U.S. Representatives Mike Kelly (R-PA) and Josh Harder (D-CA) have introduced the Increasing Housing in Opportunity Zones Act, a new bill designed to make it easier for housing projects in designated Opportunity Zones to access competitive grants from the Department of Housing and Urban Development (HUD). The legislation would give extra consideration to applicants who are located in or primarily serve these zones, with the goal of supporting both preservation and construction of housing.
Rep. Kelly emphasized the impact of Opportunity Zones on communities that had previously lacked private investment. “Opportunity Zones have breathed new life into neighborhoods and Main Street businesses that have not seen private investment in years, all without spending a single taxpayer dollar,” said Rep. Kelly. “Housing costs continue to be a pressing issue for so many Americans. This new legislation builds upon the successes of Opportunity Zones and leverages the tax code to both expand the housing supply and lower costs.”
Rep. Harder highlighted the urgency of addressing rising housing costs. “Valley communities are in a housing crisis – families are struggling to keep a roof over their heads while the next generation can’t even afford to leave home and move into a place of their own,” said Rep. Harder. “We need more new homes, lower housing costs, and projects finished faster – that’s exactly what this bill helps deliver. I’m going to continue pushing to make life in the Valley affordable again and restore our families’ dream of being able to buy a home.”
The proposed act is part of a larger package known as the 21st Century ROAD to Housing Act, led by Senators Tim Scott (R-SC) and Elizabeth Warren (D-MA). If enacted, this would represent one of the most significant legislative efforts on housing in recent decades and has received support from the Trump administration.
Rep. Kelly has been active on issues related to Opportunity Zones throughout his time in Congress, where he has represented Pennsylvania’s 16th District since 2011 after succeeding Kathy Dahlkemper (source). Born in Pittsburgh in 1948, Kelly currently lives in Butler (source). He earned his BA from the University of Notre Dame in 1970.
Kelly’s district includes Erie, Pennsylvania, which has been cited as an example for successful implementation of Opportunity Zone initiatives. According to data from the Erie Downtown Development Corporation, more than $150 million in private investment has gone into downtown Erie through Opportunity Zones, with total long-term capital investment exceeding $450 million.
Projects resulting from these investments include 100,000 square feet of new commercial space, 25 new businesses, 104 new residential units, and restoration work on eight historic properties.
