On Thursday March 12, the U.S. Senate passed the bipartisan 21st Century ROAD to Housing Act by a vote of 89-10. The bill combines the Senate’s ROAD to Housing Act (S. 2651) from last year with elements of the Housing for the 21st Century Act (H.R. 6644) which previously passed the House.
Introduced by Senators Tim Scott (R-SC) and Elizabeth Warren (D-MA), this measure aims to expand community housing supply; modernize key housing and community development programs; and reduce artificial costs to construction. It also includes a moratorium on large institutional investors buying single family homes—a priority of the White House.
Specifically, the measure would raise the income eligibility threshold for the Home Investment Partnerships (HOME) Program; allow the use of HOME funds for housing-adjacent infrastructure in jurisdictions that do not receive direct Community Development Block Grant (CDBG) entitlement funding; and would allow communities to dedicate up to 20 percent of CDBG funds to new housing construction, increasing local flexibility. Among the other provisions are additional NEPA flexibility and funds for converting vacant properties.
This measure also includes rural housing reforms, decoupling rental assistance from expiring USDA Section 515 mortgages so that residents would maintain eligibility for housing assistance even as original USDA loan terms expire. It also directs USDA and HUD to conduct joint environmental reviews for housing projects receiving funding from both agencies. For additional information, read details from NACo HERE.
For more information, contact RCRC Senior Policy Advocate Tracy Rhine.