Reps. Isaacsohn, Mathews Introduce Legislation Addressing Ohio's Housing Supply Shortage
COLUMBUS - State Reps. Dani Isaacsohn (D-Cincinnati) and Adam Mathews (R-Lebanon) today introduced bipartisan legislation intended to increase housing supply and stabilize home prices and rents by incentivizing local governments to adopt pro-housing policies to create a healthier housing market. The first-of-its-kind bill will revolutionize how local governments across the state approach housing supply by using state policy and resources to spur innovation and access at the local level.
“Everyone in Ohio deserves a safe place to call home that they can afford to live in. Our housing market isn’t working as there are too few places to rent and not enough houses to buy, making everything more expensive. This bill is about pursuing bipartisan solutions to address the urgent challenges that people in Ohio are experiencing when it comes to finding a place to live,” said Rep. Isaacsohn.
The bill would create a new Housing Fund at OHFA.
“This is not a partisan issue, but a generational one, and we are proud to have a broad range of support from across Ohio for this legislation,” said Rep. Mathews. “Rep. Isaacsohn and I are younger members of this General Assembly, and we want to build a future where people can find their own piece of the American dream right here in Ohio. This bill would mark a huge step forward in making Ohio both the heart and home of it all.”
Local governments would be eligible to apply for the grants if they adopt some of the pro-housing policies from a long menu of options, giving them the chance to choose the policies that are best for their communities. Eliminating parking minimums, reducing single family zoning, providing density bonuses, and speeding up permitting processes are among the policies included.
Local governments would then be required to utilize the funds to boost homeownership, get sites ready for development, support tenants, or pursue other specific pro-housing policies.
The housing fund would aim to be revenue neutral, funded by reducing the state’s tax expenditures by removing eligibility for the non-business tax credit for property owners who do not live in the houses they own.
Sen. Louis W. Blessing, III (R-Colerain Township), member of the Senate Select Committee on Housing, also shared his support for the legislation:
“I support the efforts of Reps. Isaacsohn and Mathews, as it is vitally important to keep housing reform efforts moving forward,” said Sen. Blessing. “They are correctly focused on supply, as that is the only way to stop home prices and rents from increasing at their currently unsustainable rate. Offering incentives for locals to add more supply, underwritten by re-engineering elements of our tax code, and thus potentially being revenue neutral, is the most readily apparent and responsible approach to fostering a healthy housing market. Any housing reform will take time to come to fruition, but the seeds of reform that are sown today will grow into the equitable, affordable, and abundant housing world of tomorrow.”
In 2022, Ohio’s homeownership rate fell below the national average for the first time on record, while the number of vacant units available for sale or rent also declined. These numbers indicate a huge obstacle in home ownership for Ohioans of all income levels, showing the urgent need to increase the housing supply in Ohio. This legislation will allow local governments to experiment with creative solutions to increase housing, retain their residents, attract new Ohioans from outside of the state, and make Ohio the heart and the home of it all.
You can also view the press conference here.