Tuesday February 4th, 2020

Cortez Masto Urges HUD to Implement Her Manufactured Housing Modernization Act

Washington, D.C. – U.S. Senators Catherine Cortez Masto (D-Nev.), Tim Scott (R-S.C.), Tina Smith (D-Minn.), Kevin Cramer (R-N.D.), Ron Wyden (D-Ore.) and Todd Young (R-Ind.) sent a letter to Department of Housing and Urban Development (HUD) Secretary Ben Carson urging quick implementation of recently passed legislation to empower communities that choose to make manufactured housing part of their affordable housing plans. This will allow state and local governments to support the development of manufactured housing in their communities and help protect homeowners from potential displacement. The legislation’s language was taken from Senator Cortez Masto and Tim Scott’s bipartisan HUD Manufactured Housing Modernization Act.  

“We write to encourage quick implementation of the requirement…which directs the U.S. Department of Housing and Urban Development (HUD) to issue guidance for the inclusion of manufactured housing in states’ and local governments’ Consolidated Plans,” wrote the senators. “Manufactured housing is a significant source of affordable housing across the nation and should be considered as a viable option when jurisdictions develop their housing plans and prepare to apply for HUD grant funds. Where appropriate, local jurisdictions should consider all elements of manufactured housing in their Consolidated Plans to ensure that existing housing stock is properly maintained and that opportunities to add manufactured housing are identified.”

The senators continued, “it is particularly important that communities understand the role that manufactured homes serve for many families and to ensure communities secure a responsive safeguard against displacement when a manufactured home community is sold.”

BACKGROUND:

Language from Senator Cortez Masto’s HUD Manufactured Housing Modernization Act was included in a December 2019 legislative package to fund the government through September. The legislation will ensure that the Department of Housing and Urban Development (HUD) supports state and local governments that wish to include manufactured housing as an affordable housing solution when applying for federal funding.

A full copy of the letter can be found HERE and below:

Dear Secretary Carson:

We write to encourage quick implementation of the requirement in the Further Consolidated Appropriations Act of 2020, Public Law No. 116-94 (H.R. 1865) which directs the U.S. Department of Housing and Urban Development (HUD) to issue guidance for the inclusion of manufactured housing in states’ and local governments’ Consolidated Plans. We supported the HUD Manufactured Housing Modernization Act (S. 1804) which included similar language as this provision and we are pleased to see it included in the government funding package.

The Joint Explanatory Statement to the government funding package states:

The [2020 appropriations] agreement directs the Department to issue guidelines to jurisdictions on how to assess the potential inclusion of manufactured homes in a community’s comprehensive housing and affordability strategy and community development plans required under part 91 of title 24, Code of Federal Regulations.

Manufactured housing is a significant source of affordable housing across the nation and should be considered as a viable option when jurisdictions develop their housing plans and prepare to apply for HUD grant funds. Manufactured housing is often the most readily available and affordable housing in a community. Where appropriate, local jurisdictions should consider all elements of manufactured housing in their Consolidated Plans to ensure that existing housing stock is properly maintained and that opportunities to add manufactured housing are identified. These considerations should include zoning for new manufactured housing to address the affordability crisis and homelessness and to ensure that community development activities such as public transportation, parks, and business incentives take place near manufactured housing. We must also ensure that families in manufactured homes have access to high-performing schools and low-crime neighborhoods and that community revitalization efforts target older manufactured housing stock so that high-quality affordable housing remains in the community.

If manufactured housing became a more mainstream housing option, it could reduce the cost of developing affordable housing units and thereby reduce rental and homeownership costs for families. In some communities where land is inexpensive, the cost reductions could be significant. Manufactured housing can be quicker to build and place. There are examples where it has been used to rapidly address homelessness and housing instability for certain populations, such as veterans. Moreover, it is particularly important that communities understand the role that manufactured homes serve for many families and to ensure communities secure a responsive safeguard against displacement when a manufactured-home community is sold.

As HUD begins to implement this law, we encourage you to keep us engaged to ensure implementation reflects the intent of Congress to help owners of manufactured homes find affordable and sustainable homes. We welcome a briefing by HUD staff to learn about HUD’s timeline and plan for implementation. We look forward to hearing back from you by March 30, 2020.

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