Montana's Senate Bill 532, introduced on April 29, 2025, aims to streamline the process for homeowners looking to add accessory dwelling units (ADUs) to their properties. This legislation is designed to address the growing demand for affordable housing options in the state, particularly in urban areas where housing shortages are becoming increasingly acute.

The bill allows homeowners to construct ADUs—self-contained living units that include their own cooking, sleeping, and sanitation facilities—without the need for a public hearing or special permits, provided they meet certain zoning regulations. This "by right" approval process is expected to simplify the construction of ADUs, making it easier for families to create additional living spaces for relatives, renters, or guests. The legislation also clarifies that counties retain the authority to adopt more permissive regulations regarding ADUs, potentially leading to even greater flexibility in local housing policies.

Supporters of SB 532 argue that the bill is a crucial step toward alleviating housing shortages and providing more affordable living options for Montanans. They emphasize that allowing ADUs can help families generate additional income through rentals while also increasing the overall housing supply in communities. However, some opponents express concerns about potential overdevelopment and the impact on neighborhood character, fearing that rapid increases in density could strain local infrastructure and resources.

The economic implications of SB 532 are significant. By facilitating the construction of ADUs, the bill could help stabilize housing costs in a market where prices have been rising sharply. Additionally, it may encourage investment in residential properties, benefiting local economies through increased construction activity and property tax revenues.

As the bill moves through the legislative process, its future remains uncertain. Advocates are hopeful that it will pass, citing the urgent need for innovative housing solutions, while critics continue to voice their concerns about the potential consequences of increased density in residential areas. The outcome of SB 532 could set a precedent for how Montana addresses housing challenges in the years to come, making it a pivotal piece of legislation for communities across the state.