Rounds Introduces Legislation to Cut Federal Red Tape, Build Housing Faster

WASHINGTON – U.S. Senators Mike Rounds (R-S.D.) and Andy Kim (D-N.J.), both members of the Senate Committee on Banking, Housing, and Urban Affairs, introduced bipartisan legislation to address the critical shortage of housing across the country and create more affordable paths to owning a home for more Americans. Together the Unlocking Housing Supply Through Streamlined and Modernized Reviews Act and the Better Use of Intergovernmental & Local Development (BUILD) Housing Act would streamline the federal housing environmental review process to responsibly increase housing production and boost overall supply and lower cost.

“Too often, Washington demands paperwork for the sake of paperwork. Many Department of Housing & Urban Development-funded activities have no real environmental impact, yet communities are forced to waste time and taxpayer dollars proving it,” said Rounds. “I have heard consistently from housing professionals in South Dakota that this kind of red tape delays housing and drives up costs. That’s why Senator Kim and I introduced two pieces of bipartisan legislation to cut through the bureaucracy and help communities focus on building homes instead of filling out forms. I want everyone in America to be able to achieve the American dream of owning a home, and this bill gets us one step closer by creating more housing and lowering costs.”

"We have a housing crisis in this country and it’s holding too many back from achieving the American dream,” said Kim. “I see this all the time in my home state. Families who just want the security of a roof over their head that’s theirs; something they can pass down to the next generation. These bills won’t solve all the problems, but they’ll help make sure we’re building more and faster to increase opportunities and lower costs. These aren’t just Democratic or Republican problems and they’ll require both parties working together. It’s why I’m proud to work with Senator Rounds to collaborate on these solutions and look forward to working to get them passed in committee and onto the Senate Floor.”

The bills aim to address the housing affordability crisis by making it faster and more efficient to rehabilitate existing buildings and start construction for new residential properties, as well as modernize regulations in places where development costs are extremely high. Nationwide, there is a shortage of more than 7 million affordable homes for low-income families, with more than 70% of low-income families paying more than half their income on rent.

Thanks to commonsense policies, South Dakota ranks as the second most affordable state in the nation. Yet, more than 18% of renters are spending over half their income on rent, a clear sign that housing challenges persist and federal red tape contributes to higher costs.

The Unlocking Housing Supply Through Streamlined and Modernized Reviews Act would modernize the National Environmental Policy Act (NEPA) review process for housing projects/services funded by the Department of Housing and Urban Development (HUD), including by:

• Modernizing the NEPA review process by reclassifying certain HUD-funded housing projects to be subject to more pragmatic and tailored environmental review frameworks.
• Speeds up critical repairs and safety improvements for homeowners by streamlining outdated review requirements.
• Removes roadblocks to converting vacant office space, building infill housing, and revitalizing existing homes—so communities can build more housing, faster.

This legislation is endorsed by Bipartisan Policy Center Action, Mortgage Bankers Association, Enterprise Community Partners, Local Initiatives Support Corporation (LISC), National Neighborworks Association, National Council of State Housing Agencies, Housing Assistance Council, American Planning Association, National Affordable Housing Management Association, National Association of Housing and Redevelopment Officials, Up for Growth, Inclusive Abundance Initiative and Habitat for Humanity International.

Representative Mike Flood (R-Neb.), Chairman of the Housing and Insurance Subcommittee, and Representative Sam Liccardo (D-Calif.) are introducing the companion legislation in the House.

Click HERE to read full bill text.

The BUILD Housing Act aims to modernize the NEPA review process by increasing capacity sharing between HUD and states and localities, including by:

• Bringing HUD standards in line with other agencies by giving it authority to delegate and coordinate with some housing reviews for HUD grant programs to states and localities.
• Giving HUD more flexibility in the review process by allowing the agency to designate housing assistance as “special project funds.”

This legislation is endorsed by Enterprise Community Partners, Local Initiatives Support Corporation (LISC), National Neighborworks Association, Mortgage Bankers Association, National Council of State Housing Agencies, Housing Assistance Council, Bipartisan Policy Center Action, American Planning Association, National Affordable Housing Management Association, National Association of Housing and Redevelopment Officials, Up for Growth, and Inclusive Abundance Initiative.

Click HERE to read full bill text.

###