Section 2. (a) In its zoning ordinance or by-law, a city or town may adopt a starter home zoning district in any area deemed suitable by the city or town. A starter home zoning district ordinance or by-law, or any amendment thereto or repeal thereof, shall be adopted in accordance with section 5 of chapter 40A; provided, that the ordinance or by-law, or any amendment thereto or repeal thereof, shall be enacted by a simple majority vote of the members of the town council, or of the city council where there is a commission form of government or a single branch, or of each branch where there are 2 branches, or by a simple majority vote of a town meeting.

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(b) Prior to the adoption of a proposed starter home zoning district ordinance or by-law, a city or town shall request a preliminary determination by the department as to whether the proposed starter home zoning district will comply with the requirements of this chapter. A request for a preliminary determination of eligibility shall be submitted by the chief executive of a city or town on a form prescribed by the department, and shall include: (i) the boundaries of the proposed starter home zoning district; (ii) a map and description of the developable land area within the proposed starter home zoning district; (iii) a copy of the proposed starter home zoning district ordinance or by-law; (iv) narrative and exhibits as needed to establish the elements set forth in section 3; and (v) any additional information the department may require in order to make a preliminary determination of eligibility. The department shall respond to such a request within 45 days of receipt of all information required to make such a preliminary determination of compliance.

(c) After the adoption of a proposed starter home zoning district ordinance or by-law, the city or town shall request from the department a final approval of the starter home zoning district. The department shall issue a final approval upon finding that the starter home zoning district as adopted complies with the requirements of this chapter, subject to any conditions imposed by the department as a condition of its approval. The department’s final approval shall be required prior to the disbursement of a zoning incentive payment as set forth in section 6.

(d) The city or town shall provide written notice to the department not less than 45 days before a vote taken to adopt any amendment to the zoning ordinance or by-law as it applies to an approved starter home zoning district. Such notice shall state the number of starter homes that have been built within the district since its adoption and shall include an evaluation of the number of projected starter homes, if any, that will remain developable within the starter home district after the adoption of the proposed amendment.