SB 388 (McPike) and HB 1279 (Cole) override local decision-making 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. Governor Spanberger is asking the legislature to consider several amendments that are mostly technical in nature (see See Governor’s Recommendation).
VACo opposed the legislation and requested a veto.
The legislation, with the proposed amendments, includes the following key provisions:
- A qualifying religious or nonprofit 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.
- The property is served by or within an area planned for public water and sewer.
- 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.
VACo Contact: Joe Lerch, AICP