LA Council Watch

Affordable Housing Linkage Fee / Incomplete Construction / Incomplete Single Family Development Projects / Refund / Los Angeles Municipal Code / Amendment

Council File 17-0274-S3

Under review — the Housing Committee approved this plan to let developers get refunds of up to $35,000 when affordable-housing-fee projects stall mid-construction, but it's now waiting for the Planning Committee's sign-off before the full City Council votes.

Introduced
2025-04-11
Last changed
2026-09-08
Status
open
Expires
2028-09-08
Committee
Housing Committee
Mover
BOB BLUMENFIELD
Second
HEATHER HUTT

Brief

Councilmember Bob Blumenfield moved to amend the Los Angeles Municipal Code to allow refunds of affordable housing linkage fees for incomplete construction projects and incomplete single-family developments. The Housing Committee approved the motion as amended on September 8, 2026, and transmitted it to the Planning and Land Use Management Committee for further review. The proposal addresses how linkage fee obligations are handled when development projects remain unfinished.

Full summary

This motion, introduced by Councilmember Bob Blumenfield and seconded by Heather Hutt in April 2025, proposes amending the Affordable Housing Linkage Fee ordinance to allow refunds in cases where construction began but was never completed and no Certificate of Occupancy was issued. The Affordable Housing Linkage Fee, established in 2017 under Ordinance 185342, is collected by the Department of Building and Safety as part of the permit process and funds affordable housing construction in proportion to completed market-rate units. Under current law, refunds are available only when a permit expires before construction begins — not when a project stalls mid-build. The motion directs the Planning Department and the Department of Building and Safety, with assistance from the City Administrative Officer and in consultation with the City Attorney, to draft an ordinance amending Municipal Code Sections 19.18 and 16.02. The amendment would allow refunds of up to $35,000 for single-family home projects where construction started but was never finished and no Certificate of Occupancy was obtained. Critically, the change would apply retroactively to projects whose permits expired within the last three years. The motion uses a specific Woodland Hills case to illustrate the problem: the owner of a property at 5154 Campo Road paid all permit fees including the linkage fee, began construction, could not finish the project, and — facing financial hardship — ended up unhoused and living out of her car, an outcome Blumenfield characterizes as contrary to the fee's intent. The file was initially referred to the Housing and Homelessness Committee and the Planning and Land Use Management Committee in April 2025. In August 2026, the City Clerk rereferred it to both committees under a procedural realignment. The Housing Committee scheduled and approved the motion as amended on September 8, 2026, and transmitted it to the Planning and Land Use Management Committee, where it now sits pending review before any Council floor vote. A Community Impact Statement was submitted by the Palms Neighborhood Council in October 2025, though its specific position is not detailed in the available record. The file remains open and does not expire until September 2028.

Activity (6)

  • 2026-09-08 Housing Committee transmitted Council File to Planning and Land Use Management Committee.
  • 2026-09-08 Housing Committee approved as amended .
  • 2026-08-31 Housing Committee scheduled item for committee meeting on September 8, 2026.
  • 2026-08-28 City Clerk rereferred item to Housing Committee; Planning and Land Use Management Committee, pursuant to Council File No. 26-2000.
  • 2025-10-09 Community Impact Statement submitted by Palms Neighborhood Council.
  • 2025-04-11 Motion referred to Housing and Homelessness Committee; Planning and Land Use Management Committee.

Documents (4)

View on CFMS →