Delaware Task Force unveils final report on increasing affordable housing production

The Affordable Housing Production Task Force released its final report Monday, providing a comprehensive set of nine key objectives aimed at addressing the state’s growing housing crisis.

The report, which follows months of deliberations and reviews of 71 specific recommendations, lays out actionable steps to increase the availability of affordable housing across Delaware.

Formed in August 2024 under House Bill 442, the task force was tasked with developing strategies for the state and local governments to enhance the supply of housing that is affordable to households at various income levels.

“Housing is a human right. Increasing housing supply is a critical step to ensuring safe, stable and affordable housing for all Delawareans,” said Delaware State Housing Authority Director Matthew Heckles. “We look forward to working with Governor Matt Meyer, the General Assembly and our housing partners on this critical issue.”

Housing report highlights

The Task Force’s report focuses on several objectives, each aimed at making affordable housing more accessible and sustainable in Delaware:

1. Increase and expand funding opportunities for affordable housing;
2. Implement local zoning reforms;
3. Streamline the approval and permitting process for housing developments;
4. Adopt a statewide building code to standardize housing construction;
5. Strengthen comprehensive planning requirements at the local level;
6. Provide incentives to developers to encourage the creation of affordable housing units;
7. Develop a skilled construction workforce pipeline;
8. Support efforts for homeowners to purchase manufactured home communities;
9. Optimize existing housing programs and processes to improve efficiency.

“I was eager to be a part of this initiative and proud of much of the work we accomplished,” said Rep. Jeff Hilovsky, R-Millsboro, whose resort-area 4th District is significantly challenged by an unavailability of housing for low and moderate-income working Delawareans. “Having said that, I think the task force was structurally flawed in that it did not include anyone representing DelDOT or local governments—two entities that will play a considerable role in siting and providing access to any housing project. I am concerned that in pursuing the well-intentioned goal of creating affordable accommodations, the state will enact a law usurping the zoning authority of municipal and county governments, excluding local elected officials and citizens from a process in which they should be closely involved.”

The 20-member bipartisan Task Force, supported by five subcommittees, was composed of state and local officials, housing-focused organizations, homebuilders, community representatives, and other housing sector professionals. Together, they crafted the report after extensive public input and collaboration.

“Every Delawarean deserves a safe and affordable place to live. As expenses continue to climb, it is more important than ever to address our state’s housing crisis,” said Sen. Russ Huxtable, D-Lewes, co-chair of the Affordable Housing Production Task Force. “We’ve gathered valuable input from constituents and advocates to assist in the creation of a comprehensive housing report that will be used to guide housing policy moving forward. Lasting change requires a multi-faceted approach, and this report represents one tool at our disposal as we work to deliver affordable housing solutions to communities across Delaware.”

Delaware’s Affordable Housing Production Task Force’s final report accurately identifies a critical housing shortage that demands action, said Chris Copeland, director of the Center for Economic & Fiscal Policy at the Caesar Rodney Institute.

“The report estimates that we need 45,000 additional housing units by 2030 and acknowledges the regulatory barriers constraining supply,” he said. “Yet, despite correctly diagnosing regulatory overreach as a key culprit, the task force’s primary solutions involve more government intervention – $100 million in annual subsidies, new committees, and expanded State bureaucracy – rather than truly addressing the root causes.”

He said the state needs to look no further than Houston, Texas, for a better approach.

“While Delaware, in general, and New Castle County, in particular, suffocate under layers of zoning restrictions, density limitations, and lengthy discretionary reviews, Houston thrives with minimal zoning and streamlined permitting,” he said. “The result? Houston consistently maintains housing costs below national averages across all price points, while Delaware faces worsening affordability challenges despite good intentions.”

Market prices send critical signals about where housing is needed and what types consumers desire, he said, but Delaware’s current regulatory regime distorts these signals and prevents entrepreneurs from meeting demand.

“Delaware’s approach to housing is like prescribing more sugar to treat diabetes—we’re trying to subsidize our way out of problems created by the very regulations we refuse to eliminate,” he said. “Houston proves what Delawareans desperately need to hear: the best affordable housing strategy isn’t a $100 million government program—it’s simply getting the government out of the way and letting builders build.

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Representative Kendra Johnson, D-Bear, also a co-chair of the task force, emphasized the urgency of the situation.

“Delaware is experiencing an affordable housing crisis. That fact cannot be overstated,” she said. “Not every Delawarean feels the negative impacts of this crisis, but for far too many, the lack of affordable housing in our state has drastically changed their lives for the worse. Those Delawareans will not be left behind.”

The final report is a step toward addressing Delaware’s housing affordability crisis and will serve as a guiding document for future housing policies.

The Task Force now looks to work with the Governor and the General Assembly to implement these recommendations in the coming months.

For further details, including the full report, click here.