NC Representatives Hurtado, Alston, Autry, and Brown introduced the NC Affordable Housing Act (HB 1114) just before the Memorial Day weekend. The bill proposes $100M in recurring funds to the NC Housing Trust Fund to increase affordable housing programs across the State. This would be a historic investment for the Housing Trust Fund, which is currently funded at $7.7M. The NC Affordable Housing Act also establishes a Manufactured Home Park Acquisition Fund with $25M in non-recurring funds to provide grants to nonprofits. The grants must be used to purchase manufactured home parks with intent to use them for affordable housing.
In addition to the funding allocations, the bill would ban source of income discrimination, making it unlawful to deny housing to someone based on the way they intend to pay. “Source of income” means any lawful source of money paid on behalf of a renter or buyer, including from employment, a grant or loan program, HOPE program, a Section 8 voucher, or financial assistance from a private source, such as a nonprofit or other nongovernmental entity.
Under current law, landlords may choose to deny a tenant application for rental housing if their method of payment includes a Housing Choice Voucher, for example. This bill would add source of income to the list of characteristics that are unlawful to discriminate against under the state’s fair housing law.
Lastly, HB1114 makes updates to the state’s existing tax on real estate transactions by increasing the tax rate from $1 to $1.50 for every $500 in value. The bill also redirects two-thirds of these tax proceeds from the General Fund to the NC Housing Trust Fund.