ADU changes greenlit by Southold Town Board

The Southold Town Board unanimously approved an amendment to the town’s zoning code regarding accessory apartments (ADU) during its regular meeting May 13. 

Notable changes in the new law include: an extended minimum rental permit duration; the elimination of a three-year minimum prerequisite to hold a certificate of occupancy for an accessory structure; and an added stipulation that rental permits are “nontransferable,” meaning any future owners would have to reapply for the permit. 

The provision stipulating that the ADU must be leased for a minimum of two or more years is a change from the preexisting minimum of one or more years. The addition of the two-year lease minimum will require less paperwork, a change Southold Town Supervisor Al Krupski previously said will make it easier for ADU owners to maintain their units’ eligibility.

The original law stating that one of the dwelling units “should be for the sole, exclusive occupancy of the owner or family member” remains in effect.

Owners of approved units will be able to rent them to family members or other Southold residents on the town’s Affordable Housing Registry, also according to the preexisting law.

ADU developers will have to file a form approved by the town attorney with the Suffolk County Clerk’s office before obtaining a rental permit, per the amended law.

ADU-hopeful developer testimony

Caroline Shrank, recipient of a $107,000 Long Island Housing Partnership (LIHP) grant to create an ADU in Southold Town, said she has hit roadblocks along the way to building an ADU on her property. 

In the process of trying to create an ADU, she learned she would need a new septic system to support the unit, which she obtained $50,000 in grants to install. 

“I can’t [install] my new septic without knowing if I can build an ADU,” Ms. Shrank said. “So I’m going to lose about $157,000 in grants that will be a way for me to save my house and live here forever.”

Her ability to construct an ADU has been hampered because she would only be able to spend half the value of the accessory structure on her property, which Ms. Shrank said is roughly $5,000. 

“I would like to help people in this community with low-income housing,” she said. She asked why the town would accept her grant application if it would not be usable on her property.

Mr. Krupski recognized her difficulties throughout the process so far. Town Councilwoman Jill Doherty added that the amended law will remove the three-year prerequisite for a certificate of occupancy for an accessory structure, but noted that it would not solve Ms. Shrank’s concern about the roadblocks to renovating the existing accessory structure. 

“We know we have a lot of work to do on this and this is just the beginning,” Ms. Doherty said. “The people who are in the queue for the grant, like you, have the obstacle of this three-year wait. So, we’re taking this off so some people can move ahead.

“And as we implement and put the wheels on the framework of our Housing Plan, we’re going to fix a lot of stuff,” she added. “But it’s just going to take time.”

The LIHP grant application process for ADUs in the Town of Southold is not open at this time, according to the LIHP website. 

Resident recommendations

Roughly 20 residents attended the meeting, with many in favor of the amendments to Chapter 280 — Accessory Apartments. However, many community members had recommendations for the Board to consider including in its zoning code for ADUs moving forward. 

Katy Stokes, a member of the North Fork Civics subcommittee on affordable housing, supported the town’s goal to encourage more ADU development in the township. She noted that other towns in the United States that have tried to encourage ADUs have stalled in their process, finding a slim amount of units developed in their municipalities. 

In Los Angeles, Ms. Stokes said, the city found success with ADUs when it allowed the units to be rented out as AirBnBs — an allowance she recognized would not be in line with either the town’s mission nor the community’s needs. 

She offered a few suggestions for the town’s ADU policy in hopes to stimulate more development. One idea was to allow second-home owners in Southold to build ADUs on their property.

“A requirement of full-time residency takes too many properties out of the pool of possible ADU sites,” Ms. Stokes said. “Of course, we agree with the requirement that only one residence on a residential property can be rented; property owners should not be able to rent out both the ADU and the primary residence.”

Another suggestion, to cap the allowable rent for any and all renters of the unit, would aim to ensure that ADUs do not become market-rate housing. 

A third suggestion from Ms. Stokes would be to utilize not-yet-passed state legislation to offset the costs for homeowners who build ADUs by providing a 100% exemption from any increased tax burden as a result of the ADU’s value. This exemption would begin to sunset after five years. The legislation is State Senate Bill S5172A and was last referred to the Senate Judiciary Committee on Jan. 3, 2024. 

Ms. Stokes also asked that eligibility for ADUs be expanded to include senior citizens and workers with proof of employment in the Town of Southold. 

Greenport resident Carol Lindley asked that the Town Board consider amending its current requirement that an ADU’s living area be consolidated to one level so that developers could construct a two-story apartment in existing loft spaces or on second floors. 

She added that if this was amended, the Town Board might consider allowing construction of two-story ADUs, which could be more attractive than a studio or one-bedroom apartment. Ms. Lindley advocated for an increase in the minimum living space from 220 square feet to 350 square feet. 

“As a way to provide for the seasonal and contract workers that we depend on, we propose allowing a separate minimum lease length category of six months for someone who shows proof of employment in the Town of Southold,” Ms. Lindley said.

While Supervisor Krupski said there have not been “many takers” to build ADUs in the township, he asserted that the town remains committed to ADU development. 

Town Councilman Greg Doroski said the board sees the amended law as “an incremental step to improving our program.”