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How to get your permits fast or the benefits of using SB-423 in Bell
Bell is facing a housing shortage, and property owners are having trouble upgrading their properties or building new homes. This is mainly due to a slow permitting process and high development costs. The discretionary permitting process, where decisions are based on personal judgment, has caused delays or even halted projects. SB-423 was introduced to tackle this issue. It offers property owners a faster permitting process called the ministerial process when building new units. This law helps speed up the construction of market-rate homes, which also boosts the availability of affordable housing and helps ease the state's housing shortage.
What is SB-423 and how it helps Housing Development
SB-423 is a California law designed to speed up the approval process for projects that involve building two or more residential units. It allows projects that meet specific requirements, like providing affordable housing for low- and moderate-income residents, to go through a quicker and simpler approval process. The law also sets time limits for permits, helping to avoid the usual delays in housing development. SB-423 builds on an earlier law, SB-35, which will expire on January 1, 2036, a short time considering how long construction projects can take.
How is SB-423 different from SB-35?
SB-423 differs from SB-35 by promoting mixed-income developments, which helps address a wider range of housing needs in California. In contrast, SB-35 mainly focused on low-income housing, which limited some projects.
How does SB-423 help projects get permits fast?
SB-423 allows projects to go through a quicker, more predictable approval process called ministerial approval. The decision to approve or deny a project is based on clear, objective rules, meaning local agencies must follow these guidelines without personal judgment. Projects approved this way don’t need long environmental reviews. In comparison, discretionary review permits allow local agencies to make decisions based on factors like community impact or environmental concerns, often requiring additional permits.
What can you build under SB-423 in Bell?
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?
To qualify under SB-423, at least two-thirds of the building should be used for residential purposes.
Do the affordable unit rules apply?
For projects with 2-9 units, there is no requirement to include affordable units; all the units can be market-rate.
However, for projects with 10 or more units, local rules for affordable housing apply. At least 10% of the units should be affordable. For rental units, the affordable ones should be for households earning 50% or less of the area's median income. For homes being sold, the affordable ones should be for people earning 80% or less of the median income.
What are the rights of the protected tenants?
SB-423 protects tenants by preventing the demolition of certain types of housing, like units that were rented in the last 10 years, rent-controlled units, or housing meant to remain affordable. It also applies to properties where rental housing was demolished in the past 10 years before applying for SB-423 approval.
What are the labor protections under SB-423?
SB-423 has specific labor rules for projects with 10 or more units. These rules ensure that construction workers, including subcontractors, are paid standard wages. For projects with 50 or more units, developers should also join an apprenticeship program and offer healthcare benefits. For projects taller than 85 feet that are not fully affordable, developers should hire skilled workers if the project receives at least three qualified bids.
Projects with 2-9 units are not subject to these labor requirements.
Find out how many units your property can have to qualify for SB-423.
Which areas in Bell are eligible to get permits fast for a construction project?
Zoning districts eligible for SB-423 projects
SB-423 projects can be built in areas designated for residential or mixed-use development. These areas should be near existing urban spaces, with at least 75% of the land’s border next to developed areas like homes, businesses, or public spaces.
What are the rules about historical buildings?
SB-423 prohibits demolishing historic buildings that are 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?
Building in coastal zones is not allowed until January 1, 2025. After that, projects cannot be built in areas not part of a certified coastal program, on land at risk of rising sea levels by five feet, in areas 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 Bell?
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 as long as the development includes public funding for affordable housing (not just tax credits) and at least 50% of the units are affordable.
Are the pre-submittal requirements necessary?
Yes. Before submitting an SB-423 application, the project sponsor or property owner should complete certain steps, which are documented through a "Notice of Intent."
Tribal Notification
The Notice of Intent starts by notifying California Native American tribes that are connected to the project area. The city has 30 days to notify the tribes, and the tribes have another 30 days to respond. If a tribe believes the project could affect their cultural resources, the developer should work with the tribe to find a solution. If no agreement is made, the city will make the project ineligible for SB-423, and the developer will need to seek a different approval process.
Public Meeting Requirements for Certain Areas
If the project is in an area with fewer resources or higher poverty, a public meeting should be held within 45 days of submitting the Notice of Intent. This meeting allows the public and local government to provide feedback. In larger cities (over 250,000 people), the meeting will happen during a regular Planning Commission meeting. The developer should confirm they attended the meeting and reviewed the feedback 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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