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B. R. Workforce Housing Discussion & Senate Bill 306

House Bill 306.
There was a recent Bill introduced by Representative Ray Pickett that BRCA wanted you to be aware of.  If it becomes law, this Bill would allow the Towns of Blowing Rock and Boone and Watauga County to develop, own and rent affordable housing for town employees and school teachers.  This topic was discussed at the 2025 Winter Retreat. There was enough interest on the part of the Council members that they directed the Town Manager to look into the introduction of a bill in the General Assembly to give the Town the authority (which it does not currently have) to get into the housing business.  House Bill 306 would give this authority.

At the 2025 Winter Retreat, the Town Manager gave an example of how this could work with the Town developing four duplex units on Town owned property across from Food Lion on Valley Boulevard.  As a recruitment and retention incentive, and to encourage employees to live in town, the duplexes would be rented at below market rates to Town employees.  BRCA previously reported on this discussion in a 28605 announcement.  The financial model presented at the retreat showed a net annual cost to the Town after payment of rent of $50-55,000 per unit.  This would be to cover debt service and other costs of maintaining the development.  The source of funds to cover the net annual cost to the Town was not discussed.

The agenda for the April 8, 2025 Town Council meeting includes a time for a Workforce Housing Discussion and a memo from the Town Planning Director about potential options that may be available for the council to study and consider.  Sample ordinances from other towns are included in the meeting materials.  
BRCA encourages you to become informed on this topic and to share your thoughts with members of the Town Council.  The January 31, 2025 Winter Retreat session and the April 8 Town Council meeting should be available on the Town’s YouTube channel which you can access through www.townofblowingrocknc.gov .

House Bill 306 (2025) text:

GENERAL ASSEMBLY OF NORTH CAROLINA SESSION 2025 H D HOUSE BILL DRH40198-NO-38A     Short Title: Affordable Housing for Local Employees. (Local) Sponsors: Representative Pickett. Referred to:   *DRH40198-NO-38A* A BILL TO BE ENTITLED AN ACT AUTHORIZING THE TOWNS OF BLOWING ROCK AND BOONE, WATAUGA COUNTY, AND THE WATAUGA COUNTY BOARD OF EDUCATION TO CONSTRUCT AND PROVIDE AFFORDABLE HOUSING FOR TOWN AND COUNTY EMPLOYEES AND PUBLIC SCHOOL TEACHERS. The General Assembly of North Carolina enacts: SECTION 1.  Notwithstanding G.S. 66-58, G.S. 115C-518, Article 12 of Chapter 160A of the General Statutes, or any other provision of law, the Towns of Blowing Rock and Boone, Watauga County, and the Watauga County Board of Education (hereinafter “local government unit”) are authorized to do all of the following: (1) Either separately or through a partnership, joint venture, land trust, or other similar entity, construct and provide affordable housing for local government unit employees on property owned by the unit. (2) Convey property owned by the local government unit to a partnership, joint venture, land trust, or similar entity for the purpose of constructing, providing, or maintaining affordable housing for unit employees. A unit shall not convey to a partnership, joint venture, land trust, or any other entity any property that was acquired through the exercise of eminent domain on or after the date this act becomes law.  (3) Contract with any person, partnership, corporation, or other business entity to finance, construct, or maintain affordable housing for local government unit employees. (4) Rent or sell affordable housing units for residential use exclusively to local government unit employees. A unit may establish reasonable rents or sales prices, charge below-market rates, offer below-market financing, and place reasonable restrictions and buyback provisions on the resale of the affordable housing units. SECTION 2.  Any affordable housing units constructed pursuant to the provisions of this act shall comply with all applicable building codes, zoning ordinances, and any other State and local regulations related to the construction of residential homes.  SECTION 3.  This act is effective when it becomes law.
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Tom Barrett
Vice President
Executive Committee Member