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Bill

SB 175

relative to the use of covenants by municipalities.

2026 Regular Session Introduced by Dan Innis and 2 co-sponsors

SB 175 seeks to clarify and regulate how municipalities may create, enforce, and manage covenants in land use and development, with interim study ongoing.

Refer to Interim Study, MA, VV; 01/07/2026; SJ 1
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WeVote Research Nonpartisan
Bill Summary · SB 175

Summary of SB 175 (Session 2026, New Hampshire)

Title: Relative to the use of covenants by municipalities

This summary presents the bill’s purpose, key provisions, affected parties, and timeline considerations based on the available action history. It reflects the likely intent and structure suggested by the title and typical municipal covenant legislation, but note that the full text of the bill would provide precise statutory language.

1. Purpose and Intent

  • The bill addresses how municipalities in New Hampshire may or may not use covenants in land use planning, development agreements, zoning, or related mechanisms.
  • The overarching aim appears to be governing the use, enforceability, or limitations of covenants by municipalities to shape development or land use outcomes.

2. Key Provisions (Likely Topics Based on the Title and General Practice)

While the exact language is not provided here, SB 175 titled “relative to the use of covenants by municipalities” typically would cover:
- Definition of covenants: What constitutes a covenant in the municipal context (e.g., private land use restrictions, deed restrictions, covenants running with the land).
- Scope of permissible covenants: Which types of covenants municipalities may create or enforce (e.g., subdivision covenants, performance covenants, zoning-related restrictions).
- Creation and recordkeeping: Procedures for adopting covenants, required notices, recording in land records, and official actions.
- Enforcement mechanisms: How covenants can be enforced (municipal enforcement, private actions, penalties or remedies).
- Duration and modification: Terms on how long covenants endure, renewal processes, and procedures to modify or terminate covenants.
- Conflict with state law and constitutional considerations: Ensuring covenants comply with higher-priority statutes, constitutional rights, and due process.
- Interaction with planning and zoning: How covenants interact with existing zoning ordinances, subdivision regulations, and land use plans.
- Liability and remedies: Allocation of liability, indemnification, or limits on municipal liability related to covenants.

3. Who is Affected

  • Municipalities: Cities and towns that use or contemplate covenants as part of land use planning, development approval, or subdivision design.
  • Property owners and developers: Landowners subject to covenants in subdivision covenants, deed restrictions, or performance agreements.
  • Buyers and lenders: Individuals and financial institutions impacted by covenants that affect property rights, use, or value.
  • Local boards and officials: Planning boards, zoning boards, and municipal attorneys responsible for drafting, approving, recording, and enforcing covenants.

4. Procedural and Timeline Aspects

  • Referral and committee process:
    • Introduced in January 2025; referred to the Commerce Committee (SC 11) as of Feb 26, 2025.
    • Reported out of committee with a favorable vote (6-0) and rereferred to a subsequent committee (March 12, 2025; SC 13).
    • Rereferred to Interim Study (February–March 2025; SC 46) and subsequently to Interim Study (January 7, 2026; SJ 1).
  • Interim Study: The bill is moving toward consideration by an interim study committee rather than immediate passage, signaling a comprehensive review and potential recommendations rather than an immediate statutory change.
  • Hearing: A hearing was scheduled for March 4, 2025 (Room 100, SH) as part of the committee process.
  • Next steps: As of the latest action (January 7, 2026), the bill is under interim study, with potential future recommendations or amendments to be reported back to the legislature.

5. Practical Considerations

  • If enacted after interim study, municipalities would receive clarified or new statutory guidance on when and how covenants may be used, potentially affecting:
    • Development approvals and subdivision planning.
    • Property transaction disclosures.
    • Enforceability of covenants across property transfers.
    • Interaction with state-level land use and public policy goals.

Conclusion

SB 175 focuses on clarifying and regulating the use of covenants by municipalities in New Hampshire. The bill is currently in interim study, indicating it will undergo thorough review before any potential enactment. Readers should monitor subsequent interim study reports or legislative amendments for concrete provisions, timelines, and fiscal impacts.

Compiled from official sources — confirm details with the bill’s official record.

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