Housing Statutory Compliance

Across Oregon, communities are facing a significant housing shortage. In recent legislative sessions, the State has adopted policies to increase housing supply, allow more housing types in neighborhoods, and streamline approval processes so homes can be built more quickly.

The Wilsonville Housing Statutory Compliance Project will update the City’s Development Code to align with new housing legislation adopted by the Oregon Legislature in 2025 and 2026. These updates respond to three state laws, Senate Bill 974 and House Bill 2138 in 2025 and HB 4037 in 2026, that aim to help Oregon communities produce more housing and remove barriers that slow housing development. In making these updates, the project will also further Wilsonville’s Housing Production Strategy by updating the City’s land use review process for residential development.

Wilsonville is required by the State of Oregon to update its local regulations to comply with these laws. This project will ensure that Wilsonville’s Development Code reflects the new state requirements while continuing to support the community’s planning goals.

As we update the City’s development process, we want to learn more about how you want to stay informed about development in Wilsonville! Please take this single question survey to provide feedback on project notices.

The project is organized into two parts, each focused on implementing state law.

Part 1: Residential Review Process

We are currently in this phase!

This phase focuses on updating the City’s review process for new residential development, and must be complete by July 1, 2026. This phase includes an assessment of the Development Code for compliance with SB 974 and work sessions with the Planning Commission and City Council to get feedback on how to best meet statutory requirements. Code updates include:

• Changes to the review process for residential development that allow for initial decisions on a development application without a public hearing
• Updates that allow for minor modifications to existing development without a public hearing
• Edits that ensure consistency with State law in processing timelines for development applications
• A 100-foot notification radius for mailed development notices
• Consolidation of the Development Review Board into a single panel with seven members

Please see links under Key Dates to watch prior Planning Commission and City Council work sessions to get up to speed on the project!

Part 2: Other Required Updates

We are headed here!

Phase 2 will focus on implementing HB 2138. This phase will occur from spring 2026 through the end of the year and includes the following areas of focus:

• Refined definitions and allowances for residential housing
• New incentives for affordable and accessible housing in middle housing development
• Minor updates to land division processes for middle housing
• Creation of clear and objective standards for tree removal

Please check back for updates on this project and for more information on opportunities to provide feedback.