If a municipality has submitted a comprehensive plan, zoning ordinance or growth management program to the office for review, the time for the office to respond as established in section 4347-A has expired and the office has not provided its comments or findings to the municipality, a state agency when awarding a grant or making a discretionary investment under this subsection may not give preference over the municipality to another municipality.

B.__This subsection applies to:

(1)__Programs that assist in the acquisition of land for conservation, natural resource protection, open space or recreational facilities under Title 5, chapter 353; and

(2)__Programs intended to:

(a)__Accommodate or encourage additional growth and development;

(b)__Improve, expand or construct public facilities; or

(c)__Acquire land for conservation or management of specific economic and natural resource concerns.

C.__This subsection does not apply to state grants or other assistance for sewage treatment facilities, public health programs or education.

D.__The office shall work with state agencies to prepare mechanisms for establishing preferences in specific investment and grant programs as described in paragraph B.

Sec. 3. Effective date. This Act takes effect July 1, 2005.