The proposed legislation, General Assembly Raised Bill No. 363, allows municipalities to impose a commercial vacancy assessment on vacant commercial properties located in designated districts. Effective October 1, 2026, municipalities can adopt an ordinance to assess a fee of five dollars per square foot on real properties that are vacant for more than 180 days and zoned for commercial use. The bill defines "active renovation" and "vacant" to clarify the conditions under which properties may be assessed.

However, the bill also outlines exemptions to this assessment. Properties undergoing active renovation, those with pending permit applications, or those impacted by legal or regulatory barriers, natural disasters, or deemed uninhabitable by authorities will not be subject to the assessment. Municipalities must specify the application process for property owners to claim these exemptions. The assessments will be due on the same date as real property taxes and can be appealed in accordance with existing statutes.