The Southern California coastal city of Huntington Beach says it is complying with state housing laws, rejecting a lawsuit by Governor Gavin Newsom's new administration.
Newsom used a new law for the first time Friday in an attempt to force the city to meet housing goals.
City Attorney Michael Gates pointed to an appeals court's ruling in 2017 that cities like Huntington Beach that have their own charters can approve plans that don't meet state housing requirements.
Former Governor Jerry Brown signed a new law last year closing what housing advocates called a legal loophole.
Gates says the city has approved more than 2,500 new housing units since 2014. That leaves the city about 400 housing units short of state goals for low and very low income housing.