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Housing Choices (House Bill 2001)

Picture of a triplex in Salem, Oregon.House Bill 2001 aims to provide Oregonians with more housing choices, especially housing choices more people can afford. The law, passed by the 2019 Oregon Legislature, expands the ability of property owners to build certain traditional housing types, like duplexes, in residential zones. These housing types already exist in most cities, but were outlawed for decades in many neighborhoods. These limitations contribute to increased housing costs and fewer choices. House Bill 2001 will require updates to local laws that currently limit the types of housing people can build.

More Diverse, Affordable Choices

People need a variety of housing choices. Today, too many Oregonians are paying too much for the housing they have, and are limited to renting or buying detached single-unit homes. At the same time, the composition of Oregon households is shifting; more than a quarter of households today are a single person living alone.

Throughout our lives, we experience many different housing needs. Think of a young adult who needs an affordable place to live or a retired person with a limited income. By creating more housing choice in our cities, these households have more options to remain their neighborhoods and be near grandchildren, friends, caregivers, and services.

Traditional Housing Types Allowed in Most Neighborhoods

Most cities in Oregon already allow duplexes in certain circumstances. But House Bill 2001 requires Oregon's medium-sized cities to allow duplexes on each lot or parcel zoned for residential use that allows for the development of single-family homes by June 30, 2021.

Additionally, by June 30, 2022, Oregon's large cities (with population over 25,000) and cities in the Portland Metro region, must allow duplexes, triplexes, quadplexes, cottage clusters, and townhouses in residential areas. These housing types can be more affordable and meet the housing needs of many younger people, older people, and people who work hard but can't afford a large, detached house of their own.

Cities Can Set Siting and Design Requirements

Cities will continue to be able to set reasonable siting and design requirements on all houses built in residential zones. They are also able to make sure that new housing is built with adequate infrastructure such as water, sewer, and roads. Cities are required to provide supporting infrastructure and the law directs DLCD to help cities figure out how to address their infrastructure gaps.

Transition Likely Gradual

While the law allows more housing types, DLCD expects the transformation of housing choices to be gradual. Cities have allowed some of these housing types in certain areas for decades. Not many have been built. Local knowledge of how to build these housing types will grow over time. The building of them will depend on local housing markets, likely led by small-scale, local builders and contractors.

Rulemaking

Throughout 2020, DLCD led three rulemaking efforts to help cities comply with the requirements of House Bill 2001. This work included the creation of model codes, establishing compliance standards, and a process and criteria for the evaluation of city plans to address infrastructure needs. As of December 31, 2020, all three rulemaking efforts have concluded. The resulting Oregon Administrative Rules are effective and can be viewed on the Secretary of State web page. See the sections below for more detailed information on each rulemaking effort.

For more information on the rulemaking process including meeting materials and summaries, please visit the Housing Rulemaking web page.

Middle Housing In Medium Cities

On July 23, 2020 the Land Conservation and Development Commission (LCDC) adopted a model housing code to guide the development of duplexes in medium-sized cities (Non-Portland Metro Cities with 10,000 – 25,000 population) as part of House Bill 2001. The Medium Cities Middle Housing Model Code is provided in multiple formats for easier use by local governments: 

LCDC also adopted a set of Oregon Administrative Rules that outlined the minimum standards medium-sized cities must apply to duplexes in order to comply with House Bill 2001. These “minimum compliance standards" can be viewed on the Oregon Secretary of State website (OAR 660-046). Medium-sized Cities may choose to regulate duplexes using the Medium Cities Middle Housing Model Code, the minimum compliance standards, or a combination of the two. Medium Cities must comply with House Bill 2001 and OAR 660-046 by June 30, 2021.

Middle Housing In Large Cities

On December 9, 2020 the LCDC adopted a model housing code to guide the development of all middle housing types in large-sized cities (Non-Portland Metro Cities over 25,000 population, Portland Metro Cities over 1,000 population, and Portland Metro Counties) as part of House Bill 2001. The Large Cities Middle Housing Model Code is provided in multiple formats for easier use by local governments:

LCDC also adopted a set of Oregon Administrative Rules that outlined the minimum standards large-sized cities must apply to middle housing in order to comply with House Bill 2001. These “minimum compliance standards" can be viewed on the Oregon Secretary of State website (OAR 660-046-0200). Large-sized Cities may choose to regulate middle housing using the Large Cities Middle Housing Model Code, the minimum compliance standards, or a combination of the two. Large Cities must comply with House Bill 2001 and OAR 660-046 by June 30, 2022.

Infrastructure-Based Time Extension Request (IBTER)

On August 5, 2020 LCDC adopted administrative rules (OAR 660-046-0300) to allow cities affected by House Bill 2001 to apply for an Infrastructure-Based Time Extension to delay enactment of middle housing requirements in areas with deficient water, sewer, storm drainage, or transportation facilities. Cities interested in pursuing an Infrastructure-Based Time Extension must submit an application to DLCD for review. The application should address the timeline for remedying the deficient infrastructure, the city's plans to allow middle housing in other areas of the city, and how the application for an extension may impact opportunities for people who experience a disproportionate housing need.

The deadline for cities to submit an IBTER to DLCD is December 31, 2020 for Medium Cities, and June 30, 2021 for Large Cities. Each IBTER application received by the department is subject to a 21-day public comment period. Applications received by the department, including the review status, are listed below.

If you have questions about the IBTER process or would like to provide public comments on the applications, please email ibter.dlcd@dlcd.oregon.gov.

Medium City applications received by the department are listed below:

  • City of Newberg: IBTER Application

The application for the City of Newberg was approved. Questions or comments pertaining to this application or any other IBTER related issue should be directed to ibter.dlcd@dlcd.oregon.gov

Large City applications received by the department are listed below:

  • City of Forest Grove: IBTER Application

The public comment period for the City of Forest Grove application ended on November 15, 2021. Comments pertaining to this application or any other IBTER related issue should be emailed to ibter.dlcd@dlcd.oregon.gov

Planning Assistance to Local Governments

House Bill 2001 provided $3.5 million to DLCD for planning assistance to local governments to:

  • Help local governments with the development of regulations to allow duplexes and other housing specified in the bill.
  • Help local governments with the development of plans to improve water, sewer, storm drainage and transportation services in areas where duplexes and other traditional housing would not be feasible due to service constraints.

Projects are currently underway for jurisdictions that were approved for funding through June 30, 2021. Visit the Grant Opportunities page for more information.

Stay Connected – Provide Comments

Please continue to revisit this page frequently, as information will be updated as local government's progress towards implementation, and compliance with, House Bill 2001. Questions or comments about House Bill 2001 implementation can be emailed to DLCD at housing.dlcd@dlcd.oregon.gov.

If you would like to receive email updates on rulemaking on House Bill 2001, sign up for the Housing Rulemaking GovDelivery list.

If you would like to receive email updates on general DLCD housing work, sign up to the Housing GovDelivery list.

Local planners should contact their DLCD Regional Representative for more information.

More Resources

Contacts

Ethan Stuckmayer
Senior Planner of Housing Programs
ethan.stuckmayer@dlcd.oregon.gov
Phone: 503-302-0937