WeVote
Log In

Bill

Bill

SB 853

Create Dept. of Housing and Comm. Development.

2025-2026 Session Introduced by Sophia Chitlik and 3 co-sponsors

Creates a unified NC Cabinet-level Department of Housing and Community Development to consolidate housing, community development, and broadband programs.

Passed 1st Reading
#appointments;appropriations;boards;budgeting;communitydevelopment;councilofstate;generalassembly;governor;housing;membership;presidentprotempore;public;publicofficials;speaker;housingdevelopmentdept.;housingdevelopmentboard
0
WeVote Research Nonpartisan
Bill Summary · SB 853

Summary of SB 853 (North Carolina) – Create Dept. of Housing and Community Development

Date Filed: April 28, 2026
Session: 2025
Sponsor: Senator Smith

Purpose
- Establish a new, unified cabinet-level Department of Housing and Community Development (DHCD) to consolidate and manage the state’s housing and community development functions previously distributed across multiple agencies.

Key Provisions

1) New Department and Structure
- Creates the North Carolina Department of Housing and Community Development as a single cabinet-level department.
- Internal divisions within DHCD:
- Division of Operations: Handles operations and fiscal services.
- Division of Community Development: Focuses on community revitalization and expanding broadband access.
- Division of Housing: Focuses on housing production and preservation, homeless and special needs housing, housing policy, and natural disaster resilience.
- Policy and Legislative Office: Serves as interagency liaison with the General Assembly and other entities.

2) Statutory Reorganization and Authority
- Amends the Executive Organization Act and related statutes to place the new DHCD among the principal departments (i.e., it becomes a department to which executive powers are vested).
- Includes the Department in the list of exempt positions under the North Carolina Human Resources Act, enabling a capped number of exempt roles within the department (up to 425 exempt positions).

3) Governing Structure and Oversight
- Establishes the DHCD as an instrumentality of the executive branch with a dedicated Secretary who leads the department.
- Creates the North Carolina Board of Housing and Community Development to advise the Secretary and assist in the department’s mission. Board composition:
- The Secretary serves as an ex officio chair.
- Nine additional members: five appointed by the Governor; two by the President Pro Tempore of the Senate; two by the Speaker of the House.
- Board terms: Two years; vacancies filled by the respective appointing authorities. Legislative appointments follow state rules (G.S. 120-121 and 120-122).

4) Mission and Functions
- Mission includes:
- Partnering with North Carolina communities to develop economic potential.
- Providing training and certification for building officials.
- Investing in housing and community development projects to assist low- to moderate-income residents.
- Authorized activities align with housing production/preservation, homelessness and special needs housing, housing policy, disaster resilience, and community development planning (including broadband expansion).

5) Funding and Effective Dates
- Sec. 3(a): Appropriates $30,000,000 in recurring General Fund dollars to DHCD for the 2026-2027 fiscal year, with ongoing funding presumably thereafter.
- Sec. 3(b): Funding provision becomes effective July 1, 2026.
- Sec. 4: General effective date of the act (unless otherwise specified).

Potential Impact

  • Administrative Consolidation: Creates a centralized agency for housing and community development, potentially improving coordination, policy coherence, and program delivery.
  • Budget and Resources: Establishes a dedicated $30 million recurring appropriation beginning in FY 2026–27 to support initial operations and programs.
  • Workforce: Introduces an exempt-positions framework within the department, allowing for a specific number of senior leadership and critical staffing roles.
  • Local Communities: Emphasizes housing production/preservation, homelessness programs, disaster resilience, and broadband access expansion, with a stated aim to partner with communities to enhance economic potential.
  • Oversight and Accountability: Adds a new Board to provide guidance and legislative liaison, aligning the department with both executive and legislative branches.

Notes
- The bill would reclassify and reorganize existing housing-related functions under a single department, with new internal divisions and an interagency policy office.
- Detailed programmatic rules and implementation timelines would likely be developed after enactment, in alignment with the department’s rulemaking authority.

Compiled from official sources — confirm details with the bill’s official record.

Sign in to ask a question.