Politics

Residential zoning legislation paused but not dead

By NC Tribune, Published: May 10, 2025

Drives in the state Legislature to partially deregulate the state’s home-construction sector and reduce local control of residential development are running into some roadblocks. It remains to be seen if they’re temporary.

Rep. Mark Brody, R-Union, conceded Wednesday that House Bill 765, the omnibus measure that would set residential-zone density minimums across the state, wouldn’t make it through the chamber before crossover.

“It’s on a hold,” Brody said. “We’ve got to do some analyzing of it [to see] what are the things in particular that people didn’t like in the bill. If there are some good things that we want to preserve, there are other vehicles we can use.”

Brody’s comments came after it became apparent that the bill had stalled in House Rules and wouldn’t reach the floor for a vote on Wednesday.

HB 765 has been attracting wider notice across the state. Charlotte-area TV station WJZY reported that officials in Huntersville and Cornelius had passed resolutions opposing the legislation.

It quoted Huntersville’s mayor, Christie Clark, as saying the bill’s density minimum “would probably contribute to gentrification in parts of [the] town.” Cornelius officials, meanwhile, objected to a proposed standardization of sidewalk standards.

HB 765 wasn’t the only housing-related bill to run into headwinds on Wednesday.

House Speaker Destin Hall at least temporarily halted a floor debate on House Bill 627, which would allow the construction of so-called “granny flats” by right in areas zoned for single-family homes.

He intervened after Reps. Jay Adams, R-Catawba, and Pricey Harrison, D-Guilford, denounced the bill as an intrusion on local prerogatives.

It remained to be seen early Wednesday evening whether HB 627 would return to the calendar before the House finished its pre-crossover work.

Hall said he stepped in to give “members a chance to talk” through their differences and that it was possible the House would end up acting on the granny-flat bill later in the evening.

House Bill 765, the omnibus measure that would force local government bodies to allow higher density residential development by right, impose strict deadlines on site plan reviews and restrict local boards' ability to impose conditions on rezonings, faces widespread pushback across the state. Counties and cities say it severely diminishes local control over development.

Despite that, Hall voiced optimism about its prospects of getting a vote later in some form, despite missing the crossover deadline.

“That bill’s not dead. Far from it,” Hall said. “They’re going to continue to work on that thing along with members on both sides of the aisle. ... In fact, I would say it’s closer to completion than it is to dying.”

On the other side of the building, Senate leader Phil Berger likewise said missing crossover likely isn’t the end of the matter for this session.

“There is an interest in the Senate in dealing with what folks would consider to be impediments to the supply of housing,” Berger said. “I think there will be an opportunity in other bills to try to piece together some things.”