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the Gateway Commons shopping center, regarding restrictions on construction of ADUs above garages, that are included in the development's PUD conditions of approval. The PUD conditions stipulate that no more than 75 percent of units within the development may have an ADU above a garage —approximately a third of the units in Walnut Hills have such units today. The comments requested the City consider adding a blanket provision in the ordinance that would override any and all PUD-specific conditions limiting ADUs over garages, suggesting such restrictions are too limiting and inconsistent with state law. Staff suggested that the draft not be amended as requested, noting that: 1) for Walnut Hills, specifically, there does not appear to be a significant constraint to new ADUs being added above garages (since only about a third of the existing homes have ADUs today, whereas the PUD allows for up to 75 percent of units to include them); and 2) without understanding the extent, or project-specific rationale for restrictions on ADUs above garages in other PUDs, it would not be possible to understand the potential impact of lifting such restrictions on a blanket basis. Finally, it is noted that the PUD modification process exists as an avenue for an HOA or an individual property owner to request that a condition (such as a restriction on second story ADUs) be modified, allowing for site- and project specific conditions to be appropriately considered. Pursuant to state law, Homeowners' Associations may not restrict or limit ADUs through their CC&Rs, meaning any more restrictive provisions that may exist in CC&Rs would not be enforceable. Objective Standards As mentioned above, absent the ability to conduct discretionary review, staff is proposing to establish a series of objective standards for ADUs, to ensure they are compatible with residential neighborhoods and surrounding uses to the extent possible. While state law does not require cities to permit ADUs more than 16 feet in height, as mentioned previously in this report, ADUs that are proposed as part of a two-story addition (i.e., taller than 16 feet in height) are common in Pleasanton. In order to continue allowing these two-story ADUs, staff proposes that objective standards be established such that privacy impacts are mitigated. Also, some objective standards apply only to two-story ADUs and others apply to ADUs that are both single- and two- story. The draft ordinance amendments include the following recommended objective design standards, which were reviewed and supported by the Planning Commission: With the objective of reducing visual impacts and protecting neighbor privacy, two-story ADUs would be required to meet the following: 1. An exterior stairway must not be visible from the public right-of-way. 2. All new windows in an ADU may be operable, but if the new window(s) is 25 feet or less from a property line, it must either be positioned at least 5 feet above finished floor or must utilize frosted or obscured glass. Page 6 of 10