Regional Housing Infrastructure Gap Act

By Gary Bennett

This article appears in the March 2025 edition of the Woodsboro-Walkersville News-Journal, page 5.

Municipalities around Frederick County that deny housing projects because they will “change the neighborhood character” or because they simply “don’t want any more housing,” should be ready to prove in an objective, measurable way how new housing will adversely affect their community if Maryland House Bill HB053 (cross-filed with Senate Bill SB0430) passes the Maryland legislature and ends up on Governor Moore’s desk.

Known as the Regional Housing Infrastructure Gap Act (or Housing for Jobs Act), this proposed legislation will tie a region’s number of jobs to the housing needed to support those jobs. The legislation purposely aims to make it more difficult for jurisdictions to oppose reasonable housing projects.

The proposed legislation is similar to “Fair share” planning and zoning rules in New Jersey, Connecticut and other states that require each municipality or region to provide a proportional amount of affordable housing based on factors like population, jobs and land availability, essentially ensuring that the burden of providing low-income housing is distributed equitably across different areas, preventing concentration of affordable housing in only certain neighborhoods.

The housing gap in Frederick County was estimated to be 5,700 units in 2016, and we all know the gap has widened since then. It is especially dire for those at the bottom rungs of the economic ladder. To update our estimated gap, Frederick County is now in the early stages of a new housing study that will also lead to the county’s first housing strategic plan.

Even with people suffering with homelessness, overcrowding at others’ homes and doing without enough food, medicine and clothing to pay their exorbitant housing costs, some municipalities around Frederick County (excluding Frederick City) have made it abundantly clear that no residential growth or very slow residential growth are the only policies they will accept and support. We read about this time and again.

It shouldn’t be this way.  Just like it takes a village to raise a child, it will take the entire county to solve our housing problem.

All municipalities in the county should share in the expected growth we cannot stop. There is not much we can do to quell demand to live in our county short of ripping up Carroll Creek, razing our delightful downtown and walling off our picturesque scenery and open spaces, which are already protected by the state and county and can’t be built upon.

Sure, we could shutter our windows and stop all housing projects in their tracks if we wished, but then we would become like other no-growth counties that eventually wither and then try to get back on track. This stance may work for people who live here now, but what about our children and aging parents who wish to stay. Where do they go?

The proposed legislation aims to peg needed housing to jobs. Specifically, the bill says that for every 1.5 jobs within our county, there should be one housing unit. Under our current jobs-to-housing ratio, the county would need to build 7,000 homes to reach that ratio, a number not far from our estimated 2016 gap of 5,700.

Pegging housing to jobs makes sense. People want to live close to where they work, and for a host of environmental, energy, family and community reasons, we should want that, too. Under the bill, planning and zoning boards and town councils must approve housing projects unless there’s a very good and objective reason not to.

Municipalities would be able to stop housing development projects only if:

  • It would have a specific adverse impact on the public health or safety to the residents who would live there, and there is no feasible way to mitigate it.
  • It is in an area with inadequate water or wastewater facilities to adequately serve the project, and there is no feasible way to mitigate it.
  • It is in an area zoned for heavy industrial use or on conservation property.
  • It is in a school attendance area that has verifiable current or projected full-time enrolment that exceeds 100% of the school’s estimated or state-rated capacity, and there is no feasible method to comply.

The bill authorizes the state’s Department of Housing and Community Development and Department of Planning to calculate regional housing infrastructure gaps, provide the apportionment of regional housing infrastructure gaps to all counties and incorporated municipalities and establish that certain local jurisdictions have an affirmative obligation to expeditiously approve housing development project applications.

The “affirmative obligation” clause is a big one and a paradigm shift in how business is done now.

Currently, municipalities are under no obligation to help solve our county’s housing problem and often do not even see it as their problem. They are perfectly happy for most of the development to happen in Frederick City. Under the bill, a local jurisdiction may not deny a housing development project unless it has a justification that “clearly outweighs the need for housing and is supported by clear and convincing evidence.”

Indeed, if a local jurisdiction denies a housing development project, the local jurisdiction must provide in writing the reason for denial, specifying how the denial complies with the law. The proponent of a housing development may bring an action in the appropriate circuit court to enforce it. If passed and signed by the governor this session, which is likely, the Act will take effect on January 1, 2026.

This potential shift in state housing policy is not surprising. We should remember that land use control is constitutionally guaranteed to states, not municipalities. States have often delegated this authority to municipalities, as they’ve done in Maryland. But it can be taken back when local decision makers misuse the privilege.

It’s too bad doing the right thing has to be mandated, but we suspect the state has had enough new housing developments stopped in their tracks for specious reasons to warrant action. The days of simply not wanting more housing to stop projects may become a thing of the past.

The bill is still in draft form and there’s a very long way to go. It is currently in the House of Delegates with a hearing scheduled for March 4 at 1:00 pm. Frederick County Delegate Ken Kerr is a co-sponsor.

Affordable housing bills well represented in new session

By Gary Bennett and Hugh Gordon

Maryland State House in Annapolis, MD

This article appears in the February 10, 2024, issue of the Fredrick News-Post’s Opinion section.

The Affordable Housing Council of Frederick County is pleased to see there is clear recognition by the Maryland General Assembly, as evidenced by the actions it is taking, of the massive shortage of affordable housing across all of Maryland.

When the 90-day 2024 session kicked off on Jan. 10, it had prefilings over more than 800 proposed bills, many of which overlap. Of these, more than 200 deal with housing, affordable housing or related subject areas. All will be heard in committees in which Frederick County is well represented.

Despite the Affordable Housing Council’s urging, no housing-related priorities made it into the Frederick County Council’s 2024 legislative package. However, the County Council did provide several position statements supporting affordable housing initiatives and particularly the landlord/tenant “just cause” eviction notice.

The Affordable Housing Council has identified the following seven bills as important to advocate for and actively track during their monthly deliberations.

• HB3: Expedited Development Review Processes for Affordable Housing — sponsored by Del. Vaughn Stewart of Montgomery County. It requires local jurisdictions to implement an expedited development review process for affordable housing.

This bill is especially attractive since it mirrors the governor’s wish to reduce the public hearing process used to delay projects or have them narrowed and a 2024 policy priority for the local Affordable Housing Council to streamline Frederick County’s and the city of Frederick’s permitting process to accelerate affordable housing projects.

• HB7: Housing Innovation Pilot Program and Housing Innovation Fund — also sponsored by Stewart. It proposes establishing a housing innovation pilot program at Maryland’s Department of Housing and Community Development (DHCD) for providing loans for local housing authorities to develop mixed-income, cross-subsidized housing.

DHCD, the primary housing authority for the state, funds or insures loans for the purchase and construction of housing for low-income families; helps low- and moderate-income families buy or rehabilitate houses; and aids nonprofit organizations with grants or loans to house the elderly, developmentally disabled and homeless.

This bill dovetails nicely with Frederick County’s stated goal for its Division of Housing to expand further into the world of housing finance by prioritizing outside funding opportunities to create and preserve affordable housing.

• HB63: Property Tax Credit for Dwelling House of Disabled Veterans — sponsored by Del. Andrew Pruski of Anne Arundel County. It provides for a tax credit for dwelling houses of disabled veterans as declared by the U.S. Department of Veteran Affairs.

• SB25: Disabled or Fallen Law Enforcement Officer or Rescue Worker Property Tax Credits — sponsored by Sen. Katherine Klausmeier of Baltimore County. It proposes a tax credit for disabled or fallen law enforcement officers or rescue workers.

• HB69: Live Where You Teach Program — sponsored by Del. Marlon Amprey of Baltimore City. It authorizes the Community Development Administration in the state’s Department of Housing and Community Development to administer a homebuyer assistance program and a rental assistance program for housing near schools where school employees want to live.

 SB90, sponsored by Sen. Antonio Hayes of Baltimore City, is proposing that $200,000 be appropriated for CDA to apply to the Live Where You Teach Program.

This bill, if passed, would only apply at this time to the school staff in Baltimore City, but the positive ramifications for teachers statewide could be huge in the future.

• HB154: Revaluation of Property on Transfer After Appeal — sponsored by the chair of the Ways and Means Committee on behalf of the Maryland Department of Assessments and Taxation. It provides for a homeowner’s property tax credit for applications submitted within three years after April 15 of the taxable year for which the credit is sought. This means that if the assessment of the property is reduced upon appeal, the taxpayer pays the lower amount.

• HB138: Financial Literacy for All Act — also sponsored by Amprey. It proposes financial literacy requirements as part of required curriculum for students. Financial literacy is an important component for understanding prerequisites for buying, renting or financing a home.

All of these proposed bills are important building blocks for the creation, preservation or financing of affordable homes in the state of Maryland.

We are heartened that help is on the way for millions of Marylanders who can’t afford the home they need.

Editor’s note: Gary Bennett is a retired marketing executive. Hugh Gordon is the association executive for the Frederick County Association of Realtors and has decades of experience in the real estate world, including 24 years as a mortgage banker. They are longtime Frederick County residents and members of Frederick’s Affordable Housing Council.