Local Government Land Use Reform.

GENERAL ASSEMBLY OF NORTH CAROLINA
SESSION 2025
S 1
SENATE BILL 688

Short Title: Local Government Land Use Reform. (Public)
Sponsors: Senator Jarvis (Primary Sponsor).
Referred to: Rules and Operations of the Senate
March 26, 2025
*S688-v-1*
A BILL TO BE ENTITLED 1
AN ACT TO AMEND LOCAL GOVERNMENT PLANNING AND DEVELOPMENT LAWS. 2
The General Assembly of North Carolina enacts: 3
SECTION 1.(a) G.S. 160D-101 reads as rewritten: 4
"§ 160D-101. Application. 5
(a) The provisions of this Article shall apply to all development regulations and programs 6
adopted pursuant to this Chapter or applicable or related local acts. To the extent there are 7
contrary provisions in local charters or acts, G.S. 160D-111 is applicable unless this Chapter 8
expressly provides oth erwise. The provisions of this Article also apply to any other local 9
ordinance that substantially affects land use and development. 10
(b) The provisions of this Article are supplemental to specific provisions included in 11
other Articles of this Chapter. To th e extent there are conflicts between the provisions of this 12
Article and the provisions of other Articles of this Chapter, the more specific provisions shall 13
control. 14
(c) Local governments may also apply any of the definitions and procedures authorized 15
by this Chapter to any ordinance that does not substantially affect land use and development 16
adopted under the general police power of cities and counties, Article 8 of Chapter 160A of the 17
General Statutes and Article 6 of Chapter 153A of the General Statutes respectively, and may 18
employ any organizational structure, board, commission, or staffing arrangement authorized by 19
this Chapter to any or all aspects of those ordinances. 20
(d) This Chapter does not expand, diminish, or alter the scope of authority for plan ning 21
and development regulation authorized by other Chapters of the General Statutes. 22
(e) A local government may not exercise planning, zoning, or development regulation 23
authority except as expressly authorized by statute." 24
SECTION 1.(b) This section beco mes effective January 1, 2026. Any local 25
government ordinance in effect on, or adopted subsequent to, that date that is inconsistent with 26
this section is void and unenforceable. 27
SECTION 2.(a) G.S. 160D-702 reads as rewritten: 28
"§ 160D-702. (Effective January 1, 2025) Grant of power. 29
(a) A local government may adopt zoning regulations. Except as provided in subsections 30
(b) and (c) of this section, a zoning regulation may regulate and restrict the height, number of 31
stories, and size of buildings and other st ructures; the percentage of lots that may be occupied; 32
the size of yards, courts, and other open spaces; the density of population; the location and use 33
of buildings, structures, and land. A local government may regulate development, including 34
floating homes, over estuarine waters and over lands covered by navigable waters owned by the 35
State pursuant to G.S. 146-12. A zoning regulation shall provide density credits or severable 36
General Assembly Of North Carolina Session 2025
Page 2 Senate Bill 688-First Edition
development rights for dedicated rights -of-way pursuant to G.S. 136-66.10 or G.S . 136-66.11. 1
Where appropriate, a zoning regulation may include requirements that street and utility 2
rights-of-way be dedicated to the public, that provision be made of recreational space and 3
facilities, and that performance guarantees be provided, all to the same extent and with the same 4
limitations as provided for in G.S. 160D-804 and G.S. 160D-804.1. 5
(b) Any regulation relating to building design elements adopted under this Chapter may 6
not be applied to any structures subject to regulation under the North Carolina Residential Code 7
except under one or more of the following circumstances: 8
(1) The structures are located in an area designated as a local historic district 9
pursuant to Part 4 of Article 9 of this Chapter. 10
(2) The structures are located in an are a designated as a historic district on the 11
National Register of Historic Places. 12
(3) The structures are individually designated as local, State, or national historic 13
landmarks. 14
(4) The regulations are directly and substantially related to the requirements of 15
applicable safety codes adopted under G.S. 143-138. 16
(5) Where the regulations are applied to manufactured housing in a manner 17
consistent with G.S. 160D-908 and federal law. 18
(6) Where the regulations are adopted as a condition of participation in the 19
National Flood Insurance Program. 20
Regulations Except as expressly provided in G.S. 160D-703(b), regulations prohibited by this 21
subsection may not be applied, directly or indirectly, in any zoning district or conditional district 22
unless voluntarily consented to by the owners of all the property to which those regulations may 23
be applied as part of and in the course of the process of seeking and obtaining a zoning 24
amendment or a zoning, subdivision, or development approval, district nor may any such the 25
regulations be applied indirectly as part of a review pursuant to G.S. 160D-604 or G.S. 160D-605 26
of any proposed zoning amendment for consistency with an adopted comprehensive plan or other 27
applicable officially adopted plan. 28
For the purposes of this subsection, the phrase "building design elements" means exterior 29
building color; type or style of exterior cladding material; style or materials of roof structures or 30
porches; exterior nonstructural architectural ornamentation; location or architectural styling of 31
windows and doors, including garage doors; the number and types of rooms; and the interior 32
layout of rooms. The phrase "building design elements" does not include any of the following: 33
(i) the height, bulk, orientation, or location of a structure on a zoning lot, (ii) the use of buffering 34
or screening to minimize visual impacts, to mitigate the impacts of light and noise, or to protect 35
the privacy of neighbors, or (iii) regulations adopted pursuant to this Article governing the 36
permitted uses of land or structures subject to the North Carolina Residential Code. 37
Nothing in this subsection affects the validity or enforceability of private covenants or other 38
contractual agreements among property owners relating to building design elements. 39
(c) A zoning or other development regulation shall not do any of the following: 40
(1) Set a minimum width, length, or square footage of any structures subject to 41
regulation under the North Carolina Residential Code. 42
(2) Require a parking space to be larger than 9 feet wide by 20 feet long unless 43
the parking space is designated for handicap, parallel, or diagonal parking.Set 44
parking or parking space requirements or allocations except as required by the 45
Americans with Disabilities Act. 46
(3) Require additional fire apparatus access roads i nto developments of one - or 47
two-family dwellings that are not in compliance with the required number of 48
fire apparatus access roads into developments of one- or two-family dwellings 49
set forth in the Fire Code of the North Carolina Residential Code for One- and 50
Two-Family Dwellings. 51
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Senate Bill 688-First Edition Page 3
(4) Except as provided under G.S. 136-18(29) and G.S. 160A-307, set a minimum 1
width, length, or square footage for driveways within a development unless 2
the driveway abuts a public road. A "public road " means any road, street, 3
highway, thoroughfare, or other way of passage that is owned and maintained 4
by a city or the Department of Transportation. 5
(5) Set design standards for roads within a development in excess of those 6
required by the Department of Transportation, unless the city agrees to accept 7
ownership and maintenance responsibility for the road prior to or in 8
conjunction with site plan approval. Confirmation of conformity of the 9
improvements consistent with local government design specifications, 10
regulations, or ordinances u nder this section shall be conducted consistent 11
with G.S. 160D-804.1(1c). Upon confirmation that the improvements have 12
been made consistent with G.S. 160D-804.1(1c), the city shall record with the 13
register of deeds a plat evincing ownership of the road by the city. 14
(d) A zoning regulation or other development regulation adopted by a city with a 15
population of 150,000 or more shall permit by right or by special use the siting of no fewer than 16
five dwellings subject to regulation under the North Carolina Residential Code per acre in areas 17
zoned for residential use. 18
(e) A zoning regulation or other development regulation adopted by a city with a 19
population of 149,999 or less shall permit by right or by special use the siting of no fewer than 20
four dwellings subject to regulation under the North Carolina Residential Code per acre in areas 21
zoned for residential use. 22
(f) Subsections (d) and (e) of this section shall not apply to property used for a bona fide 23
farm purpose as described in G.S. 160D-903 or an open space use as defined in G.S. 160D-1307. 24
(g) A local government shall follow quasi -judicial procedures in adopting a zoning or 25
other development regulation authorized under this section." 26
SECTION 2.(b) This section becomes effective July 1, 2025. Any local government 27
ordinance in effect on, or adopted subsequent to, that date that is inconsistent with this section is 28
void and unenforceable. 29
SECTION 3. G.S. 160D-703 reads as rewritten: 30
"§ 160D-703. Zoning districts. 31
(a) Types of Zoning Districts. – A local government may divide its territorial jurisdiction 32
into zoning districts of any number, shape, and area deemed best suited to carry out the purposes 33
of this Article. Withi n those districts, it may regulate and restrict the erection, construction, 34
reconstruction, alteration, repair, or use of buildings, structures, or land. Zoning districts may 35
include, but are not be limited to, the following: 36
(1) Conventional districts, in which a variety of uses are allowed as permitted uses 37
or uses by right and that may also include uses permitted only with a special 38
use permit. 39
(2) Conditional districts, in which site plans or individualized development 40
conditions are imposed. 41
(3) Form-based districts, or development form controls, that address the physical 42
form, mass, and density of structures, public spaces, and streetscapes. 43
(4) Overlay districts, in which different requirements are imposed on certain 44
properties within one or more unde rlying conventional, conditional, or 45
form-based districts. 46
(5) Districts allowed by charter. 47
(b) Conditional Districts. – Property may be placed in a conditional district only in 48
response to a petition by all owners of the property to be included. Specific conditions may be 49
proposed by the petitioner or the local government or its agencies, but only those conditions 50
approved by the local government and consented to by the petitioner in writing may be 51
General Assembly Of North Carolina Session 2025
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incorporated into the zoning regulations. Unless consente d to by the petitioner in 1
writing,Notwithstanding any other provision of law, in the exercise of the authority granted by 2
this section, a local government may not (i) require, enforce, or incorporate into the zoning 3
regulations any condition or requirement not authorized by otherwise applicable law, regulations, 4
or require as a condition of approval of any site plan, development agreement, conditional zoning 5
permit, or any other instrument any condition, requirement, or deed restriction not specifically 6
authorized by law, or any condition or requirement that the courts have held to be unenforceable 7
if imposed directly by the local government, or (ii) accept any offer by the petitioner to consent 8
to any condition not specifically authorized by law, including, without limitation, taxes, impact 9
fees, building design elements within the scope of G.S. 160D-702(b), driveway -related 10
improvements in excess of those allowed in G.S. 136-18(29) and G.S. 160A-307, or other 11
unauthorized limitations on the development or use of land. Conditions and site -specific 12
standards imposed in a conditional district shall be limited to those that address the conformance 13
of the development and use of the site to local government ordinances, plans adopted pursuant 14
to G.S. 160D-501, or the impacts reasonably expected to be generated by the development or use 15
of the site. The zoning regulation may provide that defined minor modifications in conditional 16
district standards that do not involve a change in uses permitted or the density of overall 17
development permitted may be reviewed and approved administratively. Any other modification 18
of the conditions and standards in a conditional district shall follow the same process for approval 19
as are applicable t o zoning map amendments. If multiple parcels of land are subject to a 20
conditional zoning, the owners of individual parcels may apply for modification of the conditions 21
so long as the modification would not result in other properties failing to meet the ter ms of the 22
conditions. Any modifications approved apply only to those properties whose owners petition 23
for the modification. 24
(b1) Limitations. – For parcels where multifamily structures are an allowable use, a local 25
government may not impose a harmony requi rement for permit approval if the development 26
contains affordable housing units for families or individuals with incomes below eighty percent 27
(80%) of the area median income. 28
(c) Uniformity Within Districts. – Except as authorized by the foregoing, all regulations 29
shall be uniform for each class or kind of building throughout each district but the regulations in 30
one district may differ from those in other districts. 31
(d) Standards Applicable Regardless of District. – A zoning regulation or unified 32
development ordinance may also include development standards that apply uniformly 33
jurisdiction-wide rather than being applicable only in particular zoning districts. 34
(e) A local government shall follow quasi -judicial procedures in adopting a zoning or 35
other development regulation authorized under this section." 36
SECTION 4. G.S. 160D-406 reads as rewritten: 37
"§ 160D-406. Quasi-judicial procedure. 38
(a) Process Required. – Boards shall follow quasi -judicial procedures in determining 39
appeals of administrative decisions, special use permits, conditional use permits, certificates of 40
appropriateness, variances, or any other quasi-judicial decision. 41
…." 42
SECTION 5. G.S. 6-21.7 reads as rewritten: 43
"§ 6-21.7. Attorneys' fees; cities or counties cities, counties, or local elected officials acting 44
outside the scope of their authority. 45
(a) In any action in which a city or county is a party, upon a finding by the court that the 46
city or county violated a statute or case law setting forth unambiguous limits on its 47
authority,authority or that its action was arbitrary and capricious, the court shall award reasonable 48
attorneys' fees and costs to the party who successfully challenged the city's or county's action. In 49
any action in which a city or county is a party, upon finding by the court that the city or county 50
took action inconsistent with, or in violation of, G.S. 160D-108(b) or G.S. 143-755, or that its 51
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Senate Bill 688-First Edition Page 5
action was arbitrary and capricious, the court shall award reasonable attorneys' fees and costs to 1
the party who successfully challenged the local government's failure to comply with any of those 2
provisions. In all other matters, the court may award reasonable attorneys' fees and costs to the 3
prevailing private litigant. For purposes of this section, "unambiguous" me ans that the limits of 4
authority are not reasonably susceptible to multiple constructions. 5
(b) In any action in which any county commissioner, alderman, councilman, or other 6
local elected official is a party, upon a finding by the court that the commission er, alderman, 7
councilman, or other local elected official's individual act was fraudulent, unlawful, arbitrary and 8
capricious, beyond the scope of his or her statutory authority, or malicious or corrupt, may be 9
held personally liable for an injury or damag e resulting from the act and reasonable attorneys ' 10
fees shall be awarded by the court to a party who successfully challenge d the act of the 11
commissioner, alderman, councilman, or other local elected official. Where the court finds that 12
the commissioner, al derman, councilman, or other local elected officia l's act was fraudulent, 13
unlawful, arbitrary and capricious, beyond the scope of his or her statutory authority, or malicious 14
or corrupt, the defenses of public official immunity, legislative immunity and judicial immunity 15
are waived. A commissioner, alderman, councilman, or other local elected official shall not be 16
personally liable in damages or otherwise for an unlawful act of an officer or employee of the 17
city or county, unless the act is committed by the authority of the commissioner, alderman, 18
councilman, or other local elected official, or he or she has notice or knowledge thereof, or unless 19
the act is committed under circumstances which would cause, or would have caused, a reasonably 20
prudent person to have knowledge of the act." 21
SECTION 6. G.S. 160A-307 reads as rewritten: 22
"§ 160A-307. Curb cut regulations. 23
(a) A Except as expressly permitted by Chapter 160D of the General Statutes, a city may 24
not regulate by ordinance regulate the size, location, direction of traffic flow, and manner of 25
construction of driveway connections into any street or alley. The To the extent allowed by 26
Chapter 160D of the General Statutes, the ordinance may require the construction or 27
reimbursement of the co st of construction and public dedication of medians, acceleration and 28
deceleration lanes, and traffic storage lanes for driveway connections into any street or alley if 29
all of the following apply: 30
(1) The city has shown through substantial evidence the need for such the 31
improvements is reasonably attributable to the traffic using the driveway. 32
(2) The city has shown through substantial evidence the improvements serve the 33
traffic of the driveway. 34
(b) No street or alley under the control of the Department of Transportation may be 35
improved without the consent of the Department of Transportation. A city shall not require the 36
applicant to acquire right -of-way from property not owned by the applicant. However, an 37
applicant may voluntarily agree to acquire such right-of-way." 38
SECTION 7. G.S. 160D-1403.1 reads as rewritten: 39
"§ 160D-1403.1. Civil action for declaratory relief, injunctive relief, other remedies; joinder 40
of complaint and petition for writ of certiorari in certain cases. 41
(a) Civil Action. – Except a s otherwise provided in this section for claims involving 42
questions of interpretation, in lieu of any remedies available under G.S. 160D-405 or 43
G.S. 160D-108(h), a person with standing, as defined in subsection (b) of this section, may bring 44
an original ci vil action seeking declaratory relief, injunctive relief, damages, or any other 45
remedies provided by law or equity, in superior court or federal court to challenge the 46
enforceability, validity, or effect of a local land development regulation for any of the following 47
claims: 48
(1) The ordinance, either on its face or as applied, is unconstitutional. 49
(2) The ordinance, either on its face or as applied, is ultra vires, preempted, or 50
otherwise in excess of statutory authority.authority or jurisdiction. 51
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(3) The ordinance, either on its face or as applied, constitutes a taking of property. 1
(4) The decision of a local government or local government official made 2
pursuant to a local government 's authority under G.S. 160D-702, 3
G.S. 160D-703, or both, is ultra vires, preempted, in excess of its statutory 4
authority or jurisdiction, made upon unlawful procedure, made in error of law, 5
arbitrary and capricious, or an abuse of discretion. 6
If the decision being challenged is from an administrative official charged with enforcement 7
of a local land development regulation, the party with standing must first bring any claim that the 8
ordinance was erroneously interpreted to the applicable board of adjustment pursuant to 9
G.S. 160D-405. An adverse ruling from the board of adj ustment may then be challenged in an 10
action brought pursuant to this subsection with the court hearing the matter de novo together with 11
any of the claims listed in this subsection. 12
(b) Standing. – Any of the following criteria provide standing to bring an action under 13
this section: 14
(1) The person has an ownership, leasehold, or easement interest in, or possesses 15
an option or contract to purchase the property that is the subject matter of a 16
final and binding decision made by an administrative official charge d with 17
applying or enforcing a land development regulation. 18
(2) The person was a development permit applicant before the decision -making 19
board whose decision is being challenged. 20
(3) The person was a development permit applicant who is aggrieved by a final 21
and binding decision of an administrative official charged with applying or 22
enforcing a land development regulation. 23
(4) An a ssociation, organization, society, or entity whose membership is 24
comprised of an individual or entity identified in subdivisions (1) through (3) 25
of this subsection. 26
…." 27
SECTION 8. Article 14 of Chapter 160D of the General Statutes is amended by 28
adding a new section to read: 29
"§ 160D-1403.3. Private remedies. 30
In addition to any other remedy otherwise provided by law, any person injured by a violation 31
of this Chapter may bring a civil action and recover damages, costs, and disbursements, including 32
costs of investigation and reasonable attorney 's fees, and receive other equitable relief as 33
determined by the court." 34
SECTION 9. Except as otherwise provided, this act becomes effective January 1, 35
2026. 36