H.253 is a proposed bill aimed at advancing Vermont's housing and climate goals while promoting economic growth. The bill seeks to establish a revolving fund at the Vermont Housing Finance Agency (VHFA) to incentivize the development of low-cost, climate-friendly modular housing. It outlines a plan for bulk purchasing of homes produced through off-site construction to lower costs for single-family and multifamily housing. Additionally, the bill introduces a new designation called workforce housing zones, which will be located near areas with significant job concentrations, and will receive benefits similar to designated neighborhood development areas, with adjusted thresholds for construction and subdivision definitions.

Furthermore, the bill prioritizes funding for public water and wastewater systems within these workforce housing zones, directing the Agency of Natural Resources to study the feasibility of expanding existing systems and developing innovative wastewater treatment options. The study will also explore the potential for enhancing the Department of Environmental Conservation's capacity to manage these systems, particularly for small municipalities. Overall, H.253 aims to create a supportive framework for affordable housing development while addressing essential infrastructure needs in Vermont.