DOVER – The House passed several bills on Sunday aimed at addressing Delaware’s ongoing housing crisis by incentivizing public and private investments in new construction, bolstering existing state programs, and creating new protections for manufactured housing residents.
“Stable, secure housing is a fundamental necessity, yet residents in every corner of our state are struggling to find affordable options,” said Rep. Kendra Johnson, Chairwoman of the House Housing Committee.
“The measures we passed today are designed to tackle this crisis head-on, increasing affordable workforce housing, addressing barriers to homeownership, and working to ensure that everyone, including those in manufactured homes, has a safe and affordable place to call home.”
Six of the measures passed by the House, Senate Bills 22, 25, 244, 245, 246, and 247 are part of Sen. Russ Huxtable’s Housing Agenda, a bipartisan package of housing bills introduced in March.
“I introduced the bipartisan Housing Agenda in March to give relief to Delaware families struggling to find safe and affordable shelter. These six bills collectively address the core issue at the heart of Delaware’s complex housing crisis – the need for more housing units available at affordable price ranges,” said Sen. Huxtable, Prime Sponsor and Vice-chair of the Senate Housing & Land Use Committee.
“These bills are good for business, good for our communities, and good for families, while providing local governments with more tools to support Delawareans who are struggling to keep a roof over their heads,” he said. “I want to thank my House colleagues – both Republicans and Democrats – for voting to send my housing package to Governor John Carney. With today’s votes mark a huge step forward, our work is far from complete and I look forward to continuing our progress through the Affordable Housing Production Task Force, which will bring together community members, housing investors, state agencies, and elected officials to develop even more innovative solutions for Delaware’s housing crisis.”
Senate Bill 22 (S) sponsored by Rep. Bill Bush and Sen. Huxtable, would create new state incentives to help spur workforce housing development. Modeled on the Delaware State Housing Authority’s highly successful Downtown Development District Program first launched in 2014, the new Delaware Workforce Housing Program would offer grants of up to 20% of the construction costs for qualified housing projects largely centered in and around high-density population areas.
Senate Bill 25, co-sponsored by Rep. Paul Baumbach, would lower the cost of building new affordable housing projects statewide by fully exempting low-to-moderate-income dwelling units from the state’s 2% improvement tax, which is currently levied on new construction valued at $10,001 or more built within a year of the land being sold.
Senate Bill 244, co-sponsored by Rep. Kendra Johnson, would authorize any county that collects a lodging tax to allocate some or all the proceeds for workforce and affordable housing programs within that respective county. Currently, New Castle and Sussex counties collect a lodging tax with limitations on how those funds can be spent.
Senate Bill 245, co-sponsored by Rep. Johnson, would extend the Office of Foreclosure Prevention and Financial Education and the Residential Mortgage Foreclosure Mediation Program permanently. While both were created as temporary programs in the wake of the Great Recession, their sunset dates have been extended multiple times to help homeowners navigate or avoid the foreclosure process. SB 247 would remove the sunset dates from both programs.
Senate Bill 246, co-sponsored by Rep. Parker Selby, would create a dedicated revolving loan fund to help support the home repair programs that the Delaware State Housing Authority has operated for more than 30 years. Using seed money from the General Fund and gifts or bequests from private residents, the Housing Repair and Modification Fund would support eligible repairs that help protect the health of struggling families and help them stay in their homes longer.
Senate Bill 247, co-sponsored by Rep. Harris, would protect residents of manufactured housing communities from landlords who seek to impose rent increases even while refusing to address outstanding health and safety violations.
Senate Bill 293 (S) sponsored by Senate Majority Whip Elizabeth “Tizzy” Lockman and Rep. Sherae’a “Rae” Moore, would prohibit landlords from discriminating against tenants based on whether they receive housing assistance, addressing a barrier that prevents many of the most vulnerable Delawareans from accessing secure housing.
House Bill 372, sponsored by Rep. Bill Carson, would define the responsibilities of the landowner and homeowner in manufactured home communities in Delaware, clarifying that the landowner is responsible for maintaining and repairing all water, electrical, plumbing, gas, sewer, septic, and other utilities up to the connect to the home.
HB 372 now heads to the Senate for consideration. The House also passed HB 212 (S), sponsored by House Speaker Valerie Longhurst, a measure designed to increase protections for those living in manufactured homes.
The bill would cap the amount landowners can hike rental rates in subsequent years, require the Delaware Department of Justice to annually hold at least two informational meetings in each county to provide information about the lot rental assistance program and information about other available programs and services to homeowners, and require community owners to provide contact information to the Delaware Manufactured Home Relocation Authority (DEMHRA) within 60 days of taking ownership, possession, or control of a manufactured housing community.
HB 212 (S) now heads to Governor John Carney for his signature.
