CA SB277

Authorizes cities and counties to adopt ordinances requiring a percentage of residential rental units to be affordable to moderate-income, lower-income, very low-income, or extremely low-income households as a condition of development.

Requires inclusionary housing ordinances to provide alternative means of compliance, including in-lieu fees, land dedication, offsite construction, or acquisition and rehabilitation of existing units.

Supersedes the 2009 Palmer/Sixth Street Properties court decision to reaffirm local jurisdictions' authority to impose inclusionary housing requirements on rental units.

Clarifies that the bill does not modify existing authority for cities and counties to require affordable for-sale units or affect property owner rights under Civil Code Sections 1954.50-1954.535 and Government Code Sections 7060-7060.7.

Documents that over 170 jurisdictions have enacted inclusionary housing ordinances producing approximately 30,000 affordable units in the past decade.