Establishing a White House Council on Eliminating Regulatory Barriers to Affordable Housing

Published date28 June 2019
Citation84 FR 30853
Record Number2019-14016
SectionPresidential Documents
CourtExecutive Office Of The President
Federal Register, Volume 84 Issue 125 (Friday, June 28, 2019)
[Federal Register Volume 84, Number 125 (Friday, June 28, 2019)]
                [Presidential Documents]
                [Pages 30853-30856]
                From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
                [FR Doc No: 2019-14016] Presidential Documents
                Federal Register / Vol. 84 , No. 125 / Friday, June 28, 2019 /
                Presidential Documents
                ___________________________________________________________________
                Title 3--
                The President
                [[Page 30853]]
                 Executive Order 13878 of June 25, 2019
                
                Establishing a White House Council on Eliminating
                 Regulatory Barriers to Affordable Housing
                 By the authority vested in me as President by the
                 Constitution and the laws of the United States of
                 America, it is hereby ordered as follows:
                 Section 1. Purpose. For many Americans, access to
                 affordable housing is becoming far too difficult.
                 Rising housing costs are forcing families to dedicate
                 larger shares of their monthly incomes to housing. In
                 2017, approximately 37 million renter and owner
                 households spent more than 30 percent of their incomes
                 on housing, with more than 18 million spending more
                 than half of their incomes on housing. Between 2001 and
                 2017, the number of renter households allocating more
                 than half of their incomes toward rent increased by
                 nearly 45 percent. These rising costs are leaving
                 families with fewer resources for necessities such as
                 food, healthcare, clothing, education, and
                 transportation, negatively affecting their quality of
                 life and hindering their access to economic
                 opportunity.
                 Driving the rise in housing costs is a lack of housing
                 supply to meet demand. Federal, State, local, and
                 tribal governments impose a multitude of regulatory
                 barriers--laws, regulations, and administrative
                 practices--that hinder the development of housing.
                 These regulatory barriers include: overly restrictive
                 zoning and growth management controls; rent controls;
                 cumbersome building and rehabilitation codes; excessive
                 energy and water efficiency mandates; unreasonable
                 maximum-density allowances; historic preservation
                 requirements; overly burdensome wetland or
                 environmental regulations; outdated manufactured-
                 housing regulations and restrictions; undue parking
                 requirements; cumbersome and time-consuming permitting
                 and review procedures; tax policies that discourage
                 investment or reinvestment; overly complex labor
                 requirements; and inordinate impact or developer fees.
                 These regulatory barriers increase the costs associated
                 with development, and, as a result, drive down the
                 supply of affordable housing. They are the leading
                 factor in the growth of housing prices across
                 metropolitan areas in the United States. Many of the
                 markets with the most severe shortages in affordable
                 housing contend with the most restrictive State and
                 local regulatory barriers to development.
                 These regulatory barriers impede our Nation's economic
                 growth. Hardworking American families struggle to live
                 in markets where there is an insufficient supply of
                 housing--even in markets generating a significant
                 number of jobs. One recent study suggests that certain
                 regulatory restrictions on housing supply have forced
                 workers to live far away from high-productivity areas
                 with the best available jobs, creating a geographic
                 misallocation of labor between cities that may have
                 decreased the annual economic growth rate in the United
                 States by 36 percent between 1964 and 2009.
                 Low- and middle-income Americans are often hit the
                 hardest by regulatory barriers to housing development.
                 High housing costs place strains on household budgets,
                 limit educational opportunities, impair workforce
                 mobility, slow job creation, and increase financial
                 risks. Furthermore, studies have consistently
                 identified high housing prices as a primary determinant
                 of homelessness, and research has directly linked more
                 stringent housing market regulation to higher
                 homelessness rates.
                 To help these populations, in 2018, the Federal
                 Government invested more than $46 billion in rental
                 assistance programs for low-income families--
                [[Page 30854]]
                 much of which grows at approximately 3 percent per
                 annum while assisting a fixed number of households. The
                 Federal Government provides additional housing support
                 through the tax code, with over $9.1 billion in tax
                 expenditures in Low-Income Housing Tax Credits (LIHTC)
                 to developers of low-income housing. Generally, these
                 Federal tax dollars are focused disproportionately on
                 areas with high-cost and highly regulated housing
                 markets.
                 But to improve housing affordability in a truly
                 sustainable manner, we need innovative solutions--not
                 simply increases in spending and subsidies for Federal
                 housing. These solutions must address the regulatory
                 barriers that are inhibiting the development of
                 housing. If we fail to act, Federal subsidies will only
                 continue to mask the true cost of these onerous
                 regulatory barriers, and, as a result, many Americans
                 will not be able to access the opportunities they
                 deserve.
                 Sec. 2. Policy. It shall be the policy of my
                 Administration to work with Federal, State, local,
                 tribal, and private sector leaders to address, reduce,
                 and remove the multitude of overly burdensome
                 regulatory barriers that artificially raise the cost of
                 housing development and help to cause the lack of
                 housing supply. Increasing the supply of housing by
                 removing overly burdensome regulatory barriers will
                 reduce housing costs, boost economic growth, and
                 provide more Americans with opportunities for economic
                 mobility. In addition, it will strengthen American
                 communities and the quality of services offered in them
                 by allowing hardworking Americans to live in or near
                 the communities they serve.
                 Sec. 3. White House Council on Eliminating Regulatory
                 Barriers to Affordable Housing. There is hereby
                 established a White House Council on Eliminating
                 Regulatory Barriers to Affordable Housing (Council).
                 The Council shall be chaired by the Secretary of
                 Housing and Urban Development, or his designee. The
                 Assistant to the President for Domestic Policy and the
                 Assistant to the President for Economic Policy, or
                 their designees, shall be Vice Chairs.
                 (a) Membership. In addition to the Chair and Vice
                 Chairs, the Council shall consist of the following
                 officials, or their designees:
                (i) the Secretary of the Treasury;
                (ii) the Secretary of the Interior;
                (iii) the Secretary of Agriculture;
                (iv) the Secretary of Labor;
                (v) the Secretary of Transportation;
                (vi) the Secretary of Energy;
                (vii) the Administrator of the Environmental Protection Agency;
                (viii) the Director of the Office of Management and Budget;
                (ix) the Chairman of the Council of Economic Advisers;
                (x) the Deputy Assistant to the President and Director of Intergovernmental
                Affairs; and
                (xi) the heads of such other executive departments and agencies (agencies)
                and offices as the President, Chair, or Vice Chairs may, from time to time,
                designate or invite, as appropriate.
                 (b) Administration. The Vice Chairs shall convene
                 regular meetings of the Council, determine its agenda,
                 and direct its work with the oversight of and in
                 consultation with the Chair. The Department of Housing
                 and Urban Development shall provide funding and
                 administrative support for the Council.
                 Sec. 4. Mission and Functions of the Council. The
                 Council shall work across agencies and offices, with
                 consideration of existing initiatives, to:
                 (a) solicit feedback from State, local, and tribal
                 government officials, as well as relevant private-
                 sector stakeholders, including developers,
                 homebuilders, creditors, real estate professionals,
                 manufacturers, academic researchers, renters,
                 advocates, and homeowners, to:
                [[Page 30855]]
                (i) identify Federal, State, local, and tribal laws, regulations, and
                administrative practices that artificially raise the costs of housing
                development and contribute to shortages in housing supply, and
                (ii) identify practices and strategies that most successfully reduce and
                remove burdensome Federal, State, local, and tribal laws, regulations, and
                administrative practices that artificially raise the costs of housing
                development, while highlighting actors that successfully implement such
                practices and strategies;
                 (b) evaluate and quantify the effect that various
                 Federal, State, local, and tribal regulatory barriers
                 have on affordable housing development, and the economy
                 in general, and identify ways to improve the data
                 available to the public and private researchers who
                 evaluate such effects, without violating privacy laws
                 or creating unnecessary burdens;
                 (c) identify and assess the actions each agency can
                 take under existing authorities to minimize Federal
                 regulatory barriers that unnecessarily raise the costs
                 of housing development;
                 (d) assess the actions each agency can take under
                 existing authorities to align, support, and encourage
                 State, local, and tribal efforts to reduce regulatory
                 barriers that unnecessarily raise the costs of housing
                 development; and
                 (e) recommend Federal, State, local, and tribal
                 actions and policies that would:
                (i) reduce and streamline statutory, regulatory, and administrative burdens
                at all levels of government that inhibit the development of affordable
                housing, and
                (ii) encourage State, local, and tribal governments to reduce regulatory
                barriers to the development of affordable housing.
                 Sec. 5. Reports. The Vice Chairs, on behalf of the
                 Council, and with the oversight of and in consultation
                 with the Chair, shall:
                 (a) within 12 months of the date of this order,
                 submit to the President a report on the Council's
                 implementation of section 4 of this order; and
                 (b) submit to the President any subsequent report
                 that the President may request or that the Council may
                 deem appropriate.
                 Sec. 6. Agency Participation and Response. The heads of
                 agencies and offices shall provide such assistance and
                 information to the Council, consistent with applicable
                 law, as may be necessary to carry out the functions of
                 this order.
                 Sec. 7. Termination. The Council shall terminate on
                 January 21, 2021, unless extended by the President.
                 Sec. 8. General Provisions. (a) Nothing in this order
                 shall be construed to impair or otherwise affect:
                (i) the authority granted by law to an executive department, agency, or the
                head thereof; or
                (ii) the functions of the Director of the Office of Management and Budget
                relating to budgetary, administrative, or legislative proposals.
                 (b) This order shall be implemented consistent with
                 applicable law and subject to the availability of
                 appropriations.
                [[Page 30856]]
                 (c) This order is not intended to, and does not,
                 create any right or benefit, substantive or procedural,
                 enforceable at law or in equity by any party against
                 the United States, its departments, agencies, or
                 entities, its officers, employees, or agents, or any
                 other person.
                
                
                 (Presidential Sig.)
                 THE WHITE HOUSE,
                 June 25, 2019.
                [FR Doc. 2019-14016
                Filed 6-27-19; 8:45 am]
                Billing code 3295-F9-P
                

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