Los Gatos Seeks Judicial Clarification on Builder’s Remedy Application Deadlines

In an effort to resolve ambiguities surrounding the "builder's remedy" provision in California's housing law, the Town of Los Gatos has initiated legal action to determine the permissible duration for developers to rectify incomplete housing applications. 

Background on Builder’s Remedy

The builder's remedy is a legal mechanism that allows developers to bypass local zoning regulations in municipalities that have not secured approval for their state-mandated housing plans, provided that at least 20 percent of the proposed units are designated as affordable housing. 

Dispute Over Application Timelines

According to state law, developers have 180 days after submitting a preliminary application to file a full application for a builder’s remedy project. Subsequently, they are granted a 90-day period to address any deficiencies identified in their submissions. The crux of the dispute lies in whether developers are entitled to multiple successive 90-day periods to amend their applications or if they are limited to a single 90-day correction window. Los Gatos officials contend that only one such period is permitted, aiming to prevent indefinite delays in the approval process. Conversely, the state Department of Housing and Community Development interprets the law to allow for successive 90-day periods, potentially extending the timeline indefinitely. ​

Implications for Los Gatos

The town is currently processing approximately 12 to 13 builder’s remedy applications. Mayor Matthew Hudes emphasized that the lawsuit's objective is to ensure the town's compliance with state law while facilitating the efficient approval of housing projects. He stated, "This action is necessary to protect the interests of our town and provide much-needed clarity. By seeking the court’s help, we aim to avoid further confusion and ensure that the town’s actions are consistent with the law."

State's Position and Potential Consequences

The Department of Housing and Community Development has indicated that it may involve the state attorney general to enforce its interpretation of the law. This underscores the broader significance of the case, as its outcome could set a precedent affecting how builder's remedy applications are handled across California.

​Conclusion

As Los Gatos seeks judicial clarification on this matter, the case highlights the complexities and challenges municipalities face in balancing local governance with state housing mandates. The court's decision will likely have far-reaching implications for the interpretation and application of builder's remedy provisions throughout the state.​

Sources:

• The Real Deal: Los Gatos Sues to Clarify Builder’s Remedy

• San Jose Mercury News: Los Gatos sues to clarify builder’s remedy