HomeMy WebLinkAboutE.12 Housing Element PowerPoint Presentation (2148023.1)RECONSIDERATION OF ZONING CODE AMENDMENT (ZCA) 26-
02, GENERAL PLAN AMENDMENT (GPA) 26-01, ZONE CHANGE
(ZC) 26-01, AND ENVIRONMENTAL REVIEW (E) 26-03 –
ESTABLISHMENT OF THE R3-40 HIGH DENSITY MULTIPLE
FAMILY RESIDENTIAL DISTRICT AND HOUSING ELEMENT
REZONING
PRESENTED BY:
ADRIAN GUERRA, CITY ATTORNEY
BACKGROUND
•The Amendments would update the City’s
Housing Element to come into compliance
with state law requirements
•City Council denied approval of the 6th Cycle
Housing Element on May 12, 2026
•City Council continued the item to May 26,
2026 for further discussion and potential
reconsideration
Consequences for failure to adopt a compliant
Housing Element
RECOMMENDATION
City staff recommends passing a motion to
reconsider approval of Zoning Code
Amendment (ZCA) 26-02, General Plan
Amendment (GPA) 26-01, Zone Change (ZC)
26-01, and Environmental Review (E) 26-03 –
Establishment of the R3-40 High Density
Multiple Family Residential District and Housing
Element Rezoning
POTENTIAL
CONSEQUENCES
•Risk of litigation (State/HCD, Private Parties, Organizations)
o Payment of City’s attorneys’ fees and very likely payment
of attorneys’ fees and costs by petitioners if City loses
•State/HCD: Huntington Beach faces $3.5 million in
attorney’s fees alone
•String of unsuccessful cases brought by Californians for
Homeownership, Inc.
•Financial penalties
o Penalties may be imposed after:
1.A court finding of noncompliance,
2.Issuance of a compliance order/judgment, and
3.Continued noncompliance for 12 months following
the order (Gov. Code §65585)
o Court may impose fines ranging from $10,000 to
$100,000 per month.
o Fines may increase up to 6x (maximum $600,000 per
month) if noncompliance continues for an additional 6
months
o Huntington Beach: $170,000 in penalties + $50,000 each
month (taxpayers lose $1,600 per day)
POTENTIAL
CONSEQUENCES
CONT.
•Inability to deny new projects inconsistent with General Plan
or Zoning (Builder’s Remedy) and lack of ability to regulate
•Carryover/Combined RHNA from 6th Cycle to 7th Cycle
o Doubles the amount of land that must be zoned to R3-40.
•Loss of permitting authority
o Freezes the City’s ability to issue permits for non-
residential construction or development
•Court receivership
o Courts may appoint a receiver or agent to bring a jurisdiction
into compliance with State Housing Element Law (Gov. Code §§
65585, 65587)
o Typically triggered after:
1.A court finding of noncompliance,
2.Issuance of a compliance order/judgment, and
3.Continued failure to comply with the court order.
•Disqualification from eligibility for state grants
•Repayment of REAP grant fund ($154,000)
MOTION FOR
RECONSIDERATION
AND NEXT STEPS
Motion may only be made by a
member who voted on the prevailing
side of the original action
Motion requires a second, which may
be made by any City Council member
Once the motion is made, it is
debatable but not amendable
If motion passes, continue the matter
to a future re-noticed hearing to
ensure public is properly informed
Final action at continued re-noticed
meeting
QUESTIONS?
Thank you!