County committee backs exploring bill to let counties use CEQA exemptions and local preferences for workforce housing
February 09, 2026 | Santa Barbara County, California
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The Santa Barbara County Legislative Program Committee on Feb. 2 directed county staff to draft options for state legislation that would extend streamlined development authorities — similar to those created for school districts under AB 1021 — to county-owned property and allow flexibility for workforce housing and potential local preference for county employees.
Chair introduced the item noting that AB 1021 granted CEQA exemptions to local education agencies to develop workforce housing. Supervisor Capps said she wanted to confirm whether earlier law also allowed school districts to restrict occupancy to employees and expressed interest in the county having the same option. County counsel and staff read AB 1021 analysis language into the record noting that the act permitted districts to use low-income housing tax credits to fund housing for teachers and to restrict occupancy to district employees in certain circumstances.
County staff and counsel advised the committee that enabling the county to pursue employee-preference housing raises funding and programmatic constraints, including tax-credit rules overseen by the IRS and other state law limits. Several staff members recommended developing draft legislative language and a plan for insertion into an existing vehicle or a spot bill, noting an introduction deadline of Feb. 20.
Supervisor Capps moved and the committee seconded a motion asking HPE, CSD and Planning staff to work with the county’s lobbyists and return to the Legislative Program Committee with suggested language, analysis of legal/funding constraints, and proposed pilot sites. The motion passed by voice vote.
Why it matters: Committee members said allowing counties to streamline development on surplus county parcels could speed construction of workforce housing in high-cost areas and help ensure housing serves employees and local needs. Staff flagged fair-housing constraints and tax-credit rules that will need analysis.
The committee asked staff to bring back recommended legislative language and a timeline for board consideration.
Chair introduced the item noting that AB 1021 granted CEQA exemptions to local education agencies to develop workforce housing. Supervisor Capps said she wanted to confirm whether earlier law also allowed school districts to restrict occupancy to employees and expressed interest in the county having the same option. County counsel and staff read AB 1021 analysis language into the record noting that the act permitted districts to use low-income housing tax credits to fund housing for teachers and to restrict occupancy to district employees in certain circumstances.
County staff and counsel advised the committee that enabling the county to pursue employee-preference housing raises funding and programmatic constraints, including tax-credit rules overseen by the IRS and other state law limits. Several staff members recommended developing draft legislative language and a plan for insertion into an existing vehicle or a spot bill, noting an introduction deadline of Feb. 20.
Supervisor Capps moved and the committee seconded a motion asking HPE, CSD and Planning staff to work with the county’s lobbyists and return to the Legislative Program Committee with suggested language, analysis of legal/funding constraints, and proposed pilot sites. The motion passed by voice vote.
Why it matters: Committee members said allowing counties to streamline development on surplus county parcels could speed construction of workforce housing in high-cost areas and help ensure housing serves employees and local needs. Staff flagged fair-housing constraints and tax-credit rules that will need analysis.
The committee asked staff to bring back recommended legislative language and a timeline for board consideration.
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