Moreno Valley Megadevelopment Raises Environmental Concerns 
The World Logistics Center, a lightening rod warehouse project that would cover an area equal to about 700 football fields in Moreno Valley, is once again under fire following the release--and certification--of its environmental impact report. The Moreno Valley City Council green-lit the developer's plan to buy carbon offset credits under California's cap-and-trade program that would net zero greenhouse gases. In actuality, only 11 percent of the greenhouse gas will be mitigated locally. The other 89 percent of air pollution attributed to the project is being reduced elsewhere in the world. Supporters of the project hope for jobs. Opponents say the negative environmental and health impacts would far outweigh its benefits. The offset scheme was denounced by the California Air Resources Board and the state Attorney General as "environmentally irresponsible and legally flawed." The proposed project is expected to produce 70,000 new trips a day, 14,000 of them by diesel truck, and 400,000 tons of greenhouse gas emissions each year. (See prior CP&DR coverage.)

Density Bonuses Go Underused Across California 
Fewer than half of California jurisdictions have reported making use of density bonuses from 2015 through 2017, despite more than three-quarters having adopted local density bonus ordinances. A new Terner City analysis looks at the financial feasibility of proposed legislation that would ostensibly make density bonuses more attractive to cities. One of the proposed ideas--Senate Bill 1085--would reform California's existing density bonus law to increase the incentives for Very Low Income housing, as well as create a new Middle Income bonus category. In the Assembly, Bill 2345 proposed to increase the bonus density permitted by state law based on a variation of the law currently used in San Diego. The center's pro forma results indicate that proposed density increases to the law under SB 1085 would not improve financial feasibility. Using a pro forma model, the study's authors found that proposed density bonuses are slightly less attractive than the existing law, and offer less value to developers. But developers may take advantage of perks that can prove just as valuable as additional units. For example, developers may request up to three regulatory concessions such as setbacks, or reduced parking requirements, among others. The study's authors conclude these incremental improvements are a step in the right direction for legislation that prioritizes affordability while recognizing the need for offsets to achieve financial feasibility.

Legislative Analyst’s Office Foresees Huge Property Losses to Sea Level Rise
A new report by the California Legislative Analyst's Office warns that a litany of climate change effects pose imminent threat to the state. "Other statewide challenges continue to approach on the horizon," the report stated. "Among these are the impending impacts of climate change, including the hazards that rising seas pose to California's coast. Sea level rise of 3 to 6 feet by the end of the century will wash away up to two-thirds of Southern California's beaches, and submerge $8 billion to $10 billion worth of property by 2050. Increasingly severe storms, exceptionally high "King Tides" and El Nino events could raise sea level even higher during certain periods. The rising seas could damage both public infrastructure and private property, threaten human lives and natural resources, contaminate drinking water, and expose raw sewage and underground contaminants. The report urges state lawmakers and local communities to start planning for sea level rise now: "The state and its coastal communities cannot afford to defer all preparation efforts until economic conditions have fully rebounded from the recent crisis... essential near-term preparation activities--such as planning, establishing relationships and forums for regional coordination, and sharing information--with relatively minor upfront investments."
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Quick Hits & Updates 
Enrollment growth alone does not warrant creating a new California State University campus, according to a new study ordered by the state legislature. The study examined how much it would cost to build a 24th CSU campus for about 7,800 students in one of five evaluated locations. The report projects a system-wide increase of approximately 43,800 full-time students over the next 15 years.

The City of Sacramento recently became the first city in California to approve a Ministerial Approval of Infill Housing process in addition to adopting new Citywide Infill Housing Design Standards. The expedited approval process will be available beginning in late August for housing and mixed-use projects between two and 200 housing units.

A Berkeley Terner Center analysis indicates that nearly six million parcels would be eligible for a ministerial lot split per the language in SB 1120. The widespread application of SB 1120 has the potential to result in significant amounts of new housing. If just 5 percent of the parcels in Terner's analysis created new two-unit structures as a result of SB 1120, that would result in 597,706 new homes.d

The San Francisco Board of Supervisors has agreed to pay $30,000 toward a study for Glydways, an on-demand pod system that could shuttle workers from public transit stops like Caltrain, BART, or the ferries to job centers. Glydways is proposing building a track network on which electronic, autonomous vehicles can operate continuously, solving the so-called "last mile" problem for commuters.

Gov. Gavin Newsom made a personal plea to billionaire Warren Buffet to expedite the Klamath River dam removal. Buffet controls Berkshire Hathaway and its subsidiary PacifiCorp, which holds the license for the Klamath River project. In a letter, Newsom says the dams' construction threatens the river's role as a vital part of the surrounding community's culture and sustenance.

A four-block stretch of San Francisco's Tenderloin neighborhood will be remodeled to make room for pedestrians, a temporary project intended to allow for more physical distancing during the coronavirus pandemic. The initiative will create an additional 5 to 8 feet of walking space protected from traffic with concrete barriers or parked cars. The San Francisco Municipal Transportation is heading up the effort.

Issuance of housing permits in Southern California housing permits is at an 8-year low as coronavirus has wreaked havoc on the economy. Federal statistics show steep drops in planning in Los Angeles and Orange counties and statewide in the second quarter. More modest drops occurred in Riverside and San Bernadino counties during the April-to June period. Builders filed 7,505 permits in the four counties during the quarter, down 27 percent in a year and slowest three-month period since the end of 2012.

Amid public pressure, San Jose's General Plan review committee postponed a vote on "opportunity housing," an initiative to build more homes in single-family neighborhoods. There was little public outreach as the vote was only meant to determine whether city leaders would study the issue further, rather than on a specific proposal. 

An innovative joint powers agency known as the Truckee Tahoe Workforce Housing Agency officially launched this July with the mission of providing housing to workers who otherwise could not afford to live where they work.The agency's first program, a partnership with Landing Locals, will connect member agency employees with second homeowners for long-term leasing opportunities.

Marking the end of 35 years of development battles, escrow closed on the last of three properties in a deal to purchase 937 acres in Coyote Valley, aruably the largest parcel of open space in San Jose. Under the $937 million deal reached in November 2019, San Jose will retain ownership of 296 acres, and the rest will go eventually to the open space authority.

Posideon, a proposed desalination plant in Huntington Beach, hit a roadblock in obtaining major permits after several members of the Regional Water Control Board indicated they were dissatisfied with the proposed mitigation for marine life that would die as a result of the plant's intake pipes. The $1 billion project may face additional pushback from the Coastal Commission even if it succeeds in obtaining approval from the regional board.

Allenco Energy, a drill site operator, is facing criminal charges for allegedly flouting a state order and failing to properly abandon wells. The "charges show that we won't allow Allenco to continue allegedly defying the law and disregarding its neighbors when it comes to environmental safety and health protections," Los Angeles City Atty. Mike Feuer said in an announcement.

For decades, Sausalito banned new development in the 225-acre Marinship district. But with the Black Lives Matter movement forcing cities to confront historic racial, social, and economic inequality, Sausalito officials are weighing whether Marinship could allow low-income or senior housing. Sausalito has just 38 units of affordable senior housing, but an unusually large (37 percent) senior population.

The Los Angeles County Board of Supervisors approved a plan to address a 28 percent uptick in traffic deaths across the county from 2013 to 2017. The "Vision Zero" program focuses on system fixes and reduced vehicle speeds in unincorporated areas of the county as the most effective way to reduce deaths. Before a full rollout, the county will conduct a pilot program at high-collision corridors. (See prior CP&DR commentary.)