Gov. Shapiro Unveils Comprehensive Housing Action Plan in Philadelphia to Tackle State Crisis
Philadelphia, PA – Governor Josh Shapiro traveled to Philadelphia on Thursday to formally unveil his administration’s Housing Action Plan, a sweeping initiative aimed at addressing Pennsylvania’s critical housing shortage, protecting renters from predatory fees, and expanding support for homebuyers. The announcement follows the Governor’s recent budget address, solidifying housing as a central pillar of his 2026 agenda.
The plan centers on a proposed $1 billion Critical Infrastructure Fund, financed through state bonds, designed to jumpstart the construction and preservation of affordable housing units across the Commonwealth. With Pennsylvania facing a projected shortage of 185,000 homes by 2035, the administration argues that immediate, large-scale investment is necessary to stabilize costs and prevent displacement.
Renters and Homebuyer Protections
A major component of the plan focuses on tenant advocacy and reducing barriers to entry for renters. Key proposals include:
Capping Application Fees: Landlords would be restricted to charging only the “actual cost” of background checks, preventing profit-making on rental applications.
Sealing Eviction Records: The plan calls for legislation to seal eviction records for certain renters, ensuring that past financial struggles do not permanently bar residents from securing future housing.
“Junk Fee” Elimination: Prohibiting landlords from charging prospective tenants fees merely to view a property.
Manufactured Housing Security: Limiting annual lot rent increases for residents in manufactured home communities, a measure aimed at protecting some of the state’s most vulnerable homeowners.
For homebuyers, the plan emphasizes increasing supply to lower market prices and cutting “red tape” to accelerate development. The administration is pushing for zoning reforms that would standardize rules for Accessory Dwelling Units (ADUs) and encourage mixed-use development near transit hubs—strategies intended to create more starter homes and affordable ownership options.
Objections and Political Hurdles
While housing advocates have welcomed the initiative, the plan faces significant headwinds in Harrisburg. Legislative Republicans have already voiced strong opposition to the Governor’s broader budget proposal, criticizing the $53.2 billion spending package as fiscally irresponsible.
“It’s like Groundhog Day all over again,” stated Rep. Jonathan Fritz (R-Wayne), referring to the Governor’s reliance on the state’s Rainy Day Fund to balance the budget. Senate Majority Leader Joe Pittman has similarly warned that the plan “spends too much money without protecting Pennsylvania’s future fiscal stability.”
Beyond fiscal concerns, the zoning reform proposals are likely to encounter resistance from municipal governments and local officials protective of their home-rule authority. Critics argue that state-level mandates on zoning could override local decision-making, setting the stage for a contentious battle between Harrisburg and Pennsylvania’s 2,560 municipalities.
Background
Pennsylvania currently ranks 44th in the nation for new housing construction, a stagnation that has driven up prices and left nearly one-third of the state’s households cost-burdened—spending more than 30% of their income on housing.
The Governor’s plan mirrors successful local initiatives already underway in Allegheny County and Pittsburgh, such as the “500 in 500” program. By elevating these strategies to the state level, the Shapiro administration hopes to reverse the trend of aging housing stock and insufficient inventory that has plagued the Commonwealth for the last decade.
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