Consideration and Adoption of Resolution No. 2024-39 and Ordinance No. 2024-24: A Resolution of the City Council of the City of Flagstaff, Coconino County, Arizona, declaring as a public record that certain document filed with the City Clerk entitled "PZ-24-00134 - Accessory Dwelling Units" and an Ordinance of the City Council of the City of Flagstaff, Coconino County, Arizona, amending the Flagstaff City Code, Title 10, Flagstaff Zoning Code.
 

City’s request for a Zoning Code Text Amendment to modify Section 10-40.60.030: Accessory Dwelling Units (ADUs) to comply with state legislation including modifications to the permitted number, size, location, parking requirements, and design standards for Accessory Dwelling Units to comply with House Bill 2720.

The Planning and Zoning Commission recommended that the City Council deny the proposed text amendment by a vote of 5-1 at their September 25, 2024, public hearing.  The original motion was to recommend approval but failed due to a tie vote (3-3).  In response, a motion was made to recommend denial with the results noted above.  Commission members' concerns included the removal of parking requirements, architectural compatibility provisions, and no exemptions for historic districts.  In addition, concerns were presented about the equity of homeowners' ability to finance ADU construction without an incentive from the City.
 

There are no anticipated financial impacts affiliated with the proposed Zoning Code Text Amendment.

There are no anticipated policy impacts affiliated with the proposed Zoning Code Text Amendment.

There has not been a previous City Council decision on this ordinance.

The City Council may adopt, modify, or deny the proposed amendment.

The proposed amendment (Attachment 2) includes modification to Zoning Code Chapter 10-40: Specific to Zones, Division 10-40.60: Specific to Uses, Section 10-40.60.030: Accessory Dwelling Units, to include the following:

• To allow one attached and one detached ADU as a permitted use on any lot or parcel that allows a single-family dwelling (SFD).  One additional ADU may be permitted on a lot or parcel greater than one acre when the unit is a restricted affordable dwelling. Currently the Zoning Code only allows one ADU.
• To allow an ADU that is 75% of the gross floor area of the SFD or 1,000 square feet, whichever is less. Currently, the Zoning Code only allows detached ADUs up to 800 square feet on lots or parcels that are 6,000 square feet or greater or up to 1,000 square feet on lots or parcels over an acre.  The amended code will still allow an ADU of 800 square feet, regardless of the size of the home.
• To allow the long-term lease of all units (SFD and ADUs).  The Zoning Code currently allows the long-term lease of all units as an incentive to reduce the use of ADUs as short-term rentals.
• To remove additional parking requirements for ADUs.  The Zoning Code currently requires one additional parking space for an ADU.
• To remove architectural compatibility requirements for ADUs.  The Zoning Code currently includes architectural compatibility requirements as well as specific findings that include compatibility standards. 
• To remove restrictions for ADUs that are more restrictive than those for SFDs in the same zoning district regarding height, setbacks, lot size or coverage, or building frontage. 
• To remove the requirement for a restrictive covenant concerning the rental of property with an ADU.  The Zoning Code currently requires a restrictive covenant that states the property owner shall occupy either the primary residence of the ADU or if the property owner rents or leases a property with both a primary residence and an ADU to a third party, then neither the primary residence nor the ADU shall be sub-leased.

A Zoning Code Text Amendment shall be evaluated based on the following findings:

A.    Finding #1:  The proposed amendment is consistent with and conforms to the objectives and policies of the General Plan and any applicable specific plan;
Flagstaff Regional Plan 2030

• Policy NH.3.2. Promote accessory dwelling units, where appropriate.

B.    Finding #2:  The proposed amendment will not be detrimental to the public interest, health, safety, convenience, or welfare of the City;
The amendment provisions are not anticipated to be detrimental to the public interest, health, safety, convenience, or welfare of the City.  The proposed provisions are intended to comply with the requirements of HB 2720.

C.    Finding #3:  The proposed amendment is internally consistent with other applicable provisions of this Zoning Code.
The amendment is internally consistent, utilizes the existing format, and does not conflict with other Zoning Code provisions. It maintains the Zoning Code’s purpose as a comprehensive contemporary set of land uses and requirements that are straightforward, usable, and easily understood.

• Achieve a well-maintained community through comprehensive & equitable code compliance, & development is compatible with community values.

• Policy NH.3.2. Promote accessory dwelling units, where appropriate.

• Create housing options for households at all income levels and family sizes occupied by local residents.

• Continue to evaluate and amend the current Accessory Dwelling Unit (ADU) zoning code standards with the goal of increasing supply.