The California Department of Housing and Community Development (HCD) announced that $26 million in Senate Bill (SB) 2 planning grant money has been awarded to 114 cities and counties throughout the state. An additional $70 million in awards is currently pending. Meanwhile, five more local governments received state-approval of their housing plans (Housing Elements) and are now eligible to apply for SB 2 planning grants.

“Governor Newsom’s Administration continues to make progress in the effort to bring more housing, including affordable housing, to California,” said Alexis Podesta, Secretary of the Business, Consumer Services and Housing Agency, which oversees HCD. “Local governments are set to receive a new infusion of funds to plan for and accelerate housing, thanks to the Governor’s historic $1 billion investment in housing in the 2019 Budget Act.”

SB 2, the Building Homes and Jobs Act (2017), established a $75 recording fee on certain real estate documents to be used for planning grants in its first year, and for affordable homes in subsequent years. SB 2 Planning Grants provide cities and counties funding to help prepare, adopt, and implement plans and process improvements that streamline housing approvals and accelerate housing production.

Bradbury, Needles, Plumas County, Pomona, and San Juan Bautista Now Compliant with California Housing Element Law

In response to Governor Newsom’s meeting with mayors earlier this year, Bradbury, Needles, Plumas County, Pomona, and San Juan Bautista have joined the growing list of jurisdictions that now have HCD-approved housing plans (Housing Elements). Of the 47 jurisdictions that were out of compliance, 16 now have state-approved housing plans.

Cities and counties must incorporate a variety of strategies into their housing plans to show they can meet their communities’ housing needs. For example, Needles’ housing plan includes rezoning in the downtown area to promote mixed-use development — housing with retail on ground floor — as well as rezoning to allow emergency shelters to use a streamlined approval process — known as “by-right” — in which projects that comply with zoning/land-use standards receive approval without a discretionary review, thereby speeding up production. San Juan Bautista’s plan includes rezoning land to accommodate both affordable housing and emergency shelters.

For more information on SB 2 Planning Grants, visit the SB 2 Planning Grants webpage or contact HCD at sb2planninggrant@hcd.ca.gov.