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California Environmental Quality Act: exemption: affordable housing projects: public university or public college housing projects.

AB 1732

California Bills

20250AB__173295AMD INTRODUCED 2026-02-05 AMENDED_ASSEMBLY 2026-04-15 AMENDED_ASSEMBLY 2026-04-27 AMENDED_ASSEMBLY 2026-05-14 AMENDED_ASSEMBLY 2026-05-20 2025 AB AMD Introduced by Assembly Members Alvarez and Wicks (Coauthors: Assembly Members Ahrens, Alanis, Ávila Farías, Caloza, Muratsuchi, Michelle Rodriguez, Schultz, and Zbur) LEAD_AUTHOR ASSEMBLY Alvarez LEAD_AUTHOR ASSEMBLY Wicks COAUTHOR ASSEMBLY Ahrens COAUTHOR ASSEMBLY Alanis COAUTHOR ASSEMBLY Ávila Farías COAUTHOR ASSEMBLY Caloza COAUTHOR ASSEMBLY Muratsuchi COAUTHOR ASSEMBLY Michelle Rodriguez COAUTHOR ASSEMBLY Schultz COAUTHOR ASSEMBLY Zbur

An act to amend

Section 21080.40 of the Public Resources Code, relating to environmental quality. environmental quality California Environmental Quality Act: exemption: affordable housing projects: public university or public college housing projects. The California Environmental Quality Act (CEQA) requires a lead agency, as defined, to prepare, or cause to be prepared, and certify the completion of, an environmental impact report on a project that it proposes to carry out or approve that may have a significant effect on the environment or to adopt a negative declaration if it finds that the project will not have that effect.

CEQA also requires a lead agency to prepare a mitigated negative declaration for a project that may have a significant effect on the environment if revisions in the project would avoid or mitigate that effect and there is no substantial evidence that the project, as revised, would have a significant effect on the environment. CEQA exempts from its requirements certain housing development projects that meet specified conditions, including a condition that the project is consistent with the applicable general plan and zoning ordinance, as well as any applicable local coastal program.

CEQA requires a local government to provide formal notification to each California Native American tribe that is traditionally and culturally affiliated with the project site as an invitation to consult on the proposed project, as provided.</xhtml:p><xhtml:p>This bill would provide that a housing development project that is consistent with the applicable public higher education land use plan would also meet that condition.

The bill would further provide that a housing development project that is not subject to an applicable general plan, zoning ordinance, or public higher education land use plan would satisfy that condition if there is substantial evidence that would allow a reasonable person to conclude that the housing development project meets specified conditions, including a condition that the project satisfies the statewide performance standards for infill projects, as provided.

Because the bill would increase duties on a local government related to this exemption by expanding the exemption to additional projects, this bill would impose a state-mandated local program. </xhtml:p>"?> CEQA, until January 1, 2033, exempts from its requirements certain actions for affordable housing projects that meet specified requirements, including confirmation by a public agency that, among other things, the project site satisfies specified requirements and a vacant project site does not contain tribal cultural resources that could be affected by the development that were found pursuant to a consultation and the effects of which cannot be mitigated, as provided.

This bill would extend the operation of the above-described exemption to January 1, 2037, and would expand the exemption to also include a public university or public college housing project, as defined, that meets specified requirements. Because the bill would extend the operation of the exemption and would increase duties on a lead agency related to the expansion of this exemption, the 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. MAJORITY NO YES YES NO NO NO NO NO NO NO The people of the State of California do enact as follows:

SECTION

Section 21080.40 of the Public Resources Code is amended to read: 21080.40. (

a) For purposes of this section, the following

definitions apply: (1) “Affordable housing project” means a project consisting of multifamily residential uses only or a mix of multifamily residential and nonresidential uses, with at least two-thirds of the square footage of the project designated for residential use, and that satisfies all of the following requirements: (

A) The project meets either of the following: (

i) All of the residential units within the project, excluding managers’ units, are dedicated to lower income households, as defined by

Section 50079.5 of the Health and Safety Code. (ii) The project complies with all of the requirements of

Section 65914.7 of the Government Code. (B) (

i) The project meets the labor standards set forth in

Section 65912.130 of the Government Code. (ii) In addition to clause (i), for a project with or more residential units, the project meets the labor standards set forth in

Section 65912.131 of the Government Code. (

C) The project is located on a legal parcel or parcels in any of the following locations: (

i) In a city where the city boundaries include some portion of either an urbanized area or urban cluster, as designated by the United States Census Bureau, or in an unincorporated area, and the legal parcel or parcels are wholly within the boundaries of an urbanized area or urban cluster, as designated by the United States Census Bureau. (ii) Within one-half mile walking distance to either a high-quality transit corridor or a major transit stop. (iii) In a very low vehicle travel area. (iv) Proximal to six or more amenities pursuant to paragraph (3) as of the date of submission of the application for the project. (

D) Parcels that are developed with urban uses adjoin at least percent of the perimeter of the project site or at least three sides of a four-sided project site. For purposes of this paragraph, parcels that are only separated by a street or highway shall be considered to be adjoined. (2) “High-quality transit corridor” has the same meaning as set forth in subdivision (

b) of

Section 21155. (3) “Proximal” to an amenity means either of the following: (

A) Within one-half mile of any of the following amenities: (

i) A bus station. (ii) A ferry terminal. (

B) Within one mile, or for a parcel in a rural area, as defined in

Section 50199.21 of the Health and Safety Code, within two miles, of any of the following amenities: (

i) A supermarket or grocery store. (ii) A public park. (iii) A community center. (iv) A pharmacy or drugstore. (

v) A medical clinic or hospital. (vi) A public library. (vii) A school that maintains a kindergarten or any of grades to 12, inclusive. (4) “Public university or public college housing project” means one or more housing facilities to be occupied by students, faculty, or staff of one or more campuses of the University of California, California State University, or California Community Colleges, including dining, academic, student support service spaces, and other necessary and usual attendant and related facilities and equipment, and that satisfies all of the following requirements: (A) (

i) The project meets the labor standards set forth in

Section 65912.130 of the Government Code. (ii) In addition to clause (i), for a project with or more residential units, the project meets the labor standards set forth in

Section 65912.131 of the Government Code. (

B) The project is located on a legal parcel or parcels in any of the following locations: (

i) In a city where the city boundaries include some portion of either an urbanized area or urban cluster, as designated by the United States Census Bureau, or in an unincorporated area, and the legal parcel or parcels are wholly within the boundaries of an urbanized area or urban cluster, as designated by the United States Census Bureau. (ii) Within one-half mile walking distance to either a high-quality transit corridor or a major transit stop. (iii) In a very low vehicle travel area. (iv) Proximal to six or more amenities pursuant to subparagraph (

B) of paragraph (3) as of the date of submission of the application for the project. (

C) Parcels that are developed with urban uses adjoin at least percent of the perimeter of the project site or at least three sides of a four-sided project site.

For purposes of this paragraph, parcels that are only separated by a street or highway shall be considered to be adjoined. (4)</xhtml:p>"?> (5) “Vacant site” means a site without any houses, offices, buildings, or other significant improvements on it. (5)</xhtml:p>"?> (6) (A) “Very low vehicle travel area” means an urbanized area, as designated by the United States Census Bureau, where the existing residential development generates vehicle miles traveled per capita that is below percent of either regional vehicle miles traveled per capita or city vehicle miles traveled per capita. (

B) For purposes of subparagraph (A), “area” may include a travel analysis zone, hexagon, or grid. (

C) For the purposes of determining “regional vehicle miles traveled per capita” pursuant to subparagraph (A), a “region” is the entirety of incorporated and unincorporated areas governed by a multicounty or single-county metropolitan planning organization, or the entirety of the incorporated and unincorporated areas of an individual county that is not part of a metropolitan planning organization. (

b) Subject to subdivision (c), this division does not apply to any of the following:

(1) The issuance of an entitlement by a public agency or lead agency for an affordable housing project or a public university or public college housing project.

(2) An action to lease, convey, or encumber land owned by a public agency or lead agency for an affordable housing project or a public university or public college housing project.

(3) An action to facilitate the lease, conveyance, or encumbrance of land owned or to be purchased by a public agency or lead agency for an affordable housing project or a public university or public college housing project.

(4) Rezoning, specific plan amendments, or general plan amendments required specifically and exclusively to allow the construction of an affordable housing project or a public university or public college housing project.

(5) An action to provide financial assistance in furtherance of implementing an affordable housing project or a public university or public college housing project. (

c) Subdivision (

b) applies if the action described in subdivision (

b) requires the housing project to meet all of the following requirements:

(1) For an affordable housing project, the project will be subject to a recorded California Tax Credit Allocation Committee regulatory agreement. This requirement does not apply to affordable housing projects that comply with all of the requirements of

Section 65914.7 of the Government Code.

(2) The housing project site can be adequately served by existing utilities or extensions.

(3) The lead agency confirms all of the following: (

A) The project site satisfies the requirements specified in subparagraphs (

B) to (K), inclusive, of paragraph (6) of subdivision (

a) of

Section 65913.4 of the Government Code. (

B) For a vacant site, the project site does not contain tribal cultural resources that could be affected by the development that were found pursuant to a consultation described in

Section 21080.3.1 and the effects of which cannot be mitigated pursuant to the process described in

Section 21080.3.2. (C) (

i) The development proponent has completed a phase I environmental assessment, as defined in

Section of the Health and Safety Code. If a recognized environmental condition is found, the development proponent shall undertake a preliminary endangerment assessment, as defined in

Section of the Health and Safety Code, prepared by an environmental assessor to determine the existence of any release of a hazardous substance on the site and to determine the potential for exposure of future occupants to significant health hazards from any nearby property or activity. (ii) If a release of a hazardous substance is found to exist on the site, the release shall be removed, or any significant effects of the release shall be mitigated to a level of insignificance in compliance with current state and federal requirements. (iii) If a potential for exposure to significant hazards from surrounding properties or activities is found to exist, the effects of the potential exposure shall be mitigated to a level of insignificance in compliance with current state and federal requirements. (

D) For a project site where multifamily housing is not a permitted use, all of the following are met: (

i) None of the housing is located within feet of a freeway, as defined in

Section of the Vehicle Code. (ii) None of the housing is located within 3,200 feet of a facility that actively extracts or refines oil or natural gas. (iii) The project site is not within a very high fire hazard severity zone, as indicated on maps adopted by the Department of Forestry and Fire Protection pursuant to

Section or as designated pursuant to subdivisions (

a) and (

b) of

Section of the Government Code. (

d) If a lead agency determines that an activity is not subject to this division pursuant to this

section and determines to approve or carry out the activity, the lead agency shall file a notice of exemption with the Office of Planning and Research and the county clerk of the county in which the activity will occur in the manner specified in subdivisions (

b) and (

c) of

Section or subdivisions (

b) and (

c) of

Section 21152. (

e) This

section shall remain in effect only until January 1, 2037, and as of that date is repealed.

SEC. 2. No reimbursement is required by this act pursuant to

Section 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 of the Government Code. <caml:Num>SECTION 1.</caml:Num><caml:ActionLine action="IS_AMENDED" xlink:href="urn:caml:codes:PRC:caml#xpointer(%2Fcaml%3ALawDoc%2Fcaml%3ACode%2Fcaml%3ALawHeading%5B%40type%3D'DIVISION'%20and%20caml%3ANum%3D'13.'%5D%2Fcaml%3ALawHeading%5B%40type%3D'CHAPTER'%20and%20caml%3ANum%3D'2.6.'%5D%2Fcaml%3ALawSection%5Bcaml%3ANum%3D'21080.66.'%5D)" xlink:label="fractionType: LAW_SECTION" xlink:type="locator">Section 21080.66 of the <caml:DocName>Public Resources Code</caml:DocName> is amended to read:</caml:ActionLine><caml:Fragment><caml:LawSection id="id_AA06B35E-2C37-4BB6-BFE6-9A6C2A589675"><caml:Num>21080.66.</caml:Num><caml:LawSectionVersion id="id_45C9F151-CC84-4240-A52A-70CA3CB6FD88"><caml:Content><xhtml:p>(a)<xhtml:span class="EnSpace"/>Without limiting any other statutory or categorical exemption, this division does not apply to any aspect of a housing development project, as defined in subdivision (

b) of

Section 65905.5 of the Government Code, including any permits, approvals, or public improvements required for the housing development project, as may be required by this division, if the housing development project meets all of the following conditions:</xhtml:p><xhtml:p>(1)<xhtml:span class="EnSpace"/>(A)<xhtml:span class="EnSpace"/>Except as provided in subparagraph (B), the project site is not more than acres.</xhtml:p><xhtml:p>(B)<xhtml:span class="EnSpace"/>The project site or the parcel size for a builder’s remedy project, as defined in paragraph (11) of subdivision (

h) of

Section 65589.5 of the Government Code, or the project site or the parcel size for a project that applied pursuant to paragraph (5) of subdivision (

d) of

Section 65589.5 of the Government Code as it read before January 1, 2025, is not more than four acres.</xhtml:p><xhtml:p>(2)<xhtml:span class="EnSpace"/>The project site meets either of the following criteria:</xhtml:p><xhtml:p>(A)<xhtml:span class="EnSpace"/>Is located within the boundaries of an incorporated municipality.</xhtml:p><xhtml:p>(B)<xhtml:span class="EnSpace"/>Is located within an urban area, as defined by the United States Census Bureau.</xhtml:p><xhtml:p>(3)<xhtml:span class="EnSpace"/>The project site meets any of the following criteria:</xhtml:p><xhtml:p>(A)<xhtml:span class="EnSpace"/>Has been previously developed with an urban use.</xhtml:p><xhtml:p>(B)<xhtml:span class="EnSpace"/>At least percent of the perimeter of the site adjoins parcels that are developed with urban uses.</xhtml:p><xhtml:p>(C)<xhtml:span class="EnSpace"/>At least percent of the area within a one-quarter mile radius of the site is developed with urban uses.</xhtml:p><xhtml:p>(D)<xhtml:span class="EnSpace"/>For sites with four sides, at least three out of four sides are developed with urban uses and at least two-thirds of the perimeter of the site adjoins parcels that are developed with urban uses.</xhtml:p><xhtml:p>(4)<xhtml:span class="EnSpace"/>(A)<xhtml:span class="EnSpace"/>The project is consistent with the applicable general plan and zoning ordinance or public higher education land use plan, as well as any applicable local coastal program as defined in

Section 30108.6.

For purposes of this section, a housing development project shall be deemed consistent with the applicable general plan and zoning ordinance or public higher education land use plan, and any applicable local coastal program, if there is substantial evidence that would allow a reasonable person to conclude that the housing development project is consistent.</xhtml:p><xhtml:p>(B)<xhtml:span class="EnSpace"/>If the zoning and general plan are not consistent with one another, a project shall be deemed consistent with both if the project is consistent with one.</xhtml:p><xhtml:p>(C)<xhtml:span class="EnSpace"/>The approval of a density bonus, incentives or concessions, waivers or reductions of development standards, and reduced parking ratios pursuant to

Section of the Government Code shall not be grounds for determining that the project is inconsistent with the applicable general plan, zoning ordinance, or local coastal program.</xhtml:p><xhtml:p>(D)<xhtml:span class="EnSpace"/>For a housing development project that is not subject to an applicable general plan, zoning ordinance, or public higher education land use plan, the housing development project shall satisfy the requirements to meet the condition imposed by this paragraph if there is substantial evidence that would allow a reasonable person to conclude that the housing development project meets all of the following conditions:</xhtml:p><xhtml:p>(i)<xhtml:span class="EnSpace"/>The project is located in a land use zone, category, or designation that allows residential or mixed-use development in the general plan of the city, city and county, or unincorporated city or county in which the project is located.</xhtml:p><xhtml:p>(ii)<xhtml:span class="EnSpace"/>The project does not exceed the maximum allowable building height and density in the zoning code of the city, city and county, or unincorporated city or county in which the project is located.</xhtml:p><xhtml:p>(iii)<xhtml:span class="EnSpace"/>The project satisfies the statewide performance standards for infill projects, pursuant to paragraph (2) of subdivision (

b) of

Section 15183.3 and Appendix M of

Chapter 3 (commencing with

Section 15000) of Division of Title of the California Code of Regulations.</xhtml:p><xhtml:p>(5)<xhtml:span class="EnSpace"/>The project will be at least one-half of the applicable density specified in subparagraph (

B) of paragraph (3) of subdivision (

c) of

Section 65583.2 of the Government Code.</xhtml:p><xhtml:p>(6)<xhtml:span class="EnSpace"/>The project satisfies the requirements specified in paragraph (6) of subdivision (

a) of

Section 65913.4 of the Government Code.</xhtml:p><xhtml:p>(7)<xhtml:span class="EnSpace"/>The project does not require the demolition of a historic structure that was placed on a national, state, or local historic register before the date a preliminary application was submitted for the project pursuant to

Section 65941.1 of the Government Code.</xhtml:p><xhtml:p>(8)<xhtml:span class="EnSpace"/>For a project that was deemed complete pursuant to paragraph (5) of subdivision (

h) of

Section 65589.5 of the Government Code on or after January 1, 2025, no portion of the project is designated for use as a hotel, motel, bed and breakfast inn, or other transient lodging. For the purposes of this section, “other transient lodging” does not include either of the following:</xhtml:p><xhtml:p>(A)<xhtml:span class="EnSpace"/>A residential hotel, as defined in

Section of the Health and Safety Code.</xhtml:p><xhtml:p>(B)<xhtml:span class="EnSpace"/>After the issuance of a certificate of occupancy, a resident’s use or marketing of a unit as short-term lodging, as defined in

Section 17568.8 of the Business and Professions Code, in a manner consistent with local law.</xhtml:p><xhtml:p>(b)<xhtml:span class="EnSpace"/>(1)<xhtml:span class="EnSpace"/>(A)<xhtml:span class="EnSpace"/>A local government shall provide formal notification via certified mail and email to each California Native American tribe that is traditionally and culturally affiliated with the project site as an invitation to consult on the proposed project, its location, and the project’s potential effects on tribal cultural resources pursuant to one of the following deadlines:</xhtml:p><xhtml:p>(i)<xhtml:span class="EnSpace"/>Within days of the application for the project being deemed complete pursuant to paragraph (5) of subdivision (

h) of

Section 65589.5 of the Government Code.</xhtml:p><xhtml:p>(ii)<xhtml:span class="EnSpace"/>For projects whose applications were deemed complete pursuant to paragraph (5) of subdivision (

h) of

Section 65589.5 of the Government Code before July 1, 2026, within days of notifying the local government that the project is eligible to be exempt from this division pursuant to this section.</xhtml:p><xhtml:p>(B)<xhtml:span class="EnSpace"/>The formal notification shall include all of the following:</xhtml:p><xhtml:p>(i)<xhtml:span class="EnSpace"/>Detailed project information to help inform the consultation, including site maps, proposed project scope, and any known cultural resource studies.</xhtml:p><xhtml:p>(ii)<xhtml:span class="EnSpace"/>Contact information for the local government.</xhtml:p><xhtml:p>(iii)<xhtml:span class="EnSpace"/>Contact information for the project proponent.</xhtml:p><xhtml:p>(iv)<xhtml:span class="EnSpace"/>Notice that the California Native American tribe has days to request consultation with the local government pursuant to this subdivision.</xhtml:p><xhtml:p>(2)<xhtml:span class="EnSpace"/>(A)<xhtml:span class="EnSpace"/>Each California Native American tribe has days to notify the local government that it accepts the invitation to consult.</xhtml:p><xhtml:p>(B)<xhtml:span class="EnSpace"/>If a California Native American tribe chooses not to accept the invitation to consult, or does not notify the local government of its decision within days, the consultation shall be considered to have concluded.</xhtml:p><xhtml:p>(3)<xhtml:span class="EnSpace"/>(A)<xhtml:span class="EnSpace"/>Within days of receiving the notification that the California Native American tribe has elected to consult, pursuant to subparagraph (

A) of paragraph (2), the local government shall initiate the consultation.</xhtml:p><xhtml:p>(B)<xhtml:span class="EnSpace"/>During the consultation, the local government shall act in good faith to identify whether a tribal cultural resource could be affected by the proposed project and shall give deference to the tribal information, tribal knowledge and customs, and the significance of the resource to the California Native American tribe.</xhtml:p><xhtml:p>(C)<xhtml:span class="EnSpace"/>The project proponent may participate in the consultation with the approval of the California Native American tribe if the project proponent agrees to engage in good faith and comply with the confidentiality requirements of Sections 7927.000 and 7927.005 of the Government Code, subdivision (

d) of

Section 21082.3, subdivision (

d) of

Section of Title of the California Code of Regulations, and any confidentiality standards adopted by the California Native American tribe participating in the consultation.</xhtml:p><xhtml:p>(D)<xhtml:span class="EnSpace"/>The consultation shall seek to find measures that would avoid significant impacts to a tribal cultural resource.</xhtml:p><xhtml:p>(E)<xhtml:span class="EnSpace"/>The local government shall document the results of the consultation.</xhtml:p><xhtml:p>(F)<xhtml:span class="EnSpace"/>The consultation shall conclude within days of initiation, subject to a one-time 15-day extension upon request by a participating California Native American tribe.</xhtml:p><xhtml:p>(4)<xhtml:span class="EnSpace"/>The local government shall include, as binding conditions of the project approval, all of the following:</xhtml:p><xhtml:p>(A)<xhtml:span class="EnSpace"/>Any enforceable agreements reached during the project consultation.</xhtml:p><xhtml:p>(B)<xhtml:span class="EnSpace"/>All of the following measures, unless there is mutual agreement between the California Native American tribe and the project proponent not to include the measure as a binding condition:</xhtml:p><xhtml:p>(i)<xhtml:span class="EnSpace"/>Upon request by a California Native American tribe, the project shall include tribal monitoring during all ground-disturbing activities, as follows:</xhtml:p><xhtml:p>(I)<xhtml:span class="EnSpace"/>The California Native American tribe shall designate the monitor.</xhtml:p><xhtml:p>(II)<xhtml:span class="EnSpace"/>The tribal monitor shall comply with applicant’s site access and workplace safety requirements.</xhtml:p><xhtml:p>(III)<xhtml:span class="EnSpace"/>The applicant shall compensate the tribal monitor at a reasonable rate, determined in good faith, that aligns with customary compensation for cultural resource monitoring, taking into account factors such as the scope and duration of the project.</xhtml:p><xhtml:p>(ii)<xhtml:span class="EnSpace"/>Tribal cultural resources shall be avoided where feasible, in accordance with subdivision (

a) of

Section 21084.3. In furtherance of this requirement, where feasible, the project applicant shall provide deference to tribal preferences regarding access to spiritual, ceremonial, and burial sites, and incorporate tribal traditional knowledge in the protection and sustainable use of tribal cultural resources and landscapes.</xhtml:p><xhtml:p>(iii)<xhtml:span class="EnSpace"/>All treatment and documentation of tribal cultural resources shall be conducted in a culturally appropriate manner, consistent with

Section 21083.9.</xhtml:p><xhtml:p>(iv)<xhtml:span class="EnSpace"/>A California Historical Resources Information System archaeological records search and a tribal cultural records search shall be completed for the project site.</xhtml:p><xhtml:p>(v)<xhtml:span class="EnSpace"/>A Sacred Lands Inventory request shall be submitted to the Native American Heritage Commission.</xhtml:p><xhtml:p>(vi)<xhtml:span class="EnSpace"/>The project shall comply with

Section 7050.5 of the Health and Safety Code and

Section 5097.98, including immediate work stoppage upon discovery of human remains or burial grounds, and treatment in accordance with applicable law and in consultation with the affected California Native American tribe.</xhtml:p><xhtml:p>(vii)<xhtml:span class="EnSpace"/>An application of tribal ecological knowledge into habitat restoration efforts undertaken by the project as applicable to the specific environmental context and conditions of the project.</xhtml:p><xhtml:p>(5)<xhtml:span class="EnSpace"/>For purposes of this subdivision, the following

definitions apply:</xhtml:p><xhtml:p>(A)<xhtml:span class="EnSpace"/>“California Native American tribe” has the same meaning as defined in

Section 21073.</xhtml:p><xhtml:p>(B)<xhtml:span class="EnSpace"/>“Enforceable agreement” means an agreement between the local government, project proponent, and any California Native American tribe that has engaged in consultation pursuant to this subdivision regarding the methods, measures, and conditions for tribal cultural resource identification, treatment, and protection, including consideration of avoidance.

Compliance with the enforceable agreement shall be a required condition of approval for the project and its terms must be enforceable against the project proponent by the local government and the California Native American tribe.</xhtml:p><xhtml:p>(C)<xhtml:span class="EnSpace"/>“Tribal cultural resource” means a site, feature, place, cultural landscape, sacred place, including a Native American sanctified cemetery, Indian cemetery, or Indian burial area, or an object with cultural value to a California Native American tribe that is any of the following:</xhtml:p><xhtml:p>(i)<xhtml:span class="EnSpace"/>Included or eligible for inclusion in the California Register of Historical Resources or the National Register of Historic Places.</xhtml:p><xhtml:p>(ii)<xhtml:span class="EnSpace"/>Included in a local register of historical resources as defined in subdivision (

k) of

Section 5020.1.</xhtml:p><xhtml:p>(iii)<xhtml:span class="EnSpace"/>Identified by the Native American Heritage Commission as a sacred place pursuant to

Section 5097.94 or 5097.96.</xhtml:p><xhtml:p>(iv)<xhtml:span class="EnSpace"/>Included in a local tribal register.</xhtml:p><xhtml:p>(c)<xhtml:span class="EnSpace"/>(1)<xhtml:span class="EnSpace"/>(A)<xhtml:span class="EnSpace"/>The local government shall, as a condition of approval for the development, require the development proponent to complete a phase I environmental assessment, as defined in

Section of the Health and Safety Code.</xhtml:p><xhtml:p>(B)<xhtml:span class="EnSpace"/>If a recognized environmental condition is found, the development proponent shall complete a preliminary endangerment assessment, as defined in

Section of the Health and Safety Code, prepared by an environmental assessor to determine the existence of any release of a hazardous substance on the site and to determine the potential for exposure of future occupants to significant health hazards from any nearby property or activity.</xhtml:p><xhtml:p>(C)<xhtml:span class="EnSpace"/>If a release of a hazardous substance is found to exist on the site, the release shall be removed or any effects of the release shall be mitigated to levels required by current federal and state statutory and regulatory standards before the local government issues a certificate of occupancy.</xhtml:p><xhtml:p>(D)<xhtml:span class="EnSpace"/>If a potential for exposure to significant hazards from surrounding properties or activities is found to exist, the effects of the potential exposure shall be mitigated to levels required by current federal and state statutory and regulatory standards before the local government issues a certificate of occupancy.</xhtml:p><xhtml:p>(2)<xhtml:span class="EnSpace"/>For any housing on the site located within feet of a freeway, all of the following shall apply:</xhtml:p><xhtml:p>(A)<xhtml:span class="EnSpace"/>The building shall have a centralized heating, ventilation, and air-conditioning system.</xhtml:p><xhtml:p>(B)<xhtml:span class="EnSpace"/>The outdoor air intakes for the heating, ventilation, and air-conditioning system shall face away from the freeway.</xhtml:p><xhtml:p>(C)<xhtml:span class="EnSpace"/>The building shall provide air filtration media for outside and return air that provides a minimum efficiency reporting value of 16.</xhtml:p><xhtml:p>(D)<xhtml:span class="EnSpace"/>The air filtration media shall be replaced at the manufacturer’s designated interval.</xhtml:p><xhtml:p>(E)<xhtml:span class="EnSpace"/>The building shall not have any balconies facing the freeway.</xhtml:p><xhtml:p>(d)<xhtml:span class="EnSpace"/>(1)<xhtml:span class="EnSpace"/>Notwithstanding any other law, all construction workers employed in the execution of a housing development project exempt from this division pursuant to this

section where percent of the units within the development project are dedicated to lower income households, as defined by

Section 50079.5 of the Health and Safety Code, shall be paid at least the general prevailing rate of per diem wages for the type of work and geographic area, as determined by the Director of Industrial Relations pursuant to Sections and 1773.9 of the Labor Code, except that apprentices registered in programs approved by the Chief of the Division of Apprenticeship Standards may be paid at least the applicable apprentice prevailing rate, regardless of whether the housing development project is a public work.</xhtml:p><xhtml:p>(2)<xhtml:span class="EnSpace"/>Notwithstanding any other law, the labor standards of paragraph (8) of subdivision (

a) of

Section 65913.4 of the Government Code shall apply to buildings over feet in height above grade in any housing development project exempt from this division pursuant to this section.</xhtml:p><xhtml:p>(3)<xhtml:span class="EnSpace"/>(A)<xhtml:span class="EnSpace"/>Notwithstanding any other law, the labor standards of

Article 4 (commencing with

Section 65912.130) of

Chapter 4.1 of Division of Title of the Government Code shall apply for projects of units or greater in the City and County of San Francisco that are not covered by paragraph (2), for any construction craft where at least percent of the units in market-rate multifamily housing projects that received their certificate of occupancy between and 2024, inclusive, were built by workers that were paid not less than the general prevailing rate of per diem wages.</xhtml:p><xhtml:p>(B)<xhtml:span class="EnSpace"/>For purposes of this section, “market-rate multifamily housing development project” means a housing development project of greater than units where less than percent of the units are dedicated to lower income households, as defined by

Section 50079.5 of the Health and Safety Code.</xhtml:p><xhtml:p>(C)<xhtml:span class="EnSpace"/>(i)<xhtml:span class="EnSpace"/>The eligibility of this subparagraph, by classification, will be determined by the Department of Industrial Relations and published on its internet website by January 1, 2026.</xhtml:p><xhtml:p>(ii)<xhtml:span class="EnSpace"/>In making a determination of eligibility pursuant to this subparagraph, the Director of Industrial Relations shall obtain and consider data from the labor organizations and employers or employer associations concerned no later than October 1, 2025.</xhtml:p><xhtml:p>(iii)<xhtml:span class="EnSpace"/>To determine the number of market-rate multifamily housing projects that received their certificate of occupancy in a given year, the Department of Industrial Relations shall use the annual progress report data as reported by the jurisdiction pursuant to

Section of the Government Code.</xhtml:p><xhtml:p>(4)<xhtml:span class="EnSpace"/>The provisions of

Section 218.8 of the Labor Code shall extend to the development proponent in addition to the direct contractor or subcontractor. For purposes of this paragraph, “development proponent” shall mean a developer who submits the housing development project application to a local government that is exempt from this division pursuant to this section.</xhtml:p><xhtml:p>(5)<xhtml:span class="EnSpace"/>(A)<xhtml:span class="EnSpace"/>A joint labor-management cooperation committee established pursuant to the federal Labor Management Cooperation Act of 1978 (29 U.S.C.

Sec. 175a) may undertake any of the following on a housing development project that is exempt from this division pursuant to this section:</xhtml:p><xhtml:p>(i)<xhtml:span class="EnSpace"/>Bring an action in a court of competent jurisdiction against a contractor or subcontractor at any tier on behalf of construction workers employed by the contractor or subcontractor on a housing development project that is exempt from this division pursuant to this

section to enforce

Section of the Labor Code. A contractor is not subject to an action pursuant to this subparagraph due to the failure of a subcontractor to comply with

Section of the Labor Code.</xhtml:p><xhtml:p>(ii)<xhtml:span class="EnSpace"/>Bring an action in a court of competent jurisdiction on behalf of an affected employee against an employer for damages as if Division 4 (commencing with

Section 3200) of the Labor Code did not apply, if the employer fails to secure the payment of compensation as required by

Article 1 (commencing with

Section 3700) of

Chapter of Part of Division of the Labor Code.</xhtml:p><xhtml:p>(iii)<xhtml:span class="EnSpace"/>In addition to the remedies set forth in

Section 7028.3 of the Business and Professions Code, on proper showing by a joint labor-management cooperation committee of a continuing violation of

Chapter 9 (commencing with

Section 7000) of Division of the Business and Professions Code by a person who constructs a housing project and does not hold a state contractor’s license in any classification, an injunction shall issue by a court specified in

Section 7028.3 of the Business and Professions Code at the request of the joint labor-management cooperation committee, prohibiting that violation.</xhtml:p><xhtml:p>(B)<xhtml:span class="EnSpace"/>For any action brought pursuant to this paragraph, the court shall award a prevailing joint labor-management committee its reasonable attorney’s fees and costs incurred maintaining the action.</xhtml:p><xhtml:p>(C)<xhtml:span class="EnSpace"/>An action brought pursuant to this paragraph shall be filed within one year of a local government issuing a certificate of occupancy for the housing development project or for the portion relating to the action.</xhtml:p><xhtml:p>(D)<xhtml:span class="EnSpace"/>This paragraph shall apply only to violations that occur on the site of construction of the housing development project.</xhtml:p><xhtml:p>(e)<xhtml:span class="EnSpace"/>This

section does not affect the eligibility of a housing development project for a density bonus, incentives or concessions, waivers or reductions of development standards, and reduced parking ratios pursuant to

Section of the Government Code.</xhtml:p><xhtml:p>(f)<xhtml:span class="EnSpace"/>If a lead agency determines that this division does not apply to an activity pursuant to this

section and determines to approve or carry out the activity, the lead agency shall file a notice of exemption with the Governor’s Office of Land Use and Climate Innovation and the county clerk of the county in which the activity will occur in the manner specified in subdivisions (

b) and (

c) of

Section or subdivisions (

b) and (

c) of

Section 21152, as applicable.</xhtml:p><xhtml:p>(g)<xhtml:span class="EnSpace"/>For purposes of this section, the following terms apply:</xhtml:p><xhtml:p>(1)<xhtml:span class="EnSpace"/>“Adjoins” includes parcels that are only separated by a street, pedestrian path, or bicycle path.</xhtml:p><xhtml:p>(2)<xhtml:span class="EnSpace"/>“Construction worker” means one performing onsite work associated with construction, including work involving alteration, demolition, building, excavation, renovation, remodeling, maintenance, improvement, repair work, and any other work as described by

Chapter 9 (commencing with

Section 7000) of Division of the Business and Professions Code, and other similar or related occupations or trades.</xhtml:p><xhtml:p>(3)<xhtml:span class="EnSpace"/>“Urban use” means any current or previous residential or commercial development, public institution, or public park that is surrounded by other urban uses, parking lot or structure, transit or transportation passenger facility, or retail use, or any combination of those uses.</xhtml:p></caml:Content></caml:LawSectionVersion></caml:LawSection></caml:Fragment></caml:BillSection><caml:BillSection id="id_F0248343-5DAF-430E-AEC7-C887FC5F3E11"><caml:Num>SEC. 2.</caml:Num><caml:Content><xhtml:p>No reimbursement is required by this act pursuant to

Section of

Article XIII<xhtml:span class="ThinSpace"/>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 of the Government Code.</xhtml:p></caml:Content></caml:BillSection>"?>

Document details

CollectionCalifornia Bills
CitationAB 1732
Date2026-05-20
Typebill
Languageen
SourceCA_BILL
Identifier20250AB173295AMD

California Environmental Quality Act: exemption: affordable housing projects: public university or public college housing projects.

AB 1732

California Bills

California Environmental Quality Act: exemption: affordable housing projects: public university or public college housing projects.

AB 1732

California Bills

20250AB__173295AMD INTRODUCED 2026-02-05 AMENDED_ASSEMBLY 2026-04-15 AMENDED_ASSEMBLY 2026-04-27 AMENDED_ASSEMBLY 2026-05-14 AMENDED_ASSEMBLY 2026-05-20 2025 AB AMD Introduced by Assembly Members Alvarez and Wicks (Coauthors: Assembly Members Ahrens, Alanis, Ávila Farías, Caloza, Muratsuchi, Michelle Rodriguez, Schultz, and Zbur) LEAD_AUTHOR ASSEMBLY Alvarez LEAD_AUTHOR ASSEMBLY Wicks COAUTHOR ASSEMBLY Ahrens COAUTHOR ASSEMBLY Alanis COAUTHOR ASSEMBLY Ávila Farías COAUTHOR ASSEMBLY Caloza COAUTHOR ASSEMBLY Muratsuchi COAUTHOR ASSEMBLY Michelle Rodriguez COAUTHOR ASSEMBLY Schultz COAUTHOR ASSEMBLY Zbur

An act to amend

Section 21080.40 of the Public Resources Code, relating to environmental quality. environmental quality California Environmental Quality Act: exemption: affordable housing projects: public university or public college housing projects. The California Environmental Quality Act (CEQA) requires a lead agency, as defined, to prepare, or cause to be prepared, and certify the completion of, an environmental impact report on a project that it proposes to carry out or approve that may have a significant effect on the environment or to adopt a negative declaration if it finds that the project will not have that effect.

CEQA also requires a lead agency to prepare a mitigated negative declaration for a project that may have a significant effect on the environment if revisions in the project would avoid or mitigate that effect and there is no substantial evidence that the project, as revised, would have a significant effect on the environment. CEQA exempts from its requirements certain housing development projects that meet specified conditions, including a condition that the project is consistent with the applicable general plan and zoning ordinance, as well as any applicable local coastal program.

CEQA requires a local government to provide formal notification to each California Native American tribe that is traditionally and culturally affiliated with the project site as an invitation to consult on the proposed project, as provided.</xhtml:p><xhtml:p>This bill would provide that a housing development project that is consistent with the applicable public higher education land use plan would also meet that condition.

The bill would further provide that a housing development project that is not subject to an applicable general plan, zoning ordinance, or public higher education land use plan would satisfy that condition if there is substantial evidence that would allow a reasonable person to conclude that the housing development project meets specified conditions, including a condition that the project satisfies the statewide performance standards for infill projects, as provided.

Because the bill would increase duties on a local government related to this exemption by expanding the exemption to additional projects, this bill would impose a state-mandated local program. </xhtml:p>"?> CEQA, until January 1, 2033, exempts from its requirements certain actions for affordable housing projects that meet specified requirements, including confirmation by a public agency that, among other things, the project site satisfies specified requirements and a vacant project site does not contain tribal cultural resources that could be affected by the development that were found pursuant to a consultation and the effects of which cannot be mitigated, as provided.

This bill would extend the operation of the above-described exemption to January 1, 2037, and would expand the exemption to also include a public university or public college housing project, as defined, that meets specified requirements. Because the bill would extend the operation of the exemption and would increase duties on a lead agency related to the expansion of this exemption, the 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. MAJORITY NO YES YES NO NO NO NO NO NO NO The people of the State of California do enact as follows:

SECTION

Section 21080.40 of the Public Resources Code is amended to read: 21080.40. (

a) For purposes of this section, the following

definitions apply: (1) “Affordable housing project” means a project consisting of multifamily residential uses only or a mix of multifamily residential and nonresidential uses, with at least two-thirds of the square footage of the project designated for residential use, and that satisfies all of the following requirements: (

A) The project meets either of the following: (

i) All of the residential units within the project, excluding managers’ units, are dedicated to lower income households, as defined by

Section 50079.5 of the Health and Safety Code. (ii) The project complies with all of the requirements of

Section 65914.7 of the Government Code. (B) (

i) The project meets the labor standards set forth in

Section 65912.130 of the Government Code. (ii) In addition to clause (i), for a project with or more residential units, the project meets the labor standards set forth in

Section 65912.131 of the Government Code. (

C) The project is located on a legal parcel or parcels in any of the following locations: (

i) In a city where the city boundaries include some portion of either an urbanized area or urban cluster, as designated by the United States Census Bureau, or in an unincorporated area, and the legal parcel or parcels are wholly within the boundaries of an urbanized area or urban cluster, as designated by the United States Census Bureau. (ii) Within one-half mile walking distance to either a high-quality transit corridor or a major transit stop. (iii) In a very low vehicle travel area. (iv) Proximal to six or more amenities pursuant to paragraph (3) as of the date of submission of the application for the project. (

D) Parcels that are developed with urban uses adjoin at least percent of the perimeter of the project site or at least three sides of a four-sided project site. For purposes of this paragraph, parcels that are only separated by a street or highway shall be considered to be adjoined. (2) “High-quality transit corridor” has the same meaning as set forth in subdivision (

b) of

Section 21155. (3) “Proximal” to an amenity means either of the following: (

A) Within one-half mile of any of the following amenities: (

i) A bus station. (ii) A ferry terminal. (

B) Within one mile, or for a parcel in a rural area, as defined in

Section 50199.21 of the Health and Safety Code, within two miles, of any of the following amenities: (

i) A supermarket or grocery store. (ii) A public park. (iii) A community center. (iv) A pharmacy or drugstore. (

v) A medical clinic or hospital. (vi) A public library. (vii) A school that maintains a kindergarten or any of grades to 12, inclusive. (4) “Public university or public college housing project” means one or more housing facilities to be occupied by students, faculty, or staff of one or more campuses of the University of California, California State University, or California Community Colleges, including dining, academic, student support service spaces, and other necessary and usual attendant and related facilities and equipment, and that satisfies all of the following requirements: (A) (

i) The project meets the labor standards set forth in

Section 65912.130 of the Government Code. (ii) In addition to clause (i), for a project with or more residential units, the project meets the labor standards set forth in

Section 65912.131 of the Government Code. (

B) The project is located on a legal parcel or parcels in any of the following locations: (

i) In a city where the city boundaries include some portion of either an urbanized area or urban cluster, as designated by the United States Census Bureau, or in an unincorporated area, and the legal parcel or parcels are wholly within the boundaries of an urbanized area or urban cluster, as designated by the United States Census Bureau. (ii) Within one-half mile walking distance to either a high-quality transit corridor or a major transit stop. (iii) In a very low vehicle travel area. (iv) Proximal to six or more amenities pursuant to subparagraph (

B) of paragraph (3) as of the date of submission of the application for the project. (

C) Parcels that are developed with urban uses adjoin at least percent of the perimeter of the project site or at least three sides of a four-sided project site.

For purposes of this paragraph, parcels that are only separated by a street or highway shall be considered to be adjoined. (4)</xhtml:p>"?> (5) “Vacant site” means a site without any houses, offices, buildings, or other significant improvements on it. (5)</xhtml:p>"?> (6) (A) “Very low vehicle travel area” means an urbanized area, as designated by the United States Census Bureau, where the existing residential development generates vehicle miles traveled per capita that is below percent of either regional vehicle miles traveled per capita or city vehicle miles traveled per capita. (

B) For purposes of subparagraph (A), “area” may include a travel analysis zone, hexagon, or grid. (

C) For the purposes of determining “regional vehicle miles traveled per capita” pursuant to subparagraph (A), a “region” is the entirety of incorporated and unincorporated areas governed by a multicounty or single-county metropolitan planning organization, or the entirety of the incorporated and unincorporated areas of an individual county that is not part of a metropolitan planning organization. (

b) Subject to subdivision (c), this division does not apply to any of the following:

(1) The issuance of an entitlement by a public agency or lead agency for an affordable housing project or a public university or public college housing project.

(2) An action to lease, convey, or encumber land owned by a public agency or lead agency for an affordable housing project or a public university or public college housing project.

(3) An action to facilitate the lease, conveyance, or encumbrance of land owned or to be purchased by a public agency or lead agency for an affordable housing project or a public university or public college housing project.

(4) Rezoning, specific plan amendments, or general plan amendments required specifically and exclusively to allow the construction of an affordable housing project or a public university or public college housing project.

(5) An action to provide financial assistance in furtherance of implementing an affordable housing project or a public university or public college housing project. (

c) Subdivision (

b) applies if the action described in subdivision (

b) requires the housing project to meet all of the following requirements:

(1) For an affordable housing project, the project will be subject to a recorded California Tax Credit Allocation Committee regulatory agreement. This requirement does not apply to affordable housing projects that comply with all of the requirements of

Section 65914.7 of the Government Code.

(2) The housing project site can be adequately served by existing utilities or extensions.

(3) The lead agency confirms all of the following: (

A) The project site satisfies the requirements specified in subparagraphs (

B) to (K), inclusive, of paragraph (6) of subdivision (

a) of

Section 65913.4 of the Government Code. (

B) For a vacant site, the project site does not contain tribal cultural resources that could be affected by the development that were found pursuant to a consultation described in

Section 21080.3.1 and the effects of which cannot be mitigated pursuant to the process described in

Section 21080.3.2. (C) (

i) The development proponent has completed a phase I environmental assessment, as defined in

Section of the Health and Safety Code. If a recognized environmental condition is found, the development proponent shall undertake a preliminary endangerment assessment, as defined in

Section of the Health and Safety Code, prepared by an environmental assessor to determine the existence of any release of a hazardous substance on the site and to determine the potential for exposure of future occupants to significant health hazards from any nearby property or activity. (ii) If a release of a hazardous substance is found to exist on the site, the release shall be removed, or any significant effects of the release shall be mitigated to a level of insignificance in compliance with current state and federal requirements. (iii) If a potential for exposure to significant hazards from surrounding properties or activities is found to exist, the effects of the potential exposure shall be mitigated to a level of insignificance in compliance with current state and federal requirements. (

D) For a project site where multifamily housing is not a permitted use, all of the following are met: (

i) None of the housing is located within feet of a freeway, as defined in

Section of the Vehicle Code. (ii) None of the housing is located within 3,200 feet of a facility that actively extracts or refines oil or natural gas. (iii) The project site is not within a very high fire hazard severity zone, as indicated on maps adopted by the Department of Forestry and Fire Protection pursuant to

Section or as designated pursuant to subdivisions (

a) and (

b) of

Section of the Government Code. (

d) If a lead agency determines that an activity is not subject to this division pursuant to this

section and determines to approve or carry out the activity, the lead agency shall file a notice of exemption with the Office of Planning and Research and the county clerk of the county in which the activity will occur in the manner specified in subdivisions (

b) and (

c) of

Section or subdivisions (

b) and (

c) of

Section 21152. (

e) This

section shall remain in effect only until January 1, 2037, and as of that date is repealed.

SEC. 2. No reimbursement is required by this act pursuant to

Section 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 of the Government Code. <caml:Num>SECTION 1.</caml:Num><caml:ActionLine action="IS_AMENDED" xlink:href="urn:caml:codes:PRC:caml#xpointer(%2Fcaml%3ALawDoc%2Fcaml%3ACode%2Fcaml%3ALawHeading%5B%40type%3D'DIVISION'%20and%20caml%3ANum%3D'13.'%5D%2Fcaml%3ALawHeading%5B%40type%3D'CHAPTER'%20and%20caml%3ANum%3D'2.6.'%5D%2Fcaml%3ALawSection%5Bcaml%3ANum%3D'21080.66.'%5D)" xlink:label="fractionType: LAW_SECTION" xlink:type="locator">Section 21080.66 of the <caml:DocName>Public Resources Code</caml:DocName> is amended to read:</caml:ActionLine><caml:Fragment><caml:LawSection id="id_AA06B35E-2C37-4BB6-BFE6-9A6C2A589675"><caml:Num>21080.66.</caml:Num><caml:LawSectionVersion id="id_45C9F151-CC84-4240-A52A-70CA3CB6FD88"><caml:Content><xhtml:p>(a)<xhtml:span class="EnSpace"/>Without limiting any other statutory or categorical exemption, this division does not apply to any aspect of a housing development project, as defined in subdivision (

b) of

Section 65905.5 of the Government Code, including any permits, approvals, or public improvements required for the housing development project, as may be required by this division, if the housing development project meets all of the following conditions:</xhtml:p><xhtml:p>(1)<xhtml:span class="EnSpace"/>(A)<xhtml:span class="EnSpace"/>Except as provided in subparagraph (B), the project site is not more than acres.</xhtml:p><xhtml:p>(B)<xhtml:span class="EnSpace"/>The project site or the parcel size for a builder’s remedy project, as defined in paragraph (11) of subdivision (

h) of

Section 65589.5 of the Government Code, or the project site or the parcel size for a project that applied pursuant to paragraph (5) of subdivision (

d) of

Section 65589.5 of the Government Code as it read before January 1, 2025, is not more than four acres.</xhtml:p><xhtml:p>(2)<xhtml:span class="EnSpace"/>The project site meets either of the following criteria:</xhtml:p><xhtml:p>(A)<xhtml:span class="EnSpace"/>Is located within the boundaries of an incorporated municipality.</xhtml:p><xhtml:p>(B)<xhtml:span class="EnSpace"/>Is located within an urban area, as defined by the United States Census Bureau.</xhtml:p><xhtml:p>(3)<xhtml:span class="EnSpace"/>The project site meets any of the following criteria:</xhtml:p><xhtml:p>(A)<xhtml:span class="EnSpace"/>Has been previously developed with an urban use.</xhtml:p><xhtml:p>(B)<xhtml:span class="EnSpace"/>At least percent of the perimeter of the site adjoins parcels that are developed with urban uses.</xhtml:p><xhtml:p>(C)<xhtml:span class="EnSpace"/>At least percent of the area within a one-quarter mile radius of the site is developed with urban uses.</xhtml:p><xhtml:p>(D)<xhtml:span class="EnSpace"/>For sites with four sides, at least three out of four sides are developed with urban uses and at least two-thirds of the perimeter of the site adjoins parcels that are developed with urban uses.</xhtml:p><xhtml:p>(4)<xhtml:span class="EnSpace"/>(A)<xhtml:span class="EnSpace"/>The project is consistent with the applicable general plan and zoning ordinance or public higher education land use plan, as well as any applicable local coastal program as defined in

Section 30108.6.

For purposes of this section, a housing development project shall be deemed consistent with the applicable general plan and zoning ordinance or public higher education land use plan, and any applicable local coastal program, if there is substantial evidence that would allow a reasonable person to conclude that the housing development project is consistent.</xhtml:p><xhtml:p>(B)<xhtml:span class="EnSpace"/>If the zoning and general plan are not consistent with one another, a project shall be deemed consistent with both if the project is consistent with one.</xhtml:p><xhtml:p>(C)<xhtml:span class="EnSpace"/>The approval of a density bonus, incentives or concessions, waivers or reductions of development standards, and reduced parking ratios pursuant to

Section of the Government Code shall not be grounds for determining that the project is inconsistent with the applicable general plan, zoning ordinance, or local coastal program.</xhtml:p><xhtml:p>(D)<xhtml:span class="EnSpace"/>For a housing development project that is not subject to an applicable general plan, zoning ordinance, or public higher education land use plan, the housing development project shall satisfy the requirements to meet the condition imposed by this paragraph if there is substantial evidence that would allow a reasonable person to conclude that the housing development project meets all of the following conditions:</xhtml:p><xhtml:p>(i)<xhtml:span class="EnSpace"/>The project is located in a land use zone, category, or designation that allows residential or mixed-use development in the general plan of the city, city and county, or unincorporated city or county in which the project is located.</xhtml:p><xhtml:p>(ii)<xhtml:span class="EnSpace"/>The project does not exceed the maximum allowable building height and density in the zoning code of the city, city and county, or unincorporated city or county in which the project is located.</xhtml:p><xhtml:p>(iii)<xhtml:span class="EnSpace"/>The project satisfies the statewide performance standards for infill projects, pursuant to paragraph (2) of subdivision (

b) of

Section 15183.3 and Appendix M of

Chapter 3 (commencing with

Section 15000) of Division of Title of the California Code of Regulations.</xhtml:p><xhtml:p>(5)<xhtml:span class="EnSpace"/>The project will be at least one-half of the applicable density specified in subparagraph (

B) of paragraph (3) of subdivision (

c) of

Section 65583.2 of the Government Code.</xhtml:p><xhtml:p>(6)<xhtml:span class="EnSpace"/>The project satisfies the requirements specified in paragraph (6) of subdivision (

a) of

Section 65913.4 of the Government Code.</xhtml:p><xhtml:p>(7)<xhtml:span class="EnSpace"/>The project does not require the demolition of a historic structure that was placed on a national, state, or local historic register before the date a preliminary application was submitted for the project pursuant to

Section 65941.1 of the Government Code.</xhtml:p><xhtml:p>(8)<xhtml:span class="EnSpace"/>For a project that was deemed complete pursuant to paragraph (5) of subdivision (

h) of

Section 65589.5 of the Government Code on or after January 1, 2025, no portion of the project is designated for use as a hotel, motel, bed and breakfast inn, or other transient lodging. For the purposes of this section, “other transient lodging” does not include either of the following:</xhtml:p><xhtml:p>(A)<xhtml:span class="EnSpace"/>A residential hotel, as defined in

Section of the Health and Safety Code.</xhtml:p><xhtml:p>(B)<xhtml:span class="EnSpace"/>After the issuance of a certificate of occupancy, a resident’s use or marketing of a unit as short-term lodging, as defined in

Section 17568.8 of the Business and Professions Code, in a manner consistent with local law.</xhtml:p><xhtml:p>(b)<xhtml:span class="EnSpace"/>(1)<xhtml:span class="EnSpace"/>(A)<xhtml:span class="EnSpace"/>A local government shall provide formal notification via certified mail and email to each California Native American tribe that is traditionally and culturally affiliated with the project site as an invitation to consult on the proposed project, its location, and the project’s potential effects on tribal cultural resources pursuant to one of the following deadlines:</xhtml:p><xhtml:p>(i)<xhtml:span class="EnSpace"/>Within days of the application for the project being deemed complete pursuant to paragraph (5) of subdivision (

h) of

Section 65589.5 of the Government Code.</xhtml:p><xhtml:p>(ii)<xhtml:span class="EnSpace"/>For projects whose applications were deemed complete pursuant to paragraph (5) of subdivision (

h) of

Section 65589.5 of the Government Code before July 1, 2026, within days of notifying the local government that the project is eligible to be exempt from this division pursuant to this section.</xhtml:p><xhtml:p>(B)<xhtml:span class="EnSpace"/>The formal notification shall include all of the following:</xhtml:p><xhtml:p>(i)<xhtml:span class="EnSpace"/>Detailed project information to help inform the consultation, including site maps, proposed project scope, and any known cultural resource studies.</xhtml:p><xhtml:p>(ii)<xhtml:span class="EnSpace"/>Contact information for the local government.</xhtml:p><xhtml:p>(iii)<xhtml:span class="EnSpace"/>Contact information for the project proponent.</xhtml:p><xhtml:p>(iv)<xhtml:span class="EnSpace"/>Notice that the California Native American tribe has days to request consultation with the local government pursuant to this subdivision.</xhtml:p><xhtml:p>(2)<xhtml:span class="EnSpace"/>(A)<xhtml:span class="EnSpace"/>Each California Native American tribe has days to notify the local government that it accepts the invitation to consult.</xhtml:p><xhtml:p>(B)<xhtml:span class="EnSpace"/>If a California Native American tribe chooses not to accept the invitation to consult, or does not notify the local government of its decision within days, the consultation shall be considered to have concluded.</xhtml:p><xhtml:p>(3)<xhtml:span class="EnSpace"/>(A)<xhtml:span class="EnSpace"/>Within days of receiving the notification that the California Native American tribe has elected to consult, pursuant to subparagraph (

A) of paragraph (2), the local government shall initiate the consultation.</xhtml:p><xhtml:p>(B)<xhtml:span class="EnSpace"/>During the consultation, the local government shall act in good faith to identify whether a tribal cultural resource could be affected by the proposed project and shall give deference to the tribal information, tribal knowledge and customs, and the significance of the resource to the California Native American tribe.</xhtml:p><xhtml:p>(C)<xhtml:span class="EnSpace"/>The project proponent may participate in the consultation with the approval of the California Native American tribe if the project proponent agrees to engage in good faith and comply with the confidentiality requirements of Sections 7927.000 and 7927.005 of the Government Code, subdivision (

d) of

Section 21082.3, subdivision (

d) of

Section of Title of the California Code of Regulations, and any confidentiality standards adopted by the California Native American tribe participating in the consultation.</xhtml:p><xhtml:p>(D)<xhtml:span class="EnSpace"/>The consultation shall seek to find measures that would avoid significant impacts to a tribal cultural resource.</xhtml:p><xhtml:p>(E)<xhtml:span class="EnSpace"/>The local government shall document the results of the consultation.</xhtml:p><xhtml:p>(F)<xhtml:span class="EnSpace"/>The consultation shall conclude within days of initiation, subject to a one-time 15-day extension upon request by a participating California Native American tribe.</xhtml:p><xhtml:p>(4)<xhtml:span class="EnSpace"/>The local government shall include, as binding conditions of the project approval, all of the following:</xhtml:p><xhtml:p>(A)<xhtml:span class="EnSpace"/>Any enforceable agreements reached during the project consultation.</xhtml:p><xhtml:p>(B)<xhtml:span class="EnSpace"/>All of the following measures, unless there is mutual agreement between the California Native American tribe and the project proponent not to include the measure as a binding condition:</xhtml:p><xhtml:p>(i)<xhtml:span class="EnSpace"/>Upon request by a California Native American tribe, the project shall include tribal monitoring during all ground-disturbing activities, as follows:</xhtml:p><xhtml:p>(I)<xhtml:span class="EnSpace"/>The California Native American tribe shall designate the monitor.</xhtml:p><xhtml:p>(II)<xhtml:span class="EnSpace"/>The tribal monitor shall comply with applicant’s site access and workplace safety requirements.</xhtml:p><xhtml:p>(III)<xhtml:span class="EnSpace"/>The applicant shall compensate the tribal monitor at a reasonable rate, determined in good faith, that aligns with customary compensation for cultural resource monitoring, taking into account factors such as the scope and duration of the project.</xhtml:p><xhtml:p>(ii)<xhtml:span class="EnSpace"/>Tribal cultural resources shall be avoided where feasible, in accordance with subdivision (

a) of

Section 21084.3. In furtherance of this requirement, where feasible, the project applicant shall provide deference to tribal preferences regarding access to spiritual, ceremonial, and burial sites, and incorporate tribal traditional knowledge in the protection and sustainable use of tribal cultural resources and landscapes.</xhtml:p><xhtml:p>(iii)<xhtml:span class="EnSpace"/>All treatment and documentation of tribal cultural resources shall be conducted in a culturally appropriate manner, consistent with

Section 21083.9.</xhtml:p><xhtml:p>(iv)<xhtml:span class="EnSpace"/>A California Historical Resources Information System archaeological records search and a tribal cultural records search shall be completed for the project site.</xhtml:p><xhtml:p>(v)<xhtml:span class="EnSpace"/>A Sacred Lands Inventory request shall be submitted to the Native American Heritage Commission.</xhtml:p><xhtml:p>(vi)<xhtml:span class="EnSpace"/>The project shall comply with

Section 7050.5 of the Health and Safety Code and

Section 5097.98, including immediate work stoppage upon discovery of human remains or burial grounds, and treatment in accordance with applicable law and in consultation with the affected California Native American tribe.</xhtml:p><xhtml:p>(vii)<xhtml:span class="EnSpace"/>An application of tribal ecological knowledge into habitat restoration efforts undertaken by the project as applicable to the specific environmental context and conditions of the project.</xhtml:p><xhtml:p>(5)<xhtml:span class="EnSpace"/>For purposes of this subdivision, the following

definitions apply:</xhtml:p><xhtml:p>(A)<xhtml:span class="EnSpace"/>“California Native American tribe” has the same meaning as defined in

Section 21073.</xhtml:p><xhtml:p>(B)<xhtml:span class="EnSpace"/>“Enforceable agreement” means an agreement between the local government, project proponent, and any California Native American tribe that has engaged in consultation pursuant to this subdivision regarding the methods, measures, and conditions for tribal cultural resource identification, treatment, and protection, including consideration of avoidance.

Compliance with the enforceable agreement shall be a required condition of approval for the project and its terms must be enforceable against the project proponent by the local government and the California Native American tribe.</xhtml:p><xhtml:p>(C)<xhtml:span class="EnSpace"/>“Tribal cultural resource” means a site, feature, place, cultural landscape, sacred place, including a Native American sanctified cemetery, Indian cemetery, or Indian burial area, or an object with cultural value to a California Native American tribe that is any of the following:</xhtml:p><xhtml:p>(i)<xhtml:span class="EnSpace"/>Included or eligible for inclusion in the California Register of Historical Resources or the National Register of Historic Places.</xhtml:p><xhtml:p>(ii)<xhtml:span class="EnSpace"/>Included in a local register of historical resources as defined in subdivision (

k) of

Section 5020.1.</xhtml:p><xhtml:p>(iii)<xhtml:span class="EnSpace"/>Identified by the Native American Heritage Commission as a sacred place pursuant to

Section 5097.94 or 5097.96.</xhtml:p><xhtml:p>(iv)<xhtml:span class="EnSpace"/>Included in a local tribal register.</xhtml:p><xhtml:p>(c)<xhtml:span class="EnSpace"/>(1)<xhtml:span class="EnSpace"/>(A)<xhtml:span class="EnSpace"/>The local government shall, as a condition of approval for the development, require the development proponent to complete a phase I environmental assessment, as defined in

Section of the Health and Safety Code.</xhtml:p><xhtml:p>(B)<xhtml:span class="EnSpace"/>If a recognized environmental condition is found, the development proponent shall complete a preliminary endangerment assessment, as defined in

Section of the Health and Safety Code, prepared by an environmental assessor to determine the existence of any release of a hazardous substance on the site and to determine the potential for exposure of future occupants to significant health hazards from any nearby property or activity.</xhtml:p><xhtml:p>(C)<xhtml:span class="EnSpace"/>If a release of a hazardous substance is found to exist on the site, the release shall be removed or any effects of the release shall be mitigated to levels required by current federal and state statutory and regulatory standards before the local government issues a certificate of occupancy.</xhtml:p><xhtml:p>(D)<xhtml:span class="EnSpace"/>If a potential for exposure to significant hazards from surrounding properties or activities is found to exist, the effects of the potential exposure shall be mitigated to levels required by current federal and state statutory and regulatory standards before the local government issues a certificate of occupancy.</xhtml:p><xhtml:p>(2)<xhtml:span class="EnSpace"/>For any housing on the site located within feet of a freeway, all of the following shall apply:</xhtml:p><xhtml:p>(A)<xhtml:span class="EnSpace"/>The building shall have a centralized heating, ventilation, and air-conditioning system.</xhtml:p><xhtml:p>(B)<xhtml:span class="EnSpace"/>The outdoor air intakes for the heating, ventilation, and air-conditioning system shall face away from the freeway.</xhtml:p><xhtml:p>(C)<xhtml:span class="EnSpace"/>The building shall provide air filtration media for outside and return air that provides a minimum efficiency reporting value of 16.</xhtml:p><xhtml:p>(D)<xhtml:span class="EnSpace"/>The air filtration media shall be replaced at the manufacturer’s designated interval.</xhtml:p><xhtml:p>(E)<xhtml:span class="EnSpace"/>The building shall not have any balconies facing the freeway.</xhtml:p><xhtml:p>(d)<xhtml:span class="EnSpace"/>(1)<xhtml:span class="EnSpace"/>Notwithstanding any other law, all construction workers employed in the execution of a housing development project exempt from this division pursuant to this

section where percent of the units within the development project are dedicated to lower income households, as defined by

Section 50079.5 of the Health and Safety Code, shall be paid at least the general prevailing rate of per diem wages for the type of work and geographic area, as determined by the Director of Industrial Relations pursuant to Sections and 1773.9 of the Labor Code, except that apprentices registered in programs approved by the Chief of the Division of Apprenticeship Standards may be paid at least the applicable apprentice prevailing rate, regardless of whether the housing development project is a public work.</xhtml:p><xhtml:p>(2)<xhtml:span class="EnSpace"/>Notwithstanding any other law, the labor standards of paragraph (8) of subdivision (

a) of

Section 65913.4 of the Government Code shall apply to buildings over feet in height above grade in any housing development project exempt from this division pursuant to this section.</xhtml:p><xhtml:p>(3)<xhtml:span class="EnSpace"/>(A)<xhtml:span class="EnSpace"/>Notwithstanding any other law, the labor standards of

Article 4 (commencing with

Section 65912.130) of

Chapter 4.1 of Division of Title of the Government Code shall apply for projects of units or greater in the City and County of San Francisco that are not covered by paragraph (2), for any construction craft where at least percent of the units in market-rate multifamily housing projects that received their certificate of occupancy between and 2024, inclusive, were built by workers that were paid not less than the general prevailing rate of per diem wages.</xhtml:p><xhtml:p>(B)<xhtml:span class="EnSpace"/>For purposes of this section, “market-rate multifamily housing development project” means a housing development project of greater than units where less than percent of the units are dedicated to lower income households, as defined by

Section 50079.5 of the Health and Safety Code.</xhtml:p><xhtml:p>(C)<xhtml:span class="EnSpace"/>(i)<xhtml:span class="EnSpace"/>The eligibility of this subparagraph, by classification, will be determined by the Department of Industrial Relations and published on its internet website by January 1, 2026.</xhtml:p><xhtml:p>(ii)<xhtml:span class="EnSpace"/>In making a determination of eligibility pursuant to this subparagraph, the Director of Industrial Relations shall obtain and consider data from the labor organizations and employers or employer associations concerned no later than October 1, 2025.</xhtml:p><xhtml:p>(iii)<xhtml:span class="EnSpace"/>To determine the number of market-rate multifamily housing projects that received their certificate of occupancy in a given year, the Department of Industrial Relations shall use the annual progress report data as reported by the jurisdiction pursuant to

Section of the Government Code.</xhtml:p><xhtml:p>(4)<xhtml:span class="EnSpace"/>The provisions of

Section 218.8 of the Labor Code shall extend to the development proponent in addition to the direct contractor or subcontractor. For purposes of this paragraph, “development proponent” shall mean a developer who submits the housing development project application to a local government that is exempt from this division pursuant to this section.</xhtml:p><xhtml:p>(5)<xhtml:span class="EnSpace"/>(A)<xhtml:span class="EnSpace"/>A joint labor-management cooperation committee established pursuant to the federal Labor Management Cooperation Act of 1978 (29 U.S.C.

Sec. 175a) may undertake any of the following on a housing development project that is exempt from this division pursuant to this section:</xhtml:p><xhtml:p>(i)<xhtml:span class="EnSpace"/>Bring an action in a court of competent jurisdiction against a contractor or subcontractor at any tier on behalf of construction workers employed by the contractor or subcontractor on a housing development project that is exempt from this division pursuant to this

section to enforce

Section of the Labor Code. A contractor is not subject to an action pursuant to this subparagraph due to the failure of a subcontractor to comply with

Section of the Labor Code.</xhtml:p><xhtml:p>(ii)<xhtml:span class="EnSpace"/>Bring an action in a court of competent jurisdiction on behalf of an affected employee against an employer for damages as if Division 4 (commencing with

Section 3200) of the Labor Code did not apply, if the employer fails to secure the payment of compensation as required by

Article 1 (commencing with

Section 3700) of

Chapter of Part of Division of the Labor Code.</xhtml:p><xhtml:p>(iii)<xhtml:span class="EnSpace"/>In addition to the remedies set forth in

Section 7028.3 of the Business and Professions Code, on proper showing by a joint labor-management cooperation committee of a continuing violation of

Chapter 9 (commencing with

Section 7000) of Division of the Business and Professions Code by a person who constructs a housing project and does not hold a state contractor’s license in any classification, an injunction shall issue by a court specified in

Section 7028.3 of the Business and Professions Code at the request of the joint labor-management cooperation committee, prohibiting that violation.</xhtml:p><xhtml:p>(B)<xhtml:span class="EnSpace"/>For any action brought pursuant to this paragraph, the court shall award a prevailing joint labor-management committee its reasonable attorney’s fees and costs incurred maintaining the action.</xhtml:p><xhtml:p>(C)<xhtml:span class="EnSpace"/>An action brought pursuant to this paragraph shall be filed within one year of a local government issuing a certificate of occupancy for the housing development project or for the portion relating to the action.</xhtml:p><xhtml:p>(D)<xhtml:span class="EnSpace"/>This paragraph shall apply only to violations that occur on the site of construction of the housing development project.</xhtml:p><xhtml:p>(e)<xhtml:span class="EnSpace"/>This

section does not affect the eligibility of a housing development project for a density bonus, incentives or concessions, waivers or reductions of development standards, and reduced parking ratios pursuant to

Section of the Government Code.</xhtml:p><xhtml:p>(f)<xhtml:span class="EnSpace"/>If a lead agency determines that this division does not apply to an activity pursuant to this

section and determines to approve or carry out the activity, the lead agency shall file a notice of exemption with the Governor’s Office of Land Use and Climate Innovation and the county clerk of the county in which the activity will occur in the manner specified in subdivisions (

b) and (

c) of

Section or subdivisions (

b) and (

c) of

Section 21152, as applicable.</xhtml:p><xhtml:p>(g)<xhtml:span class="EnSpace"/>For purposes of this section, the following terms apply:</xhtml:p><xhtml:p>(1)<xhtml:span class="EnSpace"/>“Adjoins” includes parcels that are only separated by a street, pedestrian path, or bicycle path.</xhtml:p><xhtml:p>(2)<xhtml:span class="EnSpace"/>“Construction worker” means one performing onsite work associated with construction, including work involving alteration, demolition, building, excavation, renovation, remodeling, maintenance, improvement, repair work, and any other work as described by

Chapter 9 (commencing with

Section 7000) of Division of the Business and Professions Code, and other similar or related occupations or trades.</xhtml:p><xhtml:p>(3)<xhtml:span class="EnSpace"/>“Urban use” means any current or previous residential or commercial development, public institution, or public park that is surrounded by other urban uses, parking lot or structure, transit or transportation passenger facility, or retail use, or any combination of those uses.</xhtml:p></caml:Content></caml:LawSectionVersion></caml:LawSection></caml:Fragment></caml:BillSection><caml:BillSection id="id_F0248343-5DAF-430E-AEC7-C887FC5F3E11"><caml:Num>SEC. 2.</caml:Num><caml:Content><xhtml:p>No reimbursement is required by this act pursuant to

Section of

Article XIII<xhtml:span class="ThinSpace"/>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 of the Government Code.</xhtml:p></caml:Content></caml:BillSection>"?>

Document details

CollectionCalifornia Bills
CitationAB 1732
Date2026-05-20
Typebill
Languageen
SourceCA_BILL
Identifier20250AB173295AMD