Step 4: NEW Program and policy requiring replacement of existing affordable units…
Housing Element Sites Inventory Guidebook (AB 1397) · 2026 edition · updated 2026-09-22 · California
The housing element must include a program in the housing element and policy independent of the housing element requiring the replacement of units affordable to the same or lower income level as a condition of any development on a nonvacant site consistent with those requirements set forth in Density Bonus Law (Government Code section 65915(c)(3).) Replacement requirements shall be required for sites identified in the inventory that currently have residential uses, or within the past five years have had residential uses that have been vacated or demolished, and:
Were subject to a recorded covenant, ordinance, or law that restricts rents to levels affordable to persons and families of low or very low-income, or
• Subject to any other form of rent or price control through a public entity’s valid exercise of its police power, or
Occupied by low or very low-income households
For the purpose of this program “previous five years” is based on the date the application for development was submitted.
Please note, until 2025, pursuant to Government Code section 66300(d) (Chapter 654, Statutes of 2019 (SB 330)), an affected city or county shall not approve a housing development project that will require the demolition of residential dwelling units regardless of whether the parcel was listed in the inventory unless a) the project will create at least as many residential dwelling units as will be demolished, and b) certain affordability criteria are met. A listing of affected cities and counties can be found at - - - https://www.hcd.ca.gov/community development/accountability enforcement/statutory determinations.shtml.
Site Inventory Guidebook
Page 28
May 2020
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