On February 18, 2026, Mayor Katie Wilson signed two Ordinances (Council Bill 121093 and Council Bill 121135) updating the State Environmental Policy Act (SEPA) review requirements. The changes will take effect March 20. This simplifies permits by eliminating most SEPA reviews citywide for new housing. This should shorten the permitting process by 5 to 12 months for many projects.
SEPA thresholds are also now raised higher to 30,000 square feet citywide for retail commercial uses, and to 65,000 square feet citywide for most other non-residential uses. This will eliminate permit delays where SEPA review is not really needed for new development and many changes in use or additions to existing buildings. A draft Director’s Rule update about SEPA review will also be published for public review in March or April.
Other smaller, but important, updates relate to transportation subjects and cultural resource protection.
- The SEPA review threshold for parking uses is now lowered to 20 spaces in all zones except for Industrial and Maritime zones where it’s increased to 90 spaces. A lower SEPA threshold will allow for reasonable consideration of impacts if more surface parking lots or garages are proposed.
- We are finalizing updates to Director’s Rule 2-98 on cultural resource protection procedures. Also, applicants for grading permits would be required to provide more information upfront about the possible presence of cultural resources.
- Transportation Management Plan rules are more clearly written. They’re located in one section, 23.52.010, for all the zones with those rules.
- Construction Management Plans (CMP) are more clearly written, with defined project size thresholds. Applicants should coordinate with SDOT on CMPs to manage construction traffic.
- A transportation impact study can still be required for non-residential uses between about 40,000 and 65,000 square feet, comparable to a typical grocery store, for projects without SEPA review.
Questions? Contact Gordon Clowers.