Affordable Housing / Inclusionary Zone
Is there preemption?
No, not as of June 28, 2024.
Affordable Housing is housing that is designated as affordable to low-income residents. Inclusionary Zoning refers to a policy that requires new housing to have a certain percentage of affordable units. Affordability is often measured by a Housing Affordability Index. The National Association of Realtors has a Housing Affordability Index based on housing prices and income that is widely used.[1] The Center for Neighborhood Technology has a Housing + Transportation Affordability Index that aims to provide a more comprehensive view of affordability by including housing prices, income, and the cost of neighborhood transportation.[2]
What are the governing statutes?
The Pennsylvania Affordable Housing Act authorizes the Department of Community Affairs of the Commonwealth to create and implement a Comprehensive Housing Affordability Strategy and establish regional housing advisory committees.[3]
Affordable Housing Unit Tax Exemption Act (2022 Act 58) – Authorizes local taxing authorities to provide tax abatements or incentives to build or fix up affordable housing. This law reinforces local governments’ power in affordable housing.
Pennsylvania Housing Affordability and Rehabilitation Enhancement Fund (PHARE) – PHARE was established by the PHARE Act of 2010 to create, rehabilitate, and support affordable housing in Pennsylvania through allocation of state, federal, and other funding. The Fund includes specific requirements to apply a percentage of funds to assist households below 50% of the median area income.
https://www.phfa.org/legislation/act105.aspx
Housing Choice Vouchers (HCV) is a federal program that provides low-income families subsidies to choose and rent or purchase eligible housing.
The National Housing Trust Fund (HTF) is a federal program that provides resources to develop, preserve and rehabilitate housing for very low income and extremely low income households.
Public Housing Authorities – City or county agency that develops, operates, and leases affordable housing to low-income residents. Pennsylvania has over 60 public housing authorities.[4]
What are some examples of inclusionary zoning/affordable housing?
In 2021, Philadelphia passed an inclusionary zoning ordinance that requires a percentage of housing units to be priced at affordable rates in new housing developments of 10 or more units within the Mixed Income Neighborhoods Overlay District. https://phila.legistar.com/LegislationDetail.aspx?ID=5217310&GUID=0FC24E00-AF00-4E1F-BD89-C1DEB097CD0E&Options=ID%7cText%7c&Search=%2fMIN
In 2022, Pittsburgh city council approved expansion of the Inclusionary Zoning Overlay District (IZ-O) to include more neighborhoods in the city.[5] Pittsburgh’s Affordable Housing Task Force developed the plan and is generally tasked with assessing community housing needs and feasibility and giving policy recommendations to City Council and the Mayor.[6]
Resources
Pennsylvania Local Government Housing Affordability & Inclusionary Zoning Toolkit:
Centre County Inclusionary Zoning Toolkit and Model Policies:
https://centrecountypa.gov/DocumentCenter/View/428/homes_within_reach_toolkit?bidId=
https://centrecountypa.gov/DocumentCenter/View/418/Inclusionary_Housing_Model_Policies?bidId=
[1] https://www.nar.realtor/research-and-statistics/housing-statistics/housing-affordability-index
[2] https://htaindex.cnt.org/
[3] 35 Pa. Stat. § 1691.1
[4] https://www.hud.gov/states/pennsylvania/renting/hawebsites
[5] https://pittsburghpa.gov/dcp/izod
[6] https://pittsburghpa.gov/dcp/ahtf/index.html