The executive order will establish a White House council on eliminating barriers to affordable housing development. The council will consist of members from across eight federal agencies and will be chaired by secretary of housing and urban development (HUD) Ben Carson.
This new council will be tasked with engaging with state, local and tribal leaders to identify and remove obstacles that impede the development of new affordable housing. The announcement said that, at the president’s direction, the council will take action to reduce federal regulatory barriers to affordable housing development. The council will also support State and local efforts to reduce regulatory barriers and will recommend ways to reduce statutory, regulatory, and administrative burdens at all levels of government that hinder affordable housing development.
Regulations are creating excessive costs that are holding back the development of needed affordable housing, said the announcement. It claimed that more than 25% of the cost of a new home is the direct result of federal, state and local regulations, with the price tag even reaching up to 42% for some new multi-family construction projects.
Census Bureau data shows that from 2010 to 2016, only seven homes were built for every 10 households formed.