On Thursday, Rep. Jeff Zenger, R-Forsyth, introduced legislation entitled Local Gov. Development Regulations Omnibus, House Bill 765, aimed at addressing the housing crisis in North Carolina. Other sponsors include Reps. Jarrod Lowery, R-Robeson; Matthew Winslow, R-Franklin; Mark Brody, R-Union; Carla Cunningham, D-Mecklenburg.
“Going beyond the housing crisis to now, this is an economic development issue when the average renting age is 31,” Zenger told Carolina Journal. “That’s when people are supposed to be moving into their new homes because that’s the American dream. Businesses can’t move here if their employees can’t afford to have a place to live, so it’s imperative that we do this.”
According to Zenger, proof of the crisis is that this is but one of nearly three dozen housing -related bills to be filed in the House this year on both sides of the aisle. He disguises his bill is an attempt at an omnibus, including multiple reforms to address supply constraints.
“We took all kinds of stuff and put in it, and the whole idea was to open up or unrestrict the building process,” said Zenger.
The bill aims to reform local government development regulations in North Carolina. A key provision introduces Housing Affordability Impact Statements, which suggest that any new legislation or regulations should include an analysis of their potential effects on housing affordability. Additionally, the bill revises fiscal analysis requirements to ensure that budget projections and the financial impact of proposed legislation are assessed over five years.
“Every fiscal analysis of the State budget outlook shall encompass the upcoming five year period,” reads the bill. “Every fiscal analysis of the impact of the proposed legislation on the State budget shall estimate the impact for the first five fiscal years the legislation would be in effect.”
Houses must be built, or one of two things will eventually happen, according to Zenger.
In the past, explained Zenger, particularly in mill towns, a mill would be constructed first, followed by housing, which was sold to workers. This approach provided housing for employees in smaller communities. A return to that model may become inevitable.
Alternatively, he worries, the business won’t stay, or come at all.
“These big companies that have come are just going to leave,” said Zenger on the second possible outcome. “A company like Toyota can pick up tomorrow and leave North Carolina, and it wouldn’t even be a line item on their balance sheet.”
You can follow the bill’s progress here.