Duvall staff outline large rezoning and affordable-housing code changes after Commerce appeal

Loretta Grondell of Duvall Public Works presented the city's work program to respond to a Department of Commerce appeal of the 2024 comprehensive plan adoption, saying Commerce challenged the city on two points: insufficient demonstration of housing capacity and failure to remove code barriers to affordable housing.

Grondell said staff organized the work into three phases: updating the land-capacity analysis (to show residential and employment capacity), adopting zoning-code amendments and incentives to support affordable housing, and then updating comprehensive-plan language and tables. "We were appealed on 2 things," Grondell said, "1 is that we didn't show our work in housing capacity for affordable housing and middle housing targets, and 2, we didn't show that we had room for the King County jobs growth." She described consultant support from Burke and BERC for capacity analysis and peer review.

Staff previewed broad rezoning proposals and new code tools. "When you see the map, it rezones. 60% of the city," Grondell said, and staff described upzones across multiple residential categories (examples given in the presentation: R-4 to R-6, R-6 to R-8, R-8 to R-12, R-12 to R-20, and mixed-use adjustments). The package also includes a new affordable-housing code section (labeled STEP in staff discussion) that would require on-site affordable units for larger multifamily subdivisions and offer incentives (height bonuses, additional market-rate units, multifamily tax-exempt options) for projects providing more than the required share. Staff said some provisions will require detailed tables showing exact percentages and incentives.

Grondell told commissioners the city must also show employment capacity and described a reconciliation process with King County to align methodology and targets. She said the zoning work will go to staff review in April and to the planning commission at its May 13 meeting before public hearings and eventual council adoption. Staff emphasized a large public-notice and engagement program to alert property owners who will be rezoned.

Grondell framed the work as urgent and extensive: staff must finish zoning and code updates quickly to satisfy Commerce's requirements and to avoid targeted enforcement. "We're their guinea pig, I feel like," she said, describing Duvall's collaborative approach with the Department of Commerce.

Commissioners asked clarifying questions about employment modeling, transportation analysis, and unit-lot subdivisions; staff said additional items (design standards, legal-lot code updates, sign code) are scheduled for different phases. The commission did not vote on zoning or comprehensive-plan changes at this meeting; staff said multiple public hearings and outreach events will precede any final action.