Affordable housing includes an accessory dwelling unit (ADU) where it’s a long-term rental unit in a municipality with no ordinance requiring a minimum lot size for ADUs.

Plain-English Summary

This bill would expand Rhode Island's legal definition of "affordable housing" to include a specific type of smaller home addition known as an accessory dwelling unit (ADU) — sometimes called an in-law apartment, backyard cottage, or garage conversion. Under this bill, an ADU would count as affordable housing if it meets two conditions: it must be rented out on a long-term basis (rather than as a short-term vacation rental), and it must be located in a town or city that does not have a local rule requiring a minimum lot size for ADUs.

The practical effect is about how Rhode Island measures its affordable housing supply. State law currently requires cities and towns to ensure that a certain percentage of their housing stock qualifies as "affordable." By allowing qualifying ADUs to count toward that total, towns without minimum lot-size restrictions would have an easier time meeting their affordable housing goals — and homeowners in those towns who rent out ADUs long-term could potentially help their community meet state housing requirements.

This bill would affect homeowners who have or are considering building an ADU, renters looking for smaller or more affordable rental options, and local governments that track and report their affordable housing numbers to the state. Towns that already have minimum lot-size requirements for ADUs on the books would not be affected by this change. The bill is currently in committee and has been held for further study, meaning lawmakers have not yet moved it forward for a full vote.