A key House committee recommends shipping to study two bills that would set maximum housing lot sizes in cities and towns to create more capacity.
House panel: Let’s punt to 2026 bill setting lot sizes for housing in towns
A House committee recommended interim study – a polite way to sideline a bill (SB 84) until 2026 – for a bill from Sen. Keith Murphy, R-Manchester (pictured), that would set maximum lot sizes in at least half of the available land in cities and towns.
State Sen. Keith Murphy, R-Manchester, and one of its prime authors, declared his Senate-passed bill (SB 84) had been the “most important” of 10 housing bills he promoted in 2025, and it had won the endorsement from a broad coalition of business and housing advocates.
But the 16-0 recommendation of the House Housing Committee Tuesday likely means even though proposed mandates will get more review, any final action will wait until the next Legislature is elected in 2026.
Murphy’s bill would have required at least half of property zoned for single-family homes be no more than two acres in size for towns without water and sewer, one acre for those with town water and half an acre for communities that have both.
House Housing Chairman Joe Alexander, R-Goffstown, had authored the other bill (HB 459) that would prevent towns from imposing larger acre zoning than necessary for the “public health and safety” given sewer infrastructure in that community.
Alexander said he favored sending both bills to interim study.
This is traditionally the way the House carries out the mercy killing of leftover legislation since if the House adopt it, it must start all over as a new bill in 2026.
“We did a lot of movement in housing in general, and I think these bills helped advance that progress,” Alexander said.
Rep. Dillon Dumont, R-Hudson, said more work needs to be done to assist communities with the “nuts and bolts” of turning acreage limits into a workable zoning ordinance change.
Murphy said in a statement he hasn’t given up on the issue.
“Many towns continue to require huge lots for every house, and large lots can only pencil out with large, expensive houses. Lot-size regulations are a primary cause of high housing costs,” Murphy said.
“I am hopeful that the legislature will eventually address this root cause of our housing crisis by reining in this abuse of local zoning regulations.”
The New Hampshire Municipal Association strongly opposed both bills, contending they would violate local control and prevent communities whose residents and government leaders want them to have a bucolic character without excessive development.
Last month, Gov. Kelly Ayotte hosted a press conference in Manchester to highlight the 15 House and Senate bills the Legislature passed on housing, including one to expand the use of accessory dwelling units (HB 577) and another (SB 153) to require the state act within 60 days on an application for a driveway permit.
“I’m hopeful that we will begin to see some progress on this critical issue,” Murphy said of this package, some that he had authored.
“I and many other legislators remain committed to restoring the property rights of our citizens, allowing prices to be set by supply and demand and bringing down housing costs.”
Alexander noted lawmakers have passed into law an 11-person commission that will launch the first study (HB 399) in decades into how the state’s Zoning Act evolved over time.
The Legislature also approved and Ayotte signed another law (HB 631) to require all towns allow multi-family housing on commercially zoned land as long as infrastructure including, water, sewer and roads can support it.0
The measure permits towns to impose their own conditions on such and it won’t take effect until July 1, 2026.
Next Step: The House will vote on this study recommendation early in the 2026 session.
Outlook: The issue appears to be shelved at least until the next Legislature is elected in 2026.