Santa Cruz Planning Commission · Thursday, September 17, 2026, 7:00 PM · Item 4 · Public Hearings

MajorHousing, Planning & development, Environment & climate

Package of zoning and General Plan changes on housing, fees and climate plans

In plain English

City planning staff are proposing a package of changes to several parts of the Santa Cruz Municipal Code and to the General Plan. The changes would eliminate boundary adjustment fees for certain development projects, allow "Planned Development Permits" (a flexible permit type) on sites smaller than 20,000 square feet, bring the city's rules for agricultural housing and supportive and transitional housing into line with state law, clarify the existing inclusionary housing rules (which require affordable units in new housing), and update the General Plan so it matches the city's Climate Action Plan and its Local Hazard Mitigation Plan – Climate Adaptation Plan. A yes vote would not change the law by itself: it would recommend that the City Council approve the amendments, and would acknowledge that the changes qualify for an exemption from further environmental review.

The changes affect property owners, builders and neighbors citywide by adjusting which small sites can use a flexible planned development permit, removing certain boundary adjustment fees, and clarifying affordable housing requirements, and they also update how the General Plan reflects the city's climate plans.

Key facts

  • The amendments cover Municipal Code Chapter 23.12 (Maps Required), Chapter 24.08 Part 8 (Planned Development Permit), Chapter 24.10 (Land Use Districts), Chapter 24.16 Part 1 (Inclusionary Housing Requirements) and Chapter 24.22 (Definitions).
  • Planned Development Permits would be allowed on sites of less than 20,000 square feet.
  • Boundary adjustment fees would be eliminated for certain development projects (the agenda does not say which projects).
  • Changes would also be made to the Local Coastal Program Implementation Plan and to the General Plan, to align the General Plan with the Climate Action Plan and the Local Hazard Mitigation Plan – Climate Adaptation Plan.
  • The applicant is the City of Santa Cruz. Staff say the item is exempt from environmental review under CEQA Guidelines Section 15061(b)(3) and is consistent with the negative declaration prepared for Climate Action Plan 2030.
  • The Planning Commission's role is to recommend action to the City Council; the item is a public hearing on the September 17, 2026 agenda.

Reasons to support

  • The changes would bring city rules into line with state law requirements on zoning for agricultural housing and for supportive and transitional housing.
  • Removing boundary adjustment fees for certain projects and allowing planned development permits on smaller sites could reduce cost and add flexibility for housing and other development.
  • Clarifying the inclusionary housing rules and aligning the General Plan with the Climate Action Plan and the climate adaptation plan could make the city's documents easier to follow and more consistent.

Reasons to oppose or change it

  • Allowing Planned Development Permits on sites under 20,000 square feet could change what gets built on small lots in established neighborhoods, and residents may want more detail on the limits before it is recommended.
  • Eliminating boundary adjustment fees means the city collects less revenue from those applications; the agenda does not spell out which projects qualify or the financial effect.
  • Relying on a categorical exemption and the earlier Climate Action Plan 2030 negative declaration, rather than new environmental review, may prompt requests for more analysis.
  • Because no staff report text is available here, residents may ask the Commission to continue the item or explain the specific wording changes in public before recommending approval.

Official wording

Amendments to Municipal Code Chapter 23.12 – Maps Required, Chapter 24.08 Part 8 – Planned Development Permit, Chapter 24.10 – Land Use Districts, Chapter 24.16 Part 1 – Inclusionary Housing Requirements, and Chapter 24.22 – Definitions, to Eliminate Boundary Adjustment Fees for Certain Development Projects, Allow Planned Development Permits on Sites Less Than 20,000 Square Feet, Align with State Law Requirements Related to Zoning for Agricultural Housing and Supportive and Transitional Housing, and Clarify Existing Inclusionary Housing Regulations; and Changes to the General Plan to Align It with the Climate Action Plan and Local Hazard Mitigation Plan – Climate Adaptation Plan. CEQA: Exempt - Guidelines 15061(b)(3) and consistent with the negative declaration prepared for Climate Action Plan 2030. Applicant: City of Santa Cruz Recommendation: Motion to: 1) Acknowledge that the required Planning Commission findings for recommending approval of Zoning Ordinance and Local Coastal Program amendments can be made, as detailed in the staff report; 2) Recommend that the City Council approve the proposed amendments to City of Santa Cruz Municipal Code Chapters 23.12, 24.08, 24.10, 24.16, and 24.22, to the Local Coastal Program Implementation Plan, and to the General Plan; and 3) Acknowledge the determination that the proposed amendments are exempt from environmental review under California Environmental Quality Act (CEQA) Guidelines Section 15061(b)(3) and as consistent with the negative declaration prepared for Climate Action Plan 2030. Information Items Subcommittee/Advisory Body Oral Reports Items Referred to Future Agendas

Summary written by claude-opus-5 from the agenda. It can contain mistakes. The official documents govern.