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Lacey staff to return ordinance updating local code to meet state middle‑housing and ADU mandates

Lacey City Council · June 24, 2026
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Summary

City staff told the council that state law requires Lacey to allow middle‑housing types and expand accessory dwelling units; staff proposed a consolidated infill residential development chapter and said they will return with an ordinance for adoption after additional outreach and planning commission review.

Lacey housing staff told the City Council at a Jan. 23 work session that recent state laws will force changes to local zoning to allow more middle‑housing forms and larger, additional accessory dwelling units.

"The main goal, here of House Bill 1110, is really to provide more housing options in areas that have traditionally been limited to one housing type," Jennifer Adams, housing coordinator, said, summarizing the state mandate and staff’s proposed code approach.

The state requires jurisdictions planning under the Growth Management Act to adopt at least six of nine middle‑housing types; staff’s proposal would allow duplexes, triplexes, fourplexes, townhomes, cottage housing and stacked flats on lots zoned primarily for single‑family residences. Adams said the state also shifted density calculations from units per acre to units per lot and requires that cities allow a minimum of two ADUs per qualifying lot and a 1,000‑square‑foot minimum ADU size.

Staff framed the local response as a single consolidated chapter—chapter 16.52 in the Lacey Municipal Code—offering an "infill residential development" pathway that operates alongside existing zoning rather than replacing it. Under the draft approach, lots could host a mix of housing types (for example, a duplex plus an ADU), with up to four units by right if one of those units meets state affordability thresholds and an allowance for up to six units on a lot if all meet affordability requirements.

Ryan Andrews, community planning manager, said staff worked through planning‑commission review and community outreach and emphasized that the proposed language keeps many existing design review standards but translates intent language into measurable, objective standards required by state law.

Adams told the council the deadline on some elements had been accelerated by state action: "We have been under state preemption since Jan. 1," she said, meaning state middle‑housing and ADU rules apply until Lacey adopts its local ordinance.

Council members asked several technical questions about how units‑per‑lot would be calculated, whether homeowners or small developers could use the new pathway, and how ADU metering and addressing would be handled. Staff said existing utility‑metering rules remain in place and that separate meters are permitted but not mandated.

Deputy Mayor (presiding) and council members expressed general comfort with staff returning the draft code as a formal ordinance at a regular council meeting. Staff said they will continue outreach and aim to present the ordinance and associated findings to the council after further planning commission review.

Next steps: staff will refine the code language, continue outreach, and schedule ordinance consideration for a future regular council meeting.