Council, planning commission review HB1337 ADU code amendments: parking, lot coverage and impact fees

City staff walked the joint body through proposed ADU code amendments prepared to align local regulations with HB1337 and state guidance. Key provisions in the draft packet included: (1) when two accessory dwelling units (ADUs) are proposed on a single-family lot, the single-family unit would require only one off-street parking space regardless of square footage; (2) incremental lot-coverage increases tied to each ADU (for example, a first ADU increases allowable lot coverage by 5% and a second ADU by another 5%); (3) clarifying building-height language and peak caps; and (4) impact-fee language to address how permit and utility fees apply to ADU development.

Staff noted the state's definitions and legal requirements influence local code language; one staffer read the RCW definition of "major transit stop," and the group discussed whether Leavenworth currently meets that definition. On parking, staff said their intent was to provide flexibility for lots adding two ADUs and to remove parking as a barrier to ADU construction. One council member asked whether ADUs or deed-restricted ADUs could be exempted from a housing impact fee; staff replied that deed restrictions could be a basis for exemption but would increase enforcement and title-check workload.

Council and commissioners also discussed standards for ADU inclusion in B&B review and whether ADUs should be treated differently for permit fees. Staff agreed to clarify definitions, attach the state-required definitions to local code sections, and return with refined language and a list of impact fees and exemptions to be reflected in code.