Proposed Addendum: Phased Implementation Pathway for Informal Settlements and Resident-Led Development

To address both immediate housing needs and long-term economic resilience, we recommend integrating a phased development model into the Rural Cluster Development guidelines, particularly for properties with pre-existing, necessity-formed, settlements, or other alternative dwelling arrangements. This would support the county’s housing goals while ensuring health, safety, and ecological compatibility.

Initial Occupancy:

Allow existing and future residents of cluster developments to occupy individual pads that meet the following minimum standards:

  • Site Infrastructure: Each resident may occupy a designated area, and have access to electrical service, potable water, and shared kitchen and bathroom facilities.

  • Structure Flexibility: Residents may reside in permitted, removable, alternative structures (e.g., insulated yurts, certified tiny homes, modular dwellings) that meet existing health and safety code requirements.

  • Shared Amenities: Common infrastructure (bathrooms, kitchens, water access) must be available to all residents and maintained to meet sanitation standards.

This approach acknowledges the reality of current rural housing challenges and allows residents to live on-site legally while preparing for long-term development.

Incremental Build-Out:

Establish a flexible, long-term development timeline wherein:

  • No fixed deadlines are imposed for upgrading dwellings

  • Pre-defined spatial and structural limitations (e.g., square footage maximums, height limits, site coverage ratios) are set during initial permitting to guide future development

  • Residents may incrementally design and construct code-compliant structures within their designated pad footprint over time.

San Juan County Code Title 18 Amendment Request

Proposed Amendment to SJCC 18.60.230 – Rural Residential Cluster Development

Section(s) Proposed for Amendment:

  • SJCC 18.60.230(C) – Minimum Standards: add new subsection (15)

  • SJCC 18.60.230(E) – Timely Development Required: amend existing text

  • SJCC 18.60.230(G) – Design Guidelines: optional cross-reference addition

These amendments:

  • Support realistic, incremental timelines for resident-built projects

  • Allow legal early occupancy with basic infrastructure

  • Improve public health outcomes by replacing unsafe, informal housing with code-aligned alternatives

  • Maintain clear development boundaries for planners and neighbors

  • Enable phased ecological restoration and land stewardship

  • Encourage site-specific observation and adaptation to drainage, solar gain, and soil conditions before permanent construction decisions are made

  • Provide stable housing options for low-income or displaced residents

  • Unlock eligibility for state and federal funding to upgrade basic infrastructure

  • Create safe, affordable alternatives to unregulated trailer/RV rentals

  • Enable the use of seasonal and part-time local labor without penalizing slower construction timelines

  • Reduce permitting bottlenecks by distributing infrastructure demands over time

  • Support slower, intentional buildout that strengthens resident trust and allows for gradual investment and commitment.

  • Support intergenerational and culturally adaptive housing patterns within a shared framework

  • Lower barriers of entry for land-based cooperatives and shared-equity models

  • Encourages collaborative infrastructure development and shared responsibility through initial cohabitation and resource pooling

Proposed C(15) amendment:

15. Phased Implementation for Resident-Led Development.
A rural residential cluster development may proceed under a phased implementation model when pre-existing informal settlements, necessity-formed dwelling patterns, or other transitional housing forms are present on the project site. This approach supports immediate stabilization while allowing for incremental compliance with full development standards over time.

a. Initial Occupancy Approval
The following minimum standards shall apply to all designated development zones during the initial occupancy period:

i. Development Zones. Each residential unit shall be located within a designated development area (“zone”), as identified in the approved site plan. All physical improvements, including gravel, slabs, foundations, dwellings, decks, and any associated structures or infrastructure, shall be confined entirely within the boundaries of the designated zone. No structural or site development activity shall extend beyond the approved limits of each zone. The total area of each zone shall not exceed the square footage limitations established in SJCC 18.60.230(C)(7).
ii. Utilities. Each zone shall have access to electrical service and potable water.
iii. Sanitation. Shared kitchen and bathroom facilities shall be provided and maintained in compliance with applicable public health and sanitation requirements.
iv. Structures. Structures permitted during the initial occupancy period may include insulated yurts, certified tiny homes on wheels, modular units, or other transitional dwellings that meet health and safety code requirements

b. Incremental Build-Out Approvals
Construction of permanent structures may proceed incrementally over time, subject to the following conditions:

i. A site-wide spatial plan shall be approved as part of the original land use permit. This plan shall identify all development zones and include maximum limits on structure size, height, and total lot coverage.
ii. All future construction shall remain within the approved development zones and comply with applicable building and land use codes at the time of permit application.
iii. A long-term stewardship plan shall be submitted to and approved by the director. The plan shall address site maintenance, infrastructure development, governance, and strategies for eventual full compliance.

Amend E (intro paragraph):

Approval of a rural residential cluster may be withdrawn if the applicant does not meet any of the following milestones, except in cases where a phased implementation plan has been approved pursuant to SJCC 18.60.230(C)(15).

  1. Phased Implementation Projects (SJCC 18.60.230(C)(15)):
    Projects approved for phased development may follow an incremental build-out model, provided that:
    a. A minimum of 25% of designated dwelling pads are occupied within 18 months of final approval.
    b. The remaining pads may be reserved as future build sites, so long as:

    • The total number of units remains within the approved maximum;

    • Reserved pads are maintained as landscaped open space or active agricultural area until built upon;

    • All occupied units continue to meet affordability requirements under SJCC 18.60.260.

  2. c. No additional permit or approval shall be required for construction on remaining pads beyond typical building permits, provided the footprint, height, and use remain consistent with the original site plan.
    d. The CDC may require an updated stewardship timeline every three years until build-out is complete.

Add G(4):

Projects proceeding under the phased development model described in SJCC 18.60.230(C)(15) must demonstrate how each phase maintains visual compatibility, ecological integrity, and compliance with applicable design standards during all stages of implementation.

Definitions (SJCC 18.20)

  • Necessity-formed dwelling/settlement: A dwelling or settlement constructed or occupied due to urgent housing need, and not necessarily in full compliance at time of inception.

  • Phased development plan: A development timeline structured to accommodate immediate habitation and long-term construction flexibility under defined spatial parameters.

  • Stewardship timeline A documented timeline of the ecological impacts and improvements within a development.

Recent changes to the Washington State Energy Code (WSEC-2021) require residential exterior walls to include continuous insulation (CI) in addition to cavity insulation. While well-intentioned for energy efficiency in large buildings, this requirement creates disproportionate hardship for small-footprint dwellings:

  • Space Efficiency: CI adds 1–2 inches of wall thickness on each side, significantly reducing usable interior space in homes under 400 sq ft.

  • Weight Penalty: 2x6 framing increases weight and make units harder to transport or elevate on pier foundations—especially relevant for movable or remote rural structures.

  • Diminishing Returns: Surface-area-to-volume ratio already favors high efficiency in small units. Additional CI yields negligible energy savings while increasing construction complexity.

  • Cost Burden: CI adds material, labor, and permitting costs to homes intended to reduce housing insecurity and environmental impact.

Proposed Exemption Language (Local Amendment to WSEC-R):

Add to SJCC 15.04.070 – Energy Code Adoption:

R402.1.1.1 Local Exemption – Small Footprint Homes.
Detached single-family structures under 400 square feet of heated floor area, designed for full-time or seasonal occupancy, may meet the R-value requirements for wood-framed walls without continuous insulation if the cavity insulation achieves a minimum of R-15, installed in accordance with manufacturer specifications.

This exemption applies only if the structure:

Is not primarily heated by fossil fuel combustion;

Has no attached garage;

Achieves an air leakage rate ≤ ___ as verified by blower door test;

Installs mechanical ventilation per IRC M1505.4;

Uses high-efficiency windows with U ≤ 0.__;

Does not exceed one story in height or 16 feet in average roof height;

Is subject to inspection by a certified energy code official at the discretion of the building authority.

Optional Addendum (Performance Option):

If continuous insulation is not used, builders may submit a UA compliance calculation showing that the total thermal envelope performance is equal to or better than the prescriptive baseline in Table R402.1.1, using software approved by the Washington State Building Code Council (WSBCC).

Intended Outcomes:

  • Enable legal construction and occupancy of small, sustainable, cost-effective dwellings;

  • Reduce permitting friction for rural and low-income builders;

  • Maintain high energy efficiency standards appropriate to building scale;

  • Support housing diversity without compromising public safety or thermal performance.

Environmental Considerations: Foam Insulation and Lifecycle Impact

Requiring continuous insulation in the form of rigid foam boards (e.g., polyiso, EPS, XPS) raises substantial environmental concerns:

  • High Embodied Carbon: Foam insulation is derived from fossil fuels and manufactured through energy-intensive processes with significant greenhouse gas emissions. Its use increases the embodied carbon of small homes where thermal demand is already minimal.

  • Non-Biodegradable Waste: Foam boards are difficult to recycle and typically end up in landfills, contributing to long-term microplastic pollution and waste management issues.

  • Toxic Blowing Agents: Many foam products rely on HFCs or other high-global-warming-potential (GWP) substances banned in some states but still used in Washington. These chemicals contribute disproportionately to climate change.

  • Environmental Tradeoffs: For small, low-energy-use buildings, the marginal thermal gains of foam are outweighed by its environmental costs—undermining the code’s stated purpose of promoting sustainable building practices.

Not inherently fire-safe: Many foam insulation products are not fire-retardant unless treated with additional chemicals, which can degrade over time and introduce indoor air quality concerns in small structures.

Produces toxic smoke when burned: Foam insulation emits highly toxic gases and dense black smoke during combustion. In wildfire-prone regions like the Northwest, this significantly increases health and safety risks during fire events.