As federal funding shifts from investment to cuts, local governments must act now. Conducting “stress tests” will help assess risks, engage stakeholders, and develop response plans. Proactive planning ensures communities can adapt and protect essential services amid fiscal uncertainty.

The National Housing Crisis Task Force has released tools to help communities tackle the housing crisis. The State and Local Housing Action Plan highlights innovative strategies in land use, capital, construction, regulation, and governance. With reduced federal support, state and local leaders can use these tools to boost housing production and affordability. Initial tools focus on zoning reforms, tax incentives, and modular construction.

The Trump Administration’s policy shifts have created financial uncertainty for cities and states. NYC’s Comptroller analyzed the city’s reliance on federal funds, highlighting risks to entitlement programs, public services, and infrastructure. This model can help other municipalities assess their fiscal exposure. With federal cuts now a reality, local governments must prepare for the impact.

The U.S. housing system, long supported by consistent federal policies, faces unprecedented uncertainty due to recent government shifts. While programs like the Low-Income Housing Tax Credit and Housing Choice Vouchers have historically underpinned affordable housing, new administrative actions threaten to disrupt this stability.

In light of recent federal disruptions, cities and metropolitan areas must unite and take charge to protect their economies and residents. Local leaders need to organize quickly, collaborate across sectors, and adapt to the challenges ahead. This new localism requires agility and coordination to defend against federal changes, leverage opportunities, and ensure long-term prosperity. The time to act is now.

Housing investment lags as private capital prioritizes data centers amid AI growth. Despite a shortfall of over 20 million units, systemic barriers like overregulation and high costs deter new development. A complete reimagining of the housing ecosystem is crucial to address this urgent need and unlock its potential as a major investment opportunity.

Opportunity Zones have attracted over $100 billion in investments, addressing local issues like housing shortages. Moving forward, a "2.0" version is proposed to adapt to market changes like the real estate crisis and industrial growth. Effective local leadership and targeted investments are key to ensuring these zones create lasting, sustainable economic impact.

The resurgence of U.S. semiconductor manufacturing is driven by complex financial structures combining federal incentives from the CHIPS Act, state and local contributions, and private capital, supporting not only fabrication facilities but also infrastructure, workforce development, and research initiatives, exemplifying a collaborative model for revitalizing the industrial sector.

Opportunity Zones, introduced by the 2017 Tax Cuts and Jobs Act, are designed to attract private investment to distressed communities. In six years, Opportunity Zones have sparked $100 billion in investment, particularly in housing development. Alabama's Opportunity Alabama (OPAL) has emerged as a successful model, mobilizing local and national investments, with a focus on building a sustainable capital access ecosystem.

England's experiment with metro mayors aims to decentralize power from the highly centralized government, allowing local leaders to better address regional challenges. However, true devolution requires three key steps: granting fiscal autonomy to mayors, involving them in industrial policy design, and empowering them to compete globally. This would enable cities to drive local growth and reduce the gap between London and other regions, marking a true shift in governance.

Pittsburgh is well-positioned to lead in "physical AI," leveraging its strong robotics and AI ecosystem, academic institutions like Carnegie Mellon, and innovation initiatives. Challenges like limited venture capital persist, but the city’s resources could drive advancements in defense, healthcare, and infrastructure.

The election of Donald Trump and a Republican-controlled Congress heralds a period of volatility for U.S. cities and metropolitan areas.

Addressing the housing crisis requires a major federal overhaul to increase housing production, preserve existing stock, and establish a comprehensive housing safety net. The Task Force’s recommendations aim to cut regulatory barriers, offer substantial support, and incentivize the creation of over 750,000 new housing units annually, while also safeguarding current housing and creating new institutions to transform the sector for the modern era.

The U.S. is undergoing a major industrial revival, shifting power from "superstar cities" to regions with strong manufacturing bases. Driven by the need to remilitarize, reshore, and decarbonize, this transition has resulted in over $1.4 trillion in public and private investments in sectors like clean energy, semiconductors, and electric vehicles (EVs) as of September 2024.

In light of this, our analysis focuses on the distribution of high-value Department of Defense (DoD) contracts across U.S. metropolitan areas. We examined contracts exceeding $500 million, along with modifications that increased their value above this threshold between 2021 and 2024.

The housing crisis demands a comprehensive approach that includes increasing affordable housing supply, supporting low- and moderate-income renters, and providing a robust safety net for the most vulnerable. Key strategies include universal vouchers, tax credits, and rehabilitating existing subsidized housing to prevent homelessness and ensure stability. Addressing homelessness requires targeted federal investments, like expanding emergency rental assistance, increasing shelter capacity, and promoting supportive housing.

The urgent housing crisis in the U.S. needs a national, coordinated approach. The federal government can take a lead role by focusing on these five key areas: reducing barriers, mobilizing federal capital, fostering innovation, and protecting vulnerable populations.

Pittsburgh has the potential to lead the AI revolution due to its top-tier research institutions, affordable living, and skilled workforce. By attracting investment and building the right infrastructure, the city can capitalize on its strengths in AI and robotics.

The federal government can take steps to treat the housing crisis like the crisis it is. We know the government has the capability to lead in a crisis, as evidenced by recent responses to COVID-19 and the climate crisis. We proposed that the first key step for the government to take is to lead and focus the nation, appointing empowered White House leadership to begin taking organizational, administrative, and legislative action.

Housing market conditions in the U.S. are undeniably in their worst state in years. Housing is any given American’s largest recurring expense and is linked to health, climate, jobs, and productivity. Home price to income ratios have reached record highs, more and more renters are cost-burdened or severely cost-burdened, homelessness is at unacceptable levels, and we have a massive shortage of homes.

A new economic geography is emerging, driven by reshoring production, decarbonizing the economy, and government investments in infrastructure and technology. Some cities are successfully using these investments to revitalize downtowns, fostering innovation and transforming urban areas to align with broader economic changes.