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NCSL policy specialist outlines state tools — bonding, zoning tweaks, manufactured homes and investor limits

House General & Housing committee · May 13, 2026
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Summary

A policy specialist with the National Conference of State Legislatures told the House General & Housing committee on May 12 that states are using a variety of tools — from bond caps and infrastructure funds to zoning preemption and manufactured‑housing rules — to address a nationwide shortfall of housing units.

A policy specialist with the National Conference of State Legislatures briefed the House General & Housing committee on May 12 about state legislative strategies addressing a national housing shortage and obstacles to production.

The presenter summarized data showing a wide range of estimated national shortfalls — "at least 1,500,000 housing units" at the low end to as high as 7,100,000 at the high end, depending on the source — and emphasized supply and permitting constraints. The specialist noted it takes nearly 18 months, on average, to build an apartment building in the U.S.; a developer survey cited in the presentation found 97% of developers reported construction delays and 83% attributed delays to permitting issues.

The NCSL witness outlined state examples lawmakers might consider: Alabama authorizing community land trusts; Maine increasing the cap on bonds issued by its housing authority; Mississippi enabling local housing authorities to join mixed‑finance projects; Oregon establishing a mixed‑income development loan fund; and Utah creating a state housing infrastructure partnership fund. On zoning and approvals, the specialist pointed to Kansas’ by‑right streamlining and third‑party review provisions, Virginia and Kentucky’s administrative approvals for certain nonprofit or religious‑sponsored affordable housing, and Washington’s restrictions on excluding residential uses in commercial zones.

The presentation also covered workforce and manufactured housing measures: Colorado allowing county funding for workforce housing projects, Hawaii proposing teacher workforce housing stipends, Idaho and Connecticut easing siting rules for manufactured/modular homes, and a growing slate of proposed limits on institutional investor purchases in several states.

Committee members pressed for follow‑up materials and contacts; the witness said slides and additional reports would be shared with committee staff and offered to provide detailed notes on institutional investor policies and manufactured‑home protections.

The committee scheduled a short break and asked NCSL to send follow‑up resources to staff.