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Lancaster's Affordable Housing Push Stalled by Stormwater Regulations

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  //house-home.news-articles.net/content/2026/01/0 .. sing-push-stalled-by-stormwater-regulations.html
  Published in House and Home on Saturday, January 3rd 2026 at 5:35 GMT by LancasterOnline

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Accessory Dwelling Units in Lancaster Face Stormwater Hurdles: A Potential Barrier to Affordable Housing

Lancaster City’s push to increase affordable housing options through accessory dwelling units (ADUs), often called "granny flats" or secondary residences, is facing a significant roadblock: stringent stormwater management regulations. A recent article in Lancaster Online highlights how these rules, designed to mitigate flooding and protect waterways, are proving unexpectedly difficult for homeowners seeking to build ADUs, potentially hindering the city’s broader housing goals.

The core of the issue lies in Lancaster's commitment to managing stormwater runoff. Following significant flood events in recent years – particularly the devastating floods along the Susquehanna River (as detailed by the City of Lancaster’s Floodplain Management Plan) – the city has tightened regulations requiring new construction and renovations to manage rainwater on-site, preventing it from overwhelming the existing sewer system and contributing to downstream flooding. These rules are intended to reduce peak flows and improve water quality entering streams like Conestoga Creek.

However, these requirements disproportionately impact ADU development. Unlike larger developments that can incorporate extensive stormwater management infrastructure (like retention ponds or underground infiltration systems), homeowners adding smaller ADUs often find the regulations nearly impossible – or prohibitively expensive – to meet. The article cites several examples of homeowners who have been denied permits or faced significant redesign costs simply because their proposed ADUs couldn't satisfy the stringent runoff reduction mandates.

The current rules generally require new impervious surfaces (like roofs, driveways, and patios) to reduce stormwater runoff by a specific percentage, often around 25-30%. This is achieved through techniques like permeable pavement, rain gardens, or green roofs. While these are valuable environmental tools, their implementation on small residential lots – typical of Lancaster City's historic neighborhoods – presents a considerable challenge. The cost of implementing these strategies can easily add thousands of dollars to an ADU project, making it financially unviable for many homeowners.

The problem is compounded by the nature of Lancaster’s older housing stock and lot sizes. Many properties are already densely built with limited yard space. Adding an ADU further reduces this available area, leaving even less room for stormwater management features. The article references a presentation given to City Council where it was noted that many lots simply cannot accommodate the required infrastructure without significant compromises to living space or aesthetics.

The city’s desire to promote ADUs stems from a recognized need for more affordable housing options within Lancaster. ADUs offer a relatively low-impact way to increase density and provide rental units, potentially easing pressure on the existing housing market and offering opportunities for aging homeowners to supplement their income (as discussed in previous City Council discussions about ADU incentives). The current regulatory hurdles, however, are undermining this goal.

Lancaster Watchdog, the group that brought this issue to light through its reporting, has been actively advocating for a review of the stormwater regulations as they pertain to ADUs. They argue that the existing rules were not specifically designed with smaller-scale residential development in mind and are creating an unintended barrier to affordable housing creation. They’ve highlighted examples where homeowners have had to abandon their ADU plans altogether due to permit denials or excessive costs.

The City Council is now grappling with how to balance its commitment to stormwater management with the need for increased housing affordability. Several potential solutions are being considered, including:

• Relaxing Stormwater Requirements Specifically for ADUs: This could involve reducing the required runoff reduction percentage or allowing alternative compliance methods tailored to smaller projects.
• Providing Financial Incentives: Grants or tax credits could help homeowners offset the cost of implementing stormwater management features.
• Streamlining the Permitting Process: Simplifying the review process and providing clearer guidance on ADU-specific requirements could reduce delays and costs.
• Exploring Alternative Stormwater Management Techniques: Investigating less space-intensive solutions suitable for smaller lots, such as rain barrels or small swales.

The article notes that a working group has been formed to examine the issue and propose recommendations to City Council. This group includes representatives from city planning staff, Lancaster Watchdog, and local builders. Their findings are expected to inform potential policy changes in the coming months. The success of these efforts will be crucial in determining whether Lancaster can effectively utilize ADUs as a tool for addressing its housing shortage without compromising its commitment to environmental sustainability.

Ultimately, the situation underscores the complex challenges involved in urban planning and development. While stringent stormwater regulations are vital for protecting public safety and water quality, their inflexible application can inadvertently stifle innovative solutions like ADUs that contribute to community vitality and affordability. Finding a balance between these competing priorities will require careful consideration, collaboration, and a willingness to adapt existing policies to meet the evolving needs of Lancaster City.

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