Residents who want a say in new housing developments near their homes just lost significant leverage.
Two Oregon laws that took effect July 1 eliminate mandatory public hearings for most residential projects, shrink the radius for mailed notifications from 1,000 feet to as little as 100 feet, and bar anyone except the developer from appealing decisions to the state land-use board. Tigard Mayor Yi-Kang Hu and Tualatin Mayor Frank Bubenik have formally opposed the changes, according to the Valley Times.
House Bill 4037 and Senate Bill 974 are meant to speed up home construction approvals statewide. The development community has praised the bills, the Valley Times reported, though no specific advocates were named. But for Tigard and Tualatin officials, the tradeoff strips communities of tools they've relied on for decades.
What the laws change
Under HB 4037, cities can no longer require an initial public hearing for residential applications that meet clear and objective standards. Mailed notice drops to 100 feet for projects under 20 units and 500 feet for larger ones. Only the applicant can appeal a local decision to the Oregon Land Use Board of Appeals, or LUBA. Neighbors are shut out.
SB 974 requires cities to use administrative review, rather than quasi-judicial hearings, for zone changes that increase residential density, variances and planned unit developments. It sets a 120-day deadline for engineering plan reviews and bans subjective aesthetic requirements on larger residential projects, such as rules governing exterior materials or home colors.
Tigard's objection
Hu testified against HB 4037 during the legislative process, arguing Tigard has been a leader in middle housing and shouldn't be penalized for other cities' failures.
"Cities like ours are being penalized for the actions of others who do not share our commitment to housing production," Hu wrote in his testimony.
Tigard created a Middle Housing Revolving Loan Fund in 2021 using federal American Rescue Plan Act dollars to finance cottage clusters, courtyard units and other housing types. In his testimony, Hu sought "partnership and flexibility for cities that are already meeting production goals," not a one-size-fits-all mandate.
On the appeals restriction, Tigard's official position is blunt: removing third-party appeal rights raises due-process concerns and conflicts with Oregon's statewide planning goal for citizen involvement.
Tualatin's objection
Bubenik said both bills treat housing applications as administrative decisions rather than quasi-judicial ones, dramatically reducing public hearing requirements and imposing a "shot clock" on plan reviews that may be difficult for cities with small engineering departments to meet. He said removing local discretion creates implementation problems and limits cities' ability to shape development around community-specific needs.
What it means locally
Before July 1, a Tigard or Tualatin resident living within 1,000 feet of a proposed subdivision would receive mailed notice and could testify at a public hearing. Now, someone 200 feet from a 15-unit project may never receive a letter. And if the city approves the project, only the developer can challenge that decision at LUBA.
Neighboring Wilsonville has already updated its development code to comply with both laws, adopting the 100-foot notification radius and eliminating initial public hearings for most residential applications as of June 2026.
Neither Tigard nor Tualatin has announced a formal legal challenge or ballot measure in response. Sherwood, by contrast, passed Measure 34-347 in January 2026 with nearly 94% voter approval, requiring 1,000-foot notifications and public hearings before its council can rule on housing applications. Sherwood Mayor Tim Rosener said the city believes its home-rule charter allows it to enforce those local rules despite the state laws, though no court has tested that theory yet.
