AN ACT RELATING TO TOWNS AND CITIES -- ZONING ORDINANCES

HB 7153 changes the fee-in-lieu payment required for developers who opt not to build affordable housing units on-site. Instead of standard fees, developers must pay 150% of the average development cost for a single-family home or condo unit (with a minimum $40,000 per unit). This fee must be used exclusively by municipalities to fund new affordable housing for households earning 80% or less of the area median income. The bill affects developers in qualifying projects (10+ units) and local governments responsible for managing these funds through dedicated housing boards.