Commission recommends temporary SB 79 exclusion near Caltrain station, sends ordinance to council

The Planning and Transportation Commission voted March 2 to recommend the City Council adopt an ordinance to temporarily exclude certain zoning districts within 0.25 miles of the San Carlos Caltrain Station from the state’s Senate Bill 79 standards.

Planning manager Lisa Porras told the commission that SB 79 would replace local zoning height, density and floor area ratio (FAR) standards for parcels near transit — allowing up to 75 feet, 120 units per acre and a FAR of at least 3.5 in most cases, and higher bonuses for parcels within 200 feet of station entrances. Staff recommended a temporary exclusion for parcels in four zoning districts (MUDC 100, MUD 120, MUSC 120 and RM 100) that already meet at least half of the SB 79 density/FAR thresholds and that the city pursue an alternative transit‑oriented development (TOD) plan alongside its next housing element update.

Porras said the exclusion option is temporary — in staff’s recommendation it would remain in effect until January 2032 (one year after the next housing element period) while the city prepares a comprehensive alternative TOD plan and coordinates with the state Department of Housing and Community Development (HCD). She noted the city will submit a draft ordinance to HCD as part of the council process; HCD’s review window is typically 90 days and may be extended by 30 days.

Commissioners discussed practical limits to developers’ ability to assemble small lots to achieve SB 79 densities and the objective, numeric basis for the exclusion. The city attorney concurred that the exclusion is an objective, map‑based change and that HCD’s review is limited to verification and suggestions rather than wholesale rewrites of the local code. "The way our zoning map and our ordinance is set up ... those all qualify for the exclusion," Porras said, noting a small number of downtown parcels could be affected by parcel consolidation but are unlikely to redevelop immediately.

Public comments were mixed. Remote caller Jeff said he lives within the quarter‑mile radius and supported SB 79 height allowances; Erin Donovan, a nearby resident, asked whether a seven‑story building could end up adjacent to small lots and raised concerns about lot consolidation and neighborhood impacts.

A commissioner moved that the Planning & Transportation Commission recommend the City Council adopt the zoning amendment and code change to temporarily exclude the specified districts from SB 79; the motion passed unanimously on roll call. Staff plans to submit the draft ordinance to HCD next week, bring the ordinance to the City Council for introduction March 23, and return for a second reading April 13; the ordinance would take effect 30 days after second reading if adopted.

The commission’s recommendation allows the city time to prepare an alternative TOD plan and coordinate that work with the next housing element update, rather than having SB 79 automatically apply to the quarter‑mile area on July 1, when the state law becomes effective.