Sustainable Development and Land Use Update 1.9.26

Allen Matkins
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Federal government sues Morgan Hill, Petaluma over natural gas bans

Bullet The Mercury News – January 5

The Trump administration on Monday sued the cities of Morgan Hill and Petaluma, asking a judge to block local laws that ban natural gas infrastructure in new buildings. Morgan Hill adopted its ban in 2019 and Petaluma followed with its own in 2021; the administration’s complaint argues both measures violate federal law. The case puts the two Bay Area cities at the center of a broader legal fight over how far local governments can go in regulating energy use in new construction and whether cities can pursue climate policies that effectively phase out natural gas in the face of federal standards.


News

Coastal Commission approval opens new chapter for National City’s waterfront access

Bullet The San Diego Union-Tribune – January 3

After more than a decade of planning and negotiation, National City has secured unanimous approval from the California Coastal Commission for a development plan that officials say will finally give residents access to their city’s waterfront. The commission voted Dec. 10 to certify the Port Master Plan Amendment for the National City Balanced Plan, marking what Mayor Ron Morrison called a milestone for a city facing a unique coastal access problem.


California lawmakers advance $10B housing bond amid affordability push

Bullet CBS8 – January 6

Lawmakers in Sacramento continue to rally around “affordability” as a guiding theme this legislative session, but few issues under that umbrella have drawn more debate than housing. The Senate Housing Committee on Tuesday advanced a proposal aimed at lowering housing costs by sending a multibillion-dollar bond measure to voters. The vote marked the first hearing of the legislative session on the issue and the first step toward placing the measure on the November 2026 ballot.


Clock is ticking: Judge says Huntington Beach must adopt housing plan within 120 days

Bullet Los Angeles Times/Daily Pilot - December 23

A San Diego Superior Court judge has given Huntington Beach 120 days to adopt a compliant housing element, something that was originally due in 2021. Since then, the city has been fighting with state leaders over Regional Housing Needs Allocation requirements that Huntington Beach zone for 13,368 units in the current cycle, which runs through 2029. Judge Katherine Bacal ruled against the city in May 2024. City leaders sought to appeal that decision all the way to the state Supreme Court, but in December 2025 that panel declined to review an appellate court ruling in the state’s favor.


‘Clustered housing’ dropped from Oceanside’s general plan update

Bullet The San Diego Union-Tribune – January 5

‘Clustered housing’ proposed for the rural region of South Morro Hills has been dropped from a revised draft of Oceanside’s general plan update, which is now available for public comments through Feb. 1. In discussions of an earlier version of the update, city planners suggested that one way to increase housing while preserving farming would be to keep the minimum 2.5-acre lot sizes in South Morro Hills, but allow clusters of development that would place pockets of homes on smaller lots among the farms.


Federal government loosens protections for iconic greater sage grouse

Bullet The New York Times – December 22

The Trump administration has weakened protections for the vulnerable greater sage grouse, making it easier for oil and gas drilling, mining, and grazing operations to take place on about 50 million acres of land across eight Western states. The Bureau of Land Management, which oversees Western lands critical to the sage grouse habitat, said the proposed changes would make more space available for development while continuing to protect “key habitats” for the bird across approximately 65 million acres of land.


Federal judge pauses changes to Santa Clara County housing grants

Bullet San Jose Spotlight – December 23

A federal judge has temporarily blocked efforts by President Donald Trump’s administration to upend federal funding for permanent housing. U.S. District Court Judge Mary S. McElroy on Friday granted a temporary injunction halting the upheaval of Continuum of Care grants, which have historically been used to fund permanent housing programs and are the federal government’s main response to homelessness. The U.S. Department of Housing and Urban Development wants to cap permanent housing funds at 30% and shift the rest to temporary housing.

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DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations. Attorney Advertising.

© Allen Matkins

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