After months of high drama, California Senate Bill 79 (“SB
79”) was signed by Governor Newsom on October 10—the
latest salvo in a year of ambitious legislation to increase housing
supply in California. Effective July 1, 2026 (within incorporated
cities1), the new law opens new residential building
opportunities near existing rail and bus stations in
California's most populous metropolitan areas.
Application and Key Provisions for Local Governments
SB 79 applies to and upzones “urban transit
counties”—those with 15 or more passenger rail
stations. Currently, only eight California counties meet this
description – Alameda, San Francisco, San Mateo, Santa Clara,
and Sacramento in Northern California; and Los Angeles, Orange, and
San Diego Counties in the Southern half of the state.