New York Builders Call for Climate Policy Reforms to Protect Housing

The Home Builders and Remodelers of the Mohawk Valley, alongside residential construction industry representatives throughout New York, are advocating for a balanced and evidence-based approach to climate policy. Their concern stems from the potential consequences of the state’s Climate Leadership and Community Protection Act (CLCPA), as highlighted in a memo from the New York State Energy Research and Development Authority (NYSERDA) dated February 26.

NYSERDA’s memo outlines serious challenges associated with the implementation of the CLCPA. The authority notes that the act’s mandates and timelines could significantly increase costs for families, employers, and energy-intensive industries across New York. As structured, the CLCPA is projected to lead to substantially higher annual household energy bills, increased gasoline prices, and significant utility cost hikes for small and mid-sized businesses.

In light of these findings, the Home Builders and Remodelers of the Mohawk Valley are urging the Hochul administration to collaborate on amending the provisions of the CLCPA. They emphasize the need to align these provisions with current market realities, protect consumers, and maintain grid reliability, all while upholding New York’s long-term climate objectives.

The ongoing development momentum in the Mohawk Valley is a priority. The Business Council of New York State recently asserted that adjusting the state’s energy and climate law does not equate to abandoning the commitment to combat climate change. Instead, thoughtful and data-driven adjustments could address economic challenges while preserving environmental goals.

A recent economic research blog published by the National Association of Home Builders highlighted a troubling trend in housing affordability. It reported a significant disconnect between rising new home prices, elevated mortgage rates, and stagnant household incomes. In the Utica-Rome Metro Area, over 82% of households are currently unable to afford the median new home price.

The repercussions of this affordability crisis are stark. For every $1,000 increase in the median price due to regulatory mandates, an estimated 4,481 households are pushed out of the housing market. This alarming statistic underscores the urgency for state leaders to implement reforms that foster both environmental stewardship and economic viability.

Through strategic adjustments to the CLCPA’s climate mandates, as well as ongoing reforms in housing and permitting processes, state officials have the opportunity to enact policies that safeguard the environment and the economy. Such measures could ultimately uphold the American dream of homeownership for many families across New York.