Overview

Title

To reduce regulatory barriers to housing, and for other purposes.

ELI5 AI

H.R. 8604 is a plan to make it easier to build more houses by cutting down on rules that make it hard to do so. It wants people to work together better and even make a big map of where everything can be built, so more people can have homes that don't cost too much.

Summary AI

H.R. 8604, the "Reducing Regulatory Barriers to Housing Act," aims to tackle housing shortages in the United States by eliminating local and state regulatory obstacles. The bill encourages cooperation among various federal departments and local governments to streamline processes that hinder the construction of affordable housing. It outlines guidelines and best practices for zoning and planning to boost housing availability and affordability. Additionally, the bill provides for the creation of a national zoning database, and offers grants for developing pre-approved housing designs to increase the supply of affordable housing.

Published

2024-06-04
Congress: 118
Session: 2
Chamber: HOUSE
Status: Introduced in House
Date: 2024-06-04
Package ID: BILLS-118hr8604ih

Bill Statistics

Size

Sections:
7
Words:
4,201
Pages:
25
Sentences:
72

Language

Nouns: 1,245
Verbs: 319
Adjectives: 315
Adverbs: 23
Numbers: 95
Entities: 130

Complexity

Average Token Length:
4.50
Average Sentence Length:
58.35
Token Entropy:
5.41
Readability (ARI):
32.17

AnalysisAI

General Summary of the Bill

The bill, titled the "Reducing Regulatory Barriers to Housing Act," aims to address the shortage of housing in the United States by targeting the various regulatory hurdles that impede the development of new housing. It highlights several factors contributing to this shortage, such as rising construction costs, labor shortages, and zoning regulations at state and local levels. The bill proposes federal support in the form of technical assistance, research, and grant programs to aid state and local governments in overcoming these barriers. The legislation focuses on enhancing land use planning, promoting sustainable development, and increasing the availability of affordable housing through the reduction of unnecessary regulations.

Significant Issues

There are several issues associated with this bill that could impact its effectiveness and implementation.

First, the bill authorizes considerable funding for certain programs, but there are no detailed plans for how this funding will be allocated or overseen. This raises concerns about financial accountability and whether resources will be used efficiently.

Second, definitions of key terms such as "affordable housing" and "covered structure" are broad and open to interpretation, which might lead to inconsistent implementation across different regions. Clear and precise definitions are crucial to ensure uniform understanding and application of the bill's provisions.

Third, the prohibition of including local or elected officials' opposition in project selection criteria could potentially dismiss legitimate local concerns, affecting local governance and community planning.

Moreover, the complexity involved in coordinating efforts with multiple federal agencies could lead to bureaucratic inefficiencies and delays.

Finally, the timeline for publishing guidelines and best practices is set for three years, which might be too slow for areas facing urgent housing problems.

Impact on the Public

Broadly, the public stands to benefit from this bill if it successfully reduces the regulatory barriers to housing, thereby increasing the supply of affordable housing. With an increase in housing options, especially in underserved areas, more individuals and families could potentially find homes that suit their financial capabilities, contributing to overall economic stability.

However, if the issues outlined are not addressed, particularly concerning financial oversight and timely implementation, there is a risk that the bill's potential benefits could be undermined, leading to ineffective policy outcomes.

Impact on Specific Stakeholders

State and Local Governments: These entities would receive federal support and assistance for reforming their regulatory frameworks. However, the lack of clarity in the federal role versus state/local responsibilities might lead to confusion or overlap. Additionally, the measure to dismiss opposition from local officials could weaken their influence over local developments.

Developers and Builders: By potentially streamlining land use regulations, the bill could reduce the time and cost associated with housing development, thereby encouraging more projects. Developers might particularly benefit from the technical assistance and grants intended to support innovative housing designs.

Communities Facing Housing Challenges: For communities facing severe housing shortages, the proposed reforms could provide significant relief. However, the delay in guideline publication and the general ambiguity in certain legislative aspects could impact how quickly and effectively relief is delivered.

Advocacy Groups for Affordable Housing: These groups might see the bill as a positive step toward addressing housing needs comprehensively. Nevertheless, they might also advocate for more detailed provisions and oversight to ensure that the outcomes align with the intended goals of fairness and accessibility.

Overall, while the bill holds promise for mitigating housing shortages through regulatory reform, careful attention to its ambiguities and effective implementation strategies is necessary to realize its full potential.

Financial Assessment

The "Reducing Regulatory Barriers to Housing Act" (H.R. 8604) includes several financial references that outline the proposed funding and financial allocations intended to support various initiatives aimed at reducing housing regulatory barriers. Below is an examination of these financial components and their implications.

Financial Allocations

The bill proposes several appropriations across different sections, with specific amounts earmarked for particular activities:

  1. Section 4: Land Use and Planning - The bill authorizes $10,000,000 annually for fiscal years 2025 through 2029 to support technical assistance and other activities aimed at land use and planning reforms. This allocation is intended for use in activities such as providing technical assistance to states and localities, promoting sustainable land development, and performing research on zoning and planning measures.

  2. Section 6: National Zoning Mapping - This section authorizes $3,500,000 for fiscal years 2025 through 2027 to establish and manage a national zoning database. The funds are meant to support projects mapping zoning information, with a focus on digitizing zoning codes and maintaining databases for such information.

  3. Section 7: Grants for Establishing Pre-Approved Designs for Affordable Housing - Another $10,000,000 is authorized for fiscal years 2025 through 2027 to award grants for developing pre-approved designs for affordable housing. This funding aims to facilitate the creation of housing structures like duplexes and courtyard buildings, deemed appropriate by the Secretary.

Issues Relating to Financial Allocations

The bill raises several issues concerning financial management and accountability in its current form:

  • Concerns about Oversight and Accountability: The authorization of substantial annual funding, such as the $10,000,000 for land use and planning, lacks detailed plans regarding how these funds will be allocated or monitored. This absence of detailed oversight mechanisms raises questions about the efficient use of taxpayer money and potential risks of misuse.

  • Broad Definitions Leading to Ambiguity: Definitions within the bill like "affordable housing" can be broad and open to interpretation. This may result in inconsistencies in how funds are used across various jurisdictions, potentially leading to inefficiencies in addressing housing issues.

  • Evaluation and Success Metrics: Without clear metrics or criteria to assess the effectiveness of technical assistance programs or guideline implementations, it becomes difficult to measure success or hold agencies accountable for financial outlay. This lack of measurable outcomes could lead to funds being spent without clear results.

  • Unclear Roles for Officials: The roles of the "Assistant Secretary" and the "Secretary" are not well-defined, which could lead to administrative redundancy or confusion, impacting the financial governance of the allocated funds.

Conclusion

The financial allocations within the bill, while significant, reveal potential areas for improvement in terms of transparency, oversight, and accountability. Ensuring that funds are effectively used requires a more detailed framework for tracking spending and evaluating program outcomes. Moreover, clarifying definitions and roles will help in minimizing the risk of financial mismanagement and ensure that the funds effectively contribute to reducing housing regulatory barriers.

Issues

  • The bill authorizes significant funding ($10,000,000 per year for certain programs) without detailed plans for its allocation or oversight mechanisms, which raises concerns about financial accountability and efficient use of resources. (Section 4, Section 7)

  • The definitions of key terms such as 'affordable housing' and 'covered structure' are broad and subject to interpretation, which might lead to ambiguity and inconsistency in implementation across different jurisdictions. (Section 4, Section 7)

  • The bill does not specify metrics or criteria for evaluating the effectiveness of zoning framework guidelines and technical assistance, making it difficult to measure success and hold entities accountable. (Section 4)

  • The complexity of partnerships with multiple federal agencies could lead to bureaucratic inefficiencies and delays in implementation due to potential coordination challenges. (Section 4)

  • The bill prohibits the inclusion of local or elected officials' opposition in project selection criteria, potentially ignoring legitimate local concerns. (Section 5)

  • The provisions around 'exclusionary zoning practices' lack clarity on what specific practices are considered exclusionary, leading to varying interpretations. (Section 4)

  • There is a lack of clarity about the roles and responsibilities of the 'Assistant Secretary' and 'Secretary', which may lead to administrative ambiguities. (Section 3, Section 4)

  • The bill's guidelines and best practices publication timeline is set for three years, which might delay immediate actions or reforms for states or localities facing urgent housing crises. (Section 4)

  • Vague terms such as 'other entities' in grant awarding can lead to favoritism or unsuitable candidates receiving grants without sufficient oversight. (Section 6)

  • There is an absence of specific goals or metrics for 'long-term maintenance of the database', leaving future upkeep and effectiveness uncertain. (Section 6)

Sections

Sections are presented as they are annotated in the original legislative text. Any missing headers, numbers, or non-consecutive order is due to the original text.

1. Short title Read Opens in new tab

Summary AI

The first section of the Act states that it can be called the “Reducing Regulatory Barriers to Housing Act.”

2. Findings Read Opens in new tab

Summary AI

Congress has identified a significant housing shortage in the U.S., driven by factors like rising construction costs, labor shortages, and restrictive local regulations. They emphasize the need for both federal and local efforts to reform these barriers and support fair and affordable housing, ensuring that zoning laws don't unfairly limit housing options based solely on economic status.

3. Definitions Read Opens in new tab

Summary AI

In this bill, the "Assistant Secretary" refers to the person in charge of Policy Development and Research at the Department of Housing and Urban Development, while the "Secretary" refers to the head of the entire Department of Housing and Urban Development.

4. Land use and planning Read Opens in new tab

Summary AI

The section outlines new guidelines and support for better local and state land-use planning to increase affordable housing, eliminate discriminatory zoning, and promote environmentally friendly development. It includes provisions for research, technical assistance, public engagement, and regular reporting to Congress, with a focus on making housing more accessible and reducing unnecessary regulatory barriers.

Money References

  • “(7) AUTHORIZATION OF APPROPRIATIONS.—There is authorized to be appropriated $10,000,000 to carry out the technical assistance in paragraphs (4)(A) and (5)(C), and $10,000,000 to carry out this subsection, for each of fiscal years 2025 through 2029.”.

5. Qualified allocation plans Read Opens in new tab

Summary AI

The section outlines that when selecting projects under a qualified allocation plan, considerations should not include opposition from local or elected officials and should not prioritize local government contributions unless these contributions are part of a broader strategy to leverage external funding sources.

6. National zoning mapping Read Opens in new tab

Summary AI

The Secretary will create a grant program to help organizations digitize zoning codes at the district level, giving priority to projects that include plans for maintaining and sharing this data, especially in areas not yet digitized. The program has been allocated $3.5 million for funding over the years 2025 to 2027.

Money References

  • (c) Authorization of appropriations.—There is authorized to be appropriated to the Secretary to carry out this section $3,500,000 for fiscal years 2025 through 2027.

7. Grants for establishing pre-approved designs for affordable housing Read Opens in new tab

Summary AI

In this section, the bill outlines the establishment of grants for local governments to create and approve design plans for affordable housing structures, which include small residential buildings like duplexes and courtyard apartments. It also specifies that at least 10% of the grant funds should go to smaller or rural areas, mandates reporting requirements for grant recipients, and sets aside $10 million for implementation from 2025 to 2027.

Money References

  • (d) Reports.—The Secretary shall require eligible entities receiving grants under this section to report on— (1) the impacts of the activities carried out using such grant amounts in improving the production and supply of affordable housing; (2) the pre-approved designs established and implemented using such grant amounts in their communities; and (3) the impact of the activities funded with grant amounts. (e) Availability of information.—The Secretary shall— (1) make publicly available information on the pre-approved designs submitted by eligible entities receiving grants under this section, including information on the benefits of use of such designs; and (2) collect, identify, and disseminate best practices regarding such designs to interested localities and parties. (f) Authorization of Appropriations.—There is authorized to be appropriated to the Secretary to carry out this section $10,000,000 for fiscal years 2025 through 2027. ---