New advisory body tasked with implementing Michigan’s Statewide Housing Plan to build more affordable housing, lower costs, and address economic, racial, and geographic inequities
LANSING, Mich. — Recently, Governor Gretchen Whitmer signed an executive order establishing the Statewide Housing Partnership within the Michigan State Housing Development Authority (MSHDA). The partnership will develop a strategy to implement Michigan’s Statewide Housing Plan and ensure that every Michigander has access to affordable housing that meets their needs. Additionally, Lt. Governor Garlin Gilchrist joined the Michigan Economic Development Corporation in Lansing to announce Michigan Strategic Fund approval of $83.8 million in grant funding across 22 statewide affordable housing and community development projects around Michigan through the Revitalization and Placemaking Program.
“Every family deserves a safe, affordable place to call home so they have a strong foundation to pursue their potential, but too many Michiganders do not have access to housing in their communities that meets their needs,” said Governor Whitmer. “The Michigan Housing Plan lays out the challenges we face, and today, I am proud to sign an executive order establishing the Statewide Housing Partnership, tasked with developing strategies and fostering partnerships to ensure Michiganders are not overburdened by housing costs. We must work together to tackle Michigan’s housing challenges head-on, and I am confident that this multi-sector partnership will help us build more affordable housing, make Michigan an even more attractive place to raise a family and grow a business, close equity gaps, and create good-paying construction jobs along the way. Together, we can help Michiganders find an affordable place to call home, and ensure Michigan maintains a competitive edge in attracting and retaining talent to grow our economy.”
The executive order can be viewed here.
Michigan Housing Challenges
Housing that meets people’s needs is critical to attract new businesses and support existing employers and it is the foundation of better education, economic, and social outcomes. Michigan faces a 160,000-unit attainable housing shortage, leading to higher prices for all and housing instability for low-income Michiganders. Housing affordability is also major barrier in Michigan. Before the pandemic, 48% of renters and 18% of homeowners paid too much for housing (over 30% of their income), a ratio that worsened after the pandemic. In addition, Michigan’s housing stock is aging—47% of all housing units in the state were built before 1970.
The housing shortage and affordability issues disproportionately harm marginalized communities, making it harder for them to pay the bills and put food on the table, especially as prices go up on everyday expenses because of inflation. Investing in housing will grow Michigan’s economy by creating good-paying construction jobs and expanding options for our workforce and small businesses.
Statewide Housing Partnership Background
Governor Whitmer established the Statewide Housing Partnership as an advisory body within MSHDA. The group will include leaders from state, local, and tribal governments, advocates from nonprofit and community organizations, and representatives from the business advocacy world and finance industry.
The partnership’s primary responsibility is to develop a strategy to implement the Michigan Statewide Housing Plan released in 2022 and make recommendations to MSHDA on how best to achieve its goals. The plan presented opportunities for organizations to partner on common objectives, including rehabilitating and stabilizing the housing supply, reducing equity gaps and homelessness, and increasing home energy efficiency and weatherization.
The new Statewide Housing Partnership will lead a coordinated, data-driven, outcome-oriented approach to housing, ensuring that all Michiganders have a safe, affordable place to call home. They will also establish regional consortiums to ensure statewide initiatives build on local efforts whenever possible, and they will keep Michiganders updated on their progress with public-facing communications.
Revitalization and Placemaking (RAP) program
Approved by the Michigan Strategic Fund to support MEDC’s focus on innovative placemaking and continue to help communities recover from the impacts of COVID-19, the RAP program utilizes $100 million in federal American Rescue Plan dollars to support investments in projects that promote population and tax revenue growth, redevelop permanent place-based infrastructure in downtowns, social zones, and outdoor areas. The recent announcement includes the allocation of $83.8 million in funds; the remaining awards will be announced at a later date.
The grants were awarded to communities in every region of Michigan.
