Search Results

Significant reforms to the California Environmental Quality Act have been included in a “budget trailer bill; and could take effect as soon as next week. The bill also amends the Permit Streamlining Act to speed up ministerial projects. Although at tentative deal was announced Tuesday night as part of a budget agreement, the trailer bill still must be approved by the Legislature and signed by Gov. Gavin Newsom. The legislative analysis of AB 130, the trailer bill, can be found here. Most of the CEQA provisions were moved over from Assemblymember Buffay Wicks’ AB 609. Most importantly, the bill significantly expands the CEQA exemption for infill development ; an exemption that is already being used more and more frequently by cities. Currently, to qualify for the exemption, a project must be less than 5 acres in size and 75% surrounded by urban development. The trailer bill expands the CEQA exemption to include projects of 20 acres or less. The projects can still be 75% surrounded by urban development ; but also applies to projects where 75% of the land within a ¼-mile radius of the site consists of urban development. This essentially brings neighborhood context into the definition of infill, rather than just the parcel. (Builder’s remedy projects seeking a CEQA exemption would still be limited to 5 acres.) The infill exemption applies only to projects of a certain density ; specifically, half of the so-called “Mullin densities; contained in SB 375. The minimum densities would be at least five units per acre for an unincorporated area in a nonmetropolitan county, 10 units per acre in a suburban jurisdiction, and 15 units per acre in a metropolitan jurisdiction. Any project below these densities would be subject to CEQA. To qualify for the exemption, projects still must conform with the local general plan and any specific plans. The trailer bill would also impose Permit Streamlining Act deadlines on ministerial approvals for the first time. Up to now, PSA deadlines have applied only to discretionary approvals. The trailer bill would impose a 60-day shot clock on ministerial projects.

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

This article is brought to you courtesy of the paying subscribers to California Planning & Development Report . You can subscribe to CP&DR by clicking here . You can sign up for CP&DR 's free weekly newsletter here . Sacramento City Council Advances Plan to Develop Soccer Stadium at Railyards The Sacramento City Council approved key steps to advance a new, privately funded soccer stadium for Sacramento Republic FC in the downtown Railyards, a long-anticipated project expected to generate over $8 billion in one-time economic impact and thousands of jobs. The vote included a "definitive documents" resolution, indicating that the city and developers are in alignment, and the approval of the expansion of the Railyards Enhanced Infrastructure Financing District. While supporters praise the stadium as a catalyst for revitalizing the 237-acre site, with backing from Wilton Rancheria and over $217 million committed, opponents, including labor unions and housing advocates, argue the financing plan lacks transparency, prioritizes private developers and neglects affordable housing. The infrastructure plan, which leverages future property tax revenue through an Enhanced Infrastructure Financing District (EIFD), would offer $92 million in tax rebates for roads and utilities but not fund the stadium itself. Critics worry the plan is being rushed amid Sacramento's $44 million budget shortfall, though city leaders insist the stadium poses no fiscal risk and will ultimately benefit the city financially. The full Railyards development, including a 20,000-seat stadium, retail venues, housing and a major medical center, is slated for completion by 2027. (See related CP&DR coverage .) California Forever Will Fund Efforts to Explore Annexation of Properties to Suisun City The Suisun City City Council approved , on a 3-1 vote, a reimbursement agreement, which is a initial step toward annexing over 22,000 acres of California Forever-owned land, with the possibility of adding 150,000 residents by 2048. The agreement allows California Forever to fund city staff and environmental review costs without obligating Suisun to finalize annexation, though a $10 million public benefit package could follow if the project proceeds. California Forever, which failed to pass a ballot initiative last year due to environmental and fiscal concerns, has shifted strategies by offering property purchases and grants to build goodwill in financially struggling Suisun. The plan has sparked fierce debate, with supporters citing economic revitalization and opponents warning of lost open space, mistrust in the developer and lack of voter input. The Solano County Board of Supervisors asked Suisun City to pause annexation talks with California Forever while the county updates its general plan, raising concerns about transparency and potential Brown Act violations. (See related CP&DR coverage .) Kern County Grand Jury Improbably Weighs in on Bike Lanes In an unusual move, Kern County Civil Grand Jury released a report titled "The Proliferation of Bike Lanes: Whose Road is It?", in which it criticized Bakersfield's bicycle infrastructure planning. The report acknowledges benefits such as reduced injuries and emissions, but argues bike lanes are impractical due to the city's heat, air quality, and traffic. It accuses the firm Alta Planning + Design, responsible for the city's most recent bike and pedestrian plan, of being "biased towards bicycles". Critics of the report have raised concerns of the Civil Grand Jury overstepping its role, arguing the report does not fall under the Grand Jury's mandate to investigate "inefficiencies and misconduct in government", as described on Kern County's website. The Civil Grand Jury has recommended revising RFP materials to "better identify potential biases or conflicts of proposals", conduct auto and bike counts before constructing new bikeways, and develop a cost-benefit model for bike lanes (a model already exists and is in use). Studies Contemplate Increased Tsunami Danger New studies indicate that California's entire coastline is more vulnerable to tsunamis than previously thought, with the potential for widespread destruction and potentially displace or endanger over 680,000 people during daytime hours. The state faces two types of tsunami threats: distant-source events, which offer hours of warning but can still inundate major coastal cities, and near-source tsunamis, which strike within minutes, leaving little time to evacuate. In Southern California, distant tsunamis could bring waves as high as 15 feet and over $1.4 billion in damages, while local events could generate even higher surges in places like Catalina Island and Palos Verdes. The Bay Area and Central Coast are similarly exposed, with possible fatalities in the thousands and economic losses topping $10 billion combined. Northern California is the most at risk due to its proximity to the Cascadia subduction zone, where a major quake could trigger waves up to 50 feet and inflict over $1 billion in damages to Del Norte County alone. (See related CP&DR coverage .) Los Angeles Considers Major Subway Expansion LA Metro released new details for the Sepulveda Transit Corridor Project, an ambitious rail proposal to connect the San Fernando Valley and the Westside with a rail service. The project is currently in the planning phase and under environmental review alongside five alternative proposals that call for either a monorail or a heavy rail solution with above-ground, underground and combination alignments. LA Metro's established goals of the project are to improve mobility, access and equity, support community and economic development, improve sustainability, provide low-cost transportation, and enhance resiliency. The project will run between the Van Nuys Metrolink/Amtrak station and Metro E Line. The Measure M expenditure plan has identified $9.5 billion of funding. CP&DR Legal Coverage: Anti-Housing Litigants Rebuffed in Eureka; Aesthetics and CEQA Opponents of downtown affordable housing in Eureka may have lost a ballot measure last fall, but they are continuing a barrage of litigation to try to stop conversion of three downtown parking lots to housing. "Citizens for a Better Eureka" lost the latest round, however, when an appellate court ruled that the designated developer - an affordable housing affiliate of the Wiyot Tribe - is indeed a “necessary party” to a lawsuit filed by Citizens for a Better Eureka challenging the city's claim that its declaration of a downtown parking lot as surplus land qualified for a Class 12 exemption under the California Environmental Quality Act. The battle over the downtown parking lots has been going on for several years, in large part because opposition to building affordable housing on the lots has been bankrolled by “local billionaire” Ron Arkley. Reversing a lower court ruling, an appellate court has thrown out the City of Mount Shasta's mitigated negative declaration for a charter school and ordered the city to do an environmental impact report. The ruling would seem to run counter to the current trend - at least in the legislature - to minimize the use of EIRs. The main issue in the situation is aesthetics. The charter school plans to use prefabricated metal buildings, which are allowable in industrial zones in the city but not in residential zones. Quick Hits & Updates The UCLA Luskin Center for Innovation and American Forests launched a national Shade Map that identifies areas lacking shade infrastructure across over 360 U.S. cities to help governments address extreme urban heat. By showing where and when shade from trees and buildings exists, especially in cities like Austin, Detroit and Phoenix, the tool enables targeted planning to improve heat resilience and equity in vulnerable communities. The proposed Zero Emission Passenger Rail and Trail project, consisting of a 22-mile rail line between Santa Cruz and Pajaro alongside 12 miles of the Coastal Rail Trail, will cost an estimated $4.3 billion. The high cost reflects major infrastructure upgrades, including replacement of 28 bridges, new right-of-way, stations and advanced train control systems, with operational plans featuring zero-emission Stadler FLIRT trainsets running every 30 minutes. The project expects weekday ridership between 3,500 and 6,000 passengers and includes potential future connections to San Francisco and existing tourist rail operations. A new housing progress report shows Los Angeles permitted more than 17,200 housing units last year, which is only around 30% of the yearly rate needed to comply with state law requiring the city to permit more than 456,000 new homes between 2021 and 2029. The city permitted 18,618 new homes in 2023, and 23,422 in 2022. On May 7, the California Air Resources Board accepted the Southern California Association of Governments' determination that Connect SoCal 2024 Regional Transportation Plan/Sustainable Communities Strategy (RTP/SCS) meets CARB's greenhouse gas emission reduction targets. CARB's acceptance ensures transportation projects in the SCAG region remain eligible for all Senate Bill 1 funding programs. The San Jose City Council voted to increase the number of new homes qualifying for a 50% tax break under the multifamily housing incentive program from 1,500 to 1,800, The Council also signed off on $4.1 million in program tax incentives for Urban Catalyst's 278-apartment development, the latest in a series of breaks for apartment projects as the city seeks to boost housing supply. The Los Gatos Town Council approved its first Builder's Remedy project, a four-story mixed-use development near the high school, amid debate over traffic, safety and design impacts. While praised for its architecture and walkability, the project sparked debate over congestion concerns, with some officials warning of adverse effects and others asserting no legal basis to block or significantly alter the plan under state housing laws. Pro-housing advocates in San Diego are pushing to eliminate the city's longstanding 5,000-square-foot minimum lot size to allow denser, more affordable housing developments like two- to three-story single-family homes on smaller lots. They argue this change would increase housing supply, lower home prices and boost property tax revenues for the city, potentially generating tens to hundreds of millions annually depending on development scale.

If California High Speed Rail becomes operational, it would create arguably the most massive opportunities for transit oriented development the United States has ever seen. But, even at full build-out, not every city will have a high-speed rail station. And, the way things are going, maybe none will. On the other end of the transportation spectrum, where investments are minuscule by comparison, are mobility hubs. Rather than billion-dollar stations, mobility hubs might consist of a few bike lockers, a scooter corral, or a bus bay. Rather than serve trainsets that go 200 miles per hour, they rely on modes like electric scooters and the humble city bus. Collectively, mobility hubs could serve just as many people across California as do heavy infrastructure like light rail and present many transit-oriented development opportunities. Transportation planning organizations across the state are promoting them enthusiastically. "As we see the future, where we're not going to be expanding freeways, we're going to need a little more transit capacity, and that's how we're going to be able to enhance mobility in the region," said Kome Ajise, executive director of the Southern California Association of Governments. "Mobility hubs help to stage that particular concept of transit. It's about bringing together multiple modes into one location."

This article is brought to you courtesy of the paying subscribers to California Planning & Development Report . You can subscribe to CP&DR by clicking here . You can sign up for CP&DR 's free weekly newsletter here . Sramek Lays Out Expansive Vision for Manufacturing at California Forever In a post on X, Jan Sramek, founder and CEO of California Forever, revealed a new vision for the company's proposed "new city" in Solano County. As the Trump administration is calling for manufacturing to "return" to the United States, Sramek envisions a high-tech manufacturing hub similar to the special economic zone in Shenzhen, China's. Sramek offered up land already owned by California Forever for industrial activities such as shipbuilding, and he argues that the location is ideal due to its proximity to Silicon Valley. He states that existing policy momentum, including bipartisan support for re-industrialization and the 73-0 passages of a resolution in the State Assembly to support shipbuilding, means the state is already shifting towards this possibility. Sramek envisions seamless travel between headquarters and manufacturing sites using autonomous vehicles and eVTOL aircraft, and states the project is already pre-zoning and pre-clearing manufacturing space so projects can break ground in 90 days. He concluded that successful manufacturing relies on geographic clustering of suppliers and innovators, advocating for a concentrated industrial zone in California to reclaim national competitiveness. Major Infill Bill Passes in State Senate The California's Senate narrowly passed Senate Bill 79, a bill aimed at encouraging mid-rise housing development near high-frequency public transit to support both ridership and the state's housing supply. The bill, authored by Sen. Scott Wiener and supported by YIMBY groups statewide, distinguishes between transit types and allows taller buildings near heavy rail while limiting development around lower-frequency lines. In a statement, California YIMBY referred to it as "the most important housing legislation in a generation." Critics argue the bill could displace vulnerable communities and weaken local control over land use, though supporters highlight existing affordability mechanisms built into the legislation. The bill allows cities to propose alternative density plans for specific transit areas to retain some planning flexibility. It now goes to the Assembly. (See related CP&D coverage .) Revocation of Federal Funds Could Freeze High Speed Rail The Trump administration plans to revoke $4 billion in federal funding for California's high-speed rail project, jeopardizing the already-delayed and over-budget efforts. Without this funding, even the limited Central Valley segment between Merced and Bakersfield faces potentially decade-long delays due to a major funding shortfall. The Federal Railroad Administration cited missed deadlines, cost overruns and unrealistic projections in its justification, prompting criticism of the project's management. California officials remain committed to continuing construction using state funds and are likely to challenge the federal decision in court, though legal success is uncertain. The move has reignited political tensions and raises broader questions about infrastructure priorities, federal-state relations and the long-term viability of the high-speed rail vision. 2022 San Francisco Housing Law Results in Scant Development San Francisco's 2022 fourplex legislation, aimed at easing housing construction, has failed to deliver results, with only 11 applications submitted and no projects completed. YIMBY advocates had predicted its ineffectiveness, citing high construction costs, limited financing options and excessive bureaucracy as major barriers. The city's permitting process has proven especially difficult for small-scale developers without the resources of larger firms, leading to project delays and cancellations. A city-commissioned report from 2022 confirmed that most small developments under current economic conditions are financially unfeasible. While officials defend the legislation as a step forward, critics argue that without substantial reform to permitting and financial incentives, San Francisco will continue to struggle with building “missing middle” housing. CP&DR Coverage: How Lithium Extraction Could Transform the Imperial Valley Under discussion since the 2022, the Lithium Valley Specific Plan would govern 51,785 acres of northern Imperial County, along the southeastern edge of the Salton Sea and just north of the City of Calipatria. Though the plan is on the verge of adoption—with companies including Controlled Thermal Resources, Berkshire Hathaway, and EnergySource eager to break ground or expand existing operations—portions of the plan face at least one legal threat from environmental justice advocates. The plan hopes to attract industries that would process lithium and manufacturing lithium-related products onsite (much of which currently takes place overseas). It envisions 70 million to 80 million square feet of industrial and related development, including data centers for major tech firms, and up to 82,000 workers. The goal is to develop a comprehensive energy-based economy rather than an isolated extractive activity. Quick Hits & Updates The California Air Resources Board issued a pre-proposal solicitation for six research projects focused on sustainable transportation, land use, housing and building practices for fiscal year 2025-26. With an emphasis on equity and climate goals, these projects—ranging from wildfire recovery in disadvantaged communities to examining the housing impacts of zero-emission regulations—invite multidisciplinary researchers to submit pre-proposals by July 14. Researchers at Lawrence Livermore National Laboratory have developed a new method to monitor earthquakes with vastly improved precision by transforming fiber optic cables into thousands of virtual seismic sensors. Their approach, using a device called an interrogator, offers data 1,000 times more detailed than conventional methods and could significantly enhance early warning systems, uncover hidden fault lines and improve urban seismic safety across the Bay Area and beyond. The Congress for the New Urbanism included I-980 in Oakland and US 101 in San Mateo County in its biennial Freeways Without Futures report. Selected by a jury, the report identifies harmful urban freeways to draw attention to their socioeconomic and environmental effects and advocate for the replacement of these highways. The Peninsula Open Space Trust purchased nearly 2,500 acres of land south of Gilroy in Santa Clara County, representing about a third of the Sargent Ranch property, after controversy over the ownership group Sargent Ranch Partner's proposed plan to create a sand and gravel mine on the land. Strada Investment Group has proposed two high-rise residential towers totaling 1,500 units in San Francisco's South of Market area, marking the first major shift from office to housing under new Central SoMa rezoning rules. The project would include 150 affordable units, with the remainder market-rate, and reflects a broader move to repurpose stalled office developments for housing. UC Berkeley Team Blue won the Council of Large Public Housing Authorities' 2025 Innovation in Affordable Housing Student Design and Planning Competition. Team Blue won $15,000 and will present their design for the 2025 theme “designing for disasters” at the CLPHA Summer Meeting. Governor Newsom appointed Miranda Flores as Chief Deputy Director of Governor's Office of Land Use, Climate, and Innovation. She comes to LCI from the California Natural Resources Agency where she served as Deputy Secretary of Legislation since 2020. Prior to her appointment at CNRA, she worked at Assembly Member Bill Quirk's office. The federal government is selling the historic 1930s US Courthouse in downtown Los Angeles, hoping to reduce its real estate footprint by offloading underused properties. While the office space market Downtown is weak, some see long-term potential in developing the building. San Francisco is holding public hearings over the Prologis SF Gateway project, which if approved would be the city's largest industrial development deal in over a decade. Bayview-Hunters Point resident groups are advocating against the project, arguing that the area already suffers greatly from existing industrial polution and cannot withstand more development. A Politico and UC Berkeley poll found that 37% of California voters support more aggressive measures to address homelessness, including arresting individuals who refuse shelter. Another 24% of voters somewhat support them, 38% oppose, highlighting a divide between public opinion and state leadership on handling the crisis. San Francisco's Upper Great Highway, now known as Sunset Dunes, has been permanently closed to vehicles, transforming it into a 2-mile coastal park. Despite Proposition K passing with 54% voter approval, the decision remains contentious, with significant opposition from west-side residents who rely on the highway for commuting. In response, Supervisor Connie Chan is considering a ballot measure to reopen the highway to cars on weekdays while keeping weekend closures for recreation. The Tijuana River, heavily polluted by raw sewage and industrial waste from Mexico, has been ranked as the second most endangered river in the U.S. due to its severe environmental and public health impact. Environmental groups are urging the U.S. government to provide more funding for wastewater treatment infrastructure and for both the U.S. and Mexico to collaborate on fixing pollution issues on both sides of the border.

As virtually every major media outlet in California has reported, SB 79 – Sen. Scott Wiener’s bill that would give significant land-use power to transit agencies – barely squeaked by in the Senate last week and is now in the Assembly.

Under fierce pressure from environmentalists and labor unions, the Senate has gutted Sen. Scott Wiener’s SB 607, a major California Environmental Quality Act reform bill, subject to additional negotiations.

This article is brought to you courtesy of the paying subscribers to California Planning & Development Report . You can subscribe to CP&DR by clicking here . You can sign up for CP&DR 's free weekly newsletter here . State to Support Newport Beach in Lawsuit to Limit Housing The Orange County Superior Court has granted the Newsom administration and California Attorney General Bonta permission to file amicus briefs supporting the City of Newport Beach in a lawsuit over the city's new housing plan. Last August, the nonprofit Still Protecting Our Newport filed a lawsuit against the city over the city council's decision to approve steps needed for the implementation of the housing element without voter approval. SPON's lawsuit argues that the approval of changes without a ballot initiative violates section 423 of the city charter, which requires voters to approve any decisions that would significantly increase development in Newport Beach, unless precluded by state law. The current element calls for the creation of 8,174 housing units, compliant with the state mandate for 4,845 new residential units through 2029. In the past, Newport Beach, and many other coastal cities, has been at odds with the state over the alleged burden of its RHNA numbers. Supreme Court Ruling Could Limit Federal Environmental Review On an 8-0 decision, the Supreme Court ruled to limit the power of the National Environmental Protection Act, claiming that it stifles projects developed by or in partnership with the federal government, particularly infrastructure projects. The ruling claims that NEPA has resulted in fewer, and most costly, developments than originally intended by the 1970 law. “A 1970 legislative acorn has grown over the years into a judicial oak that has hindered infrastructure development under the guise of just a little more process. A course correction of sorts is appropriate,” said Justice Brett M. Kavanaugh, speaking for the court, as reported in the Los Angeles Times. Like the California Environmental Quality Act, NEPA (which was inspired in part by a 1969 California oil spill) requires environmental review of certain projects and can be the basis for lawsuits by opponents of projects. California projects that could be hastened by the ruling include High Speed Rail and the Delta Conveyance Project. The case, TK, concerned a proposed rail spur in Utah. Despite the unanimous decision, the court's three liberal justices did not sign on to the ruling, indicating that they agreed with the narrow focus on the Utah project but do not believe the ruling should set precedent for other NEPA-related projects. (See related CP&DR commentary .) Oceanside Joins Movement to Push Back against Warehouses The Oceanside City Council voted 3-2 to overturn the Planning Commission's approval of the Eddie Jones warehouse project. The 32-acre industrial site was previously home to a Deutsch Company electronics plant from 1966 to 2022, when it was demolished. Opponents of the project cited concerns over noise and air pollution, increased truck traffic, and the overall size of the development, which would be three times bigger than the Deutsch Company plant and sit 800 feet from the nearest houses. Proponents of the project argued that the increases in noise and pollution would be minimal, and the project would create 510 permanent jobs across different income and skill levels, in line with the city's economic goals. (See related CP&DR coverage .) Federal Reserve Study Suggests Looser Regulations Will Not Ease Housing Prices A new study from researchers at the University of California and the Federal Reserve Bank of San Francisco questions the widely accepted idea that easing housing regulations will significantly lower home prices. By comparing housing growth and prices from 1980 to 2020 across various U.S. metro areas, the paper found that easier-to-build cities did not necessarily add more housing, even when demand increased. This challenges the argument that deregulation is the key to solving high housing costs, particularly in expensive regions like the Bay Area. Critics argue the paper's methods are flawed, especially its reliance on total income as a measure of housing demand, which may not capture potential residents. While the study has sparked debate, experts caution against drawing conclusions from one paper and emphasize the need for broader, long-term research. (See related CP&DR coverage .) San Francisco Explores "Family Zoning" San Francisco's new Family Zoning Plan proposes large changes to the city's zoning codes to help meet the state-mandated housing goal of 82,000 homes by 2031. The plan would allow denser multifamily housing in more neighborhoods, particularly in the northernmost and western parts of the city, and promote development along transit corridors and commercial streets. The plan introduces new zoning categories, loosens density restrictions and aims to ensure equitable housing access while maintaining protections for small businesses and renters. The city plans to finalize the proposal through legislation and invites the public to provide input through hearings and events. CP&DR Legal Coverage: Dodger Stadium Gondola Strikes Out in Court In an unpublished ruling, an appellate court has found fault with the environmental impact report for the proposed aerial gondola from Los Angeles Union Station to Dodger Stadium and has ordered LA Metro to redo the EIR. The court found that LA Metro had not sufficiently analyzed noise impacts during the construction period and had failed to adequately consult with the Santa Monica Mountains National Recreation Area, which has jurisdiction over the natural resources in several parks that would be affected by the gondola. But the 119-page ruling was not all bad news for LA Metro, however. The court ruled that a land use inconsistency with the Los Angeles State Historic Park near Chinatown was easily resolved with an amendment to the park's general plan. The court also said Metro had properly analyzed alternatives, including increased bus service from Union Station to the stadium. Quick Hits & Updates Via a recent vote, the Encinitas City Council is supporting a proposed state constitutional amendment that would return housing authority to local governments, aiming to rally other like-minded cities to join their effort. This local pushback highlights a growing movement among some municipalities to oppose pro-housing state laws, even amid lawsuits and rising homelessness in places like Encinitas. The Department of Housing and Community Development revoked Fresno's Prohousing Designation, citing multiple housing policies the city has not passed since the fall 2024 deadline. The Prohousing Designation gives cities and counties the ability to apply for millions of dollars in state housing subsidies and is given to cities and counties the state believes are doing a good job of addressing local housing needs. It is the first such revocation since the program began in 2021. (See related CP&DR coverage .) Developer Paul Petrovich, who previously secured a $26 million settlement from Sacramento, is threatening legal action again after the city denied his request to build 61 single-family homes on land partially zoned for multi-family housing in Crocker Village. City officials and advocates argued the proposal conflicted with policies promoting diverse, transit-accessible housing, while Petrovich and some residents claimed the decision undermines community planning and violates state housing law. (See related CP&DR coverage .) San Francisco officials are advancing a long-stalled plan to redevelop the historic but blighted Alexandria Theater into a new eight-story residential building with 75 homes, while preserving key architectural features. The proposal, backed by Supervisor Connie Chan, includes a three-year deadline for construction to begin and mandates that at least 12% of the units be affordable housing. A Santa Barbara County judge has ordered Sable Offshore Corp. to pause all coastal construction and repairs tied to its offshore oil operations until the company secures proper permits from the California Coastal Commission. This comes after Sable resumed oil production near Refugio State Beach, sparking backlash from environmentalists and regulators. New data from the Bay Area Council business association's Return to Office survey shows more Bay Area workers are returning to the office but most are choosing cars over transit for their commute. While rush hour freeway congestion has returned to pre-pandemic levels, BART is serving 170,000 trips each weekday, down from 400,000 pre-pandemic. Experts posit that the increasing prevalence of hybrid work schedules and flexible hours post-pandemic is changing how commuters use transit. The Lompoc City Council adopted an ordinance to decrease development impact fees for new residential projects from $40,000 to $3,100 per unit to encourage construction of new housing. The move comes as Lompoc attempts to increase its housing supply and attract new development, and Council members stressed the necessity of increasing the housing supply to meet the needs of working families. A report out of UC Berkeley's Terner Center finds that California's affordable housing development process is hindered by the complex "stacking" of multiple funding sources, which increases costs and delays construction. The report recommends consolidating housing planning functions and standardizing applications to improve efficiency, a proposal that aligns with Governor Newsom's plan to streamline housing efforts. Gov. Newsom is pushing for a trailer bill to expedite the Delta Conveyance Project, a $20 billion water rerouting plan, by shortening judicial reviews and eliminating construction deadlines. The project, which has faced opposition from environmental and delta lawmakers, aims to address California's future water supply challenges, but critics argue it is costly and ineffective, while water agencies supporting the project see it as crucial for securing future water supplies. Once a hub of downtown San Diego, Horton Plaza is now facing foreclosure as ambitious redevelopment plans by Stockdale Capital Partners to turn it into a "technology hub" have stall edamid rising costs and debt. The future of the site remains uncertain. (See related CP&DR coverage .)

For the past century or so, two industries have both fueled Los Angeles’s local economy and defined its civic image: Hollywood and real estate. Now that both are faltering, I can’t help but consider some of their perhaps surprising commonalities -- and their woeful indifference to each other. As many non-Angelenos probably don’t know, the most famous architectural symbol of the entertainment industry originally had nothing to do with Hollywood and everything to do with real estate. “Hollywoodland” was a 1920s housing development, advertised by a gigantic mountaintop sign. Eventually, the “LAND” fell down, and the movie studios stuck around. Landmarks aside, what does entertainment have to do with real estate development? Superficially, very little. One is as tangible as they come, while the other flickers through thin air. One is near the very base of Maslow’s hierarchy of needs, providing shelter. The other is, notwithstanding the banality of the Kardashians, a crucial component of self-actualization. One can yield ungodly profits or plunge companies into bankruptcy. So can the other. When L.A. real estate was cheap. For all of their obvious differences, these two industries are unusually kindred spirits. Consider the dramatis personae: Developers and producers instigate the project, create the broad vision, raise the money, and assemble the team. Financiers and investors, through often Byzantine arrangements, put up capital up-front, based on their assessment of trends, taste in source material, demographic research, and, perhaps most importantly, blind trust in their creative teams. Then they wait for returns. Architects and writers draft the projects, with varying measures of creativity and practicality. Engineers make sure the building stands up; cinematographers make sure the camera captures what it needs to. Contractors and their teams of craftspeople and laborers actually build the thing, turning blueprints into framing and drywall. Directors and their teams of craftspeople and laborers shoot the thing, turning scripts into performances and images. The top brass work out of trailers. Around noon, the food trucks show up for everyone else. Fundamentally, entertainment and real estate must predict the future. Projects evolve on the order of years. They are capital-intensive, demanding up-front monies years before revenues come in, depending on the whims of consumers. Some projects appeal to urban aesthetes; others are family-friendly. Ultimately, audiences file into the theater or turn on the TV, inhabiting a fantasy for a little while. Residents and tenants move in, acting out their lives for months, years, or forever. Let’s not forget about some big personalities. Egos rise when you build something 40 stories tall, or when tens of millions of people know your name. The question for the aspiring Los Angeles mogul is, would you rather be an Ozymandias or a Shelley? These connections would amount to fun trivia if both industries were thriving. Alas, they are not -- at least not here. Moviemaking in Los Angeles County is flickering out , with 31% fewer filming days in 2024 compared to 2020. This year is shaping up to be worse . Craftspeople are out of work. Support services like prop shops are closing . CBS recently sold Television City, its West Coast headquarters, which will be redeveloped . At least one entire studio lot -- the historic 20th Century Fox lot, now owned by Disney -- may be vacated , left to an uncertain fate. Not enough action here. It started years ago with "runaway production" -- shooting in Georgia, New Mexico, or Canada, rather than on local sets and locations with local talent – usually because those states and countries offer tax credits and other incentives. These trends have only accelerated with the fragmentation of media, the rise of DIY "content creators" and the placelessness of apps and streaming services. The industry's decline became particularly apparent weeks ago when, chillingly and bizarrely, Pres. Trump mused about putting 100% tariffs on entertainment created elsewhere. (How this would work is beyond me.) Granted, a day of shooting in and of itself has little marginal effect on an economy as big as California’s. But, over time, other places have developed deep local talent pools and sophisticated infrastructure (such as Shadowbox outside Atlanta) on par with, or better than, any of the legacy studios in Los Angeles. It will probably always be the “entertainment capital of the world,” but the devolution of the industry means that the “capital” wields less power, and takes in less revenue, than it used to. One of the reasons production "ran away" in the first place is that the cost of labor in Southern California is exorbitant. It's cheaper to pay gaffers in Atlanta and extras in Vancouver than to pay them for the same work in Hollywood. And why do local people need to earn so much? In large part because the cost of living -- and especially the cost of housing -- is manageable only if you're Bruce Wayne. Housing development trends are in lockstep with entertainment trends. Despite RHNA numbers demanding that Los Angeles add over 400,000 units -- itself a large city -- apartment approvals in Los Angeles hit a 10-year low in 2024, with only 3,860 units approved -- half the number in 2014. Recent research out of the UCLA Luskin School is less than ebullient. Though Los Angeles recently adopted a massive housing-oriented rezoning program, called CHIPS, "Los Angeles will fall far short of its housing production goal" and will risk "displacement of vulnerable households" unless it supplements the rezoning with an "ambitious single-family upzoning policy." All of this arguably was foreshadowed by a massive citywide downzoning effort that took place back when Shampoo was the city's defining movie. More recently, the Hollywood Community Plan--governing development in the actual neighborhood--has been the target of one of the city’s most vicious anti-development lawsuits. It wasn't always thus. Cheap real estate made Hollywood. In previous generations, aspiring actors, craftspeople, and dealmakers gravitated to Los Angeles, living in flophouses, bungalow courts, dingy apartments, and pool houses. They didn't go bankrupt while they went to auditions and worked on their scripts. They probably didn’t pay attention to civic affairs. But they should have. And they definitely should now. On an annual basis, I attend more events related to planning and real estate that I can count. Panel discussions; keynotes; daylong conferences; mixers -- you name it. These events, repetitive though they may be, contemplate how the city should grow; how it should look; who should build it; who should pay for it; and who it should serve. This is heady stuff, and it's relevant to anyone who lives or does business in Los Angeles. How many times have I run into someone from the entertainment industry? How many representatives of production companies or studios? How many agents? How many reps of unions or guilds? Zero. Not a single one. How do I know? Because I keep track. For years, I’ve hoped that, someday, someone would descend from the glitz and be willing to talk about what’s going on in the dirt. I keep waiting for someone in our city’s global, influential, once-wealthy industry to take even a passing interest in the health of the city. But, no. These people make Greta Garbo look like Ryan Seacrest. The metonymy that is Hollywood has taken a woefully dim view of the all-too-real city that hosts it. Bigwigs who live in Bel Air don’t have to care about worldly concerns like workforce housing or civic pride. The last time the real estate industry and Hollywood cooperated with each other was, as CP&DR Publisher Bill Fulton argues in The Reluctant Metropolis , in the development of downtown Los Angeles’s Music Center complex, championed by Buffy Chandler. That was in 1960. Since then, the prevailing indifference is a symptom of a frustratingly tepid civic spirit in Los Angeles. Life here has been easy for too many people and for too long. Now that it's gotten hard, we can either cooperate with each other, or we can retrench further. The latter isn't going to work out well for anyone. The industry recently got some promises from Los Angeles Mayor Karen Bass, and it has been lobbying for help from Sacramento, in the form of Georgia-style tax credits. All of that is... fine. But there's no incentive or tax break that could begin to compensate for the macroeconomic impacts of Los Angeles's bonkers housing market. The question is, has Hollywood or the housing industry missed their cues? Have both entered their Norma Desmond phase? Not if they stop playing make-believe and start getting real. Hollywood needs to wake up. Whatever the civic equivalent of a line of coke is, that's what the industry should be snorting. (Or, more elegantly, it needs another Buffy Chandler.) Then, it might want to apply its powers of messaging and persuasion to this crisis. The need for housing -- via apartments, ADU's, transit-oriented development -- needs to go viral. Ideally, Hollywood should promote exactly the type of neighborhoods that it likes to shoot. Movies and TV shows disproportionately portray busy, walkable, attractive urban neighborhoods (see related CP&DR commentary ) that are easy to create on a studio lot but almost impossible with conventional zoning, financing, and infrastructure. The entertainment industry needs to understand that a cheaper city will also be a more creative city, where artists can thrive without worrying so much about eviction or starvation. A more creative city means better (and maybe more profitable) shows, movies, music, and art. As for what developers and, especially, planners can learn from Hollywood? Let’s face it: planners are, in general, not quite as dynamic as movie stars are, nor are they as tenacious as producers and agents are. A little of that swagger probably wouldn’t hurt. Developers already have it, but they often end up looking like bullies—the proverbial “ greedy developers ”—rather than partners hoping to realize a civic vision. I know it’s become a cliche, but let’s also not discount the importance of storytelling—or at least of clear communication. Whether it’s a mayor articulating a citywide vision for development or a staff planner seeking public input into a project, the sense of drama, conviction, and eloquence that characterizes great entertainment can come in handy. Like actors who shoot 20 takes of the same scene or appear in 100 nights of the same stage play, planners must sell their performances each and every time. Great actors, directors, and writers understand the histories and backstories of their respective performances, and they understand why their characters, plots, and themes are important. Developers and planners need to do the same: they need to understand how projects or plans fit in with greater vision for their respective places. The idea should be to win as many fans as possible. Another thing these two industries share in common: making movies and building buildings are both exceedingly boring . They are long, tedious processes aimed at exciting results. They have that in common with public policy. But, I’m willing to bet that not making movies and not building are even worse. This is the moment when both of these once-great industries, with help from planners, need to recognize their common interests and flip this script. Hooray for Hollywood(land). Image credits:  California Historical Society Digital Archive, via  Waterandpower.org. Coolcaesar - Own work,  CC BY-SA 4.0

This article is brought to you courtesy of the paying subscribers to California Planning & Development Report . You can subscribe to CP&DR by clicking here . You can sign up for CP&DR 's free weekly newsletter here . Self-Certification Movement Spreads to Los Angeles County Los Angeles County has introduced a pilot initiative allowing licensed architects and engineers to self-certify that their building plans comply with county codes, hoping to expedite the rebuilding process in unincorporated areas impacted by recent Eaton and Palisades fires. Despite self-certification, projects still require approval from other departments including Regional Planning, Public Health and Fire Departments before a building permit is issued. Licensed professionals assume full responsibility for compliance fof their plans. The county plans to conduct random audits on plans and inspections throughout construction phases to guarantee compliance. Plans can be submitted via the online portal or at designated One-Stop Permit Centers in Calabasas and Altadena. (See related CP&DR coverage .) S.F. Mayor Seeks to Reduce Commercial Vacancies San Francisco Mayor Dan Lurie introduced legislation aimed at simplifying the city's permitting system in the hopes of supporting small businesses. Under the proposed ordinances, minor upgrades including outdoor seating, signage and minor upgrades would not require permits. The legislation also seeks to broaden the types of businesses allowed in ground-floor spaces to address widespread commercial vacancies. These changes build on earlier reforms expanding service hours, removing minor approval steps and introducing centralized online resources. While the initiative has broad support, some critics voiced concern about limited community impacts and potential impact on neighborhoods facing economic pressure. Menlo Park Ballot Measure Would Quash Housing, Preserve Downtown Parking Save Downtown Menlo Park is seeking to place an initiative on an upcoming ballot requiring voter approval on any city plans to diminish downtown parking. The group, which recently filed a notice of intent with the city of Menlo Park, seeks to halt the proposed development of at least 340 housing units on Parking Plazas 1, 2, and 3 in downtown Menlo Park. Opponents of the project argue that by eliminating over 500 parking places, it would harm nearby small businesses that rely on parking access for patronage and diminish the downtown's capacity as a community center. Save Downtown Menlo Park also sued the city in April to try to stop the project. At least 10% of Menlo Park's roughly 20,000 registered voters must sign the initiative before a measure can be placed on a ballot. Multiple developers have submitted site proposals, and city officials say they will recommend next steps to the city council this month. Texas-Based Plaintiff Seeks to Undo Designation of Chuckwalla National Monument A lawsuit filed in federal court this month seeks to overturn President Biden's creation of the 624,000 acre Chuckwalla National Monument in Southern California, arguing President Biden exceeded the authority of the Antiquities Act, and that the act itself is unconstitutional. The suit, filed by the Texas Public Policy Foundation on behalf of a Michigan resident with mining claims and the BlueRibbon Coalition, claims the designation violates the act's requirement that monuments be limited to the smallest area that meets protection needs. It also claims the monument would place onerous restrictions on Plaintiff Daniel Torongo's mining claims, as well as on outdoor recreation access. Package of Bills to Revitalize Downtowns Introduced in Assembly Assemblymember Matt Haney (D-San Francisco) as Chair of the Downtown Recovery Committee, unveiled a legislative plan to help breathe life back into the state's urban cores. Joined by mayors from across the state and members of the Assembly's Downtown Recovery Committee, Haney, who recently conducted a "tour" of nine downtowns across the state, announced a package of 13 bills--five of which are sponsored by Haney--aimed at reversing high vacancy rates, supporting small businesses, tackling homelessness, and reigniting local economies. The Recovery Committees bill package includes measures to spur infill housing near jobs and transit, streamline approvals for office to housing conversions, support struggling nightlife and entertainment venues, and getting homeless people of the streets and into housing. (See related CP&DR coverage .) CP&DR Coverage: How Feds Could Undermine California Habitat Conservation Plans The Trump Administration has proposed eliminating protection of critical habitat under the Endangered Species Act, which is the foundation of the longstanding system of habitat conservation plans that California has put into place over the last 30 years. It's unclear what the actual impact on California will be given the fact that the state has its own Endangered Species Act, which is in some ways is more stringent than the federal law. But the rule does create uncertainty around the federal habitat conservation plans - as well as state natural communities conservation plans that have been created with federal cooperation - that have shaped private development for decades, especially in Riverside, Orange, and San Diego Counties. In many cases, these conservation plans are now embedded in local general plans as well. The new rule is also aimed partly at federal land, such as land owned by the Bureau of Land Management and the National Forest Service, in order to open up that land for logging, oil drilling, and possibly development of Trump's proposed "freedom towns." Quick Hits & Updates A new report finds that 49 downtown San Francisco properties are prime candidates for conversion into housing, potentially creating up to 4,400 new units under a proposed special financing district. The city hopes to incentivize these projects with long-term developer reimbursements and waiving affordable housing mandates for early projects. A recent survey found rents are rising in most SoCal cities, with only six out of 32 cities surveyed—Temecula, Murrieta, West Covina, Long Beach, Escondido and Santa Clarita—seeing year-over-year declines in April. This time last year, 44% of SoCal areas experienced rent decreases, indicating landlords have regained some pricing power amid increased demand due to unaffordable homeownership and housing losses related to recent wildfires. Former Palm Springs Mayor Steve Pougnet has pled guilty to multiple bribery and corruption charges, admitting he accepted payments in exchange for supporting certain real-estate projects. The payments were alleged to take place between 2012 and 2014 and include up to $375,000 in bribes paid to Pougnet by two developers. California Attorney General Rob Bonta has filed two lawsuits against the Trump administration over a policy that threatens to withhold billions of dollars in transportation and homeland security grants unless states comply with federal immigration enforcement. Bonta argues that this policy unlawfully attempts to coerce states into using their resources for immigration enforcement, as these funds are unrelated to immigration matters and are crucial for public safety and infrastructure. In a leaked email to a donor, the chair of the San Francisco Parks Alliance admitted that the nonprofit misused at least $3.8 million in restricted funds. As the organization collapsed financially, funds designated for specific projects were used to cover operating expenses. Viewed as a critical partner for a wide variety of projects from new parks to habitat restoration, the Alliance now faces calls for a criminal investigation, as well as the possibility of shutting down. According to a report released by Streets for All, proposed state bill SB 79 could generate up to $1 billion annually in property tax revenue for Los Angeles, roughly equivalent to the city's 2025 budget shortfall. A modest growth scenario would generate $200M, more than enough to cover the estimated savings of laying off 1,600 city employees. SB 79 would set minimum zoning densities within a 1/2-mile radius of high quality transit stops, and gives transit agencies more flexibility in developing land they own. The Irvine Company has proposed redeveloping the Oak Creek Golf Course into a 3,100-home village, known as the Irvine Spectrum District Village, situated between Jeffrey Road and Sand Canyon Avenue in Irvine. The plan includes 1,500 single-family homes, 1,600 apartment units, a new school, parks and trail connections, aiming to address the city's housing needs while maintaining proximity to jobs and amenities. Marin County is experiencing a significant outflow of low-income residents due to high housing costs, with data showing the county has the largest rate of negative net migration for low-income households in the Bay Area. This trend is contributing to population losses, school enrollment declines and increasing difficulty for workers to live in the area where they work, further exacerbated by the county's historical resistance to new housing development and policies like rent control. According to the state of the Region 2025 Economic and Election Report, Riverside-San Bernardino-Ontario counties are expected to experience modest economic growth in 2025, driven primarily by the logistics sector and housing demand. While new regulatory changes and uncertainties around tariffs and federal policies could create challenges, lower interest rates will support the housing and construction industries. Despite limited growth in healthcare and education due to state budget constraints, the region is poised to see positive impacts from housing market activity and property tax revenue.

In his “May revise” budget for next year, Gov. Gavin Newsom has proposed creating the long-awaited state vehicle miles traveled mitigation program, with mitigation to be allocated on a region-by-region basis.

This article is brought to you courtesy of the paying subscribers to California Planning & Development Report . You can subscribe to CP&DR by clicking here . You can sign up for CP&DR 's free weekly newsletter here . May Budget Revise: Housing Bills; Coastal Commission Reform; VMT-Oriented Financing In conjunction with his May Budget Revise, Gov. Newsom announced support for a several policies to promote housing development. The Governor is proposing to incorporate two major housing bills into the budget: Senate Bill 607 (Wiener)and Assembly Bill 609 (Wicks), both of which speed CEQA review for infill projects, or exempt them entirely The governor also proposes aligning Coastal Commission permitting timelines to those that apply to other agencies, so that communities in the Coastal Zone are not left behind when it comes to urgently needed housing.The May Revise introduces a financing strategy for developers that links vehicle miles traveled reductions with infill and transit-oriented housing production, further aligning the state's climate goals with housing needs. The May Revision proposes an extension of the Cap-and-Trade program and renaming it the Cap-and-Invest program; it will enable a stable and predictable price on carbon pollution to drive investments in carbon reduction and clean technologies. Extension of this program will result in a continuation of the California Climate Credit, resulting in approximately $60 billion available for utility bill credits, with at least $1 billion annually should be provided for High-Speed Rail. San Diego to Reimagine Civic Center, Including Workforce Housing San Diego's Civic Center will be transformed under a new redevelopment proposal, including plans for affordable housing specifically intended to support teachers, artists, students and working professionals. Led by a coalition of civic, educational and business organizations, the plan reimagines six blocks of city-owned land as mixed-use for culture, education, housing and public life. The vision includes a new 3-acre civic plaza for events, a modern arts and education complex and improved amenities in the hopes of revitalizing downtown San Diego. Over 20 groups contributed to the proposal. Although timelines and costs are still being finalized, early site activation is expected by late 2025, with phased development and a dedicated oversight body in development. Caltrans Complicates Efforts to Build Housing in Woodside The town of Woodside, once criticized for using mountain lions as a reason to avoid building housing, is now battling in favor of an affordable development on a 22-acre state-owned site near Highway 280. The development faces resistance from Caltrans due to the presence of rare and endangered wildflowers. The proposed housing project, hoping to address a state mandate requiring 328 new units, is seen by town leaders as a key opportunity to support local workers who are currently priced out of living in the community. Caltrans has cited the site's ecological sensitivity—including the presence of protected plants—as a reason to delay or potentially block development. Despite initial cooperation, the agency has slowed the process with environmental reviews and concerns about asbestos, leaving town leaders frustrated by what they see as bureaucratic contradictions in California's housing efforts. With few other viable locations, officials argue the housing crisis should outweigh preservation concerns in this particular case. Court Affirms' Cities' Responsibility for Street Safety The California Supreme Court ruled that cities cannot use third-party waivers to avoid responsibility for unsafe street conditions, siding with Oakland cyclist Ty Whitehead, who suffered severe injuries after hitting a pothole. Whitehead had signed a waiver with the AIDS Lifecycle event organizers, but the court determined that the waiver did not extend to the City of Oakland, which was not a party to the agreement. This decision overturned a lower court ruling that had sided with the city and sparked support from several bicycle advocacy groups. While the Supreme Court sent the case back for further proceedings, it clarified that cities still owe a duty of care to maintain safe roadways. In response to the case, Oakland made temporary repairs to Skyline Boulevard, though more lasting improvements may be delayed due to budget constraints. CP&DR Coverage: Trump Could Undermine State Climate Regulations President Donald Trump recently issued an executive order clearly targeting California's climate laws. The result could be that the Administration will go after a wide variety of laws and policies that drive general plans in California. These include e state's policies to limit vehicle miles traveled in laws such as SB 375 and SB 743 as well as the environmental justice requirements contained in SB 1000. The executive order would appear even to give the Administration leeway to target local climate action plans. The executive order specifically called out California's cap-and-trade program, which funds the Affordable Housing and Sustainable Communities funding that affordable housing developers have come to rely on throughout the state. If successful, Trump's attack on California's climate laws could dismantle the entire policy scaffolding of the last 20 years. Quick Hits & Updates Attorney General Rob Bonta's office has warned Stanislaus County that its General Plan and draft Housing Element fail to meet state requirements for environmental justice, climate adaptation and identifying disadvantaged communities. The county has acknowledged the concerns and says it is working on updates, but the state warns that continued delays risk noncompliance with state housing laws. The San Diego City Council has authorized legal action against the San Diego County Local Agency Formation Commission (LAFCO) over its handling of signature verification in a petition to have La Jolla secede from San Diego. Mayor Todd Gloria criticized LAFCO's decision to overturn the county registrar's ruling of insufficient signatures, calling it a threat to public trust and transparency in the process. A voter initiative proposed by The Howard Jarvis Taxpayers Association would tighten tax restrictions on local governments, reaffirming and expanding Proposition 13's protections. If approved, the legislation would target transfer taxes like Measure ULA and close the loophole that allowed the taxes to pass with a simple majority under local voter initiatives. A federal judge has temporarily blocked the Trump administration from enforcing new restrictions on federal housing grants that would ban funding for programs supporting gender identity, abortion access, or undocumented immigrants. The decision follows a lawsuit by San Francisco and other jurisdictions, which argue the conditions are unconstitutional and unrelated to the purpose of the Continuum of Care program. The California Coastal Commission approved Pacifica's use of seawalls and revetments in two areas for up to 20 years as a temporary measure against sea level rise, prompting criticism from both environmental advocates and property-rights supporters. The decision, intended as a compromise, allows time for the city to develop long-term climate adaptation strategies while balancing beach preservation, public access and private property concerns. San Francisco Planning Director Rich Hillis will step down after more than five years in the role, citing the city's solid footing on major projects like rezoning and permitting reforms. Hillis worked for the city for 25 years. The $538.5 million tunnel project connecting Rancho Cucamonga's Metrolink Station to Ontario International Airport advanced after the San Bernardino County Transportation Authority approved its environmental report. The 4.2-mile underground shuttle system will feature three stations and aims to reduce traffic congestion with fuel-free shuttles. The Sacramento Local Agency Formation Commission approved the next steps for a project to develop 472.4 acres of agricultural land into a mixed-use area with warehouses, hotels, restaurants and other businesses. While some residents, including former Mayor Heather Fargo, opposed the project due to concerns about its proximity to schools, environmental impacts and traffic, supporters argued that it would boost job opportunities and strengthen the region's economy. California Attorney General Rob Bonta, alongside 17 other attorneys general, has opposed a new HUD interim rule that weakens requirements for grantees to demonstrate efforts to reduce housing segregation and promote integration. The coalition argues that the rule undermines the Fair Housing Act's mandate to combat discrimination and promote fair housing, potentially impacting efforts to address housing issues in California and beyond. San Francisco, along with other local governments, has filed a lawsuit against the Trump administration over new requirements for Department of Housing and Urban Development (HUD) funding, arguing the conditions could jeopardize federal homelessness grants. The coalition claims the administration lacks the authority to impose these conditions, which could put services for chronically homeless residents at risk, including more than $56 million in HUD funding for San Francisco's homelessness programs. President Trump signed an executive order establishing a "National Warrior Independence Center" at the West Los Angeles Veterans Administration campus to house up to 6,000 homeless veterans, redirecting funds from services for undocumented immigrants to support the initiative. The move comes amid ongoing legal disputes over the VA's use of the land and is seen by some veterans as a long-awaited federal commitment to expanding housing and services for those in need.