Bonta Appeals Ruling Exempting Charter Cities from SB 9
Attorney General Rob Bonta is appealing a Superior Court decision that halted the enforcement of Senate Bill 9 in charter cities. SB 9 took effect in 2023, allowing subdivision of parcels traditionally zoned for single-family homes into configurations accommodating duplexes and fourplexes. The law faced opposition five charter cities asserting it improperly overrides local zoning in charter cities, though supporters argue it's crucial for addressing the statewide housing crisis. Del Mar, along with four Los Angeles County cities, challenged SB 9 in court, contending it violates the state constitution by not effectively promoting affordable housing without interfering excessively with local government. The judge's ruling sided with this argument on April 22, prompting Bonta's appeal, aiming to clarify the law's applicability across all of California's charter cities. Bonta emphasized SB 9's constitutionality and its role in enhancing housing availability and affordability statewide, highlighting ongoing efforts to defend legislative housing initiatives in court. "We firmly believe that SB 9 is constitutional as to every city in the state," said Bonta, in a statement. "As the California Second District Court of Appeal recently held, ensuring housing availability and affordability in California is a matter of statewide importance."
November Statewide Ballot to Feature Four Land Use Propositions
California voters will face four statewide ballot propositions related to land use this November, covering issues from infrastructure funding to rent control. The ballot will feature ten propositions in total. Proposition 2 proposes a $10 billion bond primarily allocated for school construction and upgrades. Proposition 4 proposes a $10 billion bond to fund climate and environmental projects, aiming to mitigate impacts of climate change and bolster water and wildfire defenses. Proposition 5 seeks to ease voter approval requirements for local housing and infrastructure bonds to encourage borrowing for low-income and affordable housing projects. Proposition 33 proposes granting local governments authority to enforce rent control measures; it's the latest in a string of thus-far unsuccessful rent control measures sponsored by Los Angeles-based AIDS Healthcare Foundation. AB1657 -- which proposed issuing $10 billion in general obligation bonds to fund affordable rental housing programs for lower-income families, supportive housing for the homeless and other critical housing initiatives -- will not appear on the ballot; concerned about the state's borrowing capacity, the legislature opted instead for Proposition 2, a $10 billion school facilities bond measure.
HDC Updates List of Cities Subject to SB 423 Streamlining
The California Department of Housing and Community Development has released its 2024 SB 423 Streamlined Ministerial Approval Process (SMAP) Determination, replacing SB 35, to impose streamlined housing approvals in various jurisdictions based on cities' progress toward housing goals. This update, informed by 2023 Housing Element Annual Progress Reports, reveals that 238 jurisdictions are subject to streamlined approvals for housing projects with at least 50% affordability, while 254 jurisdictions must streamline approvals for projects with at least 10% affordability. Forty-seven jurisdictions are in full compliance with SB 423 and are therefore exempt from streamlining. A developer can confirm the jurisdiction’s current compliance status using the Housing Element Review and Compliance Report.
San Bernardino County Faces Environmental Justice Lawsuit over Warehouse Approvals
Two environmental groups have accused San Bernardino County officials of violating federal anti-discrimination laws by approving an excessive number of warehouses and logistics centers in Bloomington, a predominantly Latino community. Earthjustice, representing The People’s Collective for Environmental Justice, filed a complaint asserting that these developments expose residents to air pollution and exacerbate housing instability and inequity. The complaint calls for federal agencies to investigate these claims and temporarily halt warehouse construction in Bloomington. Critics argue Bloomington is disproportionately targeted for industrialization compared to other similar communities in the county, citing racial demographics and inadequate community input in decision-making processes. (See related CP&DR coverage.)
CP&DR Coverage: Legislature Exempts Its Own Office Building from CEQA
The Legislature and Gov. Gavin Newsom have punched another hole in the California Environmental Quality Act – this time in order to move along construction of a new annex to the State Capitol in Sacramento. It’s the latest example of the state’s growing “Swiss cheese” approach to CEQA, coming on the heels of a similar solution to the People’s Park court case last year. There’s no way to comprehensively reform CEQA. But when a CEQA stall comes along that bothers the legislators, they simply pass a law providing a one-off end run around the law. Meanwhile, other projects languish. The Legislature, which won’t reform CEQA even though the process is time-consuming and expensive, exempted its own office building from CEQA because the process is time-consuming and expensive. That’s the Swiss Cheese angle to CEQA. The Legislature gets worked up over something and passes a one-off bill streamlining or eliminating CEQA review for the one narrow thing they’re worked up over.
Quick Hits & Updates
In San Francisco's Dogpatch neighborhood, an approved project to develop a 70,600-square-foot biotech startup incubator facility at 700 Indiana Street faces uncertainty due to an appeal by local neighborhood groups. These groups contest the city's classification of the project as a "non-life sciences" laboratory, arguing that it violates zoning regulations prohibiting "life sciences" uses in the Urban Mixed-Use district. The appeal raises concerns about potential environmental impacts and shadows on nearby Esprit Park, reflecting broader conflicts over land use priorities. (See related CP&DR coverage.)
The Draft 2025 Transportation Improvement Program (TIP) released by MTC outlines over 300 Bay Area transportation projects funded with $11.8 billion from federal, state, and local sources through 2028. They will support Plan Bay Area 2050’s vision for transportation, housing, economic development, and environmental resilience. The TIP will prioritize investments in transit, bicycling, and walking infrastructure, adheres to financial constraints, and requires approval from the Federal Highway Administration and Federal Transit Administration, alongside a Draft Transportation-Air Quality Conformity analysis.
The Santa Clara County Civil Grand Jury’s investigative report reveals that the City of Santa Clara likely lost significant revenue from non-NFL events at Levi’s Stadium due to a bad deal with the San Francisco 49ers. They criticized city officials for favoring the 49ers in contracts, eventually leading to financial disputes, and called for better oversight and strategies to maximize stadium profits. Additionally, they underscored unethical behavior within City Council, specifically among members who benefited from the 49ers $7.5 million donation to local campaigns, therefore recommending an ethics commission.
The ULI Terwilliger Center for Housing announced finalists for the Jack Kemp Excellence in Affordable and Workforce Housing Award and the Terwilliger Center Award for Innovation in Attainable Housing. California Finalists include the Santa Ana Arts Collective, which repurposed a 1965 office building into 58 live-work lofts, and Pointe on La Brea and Watts Works, both of which are in Los Angeles and provide supportive housing for individuals experiencing homelessness.
Migration trends in California show a shift away from the Bay Area and Los Angeles towards Sacramento, the Northern San Joaquin Valley, and the Central Coast in the north, and the Inland Empire in the south. Remote work rates accelerated these patterns, primarily among affluent residents in these major metropolitan areas, where remote work was among the most common nationally. As a result, the Bay Area has experienced drastic net outmigration, totaling at 4.1 to 9.3 per thousand since 2018-19, while Los Angeles has also experienced a slight net loss going from 4.3 to 3.5 per thousand since the beginning of the pandemic.
Waymo, the autonomous driving technology company, has gained approval from the California Public Utilities Commission to expand its operations onto the Peninsula, despite opposition from local authorities. This decision marks the end of the ongoing conflict between local California governments and AV companies regarding regulatory dynamics and concerns over safety, community impact, and emerging technologies in the public sphere. (See related CP&DR coverage.)
The Los Angeles City Council voted to complete a long-awaited $1.4-billion expansion of the Los Angeles Convention Center before the 2028 Summer Olympics. The updated facility is expected to bring in more than $165 million in visitor spending each year and will create 7,445 temporary construction jobs and 2,147 permanent jobs.
