This story, by Report for America corps member Carly Berlin, was produced through a partnership between VTDigger and 开云体育.
Lawmakers have overridden Gov. Phil Scott鈥檚 veto of a marquee housing and land-use bill that makes broad reforms to Act 250, Vermont鈥檚 signature development review law.
That means , a bill that seeks to balance promoting housing growth and environmental conservation, will now become law.
鈥淲e kept our eye on the twin goals of environmental integrity and the immediate short and long term needs of the people we serve,鈥� Rep. Seth Bongartz, D-Manchester, one of the bill鈥檚 authors, told colleagues on the House floor ahead of the vote on Monday morning.
In the House, 107 lawmakers voted to override the veto, while 38 voted against it. In the Senate, the override received 21 鈥測es鈥� votes and eight 鈥渘o鈥� votes. Overrides require a two-thirds majority in each chamber.
For years, state leaders tried and failed to find a path forward to update Act 250, a law that has governed development in Vermont for over half a century. Proponents for housing growth have long argued that the regulation adds time, cost and risk to the development process, throwing cold water on Vermont鈥檚 efforts to encourage more housing construction. Meanwhile, some environmentalists have reasoned that Act 250 could do more to protect sensitive habitats as the climate changes.
H.687 represents a between those interests. It will relax Act 250鈥檚 reach in existing development centers, a move proponents hope will clear red tape and encourage compact housing development amid . It also lays the groundwork for extending Act 250鈥檚 protections in areas deemed ecologically sensitive.
Scott has long beaten the drum on deregulation, arguing that loosening Act 250 will help boost more housing growth. But throughout the 2024 legislative season, the Republican governor repeatedly criticized lawmakers鈥� latest attempt to overhaul the land-use law, claiming that H.687 places more emphasis on conservation than on promoting more housing, particularly in rural parts of Vermont.
That disapproval reached a fever pitch late last week, when Scott vetoed the bill. 鈥淒espite almost universal consensus, I don鈥檛 believe we鈥檝e done nearly enough to address Vermont鈥檚 housing affordability crisis,鈥� Scott wrote in a explaining his decision.
In a statement on Monday, Scott lambasted lawmakers鈥� override of his veto, writing that legislators 鈥渉ave failed to meet the moment on housing.鈥�
鈥淭hey have passed an expansion of Act 250 that will make it harder, and in some cases impossible, to build and restore homes and grow businesses in smaller, rural communities, pushing them even further behind.鈥�
Republican lawmakers repeated many of Scott鈥檚 concerns on Monday, arguing that certain aspects of H.687 鈥� like a new 鈥渞oad rule,鈥� which will trigger Act 250 review for larger-scale private road construction, a measure 鈥� constitute an expansion of Act 250鈥檚 reach and will hinder building.
But Democratic backers of the bill countered that characterization, arguing that H.687 in fact makes significant Act 250 rollbacks for the first time in the law鈥檚 history.
鈥淔or the first time since its passage, we now recommend relinquishing jurisdiction for the purposes of building housing in areas that meet certain conditions,鈥� Bongartz said. He noted that local planning and zoning rules have evolved considerably since the state-level review law was passed in 1970, in Vermont.
鈥淎ct 250 has been a significant part of shaping the Vermont we know and love today,鈥� said Senate President Pro Tempore Phil Baruth, D/P-Chittenden Central, in a written statement. 鈥淗owever, Vermont鈥檚 chronic housing shortage has made it abundantly clear that this fifty year old land use law must be reimagined in order to identify necessary reforms to promote housing development while also protecting Vermont鈥檚 natural resources.鈥�
H.687 sets in motion a process to chop Vermont into a series of 鈥渢iers鈥� that will dictate how development is treated under Act 250, easing the law鈥檚 reach in some already-developed areas and strengthening its protections over sensitive ecosystems. That鈥檚 a fundamental shift in how Act 250 works now: Broadly speaking, projects trigger review under the law based on how big they are, rather than where they鈥檙e located, whether that鈥檚 in the middle of a city or on a country road.
The actual boundaries of the new Act 250 tiers will be hashed out in a years-long mapping and rulemaking process. In the meantime, the bill sets up a number of interim exemptions from Act 250, including one for all housing projects within the state鈥檚 until January 2027, and for projects of up to 50 units around dozens of around the state.
Both economic development boosters and advocates for protecting Vermont鈥檚 environment 鈥� who worked together last summer that shaped debate over Act 250 this legislative session 鈥� lauded the bill鈥檚 final passage on Monday.
Megan Sullivan, a lobbyist for the Vermont Chamber of Commerce, applauded the exemptions for housing. Not having to get an Act 250 permit will remove costs for developers, she said. And, developers won鈥檛 need to worry about an Act 250 appeal killing a project.
鈥淜nowing that that鈥檚 off the table to be able to do development in neighborhoods, is hopefully going to remove some of the risk and get people excited to develop new housing in Vermont,鈥� she said.
Brian Shupe, a lobbyist for the Vermont Natural Resources Council, celebrated the creation of a new, professionalized board that will oversee the administration of Act 250 going forward, along with measures to address the fragmentation of forest and agricultural land in Vermont鈥檚 countryside.
Getting major Act 250 reform passed has been long overdue, he said.
鈥淭he Legislature has been struggling with this for at least a decade,鈥� Shupe said. 鈥淎nd they got it over the finish line.鈥�
The sprawling bill carries far more than just Act 250 changes. It also includes broad reforms to the , a new tax on second-home buyers, funding for , for home sellers and landlords, and more.
Have questions, comments or tips? .
