What Cotati's ADU code changes mean for homeowners: owner-occupancy, fees and timelines

City staff told the Planning Commission that many of the state law changes are clarifying measures that will change local permit checks and some homeowner options. "Currently, the state law does allow the sale of ADUs," staff said, and staff clarified JADUs remain ineligible for separate sale because they are integrated into a primary unit.

Staff highlighted several owner- and applicant-facing changes: JADUs are defined as units of 500 square feet or less; AB 1154 removes a broad owner-occupancy requirement except where the JADU shares bathroom facilities with the primary unit; the state now clarifies permit-completeness and approval timelines should be addressed within 15 days, and jurisdictions must submit adopted code updates to HCD within 60 days or risk the ordinance being null and void. Staff also said development impact fees generally apply only to units of 750 square feet or more, and units of 500 square feet or less are explicitly exempt from school fees under the recent statutes.

Commissioners asked about second-story ADUs, height vs. stories and how the city has used ADUs so far; staff said roughly five ADUs were permitted in the previous year and the changes are mostly to ensure the local code reflects state definitions and timelines. The commission recommended the ordinance be forwarded to the City Council; if the council adopts it, the city will need to update administrative processes to meet the new 15-day review target and prepare to submit the adopted language to HCD.