Testimony to House Environment Committee
Regarding Changes to the 3 Acre Rule
Samantha Sheehan, Municipal Policy and Advocacy Specialist, VLCT
March 2025
VLCT Environmental Policy Committee
Charlie Hancock, Chair Montgomery Selectboard
Bill Fraser, Montpelier City Manager
Ann Lawless Wheelock Selectboard Chair
Karen Barber, Huntington Selectperson
Chris Campany, Windham Regional Commission ED
Peter Carbee, Washington Assistant Town Clerk
Duncan Hastings Johnson Selectperson
Judy Frazier, Proctor Town Manager
Matthew Lawless, Shelburne Town Manager
Pat Sagui, Westfield DRB and Planning Commission Chair, JP, Town Moderator
Harry Shepard, Stowe Public Works Director
Nicholas Storellicastro, Barre City Manager
Clean Water Funding and Regulation
Municipalities support efforts to protect Vermont's precious rivers, streams, and lakes and to build climate resillient communities. VLCT supports legislative action that would generally:
Avoid cost-shifting to municipalities and property taxpayers
Uses limited state and municipal funds in the most cost effective and high impact way to achieve statewide goals
Build resilient infrastructure designed for intended use, which can withstand more extreme weather and meets stormwater management standards
Changes to the 3 Acre Program
Only 177 of 677 3 Acre sites have received permits, and serious concerns related to equity, the cost of treatment, and feasibility for developed areas persist.
VLCT seeks changes to the 3 Acre Rule to:
Delay the deadline for property owners to receive permit coverage
Allow cost to be a factor in assessing feasability and the engineering for treatment
Eliminate requirements for subdivided residential sites with multiple owners
Considerations for sites in the Hudson River and Connecticut River watersheds
Only require treatment at the time of redevelopment for privately owned parcels
Protect municipal liability in the communities where the municipality is able and willing to aquire the permit and stormwater systems
3 Acre Parcel Acreage by Owner Type
Municipalities and School Districts together own 13.6% of acreage that is subject to the 3 acre rule.
| Owner | Acres | How Many Parcels |
| Federal | 69.75 | 2 |
| Municipal | 725.54 | 101 (includes schools) |
| Nonprofit | 149.77 | 14 |
| Private | 5270.4 | 594 |
| Public/Private | 7.6 | 2 |
| State | 246.15 | 19 |
| Trust | 33.54 | 7 |
| Grand Total | 6502.75 | 739 |
Municipal Liability Related to 3 Acre for Residential Subdivision
Our 2025 Legislative Priorities include action to extend to municipal government the same protections from monetary liabilities that the legislature has enacted for the State.
The 3 Acre legislation as drafted would exacerbate, not resolve, municipalities' general liability concerns
Liability for stormwater systems concerns include:
Accidents involving damage to property and personal injury
Failure, maintenance, and replacement of the system
Landowner disputes, appeals, permit defense, etc.
There is no monetary liability cap for municipal government.
Municipalities Lack Underlying Liability Protection
VLCT is reluctant to discuss plans plans for municipalities to acquire "the full legal responsibility for the stormwater system" without commensurate action to protect general monetary liability.
VLCT supports H.138 to provide municipalities a monetary cap for liability in parity with the State of Vermont
Since 2011: The maximum liability of the State under Sec. 1. 12 V.S.A. chapter 189 is $500,000.00 to any one person and a maximum aggregate liability of $2,000,000.00 to all persons for each occurrence
Liability protection would apply to school districts
Would not affect suits related to criminal conduct or violations of civil liberty
Regional Stormwater Utilities
There are 7 active stormwater utilities in Vermont: Burlington, South Burlington, Shelburne, St Albans City, St Albans Town, Williston Town.
Another 4 are in the planning stage: Montpelier, Essex Junction, Proctor, and St. Johnsbury.
In our fall membership survey, VLCT inquired about the potential regionalization of a wide variety of municipal services. Of the 88 municipalities surveyed, 14% said stormwater services would be positively impacted, 33% said stormwater services would be negatively impacted by regionalizing.
Of those surveyed that also had a 3 acre site, the highest reported obstacle to receiving a permit was a lack of funding for implementation, followed by competing priorities.
Municipal Impact Fees and Special Assessment Districts
VLCT generally supports expanding municipal authorities for local revenue setting.
However, for funding the treatment of impervious 3 Acre sites there are some impracticalities to consider with an impact fee or special assessment district funding strategy:
Generally, these fee types are used for enhanced public services, not in service to statewide goals or for broad public benefit
Would most likely only feasible when paired with substantial grant support (raising local matches)
Still ultimately places the financial burden on municipal government and ultimately taxpayers and rate payers
Only logical for residential subdivisions, not for municipal owned or privately owned single parcel 3 Acre sites
In some cases, may require a town vote
July 10, 2024 Municipal Flood Damages
More than 50 communities reported over $100 million damages
Of the municipal entities impacted by July 2024 severe storm, one third (1/3) make up 91% of the total estimated damages
Two thirds (2/3) of the municipalities impacted were also impacted in July 2023.
Of these towns that were impacted in both 2023 and 2024
64% are towns with less than 2000 population
82% are towns with less than 5000 population