Olympia Planning Commission Meeting - August 19, 2026: Home-Based Business Code Amendments Rejected

The Olympia Planning Commission met on August 19, 2026, to hold a public hearing on proposed home-based business code amendments and receive a briefing on the Preliminary 2027-2032 Capital Facilities Plan. After extensive public testimony and deliberation, the Commission unanimously voted to recommend that the City Council not adopt the home-based business amendments. The meeting adjourned at 9:00 p.m.

Consent Calendar

• Approved the agenda for the August 19, 2026 meeting.
• Approved the minutes of the July 20, 2026 meeting with one abstention.

Public Comments & Testimony

• Gordon White (South Capitol resident, 40 years): Expressed appreciation for the Planning Commission's prior work on middle housing and density, which he believes will lead to more affordable housing.

Public Hearing on Home-Based Business Code Amendments (6A) – 7:01 p.m. to 7:31 p.m.

• Christine Brewer (South Capitol homeowner, working mom of four): Opposed the amendments, stating they are a “direct attack on limiting working mothers” and described a small group of neighbors engaging in “bullying behavior” toward her family.
• Michael Cade (Executive Director, Thurston Economic Development Council & Center for Business Innovation): Opposed the amendments, citing that about 92% of Thurston County’s 15,000 businesses are small and many start at home. He argued the amendments would restrict and inhibit small businesses.
• Paul Bitar (Olympia resident): Supported the proposed change allowing on-site sales, stating it would enable his wife to sell antiques via Instagram with in-person pickup.
• Gordon White (South Capitol resident): Generally supported the amendments but urged the city to ensure compliance mechanisms for homes used as offices, especially those owned by businesses where the owner does not live in Olympia.
• Heather Burgess (Attorney, representing South Capitol Neighborhood Alliance): Opposed the amendments, citing legal concerns including enforceability, the targeting of single neighborhood and profession, and potential for litigation. She stated the existing code is adequate.
• Doug Mah (Representing Thurston County Chamber of Commerce): Opposed the amendments, calling them “explicitly anti-business” and a barrier to entrepreneurs. He urged the city to embrace the part-time legislative activities and lobbyists that come with being the state capital.
• Julia Gorton (Lifelong Olympia resident): Opposed the amendments, arguing they unfairly impact part-time residents (e.g., legislators, students, traveling physicians) and raise serious privacy concerns by requiring disclosure of private activities and guest lists.
• Linda Kunze (South Capitol resident, 39 years): Expressed support for the neighborhood community and opposed houses used as businesses that stand empty most of the year, stating they “don’t build or support community.”
• Holly Gadbaw (South Capitol resident, 45 years): Thanked the commission and submitted more extensive written comments; did not state a specific position during oral testimony.

Discussion Items

6A – Home Based Businesses Code Amendments (Public Hearing)

Senior Planner David Ginther presented proposed amendments to modernize the home occupation code (last updated ~20 years ago), including: removing permit requirements, allowing on-site sales and structural renovations, adding mobile mechanic/detailer businesses, creating a definition for remote work, and removing the 500-square-foot limit. The impetus stemmed from complaints about lobbyists using homes in the South Capitol neighborhood as offices. Staff noted that approximately 20 homes in South Capitol are used for lobbying, out of 797 residences (about 10% of registered home-based businesses). Discussion centered on the principal residence requirement, enforceability, the definition of remote work, and whether the amendments disproportionately target one neighborhood. Commissioners expressed fundamental concerns about the strategy and scope. A motion by Commissioner Sauerhoff, seconded by Commissioner Ibrahimovic, to recommend not to adopt the amendments passed unanimously (8-0). The Commission will prepare a comment letter outlining concerns.

6B – Preliminary 2027-2032 Capital Facilities Plan (Briefing)

Associate Planner Casey Schaufler briefed the Commission on the Preliminary CFP, which funds capital projects for parks, transportation, fire, water, wastewater, stormwater, and waste resources. Key highlights:

• Year one (2027) total capital budget: $82.3 million.
• Six-year total (2027-2032): $412.6 million (revised up 6% from prior year).
• Major projects include: Hands-On Children’s Museum expansion ($14.3M in 2027), Percival Landing flood mitigation, new fire station(s), and a new waste resources maintenance facility on Carpenter Road. The Commission received the briefing; a public hearing will be held on September 21, 2026.

Key Outcomes

• Vote (unanimous, 8-0): The Planning Commission recommended that City Council not adopt the Home-Based Business Code Amendments as proposed. A comment letter will be drafted for the Land Use and Environment Committee meeting on September 24, 2026.
• Information received: The Preliminary 2027-2032 Capital Facilities Plan briefing was received; the Commission will hold a public hearing on September 21, 2026, and forward recommendations to City Council.
• Other: Vice Chair Garcia reported that the city is organizing focus groups related to the Artesian Well, with recommendations expected at a September 22 City Council study session. Chair Quetin shared an APA article on equitable zoning for home occupations.