WeVote
Log In

Bill

WeVote Research Nonpartisan
Bill Summary · SB 998

Summary of Senate Bill 998 (Session 2025) – North Carolina

Title

Housing Acceleration Fund

Primary Sponsor

Senator Bradley (plus co-sponsor: Senator Woodson Bradley)

Purpose and Intent

To accelerate the development of affordable housing by providing low-cost financing to developers for building new affordable housing units and to allocate funds for transitional housing programs.

Key Provisions

Transfer of Unencumbered Funds (Sec. 1(a))

  • The bill directs a transfer of unencumbered, nonrecurring funds from the State Education Assistance Authority (SEAA) at the end of the 2025-2026 fiscal year.
  • Specifically, the following amounts would be redirected from scholarship-related uses (G.S. 115C-562.8(d)(2)) to housing and transitional housing programs:
    1. $10,000,000 to the Housing Finance Agency (HFA) for low-cost financing to develop new affordable housing units.
    2. $40,000,000 to the Department of Health and Human Services (DHHS) for its Transitions to Community Living program.

Appropriation and Administrative Use (Sec. 1(b))

  • The transferred funds are appropriated for the 2026-2027 fiscal year to:
    • Housing Finance Agency (HFA): for low-cost financing of affordable housing projects.
    • Department of Health and Human Services (DHHS): for the Transitions to Community Living program (a transitional housing/transition support initiative).
  • Each agency may use up to 3% of the transferred funds for administration of the programs described in Sec. 1(a).

Effective Date

  • The act becomes effective July 1, 2026.

What Is Being Affected

  • State budget and funding streams related to:
    • Affordable housing development (via HFA low-cost financing).
    • Transitional housing services under DHHS (Transitions to Community Living).
  • Administration funding for the two programs (eligible for up to 3% of the transferred funds).

Potential Impact

For Affordable Housing

  • Increases in available low-cost financing could lower financing barriers for developers, potentially accelerating the production of new affordable housing units.
  • Targeted investment may expand the supply of affordable rental or ownership housing in eligible markets.

For Transitional Housing

  • Additional funds to support the Transitions to Community Living program may improve access to transitional housing and related services, aiding individuals transitioning from temporary/BLS housing or other supportive services to more stable living arrangements.

Fiscal and Administrative Considerations

  • Redirects nonrecurring, unencumbered funds originally earmarked for scholarship grants to housing-related programs.
  • Provides a defined, one-year appropriation for 2026-2027 with a 3% cap for administrative costs.
  • Requires implementation by the HFA and DHHS to deploy funds effectively in their respective programs.

Summary in Plain Language

SB 998 reallocates a portion of unspent end-of-year funds from the state's education scholarship program for one year to support affordable housing. It provides $10 million to the Housing Finance Agency to offer low-cost financing for new affordable housing and $40 million to DHHS for the Transitions to Community Living program, with up to 3% of the total funds available for program administration. The measure takes effect July 1, 2026.

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

Sign in to ask a question.