Unlocking Housing Supply Through Streamlined and Modernized Reviews Act
Unlocking Housing Supply Through Streamlined and Modernized Reviews Act would require HUD to reclassify a broad set of housing-related activities under the National Environmental Policy Act (NEPA) so they are treated as exempt or categorically excluded from full environmental reviews. The goal is to speed up housing production, especially affordable housing, by aligning HUD activities with existing exemptions in the federal regulations (as of 2025) and creating clear size and scope limits on what can be exempted. The bill defines an “infill project” and then applies streamlined NEPA treatment to various activities—from rental assistance and supportive services to modest construction, rehabilitation, and small-scale acquisitions—provided they do not materially alter environmental conditions or exceed the original project scope. It also requires an annual report from HUD on achieved time and cost savings and on any recommendations for future changes to exemptions.
Key Points
- 1The Secretary must expand and reclassify housing-related activities under NEPA to be treated as exempt or categorically excluded, using existing CFR standards as of January 1, 2025.
- 2Exempt activities include tenant-based rental assistance, supportive services, operating costs, economic development activities, homebuyer assistance, pre-development costs for affordable housing, supplemental insurance/assistance, and emergency utility-related aid.
- 3Additional activities eligible for categorical exclusions (with limits) cover modest improvements and acquisitions: small improvements to public facilities, rehab of 1–4 unit homes, up to 4 scattered-site units, acquisitions or dispositions retained for the same use, and related small-scale development.
- 4Further exclusions apply to acquisitions of open space, conversion of office buildings to residential use (with unit and size limits), new construction on small-to-moderate unit counts (5–15, or more with spacing rules), infill residential developments, and buyouts in areas impacted by disasters where the threat is predictable.
- 5A HUD annual reporting requirement begins two years after enactment and lasts five years, focusing on reductions in review times and administrative costs, with recommendations on future changes to exemptions.