CALIFORNIA LEGISLATURE 20232024 REGULAR SESSION Assembly Bill No. 1764Introduced by Committee on Housing and Community Development (Assembly Members Wicks (Chair), Joe Patterson (Vice Chair), Wendy Carrillo, Gabriel, Kalra, Quirk-Silva, Sanchez, and Ward)March 16, 2023 An act to amend Sections 5103 and 5105 of the Civil Code, to amend Sections 65912.101, 65912.114, and 65912.124 of the Government Code, and to amend Sections 18062.8, 50091, and 50468 of the Health and Safety Code, relating to housing. LEGISLATIVE COUNSEL'S DIGESTAB 1764, as introduced, Committee on Housing and Community Development. Housing omnibus. (1) Existing law, the Davis-Stirling Common Interest Development Act, regulates common interest developments. Existing law provides procedures governing the election of members of the board of directors of common interest development associations. Existing law authorizes an association to impose certain qualification requirements on a nominee for a board seat, including requiring a nominee to have been a member for at least one year, and disqualifying a nominee for a past criminal conviction that would, if the nominee were elected, either prevent the association from purchaing certain required insurance or terminate the associations exisiting required insurance coverage, as specified. Under this bill, an association that disqualifies a nominee pursuant to the above-described provisions would be required in its election rules to require a director to comply with the same requirements.Under existing law, if there are not more qualified candidates than vacancies, an association is authorized to consider the candidates elected by acclamation if, among other conditions, the association permits all candidates to run if nominated. However, an association is authorized to disqualify a nominee who has served the maximum number of terms or sequential terms allowed by the association.This bill, instead, would require an association to disqualify that nominee. Under the bill, a director who ceases to be a member of the association would be disqualified from continuing to serve as a director.(2) Existing law, the Affordable Housing and High Road Jobs Act of 2022, until January 1, 2033, establishes a streamlined development process for affordable housing developments that meet specified objective standards and affordability and site criteria, including, for certain developments, that the project site abuts a commercial corridor, as specified, and the property meets certain setback standards depending on, among other factors, the portion of the property that fronts a side street. Existing law defines commercial corridor for purposes of that act to mean a highway that is not a freeway and that has a right-of-way, as defined in a specified Vehicle Code provision, of at least 70 and not greater than 150 feet. Existing law also defines side street under the act to mean a highway that is not a freeway that has a right-of-way, as defined in that Vehicle Code provision, of at least 25 and fewer than 70 feet.This bill would delete from the definitions of commercial corridor and side street the references to that Vehicle Code provision defining right-of-way. The bill would also correct cross-references in the act.(3) Existing law, the Manufactured Housing Act of 1980, prohibits a manufacturer or distributor licensed under the act from increasing the prices of manufactured homes, mobilehomes, or commercial coaches that the dealer ordered for private retail consumers before the dealers receipt of the written official price increase notification. Under existing law, a sales contract signed by a private retail consumer constitutes evidence of each order.This bill would delete the above provision on a sales contract constituting evidence of each order.(4) Existing law authorizes the Department of Housing and Community Development to provide financial assistance to certain households in purchasing a home, as specified. Existing law also authorizes the department to provide financial assistance to nonprofit corporations and stock cooperative corporations to develop or purchase a mobilehome park, ownership of which will be transferred to persons and families of low or moderate income. Existing law prohibits a limited equity housing cooperative from being deemed to be a nonprofit for the purpose of these provisions.This bill would delete the above provision that prohibits a limited equity housing cooperative from being deemed a nonprofit for that purpose.(5) Existing law establishes various programs and funding sources administered by the Department of Housing and Community Development to enable the development of affordable housing, including the Affordable Housing and Sustainable Communities Program, the Multifamily Housing Program, the Housing for a Healthy California Program, the Veterans Housing and Homeless Prevention Act of 2014, and the HOME Investment Partnership Program.Existing law prohibits the department from requiring, for a unit subject to a qualified project rental or operating subsidy, a reserve account or a set aside of funds accruing to the benefit of a particular affordable rental housing development to address the impacts on tenants of a loss or exhaustion of a rental or operating subsidy. Existing law, instead, establishes the continuously appropriated Pooled Transition Reserve Fund, which consists of, among other moneys, fees charged by the department to projects that receive qualified project rental or operating subsidies at the time of permanent loan closing, as specified, for the purpose of mitigating the impacts on tenant rents from the loss or exhaustion of a qualified project rental or an operating subsidy. Existing law defines qualified project rental or operating subsidy under these provisions to include, among other assistance, the local rental housing subsidy programs operated by the City and County of San Francisco and the City of Los Angeles.This bill would revise that part of the definition to instead include a local rental housing subsidy program operated by the City and County of San Francisco or the County of Los Angeles.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: NO Bill TextThe people of the State of California do enact as follows:SECTION 1. Section 5103 of the Civil Code is amended to read:5103. Notwithstanding the secret balloting requirement in Section 5100, or any contrary provision in the governing documents, when, as of the deadline for submitting nominations provided for in subdivision (a) of Section 5115, the number of qualified candidates is not more than the number of vacancies to be elected, as determined by the inspector or inspectors of the elections, the association may, but is not required to, consider the qualified candidates elected by acclamation if all of the following conditions have been met:(a) The association has held a regular election for the directors in the last three years. The three-year time period shall be calculated from the date ballots were due in the last full election to the start of voting for the proposed election.(b) The association provided individual notice of the election and the procedure for nominating candidates as follows:(1) Initial notice at least 90 days before the deadline for submitting nominations provided for in subdivision (a) of Section 5115. The initial notice shall include all of the following:(A) The number of board positions that will be filled at the election.(B) The deadline for submitting nominations.(C) The manner in which nominations can be submitted.(D) A statement informing members that if, at the close of the time period for making nominations, there are the same number or fewer qualified candidates as there are board positions to be filled, then the board of directors may, after voting to do so, seat the qualified candidates by acclamation without balloting.(2) A reminder notice between 7 and 30 days before the deadline for submitting nominations provided for in subdivision (a) of Section 5115. The reminder notice shall include all of the following:(A) The number of board positions that will be filled at the election.(B) The deadline for submitting nominations.(C) The manner in which nominations can be submitted.(D) A list of the names of all of the qualified candidates to fill the board positions as of the date of the reminder notice.(E) A statement reminding members that if, at the close of the time period for making nominations, there are the same number or fewer qualified candidates as there are board positions to be filled, then the board of directors may, after voting to do so, seat the qualified candidates by acclamation without balloting. This statement is not required if, at the time the reminder notice will be delivered, the number of qualified candidates already exceeds the number of board positions to be filled.(c) (1) The association provides, within seven business days of receiving a nomination, a written or electronic communication acknowledging the nomination to the member who submitted the nomination.(2) The association provides, within seven business days of receiving a nomination, a written or electronic communication to the nominee, indicating either of the following:(A) The nominee is a qualified candidate for the board of directors.(B) The nominee is not a qualified candidate for the board of directors, the basis for the disqualification, and the procedure, which shall comply with Article 2 (commencing with Section 5900) of Chapter 10, by which the nominee may appeal the disqualification.(3) The association may combine the written or electronic communication described in paragraphs (1) and (2) into a single written or electronic communication if the nominee and the nominator are the same person.(d) (1) The association permits all candidates to run if nominated, except for nominees disqualified for running as allowed or required pursuant to subdivisions (b) to (e), inclusive, of Section 5105.(2)Notwithstanding paragraph (1), an association may disqualify a nominee if the person has served the maximum number of terms or sequential terms allowed by the association.(3)(2) If an association disqualifies a nominee pursuant to this subdivision, an association in its election rules shall also require a director to comply with the same requirements.(e) The association board votes to consider the qualified candidates elected by acclamation at a meeting pursuant to Article 2 (commencing with Section 4900) for which the agenda item reflects the name of each qualified candidate that will be seated by acclamation if the item is approved.SEC. 2. Section 5105 of the Civil Code is amended to read:5105. (a) An association shall adopt operating rules in accordance with the procedures prescribed by Article 5 (commencing with Section 4340) of Chapter 3, that do all of the following:(1) Ensure that if any candidate or member advocating a point of view is provided access to association media, newsletters, or internet websites during a campaign, for purposes that are reasonably related to that election, equal access shall be provided to all candidates and members advocating a point of view, including those not endorsed by the board, for purposes that are reasonably related to the election. The association shall not edit or redact any content from these communications, but may include a statement specifying that the candidate or member, and not the association, is responsible for that content.(2) Ensure access to the common area meeting space, if any exists, during a campaign, at no cost, to all candidates, including those who are not incumbents, and to all members advocating a point of view, including those not endorsed by the board, for purposes reasonably related to the election.(3) Specify the qualifications for candidates for the board and any other elected position, subject to subdivision (b), and procedures for the nomination of candidates, consistent with the governing documents. A nomination or election procedure shall not be deemed reasonable if it disallows any member from nominating themself for election to the board.(4) Specify the voting power of each membership, the authenticity, validity, and effect of proxies, and the voting period for elections, including the times at which polls will open and close, consistent with the governing documents.(5) Specify a method of selecting one or three independent third parties as inspector or inspectors of elections utilizing one of the following methods:(A) Appointment of the inspector or inspectors by the board.(B) Election of the inspector or inspectors by the members of the association.(C) Any other method for selecting the inspector or inspectors.(6) Allow the inspector or inspectors to appoint and oversee additional persons to verify signatures and to count and tabulate votes as the inspector or inspectors deem appropriate, provided that the persons are independent third parties who meet the requirements in subdivision (b) of Section 5110.(7) Require retention of, as association election materials, both a candidate registration list and a voter list. The candidate list shall include name and address of individuals nominated as a candidate for election to the board of directors. The voter list shall include name, voting power, and either the physical address of the voters separate interest, the parcel number, or both. The mailing address for the ballot shall be listed on the voter list if it differs from the physical address of the voters separate interest or if only the parcel number is used. The association shall permit members to verify the accuracy of their individual information on both lists at least 30 days before the ballots are distributed. The association or member shall report any errors or omissions to either list to the inspector or inspectors who shall make the corrections within two business days.(b) An association shall disqualify a person from a nomination as a candidate for not being a member of the association at the time of the nomination. An association shall disqualify a nominee if that person has served the maximum number of terms or sequential terms allowed by the association. A director who ceases to be a member shall be disqualified from continuing to serve as a director.(1) This subdivision does not restrict a developer from making a nomination of a nonmember candidate consistent with the voting power of the developer as set forth in the regulations of the Department of Real Estate and the associations governing documents.(2) If title to a separate interest parcel is held by a legal entity that is not a natural person, the governing authority of that legal entity shall have the power to appoint a natural person to be a member for purposes of this article.(c) Through its bylaws or election operating rules adopted pursuant to subdivision (a) of Section 5105 only, an association may disqualify a person from nomination as a candidate pursuant to any of the following:(1) Subject to paragraph (2) of subdivision (d), an association may require a nominee for a board seat, and a director during their board tenure, to be current in the payment of regular and special assessments, which are consumer debts subject to validation. If an association requires a nominee to be current in the payment of regular and special assessments, it shall also require a director to be current in the payment of regular and special assessments.(2) An association may disqualify a person from nomination as a candidate if the person, if elected, would be serving on the board at the same time as another person who holds a joint ownership interest in the same separate interest parcel as the person and the other person is either properly nominated for the current election or an incumbent director.(3) An association may disqualify a nominee if that person has been a member of the association for less than one year.(4) An association may disqualify a nominee if that person discloses, or if the association is aware or becomes aware of, a past criminal conviction that would, if the person was elected, either prevent the association from purchasing the insurance required by Section 5806 or terminate the associations existing insurance coverage required by Section 5806 as to that person should the person be elected.(d) An association may disqualify a person from nomination for nonpayment of regular and special assessments, but may not disqualify a nominee for nonpayment of fines, fines renamed as assessments, collection charges, late charges, or costs levied by a third party. The person shall not be disqualified for failure to be current in payment of regular and special assessments if either of the following circumstances is true:(1) The person has paid the regular or special assessment under protest pursuant to Section 5658.(2) The person has entered into and is in compliance with a payment plan pursuant to Section 5665.(e) An association shall not disqualify a person from nomination if the person has not been provided the opportunity to engage in internal dispute resolution pursuant to Article 2 (commencing with Section 5900) of Chapter 10.(f) If an association disqualifies a nominee pursuant to this section, an association in its election rules shall also require a director to comply with the same requirements.(f)(g) Notwithstanding any other law, the rules adopted pursuant to this section may provide for the nomination of candidates from the floor of membership meetings or nomination by any other manner. Those rules may permit write-in candidates for ballots.(g)(h) Notwithstanding any other law, the rules adopted pursuant to this section shall do all of the following:(1) Prohibit the denial of a ballot to a member for any reason other than not being a member at the time when ballots are distributed.(2) Prohibit the denial of a ballot to a person with general power of attorney for a member.(3) Require the ballot of a person with general power of attorney for a member to be counted if returned in a timely manner.(4) Require the inspector or inspectors of elections to deliver, or cause to be delivered, at least 30 days before an election, to each member both of the following documents:(A) The ballot or ballots.(B) A copy of the election operating rules. Delivery of the election operating rules may be accomplished by either of the following methods:(i) Posting the election operating rules to an internet website and including the corresponding internet website address on the ballot together with the phrase, in at least 12-point font: The rules governing this election may be found here:(ii) Individual delivery.(h)(iii) Election operating rules adopted pursuant to this section shall not be amended less than 90 days prior to an election.SEC. 3. Section 65912.101 of the Government Code is amended to read:65912.101. For purposes of this chapter, the following terms have the following meanings:(a) Commercial corridor means a highway, as defined in Section 360 of the Vehicle Code, that is not a freeway, as defined in Section 332 of the Vehicle Code, and that has a right-of-way, as defined in Section 525 of the Vehicle Code, right-of-way of at least 70 and not greater than 150 feet.(b) Development proponent means a developer who submits a housing development project application to a local government under the streamlined, ministerial review process pursuant to this chapter.(c) Extremely low income households has the same meaning as defined in Section 50106 of the Health and Safety Code.(d) Health care expenditures include contributions under Sections 501(c) or (d) or 401(a) of the Internal Revenue Code and payments toward medical care as defined under Section 213(d)(1) of the Internal Revenue Code.(e) Housing development project has the same meaning as defined in Section 65589.5.(f) Industrial use means utilities, manufacturing, transportation storage and maintenance facilities, and warehousing uses. Industrial use does not include power substations or utility conveyances such as power lines, broadband wires, and pipes.(g) Local affordable housing requirement means either of the following:(1) A local government requirement, as a condition of development of residential units, that a housing development project include a certain percentage of units affordable to, and occupied by, extremely low, very low, lower, or moderate-income households as a condition of development of residential units.(2) A local government requirement allowing a housing development project to be a use by right if the project includes a certain percentage of units affordable to, and occupied by, extremely low, very low, lower, or moderate-income households as a condition of development of residential units.(h) Local government means a city, including a charter city, a county, including a charter county, or a city and county, including a charter city and county.(i) Lower income households has the same meaning as defined in Section 50079.5 of the Health and Safety Code.(j) Major transit stop has the same meaning as defined in subdivision (b) of Section 21155 of the Public Resources Code.(k) Moderate-income households means households of persons and families of moderate income, as defined in Section 50093 of the Health and Safety Code.(l) Multifamily means a property with five or more housing units for sale or for rent.(m) Neighborhood plan means a specific plan adopted pursuant to Article 8 (commencing with Section 65450) of Chapter 3, or an area plan, precise plan, urban village plan, or master plan that has been adopted by a local government.(n) Principally permitted use means a use that may occupy more than one-third of the square footage of designated use on the site and does not require a conditional use permit.(o) Side street means a highway, as defined in Section 360 of the Vehicle Code, that is not a freeway, as defined in Section 332 of the Vehicle Code, and that has a right-of-way, as defined in Section 525 of the Vehicle Code, right-of-way of at least 25 and fewer than 70 feet.(p) Urban uses means any current or former residential, commercial, public institutional, transit or transportation passenger facility, or retail use, or any combination of those uses.(q) Use by right means a development project that satisfies both of the following conditions:(1) The development project does not require a conditional use permit, planned unit development permit, or other discretionary local government review.(2) The development project is not a project for purposes of Division 13 (commencing with Section 21000) of the Public Resources Code.(r) Very low income households has the same meaning as defined in Section 50105 of the Health and Safety Code.SEC. 4. Section 65912.114 of the Government Code is amended to read:65912.114. (a) (1) If the local government determines that a development submitted pursuant to this article is consistent with the objective planning standards specified in this article, it shall approve the development.(2) If a local government determines that a development submitted pursuant to this article is in conflict with any of the objective planning standards specified in this article, it shall provide the development proponent written documentation of which standard or standards the development conflicts with, and an explanation for the reason or reasons the development conflicts with that standard or standards, within the following timeframes:(A) Within 60 days of submittal of the development proposal to the local government if the development contains 150 or fewer housing units.(B) Within 90 days of submittal of the development proposal to the local government if the development contains more than 150 housing units.(b) If the local government fails to provide the required documentation pursuant to subdivision (a), the development shall be deemed to satisfy the required objective planning standards.(c) (1) For purposes of this section, a development is consistent with the objective planning standards if there is substantial evidence that would allow a reasonable person to conclude that the development is consistent with the objective planning standards.(2) For purposes of this section, a development is not in conflict with the objective planning standards solely on the basis that application materials are not included, if the application contains substantial evidence that would allow a reasonable person to conclude that the development is consistent with the objective planning standards.(d) The determination of whether a proposed project submitted pursuant to this section is or is not in conflict with the objective planning standards is not a project as defined in Section 21065 of the Public Resources Code.(e) Design review of the development may be conducted by the local governments planning commission or any equivalent board or commission responsible for review and approval of development projects, or the city council or board of supervisors, as appropriate. That design review shall be objective and be strictly focused on assessing compliance with criteria required for streamlined, ministerial review of projects, as well as any reasonable objective design standards published and adopted by ordinance or resolution by a local jurisdiction before submittal of the development to the local government, and shall be broadly applicable to developments within the jurisdiction. That design review shall be completed as follows and shall not in any way inhibit, chill, or preclude the ministerial approval provided by this section or its effect, as applicable:(1) Within 90 days of submittal of the development proposal to the local government pursuant to this section if the development contains 150 or fewer housing units.(2) Within 180 days of submittal of the development proposal to the local government pursuant to this section if the development contains more than 150 housing units.(f) A development proposed pursuant to this article shall be eligible for a density bonus, incentives or concessions, waivers or reductions of development standards, and parking ratios pursuant to Section 65915.(g) The local government shall ensure that the project satisfies the requirements specified in subdivision (d) of Section 66300, regardless of whether the development is within or not within an affected city or within or not within an affected county.(h) If the development is consistent with all objective subdivision standards in the local subdivision ordinance, an application for a subdivision pursuant to the Subdivision Map Act (Division 2 (commencing with Section 66410)) shall be exempt from the requirements of the California Environmental Quality Act (Division 13 (commencing with Section 21000) of the Public Resources Code).(i) A local government may exempt a parcel from this section before a development proponent submits a development application on a parcel pursuant to this article if the local government makes written findings establishing all of the following:(1) The local government has identified one or more parcels that meet the criteria described in subdivisions (b) through (f) of Section 65912.111.(2) (A) If a parcel identified in paragraph (1) would not otherwise be eligible for development pursuant to this chapter, the local government has permitted the parcel to be developed pursuant to the requirements of this chapter.(B) If a parcel identified in paragraph (1) would otherwise be eligible for development pursuant to this chapter, the local government has permitted residential densities above the residential density required in subdivision (b) of Section 65912.113.(3) The development of the parcel or parcels pursuant to paragraph (3) (2) will result in all of the following:(A) No net loss of the total potential residential density in the jurisdiction.(B) No net loss of the potential residential density of housing affordable to lower income households in the jurisdiction.(C) Affirmative furthering of fair housing.(j) A local governments approval of a development pursuant to this section shall, notwithstanding any other law, be subject to the expiration timeframes specified in subdivision (f) of Section 65913.4.(k) Any proposed modifications to a development project approved pursuant to this section shall be undertaken pursuant to subdivision (g) of Section 65913.4.(l) A local government shall not adopt or impose any requirement, including, but not limited to, increased fees or inclusionary housing requirements, that applies to a project solely or partially on the basis that the project is eligible to receive streamlined, ministerial review pursuant to this section.(m) A local government shall issue a subsequent permit required for a development approved under this section pursuant to paragraph (2) of subdivision (h) of Section 65913.4.(n) A public improvement that is necessary to implement a development that is approved pursuant to this section shall be undertaken pursuant to paragraph (3) of subdivision (h) of Section 65913.4.(o) A local government may adopt an ordinance to implement the provisions of this article. An ordinance adopted to implement this section shall not be considered a project under Division 13 (commencing with Section 21000) of the Public Resources Code.SEC. 5. Section 65912.124 of the Government Code is amended to read:65912.124. (a) (1) If the local government determines that a development submitted pursuant to this article is consistent with the objective planning standards specified in this article, it shall approve the development.(2) If a local government determines that a development submitted pursuant to this article is in conflict with any of the objective planning standards specified in this article, it shall provide the development proponent written documentation of which standard or standards the development conflicts with, and an explanation for the reason or reasons the development conflicts with that standard or standards, within the following timeframes:(A) Within 60 days of submittal of the development proposal to the local government if the development contains 150 or fewer housing units.(B) Within 90 days of submittal of the development proposal to the local government if the development contains more than 150 housing units.(b) If the local government fails to provide the required documentation pursuant to subdivision (a), the development shall be deemed to satisfy the required objective planning standards.(c) (1) For purposes of this section, a development is consistent with the objective planning standards if there is substantial evidence that would allow a reasonable person to conclude that the development is consistent with the objective planning standards.(2) For purposes of this section, a development is not in conflict with the objective planning standards solely on the basis that application materials are not included, if the application contains substantial evidence that would allow a reasonable person to conclude that the development is consistent with the objective planning standards.(d) The determination of whether a proposed project submitted pursuant to this section is or is not in conflict with the objective planning standards is not a project as defined in Section 21065 of the Public Resources Code.(e) Design review of the development may be conducted by the local governments planning commission or any equivalent board or commission responsible for review and approval of development projects, or the city council or board of supervisors, as appropriate. That design review shall be objective and be strictly focused on assessing compliance with criteria required for streamlined, ministerial review of projects, as well as any reasonable objective design standards published and adopted by ordinance or resolution by a local jurisdiction before submittal of the development to the local government, and shall be broadly applicable to developments within the jurisdiction. That design review shall be completed as follows and shall not in any way inhibit, chill, or preclude the ministerial approval provided by this section or its effect, as applicable:(1) Within 90 days of submittal of the development proposal to the local government pursuant to this section if the development contains 150 or fewer housing units.(2) Within 180 days of submittal of the development proposal to the local government pursuant to this section if the development contains more than 150 housing units.(f) A housing development proposed pursuant to this article shall be eligible for a density bonus, incentives or concessions, waivers or reductions of development standards, and parking ratios pursuant to Section 65915, except that the project shall not use a concession to reduce a local government requirement for the provision of ground floor retail that is consistent with the allowance contained in paragraph (3) of subdivision (j) of Section 65912.123.(g) The local government shall ensure that the project satisfies the requirements specified in subdivision (d) of Section 66300, regardless of whether the development is within or not within an affected city or within or not within an affected county.(h) If the development is consistent with all objective subdivision standards in the local subdivision ordinance, an application for a subdivision pursuant to the Subdivision Map Act (Division 2 (commencing with Section 66410)) shall be exempt from the requirements of the California Environmental Quality Act (Division 13 (commencing with Section 21000) of the Public Resources Code).(i) A local government may exempt a parcel from this section before a development proponent submits a development application on a parcel pursuant to this article if the local government makes written findings establishing all of the following:(1) The local government has identified a parcel or parcels that meet the criteria described in subdivisions (b) and (e) to (h), inclusive, of Section 65912.121.(2) (A) If a parcel identified in paragraph (1) would not otherwise be eligible for development pursuant to this chapter, the local government has permitted the parcel to be developed pursuant to the requirements of this chapter.(B) If a parcel identified in paragraph (1) would otherwise be eligible for development pursuant to this chapter, the local government has permitted residential densities above the residential density required in subdivision (b) of Section 65912.123 and heights required in subdivision (c) of Section 65912.123.(3) The development of the parcel or parcels pursuant to paragraph (3) (2) will result in all of the following:(A) No net loss of the total potential residential density in the jurisdiction.(B) No net loss of the potential residential density of housing affordable to lower income households in the jurisdiction.(C) Affirmative furthering of fair housing.(j) A local governments approval of a development pursuant to this section shall, notwithstanding any other law, be subject to the expiration timeframes specified in subdivision (f) of Section 65913.4.(k) Any proposed modifications to a development project approved pursuant to this section shall be undertaken pursuant to subdivision (g) of Section 65913.4.(l) A local government shall not adopt or impose any requirement, including, but not limited to, increased fees or inclusionary housing requirements, that applies to a project solely or partially on the basis that the project is eligible to receive streamlined, ministerial review pursuant to this section.(m) A local government shall issue a subsequent permit required for a development approved under this section pursuant to paragraph (2) of subdivision (h) of Section 65913.4.(n) A public improvement that is necessary to implement a development that is approved pursuant to this section shall be undertaken pursuant to paragraph (3) of subdivision (h) of Section 65913.4.(o) A local government may adopt an ordinance to implement the provisions of this article. An ordinance adopted to implement this section shall not be considered a project under Division 13 (commencing with Section 21000) of the Public Resources Code.SEC. 6. Section 18062.8 of the Health and Safety Code is amended to read:18062.8. It is unlawful for any manufacturer or distributor licensed under this part to do any of the following:(a) Refuse or fail to deliver, in reasonable quantities and within a reasonable time after receipt of an order from a dealer having a franchise for the retail sale of any new manufactured home, mobilehome, or commercial coach sold or distributed by the manufacturer or distributor, any new manufactured home, mobilehome, or commercial coach or parts or accessories to new manufactured homes, mobilehomes, or commercial coaches that are covered by the franchise, if the mobilehome or commercial coach, parts or accessories are publicly advertised as being available for delivery or actually being delivered. This subdivision is not violated, however, if the failure is caused by acts or causes beyond the control of the manufacturer or distributor.(b) Prevent or require or attempt to prevent or require, by contract or otherwise, any change in the capital structure of a dealership, if the dealer at all times meets any reasonable capital standards agreed to by the dealer and the manufacturer or distributor, and also provided that no change in capital structure shall cause a change in the principal management or have the effect of a sale of the franchise without the consent of the manufacturer or distributor.(c) Prevent or require, or attempt to prevent or require, a dealer to change the executive management of a dealership, other than the principal dealership operator or operators, if the franchise was granted the dealer in reliance upon the personal qualifications of that person or persons.(d) Prevent or require, or attempt to prevent or require, by contract or otherwise, any dealer, or any officer, partner, or stockholder of any dealership, to participate in the sale or transfer of any part of the interest of any of them to any other person or persons. No dealer, officer, partner, or stockholder shall, however, have the right to sell, transfer, or assign the franchise, or any right thereunder, without the consent of the manufacturer or distributor if the consent is not unreasonably withheld.(e) Prevent, or attempt to prevent, a dealer from receiving fair and reasonable compensation for the value of the franchised business. There shall be no transfer or assignment of the dealers franchise without the consent of the manufacturer or distributor, if the consent is not unreasonably withheld.(f) Obtain money, goods, services, or any other benefit from any other person with whom the dealer does business, on account of, or in relation to, the transaction between the dealer and any other person, other than for compensation for services rendered, unless the benefit is promptly accounted for, and transmitted to, the dealer.(g) Require a dealer to prospectively assent to a release, assignment, novation, waiver, or estoppel that would relieve any person from liability imposed by this part or to require any controversy between a dealer and a manufacturer or distributor to be referred to any person other than the department, if the referral would be binding on the dealer. This subdivision does not, however, prohibit arbitration before an independent arbitrator.(h) Increase the prices of manufactured homes, mobilehomes, or commercial coaches that the dealer ordered for private retail consumers prior to the dealers receipt of the written official price increase notification. A sales contract signed by a private retail consumer shall constitute evidence of each order. In the event of manufacturer price reductions, the amount of any reduction received by a dealer shall be passed on to the private retail consumer by the dealer if the retail price was negotiated on the basis of the previous higher price to the dealer. Price reductions shall apply to all manufactured homes, mobilehomes, and commercial coaches in the dealers inventory that were subject to the price reduction. A price difference applicable to new model or series manufactured homes, mobilehomes, or commercial coaches at the time of the introduction of new models or series shall not be considered a price increase or price decrease. Price changes caused by either of the following shall not be subject to this subdivision:(1) The addition to a manufactured home, mobilehome, or commercial coach of required or optional equipment pursuant to state or federal law.(2) Revaluation of the United States dollar, in the case of foreign-made manufactured homes, mobilehomes, or commercial coaches.(i) Fail to pay to a dealer, within a reasonable time following receipt of a valid claim by a dealer thereof, any payment agreed to be made by the manufacturer or distributor to the dealer by reason of the fact that a new manufactured home, mobilehome, or commercial coach of a prior year model is in the dealers inventory at the time of introduction of new model manufactured homes, mobilehomes, or commercial coaches. A manufacturer or distributor shall not authorize or enable any new model to be delivered by dealers at retail more than 30 days prior to the eligibility date of the model change allowance payment for prior year model manufactured homes, mobilehomes, or commercial coaches.(j) Deny, to the surviving spouse or heirs designated by a deceased owner of a dealership, the opportunity to participate in the ownership of the dealership or successor dealership under a valid franchise for a reasonable time after the death of the owner.(k) Offer any refunds or other types of inducements to any dealer or other person for the purchase of new manufactured homes, mobilehomes, or commercial coaches of a certain make and model to be sold to the state or any political subdivision of the state without making the same offer to all other dealers in the same make and model within the relevant market area.(l) Employ a person as a distributor who has not been licensed pursuant to this chapter.(m) Deny any dealer the right of free association with any other dealer for any lawful purpose.(n) Compete with a dealer in the same make and model operating under an agreement or franchise from a manufacturer or distributor in the relevant market area. A manufacturer or distributor shall not, however, be deemed to be competing when operating a dealership either temporarily for a reasonable period, or in a bona fide retail operation that is for sale to any qualified independent person at a fair and reasonable price, or in a bona fide relationship in which an independent person has made a significant investment subject to loss in the dealership and can reasonably expect to acquire full ownership of the dealership on reasonable terms and conditions.(o) Unfairly discriminate among its franchisees with respect to warranty reimbursement or authority granted its franchisees to make warranty adjustments with retail customers.(p) Sell manufactured homes, mobilehomes, or commercial coaches to persons not licensed under this part for resale, except as authorized pursuant to Section 18015.7 or 18062.9.(q) Fail to exercise reasonable supervision over the activities of employees who negotiate or promote the sale of manufactured homes, mobilehomes, or commercial coaches.SEC. 7. Section 50091 of the Health and Safety Code is amended to read:50091. Nonprofit housing sponsor or nonprofit corporation means a nonprofit corporation incorporated pursuant to Division 2 (commencing with Section 5000) of Title 1 of the Corporations Code or a corporation or association that is, or will be qualified as, a cooperative housing corporation for purposes of subdivision (a) of Section 17265 of the Revenue and Taxation Code, a nonprofit student housing cooperative, or a limited equity housing cooperative and that is certified by the agency as qualified to own a housing development if financed or assisted by the agency. However, a limited equity housing cooperative shall not be deemed to be nonprofit for the purpose of Chapter 10 (commencing with Section 50775). A nonprofit corporation shall also include a tribally designated housing entity as defined in Section 4103 of Title 25 of the United States Code and Section 50104.6.5.SEC. 8. Section 50468 of the Health and Safety Code is amended to read:50468. (a) The department shall not require a project-specific transition reserve for any unit subject to a qualified project rental or operating subsidy.(b) The Pooled Transition Reserve Fund is hereby created within the State Treasury and, notwithstanding Section 13340 of the Government Code, is continuously appropriated to the department for the purpose of establishing and maintaining a pooled transition reserve. The fund shall consist of all of the following:(1) Fees charged by the department to projects that receive qualified project rental or operating subsidies at the time of permanent loan closing.(2) Upon appropriation by the Legislature, moneys from the General Fund or other funds.(3) Moneys from any other source, including from any private donation or grant made for the purposes of this part.(c) The department may charge a fee to each project that receives qualified project rental or operating subsidies at the time of permanent loan closing, not to exceed the reasonable costs of the department to capitalize the reserve fund and cover administrative costs. All fees shall be deposited in the Pooled Transition Reserve Fund and used for the purposes of this section. The department may capitalize the fees authorized by this subdivision as necessary to ensure the financial feasibility and long-term affordability of the multifamily housing project, in which case funds may be transferred to the Pooled Transition Reserve Fund at the time of permanent loan closing.(d) (1) Project-specific transition reserve means a reserve account or a set aside of funds accruing to the benefit of a particular affordable rental housing development to address the impacts on tenants of a loss or exhaustion of a rental or operating subsidy.(2) Pooled transition reserve means a fund or account established and maintained by the department to mitigate, with respect to residential dwelling units described in subdivision (e), the impacts on tenant rents from the loss or exhaustion of a qualified project rental or an operating subsidy.(3) Qualified project rental or operating subsidy means federally originated rental assistance or operating subsidies, the a local rental housing subsidy programs program operated by the City and County of San Francisco and or the City County of Los Angeles, or other means of rental assistance or operating assistance identified by the department.(e) This section shall apply to units of a multifamily housing project financed by any program administered by the department, for which permanent loan closing has not occurred prior to January 1, 2023, including, but not limited to, all of the following:(1) The competitive component of the Building Homes and Jobs Act (Chapter 2.5 (commencing with Section 50470)).(2) The Joe Serna, Jr. Farmworker Housing Grant Program (Chapter 3.2 (commencing with Section 50515.2)).(3) The Multifamily Housing Program (Chapter 6.7 (commencing with Section 50675)).(4) The Transit-Oriented Development Implementation Program (Part 13 (commencing with Section 53560)).(5) Housing for a Healthy California Program (Part 14.2 (commencing with Section 53590)).(6) The Veterans Housing and Homeless Prevention Act of 2014 (Article 3.2 (commencing with Section 987.001) of Chapter 6 of Division 4 of the Military and Veterans Code).(7) The Affordable Housing and Sustainable Communities Program (Part 1 (commencing with Section 75200) of Division 44 of the Public Resources Code).(8) The No Place Like Home Program (Part 3.9 (commencing with Section 5849.1) of Division 5 of the Welfare and Institutions Code).(9) The federal Community Development Block Grant Program (42 U.S.C. Sec. 5301 et seq.).(10) The federal HOME Investment Partnership Program (42 U.S.C. Sec. 12721 et seq.).(11) The National Housing Trust Fund established pursuant to the federal Housing and Economic Recovery Act of 2008 (Public Law 110-289), and implementing federal regulations.(f) The department may review, adopt, amend, and repeal guidelines to implement uniform standards or criteria that supplement or clarify the terms, references, or standards set forth in this section, including adopting fees as set forth in subdivision (c). The guidelines may address participation in the pooled transition reserve by projects with existing project-based transition reserves, including disposition of the existing project-based transition reserve funds. The adoption, amendment, or repeal of any guidelines or terms pursuant to this subdivision is hereby exempted from the rulemaking provisions of the Administrative Procedure Act (Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code). CALIFORNIA LEGISLATURE 20232024 REGULAR SESSION Assembly Bill No. 1764Introduced by Committee on Housing and Community Development (Assembly Members Wicks (Chair), Joe Patterson (Vice Chair), Wendy Carrillo, Gabriel, Kalra, Quirk-Silva, Sanchez, and Ward)March 16, 2023 An act to amend Sections 5103 and 5105 of the Civil Code, to amend Sections 65912.101, 65912.114, and 65912.124 of the Government Code, and to amend Sections 18062.8, 50091, and 50468 of the Health and Safety Code, relating to housing. LEGISLATIVE COUNSEL'S DIGESTAB 1764, as introduced, Committee on Housing and Community Development. Housing omnibus. (1) Existing law, the Davis-Stirling Common Interest Development Act, regulates common interest developments. Existing law provides procedures governing the election of members of the board of directors of common interest development associations. Existing law authorizes an association to impose certain qualification requirements on a nominee for a board seat, including requiring a nominee to have been a member for at least one year, and disqualifying a nominee for a past criminal conviction that would, if the nominee were elected, either prevent the association from purchaing certain required insurance or terminate the associations exisiting required insurance coverage, as specified. Under this bill, an association that disqualifies a nominee pursuant to the above-described provisions would be required in its election rules to require a director to comply with the same requirements.Under existing law, if there are not more qualified candidates than vacancies, an association is authorized to consider the candidates elected by acclamation if, among other conditions, the association permits all candidates to run if nominated. However, an association is authorized to disqualify a nominee who has served the maximum number of terms or sequential terms allowed by the association.This bill, instead, would require an association to disqualify that nominee. Under the bill, a director who ceases to be a member of the association would be disqualified from continuing to serve as a director.(2) Existing law, the Affordable Housing and High Road Jobs Act of 2022, until January 1, 2033, establishes a streamlined development process for affordable housing developments that meet specified objective standards and affordability and site criteria, including, for certain developments, that the project site abuts a commercial corridor, as specified, and the property meets certain setback standards depending on, among other factors, the portion of the property that fronts a side street. Existing law defines commercial corridor for purposes of that act to mean a highway that is not a freeway and that has a right-of-way, as defined in a specified Vehicle Code provision, of at least 70 and not greater than 150 feet. Existing law also defines side street under the act to mean a highway that is not a freeway that has a right-of-way, as defined in that Vehicle Code provision, of at least 25 and fewer than 70 feet.This bill would delete from the definitions of commercial corridor and side street the references to that Vehicle Code provision defining right-of-way. The bill would also correct cross-references in the act.(3) Existing law, the Manufactured Housing Act of 1980, prohibits a manufacturer or distributor licensed under the act from increasing the prices of manufactured homes, mobilehomes, or commercial coaches that the dealer ordered for private retail consumers before the dealers receipt of the written official price increase notification. Under existing law, a sales contract signed by a private retail consumer constitutes evidence of each order.This bill would delete the above provision on a sales contract constituting evidence of each order.(4) Existing law authorizes the Department of Housing and Community Development to provide financial assistance to certain households in purchasing a home, as specified. Existing law also authorizes the department to provide financial assistance to nonprofit corporations and stock cooperative corporations to develop or purchase a mobilehome park, ownership of which will be transferred to persons and families of low or moderate income. Existing law prohibits a limited equity housing cooperative from being deemed to be a nonprofit for the purpose of these provisions.This bill would delete the above provision that prohibits a limited equity housing cooperative from being deemed a nonprofit for that purpose.(5) Existing law establishes various programs and funding sources administered by the Department of Housing and Community Development to enable the development of affordable housing, including the Affordable Housing and Sustainable Communities Program, the Multifamily Housing Program, the Housing for a Healthy California Program, the Veterans Housing and Homeless Prevention Act of 2014, and the HOME Investment Partnership Program.Existing law prohibits the department from requiring, for a unit subject to a qualified project rental or operating subsidy, a reserve account or a set aside of funds accruing to the benefit of a particular affordable rental housing development to address the impacts on tenants of a loss or exhaustion of a rental or operating subsidy. Existing law, instead, establishes the continuously appropriated Pooled Transition Reserve Fund, which consists of, among other moneys, fees charged by the department to projects that receive qualified project rental or operating subsidies at the time of permanent loan closing, as specified, for the purpose of mitigating the impacts on tenant rents from the loss or exhaustion of a qualified project rental or an operating subsidy. Existing law defines qualified project rental or operating subsidy under these provisions to include, among other assistance, the local rental housing subsidy programs operated by the City and County of San Francisco and the City of Los Angeles.This bill would revise that part of the definition to instead include a local rental housing subsidy program operated by the City and County of San Francisco or the County of Los Angeles.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: NO CALIFORNIA LEGISLATURE 20232024 REGULAR SESSION Assembly Bill No. 1764 Introduced by Committee on Housing and Community Development (Assembly Members Wicks (Chair), Joe Patterson (Vice Chair), Wendy Carrillo, Gabriel, Kalra, Quirk-Silva, Sanchez, and Ward)March 16, 2023 Introduced by Committee on Housing and Community Development (Assembly Members Wicks (Chair), Joe Patterson (Vice Chair), Wendy Carrillo, Gabriel, Kalra, Quirk-Silva, Sanchez, and Ward) March 16, 2023 An act to amend Sections 5103 and 5105 of the Civil Code, to amend Sections 65912.101, 65912.114, and 65912.124 of the Government Code, and to amend Sections 18062.8, 50091, and 50468 of the Health and Safety Code, relating to housing. LEGISLATIVE COUNSEL'S DIGEST ## LEGISLATIVE COUNSEL'S DIGEST AB 1764, as introduced, Committee on Housing and Community Development. Housing omnibus. (1) Existing law, the Davis-Stirling Common Interest Development Act, regulates common interest developments. Existing law provides procedures governing the election of members of the board of directors of common interest development associations. Existing law authorizes an association to impose certain qualification requirements on a nominee for a board seat, including requiring a nominee to have been a member for at least one year, and disqualifying a nominee for a past criminal conviction that would, if the nominee were elected, either prevent the association from purchaing certain required insurance or terminate the associations exisiting required insurance coverage, as specified. Under this bill, an association that disqualifies a nominee pursuant to the above-described provisions would be required in its election rules to require a director to comply with the same requirements.Under existing law, if there are not more qualified candidates than vacancies, an association is authorized to consider the candidates elected by acclamation if, among other conditions, the association permits all candidates to run if nominated. However, an association is authorized to disqualify a nominee who has served the maximum number of terms or sequential terms allowed by the association.This bill, instead, would require an association to disqualify that nominee. Under the bill, a director who ceases to be a member of the association would be disqualified from continuing to serve as a director.(2) Existing law, the Affordable Housing and High Road Jobs Act of 2022, until January 1, 2033, establishes a streamlined development process for affordable housing developments that meet specified objective standards and affordability and site criteria, including, for certain developments, that the project site abuts a commercial corridor, as specified, and the property meets certain setback standards depending on, among other factors, the portion of the property that fronts a side street. Existing law defines commercial corridor for purposes of that act to mean a highway that is not a freeway and that has a right-of-way, as defined in a specified Vehicle Code provision, of at least 70 and not greater than 150 feet. Existing law also defines side street under the act to mean a highway that is not a freeway that has a right-of-way, as defined in that Vehicle Code provision, of at least 25 and fewer than 70 feet.This bill would delete from the definitions of commercial corridor and side street the references to that Vehicle Code provision defining right-of-way. The bill would also correct cross-references in the act.(3) Existing law, the Manufactured Housing Act of 1980, prohibits a manufacturer or distributor licensed under the act from increasing the prices of manufactured homes, mobilehomes, or commercial coaches that the dealer ordered for private retail consumers before the dealers receipt of the written official price increase notification. Under existing law, a sales contract signed by a private retail consumer constitutes evidence of each order.This bill would delete the above provision on a sales contract constituting evidence of each order.(4) Existing law authorizes the Department of Housing and Community Development to provide financial assistance to certain households in purchasing a home, as specified. Existing law also authorizes the department to provide financial assistance to nonprofit corporations and stock cooperative corporations to develop or purchase a mobilehome park, ownership of which will be transferred to persons and families of low or moderate income. Existing law prohibits a limited equity housing cooperative from being deemed to be a nonprofit for the purpose of these provisions.This bill would delete the above provision that prohibits a limited equity housing cooperative from being deemed a nonprofit for that purpose.(5) Existing law establishes various programs and funding sources administered by the Department of Housing and Community Development to enable the development of affordable housing, including the Affordable Housing and Sustainable Communities Program, the Multifamily Housing Program, the Housing for a Healthy California Program, the Veterans Housing and Homeless Prevention Act of 2014, and the HOME Investment Partnership Program.Existing law prohibits the department from requiring, for a unit subject to a qualified project rental or operating subsidy, a reserve account or a set aside of funds accruing to the benefit of a particular affordable rental housing development to address the impacts on tenants of a loss or exhaustion of a rental or operating subsidy. Existing law, instead, establishes the continuously appropriated Pooled Transition Reserve Fund, which consists of, among other moneys, fees charged by the department to projects that receive qualified project rental or operating subsidies at the time of permanent loan closing, as specified, for the purpose of mitigating the impacts on tenant rents from the loss or exhaustion of a qualified project rental or an operating subsidy. Existing law defines qualified project rental or operating subsidy under these provisions to include, among other assistance, the local rental housing subsidy programs operated by the City and County of San Francisco and the City of Los Angeles.This bill would revise that part of the definition to instead include a local rental housing subsidy program operated by the City and County of San Francisco or the County of Los Angeles. (1) Existing law, the Davis-Stirling Common Interest Development Act, regulates common interest developments. Existing law provides procedures governing the election of members of the board of directors of common interest development associations. Existing law authorizes an association to impose certain qualification requirements on a nominee for a board seat, including requiring a nominee to have been a member for at least one year, and disqualifying a nominee for a past criminal conviction that would, if the nominee were elected, either prevent the association from purchaing certain required insurance or terminate the associations exisiting required insurance coverage, as specified. Under this bill, an association that disqualifies a nominee pursuant to the above-described provisions would be required in its election rules to require a director to comply with the same requirements. Under existing law, if there are not more qualified candidates than vacancies, an association is authorized to consider the candidates elected by acclamation if, among other conditions, the association permits all candidates to run if nominated. However, an association is authorized to disqualify a nominee who has served the maximum number of terms or sequential terms allowed by the association. This bill, instead, would require an association to disqualify that nominee. Under the bill, a director who ceases to be a member of the association would be disqualified from continuing to serve as a director. (2) Existing law, the Affordable Housing and High Road Jobs Act of 2022, until January 1, 2033, establishes a streamlined development process for affordable housing developments that meet specified objective standards and affordability and site criteria, including, for certain developments, that the project site abuts a commercial corridor, as specified, and the property meets certain setback standards depending on, among other factors, the portion of the property that fronts a side street. Existing law defines commercial corridor for purposes of that act to mean a highway that is not a freeway and that has a right-of-way, as defined in a specified Vehicle Code provision, of at least 70 and not greater than 150 feet. Existing law also defines side street under the act to mean a highway that is not a freeway that has a right-of-way, as defined in that Vehicle Code provision, of at least 25 and fewer than 70 feet. This bill would delete from the definitions of commercial corridor and side street the references to that Vehicle Code provision defining right-of-way. The bill would also correct cross-references in the act. (3) Existing law, the Manufactured Housing Act of 1980, prohibits a manufacturer or distributor licensed under the act from increasing the prices of manufactured homes, mobilehomes, or commercial coaches that the dealer ordered for private retail consumers before the dealers receipt of the written official price increase notification. Under existing law, a sales contract signed by a private retail consumer constitutes evidence of each order. This bill would delete the above provision on a sales contract constituting evidence of each order. (4) Existing law authorizes the Department of Housing and Community Development to provide financial assistance to certain households in purchasing a home, as specified. Existing law also authorizes the department to provide financial assistance to nonprofit corporations and stock cooperative corporations to develop or purchase a mobilehome park, ownership of which will be transferred to persons and families of low or moderate income. Existing law prohibits a limited equity housing cooperative from being deemed to be a nonprofit for the purpose of these provisions. This bill would delete the above provision that prohibits a limited equity housing cooperative from being deemed a nonprofit for that purpose. (5) Existing law establishes various programs and funding sources administered by the Department of Housing and Community Development to enable the development of affordable housing, including the Affordable Housing and Sustainable Communities Program, the Multifamily Housing Program, the Housing for a Healthy California Program, the Veterans Housing and Homeless Prevention Act of 2014, and the HOME Investment Partnership Program. Existing law prohibits the department from requiring, for a unit subject to a qualified project rental or operating subsidy, a reserve account or a set aside of funds accruing to the benefit of a particular affordable rental housing development to address the impacts on tenants of a loss or exhaustion of a rental or operating subsidy. Existing law, instead, establishes the continuously appropriated Pooled Transition Reserve Fund, which consists of, among other moneys, fees charged by the department to projects that receive qualified project rental or operating subsidies at the time of permanent loan closing, as specified, for the purpose of mitigating the impacts on tenant rents from the loss or exhaustion of a qualified project rental or an operating subsidy. Existing law defines qualified project rental or operating subsidy under these provisions to include, among other assistance, the local rental housing subsidy programs operated by the City and County of San Francisco and the City of Los Angeles. This bill would revise that part of the definition to instead include a local rental housing subsidy program operated by the City and County of San Francisco or the County of Los Angeles. ## Digest Key ## Bill Text The people of the State of California do enact as follows:SECTION 1. Section 5103 of the Civil Code is amended to read:5103. Notwithstanding the secret balloting requirement in Section 5100, or any contrary provision in the governing documents, when, as of the deadline for submitting nominations provided for in subdivision (a) of Section 5115, the number of qualified candidates is not more than the number of vacancies to be elected, as determined by the inspector or inspectors of the elections, the association may, but is not required to, consider the qualified candidates elected by acclamation if all of the following conditions have been met:(a) The association has held a regular election for the directors in the last three years. The three-year time period shall be calculated from the date ballots were due in the last full election to the start of voting for the proposed election.(b) The association provided individual notice of the election and the procedure for nominating candidates as follows:(1) Initial notice at least 90 days before the deadline for submitting nominations provided for in subdivision (a) of Section 5115. The initial notice shall include all of the following:(A) The number of board positions that will be filled at the election.(B) The deadline for submitting nominations.(C) The manner in which nominations can be submitted.(D) A statement informing members that if, at the close of the time period for making nominations, there are the same number or fewer qualified candidates as there are board positions to be filled, then the board of directors may, after voting to do so, seat the qualified candidates by acclamation without balloting.(2) A reminder notice between 7 and 30 days before the deadline for submitting nominations provided for in subdivision (a) of Section 5115. The reminder notice shall include all of the following:(A) The number of board positions that will be filled at the election.(B) The deadline for submitting nominations.(C) The manner in which nominations can be submitted.(D) A list of the names of all of the qualified candidates to fill the board positions as of the date of the reminder notice.(E) A statement reminding members that if, at the close of the time period for making nominations, there are the same number or fewer qualified candidates as there are board positions to be filled, then the board of directors may, after voting to do so, seat the qualified candidates by acclamation without balloting. This statement is not required if, at the time the reminder notice will be delivered, the number of qualified candidates already exceeds the number of board positions to be filled.(c) (1) The association provides, within seven business days of receiving a nomination, a written or electronic communication acknowledging the nomination to the member who submitted the nomination.(2) The association provides, within seven business days of receiving a nomination, a written or electronic communication to the nominee, indicating either of the following:(A) The nominee is a qualified candidate for the board of directors.(B) The nominee is not a qualified candidate for the board of directors, the basis for the disqualification, and the procedure, which shall comply with Article 2 (commencing with Section 5900) of Chapter 10, by which the nominee may appeal the disqualification.(3) The association may combine the written or electronic communication described in paragraphs (1) and (2) into a single written or electronic communication if the nominee and the nominator are the same person.(d) (1) The association permits all candidates to run if nominated, except for nominees disqualified for running as allowed or required pursuant to subdivisions (b) to (e), inclusive, of Section 5105.(2)Notwithstanding paragraph (1), an association may disqualify a nominee if the person has served the maximum number of terms or sequential terms allowed by the association.(3)(2) If an association disqualifies a nominee pursuant to this subdivision, an association in its election rules shall also require a director to comply with the same requirements.(e) The association board votes to consider the qualified candidates elected by acclamation at a meeting pursuant to Article 2 (commencing with Section 4900) for which the agenda item reflects the name of each qualified candidate that will be seated by acclamation if the item is approved.SEC. 2. Section 5105 of the Civil Code is amended to read:5105. (a) An association shall adopt operating rules in accordance with the procedures prescribed by Article 5 (commencing with Section 4340) of Chapter 3, that do all of the following:(1) Ensure that if any candidate or member advocating a point of view is provided access to association media, newsletters, or internet websites during a campaign, for purposes that are reasonably related to that election, equal access shall be provided to all candidates and members advocating a point of view, including those not endorsed by the board, for purposes that are reasonably related to the election. The association shall not edit or redact any content from these communications, but may include a statement specifying that the candidate or member, and not the association, is responsible for that content.(2) Ensure access to the common area meeting space, if any exists, during a campaign, at no cost, to all candidates, including those who are not incumbents, and to all members advocating a point of view, including those not endorsed by the board, for purposes reasonably related to the election.(3) Specify the qualifications for candidates for the board and any other elected position, subject to subdivision (b), and procedures for the nomination of candidates, consistent with the governing documents. A nomination or election procedure shall not be deemed reasonable if it disallows any member from nominating themself for election to the board.(4) Specify the voting power of each membership, the authenticity, validity, and effect of proxies, and the voting period for elections, including the times at which polls will open and close, consistent with the governing documents.(5) Specify a method of selecting one or three independent third parties as inspector or inspectors of elections utilizing one of the following methods:(A) Appointment of the inspector or inspectors by the board.(B) Election of the inspector or inspectors by the members of the association.(C) Any other method for selecting the inspector or inspectors.(6) Allow the inspector or inspectors to appoint and oversee additional persons to verify signatures and to count and tabulate votes as the inspector or inspectors deem appropriate, provided that the persons are independent third parties who meet the requirements in subdivision (b) of Section 5110.(7) Require retention of, as association election materials, both a candidate registration list and a voter list. The candidate list shall include name and address of individuals nominated as a candidate for election to the board of directors. The voter list shall include name, voting power, and either the physical address of the voters separate interest, the parcel number, or both. The mailing address for the ballot shall be listed on the voter list if it differs from the physical address of the voters separate interest or if only the parcel number is used. The association shall permit members to verify the accuracy of their individual information on both lists at least 30 days before the ballots are distributed. The association or member shall report any errors or omissions to either list to the inspector or inspectors who shall make the corrections within two business days.(b) An association shall disqualify a person from a nomination as a candidate for not being a member of the association at the time of the nomination. An association shall disqualify a nominee if that person has served the maximum number of terms or sequential terms allowed by the association. A director who ceases to be a member shall be disqualified from continuing to serve as a director.(1) This subdivision does not restrict a developer from making a nomination of a nonmember candidate consistent with the voting power of the developer as set forth in the regulations of the Department of Real Estate and the associations governing documents.(2) If title to a separate interest parcel is held by a legal entity that is not a natural person, the governing authority of that legal entity shall have the power to appoint a natural person to be a member for purposes of this article.(c) Through its bylaws or election operating rules adopted pursuant to subdivision (a) of Section 5105 only, an association may disqualify a person from nomination as a candidate pursuant to any of the following:(1) Subject to paragraph (2) of subdivision (d), an association may require a nominee for a board seat, and a director during their board tenure, to be current in the payment of regular and special assessments, which are consumer debts subject to validation. If an association requires a nominee to be current in the payment of regular and special assessments, it shall also require a director to be current in the payment of regular and special assessments.(2) An association may disqualify a person from nomination as a candidate if the person, if elected, would be serving on the board at the same time as another person who holds a joint ownership interest in the same separate interest parcel as the person and the other person is either properly nominated for the current election or an incumbent director.(3) An association may disqualify a nominee if that person has been a member of the association for less than one year.(4) An association may disqualify a nominee if that person discloses, or if the association is aware or becomes aware of, a past criminal conviction that would, if the person was elected, either prevent the association from purchasing the insurance required by Section 5806 or terminate the associations existing insurance coverage required by Section 5806 as to that person should the person be elected.(d) An association may disqualify a person from nomination for nonpayment of regular and special assessments, but may not disqualify a nominee for nonpayment of fines, fines renamed as assessments, collection charges, late charges, or costs levied by a third party. The person shall not be disqualified for failure to be current in payment of regular and special assessments if either of the following circumstances is true:(1) The person has paid the regular or special assessment under protest pursuant to Section 5658.(2) The person has entered into and is in compliance with a payment plan pursuant to Section 5665.(e) An association shall not disqualify a person from nomination if the person has not been provided the opportunity to engage in internal dispute resolution pursuant to Article 2 (commencing with Section 5900) of Chapter 10.(f) If an association disqualifies a nominee pursuant to this section, an association in its election rules shall also require a director to comply with the same requirements.(f)(g) Notwithstanding any other law, the rules adopted pursuant to this section may provide for the nomination of candidates from the floor of membership meetings or nomination by any other manner. Those rules may permit write-in candidates for ballots.(g)(h) Notwithstanding any other law, the rules adopted pursuant to this section shall do all of the following:(1) Prohibit the denial of a ballot to a member for any reason other than not being a member at the time when ballots are distributed.(2) Prohibit the denial of a ballot to a person with general power of attorney for a member.(3) Require the ballot of a person with general power of attorney for a member to be counted if returned in a timely manner.(4) Require the inspector or inspectors of elections to deliver, or cause to be delivered, at least 30 days before an election, to each member both of the following documents:(A) The ballot or ballots.(B) A copy of the election operating rules. Delivery of the election operating rules may be accomplished by either of the following methods:(i) Posting the election operating rules to an internet website and including the corresponding internet website address on the ballot together with the phrase, in at least 12-point font: The rules governing this election may be found here:(ii) Individual delivery.(h)(iii) Election operating rules adopted pursuant to this section shall not be amended less than 90 days prior to an election.SEC. 3. Section 65912.101 of the Government Code is amended to read:65912.101. For purposes of this chapter, the following terms have the following meanings:(a) Commercial corridor means a highway, as defined in Section 360 of the Vehicle Code, that is not a freeway, as defined in Section 332 of the Vehicle Code, and that has a right-of-way, as defined in Section 525 of the Vehicle Code, right-of-way of at least 70 and not greater than 150 feet.(b) Development proponent means a developer who submits a housing development project application to a local government under the streamlined, ministerial review process pursuant to this chapter.(c) Extremely low income households has the same meaning as defined in Section 50106 of the Health and Safety Code.(d) Health care expenditures include contributions under Sections 501(c) or (d) or 401(a) of the Internal Revenue Code and payments toward medical care as defined under Section 213(d)(1) of the Internal Revenue Code.(e) Housing development project has the same meaning as defined in Section 65589.5.(f) Industrial use means utilities, manufacturing, transportation storage and maintenance facilities, and warehousing uses. Industrial use does not include power substations or utility conveyances such as power lines, broadband wires, and pipes.(g) Local affordable housing requirement means either of the following:(1) A local government requirement, as a condition of development of residential units, that a housing development project include a certain percentage of units affordable to, and occupied by, extremely low, very low, lower, or moderate-income households as a condition of development of residential units.(2) A local government requirement allowing a housing development project to be a use by right if the project includes a certain percentage of units affordable to, and occupied by, extremely low, very low, lower, or moderate-income households as a condition of development of residential units.(h) Local government means a city, including a charter city, a county, including a charter county, or a city and county, including a charter city and county.(i) Lower income households has the same meaning as defined in Section 50079.5 of the Health and Safety Code.(j) Major transit stop has the same meaning as defined in subdivision (b) of Section 21155 of the Public Resources Code.(k) Moderate-income households means households of persons and families of moderate income, as defined in Section 50093 of the Health and Safety Code.(l) Multifamily means a property with five or more housing units for sale or for rent.(m) Neighborhood plan means a specific plan adopted pursuant to Article 8 (commencing with Section 65450) of Chapter 3, or an area plan, precise plan, urban village plan, or master plan that has been adopted by a local government.(n) Principally permitted use means a use that may occupy more than one-third of the square footage of designated use on the site and does not require a conditional use permit.(o) Side street means a highway, as defined in Section 360 of the Vehicle Code, that is not a freeway, as defined in Section 332 of the Vehicle Code, and that has a right-of-way, as defined in Section 525 of the Vehicle Code, right-of-way of at least 25 and fewer than 70 feet.(p) Urban uses means any current or former residential, commercial, public institutional, transit or transportation passenger facility, or retail use, or any combination of those uses.(q) Use by right means a development project that satisfies both of the following conditions:(1) The development project does not require a conditional use permit, planned unit development permit, or other discretionary local government review.(2) The development project is not a project for purposes of Division 13 (commencing with Section 21000) of the Public Resources Code.(r) Very low income households has the same meaning as defined in Section 50105 of the Health and Safety Code.SEC. 4. Section 65912.114 of the Government Code is amended to read:65912.114. (a) (1) If the local government determines that a development submitted pursuant to this article is consistent with the objective planning standards specified in this article, it shall approve the development.(2) If a local government determines that a development submitted pursuant to this article is in conflict with any of the objective planning standards specified in this article, it shall provide the development proponent written documentation of which standard or standards the development conflicts with, and an explanation for the reason or reasons the development conflicts with that standard or standards, within the following timeframes:(A) Within 60 days of submittal of the development proposal to the local government if the development contains 150 or fewer housing units.(B) Within 90 days of submittal of the development proposal to the local government if the development contains more than 150 housing units.(b) If the local government fails to provide the required documentation pursuant to subdivision (a), the development shall be deemed to satisfy the required objective planning standards.(c) (1) For purposes of this section, a development is consistent with the objective planning standards if there is substantial evidence that would allow a reasonable person to conclude that the development is consistent with the objective planning standards.(2) For purposes of this section, a development is not in conflict with the objective planning standards solely on the basis that application materials are not included, if the application contains substantial evidence that would allow a reasonable person to conclude that the development is consistent with the objective planning standards.(d) The determination of whether a proposed project submitted pursuant to this section is or is not in conflict with the objective planning standards is not a project as defined in Section 21065 of the Public Resources Code.(e) Design review of the development may be conducted by the local governments planning commission or any equivalent board or commission responsible for review and approval of development projects, or the city council or board of supervisors, as appropriate. That design review shall be objective and be strictly focused on assessing compliance with criteria required for streamlined, ministerial review of projects, as well as any reasonable objective design standards published and adopted by ordinance or resolution by a local jurisdiction before submittal of the development to the local government, and shall be broadly applicable to developments within the jurisdiction. That design review shall be completed as follows and shall not in any way inhibit, chill, or preclude the ministerial approval provided by this section or its effect, as applicable:(1) Within 90 days of submittal of the development proposal to the local government pursuant to this section if the development contains 150 or fewer housing units.(2) Within 180 days of submittal of the development proposal to the local government pursuant to this section if the development contains more than 150 housing units.(f) A development proposed pursuant to this article shall be eligible for a density bonus, incentives or concessions, waivers or reductions of development standards, and parking ratios pursuant to Section 65915.(g) The local government shall ensure that the project satisfies the requirements specified in subdivision (d) of Section 66300, regardless of whether the development is within or not within an affected city or within or not within an affected county.(h) If the development is consistent with all objective subdivision standards in the local subdivision ordinance, an application for a subdivision pursuant to the Subdivision Map Act (Division 2 (commencing with Section 66410)) shall be exempt from the requirements of the California Environmental Quality Act (Division 13 (commencing with Section 21000) of the Public Resources Code).(i) A local government may exempt a parcel from this section before a development proponent submits a development application on a parcel pursuant to this article if the local government makes written findings establishing all of the following:(1) The local government has identified one or more parcels that meet the criteria described in subdivisions (b) through (f) of Section 65912.111.(2) (A) If a parcel identified in paragraph (1) would not otherwise be eligible for development pursuant to this chapter, the local government has permitted the parcel to be developed pursuant to the requirements of this chapter.(B) If a parcel identified in paragraph (1) would otherwise be eligible for development pursuant to this chapter, the local government has permitted residential densities above the residential density required in subdivision (b) of Section 65912.113.(3) The development of the parcel or parcels pursuant to paragraph (3) (2) will result in all of the following:(A) No net loss of the total potential residential density in the jurisdiction.(B) No net loss of the potential residential density of housing affordable to lower income households in the jurisdiction.(C) Affirmative furthering of fair housing.(j) A local governments approval of a development pursuant to this section shall, notwithstanding any other law, be subject to the expiration timeframes specified in subdivision (f) of Section 65913.4.(k) Any proposed modifications to a development project approved pursuant to this section shall be undertaken pursuant to subdivision (g) of Section 65913.4.(l) A local government shall not adopt or impose any requirement, including, but not limited to, increased fees or inclusionary housing requirements, that applies to a project solely or partially on the basis that the project is eligible to receive streamlined, ministerial review pursuant to this section.(m) A local government shall issue a subsequent permit required for a development approved under this section pursuant to paragraph (2) of subdivision (h) of Section 65913.4.(n) A public improvement that is necessary to implement a development that is approved pursuant to this section shall be undertaken pursuant to paragraph (3) of subdivision (h) of Section 65913.4.(o) A local government may adopt an ordinance to implement the provisions of this article. An ordinance adopted to implement this section shall not be considered a project under Division 13 (commencing with Section 21000) of the Public Resources Code.SEC. 5. Section 65912.124 of the Government Code is amended to read:65912.124. (a) (1) If the local government determines that a development submitted pursuant to this article is consistent with the objective planning standards specified in this article, it shall approve the development.(2) If a local government determines that a development submitted pursuant to this article is in conflict with any of the objective planning standards specified in this article, it shall provide the development proponent written documentation of which standard or standards the development conflicts with, and an explanation for the reason or reasons the development conflicts with that standard or standards, within the following timeframes:(A) Within 60 days of submittal of the development proposal to the local government if the development contains 150 or fewer housing units.(B) Within 90 days of submittal of the development proposal to the local government if the development contains more than 150 housing units.(b) If the local government fails to provide the required documentation pursuant to subdivision (a), the development shall be deemed to satisfy the required objective planning standards.(c) (1) For purposes of this section, a development is consistent with the objective planning standards if there is substantial evidence that would allow a reasonable person to conclude that the development is consistent with the objective planning standards.(2) For purposes of this section, a development is not in conflict with the objective planning standards solely on the basis that application materials are not included, if the application contains substantial evidence that would allow a reasonable person to conclude that the development is consistent with the objective planning standards.(d) The determination of whether a proposed project submitted pursuant to this section is or is not in conflict with the objective planning standards is not a project as defined in Section 21065 of the Public Resources Code.(e) Design review of the development may be conducted by the local governments planning commission or any equivalent board or commission responsible for review and approval of development projects, or the city council or board of supervisors, as appropriate. That design review shall be objective and be strictly focused on assessing compliance with criteria required for streamlined, ministerial review of projects, as well as any reasonable objective design standards published and adopted by ordinance or resolution by a local jurisdiction before submittal of the development to the local government, and shall be broadly applicable to developments within the jurisdiction. That design review shall be completed as follows and shall not in any way inhibit, chill, or preclude the ministerial approval provided by this section or its effect, as applicable:(1) Within 90 days of submittal of the development proposal to the local government pursuant to this section if the development contains 150 or fewer housing units.(2) Within 180 days of submittal of the development proposal to the local government pursuant to this section if the development contains more than 150 housing units.(f) A housing development proposed pursuant to this article shall be eligible for a density bonus, incentives or concessions, waivers or reductions of development standards, and parking ratios pursuant to Section 65915, except that the project shall not use a concession to reduce a local government requirement for the provision of ground floor retail that is consistent with the allowance contained in paragraph (3) of subdivision (j) of Section 65912.123.(g) The local government shall ensure that the project satisfies the requirements specified in subdivision (d) of Section 66300, regardless of whether the development is within or not within an affected city or within or not within an affected county.(h) If the development is consistent with all objective subdivision standards in the local subdivision ordinance, an application for a subdivision pursuant to the Subdivision Map Act (Division 2 (commencing with Section 66410)) shall be exempt from the requirements of the California Environmental Quality Act (Division 13 (commencing with Section 21000) of the Public Resources Code).(i) A local government may exempt a parcel from this section before a development proponent submits a development application on a parcel pursuant to this article if the local government makes written findings establishing all of the following:(1) The local government has identified a parcel or parcels that meet the criteria described in subdivisions (b) and (e) to (h), inclusive, of Section 65912.121.(2) (A) If a parcel identified in paragraph (1) would not otherwise be eligible for development pursuant to this chapter, the local government has permitted the parcel to be developed pursuant to the requirements of this chapter.(B) If a parcel identified in paragraph (1) would otherwise be eligible for development pursuant to this chapter, the local government has permitted residential densities above the residential density required in subdivision (b) of Section 65912.123 and heights required in subdivision (c) of Section 65912.123.(3) The development of the parcel or parcels pursuant to paragraph (3) (2) will result in all of the following:(A) No net loss of the total potential residential density in the jurisdiction.(B) No net loss of the potential residential density of housing affordable to lower income households in the jurisdiction.(C) Affirmative furthering of fair housing.(j) A local governments approval of a development pursuant to this section shall, notwithstanding any other law, be subject to the expiration timeframes specified in subdivision (f) of Section 65913.4.(k) Any proposed modifications to a development project approved pursuant to this section shall be undertaken pursuant to subdivision (g) of Section 65913.4.(l) A local government shall not adopt or impose any requirement, including, but not limited to, increased fees or inclusionary housing requirements, that applies to a project solely or partially on the basis that the project is eligible to receive streamlined, ministerial review pursuant to this section.(m) A local government shall issue a subsequent permit required for a development approved under this section pursuant to paragraph (2) of subdivision (h) of Section 65913.4.(n) A public improvement that is necessary to implement a development that is approved pursuant to this section shall be undertaken pursuant to paragraph (3) of subdivision (h) of Section 65913.4.(o) A local government may adopt an ordinance to implement the provisions of this article. An ordinance adopted to implement this section shall not be considered a project under Division 13 (commencing with Section 21000) of the Public Resources Code.SEC. 6. Section 18062.8 of the Health and Safety Code is amended to read:18062.8. It is unlawful for any manufacturer or distributor licensed under this part to do any of the following:(a) Refuse or fail to deliver, in reasonable quantities and within a reasonable time after receipt of an order from a dealer having a franchise for the retail sale of any new manufactured home, mobilehome, or commercial coach sold or distributed by the manufacturer or distributor, any new manufactured home, mobilehome, or commercial coach or parts or accessories to new manufactured homes, mobilehomes, or commercial coaches that are covered by the franchise, if the mobilehome or commercial coach, parts or accessories are publicly advertised as being available for delivery or actually being delivered. This subdivision is not violated, however, if the failure is caused by acts or causes beyond the control of the manufacturer or distributor.(b) Prevent or require or attempt to prevent or require, by contract or otherwise, any change in the capital structure of a dealership, if the dealer at all times meets any reasonable capital standards agreed to by the dealer and the manufacturer or distributor, and also provided that no change in capital structure shall cause a change in the principal management or have the effect of a sale of the franchise without the consent of the manufacturer or distributor.(c) Prevent or require, or attempt to prevent or require, a dealer to change the executive management of a dealership, other than the principal dealership operator or operators, if the franchise was granted the dealer in reliance upon the personal qualifications of that person or persons.(d) Prevent or require, or attempt to prevent or require, by contract or otherwise, any dealer, or any officer, partner, or stockholder of any dealership, to participate in the sale or transfer of any part of the interest of any of them to any other person or persons. No dealer, officer, partner, or stockholder shall, however, have the right to sell, transfer, or assign the franchise, or any right thereunder, without the consent of the manufacturer or distributor if the consent is not unreasonably withheld.(e) Prevent, or attempt to prevent, a dealer from receiving fair and reasonable compensation for the value of the franchised business. There shall be no transfer or assignment of the dealers franchise without the consent of the manufacturer or distributor, if the consent is not unreasonably withheld.(f) Obtain money, goods, services, or any other benefit from any other person with whom the dealer does business, on account of, or in relation to, the transaction between the dealer and any other person, other than for compensation for services rendered, unless the benefit is promptly accounted for, and transmitted to, the dealer.(g) Require a dealer to prospectively assent to a release, assignment, novation, waiver, or estoppel that would relieve any person from liability imposed by this part or to require any controversy between a dealer and a manufacturer or distributor to be referred to any person other than the department, if the referral would be binding on the dealer. This subdivision does not, however, prohibit arbitration before an independent arbitrator.(h) Increase the prices of manufactured homes, mobilehomes, or commercial coaches that the dealer ordered for private retail consumers prior to the dealers receipt of the written official price increase notification. A sales contract signed by a private retail consumer shall constitute evidence of each order. In the event of manufacturer price reductions, the amount of any reduction received by a dealer shall be passed on to the private retail consumer by the dealer if the retail price was negotiated on the basis of the previous higher price to the dealer. Price reductions shall apply to all manufactured homes, mobilehomes, and commercial coaches in the dealers inventory that were subject to the price reduction. A price difference applicable to new model or series manufactured homes, mobilehomes, or commercial coaches at the time of the introduction of new models or series shall not be considered a price increase or price decrease. Price changes caused by either of the following shall not be subject to this subdivision:(1) The addition to a manufactured home, mobilehome, or commercial coach of required or optional equipment pursuant to state or federal law.(2) Revaluation of the United States dollar, in the case of foreign-made manufactured homes, mobilehomes, or commercial coaches.(i) Fail to pay to a dealer, within a reasonable time following receipt of a valid claim by a dealer thereof, any payment agreed to be made by the manufacturer or distributor to the dealer by reason of the fact that a new manufactured home, mobilehome, or commercial coach of a prior year model is in the dealers inventory at the time of introduction of new model manufactured homes, mobilehomes, or commercial coaches. A manufacturer or distributor shall not authorize or enable any new model to be delivered by dealers at retail more than 30 days prior to the eligibility date of the model change allowance payment for prior year model manufactured homes, mobilehomes, or commercial coaches.(j) Deny, to the surviving spouse or heirs designated by a deceased owner of a dealership, the opportunity to participate in the ownership of the dealership or successor dealership under a valid franchise for a reasonable time after the death of the owner.(k) Offer any refunds or other types of inducements to any dealer or other person for the purchase of new manufactured homes, mobilehomes, or commercial coaches of a certain make and model to be sold to the state or any political subdivision of the state without making the same offer to all other dealers in the same make and model within the relevant market area.(l) Employ a person as a distributor who has not been licensed pursuant to this chapter.(m) Deny any dealer the right of free association with any other dealer for any lawful purpose.(n) Compete with a dealer in the same make and model operating under an agreement or franchise from a manufacturer or distributor in the relevant market area. A manufacturer or distributor shall not, however, be deemed to be competing when operating a dealership either temporarily for a reasonable period, or in a bona fide retail operation that is for sale to any qualified independent person at a fair and reasonable price, or in a bona fide relationship in which an independent person has made a significant investment subject to loss in the dealership and can reasonably expect to acquire full ownership of the dealership on reasonable terms and conditions.(o) Unfairly discriminate among its franchisees with respect to warranty reimbursement or authority granted its franchisees to make warranty adjustments with retail customers.(p) Sell manufactured homes, mobilehomes, or commercial coaches to persons not licensed under this part for resale, except as authorized pursuant to Section 18015.7 or 18062.9.(q) Fail to exercise reasonable supervision over the activities of employees who negotiate or promote the sale of manufactured homes, mobilehomes, or commercial coaches.SEC. 7. Section 50091 of the Health and Safety Code is amended to read:50091. Nonprofit housing sponsor or nonprofit corporation means a nonprofit corporation incorporated pursuant to Division 2 (commencing with Section 5000) of Title 1 of the Corporations Code or a corporation or association that is, or will be qualified as, a cooperative housing corporation for purposes of subdivision (a) of Section 17265 of the Revenue and Taxation Code, a nonprofit student housing cooperative, or a limited equity housing cooperative and that is certified by the agency as qualified to own a housing development if financed or assisted by the agency. However, a limited equity housing cooperative shall not be deemed to be nonprofit for the purpose of Chapter 10 (commencing with Section 50775). A nonprofit corporation shall also include a tribally designated housing entity as defined in Section 4103 of Title 25 of the United States Code and Section 50104.6.5.SEC. 8. Section 50468 of the Health and Safety Code is amended to read:50468. (a) The department shall not require a project-specific transition reserve for any unit subject to a qualified project rental or operating subsidy.(b) The Pooled Transition Reserve Fund is hereby created within the State Treasury and, notwithstanding Section 13340 of the Government Code, is continuously appropriated to the department for the purpose of establishing and maintaining a pooled transition reserve. The fund shall consist of all of the following:(1) Fees charged by the department to projects that receive qualified project rental or operating subsidies at the time of permanent loan closing.(2) Upon appropriation by the Legislature, moneys from the General Fund or other funds.(3) Moneys from any other source, including from any private donation or grant made for the purposes of this part.(c) The department may charge a fee to each project that receives qualified project rental or operating subsidies at the time of permanent loan closing, not to exceed the reasonable costs of the department to capitalize the reserve fund and cover administrative costs. All fees shall be deposited in the Pooled Transition Reserve Fund and used for the purposes of this section. The department may capitalize the fees authorized by this subdivision as necessary to ensure the financial feasibility and long-term affordability of the multifamily housing project, in which case funds may be transferred to the Pooled Transition Reserve Fund at the time of permanent loan closing.(d) (1) Project-specific transition reserve means a reserve account or a set aside of funds accruing to the benefit of a particular affordable rental housing development to address the impacts on tenants of a loss or exhaustion of a rental or operating subsidy.(2) Pooled transition reserve means a fund or account established and maintained by the department to mitigate, with respect to residential dwelling units described in subdivision (e), the impacts on tenant rents from the loss or exhaustion of a qualified project rental or an operating subsidy.(3) Qualified project rental or operating subsidy means federally originated rental assistance or operating subsidies, the a local rental housing subsidy programs program operated by the City and County of San Francisco and or the City County of Los Angeles, or other means of rental assistance or operating assistance identified by the department.(e) This section shall apply to units of a multifamily housing project financed by any program administered by the department, for which permanent loan closing has not occurred prior to January 1, 2023, including, but not limited to, all of the following:(1) The competitive component of the Building Homes and Jobs Act (Chapter 2.5 (commencing with Section 50470)).(2) The Joe Serna, Jr. Farmworker Housing Grant Program (Chapter 3.2 (commencing with Section 50515.2)).(3) The Multifamily Housing Program (Chapter 6.7 (commencing with Section 50675)).(4) The Transit-Oriented Development Implementation Program (Part 13 (commencing with Section 53560)).(5) Housing for a Healthy California Program (Part 14.2 (commencing with Section 53590)).(6) The Veterans Housing and Homeless Prevention Act of 2014 (Article 3.2 (commencing with Section 987.001) of Chapter 6 of Division 4 of the Military and Veterans Code).(7) The Affordable Housing and Sustainable Communities Program (Part 1 (commencing with Section 75200) of Division 44 of the Public Resources Code).(8) The No Place Like Home Program (Part 3.9 (commencing with Section 5849.1) of Division 5 of the Welfare and Institutions Code).(9) The federal Community Development Block Grant Program (42 U.S.C. Sec. 5301 et seq.).(10) The federal HOME Investment Partnership Program (42 U.S.C. Sec. 12721 et seq.).(11) The National Housing Trust Fund established pursuant to the federal Housing and Economic Recovery Act of 2008 (Public Law 110-289), and implementing federal regulations.(f) The department may review, adopt, amend, and repeal guidelines to implement uniform standards or criteria that supplement or clarify the terms, references, or standards set forth in this section, including adopting fees as set forth in subdivision (c). The guidelines may address participation in the pooled transition reserve by projects with existing project-based transition reserves, including disposition of the existing project-based transition reserve funds. The adoption, amendment, or repeal of any guidelines or terms pursuant to this subdivision is hereby exempted from the rulemaking provisions of the Administrative Procedure Act (Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code). The people of the State of California do enact as follows: ## The people of the State of California do enact as follows: SECTION 1. Section 5103 of the Civil Code is amended to read:5103. Notwithstanding the secret balloting requirement in Section 5100, or any contrary provision in the governing documents, when, as of the deadline for submitting nominations provided for in subdivision (a) of Section 5115, the number of qualified candidates is not more than the number of vacancies to be elected, as determined by the inspector or inspectors of the elections, the association may, but is not required to, consider the qualified candidates elected by acclamation if all of the following conditions have been met:(a) The association has held a regular election for the directors in the last three years. The three-year time period shall be calculated from the date ballots were due in the last full election to the start of voting for the proposed election.(b) The association provided individual notice of the election and the procedure for nominating candidates as follows:(1) Initial notice at least 90 days before the deadline for submitting nominations provided for in subdivision (a) of Section 5115. The initial notice shall include all of the following:(A) The number of board positions that will be filled at the election.(B) The deadline for submitting nominations.(C) The manner in which nominations can be submitted.(D) A statement informing members that if, at the close of the time period for making nominations, there are the same number or fewer qualified candidates as there are board positions to be filled, then the board of directors may, after voting to do so, seat the qualified candidates by acclamation without balloting.(2) A reminder notice between 7 and 30 days before the deadline for submitting nominations provided for in subdivision (a) of Section 5115. The reminder notice shall include all of the following:(A) The number of board positions that will be filled at the election.(B) The deadline for submitting nominations.(C) The manner in which nominations can be submitted.(D) A list of the names of all of the qualified candidates to fill the board positions as of the date of the reminder notice.(E) A statement reminding members that if, at the close of the time period for making nominations, there are the same number or fewer qualified candidates as there are board positions to be filled, then the board of directors may, after voting to do so, seat the qualified candidates by acclamation without balloting. This statement is not required if, at the time the reminder notice will be delivered, the number of qualified candidates already exceeds the number of board positions to be filled.(c) (1) The association provides, within seven business days of receiving a nomination, a written or electronic communication acknowledging the nomination to the member who submitted the nomination.(2) The association provides, within seven business days of receiving a nomination, a written or electronic communication to the nominee, indicating either of the following:(A) The nominee is a qualified candidate for the board of directors.(B) The nominee is not a qualified candidate for the board of directors, the basis for the disqualification, and the procedure, which shall comply with Article 2 (commencing with Section 5900) of Chapter 10, by which the nominee may appeal the disqualification.(3) The association may combine the written or electronic communication described in paragraphs (1) and (2) into a single written or electronic communication if the nominee and the nominator are the same person.(d) (1) The association permits all candidates to run if nominated, except for nominees disqualified for running as allowed or required pursuant to subdivisions (b) to (e), inclusive, of Section 5105.(2)Notwithstanding paragraph (1), an association may disqualify a nominee if the person has served the maximum number of terms or sequential terms allowed by the association.(3)(2) If an association disqualifies a nominee pursuant to this subdivision, an association in its election rules shall also require a director to comply with the same requirements.(e) The association board votes to consider the qualified candidates elected by acclamation at a meeting pursuant to Article 2 (commencing with Section 4900) for which the agenda item reflects the name of each qualified candidate that will be seated by acclamation if the item is approved. SECTION 1. Section 5103 of the Civil Code is amended to read: ### SECTION 1. 5103. Notwithstanding the secret balloting requirement in Section 5100, or any contrary provision in the governing documents, when, as of the deadline for submitting nominations provided for in subdivision (a) of Section 5115, the number of qualified candidates is not more than the number of vacancies to be elected, as determined by the inspector or inspectors of the elections, the association may, but is not required to, consider the qualified candidates elected by acclamation if all of the following conditions have been met:(a) The association has held a regular election for the directors in the last three years. The three-year time period shall be calculated from the date ballots were due in the last full election to the start of voting for the proposed election.(b) The association provided individual notice of the election and the procedure for nominating candidates as follows:(1) Initial notice at least 90 days before the deadline for submitting nominations provided for in subdivision (a) of Section 5115. The initial notice shall include all of the following:(A) The number of board positions that will be filled at the election.(B) The deadline for submitting nominations.(C) The manner in which nominations can be submitted.(D) A statement informing members that if, at the close of the time period for making nominations, there are the same number or fewer qualified candidates as there are board positions to be filled, then the board of directors may, after voting to do so, seat the qualified candidates by acclamation without balloting.(2) A reminder notice between 7 and 30 days before the deadline for submitting nominations provided for in subdivision (a) of Section 5115. The reminder notice shall include all of the following:(A) The number of board positions that will be filled at the election.(B) The deadline for submitting nominations.(C) The manner in which nominations can be submitted.(D) A list of the names of all of the qualified candidates to fill the board positions as of the date of the reminder notice.(E) A statement reminding members that if, at the close of the time period for making nominations, there are the same number or fewer qualified candidates as there are board positions to be filled, then the board of directors may, after voting to do so, seat the qualified candidates by acclamation without balloting. This statement is not required if, at the time the reminder notice will be delivered, the number of qualified candidates already exceeds the number of board positions to be filled.(c) (1) The association provides, within seven business days of receiving a nomination, a written or electronic communication acknowledging the nomination to the member who submitted the nomination.(2) The association provides, within seven business days of receiving a nomination, a written or electronic communication to the nominee, indicating either of the following:(A) The nominee is a qualified candidate for the board of directors.(B) The nominee is not a qualified candidate for the board of directors, the basis for the disqualification, and the procedure, which shall comply with Article 2 (commencing with Section 5900) of Chapter 10, by which the nominee may appeal the disqualification.(3) The association may combine the written or electronic communication described in paragraphs (1) and (2) into a single written or electronic communication if the nominee and the nominator are the same person.(d) (1) The association permits all candidates to run if nominated, except for nominees disqualified for running as allowed or required pursuant to subdivisions (b) to (e), inclusive, of Section 5105.(2)Notwithstanding paragraph (1), an association may disqualify a nominee if the person has served the maximum number of terms or sequential terms allowed by the association.(3)(2) If an association disqualifies a nominee pursuant to this subdivision, an association in its election rules shall also require a director to comply with the same requirements.(e) The association board votes to consider the qualified candidates elected by acclamation at a meeting pursuant to Article 2 (commencing with Section 4900) for which the agenda item reflects the name of each qualified candidate that will be seated by acclamation if the item is approved. 5103. Notwithstanding the secret balloting requirement in Section 5100, or any contrary provision in the governing documents, when, as of the deadline for submitting nominations provided for in subdivision (a) of Section 5115, the number of qualified candidates is not more than the number of vacancies to be elected, as determined by the inspector or inspectors of the elections, the association may, but is not required to, consider the qualified candidates elected by acclamation if all of the following conditions have been met:(a) The association has held a regular election for the directors in the last three years. The three-year time period shall be calculated from the date ballots were due in the last full election to the start of voting for the proposed election.(b) The association provided individual notice of the election and the procedure for nominating candidates as follows:(1) Initial notice at least 90 days before the deadline for submitting nominations provided for in subdivision (a) of Section 5115. The initial notice shall include all of the following:(A) The number of board positions that will be filled at the election.(B) The deadline for submitting nominations.(C) The manner in which nominations can be submitted.(D) A statement informing members that if, at the close of the time period for making nominations, there are the same number or fewer qualified candidates as there are board positions to be filled, then the board of directors may, after voting to do so, seat the qualified candidates by acclamation without balloting.(2) A reminder notice between 7 and 30 days before the deadline for submitting nominations provided for in subdivision (a) of Section 5115. The reminder notice shall include all of the following:(A) The number of board positions that will be filled at the election.(B) The deadline for submitting nominations.(C) The manner in which nominations can be submitted.(D) A list of the names of all of the qualified candidates to fill the board positions as of the date of the reminder notice.(E) A statement reminding members that if, at the close of the time period for making nominations, there are the same number or fewer qualified candidates as there are board positions to be filled, then the board of directors may, after voting to do so, seat the qualified candidates by acclamation without balloting. This statement is not required if, at the time the reminder notice will be delivered, the number of qualified candidates already exceeds the number of board positions to be filled.(c) (1) The association provides, within seven business days of receiving a nomination, a written or electronic communication acknowledging the nomination to the member who submitted the nomination.(2) The association provides, within seven business days of receiving a nomination, a written or electronic communication to the nominee, indicating either of the following:(A) The nominee is a qualified candidate for the board of directors.(B) The nominee is not a qualified candidate for the board of directors, the basis for the disqualification, and the procedure, which shall comply with Article 2 (commencing with Section 5900) of Chapter 10, by which the nominee may appeal the disqualification.(3) The association may combine the written or electronic communication described in paragraphs (1) and (2) into a single written or electronic communication if the nominee and the nominator are the same person.(d) (1) The association permits all candidates to run if nominated, except for nominees disqualified for running as allowed or required pursuant to subdivisions (b) to (e), inclusive, of Section 5105.(2)Notwithstanding paragraph (1), an association may disqualify a nominee if the person has served the maximum number of terms or sequential terms allowed by the association.(3)(2) If an association disqualifies a nominee pursuant to this subdivision, an association in its election rules shall also require a director to comply with the same requirements.(e) The association board votes to consider the qualified candidates elected by acclamation at a meeting pursuant to Article 2 (commencing with Section 4900) for which the agenda item reflects the name of each qualified candidate that will be seated by acclamation if the item is approved. 5103. Notwithstanding the secret balloting requirement in Section 5100, or any contrary provision in the governing documents, when, as of the deadline for submitting nominations provided for in subdivision (a) of Section 5115, the number of qualified candidates is not more than the number of vacancies to be elected, as determined by the inspector or inspectors of the elections, the association may, but is not required to, consider the qualified candidates elected by acclamation if all of the following conditions have been met:(a) The association has held a regular election for the directors in the last three years. The three-year time period shall be calculated from the date ballots were due in the last full election to the start of voting for the proposed election.(b) The association provided individual notice of the election and the procedure for nominating candidates as follows:(1) Initial notice at least 90 days before the deadline for submitting nominations provided for in subdivision (a) of Section 5115. The initial notice shall include all of the following:(A) The number of board positions that will be filled at the election.(B) The deadline for submitting nominations.(C) The manner in which nominations can be submitted.(D) A statement informing members that if, at the close of the time period for making nominations, there are the same number or fewer qualified candidates as there are board positions to be filled, then the board of directors may, after voting to do so, seat the qualified candidates by acclamation without balloting.(2) A reminder notice between 7 and 30 days before the deadline for submitting nominations provided for in subdivision (a) of Section 5115. The reminder notice shall include all of the following:(A) The number of board positions that will be filled at the election.(B) The deadline for submitting nominations.(C) The manner in which nominations can be submitted.(D) A list of the names of all of the qualified candidates to fill the board positions as of the date of the reminder notice.(E) A statement reminding members that if, at the close of the time period for making nominations, there are the same number or fewer qualified candidates as there are board positions to be filled, then the board of directors may, after voting to do so, seat the qualified candidates by acclamation without balloting. This statement is not required if, at the time the reminder notice will be delivered, the number of qualified candidates already exceeds the number of board positions to be filled.(c) (1) The association provides, within seven business days of receiving a nomination, a written or electronic communication acknowledging the nomination to the member who submitted the nomination.(2) The association provides, within seven business days of receiving a nomination, a written or electronic communication to the nominee, indicating either of the following:(A) The nominee is a qualified candidate for the board of directors.(B) The nominee is not a qualified candidate for the board of directors, the basis for the disqualification, and the procedure, which shall comply with Article 2 (commencing with Section 5900) of Chapter 10, by which the nominee may appeal the disqualification.(3) The association may combine the written or electronic communication described in paragraphs (1) and (2) into a single written or electronic communication if the nominee and the nominator are the same person.(d) (1) The association permits all candidates to run if nominated, except for nominees disqualified for running as allowed or required pursuant to subdivisions (b) to (e), inclusive, of Section 5105.(2)Notwithstanding paragraph (1), an association may disqualify a nominee if the person has served the maximum number of terms or sequential terms allowed by the association.(3)(2) If an association disqualifies a nominee pursuant to this subdivision, an association in its election rules shall also require a director to comply with the same requirements.(e) The association board votes to consider the qualified candidates elected by acclamation at a meeting pursuant to Article 2 (commencing with Section 4900) for which the agenda item reflects the name of each qualified candidate that will be seated by acclamation if the item is approved. 5103. Notwithstanding the secret balloting requirement in Section 5100, or any contrary provision in the governing documents, when, as of the deadline for submitting nominations provided for in subdivision (a) of Section 5115, the number of qualified candidates is not more than the number of vacancies to be elected, as determined by the inspector or inspectors of the elections, the association may, but is not required to, consider the qualified candidates elected by acclamation if all of the following conditions have been met: (a) The association has held a regular election for the directors in the last three years. The three-year time period shall be calculated from the date ballots were due in the last full election to the start of voting for the proposed election. (b) The association provided individual notice of the election and the procedure for nominating candidates as follows: (1) Initial notice at least 90 days before the deadline for submitting nominations provided for in subdivision (a) of Section 5115. The initial notice shall include all of the following: (A) The number of board positions that will be filled at the election. (B) The deadline for submitting nominations. (C) The manner in which nominations can be submitted. (D) A statement informing members that if, at the close of the time period for making nominations, there are the same number or fewer qualified candidates as there are board positions to be filled, then the board of directors may, after voting to do so, seat the qualified candidates by acclamation without balloting. (2) A reminder notice between 7 and 30 days before the deadline for submitting nominations provided for in subdivision (a) of Section 5115. The reminder notice shall include all of the following: (A) The number of board positions that will be filled at the election. (B) The deadline for submitting nominations. (C) The manner in which nominations can be submitted. (D) A list of the names of all of the qualified candidates to fill the board positions as of the date of the reminder notice. (E) A statement reminding members that if, at the close of the time period for making nominations, there are the same number or fewer qualified candidates as there are board positions to be filled, then the board of directors may, after voting to do so, seat the qualified candidates by acclamation without balloting. This statement is not required if, at the time the reminder notice will be delivered, the number of qualified candidates already exceeds the number of board positions to be filled. (c) (1) The association provides, within seven business days of receiving a nomination, a written or electronic communication acknowledging the nomination to the member who submitted the nomination. (2) The association provides, within seven business days of receiving a nomination, a written or electronic communication to the nominee, indicating either of the following: (A) The nominee is a qualified candidate for the board of directors. (B) The nominee is not a qualified candidate for the board of directors, the basis for the disqualification, and the procedure, which shall comply with Article 2 (commencing with Section 5900) of Chapter 10, by which the nominee may appeal the disqualification. (3) The association may combine the written or electronic communication described in paragraphs (1) and (2) into a single written or electronic communication if the nominee and the nominator are the same person. (d) (1) The association permits all candidates to run if nominated, except for nominees disqualified for running as allowed or required pursuant to subdivisions (b) to (e), inclusive, of Section 5105. (2)Notwithstanding paragraph (1), an association may disqualify a nominee if the person has served the maximum number of terms or sequential terms allowed by the association. (3) (2) If an association disqualifies a nominee pursuant to this subdivision, an association in its election rules shall also require a director to comply with the same requirements. (e) The association board votes to consider the qualified candidates elected by acclamation at a meeting pursuant to Article 2 (commencing with Section 4900) for which the agenda item reflects the name of each qualified candidate that will be seated by acclamation if the item is approved. SEC. 2. Section 5105 of the Civil Code is amended to read:5105. (a) An association shall adopt operating rules in accordance with the procedures prescribed by Article 5 (commencing with Section 4340) of Chapter 3, that do all of the following:(1) Ensure that if any candidate or member advocating a point of view is provided access to association media, newsletters, or internet websites during a campaign, for purposes that are reasonably related to that election, equal access shall be provided to all candidates and members advocating a point of view, including those not endorsed by the board, for purposes that are reasonably related to the election. The association shall not edit or redact any content from these communications, but may include a statement specifying that the candidate or member, and not the association, is responsible for that content.(2) Ensure access to the common area meeting space, if any exists, during a campaign, at no cost, to all candidates, including those who are not incumbents, and to all members advocating a point of view, including those not endorsed by the board, for purposes reasonably related to the election.(3) Specify the qualifications for candidates for the board and any other elected position, subject to subdivision (b), and procedures for the nomination of candidates, consistent with the governing documents. A nomination or election procedure shall not be deemed reasonable if it disallows any member from nominating themself for election to the board.(4) Specify the voting power of each membership, the authenticity, validity, and effect of proxies, and the voting period for elections, including the times at which polls will open and close, consistent with the governing documents.(5) Specify a method of selecting one or three independent third parties as inspector or inspectors of elections utilizing one of the following methods:(A) Appointment of the inspector or inspectors by the board.(B) Election of the inspector or inspectors by the members of the association.(C) Any other method for selecting the inspector or inspectors.(6) Allow the inspector or inspectors to appoint and oversee additional persons to verify signatures and to count and tabulate votes as the inspector or inspectors deem appropriate, provided that the persons are independent third parties who meet the requirements in subdivision (b) of Section 5110.(7) Require retention of, as association election materials, both a candidate registration list and a voter list. The candidate list shall include name and address of individuals nominated as a candidate for election to the board of directors. The voter list shall include name, voting power, and either the physical address of the voters separate interest, the parcel number, or both. The mailing address for the ballot shall be listed on the voter list if it differs from the physical address of the voters separate interest or if only the parcel number is used. The association shall permit members to verify the accuracy of their individual information on both lists at least 30 days before the ballots are distributed. The association or member shall report any errors or omissions to either list to the inspector or inspectors who shall make the corrections within two business days.(b) An association shall disqualify a person from a nomination as a candidate for not being a member of the association at the time of the nomination. An association shall disqualify a nominee if that person has served the maximum number of terms or sequential terms allowed by the association. A director who ceases to be a member shall be disqualified from continuing to serve as a director.(1) This subdivision does not restrict a developer from making a nomination of a nonmember candidate consistent with the voting power of the developer as set forth in the regulations of the Department of Real Estate and the associations governing documents.(2) If title to a separate interest parcel is held by a legal entity that is not a natural person, the governing authority of that legal entity shall have the power to appoint a natural person to be a member for purposes of this article.(c) Through its bylaws or election operating rules adopted pursuant to subdivision (a) of Section 5105 only, an association may disqualify a person from nomination as a candidate pursuant to any of the following:(1) Subject to paragraph (2) of subdivision (d), an association may require a nominee for a board seat, and a director during their board tenure, to be current in the payment of regular and special assessments, which are consumer debts subject to validation. If an association requires a nominee to be current in the payment of regular and special assessments, it shall also require a director to be current in the payment of regular and special assessments.(2) An association may disqualify a person from nomination as a candidate if the person, if elected, would be serving on the board at the same time as another person who holds a joint ownership interest in the same separate interest parcel as the person and the other person is either properly nominated for the current election or an incumbent director.(3) An association may disqualify a nominee if that person has been a member of the association for less than one year.(4) An association may disqualify a nominee if that person discloses, or if the association is aware or becomes aware of, a past criminal conviction that would, if the person was elected, either prevent the association from purchasing the insurance required by Section 5806 or terminate the associations existing insurance coverage required by Section 5806 as to that person should the person be elected.(d) An association may disqualify a person from nomination for nonpayment of regular and special assessments, but may not disqualify a nominee for nonpayment of fines, fines renamed as assessments, collection charges, late charges, or costs levied by a third party. The person shall not be disqualified for failure to be current in payment of regular and special assessments if either of the following circumstances is true:(1) The person has paid the regular or special assessment under protest pursuant to Section 5658.(2) The person has entered into and is in compliance with a payment plan pursuant to Section 5665.(e) An association shall not disqualify a person from nomination if the person has not been provided the opportunity to engage in internal dispute resolution pursuant to Article 2 (commencing with Section 5900) of Chapter 10.(f) If an association disqualifies a nominee pursuant to this section, an association in its election rules shall also require a director to comply with the same requirements.(f)(g) Notwithstanding any other law, the rules adopted pursuant to this section may provide for the nomination of candidates from the floor of membership meetings or nomination by any other manner. Those rules may permit write-in candidates for ballots.(g)(h) Notwithstanding any other law, the rules adopted pursuant to this section shall do all of the following:(1) Prohibit the denial of a ballot to a member for any reason other than not being a member at the time when ballots are distributed.(2) Prohibit the denial of a ballot to a person with general power of attorney for a member.(3) Require the ballot of a person with general power of attorney for a member to be counted if returned in a timely manner.(4) Require the inspector or inspectors of elections to deliver, or cause to be delivered, at least 30 days before an election, to each member both of the following documents:(A) The ballot or ballots.(B) A copy of the election operating rules. Delivery of the election operating rules may be accomplished by either of the following methods:(i) Posting the election operating rules to an internet website and including the corresponding internet website address on the ballot together with the phrase, in at least 12-point font: The rules governing this election may be found here:(ii) Individual delivery.(h)(iii) Election operating rules adopted pursuant to this section shall not be amended less than 90 days prior to an election. SEC. 2. Section 5105 of the Civil Code is amended to read: ### SEC. 2. 5105. (a) An association shall adopt operating rules in accordance with the procedures prescribed by Article 5 (commencing with Section 4340) of Chapter 3, that do all of the following:(1) Ensure that if any candidate or member advocating a point of view is provided access to association media, newsletters, or internet websites during a campaign, for purposes that are reasonably related to that election, equal access shall be provided to all candidates and members advocating a point of view, including those not endorsed by the board, for purposes that are reasonably related to the election. The association shall not edit or redact any content from these communications, but may include a statement specifying that the candidate or member, and not the association, is responsible for that content.(2) Ensure access to the common area meeting space, if any exists, during a campaign, at no cost, to all candidates, including those who are not incumbents, and to all members advocating a point of view, including those not endorsed by the board, for purposes reasonably related to the election.(3) Specify the qualifications for candidates for the board and any other elected position, subject to subdivision (b), and procedures for the nomination of candidates, consistent with the governing documents. A nomination or election procedure shall not be deemed reasonable if it disallows any member from nominating themself for election to the board.(4) Specify the voting power of each membership, the authenticity, validity, and effect of proxies, and the voting period for elections, including the times at which polls will open and close, consistent with the governing documents.(5) Specify a method of selecting one or three independent third parties as inspector or inspectors of elections utilizing one of the following methods:(A) Appointment of the inspector or inspectors by the board.(B) Election of the inspector or inspectors by the members of the association.(C) Any other method for selecting the inspector or inspectors.(6) Allow the inspector or inspectors to appoint and oversee additional persons to verify signatures and to count and tabulate votes as the inspector or inspectors deem appropriate, provided that the persons are independent third parties who meet the requirements in subdivision (b) of Section 5110.(7) Require retention of, as association election materials, both a candidate registration list and a voter list. The candidate list shall include name and address of individuals nominated as a candidate for election to the board of directors. The voter list shall include name, voting power, and either the physical address of the voters separate interest, the parcel number, or both. The mailing address for the ballot shall be listed on the voter list if it differs from the physical address of the voters separate interest or if only the parcel number is used. The association shall permit members to verify the accuracy of their individual information on both lists at least 30 days before the ballots are distributed. The association or member shall report any errors or omissions to either list to the inspector or inspectors who shall make the corrections within two business days.(b) An association shall disqualify a person from a nomination as a candidate for not being a member of the association at the time of the nomination. An association shall disqualify a nominee if that person has served the maximum number of terms or sequential terms allowed by the association. A director who ceases to be a member shall be disqualified from continuing to serve as a director.(1) This subdivision does not restrict a developer from making a nomination of a nonmember candidate consistent with the voting power of the developer as set forth in the regulations of the Department of Real Estate and the associations governing documents.(2) If title to a separate interest parcel is held by a legal entity that is not a natural person, the governing authority of that legal entity shall have the power to appoint a natural person to be a member for purposes of this article.(c) Through its bylaws or election operating rules adopted pursuant to subdivision (a) of Section 5105 only, an association may disqualify a person from nomination as a candidate pursuant to any of the following:(1) Subject to paragraph (2) of subdivision (d), an association may require a nominee for a board seat, and a director during their board tenure, to be current in the payment of regular and special assessments, which are consumer debts subject to validation. If an association requires a nominee to be current in the payment of regular and special assessments, it shall also require a director to be current in the payment of regular and special assessments.(2) An association may disqualify a person from nomination as a candidate if the person, if elected, would be serving on the board at the same time as another person who holds a joint ownership interest in the same separate interest parcel as the person and the other person is either properly nominated for the current election or an incumbent director.(3) An association may disqualify a nominee if that person has been a member of the association for less than one year.(4) An association may disqualify a nominee if that person discloses, or if the association is aware or becomes aware of, a past criminal conviction that would, if the person was elected, either prevent the association from purchasing the insurance required by Section 5806 or terminate the associations existing insurance coverage required by Section 5806 as to that person should the person be elected.(d) An association may disqualify a person from nomination for nonpayment of regular and special assessments, but may not disqualify a nominee for nonpayment of fines, fines renamed as assessments, collection charges, late charges, or costs levied by a third party. The person shall not be disqualified for failure to be current in payment of regular and special assessments if either of the following circumstances is true:(1) The person has paid the regular or special assessment under protest pursuant to Section 5658.(2) The person has entered into and is in compliance with a payment plan pursuant to Section 5665.(e) An association shall not disqualify a person from nomination if the person has not been provided the opportunity to engage in internal dispute resolution pursuant to Article 2 (commencing with Section 5900) of Chapter 10.(f) If an association disqualifies a nominee pursuant to this section, an association in its election rules shall also require a director to comply with the same requirements.(f)(g) Notwithstanding any other law, the rules adopted pursuant to this section may provide for the nomination of candidates from the floor of membership meetings or nomination by any other manner. Those rules may permit write-in candidates for ballots.(g)(h) Notwithstanding any other law, the rules adopted pursuant to this section shall do all of the following:(1) Prohibit the denial of a ballot to a member for any reason other than not being a member at the time when ballots are distributed.(2) Prohibit the denial of a ballot to a person with general power of attorney for a member.(3) Require the ballot of a person with general power of attorney for a member to be counted if returned in a timely manner.(4) Require the inspector or inspectors of elections to deliver, or cause to be delivered, at least 30 days before an election, to each member both of the following documents:(A) The ballot or ballots.(B) A copy of the election operating rules. Delivery of the election operating rules may be accomplished by either of the following methods:(i) Posting the election operating rules to an internet website and including the corresponding internet website address on the ballot together with the phrase, in at least 12-point font: The rules governing this election may be found here:(ii) Individual delivery.(h)(iii) Election operating rules adopted pursuant to this section shall not be amended less than 90 days prior to an election. 5105. (a) An association shall adopt operating rules in accordance with the procedures prescribed by Article 5 (commencing with Section 4340) of Chapter 3, that do all of the following:(1) Ensure that if any candidate or member advocating a point of view is provided access to association media, newsletters, or internet websites during a campaign, for purposes that are reasonably related to that election, equal access shall be provided to all candidates and members advocating a point of view, including those not endorsed by the board, for purposes that are reasonably related to the election. The association shall not edit or redact any content from these communications, but may include a statement specifying that the candidate or member, and not the association, is responsible for that content.(2) Ensure access to the common area meeting space, if any exists, during a campaign, at no cost, to all candidates, including those who are not incumbents, and to all members advocating a point of view, including those not endorsed by the board, for purposes reasonably related to the election.(3) Specify the qualifications for candidates for the board and any other elected position, subject to subdivision (b), and procedures for the nomination of candidates, consistent with the governing documents. A nomination or election procedure shall not be deemed reasonable if it disallows any member from nominating themself for election to the board.(4) Specify the voting power of each membership, the authenticity, validity, and effect of proxies, and the voting period for elections, including the times at which polls will open and close, consistent with the governing documents.(5) Specify a method of selecting one or three independent third parties as inspector or inspectors of elections utilizing one of the following methods:(A) Appointment of the inspector or inspectors by the board.(B) Election of the inspector or inspectors by the members of the association.(C) Any other method for selecting the inspector or inspectors.(6) Allow the inspector or inspectors to appoint and oversee additional persons to verify signatures and to count and tabulate votes as the inspector or inspectors deem appropriate, provided that the persons are independent third parties who meet the requirements in subdivision (b) of Section 5110.(7) Require retention of, as association election materials, both a candidate registration list and a voter list. The candidate list shall include name and address of individuals nominated as a candidate for election to the board of directors. The voter list shall include name, voting power, and either the physical address of the voters separate interest, the parcel number, or both. The mailing address for the ballot shall be listed on the voter list if it differs from the physical address of the voters separate interest or if only the parcel number is used. The association shall permit members to verify the accuracy of their individual information on both lists at least 30 days before the ballots are distributed. The association or member shall report any errors or omissions to either list to the inspector or inspectors who shall make the corrections within two business days.(b) An association shall disqualify a person from a nomination as a candidate for not being a member of the association at the time of the nomination. An association shall disqualify a nominee if that person has served the maximum number of terms or sequential terms allowed by the association. A director who ceases to be a member shall be disqualified from continuing to serve as a director.(1) This subdivision does not restrict a developer from making a nomination of a nonmember candidate consistent with the voting power of the developer as set forth in the regulations of the Department of Real Estate and the associations governing documents.(2) If title to a separate interest parcel is held by a legal entity that is not a natural person, the governing authority of that legal entity shall have the power to appoint a natural person to be a member for purposes of this article.(c) Through its bylaws or election operating rules adopted pursuant to subdivision (a) of Section 5105 only, an association may disqualify a person from nomination as a candidate pursuant to any of the following:(1) Subject to paragraph (2) of subdivision (d), an association may require a nominee for a board seat, and a director during their board tenure, to be current in the payment of regular and special assessments, which are consumer debts subject to validation. If an association requires a nominee to be current in the payment of regular and special assessments, it shall also require a director to be current in the payment of regular and special assessments.(2) An association may disqualify a person from nomination as a candidate if the person, if elected, would be serving on the board at the same time as another person who holds a joint ownership interest in the same separate interest parcel as the person and the other person is either properly nominated for the current election or an incumbent director.(3) An association may disqualify a nominee if that person has been a member of the association for less than one year.(4) An association may disqualify a nominee if that person discloses, or if the association is aware or becomes aware of, a past criminal conviction that would, if the person was elected, either prevent the association from purchasing the insurance required by Section 5806 or terminate the associations existing insurance coverage required by Section 5806 as to that person should the person be elected.(d) An association may disqualify a person from nomination for nonpayment of regular and special assessments, but may not disqualify a nominee for nonpayment of fines, fines renamed as assessments, collection charges, late charges, or costs levied by a third party. The person shall not be disqualified for failure to be current in payment of regular and special assessments if either of the following circumstances is true:(1) The person has paid the regular or special assessment under protest pursuant to Section 5658.(2) The person has entered into and is in compliance with a payment plan pursuant to Section 5665.(e) An association shall not disqualify a person from nomination if the person has not been provided the opportunity to engage in internal dispute resolution pursuant to Article 2 (commencing with Section 5900) of Chapter 10.(f) If an association disqualifies a nominee pursuant to this section, an association in its election rules shall also require a director to comply with the same requirements.(f)(g) Notwithstanding any other law, the rules adopted pursuant to this section may provide for the nomination of candidates from the floor of membership meetings or nomination by any other manner. Those rules may permit write-in candidates for ballots.(g)(h) Notwithstanding any other law, the rules adopted pursuant to this section shall do all of the following:(1) Prohibit the denial of a ballot to a member for any reason other than not being a member at the time when ballots are distributed.(2) Prohibit the denial of a ballot to a person with general power of attorney for a member.(3) Require the ballot of a person with general power of attorney for a member to be counted if returned in a timely manner.(4) Require the inspector or inspectors of elections to deliver, or cause to be delivered, at least 30 days before an election, to each member both of the following documents:(A) The ballot or ballots.(B) A copy of the election operating rules. Delivery of the election operating rules may be accomplished by either of the following methods:(i) Posting the election operating rules to an internet website and including the corresponding internet website address on the ballot together with the phrase, in at least 12-point font: The rules governing this election may be found here:(ii) Individual delivery.(h)(iii) Election operating rules adopted pursuant to this section shall not be amended less than 90 days prior to an election. 5105. (a) An association shall adopt operating rules in accordance with the procedures prescribed by Article 5 (commencing with Section 4340) of Chapter 3, that do all of the following:(1) Ensure that if any candidate or member advocating a point of view is provided access to association media, newsletters, or internet websites during a campaign, for purposes that are reasonably related to that election, equal access shall be provided to all candidates and members advocating a point of view, including those not endorsed by the board, for purposes that are reasonably related to the election. The association shall not edit or redact any content from these communications, but may include a statement specifying that the candidate or member, and not the association, is responsible for that content.(2) Ensure access to the common area meeting space, if any exists, during a campaign, at no cost, to all candidates, including those who are not incumbents, and to all members advocating a point of view, including those not endorsed by the board, for purposes reasonably related to the election.(3) Specify the qualifications for candidates for the board and any other elected position, subject to subdivision (b), and procedures for the nomination of candidates, consistent with the governing documents. A nomination or election procedure shall not be deemed reasonable if it disallows any member from nominating themself for election to the board.(4) Specify the voting power of each membership, the authenticity, validity, and effect of proxies, and the voting period for elections, including the times at which polls will open and close, consistent with the governing documents.(5) Specify a method of selecting one or three independent third parties as inspector or inspectors of elections utilizing one of the following methods:(A) Appointment of the inspector or inspectors by the board.(B) Election of the inspector or inspectors by the members of the association.(C) Any other method for selecting the inspector or inspectors.(6) Allow the inspector or inspectors to appoint and oversee additional persons to verify signatures and to count and tabulate votes as the inspector or inspectors deem appropriate, provided that the persons are independent third parties who meet the requirements in subdivision (b) of Section 5110.(7) Require retention of, as association election materials, both a candidate registration list and a voter list. The candidate list shall include name and address of individuals nominated as a candidate for election to the board of directors. The voter list shall include name, voting power, and either the physical address of the voters separate interest, the parcel number, or both. The mailing address for the ballot shall be listed on the voter list if it differs from the physical address of the voters separate interest or if only the parcel number is used. The association shall permit members to verify the accuracy of their individual information on both lists at least 30 days before the ballots are distributed. The association or member shall report any errors or omissions to either list to the inspector or inspectors who shall make the corrections within two business days.(b) An association shall disqualify a person from a nomination as a candidate for not being a member of the association at the time of the nomination. An association shall disqualify a nominee if that person has served the maximum number of terms or sequential terms allowed by the association. A director who ceases to be a member shall be disqualified from continuing to serve as a director.(1) This subdivision does not restrict a developer from making a nomination of a nonmember candidate consistent with the voting power of the developer as set forth in the regulations of the Department of Real Estate and the associations governing documents.(2) If title to a separate interest parcel is held by a legal entity that is not a natural person, the governing authority of that legal entity shall have the power to appoint a natural person to be a member for purposes of this article.(c) Through its bylaws or election operating rules adopted pursuant to subdivision (a) of Section 5105 only, an association may disqualify a person from nomination as a candidate pursuant to any of the following:(1) Subject to paragraph (2) of subdivision (d), an association may require a nominee for a board seat, and a director during their board tenure, to be current in the payment of regular and special assessments, which are consumer debts subject to validation. If an association requires a nominee to be current in the payment of regular and special assessments, it shall also require a director to be current in the payment of regular and special assessments.(2) An association may disqualify a person from nomination as a candidate if the person, if elected, would be serving on the board at the same time as another person who holds a joint ownership interest in the same separate interest parcel as the person and the other person is either properly nominated for the current election or an incumbent director.(3) An association may disqualify a nominee if that person has been a member of the association for less than one year.(4) An association may disqualify a nominee if that person discloses, or if the association is aware or becomes aware of, a past criminal conviction that would, if the person was elected, either prevent the association from purchasing the insurance required by Section 5806 or terminate the associations existing insurance coverage required by Section 5806 as to that person should the person be elected.(d) An association may disqualify a person from nomination for nonpayment of regular and special assessments, but may not disqualify a nominee for nonpayment of fines, fines renamed as assessments, collection charges, late charges, or costs levied by a third party. The person shall not be disqualified for failure to be current in payment of regular and special assessments if either of the following circumstances is true:(1) The person has paid the regular or special assessment under protest pursuant to Section 5658.(2) The person has entered into and is in compliance with a payment plan pursuant to Section 5665.(e) An association shall not disqualify a person from nomination if the person has not been provided the opportunity to engage in internal dispute resolution pursuant to Article 2 (commencing with Section 5900) of Chapter 10.(f) If an association disqualifies a nominee pursuant to this section, an association in its election rules shall also require a director to comply with the same requirements.(f)(g) Notwithstanding any other law, the rules adopted pursuant to this section may provide for the nomination of candidates from the floor of membership meetings or nomination by any other manner. Those rules may permit write-in candidates for ballots.(g)(h) Notwithstanding any other law, the rules adopted pursuant to this section shall do all of the following:(1) Prohibit the denial of a ballot to a member for any reason other than not being a member at the time when ballots are distributed.(2) Prohibit the denial of a ballot to a person with general power of attorney for a member.(3) Require the ballot of a person with general power of attorney for a member to be counted if returned in a timely manner.(4) Require the inspector or inspectors of elections to deliver, or cause to be delivered, at least 30 days before an election, to each member both of the following documents:(A) The ballot or ballots.(B) A copy of the election operating rules. Delivery of the election operating rules may be accomplished by either of the following methods:(i) Posting the election operating rules to an internet website and including the corresponding internet website address on the ballot together with the phrase, in at least 12-point font: The rules governing this election may be found here:(ii) Individual delivery.(h)(iii) Election operating rules adopted pursuant to this section shall not be amended less than 90 days prior to an election. 5105. (a) An association shall adopt operating rules in accordance with the procedures prescribed by Article 5 (commencing with Section 4340) of Chapter 3, that do all of the following: (1) Ensure that if any candidate or member advocating a point of view is provided access to association media, newsletters, or internet websites during a campaign, for purposes that are reasonably related to that election, equal access shall be provided to all candidates and members advocating a point of view, including those not endorsed by the board, for purposes that are reasonably related to the election. The association shall not edit or redact any content from these communications, but may include a statement specifying that the candidate or member, and not the association, is responsible for that content. (2) Ensure access to the common area meeting space, if any exists, during a campaign, at no cost, to all candidates, including those who are not incumbents, and to all members advocating a point of view, including those not endorsed by the board, for purposes reasonably related to the election. (3) Specify the qualifications for candidates for the board and any other elected position, subject to subdivision (b), and procedures for the nomination of candidates, consistent with the governing documents. A nomination or election procedure shall not be deemed reasonable if it disallows any member from nominating themself for election to the board. (4) Specify the voting power of each membership, the authenticity, validity, and effect of proxies, and the voting period for elections, including the times at which polls will open and close, consistent with the governing documents. (5) Specify a method of selecting one or three independent third parties as inspector or inspectors of elections utilizing one of the following methods: (A) Appointment of the inspector or inspectors by the board. (B) Election of the inspector or inspectors by the members of the association. (C) Any other method for selecting the inspector or inspectors. (6) Allow the inspector or inspectors to appoint and oversee additional persons to verify signatures and to count and tabulate votes as the inspector or inspectors deem appropriate, provided that the persons are independent third parties who meet the requirements in subdivision (b) of Section 5110. (7) Require retention of, as association election materials, both a candidate registration list and a voter list. The candidate list shall include name and address of individuals nominated as a candidate for election to the board of directors. The voter list shall include name, voting power, and either the physical address of the voters separate interest, the parcel number, or both. The mailing address for the ballot shall be listed on the voter list if it differs from the physical address of the voters separate interest or if only the parcel number is used. The association shall permit members to verify the accuracy of their individual information on both lists at least 30 days before the ballots are distributed. The association or member shall report any errors or omissions to either list to the inspector or inspectors who shall make the corrections within two business days. (b) An association shall disqualify a person from a nomination as a candidate for not being a member of the association at the time of the nomination. An association shall disqualify a nominee if that person has served the maximum number of terms or sequential terms allowed by the association. A director who ceases to be a member shall be disqualified from continuing to serve as a director. (1) This subdivision does not restrict a developer from making a nomination of a nonmember candidate consistent with the voting power of the developer as set forth in the regulations of the Department of Real Estate and the associations governing documents. (2) If title to a separate interest parcel is held by a legal entity that is not a natural person, the governing authority of that legal entity shall have the power to appoint a natural person to be a member for purposes of this article. (c) Through its bylaws or election operating rules adopted pursuant to subdivision (a) of Section 5105 only, an association may disqualify a person from nomination as a candidate pursuant to any of the following: (1) Subject to paragraph (2) of subdivision (d), an association may require a nominee for a board seat, and a director during their board tenure, to be current in the payment of regular and special assessments, which are consumer debts subject to validation. If an association requires a nominee to be current in the payment of regular and special assessments, it shall also require a director to be current in the payment of regular and special assessments. (2) An association may disqualify a person from nomination as a candidate if the person, if elected, would be serving on the board at the same time as another person who holds a joint ownership interest in the same separate interest parcel as the person and the other person is either properly nominated for the current election or an incumbent director. (3) An association may disqualify a nominee if that person has been a member of the association for less than one year. (4) An association may disqualify a nominee if that person discloses, or if the association is aware or becomes aware of, a past criminal conviction that would, if the person was elected, either prevent the association from purchasing the insurance required by Section 5806 or terminate the associations existing insurance coverage required by Section 5806 as to that person should the person be elected. (d) An association may disqualify a person from nomination for nonpayment of regular and special assessments, but may not disqualify a nominee for nonpayment of fines, fines renamed as assessments, collection charges, late charges, or costs levied by a third party. The person shall not be disqualified for failure to be current in payment of regular and special assessments if either of the following circumstances is true: (1) The person has paid the regular or special assessment under protest pursuant to Section 5658. (2) The person has entered into and is in compliance with a payment plan pursuant to Section 5665. (e) An association shall not disqualify a person from nomination if the person has not been provided the opportunity to engage in internal dispute resolution pursuant to Article 2 (commencing with Section 5900) of Chapter 10. (f) If an association disqualifies a nominee pursuant to this section, an association in its election rules shall also require a director to comply with the same requirements. (f) (g) Notwithstanding any other law, the rules adopted pursuant to this section may provide for the nomination of candidates from the floor of membership meetings or nomination by any other manner. Those rules may permit write-in candidates for ballots. (g) (h) Notwithstanding any other law, the rules adopted pursuant to this section shall do all of the following: (1) Prohibit the denial of a ballot to a member for any reason other than not being a member at the time when ballots are distributed. (2) Prohibit the denial of a ballot to a person with general power of attorney for a member. (3) Require the ballot of a person with general power of attorney for a member to be counted if returned in a timely manner. (4) Require the inspector or inspectors of elections to deliver, or cause to be delivered, at least 30 days before an election, to each member both of the following documents: (A) The ballot or ballots. (B) A copy of the election operating rules. Delivery of the election operating rules may be accomplished by either of the following methods: (i) Posting the election operating rules to an internet website and including the corresponding internet website address on the ballot together with the phrase, in at least 12-point font: The rules governing this election may be found here: (ii) Individual delivery. (h) (iii) Election operating rules adopted pursuant to this section shall not be amended less than 90 days prior to an election. SEC. 3. Section 65912.101 of the Government Code is amended to read:65912.101. For purposes of this chapter, the following terms have the following meanings:(a) Commercial corridor means a highway, as defined in Section 360 of the Vehicle Code, that is not a freeway, as defined in Section 332 of the Vehicle Code, and that has a right-of-way, as defined in Section 525 of the Vehicle Code, right-of-way of at least 70 and not greater than 150 feet.(b) Development proponent means a developer who submits a housing development project application to a local government under the streamlined, ministerial review process pursuant to this chapter.(c) Extremely low income households has the same meaning as defined in Section 50106 of the Health and Safety Code.(d) Health care expenditures include contributions under Sections 501(c) or (d) or 401(a) of the Internal Revenue Code and payments toward medical care as defined under Section 213(d)(1) of the Internal Revenue Code.(e) Housing development project has the same meaning as defined in Section 65589.5.(f) Industrial use means utilities, manufacturing, transportation storage and maintenance facilities, and warehousing uses. Industrial use does not include power substations or utility conveyances such as power lines, broadband wires, and pipes.(g) Local affordable housing requirement means either of the following:(1) A local government requirement, as a condition of development of residential units, that a housing development project include a certain percentage of units affordable to, and occupied by, extremely low, very low, lower, or moderate-income households as a condition of development of residential units.(2) A local government requirement allowing a housing development project to be a use by right if the project includes a certain percentage of units affordable to, and occupied by, extremely low, very low, lower, or moderate-income households as a condition of development of residential units.(h) Local government means a city, including a charter city, a county, including a charter county, or a city and county, including a charter city and county.(i) Lower income households has the same meaning as defined in Section 50079.5 of the Health and Safety Code.(j) Major transit stop has the same meaning as defined in subdivision (b) of Section 21155 of the Public Resources Code.(k) Moderate-income households means households of persons and families of moderate income, as defined in Section 50093 of the Health and Safety Code.(l) Multifamily means a property with five or more housing units for sale or for rent.(m) Neighborhood plan means a specific plan adopted pursuant to Article 8 (commencing with Section 65450) of Chapter 3, or an area plan, precise plan, urban village plan, or master plan that has been adopted by a local government.(n) Principally permitted use means a use that may occupy more than one-third of the square footage of designated use on the site and does not require a conditional use permit.(o) Side street means a highway, as defined in Section 360 of the Vehicle Code, that is not a freeway, as defined in Section 332 of the Vehicle Code, and that has a right-of-way, as defined in Section 525 of the Vehicle Code, right-of-way of at least 25 and fewer than 70 feet.(p) Urban uses means any current or former residential, commercial, public institutional, transit or transportation passenger facility, or retail use, or any combination of those uses.(q) Use by right means a development project that satisfies both of the following conditions:(1) The development project does not require a conditional use permit, planned unit development permit, or other discretionary local government review.(2) The development project is not a project for purposes of Division 13 (commencing with Section 21000) of the Public Resources Code.(r) Very low income households has the same meaning as defined in Section 50105 of the Health and Safety Code. SEC. 3. Section 65912.101 of the Government Code is amended to read: ### SEC. 3. 65912.101. For purposes of this chapter, the following terms have the following meanings:(a) Commercial corridor means a highway, as defined in Section 360 of the Vehicle Code, that is not a freeway, as defined in Section 332 of the Vehicle Code, and that has a right-of-way, as defined in Section 525 of the Vehicle Code, right-of-way of at least 70 and not greater than 150 feet.(b) Development proponent means a developer who submits a housing development project application to a local government under the streamlined, ministerial review process pursuant to this chapter.(c) Extremely low income households has the same meaning as defined in Section 50106 of the Health and Safety Code.(d) Health care expenditures include contributions under Sections 501(c) or (d) or 401(a) of the Internal Revenue Code and payments toward medical care as defined under Section 213(d)(1) of the Internal Revenue Code.(e) Housing development project has the same meaning as defined in Section 65589.5.(f) Industrial use means utilities, manufacturing, transportation storage and maintenance facilities, and warehousing uses. Industrial use does not include power substations or utility conveyances such as power lines, broadband wires, and pipes.(g) Local affordable housing requirement means either of the following:(1) A local government requirement, as a condition of development of residential units, that a housing development project include a certain percentage of units affordable to, and occupied by, extremely low, very low, lower, or moderate-income households as a condition of development of residential units.(2) A local government requirement allowing a housing development project to be a use by right if the project includes a certain percentage of units affordable to, and occupied by, extremely low, very low, lower, or moderate-income households as a condition of development of residential units.(h) Local government means a city, including a charter city, a county, including a charter county, or a city and county, including a charter city and county.(i) Lower income households has the same meaning as defined in Section 50079.5 of the Health and Safety Code.(j) Major transit stop has the same meaning as defined in subdivision (b) of Section 21155 of the Public Resources Code.(k) Moderate-income households means households of persons and families of moderate income, as defined in Section 50093 of the Health and Safety Code.(l) Multifamily means a property with five or more housing units for sale or for rent.(m) Neighborhood plan means a specific plan adopted pursuant to Article 8 (commencing with Section 65450) of Chapter 3, or an area plan, precise plan, urban village plan, or master plan that has been adopted by a local government.(n) Principally permitted use means a use that may occupy more than one-third of the square footage of designated use on the site and does not require a conditional use permit.(o) Side street means a highway, as defined in Section 360 of the Vehicle Code, that is not a freeway, as defined in Section 332 of the Vehicle Code, and that has a right-of-way, as defined in Section 525 of the Vehicle Code, right-of-way of at least 25 and fewer than 70 feet.(p) Urban uses means any current or former residential, commercial, public institutional, transit or transportation passenger facility, or retail use, or any combination of those uses.(q) Use by right means a development project that satisfies both of the following conditions:(1) The development project does not require a conditional use permit, planned unit development permit, or other discretionary local government review.(2) The development project is not a project for purposes of Division 13 (commencing with Section 21000) of the Public Resources Code.(r) Very low income households has the same meaning as defined in Section 50105 of the Health and Safety Code. 65912.101. For purposes of this chapter, the following terms have the following meanings:(a) Commercial corridor means a highway, as defined in Section 360 of the Vehicle Code, that is not a freeway, as defined in Section 332 of the Vehicle Code, and that has a right-of-way, as defined in Section 525 of the Vehicle Code, right-of-way of at least 70 and not greater than 150 feet.(b) Development proponent means a developer who submits a housing development project application to a local government under the streamlined, ministerial review process pursuant to this chapter.(c) Extremely low income households has the same meaning as defined in Section 50106 of the Health and Safety Code.(d) Health care expenditures include contributions under Sections 501(c) or (d) or 401(a) of the Internal Revenue Code and payments toward medical care as defined under Section 213(d)(1) of the Internal Revenue Code.(e) Housing development project has the same meaning as defined in Section 65589.5.(f) Industrial use means utilities, manufacturing, transportation storage and maintenance facilities, and warehousing uses. Industrial use does not include power substations or utility conveyances such as power lines, broadband wires, and pipes.(g) Local affordable housing requirement means either of the following:(1) A local government requirement, as a condition of development of residential units, that a housing development project include a certain percentage of units affordable to, and occupied by, extremely low, very low, lower, or moderate-income households as a condition of development of residential units.(2) A local government requirement allowing a housing development project to be a use by right if the project includes a certain percentage of units affordable to, and occupied by, extremely low, very low, lower, or moderate-income households as a condition of development of residential units.(h) Local government means a city, including a charter city, a county, including a charter county, or a city and county, including a charter city and county.(i) Lower income households has the same meaning as defined in Section 50079.5 of the Health and Safety Code.(j) Major transit stop has the same meaning as defined in subdivision (b) of Section 21155 of the Public Resources Code.(k) Moderate-income households means households of persons and families of moderate income, as defined in Section 50093 of the Health and Safety Code.(l) Multifamily means a property with five or more housing units for sale or for rent.(m) Neighborhood plan means a specific plan adopted pursuant to Article 8 (commencing with Section 65450) of Chapter 3, or an area plan, precise plan, urban village plan, or master plan that has been adopted by a local government.(n) Principally permitted use means a use that may occupy more than one-third of the square footage of designated use on the site and does not require a conditional use permit.(o) Side street means a highway, as defined in Section 360 of the Vehicle Code, that is not a freeway, as defined in Section 332 of the Vehicle Code, and that has a right-of-way, as defined in Section 525 of the Vehicle Code, right-of-way of at least 25 and fewer than 70 feet.(p) Urban uses means any current or former residential, commercial, public institutional, transit or transportation passenger facility, or retail use, or any combination of those uses.(q) Use by right means a development project that satisfies both of the following conditions:(1) The development project does not require a conditional use permit, planned unit development permit, or other discretionary local government review.(2) The development project is not a project for purposes of Division 13 (commencing with Section 21000) of the Public Resources Code.(r) Very low income households has the same meaning as defined in Section 50105 of the Health and Safety Code. 65912.101. For purposes of this chapter, the following terms have the following meanings:(a) Commercial corridor means a highway, as defined in Section 360 of the Vehicle Code, that is not a freeway, as defined in Section 332 of the Vehicle Code, and that has a right-of-way, as defined in Section 525 of the Vehicle Code, right-of-way of at least 70 and not greater than 150 feet.(b) Development proponent means a developer who submits a housing development project application to a local government under the streamlined, ministerial review process pursuant to this chapter.(c) Extremely low income households has the same meaning as defined in Section 50106 of the Health and Safety Code.(d) Health care expenditures include contributions under Sections 501(c) or (d) or 401(a) of the Internal Revenue Code and payments toward medical care as defined under Section 213(d)(1) of the Internal Revenue Code.(e) Housing development project has the same meaning as defined in Section 65589.5.(f) Industrial use means utilities, manufacturing, transportation storage and maintenance facilities, and warehousing uses. Industrial use does not include power substations or utility conveyances such as power lines, broadband wires, and pipes.(g) Local affordable housing requirement means either of the following:(1) A local government requirement, as a condition of development of residential units, that a housing development project include a certain percentage of units affordable to, and occupied by, extremely low, very low, lower, or moderate-income households as a condition of development of residential units.(2) A local government requirement allowing a housing development project to be a use by right if the project includes a certain percentage of units affordable to, and occupied by, extremely low, very low, lower, or moderate-income households as a condition of development of residential units.(h) Local government means a city, including a charter city, a county, including a charter county, or a city and county, including a charter city and county.(i) Lower income households has the same meaning as defined in Section 50079.5 of the Health and Safety Code.(j) Major transit stop has the same meaning as defined in subdivision (b) of Section 21155 of the Public Resources Code.(k) Moderate-income households means households of persons and families of moderate income, as defined in Section 50093 of the Health and Safety Code.(l) Multifamily means a property with five or more housing units for sale or for rent.(m) Neighborhood plan means a specific plan adopted pursuant to Article 8 (commencing with Section 65450) of Chapter 3, or an area plan, precise plan, urban village plan, or master plan that has been adopted by a local government.(n) Principally permitted use means a use that may occupy more than one-third of the square footage of designated use on the site and does not require a conditional use permit.(o) Side street means a highway, as defined in Section 360 of the Vehicle Code, that is not a freeway, as defined in Section 332 of the Vehicle Code, and that has a right-of-way, as defined in Section 525 of the Vehicle Code, right-of-way of at least 25 and fewer than 70 feet.(p) Urban uses means any current or former residential, commercial, public institutional, transit or transportation passenger facility, or retail use, or any combination of those uses.(q) Use by right means a development project that satisfies both of the following conditions:(1) The development project does not require a conditional use permit, planned unit development permit, or other discretionary local government review.(2) The development project is not a project for purposes of Division 13 (commencing with Section 21000) of the Public Resources Code.(r) Very low income households has the same meaning as defined in Section 50105 of the Health and Safety Code. 65912.101. For purposes of this chapter, the following terms have the following meanings: (a) Commercial corridor means a highway, as defined in Section 360 of the Vehicle Code, that is not a freeway, as defined in Section 332 of the Vehicle Code, and that has a right-of-way, as defined in Section 525 of the Vehicle Code, right-of-way of at least 70 and not greater than 150 feet. (b) Development proponent means a developer who submits a housing development project application to a local government under the streamlined, ministerial review process pursuant to this chapter. (c) Extremely low income households has the same meaning as defined in Section 50106 of the Health and Safety Code. (d) Health care expenditures include contributions under Sections 501(c) or (d) or 401(a) of the Internal Revenue Code and payments toward medical care as defined under Section 213(d)(1) of the Internal Revenue Code. (e) Housing development project has the same meaning as defined in Section 65589.5. (f) Industrial use means utilities, manufacturing, transportation storage and maintenance facilities, and warehousing uses. Industrial use does not include power substations or utility conveyances such as power lines, broadband wires, and pipes. (g) Local affordable housing requirement means either of the following: (1) A local government requirement, as a condition of development of residential units, that a housing development project include a certain percentage of units affordable to, and occupied by, extremely low, very low, lower, or moderate-income households as a condition of development of residential units. (2) A local government requirement allowing a housing development project to be a use by right if the project includes a certain percentage of units affordable to, and occupied by, extremely low, very low, lower, or moderate-income households as a condition of development of residential units. (h) Local government means a city, including a charter city, a county, including a charter county, or a city and county, including a charter city and county. (i) Lower income households has the same meaning as defined in Section 50079.5 of the Health and Safety Code. (j) Major transit stop has the same meaning as defined in subdivision (b) of Section 21155 of the Public Resources Code. (k) Moderate-income households means households of persons and families of moderate income, as defined in Section 50093 of the Health and Safety Code. (l) Multifamily means a property with five or more housing units for sale or for rent. (m) Neighborhood plan means a specific plan adopted pursuant to Article 8 (commencing with Section 65450) of Chapter 3, or an area plan, precise plan, urban village plan, or master plan that has been adopted by a local government. (n) Principally permitted use means a use that may occupy more than one-third of the square footage of designated use on the site and does not require a conditional use permit. (o) Side street means a highway, as defined in Section 360 of the Vehicle Code, that is not a freeway, as defined in Section 332 of the Vehicle Code, and that has a right-of-way, as defined in Section 525 of the Vehicle Code, right-of-way of at least 25 and fewer than 70 feet. (p) Urban uses means any current or former residential, commercial, public institutional, transit or transportation passenger facility, or retail use, or any combination of those uses. (q) Use by right means a development project that satisfies both of the following conditions: (1) The development project does not require a conditional use permit, planned unit development permit, or other discretionary local government review. (2) The development project is not a project for purposes of Division 13 (commencing with Section 21000) of the Public Resources Code. (r) Very low income households has the same meaning as defined in Section 50105 of the Health and Safety Code. SEC. 4. Section 65912.114 of the Government Code is amended to read:65912.114. (a) (1) If the local government determines that a development submitted pursuant to this article is consistent with the objective planning standards specified in this article, it shall approve the development.(2) If a local government determines that a development submitted pursuant to this article is in conflict with any of the objective planning standards specified in this article, it shall provide the development proponent written documentation of which standard or standards the development conflicts with, and an explanation for the reason or reasons the development conflicts with that standard or standards, within the following timeframes:(A) Within 60 days of submittal of the development proposal to the local government if the development contains 150 or fewer housing units.(B) Within 90 days of submittal of the development proposal to the local government if the development contains more than 150 housing units.(b) If the local government fails to provide the required documentation pursuant to subdivision (a), the development shall be deemed to satisfy the required objective planning standards.(c) (1) For purposes of this section, a development is consistent with the objective planning standards if there is substantial evidence that would allow a reasonable person to conclude that the development is consistent with the objective planning standards.(2) For purposes of this section, a development is not in conflict with the objective planning standards solely on the basis that application materials are not included, if the application contains substantial evidence that would allow a reasonable person to conclude that the development is consistent with the objective planning standards.(d) The determination of whether a proposed project submitted pursuant to this section is or is not in conflict with the objective planning standards is not a project as defined in Section 21065 of the Public Resources Code.(e) Design review of the development may be conducted by the local governments planning commission or any equivalent board or commission responsible for review and approval of development projects, or the city council or board of supervisors, as appropriate. That design review shall be objective and be strictly focused on assessing compliance with criteria required for streamlined, ministerial review of projects, as well as any reasonable objective design standards published and adopted by ordinance or resolution by a local jurisdiction before submittal of the development to the local government, and shall be broadly applicable to developments within the jurisdiction. That design review shall be completed as follows and shall not in any way inhibit, chill, or preclude the ministerial approval provided by this section or its effect, as applicable:(1) Within 90 days of submittal of the development proposal to the local government pursuant to this section if the development contains 150 or fewer housing units.(2) Within 180 days of submittal of the development proposal to the local government pursuant to this section if the development contains more than 150 housing units.(f) A development proposed pursuant to this article shall be eligible for a density bonus, incentives or concessions, waivers or reductions of development standards, and parking ratios pursuant to Section 65915.(g) The local government shall ensure that the project satisfies the requirements specified in subdivision (d) of Section 66300, regardless of whether the development is within or not within an affected city or within or not within an affected county.(h) If the development is consistent with all objective subdivision standards in the local subdivision ordinance, an application for a subdivision pursuant to the Subdivision Map Act (Division 2 (commencing with Section 66410)) shall be exempt from the requirements of the California Environmental Quality Act (Division 13 (commencing with Section 21000) of the Public Resources Code).(i) A local government may exempt a parcel from this section before a development proponent submits a development application on a parcel pursuant to this article if the local government makes written findings establishing all of the following:(1) The local government has identified one or more parcels that meet the criteria described in subdivisions (b) through (f) of Section 65912.111.(2) (A) If a parcel identified in paragraph (1) would not otherwise be eligible for development pursuant to this chapter, the local government has permitted the parcel to be developed pursuant to the requirements of this chapter.(B) If a parcel identified in paragraph (1) would otherwise be eligible for development pursuant to this chapter, the local government has permitted residential densities above the residential density required in subdivision (b) of Section 65912.113.(3) The development of the parcel or parcels pursuant to paragraph (3) (2) will result in all of the following:(A) No net loss of the total potential residential density in the jurisdiction.(B) No net loss of the potential residential density of housing affordable to lower income households in the jurisdiction.(C) Affirmative furthering of fair housing.(j) A local governments approval of a development pursuant to this section shall, notwithstanding any other law, be subject to the expiration timeframes specified in subdivision (f) of Section 65913.4.(k) Any proposed modifications to a development project approved pursuant to this section shall be undertaken pursuant to subdivision (g) of Section 65913.4.(l) A local government shall not adopt or impose any requirement, including, but not limited to, increased fees or inclusionary housing requirements, that applies to a project solely or partially on the basis that the project is eligible to receive streamlined, ministerial review pursuant to this section.(m) A local government shall issue a subsequent permit required for a development approved under this section pursuant to paragraph (2) of subdivision (h) of Section 65913.4.(n) A public improvement that is necessary to implement a development that is approved pursuant to this section shall be undertaken pursuant to paragraph (3) of subdivision (h) of Section 65913.4.(o) A local government may adopt an ordinance to implement the provisions of this article. An ordinance adopted to implement this section shall not be considered a project under Division 13 (commencing with Section 21000) of the Public Resources Code. SEC. 4. Section 65912.114 of the Government Code is amended to read: ### SEC. 4. 65912.114. (a) (1) If the local government determines that a development submitted pursuant to this article is consistent with the objective planning standards specified in this article, it shall approve the development.(2) If a local government determines that a development submitted pursuant to this article is in conflict with any of the objective planning standards specified in this article, it shall provide the development proponent written documentation of which standard or standards the development conflicts with, and an explanation for the reason or reasons the development conflicts with that standard or standards, within the following timeframes:(A) Within 60 days of submittal of the development proposal to the local government if the development contains 150 or fewer housing units.(B) Within 90 days of submittal of the development proposal to the local government if the development contains more than 150 housing units.(b) If the local government fails to provide the required documentation pursuant to subdivision (a), the development shall be deemed to satisfy the required objective planning standards.(c) (1) For purposes of this section, a development is consistent with the objective planning standards if there is substantial evidence that would allow a reasonable person to conclude that the development is consistent with the objective planning standards.(2) For purposes of this section, a development is not in conflict with the objective planning standards solely on the basis that application materials are not included, if the application contains substantial evidence that would allow a reasonable person to conclude that the development is consistent with the objective planning standards.(d) The determination of whether a proposed project submitted pursuant to this section is or is not in conflict with the objective planning standards is not a project as defined in Section 21065 of the Public Resources Code.(e) Design review of the development may be conducted by the local governments planning commission or any equivalent board or commission responsible for review and approval of development projects, or the city council or board of supervisors, as appropriate. That design review shall be objective and be strictly focused on assessing compliance with criteria required for streamlined, ministerial review of projects, as well as any reasonable objective design standards published and adopted by ordinance or resolution by a local jurisdiction before submittal of the development to the local government, and shall be broadly applicable to developments within the jurisdiction. That design review shall be completed as follows and shall not in any way inhibit, chill, or preclude the ministerial approval provided by this section or its effect, as applicable:(1) Within 90 days of submittal of the development proposal to the local government pursuant to this section if the development contains 150 or fewer housing units.(2) Within 180 days of submittal of the development proposal to the local government pursuant to this section if the development contains more than 150 housing units.(f) A development proposed pursuant to this article shall be eligible for a density bonus, incentives or concessions, waivers or reductions of development standards, and parking ratios pursuant to Section 65915.(g) The local government shall ensure that the project satisfies the requirements specified in subdivision (d) of Section 66300, regardless of whether the development is within or not within an affected city or within or not within an affected county.(h) If the development is consistent with all objective subdivision standards in the local subdivision ordinance, an application for a subdivision pursuant to the Subdivision Map Act (Division 2 (commencing with Section 66410)) shall be exempt from the requirements of the California Environmental Quality Act (Division 13 (commencing with Section 21000) of the Public Resources Code).(i) A local government may exempt a parcel from this section before a development proponent submits a development application on a parcel pursuant to this article if the local government makes written findings establishing all of the following:(1) The local government has identified one or more parcels that meet the criteria described in subdivisions (b) through (f) of Section 65912.111.(2) (A) If a parcel identified in paragraph (1) would not otherwise be eligible for development pursuant to this chapter, the local government has permitted the parcel to be developed pursuant to the requirements of this chapter.(B) If a parcel identified in paragraph (1) would otherwise be eligible for development pursuant to this chapter, the local government has permitted residential densities above the residential density required in subdivision (b) of Section 65912.113.(3) The development of the parcel or parcels pursuant to paragraph (3) (2) will result in all of the following:(A) No net loss of the total potential residential density in the jurisdiction.(B) No net loss of the potential residential density of housing affordable to lower income households in the jurisdiction.(C) Affirmative furthering of fair housing.(j) A local governments approval of a development pursuant to this section shall, notwithstanding any other law, be subject to the expiration timeframes specified in subdivision (f) of Section 65913.4.(k) Any proposed modifications to a development project approved pursuant to this section shall be undertaken pursuant to subdivision (g) of Section 65913.4.(l) A local government shall not adopt or impose any requirement, including, but not limited to, increased fees or inclusionary housing requirements, that applies to a project solely or partially on the basis that the project is eligible to receive streamlined, ministerial review pursuant to this section.(m) A local government shall issue a subsequent permit required for a development approved under this section pursuant to paragraph (2) of subdivision (h) of Section 65913.4.(n) A public improvement that is necessary to implement a development that is approved pursuant to this section shall be undertaken pursuant to paragraph (3) of subdivision (h) of Section 65913.4.(o) A local government may adopt an ordinance to implement the provisions of this article. An ordinance adopted to implement this section shall not be considered a project under Division 13 (commencing with Section 21000) of the Public Resources Code. 65912.114. (a) (1) If the local government determines that a development submitted pursuant to this article is consistent with the objective planning standards specified in this article, it shall approve the development.(2) If a local government determines that a development submitted pursuant to this article is in conflict with any of the objective planning standards specified in this article, it shall provide the development proponent written documentation of which standard or standards the development conflicts with, and an explanation for the reason or reasons the development conflicts with that standard or standards, within the following timeframes:(A) Within 60 days of submittal of the development proposal to the local government if the development contains 150 or fewer housing units.(B) Within 90 days of submittal of the development proposal to the local government if the development contains more than 150 housing units.(b) If the local government fails to provide the required documentation pursuant to subdivision (a), the development shall be deemed to satisfy the required objective planning standards.(c) (1) For purposes of this section, a development is consistent with the objective planning standards if there is substantial evidence that would allow a reasonable person to conclude that the development is consistent with the objective planning standards.(2) For purposes of this section, a development is not in conflict with the objective planning standards solely on the basis that application materials are not included, if the application contains substantial evidence that would allow a reasonable person to conclude that the development is consistent with the objective planning standards.(d) The determination of whether a proposed project submitted pursuant to this section is or is not in conflict with the objective planning standards is not a project as defined in Section 21065 of the Public Resources Code.(e) Design review of the development may be conducted by the local governments planning commission or any equivalent board or commission responsible for review and approval of development projects, or the city council or board of supervisors, as appropriate. That design review shall be objective and be strictly focused on assessing compliance with criteria required for streamlined, ministerial review of projects, as well as any reasonable objective design standards published and adopted by ordinance or resolution by a local jurisdiction before submittal of the development to the local government, and shall be broadly applicable to developments within the jurisdiction. That design review shall be completed as follows and shall not in any way inhibit, chill, or preclude the ministerial approval provided by this section or its effect, as applicable:(1) Within 90 days of submittal of the development proposal to the local government pursuant to this section if the development contains 150 or fewer housing units.(2) Within 180 days of submittal of the development proposal to the local government pursuant to this section if the development contains more than 150 housing units.(f) A development proposed pursuant to this article shall be eligible for a density bonus, incentives or concessions, waivers or reductions of development standards, and parking ratios pursuant to Section 65915.(g) The local government shall ensure that the project satisfies the requirements specified in subdivision (d) of Section 66300, regardless of whether the development is within or not within an affected city or within or not within an affected county.(h) If the development is consistent with all objective subdivision standards in the local subdivision ordinance, an application for a subdivision pursuant to the Subdivision Map Act (Division 2 (commencing with Section 66410)) shall be exempt from the requirements of the California Environmental Quality Act (Division 13 (commencing with Section 21000) of the Public Resources Code).(i) A local government may exempt a parcel from this section before a development proponent submits a development application on a parcel pursuant to this article if the local government makes written findings establishing all of the following:(1) The local government has identified one or more parcels that meet the criteria described in subdivisions (b) through (f) of Section 65912.111.(2) (A) If a parcel identified in paragraph (1) would not otherwise be eligible for development pursuant to this chapter, the local government has permitted the parcel to be developed pursuant to the requirements of this chapter.(B) If a parcel identified in paragraph (1) would otherwise be eligible for development pursuant to this chapter, the local government has permitted residential densities above the residential density required in subdivision (b) of Section 65912.113.(3) The development of the parcel or parcels pursuant to paragraph (3) (2) will result in all of the following:(A) No net loss of the total potential residential density in the jurisdiction.(B) No net loss of the potential residential density of housing affordable to lower income households in the jurisdiction.(C) Affirmative furthering of fair housing.(j) A local governments approval of a development pursuant to this section shall, notwithstanding any other law, be subject to the expiration timeframes specified in subdivision (f) of Section 65913.4.(k) Any proposed modifications to a development project approved pursuant to this section shall be undertaken pursuant to subdivision (g) of Section 65913.4.(l) A local government shall not adopt or impose any requirement, including, but not limited to, increased fees or inclusionary housing requirements, that applies to a project solely or partially on the basis that the project is eligible to receive streamlined, ministerial review pursuant to this section.(m) A local government shall issue a subsequent permit required for a development approved under this section pursuant to paragraph (2) of subdivision (h) of Section 65913.4.(n) A public improvement that is necessary to implement a development that is approved pursuant to this section shall be undertaken pursuant to paragraph (3) of subdivision (h) of Section 65913.4.(o) A local government may adopt an ordinance to implement the provisions of this article. An ordinance adopted to implement this section shall not be considered a project under Division 13 (commencing with Section 21000) of the Public Resources Code. 65912.114. (a) (1) If the local government determines that a development submitted pursuant to this article is consistent with the objective planning standards specified in this article, it shall approve the development.(2) If a local government determines that a development submitted pursuant to this article is in conflict with any of the objective planning standards specified in this article, it shall provide the development proponent written documentation of which standard or standards the development conflicts with, and an explanation for the reason or reasons the development conflicts with that standard or standards, within the following timeframes:(A) Within 60 days of submittal of the development proposal to the local government if the development contains 150 or fewer housing units.(B) Within 90 days of submittal of the development proposal to the local government if the development contains more than 150 housing units.(b) If the local government fails to provide the required documentation pursuant to subdivision (a), the development shall be deemed to satisfy the required objective planning standards.(c) (1) For purposes of this section, a development is consistent with the objective planning standards if there is substantial evidence that would allow a reasonable person to conclude that the development is consistent with the objective planning standards.(2) For purposes of this section, a development is not in conflict with the objective planning standards solely on the basis that application materials are not included, if the application contains substantial evidence that would allow a reasonable person to conclude that the development is consistent with the objective planning standards.(d) The determination of whether a proposed project submitted pursuant to this section is or is not in conflict with the objective planning standards is not a project as defined in Section 21065 of the Public Resources Code.(e) Design review of the development may be conducted by the local governments planning commission or any equivalent board or commission responsible for review and approval of development projects, or the city council or board of supervisors, as appropriate. That design review shall be objective and be strictly focused on assessing compliance with criteria required for streamlined, ministerial review of projects, as well as any reasonable objective design standards published and adopted by ordinance or resolution by a local jurisdiction before submittal of the development to the local government, and shall be broadly applicable to developments within the jurisdiction. That design review shall be completed as follows and shall not in any way inhibit, chill, or preclude the ministerial approval provided by this section or its effect, as applicable:(1) Within 90 days of submittal of the development proposal to the local government pursuant to this section if the development contains 150 or fewer housing units.(2) Within 180 days of submittal of the development proposal to the local government pursuant to this section if the development contains more than 150 housing units.(f) A development proposed pursuant to this article shall be eligible for a density bonus, incentives or concessions, waivers or reductions of development standards, and parking ratios pursuant to Section 65915.(g) The local government shall ensure that the project satisfies the requirements specified in subdivision (d) of Section 66300, regardless of whether the development is within or not within an affected city or within or not within an affected county.(h) If the development is consistent with all objective subdivision standards in the local subdivision ordinance, an application for a subdivision pursuant to the Subdivision Map Act (Division 2 (commencing with Section 66410)) shall be exempt from the requirements of the California Environmental Quality Act (Division 13 (commencing with Section 21000) of the Public Resources Code).(i) A local government may exempt a parcel from this section before a development proponent submits a development application on a parcel pursuant to this article if the local government makes written findings establishing all of the following:(1) The local government has identified one or more parcels that meet the criteria described in subdivisions (b) through (f) of Section 65912.111.(2) (A) If a parcel identified in paragraph (1) would not otherwise be eligible for development pursuant to this chapter, the local government has permitted the parcel to be developed pursuant to the requirements of this chapter.(B) If a parcel identified in paragraph (1) would otherwise be eligible for development pursuant to this chapter, the local government has permitted residential densities above the residential density required in subdivision (b) of Section 65912.113.(3) The development of the parcel or parcels pursuant to paragraph (3) (2) will result in all of the following:(A) No net loss of the total potential residential density in the jurisdiction.(B) No net loss of the potential residential density of housing affordable to lower income households in the jurisdiction.(C) Affirmative furthering of fair housing.(j) A local governments approval of a development pursuant to this section shall, notwithstanding any other law, be subject to the expiration timeframes specified in subdivision (f) of Section 65913.4.(k) Any proposed modifications to a development project approved pursuant to this section shall be undertaken pursuant to subdivision (g) of Section 65913.4.(l) A local government shall not adopt or impose any requirement, including, but not limited to, increased fees or inclusionary housing requirements, that applies to a project solely or partially on the basis that the project is eligible to receive streamlined, ministerial review pursuant to this section.(m) A local government shall issue a subsequent permit required for a development approved under this section pursuant to paragraph (2) of subdivision (h) of Section 65913.4.(n) A public improvement that is necessary to implement a development that is approved pursuant to this section shall be undertaken pursuant to paragraph (3) of subdivision (h) of Section 65913.4.(o) A local government may adopt an ordinance to implement the provisions of this article. An ordinance adopted to implement this section shall not be considered a project under Division 13 (commencing with Section 21000) of the Public Resources Code. 65912.114. (a) (1) If the local government determines that a development submitted pursuant to this article is consistent with the objective planning standards specified in this article, it shall approve the development. (2) If a local government determines that a development submitted pursuant to this article is in conflict with any of the objective planning standards specified in this article, it shall provide the development proponent written documentation of which standard or standards the development conflicts with, and an explanation for the reason or reasons the development conflicts with that standard or standards, within the following timeframes: (A) Within 60 days of submittal of the development proposal to the local government if the development contains 150 or fewer housing units. (B) Within 90 days of submittal of the development proposal to the local government if the development contains more than 150 housing units. (b) If the local government fails to provide the required documentation pursuant to subdivision (a), the development shall be deemed to satisfy the required objective planning standards. (c) (1) For purposes of this section, a development is consistent with the objective planning standards if there is substantial evidence that would allow a reasonable person to conclude that the development is consistent with the objective planning standards. (2) For purposes of this section, a development is not in conflict with the objective planning standards solely on the basis that application materials are not included, if the application contains substantial evidence that would allow a reasonable person to conclude that the development is consistent with the objective planning standards. (d) The determination of whether a proposed project submitted pursuant to this section is or is not in conflict with the objective planning standards is not a project as defined in Section 21065 of the Public Resources Code. (e) Design review of the development may be conducted by the local governments planning commission or any equivalent board or commission responsible for review and approval of development projects, or the city council or board of supervisors, as appropriate. That design review shall be objective and be strictly focused on assessing compliance with criteria required for streamlined, ministerial review of projects, as well as any reasonable objective design standards published and adopted by ordinance or resolution by a local jurisdiction before submittal of the development to the local government, and shall be broadly applicable to developments within the jurisdiction. That design review shall be completed as follows and shall not in any way inhibit, chill, or preclude the ministerial approval provided by this section or its effect, as applicable: (1) Within 90 days of submittal of the development proposal to the local government pursuant to this section if the development contains 150 or fewer housing units. (2) Within 180 days of submittal of the development proposal to the local government pursuant to this section if the development contains more than 150 housing units. (f) A development proposed pursuant to this article shall be eligible for a density bonus, incentives or concessions, waivers or reductions of development standards, and parking ratios pursuant to Section 65915. (g) The local government shall ensure that the project satisfies the requirements specified in subdivision (d) of Section 66300, regardless of whether the development is within or not within an affected city or within or not within an affected county. (h) If the development is consistent with all objective subdivision standards in the local subdivision ordinance, an application for a subdivision pursuant to the Subdivision Map Act (Division 2 (commencing with Section 66410)) shall be exempt from the requirements of the California Environmental Quality Act (Division 13 (commencing with Section 21000) of the Public Resources Code). (i) A local government may exempt a parcel from this section before a development proponent submits a development application on a parcel pursuant to this article if the local government makes written findings establishing all of the following: (1) The local government has identified one or more parcels that meet the criteria described in subdivisions (b) through (f) of Section 65912.111. (2) (A) If a parcel identified in paragraph (1) would not otherwise be eligible for development pursuant to this chapter, the local government has permitted the parcel to be developed pursuant to the requirements of this chapter. (B) If a parcel identified in paragraph (1) would otherwise be eligible for development pursuant to this chapter, the local government has permitted residential densities above the residential density required in subdivision (b) of Section 65912.113. (3) The development of the parcel or parcels pursuant to paragraph (3) (2) will result in all of the following: (A) No net loss of the total potential residential density in the jurisdiction. (B) No net loss of the potential residential density of housing affordable to lower income households in the jurisdiction. (C) Affirmative furthering of fair housing. (j) A local governments approval of a development pursuant to this section shall, notwithstanding any other law, be subject to the expiration timeframes specified in subdivision (f) of Section 65913.4. (k) Any proposed modifications to a development project approved pursuant to this section shall be undertaken pursuant to subdivision (g) of Section 65913.4. (l) A local government shall not adopt or impose any requirement, including, but not limited to, increased fees or inclusionary housing requirements, that applies to a project solely or partially on the basis that the project is eligible to receive streamlined, ministerial review pursuant to this section. (m) A local government shall issue a subsequent permit required for a development approved under this section pursuant to paragraph (2) of subdivision (h) of Section 65913.4. (n) A public improvement that is necessary to implement a development that is approved pursuant to this section shall be undertaken pursuant to paragraph (3) of subdivision (h) of Section 65913.4. (o) A local government may adopt an ordinance to implement the provisions of this article. An ordinance adopted to implement this section shall not be considered a project under Division 13 (commencing with Section 21000) of the Public Resources Code. SEC. 5. Section 65912.124 of the Government Code is amended to read:65912.124. (a) (1) If the local government determines that a development submitted pursuant to this article is consistent with the objective planning standards specified in this article, it shall approve the development.(2) If a local government determines that a development submitted pursuant to this article is in conflict with any of the objective planning standards specified in this article, it shall provide the development proponent written documentation of which standard or standards the development conflicts with, and an explanation for the reason or reasons the development conflicts with that standard or standards, within the following timeframes:(A) Within 60 days of submittal of the development proposal to the local government if the development contains 150 or fewer housing units.(B) Within 90 days of submittal of the development proposal to the local government if the development contains more than 150 housing units.(b) If the local government fails to provide the required documentation pursuant to subdivision (a), the development shall be deemed to satisfy the required objective planning standards.(c) (1) For purposes of this section, a development is consistent with the objective planning standards if there is substantial evidence that would allow a reasonable person to conclude that the development is consistent with the objective planning standards.(2) For purposes of this section, a development is not in conflict with the objective planning standards solely on the basis that application materials are not included, if the application contains substantial evidence that would allow a reasonable person to conclude that the development is consistent with the objective planning standards.(d) The determination of whether a proposed project submitted pursuant to this section is or is not in conflict with the objective planning standards is not a project as defined in Section 21065 of the Public Resources Code.(e) Design review of the development may be conducted by the local governments planning commission or any equivalent board or commission responsible for review and approval of development projects, or the city council or board of supervisors, as appropriate. That design review shall be objective and be strictly focused on assessing compliance with criteria required for streamlined, ministerial review of projects, as well as any reasonable objective design standards published and adopted by ordinance or resolution by a local jurisdiction before submittal of the development to the local government, and shall be broadly applicable to developments within the jurisdiction. That design review shall be completed as follows and shall not in any way inhibit, chill, or preclude the ministerial approval provided by this section or its effect, as applicable:(1) Within 90 days of submittal of the development proposal to the local government pursuant to this section if the development contains 150 or fewer housing units.(2) Within 180 days of submittal of the development proposal to the local government pursuant to this section if the development contains more than 150 housing units.(f) A housing development proposed pursuant to this article shall be eligible for a density bonus, incentives or concessions, waivers or reductions of development standards, and parking ratios pursuant to Section 65915, except that the project shall not use a concession to reduce a local government requirement for the provision of ground floor retail that is consistent with the allowance contained in paragraph (3) of subdivision (j) of Section 65912.123.(g) The local government shall ensure that the project satisfies the requirements specified in subdivision (d) of Section 66300, regardless of whether the development is within or not within an affected city or within or not within an affected county.(h) If the development is consistent with all objective subdivision standards in the local subdivision ordinance, an application for a subdivision pursuant to the Subdivision Map Act (Division 2 (commencing with Section 66410)) shall be exempt from the requirements of the California Environmental Quality Act (Division 13 (commencing with Section 21000) of the Public Resources Code).(i) A local government may exempt a parcel from this section before a development proponent submits a development application on a parcel pursuant to this article if the local government makes written findings establishing all of the following:(1) The local government has identified a parcel or parcels that meet the criteria described in subdivisions (b) and (e) to (h), inclusive, of Section 65912.121.(2) (A) If a parcel identified in paragraph (1) would not otherwise be eligible for development pursuant to this chapter, the local government has permitted the parcel to be developed pursuant to the requirements of this chapter.(B) If a parcel identified in paragraph (1) would otherwise be eligible for development pursuant to this chapter, the local government has permitted residential densities above the residential density required in subdivision (b) of Section 65912.123 and heights required in subdivision (c) of Section 65912.123.(3) The development of the parcel or parcels pursuant to paragraph (3) (2) will result in all of the following:(A) No net loss of the total potential residential density in the jurisdiction.(B) No net loss of the potential residential density of housing affordable to lower income households in the jurisdiction.(C) Affirmative furthering of fair housing.(j) A local governments approval of a development pursuant to this section shall, notwithstanding any other law, be subject to the expiration timeframes specified in subdivision (f) of Section 65913.4.(k) Any proposed modifications to a development project approved pursuant to this section shall be undertaken pursuant to subdivision (g) of Section 65913.4.(l) A local government shall not adopt or impose any requirement, including, but not limited to, increased fees or inclusionary housing requirements, that applies to a project solely or partially on the basis that the project is eligible to receive streamlined, ministerial review pursuant to this section.(m) A local government shall issue a subsequent permit required for a development approved under this section pursuant to paragraph (2) of subdivision (h) of Section 65913.4.(n) A public improvement that is necessary to implement a development that is approved pursuant to this section shall be undertaken pursuant to paragraph (3) of subdivision (h) of Section 65913.4.(o) A local government may adopt an ordinance to implement the provisions of this article. An ordinance adopted to implement this section shall not be considered a project under Division 13 (commencing with Section 21000) of the Public Resources Code. SEC. 5. Section 65912.124 of the Government Code is amended to read: ### SEC. 5. 65912.124. (a) (1) If the local government determines that a development submitted pursuant to this article is consistent with the objective planning standards specified in this article, it shall approve the development.(2) If a local government determines that a development submitted pursuant to this article is in conflict with any of the objective planning standards specified in this article, it shall provide the development proponent written documentation of which standard or standards the development conflicts with, and an explanation for the reason or reasons the development conflicts with that standard or standards, within the following timeframes:(A) Within 60 days of submittal of the development proposal to the local government if the development contains 150 or fewer housing units.(B) Within 90 days of submittal of the development proposal to the local government if the development contains more than 150 housing units.(b) If the local government fails to provide the required documentation pursuant to subdivision (a), the development shall be deemed to satisfy the required objective planning standards.(c) (1) For purposes of this section, a development is consistent with the objective planning standards if there is substantial evidence that would allow a reasonable person to conclude that the development is consistent with the objective planning standards.(2) For purposes of this section, a development is not in conflict with the objective planning standards solely on the basis that application materials are not included, if the application contains substantial evidence that would allow a reasonable person to conclude that the development is consistent with the objective planning standards.(d) The determination of whether a proposed project submitted pursuant to this section is or is not in conflict with the objective planning standards is not a project as defined in Section 21065 of the Public Resources Code.(e) Design review of the development may be conducted by the local governments planning commission or any equivalent board or commission responsible for review and approval of development projects, or the city council or board of supervisors, as appropriate. That design review shall be objective and be strictly focused on assessing compliance with criteria required for streamlined, ministerial review of projects, as well as any reasonable objective design standards published and adopted by ordinance or resolution by a local jurisdiction before submittal of the development to the local government, and shall be broadly applicable to developments within the jurisdiction. That design review shall be completed as follows and shall not in any way inhibit, chill, or preclude the ministerial approval provided by this section or its effect, as applicable:(1) Within 90 days of submittal of the development proposal to the local government pursuant to this section if the development contains 150 or fewer housing units.(2) Within 180 days of submittal of the development proposal to the local government pursuant to this section if the development contains more than 150 housing units.(f) A housing development proposed pursuant to this article shall be eligible for a density bonus, incentives or concessions, waivers or reductions of development standards, and parking ratios pursuant to Section 65915, except that the project shall not use a concession to reduce a local government requirement for the provision of ground floor retail that is consistent with the allowance contained in paragraph (3) of subdivision (j) of Section 65912.123.(g) The local government shall ensure that the project satisfies the requirements specified in subdivision (d) of Section 66300, regardless of whether the development is within or not within an affected city or within or not within an affected county.(h) If the development is consistent with all objective subdivision standards in the local subdivision ordinance, an application for a subdivision pursuant to the Subdivision Map Act (Division 2 (commencing with Section 66410)) shall be exempt from the requirements of the California Environmental Quality Act (Division 13 (commencing with Section 21000) of the Public Resources Code).(i) A local government may exempt a parcel from this section before a development proponent submits a development application on a parcel pursuant to this article if the local government makes written findings establishing all of the following:(1) The local government has identified a parcel or parcels that meet the criteria described in subdivisions (b) and (e) to (h), inclusive, of Section 65912.121.(2) (A) If a parcel identified in paragraph (1) would not otherwise be eligible for development pursuant to this chapter, the local government has permitted the parcel to be developed pursuant to the requirements of this chapter.(B) If a parcel identified in paragraph (1) would otherwise be eligible for development pursuant to this chapter, the local government has permitted residential densities above the residential density required in subdivision (b) of Section 65912.123 and heights required in subdivision (c) of Section 65912.123.(3) The development of the parcel or parcels pursuant to paragraph (3) (2) will result in all of the following:(A) No net loss of the total potential residential density in the jurisdiction.(B) No net loss of the potential residential density of housing affordable to lower income households in the jurisdiction.(C) Affirmative furthering of fair housing.(j) A local governments approval of a development pursuant to this section shall, notwithstanding any other law, be subject to the expiration timeframes specified in subdivision (f) of Section 65913.4.(k) Any proposed modifications to a development project approved pursuant to this section shall be undertaken pursuant to subdivision (g) of Section 65913.4.(l) A local government shall not adopt or impose any requirement, including, but not limited to, increased fees or inclusionary housing requirements, that applies to a project solely or partially on the basis that the project is eligible to receive streamlined, ministerial review pursuant to this section.(m) A local government shall issue a subsequent permit required for a development approved under this section pursuant to paragraph (2) of subdivision (h) of Section 65913.4.(n) A public improvement that is necessary to implement a development that is approved pursuant to this section shall be undertaken pursuant to paragraph (3) of subdivision (h) of Section 65913.4.(o) A local government may adopt an ordinance to implement the provisions of this article. An ordinance adopted to implement this section shall not be considered a project under Division 13 (commencing with Section 21000) of the Public Resources Code. 65912.124. (a) (1) If the local government determines that a development submitted pursuant to this article is consistent with the objective planning standards specified in this article, it shall approve the development.(2) If a local government determines that a development submitted pursuant to this article is in conflict with any of the objective planning standards specified in this article, it shall provide the development proponent written documentation of which standard or standards the development conflicts with, and an explanation for the reason or reasons the development conflicts with that standard or standards, within the following timeframes:(A) Within 60 days of submittal of the development proposal to the local government if the development contains 150 or fewer housing units.(B) Within 90 days of submittal of the development proposal to the local government if the development contains more than 150 housing units.(b) If the local government fails to provide the required documentation pursuant to subdivision (a), the development shall be deemed to satisfy the required objective planning standards.(c) (1) For purposes of this section, a development is consistent with the objective planning standards if there is substantial evidence that would allow a reasonable person to conclude that the development is consistent with the objective planning standards.(2) For purposes of this section, a development is not in conflict with the objective planning standards solely on the basis that application materials are not included, if the application contains substantial evidence that would allow a reasonable person to conclude that the development is consistent with the objective planning standards.(d) The determination of whether a proposed project submitted pursuant to this section is or is not in conflict with the objective planning standards is not a project as defined in Section 21065 of the Public Resources Code.(e) Design review of the development may be conducted by the local governments planning commission or any equivalent board or commission responsible for review and approval of development projects, or the city council or board of supervisors, as appropriate. That design review shall be objective and be strictly focused on assessing compliance with criteria required for streamlined, ministerial review of projects, as well as any reasonable objective design standards published and adopted by ordinance or resolution by a local jurisdiction before submittal of the development to the local government, and shall be broadly applicable to developments within the jurisdiction. That design review shall be completed as follows and shall not in any way inhibit, chill, or preclude the ministerial approval provided by this section or its effect, as applicable:(1) Within 90 days of submittal of the development proposal to the local government pursuant to this section if the development contains 150 or fewer housing units.(2) Within 180 days of submittal of the development proposal to the local government pursuant to this section if the development contains more than 150 housing units.(f) A housing development proposed pursuant to this article shall be eligible for a density bonus, incentives or concessions, waivers or reductions of development standards, and parking ratios pursuant to Section 65915, except that the project shall not use a concession to reduce a local government requirement for the provision of ground floor retail that is consistent with the allowance contained in paragraph (3) of subdivision (j) of Section 65912.123.(g) The local government shall ensure that the project satisfies the requirements specified in subdivision (d) of Section 66300, regardless of whether the development is within or not within an affected city or within or not within an affected county.(h) If the development is consistent with all objective subdivision standards in the local subdivision ordinance, an application for a subdivision pursuant to the Subdivision Map Act (Division 2 (commencing with Section 66410)) shall be exempt from the requirements of the California Environmental Quality Act (Division 13 (commencing with Section 21000) of the Public Resources Code).(i) A local government may exempt a parcel from this section before a development proponent submits a development application on a parcel pursuant to this article if the local government makes written findings establishing all of the following:(1) The local government has identified a parcel or parcels that meet the criteria described in subdivisions (b) and (e) to (h), inclusive, of Section 65912.121.(2) (A) If a parcel identified in paragraph (1) would not otherwise be eligible for development pursuant to this chapter, the local government has permitted the parcel to be developed pursuant to the requirements of this chapter.(B) If a parcel identified in paragraph (1) would otherwise be eligible for development pursuant to this chapter, the local government has permitted residential densities above the residential density required in subdivision (b) of Section 65912.123 and heights required in subdivision (c) of Section 65912.123.(3) The development of the parcel or parcels pursuant to paragraph (3) (2) will result in all of the following:(A) No net loss of the total potential residential density in the jurisdiction.(B) No net loss of the potential residential density of housing affordable to lower income households in the jurisdiction.(C) Affirmative furthering of fair housing.(j) A local governments approval of a development pursuant to this section shall, notwithstanding any other law, be subject to the expiration timeframes specified in subdivision (f) of Section 65913.4.(k) Any proposed modifications to a development project approved pursuant to this section shall be undertaken pursuant to subdivision (g) of Section 65913.4.(l) A local government shall not adopt or impose any requirement, including, but not limited to, increased fees or inclusionary housing requirements, that applies to a project solely or partially on the basis that the project is eligible to receive streamlined, ministerial review pursuant to this section.(m) A local government shall issue a subsequent permit required for a development approved under this section pursuant to paragraph (2) of subdivision (h) of Section 65913.4.(n) A public improvement that is necessary to implement a development that is approved pursuant to this section shall be undertaken pursuant to paragraph (3) of subdivision (h) of Section 65913.4.(o) A local government may adopt an ordinance to implement the provisions of this article. An ordinance adopted to implement this section shall not be considered a project under Division 13 (commencing with Section 21000) of the Public Resources Code. 65912.124. (a) (1) If the local government determines that a development submitted pursuant to this article is consistent with the objective planning standards specified in this article, it shall approve the development.(2) If a local government determines that a development submitted pursuant to this article is in conflict with any of the objective planning standards specified in this article, it shall provide the development proponent written documentation of which standard or standards the development conflicts with, and an explanation for the reason or reasons the development conflicts with that standard or standards, within the following timeframes:(A) Within 60 days of submittal of the development proposal to the local government if the development contains 150 or fewer housing units.(B) Within 90 days of submittal of the development proposal to the local government if the development contains more than 150 housing units.(b) If the local government fails to provide the required documentation pursuant to subdivision (a), the development shall be deemed to satisfy the required objective planning standards.(c) (1) For purposes of this section, a development is consistent with the objective planning standards if there is substantial evidence that would allow a reasonable person to conclude that the development is consistent with the objective planning standards.(2) For purposes of this section, a development is not in conflict with the objective planning standards solely on the basis that application materials are not included, if the application contains substantial evidence that would allow a reasonable person to conclude that the development is consistent with the objective planning standards.(d) The determination of whether a proposed project submitted pursuant to this section is or is not in conflict with the objective planning standards is not a project as defined in Section 21065 of the Public Resources Code.(e) Design review of the development may be conducted by the local governments planning commission or any equivalent board or commission responsible for review and approval of development projects, or the city council or board of supervisors, as appropriate. That design review shall be objective and be strictly focused on assessing compliance with criteria required for streamlined, ministerial review of projects, as well as any reasonable objective design standards published and adopted by ordinance or resolution by a local jurisdiction before submittal of the development to the local government, and shall be broadly applicable to developments within the jurisdiction. That design review shall be completed as follows and shall not in any way inhibit, chill, or preclude the ministerial approval provided by this section or its effect, as applicable:(1) Within 90 days of submittal of the development proposal to the local government pursuant to this section if the development contains 150 or fewer housing units.(2) Within 180 days of submittal of the development proposal to the local government pursuant to this section if the development contains more than 150 housing units.(f) A housing development proposed pursuant to this article shall be eligible for a density bonus, incentives or concessions, waivers or reductions of development standards, and parking ratios pursuant to Section 65915, except that the project shall not use a concession to reduce a local government requirement for the provision of ground floor retail that is consistent with the allowance contained in paragraph (3) of subdivision (j) of Section 65912.123.(g) The local government shall ensure that the project satisfies the requirements specified in subdivision (d) of Section 66300, regardless of whether the development is within or not within an affected city or within or not within an affected county.(h) If the development is consistent with all objective subdivision standards in the local subdivision ordinance, an application for a subdivision pursuant to the Subdivision Map Act (Division 2 (commencing with Section 66410)) shall be exempt from the requirements of the California Environmental Quality Act (Division 13 (commencing with Section 21000) of the Public Resources Code).(i) A local government may exempt a parcel from this section before a development proponent submits a development application on a parcel pursuant to this article if the local government makes written findings establishing all of the following:(1) The local government has identified a parcel or parcels that meet the criteria described in subdivisions (b) and (e) to (h), inclusive, of Section 65912.121.(2) (A) If a parcel identified in paragraph (1) would not otherwise be eligible for development pursuant to this chapter, the local government has permitted the parcel to be developed pursuant to the requirements of this chapter.(B) If a parcel identified in paragraph (1) would otherwise be eligible for development pursuant to this chapter, the local government has permitted residential densities above the residential density required in subdivision (b) of Section 65912.123 and heights required in subdivision (c) of Section 65912.123.(3) The development of the parcel or parcels pursuant to paragraph (3) (2) will result in all of the following:(A) No net loss of the total potential residential density in the jurisdiction.(B) No net loss of the potential residential density of housing affordable to lower income households in the jurisdiction.(C) Affirmative furthering of fair housing.(j) A local governments approval of a development pursuant to this section shall, notwithstanding any other law, be subject to the expiration timeframes specified in subdivision (f) of Section 65913.4.(k) Any proposed modifications to a development project approved pursuant to this section shall be undertaken pursuant to subdivision (g) of Section 65913.4.(l) A local government shall not adopt or impose any requirement, including, but not limited to, increased fees or inclusionary housing requirements, that applies to a project solely or partially on the basis that the project is eligible to receive streamlined, ministerial review pursuant to this section.(m) A local government shall issue a subsequent permit required for a development approved under this section pursuant to paragraph (2) of subdivision (h) of Section 65913.4.(n) A public improvement that is necessary to implement a development that is approved pursuant to this section shall be undertaken pursuant to paragraph (3) of subdivision (h) of Section 65913.4.(o) A local government may adopt an ordinance to implement the provisions of this article. An ordinance adopted to implement this section shall not be considered a project under Division 13 (commencing with Section 21000) of the Public Resources Code. 65912.124. (a) (1) If the local government determines that a development submitted pursuant to this article is consistent with the objective planning standards specified in this article, it shall approve the development. (2) If a local government determines that a development submitted pursuant to this article is in conflict with any of the objective planning standards specified in this article, it shall provide the development proponent written documentation of which standard or standards the development conflicts with, and an explanation for the reason or reasons the development conflicts with that standard or standards, within the following timeframes: (A) Within 60 days of submittal of the development proposal to the local government if the development contains 150 or fewer housing units. (B) Within 90 days of submittal of the development proposal to the local government if the development contains more than 150 housing units. (b) If the local government fails to provide the required documentation pursuant to subdivision (a), the development shall be deemed to satisfy the required objective planning standards. (c) (1) For purposes of this section, a development is consistent with the objective planning standards if there is substantial evidence that would allow a reasonable person to conclude that the development is consistent with the objective planning standards. (2) For purposes of this section, a development is not in conflict with the objective planning standards solely on the basis that application materials are not included, if the application contains substantial evidence that would allow a reasonable person to conclude that the development is consistent with the objective planning standards. (d) The determination of whether a proposed project submitted pursuant to this section is or is not in conflict with the objective planning standards is not a project as defined in Section 21065 of the Public Resources Code. (e) Design review of the development may be conducted by the local governments planning commission or any equivalent board or commission responsible for review and approval of development projects, or the city council or board of supervisors, as appropriate. That design review shall be objective and be strictly focused on assessing compliance with criteria required for streamlined, ministerial review of projects, as well as any reasonable objective design standards published and adopted by ordinance or resolution by a local jurisdiction before submittal of the development to the local government, and shall be broadly applicable to developments within the jurisdiction. That design review shall be completed as follows and shall not in any way inhibit, chill, or preclude the ministerial approval provided by this section or its effect, as applicable: (1) Within 90 days of submittal of the development proposal to the local government pursuant to this section if the development contains 150 or fewer housing units. (2) Within 180 days of submittal of the development proposal to the local government pursuant to this section if the development contains more than 150 housing units. (f) A housing development proposed pursuant to this article shall be eligible for a density bonus, incentives or concessions, waivers or reductions of development standards, and parking ratios pursuant to Section 65915, except that the project shall not use a concession to reduce a local government requirement for the provision of ground floor retail that is consistent with the allowance contained in paragraph (3) of subdivision (j) of Section 65912.123. (g) The local government shall ensure that the project satisfies the requirements specified in subdivision (d) of Section 66300, regardless of whether the development is within or not within an affected city or within or not within an affected county. (h) If the development is consistent with all objective subdivision standards in the local subdivision ordinance, an application for a subdivision pursuant to the Subdivision Map Act (Division 2 (commencing with Section 66410)) shall be exempt from the requirements of the California Environmental Quality Act (Division 13 (commencing with Section 21000) of the Public Resources Code). (i) A local government may exempt a parcel from this section before a development proponent submits a development application on a parcel pursuant to this article if the local government makes written findings establishing all of the following: (1) The local government has identified a parcel or parcels that meet the criteria described in subdivisions (b) and (e) to (h), inclusive, of Section 65912.121. (2) (A) If a parcel identified in paragraph (1) would not otherwise be eligible for development pursuant to this chapter, the local government has permitted the parcel to be developed pursuant to the requirements of this chapter. (B) If a parcel identified in paragraph (1) would otherwise be eligible for development pursuant to this chapter, the local government has permitted residential densities above the residential density required in subdivision (b) of Section 65912.123 and heights required in subdivision (c) of Section 65912.123. (3) The development of the parcel or parcels pursuant to paragraph (3) (2) will result in all of the following: (A) No net loss of the total potential residential density in the jurisdiction. (B) No net loss of the potential residential density of housing affordable to lower income households in the jurisdiction. (C) Affirmative furthering of fair housing. (j) A local governments approval of a development pursuant to this section shall, notwithstanding any other law, be subject to the expiration timeframes specified in subdivision (f) of Section 65913.4. (k) Any proposed modifications to a development project approved pursuant to this section shall be undertaken pursuant to subdivision (g) of Section 65913.4. (l) A local government shall not adopt or impose any requirement, including, but not limited to, increased fees or inclusionary housing requirements, that applies to a project solely or partially on the basis that the project is eligible to receive streamlined, ministerial review pursuant to this section. (m) A local government shall issue a subsequent permit required for a development approved under this section pursuant to paragraph (2) of subdivision (h) of Section 65913.4. (n) A public improvement that is necessary to implement a development that is approved pursuant to this section shall be undertaken pursuant to paragraph (3) of subdivision (h) of Section 65913.4. (o) A local government may adopt an ordinance to implement the provisions of this article. An ordinance adopted to implement this section shall not be considered a project under Division 13 (commencing with Section 21000) of the Public Resources Code. SEC. 6. Section 18062.8 of the Health and Safety Code is amended to read:18062.8. It is unlawful for any manufacturer or distributor licensed under this part to do any of the following:(a) Refuse or fail to deliver, in reasonable quantities and within a reasonable time after receipt of an order from a dealer having a franchise for the retail sale of any new manufactured home, mobilehome, or commercial coach sold or distributed by the manufacturer or distributor, any new manufactured home, mobilehome, or commercial coach or parts or accessories to new manufactured homes, mobilehomes, or commercial coaches that are covered by the franchise, if the mobilehome or commercial coach, parts or accessories are publicly advertised as being available for delivery or actually being delivered. This subdivision is not violated, however, if the failure is caused by acts or causes beyond the control of the manufacturer or distributor.(b) Prevent or require or attempt to prevent or require, by contract or otherwise, any change in the capital structure of a dealership, if the dealer at all times meets any reasonable capital standards agreed to by the dealer and the manufacturer or distributor, and also provided that no change in capital structure shall cause a change in the principal management or have the effect of a sale of the franchise without the consent of the manufacturer or distributor.(c) Prevent or require, or attempt to prevent or require, a dealer to change the executive management of a dealership, other than the principal dealership operator or operators, if the franchise was granted the dealer in reliance upon the personal qualifications of that person or persons.(d) Prevent or require, or attempt to prevent or require, by contract or otherwise, any dealer, or any officer, partner, or stockholder of any dealership, to participate in the sale or transfer of any part of the interest of any of them to any other person or persons. No dealer, officer, partner, or stockholder shall, however, have the right to sell, transfer, or assign the franchise, or any right thereunder, without the consent of the manufacturer or distributor if the consent is not unreasonably withheld.(e) Prevent, or attempt to prevent, a dealer from receiving fair and reasonable compensation for the value of the franchised business. There shall be no transfer or assignment of the dealers franchise without the consent of the manufacturer or distributor, if the consent is not unreasonably withheld.(f) Obtain money, goods, services, or any other benefit from any other person with whom the dealer does business, on account of, or in relation to, the transaction between the dealer and any other person, other than for compensation for services rendered, unless the benefit is promptly accounted for, and transmitted to, the dealer.(g) Require a dealer to prospectively assent to a release, assignment, novation, waiver, or estoppel that would relieve any person from liability imposed by this part or to require any controversy between a dealer and a manufacturer or distributor to be referred to any person other than the department, if the referral would be binding on the dealer. This subdivision does not, however, prohibit arbitration before an independent arbitrator.(h) Increase the prices of manufactured homes, mobilehomes, or commercial coaches that the dealer ordered for private retail consumers prior to the dealers receipt of the written official price increase notification. A sales contract signed by a private retail consumer shall constitute evidence of each order. In the event of manufacturer price reductions, the amount of any reduction received by a dealer shall be passed on to the private retail consumer by the dealer if the retail price was negotiated on the basis of the previous higher price to the dealer. Price reductions shall apply to all manufactured homes, mobilehomes, and commercial coaches in the dealers inventory that were subject to the price reduction. A price difference applicable to new model or series manufactured homes, mobilehomes, or commercial coaches at the time of the introduction of new models or series shall not be considered a price increase or price decrease. Price changes caused by either of the following shall not be subject to this subdivision:(1) The addition to a manufactured home, mobilehome, or commercial coach of required or optional equipment pursuant to state or federal law.(2) Revaluation of the United States dollar, in the case of foreign-made manufactured homes, mobilehomes, or commercial coaches.(i) Fail to pay to a dealer, within a reasonable time following receipt of a valid claim by a dealer thereof, any payment agreed to be made by the manufacturer or distributor to the dealer by reason of the fact that a new manufactured home, mobilehome, or commercial coach of a prior year model is in the dealers inventory at the time of introduction of new model manufactured homes, mobilehomes, or commercial coaches. A manufacturer or distributor shall not authorize or enable any new model to be delivered by dealers at retail more than 30 days prior to the eligibility date of the model change allowance payment for prior year model manufactured homes, mobilehomes, or commercial coaches.(j) Deny, to the surviving spouse or heirs designated by a deceased owner of a dealership, the opportunity to participate in the ownership of the dealership or successor dealership under a valid franchise for a reasonable time after the death of the owner.(k) Offer any refunds or other types of inducements to any dealer or other person for the purchase of new manufactured homes, mobilehomes, or commercial coaches of a certain make and model to be sold to the state or any political subdivision of the state without making the same offer to all other dealers in the same make and model within the relevant market area.(l) Employ a person as a distributor who has not been licensed pursuant to this chapter.(m) Deny any dealer the right of free association with any other dealer for any lawful purpose.(n) Compete with a dealer in the same make and model operating under an agreement or franchise from a manufacturer or distributor in the relevant market area. A manufacturer or distributor shall not, however, be deemed to be competing when operating a dealership either temporarily for a reasonable period, or in a bona fide retail operation that is for sale to any qualified independent person at a fair and reasonable price, or in a bona fide relationship in which an independent person has made a significant investment subject to loss in the dealership and can reasonably expect to acquire full ownership of the dealership on reasonable terms and conditions.(o) Unfairly discriminate among its franchisees with respect to warranty reimbursement or authority granted its franchisees to make warranty adjustments with retail customers.(p) Sell manufactured homes, mobilehomes, or commercial coaches to persons not licensed under this part for resale, except as authorized pursuant to Section 18015.7 or 18062.9.(q) Fail to exercise reasonable supervision over the activities of employees who negotiate or promote the sale of manufactured homes, mobilehomes, or commercial coaches. SEC. 6. Section 18062.8 of the Health and Safety Code is amended to read: ### SEC. 6. 18062.8. It is unlawful for any manufacturer or distributor licensed under this part to do any of the following:(a) Refuse or fail to deliver, in reasonable quantities and within a reasonable time after receipt of an order from a dealer having a franchise for the retail sale of any new manufactured home, mobilehome, or commercial coach sold or distributed by the manufacturer or distributor, any new manufactured home, mobilehome, or commercial coach or parts or accessories to new manufactured homes, mobilehomes, or commercial coaches that are covered by the franchise, if the mobilehome or commercial coach, parts or accessories are publicly advertised as being available for delivery or actually being delivered. This subdivision is not violated, however, if the failure is caused by acts or causes beyond the control of the manufacturer or distributor.(b) Prevent or require or attempt to prevent or require, by contract or otherwise, any change in the capital structure of a dealership, if the dealer at all times meets any reasonable capital standards agreed to by the dealer and the manufacturer or distributor, and also provided that no change in capital structure shall cause a change in the principal management or have the effect of a sale of the franchise without the consent of the manufacturer or distributor.(c) Prevent or require, or attempt to prevent or require, a dealer to change the executive management of a dealership, other than the principal dealership operator or operators, if the franchise was granted the dealer in reliance upon the personal qualifications of that person or persons.(d) Prevent or require, or attempt to prevent or require, by contract or otherwise, any dealer, or any officer, partner, or stockholder of any dealership, to participate in the sale or transfer of any part of the interest of any of them to any other person or persons. No dealer, officer, partner, or stockholder shall, however, have the right to sell, transfer, or assign the franchise, or any right thereunder, without the consent of the manufacturer or distributor if the consent is not unreasonably withheld.(e) Prevent, or attempt to prevent, a dealer from receiving fair and reasonable compensation for the value of the franchised business. There shall be no transfer or assignment of the dealers franchise without the consent of the manufacturer or distributor, if the consent is not unreasonably withheld.(f) Obtain money, goods, services, or any other benefit from any other person with whom the dealer does business, on account of, or in relation to, the transaction between the dealer and any other person, other than for compensation for services rendered, unless the benefit is promptly accounted for, and transmitted to, the dealer.(g) Require a dealer to prospectively assent to a release, assignment, novation, waiver, or estoppel that would relieve any person from liability imposed by this part or to require any controversy between a dealer and a manufacturer or distributor to be referred to any person other than the department, if the referral would be binding on the dealer. This subdivision does not, however, prohibit arbitration before an independent arbitrator.(h) Increase the prices of manufactured homes, mobilehomes, or commercial coaches that the dealer ordered for private retail consumers prior to the dealers receipt of the written official price increase notification. A sales contract signed by a private retail consumer shall constitute evidence of each order. In the event of manufacturer price reductions, the amount of any reduction received by a dealer shall be passed on to the private retail consumer by the dealer if the retail price was negotiated on the basis of the previous higher price to the dealer. Price reductions shall apply to all manufactured homes, mobilehomes, and commercial coaches in the dealers inventory that were subject to the price reduction. A price difference applicable to new model or series manufactured homes, mobilehomes, or commercial coaches at the time of the introduction of new models or series shall not be considered a price increase or price decrease. Price changes caused by either of the following shall not be subject to this subdivision:(1) The addition to a manufactured home, mobilehome, or commercial coach of required or optional equipment pursuant to state or federal law.(2) Revaluation of the United States dollar, in the case of foreign-made manufactured homes, mobilehomes, or commercial coaches.(i) Fail to pay to a dealer, within a reasonable time following receipt of a valid claim by a dealer thereof, any payment agreed to be made by the manufacturer or distributor to the dealer by reason of the fact that a new manufactured home, mobilehome, or commercial coach of a prior year model is in the dealers inventory at the time of introduction of new model manufactured homes, mobilehomes, or commercial coaches. A manufacturer or distributor shall not authorize or enable any new model to be delivered by dealers at retail more than 30 days prior to the eligibility date of the model change allowance payment for prior year model manufactured homes, mobilehomes, or commercial coaches.(j) Deny, to the surviving spouse or heirs designated by a deceased owner of a dealership, the opportunity to participate in the ownership of the dealership or successor dealership under a valid franchise for a reasonable time after the death of the owner.(k) Offer any refunds or other types of inducements to any dealer or other person for the purchase of new manufactured homes, mobilehomes, or commercial coaches of a certain make and model to be sold to the state or any political subdivision of the state without making the same offer to all other dealers in the same make and model within the relevant market area.(l) Employ a person as a distributor who has not been licensed pursuant to this chapter.(m) Deny any dealer the right of free association with any other dealer for any lawful purpose.(n) Compete with a dealer in the same make and model operating under an agreement or franchise from a manufacturer or distributor in the relevant market area. A manufacturer or distributor shall not, however, be deemed to be competing when operating a dealership either temporarily for a reasonable period, or in a bona fide retail operation that is for sale to any qualified independent person at a fair and reasonable price, or in a bona fide relationship in which an independent person has made a significant investment subject to loss in the dealership and can reasonably expect to acquire full ownership of the dealership on reasonable terms and conditions.(o) Unfairly discriminate among its franchisees with respect to warranty reimbursement or authority granted its franchisees to make warranty adjustments with retail customers.(p) Sell manufactured homes, mobilehomes, or commercial coaches to persons not licensed under this part for resale, except as authorized pursuant to Section 18015.7 or 18062.9.(q) Fail to exercise reasonable supervision over the activities of employees who negotiate or promote the sale of manufactured homes, mobilehomes, or commercial coaches. 18062.8. It is unlawful for any manufacturer or distributor licensed under this part to do any of the following:(a) Refuse or fail to deliver, in reasonable quantities and within a reasonable time after receipt of an order from a dealer having a franchise for the retail sale of any new manufactured home, mobilehome, or commercial coach sold or distributed by the manufacturer or distributor, any new manufactured home, mobilehome, or commercial coach or parts or accessories to new manufactured homes, mobilehomes, or commercial coaches that are covered by the franchise, if the mobilehome or commercial coach, parts or accessories are publicly advertised as being available for delivery or actually being delivered. This subdivision is not violated, however, if the failure is caused by acts or causes beyond the control of the manufacturer or distributor.(b) Prevent or require or attempt to prevent or require, by contract or otherwise, any change in the capital structure of a dealership, if the dealer at all times meets any reasonable capital standards agreed to by the dealer and the manufacturer or distributor, and also provided that no change in capital structure shall cause a change in the principal management or have the effect of a sale of the franchise without the consent of the manufacturer or distributor.(c) Prevent or require, or attempt to prevent or require, a dealer to change the executive management of a dealership, other than the principal dealership operator or operators, if the franchise was granted the dealer in reliance upon the personal qualifications of that person or persons.(d) Prevent or require, or attempt to prevent or require, by contract or otherwise, any dealer, or any officer, partner, or stockholder of any dealership, to participate in the sale or transfer of any part of the interest of any of them to any other person or persons. No dealer, officer, partner, or stockholder shall, however, have the right to sell, transfer, or assign the franchise, or any right thereunder, without the consent of the manufacturer or distributor if the consent is not unreasonably withheld.(e) Prevent, or attempt to prevent, a dealer from receiving fair and reasonable compensation for the value of the franchised business. There shall be no transfer or assignment of the dealers franchise without the consent of the manufacturer or distributor, if the consent is not unreasonably withheld.(f) Obtain money, goods, services, or any other benefit from any other person with whom the dealer does business, on account of, or in relation to, the transaction between the dealer and any other person, other than for compensation for services rendered, unless the benefit is promptly accounted for, and transmitted to, the dealer.(g) Require a dealer to prospectively assent to a release, assignment, novation, waiver, or estoppel that would relieve any person from liability imposed by this part or to require any controversy between a dealer and a manufacturer or distributor to be referred to any person other than the department, if the referral would be binding on the dealer. This subdivision does not, however, prohibit arbitration before an independent arbitrator.(h) Increase the prices of manufactured homes, mobilehomes, or commercial coaches that the dealer ordered for private retail consumers prior to the dealers receipt of the written official price increase notification. A sales contract signed by a private retail consumer shall constitute evidence of each order. In the event of manufacturer price reductions, the amount of any reduction received by a dealer shall be passed on to the private retail consumer by the dealer if the retail price was negotiated on the basis of the previous higher price to the dealer. Price reductions shall apply to all manufactured homes, mobilehomes, and commercial coaches in the dealers inventory that were subject to the price reduction. A price difference applicable to new model or series manufactured homes, mobilehomes, or commercial coaches at the time of the introduction of new models or series shall not be considered a price increase or price decrease. Price changes caused by either of the following shall not be subject to this subdivision:(1) The addition to a manufactured home, mobilehome, or commercial coach of required or optional equipment pursuant to state or federal law.(2) Revaluation of the United States dollar, in the case of foreign-made manufactured homes, mobilehomes, or commercial coaches.(i) Fail to pay to a dealer, within a reasonable time following receipt of a valid claim by a dealer thereof, any payment agreed to be made by the manufacturer or distributor to the dealer by reason of the fact that a new manufactured home, mobilehome, or commercial coach of a prior year model is in the dealers inventory at the time of introduction of new model manufactured homes, mobilehomes, or commercial coaches. A manufacturer or distributor shall not authorize or enable any new model to be delivered by dealers at retail more than 30 days prior to the eligibility date of the model change allowance payment for prior year model manufactured homes, mobilehomes, or commercial coaches.(j) Deny, to the surviving spouse or heirs designated by a deceased owner of a dealership, the opportunity to participate in the ownership of the dealership or successor dealership under a valid franchise for a reasonable time after the death of the owner.(k) Offer any refunds or other types of inducements to any dealer or other person for the purchase of new manufactured homes, mobilehomes, or commercial coaches of a certain make and model to be sold to the state or any political subdivision of the state without making the same offer to all other dealers in the same make and model within the relevant market area.(l) Employ a person as a distributor who has not been licensed pursuant to this chapter.(m) Deny any dealer the right of free association with any other dealer for any lawful purpose.(n) Compete with a dealer in the same make and model operating under an agreement or franchise from a manufacturer or distributor in the relevant market area. A manufacturer or distributor shall not, however, be deemed to be competing when operating a dealership either temporarily for a reasonable period, or in a bona fide retail operation that is for sale to any qualified independent person at a fair and reasonable price, or in a bona fide relationship in which an independent person has made a significant investment subject to loss in the dealership and can reasonably expect to acquire full ownership of the dealership on reasonable terms and conditions.(o) Unfairly discriminate among its franchisees with respect to warranty reimbursement or authority granted its franchisees to make warranty adjustments with retail customers.(p) Sell manufactured homes, mobilehomes, or commercial coaches to persons not licensed under this part for resale, except as authorized pursuant to Section 18015.7 or 18062.9.(q) Fail to exercise reasonable supervision over the activities of employees who negotiate or promote the sale of manufactured homes, mobilehomes, or commercial coaches. 18062.8. It is unlawful for any manufacturer or distributor licensed under this part to do any of the following:(a) Refuse or fail to deliver, in reasonable quantities and within a reasonable time after receipt of an order from a dealer having a franchise for the retail sale of any new manufactured home, mobilehome, or commercial coach sold or distributed by the manufacturer or distributor, any new manufactured home, mobilehome, or commercial coach or parts or accessories to new manufactured homes, mobilehomes, or commercial coaches that are covered by the franchise, if the mobilehome or commercial coach, parts or accessories are publicly advertised as being available for delivery or actually being delivered. This subdivision is not violated, however, if the failure is caused by acts or causes beyond the control of the manufacturer or distributor.(b) Prevent or require or attempt to prevent or require, by contract or otherwise, any change in the capital structure of a dealership, if the dealer at all times meets any reasonable capital standards agreed to by the dealer and the manufacturer or distributor, and also provided that no change in capital structure shall cause a change in the principal management or have the effect of a sale of the franchise without the consent of the manufacturer or distributor.(c) Prevent or require, or attempt to prevent or require, a dealer to change the executive management of a dealership, other than the principal dealership operator or operators, if the franchise was granted the dealer in reliance upon the personal qualifications of that person or persons.(d) Prevent or require, or attempt to prevent or require, by contract or otherwise, any dealer, or any officer, partner, or stockholder of any dealership, to participate in the sale or transfer of any part of the interest of any of them to any other person or persons. No dealer, officer, partner, or stockholder shall, however, have the right to sell, transfer, or assign the franchise, or any right thereunder, without the consent of the manufacturer or distributor if the consent is not unreasonably withheld.(e) Prevent, or attempt to prevent, a dealer from receiving fair and reasonable compensation for the value of the franchised business. There shall be no transfer or assignment of the dealers franchise without the consent of the manufacturer or distributor, if the consent is not unreasonably withheld.(f) Obtain money, goods, services, or any other benefit from any other person with whom the dealer does business, on account of, or in relation to, the transaction between the dealer and any other person, other than for compensation for services rendered, unless the benefit is promptly accounted for, and transmitted to, the dealer.(g) Require a dealer to prospectively assent to a release, assignment, novation, waiver, or estoppel that would relieve any person from liability imposed by this part or to require any controversy between a dealer and a manufacturer or distributor to be referred to any person other than the department, if the referral would be binding on the dealer. This subdivision does not, however, prohibit arbitration before an independent arbitrator.(h) Increase the prices of manufactured homes, mobilehomes, or commercial coaches that the dealer ordered for private retail consumers prior to the dealers receipt of the written official price increase notification. A sales contract signed by a private retail consumer shall constitute evidence of each order. In the event of manufacturer price reductions, the amount of any reduction received by a dealer shall be passed on to the private retail consumer by the dealer if the retail price was negotiated on the basis of the previous higher price to the dealer. Price reductions shall apply to all manufactured homes, mobilehomes, and commercial coaches in the dealers inventory that were subject to the price reduction. A price difference applicable to new model or series manufactured homes, mobilehomes, or commercial coaches at the time of the introduction of new models or series shall not be considered a price increase or price decrease. Price changes caused by either of the following shall not be subject to this subdivision:(1) The addition to a manufactured home, mobilehome, or commercial coach of required or optional equipment pursuant to state or federal law.(2) Revaluation of the United States dollar, in the case of foreign-made manufactured homes, mobilehomes, or commercial coaches.(i) Fail to pay to a dealer, within a reasonable time following receipt of a valid claim by a dealer thereof, any payment agreed to be made by the manufacturer or distributor to the dealer by reason of the fact that a new manufactured home, mobilehome, or commercial coach of a prior year model is in the dealers inventory at the time of introduction of new model manufactured homes, mobilehomes, or commercial coaches. A manufacturer or distributor shall not authorize or enable any new model to be delivered by dealers at retail more than 30 days prior to the eligibility date of the model change allowance payment for prior year model manufactured homes, mobilehomes, or commercial coaches.(j) Deny, to the surviving spouse or heirs designated by a deceased owner of a dealership, the opportunity to participate in the ownership of the dealership or successor dealership under a valid franchise for a reasonable time after the death of the owner.(k) Offer any refunds or other types of inducements to any dealer or other person for the purchase of new manufactured homes, mobilehomes, or commercial coaches of a certain make and model to be sold to the state or any political subdivision of the state without making the same offer to all other dealers in the same make and model within the relevant market area.(l) Employ a person as a distributor who has not been licensed pursuant to this chapter.(m) Deny any dealer the right of free association with any other dealer for any lawful purpose.(n) Compete with a dealer in the same make and model operating under an agreement or franchise from a manufacturer or distributor in the relevant market area. A manufacturer or distributor shall not, however, be deemed to be competing when operating a dealership either temporarily for a reasonable period, or in a bona fide retail operation that is for sale to any qualified independent person at a fair and reasonable price, or in a bona fide relationship in which an independent person has made a significant investment subject to loss in the dealership and can reasonably expect to acquire full ownership of the dealership on reasonable terms and conditions.(o) Unfairly discriminate among its franchisees with respect to warranty reimbursement or authority granted its franchisees to make warranty adjustments with retail customers.(p) Sell manufactured homes, mobilehomes, or commercial coaches to persons not licensed under this part for resale, except as authorized pursuant to Section 18015.7 or 18062.9.(q) Fail to exercise reasonable supervision over the activities of employees who negotiate or promote the sale of manufactured homes, mobilehomes, or commercial coaches. 18062.8. It is unlawful for any manufacturer or distributor licensed under this part to do any of the following: (a) Refuse or fail to deliver, in reasonable quantities and within a reasonable time after receipt of an order from a dealer having a franchise for the retail sale of any new manufactured home, mobilehome, or commercial coach sold or distributed by the manufacturer or distributor, any new manufactured home, mobilehome, or commercial coach or parts or accessories to new manufactured homes, mobilehomes, or commercial coaches that are covered by the franchise, if the mobilehome or commercial coach, parts or accessories are publicly advertised as being available for delivery or actually being delivered. This subdivision is not violated, however, if the failure is caused by acts or causes beyond the control of the manufacturer or distributor. (b) Prevent or require or attempt to prevent or require, by contract or otherwise, any change in the capital structure of a dealership, if the dealer at all times meets any reasonable capital standards agreed to by the dealer and the manufacturer or distributor, and also provided that no change in capital structure shall cause a change in the principal management or have the effect of a sale of the franchise without the consent of the manufacturer or distributor. (c) Prevent or require, or attempt to prevent or require, a dealer to change the executive management of a dealership, other than the principal dealership operator or operators, if the franchise was granted the dealer in reliance upon the personal qualifications of that person or persons. (d) Prevent or require, or attempt to prevent or require, by contract or otherwise, any dealer, or any officer, partner, or stockholder of any dealership, to participate in the sale or transfer of any part of the interest of any of them to any other person or persons. No dealer, officer, partner, or stockholder shall, however, have the right to sell, transfer, or assign the franchise, or any right thereunder, without the consent of the manufacturer or distributor if the consent is not unreasonably withheld. (e) Prevent, or attempt to prevent, a dealer from receiving fair and reasonable compensation for the value of the franchised business. There shall be no transfer or assignment of the dealers franchise without the consent of the manufacturer or distributor, if the consent is not unreasonably withheld. (f) Obtain money, goods, services, or any other benefit from any other person with whom the dealer does business, on account of, or in relation to, the transaction between the dealer and any other person, other than for compensation for services rendered, unless the benefit is promptly accounted for, and transmitted to, the dealer. (g) Require a dealer to prospectively assent to a release, assignment, novation, waiver, or estoppel that would relieve any person from liability imposed by this part or to require any controversy between a dealer and a manufacturer or distributor to be referred to any person other than the department, if the referral would be binding on the dealer. This subdivision does not, however, prohibit arbitration before an independent arbitrator. (h) Increase the prices of manufactured homes, mobilehomes, or commercial coaches that the dealer ordered for private retail consumers prior to the dealers receipt of the written official price increase notification. A sales contract signed by a private retail consumer shall constitute evidence of each order. In the event of manufacturer price reductions, the amount of any reduction received by a dealer shall be passed on to the private retail consumer by the dealer if the retail price was negotiated on the basis of the previous higher price to the dealer. Price reductions shall apply to all manufactured homes, mobilehomes, and commercial coaches in the dealers inventory that were subject to the price reduction. A price difference applicable to new model or series manufactured homes, mobilehomes, or commercial coaches at the time of the introduction of new models or series shall not be considered a price increase or price decrease. Price changes caused by either of the following shall not be subject to this subdivision: (1) The addition to a manufactured home, mobilehome, or commercial coach of required or optional equipment pursuant to state or federal law. (2) Revaluation of the United States dollar, in the case of foreign-made manufactured homes, mobilehomes, or commercial coaches. (i) Fail to pay to a dealer, within a reasonable time following receipt of a valid claim by a dealer thereof, any payment agreed to be made by the manufacturer or distributor to the dealer by reason of the fact that a new manufactured home, mobilehome, or commercial coach of a prior year model is in the dealers inventory at the time of introduction of new model manufactured homes, mobilehomes, or commercial coaches. A manufacturer or distributor shall not authorize or enable any new model to be delivered by dealers at retail more than 30 days prior to the eligibility date of the model change allowance payment for prior year model manufactured homes, mobilehomes, or commercial coaches. (j) Deny, to the surviving spouse or heirs designated by a deceased owner of a dealership, the opportunity to participate in the ownership of the dealership or successor dealership under a valid franchise for a reasonable time after the death of the owner. (k) Offer any refunds or other types of inducements to any dealer or other person for the purchase of new manufactured homes, mobilehomes, or commercial coaches of a certain make and model to be sold to the state or any political subdivision of the state without making the same offer to all other dealers in the same make and model within the relevant market area. (l) Employ a person as a distributor who has not been licensed pursuant to this chapter. (m) Deny any dealer the right of free association with any other dealer for any lawful purpose. (n) Compete with a dealer in the same make and model operating under an agreement or franchise from a manufacturer or distributor in the relevant market area. A manufacturer or distributor shall not, however, be deemed to be competing when operating a dealership either temporarily for a reasonable period, or in a bona fide retail operation that is for sale to any qualified independent person at a fair and reasonable price, or in a bona fide relationship in which an independent person has made a significant investment subject to loss in the dealership and can reasonably expect to acquire full ownership of the dealership on reasonable terms and conditions. (o) Unfairly discriminate among its franchisees with respect to warranty reimbursement or authority granted its franchisees to make warranty adjustments with retail customers. (p) Sell manufactured homes, mobilehomes, or commercial coaches to persons not licensed under this part for resale, except as authorized pursuant to Section 18015.7 or 18062.9. (q) Fail to exercise reasonable supervision over the activities of employees who negotiate or promote the sale of manufactured homes, mobilehomes, or commercial coaches. SEC. 7. Section 50091 of the Health and Safety Code is amended to read:50091. Nonprofit housing sponsor or nonprofit corporation means a nonprofit corporation incorporated pursuant to Division 2 (commencing with Section 5000) of Title 1 of the Corporations Code or a corporation or association that is, or will be qualified as, a cooperative housing corporation for purposes of subdivision (a) of Section 17265 of the Revenue and Taxation Code, a nonprofit student housing cooperative, or a limited equity housing cooperative and that is certified by the agency as qualified to own a housing development if financed or assisted by the agency. However, a limited equity housing cooperative shall not be deemed to be nonprofit for the purpose of Chapter 10 (commencing with Section 50775). A nonprofit corporation shall also include a tribally designated housing entity as defined in Section 4103 of Title 25 of the United States Code and Section 50104.6.5. SEC. 7. Section 50091 of the Health and Safety Code is amended to read: ### SEC. 7. 50091. Nonprofit housing sponsor or nonprofit corporation means a nonprofit corporation incorporated pursuant to Division 2 (commencing with Section 5000) of Title 1 of the Corporations Code or a corporation or association that is, or will be qualified as, a cooperative housing corporation for purposes of subdivision (a) of Section 17265 of the Revenue and Taxation Code, a nonprofit student housing cooperative, or a limited equity housing cooperative and that is certified by the agency as qualified to own a housing development if financed or assisted by the agency. However, a limited equity housing cooperative shall not be deemed to be nonprofit for the purpose of Chapter 10 (commencing with Section 50775). A nonprofit corporation shall also include a tribally designated housing entity as defined in Section 4103 of Title 25 of the United States Code and Section 50104.6.5. 50091. Nonprofit housing sponsor or nonprofit corporation means a nonprofit corporation incorporated pursuant to Division 2 (commencing with Section 5000) of Title 1 of the Corporations Code or a corporation or association that is, or will be qualified as, a cooperative housing corporation for purposes of subdivision (a) of Section 17265 of the Revenue and Taxation Code, a nonprofit student housing cooperative, or a limited equity housing cooperative and that is certified by the agency as qualified to own a housing development if financed or assisted by the agency. However, a limited equity housing cooperative shall not be deemed to be nonprofit for the purpose of Chapter 10 (commencing with Section 50775). A nonprofit corporation shall also include a tribally designated housing entity as defined in Section 4103 of Title 25 of the United States Code and Section 50104.6.5. 50091. Nonprofit housing sponsor or nonprofit corporation means a nonprofit corporation incorporated pursuant to Division 2 (commencing with Section 5000) of Title 1 of the Corporations Code or a corporation or association that is, or will be qualified as, a cooperative housing corporation for purposes of subdivision (a) of Section 17265 of the Revenue and Taxation Code, a nonprofit student housing cooperative, or a limited equity housing cooperative and that is certified by the agency as qualified to own a housing development if financed or assisted by the agency. However, a limited equity housing cooperative shall not be deemed to be nonprofit for the purpose of Chapter 10 (commencing with Section 50775). A nonprofit corporation shall also include a tribally designated housing entity as defined in Section 4103 of Title 25 of the United States Code and Section 50104.6.5. 50091. Nonprofit housing sponsor or nonprofit corporation means a nonprofit corporation incorporated pursuant to Division 2 (commencing with Section 5000) of Title 1 of the Corporations Code or a corporation or association that is, or will be qualified as, a cooperative housing corporation for purposes of subdivision (a) of Section 17265 of the Revenue and Taxation Code, a nonprofit student housing cooperative, or a limited equity housing cooperative and that is certified by the agency as qualified to own a housing development if financed or assisted by the agency. However, a limited equity housing cooperative shall not be deemed to be nonprofit for the purpose of Chapter 10 (commencing with Section 50775). A nonprofit corporation shall also include a tribally designated housing entity as defined in Section 4103 of Title 25 of the United States Code and Section 50104.6.5. SEC. 8. Section 50468 of the Health and Safety Code is amended to read:50468. (a) The department shall not require a project-specific transition reserve for any unit subject to a qualified project rental or operating subsidy.(b) The Pooled Transition Reserve Fund is hereby created within the State Treasury and, notwithstanding Section 13340 of the Government Code, is continuously appropriated to the department for the purpose of establishing and maintaining a pooled transition reserve. The fund shall consist of all of the following:(1) Fees charged by the department to projects that receive qualified project rental or operating subsidies at the time of permanent loan closing.(2) Upon appropriation by the Legislature, moneys from the General Fund or other funds.(3) Moneys from any other source, including from any private donation or grant made for the purposes of this part.(c) The department may charge a fee to each project that receives qualified project rental or operating subsidies at the time of permanent loan closing, not to exceed the reasonable costs of the department to capitalize the reserve fund and cover administrative costs. All fees shall be deposited in the Pooled Transition Reserve Fund and used for the purposes of this section. The department may capitalize the fees authorized by this subdivision as necessary to ensure the financial feasibility and long-term affordability of the multifamily housing project, in which case funds may be transferred to the Pooled Transition Reserve Fund at the time of permanent loan closing.(d) (1) Project-specific transition reserve means a reserve account or a set aside of funds accruing to the benefit of a particular affordable rental housing development to address the impacts on tenants of a loss or exhaustion of a rental or operating subsidy.(2) Pooled transition reserve means a fund or account established and maintained by the department to mitigate, with respect to residential dwelling units described in subdivision (e), the impacts on tenant rents from the loss or exhaustion of a qualified project rental or an operating subsidy.(3) Qualified project rental or operating subsidy means federally originated rental assistance or operating subsidies, the a local rental housing subsidy programs program operated by the City and County of San Francisco and or the City County of Los Angeles, or other means of rental assistance or operating assistance identified by the department.(e) This section shall apply to units of a multifamily housing project financed by any program administered by the department, for which permanent loan closing has not occurred prior to January 1, 2023, including, but not limited to, all of the following:(1) The competitive component of the Building Homes and Jobs Act (Chapter 2.5 (commencing with Section 50470)).(2) The Joe Serna, Jr. Farmworker Housing Grant Program (Chapter 3.2 (commencing with Section 50515.2)).(3) The Multifamily Housing Program (Chapter 6.7 (commencing with Section 50675)).(4) The Transit-Oriented Development Implementation Program (Part 13 (commencing with Section 53560)).(5) Housing for a Healthy California Program (Part 14.2 (commencing with Section 53590)).(6) The Veterans Housing and Homeless Prevention Act of 2014 (Article 3.2 (commencing with Section 987.001) of Chapter 6 of Division 4 of the Military and Veterans Code).(7) The Affordable Housing and Sustainable Communities Program (Part 1 (commencing with Section 75200) of Division 44 of the Public Resources Code).(8) The No Place Like Home Program (Part 3.9 (commencing with Section 5849.1) of Division 5 of the Welfare and Institutions Code).(9) The federal Community Development Block Grant Program (42 U.S.C. Sec. 5301 et seq.).(10) The federal HOME Investment Partnership Program (42 U.S.C. Sec. 12721 et seq.).(11) The National Housing Trust Fund established pursuant to the federal Housing and Economic Recovery Act of 2008 (Public Law 110-289), and implementing federal regulations.(f) The department may review, adopt, amend, and repeal guidelines to implement uniform standards or criteria that supplement or clarify the terms, references, or standards set forth in this section, including adopting fees as set forth in subdivision (c). The guidelines may address participation in the pooled transition reserve by projects with existing project-based transition reserves, including disposition of the existing project-based transition reserve funds. The adoption, amendment, or repeal of any guidelines or terms pursuant to this subdivision is hereby exempted from the rulemaking provisions of the Administrative Procedure Act (Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code). SEC. 8. Section 50468 of the Health and Safety Code is amended to read: ### SEC. 8. 50468. (a) The department shall not require a project-specific transition reserve for any unit subject to a qualified project rental or operating subsidy.(b) The Pooled Transition Reserve Fund is hereby created within the State Treasury and, notwithstanding Section 13340 of the Government Code, is continuously appropriated to the department for the purpose of establishing and maintaining a pooled transition reserve. The fund shall consist of all of the following:(1) Fees charged by the department to projects that receive qualified project rental or operating subsidies at the time of permanent loan closing.(2) Upon appropriation by the Legislature, moneys from the General Fund or other funds.(3) Moneys from any other source, including from any private donation or grant made for the purposes of this part.(c) The department may charge a fee to each project that receives qualified project rental or operating subsidies at the time of permanent loan closing, not to exceed the reasonable costs of the department to capitalize the reserve fund and cover administrative costs. All fees shall be deposited in the Pooled Transition Reserve Fund and used for the purposes of this section. The department may capitalize the fees authorized by this subdivision as necessary to ensure the financial feasibility and long-term affordability of the multifamily housing project, in which case funds may be transferred to the Pooled Transition Reserve Fund at the time of permanent loan closing.(d) (1) Project-specific transition reserve means a reserve account or a set aside of funds accruing to the benefit of a particular affordable rental housing development to address the impacts on tenants of a loss or exhaustion of a rental or operating subsidy.(2) Pooled transition reserve means a fund or account established and maintained by the department to mitigate, with respect to residential dwelling units described in subdivision (e), the impacts on tenant rents from the loss or exhaustion of a qualified project rental or an operating subsidy.(3) Qualified project rental or operating subsidy means federally originated rental assistance or operating subsidies, the a local rental housing subsidy programs program operated by the City and County of San Francisco and or the City County of Los Angeles, or other means of rental assistance or operating assistance identified by the department.(e) This section shall apply to units of a multifamily housing project financed by any program administered by the department, for which permanent loan closing has not occurred prior to January 1, 2023, including, but not limited to, all of the following:(1) The competitive component of the Building Homes and Jobs Act (Chapter 2.5 (commencing with Section 50470)).(2) The Joe Serna, Jr. Farmworker Housing Grant Program (Chapter 3.2 (commencing with Section 50515.2)).(3) The Multifamily Housing Program (Chapter 6.7 (commencing with Section 50675)).(4) The Transit-Oriented Development Implementation Program (Part 13 (commencing with Section 53560)).(5) Housing for a Healthy California Program (Part 14.2 (commencing with Section 53590)).(6) The Veterans Housing and Homeless Prevention Act of 2014 (Article 3.2 (commencing with Section 987.001) of Chapter 6 of Division 4 of the Military and Veterans Code).(7) The Affordable Housing and Sustainable Communities Program (Part 1 (commencing with Section 75200) of Division 44 of the Public Resources Code).(8) The No Place Like Home Program (Part 3.9 (commencing with Section 5849.1) of Division 5 of the Welfare and Institutions Code).(9) The federal Community Development Block Grant Program (42 U.S.C. Sec. 5301 et seq.).(10) The federal HOME Investment Partnership Program (42 U.S.C. Sec. 12721 et seq.).(11) The National Housing Trust Fund established pursuant to the federal Housing and Economic Recovery Act of 2008 (Public Law 110-289), and implementing federal regulations.(f) The department may review, adopt, amend, and repeal guidelines to implement uniform standards or criteria that supplement or clarify the terms, references, or standards set forth in this section, including adopting fees as set forth in subdivision (c). The guidelines may address participation in the pooled transition reserve by projects with existing project-based transition reserves, including disposition of the existing project-based transition reserve funds. The adoption, amendment, or repeal of any guidelines or terms pursuant to this subdivision is hereby exempted from the rulemaking provisions of the Administrative Procedure Act (Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code). 50468. (a) The department shall not require a project-specific transition reserve for any unit subject to a qualified project rental or operating subsidy.(b) The Pooled Transition Reserve Fund is hereby created within the State Treasury and, notwithstanding Section 13340 of the Government Code, is continuously appropriated to the department for the purpose of establishing and maintaining a pooled transition reserve. The fund shall consist of all of the following:(1) Fees charged by the department to projects that receive qualified project rental or operating subsidies at the time of permanent loan closing.(2) Upon appropriation by the Legislature, moneys from the General Fund or other funds.(3) Moneys from any other source, including from any private donation or grant made for the purposes of this part.(c) The department may charge a fee to each project that receives qualified project rental or operating subsidies at the time of permanent loan closing, not to exceed the reasonable costs of the department to capitalize the reserve fund and cover administrative costs. All fees shall be deposited in the Pooled Transition Reserve Fund and used for the purposes of this section. The department may capitalize the fees authorized by this subdivision as necessary to ensure the financial feasibility and long-term affordability of the multifamily housing project, in which case funds may be transferred to the Pooled Transition Reserve Fund at the time of permanent loan closing.(d) (1) Project-specific transition reserve means a reserve account or a set aside of funds accruing to the benefit of a particular affordable rental housing development to address the impacts on tenants of a loss or exhaustion of a rental or operating subsidy.(2) Pooled transition reserve means a fund or account established and maintained by the department to mitigate, with respect to residential dwelling units described in subdivision (e), the impacts on tenant rents from the loss or exhaustion of a qualified project rental or an operating subsidy.(3) Qualified project rental or operating subsidy means federally originated rental assistance or operating subsidies, the a local rental housing subsidy programs program operated by the City and County of San Francisco and or the City County of Los Angeles, or other means of rental assistance or operating assistance identified by the department.(e) This section shall apply to units of a multifamily housing project financed by any program administered by the department, for which permanent loan closing has not occurred prior to January 1, 2023, including, but not limited to, all of the following:(1) The competitive component of the Building Homes and Jobs Act (Chapter 2.5 (commencing with Section 50470)).(2) The Joe Serna, Jr. Farmworker Housing Grant Program (Chapter 3.2 (commencing with Section 50515.2)).(3) The Multifamily Housing Program (Chapter 6.7 (commencing with Section 50675)).(4) The Transit-Oriented Development Implementation Program (Part 13 (commencing with Section 53560)).(5) Housing for a Healthy California Program (Part 14.2 (commencing with Section 53590)).(6) The Veterans Housing and Homeless Prevention Act of 2014 (Article 3.2 (commencing with Section 987.001) of Chapter 6 of Division 4 of the Military and Veterans Code).(7) The Affordable Housing and Sustainable Communities Program (Part 1 (commencing with Section 75200) of Division 44 of the Public Resources Code).(8) The No Place Like Home Program (Part 3.9 (commencing with Section 5849.1) of Division 5 of the Welfare and Institutions Code).(9) The federal Community Development Block Grant Program (42 U.S.C. Sec. 5301 et seq.).(10) The federal HOME Investment Partnership Program (42 U.S.C. Sec. 12721 et seq.).(11) The National Housing Trust Fund established pursuant to the federal Housing and Economic Recovery Act of 2008 (Public Law 110-289), and implementing federal regulations.(f) The department may review, adopt, amend, and repeal guidelines to implement uniform standards or criteria that supplement or clarify the terms, references, or standards set forth in this section, including adopting fees as set forth in subdivision (c). The guidelines may address participation in the pooled transition reserve by projects with existing project-based transition reserves, including disposition of the existing project-based transition reserve funds. The adoption, amendment, or repeal of any guidelines or terms pursuant to this subdivision is hereby exempted from the rulemaking provisions of the Administrative Procedure Act (Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code). 50468. (a) The department shall not require a project-specific transition reserve for any unit subject to a qualified project rental or operating subsidy.(b) The Pooled Transition Reserve Fund is hereby created within the State Treasury and, notwithstanding Section 13340 of the Government Code, is continuously appropriated to the department for the purpose of establishing and maintaining a pooled transition reserve. The fund shall consist of all of the following:(1) Fees charged by the department to projects that receive qualified project rental or operating subsidies at the time of permanent loan closing.(2) Upon appropriation by the Legislature, moneys from the General Fund or other funds.(3) Moneys from any other source, including from any private donation or grant made for the purposes of this part.(c) The department may charge a fee to each project that receives qualified project rental or operating subsidies at the time of permanent loan closing, not to exceed the reasonable costs of the department to capitalize the reserve fund and cover administrative costs. All fees shall be deposited in the Pooled Transition Reserve Fund and used for the purposes of this section. The department may capitalize the fees authorized by this subdivision as necessary to ensure the financial feasibility and long-term affordability of the multifamily housing project, in which case funds may be transferred to the Pooled Transition Reserve Fund at the time of permanent loan closing.(d) (1) Project-specific transition reserve means a reserve account or a set aside of funds accruing to the benefit of a particular affordable rental housing development to address the impacts on tenants of a loss or exhaustion of a rental or operating subsidy.(2) Pooled transition reserve means a fund or account established and maintained by the department to mitigate, with respect to residential dwelling units described in subdivision (e), the impacts on tenant rents from the loss or exhaustion of a qualified project rental or an operating subsidy.(3) Qualified project rental or operating subsidy means federally originated rental assistance or operating subsidies, the a local rental housing subsidy programs program operated by the City and County of San Francisco and or the City County of Los Angeles, or other means of rental assistance or operating assistance identified by the department.(e) This section shall apply to units of a multifamily housing project financed by any program administered by the department, for which permanent loan closing has not occurred prior to January 1, 2023, including, but not limited to, all of the following:(1) The competitive component of the Building Homes and Jobs Act (Chapter 2.5 (commencing with Section 50470)).(2) The Joe Serna, Jr. Farmworker Housing Grant Program (Chapter 3.2 (commencing with Section 50515.2)).(3) The Multifamily Housing Program (Chapter 6.7 (commencing with Section 50675)).(4) The Transit-Oriented Development Implementation Program (Part 13 (commencing with Section 53560)).(5) Housing for a Healthy California Program (Part 14.2 (commencing with Section 53590)).(6) The Veterans Housing and Homeless Prevention Act of 2014 (Article 3.2 (commencing with Section 987.001) of Chapter 6 of Division 4 of the Military and Veterans Code).(7) The Affordable Housing and Sustainable Communities Program (Part 1 (commencing with Section 75200) of Division 44 of the Public Resources Code).(8) The No Place Like Home Program (Part 3.9 (commencing with Section 5849.1) of Division 5 of the Welfare and Institutions Code).(9) The federal Community Development Block Grant Program (42 U.S.C. Sec. 5301 et seq.).(10) The federal HOME Investment Partnership Program (42 U.S.C. Sec. 12721 et seq.).(11) The National Housing Trust Fund established pursuant to the federal Housing and Economic Recovery Act of 2008 (Public Law 110-289), and implementing federal regulations.(f) The department may review, adopt, amend, and repeal guidelines to implement uniform standards or criteria that supplement or clarify the terms, references, or standards set forth in this section, including adopting fees as set forth in subdivision (c). The guidelines may address participation in the pooled transition reserve by projects with existing project-based transition reserves, including disposition of the existing project-based transition reserve funds. The adoption, amendment, or repeal of any guidelines or terms pursuant to this subdivision is hereby exempted from the rulemaking provisions of the Administrative Procedure Act (Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code). 50468. (a) The department shall not require a project-specific transition reserve for any unit subject to a qualified project rental or operating subsidy. (b) The Pooled Transition Reserve Fund is hereby created within the State Treasury and, notwithstanding Section 13340 of the Government Code, is continuously appropriated to the department for the purpose of establishing and maintaining a pooled transition reserve. The fund shall consist of all of the following: (1) Fees charged by the department to projects that receive qualified project rental or operating subsidies at the time of permanent loan closing. (2) Upon appropriation by the Legislature, moneys from the General Fund or other funds. (3) Moneys from any other source, including from any private donation or grant made for the purposes of this part. (c) The department may charge a fee to each project that receives qualified project rental or operating subsidies at the time of permanent loan closing, not to exceed the reasonable costs of the department to capitalize the reserve fund and cover administrative costs. All fees shall be deposited in the Pooled Transition Reserve Fund and used for the purposes of this section. The department may capitalize the fees authorized by this subdivision as necessary to ensure the financial feasibility and long-term affordability of the multifamily housing project, in which case funds may be transferred to the Pooled Transition Reserve Fund at the time of permanent loan closing. (d) (1) Project-specific transition reserve means a reserve account or a set aside of funds accruing to the benefit of a particular affordable rental housing development to address the impacts on tenants of a loss or exhaustion of a rental or operating subsidy. (2) Pooled transition reserve means a fund or account established and maintained by the department to mitigate, with respect to residential dwelling units described in subdivision (e), the impacts on tenant rents from the loss or exhaustion of a qualified project rental or an operating subsidy. (3) Qualified project rental or operating subsidy means federally originated rental assistance or operating subsidies, the a local rental housing subsidy programs program operated by the City and County of San Francisco and or the City County of Los Angeles, or other means of rental assistance or operating assistance identified by the department. (e) This section shall apply to units of a multifamily housing project financed by any program administered by the department, for which permanent loan closing has not occurred prior to January 1, 2023, including, but not limited to, all of the following: (1) The competitive component of the Building Homes and Jobs Act (Chapter 2.5 (commencing with Section 50470)). (2) The Joe Serna, Jr. Farmworker Housing Grant Program (Chapter 3.2 (commencing with Section 50515.2)). (3) The Multifamily Housing Program (Chapter 6.7 (commencing with Section 50675)). (4) The Transit-Oriented Development Implementation Program (Part 13 (commencing with Section 53560)). (5) Housing for a Healthy California Program (Part 14.2 (commencing with Section 53590)). (6) The Veterans Housing and Homeless Prevention Act of 2014 (Article 3.2 (commencing with Section 987.001) of Chapter 6 of Division 4 of the Military and Veterans Code). (7) The Affordable Housing and Sustainable Communities Program (Part 1 (commencing with Section 75200) of Division 44 of the Public Resources Code). (8) The No Place Like Home Program (Part 3.9 (commencing with Section 5849.1) of Division 5 of the Welfare and Institutions Code). (9) The federal Community Development Block Grant Program (42 U.S.C. Sec. 5301 et seq.). (10) The federal HOME Investment Partnership Program (42 U.S.C. Sec. 12721 et seq.). (11) The National Housing Trust Fund established pursuant to the federal Housing and Economic Recovery Act of 2008 (Public Law 110-289), and implementing federal regulations. (f) The department may review, adopt, amend, and repeal guidelines to implement uniform standards or criteria that supplement or clarify the terms, references, or standards set forth in this section, including adopting fees as set forth in subdivision (c). The guidelines may address participation in the pooled transition reserve by projects with existing project-based transition reserves, including disposition of the existing project-based transition reserve funds. The adoption, amendment, or repeal of any guidelines or terms pursuant to this subdivision is hereby exempted from the rulemaking provisions of the Administrative Procedure Act (Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code).