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

Chapter C.12 (Density Bonus for Affordable Housing Developments) implements California's state density bonus law locally and lets the Department, consistent with the Administration and Procedures part of the Zoning Ordinance, grant additional local incentives on top of the state entitlement. Section C.12.040.A lists five incentive categories a qualifying project can request unless the City makes the state-law findings required by Government Code Section 65915(d)(1): reduced site development standards (smaller lots, reduced setbacks, less open space, increased height, or reduced parking), mixed-use zoning to blend residential and nonresidential uses, another cost-reducing regulatory concession the City agrees to, an additional density bonus beyond what state law already requires, and waived, reduced, or deferred City fees such as plan check, construction permit, and development impact fees.

Eligibility for these local incentives runs through Milpitas' own Affordable Housing Ordinance, Chapter XII-1, and a project loses eligibility if it relies on the exceptions in Section XII-1-4 to avoid building the 15 percent on-site affordable units that ordinance otherwise requires. Any additional incentive above the state-law baseline is decided case-by-case by the Review Authority under Subsection C.12.040.C. Once approved, Section C.12.050 requires the applicant to sign and record a density bonus agreement, and target units must stay affordable to the designated income group for 55 years, with annual Certificates of Compliance documenting tenant names, addresses, and income to verify continued eligibility.