Agda Pkt 2026.07.13 Joint SA PFA

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4/8/26 11 SB 35/SB 423, which requires at least 10% very-low-income units for rental projects or 10% low-income units for ownership projects (although they must also meet the affordability standards in SB 79). • Impacts your job—Effect of SB 79 Compliance on Local Review. Projects that comply with the TOD development standards of SB 79; any applicable local objective general plan and zoning standards (to the extent those standards do not prevent achieving SB 79’s TOD development standards); and any approved incentives, concessions, or waivers granted under SDBL are deemed consistent and in conformity with all applicable local plans, policies, and standards for purposes of the HAA (Section 65589.5). (Section 65912.157(l)). If a housing development complies with all objective standards existing at the time the project is deemed complete, under the HAA, it cannot be denied, have its density reduced, or have an infeasible condition imposed unless the local government makes a finding supported by the preponderance of the evidence that the project would cause a “specific, adverse impact” that cannot be mitigated. (Section 65589.5(j)(1).) Beginning January 1, 2027, denials of projects that meet SB 79’s requirements and that are located in high-resource areas are rebuttably presumed to be unlawful and are subject to penalties of $10,000 per unit. (Section 65912.157(m)). • Impacts your job—HCD review of local ordinances. Local governments may – but are not required to – enact a local ordinance to make their zoning code consistent with SB 79’s development standards or to implement one or more of the local options to modify SB 79’s standards.6 Local governments adopting an ordinance to implement or modify SB 79 standards must submit a draft to HCD at least 14 days before adoption and a final version within 60 days after enactment. HCD then has up to 90 days (with one optional 30-day extension) to determine whether the ordinance substantially complies with SB 79. If HCD finds noncompliance, the local government must consider HCD’s findings and either amend the ordinance or, if it chooses to adopt the ordinance without changes, include findings in its adopting resolution explaining why it believes the ordinance complies with SB 79. If the local government does not take either step, HCD may notify the Attorney General. (Section 65912.160(d)). However, other provisions in SB 79 appear to require that alternative plans and other implementing ordinances be approved or found compliant by HCD to become effective. (Sections 65912.157(n) & 65912.161(d)). Ordinances adopted to make zoning consistent with SB 79 are not considered a project under the California Environmental Quality Act. (Section 65912.160(c)). 6 Note that SB 79’s standards are effective and applicable in instances in which a local government does not enact a local ordinance. 8.A. - Page 29 of 97 247