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Reducing the burden : increasing housing supply to lower housing costs

Like much of the country, Tennessee has seen housing prices soar in the last several years, moving homeownership out of reach for many, while homeowners and renters alike are under financial strain just to keep the homes they already have. In response, House Joint Resolution 139 by Representative Sparks in the 113th General Assembly requested that TACIR study impact fees and their relationship to housing affordability. After discussions with the sponsor, legislative leadership, and stakeholders, the scope of the study was broadened to explore factors affecting housing affordability beyond impact fees. The resolution passed in the House and was referred to the Senate State and Local Government Committee, but no further action was taken. Many factors have contributed to these rising housing costs, but the one problem that stands out it is that housing supply does not meet demand, resulting in a loss of affordability, driven at least in part by zoning and land use policies that can constrict housing development. The Commission’s study finds that local governments already possess—and should retain—land use tools to encourage housing production. A draft finding that the state authorize local governments to make multiyear funding commitments to affordable housing was enacted as Public Chapter 1012, Acts of 2024.
Strickland, Michael
Mount, Michael; Van Syckle, Carly; Moffitt, Madison; Belden, Chris; Gibson, Teresa