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Lake Oswego granted exemption from SB 1537 mandatory adjustments but conditions tied to 90% approval rate concern council
Summary
Staff reviewed the city’s approved exemption from the state’s SB 1537 mandatory adjustments program and highlighted three areas where the state required limited mandatory adjustment authority: special street setbacks, building height when charter conflicts occur, and maximum density.
At a Sept. 16 study session, City of Lake Oswego planning staff briefed the City Council on the city’s approved exemption from the state’s SB 1537 mandatory adjustment program and the conditions the Department of Land Conservation and Development attached to that exemption.
Background SB 1537 created a “mandatory adjustments” program that allows eligible housing projects meeting specific criteria (including achieving a minimum units‑per‑acre threshold and producing a net increase in housing) to request up to 10 adjustments to certain commonly cited design and dimensional standards. The law also established an exemption process for cities that already provide robust local adjustment pathways; Lake Oswego applied for and received an exemption July 2025, but the approval included conditions and reporting requirements.
Conditions and performance requirement Staff explained that the city’s exemption is conditional. To keep the exemption the city must maintain…
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