Here’s a brief explanation directly from LA Planning Dept communications, with a link to the current draft. For more tutorial information from Planning, here are links to an April 2024 Webinar YouTube recording (in English) and the presentation slide deck from that meeting.

About the Draft Citywide Housing Incentive Program Ordinance (CPC-2023-7068-CA)

The Citywide Housing Incentive Program (CHIP) Ordinance proposes several new programs that would streamline review procedures and introduce bold new incentives for eligible project types in order to expand access to affordable housing near transit, jobs, along major corridors, and in higher opportunity areas. These programs include the State Density Bonus Program, the Mixed Income Incentive Program, and the Affordable Housing Incentive Program. 

State Density Bonus Program: Since the adoption of the City’s Density Bonus Ordinance in 2008, numerous state bills have made significant amendments to the State’s Density Bonus Law. The program aims to make key revisions to align with the State Density Bonus Law.

Mixed-Income Incentive Program: The Mixed-Income Incentive Program intends to codify new incentives for housing development projects along Opportunity Corridors and projects constructing Missing Middle typologies in Higher Opportunity Areas. Additionally, this program will memorialize transit-based incentives currently housed in the Transit Oriented Communities (TOC) Affordable Housing Incentive Guidelines.

Affordable Housing Incentive Program: The Affordable Housing Incentive Program offers new incentives for 100% Affordable Housing Projects with additional incentives for Higher and Moderate Resource areas. This program will also provide citywide tailored incentives for sites where residential uses are currently restricted, including sites owned by faith-based organizations, publicly owned land, and sites zoned for parking.