
A bipartisan push for sweeping housing reform is gaining traction nationwide as both red and blue states move to override local zoning restrictions in an effort to address America’s growing housing crisis. While this marks a historic shift in policy and political will, the big question remains: will local governments align with the reform, or stand in its way?
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Shifting Political Will

For years, advocates have argued that America’s housing crisis is rooted not only in economics but in a lack of political courage. That dynamic is finally changing. A rare wave of bipartisan reform is emerging across state legislatures, with both Republican and Democratic lawmakers advancing bold policies to override outdated, exclusionary zoning laws that have long stifled housing growth. From Connecticut to Texas and California to Montana, these reforms aim to dismantle red tape, encourage higher-density development, and increase housing supply at a time when it is desperately needed.
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Zoning Laws Under Fire

Cities and affluent suburbs have used zoning tools like large minimum lot sizes, bans on multifamily housing, and onerous permitting processes to block new development. These tools have perpetuated housing shortages, driven up costs, and deepened inequality. “Change is scary, and yet we’re all dealing with the consequences of the status quo,” said Michael Andersen of the Sightline Institute. In states like Connecticut, vacancy rates have hit record lows, while in California, home prices remain out of reach for many. These restrictions, the article argues, are no longer tolerable when housing has become the largest expense for most American families.
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Connecticut’s Bold Blueprint

A major turning point may come from Connecticut, where a bill awaiting Governor Ned Lamont’s signature proposes aggressive zoning reform. The legislation requires every town to hit a designated housing target, eliminates parking minimums, and allows commercial properties to convert into residential units more easily. It also encourages development near transit. “We tried to do many things at the same time,” said Rep. Antonio Felipe, highlighting the bill’s multifaceted approach. The measure goes beyond incremental tweaks; it addresses the systemic nature of the housing shortfall.
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Reform Reaches Red States

This movement is not limited to liberal states. Republican-led states like Texas and Montana are making major moves. Texas has legalized housing in commercial zones and reduced lot size requirements. In what’s being dubbed the “Montana Miracle,” the state has passed a set of pro-housing reforms to scale back local zoning power. Florida and New Hampshire are following similar paths. “You can get a lot further if you do one thing at the state level than if you go town by town,” said Salim Furth of the Mercatus Center, who has tracked hundreds of related bills across the country.
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Cities Losing Ground

As states take the reins, it’s becoming clear that local resistance has fueled the crisis. Many cities have either failed to act or actively obstructed housing development. By framing housing as a regional and statewide issue, state governments are asserting their authority. When one city’s restrictive zoning worsens housing access in surrounding areas, states argue it’s no longer a local matter; it’s a collective problem demanding broader policy intervention.
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Resistance Still Persists

Despite bipartisan support, pushback is mounting. In Connecticut, some suburban Democrats have joined Republicans in opposing the bill, worried about political backlash. Governor Lamont is under pressure to revise the proposal. In California, cities have gone so far as to sue the state over housing mandates and lost. Still, legal victories are shifting momentum.