Oregon Governor Tina Kotek officially launched a new agency designed to accelerate housing construction across the state, reaffirming her goal of building 36,000 new homes annually. The Housing Accountability and Production Office (HAPO), created through 2024’s Senate Bill 1537, is now operational and poised to work with developers, local governments, and state agencies to break down barriers to housing production.

In a news release issued Tuesday, Kotek said the agency “will act as a liaison between developers, local governments and state agencies to find and streamline funding.” The office is also tasked with investigating violations of housing laws and codes and will offer a “more predictable regulatory environment for builders.”

The governor emphasized the severity of Oregon’s housing crisis, calling it a “generational crisis” that demands urgent action. “I believe that we can get this done. And, it is still a monumental task,” Kotek said.

Years of underbuilding have left Oregon struggling to meet housing demand. Today, more than half of renters are burdened with unaffordable costs, the median home price has surged past $500,000, and over 20,000 Oregonians live in tents, vehicles, or shelters. Housing construction peaked in the 1970s but fell off sharply in the 1980s and has not recovered, according to the Sightline Institute. Multifamily housing has been especially limited.

Despite Kotek’s annual target, Oregon issued fewer than 17,700 building permits in 2023. This year, progress has slowed even more, with just over 10,800 permits pulled by September.

HAPO is a joint office under the Department of Land Conservation and Development and the Building Codes Division within the Department of Consumer and Business Services. The office will be led by two seasoned housing experts: Joel Madsen, a long-time advocate for affordable housing, and Tony Rocco, a veteran in the construction trades.

“We have the tools to support collaboration on the foundational goal we all share of building more safe, efficient, and cost-effective housing for all Oregonians,” said Rocco in the announcement.

The agency must deliver policy recommendations to the state Legislature by September 2026, aimed at strengthening housing affordability and production statewide.

The formation of HAPO reflects a broader movement across the country where state governments are stepping in to overcome local obstacles to housing. By allowing cities to expand their urban growth boundaries and offering centralized guidance, Oregon hopes to avoid piecemeal, city-by-city battles that slow progress.

Joel Madsen’s leadership is expected to prioritize equity and long-term affordability, while Tony Rocco brings hands-on experience to ensure regulatory clarity and on-the-ground feasibility.

“HAPO is not just about production,” said a policy analyst familiar with the office’s structure. “It’s about cutting through red tape and offering local governments the tools and expertise to actually get housing built — not in five years, but now.”

The success of the office will hinge on its ability to foster collaboration among state departments, local officials, and the private sector. Stakeholders say the early months will be key to proving it can deliver results in a high-pressure housing environment.

Originally reported by Alex Baumhardt in Oregon capital Chronicle