Wading Through the New Housing Laws

In the 2025 Session of the California Legislature, nearly 160 housing-related bills were introduced and more than 60 were signed into law.  I’ve attended several seminars that have highlighted a few of the most impactful.  Here is a brief summary:

AB 130 / SB 131 CEQA Reform for Infill Housing:

This landmark change to Gov. Reagan’s 1970 Environmental Law creates a broad exemption for infill housing in defined “urban areas”.  There are limitations as to site area (20 acres), density minimums and time limits for agencies and tribal action.  Other basic limitations include no demolition of a historic structure, no hotel use, 2/3 of the project must be housing, does not specifically require BMR, and must not be in a sensitive area (farmland, wetlands, fire hazard or earthquake fault zone).  There are no wage requirements for projects less than 85’ in height.  It also freezes Building Codes for Model Home projects for 10 years. If your project has a “near miss” in failing to satisfy exactly one criterion, SB 131 allows limited analysis of this one item to possibly permit this exemption.  There are many other qualifications so if seeking this exemption, one must really dig in carefully.

SB 330 Housing Crisis Act of 2019: 

This has been extended indefinitely and is a huge benefit for the Housing Industry.  This effectively “locks in” rules, fees and codes at the time of acceptance of the application. It limits a maximum of five hearings before a project is deemed approved and creates rigid time constraints for applicants and agency action.  Importantly, a city cannot add or delete from the 17 required items on the State application (some try).  It requires cities to develop Objective Design Standards and Checklists (many still have not done this) to get rid of subjective constraints.

AB 712 Enforcement: 

A powerful bargaining chip!   It beefs up protection for applicants where a city has violated law and applies to all public agencies.  The Bill authorizes mandatory fines of a minimum of $10,000 per unit and legal fees if a city violates any Housing Reform Law, including the State Density Bonus Law.  It also addresses agencies that delay projects with continuing “incomplete application” to stall for time.  An agency cannot deny unless there is a specific rationale.  They must have an online checklist in advance by Jan 1, 2026, and cannot be deemed incomplete if all checklist items have been provided.

SB 808 Judicial Review: 

Limits courts to rule within 75 days if a lawsuit is brought against an agency for disapproval and provides definition of disapproval (really only permitted if a project affects public health or safety and must be carefully documented).

AB 920 Centralize Online Portals: 

By January 1, 2028, all cities and counties (150,000+ population) must have online portals with real-time 24/7 tracking.

SB 499:

Requires agencies to publish lists of information required for housing projects online.

AB 1007 Shot Clocks:

Reduces time for “responsible agencies” for comment.  However, Coastal Commission is exempted.

AB 253 Residential Private Permitting Review Act: 

A major permitting‑reform bill intended to speed up residential building permit review by allowing applicants to use licensed private plan checkers when local jurisdictions cannot process applications quickly enough.

While I am no Land Use Attorney, you can contact me if you have any questions. Ron Nestor, AIA | ronn@whainc.com

Ron Nestor