[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[S. 2390 Introduced in Senate (IS)]
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119th CONGRESS
1st Session
S. 2390
To require the Secretary of Housing and Urban Development to reclassify
the application of certain requirements under the National
Environmental Policy Act of 1969 for housing-related activities.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
July 23, 2025
Mr. Rounds (for himself and Mr. Kim) introduced the following bill;
which was read twice and referred to the Committee on Environment and
Public Works
_______________________________________________________________________
A BILL
To require the Secretary of Housing and Urban Development to reclassify
the application of certain requirements under the National
Environmental Policy Act of 1969 for housing-related activities.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Unlocking Housing Supply Through
Streamlined and Modernized Reviews Act''.
SEC. 2. DEFINITIONS.
In this Act:
(1) Infill project.--The term ``infill project'' means a
project that--
(A) occurs within the geographic limits of a
municipality;
(B) is adequately served by existing utilities and
public services as required under applicable law;
(C) is located on a site of previously disturbed
land of not more than 5 acres and substantially
surrounded by residential or commercial development;
(D) will repurpose a vacant or underutilized parcel
of land, or a dilapidated or abandoned structure; and
(E) will serve a residential or commercial purpose.
(2) Secretary.--The term ``Secretary'' means the Secretary
of Housing and Urban Development.
SEC. 3. NEPA STREAMLINING FOR HUD HOUSING-RELATED ACTIVITIES.
(a) In General.--The Secretary shall, in accordance with section
553 of title 5, United States Code, and section 103 of the National
Environmental Policy Act of 1969 (42 U.S.C. 4333), expand and
reclassify housing-related activities under the necessary
administrative regulations as follows:
(1) The following housing-related activities shall be
subject to regulations equivalent or substantially similar to
the regulations entitled ``exempt activities'' as set forth in
section 58.34 of title 24, Code of Federal Regulations, as in
effect on January 1, 2025:
(A) Tenant-based rental assistance, as defined in
section 8(o) of the United States Housing Act of 1937
(42 U.S.C. 1437f(o)).
(B) Supportive services, including health care,
housing services, permanent housing placement, day
care, nutritional services, short-term payment for
rent, mortgage, or utility costs, and assistance in
gaining access to Federal Government and State and
local government benefits and services.
(C) Operating costs, including maintenance,
security, operation, utilities, furnishings, equipment,
supplies, staff training, and recruitment and other
incidental costs.
(D) Economic development activities, including
equipment purchases, inventory financing, interest
subsidies, operating expenses, and similar costs not
associated with construction or expansion of existing
operations.
(E) Activities to assist homebuyers to purchase
existing dwelling units or dwelling units under
construction, including closing costs and down payment
assistance, interest rate buydowns, and similar
activities that result in the transfer of title.
(F) Affordable housing pre-development costs
related to obtaining site options, project financing,
administrative costs and fees for loan commitment,
zoning approvals, and other related activities that do
not have a physical impact.
(G) Approval of supplemental assistance, including
insurance or guarantee, to a project previously
approved by the Secretary.
(H) Emergency homeowner or renter assistance for
HVAC, hot water heaters, and other necessary uses of
existing utilities required under applicable law.
(2) The following housing-related activities shall be
subject to regulations equivalent or substantially similar to
the regulations entitled, (i) ``categorical exclusions not
subject to section 58.5'' and (ii) ``categorical exclusions not
subject to the Federal laws and authorities cited in sections
50.4'' in section 58.35(b) and section 50.19, respectively of
title 24, Code of Federal Regulations, as in effect on January
1, 2025, if such activities do not materially alter
environmental conditions and do not materially exceed the
original scope of the project:
(A) Acquisition, repair, improvement,
reconstruction, or rehabilitation of public facilities
and improvements (other than buildings) if the
facilities and improvements are in place and will be
retained in the same use without change in size or
capacity of more than 20 percent, including replacement
of water or sewer lines, reconstruction of curbs and
sidewalks, and repaving of streets.
(B) Rehabilitation of 1-to-4 unit residential
buildings, and existing housing-related infrastructure,
such as repairs or rehabilitation of existing wells,
septics, or utility lines that connect to that housing.
(C) New construction, development, demolition,
acquisition, or disposition on up to 4 scattered site
existing dwelling units where there is a maximum of 4
units on any 1 site.
(D) Acquisitions (including leasing) or disposition
of, or equity loans on an existing structure, or
acquisition (including leasing) of vacant land if the
structure or land acquired, financed, or disposed of
will be retained for the same use.
(3) The following housing-related activities shall be
subject to regulations equivalent or substantially similar to
the regulations entitled, (i) ``categorical exclusions subject
to section 58.5'' and (ii) ``categorical exclusions subject to
the Federal laws and authorities cited in sections 50.4'' in
section 58.35(a) and section 50.20, respectively, of title 24,
Code of Federal Regulations, as in effect on January 1, 2025,
if such activities do not materially alter environmental
conditions and do not materially exceed the original scope of
the project:
(A) Acquisitions of open space or residential
property, where such property will be retained for the
same use or will be converted to open space to help
residents relocate out of an area designated as a high-
risk area by the Secretary.
(B) Conversion of existing office buildings into
residential development, subject to--
(i) a maximum number of units to be
determined by the Secretary; and
(ii) a limitation on the change in building
size to not more than 20 percent.
(C) New construction, development, demolition,
acquisition, or disposition on 5 to 15 dwelling units
where there is a maximum of fifteen units on any 1
site. The units can be 15 1-unit buildings or 1 15-unit
building, or any combination in between.
(D) New construction, development, demolition,
acquisition, or disposition on 15 or more housing units
developed on scattered sites when there are not more
than 15 housing units on any 1 site, and the sites are
more than a set number of feet apart as determined by
the Secretary.
(E) Rehabilitation of buildings and improvements in
the case of a building for residential use with 5 to 15
units, if the density is not increased beyond 15 units
and the land use is not changed.
(F) Infill projects consisting of new construction,
rehabilitation, or development of residential housing
units.
(G) Buyouts, defined as the voluntary acquisition
of properties properties located in a (i) floodway,
(ii) floodplain, or (iii) other area, clearly
delineated by the grantee, that has been impacted by a
predictable environmental threat to the safety and
wellbeing of program beneficiaries caused or
exacerbated by a Federally-declared disaster.
SEC. 4. REPORT.
The Secretary shall submit to the chairs and ranking members of the
Committee on Banking, Housing, and Urban Affairs of the Senate and the
Committee on Financial Services of the House of Representatives an
annual report during the 5-year period beginning on the date that is 2
years after the date of enactment of this Act that provides a summary
of findings of reductions in review times and administrative cost
reduction, with a particular focus on the affordable housing sector, as
a result of the actions set forth in this Act, and any recommendations
of the Secretary for future congressional action with respect to
revising categorical exclusions or exemptions under title 24, Code of
Federal Regulations.
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