relative to municipal credit enhancement agreements and tax increment financing for priority housing development.

HB 1660 allows New Hampshire municipalities to use project-based credit enhancement agreements (CEAs) to incentivize specific housing developments without requiring a full tax increment financing (TIF) district. It directly affects municipalities and developers building qualifying housing projects, such as senior housing, skilled care facilities, workforce housing, or other community-identified housing needs. The bill clarifies that housing-related captured tax revenue will be excluded from equalized property valuation calculations, preventing towns from facing artificially inflated state tax bases. This change streamlines support for housing projects while excluding conversions of existing homes, luxury developments, or individually owned units like single-family homes. The law aims to address housing shortages by making municipal financial tools more accessible for housing-focused initiatives.