Legislature addresses affordable housing

(July 17, 2007) One of the key components in building a competitive workforce is providing sufficient affordable housing for employees of all income levels. In an effort to address the problem of high housing costs in Connecticut, the legislature adopted a proposal that creates incentives for municipalities to develop more affordable housing.

Municipalities are authorized to create Incentive Housing Zones that must accommodate higher densities and have at least 20% of the units be affordable for residents earning 80% of the median area income or less. The municipalities creating such zones will receive incentive payments for each unit in the zone. The legislature is also providing $4 million for technical assistance and planning grants to towns, nonprofit developers, housing assistance organizations and regional planning agencies to help develop more affordable housing.

In addition, the legislature authorized a blue-ribbon study of housing development barriers in Connecticut. The study group, to be appointed by the governor and legislative leaders, must report to the General Assembly by Feb. 1, 2008.