HB 2445

                                                   PRINTER'S NO.   3255
                THE GENERAL ASSEMBLY OF PENNSYLVANIA
                    HOUSE BILL
                    No. 2445
                                             Session of
                                               2026
INTRODUCED BY SOLOMON, HOGAN, MAJOR, KHAN, BURGOS, HILL-EVANS,
   SANCHEZ, K. HARRIS, WAXMAN, MADDEN, MADSEN, GALLAGHER,
   CERRATO, SHUSTERMAN, SMITH-WADE-EL AND CIRESI, APRIL 21, 2026
REFERRED TO COMMITTEE ON HOUSING AND COMMUNITY DEVELOPMENT,
   APRIL 22, 2026
                                  AN ACT
1 Amending the act of June 27, 1996 (P.L.403, No.58), entitled "An
2    act to enhance community and economic development in this
3    Commonwealth by restructuring certain administrative
4    functions and entities; changing the name of the Department
5    of Commerce to the Department of Community and Economic
6    Development; transferring functions of the Department of
7    Community Affairs into the Department of Community and
8    Economic Development and other agencies; providing for a
9    Deputy Secretary for Community Affairs and Development in the
10    Department of Community and Economic Development;
11    establishing the Center for Local Government Services and the
12    Local Government Advisory Committee; establishing the Small
13    Business Advocacy Council; conferring powers and duties on
14    the Legislative Reference Bureau; and making repeals,"
15    providing for Office of Housing Opportunity.
16    The General Assembly of the Commonwealth of Pennsylvania
17 hereby enacts as follows:
18    Section 1.    The act of June 27, 1996 (P.L.403, No.58), known
19 as the Community and Economic Development Enhancement Act, is
20 amended by adding a chapter to read:
21CHAPTER 17
22OFFICE OF HOUSING OPPORTUNITY
23 Section 1701.    Definitions.
1    The following words and phrases when used in this chapter
2 shall have the meanings given to them in this section unless the
3 context clearly indicates otherwise:
4    "Advisory committee."     The Housing Opportunity Advisory
5 Committee established in section 1705.
6    "Agency."     The Pennsylvania Housing Finance Agency.
7    "Housing production targets."        The housing production targets
8 under section 1706.
9    "OTO."     The Pennsylvania Office of Transformation and
10 Opportunity established by Executive Order 2023-05.
11    "Office."     The Office of Housing Opportunity established
12 under section 1702.
13 Section 1702.    Office of Housing Opportunity.
14    The Office of Housing Opportunity is established in the
15 department.
16 Section 1703.    Deputy secretary.
17    The Governor shall appoint a Deputy Secretary for Housing
18 Opportunity, who shall be responsible for the administration of
19 the office.
20 Section 1704.    Powers and duties.
21    The office shall have the following powers and duties:
22(1)     Administering the functions specified in section
23    301(a)(6), (9) and (14).
24(2)     Chairing and making certain appointments to the
25    advisory committee as approved under section 1705.
26(3)     Adopting and publishing housing production targets
27    every 10 years based on the recommendations of the advisory
28    committee and implementing policies to meet the housing
29    production targets.
30(4)     Publishing an annual report detailing progress
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1    toward the housing production targets.
2(5)   Collaborating with the OTO to meet housing
3    production targets established under this chapter.
4(6)   Coordinating with the agency to ensure comprehensive
5    delivery of housing financing assistance.
6(7)   Administering the Residential Economic Development
7    District Grant Program under section 1709.
8(8)   Promulgating the rules and regulations necessary to
9    carry out the provisions of this chapter.
10 Section 1705.        Advisory committee.
11    (a)   Establishment.--The Housing Opportunity Advisory
12 Committee is established within the office.
13    (b)   Membership.--The committee shall consist of the
14 following members:
15(1)   The Deputy Secretary of Housing Opportunity or a
16    designee, who shall serve as chairperson of the committee.
17(2)   The secretary or a designee.
18(3)   The Secretary of Environmental Protection or a
19    designee.
20(4)   The Secretary of Policy and Planning in the
21    Governor's Policy Office or a designee.
22(5)   The Secretary of Health or a designee.
23(6)   The Secretary of Labor and Industry or a designee.
24(7)   Four members of the General Assembly, including:
25(i)     One member of the Senate, appointed by the
26President pro tempore of the Senate.
27(ii)     One member of the Senate, appointed by the
28Minority Leader of the Senate.
29(iii)     One member of the House of Representatives,
30appointed by the Speaker of the House of Representatives.
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1(iv)     One member of the House of Representatives,
2appointed by the Minority Leader of the House of
3Representatives.
4(8)   Four representatives of local government, appointed
5    by the Deputy Secretary of Housing Opportunity, including:
6(i)     One representative of county government
7representing rural communities.
8(ii)     One representative of county government
9representing urban or suburban communities.
10(iii)     One representative of municipal government
11representing rural communities.
12(iv)     One representative of municipal government
13representing urban or suburban communities.
14(9)   Nine members, appointed by the Deputy Secretary of
15    Housing Opportunity, who reside in this Commonwealth and have
16    extensive knowledge of at least one of the following areas:
17(i)     Residential real estate construction.
18(ii)     Residential real estate development or
19financing.
20(iii)     Residential real estate ownership.
21(iv)     Local government planning and regulations.
22(v)     Local permitting and licensing.
23(vi)     Civil engineering.
24(vii)     Environmental engineering.
25(viii)     Historic preservation.
26(ix)     The housing needs of low-income individuals.
27    (c)   Terms.--A member of the advisory committee shall serve
28 for the duration of the term of the appointing authority. A
29 member may be removed for cause by the member's appointing
30 authority.
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1    (d)   Compensation and expenses.--Members of the advisory
2 committee shall receive no compensation for their services but
3 shall receive reimbursement for necessary and proper expenses
4 for attendance at meetings.
5    (e)   Meetings and quorum.--
6(1)   The advisory committee shall meet at least quarterly
7    and upon the call of the chairperson at other times as deemed
8    necessary.
9(2)   Twelve members of the advisory committee shall
10    constitute a quorum.
11    (f)   Declared vacancies.--The Deputy Secretary of Housing
12 Opportunity shall declare a vacancy to exist on the advisory
13 committee whenever any member appointed by the Deputy Secretary
14 fails to attend three consecutive meetings without good cause. A
15 declared vacancy shall be filled for the unexpired term.
16    (g)   Staff.--The office shall provide staff for the advisory
17 committee.
18    (h)   Duties.--The advisory committee shall:
19(1)   Study and make recommendations on ways that the
20    Commonwealth and local governments can improve housing supply
21    and housing affordability.
22(2)   Identify and assess factors that impact housing
23    supply and housing affordability, including:
24(i)     Labor and material costs.
25(ii)     Taxes and fees.
26(iii)     Access to financing and capital investment.
27(iv)     Planning, zoning and land use regulations.
28(v)     State building code standards.
29(vi)     Appeals and other legal barriers.
30(vii)    State and local permitting and approval
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1processes.
2(viii)       The availability of land for housing.
3(ix)     Creating and financing affordable housing.
4(x)    Infrastructure.
5    (i)    Report.--On or before March 30, 2027, and every two
6 years thereafter, the advisory committee shall report its
7 findings and recommendations to the office. The office shall
8 transmit the report to the OTO and to the chairperson and
9 minority chairperson of the Urban Affairs and Housing Committee
10 of the Senate and the chairperson and minority chairperson of
11 the Housing and Community Development Committee of the House of
12 Representatives.
13 Section 1706.  Housing production targets.
14    (a)    Target report.--The office shall publish a report, on or
15 before July 1, 2027, and every 10 years thereafter, establishing
16 housing production targets. The following shall apply:
17(1)   The housing production targets shall be established
18    for:
19(i)    The Commonwealth.
20(ii)     Each local jurisdiction, which shall include:
21(A)    Each county.
22(B)    Each municipality that exercises zoning or
23planning authority.
24(2)   In establishing the housing production targets, the
25    office shall:
26(i)    Analyze data and forecasts related to:
27(A)    Employment demand.
28(B)    Housing demand.
29(C)    Population growth.
30(D)    The ratio of median household income wage
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1growth to increases in home prices and rental costs,
2which shall be treated as evidence of unmet housing
3need and housing underproduction.
4(E)   Any other related information.
5(ii)    Utilize the data and consider the
6recommendations contained in each report issued by the
7advisory committee under section 1705 since the prior
8report required by this section.
9(iii)    Consult with each local jurisdiction that may
10have housing production targets.
11(3)   The office shall transmit the report to the OTO and
12    to the chairperson and minority chairperson of the Urban
13    Affairs and Housing Committee of the Senate and the
14    chairperson and minority chairperson of the Housing and
15    Community Development Committee of the House of
16    Representatives.
17(4)   The office shall publish the current housing
18    production targets on the department's publicly accessible
19    Internet website and notify each applicable local
20    jurisdiction of the housing production targets in a timely
21    manner.
22(5)   The publication under paragraph (4) shall provide a
23    supporting basis for the housing production targets.
24    (b)   Progress report.--The office shall publish a report on
25 or before July 1, 2028, and on or before July 1 of each year
26 thereafter, detailing progress made toward the housing
27 production targets established under subsection (a). The
28 following shall apply:
29(1)   The report shall:
30(i)     Identify the housing production targets for the
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1      Commonwealth and each local jurisdiction.
2(ii)    Assess the progress of the Commonwealth and
3      each local jurisdiction with meeting applicable housing
4      production targets.
5(iii)    Provide a supporting basis for any alteration
6      to an established housing production target.
7(iv)    Disaggregate housing production targets and
8      outcomes by:
9(A)   Income level, including extremely low-income
10households at or below 30% of area median income.
11(B)   Housing stability risk, including
12populations experiencing homelessness or at risk of
13homelessness.
14(C)   Disability status.
15(D)   Fixed income.
16(E)   Number of housing units that are affordable
17to extremely low-income households at or below 30% of
18area median income.
19      (2)   The office may not consider housing production that
20  has been approved or similarly authorized but construction
21  has not commenced when determining the progress of the
22  Commonwealth or a local jurisdiction with meeting applicable
23  housing production targets under this section.
24      (3)   The report shall provide potential solutions to
25  assist the Commonwealth or a local jurisdiction with meeting
26  applicable housing production targets in the report required
27  under this section.
28      (4)   The office shall transmit the report to the OTO and
29  to the chairperson and minority chairperson of the Urban
30  Affairs and Housing Committee of the Senate and the
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1    chairperson and minority chairperson of the Housing and
2    Community Development Committee of the House of
3    Representatives.
4(5)   The office shall not be required to provide a report
5    under this section in the same year that a housing production
6    target report is required under subsection (a).
7 Section 1707.   Bureau of Housing Finance Liaison (Reserved).
8 Section 1708.   Commonwealth Housing Ombudsman (Reserved).
9 Section 1709.   Residential Economic Development District Grant
10Program (Reserved).
11 Section 1710.   Residential Construction Workforce Training Grant
12Program (Reserved).
13 Section 1711.   Residential construction permitting time frames
14(Reserved).
15 Section 1712.   Municipal building permit review (Reserved).
16 Section 1713.   Preapproved housing permitting approval
17(Reserved).
18    Section 2.   This act shall take effect immediately.
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