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SB-778 Buy Clean California Act: Environmental Product Declarations: concrete.(2021-2022)



Current Version: 06/21/21 - Amended Assembly         Compare Versions information image


SB778:v94#DOCUMENT

Amended  IN  Assembly  June 21, 2021
Amended  IN  Senate  May 03, 2021
Amended  IN  Senate  April 19, 2021
Amended  IN  Senate  April 08, 2021
Amended  IN  Senate  March 11, 2021

CALIFORNIA LEGISLATURE— 2021–2022 REGULAR SESSION

Senate Bill
No. 778


Introduced by Senator Becker

February 19, 2021


An act to amend Section 65852.2 of the Government 3501 of, and to add Section 3503.1 to, the Public Contract Code, relating to land use. public contracts.


LEGISLATIVE COUNSEL'S DIGEST


SB 778, as amended, Becker. Planning and zoning: accessory dwelling units: mixed-use or multifamily structures. Buy Clean California Act: Environmental Product Declarations: concrete.
The State Contract Act governs the bidding and award of public works contracts by specific state departments and requires an awarding department, before entering into any contract for a project, to prepare full, complete, and accurate plans and specifications and estimates of cost. The Buy Clean California Act, requires, among other things, the Department of General Services to establish a maximum acceptable global warming potential for specific eligible materials, which include carbon steel rebar, flat glass, mineral wool board insulation, and structural steel. The Buy Clean California Act requires an awarding authority, as defined, to require a successful bidder to submit a current Environmental Product Declaration, developed in accordance with specified standards, for each type of eligible material proposed to be used on an eligible project, as defined.
This bill would require as part of the Buy Clean California Act, beginning July 1, 2022, an awarding authority to require a successful bidder for a contract for an eligible project, as separately defined for purposes of these requirements, to submit a current Environmental Product Declaration, as defined, for each concrete product before the product is installed in the project, as provided. The bill would require the awarding authority, beginning January 1, 2023, when letting contracts that include concrete for use in an eligible project to require all bids to include the global warming potential, as defined, for each concrete product that will be delivered, the total concrete production CO2e, as defined, for all concrete products included in the bid, and an estimate of delivery emissions, as defined, from transporting the concrete. The bill would require the State Air Resources Board, on or before January 1, 2024, to establish, and the department to publish in the State Contracting Manual, in a department management memorandum, or on the department’s internet website, the maximum global warming potential for concrete at the industry average global warming potential for concrete within each project region and performance class, as provided. The bill would require a successful bidder to demonstrate compliance with these requirements by demonstrating that the global warming potential in the Environmental Product Declarations submitted for each concrete product results in a total concrete production CO2e that is less than or equal to the total concrete production CO2e of its bid and by providing any other documentation required by the department. The bill would require, beginning January 1, 2024, that a bid that includes a concrete product with a global warming potential higher than the maximum acceptable global warming potential for the concrete product’s performance class and project region be disqualified. The bill would require the department to issue guidelines to assist awarding authorities and contracting personnel in implementing these requirements.
This bill would require an awarding authority to apply a low-embodied carbon discount, as defined, of up to 5% of a bid’s concrete price to a bid with low total concrete CO2e, as defined, in comparison to other qualified bids for an eligible project. The bill would also require an awarding authority to apply a breakthrough technology discount, as defined, of up to 3% of a bid’s concrete price to a bid that uses a qualified breakthrough technology, as determined pursuant to criteria developed by the state board on or before January 1, 2023. The bill would require the department, in consultation with the state board, to establish rules and guidelines that include a method for determining the total CO2e expected from the concrete for each bid and for determining how specific discounts shall be determined and applied to a bid, as provided.

Existing law, the Planning and Zoning Law, among other things, provides for the creation of accessory dwelling units by local ordinance, or, if a local agency has not adopted an ordinance, by ministerial approval, in accordance with specified standards and conditions. Existing law requires a local agency to ministerially approve an application for a building permit within a residential or mixed-use zone to create multiple accessory dwelling units within the portions of an existing multifamily dwelling structure that are not used as livable space, if each unit complies with state building standards for dwellings. Existing law requires a local agency to allow at least one accessory dwelling unit within an existing multifamily dwelling structure and up to 25% of the existing multifamily dwelling units.

This bill, until January 1, 2025, would specify that a local agency is required to allow an accessory dwelling unit under these provisions within an existing mixed-use or multifamily structure, and that the accessory dwelling unit may be constructed within portions of the structure used for commercial space, industrial space, retail space, or other vacant space if each unit complies with state building standards for dwellings. The bill would require that any portion of a multifamily dwelling structure or mixed-use structure that is vacant space to have been vacant for at least 6 months before the date of submission of an application for a building permit under these provisions. By adding to the duties of local planning officials with respect to approving accessory dwelling units under these provisions, this bill would impose a state-mandated local program.

The bill would include findings that changes proposed by this bill address a matter of statewide concern rather than a municipal affair and, therefore, apply to all cities, including charter cities.

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.

Vote: MAJORITY   Appropriation: NO   Fiscal Committee: YES   Local Program: YESNO  

The people of the State of California do enact as follows:


SECTION 1.

 Section 3501 of the Public Contract Code is amended to read:

3501.
 For purposes of this section: Unless otherwise provided, the following definitions govern the construction of this article:
(a) “Awarding authority” means any of the following:
(1) A state agency for a contract for a public works project that is subject to the State Contract Act (Chapter 1 (commencing with Section 10100) of Part 2).
(2) The Regents of the University of California for a contract for a public works project that is subject to Chapter 2.1 (commencing with Section 10500) of Part 2.
(3) The Trustees of the California State University for a contract for a public works project that is subject to the California State University Contract Law (Chapter 2.5 (commencing with Section 10700) of Part 2).
(b) “Department” means the Department of General Services.
(c) “Eligible materials” means any of the following:
(1) Carbon steel rebar.
(2) Flat glass.
(3) Mineral wool board insulation.
(4) Structural steel.
(d) “Eligible project” means a project that the awarding authority determines will require eligible materials.
(e) “Greenhouse gas emissions” has the same meaning as defined means emissions of a “greenhouse gas” as set forth in subdivision (g) of Section 38505 of the Health and Safety Code.

SEC. 2.

 Section 3503.1 is added to the Public Contract Code, to read:

3503.1.
 (a) For purposes of this section, the following definitions apply:
(1) “Breakthrough technology” means a technology, method, or product that has the potential to significantly reduce the GWP of concrete once fully commercialized and implemented, but is not yet widely adopted in the market.
(2) “Breakthrough technology discount” means a discount that is applied to one or more bids for an eligible project that incorporates a qualified breakthrough technology.
(3) “CO2e” has the same meaning as “carbon dioxide equivalent” set forth in subdivision (c) of Section 38505 of the Health and Safety Code.
(4) “Concrete” means a structural concrete product, including ready-mix, shotcrete, precast, and concrete masonry units.
(5) “Delivery emissions” means the product of all of the following:
(A) The distance in miles travelled by all concrete mixer trucks or other delivery vehicles used to transport the concrete from a production facility to a job site, including return travel.
(B) The volume of fuel used per mile travelled by all concrete mixer trucks or other delivery vehicles used to transport the concrete.
(C) The CO2e per volume of fuel used by all concrete mixer trucks or other delivery vehicles used to transport concrete, based on the carbon intensity of the fuel used as specified by the Low Carbon Fuel Standard regulations (Subarticle 7 (commencing with Section 95480) of Title 17 of the California Code of Regulations).
(6) “Eligible project” means either of the following:
(A) A project for which bids are requested by an awarding authority before January 1, 2025, that requires 500 cubic yards or more or 1,000 metric tons or more of concrete.
(B) A project for which bids are requested by an awarding authority on or after January 1, 2025, that requires 50 cubic yards or more or 100 metric tons or more of concrete.
(7) (A) “Environmental Product Declaration” means a Type III environmental product declaration, as defined by the International Organization for Standardization (ISO) standard 14025 or a similarly robust life-cycle assessment method that has uniform standards in data collection consistent with ISO standard 14025, industry acceptance, and integrity.
(B) An Environmental Product Declaration shall follow nationally or internationally recognized rules for producing Environmental Product Declarations for the subject material, shall follow standards established for life-cycle analysis material reporting of global warming potentials, and shall conform to ISO standards 14025, 14040, 14044, and 21930.
(C) An Environmental Product Declaration shall make use of supply chain-specific data for input materials whenever this data is available.
(D) For precast concrete products that include materials other than concrete, an Environmental Product Declaration shall only be required for the concrete used in making the precast product.
(E) The State Air Resources Board, in an open public process, may establish additional requirements, if feasible and based on widely available data, for an Environmental Product Declaration required by and submitted pursuant to this section to ensure transparency and a fair comparison of the total concrete production CO2e among bidders. These additional requirements may include, but are not limited to, limiting the use of default values or industry averages and requiring actual data quality assessments, including variability in facility, product, and upstream data for key processes.
(8) “Global warming potential” or “GWP” means the CO2e of concrete as reported in an Environmental Product Declaration.
(9) “Low-embodied carbon discount” means a discount that is applied to one or more bids for an eligible project and that is based on the GWP and delivery emissions of each bid relative to all qualified bids.
(10) “Performance-based specifications” means a contract provision that requires that a structural material achieve specified performance outcomes from the use of the structural material, including, but not limited to, outcomes related to the strength, durability, permeability, or other attributes related to the function of the building material for applied uses, as opposed to requiring that a structural material be produced using a specified manufacturing process, design features, technologies, or proportions of constituent materials.
(11) “Performance class” means a classification applied to a concrete product based on performance criteria, including, but not limited to, its compressive strength and the type of structural concrete product, in order to group together concrete products with similar performance attributes.
(12) “Project region” means the Department of Transportation district in which an eligible project is located.
(13) “Total concrete CO2e” means the sum of the total concrete production CO2e and delivery emissions.
(14) “Total concrete production CO2e” means the CO2e for all concrete products included in a bid. The total concrete production CO2e shall be calculated as the sum of the GWP for each concrete product multiplied by the anticipated amount of that concrete product that will be delivered for the project.
(b) Beginning January 1, 2022, to the extent practicable, an awarding authority shall use only performance-based specifications to describe the requirements for concrete to be used as a structural material when requesting a bid or proposal for a project contract.
(c) Beginning July 1, 2022, an awarding authority shall require a successful bidder for a contract for an eligible project to submit a current Environmental Product Declaration for each concrete product before the product is installed in the project. Until July 1, 2023, an awarding authority may allow a successful bidder up to 90 days after product installation to submit a current Environmental Product Declaration.
(d) On or before January 1, 2023, the department, in consultation with the Department of Transportation, shall establish performance classes for concrete products with similar performance attributes.
(e) (1) Beginning January 1, 2023, when letting contracts that include concrete for use in an eligible project, an awarding authority shall require all bids to include the GWP for each concrete product that will be delivered, the total concrete production CO2e for all concrete products included in the bid, and an estimate of the delivery emissions from transporting the concrete.
(2) Beginning January 1, 2024, a bid that includes a concrete product with a GWP higher than the maximum acceptable GWP for the concrete product’s performance class and project region established pursuant to subdivision (f) shall be disqualified.
(3) (A) For purposes of bid assessment and selection, an awarding authority shall apply a low-embodied carbon discount of up to 5 percent of a bid’s concrete price to a bid with low total concrete CO2e in comparison to other qualified bids for an eligible project.
(B) The department, in consultation with the State Air Resources Board, shall establish rules and guidelines that include both of the following:
(i) A method for determining the total concrete CO2e expected from the concrete for each bid.
(ii) Rules for how specific discounts shall be determined and applied to a bid based on the total concrete CO2e of each bid relative to other qualified bids and relative to the average total concrete CO2e among all qualified bids. The rules developed by the department pursuant to this clause shall include all of the following requirements:
(I) A bid’s total concrete CO2e shall be below the average total concrete CO2e of all qualified bids to receive any discount.
(II) A bid’s total concrete CO2e shall be at least 10 percent below the average total concrete CO2e of all qualified bids to receive the maximum percentage discount.
(III) The bid with the lowest total concrete CO2e shall receive the largest percentage discount among all bids, while proportionally smaller percentage discounts may be applied to some or all of the other bids with total concrete CO2e below the average total concrete CO2e of all qualified bids.
(4) (A) An awarding authority shall additionally apply a breakthrough technology discount of up to 3 percent of a bid’s concrete price to a bid that uses a qualified breakthrough technology.
(B) The department shall establish rules and guidelines pursuant to which specific discounts shall be determined and applied to a bid based on how significant the use of one or more qualified breakthrough technologies is in the concrete to be delivered.
(C) On or before January 1, 2023, the State Air Resources Board shall establish criteria for qualifying a technology, method, or product as a breakthrough technology and shall maintain an annually updated directory of qualified breakthrough technologies on its internet website.
(5) (A) (i) A successful bidder shall comply with this subdivision by demonstrating that the GWP in the Environmental Product Declarations submitted for each concrete product pursuant to subdivision (c) results in a total concrete production CO2e that is less than or equal to the total concrete production CO2e of its bid and by providing any other documentation that the department may require to verify consistency with the delivery emissions provided in the bid.
(ii) For the purpose of determining compliance with this subdivision, the total concrete production CO2e shall be calculated using the same anticipated concrete product volumes that were used at the time of bidding so that changes in actual project volumes do not impact compliance verification.
(B) (i) Failure to comply with subparagraph (A) shall result in a payment deduction. The deduction shall consider the difference between the total concrete CO2e of the bid and the actual total concrete CO2e, including material differences in the GWP of the installed products and delivery emissions.
(ii) An awarding authority may consider whether the bidder was unable to comply with subparagraph (A) due to a disruption in the supply chain for one or more constituent materials that the bidder could neither reasonably foresee nor remedy in a timely fashion.
(6) The department shall issue guidelines to assist awarding authorities and contracting personnel in implementing this subdivision.
(f) (1) (A) On or before January 1, 2024, the State Air Resources Board shall establish, and the department shall publish in the State Contracting Manual, in a department management memorandum, or on the department’s internet website, the maximum acceptable GWP for concrete at the industry average of GWP for concrete within each project region and performance class.
(B) The State Air Resources Board shall determine the industry average GWP for concrete within each project region and performance class by consulting the Environmental Product Declarations submitted pursuant to subdivision (c), the GWP values in competitive bids submitted pursuant to subdivision (e), and other relevant data.
(2) To ensure that the averages used to establish the maximum acceptable GWP values for concrete products reflect the range of reasonably cost-competitive products available in the region, the State Air Resources Board may exclude from its analysis of average GWP values outlier bids submitted pursuant to subdivision (e). For purposes of this paragraph, an “outlier bid” means either of the following:
(A) A bid that includes a concrete price that is at least 20 percent higher than the concrete price in the successful bid.
(B) A bid that the State Air Resources Board otherwise deems uncompetitive.
(3) At least once every three years, the State Air Resources Board shall update the maximum acceptable GWP for concrete within each project region and performance class by following the process established in paragraph (1) and considering data obtained since the prior update. The department shall update the State Contracting Manual, department management memorandum, or department internet website to reflect the adjustments made by the State Air Resources Board.
(g) (1) Beginning January 1, 2024, if a contract for an eligible project is awarded without specifying during the bidding process the amount or GWP for each concrete product that will be delivered pursuant to subdivision (e), the successful bidder shall still comply with the maximum acceptable GWP established pursuant to subdivision (f) for each concrete product that is used in the project.
(2) A successful bidder shall demonstrate compliance with this subdivision by submitting, pursuant to subdivision (c), for each concrete product an Environmental Product Declaration that includes GWP values that are less than or equal to the maximum acceptable GWP established for each concrete product’s project region and performance class pursuant to subdivision (f).
(3) (A) Failure to comply with this subdivision shall result in a payment deduction. The deduction shall consider the total excess CO2e in the installed concrete, which shall be calculated as the difference between the GWP of the concrete installed and the maximum acceptable GWP for each concrete product’s project region and performance class, multiplied by the total amount of each concrete product installed.
(B) An awarding authority may consider whether the bidder was unable to comply with this subdivision due to a disruption in the supply chain for one or more constituent materials that the successful bidder could neither reasonably foresee nor remedy in a timely fashion.
(h) The department shall maintain a publicly accessible database with projects anonymized to report the GWP data contained in all bids and Environmental Product Declarations submitted pursuant to subdivisions (c) and (e). The department may contract with a qualified third party to create and maintain the database.
(i) This section does not apply to an eligible project if the awarding authority determines, upon written justification published on its internet website, that requiring concrete to meet the requirements of this section would be technically infeasible, would significantly delay project completion, or would result in only one producer being able to provide the concrete needed by the eligible project.
(j) This section does not apply if the awarding authority determines that an emergency exists, as defined in Section 1102, or that any of the circumstances described in subdivisions (a) to (d), inclusive, of Section 10122 exist.

SECTION 1.Section 65852.2 of the Government Code, as amended by Section 3.5 of Chapter 198 of the Statutes of 2020, is amended to read:
65852.2.

(a)(1)A local agency may, by ordinance, provide for the creation of accessory dwelling units in areas zoned to allow single-family or multifamily dwelling residential use. The ordinance shall do all of the following:

(A)Designate areas within the jurisdiction of the local agency where accessory dwelling units may be permitted. The designation of areas may be based on the adequacy of water and sewer services and the impact of accessory dwelling units on traffic flow and public safety. A local agency that does not provide water or sewer services shall consult with the local water or sewer service provider regarding the adequacy of water and sewer services before designating an area where accessory dwelling units may be permitted.

(B)(i)Impose standards on accessory dwelling units that include, but are not limited to, parking, height, setback, landscape, architectural review, maximum size of a unit, and standards that prevent adverse impacts on any real property that is listed in the California Register of Historic Resources. These standards shall not include requirements on minimum lot size.

(ii)Notwithstanding clause (i), a local agency may reduce or eliminate parking requirements for any accessory dwelling unit located within its jurisdiction.

(C)Provide that accessory dwelling units do not exceed the allowable density for the lot upon which the accessory dwelling unit is located, and that accessory dwelling units are a residential use that is consistent with the existing general plan and zoning designation for the lot.

(D)Require the accessory dwelling units to comply with all of the following:

(i)The accessory dwelling unit may be rented separate from the primary residence, but may not be sold or otherwise conveyed separate from the primary residence.

(ii)The lot is zoned to allow single-family or multifamily dwelling residential use and includes a proposed or existing dwelling.

(iii)The accessory dwelling unit is either attached to, or located within, the proposed or existing primary dwelling, including attached garages, storage areas or similar uses, or an accessory structure or detached from the proposed or existing primary dwelling and located on the same lot as the proposed or existing primary dwelling.

(iv)If there is an existing primary dwelling, the total floor area of an attached accessory dwelling unit shall not exceed 50 percent of the existing primary dwelling.

(v)The total floor area for a detached accessory dwelling unit shall not exceed 1,200 square feet.

(vi)No passageway shall be required in conjunction with the construction of an accessory dwelling unit.

(vii)No setback shall be required for an existing living area or accessory structure or a structure constructed in the same location and to the same dimensions as an existing structure that is converted to an accessory dwelling unit or to a portion of an accessory dwelling unit, and a setback of no more than four feet from the side and rear lot lines shall be required for an accessory dwelling unit that is not converted from an existing structure or a new structure constructed in the same location and to the same dimensions as an existing structure.

(viii)Local building code requirements that apply to detached dwellings, as appropriate.

(ix)Approval by the local health officer where a private sewage disposal system is being used, if required.

(x)(I)Parking requirements for accessory dwelling units shall not exceed one parking space per accessory dwelling unit or per bedroom, whichever is less. These spaces may be provided as tandem parking on a driveway.

(II)Off­street parking shall be permitted in setback areas in locations determined by the local agency or through tandem parking, unless specific findings are made that parking in setback areas or tandem parking is not feasible based upon specific site or regional topographical or fire and life safety conditions.

(III)This clause shall not apply to an accessory dwelling unit that is described in subdivision (d).

(xi)When a garage, carport, or covered parking structure is demolished in conjunction with the construction of an accessory dwelling unit or converted to an accessory dwelling unit, the local agency shall not require that those offstreet parking spaces be replaced.

(xii)Accessory dwelling units shall not be required to provide fire sprinklers if they are not required for the primary residence.

(2)The ordinance shall not be considered in the application of any local ordinance, policy, or program to limit residential growth.

(3)A permit application for an accessory dwelling unit or a junior accessory dwelling unit shall be considered and approved ministerially without discretionary review or a hearing, notwithstanding Section 65901 or 65906 or any local ordinance regulating the issuance of variances or special use permits. The permitting agency shall act on the application to create an accessory dwelling unit or a junior accessory dwelling unit within 60 days from the date the local agency receives a completed application if there is an existing single-family or multifamily dwelling on the lot. If the permit application to create an accessory dwelling unit or a junior accessory dwelling unit is submitted with a permit application to create a new single-family dwelling on the lot, the permitting agency may delay acting on the permit application for the accessory dwelling unit or the junior accessory dwelling unit until the permitting agency acts on the permit application to create the new single-family dwelling, but the application to create the accessory dwelling unit or junior accessory dwelling unit shall be considered without discretionary review or hearing. If the applicant requests a delay, the 60-day time period shall be tolled for the period of the delay. If the local agency has not acted upon the completed application within 60 days, the application shall be deemed approved. A local agency may charge a fee to reimburse it for costs incurred to implement this paragraph, including the costs of adopting or amending any ordinance that provides for the creation of an accessory dwelling unit.

(4)An existing ordinance governing the creation of an accessory dwelling unit by a local agency or an accessory dwelling ordinance adopted by a local agency shall provide an approval process that includes only ministerial provisions for the approval of accessory dwelling units and shall not include any discretionary processes, provisions, or requirements for those units, except as otherwise provided in this subdivision. If a local agency has an existing accessory dwelling unit ordinance that fails to meet the requirements of this subdivision, that ordinance shall be null and void and that agency shall thereafter apply the standards established in this subdivision for the approval of accessory dwelling units, unless and until the agency adopts an ordinance that complies with this section.

(5)No other local ordinance, policy, or regulation shall be the basis for the delay or denial of a building permit or a use permit under this subdivision.

(6)This subdivision establishes the maximum standards that local agencies shall use to evaluate a proposed accessory dwelling unit on a lot that includes a proposed or existing single-family dwelling. No additional standards, other than those provided in this subdivision, shall be used or imposed, including any owner-occupant requirement, except that a local agency may require that the property be used for rentals of terms longer than 30 days.

(7)A local agency may amend its zoning ordinance or general plan to incorporate the policies, procedures, or other provisions applicable to the creation of an accessory dwelling unit if these provisions are consistent with the limitations of this subdivision.

(8)An accessory dwelling unit that conforms to this subdivision shall be deemed to be an accessory use or an accessory building and shall not be considered to exceed the allowable density for the lot upon which it is located, and shall be deemed to be a residential use that is consistent with the existing general plan and zoning designations for the lot. The accessory dwelling unit shall not be considered in the application of any local ordinance, policy, or program to limit residential growth.

(b)When a local agency that has not adopted an ordinance governing accessory dwelling units in accordance with subdivision (a) receives an application for a permit to create an accessory dwelling unit pursuant to this subdivision, the local agency shall approve or disapprove the application ministerially without discretionary review pursuant to subdivision (a). The permitting agency shall act on the application to create an accessory dwelling unit or a junior accessory dwelling unit within 60 days from the date the local agency receives a completed application if there is an existing single-family or multifamily dwelling on the lot. If the permit application to create an accessory dwelling unit or a junior accessory dwelling unit is submitted with a permit application to create a new single-family dwelling on the lot, the permitting agency may delay acting on the permit application for the accessory dwelling unit or the junior accessory dwelling unit until the permitting agency acts on the permit application to create the new single-family dwelling, but the application to create the accessory dwelling unit or junior accessory dwelling unit shall still be considered ministerially without discretionary review or a hearing. If the applicant requests a delay, the 60-day time period shall be tolled for the period of the delay. If the local agency has not acted upon the completed application within 60 days, the application shall be deemed approved.

(c)(1)Subject to paragraph (2), a local agency may establish minimum and maximum unit size requirements for both attached and detached accessory dwelling units.

(2)Notwithstanding paragraph (1), a local agency shall not establish by ordinance any of the following:

(A)A minimum square footage requirement for either an attached or detached accessory dwelling unit that prohibits an efficiency unit.

(B)A maximum square footage requirement for either an attached or detached accessory dwelling unit that is less than either of the following:

(i)850 square feet.

(ii)1,000 square feet for an accessory dwelling unit that provides more than one bedroom.

(C)Any other minimum or maximum size for an accessory dwelling unit, size based upon a percentage of the proposed or existing primary dwelling, or limits on lot coverage, floor area ratio, open space, and minimum lot size, for either attached or detached dwellings that does not permit at least an 800 square foot accessory dwelling unit that is at least 16 feet in height with four-foot side and rear yard setbacks to be constructed in compliance with all other local development standards.

(d)Notwithstanding any other law, a local agency, whether or not it has adopted an ordinance governing accessory dwelling units in accordance with subdivision (a), shall not impose parking standards for an accessory dwelling unit in any of the following instances:

(1)The accessory dwelling unit is located within one-half mile walking distance of public transit.

(2)The accessory dwelling unit is located within an architecturally and historically significant historic district.

(3)The accessory dwelling unit is part of the proposed or existing primary residence or an accessory structure.

(4)When onstreet parking permits are required but not offered to the occupant of the accessory dwelling unit.

(5)When there is a car share vehicle located within one block of the accessory dwelling unit.

(e)(1)Notwithstanding subdivisions (a) to (d), inclusive, a local agency shall ministerially approve an application for a building permit within a residential or mixed-use zone to create any of the following:

(A)One accessory dwelling unit and one junior accessory dwelling unit per lot with a proposed or existing single-family dwelling if all of the following apply:

(i)The accessory dwelling unit or junior accessory dwelling unit is within the proposed space of a single-family dwelling or existing space of a single-family dwelling or accessory structure and may include an expansion of not more than 150 square feet beyond the same physical dimensions as the existing accessory structure. An expansion beyond the physical dimensions of the existing accessory structure shall be limited to accommodating ingress and egress.

(ii)The space has exterior access from the proposed or existing single-family dwelling.

(iii)The side and rear setbacks are sufficient for fire and safety.

(iv)The junior accessory dwelling unit complies with the requirements of Section 65852.22.

(B)One detached, new construction, accessory dwelling unit that does not exceed four-foot side and rear yard setbacks for a lot with a proposed or existing single-family dwelling. The accessory dwelling unit may be combined with a junior accessory dwelling unit described in subparagraph (A). A local agency may impose the following conditions on the accessory dwelling unit:

(i)A total floor area limitation of not more than 800 square feet.

(ii)A height limitation of 16 feet.

(C)(i)Multiple accessory dwelling units within the portions of existing multifamily dwelling structures or mixed-use structures that are not used as livable space, including, but not limited to, storage rooms, boiler rooms, passageways, attics, basements, garages, commercial space, industrial space, retail space, or other vacant space if each unit complies with state building standards for dwellings. Any portion of a multifamily dwelling structure or mixed-use structure that is vacant space shall have been vacant for at least six months before the date of submission of an application for a building permit pursuant to this subparagraph.

(ii)A local agency shall allow at least one accessory dwelling unit within an existing multifamily dwelling and shall allow up to 25 percent of the existing multifamily dwelling units as accessory dwelling units.

(D)Not more than two accessory dwelling units that are located on a lot that has an existing multifamily dwelling, but are detached from that multifamily dwelling and are subject to a height limit of 16 feet and four-foot rear yard and side setbacks.

(2)A local agency shall not require, as a condition for ministerial approval of a permit application for the creation of an accessory dwelling unit or a junior accessory dwelling unit, the correction of nonconforming zoning conditions.

(3)The installation of fire sprinklers shall not be required in an accessory dwelling unit if sprinklers are not required for the primary residence.

(4)A local agency shall require that a rental of the accessory dwelling unit created pursuant to this subdivision be for a term longer than 30 days.

(5)A local agency may require, as part of the application for a permit to create an accessory dwelling unit connected to an onsite wastewater treatment system, a percolation test completed within the last five years, or, if the percolation test has been recertified, within the last 10 years.

(6)Notwithstanding subdivision (c) and paragraph (1) a local agency that has adopted an ordinance by July 1, 2018, providing for the approval of accessory dwelling units in multifamily dwelling structures shall ministerially consider a permit application to construct an accessory dwelling unit that is described in paragraph (1), and may impose standards including, but not limited to, design, development, and historic standards on said accessory dwelling units. These standards shall not include requirements on minimum lot size.

(f)(1)Fees charged for the construction of accessory dwelling units shall be determined in accordance with Chapter 5 (commencing with Section 66000) and Chapter 7 (commencing with Section 66012).

(2)An accessory dwelling unit shall not be considered by a local agency, special district, or water corporation to be a new residential use for purposes of calculating connection fees or capacity charges for utilities, including water and sewer service, unless the accessory dwelling unit was constructed with a new single-family dwelling.

(3)(A)A local agency, special district, or water corporation shall not impose any impact fee upon the development of an accessory dwelling unit less than 750 square feet. Any impact fees charged for an accessory dwelling unit of 750 square feet or more shall be charged proportionately in relation to the square footage of the primary dwelling unit.

(B)For purposes of this paragraph, “impact fee” has the same meaning as the term “fee” is defined in subdivision (b) of Section 66000, except that it also includes fees specified in Section 66477. “Impact fee” does not include any connection fee or capacity charge charged by a local agency, special district, or water corporation.

(4)For an accessory dwelling unit described in subparagraph (A) of paragraph (1) of subdivision (e), a local agency, special district, or water corporation shall not require the applicant to install a new or separate utility connection directly between the accessory dwelling unit and the utility or impose a related connection fee or capacity charge, unless the accessory dwelling unit was constructed with a new single-family home.

(5)For an accessory dwelling unit that is not described in subparagraph (A) of paragraph (1) of subdivision (e), a local agency, special district, or water corporation may require a new or separate utility connection directly between the accessory dwelling unit and the utility. Consistent with Section 66013, the connection may be subject to a connection fee or capacity charge that shall be proportionate to the burden of the proposed accessory dwelling unit, based upon either its square feet or the number of its drainage fixture unit (DFU) values, as defined in the Uniform Plumbing Code adopted and published by the International Association of Plumbing and Mechanical Officials, upon the water or sewer system. This fee or charge shall not exceed the reasonable cost of providing this service.

(g)This section does not limit the authority of local agencies to adopt less restrictive requirements for the creation of an accessory dwelling unit.

(h)(1)A local agency shall submit a copy of the ordinance adopted pursuant to subdivision (a) to the Department of Housing and Community Development within 60 days after adoption. After adoption of an ordinance, the department may submit written findings to the local agency as to whether the ordinance complies with this section.

(2)(A)If the department finds that the local agency’s ordinance does not comply with this section, the department shall notify the local agency and shall provide the local agency with a reasonable time, no longer than 30 days, to respond to the findings before taking any other action authorized by this section.

(B)The local agency shall consider the findings made by the department pursuant to subparagraph (A) and shall do one of the following:

(i)Amend the ordinance to comply with this section.

(ii)Adopt the ordinance without changes. The local agency shall include findings in its resolution adopting the ordinance that explain the reasons the local agency believes that the ordinance complies with this section despite the findings of the department.

(3)(A)If the local agency does not amend its ordinance in response to the department’s findings or does not adopt a resolution with findings explaining the reason the ordinance complies with this section and addressing the department’s findings, the department shall notify the local agency and may notify the Attorney General that the local agency is in violation of state law.

(B)Before notifying the Attorney General that the local agency is in violation of state law, the department may consider whether a local agency adopted an ordinance in compliance with this section between January 1, 2017, and January 1, 2020.

(i)The department may review, adopt, amend, or repeal guidelines to implement uniform standards or criteria that supplement or clarify the terms, references, and standards set forth in this section. The guidelines adopted pursuant to this subdivision are not subject to Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2.

(j)As used in this section, the following terms mean:

(1)“Accessory dwelling unit” means an attached or a detached residential dwelling unit that provides complete independent living facilities for one or more persons and is located on a lot with a proposed or existing primary residence. It shall include permanent provisions for living, sleeping, eating, cooking, and sanitation on the same parcel as the single-family or multifamily dwelling is or will be situated. An accessory dwelling unit also includes the following:

(A)An efficiency unit.

(B)A manufactured home, as defined in Section 18007 of the Health and Safety Code.

(2)“Accessory structure” means a structure that is accessory and incidental to a dwelling located on the same lot.

(3)“Efficiency unit” has the same meaning as defined in Section 17958.1 of the Health and Safety Code.

(4)“Living area” means the interior habitable area of a dwelling unit, including basements and attics, but does not include a garage or any accessory structure.

(5)“Local agency” means a city, county, or city and county, whether general law or chartered.

(6)“Nonconforming zoning condition” means a physical improvement on a property that does not conform to current zoning standards.

(7)“Passageway” means a pathway that is unobstructed clear to the sky and extends from a street to one entrance of the accessory dwelling unit.

(8)“Proposed dwelling” means a dwelling that is the subject of a permit application and that meets the requirements for permitting.

(9)“Public transit” means a location, including, but not limited to, a bus stop or train station, where the public may access buses, trains, subways, and other forms of transportation that charge set fares, run on fixed routes, and are available to the public.

(10)“Tandem parking” means that two or more automobiles are parked on a driveway or in any other location on a lot, lined up behind one another.

(k)A local agency shall not issue a certificate of occupancy for an accessory dwelling unit before the local agency issues a certificate of occupancy for the primary dwelling.

(l)Nothing in this section shall be construed to supersede or in any way alter or lessen the effect or application of the California Coastal Act of 1976 (Division 20 (commencing with Section 30000) of the Public Resources Code), except that the local government shall not be required to hold public hearings for coastal development permit applications for accessory dwelling units.

(m)A local agency may count an accessory dwelling unit for purposes of identifying adequate sites for housing, as specified in subdivision (a) of Section 65583.1, subject to authorization by the department and compliance with this division.

(n)In enforcing building standards pursuant to Article 1 (commencing with Section 17960) of Chapter 5 of Part 1.5 of Division 13 of the Health and Safety Code for an accessory dwelling unit described in paragraph (1) or (2) below, a local agency, upon request of an owner of an accessory dwelling unit for a delay in enforcement, shall delay enforcement of a building standard, subject to compliance with Section 17980.12 of the Health and Safety Code:

(1)The accessory dwelling unit was built before January 1, 2020.

(2)The accessory dwelling unit was built on or after January 1, 2020, in a local jurisdiction that, at the time the accessory dwelling unit was built, had a noncompliant accessory dwelling unit ordinance, but the ordinance is compliant at the time the request is made.

(o)This section shall remain in effect only until January 1, 2025, and as of that date is repealed.

SEC. 2.

The Legislature finds and declares that Section 1 of this act amending Section 65852.2 of the Government Code addresses a matter of statewide concern rather than a municipal affair as that term is used in Section 5 of Article XI of the California Constitution. Therefore, Section 1 of this act applies to all cities, including charter cities.

SEC. 3.

No reimbursement is required by this act pursuant to Section 6 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 17556 of the Government Code.