Substitute Bill No. 6 - Housing Act Summary

• Housing Growth Fund: Establishes a $50 million annual fund administered by the Commissioner of Economic and Community Development to provide grants to eligible municipalities based on housing growth metrics, prioritizing affordable housing, mixed-use development, transit-oriented development, and multifamily housing.

• Housing Growth Scoring System: Creates a point-based scoring system that awards municipalities higher points for approving dwelling units in mixed-use developments, multifamily housing, transit-oriented development, and affordable housing set-asides; municipalities must submit at least 2% of state housing permits, triple new permits to demolitions, and 10% affordable units to be eligible for grants.

• Commercial-to-Residential Tax Credits: Implements a tax credit program for converting commercial buildings into residential developments, offering owners up to 10% of qualified conversion expenditures with limits of $30,000-$50,000 per dwelling unit depending on nonprofit status.

• Property Transfer Tax Increases: Raises conveyance taxes on high-value residential property sales ($800,000+) and imposes a new 1.75%-2.25% rate on non-individual residential property purchases, with excess revenue above $300 million annually transferred to the Housing Trust Fund.

• Housing Authority Reforms: Expands housing authorities' geographic reach through "expanded areas of operation" agreements with other municipalities and clarifies regulations for rental assistance programs to increase housing choice and accessibility statewide.