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Committee backs regulation to streamline county exercise of right of first refusal for at‑risk housing
Summary
Committee recommended forwarding Executive Regulation 16‑23 to full council; DHCA said the rule will ease county partnerships with nonprofit buyers and reduce the need for the county to temporarily hold funds to purchase properties under right of first refusal procedures.
The Planning, Housing and Parks Committee voted July 17 to forward Executive Regulation 16‑23, which implements portions of the county’s right‑of‑first‑refusal law, to the full Montgomery County Council with a recommendation for approval.
Council staff summarized the regulation’s purpose: create a process to accept applications designating "qualified entities" and to streamline subsequent procedures so the county can more readily partner with mission‑driven buyers when properties at risk of loss of affordability are offered for sale. DHCA Director Scott Bruton said the change reduces the prior practice that required the county to briefly own a property — a burdensome and expensive approach (he cited Westchester West as an example) — and that the department incorporated most recommendations from the Montgomery Housing Alliance following public comment on the draft.
Why it matters: the regulation is intended to make it easier for the county to preserve affordable housing by expanding the feasibility of nonprofit and public‑private acquisitions under the right of first refusal, while keeping a high bar of thresholds and due diligence to avoid unjustified market disruption.
Next steps: the committee recommended that the regulation be taken to full council; DHCA said it will begin implementation work only after council approval and noted timing constraints tied to the method‑2 regulatory window.
