This bill streamlines environmental reviews for HUD-funded housing projects by reclassifying many activities into simplified review categories under the National Environmental Policy Act (NEPA). It directly affects HUD housing programs - including tenant assistance, repairs, affordable housing pre-development, and infill projects - by eliminating full environmental reviews for eligible activities. Key mechanisms include categorizing routine housing actions (like minor repairs or 1-4 unit rehab) as "categorical exclusions" and limiting review requirements for larger projects (e.g., 5-15 units) unless they significantly alter environmental conditions. The bill requires HUD to report annually on reduced review times and cost savings in the affordable housing sector over five years. This policy change aims to accelerate housing development without altering environmental protections for qualifying projects.
The Rural Housing Service Reform Act of 2025 establishes a permanent housing preservation and revitalization program to maintain affordable multifamily housing projects financed under sections 514, 515, and 516 of the Housing Act of 1949, authorizing $200 million annually for fiscal years 2026-2030 to support loan restructuring, rental assistance renewal, and technical assistance for owners. The bill creates a $50 million annual set-aside for Native community development financial institutions to increase homeownership opportunities for Indian Tribes, Alaska Native communities, and Native Hawaiian communities. Additionally, it modifies Section 504 loans to reserve 60% for very low-income applicants and increases the loan cap from $7,500 to $15,000, while adjusting rural housing voucher processes to allow more frequent recalculation based on changing household circumstances.
The America First Act would restrict eligibility for numerous federal benefit programs based on immigration status. It requires verification of citizenship or lawful immigration status for programs including Medicaid, Medicare, Head Start, school meals, WIC, the Child Tax Credit, Earned Income Tax Credit, and housing assistance. The bill specifically would deny benefits to individuals who are unlawfully present in the U.S. or who have certain immigration statuses including parolees, Temporary Protected Status (TPS) recipients, DACA recipients, and asylum seekers. These provisions would directly affect millions of immigrants and their families who currently qualify for these programs. The bill would also prohibit use of FEMA assistance for certain non-citizens and limit access to postsecondary financial aid based on immigration status.
# Summary of Transportation, Housing and Urban Development, and Related Agencies Appropriations Act, 2026
This comprehensive appropriations bill allocates funding for the Department of Transportation, Department of Housing and Urban Development (HUD), and several related agencies for fiscal year 2026.
## Key Funding Areas
1. **Department of Transportation**: Includes funding for transportation infrastructure, safety programs, and related initiatives.
2. **Department of Housing and Urban Development (HUD)**:
- Tenant-based rental assistance (Section 8)
- Public housing operating and capital funds
- Lead hazard reduction programs
- Fair housing activities
- Homeless assistance grants
- Community development programs
- Healthy homes initiatives
3. **Related Agencies**: Funding for the Access Board, Federal Maritime Commission, National Railroad Passenger Corporation (Amtrak), National Transportation Safety Board, Neighborhood Reinvestment Corporation, and Surface Transportation Board.
## Major Restrictions and Provisions
1. **Funding Restrictions**:
- No funds may be used for certain types of training (e.g., training inducing emotional stress, religious content, or designed to change personal values)
- No funds for first-class airline travel in contravention of federal regulations
- No funds for certain projects (e.g., no funds to support projects using eminent domain for private economic development)
- No funds to facilitate new scheduled air transportation to Cuban Government-confiscated property
2. **Reporting Requirements**:
- Quarterly reports to Congress on uncommitted, unobligated, recaptured, and excess funds
- Semi-annual reports on properties with failing physical inspections
3. **Fund Transfer Rules**:
- Strict limitations on reprogramming funds without Congressional approval
- Restrictions on transferring funds between accounts (e.g., no more than 10% or $5 million transfer between offices)
- Specific rules for transfer of funds to the Information Technology Fund
4. **Other Significant Provisions**:
- Restrictions on using funds for certain types of litigation
- Requirements for transparency in consulting services
- Limits on using funds for executive-legislative activities
- Prohibitions on using funds for certain types of contracts (e.g., "HAP Contract Support Services" solicitation)
The bill contains numerous specific restrictions on how funds may be used, with over 100 provisions detailing what the funds cannot be used for, reflecting a strong emphasis on fiscal responsibility and program accountability.
This bill permanently extends the New Markets Tax Credit (NMTC), a federal tax incentive that encourages private investment in low-income communities. It directly affects community development entities (CDEs) that channel capital into underserved neighborhoods for projects like housing, healthcare, and businesses. Key provisions include permanently extending the credit beyond 2025, adding annual inflation adjustments to the credit amount starting in 2026, and ensuring the credit isn't reduced by the alternative minimum tax for investments made after December 2024. The changes apply to taxable years beginning after December 2024, providing long-term stability for community development financing.
The Build Now Act of 2025 adjusts Community Development Block Grant (CDBG) allocations for eligible cities and urban counties under Section 106 of the Housing and Community Development Act of 1974. It calculates a "housing growth improvement rate" for each recipient - measuring changes in housing unit growth - and rewards jurisdictions with the highest improvement rates by adding bonus funds to their CDBG allocation, while reducing allocations by 10% for those below the median rate. The bill applies to metropolitan areas meeting specific criteria (e.g., not experiencing disasters, having sufficient zoning authority) and requires the Department of Housing and Urban Development (HUD) to publish annual reports on these rates and distribution. Funding adjustments take effect three years after enactment and run through 2043.
This bill requires recipients of federal housing funds (grantees) to create and maintain a searchable online database listing all undeveloped land they own. It amends the Housing and Community Development Act of 1974 to add this new requirement for grant recipients. The database must be publicly accessible and identify all undeveloped parcels owned by the grantee. The requirement takes effect on October 1, 2026.
The Thriving Communities Act of 2025 establishes a federal grant program to help fast-growing communities develop infrastructure projects, particularly those connecting housing with public transit. It authorizes $100 million annually for the Transportation Secretary and $5.5 million for the Housing Secretary to provide technical assistance and capacity-building support. The program requires regular reports to Congress on funding methods, coordination between agencies, and metrics used to distribute grants. This directly affects local governments in rapidly expanding areas seeking to improve transportation and housing infrastructure through federal support.
This bill blocks federal Community Development Block Grants (CDBG) from being awarded to any state or local government that qualifies as a "sanctuary jurisdiction." A sanctuary jurisdiction is defined as one with policies that prevent sharing immigration status information with federal authorities or refusing to comply with immigration detainer requests, *except* when officials are protecting crime victims or witnesses. To receive CDBG funds, jurisdictions must certify they are not sanctuary jurisdictions and will remain so during the grant period. The law directly affects cities or counties with such policies by withholding a key source of federal funding for community projects like housing and infrastructure.
The Revitalize Our Neighborhoods Act of 2025 creates a competitive grant program administered by the Department of Housing and Urban Development (HUD) to eliminate blight and revitalize neighborhoods. It provides funding specifically for states, local governments, or multi-jurisdictional entities to carry out activities like demolishing deteriorated structures, boarding vacant properties, renovating abandoned buildings, and constructing affordable housing - all limited to low-income communities. Recipients must contribute at least 15% in matching funds (from federal programs, local sources, or property sales) and submit detailed 5-year plans for how the funds will be used. The bill prohibits using funds to acquire occupied homes and requires annual reports on project outcomes, geographic distribution, and populations assisted.
