Planning and Economic Development Committee Meeting

The Planning and Economic Development Committee met on March 18, 2026 (the meeting began at 7:35 PM on March 17 and concluded at 9:46 PM) in the Aldermanic Chamber. The committee approved two tax increment financing (TIF) measures and discussed several policy points for the ongoing zoning code update. Members present included Aldermen Clean, Smith, Johnson, and remote participant Alderman Clemens, along with staff Directors Cummings, Sullivan, Hanneman, and Planning Manager Durfee.

Discussion Items

Resolution R26-014 – School Street TIF Plan Amendment (West Pearl Street Streetscaping)

The committee considered a resolution to approve a project plan amendment to the School Street Tax Increment Finance District, adding the West Pearl Street streetscaping project as an eligible use. Alderman Clee supported the project, noting its alignment with the master plan and its ability to improve traffic circulation and pedestrian access to downtown. He questioned whether TIF districts have a sunset date; Director Cummings confirmed a 40-year sunset under RSA 162K. Alderman Clemens asked whether existing bond payments for the performing arts center and parking structure would continue. Cummings confirmed they would, and that the new amendment only makes the streetscaping project eligible for future funds. Clemens also noted that traffic redirection could proceed without additional funds, but sidewalk improvements (especially for wheelchair accessibility) justify the TIF. The resolution passed 5-0.

Ordinance 0-26-003 – Expansion of the Milliard TIF District

The committee reviewed an ordinance to expand the existing TIF district to include the Milliard area (NIMCO, Bagshaw, and adjacent parcels). Alderman Morgan moved for final passage. A lengthy discussion ensued. Alderman Sullivan questioned the value of creating a TIF for an area where development is already underway, and asked whether the projected increment ($250,000 to $2.2 million over five years) justified the effort. Economic Development Director Hanneman explained that early adoption captures future increment and stimulates surrounding development. She clarified that the current taxes from the properties (about $800,000 annually post-development) would continue to flow to the general fund, while the increment (estimated at ~$650,000 per year for Bagshaw alone) would go into the TIF. Alderman Clee supported expansion, noting TIF funds can be used across the district (e.g., parking lot lighting, riverfront improvements). Alderman Clemens argued this is a textbook case for a TIF: capturing appreciation on undervalued land to fund public amenities. Alderman Morgan raised concerns about housing affordability but noted that recent projects have included over 50% affordable units and that developer for NIMCO/Bagshaw has agreed to fund a downtown dog park. A motion to move the question passed 3-2, and final passage carried 4-1 (Alderman Sullivan opposed). The ordinance will appear on the April 14 Board of Alderman agenda.

Zoning Code Update – Policy Point Discussions (Sam Durfee presentation)

Planning Manager Sam Durfee presented several policy questions for the zoning code rewrite. Topics included:

• Neighborhood Residential (RB) building types: Should the code allow “multiplex” (4-6 units, flat roof) or only “apartment house” (2-3 stories, pitched roof)? After discussion, committee members leaned toward apartment house to better match neighborhood character, especially in historic districts.
• Commercial-industrial form standards: Should districts like Northeastern Boulevard require form standards (building placement, pedestrian amenities) to improve walkability? Members acknowledged the challenge of mixing industrial uses with pedestrian infrastructure but supported some form standards for aesthetic and neighborhood-entry reasons.
• Civic space dedication: When large developments require open space, should it be dedicated to the city or maintained by the developer? The committee favored developer maintenance to avoid city liability and upkeep costs, with enforcement through site plan conditions.
• Overlay districts and structured parking: In large redevelopments, should structured parking (e.g., podium garages) be required? Members preferred market-driven approaches and density bonuses over mandates, noting high costs and potential to deter development. Director Cummings noted limited city tools for financial incentives beyond TIF. The committee requested a copy of the presentation and supplementary materials for further review before the next meeting.

Key Outcomes

• R26-014 (School Street TIF amendment) was recommended for final passage by a 5-0 vote. It will be on the April 14 Board of Alderman agenda.
• 0-26-003 (Milliard TIF expansion) was recommended for final passage by a 4-1 vote. It will be on the April 14 Board of Alderman agenda.
• The zoning code discussion will continue at the April committee meeting; staff will provide advance materials for review.