Representative Smith Introduces Landmark Legislation to Tackle Housing Affordability, Increase Construction of New Homes

WASHINGTON, D.C. – Today Representative Adam Smith (D-Wash.) introduced the The Prefabricated Housing and Zoning Enhancement Act of 2024 (PHAZE Act), which would tackle housing shortages across the United States by reforming zoning and encouraging new building efforts.
 
“Housing is the most important issue to my district in Washington and I'm thrilled to introduce legislation that will tackle this issue in a concrete way,” said Representative Smith. “We know that one of the biggest barriers to affordable housing is low stock of houses. Construction gets slowed down by a number of things, and whether its zoning, permitting, or materials, we're striving to cut through red tape that's unnecessarily slowing the process down."

This bill, in conjunction with the End Hedge Fund Control of American Homes Act, is just one of the many ways that Rep. Smith is tackling the rising costs of housing. 

The Prefabricated Housing and Zoning Enhancement Act of 2024 is a crucial initiative aimed at tackling housing shortages by reforming local zoning and permitting processes, promoting and incentivizing prefabricated housing construction, fostering partnerships between local governments and community land trusts, and creating a groundbreaking national building code to standardize and streamline affordable housing development. More specifically, this bill would:

• Zoning and Permitting Reform Grants: Create a HUD grant program to encourage local governments to reform zoning and permitting, with $10 billion allocated annually from 2025, including support for community land trusts.
• Prefabricated Housing Incentives: Provide $30 billion over 10 years for grants supporting prefabricated housing, including tax credits for manufactured housing projects and $1 billion for National Prefabricated Housing Technology Centers, which will also support workforce training in prefabrication and require Davis-Bacon prevailing wage compliance on funded projects.
• Research and Development: Allocate $10 billion over 10 years for R&D grants to improve prefabrication technologies and sustainable materials.
• Community and Affordable Housing Development: Offer $15 billion in grants over 10 years for community and affordable housing projects using prefabricated methods, prioritizing low- and moderate-income households.
• National Building Code for Affordable Housing: Task HUD with creating a National Building Code for Affordable Housing within three years, with $10 billion to incentivize state and local adoption.

A fact sheet for the PHAZE Act can be found here.
The bill text can be found here.

The PHAZE Act is endorsed by Housing Development, Consortium Seattle-King County, Green Canopy Node, HomeSight Washington, Africatown Community Land Trust, and Washington State Labor Council.

 
See below for statements of support for the PHAZE Act.
 
“The City of Renton appreciates the efforts of Congressman Adam Smith to introduce the Prefabricated Housing and Zoning Enhancement Act of 2024. If passed by Congress, this innovative bill would create a menu of options and tools for funding local governments to address the Puget Sound’s housing shortage. Collaboration with our federal partners and the city’s community planners will provide solutions that will meet the needs of our residents and increase affordability in the region.” 

– Mayor Armando Pavone, City of Renton
 
“Bellevue is working to create more opportunities for people of all income levels to call Bellevue home," said Mayor Lynne Robinson. "The funding incentives in Rep. Smith's new housing bill are vital to supporting the city in this effort. Grant funding for local jurisdictions like Bellevue that address zoning and permitting issues related to housing affordability, as well as funds for establishing and expanding community land trusts, will help make Bellevue a more affordable and inclusive city." 

– Mayor Lynne Robinson, City of Bellevue

“The City of Kent has committed to meeting the housing needs of our community and supports this effort. Studies show our City’s highest need is homeownership opportunities, which will help Kent residents to continue to live in our community, improve quality of life by reducing long commutes and decreasing congestion, and build generational wealth. We have taken local action to encourage infill housing. This bill fills in missing pieces to provide the resources and tools cities don’t typically have so we can realize housing goals together.”
 – Mayor Dana Ralph, City of Kent

“KCHA supports the Prefabricated Housing and Zoning Enhancement Act of 2024 as it represents a pivotal step in addressing the growing affordable housing crisis in the United States. By tackling some of the root causes of housing shortages – restrictive zoning laws, burdensome permitting processes, and high construction costs – this bill promotes innovative, sustainable solutions and will lay the foundation for a more inclusive, affordable housing system in the future.” 

 – Robin Walls, Executive Director, King County Housing Authority

“Tacoma Housing Authority supports Representative Smith’s efforts to increase affordable housing through these creative strategies. We have begun to see how changes in zoning within Tacoma are already spurring the development of more housing. It is exciting to see Representative Smith push this on a national scale and create paths to further remove barriers.”
 – April Black, Executive Director, Tacoma Housing Authority 
 
“Working people, even those with wage increases in their union contracts, struggle with the high cost of housing in Washington State. We applaud Congressman Smith’s efforts to streamline zoning and to offer pathways for non-traditional housing options. Few things improve a family’s life as much as a good union job, but a stable and reliable home is one of them.”  

– April Sims, President, Washington State Labor Council

"Innovative models like community land trusts are essential to addressing the depth of the affordable housing crisis in Washington State, offering sustainable solutions for long-term systemic change in housing and land management. We are grateful for Congressman Smith’s steadfast advocacy for community-based projects that empower residents and strengthen neighborhoods."
– Kathleen Hosfeld, CEO/Executive Director, Homestead Community Land Trust

"Support for the Prefabricated Housing and Zoning Enhancement (PHAZE) Act represents a transformative opportunity for our communities. By streamlining zoning processes and promoting innovative housing solutions, this initiative not only addresses the urgent housing shortages we face but also empowers local governments and community land trusts to collaborate effectively. Together, we can build a future where affordable, sustainable housing is accessible to all, ensuring that every individual has a place to call home."

– Africatown Community Land Trust

“SHA supports efforts to bring down the high cost of housing and to create innovative and safe technology that provides more opportunities for low- and moderate- income families to access homes they can afford. Representative Smith’s proposed legislation is a step in the right direction.” 

– Rod Brandon, Executive Director, Seattle Housing Authority

"In Seattle, we've seen firsthand the effects of a lack of affordable housing, an issue impacting too many residents here and communities across the country. Complementary to our One Seattle Housing Agenda, Rep. Smith's Prefabricated Housing and Zoning Enhancement Act provides a needed focus on building more affordable housing more quickly. This proposal would bolster our local efforts with federal resources and urgency, as we seek to bring down housing costs, expand homeownership, and take on homelessness and displacement."

 – Mayor Bruce Harrell, City of Seattle