Early this morning, State Senator Martha Marx (D-New London), Senate Chair of the Housing Committee, led the Senate’s final passage of legislation which will increase the state’s supply of housing units, reduce housing costs in communities statewide, and address Connecticut’s housing shortage.
The bill’s extensive updates to state housing policy come as groups ranging from the National Low Income Housing Coalition to the Connecticut Business and Industry Association have drawn attention to the state’s lack of housing to meet the demands of its population. Shortages of affordable housing units for rent tally anywhere from 90,000 to more than 110,000, according to the organizations. The NLIHC stated that this shortage financially harms struggling households, while the CBIA noted the growing deficit is creating challenges for Connecticut businesses in recruiting and retaining employees.
Acknowledging this need, House Bill 5002, “An Act Concerning Housing And The Needs Of Homeless Persons,” seeks to address the issue in a variety of ways, utilizing new strategies to encourage new construction and new housing development statewide.
The bill passed the Senate by a 20-15 vote and now heads to Governor Lamont’s desk to be signed into law.
“The people of our state can’t wait any longer. We need to address the housing crisis, and we need genuine, impactful progress,” said Sen. Marx. “I’m so proud of all the work my colleagues and I sunk into this bill. We know it will deliver real beneficial change in communities across the state. Through this bill, we’re addressing private housing, public housing, affordable housing, and most importantly, MORE housing. That’s the answer to this crisis, and I’m excited to join Governor Lamont when he signs this bill into law for that purpose.”
“Connecticut’s housing shortage isn’t a matter of numbers – it impacts families, businesses and our economy at large,” said Senate President Martin M. Looney (D-New Haven). “Families face the financial pressure of rising costs, holding back their ability to save and limiting their contributions to the state economy. Businesses struggle to find workers when those workers can’t find stable or affordable housing, harming their productivity and sending qualified, skilled workers elsewhere for employment. This bill is Connecticut’s strongest effort to support new housing in years, and its impacts will provide relief in communities in every county – making life easier for working families and bolstering our economy in the process.”
“As the housing crisis deepens, more of our residents feel the squeeze as rents and prices increase,” said Senate Majority Leader Bob Duff (D-Norwalk). “With this bill, we’re taking strong, meaningful action to bolster our state’s housing supply, create jobs, provide new support for renters, homeowners and prospective property buyers alike. More units in our communities relieves pressure and provides a strong foundation to build upon at a time when we need it more than ever.”
House Bill 5002 has a number of updates to state policies, focused on a variety of improvement strategies, including:
Increasing Housing Supply And Reducing Costs
-Building more housing near transit through the new Towns Take The Lead program to prioritize transit-oriented development
-Drastically increasing middle housing development, up to nine units, by cutting red tape in commercially zoned areas
-Creating a first-time homebuyer savings program to allow individuals and employers to contribute into special savings accounts supporting homebuying expenses
-Funding affordable housing development projects while creating employment opportunities in the construction industry, both creating well-paying union jobs and creating housing units
-Requiring town-by-town plans to meet 25% of suggested affordable housing allocations
Protections For Renters
-Expanding fair rent commissions to all towns with populations over 15,000, including flexibility for joint or regional commissions
-Increasing direct rental assistance programs over the next three years by allowing grants for nonprofit providers
-Encouraging projects constructed by the housing authorities of multiple neighboring towns
-Re-establishing the Open Choice Voucher pilot program for summer 2026, expanding rental opportunities
Reducing Homelessness
-Providing portable showers and laundry facilities to people experiencing homelessness through a new pilot program
-Prohibiting municipalities from installing “hostile infrastructure” on publicly accessible areas – this is defined as architecture preventing a person experiencing homelessness from sitting or lying in or on a building or structure
This bill is designed to drastically improve the state’s response to housing needs, supporting vulnerable residents and empowering communities to find new means of development for long-term support. Municipalities will gain access to funding to aid planning ahead to effectively develop housing and increase supply for those struggling the most.
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