City Beat
Senate Bill 330
and its Impact
of Morgan Hill
Housing
By Maureen Tobin,
Communications & Engagement Manager
B
eginning on January 1, 2020,
a new State Housing Law,
Senate Bill 330, suspends
Morgan Hill’s voter-approved
growth control system and permits all
housing growth. Last fall, Governor
Gavin Newsom signed into law SB
330, “The Housing Crisis Act of 2019.”
As enacted, SB 330 is intended to
accelerate housing construction across
the State.
• SB 330 only requires objective
design criteria when permitting
a development; subjective design
judgments such as look, feel, and
character of design are up to the
developer. occupy the unit. Examples of just cause
include nonpayment of rent, habitual
late payment, or frequent bounced
checks. In these cases, relocation pay-
ments to tenants may apply. This bill is
intended to phase out in 2030.
• Previous growth control require-
ments that would have limited
density are suspended and property
development may construct to maxi-
mum density. Accessory Dwelling Units
(ADUs)
• Certain development fees normally
paid are suspended under SB 330.
How Does SB 330
Affect Morgan Hill?
SB 330 suspends Morgan Hill’s Resi-
dential Development Control System
(RDCS), currently known as Measure S,
for five years (2020-2025). The voter-
approved RDCS had been in place for
more than 40 years. Under the new
legislation, the City cannot control the
pace or number of housing permits
issued each year. It means that an
unlimited number of residential permits
may be issued, and the permitting
process overall must be expedited as
quickly as possible.
What Does This Mean to
Morgan Hill residents?
• There will be fewer public hearings
and community outreach related to
residential development and growth
control.
• Certain parking requirements
normally required for projects
constructed near bus/train transit
corridors are restricted/limited
under SB 330.
Density Bonus
New Housing Legislation:
Tenant Rent Protections
Tenants will be provided new rental
protections by Assembly Bill (AB) 1482
and Senate Bill 329. Beginning on
January 1, 2020, all residential proper-
ties with two units or more, that are
16 years or older, will be restricted
from raising annual rents by more than
5 percent plus inflation. In addition,
landlords will have certain obligations
to provide extended notice of rent
increases. Landlords will be limited to
just-cause eviction of tenants unless the
property is undergoing extensive reha-
bilitation or a family member intends to
GILROY • MORGAN HILL • SAN MARTIN
WINTER 2020
ADUs sometimes called “Granny Flats”
received development assistance and
streamlining from local requirements/
processes through four major bills: AB
881, AB 68, SB 13 and AB 670. Collec-
tively, these laws limit local government
review and regulation in several ways.
For more information visit California’s
webpage for legislative information:
leginfo.legislature.ca.gov/.
State Density Bonus Law, AB 1763,
also saw some significant changes.
Affordable housing projects near transit,
train or bus, may seek unlimited
additional density beyond what has
been established by the City of Morgan
Hill General Plan. Anywhere else in the
City may be granted up to 80 percent
additional density. In addition, projects
may receive waivers/exemptions from
parking, side yard, setback and height
requirements. While AB 1763 is in
force, the City has no authority to
disapprove a project that seeks to use
the density bonus.
Fremont Peak
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