Governor Gretchen Whitmer signed a package of four bills into law this week that leaders say could provide a major boost to communities trying to build more workforce and attainable housing.

Senate Bills 362, 364, 422, and 432 were “crafted to address various obstacles to workforce and attainable housing development in areas including land use, financing, and taxation,” according to Housing North. The bills were drafted after Housing North and the Housing Michigan Coalition – a group of 60-plus organizations advocating for housing led by Housing North, Home Builders Association of Michigan, Michigan Municipal League, and Grand Rapids Chamber – collected input on ways to develop “missing middle” housing opportunities. The bills accomplish the following:

> Establishment of attainable housing districts that will offer tax incentives for housing developments that target income-qualified households, including dormant properties previously used as commercial or industrial sites
> Creating residential facility exemptions offering specific tax exemptions for income-eligible housing projects.
> Expasion of PILOT - or Payment in Lieu of Taxes - pacts with local governments for projects dedicated to workforce housing opportunities on a long-term basis.
> Expansion of the state’s Neighborhood Enterprise Zone legislation offering financial incentives for the creation of workforce housing.

“It’s really been a total team effort to get these bills over the line and to the Governor’s desk for her signature,” says Housing North Executive Director Yarrow Brown. Warren Call, president and CEO of Traverse Connect - part of the Northern Michigan Chamber Alliance, which backed the legislation - praised Whitmer for “signing the Housing Michigan Coalition package to incentivize the development of workforce housing in Michigan. We are thankful to Sen. Wayne Schmidt, Rep. John Roth and our friends at Housing North for their partnership and collaboration. We look forward to continued progress on solutions to workforce housing challenges in the new legislative term.”

Brown says work is already underway on measures to help implement the new legislation. Housing North is planning a set of webinars early next year that highlight PILOT and Neighborhood Enterprise Zones portions of the legislation and how communities can implement those tools locally. Housing agencies like the Michigan State Housing Development Authority (MSHDA) are reviewing their programs and procedures to utilize the new legislation, and housing advocacy groups across the state are working on sample ordinances and training programs on the legislative changes.

“It’s a huge win to get these bills approved, but now the work really begins,” Brown says.