A new Oregon law aims to speed housing construction by reducing local authority to scrutinize aesthetic details in applications and setting a “shot clock” for some other development decisions.
Gov. Tina Kotek signed Senate Bill 974 into law this week after it passed with bipartisan support in both chambers. It will take effect at the end of September, with some provisions going into effect in July 2026.
The bill, sponsored by Sen. Khanh Pham, D-Portland, and Sen. Dick Anderson, R-Lincoln City, represents a play by state lawmakers to spur local governments to action as Kotek chases ambitious homebuilding goals that are meant to contain housing costs.
The League of Oregon Cities took a neutral stance on the bill, while the Association of Oregon Counties supported it.
The cities’ league initially opposed the bill but shifted to neutral, said lobbyist Alexandra Ring, because of amendments that extended what had been “a very short timeline that was not realistic.”
The law sets a 120-day deadline for local officials to review final engineering plans, which
show where infrastructure
will go on a developable site. There is currently no deadline.
“The final bill was changed to align the engineering review timeline with the existing land-use review timeline, which is 120 days, with extension by mutual agreement for more complicated projects,” Ring said by email.
And under the law, local officials cannot impose solely aesthetic design standards — including garage door colors, roof decorations and window trims or shutters — on many types of new housing.
It maintains design requirements related to health and safety, building height and other common non-aesthetic standards. The law generally applies to subdivisions of 20 or more homes, not apartment buildings.
“Design review can seem aesthetic,” Ring said, “but many aspects actually have important environmental and fire, life and safety functions.”
Rep. Cyrus Javadi, R-Tillamook, said on the House floor that some view the bill as chipping away at local control.
“But if local control means you can stall housing for two years because you don’t like a window grid pattern, then maybe local control needs to be reined in,” he said.
Javadi and others stressed the need to get housing approvals moving.
“We’ve got a housing crisis, colleagues,” Javadi said, “and we’re treating permits like they’re fine wine that needs to age before anyone can live indoors.”
Rep. Virgle Osborne, R-Roseburg, raised the issue of Oregon’s
heretofore failure to build anywhere close to Kotek’s goal of 36,000 new homes a year
, a target established when she took office in 2023. He said he viewed SB 974 as a step toward realizing that goal.
“Our governor asked us to do 36,000,” Osborne said. “Let’s get out of her way.”
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Cities let housing permits age like ‘fine wine,’ lawmaker says. A new law seeks to speed approvals
Cities let housing permits age like ‘fine wine,’ lawmaker says. A new law seeks to speed approvals
Cities let housing permits age like ‘fine wine,’ lawmaker says. A new law seeks to speed approvals