Philadelphia Mayor Cherelle Parker’s Housing Opportunities Made Easy initiative, which was included in the city budget passed June 12, 2025, is an ambitious effort to address the city’s affordable housing challenges.

Parker has promised to create or preserve 30,000 affordable housing units throughout the city, at a cost of roughly US$2 billion.

To help fund the plan, the Parker administration says it will issue $800 million in housing bonds over the next three years.

In an April 2025 report on the housing plan, the Parker administration admits that, in light of declining federal investment in affordable housing, proceeds from municipal bonds issued by the local government “have taken on an outsized role” in Philadelphia’s housing programs.

Often, only city treasurers and the finance committees of city councils pay attention to the details behind these municipal bonds.

As a law professor who studies the social impact of municipal bonds, I believe it’s important that city residents understand how these bonds work as well.

While municipal bonds are integral to the city’s effort to increase access to affordable and market-rate housing, they can include hidden costs and requirements that raise prices in ways that make city services unaffordable for lower-income residents.

Most people are aware that companies sell shares on the stock market to raise capital. State and local governments........

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