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Feds May Sell Millions of Acres Across Western States
Senate Republicans have introduced a proposal for the Forest Service and Bureau of Land Management to sell between 0.5% and 0.75% of their total 438 million acres of land. That would amount to 3.3 million acres of federal land in 11 western states, including parcels near California landmarks like Yosemite, Lake Tahoe and the Trinity Alps, and large swaths of the Sierra Nevada Mountains. The plan, part of President Trump’s budget package, claims to be aimed at addressing the housing crisis by allowing construction on these lands, though specific sale locations remain unspecified. Some interpretations of the bill place the number of acres open to sale at far more -- up to 250 million acres, mostly in the West. While proponents argue the sales would generate between $5 billion and $10 billion in revenue and support economic development, critics warn the move threatens public access to outdoor spaces. Exemptions would apply to protected areas like national monuments and wilderness regions, but concerns remain about the feasibility of developing rural tracts lacking infrastructure. The proposal faces an uncertain path forward, with even some Republicans expressing reservations.
Local Authority Could Aid Fire Recovery with Tax-Increment Financing
An independent panel is calling on the California Legislature to create a new local authority to oversee rebuilding after the Palisades and Eaton fires. The Blue Ribbon Commission on Climate Action and Fire-Safe Recovery issued over 50 recommendations, including the creation of a Resilient Rebuilding Authority led by a board with members appointed by the governor, state lawmakers and local governments, with guidance from citizen advisory boards. The Commission recommended the proposed authority buy fire-razed lots--using increment financing, in an echo of the state's defunct redevelopment system--and coordinate development and construction at scale, with displaced residents being first in line for new homes. Commission members say this approach will prevent land from being bought up by investors and developers to be turned into more expensive homes. The commission also recommended a ballot measure for the creation of a new Los Angeles County Fire Control District, focused on wildfire management and fire risk reduction. Other recomendations include encouraging constructing all-electric homes, standardizing soil testing and cleanup, creating "buffer zones" around urban-wild boundaries, "fire-hardened" construction codes, additional water storage capacity and dousing systems, and voluntary programs shifting development to low-risk areas.
Amid Controversy over Appointment Process, San Francisco Names Planning Director
Mayor Daniel Lurie has name Sarah Dennis Phillips has been named San Francisco’s new city planning director. Her contentious selection process culminating in three of the seven planning commission members walking out and refusing to vote on the appointment, objecting to the decision process. Mayor Lurie’s office submitted Phillips, currently the executive director for the city’s Office of Economic and Workforce Development, for the position less than a day before the vote. In the past, planning director appointments involved a search process of several months. The three protesting commissioners were appointed by the Board of Supervisors, while the four voting for Phillips were appointees of former Mayor London Breed. Phillips will oversee the finalizing of a rezoning allowing for 46,000 new housing units, due to be adopted by the Board of Supervisors by Jan 31, 2026. She succeeds Rich Hillis, who had held the position since 2020.
Yurok Tribe Completes Acquisition of 47,000 Acres in North State
The Yurok Tribe in Northern California has finalized the largest “land back” transfer in the state’s history by acquiring 47,000 acres around the Blue Creek watershed, doubling their modern land holdings and restoring ancestral territory. This land, adjacent to their reservation near Klamath in Del Norte County, includes vital salmon sanctuary areas and is being managed as a community forest with sustainable logging and ecological restoration efforts. The acquisition complements recent dam removals on the Klamath River, enhancing habitat for migrating salmon and steelhead and reflects a partnership between the tribe, Western Rivers Conservancy and public and private funders. The Yurok Tribe is the largest in California, with over 5,000 enrolled members.
CP&DR Coverage: Sacramento Updates
The Assembly Downtown Recovery Committee has pulled together 13 already introduced bills into a downtown “package” designed to help downtowns as they recover from Covid-related declines. The “package” was announced by the committee’s chair, Assemblymember Matt Haney, D-San Francisco. The bills cover a wide range of topics including streamlining Medi-Cal enrollment for the homeless, streamlining alcohol licenses and restaurant openings, and creating an option for cities and counties to permit bars to open until 4 a.m. Three of the 13 bills will be of particular interest to planners, developers, and property owners, with two of them using a tax-increment-like mechanism to help finance adaptive reuse of buildings, including conversion of office buildings to residential use.
In his “May revise” budget for next year, Gov. Gavin Newsom has proposed creating the long-awaited state vehicle miles traveled mitigation program, with mitigation to be allocated on a region-by-region basis. In all likelihood, the VMT mitigation bank funds will wind up as yet another layer of financing for affordable housing, similar to funds available from the Affordable Housing and Sustainable Communities program. The complication is that, as the California State Association of Counties pointed out, “This is notable as there is no current standard for VMT assessment, reduction, or mitigation price used in the state.”
Quick Hits & Updates
A San Diego judge dismissed the lawsuit seeking to mandate Del Mar's approval of the 259-unit Seaside Ridge housing project, ruling that the developer must first appeal the city’s denial through local channels before seeking court intervention. While the developer argues Del Mar violated state housing law by rejecting the project under the builder’s remedy during a period of Housing Element noncompliance, the city maintains the application was incomplete and no final decision was made, making court action premature. (See related CP&DR coverage.)
San Diego will cap the number of ADUs that can be built on a single-family lot, closing a loophole in ADU incentives that led to a handful of cases in which property owners built over a dozen on a single lot. The council also adopted new rules capping ADUs at two stories, setting a maximum size of 1,200 square feet, and allowing homes to be sold rather than only rented. Councilmembers characterized the move as a correction to a program intended to ease housing supply, but which had led to some exploitation.
STV and Sonoma-Marin Area Rail Transit (SMART) have opened a new commuter rail station and 3.2-mile extension in Windsor, featuring upgraded track, bridges, crossings and a fully integrated pedestrian path. This extension marks a major milestone in SMART’s effort to complete a 70-mile rail corridor from Larkspur to Cloverdale, aimed at improving regional mobility and sustainable transportation in the North Bay. (See related CP&DR coverage.)
Berkeley officials approved a 28-story, 599-unit apartment tower at 1998 Shattuck Avenue, which would be the city's tallest residential building, signaling a significant shift in local housing politics. Despite growing support for high-density development and state laws encouraging it, developers say high construction costs, tariffs and financing challenges make it unlikely the tower will be built soon.
Belvedere released a revised housing plan that clarifies previous proposals without altering the number or location of units, and the state has informally indicated the changes are sufficient to move the plan toward certification. Although the city remains out of compliance with state housing law and faces potential penalties, officials expect the plan to be approved contingent on final zoning changes that support at least 160 new housing units through 2031.
California High-Speed Rail Authority officials are disputing findings of the Federal Railroad Administration's audit, calling the report inaccurate and misleading. The audit recommends rescinding $4 billion of federal funding for the project, originally planned as an $33B LA to San Francisco line opening in 2020. After massive delays and cost hikes, the Rail Authority is now focusing on the completion of a 172-mile central valley line, with construction fully funded for 119 miles from Shafter to Madera.
The 2025 Happy City Index ranks San Diego as the 34th happiest city in the world, recognized for its efforts in sustainability, public health and livability. Other California cities appearing in the top 200 include San Jose and Los Angeles, though they rank lower due to challenges in affordability and transportation.
The Justice Department’s new legal opinion says President Trump can revoke or alter national monuments created by previous presidents, putting California’s recently designated Chuckwalla and Sáttítla Highlands monuments at risk. This move has sparked strong opposition from conservationists and lawmakers, with potential legal battles expected over the authority to undo these protections.
Los Angeles, in partnership with CityLab-UCLA, is addressing its housing affordability crisis by reimagining approximately 24,000 small, vacant residential lots scattered across the city. Through a design competition led by CityLab-UCLA, architects proposed compact, multi-unit housing prototypes that avoid traditional single-family homes in favor of space-efficient designs with outdoor areas and natural light. The city plans to pilot these models on a dozen publicly owned lots to demonstrate how such underused parcels can support affordable homeownership.
The City of Sacramento has proposed charging residents $120 dollars a year for parking permits to park in front of their own homes to help cover its $44 million budget deficit. The residential permit program, affecting around 30,000 residents in various areas of the city, has been free since its creation.
LA Metro will move forward on a plan for the underground construction of the proposed Southeast Gateway line between Union Station in downtown and the city of Artesia. So far the city has identified $2 billion in funding for the first section between the A line Slauson Station and Artesia, the section is projected to cost $5 billion. One proposed solution to the shortfall is an enhanced infrastructure financing district.
