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How to get your permits fast or the benefits of using SB-423 in Artesia
Artesia is facing a housing shortage, making it hard for landlords to upgrade their properties or construct new homes. The main issues are long permit approval times and high building costs. One major obstacle has been the discretionary permitting process, where decisions rely on subjective opinions, often causing delays or halting projects altogether. SB-423 introduced a simpler permitting process called the ministerial process to tackle this. This approach allows landlords to bypass lengthy reviews when adding new housing units, making building it faster. The goal is to increase the number of homes available, including more affordable options, to help ease the housing crisis.
What is SB-423 and how it helps Housing Development
SB-423 is a California law designed to simplify the approval process for residential developments with two or more units. Projects that meet specific, clear requirements—such as including affordable housing for low- and middle-income families—can use a faster, ministerial approval process. This law sets deadlines for permit approvals, cutting down the long wait times that often delay housing projects. SB-423 extends the earlier SB-35, which will expire on January 1, 2036—a relatively short timeline given how long construction projects can take.
How is SB-423 different from SB-35?
SB-423 focuses on supporting housing projects that include both affordable and market-rate units, making it easier to meet California's overall housing needs. SB-35, on the other hand, mainly required housing to be affordable for low-income families, which made some projects financially unworkable.
How does SB-423 help projects get permits fast?
SB-423 uses a streamlined process called ministerial approval, where permits are decided based on clear, set rules. This approach prevents government agencies from relying on personal opinions and ensures projects are approved or denied based on specific criteria. Additionally, projects approved this way don’t have to go through environmental reviews under CEQA. In contrast, the traditional discretionary review process involves subjective decisions by local agencies, considering factors like community or environmental impacts, and often requires extra permits, which slows things down.
What can you build under SB-423 in Artesia?
How many units do you need to build so that the project may qualify for SB-423?
The minimum number of units required for SB-423 projects is 2 (two).
Which mixed-use projects qualify under SB-423?
Under SB-423, mixed-use projects qualify if at least two-thirds of the building's total space is dedicated to housing.
Do the affordable unit rules apply?
If you’re building 2-9 units, they can all be market-rate, with no requirement for affordable housing.
For projects with 10 or more units, local affordability rules apply, requiring 10% of the units to be affordable. For rental units, this means the affordable ones must be priced for households earning 50% or less of the area’s median income (AMI). If the units are for ownership, they must be affordable to those earning 80% or less of the AMI.
What are the rights of the protected tenants?
SB-423 protects tenants by prohibiting the demolition of certain housing types. This includes homes rented in the last 10 years, rent-controlled units, or homes with legal affordability restrictions. It also applies to properties where rental housing was demolished within 10 years before applying for SB-423 approval.
What are the labor protections under SB-423?
Under SB-423, labor rules apply only to projects with 10 or more units. These include paying construction workers, including subcontractors, standard wages. For projects with 50 or more units, developers should also join an apprenticeship program and provide healthcare benefits. If the project is taller than 85 feet, not fully affordable, and receives three or more qualifying bids, a skilled workforce must be hired.
Smaller projects with 2-9 units don’t have to meet these labor requirements.
Find out how many units your property can have to qualify for SB-423.
Which areas in Artesia are eligible to get permits fast for a construction project?
Zoning districts eligible for SB-423 projects
Under SB-423, projects can be built in areas zoned for residential or mixed-use development. These locations should be near existing urban areas, with at least 75% of the site bordered by developed land, such as homes, businesses, or public spaces.
What are the rules about historical buildings?
SB-423 does not allow the demolition of historic buildings listed on national, state, or local historic registers.
Does SB-423 allow projects built in high-risk locations?
SB-423 projects cannot be built on earthquake fault zones, high fire hazard areas, flood plains, or floodways. These projects would have to follow the local restrictions.
Are there environmental restrictions?
Projects cannot be placed on prime farmland, wetlands, hazardous waste sites, protected wildlife habitats, or conservation easements.
Are SB-423 projects allowed in coastal zones?
Construction in coastal zones is not allowed until January 1, 2025. After that, projects are only allowed on sites included in certified local coastal programs or land use plans. They cannot be in areas vulnerable to 5 feet of sea level rise, on land not zoned for multi-family housing, within 100 feet of a wetland, or on prime agricultural land.
How fast can you get the permits under SB-423 in Artesia?
Projects that propose 150 units or fewer:
Eligibility Review deadline: 60 days from submittal
Approval deadline, including Design Review: 90 days from submittal
For projects with more than 150 units:
Eligibility Review deadline: 90 days from submittal
Approval deadline, including Design Review: 180 days from submittal
SB-423 project approvals stay valid if the development includes public funding to support housing affordability beyond tax credits and ensures at least 50% of the units are affordable.
Are the pre-submittal requirements necessary?
Yes, before submitting an SB-423 application, the property owner or project sponsor should complete specific steps, which are documented through a "Notice of Intent."
Tribal Notification
The Notice of Intent starts a process where California Native American tribes connected to the project area should be notified. The city has 30 days to send the notice, and the tribes have another 30 days to respond. If a tribe believes the project might impact cultural resources, the developer should work with the tribe to address the issue. If no agreement is reached, the city will declare the project ineligible for SB-423, requiring the developer to follow a different approval process.
Public Meeting Requirements for Certain Areas
For projects in moderate- or low-resource areas or areas with high segregation and poverty, a public meeting should be held within 45 days of submitting the Notice of Intent. This meeting allows residents and officials to share feedback. In large cities (population over 250,000), this is done during a regular Planning Commission meeting. Developers should confirm they attended the meeting and reviewed public input before submitting the SB-423 application. If the local government doesn’t hold the meeting, the developer is responsible for organizing it.
Check SB-423 eligibility for your property.
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