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The California Supreme Court ruled that the City of Huntington Beach must approve plans for residences that low-income people could afford.

The San Francisco Chronicle reports the city argued the decision to build a specific amount and type of housing belongs to local government and not the state government. On Wednesday, the state Supreme Court upheld a lower-court order requiring Huntington Beach to follow California laws in approving housing for low-income people – the state demanded 533 housing units when it sued the city in 2021.

According to 2017 US Census data, Huntington Beach had a median income of $88,000, roughly 20% above the statewide average, with less than 9% of its residents living below the poverty level.

The city, which cited environmental concerns as part of its reason to avoid new affordable housing, will have 120 days to adopt an affordable-housing plan that complies with state law. If it refuses, state officials can prohibit the city from granting new building permits.

“The Legislature has found that ‘the availability of housing is of vital statewide importance,’ ” Presiding Justice Judith McConnell wrote in a 3-0 ruling. “The need to promote housing for all economic segments of society is particularly acute because, as the Legislature has recognized, our state is suffering from ‘a housing supply and affordability crisis of historic proportions’ that has harmed millions of Californians.”