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an ADU. ADUs are allowed on single- family <br />lots of 5,000 or more feet, and must meet <br />setback, height, and parking requirements. <br />Two -story ADUs that are located within a rear <br />yard setback or any ADU that does not meet <br />applicable zoning standards require a public <br />hearing and an administrative use permit. <br />Next, the city had architects draft de- <br />signs of accessory units that met both size <br />(500 square feet) and style requirements <br />that home owners could follow to speed <br />the review and approval process. Then <br />the city drafted an ADU manual describing <br />how home owners could work their way <br />through design, review, and city approval to <br />construction. The city also held five public <br />workshops to explain the ADU process. <br />In 2003 a total of 35 accessory dwelling <br />units were built in Santa Cruz, up from just <br />eight in 2001. In 2004, the city added a <br />progressive Fee Reduction /Waiver Program <br />for property owners who build an ADU for <br />a household whose income level is at or <br />below 6o or 5o percent of the Area Median <br />Income (AMI). Fees may vary by unit size <br />and other design components. Typical city <br />development fees for a new one - bedroom, <br />Soo- square -foot ADU might be about <br />$9,000. For providing rental housing to <br />low - income households at 6o percent of <br />the AMI, a home owner would save about <br />$6,000 in city development fees. For very <br />low - income housing at 5o percent of the <br />AMI, the full $9,000 would be saved. <br />The Santa Cruz Community Credit Union <br />offered loans of up to $1oo,000 at 4.5 % <br />interest for Santa Cruz home owners looking <br />to build an affordable ADU. To qualify, home <br />owners had to sign a covenant stating that <br />the ADU would be rented at a price afford- <br />able to low- to moderate- income residents. <br />In 2004 the city received the Policies <br />and Regulations Smart Growth Achievement <br />Award from the U.S. Environmental Protection <br />Agency. Since 2003, Santa Cruz has added <br />more than 170 accessory dwelling units. <br />CONCLUSION <br />The accessory housing concept is an old idea, <br />but has seen renewed interest over the past <br />3o years and especially since the rise in real <br />estate prices in the late 199os. Local govern- <br />ments have adopted accessory dwelling <br />ordinances to encourage housing for elderly <br />relatives and rental opportunities for young <br />adults, including students. A local govern- <br />ment can identify accessory housing as an <br />objective in the comprehensive plan and <br />provide for it in the local zoning ordinance. <br />Portland and Santa Cruz have created <br />successful accessory dwelling unit programs <br />that seek to streamline the development pro- <br />cess yet maintain good design that fits in with <br />the neighborhood. Both cities have offered <br />financial incentives. Portland has temporarily <br />waived the system development charges on <br />new accessory dwelling units, and Santa Cruz <br />has offered low -cost financing. <br />Eleven cities in Washington, including <br />Spokane, have adopted cottage ordinances. <br />Spokane's experience shows that site <br />design is also important, not just zon- <br />ing. In effect, a unified development code <br />that combines zoning and land develop- <br />ment regulations would help landowners <br />understand what they have to do to create <br />an ADU as well as streamline the approval <br />process. Opposition from neighbors is to <br />be expected, especially if the city does not <br />undertake an educational effort. Even then, <br />accessory units can make neighbors feel <br />encroached upon as well as raise concerns <br />about impacts on property values. <br />With the U.S. population expected <br />to add more than 100 million people over <br />the next 40 years, accessory housing can <br />play a small, but significant role in offering <br />affordable housing and walkable, compact <br />development that helps to revitalize cities. <br />RESOURCES BOX <br />Resources on Accessory Housing <br />Georgia Department of Community Affairs <br />"Accessory Housing Units." www.dca. state. ga. us /intra_nonpub /Toolkit /Guides <br />/AcsryHsngUnts.pdf <br />Portland (Oregon) Bureau of Development Services, City of <br />"Accessory Dwelling Units (ADUs)." <br />www.portlandonline.com /bds /index.cfm ?c =36676 <br />www.portlandonline.com /bds /index.cfm ? &a =53301 <br />Spokane (Washington), City of <br />2012. Municipal Code. Section 17C.11o.350: Cottage Housing. <br />www.spokanecity.org /services/ documents /smc / ?Section= 17C.11o.350 <br />Santa Cruz (California), City of <br />"Accessory Dwelling Unit Development Program" <br />www.cityofsantacruz.com/index.aspx?page=n5o <br />www. huduser. org /rbc /newsletter /vol6iss2more.htm l <br />Washington Appeals Court, State of <br />2009. William Davis et al. v. City of Spokane and Konstantin Vasilenko, No. 29204-5-111. <br />http: / /statecasefiles.j ustia.com/ documents /washington /court -of- appeals- division -ii i <br />/292o45.unp.doc.pdf?ts= 1323968271 <br />Cover image: ©iStockphoto.com /otisabi <br />VOL. 29, NO. 7 <br />Zoning Practice is a monthly publication of the American Planning Association. Subscriptions are <br />available for $95 (U.S.) and $120 (foreign). W. Paul Farmer, FAICP, Chief Executive Officer; William R. <br />Klein, AICP, Director of Research <br />Zoning Practice (ISSN 1548 -0135) is produced at APA. 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