Federal bill would remove affordable housing barriers

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A bipartisan bill introduced by U.S. Sen. Thom Tillis of North Carolina would use federal money to help municipalities remove regulations to build affordable housing.

A bipartisan bill introduced last week by U.S. Sen. Thom Tillis aims to remove zoning regulations for affordable housing.

Tillis (R-N.C.), Lisa Blunt Rochester (D-Del.), John Fetterman (D-Pa.), and Mike Crapo (R-Idaho) introduced the Housing Supply Frameworks Act, which would provide federal resources to local communities that update land use regulations.

A companion bill was introduced in the House of Representatives by Reps. Brittany Petterson (D-Colo.) and Mike Flood (R-Neb.).

“This bipartisan legislation gives local communities the tools they need to modernize zoning and land use policies to make housing more affordable and accessible for North Carolinians,” Tillis said in a statement. “By equipping states and municipalities with the resources to streamline regulations and cut unnecessary red tape, we can expand affordable housing options for families across the nation.”

The federal government laid the foundation for zoning in the 1920s with the Standard State Zoning Enabling Act, which allowed states to enable zoning regulations in their jurisdictions. The bill, which supporters maintain will modernize the regulatory framework for the housing industry, is endorsed by more than 140 housing advocacy organizations, including Habitat for Humanity and the National Association of Realtors.

“Supporting legislation that empowers state and local governments with the resources, data, and innovative models they need to reform regulatory barriers is essential to solving the housing crisis,” said Mike Kingsella, CEO, Up for Growth Action. “The Housing Supply Frameworks Act will tip the scales in hundreds of communities who are eager to create more housing but need help getting started.”

Rapid population growth in North Carolina has pushed housing affordability to the forefront, especially in the Charlotte region, where additional stress on affordable workforce housing, according to the State of Housing 2024 Report published by UNC Charlotte researchers.

More than 471,000 people moved to the six-county region from 2014-23, including 49,000 from 2022-23 – roughly the population of Huntersville –coupled with a shortage of available housing and high interest rates means fewer option low- and moderate-income people can afford.

“A record shortage of starter homes has inflated home prices and pushed homeownership out of reach for millions of families and essential workers nationwide,” said Chris Vincent, Habitat for Humanity’s vice president of Government Relations and Advocacy. “The Housing Supply and Innovation Frameworks Act would accelerate pro-housing regulatory reforms at the local and state levels that increase the supply of starter homes in America by addressing outdated zoning barriers. It would empower reform-minded governments to modernize their land use policies in ways best suited to their local communities.”

Regulatory changes could make homeownership less elusive for Black people. In Mecklenburg County, the rate is 43% compared to 68% for white households. The North Carolina rate for Black people is 47% – significantly better than in Mecklenburg – compared to 75% for white households.

Nationally, the Black homeownership rate is 45.7%, compared to 74.3% for their white peers. The peak Black ownership rate was 49% in 2004.

“Supporting innovative local approaches to housing and zoning reform is an essential part of tackling the nation’s housing crisis,” said Sue Schwartz, president of the American Planning Association. “The bipartisan Housing Supply Frameworks Act will provide critical insights and understandings that planners need to drive the reforms necessary to unlock the housing supply, choice, and affordability that communities need.”  

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