to, or processed by, a city,
county, or city and county before January 1, 2015.
   (d) (1) An applicant for a density bonus pursuant to subdivision
(b) may submit to a city, county, or city and county a proposal for
the specific incentives or concessions that the applicant requests
pursuant to this section, and may request a meeting with the city,
county, or city and county. The city, county, or city and county
shall grant the concession or incentive requested by the applicant
unless the city, county, or city and county makes a written finding,
based upon substantial evidence, of any of the following:
   (A) The concession or incentive  is not required in order
  does not reduce the cost of development  to
provide for affordable housing costs, as defined in Section 50052.5
of the Health and Safety Code, or for rents for the targeted units to
be set as specified in subdivision (c).
   (B) The concession or incentive would have a specific adverse
impact, as defined in paragraph (2) of subdivision (d) of Section
65589.5, upon public health and safety or the physical environment or
on any real property that is listed in the California Register of
Historical Resources and for which there is no feasible method to
satisfactorily mitigate or avoid the specific adverse impact without
rendering the development unaffordable to low- and moderate-income
households.
   (C) The concession or incentive would be contrary to state or
federal law.
   (2) The applicant shall receive the following number of incentives
or concessions:
   (A) One incentive or concession for projects that include at least
10 percent of the total units for lower income households, at least
5 percent for very low income households, or at least 10 percent for
persons and families of moderate income in a common interest
development.
   (B) Two incentives or concessions for projects that include at
least 20 percent of the total units for lower income households, at
least 10 percent for very low income households, or at least 20
percent for persons and families of moderate income in a common
interest development.
   (C) Three incentives or concessions for projects that include at
least 30 percent of the total units for lower income households, at
least 15 percent for very low income households, or at least 30
percent for persons and families of moderate income in a common
interest development.
   (3) The applicant may initiate judicial proceedings if the city,
county, or city and county refuses to grant a requested density
bonus, incentive, or concession. If a court finds that the refusal to
grant a requested density bonus, incentive, or concession is in
violation of this section, the court shall award the plaintiff
reasonable attorney's fees and costs of suit. Nothing in this
subdivision shall be interpreted to require a local government to
grant an incentive or concession that has a specific, adverse impact,
as defined in paragraph (2) of subdivision (d) of Section 65589.5,
upon health, safety, or the physical environment, and for which there
is no feasible method to satisfactorily mitigate or avoid the
specific adverse impact. Nothing in this subdivision shall be
interpreted to require a local government to grant an incentive or
concession that would have an adverse impact on any real property
that is listed in the California Register of Historical Resources.
The city, county, or city and county shall establish procedures for
carrying out this section, that shall include legislative body
approval of the means of compliance with this section. 
   (4) The city, county, or city and county shall bear the burden of
proof for the denial of a requested concession or incentive. Denial
of a requested concession or incentive shall be deemed to have
exhausted an applicant's administrative remedies. 
   (e) (1) In no case may a city, county, or city and county apply
any development standard that will have the effect of physically
precluding the construction of a development meeting the criteria of
subdivision (b) at the densities or with the concessions or
incentives permitted by this section. An applicant may submit to a
city, county, or city and county a proposal for the waiver or
reduction of development standards that will have the effect of
physically precluding the construction of a development meeting the
criteria of subdivision (b) at the densities or with the concessions
or incentives permitted under this section, and may request a meeting
with the city, county, or city and county. If a court finds that the
refusal to grant a waiver or reduction of development standards is
in violation of this section, the court shall award the plaintiff
reasonable attorney's fees and costs of suit. Nothing in this
subdivision shall be interpreted to require a local government to
waive or reduce development standards if the waiver or reduction
would have a specific, adverse impact, as defined in paragraph (2) of
subdivision (d) of Section 65589.5, upon health, safety, or the
physical environment, and for which there is no feasible method to
satisfactorily mitigate or avoid the specific adverse impact. Nothing
in this subdivision shall be interpreted to require a local
government to waive or reduce development standards that would have
an adverse impact on any real property that is listed in the
California Register of Historical Resources, or to grant any waiver
or reduction that would be contrary to state or federal law.
   (2) A proposal for the waiver or reduction of development
standards pursuant to this subdivision shall neither reduce nor
increase the number of incentives or concessions to which the
applicant is entitled pursuant to subdivision (d).
   (f)  (1)    For the purposes of this chapter,
"density bonus" means a density increase over the otherwise maximum
allowable  gross  residential density as of the date of
application by the applicant to the city, county, or city and county.
The applicant may elect to accept a lesser percentage of density
bonus  , including, but not limited to, no increase in density
 . The amount of density bonus to which the applicant is
entitled shall vary according to the amount by which the percentage
of affordable housing units exceeds the percentage established in
subdivision (b). 
   (1) 
    (A)  For housing developments meeting the criteria of
subparagraph (A) of paragraph (1) of subdivision (b), the density
bonus shall be calculated as follows:
    Percentage Low-Income Units      Percentage
                                    Density Bonus
                10                       20
                11                      21.5
                12                       23
                13                      24.5
                14                       26
                15                      27.5
                17                      30.5
                18                       32
                19                      33.5
                20                       35


   (2) 
    (B)  For housing developments meeting the criteria of
subparagraph (B) of paragraph (1) of subdivision (b), the density
bonus shall be calculated as follows:
    Percentage Very Low   Percentage Density Bonus
       Income Units
             5                       20
             6                      22.5
             7                       25
             8                      27.5
             9                       30
            10                      32.5
            11                       35


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

   (4) 
    (D)  For housing developments meeting the criteria of
subparagraph (D) of paragraph (1) of subdivision (b), the density
bonus shall be calculated as follows:
   Percentage Moderate-   Percentage Density Bonus
       Income Units
            10                        5
            11                        6
            12                        7
            13                        8
            14                        9
            15                       10
            16                       11
            17                       12
            18                       13
            19                       14
            20                       15
            21                       16
            22                       17
            23                       18
            24                       19
            25                       20
            26                       21
            27                       22
            28                       23
            29                       24
            30                       25
            31                       26
            32                       27
            33                       28
            34                       29
            35                       30
            36                       31
            37                       32
            38                       33
            39                       34
            40                       35


   (5) 
    (E)  All density calculations resulting in fractional
units shall be rounded up to the next whole number. The granting of a
density bonus shall not  require, or  be interpreted, in
and of itself, to require a general plan amendment, local coastal
plan amendment, zoning change, or other discretionary approval. 
   (2) The term "density bonus" shall also include any incentive or
concession, or waiver or reduction of development standard, provided
to the applicant for the production of housing units and child care
facilities, as provided in this section. 
   (g) (1) When an applicant for a tentative subdivision map, parcel
map, or other residential development approval donates land to a
city, county, or city and county in accordance with this subdivision,
the applicant shall be entitled to a 15-percent increase above the
otherwise maximum allowable residential density for the entire
development, as follows:
    Percentage Very Low   Percentage Density Bonus
          Income
            10                       15
            11                       16
            12                       17
            13                       18
            14                       19
            15                       20
            16                       21
            17                       22
            18                       23
            19                       24
            20                       25
            21                       26
            22                       27
            23                       28
            24                       29
            25                       30
            26                       31
            27                       32
            28                       33
            29                       34
            30                       35


   (2) This increase shall be in addition to any increase in density
mandated by subdivision (b), up to a maximum combined mandated
density increase of 35 percent if an applicant seeks an increase
pursuant to both this subdivision and subdivision (b). All density
calculations resulting in fractional units shall be rounded up to the
next whole number. Nothing in this subdivision shall be construed to
enlarge or diminish the authority of a city, county, or city and
county to require a developer to donate land as a condition of
development. An applicant shall be eligible for the increased density
bonus described in this subdivision if all of the following
conditions are met:
   (A) The applicant donates and transfers the land no later than the
date of approval of the final subdivision map, parcel map, or
residential development application.
   (B) The developable acreage and zoning classification of the land
being transferred are sufficient to permit construction of units
affordable to very low income households in an amount not less than
10 percent of the number of residential units of the proposed
development.
   (C) The transferred land is at least one acre in size or of
sufficient size to permit development of at least 40 units, has the
appropriate general plan designation, is appropriately zoned with
appropriate development standards for development at the density
described in paragraph (3) of subdivision (c) of Section 65583.2, and
is or will be served by adequate public facilities and
infrastructure.
   (D) The transferred land shall have all of the permits and
approvals, other than building permits, necessary for the development
of the very low income housing units on the transferred land, not
later than the date of approval of the final subdivision map, parcel
map, or residential development application, except that the local
government may subject the proposed development to subsequent design
review to the extent authorized by subdivision (i) of Section 65583.2
if the design is not reviewed by the local government prior to the
time of transfer.
   (E) The transferred land and the affordable units shall be subject
to a deed restriction ensuring continued affordability of the units
consistent with paragraphs (1) and (2) of subdivision (c), which
shall be recorded on the property at the time of the transfer.
   (F) The land is transferred to the local agency or to a housing
developer approved by the local agency. The local agency may require
the applicant to identify and transfer the land to the developer.
   (G) The transferred land shall be within the boundary of the
proposed development or, if the local agency agrees, within
one-quarter mile of the boundary of the proposed development.
   (H) A proposed source of funding for the very low income units
shall be identified not later than the date of approval of the final
subdivision map, parcel map, or residential development application.
   (h) (1) When an applicant proposes to construct a housing
development that conforms to the requirements of subdivision (b) and
includes a child care facility that will be located on the premises
of, as part of, or adjacent to, the project, the city, county, or
city and county shall grant either of the following:
   (A) An additional density bonus that is an amount of square feet
of residential space that is equal to or greater than the amount of
square feet in the child care facility.
                       (B) An additional concession or incentive that
contributes significantly to the economic feasibility of the
construction of the child care facility.
   (2) The city, county, or city and county shall require, as a
condition of approving the housing development, that the following
occur:
   (A) The child care facility shall remain in operation for a period
of time that is as long as or longer than the period of time during
which the density bonus units are required to remain affordable
pursuant to subdivision (c).
   (B) Of the children who attend the child care facility, the
children of very low income households, lower income households, or
families of moderate income shall equal a percentage that is equal to
or greater than the percentage of dwelling units that are required
for very low income households, lower income households, or families
of moderate income pursuant to subdivision (b).
   (3) Notwithstanding any requirement of this subdivision, a city,
county, or city and county shall not be required to provide a density
bonus or concession for a child care facility if it finds, based
upon substantial evidence, that the community has adequate child care
facilities.
   (4) "Child care facility," as used in this section, means a child
day care facility other than a family day care home, including, but
not limited to, infant centers, preschools, extended day care
facilities, and schoolage child care centers.
   (i) "Housing development," as used in this section, means a
development project for five or more residential units  ,
including mixed-use developments as defined in Section 65950  .
For the purposes of this section, "housing development" also includes
a subdivision or common interest development, as defined in Section
4100 of the Civil Code, approved by a city, county, or city and
county and consists of residential units or unimproved residential
lots and either a project to substantially rehabilitate and convert
an existing commercial building to residential use or the substantial
rehabilitation of an existing multifamily dwelling, as defined in
subdivision (d) of Section 65863.4, where the result of the
rehabilitation would be a net increase in available residential
units. For the purpose of calculating a density bonus, the
residential units shall be on contiguous sites that are the subject
of one development application, but do not have to be based upon
individual subdivision maps or parcels. The density bonus shall be
permitted in geographic areas of the housing development other than
the areas where the units for the lower income households are
located.
   (j) (1) The granting of a concession or incentive shall not 
require or  be interpreted, in and of itself, to require a
general plan amendment, local coastal plan amendment, zoning change,
 special studies,  or other discretionary approval. This
provision is declaratory of existing law.
   (2) Except as provided in subdivisions (d) and (e), the granting
of a density bonus shall not  require or  be interpreted to
require the waiver of a local ordinance or provisions of a local
ordinance unrelated to development standards.
   (k) For the purposes of this chapter, concession or incentive
means any of the following:
   (1) A reduction in site development standards or a modification of
zoning code requirements or architectural design requirements that
exceed the minimum building standards approved by the California
Building Standards Commission as provided in Part 2.5 (commencing
with Section 18901) of Division 13 of the Health and Safety Code,
including, but not limited to, a reduction in setback and square
footage requirements and in the ratio of vehicular parking spaces
that would otherwise be required that results in 
identifiable, financially sufficient,   identifiable
 and actual cost reductions  , as determined by the
developer  .
   (2) 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 the commercial,
office, industrial, or other land uses are compatible with the
housing project and the existing or planned development in the area
where the proposed housing project will be located.
   (3) Other regulatory incentives or concessions proposed by the
developer or the city, county, or city and county that result in
 identifiable, financially sufficient,  
identifiable  and actual cost reductions  , as determined by
the developer  .
   (l) Subdivision (k) does not limit or require the provision of
direct financial incentives for the housing development, including
the provision of publicly owned land, by the city, county, or city
and county, or the waiver of fees or dedication requirements.
   (m) This section does not supersede or in any way alter or lessen
the effect or application of the California Coastal Act of 1976
(Division 20 (commencing with Section 30000) of the Public Resources
Code).
   (n) If permitted by local ordinance, nothing in this section shall
be construed to prohibit a city, county, or city and county from
granting a density bonus greater than what is described in this
section for a development that meets the requirements of this section
or from granting a proportionately lower density bonus than what is
required by this section for developments that do not meet the
requirements of this section.
   (o) For purposes of this section, the following definitions shall
apply:
   (1) "Development standard" includes a site or construction
condition, including, but not limited to, a height limitation, a
setback requirement, a floor area ratio, an onsite open-space
requirement, or a parking ratio that applies to a residential
development pursuant to any ordinance, general plan element, specific
plan, charter, or other local condition, law, policy, resolution, or
regulation.
   (2) "Maximum allowable residential density" means the density
allowed under the zoning ordinance and land use element of the
general plan, or if a range of density is permitted, means the
maximum allowable density for the specific zoning range and land use
element of the general plan applicable to the project. Where the
density allowed under the zoning ordinance is inconsistent with the
density allowed under the land use element of the general plan, the
general plan density shall prevail.
   (p) (1)  Except as provided in paragraphs (2) and (3), upon the
request of the developer, a city, county, or city and county shall
not require a vehicular parking ratio, inclusive of handicapped and
guest parking, of a development meeting the criteria of subdivisions
(b) and (c), that exceeds the following ratios:
   (A) Zero to one bedroom: one onsite parking space.
   (B) Two to three bedrooms: two onsite parking spaces.
   (C) Four and more bedrooms: two and one-half parking spaces.
   (2) Notwithstanding paragraph (1), if a development includes the
maximum percentage of low- or very low income units provided for in
paragraphs (1) and (2) of subdivision (f) and is located within
one-half mile of a major transit stop, as defined in subdivision (b)
of Section 21155 of the Public Resources Code, and there is
unobstructed access to the major transit stop from the development,
then, upon the request of the developer, a city, county, or city and
county shall not impose a vehicular parking ratio, inclusive of
handicapped and guest parking, that exceeds 0.5 spaces per bedroom.
For purposes of this subdivision, a development shall have
unobstructed access to a major transit stop if a resident is able to
access the major transit stop without encountering natural or
constructed impediments.
   (3) Notwithstanding paragraph (1), if a development consists
solely of rental units, exclusive of a manager's unit or units, with
an affordable housing cost to lower income families, as provided in
Section 50052.5 of the Health and Safety Code, then, upon the request
of the developer, a city, county, or city and county shall not
impose a vehicular parking ratio, inclusive of handicapped and guest
parking, that exceeds the following ratios:
   (A) If the development is located within one-half mile of a major
transit stop, as defined in subdivision (b) of Section 21155 of the
Public Resources Code, and there is unobstructed access to the major
transit stop from the development, the ratio shall not exceed 0.5
spaces per unit.
   (B) If the development is a for-rent housing development for
individuals who are 62 years of age or older that complies with
Sections 51.2 and 51.3 of the Civil Code, the ratio shall not exceed
0.5 spaces per unit. The development shall have either paratransit
service or unobstructed access, within one-half mile, to fixed bus
route service that operates at least eight times per day.
   (C) If the development is a special needs housing development, as
defined in Section 51312 of the Health and Safety Code, the ratio
shall not exceed 0.3 spaces per unit. The development shall have
either paratransit service or unobstructed access, within one-half
mile, to fixed bus route service that operates at least eight times
per day.
   (4) If the total number of parking spaces required for a
development is other than a whole number, the number shall be rounded
up to the next whole number. For purposes of this subdivision, a
development may provide on-site parking through tandem parking or
uncovered parking, but not through on-street parking.
   (5) This subdivision shall apply to a development that meets the
requirements of subdivisions (b) and (c), but only at the request of
the applicant. An applicant may request parking incentives or
concessions beyond those provided in this subdivision pursuant to
subdivision (d).
   (6) This subdivision does not preclude a city, county, or city and
county from reducing or eliminating a parking requirement for
development projects of any type in any location.
   (7) Notwithstanding paragraphs (2) and (3), if a city, county,
city and county, or an independent consultant has conducted an
areawide or jurisdictionwide parking study in the last seven years,
then the city, county, or city and county may impose a higher
vehicular parking ratio not to exceed the ratio described in
paragraph (1), based upon substantial evidence found in the parking
study, that includes, but is not limited to, an analysis of parking
availability, differing levels of transit access, walkability access
to transit services, the potential for shared parking, the effect of
parking requirements on the cost of market-rate and subsidized
developments, and the lower rates of car ownership for low- and very
low income individuals, including seniors and special needs
individuals. The city, county, or city and county shall pay the costs
of any new study. The city, county, or city and county shall make
findings, based on a parking study completed in conformity with this
paragraph, supporting the need for the higher parking ratio. 
   (q) Each component of any density calculation, including base
density and bonus density, resulting in factional units shall by
separately rounded up to the next whole number. The Legislature finds
and declares that this provision is declaratory of existing law.
 
   (r) This chapter shall be interpreted liberally in favor of
producing the maximum number of total housing units. 
  SEC. 2.  No reimbursement is required by this act pursuant to
Section 6 of Article XIII B of the California Constitution because a
local agency or school district has the authority to levy service
charges, fees, or assessments sufficient to pay for the program or
level of service mandated by this act, within the meaning of Section
17556 of the Government Code.
                       
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