Last week, the California Supreme Court heard oral arguments in California Building Industry Assn. v. City of San Jose, No. S212072, the case which challenges San Jose’s “inclusionary housing” requirement.

The Court of Appeal held that under rational basis review (and not heightend scrutiny) San Jose’s affordable housing exaction might survive because it was designed to promote the development of affordable housing, and not to mitigate the impacts of market priced housing. California Building Industry Ass’n v. City of San Jose, 216 Cal.App.4th 137 (6th District June 6, 2013). The California Supreme Court agreed to hear the following issues:

What standard of judicial review applies to a facial constitutional challenge to inclusionary housing ordinances that re quire set asides or in – lieu fees as a condition of approving a development permit? (See San Remo Hotel L.P. v. City & County of San Francisco (2002) 27 Cal.4th 643, 670.)

Listen to this long-form report on the case from San Francisco public radio’s KQED, “California Supreme Court Hears Challenge to San Jose Affordable Housing Law,” and this story (“San Jose affordable housing law faces key legal test“) from the San Jose Mercury News.  

Here are the parties’ briefs: 

This promises to be the first big post-Koontz exactions case, so of course we will continue to follow along. 

Leave a Reply

Your email address will not be published. Required fields are marked *