Board directs draft of ADU ordinance to adopt AB 1033, asks staff to add owner-occupancy and first‑time-buyer options

The San Diego County Board of Supervisors on March 3 directed staff to draft a zoning ordinance implementing Assembly Bill 1033, the state law that allows counties to opt in to the separate sale of accessory dwelling units (ADUs) as condominium units, and asked staff to return in roughly 120 days with options to prioritize owner‑occupants and first‑time home buyers.

The board's action follows a staff presentation outlining mandatory state requirements for ADU condominium mapping (including compliance with the Davis-Stirling Act and the Subdivision Map Act), and a public outreach effort that surfaced concerns about parking, utility metering, water/septic approvals and wildfire safety in rural high‑fire areas. Staff said separate sale requires a final building permit, an HOA and any utility determinations by providers.

"State law already provides the baseline, but board members asked us to provide additional legally compliant tools to help first‑time buyers," Supervisor Desmond said. "I tend to agree with the planning commission's unanimous recommendation to implement the ordinance consistent with state law, but I also support coming back with options that help people enter the market."

Why it matters: AB 1033 is opt-in and does not increase the number of ADUs a parcel may have under state law. Proponents say allowing separate sale could expand attainable ownership opportunities in an expensive market; opponents and several community planning groups warned of local impacts including infrastructure strain, parking and wildfire evacuation risk.

Public testimony was split. Housing and development advocates and realtors urged adoption with minimal local restrictions. George Shing of the Pacific Southwest Association of Realtors told supervisors, "PSR supports the implementation of AB 1033 specifically for developments that are four units or less and that have a priority for owner occupancy." Nonprofit housing advocates argued separate sale could be an important path to ownership for renters and younger buyers.

Several supervisors, led by Vice Chair Montgomery‑Stepp, raised a common concern: investors could buy ADUs as condominium units and continue to operate them as rentals rather than put them into owner‑occupancy. Montgomery‑Stepp said she was "trying to find a way ... to avoid" investors buying ADUs and urged staff to examine owner‑occupancy or other safeguards. The board asked staff and county counsel to research legal mechanisms and present multiple legally compliant options.

What the board asked for: staff were directed to draft an ordinance implementing AB 1033 and to include options to promote owner occupation and first‑time buyers, including but not limited to a right of first refusal for tenants or existing co‑owners and a temporary owner‑occupancy period (for example, one year) if legally permissible. Staff requested and the board agreed to a roughly 120‑day timeline to return with a draft for further board consideration.

Next steps: County planning staff will prepare the ordinance text and legal analysis, including utility metering and HOA/condo mapping issues staff noted are required by state law. The proposal will return to the board for additional public hearings and possible adoption.

"We want to get this moving," one supervisor said, while emphasizing the need to balance flexibility for homeowners with protections that increase the likelihood ADU sales actually lead to new owner‑occupants.

This action was procedural; no final ordinance has been adopted. The board's direction sets a 120‑day staff timeline to return with a draft ordinance and legal options.