Task force seeks tax credits for rural housing

Journal Record, The (Oklahoma City), Nov 17, 2000 by Janie Hainey The Journal Record

A task force charged with increasing the availability of housing in rural areas of Oklahoma is asking the Legislature to develop tax credits for rural housing.

The Rural Housing Incentive Study Task Force was created by House Bill 2434, by Rep. Dale Turner, D-Holdenville, and Sen. Ted Fisher, D- Sapulpa. The panel is charged with studying existing federal, state and local incentives and programs available to private developers and private sources for capital for construction or acquisition of single- or multiple-family dwellings in rural areas.

The group recommended that a permanent source be found to fund the state's housing trust fund.

In addition, they are asking lawmakers to develop targeted programs and funds for housing in rural areas. They recommend a state tax credit for rural housing developers and tax credits to employers who participate in down-payment programs for house buyers. Another recommendation for legislative action is development of definitions for the various types of alternative housing structures, including manufactured and "modular" structures.

The panel was told that housing requirements have been modified in Texas to provide for increased use of modular housing, which differs from manufactured homes. Manufactured homes are moved into place with wheels attached, while modular homes are moved on flatbed trucks and must be built to the same code requirements as site-built structures and meet the same inspection standards.

The Legislature also is being asked to encourage municipalities to update zoning codes to allow for alternative housing structure types. In the area of suggested policy changes, the task force is recommending the use of enterprise zones for incentives to build housing.

The task force also is recommended that a market analysis and state housing needs assessment be conducted for all of the state's 77 counties, with the results of the analysis supplied to sub-state planning districts through the Capital Improvement Planning Program. The group recommended that the information be made available to any relevant party, such as banks, cities and developers.

Other coordination and policy recommendations include:

* Conducting an additional study that focuses on alternative housing methods and what other states are doing to encourage the use of modular housing.

* Increased home-buyer education programs.

* Targeted housing programs to facilitate building housing in vacant lots and unfinished subdivisions in rural areas.

The task force also is calling for creation of a "housing circuit rider program," to work with the Oklahoma Municipal League in providing assistance to rural cities and towns in development of housing.

The group recommends that the application process for federal housing programs be simplified and that the state provide technical assistance to local housing authorities in creating nonprofit housing development agencies.

Russell Sossamon of Hugo, who chairs the task force, said the draft recommendations will be sent to members by Nov. 30. He encouraged members to review the recommendations and submit their comments by Dec. 8.

The final report of recommendations will be submitted by Dec. 31 to Gov. Frank Keating, House Speaker Loyd Benson, D-Frederick, and Senate President Pro Tempore Stratton Taylor, D-Claremore.