[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[S. 2441 Introduced in Senate (IS)]
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119th CONGRESS
1st Session
S. 2441
To provide for adjustments to community development block grant
allocations based on improvements in housing growth rates.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
July 24, 2025
Mr. Kennedy (for himself and Ms. Warren) introduced the following bill;
which was read twice and referred to the Committee on Banking, Housing,
and Urban Affairs
_______________________________________________________________________
A BILL
To provide for adjustments to community development block grant
allocations based on improvements in housing growth rates.
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 ``Build Now Act of 2025''.
SEC. 2. DEFINITIONS.
In this Act:
(1) Covered recipient.--The term ``covered recipient''
means a metropolitan city or urban county, as those terms are
defined in section 102 of the Housing and Community Development
Act of 1974 (42 U.S.C. 5302), that receives funds under section
106.
(2) Current annual growth rate.--The term ``current annual
growth rate'', with respect to an eligible recipient and a
fiscal year, means the average annual percentage increase in
the number of housing units in the jurisdiction of the eligible
recipient, as calculated by the Secretary, during the period--
(A) beginning with the third quarter of the sixth
preceding fiscal year; and
(B) ending with the third quarter of the preceding
fiscal year.
(3) Eligible recipient.--The term ``eligible recipient''
means any covered recipient unless--
(A)(i) the median Small Area Fair Market Rent in
the jurisdiction of the covered recipient is at or
below the 60th percentile of median Small Area Fair
Market Rents in the jurisdictions of all covered
recipients; and
(ii) the median home value in the jurisdiction of
the covered recipient is below the median home value
for the United States;
(B) the annual natural rental vacancy rate in the
jurisdiction of the covered recipient is greater than
the national annual natural rental vacancy rate for the
most recent year available, as published by the Bureau
of the Census;
(C) during the 1-year period preceding the date on
which the Secretary allocates funds under section 106,
the jurisdiction of the covered recipient has been the
subject of a major disaster or emergency declaration
under section 401 or 501, respectively, of the Robert
T. Stafford Disaster Relief and Emergency Assistance
Act (42 U.S.C. 5170, 5191); or
(D) the covered recipient lacks the legal authority
to enact or update zoning and permitting ordinances.
(4) Extremely high-growth recipient.--The term ``extremely
high-growth recipient'' means an eligible recipient for which
the current annual growth rate is at or above 4 percent.
(5) Housing growth improvement rate.--The term ``housing
growth improvement rate'', with respect to an eligible
recipient and a fiscal year, means the quotient of--
(A) the current annual growth rate of the eligible
recipient; and
(B) the prior annual growth rate of the eligible
recipient.
(6) Prior annual growth rate.--The term ``prior annual
growth rate'', with respect to an eligible recipient and a
fiscal year, means the average annual percentage increase in
the number of housing units in the jurisdiction of the eligible
recipient, as calculated by the Secretary, during the period--
(A) beginning with the third quarter of the 11th
preceding fiscal year; and
(B) ending with the third quarter of the sixth
preceding fiscal year.
(7) Secretary.--The term ``Secretary'' means the Secretary
of Housing and Urban Development.
(8) Section 106.--The term ``section 106'' means section
106 of the Housing and Community Development Act of 1974 (42
U.S.C. 5306).
SEC. 3. ADJUSTMENTS TO COMMUNITY DEVELOPMENT BLOCK GRANT ALLOCATIONS.
(a) In General.--In allocating amounts to an eligible recipient
under section 106 for a fiscal year, the Secretary shall adjust the
allocation based on the housing growth improvement rate of the eligible
recipient, in accordance with subsection (b) of this section.
(b) Adjustments.--
(1) Housing growth improvement rate at or above median;
extremely high-growth recipients.--
(A) In general.--If, with respect to a fiscal year
for which the allocation under section 106 is being
determined, the housing growth improvement rate for an
eligible recipient is at or above the median housing
growth improvement rate for all eligible recipients
other than extremely high-growth recipients, or if an
eligible recipient is an extremely high-growth
recipient, the Secretary shall allocate to the eligible
recipient for that fiscal year, in addition to the
amount that would otherwise be allocated to the
eligible recipient under section 106, a bonus amount,
as determined under subparagraph (B) of this paragraph.
(B) Bonus amount.--For purposes of subparagraph
(A), the bonus amount for an eligible recipient for a
fiscal year shall be equal to the product of--
(i) the aggregate amount by which
allocations to eligible recipients are
decreased under paragraph (2) for that fiscal
year; and
(ii) the quotient of--
(I) the number of housing units, as
of the third quarter of the preceding
fiscal year, in the jurisdiction of the
eligible recipient, as calculated by
the Secretary; and
(II) the number of housing units,
as of the third quarter of the
preceding fiscal year, in the
jurisdictions of all eligible
recipients that receive a bonus amount
under this paragraph, as calculated by
the Secretary.
(2) Housing growth improvement rate below median.--If, with
respect to a fiscal year for which the allocation under section
106 is being determined, the housing growth improvement rate
for an eligible recipient is below the median housing growth
improvement rate for all eligible recipients other than high-
growth outliers, the Secretary shall decrease the amount that
would otherwise be allocated to the eligible recipient under
section 106 for that fiscal year by 10 percent.
SEC. 4. CALCULATION OF HOUSING UNITS.
(a) HUD Requirements.--In calculating the number of housing units
in the jurisdiction of an eligible recipient under any provision of
this Act, the Secretary shall--
(1) use the Current Address Count Listing Files and other
data products, as needed, of the Bureau of the Census tabulated
from the Master Address File; and
(2) make calculations at the block level, using boundaries
that reflect the most current boundaries.
(b) Census Bureau and Postal Service Requirements.--The Bureau of
the Census and the United States Postal Service shall provide any
relevant data to the Secretary upon request to assist the Secretary in
making a calculation described in subsection (a).
(c) Adjustment of Calculation Periods.--The Secretary may adjust
the calculation periods under subparagraphs (A) and (B) of section
2(2), subparagraphs (A) and (B) of section 2(6), and subclauses (I) and
(II) of section 3(b)(1)(B)(ii) by not more than 2 months to achieve
alignment with the data provided by the Bureau of the Census.
SEC. 5. ANNUAL REPORT ON HOUSING GROWTH IMPROVEMENT RATE.
Before allocating funds under section 106 for a fiscal year, the
Secretary shall publish a report that--
(1) includes the housing growth improvement rate for each
eligible recipient; and
(2) lists, for the most recent fiscal year for which
allocations were made under section 106--
(A) the eligible recipients that received a bonus
amount under section 3(b)(1); and
(B) the eligible recipients for which the
allocation under section 106 was decreased under
section 3(b)(2) of this Act.
SEC. 6. NOTIFICATION; IMPLEMENTATION DATES.
(a) Notification.--
(1) In general.--Not later than 60 days after the date of
enactment of this Act, the Secretary shall notify each eligible
recipient of the recipient's housing growth improvement rate
and whether that housing growth improvement rate is above, at,
or below the median housing growth improvement rate for all
eligible recipients other than extremely high-growth
recipients.
(2) Guidance.--As part of the notification under paragraph
(1), the Secretary shall share guidance, including resources
developed by the Department of Housing and Urban Development,
on best practices and recommendations on policies to reduce
regulatory barriers to housing and increase housing supply.
(b) Implementation Dates.--Section 3 shall take effect beginning
with the second full fiscal year after the date of enactment of this
Act and remain in effect through fiscal year 2042.
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