Milk production is forecasted to decline in the Southeastern United States in coming years whereas overall US production will increase. Additionally, the Southeastern US historically maintains a greater SCC than the rest of the nation. These factors decrease the competitiveness of the southeastern dairy industry. Southeastern dairy producers have different management challenges compared with the rest of the nation. Loss of infrastructure and poor housing environments create large areas for potential management deficiencies. The overall objective of this presentation will be to address the challenges and opportunities of housing and facility management in the southeastern United States and their potential effect on milk quality. Topics will include: a review of freestall design recommendations compared with what is common in the SE, how overstocking negatively affects herds, why heat stress abatement techniques are important, the pros and cons of pasture as a management style, how general welfare parameters (e.g., lameness and hygiene) hold up to industry recommendations, and the relationship among welfare parameters and housing management present in the SE. Commonly used milk quality measures like SCC and SPC will be used as a focal point on reasons to implement these management strategies, but the effects on animal welfare and behavior will also be discussed. Results of applied housing research studies will be presented, particularly those of the Southeast Quality Milk Initiative, a 6-state applied research and extension project aimed at helping producers find cost-effective and science-based ways to improve milk quality. This project was supported by Agriculture and Food Research Initiative Competitive Grant number 2013–68004–20424 from USDA National Institute of Food and Agriculture.