California legislature just passed the bill SB 1117, which restructures how fees are paid for Accessory Dwelling Units (ADUs).
The current law exempts ADUs under 750 square feet from local impact fees. However, projects over 750 square feet are required to pay the full impact fee per square foot.
The bill proposes a marginal fee structure instead.
AIA California supports this measure, citing that it would increase demand for design services and improve project feasibility.
SB 1117 currently awaits Governor Newsom’s signature.
“Homeowners and builders across California have made accessory dwelling units a success story, but many cities continue to charge excessive fees,” said Brian Hanlon, CEO of California YIMBY. “By eliminating an arbitrary fee cliff, the legislature will help create more family-sized ADUs.”
