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Paso Robles reports surge in permits and new preapproved ADU plans to speed housing

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Summary

Community Development reported 1,600 permits issued in 2024 (5% increase), 310 housing units permitted (35% increase) and nearly 7,000 inspections. The city is adopting preapproved accessory-dwelling-unit (ADU) plans to streamline permitting.

City planning staff told the council on Feb. 4 that building activity rose in 2024 and the city is moving to simplify accessory dwelling unit (ADU) approvals with preapproved stock plans.

"In 2024, we issued a total of 1,600 permits... That was a 5% increase over the year before," Community Development Director Warren Frates reported. He said permit inspections increased about 29% (almost 7,000 inspections) and the city permitted 310 housing units in 2024, a 35% increase. Frates said several major projects are driving the activity, including the Olson South Chandler specific plan, Beachwood specific plan, Rolling Hills Apartments (30 units) and Riverwalk Terrace (79 senior units).

Frates described state ADU rules and the city's effort to adopt three preapproved ADU designs posted on the county website. He said the preapproved plans will require a city checklist and rooftop solar (state requirement) and may require fire sprinklers depending on the main unit. "Basically, you can download these plans, prepare these 3 items, and then you'll be ready for construction permits," Frates said.

Council and public questions raised utility-capacity and parking concerns. Frates said when ADU counts were low (20-30 per year) there was little impact, but larger clusters required system redesigns: "When we were doing about 20 per year... that's not going to be an impact. But last year when we did... 30, the Olsen Ranch project had to redesign their sewer system to accommodate those ADUs." He also clarified that units delivered as trailers or RVs generally do not qualify as ADUs unless they meet building-code definitions for modular units.

Frates said ADUs must be rental units under current state law and that the state has waived most parking requirements to encourage ADU construction. The council asked for a county-provided income/household-size table to translate qualifying-income thresholds into dollar figures for extremely low, very low, low and moderate categories; Frates said staff would provide that.

Ending

Frates told council the city has built about 515 of its regional housing need allocation (RHNA) units to date and expects Olson Ranch and other projects to help meet remaining numbers through the 2028 reporting period. The city is also partnering with the Paso Robles Housing Authority on affordable projects (Sunrise Villas and Riverwalk Terrace).