Once housing 45 percent of Washington County's population, Montpelier and Barre housed less than one-third of the population in 2000 and will likely house only 25 percent by 2020. The deline has been steep and steady since 1960.

Total population has declined in the two cities since their peak (1930-1960). Barre and Montpelier have lost 1,700 residents since 1960. The other 21 towns of Central Vermont have increased by more than 17,000 residents - a 70 percent increase.

Although Barre and Montpelier municipal systems have 80 percent of the region's sewer capacity and land area served, two of every three housing units in Central Vermont are constructed elsewhere. In all, only two percent of Central Vermont has sewer service.

Neither passage of Act 250 some 40 years ago, nor passage of Act 200 almost 20 years ago has stemmed the flow of housing to rural commities. "New Neighborhoods" might.

With incentives to build new housing on sewer lines, developers can be attracted back to city sites. "New Neighborhoods" legislation would allow- but not require - cities and towns to designate areas with municipal sewer for the incentives.