relative to the regulation of accessory parking for vehicles by local legislative bodies and multifamily housing within commercial districts by municipalities; establishing special assessment districts; and relative to expanding the housing infrastructure  municipal grant program and making an appropriation therefor.

A new chapter (162-V) creates special assessment districts, allowing city or town governing bodies to enter into memorandums of understanding with 60 percent of property owners to establish districts for financing public infrastructure improvements tied to new development.

The bill title was expanded to include 'establishing special assessment districts; and relative to expanding the housing infrastructure municipal grant program and making an appropriation therefor,' reflecting the new substantive content.

The summary description of Section II changed from 'Prevents municipalities from imposing additional requirements' to 'Allows municipalities to impose limited requirements,' reflecting a shift from a prohibition-based framing to a permission-based framing for municipal regulation of multifamily housing in commercial districts.

Municipalities can issue bonds to finance district improvements, repaid solely from assessments levied on benefited properties over up to 20 years. Assessments function as liens with the same priority and enforcement as property taxes.

Eligible infrastructure includes roads, sidewalks, street lighting, traffic control devices, water mains, sewer lines, stormwater facilities, utility extensions, and streetscape or parking improvements. General government buildings, schools, or facilities that do not directly benefit parcels in the district are excluded.

Assessments can only be levied on properties receiving a direct and ascertainable benefit, and no parcel can be assessed more than the special benefit it receives. The governing body determines the apportionment method (frontage, lot size, number of units, assessed value, or other reasonable metric).

The multifamily housing provision in RSA 674:80, IV was revised. The old version broadly prohibited municipalities from imposing 'additional requirements' beyond frontage, setbacks, and height. The new version allows municipalities to impose those three types of requirements (same as before) but adds clarifications: it preserves municipal site plan review authority under RSA 674:43, I; confirms multi-family units are allowed as a matter of right; and explicitly permits enforcement of state fire, building, and other requirements under RSA 153, RSA 155-A, and RSA 485-A.

Entire new chapter 162-V on special assessment districts was removed. This had allowed cities and towns to create districts to finance roads, water, sewer, and other infrastructure improvements for new development through property assessments, bond issuance, and a 20-year repayment period.

The expansion of the housing infrastructure municipal grant program (for sewer, water, and road upgrades for new housing units) and the associated appropriation to the Department of Business and Economic Affairs were removed entirely.

Local legislative bodies may now regulate accessory parking for vehicles but are capped at requiring no more than one residential parking space per unit and cannot require that parking spaces be garaged.

Municipalities are prohibited from imposing additional requirements on multifamily housing in commercial districts (existing as of July 1, 2026 or created after) beyond those allowed for commercial development, with the exception of frontage, setbacks, and height requirements.

Pre-existing nonconforming structures may be converted to multi-family dwelling units or mixed use, provided the structure's envelope is not altered to further violate zoning dimensional requirements.

Property owners who are improperly denied multifamily housing applications or subjected to requirements beyond what the law allows are entitled to reimbursement of reasonable attorney's fees if they must file suit against the municipality.