Counties would study most affordable housing requirements before applying them

Starting July 1, 2029, a county council must approve a needs study before the county adopts or changes a covered housing requirement. Covered requirements make residential or mixed-use developments provide or fund below-market homes, pay an in-lieu fee, dedicate land, or meet equivalent permit-related obligations. The study must meet this section and section 46-143 and assess financial feasibility and general economic effects on housing production. The rule exempts, among other things, requirements of ten per cent or less, certain public-agency projects, and voluntary commitments. The study approval requirement begins July 1, 2029.

A county may adopt or change a covered requirement for a residential or mixed-use residential project only if it makes written findings and an approved study finds the applicable project types financially feasible. This applies to county requirements for residential or mixed-use residential projects that are not exempt. The written findings must show an essential connection between the requirement and its purpose, and that it is roughly proportional to the development. These requirements are subject to the exemptions listed in the section, including the exemption for requirements of ten per cent or less. These conditions begin July 1, 2029.

A county may not enforce an older covered requirement against certain applications until a qualifying study is completed. This applies to applications deemed complete on or after July 1, 2029, under requirements enacted before that date. Once a study shows the requirements are met, the county may resume enforcement prospectively. The rule covers applications deemed complete on or after July 1, 2029. Enforcement may resume only for applications deemed complete after the study qualifies.

Each county must provide a clear way for applicants to contest how a covered requirement applies or the findings made under this section. Applicants may contest application of the requirement or findings made under this section, including the findings about financial feasibility.