Take action to support an important bill that will make it easier to build accessory dwelling units (ADUs) like backyard cottages and accessory apartments in Montgomery County.
Bill 41-26 would waive fees for people who set rent for ADUs at affordable rates, and eliminate the owner-occupancy requirement to obtain an ADU rental license—treating these smaller homes more comparably to other types of rental homes that don’t face the same restrictions.
What is an accessory dwelling unit (ADU)?
ADUs are a versatile housing option that can take many different forms—from a backyard tiny home to a basement or garage apartment—and serve the needs of people of diverse ages, incomes, and abilities. They provide new homes in existing neighborhoods where smaller, affordable homes can be hard to find.
What does Bill 41-26 do?
This bill provides incentives to those renting out ADUs affordably by waiving a number of fees if they commit to meeting certain affordability requirements for at least 10 years.
It also addresses a key barrier to ADU construction long identified by those seeking to build ADUs in Montgomery County: the owner-occupancy requirement. This requires the owner of the primary home to be currently living in it as their primary residence in order to obtain a rental license for an ADU.
Organizations from Pew to Montgomery Planning to AARP have recognized owner-occupancy requirements as a significant barrier to ADU construction and recommend removing them.
The owner-occupancy restriction can reduce available financing options, complicate future decisions about moving or selling a home, and create instability and uncertainty for ADU tenants.
Research published just this week by Pew found that similar jurisdictions across the country have seen increased ADU production after removing restrictive provisions, including owner-occupancy requirements.
Speak up — contact the Council today!
CSG and Montgomery for All strongly support this bill, and we thank lead sponsors Council President Natali Fani-González and Councilmember Andrew Friedson for introducing it.
Please send an email to your Councilmembers today encouraging them to support Bill 41-26!