AB2923

The BART Bill

On September 30, 2018, Governor Brown signed AB 2923, state legislation that affects zoning requirements on existing BART-owned property within ½ mile of stations in Alameda, Contra Costa, and San Francisco Counties.

(Excerpts from the BART web page on AB2923)

Overview

AB 2923 includes two core components:

TOD Standards

Transit oriented development (TOD) is well designed, mixed-use, higher density development adjacent to frequent transit. It helps communities and transit agencies increase sustainable transit ridership, revitalize communities, enhance regional quality of life, and strengthen economic competitiveness. By focusing housing and jobs near transit, communities can accommodate new growth while minimizing associated congestion and environmental impacts.

Transit-oriented development (TOD) zoning standards must be set for developable BART-owned properties within ½ mile of stations in the counties of Alameda, Contra Costa and San Francisco by July 1, 2020. The standards must meet or exceed those contained in Table 1 and Figure 1 from the TOD Guidelines (2017), shown below. Cities and counties have until July 1, 2022 to rezone BART’s property to align or exceed adopted standards.

Development Streamlining

Developers in an exclusive negotiating agreement with BART to develop its property may apply for expedited approval from local cities and counties, as articulated in Senate Bill 35 (2017, Weiner), if:

• the project is at least 50% residential;

• a minimum of 20% of proposed housing is affordable to low- or very low- income households;

• the height is within one story of the tallest approved height within a ½ mile; and

• the construction plan meets required labor standards described in the bill.

Implementation

BART has been working hard to confirm the current zoning on its property and has met with all affected local jurisdictions to discuss potential paths forward for AB 2923 implementation. BART’s Board reviewed and discussed findings from this analysis and outreach in June 2019. BART staff will be conducting public engagement to develop two documents during fiscal year 2020: a guidance document offering greater clarity around certain bill provisions, and a 10-year work plan for transit-oriented development, providing transparency about how and when BART will develop its property with housing or commercial uses.

BART will also be fulfilling additional bill requirements, such as a parking replacement strategy, an anti-displacement strategy, and reporting back to the State of California Housing and Community Development department on its progress towards development.

Click here for the BART TOD Work Plan.

What does this mean for the Lafayette BART station?

AB 2923 (2018) requires that properties owned by BART around its stations be upzoned to at least 75 du/acre for transit-oriented development (TOD) projects by July 1, 2022. The property owned by BART around the station totals approximately 11 acres, meaning that these sites must be zoned to accommodate about 825 units. Rezoning the properties would meet the City’s obligations under AB 2923, whereafter BART would still retain authority over land use and development decisions for its land. Because the BART sites are within a mapped Very High Fire Hazard Severity Zone (VHFHSZ), the City has the option not to rezone the BART sites; however, the approximately 825 dwelling units that would have been accommodated on the BART sites must then be accommodated elsewhere. The unit obligation that would exist on the BART sites cannot be waived but rather relocated.

BART identified the Lafayette station as a long-term development based on a number of factors, including market readiness for transit-oriented development, infrastructure needs, and local support. The Lafayette BART station’s classification as a long-term project does not prohibit development from happening before 2030. 

BART has established procedures to explore unsolicited projects proposed by a developer, who would fund additional staff to process the application. At this point in time, it is not clear whether BART must amend its implementation plan for the City to include the BART sites as an opportunity site in the updated Housing Element. If the community and City Council decide to upzone the BART parking lots, City staff would work with BART regarding next steps.

What will happen to the parking?

AB 2923 states that “the district shall establish a “parking replacement policy, consistent with the district’s practice at auto-dependent stations and the district’s station access policy, with specific provisions to ensure that, after the construction of the eligible TOD project, auto-dependent stations are still accessible by private automobile. The policy shall specifically consider the parking replacement needs for auto-dependent end-of-the-line stations”

BART’s parking replacement decisions are guided by its Board-adopted Station Access and TOD Policies. While parking replacement will be strongly prioritized at Auto Dependent stations, BART’s policy is to strive for little to no replacement parking in more urban, walkable, and transit accessible areas (classified as “Urban with Parking”). BART’s practice has already long been to complete a station access study considering parking replacement needs for any station, which is now required according to AB 2923.

What is BART’s real estate development process?

BART does not directly develop its properties. Instead, as with many public agencies, BART conducts a competitive process to select a private developer to develop the project and negotiates a long-term ground lease with that developer.

In this partnership, the private developer’s role is to:

• Design the project;

• Secure funding;

• Engage the community;

• Participate in the City’s review and entitlement process;

• Build the project;

• Recruit tenants, and

• Operate and maintain the project during the term of the lease.

BART’s role is to:

• Participate in the City’s zoning process for BART property in advance of any development;

• Identify site-specific goals and objectives that will guide the developer selection and negotiation process;

• Conduct a transparent process to select a developer;

• Prepare a station access study, and guide all decisions related to replacement parking and other transit-related amenities provided by the project;

• Negotiate the terms of the deal with the developer, including provisions relating to financing, the project components and operation of the project;

• Ensure the project maintains and/or improves safety and operation of BART’s core functions during its construction and for the duration of the ground lease;

• Ensure the project meets the core goals and objectives identified at the beginning of the process;

• Execute the ground lease and ensure the developer complies with the terms of the agreements throughout the life of the project.

This process is further described in BART’s TOD Guidelines.