RIPEC Proposes Housing Reforms Amid Crisis in Rhode Island

News Summary

The Rhode Island Public Expenditure Council (RIPEC) has called for significant reforms to the Rhode Island Housing Resources Commission in response to the housing crisis. Highlighting conflicts of interest and the need for local zoning reforms, RIPEC aims to boost housing production by creating 15,000 new units over five years. Local resistance to zoning changes and the need for infrastructure upgrades are key issues. The report reflects extensive community feedback gathered through public engagement efforts, emphasizing a strong desire for affordable housing in the state.

Providence, Rhode Island – The Rhode Island Public Expenditure Council (RIPEC) has recommended significant reforms to the Rhode Island Housing Resources Commission (HRC) in response to the ongoing housing crisis and development challenges faced by the state. The call for reform comes as housing needs escalate, with symptoms of affordability issues and stagnant income growth leaving many families struggling to find suitable living arrangements.

RIPEC’s announcement highlights potential conflicts of interest within the HRC, along with overlapping responsibilities shared with the Rhode Island Department of Housing. This unique structure, combined with a comprehensive 50-state analysis, underscores the complexities surrounding housing governance in Rhode Island compared to agencies across the country.

One of the key proposals in RIPEC’s report is the boost in housing production, advocating for the creation of 15,000 new housing units over the next five years through targeted incentives. This figure is ambitious, representing roughly double the anticipated housing output by 2030. Housing Secretary Deborah Goddard has indicated that municipalities enhancing their housing permitting processes could receive rewards, while those that fail to comply may face funding withholding.

The report identifies local zoning regulations as a substantial barrier to housing development, revealing that 87% of Rhode Island is designated exclusively for single-family homes on large lots, which restricts potential for increased density. To facilitate the construction of affordable housing, the recommendations call for local zoning reforms aimed at smaller lot sizes and enabling the development of townhomes and other middle-market options.

Current housing affordability initiatives are centered on the goal of creating homes priced at $400,000 or less, making them attainable for a larger segment of the population. However, RIPEC identifies a disparity in budget allocations, with more than 70% of affordable housing directed towards households earning 60% or less than the area’s median income.

In addition to zoning reforms, essential infrastructure upgrades are needed. The state plans to tackle insufficient water and sewer systems that currently limit new development capabilities. Progress has already seen snags, illustrated by the halted Echo Village Pallet shelter project, which faced setbacks attributed to outdated building codes. Governor Dan McKee has promised to work collaboratively with lawmakers to address these building code challenges.

Narragansett officials are pushing back against state zoning reforms by tightening their local standards and banning new duplex constructions, citing the need to maintain the town’s character. This local resistance points to the broader conflict between the need for increased housing and community preservation concerns.

RIPEC’s extensive public engagement efforts, which included over 80 community events, aimed to gather resident feedback for the Comprehensive Plan intended to forge a more resilient housing landscape in Providence. The response from the community indicates a strong desire for vibrant, accessible housing amidst the rising costs that have left many residents at a loss.

In addition to zoning changes, prospects for increasing short-term rental taxes may be on the horizon, contingent on new legislation, allowing municipalities to pursue flexible local tax policies. However, doubts persist around the high cost of construction, with total development outlays sometimes exceeding $500,000 per unit, raising questions about sustainability and feasibility.

Through an intricate blend of incentives, potential funding repercussions for non-compliance, and collaboration with local jurisdictions, the state seeks to make strides toward overcoming the pressing housing challenges that have persisted for years. As the landscape continues to evolve, the comprehensive planning efforts are expected to promote dialogues focused on housing as a crucial component of community wellbeing and economic stability in Rhode Island.

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Additional Resources

• WPRI: Housing Crisis in Providence
• Wikipedia: Housing Crisis
• Providence Journal: RI 2030 Housing Plan
• Google Search: Rhode Island Housing Crisis
• Uprise RI: Providence Comprehensive Plan
• Google Scholar: Rhode Island Housing Development
• Providence Journal: RI Affordable Housing Goal
• Encyclopedia Britannica: Housing Affordability
• GoLocalProv: RI Housing Program Costs
• Google News: Housing Policy Rhode Island