The proposed bill, H.B. No. 2025-2026, aims to establish a grant program under section 122.635 of the Revised Code to support townships and municipalities that adopt pro-housing policies. The bill defines a "major workforce housing project" as one that reserves at least twenty units for households earning between sixty and one hundred percent of the county's median income. To qualify for grants, townships and municipalities must implement at least three specified pro-housing policies, which include reducing parking requirements, allowing higher density housing, and expediting the approval process for housing developments. The Department of Development will review applications and allocate funds annually, ensuring that no single entity receives more than fifteen percent of the total available funds.

Additionally, the bill creates the Housing Accelerator Fund within the state treasury, appropriating $50 million for fiscal years 2026 and 2027 to support housing development incentive programs. Townships and municipalities receiving grants must use at least half of the funds for specific purposes, such as supporting first-time home buyers and providing funds for home repairs for low-income homeowners. The bill also includes provisions for accountability, requiring documentation to ensure compliance with fund usage, and establishes penalties for improper expenditure of funds.