MEHC Says Yes to SB 79 – Transit Oriented Development & Upzoning

SB 79 is the most discussed housing laws this legislative session. This bill allows multi-family housing to be built within a ½ mile of certain transit stops, known as “Transit Oriented Density” (TOD). SB 79 projects must meet AB 1893 affordability (e.g., 7% Extremely Low Income, 10% Very Low Income, or 13% Low Income), or a stricter local inclusionary requirement.

The US Environmental Protection Agency (EPA), the Sierra Club, the Greenbelt Alliance and the State of California all advocate for TOD as a way to reduce emissions, build the housing we need, and strengthen communities. 

The bill creates tiers of density standards by transit stops in urban and non-urban areas. The law applies only to existing transit stops, not future extensions. Marin SMART train and ferry stations are considered Tier 3 transit stops. In the latest version of the bill, Tier 3 stops have been removed from a bill. At this point, the bill will not impact Marin.

Cities can design their own TOD plans, with full control over heights, densities, design standards, and hazard zones across the station areas, as long as overall housing capacity set in certified housing elements is maintained. Jurisdictions would have until July 2026 to have these plans approved by the state Housing and Community Development (HCD) department. Projects that meet affordability, labor, and environmental standards are also eligible for SB 423 streamingling, ensuring quicker approvals and lower costs while still meeting strong protections.

SB 79 has changed significantly since it was first introduced. Earlier versions limited local flexibility and lacked clear affordability requirements. Now, the bill balances state goals with local control. 

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