2023 California Accessory Dwelling Unit Legislation — Info for Local Staff, Commissioners, and Elected Officials
On October 11, 2023, the Governor of California signed the following accessory dwelling unit legislation:
AB671 (Ward) — Community Land Trust — Homeownership ADUs and Junior ADUs — Mandatory.
This bill is designed to create more low-income homeownership opportunities.
AB 671 allows community land trusts (CLT) to build ADUs and Junior ADUs and then rent or sell the house, ADU, and JADU to separate households.
Previous legislation in 2019 (AB589) and 2021 (AB345) allowed CLT ADUs to be sold separately, but did not specifically allow separate sale by a CLT for JADUs. AB671 makes it so that both can be sold separately.
Additionally, AB671 allows CalHOME state funds to be used for CLT developments that sell houses, ADUs, and JADUs to separate households.
Cities will need to amend their zoning ordinance to allow separate sale of JADUs if community land trust.
AB671 Fact Sheet: https://www.cacltnetwork.org/wp-content/uploads/2023/03/AB-671-CalHome-ADUs-Fact-Sheet.pdf
AB1033 (Ting) —Condo ADUs — Optional.
This bill is designed to create middle-income homeownership opportunities by allowing ADU condos.
AB 1033 allows cities and counties to allow ADUs to be sold separately to anyone (even if the seller is not a Community Land Trust).
Previously, while an ADU cannot be sold as a condo, some homeowners have sold ADUs separately by creating a Tenancy in Common, which requires more paperwork and is harder to finance than a condo. In a TIC, each owner owns a share in an entity that owns both the house and the ADU.
Note that a condo ADU does not have to be attached to the house, in fact, in places that allow them, detached condo ADUs are more common.
Cities now have the choice of amending their zoning ordinance to remove the restriction on separate sale of an ADU and allow ADU condos. Since ADUs are much smaller than a regular house, this would help create more starter homes for sale.
Example from Seattle
Seattle has allowed condo ADUs, and this year, Washington State required local governments to allow them statewide as part of House Bill 1337.
Example of the process in Seattle: https://www.24-doors.com/post/the-nuances-of-building-an-adu-dadu-in-seattle
Video on how to do a condo ADU in Seattle: https://www.youtube.com/watch?v=5TXLk13thW4&feature=youtu.be
Considerations: Existing ADU Tenants
Most existing ADUs are tenant occupied. While tenants are already at risk of an owner move in eviction if an owner wants to move in a family member, allowing an ADU to be sold to anyone could increase this risk. Cities can consider restrictions for tenant-occupied ADUs and/or a Tenant Opportunity to Purchase Act (TOPA) program to give tenants time to put together financing for an offer if the ADU they live in is being sold.
With ADU law, the state often starts with a law that allows cities to do something, then follows up in a couple years with a law that requires them to do it. Cities with tenant protection ordinances should start their update process now.
AB976 (Ting) — Extends Rental ADU law
Makes the status quo permanent
AB 976 extends the state law that cities cannot require that a house be owner-occupied for an ADU to be added. In 2019, AB881 and SB13 created this rule, with a sunset date of January 1, 2025. AB976 makes this rule permanent, keeping the status quo.
AB1332 (Juan Carrillo) — Preapproved ADU Program
This bill is designed to reduce the time and cost of building ADUs, through standard plans.
AB 1332 requires cities & counties to have a program for pre-approved ADU plans. When someone proposes to build an ADU using these plans, city would need to approve within 30 days.
The program must comply with all of the following:
a) The local agency must accept ADU plan submissions for pre-approval. Preapproved plans are created by architects and developers. The city does not need to create any plans themselves.
b) The local agency must approve or deny the application for pre-approval
pursuant to existing ADU law. In reviewing and approving a submission for
pre-approval, the local agency may charge the applicant the same permitting fees that the local agency would charge an applicant seeking approval of an ADU of the same size; and
c) The local agency must post pre-approved ADU plans to their internet
website. The posting must include the contact information provided by the
applicant.
The program needs to be ready by Jan 1, 2025.
Many local governments already have pre-approved ADU programs. Here are some examples, covering a variety of locations, including, small town, suburb, urban, and unincorporated:
Northern California
Citrus Heights: http://www.citrusheights.net/1108/Permit-Ready-ADU-Program
Concord: https://www.cityofconcord.org/1075/Pre-Approved-ADU-Plans
Humboldt County: https://humboldtgov.org/3318/ADU-Approved-Standard-Plans
Oakland: https://www.oaklandca.gov/services/apply-for-adu-with-pre-approved-plans
Paradise: https://www.townofparadise.com/planning/page/pre-approved-adu-plans
Sacramento: https://adu.cityofsacramento.org/permit-ready-plans
San Benito County: https://www.cosb.us/departments/resource-management-agency/building-and-code-enforcement-division/pre-approved-county-standard-adu-building-plans
Winters: https://www.cityofwinters.org/pre-approved-adu-program/
Central Coast
Monterey County: https://www.co.monterey.ca.us/government/departments-a-h/housing-community-development/permit-center/accessory-dwelling-unit-plans-and-info
Morro Bay: https://www.morrobayca.gov/1056/Pre-Approved-ADU-Program
Central Valley
Fresno: https://www.fresno.gov/planning/adu-program/#/pre-approved-plans
Merced: https://www.cityofmerced.org/departments/development-services/pre-approved-adu-program
Stockton: http://stocktonca.gov/government/departments/permitCenter/buildAdu.html
Southern California
Desert Hot Springs: https://www.cityofdhs.org/accessory-dwelling-units-adus/
Long Beach: https://longbeach.gov/lbcd/building/lbpaadu/
Los Angeles: https://www.ladbs.org/adu/standard-plan-program/approved-standard-plans
Newport Beach: https://www.newportbeachadu.org/adu-plans
San Diego County: https://www.sandiegocounty.gov/content/sdc/pds/bldg/adu_plans.html
Westlake Village: https://www.wlv.org/450/Accessory-Dwelling-Units