Oppose Bills to Allow “By-Right” Development of Faith-Based Owned Property Headed to the Governor

SB 388 (McPike) and HB 1279 (Cole) override local decision-making authority by allowing development of housing, with up to 30 percent of certain ground-floor nonresidential uses, on land owned by property tax-exempt religious organizations or certain property tax-exempt nonprofit organizations. The legislation also mandates that zoning ordinances shall allow the by-right development of up to 20 units per acre on property owned by such organizations. The measures specify that the review of such developments be completed pursuant to general law and states that localities shall not require a special exception, special use permit, conditional use permit, rezoning, or any discretionary review or approval process

ACTION REQUESTED

The legislation includes the following key provisions, some of which were not decided until the last day of session by a committee of conference to overcome differences in how they passed each chamber:

  • A qualifying religious or non-profit organization must own the property for five years prior to applying for a housing development application.
  • At least 60 percent of the total housing units must be affordable at 80 percent or less AMI (area median income) for rental units, and up to 120 percent AMI for for-sale units.
  • Affordability of units must be recorded and preserved for a minimum of 30 years by deed restrictions or other legally binding requirements.
  • Existing public water and sewer must be within 500 feet of the property line.
  • It does not apply to … property zoned for or adjacent to land zoned for industrial use provided there has been an active and operational industrial use as defined by the locality on the property within the previous five years.
  • The provisions of the legislation become effective on January 1, 2027 and expire on January 1, 2031

KEY POINTS

  • VACo supports maintaining local decisions regarding the location and density of residential and mixed-use development and how such projects may fit within and benefit their community.
  • By-right development of residential and mixed-use development on any property, regardless of its location and access to adequate publicly funded facilities such as water, sewer, and roads, is inconsistent with the goals and objectives of sound land use policy and practice.
  • Virginia Code requires that all … zoning regulations shall be uniform for each class or kind of buildings and uses throughout each district (2-2282. Regulations to be uniform). This legislation upends this longstanding legal land use principle by granting different rights to properties of the same zoning classification based on ownership.

KEY CONTACT

VACo Contact: Joe Lerch, AICP

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