Factsheet about Trailer Bill 707 (By-Right Housing)

By Ben Gould
Background: TB 707 would require cities to approve new housing construction that meets a set
of standards.
These include:
-

A statewide minimum percentage of affordable housing (20%, 10%, or 5%, depending

on proximity to transit and affordability level). (page 6, part C & D)

Compliance with local objective (quantifiable / no judgement involved) zoning and

design laws. (page 4, part 9)
o These include inclusionary housing requirements, environmental standards (e.g.
green building or LEED certification requirements), height and density limits,
setbacks, overlay requirements, and specific plans.

Bordered by urban uses (page 5, part 3)

No net loss of affordable housing or rent-controlled units (page 8, part 6)

The goal of this legislation is to facilitate construction of new housing, especially affordable
housing, by streamlining the approval process for new housing as long as projects include a
certain percentage of affordable housing. To encourage construction near transit, that
percentage is lowered in transit priority areas. The proposed streamlined approval process
eliminates local discretionary review, but preserves local non-discretionary requirements,
including stricter local inclusionary requirements.
A transit priority area is a one-half mile radius around a rail stop, or the intersection of two or
more bus routes each with both: 1) a frequency of 15 minutes or less during peak commute
times, and 2) weekend service.
Common misconceptions:
Misconception: Allows automatic approval for as little as 5% inclusionary units.

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Clarification: The latest amendment to the bill clearly states that locally adopted inclusionary
housing requirements must be followed in order for by-right approval to be granted (page 3,
part 6; page 4, part 9; page 10, part m).
Across the state, the process to gain by-right approval would require 20% of units be affordable
at 80% of countywide area median income (AMI), unless its within one-half mile of a rail stop
(or two frequent bus stops), in which case by-right approval requires either 10% of units
affordable at 80% of AMI, or 5% of units affordable at 50% of AMI. Individual cities still have
the right to set higher affordability requirements.
Misconception: Allows demolition of rent-controlled units.
Clarification: Developments are not allowed by-right approval on sites occupied by lower or
very low income households, rent-controlled properties, or affordable housing, unless the new
development replaces those units at a level of affordability equal to or greater than the level
of a previous affordability restriction (emphasis added) (page 8, part 6, including sub-parts (a)
and (b)). As a result, by-right projects cannot result in any net loss of rent controlled or
affordable housing.
Misconception: Berkeleys progress on housing construction shows that we dont need statelevel intervention.
Clarification: Berkeley is not the only city that will be impacted by the by-right housing
approval. Regardless of Berkeleys successes or failures, the housing crisis is a regional if not
statewide problem, which requires a large-scale solution. Other cities throughout the state lack
requirements for inclusionary affordable housing, and this legislation provides strong incentives
for developers outside of Berkeley to build more affordable housing.
Building more housing elsewhere affordable and otherwise will reduce pressures on
Berkeleys housing market and enable our region to preserve the diversity we value.

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