Dan J. Harkey

Master Educator | Business & Finance Consultant | Mentor

AB-1893, California: Builder Remedy

Here’s a comprehensive summary of California Assembly Bill (AB) 1893, which significantly reforms the Housing Accountability Act (HAA) and its Builder’s Remedy provisions, effective January 1, 2025:

by Dan J. Harkey

Share This Article

Summary

For decades, local governments have acted as the gatekeepers for development, causing excessive delays, killing projects, and turning otherwise affordable developments into unaffordable ones. The gatekeepers had their keys taken away when the state government elected to take over the development approval process, leaving local municipalities with only ministerial approval rights, subject to state mandates. Now, local governments can be sued and face significant penalties for delays.

References: 

https://www.hklaw.com/en/insights/publications/2024/09/california-legislature-passes-major-reforms-for

https://natlawreview.com/article/builders-remedy-reform-bill-approved-governor-newsom

https://www.coxcastle.com/publication-ab-1893-expands-the-housing-accountability-acts-protections

πŸ—οΈ Builder’s Remedy Reforms

βœ… Key Clarifications and Expansions

  • Automatic Approval: Projects must be approved if a city’s housing element is not adopted when the application is deemed complete 
  • Zoning Immunity: General plan or zoning changes made after the application is complete do not apply to the project 
  • No Rezoning Required: Cities cannot require general plan or specific plan amendments for Builder’s Remedy projects 

πŸ“‰ Reduced Affordability Requirements

  • Projects qualify with:
    • 7% extremely low income
    • 10% very low-income
    • 13% lower income
    • Or 100% moderate-income units
  • Projects with ≤10 units on small sites are exempt from affordability requirements 

🧱 Objective Standards Allowed

  • Cities may impose objective, written, and quantifiable standards, but only if they don’t render the project infeasible 

🏘️ Legal Conformity

  • Builder’s Remedy projects are treated as legal, conforming uses, not subject to nonconforming use rules 

πŸ“ Density Rules

πŸ“Š Maximum Density

  • Greater of:
    • 50% above RHNA minimum
    • 3× local zoning or general plan density
    • Density in housing element
    • +35 units/acre near transit or in high-resource areas 

πŸ“‰ Minimum Density

  • Must meet minimums based on proximity to transit or local standards 

πŸ”„ Conversions & Grandfathering

  • Projects deemed complete before 1 January 2025 can:
    • Proceed under the old Law
    • Convert to AB 1893 standards without losing entitlements—even with major redesigns 

πŸ›‘οΈ Expanded HAA Protections

🏒 Broader Definition of Housing Projects

  • More mixed-use and redevelopment projects now qualify under the HAA 

🚫 Expanded Definition of Disapproval

  • Includes intermediate steps like delaying permits or violating streamlining laws 

βš–οΈ Stronger Enforcement

  • Courts can:
    • Order compliance within 60 days
    • Impose 5× fines for bad faith violations
    • Apply additional penalties for repeat offenses