As the federal government retreats from its historical commitment to providing housing affordable to low and moderate income families in communities that provide economic opportunity for all, despite a serious and worsening housing crisis, some cities and other local governments are stepping in to fill the void.

Measures to raise revenue for affordable housing or increase tenant protections appeared on the ballot in twenty-four U.S. cities in the November 2018 election. Many of these measures passed as did local efforts to protect vulnerable tenants. But, just as cities are innovating, some states have been passing legislation that takes away — “preempts” — local authority over housing.

The map focuses on four critical areas of policy: protections against source-of-income discrimination, the regulation of short-term rentals, inclusionary housing programs, and rent control. The rising tide of state preemption detailed in this tool makes it clear that local initiatives and innovation are being blocked when the need for affordable housing and creativity in advancing inclusion is most needed.

The Retreat of the Federal and State Government and the Rise of Local Responses.

We are in the midst of a housing crisis that touches every corner of the nation, with low-income Americans suffering the most. According one study, we are losing two affordable apartments each year for every one created. Yet, over the last decade, the federal government has dramatically scaled back the measures it takes to expand the supply of affordable housing. For example, the budget for the federal HOME Investment Partnerships Program, a critical and flexible subsidy for affordable housing for rent and homeownership for low-income people, dropped by 62 percent between 2005 and 2015. Funding for rental assistance has fallen sharply over the last six years, pushing housing assistance spending to its the lowest level relative to the size of the economy since 1980. According to the National Low-Income Housing Coalition, today "low-income housing resources provided by the federal government help only about 25% of eligible households."

Last year’s federal tax bill is expected to make the problem worse, by severely undercutting the value of the $9 billion-per-year Low Income Housing Tax Credit, by far the largest source of government support for the creation of affordable housing. According to one estimate, nearly 235,000 fewer apartments will be built over the next decade as a result of the tax bill. And budget retrenchment on affordable housing is happening at the state level as well. Last year, New Jersey raided its affordable housing trust fund to provide $46 million to shore up the overall budget. Florida’s legislature did the same to the tune of $182 million.

As a result of this retrenchment, local governments now bear a significant burden of addressing the nation’s housing crisis. And a number of localities have risen to the challenge in the last several years, either through raising revenue to fund affordable housing or through policy reforms that protect tenants or encourage production of affordable housing. But, as the map shows, this progress is increasingly imperiled by state preemption.

As the mapping tool we are providing makes clear, local policies designed to foster communities of opportunity, equity, and inclusion are being compromised by preemption—state interference that is perpetuating inequality at a time of genuine crisis in affordable housing.