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CITY COUNCIL AGENDA
SEPTEMBER 15, 2026

STAFF REPORT
CONSENT
ITEM NUMBER: 8.
 


TITLE

Approve an exemption from environmental review under the California Environmental Quality Act (CEQA) and conduct Final Reading and Adopt the Accessory Dwelling Unit, Density Bonus, and Inclusionary Housing Ordinance Update


RECOMMENDATION

Waive final reading, read by title only, and adopt an Ordinance to amend the American Canyon Municipal Code to update Chapter 19.27 (Density Bonus), Chapter 19.28 (Inclusionary Housing), and Chapter 19.39 (Accessory Dwelling Units) consistent with current State laws and Housing Element Implementation Measures.


CONTACT

Brent Cooper, AICP, Community Development Director


BACKGROUND & ANALYSIS

On September 1, 2026, the City Council approved the first reading of an Ordinance to update the City's Inclusionary Housing, Density Bonus, and Accessory Dwelling Unit (ADU) ordinances to reflect changes in State law, clarify administrative procedures, and support the production of new housing. Together, these regulations help implement the Housing Element and support the City's efforts to meet its Regional Housing Needs Allocation (RHNA), which requires planning for housing across all income levels.

 

The RHNA is supported by a range of policies and programs designed to reduce barriers to housing development. Because affordable housing is often the most difficult type of housing to finance and construct, State and local policies provide additional incentives and requirements to encourage the development of housing affordable to lower-income households.

 

The draft ordinance was amended at introduction to correct a typographical error that excluded the word "major" in reference to a transit stop discussed in Section 19.27.030(I).  A copy of the revised Inclusionary Housing, Density Bonus, and ADU ordinances is included as Attachment 1. 


COUNCIL PRIORITY PROGRAMS AND PROJECTS
Organizational Effectiveness: "Deliver exemplary government services."

FISCAL IMPACT

N/A


ENVIRONMENTAL REVIEW

The City Council finds the municipal code amendments are exempt from environmental review under CEQA because the amendments are consistent with State law that preempt any inconsistent local ordinance.  Thus, the City’s action is not creating a new land use regulation and it can be seen with certainty that no environmental impacts will result from the City’s action. Consequently, and in accordance with CEQA Section 21084(a) and both Section 15002(i)(1) – lack of Local Jurisdictional Discretion – and Section 15061(b)(3) – General Rule of Exemption – of the CEQA Guidelines, the ordinance adoption is exempt from CEQA review and a Notice of Exemption has been prepared for this proposed amendment. Further, Public Resources Codes Section 21080.17 exempts the adoption of an ordinance implementing state law governing accessory dwelling units and junior accessory dwelling units from review under the California Environmental Quality Act.



COMMUNICATION
Level 0: No Further Public Communication Needed

ATTACHMENTS:
1. Ordinance Affordable Housing Updates