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San Carlos council introduces ordinance to temporarily exclude downtown from SB 79

San Carlos City Council · March 24, 2026
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Summary

San Carlos introduced Ordinance No. 1634 to temporarily exclude identified downtown and mixed-use zoning districts within a quarter mile of the Caltrain station from the state's SB 79 transit‑oriented density rules; staff said the exclusion buys time to prepare a local TOD plan and will undergo HCD review.

The San Carlos City Council on March 23 voted to introduce an ordinance (No. 1634) that would temporarily exclude several downtown and mixed‑use zoning districts from SB 79's transit‑oriented minimum density and height standards.

Planning staff explained SB 79 creates mandatory minimum residential densities, floor‑area ratios and heights within a quarter mile of certain transit stations. Lisa Porras, advanced planning manager, told the council the city has three response pathways under SB 79: site‑specific exemptions for qualifying properties, a temporary exclusion (through about 2032) that preserves existing zoning where a zone already meets at least 50% of SB 79's density and FAR thresholds, or preparation of an alternative transit‑oriented development (TOD) plan for the quarter‑mile area.

Porras said the Planning & Transportation Commission unanimously recommended that the council adopt an ordinance excluding eligible sites and that staff submitted an initial draft to the Department of Housing and Community Development (HCD). "This approach allows the city to act now in a targeted way and buy some time to thoughtfully prepare a TOD plan," she said.

City special counsel Eric Phillips clarified legal and procedural constraints, including the HCD 90‑day review window (with a possible statutory 30‑day extension) and the numerical criteria for exclusion. Council members repeatedly emphasized protecting the downtown character and the council's longstanding requirement for ground-floor active retail in the downtown core.

Council member Dugan moved to introduce the ordinance; the motion passed unanimously on roll call. Staff said the ordinance would go to HCD for review, return to council for a second reading on April 13, and (if adopted) take effect after HCD review and the statutory timelines.

Sources: staff presentation and council discussion (SEG 937'SEG 1956).