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HomeMy WebLinkAboutA043 - Staff report on State Law Changes to Accessory Dwelling Unit (ADU) Zoning StandardsITEM #:46 DEPT:P&H May 27, 2025 Staff Report STATE LAW CHANGES TO ACCESSORY DWELLING UNIT (ADU) ZONING STANDARD BACKGROUND: In 2022, the City adopted standards for the construction of Accessory Dwelling Units (ADUs). The adopted standards relied upon the City's current accessory building provisions related to size and setback encroachments. ADUs were required to be detached from the principal home, include one parking space in addition to that of the single-family home, and at least one of the two units must be the primary residence of the owner. The City allowed for reduced setbacks in the rear yard for both one story and two-story structures of as little as three feet. On May 1, the Governor signed into law Senate File 592 (attached). This legislation, which will go into effect on July 1, 2025, requires cities to allow for ADUs that meet minimum standards. In general, the law is trying to support new ADU construction by requiring cities to allow for an ADU with any single-family home and to treat the ADU the same as a single-family home. The new law does not preempt restrictive covenants. The law contains some standards that conflict with those adopted by the City, and the City standards must now be modified to rectify these conflicts. A summary of the conflicting provisions of the new state law and the existing City standards follows below: Standards that Differ Standards City Standards State Law Minimums to Allow Maximum Size 900 square feet for entire accessory structure 1,000 square feet for ADU, or 50% of the single-family home size, whichever is greater Parking 1 space for ADU, + 2 spaces for a home None required beyond 2 spaces Residency Requirement Owner Primary Residence on site No limitation allowed Structure Type Detached only Attached or Detached (believe it limits conversions) Use of Mobile Home Not Allowed Allowed when on a foundation Maximum Height Up to 80% of single-family home height or 20 feet, whichever is lower No different than single family home maximums Bedroom Limitation 1 bedroom maximum Not referenced 1 Rental/Occupancy Treat same as SF house (3 adults for 1 bedroom) Additional limits in Near Campus Neighborhoods. Treat the same as a SF house (unclear if Near Campus limitations will apply, they should) Design/Aesthetics No specific standards, except SF Overlay and Historic District Can’t treat differently than SF home, can’t require matching roof form, materials, colors. OPTIONS: Option 1 - Change local setback encroachments along with new State law requirements Rear yard single family home setbacks are typically 20 feet. Accessory buildings of all types are allowed to encroach for up to 20% of the rear yard area with a minimum setback of 3 feet, including for two story accessory buildings. Eliminating or reducing the allowed setback encroachments for large structures or two-story structures is an option, if Council is concerned about compatibility due to the new state mandated changes. Council could elect to continue the rear yard exception for properties with an alley that may have a ADU structure located above a garage. Option 2 - Only make changes needed to meet new State law This option would be the most permissive as it would incorporate all the new state allowances and continue the City's local encroachment options. Option 3 - Make Other Changes along with new State law The City Council can modify other standards as long as they treat ADUs and single- family homes the same. Because of the state's one-size-fits-all approach, other changes to address potential ADU issues such as requiring more parking for a single- family homes, increased setbacks, reduced lot coverage, etc. may be punitive to single family homeowners that are only concerned about their home and typical accessory structures. STAFF COMMENTS: If Council desires to modify some of the current standards to be more restrictive (Option 1) while updating zoning standards to conform to the state law, an expedited schedule is needed to potentially have new standards in place when the state law becomes effective on July 1. If the proposed changes affect Historic Resources, the Historic Preservation Commission (HPC) has an advisory step before P&Z consideration and Council approval. Approval prior to July 1 would require HPC to consider the changes on June 9, P&Z to review on June 18, and a City Council hearing and three readings on June 24. With City Council's guidance regarding how to proceed, Planning staff will work with City Attorney to draft an ordinance and proceed through the amendment process. 2 ATTACHMENT(S): ADU State Law.pdf 3 Senate File 592, p. 4 NEW SUBSECTION, 20. a. A city shall allow a minimum of one accessory dwelling unit on the same lot as a single family residence in accordance with the following conditions: (1) An accessory dwelling unit shall comply with all applicable building regulations as defined in chapter 103A, (2) An accessory dwelling unit shall not exceed one thousand square feet or fifty percent of the size of the single family residence, whichever is larger. (3) An accessory dwelling unit shall be prohibited or limited only to the extent that a state historic building code restriction, as adopted by a city in accordance with section 103A.43, subsection 3, a deed restriction, or a rule of a common interest community, as defined in section 499C.1, limits or prohibits the construction or use of an accessory dwelling unit. The imposition of an ordinance, motion, resolution, or amendment regulating accessory dwelling units that is more restrictive when applied to a common interest community than when applied to a single family residence is prohibited. (4) If a manufactured home as defined in section 435.1, subsection 3, or a mobile home as defined in section 435.1, subsection 5, is used as an accessory dwelling unit, the manufactured home or mobile home shall be converted to real property by being placed on a permanent foundation and assessed for real estate taxes pursuant to section 435.26. b. Except as otherwise provided in paragraph or by state law, a city shall not impose any of the following limitations or restrictions: (1) Requirements related to the placement or appearance of an accessory dwelling unit that are more restrictive than those imposed on a single family residence including but not limited to the following: maximum building heights; minimum setback requirements; minimum lot sizes; minimum building frontages; maximum lot coverages; density requirements; and aesthetic or architectural standards or requirements. Additionally, a city shall not require an accessory dwelling unit to match the exterior design, roof pitch, or finishing materials of the single family residence. (2) Regulations on the use of an accessory dwelling unit as a rental property that are more restrictive than those provided 4 Senate File 592, p. 5 for in subsections 9 and 16 of this section, section 414.1, subsection 1, paragraph and chapter 562A. (3) A requirement that the lot containing a single family residence and an accessory dwelling unit have additional parking beyond that required for a single-family residence or payment of a fee in lieu of providing additional parking, (4) Restrictions on the occupancy of either the single family residence or the accessory dwelling unit by any of the following manners: requiring the property owner to be a resident; requiring a familial, marital, or employment relationship to exist between the occupants of the single family residence and the occupants of the accessory dwelling unit; or restricting the occupancy of an accessory dwelling unit based on income or age. (5) A requirement of new or separate utility lines between the accessory dwelling unit and public utility service connections. However, if full utility access that includes a separate metering system for billing purposes cannot be provided to the accessory dwelling unit, then the city can require new or separate utility lines. (6) Imposition of a different city impact fee structure or development standard for an accessory dwelling unit than those used for the single family residence on the same lot. (7) The requirement of improvements or repairs to public streets or sidewalks beyond those imposed on the single family residence on the same lot. c, A city shall approve an accessory dwelling unit permit application that meets the requirements set forth in paragraph and by state law without discretionary review or hearing and consistent with the time frame assigned to the approval of a single family residence. An accessory dwelling unit permit application shall not have a review timeline or schedule in excess of a city's normal review schedule for a single family residence. If the city denies an accessory dwelling unit permit, the reason for denial shall be provided in writing to the applicant and include any remedy necessary to secure approval. d, A city ordinance, motion, resolution, or amendment regulating accessory dwelling units in a manner that conflicts 5 Senate File 592, p. 6 with this subsection is void. Nothing in this subsection prohibits a city from adopting an ordinance, motion, resolution, or amendment that is more permissive than the requirements provided in this subsection. e. For the purposes of this subsection; (1) ^Accessory dwelling unit^ means an additional residential dwelling unit located on the same lot as a single family residence that is either attached to or detached from the single family residence. (2) "^Detached" includes being part of an accessory structure such as a detached garage. (3) '^Dwelling unit'' means the same as defined in section 562A.6, subsection 3. (4) ^Single family residence" means the same as defined in section 562A.6, subsection 15, except to the extent that a single family residence may share utility lines with the accessory dwelling unit if full utility access that includes a separate metering system for billing purposes can be provided to the accessory dwelling unit. AMY SINCmiR PAT GRASa2.EY President of the Senate Speaker of the House I hereby certify that this bill originated in the Senate and is known as Senate File 592, Ninety-first General Assembly. W. CHARLES SMITHSON Approved I V 1^ , 2025 ^ary ra the Senate KIMXREYNOLDS Governor 6