NRPC staff outlines regional plan update driven by Act 181, explains new mapping, housing targets and Act 250 exemptions

NRPC staff gave an extended presentation on the regional plan update required by Act 181, explaining how the law changes regional and municipal planning, the state designation program and Act 250 jurisdiction.

Catherine Dimitryk, staff, told commissioners the update is driven by Act 181 and that the commission will produce a new future land-use element and statewide-consistent map framework. She said regional staff will break the regional housing targets supplied by the state into municipal targets and work with municipal officials and planning commissions over the winter and spring, with a draft regional plan expected by mid- to late summer and adoption targeted for late 2025 or very early 2026.

The presentation explained that Act 181 links regional planning, Act 250 jurisdiction, and the state designation and incentive program more tightly than before. Interim Act 250 exemptions already in effect use existing designation boundaries as proxies: in designated downtowns there is currently no unit limit for housing; in designated growth centers the interim exemption allows up to 75 units; and within roughly a quarter-mile outside designated centers the interim exemption allows up to 50 units without an Act 250 permit. Dimitryk said those interim exemptions will be replaced by permanent, map-based exemptions once regional plans are adopted and approved by the new Land Use Review Board.

She described the standardized 10-category land-use framework required by the statute and said the commission will focus initially on the first four categories that most affect Act 250 jurisdiction and incentives: downtown center, village center, planned growth area and village area. Planned growth areas will require zoning, subdivision regulations, public water or sewer (or suitable soils) and so-called complete streets. The presentation also outlined three tiers of Act 250 jurisdiction under the new program: a limited Tier 1a full-exemption option for large municipalities; a Tier 1b option for municipalities with zoning and subdivision (which would exempt projects of 50 units or less on parcels of 10 acres or less, if the municipality opts in); and a Tier 3 category to be defined by rule by the Land Use Review Board.

Dimitryk emphasized that towns will choose whether to opt in to the Act 250 jurisdiction changes and that regional staff will offer backup permitting support if towns say they lack local permitting capacity. She said the Department of Housing and Community Development will administer incentives tied to the new center and neighborhood designations once regional plans are approved, eliminating the separate municipal designation application process.

Commissioners raised questions about how maps would treat floodplains and specific parcels. Harold Garrett (Swanton Town) and a commissioner from Fairfax asked whether mapped growth areas might include flood-prone land; Dimitryk said mapped floodplain and river corridor areas would not be included in growth-area designations and that the interim quarter-mile exemptions already include some carve-outs for floodplain. Sylvia Jensen raised a question about a listed village that lacks zoning; Dimitryk said a municipality can retain its designation and be eligible for state incentives even if it lacks zoning, but that Act 250 exemption eligibility depends on whether local zoning and infrastructure requirements are met.

Dimitryk said the commission will conduct public engagement and meetings with municipal planning commissions and selectboards, using the commission’s adopted public participation plan. She thanked staff members Greta Brunswick, Luke Slumber and Emily Flock for helping prepare outreach materials and said the staff hopes to have a draft regional plan for review by mid- to late summer 2025.

The presentation closed with an outline of next steps (town meetings and mapping through winter/spring, draft by mid/late summer, formal submission to the Land Use Review Board 60 days before the first hearing, and adoption in fall 2025 or early 2026).