Act 250 Changes on the Horizon – And Vermont Condo Projects Will be Impacted
 
By Hans G. Huessy, Esq.
 
[Published in Condo Media magazine – June 2019 Issue]
 
Many Vermont condominium projects are subject to Act 250 permits. While there are no pending amendments to Vermont’s condominium statutes this year, Titles 27 and 27A, there is discussion of major changes to Act 250. As of now, the proposed amendments to Act 250 seem unlikely to be enacted this year, but it is very likely that they will be implemented within the next two years.
 
PERMIT AMENDMENT REVIEWS
 
Any condominium owner with an Act 250 permit should be paying close attention as the proposed legislation will likely make obtaining an Act 250 permit amendment far more difficult. Under the proposed legislation, any permit amendment will have to be reviewed for its impacts on greenhouse gas emissions, forest fragmentation, and other concerns without any specific guidelines in place to govern that review. A proposed project may also have to take into consideration issues of race and gender, even though it is very hard to imagine how that will be done in the context of a condominium project.
 
The proposed amendment of Act 250 will have its greatest impacts on projects where a developer has reserved the right to further develop the project, but has not already received express approval for such development in the existing Act 250 permit. The proposed amendments could impede the further development of the project which may be considered a plus by some associations, those that do not want any additional units constructed, but as a negative if your project anticipated sharing certain expenses over a larger number of unit owners. If your project wants to build a pool, a walkway, recreation paths, or make other improvements to its property, this could impact its ability to make such improvements as they would likely require a permit amendment.
 
ENSURE COMPLIANCE
 
Accordingly, if your project is subject to Act 250, you should review your Act 250 permit and make sure you are in full compliance with all of its terms. If not, you may wish to seek an amendment that would eliminate the matters of non-compliance before Act 250 is amended. An example of this is a condominium project I represented where, over time, several owners had installed electric hot tubs on their decks.
 
The 30 year-old Act 250 permit forbade hot tubs, because at the time the permit was issued, the local electric utility had limited capacity to serve the area. In the intervening years, the ability to serve concern had been eliminated, but the permit condition remained. The State cited the association for the hot tubs and the association had to obtain a permit amendment.
 
Reviewing your permit now will identify any “hot tub” -like concerns before obtaining a permit amendment becomes harder. Such a review could also be useful if the association is contemplating any material improvements, such as installing electric vehicle charging stations, new amenities, or other improvements to the property.