HI HB541

Applies land use provisions only to counties with populations less than 500,000, vesting subdivision/consolidation approval authority with the county land use director rather than requiring full county review.

Requires counties to adopt ordinances allowing at least two accessory dwelling units on residentially zoned lots, or alternatively establish specific zones with equivalent capacity distributed throughout regional planning areas.

Establishes December 31, 2026 deadline for counties to adopt accessory dwelling unit ordinances; after that date, counties cannot deny permits for up to two units based on unit limits (though may deny for infrastructure, design, or development standards).

Prohibits counties from restricting long-term rental of dwelling units on residentially zoned lots and prohibits new private covenants from limiting accessory dwelling units below statutory amounts.

Modifies impact fee calculations for counties under 500,000 population to consider square footage of development, with credits for existing structure conversions and alternative calculation methods for water/sewage facilities.