WeVote
Log In

Bill

Bill

SB 134

Telephone Solicitation

2026 Regular Session Introduced by Tina Polsky

Local governments may adopt inclusionary zoning, while NC commits $10 million per year (General Fund) to the Housing Finance Agency to fund workforce housing loans.

Died in Commerce and Tourism
#subjectindex
0
WeVote Research Nonpartisan
Bill Summary · SB 134

SB 134 — Inclusionary Zoning / Workforce Housing Funds

Status: Passed 1st Reading (introduced Jan 23, 2025)
Subjects: Appropriations; Housing; Local Government; Planning & Zoning; Housing Finance Agency

Main purpose

To expand tools for producing affordable housing in North Carolina by (1) authorizing local governments to adopt inclusionary zoning as part of their zoning regulations, and (2) providing recurring state funding to the North Carolina Housing Finance Agency (HFA) for its Workforce Housing Loan Program.

Key provisions

  • Zoning authority (amend G.S. 160D‑702)

    • Adds an explicit authorization that local zoning regulations “may also provide for inclusionary zoning.”
    • Leaves the content and implementation of inclusionary zoning to local governments (no statewide mandate or specific set‑aside, fee‑in‑lieu, or affordability standards are prescribed in the bill).
    • Continues to allow other zoning tools described in the statute (density credits, right‑of‑way dedication, performance guarantees, etc.).

  • Appropriation to HFA

    • Appropriates $10,000,000 (General Fund) in recurring funds for FY 2025–26 to the North Carolina Housing Finance Agency.
    • Funds are directed to the Workforce Housing Loan Program (established under G.S. 122A‑5.15) to support loans for workforce housing.

  • Effective date

    • The appropriation and program funding provisions take effect July 1, 2025.

Who is affected

  • Local governments: may choose to adopt inclusionary zoning ordinances and design the terms (percentage of units, targeting, incentives/exemptions).
  • Developers and property owners: potentially subject to local inclusionary requirements or eligible for incentives/offsets where local rules apply.
  • Prospective lower‑ and moderate‑income renters/homebuyers and workforce households: potential increased access to units or loan products financed through the HFA program.
  • State budget: recurring $10 million General Fund commitment beginning FY 2025–26.

Implementation & fiscal impact

  • The bill does not prescribe uniform inclusionary zoning mechanics; localities retain discretion over design and enforcement.
  • The explicit recurring appropriation creates an ongoing $10 million impact to the General Fund for the Workforce Housing Loan Program; program administration and loan terms will follow HFA rules and G.S. 122A‑5.15.

Procedure / timeline

  • Introduced Jan 23, 2025; passed first reading. Section on funding specifies July 1, 2025 as effective date for the appropriation. Local adoption of inclusionary zoning would proceed via each jurisdiction’s normal zoning amendment process.

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

Sign in to ask a question.