H.874 is a bill introduced by Representative Burrows of West Windsor that aims to empower municipalities in Vermont to address abandoned residential and commercial properties within designated downtown or village areas. The bill allows municipalities to acquire these properties through voluntary sale, judicial foreclosure, or by imposing incrementally increasing fines. The acquired residential properties are intended for public purposes such as medical housing, transitional housing, or community facilities. For abandoned commercial properties, municipalities can sell them to buyers who demonstrate a commitment to local economic revitalization, particularly those operating or planning to start small businesses.

Additionally, the bill seeks to enhance municipal authority over rental properties by enabling the enforcement of habitability standards and the adoption of controls on annual rent increases. It proposes to limit funding under the Vermont Rental Housing Improvement Program to individuals improving their own residential properties and to provide additional support for first-time homebuyers. The bill also emphasizes the need for housing developments to incorporate universal design principles, ensure compliance with the Americans with Disabilities Act, and prioritize applicants with disabilities for units designated for individuals exiting homelessness.