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Bill to bar some grocery/pharmacy covenants draws support, requests for tailoring
Summary
Lawmakers heard HB 2294 to prohibit new negative-use covenants that block groceries and pharmacies from operating where land use allows it, with exceptions for existing covenants and certain relocations; supporters cited food access and small-grocer protection while retail groups asked for guardrails.
The Consumer Protection and Business Committee on Jan. 14 considered House Bill 2294, which would bar certain negative use restrictions—such as deed covenants or CC&Rs—that prevent grocery stores and pharmacies from operating on property where local land-use rules would otherwise allow them.
Staff described the bill’s structure: it declares future grocery/pharmacy-exclusive restrictions against public policy and voids them, while carving three exceptions: (1) existing restrictions remain valid (the bill is prospective only); (2) relocation exceptions that allow an owner to restrict a prior site if a similar or larger replacement opens within a half-mile…
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