(Opinion) Housing is economic infrastructure

Congress has finally started treating it that way

James T. Brett

WORKFORCE

By: James T. Brett

For years, New England employers have identified one challenge that cuts across nearly every industry: Our region simply is not building enough homes to meet demand. As a result, too many individuals and families cannot find homes they can afford in the communities where they want to live and work.

Whether it is a manufacturer struggling to recruit skilled workers, a hospital competing for nurses, a financial institution expanding its workforce or a university attracting faculty, the effects of the housing shortage are felt across our economy.

Housing has become one of the region’s greatest constraints on economic growth because thriving businesses depend on thriving communities. When housing becomes increasingly out of reach, employers struggle to attract and retain talent, local economies lose momentum and communities become less vibrant.

That is why the enactment of the 21st Century ROAD to Housing Act marks an important turning point. More than a housing bill, it is an investment in America’s economic competitiveness and a bipartisan recognition that expanding housing supply is essential to strengthening communities and sustaining long-term economic growth.

New England’s congressional delegation played an important role in shaping and advancing this legislation. In the Senate, Sen. Elizabeth Warren (Mass.), ranking member of the Senate Banking, Housing and Urban Affairs Committee, and Sen. Jack Reed (R.I.) helped advance key housing provisions. In the House, Representatives Jim Himes (Conn.), Stephen F. Lynch (Mass.) and Ayanna Pressley (Mass.) contributed through their work on the House Financial Services Committee. The New England Council thanks them for their leadership and continued commitment to advancing practical housing solutions for our region and the nation.

The legislation recognizes that no single policy can solve a housing shortage decades in the making. Instead, it combines regulatory modernization, financing reforms and incentives for local innovation to increase housing production.

Several provisions are especially important to New England’s business community.

The law modernizes manufactured housing by removing outdated regulatory requirements, updating federal standards and expanding financing opportunities. As construction costs continue to rise, these reforms create new opportunities to deliver high-quality, lower-cost homes more efficiently.

The package also strengthens community banks and local lenders by reducing regulatory burdens and improving access to mortgage financing. These institutions are essential partners in financing homeownership, supporting small businesses and investing in communities across New England.

The legislation further expands opportunities for first-time and workforce homebuyers by improving financing options and reducing barriers to homeownership. Helping more individuals and families purchase homes strengthens communities while enabling employers to attract and retain talent.

One provision of particular significance to New England is the creation of a new Federal Innovation Fund at the U.S. Department of Housing and Urban Development. Developed by Sen. Warren, the program authorizes up to $200 million annually in competitive grants for local and tribal governments that increase housing supply through reforms such as streamlined permitting, zoning modernization, density incentives and other locally driven strategies.

Rather than prescribing a one-size-fits-all solution, the initiative rewards communities that embrace housing growth while giving local leaders the flexibility to pursue solutions that best meet their unique needs.

Across New England, housing availability increasingly shapes where businesses invest, where workers choose to live, and whether communities can grow and remain competitive. Addressing affordability ultimately requires increasing supply, and Congress has now provided meaningful tools to help make that happen.

The New England Council has long advocated for practical, bipartisan policies that expand housing production while strengthening regional competitiveness. Representing more than 650 businesses, academic institutions, hospitals and nonprofit organizations across the region, the Council believes the 21st Century ROAD to Housing Act is a significant first step. Its success, however, will depend on implementation and continued collaboration among federal, state and local partners.

The enactment of the 21st Century ROAD to Housing Act is an important beginning, not the finish line. For New England to remain competitive, federal, state, local and private-sector leaders must now work together to translate this landmark legislation into more homes, stronger communities and greater economic opportunity.

James T. Brett is the president & CEO of The New England Council, a nonpartisan alliance of businesses, academic and health institutions, and public and private organizations throughout New England formed to promote economic growth and a high quality of life in the region.