Inclusionary Housing Requirements
A draft Inclusionary Housing and In-Lieu Fee Study is available for public review and comment. Send comments no later than March 1, 2026 to InclusionaryHousing@SantaBarbaraCA.gov.
Housing Element Program HE-13
The City of Santa Barbara requires inclusionary housing—units at affordable prices—for both ownership and rental multi-unit residential developments (since 2004 and 2019, respectively). Inclusionary housing requires a certain number of units—calculated as a percent of total units in a development—to be sold to middle-income households or rented to moderate-income households. A multi-unit residential development may be required to pay an inclusionary housing in-lieu fee. More information about the existing inclusionary housing requirements can be found in the City’s Zoning Ordinance (Chapter 30.160 / Chapter 28.43 for ownership developments and Section 30.150.110 for rental developments).
As part of the 2023-2031 Housing Element, staff is working on implementing Housing Element Program HE-13: Evaluate Inclusionary Housing Ordinances. This effort is being completed in a two-parts: 1) Evaluation, and 2) Zoning Ordinance Amendments.
Evaluation (Inclusionary Housing and In-Lieu Fee Study)
An Inclusionary Housing and In-Lieu Fee Study (by consultant) is underway to evaluate the existing inclusionary housing ordinances. The Study's evaluation is reviewing the inclusionary requirements, including the percentage of inclusionary units and the amount for in-lieu fees, with recommendations for adjustments. See 'Public Engagement' and the Timeline below for more.
Zoning Ordinance Amendments
Based on the Study and guidance provided at public hearings on the Study, staff will draft Zoning Ordinance Amendments to adjust the inclusionary housing requirements for multi-unit residential developments. See 'Public Engagement' and the Timeline below for more.
Public Engagement
A draft Inclusionary Housing and In-Lieu Fee Study is available for public review and comment. Send comments no later than March 1, 2026 to InclusionaryHousing@SantaBarbaraCA.gov.
Based on comments received, Staff will revise the draft as needed before publishing a finalized Study. See the Timeline below for more.
The final Inclusionary Housing and In-Lieu Fee Study will be presented to City Council and Planning Commission for feedback on recommendations and guidance to staff for the Zoning Ordinance Amendments. See the Timeline below for more.
The Zoning Ordinance Amendments will go to Planning Commission, Ordinance Committee, and City Council for adoption. See the Timeline below for more.
Interested in staying engaged with the Inclusionary Housing and In-Lieu Fee Study and Zoning Ordinance Amendments? Subscribe with your email or contact staff.
