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P25-0026, ADU PMC Amendments Planning Commission 2 of 5 BACKGROUND For the past several years, the State has adopted a series of new laws intended to encourage the production of ADUs and JADUs, principally by reducing regulatory barriers to property owners being able to construct these units. Recent examples include legislation requiring ministerial approval of ADU and JADU applications within 60 days, authorizing ADUs on lots with multifamily dwellings, and prohibiting local agencies from imposing local development standards (e.g., height and setbacks) beyond state-set limits. The City has progressively updated its ADU ordinance to respond to and come into compliance with State law; recent amendments were made. Ordinance 2213 was adopted in March 2021 to modify PMC Chapters 18.08, 18.28, 18.32, 18.36, 18.44, 18.46,18.84, and 18.106 to implement State law, and in May 2024 Ordinance 2277 was adopted to revise Chapter 18.106 to comply with new State law. AB 1033: Separate Conveyance of ADUs Among the more recent changes to State law was AB 1033, which permits local agencies to allow ADUs to be sold separately (“separately conveyed”) from the lot’s primary dwelling if certain conditions are met. At its September 11, 2024, meeting, the Planning Commission discussed the separate conveyance of ADUs, and expressed some, although not unanimous, interest in pursuing the concept. Staff provided analysis of the pros and cons of separate conveyance as part of the September 11 Agenda Report (Excerpt attached (Exhibit B). While recognizing that separate conveyance might encourage ADU production by allowing homeowners to receive more economic benefit when investing in construction of an ADU, the report also noted concerns about potential complexities when separately conveyed ADUs are part of a Homeowners Association (HOA) and subject to HOA rules and requirements. The City Council also discussed this topic as part of a discussion on October 15, 2024, and expressed an interest in further exploration of the topic. Given this interest, staff has conducted additional analysis and is seeking further input from the Planning Commission to determine whether to recommend to the City Council an ordinance amendment to permit the separate conveyance of ADUs. SB 1211 SB 1211 was signed into law in September 2024 and was effective on January 1, 2025. The bill’s major provisions address requirements for replacement parking and modify existing provisions regarding ADUs in multi-family properties, including conversion of existing space, and the number of allowable ADUs (See discussion below). AB 2533 AB 2533 was signed into law in September 2024 and was effective on January 1, 2025. The bill addresses legalization of unpermitted ADUs and JADUs that were constructed before January 1, 2020. (See discussion below). DISCUSSION: SB 1211: Summary of Requirements and Proposed PMC Amendments Replacement Parking: Existing Government Code section 66314(d)(11) prohibits local agencies from requiring off-street parking spaces to be replaced when a garage, carport or covered parking structure is demolished in conjunction with the construction of, or conversion