In an effort to directly tackle the housing affordability crisis, Vice President Kamala Harris has launched an initiative providing a substantial $85 million in grants to assist communities in ramping up housing construction. This follows a White House announcement detailing how certain communities will be able to lower costs and address the overarching issue of housing scarcity. As part of the Pathways to Removing Obstacles to Housing (PRO Housing) program, this investment is a key element in the Biden-Harris administration's larger housing strategy, which is to actively remove impediments that have long hindered new housing developments.
According to the White House's publication, the newly announced funding is projected to help more than 20 communities to broadly improve their local land use policies and building regulations. This effort aims to quickly increase the housing supply – a move the administration believes will in turn drive down the rent and homeownership costs. "President Biden and I believe that every American deserves affordable housing so they have a roof over their head and a place to call home," Vice President Harris affirmed.
The demand for this first round of PRO Housing funding significantly exceeded the amount available, highlighting the urgent need for solutions to America's housing crunch. Applications were received from over 175 communities spanning 47 states and territories, which collectively requested over 13 times more funding than was available. As a response to this overwhelming demand, an additional $100 million in PRO Housing funding is slated to be released later this summer.
"As I travel across the country, I hear from people all the time, including builders, elected officials, and other stakeholders, about how difficult it is to build housing," HUD Acting Secretary Todman stated, emphasizing the gravity of such barriers. This initiative aligns with the Administration's agenda to reduce housing costs and facilitate easier access to housing. Alongside the grants, technical assistance will also be extended to the awarded communities to nurture peer learning and render additional support in implementing their local housing plans.
Several concrete steps towards this goal have been made, including updated guidance for converting commercial property to housing, provided low-cost capital for housing, and revamped programs like the Low-Income Housing Tax Credit (LIHTC) to embrace a broader range of income levels. Furthermore, the administration is making unprecedented investments in Native American housing and has introduced policies to boost the presence of accessory dwelling units (ADUs).
Beyond this, Vice President Harris brings a significant background in housing advocacy to the table. From her tenure as the Attorney General of California, where she championed homeowner rights, to her legislative proposals as a U.S. Senator aimed at increasing affordable housing supply, her sustained efforts form a cornerstone of the administration's approach to mitigating the current housing deficit faced by Americans.
