25 LC 55 0477
House Bill 400
By: Representatives Frye of the 122
nd
, Olaleye of the 59
th
, Washburn of the 144
th
, Bell of the
75
th
, Roberts of the 52
nd
, and others
A BILL TO BE ENTITLED
AN ACT
To amend Titles 12, 32, and 50 of the Official Code of Georgia Annotated, relating to
1
conservation and natural resources, highways, bridges, and ferries, and state government,2
respectively, so as to provide for a system whereby certain local governments may seek3
certifications from the Department of Community Affairs upon the enactment of certain4
policies that can be used to receive priority in grant and loan applications submitted to state5
agencies; to provide that the Department of Natural Resources give priority to certified local6
governments in awarding grants under the federal recreational trails program; to provide that7
certain certified local governments are not required to provide matching funds when8
receiving grants under the local maintenance and improvement grant program; to provide that9
the Department of Community Affairs give priority to certified local governments in10
awarding grants and loans; to provide for the certification of local governments by the11
Department of Community Affairs upon the enactment of certain policies; to provide for the12
revocation of such certifications; to provide for the verification of such certifications by other13
state agencies; to provide for the determination of population size and median household14
income of local jurisdictions; to provide for statutory construction; to provide that the15
Georgia Environmental Finance Authority give priority to certified local governments when16
awarding grants and loans; to provide definitions; to provide exceptions; to provide for17
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related matters; to provide a short title; to provide legislative findings; to provide an effective
18
date; to repeal conflicting laws; and for other purposes.19
BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:20
SECTION 1.21
This Act shall be known and may be cited as the "Community Housing Options Increase22
Cost Efficiency (CHOICE) Act."23
SECTION 2.24
The General Assembly finds and declares that:25
(1) Georgia is facing a housing crisis caused primarily by the interaction of a housing26
supply shortage, construction labor shortage, lasting impacts from the COVID-1927
pandemic, outdated policies and regulations, ongoing population shifts, economic stressors,28
and market speculation;29
(2) Such housing crisis poses serious immediate and long-term risks to the state and its30
residents, with significant potential repercussions in arenas such as economic development,31
homelessness, crime, poverty, health, and education, with such repercussions likely32
compounding over time that could have intergenerational consequences;33
(3) According to the Harvard Joint Center for Housing Studies, the cost of new home34
construction in Georgia has risen by 35 percent between the onset of the COVID-1935
pandemic and the current year, while affordable rentals declined by some 67,000 units, the36
second highest drop of any state in the United States;37
(4) The U.S. Department of Housing and Urban Development has assessed that38
homelessness in Georgia has reversed its downward trend and begun increasing for the first39
time since 2011;40
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(5) The National Low Income Housing Coalition has reported that housing shortages in
41
the United States have cost Americans more than 13 percent of potential GDP growth since42
the 1960s, or nearly $9,000.00 in annual wages per worker;43
(6) The nonprofit research group Up for Growth found that in 2023, Georgia ranked in the44
second highest tier of states for housing underproduction, at 138,000 units below demand,45
an increase of more than 2,600 percent over a ten-year period; and46
(7) Therefore, this Act is needed to increase the supply of affordable housing in the state47
by encouraging local governments to adopt policies and reforms that will promote the48
construction of affordable housing and reduce the burden of outdated policies and49
regulation on housing construction and the cost of housing to Georgia's citizens.50
SECTION 3.51
Title 12 of the Official Code of Georgia Annotated, relating to conservation and natural52
resources, is amended by adding a new Code section to read as follows:53
"12-2-6.1.
54
(a) As used in this Code section, the term 'qualified county or municipal corporation' shall55
have the same meaning as set forth in Code Section 50-8-310.56
(b) Except as provided in subsection (c) of this Code section, when reviewing applications57
from multiple qualified counties or municipal corporations for the receipt of grant funds58
under the federal recreational trails program administered by the department, the59
department shall:60
(1) Give priority to any such county or municipal corporation that has been certified by61
the Department of Community Affairs as a workforce housing ready community pursuant62
to Code Section 50-8-311 over any such county or municipal corporation that has not63
received any certification from the Department of Community Affairs pursuant to Code64
Section 50-8-311;65
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(2) Give priority to any such county or municipal corporation that has been certified by66
the Department of Community Affairs as a workforce housing ready expert pursuant to67
Code Section 50-8-311 over any such county or municipal corporation that:68
(A) Has not received any certification from the Department of Community Affairs69
pursuant to Code Section 50-8-311; or70
(B) Has been certified by the Department of Community Affairs as a workforce71
housing ready community pursuant to Code Section 50-8-311; and72
(3) Give priority to any such county or municipal corporation that has been certified by73
the Department of Community Affairs as a workforce and home ownership leader74
pursuant to Code Section 50-8-311 over any such county or municipal corporation that:75
(A) Has not received any certification from the Department of Community Affairs76
pursuant to Code Section 50-8-311;77
(B) Has been certified by the Department of Community Affairs as a workforce78
housing ready community pursuant to Code Section 50-8-311; or79
(C) Has been certified by the Department of Community Affairs as a workforce80
housing ready expert pursuant to Code Section 50-8-311.81
(c) When reviewing applications from multiple counties or municipal corporations for the82
receipt of grant funds under the federal recreational trails program administered by the83
department, the department shall not give priority to any county or municipal corporation84
that has received a certification from the Department of Community Affairs pursuant to85
Code Section 50-8-311:86
(1) Over any county or municipal corporation that does not meet the definition of a87
qualified county or municipal corporation; or88
(2) If doing so would be contrary to the purposes of such program or would conflict with89
any provision of general law, the Georgia Constitution, or any applicable federal law or90
regulation."91
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SECTION 4.
92
Title 32 of the Official Code of Georgia Annotated, relating to highways, bridges, and ferries,93
is amended in Code Section 32-5-27, relating to allocation formula development and94
implementation, by revising subsection (d) as follows:95
"(d) Funds allocated for the local maintenance and improvement grant program shall96
replace funds formerly available under the local assistance road program and state-aid97
program and shall be allocated by the Local Grants Division of the department to local98
governing authorities as grants or otherwise according to a funding formula developed by99
the division and the director. Such formula shall include considerations of paved and100
unpaved lane miles and vehicle miles traveled and may include population, employment,101
and local funding matches available, as well as other factors as may be determined by the102
division and the director; provided, however, that no funding matches shall be required of
103
any county or municipal corporation that has been certified by the Department of104
Community affairs as a workforce and home ownership leader pursuant to Code105
Section 50-8-311. Funds allocated each fiscal year for the local maintenance and106
improvement grant program shall be not less than 10 percent nor more than 20 percent of107
the money derived from motor fuel taxes received by the state in the immediately108
preceding fiscal year, less the amount of refunds, rebates, and collection costs authorized109
by law and shall be used only for the purposes available for the proceeds of such taxes. 110
Grants of such funds shall include provisions requiring adherence to adequate roadway111
standards, accounting practices, and applicable transportation plans. Additional allocations112
to this program from other funding sources shall be allocated subject to the requirements113
for usage attached to such funds."114
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SECTION 5.
115
Title 50 of the Official Code of Georgia Annotated, relating to state government, is amended116
in Chapter 8, relating to the Department of Community Affairs, by adding a new Code117
section to read as follows:118
"50-8-8.1.
119
(a) As used in this Code section, the term 'qualified county or municipal corporation' shall120
have the same meaning as set forth in Code Section 50-8-310.121
(b) Except as provided in subsection (c) of this Code section, when reviewing applications122
from multiple qualified counties or municipal corporations for the receipt of grant funds123
or loans under any grant or loan program administered by the department, the department124
shall:125
(1) Give priority to any such county or municipal corporation that has been certified by126
the department as a workforce housing ready community pursuant to Code127
Section 50-8-311 over any such county or municipal corporation that has not received128
any certification from the department pursuant to Code Section 50-8-311;129
(2) Give priority to any such county or municipal corporation that has been certified by130
the department as a workforce housing ready expert pursuant to Code Section 50-8-311131
over any such county or municipal corporation that:132
(A) Has not received any certification from the department pursuant to Code133
Section 50-8-311; or134
(B) Has been certified by the department as a workforce housing ready community135
pursuant to Code Section 50-8-311; and136
(3) Give priority to any such county or municipal corporation that has been certified by137
the department as a workforce and home ownership leader pursuant to Code138
Section 50-8-311 over any such county or municipal corporation that:139
(A) Has not received any certification from the department pursuant to Code140
Section 50-8-311;141
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(B) Has been certified by the department as a workforce housing ready community142
pursuant to Code Section 50-8-311; or143
(C) Has been certified by the department as a workforce housing ready expert pursuant144
to Code Section 50-8-311.145
(c) When reviewing applications from multiple counties or municipal corporations for the146
receipt of grant funds or loans under any grant or loan program administered by the147
department, the department shall not give priority to any county or municipal corporation148
that has received a certification from the department pursuant to Code Section 50-8-311:149
(1) Over any county or municipal corporation that does not meet the definition of a150
qualified county or municipal corporation; or151
(2) If doing so would be contrary to the purposes of the grant or loan program or would152
conflict with any provision of general law, the Georgia Constitution, or any applicable153
federal law or regulation."154
SECTION 6.155
Said chapter is further amended by adding a new article to read as follows:156
"ARTICLE 14157
50-8-310.158
As used in this article, the term:159
(1) 'Accessory dwelling unit' means an independent residential dwelling unit that is160
located on the same lot as a single-family home or duplex, regardless of whether such161
independent residential dwelling unit is attached or detached from the single-family home162
or duplex.163
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(2) 'Cottage courtyard' means a series of attached or detached independent residential164
dwelling units, each of which do not exceed 1,600 square feet and that share a common165
outdoor amenity space.166
(3) 'Duplex' means a single building that has two separate residential dwelling units.167
(4) 'Flag lot' means a lot which has access to a public right-of-way by means of a narrow168
strip of land, which is part of the lot.169
(5) 'Higher density housing facility' means a multifamily structure that has a maximum170
allowable number of residential dwelling units that is 10 percent higher than the current171
highest maximum allowable number of residential dwelling units for a multifamily172
structure within the jurisdiction.173
(6) 'Household income' means all wages and income received by each member of a174
household from all sources.175
(7) 'Mixed use development' means a multifamily structure that also contains one or176
more commercial units.177
(8) 'Multifamily structure' means a building, other than a townhouse, that contains four178
or more individual residential dwelling units.179
(9) 'Qualified county or municipal corporation' means:180
(A) Any county in this state that has a population of at least 50,000 or any municipal181
corporation in this state that has a population of at least 6,500, each as determined by182
the department pursuant to Code Section 50-8-313; or183
(B) Any county or any municipal corporation in this state that has a median household184
income of more than $115,000.00, as determined by the department pursuant to Code185
Section 50-8-313.186
(10) 'Qualifying policy' means any tier 1 policy, tier 2 policy, tier 3 policy, or tier 4187
policy.188
(11) 'Single-family home' means a building that constitutes a single residential dwelling.189
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(12) 'Small multifamily structure' means a multifamily structure with between four and190
eight individual residential dwelling units.191
(13) 'Tier 1 policy' means a policy that:192
(A) Imposes a minimum heated square footage requirement for residential dwellings193
of 1,200 square feet or less in at least 50 percent of the area of the jurisdiction zoned194
for residential use;195
(B) Imposes a minimum heated square footage requirement for residential dwellings196
of 1,200 square feet or less in all of the area of the jurisdiction that is zoned for197
residential use;198
(C) Permits the construction of a duplex on any parcel of land where the construction199
of a single-family home is permitted;200
(D) Imposes a minimum lot size requirement for land that is zoned for residential use201
that is no greater than:202
(i) The minimum lot size required by the rules and regulations of the Department of203
Health for lots with on-site, nonpublic sewage management systems;204
(ii) The minimum lot size required to comply with the requirements of Code205
Section 12-5-134 for lots with private water wells; and206
(iii) One-half acre for lots with access to public water supply and public sewage207
management systems;208
(E) Permits the use of all building materials that meet the standards of the International209
Residential Code in the construction of new residential dwellings; or210
(F) Permits the construction of an accessory dwelling unit on any parcel of land where211
a single-family home exists.212
(14) 'Tier 2 policy' means a policy that:213
(A) Commissions a housing study to determine the need for the construction of214
single-family homes and multifamily structures within the jurisdiction;215
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(B) Permits the construction of townhomes in any area that is zoned for single-family216
residential use;217
(C) Permits the construction of cottage courtyards in any area that is zoned for218
single-family residential use;219
(D) Permits the creation of residential subdivisions with flag lots;220
(E) Reduces the minimum road frontage requirements applicable to residential lots;221
(F) Permits the construction of small multifamily structures in any area that is zoned222
for residential use;223
(G) Permits the construction of higher density housing facilities in areas that are served224
by public transit and that are near places of employment, higher education facilities, and225
other appropriate population centers, as determined by the governing body of the226
jurisdiction;227
(H) Permits the construction of multifamily structures or mixed use developments in228
all areas zoned for commercial use; or229
(I) Permits the use of single-stair construction in multifamily structures with up to five230
stories.231
(15) 'Tier 3 policy' means a policy that:232
(A)(i) Imposes a minimum parking requirement of no more than one parking space233
per residential dwelling unit for multifamily structures that are not served by public234
transit; and235
(ii) Imposes no minimum parking requirements for multifamily structures that are236
served by public transit;237
(B) Supports community land trusts that secure land for affordable housing238
developments and that allow participation from community residents in the decision239
making process of such land trust;240
(C) Applies the International Residential Code to residential buildings that contain no241
more than four individual residential dwelling units;242
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(D) Imposes no setback requirements on residential dwellings or decreases the243
minimum setback requirements applicable to residential dwellings by at least 25244
percent;245
(E) Imposes no height restrictions on residential and commercial structures or increases246
the height restrictions applicable to residential and commercial structures by at least 25247
percent;248
(F) Imposes no density limits on areas zoned for residential or commercial use or249
increases the density limits applicable to areas zoned for residential or commercial use250
by at least 25 percent;251
(G) Imposes processing time limits on applications for building permits;252
(H) Reduces any permit or regulatory fee applicable to the construction of accessory253
dwelling units or multifamily structures by at least 25 percent;254
(I) Establishes an online platform for the submission and processing of building permit255
applications; or256
(J) Commissions a study to assess whether the current permit or regulatory fees257
applicable to the construction of residential dwellings reflect the cost incurred by the258
jurisdiction in processing such permit applications or carrying out such regulatory259
procedures.260
(16) 'Tier 4 policy' means a policy that:261
(A) Permits the construction of multifamily residential structures in any area that is262
zoned for residential use;263
(B) Establishes measurable goals for the construction of affordable housing based on264
projected population growth and regional job creation;265
(C) Imposes no maximum lot coverage applicable to residential dwellings or increases266
the maximum lot coverage applicable to residential dwellings by at least 25 percent;267
(D) Does not require the creation of a homeowners' association, property owners'268
association, or condominium owners' association for any new residential development;269
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(E) Streamlines the process of approving minor changes to construction plans for270
residential developments;271
(F) Creates or joins a local land bank pursuant to Article 6 of Chapter 4 of Title 48;272
(G) Encourages the collaboration with neighboring counties and municipal273
corporations and nonprofit organizations in addressing regional housing needs; or274
(H) Creates a public-private partnership with local businesses to reduce the land275
acquisition costs on housing developments.276
(17) 'Townhouse' means an individual residential dwelling unit within a larger structure277
that contains two or more attached residential dwelling units constructed in a row where278
each residential dwelling unit is located on an individual lot or parcel and shares at least279
one common wall with an adjacent unit.280
50-8-311.281
(a) On or after July 1, 2026, and for the purpose of receiving priority in grant or loan282
applications submitted to certain state agencies, any qualified county or municipal283
corporation may, but is not required to, apply for certification from the department that284
such county or municipal corporation is either a workforce housing ready community, a285
workforce housing ready expert, or a workforce and home ownership leader. The286
department shall, by rules and regulations, prescribe the form and manner of such287
application for certification.288
(b) The department shall only certify a qualified county or municipal corporation as a:289
(1) Workforce housing ready community if such county or municipal corporation has290
adopted, by ordinance or resolution, at least ten qualifying policies of which at least two291
are tier 1 policies, at least three are tier 2 policies, and at least one is a tier 3 policy;292
(2) Workforce housing ready expert if such county or municipal corporation has adopted,293
by ordinance or resolution, at least 15 qualifying policies of which at least two are tier 1294
policies, at least three are tier 2 policies, and at least one is a tier 3 policy; and295
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(3) Workforce and home ownership leader if such county or municipal corporation has296
adopted, by ordinance or resolution, at least 20 qualifying policies of which at least two297
are tier 1 policies, at least three are tier 2 policies, and at least one is a tier 3 policy.298
(c) Upon submission of an application by a qualified county or municipal corporation299
evidencing that such county or municipal corporation has adopted, by ordinance or300
resolution, the requisite number of qualifying policies as set forth in subsection (b) of this301
Code section, the department shall issue the appropriate certification to such county or302
municipal corporation. Thereafter, to maintain such certification, such county or municipal303
corporation shall, every five years, verify in writing to the department that the requisite304
number of qualifying policies as set forth in subsection (b) of this Code section are still in305
effect in such county or municipal corporation.306
(d) The department may revoke a certification issued to a qualified county or municipal307
corporation pursuant to this Code section if it determines that such county or municipal308
corporation no longer has in effect the requisite number of qualifying policies as set forth309
in subsection (b) of this Code section or if such county or municipal corporation fails to310
verify in writing to the department every five years that such policies are still in effect.311
(e)(1) A qualified county or municipal corporation that has been certified as a workforce312
housing ready community may, upon adoption of the requisite number of qualifying313
policies as set forth in subsection (b) of this Code section, apply to the department for314
certification as either a workforce housing ready expert or a workforce and home315
ownership leader.316
(2) A qualified county or municipal corporation that has been certified as a workforce317
housing ready expert may, upon adoption of the requisite number of qualifying policies318
as set forth in subsection (b) of this Code section, apply to the department for certification319
as a workforce and home ownership leader.320
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50-8-312.321
Any state agency considering a grant or loan application from a qualified county or322
municipal corporation may inquire from the department whether such qualified county or323
municipal corporation has been certified by the department pursuant to this article. Within324
a reasonable time after receiving such an inquiry, the department shall verify to such325
agency whether such county or municipal corporation has a valid certification issued by326
the department pursuant to this article.327
50-8-313.328
(a) On and after January 1, 2026, the department shall annually determine and publish on329
its public website the:330
(1) Median household income of each county and each municipal corporation in this331
state; and332
(2) Population of each county and each municipal corporation in this state.333
(b) In making determinations of the median household income and the population of each334
county and each municipal corporation in this state pursuant to subsection (a) of this Code335
section, the department may rely on data and information provided by the United States336
Census Bureau, the United States Department of Housing and Urban Development, the337
United States Department of Labor, the United States Department of Commerce, and any338
other source the department determines to be accurate and reliable.339
(c) The median household income and the population of each county and each municipal340
corporation in this state determined and published by the department pursuant to subsection341
(a) of this Code section shall be used to determine whether a given county or municipal342
corporation in this state meets the definition of a qualified county or municipal corporation343
under this article.344
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50-8-314.345
The department is authorized to promulgate rules and regulations to implement the346
provisions of this article.347
50-8-315.348
Nothing in this article is intended to authorize counties or municipal corporations to adopt349
or enforce any ordinance or resolution that is contrary to the provisions of general law, the350
Georgia Constitution, or any applicable federal law or regulation. To the extent any351
qualifying policy now or hereinafter conflicts with the provisions of general law, the352
Georgia Constitution, or any applicable federal law or regulation, such policy shall no353
longer constitute a qualifying policy and shall not be used to determine whether a qualified354
county or municipal corporation may be certified, or continue to be certified, by the355
department under the provisions of this article."356
SECTION 7.357
Title 50 of the Official Code of Georgia Annotated, relating to state government, is amended358
in Chapter 23, relating to the Georgia Environmental Finance Authority, by adding a new359
Code section to read as follows:360
"50-23-5.1.361
(a) As used in this Code section, the term:362
(1) 'Department' means the Department of Community Affairs.363
(2) 'Qualified county or municipal corporation' shall have the same meaning as set forth364
in Code Section 50-8-310.365
(b) Except as provided in subsection (c) of this Code section, when reviewing applications366
from multiple qualified counties or municipal corporations for the receipt of any grant367
funds or loans from the authority as authorized by this chapter, the authority shall:368
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(1) Give priority to any such county or municipal corporation that has been certified by369
the department as a workforce housing ready community pursuant to Code370
Section 50-8-311 over any such county or municipal corporation that has not received371
any certification from the department pursuant to Code Section 50-8-311;372
(2) Give priority to any such county or municipal corporation that has been certified by373
the department as a workforce housing ready expert pursuant to Code Section 50-8-311374
over any such county or municipal corporation that:375
(A) Has not received any certification from the department pursuant to Code376
Section 50-8-311; or377
(B) Has been certified by the department as a workforce housing ready community378
pursuant to Code Section 50-8-311; and379
(3) Give priority to any such county or municipal corporation that has been certified by380
the department as a workforce and home ownership leader pursuant to Code381
Section 50-8-311 over any such county or municipal corporation that:382
(A) Has not received any certification from the department pursuant to Code383
Section 50-8-311;384
(B) Has been certified by the department as a workforce housing ready community385
pursuant to Code Section 50-8-311; or386
(C) Has been certified by the department as a workforce housing ready expert pursuant387
to Code Section 50-8-311.388
(c) When reviewing applications from multiple counties or municipal corporations for the389
receipt of any grant funds or loans from the authority as authorized by this chapter, the390
authority shall not give priority to any county or municipal corporation that has received391
a certification from the department pursuant to Code Section 50-8-311:392
(1) Over any county or municipal corporation that does not meet the definition of a393
qualified county or municipal corporation; or394
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(2) If doing so would conflict with any provision of general law, the Georgia395
Constitution, or any applicable federal law or regulation."396
SECTION 8.397
This Act shall become effective on July 1, 2025.398
SECTION 9.399
All laws and parts of laws in conflict with this Act are repealed.400
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