This bill establishes a framework for municipal workforce housing targets, reporting requirements, zoning review procedures, and a special property tax assessment for municipalities that fail to meet their housing targets. The Department of Business and Economic Affairs, in collaboration with regional planning commissions, will set annual workforce housing targets for each municipality over the next ten years, based on factors such as available land, infrastructure access, and proximity to employment centers. Municipalities that achieve less than 50% of their cumulative targets will be required to conduct a comprehensive review of their zoning ordinances and develop plans to improve housing outcomes, although they will retain discretion over whether to implement recommended changes.

Beginning in 2028, municipalities that fall below the 50% threshold will face a tiered special property tax assessment on high-value properties, with proceeds funding a newly established Workforce Housing Revolving Loan Fund. This fund will provide below-market-rate loans to developers of multi-family workforce housing and municipalities for infrastructure upgrades related to housing projects. The bill also includes provisions for annual reporting on housing unit progress and establishes a new subparagraph in RSA 6:12 to account for funds deposited in the revolving loan fund. The act is set to take effect on April 1, 2026.

Statutes affected:
Introduced: 6:12
HB1764 text: 6:12