ALEC Policy Champion: Montana Senator Greg Hertz Reduces Restrictions on Housing Options

We are proud to recognize ALEC member Montana Senator Greg Hertz as our latest Policy Champion for his efforts to streamline regulations affecting housing construction and affordability in his state.

Signed into law by Governor Greg Gianforte last year, Senator Hertz’s bill revises local zoning regulations to make it easier to build accessory dwelling units (ADUs) across the state. These units can take many shapes and are generally described as additional, smaller, separated housing spaces like above-garage-apartments and mother-in-law suites. Officially, an ADU is defined as “a self-contained living unit on the same parcel as a single-family dwelling of greater square footage that includes its own cooking, sleeping, and sanitation facilities and complies with or is otherwise exempt from any applicable building code, fire code, and public health and safety regulations.”

Senator Hertz’s bill authorizes the construction of at least one ADU on lots zoned for single-family homes. It also eliminates other requirements that can make ADU construction ineffective, such as parking and owner-occupancy requirements. These reforms along with those found in a slew of additional housing reform bills received support from Governor Greg Gianforte’s Housing Task Force, which was established to identify and champion affordable housing policies.

Montana SB 538 shares similarities with one of ALEC’s Essential Policy Solutions for 2024: Accessory Dwelling Units Act. This model policy authorizes the construction of ADUs and JADUs (“junior accessory dwelling units”) on residential lots and those zoned for single-family dwellings. Additional sections outline building requirements, permitting processes and deadlines, and which types of local regulations should be preempted.

Montana is not alone in passing ADU reforms, as thirteen other states have enacted legislation loosening ADU construction restrictions. Of those, California serves as a noteworthy example of how passing ADU reform enables housing construction. Since passing significant ADU reforms in 2019, California saw a 15,334% increase in new ADU permits, mostly for low and middle-income housing units. Additionally, as of 2022, 19% of all housing construction in California consists of ADUs. In Los Angeles, the number of ADUs increased dramatically, with an 8,850% increase from 2016 to 2022.

With some important housing reform victories already achieved, Senator Hertz emphasized the importance of ongoing efforts, stating, “I look forward to our Housing Task Force continuing to develop more commonsense solutions to address one of the most pressing issues facing hardworking Montanans.” Congratulations to ALEC member Montana Senator Greg Hertz for leading the charge in reducing ADU restrictions.