Relative to housing opportunity zones and inclusionary zoning.
Impact
If enacted, SB 224 will significantly impact local land use planning by providing municipalities with the authority to establish housing opportunity zones. These zones will be eligible for tax relief incentives, encouraging more developers to incorporate affordable housing into their projects. The requirement that at least 20% of new housing units be designated for households earning 100% or less of the area median income aims to directly address the affordable housing crisis by integrating lower-income residents into various communities. This change is expected to facilitate community growth while aiming to bridge the gap in housing access.
Summary
Senate Bill 224 aims to modify New Hampshire's approach towards housing opportunity zones and inclusionary zoning. The bill seeks to create a framework that enhances local municipalities' abilities to adopt inclusionary zoning practices. Specifically, it expands the definition to include standards that promote affordable housing, thus incentivizing property owners to develop affordable units for low and moderate-income families. The bill emphasizes voluntary incentives, such as density bonuses and expedited application processes, while also allowing for flexibility in specific cases to ensure economic viability of developments.
Contention
While supporters believe the bill fosters economic development and community sustenance, critics may argue that mandated affordable housing provisions could strain developers who may be unwilling to engage with the complexities added by inclusionary zoning. Concerns have also been raised regarding the potential for local governments to be inadvertently pressured into adopting housing opportunity zones if tax incentives are in play, possibly leading to a push for growth at the expense of community character or other local priorities.