Land Use & Zoning

Texas municipalities that adopt 'inclusionary zoning' ordinances (requiring affordable housing units in new developments) face restrictions because:

ATREC prohibits mandatory affordable housing requirements
BTexas Local Government Code Section 214.905 generally prohibits such mandatory inclusionary zoning as a regulatory taking✓ Correct
CFederal law requires optional rather than mandatory housing programs
DOnly state government can mandate affordable housing

Explanation

Texas Local Government Code Section 214.905 generally limits the ability of municipalities to impose mandatory inclusionary zoning requirements that would require developers to provide affordable housing units as a condition of approval. This reflects Texas's generally pro-development regulatory environment.

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