H.R. 6008: Bring Down Housing Costs Act

The Bring Down Housing Costs Act aims to address rising housing costs in certain states by establishing a task force designated to oversee and develop strategies for tackling this issue. Here’s a breakdown of what the bill entails:

Task Force Establishment

The Secretary of Housing and Urban Development is required to create a group known as the "Task Force on Bringing Down Housing Costs."

Responsibilities of the Task Force

The Task Force will have several key duties:

• Conduct oversight of states experiencing rising housing costs.
• Identify these states and develop best practices for addressing the issue within one year of its initial meeting.
• Create a report based on the identified best practices.
• Recommend that states implement these best practices.
• Monitor the effectiveness and implementation of these practices in the identified states.

Membership Composition

The Task Force will consist of 21 members, including:

• Two Senators:
  • One from the Senate Committee on Banking, Housing, and Urban Affairs.
  • One from the Senate Appropriations Subcommittee focused on housing.
• Twelve Representatives from various regions, representing one from each of the HUD regions (I-X) and other committees related to housing.
• Designees from the Secretary of Housing and Urban Development, the Director of the Federal Housing Finance Agency, and the Administrator of the U.S. Department of Agriculture Rural Housing Service.
• Two members from local community organizations that deal with issues related to housing costs.
• Two representatives from private sector entities, including one with expertise in local zoning regulations and another specializing in financial products related to housing development.

Leadership and Meetings

The Task Force will elect a Chairperson and Vice Chairperson among its members. It is mandated to meet shortly after the bill's enactment and subsequently on a quarterly basis until the required report is completed.

Reporting Requirements

The Task Force is obligated to submit annual reports for up to five years after its creation. The reports will be sent to:

• Governors of relevant states
• The Secretary of Housing and Urban Development
• The Director of the Federal Housing Finance Agency
• The Commissioner of the Federal Housing Administration
• The Under Secretary for U.S. Department of Agriculture Rural Development
• Relevant congressional committees in both the House and Senate

Task Force Duration

The Task Force will cease operations five years after the law is enacted.

Definition of Affected States

The bill defines "states with rising housing costs" as those experiencing a year-over-year increase in median existing home prices, based on data from the Department of Housing and Urban Development.

Relevant Companies

• PHM - PulteGroup, Inc.: As a major homebuilder, PulteGroup could be directly affected by new housing policies and practices that may arise from the Task Force's recommendations.
• DHI - D.R. Horton, Inc.: D.R. Horton may experience impacts to its operations and development strategies in states identified with rising housing costs.
• LEN - Lennar Corporation: Lennar, another large homebuilder, could potentially change its construction approaches based on the recommendations put forth by the Task Force.