HB 639-FN-LOCAL – AS INTRODUCED
2011 SESSION
03/05
HOUSE BILL 639-FN-LOCAL
AN ACT requiring impact studies for large-scale retail development.
SPONSORS: Rep. Brunelle, Hills 10; Rep. Pierce, Graf 9
COMMITTEE: Municipal and County Government
This bill requires comprehensive impact studies for large-scale retail development in municipalities that have authorized the planning board to review site plans.
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
Explanation: Matter added to current law appears in bold italics.
Matter removed from current law appears [in brackets and struckthrough.]
Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.
11-0903
03/05
STATE OF NEW HAMPSHIRE
In the Year of Our Lord Two Thousand Eleven
AN ACT requiring impact studies for large-scale retail development.
Be it Enacted by the Senate and House of Representatives in General Court convened:
1 New Subparagraph; General Revenue Exceptions. Amend RSA 6:13, I(b) by inserting after subparagraph (304) the following new subparagraph:
(305) Moneys deposited in the comprehensive impact study account established under RSA 679:2, III(b).
2 Duties of Office of Energy and Planning. Amend RSA 4-C:1, II(g) to read as follows:
(g) Participate and advise in matters of land use planning regarding comprehensive impact studies under RSA 679 and lakes and rivers management programs.
3 New Chapter; Comprehensive Impact Studies. Amend RSA by inserting after chapter 678 the following new chapter:
CHAPTER 679
679:1 Definitions. In this chapter, unless the context otherwise indicates, the following terms have the following meanings.
I. “Aggregate of buildings or structures” means any combination of buildings or structures on the same or abutting lots owned, leased, or used by or for a single entity or affiliated businesses for the same or a similar use.
II. “Comprehensive impact area” means the geographic area affected by a proposed large-scale retail development. This area includes the municipality; the applicant’s market area, including that part of the applicant’s market area that extends into other municipalities; and the area extending 5 miles in all directions from the proposed large-scale retail development tract, parcel, or lots.
III. “Comprehensive impact study” means a municipal study that estimates the positive and negative effects of a large-scale retail development on the local economy and community pursuant to RSA 679:2, III.
IV. “Downtown” means the central business district of a municipality that serves as the center for socioeconomic interaction in the municipality and is characterized by a cohesive core of commercial and mixed-use buildings, often interspersed with civic, religious, and residential buildings and public spaces, typically arranged along a main street and intersecting side streets, walkable and served by public infrastructure.
V. “Gross floor area” means the aggregate of the areas of each floor of a building or structure, including accessory structures, measured between the exterior faces of the exterior walls or limits of the building or structure at the level of each floor.
VI. “Land use permit” or “permit” means approval of a site plan by the planning board required by a municipal ordinance or resolution.
VII. “Large-scale retail development” means any retail business establishment having a gross floor area of 75,000 square feet or more in one or more buildings or structures at the same location and any expansion or renovation of an existing building or structure that results in a retail business establishment’s having a gross floor area of 75,000 square feet or more in one or more buildings at the same location, whether located in a single structure, a single tenant space, an aggregate of buildings or structures, or tenant spaces in an aggregate of buildings or structures. Adjacent retail business establishments that share a common check stand, management, controlling ownership, or storage areas are considered one retail business establishment.
VIII. “Market area” means a geographical area large enough to provide a viable retail market for a large-scale retail development.
IX. “Retail business establishment” means a business engaged in the sale, rental, or lease of goods or services to the ultimate consumer for direct use or consumption.
X. “Undue adverse impact” means that, within the comprehensive impact area, the estimated overall negative effects on the factors listed for consideration in RSA 679:2, IV of a proposed large-scale retail development outweigh the estimated overall positive effects on those factors and that the estimated negative effects of at least 2 of the factors listed in RSA 679:2, IV(b) outweigh the positive effects on those factors.
679:2 Preparation of Municipal Comprehensive Impact Study.
I. As part of its review of a site plan for a large-scale retail development, a municipal planning board that is authorized by municipal ordinance or resolution shall require the preparation of a comprehensive impact study and has the authority to determine who will prepare it.
II. A comprehensive impact study shall be prepared by a person other than the applicant for a large-scale retail development, that is qualified by education, training, and experience to prepare a study or that is identified by the office of energy and planning. The office of energy and planning is authorized to maintain a list of persons qualified by education, training, and experience to prepare such studies and to prequalify persons wishing to provide such services to municipalities through an open request for qualifications process. The office of energy and planning shall provide the list to a planning board upon request.
III.(a) The applicant for the permit shall pay a fee of $40,000 to the office of energy and planning to be deposited into the comprehensive impact study account. The development application is not complete for processing until the office confirms that the fee has been paid.
(b) There is established in the state treasury a separate account to be known as the comprehensive impact study account. All fees which are credited to this account shall be continually appropriated to the office of energy and planning for the purposes of this chapter. The account shall be nonlapsing.
(c) The office of energy and planning shall disburse to the municipality, from the comprehensive impact study account, an amount equal to the municipality’s projected costs of the comprehensive impact study contract, notice of the public hearing, and related municipal staff support. The municipality’s contract for the study must be defined and priced to ensure that the $40,000 fee will be sufficient to cover both the costs of the study and the costs listed in this paragraph. The office of energy and planning may charge against the fee a sufficient amount to cover its costs to record, administer, and disburse the fee but may not exceed $1,000. Any unexpended funds from the $40,000 fee must be returned to the applicant.
IV.(a) The comprehensive impact study shall be completed within 6 months of the filing of the application and must be made available to the planning board, the applicant, and the public. It shall estimate the positive and negative effects of the large-scale retail development as set out in this paragraph.
(b) The comprehensive impact study, using existing studies and data and through the collection and analysis of new data, shall identify the positive and negative economic effects of the large-scale retail development on existing retail operations; supply and demand for retail space; economic vitality of downtowns; employment, including projected net job creation and loss; retail wages and benefits; captured share of existing retail sales; sales revenue retained and reinvested in the comprehensive impact area; municipal revenues generated; municipal capital, service, and maintenance costs caused by the development’s construction and operation including costs of roads and police, fire, rescue, and sewer services; the amount of public subsidies, including tax increment financing; public road traffic congestion and safety; and public water utility, sewage disposal, and solid waste disposal capacity.
(c) The comprehensive impact study shall identify, to the extent that there are existing studies and data, the general positive and negative environmental effects of the large-scale retail development on air quality; the quality of wetlands, groundwater and surface water; scenic and natural beauty; the quality of residential neighborhoods, including on noise, lights, traffic, and safety; recreational and historic sites; significant plant and wildlife habitat, and wildlife travel corridors; rare and irreplaceable natural areas; any public rights for physical or visual access to a shoreline; and the implementation of municipal comprehensive planning goals.
679:3 Public Hearing.
I. The planning board shall provide the public with an adequate opportunity to be heard prior to the approval of a permit application for a large-scale retail development.
II. Notice of the public hearing on the permit application shall state that the comprehensive impact study will be presented at the hearing and that the planning board will take testimony on the comprehensive impact of the proposed large-scale retail development, and the notice shall include the name of any potential retailer, a map of the development location, and a map of the comprehensive impact area. The municipality shall also provide notice by regular mail to municipal officers of adjacent municipalities, to all persons residing in the municipality within 5,000 feet of the proposed development, and to persons who have made timely requests to be notified of a specific application.
III. If the applicant for a large-scale retail development is not the potential retailer, the applicant shall disclose in its application and at the public hearing the name of the potential retailer, including its commonly used retail name.
679:4 Permit Approval.
I. The planning board shall issue a finding of whether a large-scale retail development will likely have undue adverse impact or no undue adverse impact based on the comprehensive impact study; other materials submitted to the planning board by any person, including the applicant, state agencies, nonprofit organizations, and members of the public; and the testimony received during the public hearing under RSA 679:3. The planning board may issue the permit for the large-scale retail development only if it determines that there is likely to be no undue adverse impact.
II. Nothing in this chapter shall preclude a municipality from adopting an ordinance to authorize additional studies of the effects of a proposed large-scale retail development. The requirements of this chapter are in addition to all other required federal, state, and local permit processes that pertain to the proposed large-scale retail development.
679:5 Appeal. The provisions of this chapter granting individuals, municipalities, the state, and other entities the opportunity to provide input on a municipal land use permit or approval do not, and shall not be interpreted to, authorize individuals or entities who would not, absent the provisions of this chapter, have an interest in or otherwise have standing to appeal a municipal action on the permit or approval.
4 Effective Date. This act shall take effect 60 days after its passage.
LBAO
11-0903
Revised 02/14/11
HB 639 FISCAL NOTE
AN ACT requiring impact studies for large-scale retail development.
FISCAL IMPACT:
The Office of Energy and Planning states this bill will increase state restricted revenues by an indeterminable amount in FY 2012 and each year thereafter, and increase state general fund expenditures by $25,560 in FY 2012, $25,388 in FY 2013, $26,448 in FY 2014, and $27,550 in FY 2015. There will be no fiscal impact on county and local revenues or expenditures.
METHODOLOGY:
This bill requires comprehensive impact studies for large scale retail development in municipalities that have authorized the planning board to review site plans. The Office of Energy and Planning states the proposed legislation requires the establishment of a comprehensive impact study account designated to receive permit fees for large scale retail developments; to disburse permit fees to the municipality in an amount equal to the municipality’s projected costs related to the comprehensive impact study; to reimburse the Office for costs associated with the recording, disbursement, and administration of the fee up to $1,000; and to disburse any remaining amount back to the permit applicant. The Office is unable to estimate the number of potential projects that would meet the necessary thresholds to be subject to the $40,000 permit fee. The Office does however estimate a range of between five and twenty five permits may be applied for depending on economic conditions. Since each permit would allow the Office to be reimbursed for associated costs of administration of the funds up to $1,000, the Office states the proposed legislation would increase state revenue by between $5,000 and $25,000 per fiscal year in FY 2012 and each year thereafter.
The Office notes the responsibilities regarding the level of fiscal management required over permit fees and the requirement to participate and advise in the development of comprehensive impact studies is unclear. The Office also notes the staff time necessary to develop and maintain a listing of pre-qualified consultants is indeterminable, as the standards of “qualified” have not been established. However, for the purposes of estimating the fiscal impact of the proposed legislation on state expenditures, the Office estimates it will require the additional services of a half time principal planner increasing state general fund expenditures as follows:
Estimated Costs |
FY 2012 |
FY 2013 |
FY 2014 |
FY 2015 |
Salary (LG 24, starting at step 1) |
$21,421 |
$22,376 |
$23,361 |
$24,385 |
Social Security and Medicare |
1,639 |
1,712 |
1,787 |
1,865 |
Current Expenses |
300 |
300 |
300 |
300 |
Equipment (one time) |
1,200 |
0 |
0 |
0 |
Travel |
1,000 |
1,000 |
1,000 |
1,000 |
Total |
$25,560 |
$25,388 |
$26,448 |
$27,550 |
In addition to the half time planner, the Office estimates the proposed legislation will require approximately 10% of an existing Accountant II’s time. The Office states the proportional cost of the Accountant II’s time will be $6,531 in FY 2012, $6,692 in FY 2013, $7,070 in FY 2014, and $7,268 in FY 2015. The Office notes the estimates mentioned above do not take into account the indirect costs of the Office that would be allocated to the new program established by the proposed legislation. The allocation of indirect costs to the program would increase the disparity between the potential revenue generated by the proposed legislation and the costs to the Office of implementing the proposed legislation. The Office states these costs can be absorbed within their current budget and statutory requirements.
This bill does not contain an appropriation or authorize any new positions.