By Bellevue Reporter

The Puget Sound region is in a housing crisis. As the region's economy grows, so does the number of workers and families moving into the area looking for a home. Skyrocketing home prices, spiraling rents, and the shortage of affordable housing create news headlines every day.

MBAKS joined Governor Ferguson as he signed HB 1096 into law.

Big news for housing in Washington: Governor Bob Ferguson has signed HB 1096 into law, legalizing residential lot splitting across the state. After three years of advocacy, this landmark reform creates a straightforward, administrative process for homeowners and homebuilders to divide a single lot into two—unlocking small-scale infill, expanding homeownership, and creating new paths to affordability.

For decades, Washington law required homeowners and builders to navigate complex, costly subdivision processes that could take years—even when the existing lot already met zoning and infrastructure standards. HB 1096 finally fixes that, allowing qualifying lots to be split without major red tape, and enabling cities to review building permits alongside lot split applications.

Lot splitting won’t just create more homes—it will also allow aging homeowners to age in place, help families build wealth through multigenerational housing, increase opportunities for supplemental income, and offer first-time buyers access to starter homes in high-opportunity neighborhoods. It complements recent reforms like HB 1110 (middle housing) and supports the Growth Management Act’s goals by enabling gentle infill where it’s needed most.

HB 1096 ensures accountability by requiring clear, objective standards, displacement mitigation, and infrastructure availability before approval. Cities must implement the new policy by 2027 (or within two years for non-GMA jurisdictions), and guidance is expected from the state Department of Commerce later this year.

This is a major step toward restoring affordability and giving everyday Washingtonians more options to stay, build, and invest in their communities—one lot at a time.

View MBAKS Lot Splitting Brief for more information: Creating More Housing Through Lot Splitting.

USEPA photo by Eric Vance

LDC Inc. went to Washington, D.C. October 24 to advocate for sensible stormwater management regulations that lead to clean water for communities instead of mountains of paperwork.

Representing builders and developers who do business in Environmental Protection Agency Region 10, Clay White, principal planner, joined nine other NAHB members from across the country to meet EPA Administrator Scott Pruitt and his top local enforcement officials.

NAHB members suggested several ways EPA could improve the process, including:

• A simplified permit process for small lots. EPA's compliance template for single-family homes in large subdivisions that could also serve as a streamlined permit: it's concise and written in "builder language" because NAHB helped develop it.
• A "find it, fix it" approach. Rather than penalize first-time violators, EPA inspectors should provide compliance assistance during site visits and allow builders to correct minor infractions so they can do it right the next time.
• Better coordination among regulators. Multiple visits from local, state and federal inspectors to the same site can result in very different observations and citations. The EPA needs to allow the states, and not themselves, to play the lead role in stormwater enforcement.
• Continued participation in EPA's "Smart Sectors" Program. Homebuilders were invited to participate this business community partnership to develop sensible regulations while protecting the environment and public health.

White was pleased at EPA's response. "It was tremendous to meet with Administrator Pruitt and the EPA team on issues that are impacting our building community. I believe that this meeting will result in positive outcomes for the builders in our region."

For stormwater management resources, visit the NAHB Stormwater Toolkit.