The Supreme Court may soon test the constitutionality of the inclusionary zoning ordinance, a tool that local governments in tight housing markets such as those in California use to force developers to expand the supply of affordable housing.
Inclusionary zoning policies typically compel or encourage developers to earmark a percentage of housing units in new or rehabilitated projects for low- and moderate-income residents. Alternatively, developers can be made to contribute to a fund whose proceeds can be used to produce affordable housing.