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Folsom, CA Zoning Overlays & Bonuses: Density Bonus Law (2026)

Some Restrictions
Compiled from the official code textEditor Martyn O'NeillLast verified September 2026

Key Facts

Minimum project size
5 or more dwelling units
Base density bonus
20% increase, up to 35% max
Low-income set-aside threshold
10% of units
Very-low-income set-aside threshold
5% of units
Senior housing bonus
Flat 20% density increase
Affordability term
30 years minimum
Appeal deadline
10 days to city council

Summary

Folsom grants a density bonus of at least 20% to housing developments of five or more units that set aside 10% of units for low-income households, 5% for very-low-income households, or that qualify as senior housing, under Municipal Code Chapter 17.102.

A. Density Bonus. 1. The city shall grant a density bonus to an applicant or developer of a housing development, consisting of five or more dwelling units, who agrees to provide the following: a. At least ten percent of the total units of a housing development for low income households; or b. At least five percent of the total units of a housing development for very low income households; or c. A senior citizen housing development. ... 3. Amount of Density Bonus. a. General Density Bonus. The density bonus shall be a density increase of at least twenty percent, unless a lesser percentage is elected by the applicant/developer over the otherwise maximum allowable residential density. ... For each percent increase above ten percent in the percentage of units affordable to low income households, the density bonus shall be increased by one and one-half percent up to a maximum of thirty-five percent. For each one percent increase above five percent in the percentage of units affordable to very low income households, the density bonus shall be increased by two and one-half percent up to a maximum of thirty-five percent. For senior citizen housing developments, the density bonus shall be a flat twenty percent.

View official code

Official source re-checked September 8, 2026: no newer edition of the code had been published (publisher’s edition: current through Ordinance 1369, passed April 28, 2026).

Full Breakdown

102 implements California Government Code Sections 65915 and 65917 locally. 3). 5%, both capped at a maximum 35% density increase. Senior housing developments receive a flat 20% bonus. Condominium and planned-development projects reserving at least 10% of units for moderate-income households qualify for a 5% bonus, rising 1% for each additional point of moderate-income set-aside, capped at 35%. Land-dedication projects meeting Government Code Section 65915(g) get a 15% increase for a 10% land donation, rising 1% per additional point donated, and can be combined with the general bonus up to a combined 35% cap.

Qualifying developments also get a capped parking ratio on request: one space per unit for studios/one-bedrooms, two spaces for two-to-three bedroom units, and two-and-a-half spaces for units with four or more bedrooms, with tandem or uncovered on-site parking allowed but not on-street parking. Low- and very-low-income target units must remain affordable for at least 30 years once a density bonus and at least one additional incentive are granted. Waivers, modifications, and incentives approved for a project expire if construction has not commenced within the time limit set by the approving body, or within one year if none was set, though the planning commission or city council may grant extensions of up to 12 months on written request to the community development director.

Violations & Fines

Any waiver, modification, or incentive tied to an approved density bonus becomes null and void if construction has not commenced (building permit issued) within the deadline the planning commission or city council set, or within one year by default; an extension request must state the reason for delay and go to the community development director. A person dissatisfied with a planning commission decision on a density bonus request may appeal to the city council within 10 days by filing a notice of appeal with the community development director and paying a filing fee; the city council must give written notice to the applicant and property owners within 300 feet at least 10 days before the hearing. No building permit or other permit may issue while an appeal is pending.

Frequently Asked Questions

How much of a density bonus can a Folsom developer get?
At least 20% above the otherwise maximum allowable residential density for reserving 10% of units for low-income households, 5% for very-low-income households, or building senior housing, per Municipal Code Section 17.102.030. The bonus scales up with a higher affordable set-aside, capped at a maximum 35% increase regardless of the income tier used.
Does a Folsom density bonus project get reduced parking requirements?
Yes. Under Section 17.102.030(A)(4), on request the city cannot require more than one on-site space per unit for studios and one-bedrooms, two spaces for two-to-three bedroom units, and two-and-a-half spaces for units with four or more bedrooms, though on-street parking cannot count toward that minimum.
How long must density bonus affordable units stay affordable in Folsom?
At least 30 years once the city grants both a density bonus and at least one additional incentive, per Section 17.102.040(B), or longer if required by the project's construction or mortgage financing, mortgage insurance, or rental subsidy program covering the low- or very-low-income target units.
What happens if a Folsom density bonus project misses its construction deadline?
Under Section 17.102.070, any approved waivers, modifications, or additional incentives become null and void without further city action if construction has not commenced within the deadline the planning commission or council set, or one year by default, though a 12-month extension can be requested from the community development director.

Sources & Official References

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