Mario Lopez, president of the Hispanic Leadership Fund, said Texas lawmakers rushed changes to the state’s affordable housing system in response to politics rather than economic conditions, specifically addressing newly enacted House Bill 21.
“HB21 was pitched as a needed reform to deliver clarity and accountability to Texas’s affordable housing framework,” Lopez wrote in an op-ed in The Fulcrum. “The bill gained popularity among legislators, who bought into the narrative that it would close an alleged tax loophole for developers in the affordable housing space who partnered with government entities known as housing finance corporations (HFCs).”
“Yet in practice, HB21 reflects lawmakers’ willingness to rush housing policy in response to political pressure rather than economic reality,” wrote Lopez.
In the op-ed, Lopez warned that the law’s retroactive tax provisions could jeopardize existing affordable housing developments by stripping long-standing tax exemptions. He said that could force property owners to reevaluate whether they can continue operating projects as affordable housing, potentially leading to higher rents or redevelopment. Lopez noted that the effects would likely be felt most acutely in communities where affordable housing plays a central role in workforce stability and access to jobs.
Lopez also cautioned that weakening partnerships between local governments and private developers could reduce future housing supply, making it more difficult to address rising housing costs across the state.
The Hispanic Leadership Fund is a national organization that focuses on promoting center-right public policy solutions and economic opportunity within the Hispanic community. Lopez serves as the group’s president and has written and spoken extensively on issues related to economic growth, housing, and public policy at the state and federal levels.
