Legislative Update
BOMA San Diego
Legislative Update
November - December 2025
STATE
CALIFORNIA PROJECTS $17.7 BILLION BUDGET DEFICIT
The State’s nonpartisan Legislative Analyst’s Office (LAO) is projecting a $17.7 Billion budget deficit next fiscal year due to higher spending, increased debt, the elimination of one-time revenue options, and Federal cuts, specifically to health care, housing, and homelessness initiatives. To make matters worse, the LAO warns that the shortfall could grow to $35 Billion by Fiscal Year 2028. To learn more, click HERE.
LOCAL - CITIES
CLAIREMONT AND COLLEGE AREA COMMUNITY PLAN UPDATES HEARD AT LAND USE & HOUSING COMMITTEE
Two highly anticipated community plan updates were heard last month at the San Diego City Council’s Land Use & Housing Committee. The Clairemont Community Plan seeks to create mixed-use villages, enhance commercial centers, and enliven parks and canyons in the central neighborhood buffered by the I-5 freeway to the west, Linda Vista to the south, University City to the north, and Kearny Mesa to the east. Land use designations include residential, community commercial, neighborhood commercial, office commercial, community village, industrial park, institutional, open space, and parks. The CPU envisions a net future change of 17,100 additional housing units and 800,000 non-residential square feet. Of note are several identified elements, including a Community Core at Balboa and Genese avenues, a reenvisioned Clairemont Town Square with opportunities for housing, pedestrian promenades, and plazas, and planned villages off Clairemont Drive and Rose Canyon among others. The CPU also attempts to bolster the Balboa Ave. Transit Station with housing, restaurants and retail shops, and new public spaces. To view the Clairemont CPU please click HERE.
The College Area CPU includes roughly 1,970 acres and sits in between the Navajo, Mission Valley, Kensington-Talmadge, and Eastern Area communities. Planned land uses attempt to provide for a wide range of housing types, villages, and enhanced mobility options. While the draft plans for an increase of 26,050 new housing units, non-residential square feet remains unchanged; though, the CPU does provide for high-density mixed use development and encourages neighborhood-supporting businesses along major arterials and transit stations. To view the plan, please click HERE.
Both plans passed out of the Committee with both support and opposition expressed by public speakers. While supportive, business industry groups expressed concern about underlying bans embedded in the zones used to implement these community plans once updated. This includes bans on drive through restaurants, as well as concerns over previously conforming uses continuing even with changes to underlying zones. The next stop is the San Diego City Council, which is anticipated in the coming days.
LAND DEVELOPMENT CODE LANGUAGE IS NOW AVAILABLE
The City of San Diego has published draft language for each item of the highly anticipated 2025 Land Development Code Update (LDC). As a reminder, the annual LDC update contains numerous code, zoning, and land use changes in an effort to streamline the permitting process, assure compliance with new state and federal regulations, and eliminate barriers that can impact development. To view the language, please click HERE and scroll down to the most recent links by date for the discussion draft and language links.
Additionall, the City of San Diego has scheduled two public workshops to gather input and address questions about the draft. These virtual forums are scheduled for Tuesday, January 13th from 12:00pm - 1:30pm and Thursday, January 15th from 3:00pm - 4:30pm. You can learn more about the update and register for the workshops HERE. In addition, the City’s Planning Department has prepared a video overview of the highlights and intent behind the most significant amendments (view the video HERE).
BOMA is working through the list, and would appreciate feedback from members, so, if you items you support, oppose or have questions about, please contact our legislative advocate, Craig Benedetto, at craigb@calstrat.com.
MEASURE C (CONVENTION CENTER EXPANSION) REACHES FINALITY
Measure C, the 2020 ballot measure to fund a Convention Center Expansion, infrastructure repair, and homelessness efforts, appears to finally be passed after a five-year legal battle to validate the measure’s simple majority (over 50% of the vote). Under Measure C, the city began collecting transient occupancy tax in May, already generating $35 million; however, construction costs have far exceeded what was originally projected when the measure was placed on the ballot five years ago. It is unclear what the convention center ‘modernization’ as it’s now being referred to will look like and when implementation will get underway.
SAN DIEGO CITY COUNCIL APPROVES LOWERED FEE FOR VALET ZONES
Last month, the Mayor’s Office brought forward an amendment to Council Policy 200-15, which governs valet zones in the City of San Diego, to the full City Council. The move comes on the heels of a council-approved parking package in June, which limited all valet zones to 44 feet. In response to stakeholder concerns, the Mayor’s Office paused efforts and brought forward a fee in order to ensure “full cost recovery” for the city while allowing operators to continue deploying expanded valet zones in lieu of city-operated parking meters. While the originally proposed fee charged operators $10,000 per additional car length ($15,000 in the ballpark ‘special event’ zone), the City Council agreed to a lower fee amount of $7,500 per additional 22 feet and $10,000 in the special event zone. To view the item, click HERE, and scroll down to Item-331.
COUNCILMEMBER CAMPILLO PROPOSING NEW COUNCIL POLICY TO PROMOTE TRANSPARENCY AROUND NEW PROPERTY-RELATED FEES
The City of San Diego Rules Committee, last month, discussed a proposal put forth by Councilmember Raul Campillo that would identify constitutional and state law requirements for imposing or increasing property-related fees and provide guidelines for conducting cost-of-service studies and noticed public hearings before a fee is collected. The move comes on the heels of several newly imposed fees that have befallen property owners, perhaps most notably water rates and waste-hauling fees. If approved at full city council, the new policy would establish how written notices should be designed and distributed, and how a property owner may protest the fee. To view the staff report, please click HERE and scroll down to Item-3.
CITY OF SAN DIEGO PLANNING COMMISSION APPROVES HISTORIC SITE RULES
The City of San Diego’s Planning Commission unanimously approved changes staff are proposing to historic site rules in the City. These changes are broken up into two parts, with the first part being a precursor to the next. Part A will be discussed and brought to the Council for consideration later in the year. BOMA has been involved in the discussions, including hearings at the City’s Historic Resources Board. Many industry members have complained that the city’s historic preservation rules have been weaponized against redevelopment proposals. These changes are intended to help balance real historic protection from abuses by anti-development advocates. BOMA is part of a coalition working to support this balance and spoke at the Planning Commission hearing last month. To learn more about the changes, called Preservation and Progress, please click HERE.
END OF YEAR HOLIDAY OFFICE CLOSURES
The City of San Diego has published a list of end-of-year office closures. City departments, including Development Services, will be closed for business on Thursday November 27 and December 25 through December 31. Online services will still be available; though, virtual appointments will be limited between 12/26-12/31. We anticipate the County and most other local governments will follow similar schedules. To learn more about the City of San Diego’s schedule, click HERE.
OCEANSIDE VOTES TO CUT WATER AND SEWER RATES
Last month, the Oceanside City Council voted 3-2 in favor of cutting 2026-27 water and sewer rates. The rates, originally proposed as increases of 6% for water and 4% for sewer in 2026, were instead brought down to 3% and 2%, respectively, before increasing to 6% and 4% in 2027. City staff warned that cutting rates may not provide the city with enough funding for maintenance costs and water purchases. To view the rate study, please click HERE.
LOCAL - COUNTY
BOARD OF SUPERVISORS APPOINT NEW TREASURER-TAX COLLECTOR
The San Diego County Board of Supervisors voted to appoint Larry Cohen to the position of Treasurer-Tax Collector, filling the remainder of former Tax Collector Dan McAllister’s term. Cohen, who was Congressman Juan Vargas’ Chief of Staff, has indicated he will run for the office when the term he is fulling through the appointment expires. Supervisor Joel Anderson, who was NOT seeking the appointment, has indicated he might also run for that position. Cohen’s appointment occurred after several split votes, but was ultimately accomplished on a 3-2 vote. You can view Cohen’s bio, HERE.
COUNTY BOARD OF SUPERVISORS APPROVE NEW SUBCOMMITTEE TO AUDIT CONTRACTS
The County Board of Supervisors voted, last month, to create a new subcommittee with the goal of auditing County contracts and outsourced services. The goal of the committee, led by Supervisors Joel Anderson and Paloma Aguirre, was stated as identifying whether more work could be performed in-house, rebid, or shifted to local businesses as the county projects future budget deficits. Politically, the move is viewed as demonstrating the County’s efforts at reducing costs as a separate subcommittee, created earlier this year, analyzes potential tax measures to increase revenues to pay for existing and new services. To learn more, click HERE and scroll down to Item 21.
ELECTIONS
CA PROPOSITION 50 PASSES CREATING NEW CONGRESSIONAL DISTRICTS
In November’s statewide special election, California voters overwhelmingly approved Proposition 50, which suspends the voter approved independent redistricting process and redraws congressional districts in order to potentially add at least five more Democrat U.S. House of Representative seats. The move was couched as a direct counter to Texas, which had previously redrawn its congressional districts to add additional Republican seats. In San Diego, the move makes Darrell Issa (District 48) vulnerable, already soliciting two Democrat challengers, including current San Diego Councilmember Marni von Wilpert and perennial candidate Amar Campa-Najjar. To view election results, click HERE. To learn more about Prop. 50, click HERE.
PADILLA STATES HE WILL NOT RUN FOR GOVERNOR
California US Senator Alex Padilla, last month, announced that he does not intend to run for Governor in 2026. The announcement is notable as Padilla would have made for perhaps the most prominent entry in the already crowded field, which includes Katie Porter, Xavier Becerra, and Antonio Villaraigosa. You can read more about his announcement, HERE.
POWAY COUNCIL MEMBER TONY BLAIN RESIGNS AMID FELONY CHARGES, RECALL EFFORT
Embattled now-former Poway Council Member, Tony Blain, resigned following a recall effort, in which 80% of voters supported his removal from office. Blain, who is being charged with four felonies, including soliciting a bribe, perjury, and destroying city property, leaves a vacant seat on the Poway City Council. Following the move, the Poway City Council voted to delay setting a special election date, stating that they want more information on potential election costs before choosing between two available dates: April 14, 2026 or June 2, 2026.
Legislative Update
November - December 2025
STATE
CALIFORNIA PROJECTS $17.7 BILLION BUDGET DEFICIT
The State’s nonpartisan Legislative Analyst’s Office (LAO) is projecting a $17.7 Billion budget deficit next fiscal year due to higher spending, increased debt, the elimination of one-time revenue options, and Federal cuts, specifically to health care, housing, and homelessness initiatives. To make matters worse, the LAO warns that the shortfall could grow to $35 Billion by Fiscal Year 2028. To learn more, click HERE.
LOCAL - CITIES
CLAIREMONT AND COLLEGE AREA COMMUNITY PLAN UPDATES HEARD AT LAND USE & HOUSING COMMITTEE
Two highly anticipated community plan updates were heard last month at the San Diego City Council’s Land Use & Housing Committee. The Clairemont Community Plan seeks to create mixed-use villages, enhance commercial centers, and enliven parks and canyons in the central neighborhood buffered by the I-5 freeway to the west, Linda Vista to the south, University City to the north, and Kearny Mesa to the east. Land use designations include residential, community commercial, neighborhood commercial, office commercial, community village, industrial park, institutional, open space, and parks. The CPU envisions a net future change of 17,100 additional housing units and 800,000 non-residential square feet. Of note are several identified elements, including a Community Core at Balboa and Genese avenues, a reenvisioned Clairemont Town Square with opportunities for housing, pedestrian promenades, and plazas, and planned villages off Clairemont Drive and Rose Canyon among others. The CPU also attempts to bolster the Balboa Ave. Transit Station with housing, restaurants and retail shops, and new public spaces. To view the Clairemont CPU please click HERE.
The College Area CPU includes roughly 1,970 acres and sits in between the Navajo, Mission Valley, Kensington-Talmadge, and Eastern Area communities. Planned land uses attempt to provide for a wide range of housing types, villages, and enhanced mobility options. While the draft plans for an increase of 26,050 new housing units, non-residential square feet remains unchanged; though, the CPU does provide for high-density mixed use development and encourages neighborhood-supporting businesses along major arterials and transit stations. To view the plan, please click HERE.
Both plans passed out of the Committee with both support and opposition expressed by public speakers. While supportive, business industry groups expressed concern about underlying bans embedded in the zones used to implement these community plans once updated. This includes bans on drive through restaurants, as well as concerns over previously conforming uses continuing even with changes to underlying zones. The next stop is the San Diego City Council, which is anticipated in the coming days.
LAND DEVELOPMENT CODE LANGUAGE IS NOW AVAILABLE
The City of San Diego has published draft language for each item of the highly anticipated 2025 Land Development Code Update (LDC). As a reminder, the annual LDC update contains numerous code, zoning, and land use changes in an effort to streamline the permitting process, assure compliance with new state and federal regulations, and eliminate barriers that can impact development. To view the language, please click HERE and scroll down to the most recent links by date for the discussion draft and language links.
Additionall, the City of San Diego has scheduled two public workshops to gather input and address questions about the draft. These virtual forums are scheduled for Tuesday, January 13th from 12:00pm - 1:30pm and Thursday, January 15th from 3:00pm - 4:30pm. You can learn more about the update and register for the workshops HERE. In addition, the City’s Planning Department has prepared a video overview of the highlights and intent behind the most significant amendments (view the video HERE).
BOMA is working through the list, and would appreciate feedback from members, so, if you items you support, oppose or have questions about, please contact our legislative advocate, Craig Benedetto, at craigb@calstrat.com.
MEASURE C (CONVENTION CENTER EXPANSION) REACHES FINALITY
Measure C, the 2020 ballot measure to fund a Convention Center Expansion, infrastructure repair, and homelessness efforts, appears to finally be passed after a five-year legal battle to validate the measure’s simple majority (over 50% of the vote). Under Measure C, the city began collecting transient occupancy tax in May, already generating $35 million; however, construction costs have far exceeded what was originally projected when the measure was placed on the ballot five years ago. It is unclear what the convention center ‘modernization’ as it’s now being referred to will look like and when implementation will get underway.
SAN DIEGO CITY COUNCIL APPROVES LOWERED FEE FOR VALET ZONES
Last month, the Mayor’s Office brought forward an amendment to Council Policy 200-15, which governs valet zones in the City of San Diego, to the full City Council. The move comes on the heels of a council-approved parking package in June, which limited all valet zones to 44 feet. In response to stakeholder concerns, the Mayor’s Office paused efforts and brought forward a fee in order to ensure “full cost recovery” for the city while allowing operators to continue deploying expanded valet zones in lieu of city-operated parking meters. While the originally proposed fee charged operators $10,000 per additional car length ($15,000 in the ballpark ‘special event’ zone), the City Council agreed to a lower fee amount of $7,500 per additional 22 feet and $10,000 in the special event zone. To view the item, click HERE, and scroll down to Item-331.
COUNCILMEMBER CAMPILLO PROPOSING NEW COUNCIL POLICY TO PROMOTE TRANSPARENCY AROUND NEW PROPERTY-RELATED FEES
The City of San Diego Rules Committee, last month, discussed a proposal put forth by Councilmember Raul Campillo that would identify constitutional and state law requirements for imposing or increasing property-related fees and provide guidelines for conducting cost-of-service studies and noticed public hearings before a fee is collected. The move comes on the heels of several newly imposed fees that have befallen property owners, perhaps most notably water rates and waste-hauling fees. If approved at full city council, the new policy would establish how written notices should be designed and distributed, and how a property owner may protest the fee. To view the staff report, please click HERE and scroll down to Item-3.
CITY OF SAN DIEGO PLANNING COMMISSION APPROVES HISTORIC SITE RULES
The City of San Diego’s Planning Commission unanimously approved changes staff are proposing to historic site rules in the City. These changes are broken up into two parts, with the first part being a precursor to the next. Part A will be discussed and brought to the Council for consideration later in the year. BOMA has been involved in the discussions, including hearings at the City’s Historic Resources Board. Many industry members have complained that the city’s historic preservation rules have been weaponized against redevelopment proposals. These changes are intended to help balance real historic protection from abuses by anti-development advocates. BOMA is part of a coalition working to support this balance and spoke at the Planning Commission hearing last month. To learn more about the changes, called Preservation and Progress, please click HERE.
END OF YEAR HOLIDAY OFFICE CLOSURES
The City of San Diego has published a list of end-of-year office closures. City departments, including Development Services, will be closed for business on Thursday November 27 and December 25 through December 31. Online services will still be available; though, virtual appointments will be limited between 12/26-12/31. We anticipate the County and most other local governments will follow similar schedules. To learn more about the City of San Diego’s schedule, click HERE.
OCEANSIDE VOTES TO CUT WATER AND SEWER RATES
Last month, the Oceanside City Council voted 3-2 in favor of cutting 2026-27 water and sewer rates. The rates, originally proposed as increases of 6% for water and 4% for sewer in 2026, were instead brought down to 3% and 2%, respectively, before increasing to 6% and 4% in 2027. City staff warned that cutting rates may not provide the city with enough funding for maintenance costs and water purchases. To view the rate study, please click HERE.
LOCAL - COUNTY
BOARD OF SUPERVISORS APPOINT NEW TREASURER-TAX COLLECTOR
The San Diego County Board of Supervisors voted to appoint Larry Cohen to the position of Treasurer-Tax Collector, filling the remainder of former Tax Collector Dan McAllister’s term. Cohen, who was Congressman Juan Vargas’ Chief of Staff, has indicated he will run for the office when the term he is fulling through the appointment expires. Supervisor Joel Anderson, who was NOT seeking the appointment, has indicated he might also run for that position. Cohen’s appointment occurred after several split votes, but was ultimately accomplished on a 3-2 vote. You can view Cohen’s bio, HERE.
COUNTY BOARD OF SUPERVISORS APPROVE NEW SUBCOMMITTEE TO AUDIT CONTRACTS
The County Board of Supervisors voted, last month, to create a new subcommittee with the goal of auditing County contracts and outsourced services. The goal of the committee, led by Supervisors Joel Anderson and Paloma Aguirre, was stated as identifying whether more work could be performed in-house, rebid, or shifted to local businesses as the county projects future budget deficits. Politically, the move is viewed as demonstrating the County’s efforts at reducing costs as a separate subcommittee, created earlier this year, analyzes potential tax measures to increase revenues to pay for existing and new services. To learn more, click HERE and scroll down to Item 21.
ELECTIONS
CA PROPOSITION 50 PASSES CREATING NEW CONGRESSIONAL DISTRICTS
In November’s statewide special election, California voters overwhelmingly approved Proposition 50, which suspends the voter approved independent redistricting process and redraws congressional districts in order to potentially add at least five more Democrat U.S. House of Representative seats. The move was couched as a direct counter to Texas, which had previously redrawn its congressional districts to add additional Republican seats. In San Diego, the move makes Darrell Issa (District 48) vulnerable, already soliciting two Democrat challengers, including current San Diego Councilmember Marni von Wilpert and perennial candidate Amar Campa-Najjar. To view election results, click HERE. To learn more about Prop. 50, click HERE.
PADILLA STATES HE WILL NOT RUN FOR GOVERNOR
California US Senator Alex Padilla, last month, announced that he does not intend to run for Governor in 2026. The announcement is notable as Padilla would have made for perhaps the most prominent entry in the already crowded field, which includes Katie Porter, Xavier Becerra, and Antonio Villaraigosa. You can read more about his announcement, HERE.
POWAY COUNCIL MEMBER TONY BLAIN RESIGNS AMID FELONY CHARGES, RECALL EFFORT
Embattled now-former Poway Council Member, Tony Blain, resigned following a recall effort, in which 80% of voters supported his removal from office. Blain, who is being charged with four felonies, including soliciting a bribe, perjury, and destroying city property, leaves a vacant seat on the Poway City Council. Following the move, the Poway City Council voted to delay setting a special election date, stating that they want more information on potential election costs before choosing between two available dates: April 14, 2026 or June 2, 2026.