H.Res. 1299

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H. Res. 1299 Engrossed in House (EH)]

<DOC>
H. Res. 1299

In the House of Representatives, U. S.,

May 20, 2026.
Resolved, That upon the adoption of this resolution the House shall be 
considered to have taken from the Speaker's table the bill, H.R. 6644, with the 
Senate amendment thereto, and to have concurred in the Senate amendment with the 
following amendment:
In lieu of the matter proposed to be inserted by the amendment of 
the Senate to the text of the bill, insert the following:

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

(a) Short Title.--This Act may be cited as the ``21st Century ROAD to 
Housing Act''.
(b) Table of Contents.--The table of contents for this Act is as follows:

Sec. 1. Short title; table of contents.
TITLE I--OPPORTUNITIES FOR HOUSING

Sec. 101. Reforms to housing counseling and financial literacy 
programs.
Sec. 102. Federal guidelines for point access block buildings.
Sec. 103. Exemption on construction or modification of residential 
housing located on an infill site.
Sec. 104. Database of publicly owned land.
Sec. 105. FHA Small-Dollar Mortgages.
Sec. 106. Temperature Sensor Pilot Program.
Sec. 107. Housing supply frameworks.
TITLE II--BUILDING MORE IN AMERICA

Sec. 201. Increasing housing in opportunity zones.
Sec. 202. Whole-Home Repairs Act.
Sec. 203. Community Investment and Prosperity Act.
Sec. 204. Addition of affordable housing construction as an eligible 
activity.
Sec. 205. Better Use of Intergovernmental and Local Development (BUILD) 
Housing Act.
Sec. 206. Unlocking Housing Supply Through Streamlined and Modernized 
Reviews Act.
Sec. 207. Grants for planning and implementation associated with 
affordable housing.
Sec. 208. Innovation Fund.
Sec. 209. Accelerating Home Building Act.
Sec. 210. Revitalizing Empty Structures Into Desirable Environments 
(RESIDE) Act.
Sec. 211. Housing Affordability Act.
TITLE III--MANUFACTURED HOUSING FOR AMERICA

Sec. 301. Housing Supply Expansion Act.
Sec. 302. Modular Housing Production Act.
Sec. 303. Property Improvement and Manufactured Housing Loan 
Modernization Act.
TITLE IV--ACCESSING THE AMERICAN DREAM

Sec. 401. Creating incentives for small-dollar loan originators.
Sec. 402. Small-dollar mortgage points and fees.
Sec. 403. Appraisal Industry Improvement Act.
Sec. 404. Helping More Families Save Act.
Sec. 405. Choice in Affordable Housing Act.
TITLE V--PROGRAM REFORM

Sec. 501. HOME Investment Partnerships Reauthorization and Reform Act.
Sec. 502. Rural Housing Service Reform Act.
Sec. 503. Incentivizing local solutions to homelessness.
TITLE VI--VETERANS AND HOUSING

Sec. 601. Military Service Question.
Sec. 602. Housing Unhoused Disabled Veterans Act.
TITLE VII--OVERSIGHT AND ACCOUNTABILITY

Sec. 701. Requiring annual testimony and oversight from housing 
regulators.
Sec. 702. FHA reporting requirements on safety and soundness.
Sec. 703. United States Interagency Council on Homelessness oversight.
Sec. 704. Appraisal Modernization Act.
TITLE VIII--ACCOUNTABILITY, COORDINATION, STUDIES, AND REPORTING

Sec. 801. HUD-USDA-VA Interagency Coordination Act.
Sec. 802. Streamlining Rural Housing Act.
Sec. 803. Improving self-sufficiency of families in HUD-subsidized 
housing.
Sec. 804. GAO studies.
Sec. 805. Improving public housing agency accountability.
TITLE IX--STRENGTHENING COMMUNITY BANKS' ROLE IN HOUSING

Sec. 901. Community bank deposit access.
Sec. 902. Keeping deposits local.
Sec. 903. Tailored regulatory updates for supervisory testing.
Sec. 904. Credit union board modernization.
Sec. 905. Systemic risk authority transparency.
Sec. 906. Least cost exception.
Sec. 907. Failing bank acquisition fairness.
Sec. 908. Advancing the mentor-protege program for small financial 
institutions.
Sec. 909. American access to banking.
Sec. 910. Promoting new bank formation.
Sec. 911. Rural depositories revitalization study.
Sec. 912. Discretionary surplus fund.
TITLE X--HOME-OWNERSHIP FOR MAIN STREET AMERICA

Sec. 1001. Homes are for people, not corporations.
TITLE XI--CENTRAL BANK DIGITAL CURRENCY

Sec. 1101. Central bank digital currency.
TITLE XII--MISCELLANEOUS

Sec. 1201. Severability.
Sec. 1202. No additional funds authorized.

TITLE I--OPPORTUNITIES FOR HOUSING

SEC. 101. REFORMS TO HOUSING COUNSELING AND FINANCIAL LITERACY PROGRAMS.

Section 106 of the Housing and Urban Development Act of 1968 (12 U.S.C. 
1701x) is amended--
(1) in subsection (a)(4)(C), by striking ``adequate distribution'' 
and all that follows through ``foreclosure rates'' and inserting ``that 
the recipients are geographically diverse and include organizations that 
serve urban or rural areas'';
(2) in subsection (e), by adding at the end the following:
``(6) Reviews.--The Secretary--
``(A) may conduct periodic reviews; and
``(B) shall conduct performance reviews of all organizations 
receiving assistance under this section that--
``(i) consist of a review of the organization's 
compliance with all program requirements; and
``(ii) may take into account the organization's 
aggregate counselor performance under paragraph (7)(B).
``(7) Considerations.--
``(A) Covered mortgage loan defined.--In this paragraph, the 
term `covered mortgage loan' means any loan which is secured by 
a first or subordinate lien on residential real property 
(including individual units of condominiums and housing 
cooperatives) designed principally for the occupancy of between 
1 and 4 families that is--
``(i) insured by the Federal Housing Administration 
under title II of the National Housing Act (12 U.S.C. 
1707 et seq.); or
``(ii) guaranteed under section 184 or 184A of the 
Housing and Community Development Act of 1992 (12 U.S.C. 
1715z-13a, 1715z-13b).
``(B) Comparison.--For each counselor employed by an 
organization receiving assistance under this section for 
prepurchase housing counseling, the Secretary may consider the 
performance of the counselor compared to the default rate of all 
counseled borrowers of a covered mortgage loan in comparable 
markets and such other factors as the Secretary determines 
appropriate to further the purposes of this section.
``(8) Certification.--If, based on the comparison required under 
paragraph (7)(B), the Secretary determines that a counselor lacks 
competence to provide counseling in the areas described in subsection 
(e)(2) and such action will not create a significant loss of capacity 
for housing counseling services in the service area, the Secretary may--
``(A) require continued education coupled with successful 
completion of a probationary period;
``(B) require retesting if the counselor continues to 
demonstrate a lack of competence under paragraph (7)(B); and
``(C) suspend an individual certification if a counselor 
fails to demonstrate competence after not fewer than 2 retesting 
opportunities under subparagraph (B).'';
(3) in subsection (i)--
(A) by redesignating paragraph (3) as paragraph (4); and
(B) by inserting after paragraph (2) the following:
``(3) Termination of assistance.--
``(A) In general.--The Secretary may deny renewal of covered 
assistance to an organization or entity receiving covered 
assistance if the Secretary determines that the organization or 
entity, or the individual through which the organization or 
entity provides counseling, is not in compliance with program 
requirements--
``(i) based on the performance review described in 
subsection (e)(6); and
``(ii) in accordance with regulations issued by the 
Secretary.
``(B) Notice.--The Secretary shall give an organization or 
entity receiving covered assistance not less than 60 days prior 
written notice of any denial of renewal under this paragraph, 
and the determination of renewal shall not be finalized until 
the end of that notice period.
``(C) Informal conference.--If requested in writing by the 
organization or entity within the notice period described in 
subparagraph (B), the organization or entity shall be entitled 
to an informal conference with the Deputy Assistant Secretary of 
Housing Counseling on behalf of the Secretary at which the 
organization or entity may present for consideration specific 
factors that the organization or entity believes were beyond the 
control of the organization or entity and that caused the 
failure to comply with program requirements, such as a lack of 
lender or servicer coordination or communication with housing 
counseling agencies and individual counselors.''; and
(4) by adding at the end the following:
``(j) Offering Foreclosure Mitigation Counseling.--
``(1) Covered mortgage loan defined.--In this subsection, the term 
`covered mortgage loan' means any loan which is secured by a first or 
subordinate lien on residential real property (including individual 
units of condominiums and housing cooperatives) or stock or membership 
in a cooperative ownership housing corporation designed principally for 
the occupancy of between 1 and 4 families that is--
``(A) insured by the Federal Housing Administration under 
title II of the National Housing Act (12 U.S.C. 1707 et seq.);
``(B) guaranteed under section 184 or 184A of the Housing 
and Community Development Act of 1992 (12 U.S.C. 1715z-13a, 
1715z-13b);
``(C) made, guaranteed, or insured by the Department of 
Veterans Affairs; or
``(D) made, guaranteed, or insured by the Department of 
Agriculture.
``(2) Opportunity for borrowers.--A borrower with respect to a 
covered mortgage loan who is 30 days or more delinquent on payments for 
the covered mortgage loan shall be given an opportunity to participate 
in available housing counseling.
``(3) Cost.--If the requirements of sections 202(a)(3) and 205(f) of 
the National Housing Act (12 U.S.C. 1708(a)(3), 1711(f)) are met, the 
fair market rate cost of counseling for delinquent borrowers described 
in paragraph (2) with respect to a covered mortgage loan described in 
paragraph (1)(A) shall be paid for by the Mutual Mortgage Insurance 
Fund, as authorized under section 203(r)(4) of the National Housing Act 
(12 U.S.C. 1709(r)(4)).''.

SEC. 102. FEDERAL GUIDELINES FOR POINT ACCESS BLOCK BUILDINGS.

(a) In General.--Not later than 18 months after the date of enactment of 
this section, the Secretary of Housing and Urban Development shall issue 
guidelines to provide States, territories, Tribes, and localities with model 
code language, best practices, and technical guidance that could be used to 
facilitate the permitting of point-access block residential buildings.
(b) Contents.--When developing the guidelines under subsection (a), the 
Secretary shall consider--
(1) fire safety considerations, including sprinkler coverage, smoke 
detection, ventilation, and building egress performance;
(2) construction costs and potential impacts on housing 
affordability, including the potential for increasing housing supply in 
high-cost jurisdictions;
(3) flexibility for diverse consumer needs, including family sizes, 
unit configurations, and accessibility;
(4) examples of single-stair codes adopted or considered by States 
and cities in the United States;
(5) examples of single-stair codes used in relevant international 
standards;
(6) research and model language relating to single-stair codes 
produced by organizations that focus on point-access block building 
design and building-code reform;
(7) consulting with experts, including developers, architects, fire 
marshals, researchers, economists, housing authorities, and officials in 
States that have enacted or piloted single-stair codes; and
(8) alternative methods of safety compliance, including options that 
utilize additional passive or active safety features.
(c) Coordination With the International Code Council.--The Secretary shall 
coordinate with the International Code Council to encourage the International 
Code Council to incorporate provisions about point-access block buildings into 
the International Building Code.
(d) Grants.--
(1) In general.--The Secretary may establish a program to award 
competitive grants to eligible entities to implement pilot projects that 
evaluate, demonstrate, or validate the safety, feasibility, or cost-
effectiveness of point-access block residential buildings.
(2) Sunset.--The program established under paragraph (1) shall 
terminate on the date that is 7 years after the date of the enactment of 
this subsection.
(e) Treatment of Projects.--Projects assisted under this section shall be 
treated as projects assisted under the Community Development Block Grant program 
under title I of the Housing and Community Development Act of 1974 (42 U.S.C. 
5301 et seq.).
(f) Rule of Construction.--Nothing in this section may be construed to 
preempt a State or local building code.
(g) Definitions.--In this section:
(1) Eligible entity.--The term ``eligible entity'' means a State, 
unit of local government, Tribal Government, public housing agency, 
nonprofit housing organization, community development organization, 
private developer, construction firm, qualified design firm, engineering 
firm, academic institution, research institution, or any partnership or 
consortium comprised of 2 or more such types of entities.
(2) Point-access block building.--The term ``point-access block 
building'' means a Group R-2 occupancy residential structure, as such 
term is defined by the International Building Code, in which a single 
internal stairway provides access and egress for all dwelling units in a 
building that is not greater than 6 stories in height.

SEC. 103. EXEMPTION ON CONSTRUCTION OR MODIFICATION OF RESIDENTIAL HOUSING 
LOCATED ON AN INFILL SITE.

(a) Exemption.--In providing assistance under section 501, 502, 504, 515, 
533, or 538 of the Housing Act of 1949 (42 U.S.C. 1471, 1472, 1474, 1485, 1490m, 
or 1490p-2) for the construction or modification of residential housing located 
on an infill site, the Secretary of Agriculture shall not be required to carry 
out any study or report on the environmental effects of such assistance.
(b) Report.--Not later than the date that is 5 years after the date of 
enactment of this section, the Secretary of Agriculture shall submit, to the 
Committee on Financial Services of the House of Representatives and the 
Committee on Banking, Housing, and Urban Affairs of the Senate, a report that--
(1) determines whether the implementation of this section--
(A) reduced the amount of time it takes to review an 
application for assistance under the sections of the Housing Act 
of 1949 identified in subsection (a); and
(B) reduced the administrative cost of providing such 
assistance;
(2) describes how the implementation of this section affects the 
affordable housing sector in rural America; and
(3) includes any legislative recommendations from the Secretary of 
Agriculture.
(c) Definitions.--In this section:
(1) Greenfield.--The term ``greenfield'' means a site that has not 
been developed, including a woodland, farmland, and an open field.
(2) Infill site.--The term ``infill site''--
(A) means a site that is served by existing infrastructure, 
including water lines, sewer lines, and roads; and
(B) does not include--
(i) a site that is served by existing infrastructure 
that only consists of a road;
(ii) a site within a census tract designated as very 
high or relatively high risk for wildfire, coastal 
flooding, and riverine flooding under the National Risk 
Index of the Federal Emergency Management Agency 
pursuant to section 206 of the Robert T. Stafford 
Disaster Relief and Emergency Assistance Act (42 U.S.C. 
5136); and
(iii) a greenfield.

SEC. 104. DATABASE OF PUBLICLY OWNED LAND.

(a) In General.--Section 104(b) of the Housing and Community Development Act 
of 1974 (42 U.S.C. 5304(b)) is amended--
(1) in paragraph (5), by striking ``and'' at the end;
(2) in paragraph (6), by striking the period at the end and 
inserting ``; and''; and
(3) by adding at the end the following:
``(7) the grantee maintains, on a publicly accessible website, a 
searchable database that identifies all parcels of undeveloped land 
owned by the grantee.''.
(b) Effective Date.--The amendment made by this subsection shall take effect 
on October 1, 2026.

SEC. 105. FHA SMALL-DOLLAR MORTGAGES.

(a) In General.--Not later than 1 year after the date of the enactment of 
this section, the Secretary of Housing and Urban Development, acting through the 
Federal Housing Commissioner, may establish a Pilot Program to increase access 
to small-dollar mortgages for mortgagors which may include--
(1) authorizing direct payments to mortgagees to incentivize the 
origination of small-dollar mortgages;
(2) adjusting terms and costs imposed by the Federal Housing 
Administration with respect to small-dollar mortgages;
(3) providing direct grants for mortgagors who obtain small-dollar 
mortgages to cover costs associated with--
(A) down payments;
(B) closing costs;
(C) appraisals; and
(D) title insurance;
(4) conducting outreach to potential mortgagors about the 
availability of small-dollar mortgages; and
(5) providing technical assistance for mortgagees that originate 
small-dollar mortgages.
(b) Report.--Beginning not later than 1 year after the establishment of the 
Pilot Program under subsection (a) and ending 1 year after the sunset of the 
Pilot Program, the Federal Housing Commissioner shall submit to the Congress an 
annual report that--
(1) tracks and evaluates the outcomes of small-dollar mortgages 
originated by mortgagees as a result of support provided under 
subsection (a);
(2) analyzes risks of the Pilot Program to the solvency of the 
Mutual Mortgage Insurance Fund;
(3) includes data with respect to--
(A) the number of small-dollar mortgages originated in the 
10-year period preceding the date of the enactment of this 
section, including small-dollar mortgages insured or guaranteed 
by the Federal Government and small-dollar mortgages not insured 
by the Federal Government;
(B) the original principal balance of each small-dollar 
mortgage identified under subparagraph (A);
(C) demographic information about the mortgagors associated 
with each such small-dollar mortgages; and
(D) the number and type of mortgagees that offer small-
dollar mortgages;
(4) provides a description of the fixed costs that are associated 
with mortgages and the impact of such costs on the ability of lenders to 
earn a market rate return on small-dollar mortgages; and
(5) includes analysis, by regions of the United States, including 
rural regions, that identifies regions with the greatest need for, and 
the highest likelihood of, the origination of small-dollar mortgages and 
regions that could benefit the most from increased availability of 
small-dollar mortgages.
(c) Sunset.--The Pilot Program established under subsection (a) shall 
terminate on the date that is 4 years after the date on which the Pilot Program 
is established under subsection (a).
(d) Expiration of Authority.--After the expiration of the 3-year period 
beginning on the date of enactment of this section, neither the Federal Housing 
Commissioner nor the Secretary of Housing and Urban Development may newly 
establish a Pilot Program to increase access to small-dollar mortgages for 
mortgagors.
(e) Small-dollar Mortgage Defined.--The term ``small-dollar mortgage'' means 
a mortgage that--
(1) has an original principal balance of $100,000 or less; and
(2) is secured by a 1- to 4-unit property that is the principal 
residence of the mortgagor.

SEC. 106. TEMPERATURE SENSOR PILOT PROGRAM.

(a) In General.--The Secretary of Housing and Urban Development shall 
establish a temperature sensor Pilot Program to provide grants to public housing 
agencies and owners of covered federally assisted rental dwelling units to 
acquire, install, and test the efficacy of approved temperature sensors in 
residential dwelling units to ensure such units remain in compliance with 
temperature requirements.
(b) Eligibility.--
(1) In general.--The Secretary shall, not later than 180 days after 
the date of the enactment of this Act, establish eligibility criteria 
for public housing agencies and owners of covered federally assisted 
rental dwelling units to participate in the Pilot Program established 
pursuant to subsection (a).
(2) Criteria.--In establishing the eligibility criteria described in 
paragraph (1), the Secretary shall ensure--
(A) the Pilot Program includes a diverse range of 
participants that represent different geographic regions, 
climate regions, unit sizes, and types of housing; and
(B) that the functionality of an approved temperature sensor 
will be installed and tested using amounts awarded under this 
section, including internet connectivity requirements.
(c) Installation.--Each public housing agency or owner of a covered 
federally assisted rental dwelling unit that acquires 1 or more approved 
temperature sensors under this section shall, after receiving written permission 
from the resident of a dwelling unit, install such temperature sensor and 
monitor the data from such temperature sensor.
(d) Collection of Complaint Records.--
(1) In general.--Each public housing agency or owner of a covered 
federally assisted rental dwelling unit that installs 1 or more approved 
temperature sensors under this section shall collect and retain 
information about temperature-related complaints and violations.
(2) Definitions.--The Secretary shall, not later than 180 days after 
the date of the enactment of this Act, define the terms ``temperature-
related complaints'' and ``temperature-related violations'' for the 
purposes of this section.
(e) Data Collection.--
(1) In general.--Data collected from temperature sensors acquired 
and installed by public housing agencies and owners of covered federally 
assisted rental dwelling units under this section shall be retained 
until the Secretary notifies the public housing agency or owner that the 
Pilot Program and the evaluation of the Pilot Program are complete.
(2) Personally identifiable information.--The Secretary shall, not 
later than 180 days after the date of the enactment of this Act, 
establish standards for the protection of personally identifiably 
information collected during the Pilot Program by public housing 
agencies, owners of federally assisted rental dwelling units, and the 
Secretary.
(f) Pilot Program Evaluation.--
(1) Interim evaluation.--Not later than 12 months after the 
establishment of the Pilot Program under this section, the Secretary 
shall publicly publish and submit to the Congress a report that--
(A) examines the number of temperature-related complaints 
and violations in federally assisted rental dwelling units with 
temperature sensors, disaggregated by temperature sensor 
technology and climate region--
(i) that occurred before the installation of such 
sensor, if known; and
(ii) that occurred after the installation of such 
sensor; and
(B) identifies any barriers to full utility of temperature 
sensor capabilities, including broadband internet access and 
tenant participation.
(2) Final evaluation.--Not later than 36 months after the conclusion 
of the Pilot Program established by the Secretary under this section, 
the Secretary shall publicly publish and submit to the Congress a report 
that--
(A) examines the number of temperature-related complaints 
and violations in federally assisted rental dwelling units with 
temperature sensors, disaggregated by temperature sensor 
technology and climate region--
(i) that occurred before the installation of such 
sensor; and
(ii) that occurred after the installation of such 
sensor;
(B) identifies any barriers to full utility of temperature 
sensor capabilities, including broadband internet access and 
tenant participation; and
(C) compares the utility of various temperature sensor 
technologies based on--
(i) climate zones;
(ii) cost;
(iii) features; and
(iv) any other factors identified by the Secretary.
(g) Treatment of Projects.--Projects assisted under this section shall be 
treated as projects assisted under the Community Development Block Grant program 
under title I of the Housing and Community Development Act of 1974 (42 U.S.C. 
5301 et seq.).
(h) Sunset.--The Pilot Program established under this section shall 
terminate on the date that is 3 years after the date of the enactment of this 
section.
(i) Definitions.--For the purposes of this section:
(1) Approved temperature sensor.--The term ``approved temperature 
sensor'' means an internet capable temperature reporting device able to 
measure ambient air temperature to the tenth degree Fahrenheit and 
Celsius selected from a list of such devices approved in advance by the 
Secretary.
(2) Assistance.--The term ``assistance'' means any grant, loan, 
subsidy, contract, cooperative agreement, or other form of financial 
assistance, but such term does not include the insurance or guarantee of 
a loan, mortgage, or pool of loans or mortgages.
(3) Covered federally assisted rental dwelling unit.--The term 
``covered federally assisted rental dwelling unit'' means a residential 
dwelling unit that is made available for rental and for which assistance 
is provided, or that is part of a housing project for which assistance 
is provided, under--
(A) the program for project-based rental assistance under 
section 8 of the United States Housing Act of (42 U.S.C. 1437f);
(B) the public housing program under the United States 
Housing Act of 1937 (42 U.S.C. 1437 et seq.);
(C) the program for supportive housing for the elderly under 
section 202 of the Housing Act of 1959 (12 U.S.C. 1701q); or
(D) the program for supportive housing for persons with 
disabilities under section 811 of the Cranston-Gonzalez National 
Affordable Housing Act (42 U.S.C. 8013).
(4) Owner.--The term ``owner'' means--
(A) with respect to the program for project-based rental 
assistance under section 8 of the United States Housing Act of 
1937 (42 U.S.C. 1437f), any private person or entity, including 
a cooperative, an agency of the Federal Government, or a public 
housing agency, having the legal right to lease or sublease 
dwelling units;
(B) with respect to the public housing program under the 
United States Housing Act of 1937 (42 U.S.C. et seq.), a public 
housing agency or an owner entity of public housing units as 
defined in section 905.108 of title 24, Code of Federal 
Regulations;
(C) with respect to the program for supportive housing for 
the elderly under section 202 of the Housing Act of 1959 (12 
U.S.C. 1701q), a private nonprofit organization as defined under 
section (k)(4) of the Housing Act of 1959; and
(D) with respect to the program for supportive housing for 
persons with disabilities under section 811 of the Cranston-
Gonzalez National Affordable Housing Act (42 U.S.C. 8013), a 
private nonprofit organization as defined under section 
811(k)(5) of the Cranston-Gonzalez National Affordable Housing 
Act.

SEC. 107. HOUSING SUPPLY FRAMEWORKS.

(a) Definitions.--In this section:
(1) Affordable housing.--The term ``affordable housing'' means 
housing for which the monthly payment is not more than 30-percent of the 
monthly income of the household.
(2) Assistant secretary.--The term ``Assistant Secretary'' means the 
Assistant Secretary for Policy Development and Research of the 
Department of Housing and Urban Development.
(3) Local zoning framework.--The term ``local zoning framework'' 
means the local zoning codes and other ordinances, procedures, and 
policies governing zoning and land-use at the local level.
(4) Secretary.--The term ``Secretary'' means the Secretary of 
Housing and Urban Development.
(5) State zoning framework.--The term ``State zoning framework'' 
means the State legislation or State agency and department procedures, 
or such legislation or procedures in an insular area of the United 
States, enabling local planning and zoning authorities and establishing 
and guiding related policies and programs.
(b) Guidelines on State and Local Zoning Frameworks.--
(1) In general.--Not later than 3 years after the date of enactment 
of this Act, the Assistant Secretary shall publish documents outlining 
guidelines and best practices to support production of adequate housing 
to meet the needs of communities and provide housing opportunities for 
individuals at every income level across communities with respect to--
(A) State zoning frameworks; and
(B) local zoning frameworks.
(2) Consultation; public comment.--During the 2-year period 
beginning on the date of enactment of this Act, in developing the 
guidelines and best practices required under paragraph (1), the 
Assistant Secretary shall--
(A) publish draft guidelines and best practices in the 
Federal Register for public comment; and
(B) establish a task force for the purpose of providing 
consultation to draft the guidelines and best practices 
published under subparagraph (A), the members of which shall 
include--
(i) urban planners and architects;
(ii) housing developers, including affordable and 
market-rate housing developers, manufactured housing 
developers, cooperative housing developers, and other 
business interests;
(iii) community engagement experts and community 
members impacted by zoning decisions;
(iv) public housing agencies and transit 
authorities;
(v) members of local zoning and planning boards and 
local and regional transportation planning 
organizations;
(vi) State officials responsible for housing or land 
use, including members of State zoning boards of 
appeals;
(vii) academic researchers; and
(viii) home builders.
(3) Contents.--The guidelines and best practices required under 
paragraph (1) shall--
(A) with respect to State zoning frameworks, outline 
potential models for updated State enabling legislation or State 
agency and department procedures;
(B) include recommendations regarding--
(i) the reduction or elimination of parking 
minimums;
(ii) the increase in maximum floor area ratio 
requirements and maximum building heights and the 
reduction in minimum lot sizes and set-back 
requirements;
(iii) the elimination of restrictions against 
accessory dwelling units;
(iv) increasing by-right uses, including duplex, 
triplex, or quadplex buildings, across cities or 
metropolitan areas;
(v) mechanisms, including proximity to transit, to 
determine the appropriate scope for rezoning and ensure 
development that does not disproportionately burden 
residents of economically distressed areas;
(vi) provisions regarding review of by-right 
development proposals to streamline review and reduce 
uncertainty, including--
(I) nondiscretionary, ministerial review; 
and
(II) entitlement and design review 
processes;
(vii) the reduction of obstacles, regulatory or 
otherwise, to a range of housing types at all levels of 
affordability, including manufactured and modular 
housing;
(viii) State model zoning regulations for directing 
local reforms, including mechanisms to encourage 
adoption;
(ix) provisions to encourage transit-oriented 
development, including increased permissible units per 
structure and reduced minimum lot sizes near existing or 
planned public transit stations;
(x) potential reforms to strengthen the public 
engagement process;
(xi) reforms to protest petition statutes;
(xii) the standardization, reduction, or elimination 
of impact fees;
(xiii) cost-effective and appropriate building 
codes;
(xiv) models for community benefit agreements;
(xv) mechanisms to preserve affordability, limit 
disruption of low-income communities, and prevent 
displacement of existing residents;
(xvi) with respect to State zoning frameworks--
(I) State model codes for directing local 
reforms, including mechanisms to encourage 
adoption;
(II) a model for a State zoning appeals 
process, which would--
(aa) create a process for developers 
or builders requesting a variance, 
conditional use, special permit, zoning 
district change, similar discretionary 
permit, or otherwise petitioning a local 
zoning or planning board for a project 
including a State-defined amount of 
affordable housing to appeal a rejection 
to a State body or regional body 
empowered by the State; and
(bb) establish qualifications for 
communities to be exempted from the 
appeals process based on their available 
stock of affordable housing; and
(III) streamlining of State environmental 
review policies;
(xvii) with respect to local zoning frameworks--
(I) the simplification and standardization 
of existing zoning codes;
(II) maximum review timelines;
(III) best practices for the disposition of 
land owned by local governments for affordable 
housing development;
(IV) differentiations between best practices 
for rural, suburban, and urban communities, and 
communities with different levels of density or 
population distribution; and
(V) streamlining of local environmental 
review policies; and
(xviii) other land use measures that promote access 
to new housing opportunities identified by the 
Secretary; and
(C) consider--
(i) the effects of adopting any recommendation on 
eligibility for Federal discretionary grants and tax 
credits for the purpose of housing or community 
development;
(ii) coordination between infrastructure investments 
and housing planning;
(iii) local housing needs, including ways to set and 
measure housing goals and targets;
(iv) a range of affordability for rental units, with 
a prioritization of units attainable to extremely low-, 
low-, and moderate-income residents;
(v) a range of affordability for homeownership;
(vi) accountability measures;
(vii) the long-term cost to residents and businesses 
if more housing is not constructed;
(viii) barriers to individuals seeking to access 
affordable housing in growing communities and 
communities with economic opportunity;
(ix) with respect to State zoning frameworks--
(I) distinctions between States providing 
constitutional or statutory home rule authority 
to municipalities and States operating under the 
Dillon Rule, as articulated in Hunter v. 
Pittsburgh, 207 U.S. 161 (1907); and
(II) Statewide mechanisms to preserve 
existing affordability over the long term, 
including support for land banks and community 
land trusts;
(x) public comments elicited under paragraph (2)(A); 
and
(xi) other considerations, as identified by the 
Assistant Secretary.
(c) Abolishment of the Regulatory Barriers Clearinghouse.--
(1) In general.--The Regulatory Barriers Clearinghouse established 
pursuant to section 1205 of the Housing and Community Development Act of 
1992 (42 U.S.C. 12705d) is abolished.
(2) Repeal.--Section 1205 of the Housing and Community Development 
Act of 1992 (42 U.S.C. 12705d) is repealed.
(d) Reporting.--Not later than 5 years after the date on which the Assistant 
Secretary publishes the final guidelines and best practices for State and local 
zoning frameworks under this section, the Assistant Secretary shall submit to 
the Congress a report describing--
(1) the States that have adopted recommendations from the guidelines 
and best practices, pursuant to subsection (b);
(2) a summary of the localities that have adopted recommendations 
from the guidelines and best practices, pursuant to subsection (b);
(3) a list of States that adopted a State zoning framework;
(4) a summary of the modifications that each State has made in their 
State zoning framework;
(5) a general summary of the types of updates localities have made 
to their local zoning framework;
(6) with respect to the States that have adopted a State zoning 
framework or recommendations from the guidelines and best practices, the 
effect of such adoptions; and
(7) a summary of any recommendations that were routinely not adopted 
by States or by localities.
(e) Rule of Construction.--Nothing in this section may be construed to 
permit the Department of Housing and Urban Development to take an adverse action 
against or fail to provide otherwise offered actions or services for any State 
or locality if the State or locality declines to adopt a guideline or best 
practice under subsection (b).

TITLE II--BUILDING MORE IN AMERICA

SEC. 201. INCREASING HOUSING IN OPPORTUNITY ZONES.

(a) Covered Grant Defined.--In this section, the term ``covered grant'' 
means any competitive grant relating to the construction, modification, 
rehabilitation, or preservation of housing, as determined by the Secretary of 
Housing and Urban Development.
(b) Priority.--When awarding a covered grant, the Secretary of Housing and 
Urban Development may give additional weight to applicants with proposed 
activities or projects that are located in or substantially and directly benefit 
a community designated as a qualified opportunity zone under section 1400Z-1 of 
the Internal Revenue Code of 1986.

SEC. 202. WHOLE-HOME REPAIRS ACT.

(a) Definitions.--In this section:
(1) Affordable unit.--The term ``affordable unit'' means a unit for 
which the monthly rental payment is not more than 30 percent of the 
gross income of an individual earning at or below 80 percent of the area 
median income, as defined by the Secretary.
(2) Assisted unit.--The term ``assisted unit'' means a unit that 
undergoes repair or rehabilitation work through a whole-home repairs 
program administered by an implementing organization under this section.
(3) Eligible home-owner.--The term ``eligible home-owner'' means a 
home-owner--
(A) with a household income that--
(i) is not more than 80 percent of the area median 
income; or
(ii) meets the income eligibility requirements for 
receiving assistance or benefits under a specified 
program, as defined in paragraph (11); and
(B) who is--
(i) an owner of record as evidenced by a publicly 
recorded deed, or other document recorded by the Bureau 
of Indian Affairs, and occupies the home on which 
repairs are to be conducted as their principal 
residence;
(ii) an owner-occupant of the manufactured home on 
which repairs are to be conducted;
(iii) an owner-occupant of the cooperative housing 
unit on which repairs are to be conducted; or
(iv) an owner who can demonstrate an ownership 
interest in the property, or trust land leasehold, on 
which repairs are to be conducted, including a person 
who has inherited an interest in that property.
(4) Eligible landlord.--The term ``eligible landlord'' means an 
individual--
(A) who owns, as determined by the relevant implementing 
organization, fewer than 10 eligible rental properties, with a 
majority of affordable units and not more than 25 total units, 
operated as primary residences in which a majority ownership 
interest is held by the individual, the spouse of the 
individual, or the dependent children of the individual, or any 
closely held legal entity controlled by the individual, the 
spouse of the individual, or the dependent children of the 
individual, either individually or collectively; and
(B) who agrees to the provisions described in subsection 
(b)(3).
(5) Eligible rental property.--The term ``eligible rental property'' 
means a residential property that--
(A) is leased, or offered exclusively for lease, as a 
primary residence by an eligible landlord; and
(B) includes affordable units.
(6) Forgivable loan.--The term ``forgivable loan'' means a loan--
(A) made to an eligible landlord;
(B) that is secured by a lien recorded against a residential 
property; and
(C) that may be forgiven by the implementing organization 
not later than the date that is 3 years after the completion of 
the repairs if the eligible landlord has maintained compliance 
with the loan agreement described in subsection (b)(3).
(7) Implementing organization.--The term ``implementing 
organization''--
(A) means a unit of general local government or a State 
that--
(i) will administer a whole-home repairs program 
through an agency, department, or other entity; or
(ii) enters into agreements with 1 or more local 
governments, Indian Tribes, municipal authorities, other 
governmental authorities, including a tribally 
designated housing entity, or qualified nonprofit 
organizations, to administer a whole-home repairs 
program as a subrecipient; and
(B) does not include a redundant entity in a jurisdiction 
already served by a grantee under subsection (b).
(8) Indian tribe.--The term ``Indian Tribe'' has the meaning given 
the term in section 4 of the Native American Housing Assistance and 
Self-Determination Act of 1996 (25 U.S.C. 4103).
(9) Qualified nonprofit.--The term ``qualified nonprofit'' means a 
nonprofit organization that--
(A) has received funding, as a recipient or subrecipient, 
through--
(i) the Community Development Block Grant program 
under title I of the Housing and Community Development 
Act of 1974 (42 U.S.C. 5301 et seq.);
(ii) the HOME Investment Partnerships program under 
subtitle A of title II of the Cranston-Gonzalez National 
Affordable Housing Act (42 U.S.C. 12741 et seq.);
(iii) the Lead-Based Paint Hazard Reduction grant 
program under section 1011 of the Residential Lead-Based 
Paint Hazard Reduction Act of 1992 (42 U.S.C. 4852), a 
grant under the Healthy Homes Initiative administered by 
the Secretary pursuant to sections 501 and 502 of the 
Housing and Urban Development Act of 1970 (12 U.S.C. 
1701z-1, 1701z-2), or a grant under the Older Adult Home 
Modification Grants Program authorized under the 
Consolidated Appropriations Act, 2024 (Public Law 118-
42), or any successor Act, to make safety and functional 
home modification repairs and renovations to meet the 
needs of low-income seniors to enable them to remain in 
their primary residence;
(iv) the Self-Help and Assisted home-ownership 
Opportunity program authorized under section 11 of the 
Housing Opportunity Program Extension Act of 1996 (42 
U.S.C. 12805 note);
(v) a rural housing program under title V of the 
Housing Act of 1949 (42 U.S.C. 1471 et seq.); or
(vi) the Neighborhood Reinvestment Corporation 
established under the Neighborhood Reinvestment 
Corporation Act (42 U.S.C. 8101 et seq.);
(B) has coordinated, performed, or otherwise been engaged in 
weatherization, lead remediation, or home-repair work for not 
less than 2 years;
(C) has been certified by the Environmental Protection 
Agency, or by a State authorized by the Environmental Protection 
Agency to administer a certification program, as--
(i) eligible to carry out activities under the lead 
renovation, repair, and painting program under section 
402(c) or 404 of the Toxic Substances Control Act (15 
U.S.C. 2682(c), 2684); or
(ii) a Home Certification Organization under the 
Energy Star program established by section 324A of the 
Energy Policy and Conservation Act (42 U.S.C. 6294a) or 
the WaterSense program under section 324B of that Act 
(42 U.S.C. 6294b), or recognized or otherwise approved 
by the Environmental Protection Agency as a Home 
Certification Organization under either of those 
programs; or
(D) is a community development financial institution, as 
defined in section 103 of the Community Development Banking and 
Financial Institutions Act of 1994 (12 U.S.C. 4702).
(10) Secretary.--The term ``Secretary'' means the Secretary of 
Housing and Urban Development.
(11) Specified program.--For purposes of paragraph (3)(A)(ii), the 
term ``specified program'' means any of the following:
(A) The Medicaid program established under title XIX of the 
Social Security Act (42 U.S.C. 1396 et seq.).
(B) The State Children's Health Insurance Program 
established under title XXI of the Social Security Act (42 
U.S.C. 1397aa et seq.).
(C) The supplemental security income benefits program 
established under title XVI of the Social Security Act (42 
U.S.C. 1381 et seq.).
(D) The supplemental nutrition assistance program 
established under the Food and Nutrition Act of 2008 (7 U.S.C. 
2011 et seq.).
(E) The temporary assistance for needy families program 
established under part A of title IV of the Social Security Act 
(42 U.S.C. 601 et seq.).
(12) State.--The term ``State'' means--
(A) each State of the United States;
(B) the District of Columbia;
(C) the Commonwealth of Puerto Rico;
(D) any territory or possession of the United States; and
(E) an Indian Tribe.
(13) Tribally designated housing entity.--The term ``tribally 
designated housing entity'' has the meaning given the term in section 4 
of the Native American Housing Assistance and Self-Determination Act of 
1996 (25 U.S.C. 4103).
(14) Whole-home repairs.--The term ``whole-home repairs'' means 
modifications, repairs, or updates to home-owner or renter-occupied 
units to address--
(A) physical and sensory accessibility for individuals with 
disabilities and older adults, such as bathroom and kitchen 
modifications, installation of grab bars and handrails, guards 
and guardrails, lifting devices, ramp additions or repairs, 
sidewalk addition or repair, or doorway or hallway widening;
(B) habitability and safety concerns, such as repairs needed 
to ensure residential units are fit for human habitation and 
free from defective conditions or health and safety hazards; or
(C) energy and water efficiency, resilience, and 
weatherization.
(b) Pilot Program.--
(1) Establishment.--There is authorized a Pilot Program to provide 
grants to implementing organizations to administer a whole-home repairs 
program for eligible home-owners and eligible landlords.
(2) Use of funds.--An implementing organization that receives a 
grant from appropriated funds made available for this subsection--
(A) shall provide grants to eligible home-owners to 
implement whole-home repairs not covered by other Federal home 
repair programs up to a maximum amount per unit, which maximum 
amount should--
(i) reflect local construction costs and the level 
of repairs needed in each unit; and
(ii) be calculated and approved by the Secretary;
(B) shall provide loans, which may be forgivable, to 
eligible landlords to implement whole-home repairs not covered 
by other Federal home repair programs for individual affordable 
units, public and common use areas within the property, and 
common structural elements up to a maximum amount per unit, 
area, or element, as applicable, which maximum amount should--
(i) reflect local construction costs; and
(ii) be calculated and approved by the Secretary;
(C) shall evaluate, or provide assistance to eligible home-
owners and eligible landlords to evaluate, whole-home repair 
program funds provided under this subsection with Federal, 
State, Tribal, and local home repair programs to provide the 
greatest benefit to the greatest number of eligible landlords 
and eligible home-owners and avoid duplication of benefits and 
redundancies for the same home repairs;
(D) shall require that--
(i) all repairs funded or facilitated through an 
award under this subsection have been completed;
(ii) if repairs are not completed and the plan for 
whole-home repairs is not updated to reflect the new 
scope of work, that the loan or grant is repaid on a 
prorated basis based on completed work; and
(iii) any unused grant or loan balance is returned 
to the implementing organization, and is reused by the 
implementing organization for a new whole-home repair 
grant or loan under this subsection;
(E) may use not more than 5 percent of the awarded funds to 
carry out related functions, including workforce training for 
home repair professions, which shall be related to efforts to 
increase the number of home repairs performed and approved by 
the Secretary;
(F) may use not more than 10 percent of the awarded funds 
for administrative expenses;
(G) shall comply with Federal accessibility requirements and 
standards under applicable Federal fair housing and civil rights 
laws and regulations, including section 504 of the 
Rehabilitation Act of 1973 (29 U.S.C. 794); and
(H) shall ensure that rental properties assisted under 
subparagraph (B) shall be treated as projects assisted under 
title I of the Housing and Community Development Act of 1974 (42 
U.S.C. 5301 et seq.).
(3) Loan agreement.--In a loan agreement with an eligible landlord 
under this subsection, an implementing organization shall include 
provisions establishing that the eligible landlord shall, for each 
eligible rental property for which a loan is used to fund repairs under 
this subsection--
(A) comply with Federal accessibility requirements and 
standards under applicable Federal fair housing and civil rights 
laws and regulations, including section 504 of the 
Rehabilitation Act of 1973 (29 U.S.C. 794); and
(B)(i) if the landlord is renting the assisted units 
available in the eligible rental property to tenants receiving 
tenant-based rental assistance under section 8(o) of the United 
States Housing Act of 1937 (42 U.S.C. 1437f(o)), under another 
tenant-based rental assistance program administered by the 
Secretary or the Secretary of Agriculture, or under a tenant-
based rental subsidy provided by a State or local government, 
comply with the program requirements under the relevant tenant-
based rental assistance program; or
(ii) if the eligible landlord is not renting to tenants 
receiving rental-based assistance as described in clause (i)--
(I)(aa) offer to extend the lease of current tenants 
on current terms, other than the terms described in 
subclause (iv) for not less than 3 years beginning after 
the completion of the repairs, unless the lease is 
terminated due to failure to pay rent, performance of an 
illegal act within the rental unit, or a violation of an 
obligation of tenancy that the tenants failed to correct 
after notice; and
(bb) if the tenant of an assisted unit moves out of 
the assisted unit at any point in the 3-year period 
following the loan agreement, maintain the unit as an 
affordable unit for the remainder of the 3-year period;
(II) provide documentation verifying that the 
property, upon completion of approved renovations, has 
met all applicable State and local housing and building 
codes;
(III) attest that the landlord has no known serious 
violations of renter protections that have resulted in 
fines, penalties, or judgments during the preceding 10 
years; and
(IV) cap annual rent increases for each assisted 
unit at 5 percent of base rent or at the rate of 
inflation, whichever is lower, for not less than 3 years 
beginning after the completion of the repairs.
(4) Application.--
(A) In general.--An implementing organization desiring an 
award under this subsection shall submit to the Secretary an 
application that includes--
(i) the geographic scope of the whole-home repairs 
program to be administered by the implementing 
organization, including the plan to address need in any 
rural, Tribal, suburban, or urban area within a 
jurisdiction;
(ii) a plan for selecting subrecipients, if 
applicable;
(iii) a description of how the implementing 
organization plans to execute the coordination of 
Federal, State, Tribal, and local home repair programs, 
including programs administered by the Department of 
Energy, the Department of the Interior, the Department 
of Veteran Affairs, or the Department of Agriculture, to 
increase efficiency and reduce redundancy;
(iv) available data on the need for affordable and 
quality housing within the geographic scope of the 
whole-home repairs program, and any plans to preserve 
affordability through the term of the award;
(v) a description of how the implementing 
organization plans to process and verify applications 
for grants from eligible home-owners and applications 
for loans from eligible landlords; and
(vi) such other information as the Secretary 
requires to determine the ability of an applicant to 
carry out a program under this subsection.
(B) Considerations.--In making awards under this subsection, 
the Secretary shall--
(i) with respect to applications submitted by States 
other than the District of Columbia and the territories 
of the United States, prioritize those applications with 
a demonstrated plan to--
(I) make a good-faith effort to implement 
the Pilot Program in every jurisdiction; and
(II) provide nonmetropolitan areas, or 
subrecipients serving non-metropolitan areas if 
applicable, with a share of total funds 
commensurate with their population;
(ii) aim to select applicants so that the awardees 
collectively span diverse geographies, with an intent to 
understand the impact of the Pilot Program under this 
subsection in urban, suburban, rural, and Tribal 
settings; and
(iii) not disqualify implementing organizations that 
were awarded grants under the Pilot Program in prior 
application cycles.
(5) Program information.--The Secretary shall make available to 
grant recipients under this subsection information regarding existing 
Federal programs for which grant recipients may coordinate or provide 
assistance in coordinating applications for those programs in accordance 
with paragraph (2)(C).
(6) Grant number.--In each year in which an award is made under this 
subsection, the Secretary shall award assistance to--
(A) not less than 2, and not more than 10, implementing 
organizations, as application numbers and funding permit; and
(B) not more than 1 implementing organization in any State.
(7) Loans that are not forgiven.--If a loan made by an implementing 
organization under paragraph (2)(B) is not forgiven, the loan repayment 
funds shall be reused by the implementing organization for a new whole-
home repair grant or loan under this subsection, which shall remain 
subject to the original terms of the assistance awarded under this 
subsection.
(8) Supplement, not supplant.--Amounts awarded under this subsection 
to implementing organizations shall supplement, not supplant, other 
Federal, State, Tribal, and local funds made available to those 
entities.
(9) Streamlining program delivery and ensuring efficiency.--To the 
extent possible, in carrying out the Pilot Program under this 
subsection, the Secretary shall--
(A) endeavor to improve efficiency of service delivery, as 
well as the experience of and impact on the taxpayer, by 
encouraging programmatic collaboration and information sharing 
across Federal, State, Tribal, and local programs for home 
repair or improvement, including programs administered by the 
Department of Agriculture, the Department of the Interior, the 
Department of Veterans Affairs, or the Department of Energy; and
(B) enhance collaboration and cross-agency streamlining 
efforts that reduce the burden of multiple income verification 
processes and applications on the eligible home-owner, the 
eligible landlord, the implementing organization, and the 
Federal Government, including by establishing assistance 
application procedures for income eligibility under this 
subsection that recognize income eligibility determinations for 
assistance using any of the criteria under subsection (a)(3)(A) 
that have been used for assistance applications during the 1-
year period preceding the date on which an eligible home-owner 
or eligible landlord applies for assistance under this 
subsection.
(10) Reporting requirements.--
(A) Annual report.--An implementing organization that 
receives a grant under this subsection shall submit to the 
Secretary an annual report on initial funding that includes--
(i) the number of units served, including reporting 
on both home-ownership and rental units, as well as 
accessible units;
(ii) the average cost per unit for modifications or 
repairs and the nature of those modifications or 
repairs, including reporting on accessibility in both 
home-ownership and rental units;
(iii) the number of applications received, served, 
denied, or not completed, disaggregated by geographic 
area;
(iv) the aggregated demographic data of grant 
recipients, which may include data on income range, 
urban, suburban, and rural residency, age, and racial 
and ethnic identity;
(v) the aggregated demographic data of loan 
recipients, which may include data on income range, 
urban, suburban, and rural residency, age, and racial 
and ethnic identity;
(vi) an affirmation that the implementation 
organization has complied with the applicable 
regulations, including compliance with Federal 
accessibility requirements;
(vii) in the first year of receiving a grant, and as 
certified in subsequent reports, a comprehensive plan to 
prevent waste, fraud, and abuse in the administration of 
the Pilot Program, which shall include, at a minimum--
(I) a policy enacted and enforced by the 
implementing organization to monitor ongoing 
expenditures under this subsection and ensure 
compliance with applicable regulations;
(II) a policy enacted and enforced by the 
implementing organization to detect and deter 
fraudulent activity, including fraud occurring 
in individual projects and patterns of fraud by 
parties involved in the expenditure of funds 
under this subsection;
(III) a statement setting forth any 
violations detected by the implementing 
organization during the previous calendar year, 
including details about steps taken to achieve 
compliance and any remedial measures; and
(IV) a certification by the chief executive 
or most senior compliance officer of the 
organization that the organization maintains 
sufficient staff and resources to effectively 
carry out the above-mentioned policies; and
(viii) such other information as the Secretary may 
require.
(B) Reporting requirement alignment.--To limit the costs of 
implementing the Pilot Program under this subsection, the 
Secretary shall endeavor, to the extent possible, to structure 
reporting requirements such that they align with the data 
reporting requirements in place for funding streams that 
implementing organizations are likely to use together with 
funding from this subsection, including the reporting 
requirements under--
(i) the Community Development Block Grant program 
under title I of the Housing and Community Development 
Act of 1974 (42 U.S.C. 5301 et seq.);
(ii) the HOME Investment Partnerships program under 
subtitle A of title II of the Cranston-Gonzalez National 
Affordable Housing Act (42 U.S.C. 12741 et seq.);
(iii) the Weatherization Assistance Program for low-
income persons established under part A of title IV of 
the Energy Conservation and Production Act (42 U.S.C. 
6861 et seq.); and
(iv) the Native American Housing Assistance and 
Self-Determination Act of 1996 (25 U.S.C. 4101 et seq.).
(C) Pilot program period reports.--Not less frequently than 
twice during the period in which the Pilot Program established 
under this subsection operates, the Office of Inspector General 
of the Department of Housing and Urban Development shall 
complete an assessment of the implementation of measures to 
ensure the fair and legitimate use of the Pilot Program.
(D) Summary to congress.--The Secretary shall submit to 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 providing a summary of the data 
provided under subparagraphs (A) and (C) during the 1-year 
period preceding the report and all data previously provided 
under those subparagraphs.
(11) Environmental review.--A grant under this subsection shall be--
(A) treated as assistance for a special project for purposes 
of section 305(c) of the Multifamily Housing Property 
Disposition Reform Act of 1994 (42 U.S.C. 3547); and
(B) subject to the regulations promulgated by the Secretary 
to implement such section.
(12) Termination.--The Pilot Program established under this 
subsection shall terminate on October 1, 2031.

SEC. 203. COMMUNITY INVESTMENT AND PROSPERITY ACT.

(a) Revised Statutes.--The paragraph designated as the ``Eleventh'' of 
section 5136 of the Revised Statutes of the United States (12 U.S.C. 24) is 
amended, in the fifth sentence, by striking ``15'' each place the term appears 
and inserting ``20''.
(b) Federal Reserve Act.--Section 9(23) of the Federal Reserve Act (12 
U.S.C. 338a) is amended, in the fifth sentence, by striking ``15'' each place 
the term appears and inserting ``20''.
(c) Study.--Not later than 2 years after the date of the enactment of this 
section, and every 2 years thereafter, the Comptroller of the Currency and the 
Board of Governors of the Federal Reserve System shall each submit to the 
Committee on Financial Services of the House of Representatives and the 
Committee on Banking, Housing, and Urban Affairs of the Senate, a report, after 
consulting with the other agency in the development of such report, about public 
welfare investments that were made by associations under section 5136 of the 
Revised Statutes of the United States and State member banks under section 9(23) 
of the Federal Reserve Act in the 2 previous calendar years, that--
(1) identifies the number of such investments, broken down by--
(A) purpose;
(B) type;
(C) amount of assets of the association or State member bank 
that made the investment, using not less than 4 categories to 
describe the amount of assets of the associations and banks; and
(D) State, or other location;
(2) identifies the dollar amounts of such investments, broken down 
by--
(A) purpose;
(B) type;
(C) amount of assets of the association or State member bank 
that made the investment, using not less than 4 categories to 
describe the amount of assets of the associations and banks; and
(D) State or other location; and
(3) for each type of public welfare investment identified under 
paragraphs (1) and (2), a description of the substantive and procedural 
requirements that apply to each type of investment made under--
(A) in the case of a report by the Comptroller of the 
Currency, section 5136 of the Revised Statutes of the United 
States; or
(B) in the case of a report by the Board of Governors, 
section 9(23) of the Federal Reserve Act.

SEC. 204. ADDITION OF AFFORDABLE HOUSING CONSTRUCTION AS AN ELIGIBLE ACTIVITY.

(a) Eligible Activity.--Section 105(a) of the Housing and Community 
Development Act of 1974 (42 U.S.C. 5305(a)) is amended--
(1) in paragraph (25)(D), by striking ``and'' at the end;
(2) in paragraph (26), by striking the period at the end and 
inserting ``; and''; and
(3) by adding at the end the following:
``(27) the new construction of affordable housing, within the 
meaning given such term under section 215 of the Cranston-Gonzalez 
National Affordable Housing Act (42 U.S.C. 12745), and which shall not 
exceed 20 percent of the amounts allocated to the recipient.''.
(b) Low- and Moderate-income Requirement.--Section 105(c)(3) of the Housing 
and Community Development Act of 1974 (42 U.S.C. 5305(c)(3)) is amended by 
striking ``or rehabilitation'' and inserting ``, rehabilitation, or new 
construction''.
(c) Applicability.--The amendments made by this section shall apply with 
respect only to amounts appropriated after the date of enactment of this Act.

SEC. 205. BETTER USE OF INTERGOVERNMENTAL AND LOCAL DEVELOPMENT (BUILD) HOUSING 
ACT.

(a) Designation of Environmental Review Procedure.--The Department of 
Housing and Urban Development Act (42 U.S.C. 3531 et seq.) is amended by 
inserting after section 12 (42 U.S.C. 3537a) the following:

``SEC. 13. DESIGNATION OF ENVIRONMENTAL REVIEW PROCEDURE.

``(a) In General.--Except as provided in subsection (b), the Secretary may, 
for purposes of environmental review, decision making, and action pursuant to 
the National Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.), and 
other provisions of law that further the purposes of such Act, designate the 
treatment of assistance administered by the Secretary as funds for a special 
project for purposes of section 305(c) of the Multifamily Housing Property 
Disposition Reform Act of 1994 (42 U.S.C. 3547).
``(b) Exception.--The designation described in subsection (a) shall not 
apply to assistance for which a procedure for carrying out the responsibilities 
of the Secretary under the National Environmental Policy Act of 1969 (42 U.S.C. 
4321 et seq.), and other provisions of law that further the purposes of such 
Act, is otherwise specified in law.''.
(b) Tribal Assumption of Environmental Review Obligations.--Section 305(c) 
of the Multifamily Housing Property Disposition Reform Act of 1994 (42 U.S.C. 
3547) is amended--
(1) by striking ``State or unit of general local government'' each 
place it appears and inserting ``State, Indian Tribe, or unit of general 
local government'';
(2) in paragraph (1)(C), in the heading, by striking ``State or unit 
of general local government'' and inserting ``State, indian tribe, or 
unit of general local government''; and
(3) by adding at the end the following:
``(5) Definition of indian tribe.--For purposes of this subsection, 
the term `Indian Tribe' means a federally recognized Tribe, as defined 
in section 4(13)(B) of the Native American Housing Assistance and Self-
Determination Act of 1996 (25 U.S.C. 4103(13)(B)).''.
(c) Implementation.--
(1) In general.--Except as provided in paragraph (2), a designation 
of assistance under section 13 of the Department of Housing and Urban 
Development Act, as added by subsection (a), shall only apply with 
respect to funds appropriated after the date of enactment of this Act.
(2) Exception.--If a grantee of assistance administered by the 
Secretary of Housing and Urban Development combines funds appropriated 
before and after the date of enactment of this Act to carry out a 
project, section 13 of the Department of and Urban Development Act, as 
added by subsection (a), shall not apply to that assistance.

SEC. 206. UNLOCKING HOUSING SUPPLY THROUGH STREAMLINED AND MODERNIZED REVIEWS 
ACT.

(a) Definitions.--In this section:
(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.
(b) NEPA Streamlining for HUD Housing-related Activities.--
(1) 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:
(A) 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:
(i) Tenant-based rental assistance.
(ii) Supportive services, including health care, 
housing services, permanent housing placement, day care, 
nutritional services, short-term payments for rent, 
mortgage, or utility costs, and assistance in gaining 
access to Federal Government and State and local 
government benefits and services.
(iii) Operating costs, including maintenance, 
security, operation, utilities, furnishings, equipment, 
supplies, staff training, and recruitment and other 
incidental costs.
(iv) Economic development activities, including 
equipment purchases, inventory financing, interest 
subsidies, operating expenses, and similar costs not 
associated with construction or expansion of existing 
operations.
(v) Activities to assist home-buyers in the purchase 
of 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.
(vi) Affordable housing predevelopment 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.
(vii) Approval of supplemental assistance, including 
insurance or guarantee, to a project previously approved 
by the Secretary.
(viii) Emergency home-owner or renter assistance for 
the repair or replacement of HVAC, hot water heaters, 
and other necessary existing utilities required under 
applicable law.
(B) 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 section 
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:
(i) 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.
(ii) 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.
(iii) New construction, development, demolition, 
acquisition, or disposition of up to 4 scattered site 
existing dwelling units where there is a maximum of 4 
units on any 1 site.
(iv) Acquisitions (including leasing) of, 
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.
(C) 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 section 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:
(i) 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.
(ii) 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 of not more than 20 percent.
(iii) New construction, development, demolition, 
acquisition, or disposition of 5 to 15 dwelling units 
where there is a maximum of 15 units on any 1 site. The 
units can be 15 1-unit buildings or 1 15-unit building, 
or any combination in between.
(iv) New construction, development, demolition, 
acquisition, or disposition of 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.
(v) 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.
(vi) Infill projects consisting of new construction, 
rehabilitation, or development of residential housing 
units.
(vii) The voluntary acquisition of properties--
(I) located in--
(aa) a floodway;
(bb) a floodplain; or
(cc) any other area, clearly 
delineated by the grantee; and
(II) that have been impacted by a 
predictable environmental threat to the safety 
and well-being of program beneficiaries caused 
or exacerbated by a federally declared disaster.
(c) Implementation.--For purposes of implementing the streamlining of 
environmental review for housing-related activities under subsection (b), the 
agency actions carried out under that subsection--
(1) shall only apply with respect to funds appropriated after the 
effective date of those actions; and
(2) shall not apply with respect to a grantee that combines funds 
appropriated before and after the effective date of those actions to 
carry out a project.
(d) Report.--The Secretary shall submit to 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 section, 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.

SEC. 207. GRANTS FOR PLANNING AND IMPLEMENTATION ASSOCIATED WITH AFFORDABLE 
HOUSING.

(a) Definitions.--In this section:
(1) Eligible entity.--The term ``eligible entity'' means--
(A) a State, insular area, 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); or
(B) a regional planning agency or consortia of regional 
planning agencies.
(2) Housing plan.--The term ``housing plan'' means a plan to, with 
respect to an area within the jurisdiction of an eligible entity--
(A) increase the amount of available housing to meet the 
demand for such housing and any projected increase in the demand 
for such housing;
(B) increase the affordability of housing;
(C) increase the accessibility of housing for people with 
disabilities, including location-efficient housing;
(D) preserve or improve the quality of housing;
(E) reduce barriers to housing development; and
(F) coordinate with transportation-related agencies.
(3) Housing strategy.--The term ``housing strategy'' means a housing 
strategy required under section 105 of the Cranston-Gonzalez National 
Affordable Housing Act (42 U.S.C. 12705).
(4) Secretary.--The term ``Secretary'' means the Secretary of 
Housing and Urban Development.
(b) Establishment.--Not later than 1 year after the date of enactment of 
this Act, the Secretary shall establish a program to award grants on a 
competitive basis to eligible entities to assist planning and implementation 
activities associated with affordable housing, except that such grant awards may 
not be used for construction, alteration, or repair work.
(c) Use of Amounts.--
(1) By regional planning agencies.--If an eligible entity that 
receives amounts under this section is an eligible entity described in 
subsection (a)(1)(B), the eligible entity shall use those amounts to 
assist planning activities with respect to affordable housing, 
including--
(A) the development of housing plans;
(B) the substantial improvement of State or local housing 
strategies;
(C) the development of new regulatory requirements and 
processes;
(D) updating zoning codes;
(E) increasing the capacity to conduct housing inspections;
(F) increasing the capacity to reduce barriers to housing 
supply elasticity and housing affordability;
(G) the development of local or regional plans for community 
development; and
(H) the substantial improvement of community development 
strategies, including strategies designed to--
(i) increase the availability of affordable housing 
and access to affordable housing;
(ii) increase access to public transportation; and
(iii) advance sustainable or location-efficient 
community development goals.
(2) By states, insular areas, metropolitan cities, and urban 
counties.--If an eligible entity that receives amounts under this 
section is an eligible entity described in subsection (a)(1)(A), the 
eligible entity shall use those amounts to--
(A) implement and administer housing strategies and housing 
plans;
(B) implement and administer any plans to increase housing 
choice, address disparities in housing needs, and provide 
greater access to opportunity;
(C) fund any community investments that support goals 
identified in a housing strategy or housing plan;
(D) implement and administer regulatory requirements and 
processes with respect to reformed zoning codes;
(E) increase the capacity to conduct housing inspections;
(F) increase the capacity to reduce barriers to housing 
supply elasticity and housing affordability;
(G) implement and administer local or regional plans for 
community development; and
(H) fund any planning to increase--
(i) the availability of affordable housing and 
access to affordable housing;
(ii) access to public transportation; and
(iii) any location-efficient community development 
goals.
(3) Use for administrative costs.--A eligible entity that receives 
amounts under this section may not use more than 10 percent of those 
amounts for administrative costs.
(d) Coordination.--To the extent practicable, the Secretary shall coordinate 
with the Administrator of the Federal Transit Administration in carrying out 
this section.
(e) Expiration of Authority.--After the expiration of the 5-year period 
beginning on the date of enactment of this Act, the Secretary may not newly 
establish a program as described in this section.
(f) Sunset.--The program established under this section shall terminate on 
the date that is 5 years after the date of enactment of this Act.

SEC. 208. INNOVATION FUND.

(a) Definitions.--In this section:
(1) Attainable housing.--The term ``attainable housing'' means 
housing that serves households earning not more than 120 percent of the 
area median income, if the majority of the housing units are affordable 
to households earning not more than 60 percent of the area median 
income.
(2) Eligible entity.--The term ``eligible entity'' means--
(A) 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 has demonstrated an objective 
improvement in housing supply growth, as determined by the 
Secretary, whose methodology for determining such growth is 
published in the Federal Register to allow for public comment 
not less than 90 days before the date on which the notice of 
funding opportunity is made available; or
(B) a unit of general local government or an Indian Tribe, 
as those terms are defined in section 102 of the Housing and 
Community Development Act of 1974 (42 U.S.C. 5302), that has 
demonstrated an objective improvement in housing supply growth, 
as determined by the Secretary, whose methodology for 
determining such improvement is published in the Federal 
Register to allow for public comment not less than 90 days 
before the date on which the notice of funding opportunity is 
made available.
(3) Secretary.--The term ``Secretary'' means the Secretary of 
Housing and Urban Development.
(b) Establishment of a Grant Program.--
(1) Establishment.--Not later than 1 year after the date of 
enactment of this Act, the Secretary shall establish a program to award 
grants on a competitive basis to eligible entities that have increased 
their local housing supply.
(2) List of eligible entities.--The Secretary shall make a list of 
eligible entities publicly available on the website of the Department of 
Housing and Urban Development.
(3) Eligible purposes.--An eligible entity receiving a grant under 
this section may use funds to--
(A) carry out any of the activities described in section 105 
of the Housing and Community Development Act of 1974 (42 U.S.C. 
5305);
(B) carry out any of the activities permitted under the 
Local and Regional Project Assistance Program established under 
section 6702 of title 49, United States Code; and
(C) carry out initiatives of the eligible entity that 
facilitate the expansion of the supply of attainable housing and 
that supplement initiatives the eligible entity has carried out, 
or is in the process of carrying out, as specified in the 
application submitted under paragraph (4).
(4) Application.--
(A) In general.--An eligible entity seeking a grant under 
this section shall submit to the Secretary an application that 
provides--
(i) a description of each purpose for which the 
eligible entity will use the grant, and an attestation 
that the grant will be used only for 1 or more eligible 
purposes described in paragraph (3);
(ii) data on characteristics of increased housing 
supply during the 3-year period ending on the date on 
which the application is submitted, which may include 
whether such housing--
(I) serves households at a range of income 
levels; and
(II) has improved the quality and 
affordability of housing in the jurisdiction of 
the eligible entity;
(iii) a description of how each eligible purpose 
described in clause (i) may address a community need or 
advance an objective, or an aspect of an objective, 
included in the comprehensive housing affordability 
strategy and community development plan of the eligible 
entity under part 91 of title 24, Code of Federal 
Regulations, or any successor regulation (commonly 
referred to as a ``consolidated plan''); and
(iv) a description of how the eligible entity has 
carried out, or is in the process of carrying out, 
initiatives that facilitate the expansion of the supply 
of housing.
(B) Initiatives.--Initiatives that meet the criteria 
described in paragraph (3)(C) include, but shall not be limited 
to--
(i) increasing by-right uses, including duplex, 
triplex, quadplex, and multifamily buildings, in areas 
of opportunity;
(ii) revising or eliminating off-street parking 
requirements to reduce the cost of housing production;
(iii) revising minimum lot size requirements, floor 
area ratio requirements, set-back requirements, building 
heights, and bans or limits on construction that allow 
for denser and more affordable development;
(iv) instituting incentives to promote dense 
development for communities where increased density is 
needed;
(v) passing zoning overlays or other ordinances that 
enable the development of mixed-income housing;
(vi) streamlining regulatory requirements and 
shortening processes, increasing code enforcement and 
permitting capacity, reforming zoning codes, or other 
initiatives that reduce barriers to increasing housing 
supply and affordability;
(vii) eliminating restrictions against accessory 
dwelling units and expanding their by-right use;
(viii) using local tax incentives or public 
financing to promote development of attainable housing;
(ix) streamlining environmental regulations;
(x) eliminating unnecessary manufactured-housing or 
cooperative housing regulations and restrictions;
(xi) minimizing the impact of overburdensome energy 
and water efficiency standards on housing costs; and
(xii) other activities that reduce the cost of 
construction, as determined by the Secretary.
(5) Grants.--
(A) In general.--The Secretary shall make not fewer than 25 
grants on an annual basis (unless amounts appropriated to 
provide grant amounts consistent with subsection (b) are 
insufficient, in which case fewer grants may be awarded), with 
strong consideration of different geographical areas and a 
relatively even spread of rural, suburban, and urban 
communities.
(B) Limitations on awards.--No grant awarded under this 
paragraph may be--
(i) more than $10,000,000; or
(ii) less than $250,000.
(C) Priority.--When awarding grants under this paragraph, 
the Secretary shall give priority to an eligible entity that 
has--
(i) demonstrated the use of innovative policies, 
interventions, or programs for increasing housing 
supply; and
(ii) demonstrated a marked improvement in housing 
supply growth, as needed.
(D) Grant administration and terms.--Projects assisted under 
this section for activities described in sector 23 of the North 
American Industry Classification System shall be treated as 
projects assisted under the Community Development Block Grant 
program under title I of the Housing and Community Development 
Act of 1974 (42 U.S.C. 5301 et seq.).
(c) Rules of Construction.--Nothing in this section shall be construed--
(1) to authorize the Secretary to mandate, supersede, or preempt any 
local zoning or land use policy; or
(2) to affect the requirements of section 105(c)(1) of the Cranston-
Gonzalez National Affordable Housing Act (42 U.S.C. 12705(c)(1)).
(d) Sunset.--The program established under this section shall terminate on 
the date that is 7 years after the date of enactment of this Act.
(e) Authorization of Appropriations.--
(1) In general.--There is authorized to be appropriated to carry out 
this section $200,000,000 for each of fiscal years 2027 through 2031.
(2) Adjustment.--The amount authorized to be appropriated under 
paragraph (1) shall be adjusted for inflation based on the Consumer 
Price Index for all Urban Customers published by the Bureau of Labor 
Statistics of the Department of Labor.

SEC. 209. ACCELERATING HOME BUILDING ACT.

(a) Definitions.--In this section:
(1) Affordable housing.--The term ``affordable housing'' means 
housing for which the total monthly housing cost payment is not more 
than 30 percent of the monthly household income for a household earning 
not more than 80 percent of the area median income.
(2) Covered structure.--The term ``covered structure'' means--
(A) a low-rise or mid-rise structure with not more than 25 
dwelling units; and
(B) includes--
(i) an accessory dwelling unit;
(ii) infill development;
(iii) a duplex;
(iv) a triplex;
(v) a fourplex;
(vi) a cottage court;
(vii) a courtyard building;
(viii) a townhouse;
(ix) a multiplex; and
(x) any other structure with not less than 2 
dwelling units that the Secretary considers appropriate.
(3) Eligible entity.--The term ``eligible entity'' means--
(A) a unit of general local government, as defined in 
section 102(a) of the Housing and Community Development Act of 
1974 (42 U.S.C. 5302(a));
(B) a municipal membership organization; and
(C) an Indian Tribe, as defined in section 102(a) of the 
Housing and Community Development Act of 1974 (42 U.S.C. 
5302(a)).
(4) High opportunity area.--The term ``high opportunity area'' has 
the meaning given the term in section 1282.1 of title 12, Code of 
Federal Regulations, or any successor regulation.
(5) Infill development.--The term ``infill development'' means 
residential development on small parcels in previously established areas 
for replacement with new or refurbished housing that utilizes existing 
utilities and infrastructure.
(6) Mixed-income housing.--The term ``mixed-income housing'' means a 
housing development that is comprised of housing units that promote 
differing levels of affordability in the community.
(7) Prereviewed designs.--The term ``prereviewed designs'', also 
known as pattern books, means sets of construction plans that are 
assessed and approved by localities for compliance with local building 
and permitting standards to streamline and expedite approval pathways 
for housing construction.
(8) Rural area.--The term ``rural area'' means any area other than a 
city or town that has a population of less than 50,000 inhabitants.
(9) Secretary.--The term ``Secretary'' means the Secretary of 
Housing and Urban Development.
(b) Authority.--The Secretary is authorized to award grants to eligible 
entities utilizing funds appropriated for such purpose to select prereviewed 
designs of covered structures of mixed-income housing for use in the 
jurisdiction of the eligible entity, except that such grant awards may not be 
used for construction, alteration, or repair work.
(c) Considerations.--In reviewing applications submitted by eligible 
entities for a grant under this section, the Secretary shall consider--
(1) the need for affordable housing in the service area of the 
eligible entity;
(2) the presence of high opportunity areas in the jurisdiction of 
the eligible entity;
(3) coordination between the eligible entity and a State agency; and
(4) coordination between the eligible entity and State, local, and 
regional transportation planning authorities.
(d) Set-Aside for Rural Areas.--Of the amount made available in each fiscal 
year for grants under this section, the Secretary shall ensure that not less 
than 10 percent shall be used for grants to eligible entities that are located 
in rural areas.
(e) Reports.--The Secretary shall require eligible entities receiving grants 
under this section to report on--
(1) the impacts of the activities carried out using the grant 
amounts in improving the production and supply of affordable housing;
(2) the prereviewed designs selected using the grant amounts in 
their communities;
(3) the number of permits issued for housing development utilizing 
prereviewed designs; and
(4) the number of housing units produced in developments utilizing 
the prereviewed designs.
(f) Availability of Information.--The Secretary shall--
(1) to the extent possible, encourage localities to make publicly 
available through a website information on the prereviewed designs 
selected and submitted to the Secretary by eligible entities receiving 
grants under this section, including information on the benefits of use 
of those designs; and
(2) collect, identify, and disseminate best practices regarding such 
designs and make such information publicly available on the website of 
the Department of Housing and Urban Development.
(g) Design Adoption and Repayment.--The Secretary may require an eligible 
entity to return to the Secretary any grant funds received under this section if 
the selected prereviewed designs submitted under this section have not been 
adopted during the 5-year period following receipt of the grant, unless that 
period is extended by the Secretary.
(h) Technical Assistance.--The Secretary may set aside not more than 5 
percent of amounts appropriated in a fiscal year to provide technical assistance 
to grant recipients under this section and pregrant technical assistance to 
prospective applicants.

SEC. 210. REVITALIZING EMPTY STRUCTURES INTO DESIRABLE ENVIRONMENTS (RESIDE) 
ACT.

(a) In General.--Subtitle A of title II of the Cranston-Gonzalez National 
Affordable Housing Act (42 U.S.C. 12741 et seq.) is amended by adding at the end 
the following:

``SEC. 227. REVITALIZING EMPTY STRUCTURES INTO DESIRABLE ENVIRONMENTS.

``(a) Definitions.--In this section:
``(1) Attainable housing.--The term `attainable housing' means 
housing that serves households earning not more than 120 percent of the 
area median income, if the majority of the housing units are affordable 
to households earning not more than 60 percent of the area median 
income.
``(2) Converted housing unit.--The term `converted housing unit' 
means a housing unit that is created using a covered grant.
``(3) Covered grant.--The term `covered grant' means a grant awarded 
under the Pilot Program.
``(4) Eligible entity.--The term `eligible entity' means a 
participating jurisdiction.
``(5) Pilot program.--The term `Pilot Program' means the Pilot 
Program established under subsection (b).
``(6) Vacant and abandoned building.--The term `vacant and abandoned 
building' means a property--
``(A) that was constructed for use as a warehouse, factory, 
mall, strip mall, or hotel, or for another industrial or 
commercial use; and
``(B)(i) with respect to which--
``(I) a code enforcement inspection has determined 
that the property is not safe; and
``(II) not less than 90 days have elapsed since the 
owner was notified of the deficiencies in the property 
and the owner has taken no corrective action; or
``(ii) that is subject to a court-ordered receivership or 
nuisance abatement related to abandonment pursuant to State or 
local law or otherwise meets the definition of an abandoned 
property under State law.
``(b) Purpose of Grant Program.--Subject to the availability of funds 
appropriated for this subsection, the Secretary is authorized to establish a 
Pilot Program, spanning from fiscal years 2027 through 2031, which shall have 
the purpose of awarding grants on a competitive basis to eligible entities to 
convert vacant and abandoned buildings into attainable housing.
``(c) Amount of Grant.--
``(1) In general.--For any fiscal year for which not less than 
$100,000,000 is made available to carry out the Pilot Program, the 
amount of a covered grant shall be not less than $1,000,000 and not more 
than $10,000,000.
``(2) Fiscal years with lower funding.--For any fiscal year for 
which less than $100,000,000 is made available to carry out the Pilot 
Program pursuant to subsection (b), the Secretary shall seek to maximize 
the number of covered grants awarded.
``(d) Relation to Formula Allocation.--A covered grant awarded to an 
eligible entity shall be in addition to, and shall not affect, the formula 
allocation for the eligible entity under section 217.
``(e) Priority.--In awarding covered grants, the Secretary shall give 
priority to an eligible entity that--
``(1) will use the covered grant in a community that is experiencing 
economic distress;
``(2) will use the covered grant in a qualified opportunity zone (as 
defined in section 1400Z-1(a) of the Internal Revenue Code of 1986);
``(3) will use the covered grant to construct housing that will 
serve a need identified in the comprehensive housing affordability 
strategy and community development plan of the eligible entity under 
part 91 of title 24, Code of Federal Regulations, or any successor 
regulation (commonly referred to as a `consolidated plan'); or
``(4) has enacted ordinances to reduce regulatory barriers to 
conversion of vacant and abandoned buildings to housing, which shall not 
include any alteration of an ordinance that governs safety and 
habitability.
``(f) Use of Funds.--An eligible entity may use a covered grant for--
``(1) property acquisition;
``(2) demolition;
``(3) health hazard remediation;
``(4) site preparation;
``(5) construction, renovation, or rehabilitation; or
``(6) the establishment, maintenance, or expansion of community land 
trusts or housing cooperatives.
``(g) Waiver Authority.--In administering covered grants, the Secretary may 
waive, or specify alternative requirements for, any statute or regulation that 
the Secretary administers in connection with the obligation by the Secretary or 
the use by eligible entities of covered grant funds (except for requirements 
related to fair housing, nondiscrimination, labor standards, or the environment) 
if the Secretary makes a public finding that good cause exists for the waiver or 
alternative requirement.
``(h) Study; Report.--Not later than 180 days after the termination of the 
Pilot Program, the Secretary shall study and submit to Congress a report on the 
impact of the Pilot Program on--
``(1) improving the tax base of local communities;
``(2) increasing access to affordable housing, especially for 
elderly individuals, disabled individuals, and veterans;
``(3) increasing home-ownership; and
``(4) removing blight.''.
(b) Technical and Conforming Amendment.--The table of contents in section 
1(b) of the Cranston-Gonzalez National Affordable Housing Act (Public Law 101-
625; 104 Stat. 4079) is amended by inserting after the item relating to section 
226 the following:

``Sec. 227. Revitalizing empty structures into desirable 
environments.''.

SEC. 211. HOUSING AFFORDABILITY ACT.

(a) In General.--Title II of the National Housing Act (12 U.S.C. 1707 et 
seq.) is amended--
(1) in section 206A (12 U.S.C. 1712a)--
(A) in subsection (a), in the matter following paragraph 
(7), by striking ``(commencing in 2004'' and all that follows 
through the period at the end and inserting the following: ``, 
commencing on July 1, 2025. The adjustment of the dollar amounts 
shall be calculated by the Secretary using the percentage change 
in the Price Deflator Index of Multifamily Residential Units 
Under Construction released by the Bureau of the Census from 
March of the previous year to March of the year in which the 
adjustment is made, or by the Secretary using an alternative 
indicator after publishing information about such alternative 
indicator in the Federal Register for public comment if the 
Price Deflator Index of Multifamily Residential Units Under 
Construction is not available or published.''; and
(B) by amending subsection (b) to read as follows:
``(b) Publication.--
``(1) In general.--The Secretary shall publish in the Federal 
Register any adjustments made to the Dollar Amounts.
``(2) Rounding.--The dollar amount of any adjustment described in 
paragraph (1) shall be rounded to the next lower dollar.'';
(2) in section 207(c)(3)(A) (12 U.S.C. 1713(c)(3)(A))--
(A) by striking ``$38,025'' and inserting ``$167,310'';
(B) by striking ``$42,120'' and inserting ``$185,328'';
(C) by striking ``$50,310'' and inserting ``$221,364'';
(D) by striking ``$62,010'' and inserting ``$272,844'';
(E) by striking ``$70,200'' and inserting ``$308,880'';
(F) by striking ``, or not to exceed $17,460 per space'';
(G) by striking ``$43,875'' and inserting ``$193,050'';
(H) by striking ``$49,140'' and inserting ``$216,216'';
(I) by striking ``$60,255'' and inserting ``$265,122'';
(J) by striking ``$75,465'' and inserting ``$332,046''; and
(K) by striking ``$85,328'' and inserting ``$375,443'';
(3) in section 213(b)(2) (12 U.S.C. 1715e(b)(2))--
(A) by striking ``$41,207'' and inserting ``$181,311'';
(B) by striking ``$47,511'' and inserting ``$209,048'';
(C) by striking ``$57,300'' and inserting ``$252,120'';
(D) by striking ``$73,343'' and inserting ``$322,709'';
(E) by striking ``$81,708'' and inserting ``$359,515'';
(F) by striking ``$43,875'' and inserting ``$193,050'';
(G) by striking ``$49,710'' and inserting ``$218,724'';
(H) by striking ``$60,446'' and inserting ``$265,962'';
(I) by striking ``$78,197'' and inserting ``$344,067''; and
(J) by striking ``$85,836'' and inserting ``$377,678'';
(4) in section 220(d)(3)(B)(iii)(I) (12 U.S.C. 
1715k(d)(3)(B)(iii)(I))--
(A) by striking ``$38,025'' and inserting ``$167,310'';
(B) by striking ``$42,120'' and inserting ``$185,328'';
(C) by striking ``$50,310'' and inserting ``$221,364'';
(D) by striking ``$62,010'' and inserting ``$272,844'';
(E) by striking ``$70,200'' and inserting ``$308,880'';
(F) by striking ``$43,875'' and inserting ``$193,050'';
(G) by striking ``$49,140'' and inserting ``$216,216'';
(H) by striking ``$60,255'' and inserting ``$265,122'';
(I) by striking ``$75,465'' and inserting ``$332,046''; and
(J) by striking ``$85,328'' and inserting ``$375,443'';
(5) in section 221(d)(4)(ii)(I) (12 U.S.C. 1715l(d)(4)(ii)(I))--
(A) by striking ``$37,843'' and inserting ``$166,509'';
(B) by striking ``$42,954'' and inserting ``$188,997'';
(C) by striking ``$51,920'' and inserting ``$228,448'';
(D) by striking ``$65,169'' and inserting ``$286,744'';
(E) by striking ``$73,846'' and inserting ``$324,922'';
(F) by striking ``$40,876'' and inserting ``$179,854'';
(G) by striking ``$46,859'' and inserting ``$206,180'';
(H) by striking ``$56,979'' and inserting ``$250,708'';
(I) by striking ``$73,710'' and inserting ``$324,324''; and
(J) by striking ``$80,913'' and inserting ``$356,017'';
(6) in section 231(c)(2)(A) (12 U.S.C. 1715v(c)(2)(A))--
(A) by striking ``$35,978'' and inserting ``$166,509'';
(B) by striking ``$40,220'' and inserting ``$188,997'';
(C) by striking ``$48,029'' and inserting ``$228,448'';
(D) by striking ``$57,798'' and inserting ``$286,744'';
(E) by striking ``$67,950'' and inserting ``$324,922'';
(F) by striking ``$40,876'' and inserting ``$179,854'';
(G) by striking ``$46,859'' and inserting ``$206,180'';
(H) by striking ``$56,979'' and inserting ``$250,708'';
(I) by striking ``$73,710'' and inserting ``$324,324''; and
(J) by striking ``$80,913'' and inserting ``$356,017''; and
(7) in section 234(e)(3)(A) (12 U.S.C. 1715y(e)(3)(A))--
(A) by striking ``$42,048'' and inserting ``$185,011'';
(B) by striking ``$48,481'' and inserting ``$213,316'';
(C) by striking ``$58,469'' and inserting ``$257,263'';
(D) by striking ``$74,840'' and inserting ``$329,296'';
(E) by striking ``$83,375'' and inserting ``$366,850'';
(F) by striking ``$44,250'' and inserting ``$194,700'';
(G) by striking ``$50,724'' and inserting ``$223,186'';
(H) by striking ``$61,680'' and inserting ``$271,392'';
(I) by striking ``$79,793'' and inserting ``$351,089''; and
(J) by striking ``$87,588'' and inserting ``$385,387''.
(b) Rule of Construction.--Nothing in this section or the amendments made by 
this section may be construed to limit the authority of the Secretary of Housing 
and Urban Development to revise the statutory exceptions for high-cost 
percentage and high-cost areas annual indexing.

TITLE III--MANUFACTURED HOUSING FOR AMERICA

SEC. 301. HOUSING SUPPLY EXPANSION ACT.

(a) In General.--Section 603(6) of the National Manufactured Housing 
Construction and Safety Standards Act of 1974 (42 U.S.C. 5402(6)) is amended by 
striking ``on a permanent chassis'' and inserting ``with or without a permanent 
chassis''.
(b) Standards for Manufactured Homes Built Without a Permanent Chassis.--
Section 604(a) of the National Manufactured Housing Construction and Safety 
Standards Act of 1974 (42 U.S.C. 5403(a)) is amended by adding the following:
``(7) Standards for manufactured homes built without a permanent 
chassis.--
``(A) In general.--The Secretary, in consultation with the 
consensus committee, shall issue revised standards for 
manufactured homes built without a permanent chassis using the 
process described in paragraph (4).
``(B) Creating final standards.--The Secretary shall, after 
consulting and conferring with the consensus committee, 
establish standards to ensure that manufactured homes without a 
permanent chassis have--
``(i) a distinct label, with revenue generated to be 
deposited into the Manufactured Housing Fees Trust Fund 
established under section 620(e)(1), to be issued by the 
Secretary distinguishing manufactured home built without 
a permanent chassis from manufactured homes built on a 
permanent chassis;
``(ii) a data plate, as described in section 3280.5 
of title 24, Code of Federal Regulations (or any 
successor regulation), distinguishing manufactured homes 
built without a permanent chassis from manufactured 
homes built on a permanent chassis; and
``(iii) a notation on any invoice produced by the 
manufacturer of a manufactured home that is 
distinguishable from the invoice for a manufactured home 
constructed with a permanent chassis.''.
(c) Manufactured Home Certifications.--Section 604 of the National 
Manufactured Housing Construction and Safety Standards Act of 1974 (42 U.S.C. 
5403) is amended by adding at the end the following:
``(i) Manufactured Home Certifications.--
``(1) In general.--
``(A) Initial certification.--Subject to subparagraph (B), 
not later than 1 year after the date of enactment of the 21st 
Century ROAD to Housing Act, a State shall submit to the 
Secretary an initial certification that the laws and regulations 
of the State--
``(i) treat any manufactured home in parity with a 
manufactured home (as defined and regulated by the 
State); and
``(ii) subject a manufactured home without a 
permanent chassis to the same laws and regulations of 
the State as a manufactured home built on a permanent 
chassis, including with respect to financing, title, 
insurance, manufacture, sale, taxes, transportation, 
installation, and other areas as the Secretary 
determines, after consultation with and approval by the 
consensus committee, are necessary to give effect to the 
purpose of this section.
``(B) State plan submission.--Any State plan submitted under 
section 623(b) shall contain the required State certification 
under subparagraph (A) and, if contained therein, no additional 
or State certification under subparagraph (A) or paragraph (3).
``(C) Extended deadline.--With respect to a State with a 
legislature that meets biennially, the deadline for the 
submission of the initial certification required under 
subparagraph (A) shall be 2 years after the date of enactment of 
the 21st Century ROAD to Housing Act.
``(D) Late certification.--
``(i) No waiver.--The Secretary may not waive the 
prohibition described in paragraph (5)(B) with respect 
to a certification submitted after the deadline under 
subparagraph (A) or paragraph (3) unless the Secretary 
approves the late certification.
``(ii) Rule of construction.--Nothing in this 
subsection shall be construed to prevent a State from 
submitting the initial certification required under 
subparagraph (A) after the required deadline under that 
subparagraph.
``(2) Form of state certification not presented in a state plan.--
The initial certification required under paragraph (1)(A), if not 
submitted with a State plan under paragraph (1)(B), shall contain, in a 
form prescribed by the Secretary, an attestation by an official that the 
State has taken the steps necessary to ensure the veracity of the 
certification required under paragraph (1)(A), including, as necessary, 
by--
``(A) amending the definition of `manufactured home' in the 
laws and regulations of the State; and
``(B) directing State agencies to amend the definition of 
`manufactured home' in regulations.
``(3) Annual recertification.--Not later than a date to be 
determined by the Secretary each year, a State shall submit to the 
Secretary an additional certification that--
``(A) confirms the accuracy of the initial certification 
submitted under subparagraph (A) or (B) of paragraph (1); and
``(B) certifies that any new laws or regulations enacted or 
adopted by the State since the date of the previous 
certification do not change the veracity of the initial 
certification submitted under paragraph (1)(A).
``(4) List.--The Secretary shall publish and maintain in the Federal 
Register and on the website of the Department of Housing and Urban 
Development a list of States that are up to date with the submission of 
initial and subsequent certifications required under this subsection.
``(5) Prohibition.--
``(A) Definition.--In this paragraph, the term `covered 
manufactured home' means a home that is--
``(i) not considered a manufactured home under the 
laws and regulations of a State because the home is 
constructed without a permanent chassis;
``(ii) considered a manufactured home under the 
definition of the term in section 603; and
``(iii) constructed after the date of enactment of 
the 21st Century ROAD to Housing Act.
``(B) Building, installation, and sale.--If a State does not 
submit a certification under paragraph (1)(A) or (3) by the date 
on which those certifications are required to be submitted--
``(i) with respect to a State in which the State 
administers the installation of manufactured homes, the 
State shall prohibit the manufacture, installation, or 
sale of a covered manufactured home within the State; 
and
``(ii) with respect to a State in which the 
Secretary administers the installation of manufactured 
homes, the State and the Secretary shall prohibit the 
manufacture, installation, or sale of a covered 
manufactured home within the State.''.
(d) Other Federal Laws Regulating Manufactured Homes.--The Secretary of 
Housing and Urban Development may coordinate with the heads of other Federal 
agencies to ensure that Federal agencies treat a manufactured home (as defined 
in Federal laws and regulations other than section 603 of the National 
Manufactured Housing Construction and Safety Standards Act of 1974 (42 U.S.C. 
5402)) in the same manner as a manufactured home (as defined in section 603 of 
the National Manufactured Housing Construction and Safety Standards Act of 1974 
(42 U.S.C. 5402), as amended by this Act).
(e) Assistance to States.--Section 609 of the National Manufactured Housing 
Construction and Safety Standards Act of 1974 (42 U.S.C. 5408) is amended--
(1) in paragraph (1), by striking ``and'' at the end;
(2) in paragraph (2), by striking the period at the end and 
inserting ``; and''; and
(3) by adding at the end the following:
``(3) model guidance to support the submission of the certification 
required under section 604(i).''.
(f) Preemption.--Nothing in this section or the amendments made by this 
section may be construed as limiting the scope of Federal preemption under 
section 604(d) of the National Manufactured Housing Construction and Safety 
Standards Act of 1974 (42 U.S.C. 5403(d)).
(g) Primary Authority to Establish Manufactured Home Construction and Safety 
Standards.--The National Manufactured Housing Construction and Safety Standards 
Act of 1974 (42 U.S.C. 5401 et seq.) is further amended--
(1) in section 603(7), by inserting ``energy efficiency,'' after 
``design,''; and
(2) in section 604, by adding at the end the following:
``(j) Primary Authority to Establish Standards.--
``(1) In general.--The Secretary shall have the primary authority to 
establish Federal manufactured home construction and safety standards.
``(2) Approval from secretary.--
``(A) In general.--The head of any Federal agency that seeks 
to establish a manufactured home construction and safety 
standard on or after the date of the enactment of this 
subsection--
``(i) shall submit to the Secretary a proposal 
describing such standard; and
``(ii) may not establish such standard without 
approval from the Secretary.
``(B) Rejection of standards.--The Secretary shall reject a 
standard submitted to the Secretary for approval under 
subparagraph (A)--
``(i) if the standard would significantly increase 
the cost of producing manufactured homes, as determined 
by the Secretary;
``(ii) if the standard would conflict with existing 
manufactured home construction and safety standards 
established by the Secretary; or
``(iii) for any other reason as determined 
appropriate by the Secretary.
``(C) Rule of construction.--Nothing in this subsection may 
be construed to require the Secretary to establish new or 
revised Federal manufactured home construction and safety 
standards.''.

SEC. 302. MODULAR HOUSING PRODUCTION ACT.

(a) Definitions.--In this section:
(1) Manufactured home.--The term ``manufactured home'' has the 
meaning given the term in section 603 of the National Manufactured 
Housing Construction and Safety Standards Act of 1974 (42 U.S.C. 5402).
(2) Modular home.--The term ``modular home'' means a home that is 
constructed in a factory in 1 or more modules, each of which meets 
applicable State and local building codes of the area in which the home 
will be located, and that are transported to the home building site, 
installed on foundations, and completed.
(3) Secretary.--The term ``Secretary'' means the Secretary of 
Housing and Urban Development.
(b) FHA Construction Financing Programs.--
(1) In general.--The Secretary shall conduct a review of Federal 
Housing Administration construction financing programs to identify 
barriers to the use of modular home methods.
(2) Requirements.--In conducting the review under paragraph (1), the 
Secretary shall--
(A) identify and evaluate regulatory and programmatic 
features that restrict participation in construction financing 
programs by modular home developers, including construction draw 
schedules; and
(B) identify administrative measures authorized under 
section 525 of the National Housing Act (12 U.S.C. 1735f-3) to 
facilitate program utilization by modular home developers.
(3) Report.--Not later than 1 year after the date of enactment of 
this Act, the Secretary shall publish a report that describes the 
results of the review conducted under paragraph (1), which shall include 
a description of programmatic and policy changes that the Secretary 
recommends to reduce or eliminate identified barriers to the use of 
modular home methods in Federal Housing Administration construction 
financing programs.
(4) Rulemaking.--
(A) In general.--Not later than 120 days after the date on 
which the Secretary publishes the report under paragraph (3), 
the Secretary shall initiate a rulemaking to examine an 
alternative draw schedule for construction financing loans 
provided to modular and manufactured home developers, which 
shall include the ability for interested stakeholders to provide 
robust public comment.
(B) Determination.--Following the period for public comment 
under subparagraph (A), the Secretary shall--
(i) issue a final rule regarding an alternative draw 
schedule described in subparagraph (A); or
(ii) provide an explanation as to why the rule shall 
not become final.
(c) Standardized Uniform Commercial Code for Modular Homes.--The Secretary 
may award a grant to study the design and feasibility of a standardized uniform 
commercial code for modular homes, which shall evaluate--
(1) the utility of a standardized coding system for serializing and 
securing modules, streamlining design and construction, and improving 
modular home innovation; and
(2) a means to coordinate a standardized code with financing 
incentives.

SEC. 303. PROPERTY IMPROVEMENT AND MANUFACTURED HOUSING LOAN MODERNIZATION ACT.

(a) National Housing Act Amendments.--
(1) In general.--Section 2 of the National Housing Act (12 U.S.C. 
1703) is amended--
(A) in subsection (a), by inserting ``construction of 
additional or accessory dwelling units, as defined by the 
Secretary,'' after ``energy conserving improvements,''; and
(B) in subsection (b)--
(i) in paragraph (1)--
(I) by striking subparagraph (A) and 
inserting the following:
``(A) $75,000 if made for the purpose of financing alterations, 
repairs, and improvements upon or in connection with an existing single-
family structure, including a manufactured home;'';
(II) in subparagraph (B)--
(aa) by striking ``$60,000'' and 
inserting ``$150,000'';
(bb) by striking ``$12,000'' and 
inserting ``$37,500''; and
(cc) by striking ``an apartment 
house or'';
(III) by striking subparagraphs (C) and (D) 
and inserting the following:
``(C)(i) $106,405 if made for the purpose of financing the purchase 
of a single-section manufactured home; and
``(ii) $195,322 if made for the purpose of financing the purchase of 
a multi-section manufactured home;
``(D)(i) $149,782 if made for the purpose of financing the purchase 
of a single-section manufactured home and a suitably developed lot on 
which to place the home; and
``(ii) $238,699 if made for the purpose of financing the purchase of 
a multi-section manufactured home and a suitably developed lot on which 
to place the home;'';
(IV) in subparagraph (E)--
(aa) by striking ``$23,226'' and 
inserting ``$43,377''; and
(bb) by striking the period at the 
end and inserting a semicolon;
(V) in subparagraph (F), by striking ``and'' 
at the end;
(VI) in subparagraph (G), by striking the 
period at the end and inserting ``; and''; and
(VII) by inserting after subparagraph (G) 
the following:
``(H) such principal amount as the Secretary may prescribe if made 
for the purpose of financing the construction of an accessory dwelling 
unit.'';
(ii) in the matter immediately preceding paragraph 
(2)--
(I) by striking ``regulation'' and inserting 
``notice'';
(II) by striking ``increase'' and inserting 
``set'';
(III) by striking ``(A)(ii), (C), (D), and 
(E)'' and inserting ``(A) through (H)'';
(IV) by inserting ``, or as necessary to 
achieve the goals of the Federal Housing 
Administration, periodically reset the dollar 
amount limitations in subparagraphs (A) through 
(H) based on justification and methodology set 
forth in advance by regulation'' before the 
period at the end; and
(V) by adjusting the margins appropriately;
(iii) in paragraph (3), by striking ``exceeds--'' 
and all that follows through the period at the end and 
inserting ``exceeds such period of time as determined by 
the Secretary, not to exceed 30 years.'';
(iv) by striking paragraph (9) and inserting the 
following:
``(9) Annual indexing of certain dollar amount limitations.--The 
Secretary shall develop or choose 1 or more methods of indexing in order 
to annually set the loan limits established in paragraph (1), based on 
data the Secretary determines is appropriate for purposes of this 
section.''; and
(v) in paragraph (11), by striking ``lease--'' and 
all that follows through the period at the end and 
inserting ``lease meets the terms and conditions 
established by the Secretary''.
(2) Deadline for development or choice of new index; interim 
index.--
(A) Deadline for development or choice of new index.--Not 
later than 1 year after the date of enactment of this Act, the 
Secretary of Housing and Urban Development shall develop or 
choose 1 or more methods of indexing as required under section 
2(b)(9) of the National Housing Act (12 U.S.C. 1703(b)(9)), as 
amended by paragraph (1) of this subsection.
(B) Interim index.--During the period beginning on the date 
of enactment of this Act and ending on the date on which the 
Secretary of Housing and Urban Development develops or chooses 1 
or more methods of indexing as required under section 2(b)(9) of 
the National Housing Act (12 U.S.C. 1703(b)(9)), as amended by 
paragraph (1) of this subsection, the method of indexing 
established by the Secretary under such section 2(b)(9) before 
the date of enactment of this Act shall apply.
(b) HUD Study of Offsite Construction.--
(1) Definitions.--In this subsection:
(A) Offsite construction housing.--The term ``offsite 
construction housing'' includes manufactured homes and modular 
homes.
(B) Manufactured home.--The term ``manufactured home'' means 
any home constructed in accordance with the construction and 
safety standards established under the National Manufactured 
Housing Construction and Safety Standards Act of 1974 (42 U.S.C. 
5401 et seq.).
(C) Modular home.--The term ``modular home'' means a home 
that is constructed in a factory in 1 or more modules, each of 
which meets applicable State and local building codes of the 
area in which the home will be located, and that are transported 
to the home building site, installed on foundations, and 
completed.
(2) Study.--Not later than 1 year after the date of the enactment of 
this section the Secretary of Housing and Urban Development shall 
conduct a study and submit to Congress a report on the cost 
effectiveness of offsite construction housing, that includes--
(A) an analysis of the advantages and the impact of 
centralization in a factory and transportation to a construction 
site on cost, precision, and materials waste;
(B) the extent to which offsite construction housing meets 
housing quality standards under the National Standards for the 
Physical Inspection of Real Estate, or other standards as the 
Secretary may prescribe, compared to the extent for site-built 
homes, for such standards;
(C) the expected replacement and maintenance costs over the 
first 40 years of life of offsite construction homes compared to 
those costs for site-built homes; and
(D) opportunities for use beyond single-family housing, such 
as applications in accessory dwelling units, two- to four-unit 
housing, and large multifamily housing.

TITLE IV--ACCESSING THE AMERICAN DREAM

SEC. 401. CREATING INCENTIVES FOR SMALL-DOLLAR LOAN ORIGINATORS.

(a) Definitions.--In this section:
(1) Director.--The term ``Director'' means the Director of the 
Bureau of Consumer Financial Protection.
(2) Small-dollar mortgage.--The term ``small-dollar mortgage'' means 
a mortgage loan having an original principal obligation of not more than 
$100,000 that is--
(A) secured by real property designed for 1 to 4 dwelling 
units; and
(B)(i) insured by the Federal Housing Administration under 
title II of the National Housing Act (12 U.S.C. 1707 et seq.);
(ii) made, guaranteed, or insured by the Department of 
Veterans Affairs;
(iii) made, guaranteed, or insured by the Department of 
Agriculture; or
(iv) eligible to be purchased or securitized by the Federal 
Home Loan Mortgage Corporation or the Federal National Mortgage 
Association.
(b) Requirement Regarding Loan Originator Compensation Practices.--Not later 
than 270 days after the date of enactment of this Act, the Director shall submit 
to the Committee on Banking, Housing, and Urban Affairs of the Senate and the 
Committee on Financial Services of the House of Representatives a report on loan 
originator compensation practices throughout the residential mortgage market, 
including the relative frequency of loan originators being compensated--
(1) with a salary;
(2) with a commission reflecting a fixed percentage of the amount of 
credit extended;
(3) with a commission based on a factor other than a fixed 
percentage of the amount of credit extended;
(4) with a combination of salary and commission;
(5) on a loan volume basis; and
(6) with a commission reflecting a percentage of the amount of 
credit extended, for which a minimum or maximum compensation amount is 
set.
(c) Community Development Financial Institution Loan Originators.--In 
performing the study required under subsection (b), the Secretary shall, in 
coordination with relevant Federal agencies that regulate federally backed 
small-dollar mortgages and in consultation with the Director of the Community 
Development Financial Institutions Fund established under section 104 of the 
Community Development Banking and Financial Institutions Act of 1994 (12 U.S.C. 
4703), give due consideration to the practices for compensating loan originators 
that are employed by or originate loans on behalf of community development 
financial institutions.
(d) Contents.--The report required under subsection (b) shall include--
(1) data and other analyses regarding the effect of the approaches 
to loan originator compensation described in subsection (b) on the 
availability of small-dollar mortgage loans; and
(2) an analysis and a discussion regarding potential barriers to 
small-dollar mortgage lending.

SEC. 402. SMALL-DOLLAR MORTGAGE POINTS AND FEES.

(a) Small-dollar Mortgage Defined.--In this section, the term ``small-dollar 
mortgage'' means a mortgage with an original principal obligation of less than 
$100,000.
(b) Amendments.--Not later than 270 days after the date of enactment of this 
Act, the Director of the Bureau of Consumer Financial Protection, in 
consultation with the Secretary of Housing and Urban Development and the 
Director of the Federal Housing Finance Agency, shall evaluate the impact of the 
thresholds under section 1026.43 of title 12, Code of Federal Regulations (as in 
effect on the date of enactment of this Act), on small-dollar mortgage 
originations.

SEC. 403. APPRAISAL INDUSTRY IMPROVEMENT ACT.

(a) Appraisal Standards.--
(1) Certification or licensing.--
(A) In general.--Section 202(g)(5) of the National Housing 
Act (12 U.S.C. 1708(g)(5)) is amended--
(i) by moving the paragraph two ems to the left; and
(ii) by striking subparagraphs (A) and (B) and 
inserting the following:
``(A) be certified or licensed by the State in which the property to 
be appraised is located, except that an appraiser who has as their 
primary duty conducting appraisal-related activities and who chooses to 
become a State-licensed or certified real estate appraiser need only to 
be licensed or certified in 1 State or territory to perform appraisals 
on mortgages insured by the Federal Housing Administration in all States 
and territories;
``(B) meet the requirements under the competency rule set forth in 
the Uniform Standards of Professional Appraisal Practice before 
accepting an assignment; and
``(C) have demonstrated verifiable education in the appraisal 
requirements established by the Federal Housing Administration under 
this subsection, which shall include the completion of a course or 
seminar that educates appraisers on those appraisal requirements, which 
shall be provided by--
``(i) the Federal Housing Administration; or
``(ii) a third party, if the course is approved by the 
Secretary or a State appraiser certifying or licensing 
agency.''.
(B) Application.--Subparagraph (C) of section 202(g)(5) of 
the National Housing Act (12 U.S.C. 1708(g)(5)), as added by 
subparagraph (A), shall not apply with respect to any certified 
appraiser approved by the Federal Housing Administration to 
conduct appraisals on property securing a mortgage to be insured 
by the Federal Housing Administration on or before the effective 
date described in paragraph (3)(C).
(2) Compliance with verifiable education and competency 
requirements.--On and after the effective date described in paragraph 
(3)(C), no appraiser may conduct an appraisal on a property securing a 
mortgage to be insured by the Federal Housing Administration unless--
(A) the appraiser is in compliance with the requirements of 
subparagraphs (A) and (B) of section 202(g)(5) of the National 
Housing Act (12 U.S.C. 1708(g)(5)), as amended by paragraph (1); 
and
(B) if the appraiser was not approved by the Federal Housing 
Administration to conduct appraisals on mortgages insured by the 
Federal Housing Administration before the date on which the 
mortgagee letter or guidance takes effect under paragraph 
(3)(C), the appraiser is in compliance with subparagraph (C) of 
such section 202(g)(5).
(3) Implementation.--Not later than the 240 days after the date of 
enactment of this Act, the Secretary of Housing and Urban Development 
shall issue a mortgagee letter or guidance that--
(A) implements the amendments made by paragraph (1);
(B) clearly sets forth all of the specific requirements 
under section 202(g)(5) of the National Housing Act (12 U.S.C. 
1708(g)(5)), as amended by paragraph (1), for approval to 
conduct appraisals on property secured by a mortgage to be 
insured by the Federal Housing Administration, which shall 
include--
(i) providing that, before the effective date of the 
mortgagee letter or guidance, compliance with the 
requirements under subparagraphs (A), (B), and (C) of 
such section 202(g)(5), as amended by paragraph (1), 
shall be considered to fulfill the requirements under 
such subparagraphs; and
(ii) providing a method for appraisers to 
demonstrate such prior compliance; and
(C) takes effect not later than the date that is 180 days 
after the date on which the Secretary issues the mortgagee 
letter or guidance.
(b) Annual Registry Fees for Appraisal Management Companies.--Section 
1109(a) of the Financial Institutions Reform, Recovery, and Enforcement Act of 
1989 (12 U.S.C. 3338(a)) is amended, in the matter following clause (ii) of 
paragraph (4)(B), by adding at the end the following: ``Subject to the approval 
of the Council, the Appraisal Subcommittee may adjust fees established under 
clause (i) or (ii) to carry out its functions under this Act.''.
(c) State Credentialed Trainees.--
(1) Maintenance on national registry.--Section 1103(a) of the 
Financial Institutions Reform, Recovery, and Enforcement Act of 1989 (12 
U.S.C. 3332(a)) is amended--
(A) in paragraph (3)--
(i) by inserting ``and State credentialed trainee 
appraisers'' after ``licensed appraisers''; and
(ii) by striking ``and'' at the end;
(B) by striking paragraph (4);
(C) by redesignating paragraphs (5) and (6) as paragraphs 
(4) and (5), respectively; and
(D) in paragraph (4), as so redesignated--
(i) by striking ``year. The report shall also 
detail'' and inserting ``year, detailing'';
(ii) by striking ``provide'' and inserting 
``provides''; and
(iii) by striking the period at the end and 
inserting ``; and''.
(2) Annual registry fees.--
(A) In general.--Section 1109 of the Financial Institutions 
Reform, Recovery, and Enforcement Act of 1989 (12 U.S.C. 3338) 
is amended--
(i) in the section heading, by striking ``certified 
or licensed'' and inserting ``, certified, licensed, and 
credentialed trainee''; and
(ii) in subsection (a)--
(I) in paragraph (1), by inserting ``, and 
in the case of a State with a supervisory or 
trainee program, a roster listing individuals 
who have received a State trainee credential'' 
after ``this title''; and
(II) by striking paragraph (2) and inserting 
the following:
``(2) transmit reports on the issuance and renewal of licenses, 
certifications, credentials, sanctions, and disciplinary actions, 
including license, credential, and certification revocations, on a 
timely basis to the national registry of the Appraisal Subcommittee;''.
(B) Rule of construction.--Nothing in the amendments made by 
subparagraph (A) shall require a State to establish or operate a 
program for State credentialed trainee appraisers, as defined in 
paragraph (12) of section 1121 of the Financial Institutions 
Reform, Recovery, and Enforcement Act of 1989, as added by 
paragraph (4) of this subsection.
(3) Transactions requiring the services of a state certified 
appraiser.--Section 1113 of the Financial Institutions Reform, Recovery, 
and Enforcement Act of 1989 (12 U.S.C. 3342) is amended--
(A) by striking ``In determining'' and inserting ``(a) In 
General.--In determining''; and
(B) by adding at the end the following:
``(b) Use of State Credentialed Trainee Appraisers.--In performing an 
appraisal under this section, a State certified appraiser may use the assistance 
of a State credentialed trainee appraiser or an unlicensed trainee appraiser, 
except that the State certified appraiser assisted by a trainee shall be liable 
for appraisal and valuation work.''.
(4) Definition.--Section 1121 of the Financial Institutions Reform, 
Recovery, and Enforcement Act of 1989 (12 U.S.C. 3350) is amended by 
adding at the end the following:
``(12) State credentialed trainee appraiser.--The term `State 
credentialed trainee appraiser' means an individual who--
``(A) meets the minimum criteria established by the 
Appraiser Qualification Board for a trainee appraiser 
credential; and
``(B) is credentialed by a State appraiser certifying and 
licensing agency.''.
(d) Grants for Workforce and Training.--Section 1109(b) of the Financial 
Institutions Reform, Recovery, and Enforcement Act of 1989 (12 U.S.C. 3338(b)) 
is amended--
(1) in paragraph (5)(B), by striking ``and'' at the end;
(2) in paragraph (6), by striking the period at the end and 
inserting ``; and''; and
(3) by adding at the end the following:
``(7) to make grants to State appraiser certifying and licensing 
agencies to support the carrying out of education and training 
activities or other activities related to addressing appraiser industry 
workforce needs, including recruiting and retaining workforce talent, 
such as through scholarship assistance and career pipeline development, 
and such agencies shall report on the use of funds and outcomes.''.
(e) Appraisal Subcommittee.--Section 1011 of the Federal Financial 
Institutions Examination Council Act of 1978 (12 U.S.C. 3310) is amended, in the 
first sentence, by inserting ``the Department of Veterans Affairs, the Rural 
Housing Service of the Department of Agriculture, the Department of Housing and 
Urban Development,'' after ``Financial Protection,''.

SEC. 404. HELPING MORE FAMILIES SAVE ACT.

Section 23 of the United States Housing Act of 1937 (42 U.S.C. 1437u) is 
amended by adding at the end the following:
``(p) Escrow Expansion Pilot Program.--
``(1) Definitions.--In this subsection:
``(A) Covered family.--The term `covered family' means a 
family that receives assistance under section 8 or 9 of this Act 
and is enrolled in the Pilot Program.
``(B) Eligible entity.--The term `eligible entity' means an 
entity described in subsection (c)(2).
``(C) Pilot program.--The term `Pilot Program' means the 
Pilot Program established under paragraph (2).
``(D) Welfare assistance.--The term `welfare assistance' has 
the meaning given the term in section 984.103 of title 24, Code 
of Federal Regulations, or any successor regulation.
``(2) Establishment.--The Secretary may establish a Pilot Program 
under which the Secretary shall select not more than 25 eligible 
entities to establish and manage escrow accounts for not more than 5,000 
covered families, in accordance with this subsection.
``(3) Escrow accounts.--
``(A) In general.--An eligible entity selected to 
participate in the Pilot Program--
``(i) shall establish an interest-bearing escrow 
account and place into the account an amount equal to 
any increase in the amount of rent paid by each covered 
family in accordance with the provisions of section 3, 
8(o), or 8(y), as applicable, that is attributable to 
increases in earned income by the covered families 
during the participation of each covered family in the 
Pilot Program; and
``(ii) notwithstanding any other provision of law, 
may use funds it controls under section 8 or 9 for 
purposes of making the escrow deposit for covered 
families assisted under, or residing in units assisted 
under, section 8 or 9, respectively, provided such funds 
are offset by the increase in the amount of rent paid by 
the covered family.
``(B) Income limitation.--An eligible entity may not escrow 
any amounts for any covered family whose adjusted income exceeds 
80 percent of the area median income at the time of enrollment.
``(C) Withdrawals.--A covered family may withdraw funds, 
including interest earned, from an escrow account established by 
an eligible entity under the Pilot Program--
``(i) after the covered family ceases to receive 
welfare assistance; and
``(ii)(I) not earlier than the date that is 5 years 
after the date on which the eligible entity establishes 
the escrow account under this subsection;
``(II) not later than the date that is 7 years after 
the date on which the eligible entity establishes the 
escrow account under this subsection, if the covered 
family chooses to continue to participate in the Pilot 
Program after the date that is 5 years after the date on 
which the eligible entity establishes the escrow 
account;
``(III) on the date the covered family ceases to 
receive housing assistance under section 8 or 9, if such 
date is earlier than 5 years after the date on which the 
eligible entity establishes the escrow account;
``(IV) earlier than 5 years after the date on which 
the eligible entity establishes the escrow account, if 
the covered family is using the funds to advance a self-
sufficiency goal as approved by the eligible entity;
``(V) for any reason listed under section 984.303(k) 
of title 24, Code of Federal Regulations; or
``(VI) under other circumstances in which the 
Secretary determines an exemption for good cause is 
warranted.
``(D) Interim recertification.--For purposes of the Pilot 
Program, a covered family may recertify the income of the 
covered family multiple times per year at the request of the 
participating family, as determined by the Secretary, and not 
less frequently than once per year, unless the eligible entity 
has established an alternative rent structure with approval from 
the Secretary.
``(E) Contract or plan.--A covered family is not required to 
complete a standard contract of participation or an individual 
training and services plan in order to participate in the Pilot 
Program.
``(4) Effect of increases in family income.--Any increase in the 
earned income of a covered family during the enrollment of the family in 
the Pilot Program may not be considered as income or a resource for 
purposes of eligibility of the family for other benefits, or amount of 
benefits payable to the family, under any program administered by the 
Secretary.
``(5) Application.--
``(A) In general.--An eligible entity seeking to participate 
in the Pilot Program shall submit to the Secretary an 
application--
``(i) at such time, in such manner, and containing 
such information as the Secretary may require by notice; 
and
``(ii) that includes the number of proposed covered 
families to be served by the eligible entity under this 
subsection.
``(B) Geographic and entity variety.--The Secretary shall 
ensure that eligible entities selected to participate in the 
Pilot Program--
``(i) are located across various States and in both 
urban and rural areas; and
``(ii) vary by size and type, including both public 
housing agencies and private owners of projects 
receiving project-based rental assistance under section 
8.
``(6) Notification and opt-out.--An eligible entity participating in 
the Pilot Program shall--
``(A) notify covered families of their enrollment in the 
Pilot Program;
``(B) provide covered families with a detailed description 
of the Pilot Program, including how the Pilot Program will 
impact their rent and finances;
``(C) inform covered families that the families cannot 
simultaneously participate in the Pilot Program and the Family 
Self-Sufficiency program under this section; and
``(D) provide covered families with the ability to elect not 
to participate in the Pilot Program--
``(i) not less than 2 weeks before the date on which 
the escrow account is established under paragraph (3); 
and
``(ii) at any point during the duration of the Pilot 
Program.
``(7) Maximum rents.--During the term of participation by a covered 
family in the Pilot Program, the amount of rent paid by the covered 
family shall be calculated under the rental provisions of section 3 or 
8(o), as applicable.
``(8) Pilot program timeline.--
``(A) Awards.--Not later than 1 year after establishing the 
Pilot Program, the Secretary shall select the eligible entities 
to participate in the Pilot Program.
``(B) Establishment and term of accounts.--An eligible 
entity selected to participate in the Pilot Program shall--
``(i) not later than 6 months after selection, 
establish escrow accounts under paragraph (3) for 
covered families; and
``(ii) maintain those escrow accounts for not less 
than 5 years, or until a determination is made for 
termination with FSS escrow disbursement under section 
984.303(k) of title 24, Code of Federal Regulations, or 
until the date the family ceases to receive assistance 
under section 8 or 9, and, at the discretion of the 
covered family, not more than 7 years after the date on 
which the escrow account is established.
``(9) Nonparticipation and housing assistance.--
``(A) In general.--Assistance under section 8 or 9 for a 
family that elects not to participate in the Pilot Program shall 
not be delayed or denied by reason of such election.
``(B) No termination.--Housing assistance may not be 
terminated as a consequence of participating, or not 
participating, in the Pilot Program under this subsection for 
any period.
``(10) Study.--Not later than 10 years after the date the Secretary 
selects eligible entities to participate in the Pilot Program under this 
subsection, the Secretary shall, if awards were made, conduct a study 
and submit to the Committee on Banking, Housing, and Urban Affairs of 
the Senate and the Committee on Financial Services of the House of 
Representatives a report on outcomes for covered families under the 
Pilot Program, which shall evaluate the effectiveness of the Pilot 
Program in assisting families to achieve economic independence and self-
sufficiency, and the impact coaching and supportive services, or the 
lack thereof, had on individual incomes.
``(11) Waivers.--To allow selected eligible entities to effectively 
administer the Pilot Program and make the required escrow account 
deposits under this subsection, the Secretary may waive requirements 
under this section.
``(12) Termination.--The Pilot Program under this subsection shall 
terminate on the date that is 10 years after the date of enactment of 
this subsection.
``(13) Eligible uses of appropriations.--Subject to the 
appropriation of funds, the Secretary may use funds--
``(A) for technical assistance related to implementation of 
the Pilot Program; and
``(B) to carry out an evaluation of the Pilot Program under 
paragraph (10).''.

SEC. 405. CHOICE IN AFFORDABLE HOUSING ACT.

(a) Satisfaction of Inspection Requirements Through Participation in Other 
Housing Programs.--Section 8(o)(8) of the United States Housing Act of 1937 (42 
U.S.C. 1437f(o)(8)) is amended by adding at the end the following:
``(I) Satisfaction of inspection requirements through 
participation in other housing programs.--
``(i) Low-income housing tax credit-financed 
buildings.--A dwelling unit shall be deemed to meet the 
inspection requirements under this paragraph if--
``(I) the dwelling unit is in a building, 
the acquisition, rehabilitation, or construction 
of which was done by a building owner who may be 
eligible for low-income housing credits because 
the building had been allocated a housing credit 
dollar amount under section 42(h) of the 
Internal Revenue Code of 1986 or is described in 
section 42(h)(4) of such Code (concerning 
buildings that meet a criterion for a certain 
amount of tax-exempt financing);
``(II) the dwelling unit, during the 
preceding 12-month period, was physically 
inspected and satisfied the suitability-for-
occupancy requirement in section 42(i)(3)(B)(ii) 
of such Code; and
``(III) the applicable public housing agency 
performed the inspection itself or is able to 
obtain the results of the inspection described 
in subclause (II).
``(ii) Home investment partnerships program.--A 
dwelling shall be deemed to meet the inspection 
requirements under this paragraph if--
``(I) the dwelling unit is assisted under 
the HOME Investment Partnerships Program under 
title II of the Cranston-Gonzalez National 
Affordable Housing Act (42 U.S.C. 12721 et 
seq.);
``(II) the dwelling unit was physically 
inspected and passed inspection as part of the 
program described in subclause (I) during the 
preceding 12-month period; and
``(III) the applicable public housing agency 
is able to obtain the results of the inspection 
described in subclause (II).
``(iii) Rural housing service.--A dwelling unit 
shall be deemed to meet the inspection requirements 
under this paragraph if--
``(I) the dwelling unit is assisted by the 
Rural Housing Service of the Department of 
Agriculture;
``(II) the dwelling unit was physically 
inspected and passed inspection in connection 
with the assistance described in subclause (I) 
during the preceding 12-month period; and
``(III) the applicable public housing agency 
is able to obtain the results of the inspection 
described in subclause (II).
``(iv) Remote or video inspections.--When complying 
with inspection requirements for a housing unit located 
in a rural or small area using assistance under this 
section, the Secretary may allow a grantee to conduct a 
remote or video inspection of a unit if the remote or 
video inspection--
``(I) is thorough;
``(II) does not misrepresent the condition 
of the unit; and
``(III) provides the information necessary 
to fully and accurately evaluate the conditions 
of the unit to ensure that the unit meets the 
relevant standards.
``(v) Rule of construction.--Nothing in clause (i), 
(ii), (iii), or (iv) shall be construed to affect the 
operation of a housing program described in, or 
authorized under a provision of law described in, that 
clause.''.
(b) Pre-approval of Units.--Section 8(o)(8)(A) of the United States Housing 
Act of 1937 (42 U.S.C. 1437f(o)(8)(A)) is amended by adding at the end the 
following:
``(iv) Initial inspection prior to lease 
agreement.--
``(I) Definition.--In this clause, the term 
`new landlord' means an owner of a dwelling unit 
who has not previously entered into a housing 
assistance payment contract with a public 
housing agency under this subsection for any 
dwelling unit.
``(II) Early inspection.--Upon the request 
of a new landlord, a public housing agency may 
inspect the dwelling unit owned by the new 
landlord to determine whether the unit meets the 
housing quality standards under subparagraph (B) 
before the unit is selected by a tenant assisted 
under this subsection.
``(III) Effect.--An inspection conducted 
under subclause (II) that determines that the 
dwelling unit meets the housing quality 
standards under subparagraph (B) shall satisfy 
this subparagraph and subparagraph (C) if the 
new landlord enters into a lease agreement with 
a tenant assisted under this subsection not 
later than 60 days after the date of the 
inspection.
``(IV) Information when family is 
selected.--When a public housing agency selects 
a family to participate in the tenant-based 
assistance program under this subsection, the 
public housing agency shall include in the 
information provided to the family a list of 
dwelling units that have been inspected under 
subclause (II) and determined to meet the 
housing quality standards under subparagraph 
(B).''.

TITLE V--PROGRAM REFORM

SEC. 501. HOME INVESTMENT PARTNERSHIPS REAUTHORIZATION AND REFORM ACT.

(a) Authorization.--Section 205 of the Cranston-Gonzalez National Affordable 
Housing Act (42 U.S.C. 12724) is amended to read as follows:

``SEC. 205. AUTHORIZATION OF PROGRAM.

``The HOME Investment Partnerships Program under subtitle A is hereby 
authorized.''.
(b) Definition of Community Housing Development Organization.--Section 
104(6)(B) of the Cranston-Gonzalez National Affordable Housing Act (42 U.S.C. 
12704(6)(B)) is amended by striking ``significant''.
(c) Assistance for Low-income Families.--Title II of the Cranston-Gonzalez 
National Affordable Housing Act (42 U.S.C. 12721 et seq.) is amended--
(1) in section 214(2) (42 U.S.C. 12742(2)), by striking ``households 
that qualify as low-income families'' and inserting ``families with a 
household income that does not exceed 100 percent of the median family 
income of the area, as determined by the Secretary''; and
(2) in section 271(c) (42 U.S.C. 12821(c))--
(A) in paragraph (1)(B), by striking ``low-income'' and 
inserting ``families with a household income that does not 
exceed 100 percent of the median family income of the area as 
determined by the Secretary with adjustments for smaller and 
larger families''; and
(B) in paragraph (2)(A), by striking ``low-income families'' 
and inserting ``families with a household income that does not 
exceed 100 percent of the median family income of the area as 
determined by the Secretary with adjustments for smaller and 
larger families''.
(d) Choices Made by Participating Jurisdictions.--Section 212(a)(2) of the 
Cranston-Gonzalez National Affordable Housing Act (42 U.S.C. 12742(a)(2)) is 
amended to read as follows:
``(2) Limitation.--The Secretary may not restrict the choice by a 
participating jurisdiction of rehabilitation, substantial 
rehabilitation, new construction, reconstruction, acquisition, or other 
eligible housing uses authorized in paragraph (1) unless the restriction 
is explicitly authorized under section 223(2).''.
(e) Use of Amounts by Certain Jurisdictions for Infrastructure 
Improvements.--
(1) In general.--Section 212(a) of the Cranston-Gonzalez National 
Affordable Housing Act (42 U.S.C. 12742(a)) is amended by inserting 
after paragraph (3) the following:
``(4) Infrastructure improvements in nonentitlement areas.--
``(A) In general.--A participating jurisdiction may use 
funds provided under this subtitle for infrastructure 
improvements, including the installation or repair of water and 
sewer lines, sidewalks, roads, and utility connections if--
``(i) such participating jurisdiction does not 
receive assistance under title I of the Housing and 
Community Development Act of 1974 (42 U.S.C. 5310); and
``(ii) such improvements are directly related to, 
and located within or immediately adjacent to--
``(I) housing assisted under this subtitle; 
or
``(II) housing assisted under section 42 of 
the Internal Revenue Code of 1986.
``(B) Application of labor standards.--The labor standards 
and requirements set forth in section 110 of the Housing and 
Community Development Act of 1974 (42 U.S.C. 5310) shall apply 
to any infrastructure improvement conducted using funds provided 
under this subtitle.
``(C) Rule of construction.--Nothing in this paragraph may 
be construed to impose any requirements of the HOME Investment 
Partnerships program on housing that benefits from an 
infrastructure improvement conducted using funds provided under 
this subtitle but was not otherwise assisted under the HOME 
Investment Partnerships program.''.
(2) Rulemaking.--Not later than 1 year after the date of enactment 
of this Act, the Secretary of Housing and Urban Development shall issue 
rules to carry out the amendment made by paragraph (1).
(f) Per Unit Investment Limitations.--Section 212(e)(1) of the Cranston-
Gonzalez National Affordable Housing Act (42 U.S.C. 12742(e)(1)) is amended by 
striking the second sentence.
(g) Affordable Rental Housing Qualifications.--Section 215(a) of the 
Cranston-Gonzalez National Affordable Housing Act (42 U.S.C. 12745(a)) is 
amended by adding at the end the following:
``(7) Qualification exception.--Notwithstanding paragraph (1)(A), a 
rental unit shall be considered to qualify as affordable housing under 
this title if--
``(A) the unit is occupied by a tenant receiving tenant-
based rental assistance under section 8 of the United States 
Housing Act of 1937 (42 U.S.C. 1437f);
``(B) the contribution of the tenant toward rent does not 
exceed the amount permitted under the assistance described in 
subparagraph (A); and
``(C) the total rent for the unit does not exceed the amount 
approved by the public housing agency administering the 
assistance described in subparagraph (A).''.
(h) Affordable Home-ownership Housing Qualifications.--Section 215 of the 
Cranston-Gonzalez National Affordable Housing Act (42 U.S.C. 12745) is amended--
(1) in subsection (b)--
(A) in paragraph (2), by redesignating subparagraphs (A), 
(B), and (C) as clauses (i), (ii), and (iii), respectively, and 
adjusting the margins accordingly;
(B) in paragraph (3)--
(i) in subparagraph (A), by redesignating clauses 
(i) and (ii) as subclauses (I) and (II), respectively, 
and adjusting the margins accordingly; and
(ii) by redesignating subparagraphs (A) and (B) as 
clauses (i) and (ii), respectively, and adjusting the 
margins accordingly;
(C) by redesignating paragraphs (1) through (4) as 
subparagraphs (A) through (D), respectively, and adjusting the 
margins accordingly;
(D) by striking ``Housing that is for home-ownership'' and 
inserting the following:
``(1) Qualification.--Housing that is for home-ownership'';
(E) in paragraph (1), as so designated--
(i) in subparagraph (A), as so redesignated--
(I) by striking ``95 percent'' and inserting 
``110 percent''; and
(II) by inserting ``(defined as the amount 
borrowed by the homebuyer to purchase the home, 
or the estimated value after rehabilitation, 
which may be adjusted to account for the limits 
on future value imposed by the resale 
restriction)'' after ``purchase price'';
(ii) in subparagraph (B), as so redesignated, in the 
matter preceding clause (i), by striking ``whose family 
qualifies as a low-income family'' and inserting ``with 
a family income that does not exceed 100 percent of the 
median family income of the area as determined by the 
Secretary with adjustments for smaller and larger 
families'';
(iii) in subparagraph (C), as so redesignated--
(I) in clause (i)(II)--
(aa) by striking ``low-income home-
buyers'' and inserting ``home-buyers 
with a household income that does not 
exceed 100 percent of the median family 
income of the area, as determined by the 
Secretary with adjustments for smaller 
and larger families''; and
(bb) by striking ``or'' at the end;
(II) in clause (ii), by striking ``and'' at 
the end and inserting ``or''; and
(III) by adding at the end the following:
``(iii) maintain long-term affordability through a 
shared equity ownership model, a community land trust, a 
limited equity cooperative, a community development 
corporation, or other mechanism approved by the 
Secretary, that preserves affordability for future 
eligible home-buyers and ensures compliance with the 
purposes of this title, including through the use of 
purchase options, rights of first refusal, or other 
preemptive rights to purchase housing;'';
(iv) in subparagraph (D), as so redesignated, by 
striking the period at the end and inserting ``; and''; 
and
(v) by adding at the end the following:
``(E) is subject to restrictions that are established by the 
participating jurisdiction and determined by the Secretary to be 
appropriate, including with respect to the useful life of the 
property, to--
``(i) require that any subsequent purchase of the 
property be--
``(I) only by a person who meets the 
qualifications specified under subparagraph (B); 
and
``(II) at a price that is determined by a 
formula or method established by the 
participating jurisdiction that provides the 
owner with a reasonable return on investment, 
which may include a percentage of the cost of 
any improvements; or
``(ii) recapture the investment provided under this 
title in order to assist other persons in accordance 
with the requirements of this title, except where there 
are no net proceeds or where the net proceeds are 
insufficient to repay the full amount of the 
assistance.''; and
(F) by adding at the end the following:
``(2) Purchase by community land trust or cooperative housing 
corporation.--Notwithstanding subparagraph (C)(i) of paragraph (1) and 
under terms determined by the Secretary, the Secretary may permit a 
participating jurisdiction to allow a community land trust, housing 
cooperative, or a community development corporation that used assistance 
provided under this subtitle for the development of housing that meets 
the criteria under paragraph (1), to acquire the housing--
``(A) in accordance with the terms of the preemptive 
purchase option, lease, covenant on the land, or other similar 
legal instrument of the community land trust or housing 
cooperative when the terms and rights in the preemptive purchase 
option, lease, covenant, or legal instrument are and remain 
subject to the requirements of this title;
``(B) when the purchase is for--
``(i) the purpose of--
``(I) entering into the chain of title;
``(II) enabling a purchase by a person who 
meets the qualifications specified under 
paragraph (1)(B) and is on a waitlist maintained 
by the community land trust or housing 
cooperative, subject to enforcement by the 
participating jurisdiction of all applicable 
requirements of this title, as determined by the 
Secretary;
``(III) performing necessary rehabilitation 
and improvements; or
``(IV) adding a subsidy to preserve 
affordability, which may be from Federal or non-
Federal sources; or
``(ii) another purpose determined appropriate by the 
Secretary; and
``(C) if, within a reasonable period of time after the 
applicable purpose under subparagraph (B) of this paragraph is 
fulfilled, as determined by the Secretary, the housing is then 
sold to a person who meets the qualifications specified under 
paragraph (1)(B).''; and
(2) by adding at the end the following:
``(c) Qualification Exceptions for Home-ownership.--
``(1) Military members.--A participating jurisdiction, in accordance 
with terms established by the Secretary, may suspend or waive the income 
qualifications described in subsection (b)(1)(B) with respect to housing 
that otherwise meets the criteria described in subsection (b)(1) if the 
owner of the housing--
``(A) is a member of a regular component of the armed forces 
or a member of the National Guard on full-time National Guard 
duty, active Guard and Reserve duty, or inactive-duty training 
(as those terms are defined in section 101 of title 10, United 
States Code); and
``(B) has received--
``(i) temporary duty orders to deploy with a 
military unit or military orders to deploy as an 
individual acting in support of a military operation, to 
a location that is not within a reasonable distance from 
the housing, as determined by the Secretary, for a 
period of not less than 90 days; or
``(ii) orders for a permanent change of station.
``(2) Heirs and beneficiaries of deceased owners.--Housing that 
meets the criteria described in subsection (b)(1)(C) prior to the death 
of an owner of such housing shall continue to qualify as affordable 
housing under this title if--
``(A) the housing is the principal residence of an heir or 
beneficiary of the deceased owner, as defined by the Secretary; 
and
``(B) the heir or beneficiary, in accordance with terms 
established by the Secretary, assumes the duties and obligations 
of the deceased owner with respect to funds provided under this 
title.''.
(i) Elimination of Expiration of Right to Draw Home Investment Trust 
Funds.--Section 218 of the Cranston-Gonzalez National Affordable Housing Act (42 
U.S.C. 12748) is amended--
(1) by striking subsection (g); and
(2) by redesignating subsection (h) as subsection (g).
(j) Adjusted Recapture and Reuse of Set-aside for Community Housing 
Developmental Organizations.--Section 231(b) of the Cranston-Gonzalez National 
Affordable Housing Act (42 U.S.C. 12771(b)) is amended to read as follows:
``(b) Recapture and Reuse.--If any funds reserved under subsection (a) 
remain uninvested for a period of 24 months, the Secretary shall make such funds 
available to the participating jurisdiction for any eligible activities under 
this title without regard to whether a community housing development 
organization materially participates in the use of such funds.''.
(k) Asset Recycling Information Dissemination Expansion.--Section 245(b)(2) 
of the Cranston-Gonzalez National Affordable Housing Act (42 U.S.C. 12785(b)(2)) 
is amended by striking ``95 percent'' and inserting ``110 percent''.
(l) Environmental Review Requirements.--
(1) In general.--Section 288 of the Cranston-Gonzalez National 
Affordable Housing Act (42 U.S.C. 12838) is amended by adding at the end 
the following:
``(e) Categorical Exemptions.--The following categories of activities 
carried out under this title shall be statutorily exempt from environmental 
review under the National Environmental Policy Act of 1969 (42 U.S.C. 4321 et 
seq.), and shall not require further review under such Act--
``(1) new construction infill housing projects;
``(2) acquisition of real property for affordable housing purposes;
``(3) rehabilitation projects carried out pursuant to section 
212(a)(1); and
``(4) new construction projects of 15 units or less.
``(f) Removing Duplicative Reviews.--
``(1) In general.--To the extent practicable and permitted by law, 
the Secretary shall ensure that a project that has undergone an 
environmental review under this section shall not be subject to a 
duplicative environmental review solely due to the addition, 
substitution, or reallocation of other sources of Federal assistance, if 
the scope, scale, and location of the project remain substantially 
unchanged.
``(2) Coordination of environmental review responsibilities.--The 
Secretary shall, by regulation, provide for coordination of 
environmental review responsibilities with other Federal agencies to 
streamline interagency compliance and avoid unnecessary duplication of 
effort under the National Environmental Policy Act of 1969 (42 U.S.C. 
4321 et seq.) and other applicable laws.
``(3) Recognition of prior reviews by responsible entities.--A 
project may not be subject to an environmental review under this section 
if a substantially similar review has already been completed by an 
entity designated under section 104(g)(1) of the Housing and Community 
Development Act of 1974 (42 U.S.C. 5304(g)(1)) or by another entity the 
Secretary determines to have equivalent authority, if the scope, scale, 
and location of the project remain substantially unchanged.''.
(2) Rulemaking.--Not later than 1 year after the date of the 
enactment of this Act, the Secretary shall issue such rules as the 
Secretary determines necessary to carry out the amendment made by this 
subsection.
(3) Applicability.--Any activity generated under this subsection 
would be subject to an authorization of appropriations.
(4) Definition.--Section 104 of the Cranston-Gonzalez National 
Affordable Housing Act (42 U.S.C. 12704) is amended by adding at end the 
following new paragraph:
``(27) The term `infill housing project' means a residential housing 
project that--
``(A) is located 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
``(D) is substantially surrounded by residential or 
commercial development, as determined by the Secretary.''.
(m) Application of Build America, Buy America Requirements for Home 
Investment Partnerships Program.--
(1) In general.--Not later than 180 days after the date of the 
enactment of this section, the Secretary of Housing and Urban 
Development shall complete a review of the implementation of the Build 
America, Buy America Act (title IV of division G of Public Law 117-58; 
42 U.S.C. 8301 note) with respect to the activities assisted under title 
II of the Cranston-Gonzalez National Affordable Housing Act (42 U.S.C. 
12721 et seq.).
(2) Updated guidance.--Not later than 90 days after the review 
described in subsection (a) is completed, the Secretary shall issue 
updated guidance to clarify the application of the Build America, Buy 
America Act (title IV of division G of Public Law 117-58; 42 U.S.C. 8301 
note) with respect to the activities assisted under title II of the 
Cranston-Gonzalez National Affordable Housing Act (42 U.S.C. 12721 et 
seq.).
(3) Report.--Not later than 270 days after the date of the enactment 
of this section, the Secretary shall submit to the Committee on 
Financial Services of the House of Representatives and the Committee on 
Banking, Housing, and Urban Affairs of the Senate a report that 
describes--
(A) the results of the review required under subsection (a); 
and
(B) the guidance issued as described in subsection (b).
(n) Application of Other Specified Statutory Requirements.--Title II of the 
Cranston-Gonzalez National Affordable Housing Act (42 U.S.C. 12721 et seq.) is 
amended by adding at the end the following:

``SEC. 291. NONAPPLICABILITY OF CERTAIN REQUIREMENTS FOR SMALL PROJECTS.

``Notwithstanding any other provision of law, the requirements of section 3 
of the Housing and Urban Development Act of 1968 (12 U.S.C. 1701u), and any 
implementing regulations or guidance, shall not apply to an activity assisted 
under this title that involves rehabilitation, construction, or other 
development of housing if--
``(1) the recipient of assistance under this title is--
``(A) a State recipient pursuant to section 216; or
``(B) a participating jurisdiction that received a total 
allocation of less than $3,000,000 in the most recent fiscal 
year pursuant to section 216; and
``(2) the total number of dwelling units assisted as a part of such 
activity is not more than 50.''.
(o) Reallocation Not Available for Certain Jurisdictions.--Section 217(d) of 
the Cranston-Gonzalez National Affordable Housing Act (42 U.S.C. 12747(d)) is 
amended--
(1) in paragraph (1), by striking the second sentence and inserting 
the following: ``Subject to paragraph (4), jurisdictions eligible for 
such reallocations shall include participating jurisdictions and 
jurisdictions meeting the requirements of this title, including the 
requirements in paragraphs (3), (4), and (5) of section 216.''; and
(2) by adding at the end the following:
``(4) Reallocation not available for certain jurisdictions.--The 
Secretary may decline to make a reallocation available to a jurisdiction 
eligible for such reallocation if such jurisdiction has failed to meet 
or comply with any requirement under this title.''.
(p) Amendments to Qualification as Affordable Housing.--Section 215(a)(1)(E) 
of the Cranston-Gonzalez National Affordable Housing Act (42 U.S.C. 12745(a)) is 
amended by striking ``except upon a foreclosure by a lender (or upon other 
transfer in lieu of foreclosure) if such action (i) recognizes any contractual 
or legal rights of public agencies, nonprofit sponsors, or others to take 
actions that would avoid termination of low-income affordability in the case of 
foreclosure or transfer in lieu of foreclosure, and (ii) is not for the purpose 
of avoiding low-income affordability restrictions, as determined by the 
Secretary; and'' and inserting the following: ``except--
``(i) upon a foreclosure by a lender (or upon other 
transfer in lieu of foreclosure) if such action--
``(I) recognizes any contractual or legal 
rights of public agencies, nonprofit sponsors, 
or others to take actions that would avoid 
termination of low-income affordability in the 
case of foreclosure or transfer in lieu of 
foreclosure; and
``(II) is not for the purpose of avoiding 
low-income affordability restrictions, as 
determined by the Secretary; or
``(ii) where existing affordable housing is no 
longer financially viable due to unforeseen acts or 
occurrences beyond the reasonable contemplation or 
control of the participating jurisdiction in which the 
affordable housing is located or the owner of the 
affordable housing that significantly impact the 
financial or physical condition of the affordable 
housing, as determined by the Secretary; and''.
(q) Tenant and Participant Protections for Affordable Housing.--Section 225 
of the Cranston-Gonzalez National Affordable Housing Act (42 U.S.C. 12755) is 
amended by adding at the end the following:
``(e) Exception.--Paragraphs (2), (3), and (4) of subsection (d) shall not 
apply to housing under this section that meets the following criteria:
``(1) The housing is affordable housing with not more than 4 
dwelling units, each of which is made available for rental.
``(2) Each dwelling unit in the housing bears rent in an amount that 
complies with the requirements described in paragraph (1)(A).
``(3) Each dwelling unit in the housing is accompanied by a low-
income family.
``(4) No dwelling in the housing is refused for leasing to a holder 
of a voucher under section 8 of the United States Housing Act of 1937 
(42 U.S.C. 1437f) because of the status of the prospective tenant as a 
holder of that voucher.
``(5) The housing complies with the requirement described in 
paragraph (1)(E).
``(6) The participating jurisdiction in which the housing is located 
monitors the compliance of the housing with the requirements of this 
title in a manner consistent with the purposes of section 226(b), as 
determined by the Secretary.''.
(r) Revision of Definition of Community Land Trust.--Section 104 of the 
Cranston-Gonzalez National Affordable Housing Act (42 U.S.C. 12704) is amended 
by adding at the end the following:
``(26) The term `community land trust' means a nonprofit entity, a 
State, a unit of local government, or an instrumentality of a State or 
unit of local government that--
``(A) is not managed by, or an affiliate of, a forprofit 
organization;
``(B) has as a primary purpose of acquiring, developing, or 
holding land to provide housing that is permanently affordable 
to low- and moderate-income persons;
``(C) monitors properties to ensure affordability is 
preserved;
``(D) provides housing that is permanently affordable to 
low- and moderate-income persons using a ground lease, deed 
covenant, or other similar legally enforceable measure, 
determined acceptable by the Secretary, that--
``(i) keeps housing affordable to low- and moderate-
income persons for not less than 30 years; and
``(ii) enables low- and moderate-income persons to 
rent or purchase the housing for home-ownership; and
``(E) maintains preemptive purchase options to purchase the 
property if such purchase would allow the housing to remain 
affordable to low-and moderate-income persons.''.
(s) Set-aside for Community Housing Development Organizations.--Section 
231(a) of the Cranston-Gonzalez National Affordable Housing Act (42 U.S.C. 
12771(a)) is amended, in the first sentence, by striking ``to be developed, 
sponsored, or owned by community housing development organizations'' and 
inserting ``when a community housing development organization materially 
participates in the ownership or development of that housing, as determined by 
the Secretary''.
(t) Administrative Reforms.--
(1) Increase in program administration resources.--Section 220(b) of 
the Cranston-Gonzalez National Affordable Housing Act (42 U.S.C. 
12750(b)) is amended--
(A) by striking ``Recognition.--'' and all that follows 
through ``A contribution'' and inserting ``Recognition.--A 
contribution'';
(B) by redesignating subparagraphs (A) and (B) as paragraphs 
(1) and (2), respectively and
(C) by striking paragraph (2).
(2) Modification of jurisdictions eligible for reallocations.--
Section 217(d)(3) of the Cranston-Gonzalez National Affordable Housing 
Act (42 U.S.C. 12747(d)(3)) is amended--
(A) in the paragraph heading, by striking ``Limitation'' and 
inserting ``Limitations''; and
(B) by striking ``Unless otherwise specified'' and inserting 
the following:
``(A) Removal of participating jurisdictions from 
reallocation.--The Secretary may, upon a finding that the 
participating jurisdiction has failed to meet or comply with the 
requirements of this title, remove a participating jurisdiction 
from participation in reallocations of funds made available 
under this title.
``(B) Reallocation to same type of entity.--Unless otherwise 
specified''.
(3) Home property inspections.--Section 226(b) of the Cranston-
Gonzalez National Affordable Housing Act (42 U.S.C. 12756(b)) is 
amended--
(A) by striking ``Each participating jurisdiction'' and 
inserting the following:
``(1) In general.--Each participating jurisdiction''; and
(B) by striking ``Such review shall include'' and all that 
follows and inserting the following:
``(2) Onsite inspections.--
``(A) Inspections by units of general local government.--A 
review conducted under paragraph (1) by a participating 
jurisdiction that is a unit of general local government shall 
include an onsite inspection to determine compliance with 
housing codes and other applicable regulations.
``(B) Inspections by states.--A review conducted under 
paragraph (1) by a participating jurisdiction that is a State 
shall include an onsite inspection to determine compliance with 
a national standard as determined by the Secretary.
``(3) Inclusion in performance report and publication.--A 
participating jurisdiction shall include in the performance report of 
the participating jurisdiction submitted to the Secretary under section 
108(a), and make available to the public, the results of each review 
conducted under paragraph (1).''.
(4) Revisions to strengthen enforcement and penalties for 
noncompliance.--Section 223 of the Cranston-Gonzalez National Affordable 
Housing Act (42 U.S.C. 12753) is amended--
(A) in the section heading, by striking ``penalties for 
misuse of funds'' and inserting ``program enforcement and 
penalties for noncompliance'';
(B) in the matter preceding paragraph (1), by inserting 
after ``any provision of this subtitle'' the following: ``, 
including any provision applicable throughout the period 
required by section 215(a)(1)(E) and applicable regulations,'';
(C) in paragraph (2), by striking ``or'' at the end;
(D) in paragraph (3), by striking the period at the end and 
inserting ``; or''; and
(E) by adding at the end the following:
``(4) reduce payments to the participating jurisdiction under this 
subtitle by an amount equal to the amount of such payments that were not 
expended by the participating jurisdiction in accordance with this 
title.''.
(u) Minimum Allocations.--Section 217(b) of the Cranston-Gonzalez National 
Affordable Housing Act (42 U.S.C. 12747 (b)) is amended--
(1) in paragraph (2), by striking ``$500,000'' each place that term 
appears and inserting ``$750,000'';
(2) in paragraph (3)--
(A) by striking ``jurisdictions that are allocated an amount 
of $500,000 or more'' and inserting ``jurisdictions that are 
allocated an amount of $750,000 or more'';
(B) by striking ``that are allocated an amount less than 
$500,000'' and inserting ``that are allocated an amount less 
than $500,000 before the date of enactment of the 21st Century 
ROAD to Housing Act or less than $750,000 on or after the date 
of enactment of the 21st Century ROAD to Housing Act''; and
(C) by striking ``, except as provided in paragraph (4)''; 
and
(3) by striking paragraph (4).
(v) Technical and Conforming Amendments.--The Cranston-Gonzalez National 
Affordable Housing Act (42 U.S.C. 12701 et seq.) is amended--
(1) by striking ``Stewart B. McKinney Homeless Assistance Act'' each 
place that term appears and inserting ``McKinney-Vento Homeless 
Assistance Act'';
(2) by striking ``Committee on Banking, Finance and Urban Affairs'' 
each place that term appears and inserting ``Committee on Financial 
Services'';
(3) in the table of contents in section 1(b) (Public Law 101-625; 
104 Stat. 4079)--
(A) by striking the item relating to section 205 and 
inserting the following:

``Sec. 205. Authorization of program.'';
(B) by striking the item relating to section 223 and 
inserting the following:

``Sec. 223. Program enforcement and penalties for noncompliance.''; and
(C) by inserting after the item relating to section 290 the 
following:

``Sec. 291. Nonapplicability of certain requirements for small 
projects.'';
(4) in section 104 (42 U.S.C. 12704)--
(A) by redesignating paragraph (23) (relating to the 
definition of the term ``to demonstrate to the Secretary'') as 
paragraph (22); and
(B) by redesignating paragraph (24) (relating to the 
definition of the term ``insular area'', as added by section 
2(2) of Public Law 102-230) as paragraph (23);
(5) in section 105(b)(8) (42 U.S.C. 12705(b)(8)), by striking 
``subparagraphs'' and inserting ``paragraphs'';
(6) in section 108(a)(1) (42 U.S.C. 12708(a)(1)), by striking 
``section 105(b)(15)'' and inserting ``section 105(b)(18)'';
(7) in section 212 (42 U.S.C. 12742)--
(A) in subsection (a)(3)(A)(ii), by inserting ``United 
States'' before ``Housing Act'';
(B) in subsection (d)(5), by inserting ``United States'' 
before ``Housing Act''; and
(C) in subsection (e)(1)--
(i) by striking ``section 221(d)(3)(ii)'' and 
inserting ``section 221(d)(4)''; and
(ii) by striking ``not to exceed 140 percent'' and 
inserting ``as determined by the Secretary'';
(8) in section 215(a)(6)(B) (42 U.S.C. 12745(a)(6)(B)), by striking 
``grand children'' and inserting ``grandchildren'';
(9) in section 217 (42 U.S.C. 12747)--
(A) in subsection (a)--
(i) in paragraph (1), by striking ``(3)'' and 
inserting ``(2)'';
(ii) by striking paragraph (3), as added by section 
211(a)(2)(D) of the Housing and Community Development 
Act of 1992 (Public Law 102-550; 106 Stat. 3756); and
(iii) by redesignating the remaining paragraph (3), 
as added by the matter under the heading ``home 
investment partnerships program'' under the heading 
``Housing Programs'' in title II of the Departments of 
Veterans Affairs and Housing and Urban Development, and 
Independent Agencies Appropriations Act, 1993 (Public 
Law 102-389; 106 Stat. 1581), as paragraph (2); and
(B) in subsection (b)(1)--
(i) in subparagraph (A), in the first sentence--
(I) by striking ``in regulation'' and 
inserting ``, by regulation,''; and
(II) by striking ``eligible jurisdiction'' 
and inserting ``eligible jurisdictions''; and
(ii) in subparagraph (F), in the first sentence--
(I) in clause (i), by striking 
``Subcommittee on Housing and Urban Affairs'' 
and inserting ``Subcommittee on Housing, 
Transportation, and Community Development''; and
(II) in clause (ii), by striking 
``Subcommittee on Housing and Community 
Development'' and inserting ``Subcommittee on 
Housing and Insurance'';
(10) in section 220(c) (42 U.S.C. 12750(c))--
(A) in paragraph (3), by striking ``Secretary'' and all that 
follows and inserting ``Secretary;'';
(B) in paragraph (4), by striking ``under this title'' and 
all that follows and inserting ``under this title;''; and
(C) by redesignating paragraphs (6), (7), and (8) as 
paragraphs (5), (6), and (7), respectively;
(11) in section 225(d)(4)(B) (42 U.S.C. 12755(d)(4)(B)), by striking 
``for'' the first place that term appears; and
(12) in section 233 (42 U.S.C. 12773)--
(A) in subsection (b)(6), by striking ``to community land 
trusts (as such term is defined in subsection (f))'' and 
inserting ``to community land trusts (as such term is defined in 
section 104)''; and
(B) by striking subsection (f).

SEC. 502. RURAL HOUSING SERVICE REFORM ACT.

(a) Application of Multifamily Mortgage Foreclosure Procedures to 
Multifamily Mortgages Held by the Secretary of Agriculture and Preservation of 
the Rental Assistance Contract Upon Foreclosure.--
(1) Multifamily mortgage procedures.--Section 363(2) of the 
Multifamily Mortgage Foreclosure Act of 1981 (12 U.S.C. 3702(2)) is 
amended--
(A) in subparagraph (E), by striking ``and'' at the end;
(B) in subparagraph (F), by striking the period at the end 
and inserting ``; or''; and
(C) by adding at the end the following:
``(F) section 514, 515, or 538 of the Housing Act of 1949 
(42 U.S.C. 1484, 1485, 1490p-2).''.
(2) Preservation of contract.--Section 521(d) of the Housing Act of 
1949 (42 U.S.C. 1490a(d)) is amended by adding at the end the following:
``(3) Notwithstanding any other provision of law, in managing and disposing 
of any multifamily property that is owned or has a mortgage held by the 
Secretary, and during the process of foreclosure on any property with a contract 
for rental assistance under this section--
``(A) the Secretary shall maintain any rental assistance payments 
that are attached to any dwelling units in the property; and
``(B) the rental assistance contract may be used to provide further 
assistance to existing projects under 514, 515, or 516.''.
(b) Study on Rural Housing Loans for Housing for Low- and Moderate-income 
Families.--Not later than 6 months after the date of enactment of this Act, the 
Secretary of Agriculture shall conduct a study and submit to Congress a publicly 
available report on the loan program under section 521 of the Housing Act of 
1949 (42 U.S.C. 1490a), including--
(1) the total amount provided by the Secretary in subsidies under 
such section 521 to borrowers with loans made pursuant to section 502 of 
such Act (42 U.S.C. 1472);
(2) how much of the subsidies described in paragraph (1) are being 
recaptured; and
(3) the amount of time and costs associated with recapturing those 
subsidies.
(c) Staffing and Information Technology Upgrades.--Utilizing funds 
appropriated for such purposes, the Secretary of Agriculture may increase 
staffing capacity and upgrade information technology to support all Rural 
Housing Service programs.
(d) Technical Improvements.--
(1) Authorization of appropriations.--Utilizing funds appropriated 
for such purposes, the Secretary of Agriculture may make improvements to 
the technology of the Rural Housing Service of the Department of 
Agriculture used to process and manage housing loans.
(2) Availability.--Amounts appropriated pursuant to paragraph (1) 
shall remain available until the date that is 5 years after the date of 
the appropriation.
(3) Timeline.--The Secretary of Agriculture shall make the 
improvements described in paragraph (1) during the 5-year period 
beginning on the date on which amounts are appropriated under paragraph 
(1).
(e) Permanent Establishment of Housing Preservation and Revitalization 
Program.--Title V of the Housing Act of 1949 (42 U.S.C. 1471 et seq.) is amended 
by adding at the end the following:

``SEC. 545. HOUSING PRESERVATION AND REVITALIZATION PROGRAM.

``(a) Establishment.--The Secretary shall carry out a program under this 
section for the preservation and revitalization of multifamily rental housing 
projects financed under section 514, 515, or 516.
``(b) Notice of Maturing Loans.--
``(1) To owners.--On an annual basis, the Secretary shall provide 
written notice to each owner of a property financed under section 514, 
515, or 516 that will mature within the 4-year period beginning upon the 
provision of the notice, setting forth the options and financial 
incentives that are available to facilitate the extension of the loan 
term or the option to decouple a rental assistance contract pursuant to 
subsection (f).
``(2) To tenants.--
``(A) In general.--On an annual basis, for each property 
financed under section 514, 515, or 516, not later than the date 
that is 2 years before the date that the loan will mature, the 
Secretary shall provide written notice to each household 
residing in the property that informs them of--
``(i) the date of the loan maturity;
``(ii) the possible actions that may happen with 
respect to the property upon that maturity; and
``(iii) how to protect their right to reside in 
federally assisted housing, or how to secure housing 
voucher, after that maturity.
``(B) Language.--Notice under this paragraph shall be 
provided in plain English and shall be translated to other 
languages in the case of any property located in an area in 
which a significant number of residents speak such other 
languages.
``(c) Loan Restructuring.--Under the program under this section, in any 
circumstance in which the Secretary proposes a restructuring to an owner or an 
owner proposes a restructuring to the Secretary, the Secretary may restructure 
such existing housing loans, as the Secretary considers appropriate, for the 
purpose of ensuring that those projects have sufficient resources to preserve 
the projects to provide safe and affordable housing for low-income residents and 
farm laborers, by--
``(1) reducing or eliminating interest;
``(2) deferring loan payments;
``(3) subordinating, reducing, or reamortizing loan debt;
``(4) providing other financial assistance, including advances, 
payments, and incentives (including the ability of owners to obtain 
reasonable returns on investment) required by the Secretary; and
``(5) permanently removing a portion of the housing units from 
income restrictions when sustained vacancies have occurred.
``(d) Renewal of Rental Assistance.--
``(1) In general.--When the Secretary proposes to restructure a loan 
or agrees to the proposal of an owner to restructure a loan pursuant to 
subsection (c), the Secretary shall offer to renew the rental assistance 
contract under section 521(a)(2) for a term that is the shorter of 20 
years and the term of the restructured loan, subject to annual 
appropriations, provided that the owner agrees to bring the property up 
to such standards that will ensure maintenance of the property as 
decent, safe, and sanitary housing for the full term of the rental 
assistance contract.
``(2) Additional rental assistance.--With respect to a project 
described in paragraph (1), if rental assistance is not available for 
all households in the project for which the loan is being restructured 
pursuant to subsection (c), the Secretary may extend such additional 
rental assistance to unassisted households at that project as is 
necessary to make the project safe and affordable to low-income 
households.
``(e) Restrictive Use Agreements.--
``(1) Requirement.--As part of the preservation and revitalization 
agreement for a project, the Secretary shall obtain a restrictive use 
agreement that is recorded and obligates the owner to operate the 
project in accordance with this title.
``(2) Term.--
``(A) No extension of rental assistance contract.--Except 
when the Secretary enters into a 20-year extension of the rental 
assistance contract for a project, the term of the restrictive 
use agreement for the project shall be consistent with the term 
of the restructured loan for the project.
``(B) Extension of rental assistance contract.--If the 
Secretary enters into a 20-year extension of the rental 
assistance contract for a project, the term of the restrictive 
use agreement for the project shall be for the longer of--
``(i) 20 years; or
``(ii) the remaining term of the loan for that 
project.
``(C) Termination.--The Secretary may terminate the 20-year 
restrictive use agreement for a project before the end of the 
term of the agreement if the 20-year rental assistance contract 
for the project with the owner is terminated at any time for 
reasons outside the control of the owner.
``(f) Decoupling of Rental Assistance.--
``(1) Renewal of rental assistance contract.--If the Secretary 
determines that a loan maturing during the 4-year period beginning upon 
the provision of the notice required under subsection (b)(1) for a 
project cannot reasonably be restructured in accordance with subsection 
(c) because it is not financially feasible or the owner does not agree 
with the proposed restructuring, and the project was operating with 
rental assistance under section 521 and the recipient is a borrower 
under section 514 or 515, the Secretary may renew the rental assistance 
contract, notwithstanding any requirement under section 521 that the 
recipient be a current borrower under section 514 or 515, for a term of 
20 years, subject to annual appropriations.
``(2) Additional rental assistance.--With respect to a project 
described in paragraph (1), if rental assistance is not available for 
all households in the project for which the loan is being restructured 
pursuant to subsection (c), the Secretary may extend such additional 
rental assistance to unassisted households at that project as is 
necessary to make the project safe and affordable to low-income 
households.
``(3) Rents.--
``(A) In general.--Any agreement to extend the term of the 
rental assistance contract under section 521 for a project shall 
obligate the owner to continue to maintain the project as 
decent, safe, and sanitary housing and to operate the 
development as affordable housing in a manner that meets the 
goals of this title.
``(B) Rent amounts.--Subject to subparagraph (C), in setting 
rents, the Secretary--
``(i) shall determine the maximum initial rent based 
on current fair market rents established under section 8 
of the United States Housing Act of 1937 (42 U.S.C. 
1437f); and
``(ii) may annually adjust the rent determined under 
clause (i) by the operating cost adjustment factor as 
provided under section 524 of the Multifamily Assisted 
Housing Reform and Affordability Act of 1997 (42 U.S.C. 
1437f note).
``(C) Higher rent.--
``(i) In general.--Subparagraph (B) shall not apply 
if the Secretary determines that the budget-based needs 
of a project require a higher rent than the rent 
described in subparagraph (B).
``(ii) Rent.--If the Secretary makes a positive 
determination under clause (i), the Secretary may 
approve a budget-based rent level for the project.
``(4) Conditions for approval.--Before the approval of a rental 
assistance contract authorized under this section, the Secretary shall 
require, through an annual notice in the Federal Register, the owner to 
submit to the Secretary a plan that identifies financing sources and a 
timetable for renovations and improvements determined to be necessary by 
the Secretary to maintain and preserve the project.
``(g) Multifamily Housing Transfer Technical Assistance.--Under the program 
under this section, the Secretary may provide grants to qualified nonprofit 
organizations, housing cooperative corporations, and public housing agencies to 
provide technical assistance, including financial and legal services, to 
borrowers under loans under this title for multifamily housing to facilitate the 
acquisition or preservation of such multifamily housing properties in areas 
where the Secretary determines there is a risk of loss of affordable housing.
``(h) Administrative Expenses.--Of any amounts made available for the 
program under this section for any fiscal year, the Secretary may use not more 
than $1,000,000 for administrative expenses for carrying out such program.
``(i) Rulemaking.--
``(1) In general.--Not later than 180 days after the date of 
enactment of the 21st Century ROAD to Housing Act, the Secretary shall--
``(A) publish an advance notice of proposed rulemaking; and
``(B) consult with appropriate stakeholders.
``(2) Interim final rule.--Not later than 1 year after the date of 
enactment of the 21st Century ROAD to Housing Act, the Secretary shall 
publish an interim final rule to carry out this section.''.
(f) Rental Assistance Contract Authority.--Section 521(d) of the Housing Act 
of 1949 (42 U.S.C. 1490a(d)), as amended by this section, is amended--
(1) in paragraph (1)--
(A) by redesignating subparagraphs (B) and (C) as 
subparagraphs (C) and (D), respectively;
(B) by inserting after subparagraph (A) the following:
``(B) upon request of an owner of a project financed under section 
514 or 515, the Secretary is authorized to enter into renewal of such 
agreements for a period of 20 years or the term of the loan, whichever 
is shorter, subject to amounts made available in appropriations Acts;'';
(C) in subparagraph (C), as so redesignated, by striking 
``subparagraph (A)'' and inserting ``subparagraphs (A) and 
(B)''; and
(D) in subparagraph (D), as so redesignated, by striking 
``subparagraphs (A) and (B)'' and inserting ``subparagraphs (A), 
(B), and (C)'';
(2) in paragraph (2), by striking ``shall'' and inserting ``may''; 
and
(3) by adding at the end the following:
``(4) In the case of any rental assistance contract authority that becomes 
available because of the termination of assistance on behalf of an assisted 
family--
``(A) at the option of the owner of the rental project, the 
Secretary shall provide the owner a period of not more than 6 months 
before unused assistance is made available pursuant to subparagraph (B) 
during which the owner may use such authority to provide assistance on 
behalf of an eligible unassisted family that--
``(i) is residing in the same rental project in which the 
assisted family resided before the termination; or
``(ii) newly occupies a dwelling unit in the rental project 
during that 6-month period; and
``(B) except for assistance used as provided in subparagraph (A), 
the Secretary shall use such remaining authority to provide assistance 
on behalf of eligible families residing in other rental projects 
originally financed under section 514, 515, or 516.''.
(g) Modifications to Loans and Grants for Minor Improvements to Farm Housing 
and Buildings; Income Eligibility.--Section 504(a) of the Housing Act of 1949 
(42 U.S.C. 1474(a)) is amended--
(1) in the first sentence, by inserting ``and may make a loan to an 
eligible low-income applicant'' after ``applicant''; and
(2) by striking ``$7,500'' and inserting ``$15,000''.
(h) Rural Community Development Initiative.--Subtitle E of the Consolidated 
Farm and Rural Development Act (7 U.S.C. 2009 et seq.) is amended by adding at 
the end the following:

``SEC. 381O. RURAL COMMUNITY DEVELOPMENT INITIATIVE.

``(a) Definitions.--In this section:
``(1) Eligible entity.--The term `eligible entity' means--
``(A) a private, nonprofit community-based housing or 
community development organization;
``(B) a rural community; or
``(C) a federally recognized Indian Tribe.
``(2) Eligible intermediary.--The term `eligible intermediary' means 
a qualified--
``(A) private, nonprofit organization; or
``(B) public organization.
``(b) Establishment.--The Secretary shall establish a Rural Community 
Development Initiative, under which the Secretary shall provide grants, subject 
to the availability of appropriations, to eligible intermediaries to carry out 
programs to provide financial and technical assistance to eligible entities to 
develop the capacity and ability of eligible entities to carry out projects to 
improve housing, community facilities, and community and economic development 
projects in rural areas.
``(c) Amount of Grants.--The amount of a grant provided to an eligible 
intermediary under this section shall be not more than $500,000.
``(d) Matching Funds.--
``(1) In general.--An eligible intermediary receiving a grant under 
this section shall provide matching funds from other sources, including 
Federal funds for related activities, in an amount not less than the 
amount of the grant.
``(2) Waiver.--The Secretary may waive paragraph (1) with respect to 
a project that would be carried out in a persistently poor rural region, 
as determined by the Secretary.''.
(i) Annual Report on Rural Housing Programs.--Title V of the Housing Act of 
1949 (42 U.S.C. 1471 et seq.), as amended by this section, is amended by adding 
at the end the following:

``SEC. 546. ANNUAL REPORT.

``(a) In General.--The Secretary shall submit to the appropriate committees 
of Congress and publish on the website of the Department of Agriculture an 
annual report on rural housing programs carried out under this title, which 
shall include significant details on the health of Rural Housing Service 
programs, including--
``(1) raw data sortable by programs and by region regarding loan 
performance;
``(2) the housing stock of those programs, including information on 
why properties end participation in those programs, such as for 
maturation, prepayment, foreclosure, or other servicing issues; and
``(3) risk ratings for properties assisted under those programs.
``(b) Protection of Information.--The data included in each report required 
under subsection (a) may be aggregated or anonymized to protect participant 
financial or personal information.''.
(j) GAO Report on Rural Housing Service Technology.--Not later than 1 year 
after the date of enactment of this Act, the Comptroller General of the United 
States shall submit to Congress a report that includes--
(1) an analysis of how the outdated technology used by the Rural 
Housing Service impacts participants in the programs of the Rural 
Housing Service;
(2) an estimate of the amount of funding that is needed to modernize 
the technology used by the Rural Housing Service; and
(3) an estimate of the number and type of new employees the Rural 
Housing Service needs to modernize the technology used by the Rural 
Housing Service.
(k) Adjustment to Rural Development Voucher Amount.--
(1) In general.--Not later than 2 years after the date of enactment 
of this Act, the Secretary of Agriculture shall issue regulations to 
establish a process for adjusting the voucher amount provided under 
section 542 of the Housing Act of 1949 (42 U.S.C. 1490r) after the 
issuance of the voucher following an interim or annual review of the 
amount of the voucher.
(2) Interim review.--The interim review described in paragraph (1) 
shall, at the request of a tenant, allow for a recalculation of the 
voucher amount when the tenant experiences a reduction in income, change 
in family composition, or change in rental rate.
(3) Annual review.--
(A) In general.--The annual review described in paragraph 
(1) shall require tenants to annually recertify the family 
composition of the household and that the family income of the 
household does not exceed 80 percent of the area median income 
at a time determined by the Secretary of Agriculture.
(B) Considerations.--If a tenant does not recertify the 
family composition and family income of the household within the 
time frame required under subparagraph (A), the Secretary of 
Agriculture--
(i) shall consider whether extenuating circumstances 
caused the delay in recertification; and
(ii) may alter associated consequences for the 
failure to recertify based on those circumstances.
(C) Effective date.--Following the annual review of a 
voucher under paragraph (1), the updated voucher amount shall be 
effective on the 1st day of the month following the expiration 
of the voucher.
(4) Deadline.--The process established under paragraph (1) shall 
require the Secretary of Agriculture to review and update the voucher 
amount described in paragraph (1) for a tenant not later than 60 days 
before the end of the voucher term.
(l) Eligibility for Rural Housing Vouchers.--Section 542 of the Housing Act 
of 1949 (42 U.S.C. 1490r) is amended by adding at the end the following:
``(c) Eligibility of Households in Sections 514, 515, and 516 Projects.--The 
Secretary may provide rural housing vouchers under this section for any low-
income household (including those not receiving rental assistance) residing for 
a term longer than the remaining term of their lease that is in effect on the 
date of prepayment, foreclosure, or mortgage maturity, in a property financed 
with a loan under section 514 or 515 or a grant under section 516 that has--
``(1) been prepaid with or without restrictions imposed by the 
Secretary pursuant to section 502(c)(5)(G)(ii)(I);
``(2) been foreclosed; or
``(3) matured after September 30, 2005.''.
(m) Amount of Voucher Assistance.--Notwithstanding any other provision of 
law, in the case of any rural housing voucher provided pursuant to section 542 
of the Housing Act of 1949 (42 U.S.C. 1490r), the amount of the monthly 
assistance payment for the household on whose behalf the assistance is provided 
shall be determined as provided in subsection (a) of such section 542, including 
providing for interim and annual review of the voucher amount in the event of a 
change in household composition or income or rental rate.
(n) Transfer of Multifamily Rural Housing Projects.--Section 515 of the 
Housing Act of 1949 (42 U.S.C. 1485) is amended--
(1) in subsection (h), by adding at the end the following:
``(3) Transfer to nonprofit organizations.--A nonprofit or public 
body purchaser, including a limited partnership with a general partner 
with the principal purpose of providing affordable housing, may purchase 
a property for which a loan is made or insured under this section that 
has received a market value appraisal, without addressing rehabilitation 
needs at the time of purchase, if the purchaser--
``(A) makes a commitment to address rehabilitation needs 
during ownership and long-term use restrictions on the property; 
and
``(B) at the time of purchase, accepts long-term use 
restrictions on the property.''; and
(2) in subsection (w)(1), in the first sentence in the matter 
preceding subparagraph (A), by striking ``9 percent'' and inserting ``25 
percent''.
(o) Extension of Loan Term.--
(1) In general.--Section 502(a)(2) of the Housing Act of 1949 (42 
U.S.C. 1472(a)(2)) is amended--
(A) by inserting ``(A)'' before ``The Secretary'';
(B) in subparagraph (A), as so designated, by striking 
``paragraph'' and inserting ``subparagraph''; and
(C) by adding at the end the following:
``(B) The Secretary may refinance or modify the period of any loan, 
including any refinanced loan, made under this section in accordance 
with terms and conditions as the Secretary shall prescribe, but in no 
event shall the total term of the loan from the date of the refinance or 
modification exceed 40 years.''.
(2) Application.--The amendment made under paragraph (1) shall apply 
with respect to loans made under section 502 of the Housing Act of 1949 
(42 U.S.C. 1472) before, on, or after the date of enactment of this Act.
(p) Release of Liability for Section 502 Guaranteed Borrower Upon Assumption 
of Original Loan by New Borrower.--Section 502(h) of the Housing Act of 1949 (42 
U.S.C. 1472(h)) is amended--
(1) by striking paragraph (10) and inserting the following:
``(10) Transfer and assumption.--Upon the transfer of property for 
which a guaranteed loan under this subsection was made, and the 
assumption of the guaranteed loan by an approved eligible borrower, the 
original borrower of a guaranteed loan under this subsection shall be 
relieved of liability with respect to the loan.'';
(2) by redesignating paragraph (16) as paragraph (17); and
(3) by inserting after paragraph (15) the following:
``(16) Fee.--
``(A) In general.--The mortgagee may charge an assuming 
borrower a reasonable and customary processing fee for an 
assumption request made under this subsection.
``(B) Maximum fee.--The Secretary shall set a maximum 
allowable fee described in subparagraph (A), which may be 
indexed for inflation.''.
(q) Department of Agriculture Loan Restrictions.--
(1) Definitions.--In this subsection, the terms ``State'' and 
``tribal organization'' have the meanings given those terms in section 
658P of the Child Care and Development Block Grant Act of 1990 (42 
U.S.C. 9858n).
(2) Revision.--The Secretary of Agriculture shall revise section 
3555.102(c) of title 7, Code of Federal Regulations, to exclude from the 
restriction under that section--
(A) a home-based business that is a licensed, registered, or 
regulated child care provider under State law or by a tribal 
organization; and
(B) an applicant that has applied to become a licensed, 
registered, or regulated child care provider under State law or 
by a tribal organization.
(r) Loan Guarantees.--Section 502(h)(4) of the Housing Act of 1949 (42 
U.S.C. 1472(h)(4)) is amended--
(1) by redesignating subparagraphs (A), (B), and (C) as clauses (i), 
(ii), and (iii), respectively, and adjusting the margins accordingly;
(2) by striking ``Loans may be guaranteed'' and inserting the 
following:
``(A) Definition.--In this paragraph, the term `accessory 
dwelling unit' means a single, habitable living unit--
``(i) with means of separate ingress and egress;
``(ii) that is usually subordinate in size;
``(iii) that can be added to, created within, or 
detached from a primary 1-unit, single-family dwelling; 
and
``(iv) in combination with a primary 1-unit, single-
family dwelling, constitutes a single interest in real 
estate.
``(B) Single-family requirement.--Loans may be guaranteed''; 
and
(3) by adding at the end the following:
``(C) Rule of construction.--Nothing in this paragraph shall 
be construed to prohibit the leasing of an accessory dwelling 
unit or the use of rental income derived from such a lease to 
qualify for a loan guaranteed under this subsection--
``(i) after the date of enactment of the 21st 
Century ROAD to Housing Act; and
``(ii) if the property that is the subject of the 
loan was constructed before the date of enactment of the 
21st Century ROAD to Housing Act.''.
(s) Application Review.--
(1) Sense of congress.--It is the sense of Congress, not later than 
90 days after the date on which the Secretary of Agriculture receives an 
application for a loan, grant, or combined loan and grant under section 
502 or 504 of the Housing Act of 1949 (42 U.S.C. 1472, 1474), the 
Secretary of Agriculture should--
(A) review the application;
(B) complete the underwriting;
(C) make a determination of eligibility with respect to the 
application; and
(D) notify the applicant of determination.
(2) Report.--
(A) In general.--Not later than 90 days after the date of 
enactment of this Act, and annually thereafter until the date 
described in subparagraph (B), the Secretary of Agriculture 
shall submit to the Committee on Banking, Housing, and Urban 
Affairs of the Senate and the Committee on Financial Services of 
the House of Representatives a report--
(i) detailing the timeliness of eligibility 
determinations and final determinations with respect to 
applications under sections 502 and 504 of the Housing 
Act of 1949 (42 U.S.C. 1472, 1474), including 
justifications for any eligibility determinations taking 
longer than 90 days; and
(ii) that includes recommendations to shorten the 
timeline for notifications of eligibility determinations 
described in clause (i) to not more than 90 days.
(B) Date described.--The date described in this subparagraph 
is the date on which, during the preceding 5-year period, the 
Secretary of Agriculture provides each eligibility determination 
described in subparagraph (A) during the 90-day period beginning 
on the date on which each application is received.

SEC. 503. INCENTIVIZING LOCAL SOLUTIONS TO HOMELESSNESS.

Section 414 of the McKinney-Vento Homeless Assistance Act (42 U.S.C. 11373) 
is amended by adding at the end the following:
``(f) Funding Cap Waiver Authority.--
``(1) In general.--Notwithstanding any other provision of law or 
regulation, a recipient may request a waiver to the expenditure limit 
established pursuant to section 415(b) for amounts provided for each of 
fiscal years 2027 through 2030.
``(2) Waiver request.--
``(A) In general.--A recipient seeking a waiver described in 
paragraph (1) shall submit to the Secretary a waiver request 
that includes not more than the following:
``(i) A demonstration of local needs and 
circumstances that necessitate a waiver.
``(ii) A detailed plan for how the recipient intends 
to use funds.
``(iii) A justification for how the proposed use of 
funds supports the most recent Consolidated Plan 
submitted by the recipient.
``(iv) Any public input solicited under subparagraph 
(B)(ii).
``(B) Notification.--Each recipient shall--
``(i) notify all subrecipients and local Continuums 
of Care that serve the recipient's geographic area of 
the availability of waivers under this subsection; and
``(ii) prior to the submission of a waiver request 
under subparagraph (A), solicit public input regarding 
the potential need for and proposed uses of such waiver.
``(C) Approval; publication.--The Secretary shall--
``(i) make all waiver requests submitted under 
subparagraph (A) publicly available on the website of 
the Department of Housing and Urban Development;
``(ii) not later than 60 days after the date on 
which the Secretary receives a waiver request under 
subparagraph (A), approve or deny the request; and
``(iii) deny any waiver request submitted under 
subparagraph (A) by a recipient that relocates or 
threaten to relocate individuals or their property 
without providing emergency shelter, rapid rehousing, 
transitional housing, permanent supportive housing, or 
other permanent housing options.
``(3) Revocation.--
``(A) In general.--A waiver approved under this subsection 
shall remain in effect for the duration of the period of 
performance of fiscal year 2027 through 2030 grants, unless the 
recipient notifies the Secretary in writing that the recipient 
wishes to revoke the waiver.
``(B) Notification.--If a recipient intends to revoke a 
waiver under subparagraph (A), the recipient shall--
``(i) solicit input from subrecipients regarding the 
revocation before submitting the revocation; and
``(ii) provide subrecipients with a summary of the 
input and the justification for the revocation in its 
submittal prior to notifying the Secretary in writing.
``(C) Publication.--The Secretary shall publish any 
revocation of a waiver under subparagraph (A) and the 
justification of the recipient for the waiver on the website of 
the Department of Housing and Urban Development.''.

TITLE VI--VETERANS AND HOUSING

SEC. 601. MILITARY SERVICE QUESTION.

(a) In General.--Subpart A of part 2 of the Federal Housing Enterprises 
Financial Safety and Soundness Act of 1992 (12 U.S.C. 4541 et seq.) is amended 
by adding at the end the following:

``SEC. 1329. UNIFORM RESIDENTIAL LOAN APPLICATION.

``Not later than 6 months after the date of enactment of this section, the 
Director shall, by regulation or order, require each enterprise to include a 
disclosure below the military service question which shall be above the 
signature line on the form known as the Uniform Residential Loan Application 
stating, `If yes, you may qualify for a VA Home Loan. Consult your lender 
regarding eligibility.'.''.
(b) GAO Study.--Not later than 18 months after the date of enactment of this 
Act, the Comptroller General of the United States shall conduct a study and 
submit to the Congress a report on whether or not less than 80 percent of 
lenders using the Uniform Residential Loan Application have included on that 
form the disclaimer required under section 1329 of the Federal Housing 
Enterprises Financial Safety and Soundness Act of 1992, as added by subsection 
(a).

SEC. 602. HOUSING UNHOUSED DISABLED VETERANS ACT.

(a) Exclusion of Certain Disability Benefits.--Section 3(b)(4)(B) of the 
United States Housing Act of 1937 (42 U.S.C. 1437a(b)(4)(B)) is amended--
(1) by redesignating clauses (iv) and (v) as clauses (vi) and (vii), 
respectively; and
(2) by inserting after clause (iii) the following:
``(iv) for the purpose of determining income 
eligibility with respect to the supported housing 
program under section 8(o)(19), any disability benefits 
received under chapter 11 or chapter 15 of title 38, 
United States Code, received by a veteran, except that 
this exclusion shall not apply to the income in the 
definition of adjusted income;
``(v) for the purpose of determining income 
eligibility with respect to any household receiving 
rental assistance under the supported housing program 
under section 8(o)(19) as it relates to eligibility for 
other types of housing assistance, any disability 
benefits received under chapter 11 or chapter 15 of 
title 38, United States Code, received by a veteran, but 
such amounts shall not be excluded from income when 
determining adjusted income;''.
(b) Treatment of Certain Disability Benefits.--
(1) In general.--When determining the eligibility of a veteran to 
rent a residential dwelling unit constructed on Department property on 
or after the date of the enactment of this Act, for which assistance is 
provided as part of a housing assistance program administered by the 
Secretary, the Secretary shall exclude from income any disability 
benefits received under chapter 11 or chapter 15 of title 38, United 
States Code by such person.
(2) Definitions.--In this subsection:
(A) Secretary.--The term ``Secretary'' means the Secretary 
of Housing and Urban Development.
(B) Department property.--The term ``Department property'' 
has the meaning given the term in section 901 of title 38, 
United States Code.

TITLE VII--OVERSIGHT AND ACCOUNTABILITY

SEC. 701. REQUIRING ANNUAL TESTIMONY AND OVERSIGHT FROM HOUSING REGULATORS.

Section 7 of the Department of Housing and Urban Development Act (42 U.S.C. 
3535) is amended by adding at the end the following:
``(u) Annual Testimony.--The Secretary shall appear before the Committee on 
Banking, Housing, and Urban Affairs of the Senate and the Committee on Financial 
Services of the House of Representatives at an annual hearing and present 
testimony regarding the operations of the Department during the preceding year, 
including--
``(1) the current programs and operations of the Department;
``(2) the physical condition of all public housing and other housing 
assisted by the Department;
``(3) the financial health of the mortgage insurance funds of the 
Federal Housing Agency;
``(4) oversight by the Department of grantees and subgrantees for 
purposes of preventing waste, fraud, and abuse;
``(5) the progress made by the Federal Government in ending the 
affordable housing and homelessness crises;
``(6) the capacity of the Department to deliver on its statutory 
mission; and
``(7) other ongoing activities of the Department, as appropriate.''.

SEC. 702. FHA REPORTING REQUIREMENTS ON SAFETY AND SOUNDNESS.

Section 202(a) of the National Housing Act (12 U.S.C. 1708(a)) is amended by 
adding at the end the following:
``(8) Other required reporting.--The Secretary shall--
``(A) submit to Congress monthly reports on the capital 
ratio required under section 205(f)(2); and
``(B) notify Congress as soon as practicable after the Fund 
falls below the capital ratio required under section 
205(f)(2).''.

SEC. 703. UNITED STATES INTERAGENCY COUNCIL ON HOMELESSNESS OVERSIGHT.

Section 203(a) of the McKinney-Vento Homeless Assistance Act (42 U.S.C. 
11313(a)) is amended--
(1) in paragraph (1)--
(A) by striking ``Homeless Emergency Assistance and Rapid 
Transition to Housing Act of 2009'' and inserting ``21st Century 
ROAD to Housing Act''; and
(B) by striking ``update such plan annually'' and inserting 
``submit to the President and Congress a report every year 
thereafter that includes--
``(A) the status of completion of the plan; and
``(B) any modifications that were made to the plan and the 
reasons for those modifications;'';
(2) by redesignating paragraphs (10) through (13) as paragraphs (11) 
through (14), respectively;
(3) by redesignating the second paragraph (9) (relating to 
collecting and disseminating information) as paragraph (10);
(4) in paragraph (13), as so redesignated, by striking ``and'' at 
the end;
(5) in paragraph (14), as so redesignated, by striking the period at 
the end and inserting ``; and''; and
(6) by adding at the end the following:
``(15) testify annually before Congress, if requested.''.

SEC. 704. APPRAISAL MODERNIZATION ACT.

(a) Reconsideration of Value.--
(1) Federally backed mortgage loan defined.--In this subsection, the 
term ``federally backed mortgage loan'' has the meaning given the term 
in section 4022 of the CARES Act (15 U.S.C. 9056).
(2) Requirement.--The Secretary of Agriculture, the Secretary of 
Veterans Affairs, the Commissioner of the Federal Housing 
Administration, and the Director of the Federal Housing Finance Agency 
shall each implement and maintain requirements that creditors of a 
federally backed mortgage loan have a review and resolution procedure 
for a consumer-initiated reconsideration of value or subsequent 
appraisal in connection with a consumer credit transaction secured by a 
consumer's principal dwelling.
(b) Public Appraisal Database.--
(1) Covered agencies defined.--In this subsection, the term 
``covered agencies'' means--
(A) the Federal Housing Finance Agency, on behalf of the 
Federal National Mortgage Association and the Federal Home Loan 
Mortgage Corporation;
(B) the Department of Housing and Urban Development, 
including the Federal Housing Administration;
(C) the Department of Agriculture; and
(D) the Department of Veterans Affairs.
(2) Feasibility report.--No later than 240 days after the date of 
enactment of this Act, the Comptroller General of the United States 
shall submit to Congress a public report assessing the feasibility of 
creating a publicly available appraisal database that consists of a 
searchable and downloadable appraisal-level public use file that 
consolidates appraisal data held or aggregated by covered agencies, 
including--
(A) the costs and benefits associated with establishing and 
maintaining the public database;
(B) the benefits and risks associated with the Federal 
Housing Finance Agency or the Bureau of Consumer Financial 
Protection being responsible for the public database and whether 
there is another Federal agency best suited for implementing and 
administering such database;
(C) any safety and soundness, antitrust, or consumer 
privacy-related risks associated with making certain appraisal 
data factors publicly available, including whether--
(i) there are any existing legal requirements, 
including under the Home Mortgage Disclosure Act of 1975 
(12 U.S.C. 2801 et seq.) and section 552 of title 5, 
United States Code (commonly known as the ``Freedom of 
Information Act''), or additional actions Federal 
agencies could take to mitigate such risks, such as 
modifying or aggregating data or eliminating personally 
identifiable information; and
(ii) there are any data factors that, if made 
public, may violate conduct, ethics, or other 
professional standards as they relate to appraisals and 
appraisal or valuation professionals;
(D) the feasibility of consolidating or matching appraisal 
data held by covered agencies with corresponding data that are 
required and made public under the Home Mortgage Disclosure Act 
of 1975 (12 U.S.C. 2801 et seq.);
(E) whether the publication of any appraisal data factors 
may pose unfair business advantages within the valuation 
industry;
(F) the feasibility of including all valuation data held by 
covered agencies, including data produced by automated valuation 
models;
(G) the feasibility and benefits of making the full 
appraisal dataset, including any modified fields, available to--
(i) Federal agencies, including for purposes related 
to enforcement and supervision responsibilities;
(ii) relevant State licensing, supervision, and 
enforcement agencies and State attorneys general;
(iii) approved researchers, including academics and 
nonprofit organizations that, in connection with their 
mission, work to ensure the fairness and consistency of 
home valuations, including appraisals; and
(iv) any other entities identified by the 
Comptroller General as having a compelling use for 
disaggregated data;
(H) what appraisal data are already available in the public 
domain; and
(I) the feasibility of incorporating legacy data held by 
covered agencies during the period beginning on January 1, 2017, 
and ending on the date of enactment of this Act, and whether 
there are specific data points not easily consolidated or 
matched, as described in subparagraph (D), with more recent 
data.
(3) Purpose.--The database described in paragraph (2) shall be used 
to provide the public, the Federal Government, and State governments 
with residential real estate appraisal data to help determine whether 
financial institutions, appraisal management companies, appraisers, 
valuation technologies, such as automated valuation models, and other 
valuation professionals are effectively serving the entire housing 
market.
(4) Consultation.--As part of the information used in the report 
required under paragraph (2), the Comptroller General of the United 
States shall conduct interviews with--
(A) relevant Federal agencies;
(B) relevant State licensing, supervision, and enforcement 
agencies and State attorneys general;
(C) appraisers and other home valuation industry 
professionals;
(D) mortgage lending institutions;
(E) fair housing and fair lending experts; and
(F) any other relevant stakeholders as determined by the 
Comptroller General.
(5) Hearing.--Upon the completion of the report under paragraph (2), 
the Committee on Banking, Housing, and Urban Affairs of the Senate and 
the Committee on Financial Services of the House of Representatives 
shall each hold a hearing on the findings of the report and the 
feasibility of establishing a public appraisal-level appraisal database.

TITLE VIII--ACCOUNTABILITY, COORDINATION, STUDIES, AND REPORTING

SEC. 801. HUD-USDA-VA INTERAGENCY COORDINATION ACT.

(a) Memorandum of Understanding.--The Secretary of Housing and Urban 
Development, the Secretary of Agriculture, and the Secretary of Veterans Affairs 
shall establish a memorandum of understanding, or other appropriate interagency 
agreement, to share relevant housing-related research and market data that 
facilitate evidence-based policymaking.
(b) Interagency Report.--
(1) Report.--Not later than 180 days after the date of enactment of 
this Act, the Secretary of Housing and Urban Development, the Secretary 
of Agriculture, and the Secretary of Veterans Affairs shall jointly 
submit to the Committee on Banking, Housing, and Urban Affairs of the 
Senate and the Committee on Financial Services of the House of 
Representatives a report containing--
(A) a description of opportunities for increased 
collaboration between the Secretary of Housing and Urban 
Development, the Secretary of Agriculture, and the Secretary of 
Veterans Affairs to reduce inefficiencies in housing programs;
(B) a list of Federal laws (including regulations) that 
adversely affect the availability and affordability of new 
construction of assisted housing and single-family and 
multifamily residential housing subject to mortgages insured 
under title II of the National Housing Act (12 U.S.C. 1707 et 
seq.), insured, guaranteed, or made by the Secretary of 
Agriculture under title V of the Housing Act of 1949 (42 U.S.C. 
1471 et seq.), or insured, guaranteed, or made by the Secretary 
of Veterans Affairs under chapter 37 of title 38, United States 
Code; and
(C) recommendations for Congress regarding the Federal laws 
(including regulations) described in subparagraph (B).
(2) Publication.--The report required under paragraph (1) shall, 
prior to submission under this subsection, be published in the Federal 
Register and open for comment for a period of 30 days.

SEC. 802. STREAMLINING RURAL HOUSING ACT.

(a) In General.--Not later than 180 days after the date of enactment of this 
Act, the Secretary of Housing and Urban Development and the Secretary of 
Agriculture shall enter into a memorandum of understanding to--
(1) evaluate categorical exclusions under the environmental review 
process for housing projects funded by amounts from the Department of 
Housing and Urban Development and the Department of Agriculture;
(2) develop a process to designate a lead agency and streamline 
adoption of environmental impact statements and environmental 
assessments approved by the other Department to construct housing 
projects funded by both agencies;
(3) maintain compliance with environmental regulations under part 58 
of title 24, Code of Federal Regulations, as in effect on January 1, 
2025, except as required to amend, add, or remove categorical exclusions 
identified under section 58.35 of title 24, Code of Federal Regulations, 
through standard rulemaking procedures; and
(4) evaluate the feasibility of a joint physical inspection process 
for housing projects funded by amounts from the Department of Housing 
and Urban Development and the Department of Agriculture.
(b) Report.--Not later than 1 year after the date of enactment of this Act, 
the Secretary of Housing and Urban Development and the Secretary of Agriculture 
shall submit to the Committee on Banking, Housing, and Urban Affairs of the 
Senate and the Committee on Financial Services of the House of Representatives a 
report that includes recommendations for legislative, regulatory, or 
administrative actions--
(1) to improve the efficiency and effectiveness of housing projects 
funded by amounts from the Department of Housing and Urban Development 
and the Department of Agriculture; and
(2) that do not materially, with respect to residents of housing 
projects described in paragraph (1)--
(A) reduce the safety of those residents;
(B) shift long-term costs onto those residents; or
(C) undermine the environmental standards of those 
residents.

SEC. 803. IMPROVING SELF-SUFFICIENCY OF FAMILIES IN HUD-SUBSIDIZED HOUSING.

(a) In General.--
(1) Study.--Subject to subsection (b), the Secretary of Housing and 
Urban Development shall conduct a study on the implementation of work 
requirements implemented prior to the date of enactment of this Act by 
public housing agencies described in paragraph (4) participating in the 
Moving to Work demonstration authorized under section 204 of the 
Departments of Veterans Affairs and Housing and Urban Development, and 
Independent Agencies Appropriations Act, 1996 (42 U.S.C. 1437f note).
(2) Scope.--The study required under paragraph (1) shall--
(A) consider the short-, medium-, and long-term benefits and 
challenges of work requirements on public housing agencies 
described in paragraph (4) and on program participants who are 
subject to such requirements, including the effects work 
requirements have on homelessness rates, poverty rates, asset 
building, earnings growth, job attainment and retention, and 
public housing agencies' administrative capacity; and
(B) include quantitative and qualitative evidence, including 
interviews with program participants described in subparagraph 
(A) and their respective resident councils.
(3) Report.--Not later than 1 year after the date of enactment of 
this Act, the Secretary shall submit to the Committee on Banking, 
Housing, and Urban Affairs of the Senate and the Committee on Financial 
Services of the House of Representatives a report on the initial 
findings of the study required under paragraph (1).
(4) Public housing agencies described.--The public housing agencies 
described in this paragraph are public housing agencies that, as part of 
an application to participate in the demonstration authorized under 
section 204 of the Departments of Veterans Affairs and Housing and Urban 
Development, and Independent Agencies Appropriations Act, 1996 (42 
U.S.C. 1437f note), submit a proposal identifying work requirements as 
an innovative proposal.
(b) Determination.--The requirement under subsection (a) shall apply if the 
Secretary of Housing and Urban Development determines that--
(1) there are a sufficient number of public housing agencies 
described in subsection (a)(4) such that the Secretary of Housing and 
Urban Development can rigorously evaluate the impact of the 
implementation of work requirements described in that subsection; and
(2) the study would not negatively impact low-income families 
receiving assistance through a public housing agency described in 
subsection (a)(4).

SEC. 804. GAO STUDIES.

(a) Workforce Housing Study.--
(1) Middle-income household defined.--In this subsection, the term 
``middle-income household'' means a household with an income above 80 
percent but that does not exceed 120 percent of the median family income 
of the area, as determined by the Secretary of Housing and Urban 
Development with adjustments for smaller and larger families.
(2) Study.--Not later than 1 year after the date of enactment of 
this Act, the Comptroller General of the United States shall conduct a 
study and submit to Congress a report that--
(A) identifies obstacles middle-income households face when 
looking to secure affordable housing;
(B) identifies geographic areas where housing is the most 
unaffordable and unavailable for middle-income households;
(C) includes a list of Federal housing programs, including 
Federal tax credits, grants, and loan programs, that are not 
available to middle-income households due to their income 
status, including Federal housing programs designed to promote 
affordability;
(D) recommends income and other parameters to establish a 
clear and consistent Federal definition for the term ``workforce 
housing'' for use when describing the segment of housing that 
could be made available to those middle-income households in 
Federal housing programs if funding commensurate with the 
additional eligibility were to be made available; and
(E) analyzes how to modify or newly develop new Federal 
housing programs and incentives to include ``workforce housing'' 
if funding commensurate with the additional eligibility were to 
be made available.
(b) Housing for Elderly or Disabled.--Not later than 1 year after the date 
of enactment of this Act, the Comptroller General of the United States shall 
carry out a study and submit to Congress a report that identifies options to 
remove barriers and improve housing for persons who are elderly or disabled, 
including any potential impacts of providing capital advances for--
(1) the program for supportive housing for the elderly under section 
202 of the Housing Act of 1959 (12 U.S.C. 1701q); and
(2) the program for supportive housing for persons with disabilities 
under section 811 of the Cranston-Gonzalez National Affordable Housing 
Act (42 U.S.C. 8013).
(c) Proximity of Housing to Superfund Sites.--Not later than 1 year after 
the date of enactment of this Act, the Comptroller General of the United States 
shall carry out a study and submit to Congress a report that identifies how many 
residential dwelling units, and how many dwelling units that are a part of 
public housing (as defined in section 3(b) of the United States Housing Act of 
1937 (42 U.S.C. 1437a(b))), are located less than 1 mile from a site that is 
included on the National Priorities List established pursuant to section 105 of 
the Comprehensive Environmental Response, Compensation, and Liability Act of 
1980 (42 U.S.C. 9605).
(d) Residential Heirs Property.--Not later than 1 year after the date of 
enactment of this Act, the Comptroller General of the United States shall carry 
out a study and submit to the Committee on Banking, Housing, and Urban Affairs 
of the Senate and the Committee on Financial Services of the House of 
Representatives a report that--
(1) establishes a comprehensive definition of residential heirs 
property, or family land inherited without a will or legal documentation 
of ownership;
(2) examines the occurrence of and consequences to owners of 
residential heirs property, and provides an estimate regarding the 
number of current residential heirs properties;
(3) describes the objectives and requirements of the Uniform 
Partition of Heirs Property Act as approved by the National Conference 
of Commissioners on Uniform State Laws in 2010;
(4) details the various resources that may be available to the 
owners of residential heirs properties, including housing counseling, 
legal services, and financial assistance to resolve residential heirs 
property title issues from the Federal Government, nonprofit 
organizations, and institutions of higher education; and
(5) makes recommendations with respect to how to reduce the number 
of residential heirs properties, including--
(A) by incentivizing States and other jurisdictions which 
enact or adopt the Uniform Partition of Heirs Property Act or 
similar such reforms;
(B) by awarding grants to States and other jurisdictions to 
assist residents of those States and jurisdictions to establish 
and document property ownership rights or settle a decedent's 
estate;
(C) by awarding grants to entities that--
(i) provide housing counseling, legal assistance, 
and financial assistance to home-owners and their heirs 
relating to title clearing and home retention efforts of 
heirs' property; and
(ii) target services to low- and moderate-income 
persons or provide services in neighborhoods that have a 
high concentration of low- and moderate-income persons; 
and
(D) by conducting other activities that assist individuals 
to clear title with respect to heirs' property and with general 
estate planning.

SEC. 805. IMPROVING PUBLIC HOUSING AGENCY ACCOUNTABILITY.

(a) In General.--The Secretary shall require each covered public housing 
agency to provide a notice each year to the Secretary that--
(1) indicates that if a receiver or Federal monitor remains 
appointed for the covered public housing agency as of October 1 of the 
calendar year to which such notice relates;
(2) provides the date on which the receiver or Federal monitor was 
first appointed and the projected date, if known, the appointment of the 
receiver or Federal monitor will be terminated; and
(3) identifies the current receiver or Federal monitor appointed to 
oversee the public housing agency.
(b) Federal Monitor and Receiver Transparency.--
(1) Notwithstanding any other provision of law, not later than 
October 1 of each year, each receiver or Federal monitor that is 
currently appointed to oversee a covered public housing agency shall 
provide to the Committee on Financial Services of the House of 
Representatives and the Committee on Banking, Housing, and Urban Affairs 
of the Senate a written assessment that--
(A) describes the management and oversight activities of the 
receiver or Federal monitor for the covered public housing 
agency;
(B) identifies the significant factors that led to the 
appointment of the receiver or Federal monitor for the covered 
public housing agency;
(C) identifies the factors that remain unresolved at the 
covered public housing agency that have led to the continued 
oversight of the receiver or Federal monitor; and
(D) includes a timeline developed by the receiver or Federal 
monitor that projects when the factors identified under 
subparagraphs (B) and (C) will be resolved.
(2) In addition to the written assessment required in paragraph (1), 
upon written request by the Committee on Financial Services of the House 
of Representatives or the Committee on Banking, Housing, and Urban 
Affairs of the Senate, each receiver or Federal monitor appointed to 
oversee a covered public housing agency shall promptly furnish 
additional or supplemental information requested by the Committee on 
Financial Services of the House of Representatives or the Committee on 
Banking, Housing, and Urban Affairs of the Senate with respect to the 
covered public housing agency which such receiver or Federal monitor is 
appointed to oversee, including presenting testimony upon request.
(c) Disclosure Required.--The Secretary shall, not later than 1 year after 
the date of the enactment of this section, require each covered public housing 
agency to publicly disclose, on the website of the covered public housing 
agency, with respect to each contract entered into by such covered public 
housing agency in the preceding year, the following information:
(1) All material information about the contract, including the goods 
and service provided.
(2) The identity of the vendor selected to receive the contract.
(3) The date of the solicitation of the contract.
(4) The relevant information pertaining to the bids and quotes 
solicited for the contract.
(5) The name of the official who solicited the contract.
(d) Inspector General Review.--Not later than 180 days after receiving a 
written request from the Committee on Financial Services of the House of 
Representatives or the Committee on Banking, Housing, and Urban Affairs of the 
Senate, the Inspector General shall provide to the requesting committee an 
analysis of--
(1) the status of any covered public housing agency's compliance 
with any agreements entered into between the covered public housing 
agency and the Department of Housing and Urban Development, including 
specific areas of deficiency and progress toward compliance;
(2) a review of actions taken by the receiver or Federal monitor 
appointed to oversee a covered public housing agency and any private 
sector housing development partners pursuant to such agreement, 
including any gaps in oversight by the receiver or Federal monitor;
(3) an assessment of the physical conditions of housing provided by 
the covered public housing agency, including the status of the covered 
public housing agency's compliance with relevant health and safety 
requirements;
(4) an examination of any allegations of waste, fraud, abuse or 
violations of Federal law committed by employees or contractors of the 
covered public housing agency;
(5) any additional pertinent information, as determined necessary 
and appropriate by the inspector general; and
(6) any recommendations of the inspector general that relate to how 
to improve the compliance of the covered public housing agency with any 
agreements entered into with the Department of Housing and Urban 
Development or enhance the oversight of the receiver or Federal monitor 
over such covered public housing agency.
(e) Definitions.--
(1) Covered public housing agency.--The term ``covered public 
housing agency'' means a public housing agency (as such term is defined 
in section 3(b) of the United States Housing Act of 1937 (42 U.S.C. 
1437a(b))) for which an administrative or judicial receiver or Federal 
monitor was appointed.
(2) Inspector general.--The term ``inspector general'' means the 
inspector general of the Department of Housing and Urban Development.
(3) Secretary.--The term ``Secretary'' means the Secretary of 
Housing and Urban Development.

TITLE IX--STRENGTHENING COMMUNITY BANKS' ROLE IN HOUSING

SEC. 901. COMMUNITY BANK DEPOSIT ACCESS.

(a) In General.--Section 29 of the Federal Deposit Insurance Act (12 U.S.C. 
1831f) is amended by adding at the end the following:
``(j) Limited Exception for Custodial Deposits.--
``(1) In general.--Custodial deposits of an eligible institution 
shall not be considered to be funds obtained, directly or indirectly, by 
or through a deposit broker to the extent that the total amount of such 
custodial deposits does not exceed an amount equal to 20 percent of the 
total liabilities of the eligible institution.
``(2) Definitions.--In this subsection:
``(A) Custodial deposit.--The term `custodial deposit' means 
a deposit that is not deposited at an insured depository 
institution in return for fees paid by the insured depository 
institution pursuant to an agreement with a third party and that 
would otherwise be considered to be obtained, directly or 
indirectly, by or through a deposit broker, if the deposit is 
deposited at 1 or more insured depository institutions, for the 
purpose of providing or maintaining deposit insurance for the 
benefit of a third party, by or through any of the following, 
each acting in a formal custodial or fiduciary capacity for the 
benefit of a third party:
``(i) An insured depository institution serving as 
agent, trustee, or custodian.
``(ii) A trust entity controlled by an insured 
depository institution serving as agent, trustee, or 
custodian.
``(iii) A State-chartered trust company serving as 
agent, trustee, or custodian.
``(iv) A plan administrator or investment advisor, 
acting in a formal custodial or fiduciary capacity for 
the benefit of a plan.
``(B) Eligible institution.--The term `eligible institution' 
means an insured depository institution that accepts custodial 
deposits, if the insured depository institution has less than 
$10,000,000,000 in total assets as reported on the consolidated 
report of condition and income as reported quarterly to the 
appropriate Federal banking agency and--
``(i)(I) when most recently examined under section 
10(d) was assigned a composite rating of 1, 2, or 3 
under the Uniform Financial Institutions Rating System 
(or an equivalent rating under a comparable rating 
system); and
``(II) is well capitalized; or
``(ii) has obtained a waiver pursuant to subsection 
(c).
``(C) Plan.--The term `plan' has the meaning given the term 
in section 3 of the Employee Retirement Income Security Act of 
1974 (29 U.S.C. 1002).
``(D) Plan administrator.--The term `plan administrator' has 
the meaning given the term `administrator' in section 3 of the 
Employee Retirement Income Security Act of 1974 (29 U.S.C. 
1002).
``(E) Well capitalized.--The term `well capitalized' has the 
meaning given the term in section 38(b).''.
(b) Interest Rate Restriction.--Section 29 of the Federal Deposit Insurance 
Act (12 U.S.C. 1831f), as amended by subsection (a), is further amended by 
adding at the end the following:
``(k) Restriction on Interest Rate Paid on Certain Custodial Deposits.--
``(1) Definitions.--In this subsection--
``(A) the terms `custodial deposit', `eligible institution', 
and `well capitalized' have the meanings given those terms in 
subsection (j); and
``(B) the term `covered insured depository institution' 
means an insured depository institution that while acting as an 
eligible institution under subsection (j), accepts custodial 
deposits while not well capitalized.
``(2) Prohibition.--A covered insured depository institution may not 
pay a rate of interest on custodial deposits that are accepted while not 
well capitalized that, at the time the funds or custodial deposits are 
accepted, significantly exceeds the limit set forth in paragraph (3).
``(3) Limit on interest rates.--The limit on the rate of interest 
referred to in paragraph (2) shall be not greater than--
``(A) the rate paid on deposits of similar maturity in the 
normal market area of the covered insured depository institution 
for deposits accepted in the normal market area of the covered 
insured depository institution; or
``(B) the national rate paid on deposits of comparable 
maturity, as established by the Corporation, for deposits 
accepted outside the normal market area of the covered insured 
depository institution.''.

SEC. 902. KEEPING DEPOSITS LOCAL.

(a) Amount of Reciprocal Deposits That Are Not Considered to Be Funds 
Obtained by or Through a Deposit Broker.--Section 29(i) of the Federal Deposit 
Insurance Act (12 U.S.C. 1831f(i)) is amended by striking paragraph (1) and 
inserting the following:
``(1) In general.--The sum of the following amounts of reciprocal 
deposits of an agent institution shall not be considered to be funds 
obtained, directly or indirectly, by or through a deposit broker:
``(A) An amount equal to 50 percent of the portion of the 
total liabilities of the agent institution that is less than or 
equal to $1,000,000,000.
``(B) An amount equal to 40 percent of the portion, if any, 
of the total liabilities of the agent institution that is 
greater than $1,000,000,000, but less than or equal to 
$10,000,000,000.
``(C) An amount equal to 30 percent of the portion, if any, 
of the total liabilities of the agent institution that is 
greater than $10,000,000,000, but less than or equal to 
$250,000,000,000.''.
(b) Definition of Agent Institution.--Section 29(i)(2)(A)(i) of the Federal 
Deposit Insurance Act (12 U.S.C. 1831f(i)(2)(A)(i)) is amended by striking 
subclause (I) and inserting the following:
``(I) when most recently examined under section 10(d) was 
assigned a CAMELS rating of 1, 2, or 3 under the Uniform 
Financial Institutions Rating System (or an equivalent rating 
under a comparable rating system); and''.
(c) Reciprocal Deposits Study.--
(1) In general.--The Federal Deposit Insurance Corporation, in 
consultation with the Board of Governors of the Federal Reserve System, 
shall carry out a study on reciprocal deposits.
(2) Contents.--The study required under paragraph (1) shall 
include--
(A) an analysis of how reciprocal deposits have performed 
since 2018, which shall include--
(i) the use of quantitative and qualitative data;
(ii) a breakdown of the usage of reciprocal deposits 
by size of insured depository institution;
(iii) the usage of reciprocal deposits during 
periods of stress; and
(iv) an analysis, to the extent practicable, of end-
user depositors, such as municipalities, businesses, and 
nonprofit organizations, that drive demand for 
reciprocal products;
(B) an analysis, to the extent practicable, of how 
reciprocal deposits compare to other deposit arrangements; and
(C) an analysis of the benefits and potential risks of 
reciprocal deposits.
(3) Report.--Not later than 6 months after the date of enactment of 
this Act, the Federal Deposit Insurance Corporation shall issue a report 
to the Committee on Financial Services of the House of Representatives 
and the Committee on Banking, Housing, and Urban Affairs of the Senate 
containing all findings and determinations made in carrying out the 
study required under paragraph (1).

SEC. 903. TAILORED REGULATORY UPDATES FOR SUPERVISORY TESTING.

Section 10(d) of the Federal Deposit Insurance Act (12 U.S.C. 1820(d)) is 
amended--
(1) in paragraph (4)(A), by striking ``$3,000,000,000'' and 
inserting ``$6,000,000,000''; and
(2) in paragraph (10), by striking ``$3,000,000,000'' and inserting 
``$6,000,000,000''.

SEC. 904. CREDIT UNION BOARD MODERNIZATION.

Section 113 of the Federal Credit Union Act (12 U.S.C. 1761b) is amended--
(1) by striking ``monthly'' each place such term appears;
(2) in the matter preceding paragraph (1), by striking ``The board 
of directors'' and inserting the following:
``(a) In General.--The board of directors'';
(3) in subsection (a) (as so designated), by striking ``shall meet 
at least once a month and''; and
(4) by adding at the end the following:
``(b) Meetings.--The board of directors of a Federal credit union shall meet 
as follows:
``(1) With respect to a de novo Federal credit union, not less 
frequently than monthly during each of the first five years of the 
existence of such Federal credit union.
``(2) Not less than six times annually, with at least one meeting 
held during each fiscal quarter, with respect to a Federal credit 
union--
``(A) with a composite rating of either 1 or 2 under the 
Uniform Financial Institutions Rating System (or an equivalent 
rating under a comparable rating system); and
``(B) with a capability of management rating under such 
composite rating of either 1 or 2.
``(3) Not less frequently than once a month, with respect to a 
Federal credit union--
``(A) with a composite rating of either 3, 4, or 5 under the 
Uniform Financial Institutions Rating System (or an equivalent 
rating under a comparable rating system); or
``(B) with a capability of management rating under such 
composite rating of either 3, 4, or 5.''.

SEC. 905. SYSTEMIC RISK AUTHORITY TRANSPARENCY.

(a) GAO Review.--Section 13(c)(4)(G)(iv) of the Federal Deposit Insurance 
Act (12 U.S.C. 1823(c)(4)(G)(iv)) is amended to read as follows:
``(iv) GAO review.--
``(I) In general.--The Comptroller General 
of the United States shall, not later than 60 
days after a determination is made under clause 
(i), and again 180 days thereafter, review and 
report to the Congress on the determination 
under clause (i), including--
``(aa) the basis for the 
determination;
``(bb) the purpose for which any 
action was taken pursuant to such 
clause;
``(cc) the likely effect of the 
determination and such action on the 
incentives and conduct of insured 
depository institutions and uninsured 
depositors;
``(dd) any mismanagement by the 
executives and board of the insured 
depository institution that contributed 
to the failure of the insured depository 
institution;
``(ee) a review of the compensation 
practices of the insured depository 
institution;
``(ff) any supervisory or regulatory 
shortcomings with respect to the 
appropriate Federal banking agency of 
the insured depository institution;
``(gg) any actions taken by the 
Federal banking regulators, Financial 
Stability Oversight Council, Department 
of the Treasury, and other relevant 
financial regulators in relation to the 
failure of the insured depository 
institution; and
``(hh) any additional relevant 
entities or activities that may have 
contributed to the failure of the 
insured depository institution, 
including with respect to auditing, 
accounting, credit rating agencies, 
investment bank underwriters, and 
emergency liquidity options such as 
loans from the Federal reserve banks or 
advances through the Federal Home Loan 
Bank system.
``(II) Rule of construction.--Nothing in 
this clause or a report issued pursuant to this 
clause may be construed to limit the authority 
of a Federal agency to enforce violations of 
Federal statutes, rules, or orders.''.
(b) Appropriate Federal Banking Agency Report.--Section 13(c) of the Federal 
Deposit Insurance Act (12 U.S.C. 1823(c)) is amended by adding at the end the 
following:
``(12) Appropriate federal banking agency report.--
``(A) In general.--The appropriate Federal banking agency of 
an insured depository institution about which a determination is 
made under paragraph (4)(G)(i) shall, not later than 90 days 
after the date of such determination, and again 210 days 
thereafter, submit a report to the Congress that discloses the 
following:
``(i) Subject to such redactions as the appropriate 
Federal banking agency determines appropriate to protect 
personally identifiable information about customers and 
other financial institutions (as such term is defined 
under section 11(e)(9)(D))--
``(I) all reports of examination and 
inspection that relate to the failed insured 
depository institution in the previous 3-year 
period;
``(II) all formal communications of a 
material supervisory determination conveyed to 
the failed insured depository institution in the 
previous 3-year period; and
``(III) any additional exam reports and 
correspondence that the appropriate Federal 
banking agency determines may be relevant to the 
failure of the insured depository institution.
``(ii) An examination of any mismanagement by the 
executives and board of the insured depository 
institution that contributed to the failure of the 
insured depository institution.
``(iii) Any supervisory or regulatory shortcomings 
by such appropriate Federal banking agency with respect 
to the insured depository institution.
``(iv) Any dynamics that the appropriate Federal 
banking agency determines may have contributed to the 
failure of the insured depository institution.
``(v) Any supervisory, regulatory, or legislative 
recommendations such appropriate Federal banking agency 
may have to improve the safety and soundness of 
similarly situated insured depository institutions, the 
banking system, and financial stability.
``(B) Protection of sensitive information.--
``(i) Effect on privilege.--The provision of any 
information by a Federal banking agency under this 
paragraph may not be construed as--
``(I) waiving, destroying, or otherwise 
affecting any privilege applicable to the 
information; or
``(II) waiving any exemption applicable to 
the information under section 552 of title 5, 
United States Code (commonly known as the 
`Freedom of Information Act').
``(ii) Transparency.--
``(I) In general.--A Federal banking agency 
shall publish materials contained in a report 
required under subparagraph (A) to the fullest 
extent possible to promote transparency.
``(II) Consultation on omitting materials.--
If a Federal banking agency determines 
particular materials described under subclause 
(I) should not be published, the Federal banking 
agency shall consult with the chair and ranking 
member of the Committee on Financial Services of 
the House of Representatives and the chair and 
ranking member of the Committee on Banking, 
Housing, and Urban Affairs of the Senate.
``(III) Omitting materials.--If, after the 
consultation required under subclause (II), the 
Federal banking agency determines there is a 
substantial public interest in not publishing 
such materials, the Federal banking agency shall 
provide those materials to the Committee on 
Financial Services of the House of 
Representatives and the Committee on Banking, 
Housing, and Urban Affairs of the Senate with a 
written explanation describing the reasons for 
not publishing those materials.
``(iii) Privilege.--For purposes of this 
subparagraph, the term `privilege' includes any work-
product, attorney-client, or other privilege recognized 
under Federal or State law.
``(C) Report extension.--A Federal banking agency may extend 
a deadline described under subparagraph (A) for an additional 60 
days, if the Federal banking agency--
``(i) faces ongoing circumstances that require the 
Federal banking agency to prioritize activities to 
promote stability of the United States banking system; 
and
``(ii) notifies the Congress of such extension and 
the reasons for such extension.
``(D) Consolidated reports.--A Federal banking agency may 
consolidate multiple reports required under this paragraph so 
long as the individual reports being consolidated all meet the 
timing requirements under this paragraph.
``(E) Rule of construction.--Nothing in this paragraph or 
reports or materials provided pursuant to this paragraph may be 
construed to limit the authority of a Federal agency to enforce 
violations of Federal statutes, rules, or orders.''.

SEC. 906. LEAST COST EXCEPTION.

(a) In General.--Section 13(c)(4) of the Federal Deposit Insurance Act (12 
U.S.C. 1823(c)(4)) is amended--
(1) in subparagraph (A)(ii), by inserting ``except as provided in 
subparagraph (I),'' before ``the total amount'';
(2) in subparagraph (E)(i), by inserting ``and except as provided in 
subparagraph (I),'' after ``appropriate,''; and
(3) by adding at the end the following:
``(I) Least cost resolution exception.--
``(i) In general.--With respect to an exercise of 
authority by the Corporation described in subparagraph 
(A), the Corporation may, at the discretion of the 
Corporation, select an alternative method of exercising 
such authority that is not the least costly to the 
Deposit Insurance Fund, if--
``(I) the Corporation determines that the 
selected alternative complies with the 
requirements of clause (iii); and
``(II) the Corporation and the Board of 
Governors of the Federal Reserve System, after 
consultation with the Secretary of the Treasury, 
determine that the potential additional risks to 
the Deposit Insurance Fund of the selected 
alternative are outweighed by the reasonably 
expected benefits of limiting further 
concentration of the United States banking 
system in global systemically important banking 
organizations.
``(ii) Maximum cost to the deposit insurance fund.--
Not later than 1 year after the date of enactment of 
this subparagraph, the Corporation, by rule, shall 
establish criteria for determining on a case-by-case 
basis the maximum allowable cost against the net worth 
of the Deposit Insurance Fund that may be utilized to 
account for any determination under clause (i).
``(iii) Requirements described.--The requirements 
for the selected alternative described in clause (i) are 
as follows:
``(I) The selected alternative is the least 
costly to the Deposit Insurance Fund of all 
alternatives that do not involve a transaction 
with a global systemically important banking 
organization and that do not exceed the cost of 
liquidating the insured depository institution.
``(II) The difference between the cost of 
the selected alternative and the cost of a 
covered alternative is less than or equal to the 
maximum cost to the Deposit Insurance Fund 
specified pursuant to the rule adopted under 
clause (ii).
``(III) In the case of a selected 
alternative that involves another person 
purchasing assets of the insured depository 
institution or assuming deposit liabilities of 
the insured depository institution, such person 
agrees to pay an assessment to the Corporation 
comprised of payments--
``(aa) made over a period to be 
determined by the Corporation, but which 
may not be less than 5 years; and
``(bb) in an amount that takes into 
account, on a case-by-case basis, 
criteria the Corporation, by rule, shall 
establish, including a realistic 
discount rate, the aggregate amount 
equal to the difference calculated in 
subclause (II), and any bid inconsistent 
with the purposes of this Act, with such 
rule to be established by the 
Corporation not later than 1 year after 
the date of enactment of this 
subparagraph.
``(iv) Report to congress.--Not later than 30 days 
after selecting an alternative described in clause (i), 
the Corporation shall issue a report to the Committee on 
Financial Services of the House of Representatives and 
the Committee on Banking, Housing, and Urban Affairs of 
the Senate containing an analysis of the economic 
difference between the cost to the Deposit Insurance 
Fund of the selected alternative and the cost to the 
Deposit Insurance Fund of the least costly alternative 
that would have been selected absent the application of 
this subparagraph.
``(v) Cost determinations.--All cost determinations 
required under this subparagraph shall be made in 
accordance with subparagraphs (B) and (C).
``(vi) Definitions.--In this subparagraph:
``(I) Covered alternative.--The term 
`covered alternative' means a method of 
exercising authority described in subparagraph 
(A) that is the least costly to the Deposit 
Insurance Fund of all such methods that involve 
a sale of all or substantially all assets of the 
insured depository institution to, and 
assumption of all or substantially all deposit 
liabilities of the insured depository 
institution by, a global systemically important 
banking organization.
``(II) Global systemically important banking 
organization.--The term `global systemically 
important banking organization' means a global 
systemically important BHC (as such term is 
defined in section 217.402 of title 12, Code of 
Federal Regulations, or any successor thereto) 
and any affiliate thereof.''.
(b) Rule of Construction.--Section 13(c)(4)(H) of the Federal Deposit 
Insurance Act (12 U.S.C. 1823(c)(4)(H)) does not apply to the amendments made by 
subsection (a).

SEC. 907. FAILING BANK ACQUISITION FAIRNESS.

(a) Concentration Limit Exceptions Only Available to Avoid Serious Adverse 
Economic or Financial Effects.--
(1) Concentration limits with respect to deposits.--
(A) Federal deposit insurance act.--The Federal Deposit 
Insurance Act (12 U.S.C. 1811 et seq.) is amended--
(i) in section 18(c)(13)--
(I) by amending subparagraph (B) to read as 
follows:
``(B) Subparagraph (A) shall not apply to an interstate 
merger transaction if--
``(i) such interstate merger transaction involves 1 
or more insured depository institutions in default or in 
danger of default and the responsible agency determines, 
based on clear and convincing evidence, that 
consummation of the proposed interstate merger 
transaction is necessary to prevent significant economic 
disruption or significant adverse effects on financial 
stability, and the Corporation has not received any 
qualified bid from a company that is not subject to the 
prohibition in subparagraph (A); or
``(ii) the Corporation provides assistance under 
section 13 to facilitate such interstate merger 
transaction and the responsible agency determines, based 
on clear and convincing evidence, that consummation of 
the proposed interstate merger transaction is necessary 
to prevent significant economic disruption or 
significant adverse effects on financial stability, and 
the Corporation has not received any qualified bid from 
a company that is not subject to the prohibition in 
subparagraph (A).''; and
(II) in subparagraph (C)--
(aa) in clause (i), by striking 
``and'' at the end;
(bb) in clause (ii), by striking the 
period at the end and inserting a 
semicolon; and
(cc) by adding at the end the 
following:
``(iii) the term `qualified bid' means an 
application, proposed application, or bid from a company 
where--
``(I) if applicable, the company, any 
affiliate insured depository institution, and 
any affiliate depository institution holding 
company are well capitalized and well managed, 
as of the date of the application, proposed 
application, or bid; and
``(II) upon consummation of the transaction, 
the resulting insured depository institution is 
well capitalized;
``(iv) the term `well capitalized'--
``(I) with respect to an insured depository 
institution, has the meaning given such term in 
section 38(b) of the Federal Deposit Insurance 
Act (12 U.S.C. 1831o(b));
``(II) with respect to a bank holding 
company, has the meaning given such term in 
section 2(o)(1)(B) of the Bank Holding Company 
Act of 1956 (12 U.S.C. 1841(o)(1)(B));
``(III) with respect to a savings and loan 
holding company, has the meaning given such term 
in section 238.2 of title 12, Code of Federal 
Regulations; and
``(IV) with respect to a company that is not 
an insured depository institution, bank holding 
company, or savings and loan holding company, 
means maintaining equity capital that the 
Corporation determines is commensurate with the 
capital maintained by an insured depository 
institution that is well capitalized; and
``(v) the term `well managed' has the meaning given 
such term in section 2(o)(9) of the Bank Holding Company 
Act of 1956 (12 U.S.C. 1841(o)(9)).''; and
(ii) in section 44, by amending subsection (e) to 
read as follows:
``(e) Exception for Banks in Default or in Danger of Default.--
``(1) General exception.--The responsible agency may, without regard 
to paragraph (1), (3), (4), or (5) of subsection (b) or paragraph (2), 
(4), or (5) of subsection (a), approve an application under subsection 
(a)(1) for approval of a merger transaction if--
``(A) the merger transaction involves 1 or more banks in 
default or in danger of default; or
``(B) the Corporation provides assistance under section 
13(c) to facilitate such merger transaction.
``(2) Concentration limit exception.--The responsible agency may, 
without regard to subsection (b)(2), approve an application under 
subsection (a)(1) for approval of a merger transaction if--
``(A) the merger transaction involves 1 or more banks in 
default or in danger of default and the responsible agency 
determines, based on clear and convincing evidence, that 
consummation of the proposed interstate merger transaction is 
necessary to prevent significant economic disruption or 
significant adverse effects on financial stability, and the 
Corporation has not received any qualified bid from another 
institution that is not subject to the prohibition in subsection 
(b)(2); or
``(B) the Corporation provides assistance under section 
13(c) to facilitate such merger transaction and the responsible 
agency determines, based on clear and convincing evidence, that 
consummation of the proposed interstate merger transaction is 
necessary to prevent significant economic disruption or 
significant adverse effects on financial stability, and the 
Corporation has not received any qualified bid from another 
institution that is not subject to the prohibition in subsection 
(b)(2).
``(3) Qualified bid defined.--In this subsection, the term 
`qualified bid' has the meaning given that term in section 
18(c)(13)(C).''.
(B) Bank holding company act of 1956.--The Bank Holding 
Company Act of 1956 (12 U.S.C. 1841 et seq.) is amended--
(i) in section 3(d), by amending paragraph (5) to 
read as follows:
``(5) Exception for banks in default or in danger of default.--
``(A) General exception.--The Board may, without regard to 
subparagraph (B) or (D) of paragraph (1) or paragraph (3), 
approve an application pursuant to paragraph (1)(A) if--
``(i) the application is for an acquisition of 1 or 
more banks in default or in danger of default; or
``(ii) the application is for an acquisition with 
respect to which assistance is provided under section 
13(c) of the Federal Deposit Insurance Act.
``(B) Concentration limit exception.--The Board may, without 
regard to paragraph (2), approve an application pursuant to 
paragraph (1)(A) if--
``(i) the application is for the acquisition of 1 or 
more banks in default or in danger of default and the 
Board determines, based on clear and convincing 
evidence, that consummation of the proposed acquisition 
is necessary to prevent significant economic disruption 
or significant adverse effects on financial stability, 
and the Corporation has not received any qualified bid 
from another institution that is not subject to the 
prohibition in paragraph (2); or
``(ii) the application is for an acquisition with 
respect to which assistance is provided under section 
13(c) of the Federal Deposit Insurance Act and the Board 
determines, based on clear and convincing evidence, that 
consummation of the proposed acquisition is necessary to 
prevent significant economic disruption or significant 
adverse effects on financial stability, and the 
Corporation has not received any qualified bid from 
another institution that is not subject to the 
prohibition in paragraph (2).
``(C) Qualified bid defined.--In this paragraph, the term 
`qualified bid' has the meaning given that term in section 
18(c)(13)(C) of the Federal Deposit Insurance Act.''; and
(ii) in section 4(i)(8), by amending subparagraph 
(B) to read as follows:
``(B) Exception.--Subparagraph (A) shall not apply to an 
acquisition if--
``(i) such acquisition involves an insured 
depository institution in default or in danger of 
default and the Board determines, based on clear and 
convincing evidence, that consummation of the proposed 
acquisition is necessary to prevent significant economic 
disruption or significant adverse effects on financial 
stability, and the Corporation has not received any 
qualified bid (as defined in section 18(c)(13)(C) of the 
Federal Deposit Insurance Act) from another institution 
that is not subject to the prohibition in paragraph (2); 
or
``(ii) the Federal Deposit Insurance Corporation 
provides assistance under section 13 of the Federal 
Deposit Insurance Act to facilitate such acquisition and 
the Board determines, based on clear and convincing 
evidence, that consummation of the proposed acquisition 
is necessary to prevent significant economic disruption 
or significant adverse effects on financial stability, 
and the Corporation has not received any qualified bid 
(as defined in section 18(c)(13)(C) of the Federal 
Deposit Insurance Act) from another institution that is 
not subject to the prohibition in paragraph (2).''.
(2) Concentration limit with respect to consolidated liabilities.--
Section 14(c) of the Bank Holding Company Act of 1956 (12 U.S.C. 
1852(c)) is amended--
(A) by redesignating paragraphs (1), (2), and (3) as 
subparagraphs (A), (B), and (C), respectively;
(B) by striking ``With the'' and inserting the following:
``(1) In general.--With the''; and
(C) by adding at the end the following:
``(2) Limitation.--The Board may provide written consent for an 
acquisition described in paragraph (1)(A) or in paragraph (1)(B) only if 
the Board determines, based on clear and convincing evidence, that 
consummation of the proposed acquisition is necessary to prevent 
significant economic disruption or significant adverse effects on 
financial stability, and the Corporation has not received any qualified 
bid (as defined in section 18(c)(13)(C) of the Federal Deposit Insurance 
Act) from another institution that is not subject to the prohibition in 
subsection (b).''.
(b) Congressional Notification and Justification for Waivers.--
(1) In general.--Whenever the Board of Governors of the Federal 
Reserve System, the Comptroller of the Currency, or the Federal Deposit 
Insurance Corporation waives a concentration limit under section 
18(c)(13)(B) or section 44(e) of the Federal Deposit Insurance Act or 
under section 3(d)(5), section 4(i)(8)(B), or section 14(c)(2) of the 
Bank Holding Company Act of 1956, in connection with the acquisition of 
a bank or insured depository institution in default or in danger of 
default, or in connection with an acquisition with respect to which the 
Federal Deposit Insurance Corporation provides assistance under section 
13 of the Federal Deposit Insurance Act, the waiving agency and the 
Federal Deposit Insurance Corporation, jointly, shall, not later than 30 
days after such waiver, submit a written report to the Committee on 
Financial Services of the House of Representatives and the Committee on 
Banking, Housing, and Urban Affairs of the Senate containing--
(A) a justification for the waiver, including an analysis of 
why it was necessary to prevent significant economic disruption 
or significant adverse effects on financial stability;
(B) a description of alternative bids or outcomes 
considered, including efforts to solicit and encourage bids from 
entities that would not require a waiver;
(C) an explanation of why alternative bids were not 
selected, if applicable; and
(D) any recommendations for legislative or regulatory 
changes to improve competition in future insured depository 
institution resolutions.
(2) Public disclosure.--The waiving agency submitting a report under 
paragraph (1) and the Federal Deposit Insurance Corporation shall make 
the report publicly available on their respective websites, subject to 
redactions for confidential supervisory information and any other 
information described under section 552(b) of title 5, United States 
Code.
(c) Limitation on Considering Bad Faith Bids in Least Cost Determination.--
Section 13(c)(4) of the Federal Deposit Insurance Act (12 U.S.C. 1823(c)(4)), as 
amended by section 906(a)(3), is further amended by adding at the end the 
following:
``(J) Limitation on considering bad faith bids.--In making a 
determination under this paragraph of whether an exercise of 
authority is the least costly to the Deposit Insurance Fund, the 
Corporation may not consider any application, proposed 
application, or bid from a company, if such application, 
proposed application, or bid would result in violation of--
``(i) section 18(c)(13) or 44(b)(2); or
``(ii) section 3(d)(2), 4(i)(8), or 14 of the Bank 
Holding Company Act of 1956.''.

SEC. 908. ADVANCING THE MENTOR-PROTEGE PROGRAM FOR SMALL FINANCIAL INSTITUTIONS.

Section 308 of the Financial Institutions Reform, Recovery, and Enforcement 
Act of 1989 (12 U.S.C. 1463 note) is amended by adding at the end the following 
new subsection:
``(d) Financial Agent Mentor-protege Program.--
``(1) In general.--The Secretary of the Treasury shall establish a 
program to be known as the `Financial Agent Mentor-Protege Program' (in 
this subsection referred to as the `Program') under which a financial 
agent designated by the Secretary or a large financial institution may 
serve as a mentor, under guidance or regulations prescribed by the 
Secretary, to a small financial institution to allow such small 
financial institution--
``(A) to be prepared to perform as a financial agent; or
``(B) to improve capacity to provide services to the 
customers of the small financial institution.
``(2) Outreach.--The Secretary shall hold outreach events to promote 
the participation of financial agents, large financial institutions, and 
small financial institutions in the Program at least once a year.
``(3) Exclusion.--The Secretary shall issue guidance or regulations 
to establish a process under which a financial agent, large financial 
institution, or small financial institution may be excluded from 
participation in the Program.
``(4) Report.--The Secretary shall report to Congress information 
pertaining to the Program, including--
``(A) the number of financial agents, large financial 
institutions, and small financial institutions participating in 
such Program; and
``(B) the number of outreach events described in paragraph 
(2) held during the year covered by such report.
``(5) Definitions.--In this subsection:
``(A) Financial agent.--The term `financial agent' means any 
national banking association designated by the Secretary of the 
Treasury to be employed as a financial agent of the Government.
``(B) Large financial institution.--The term `large 
financial institution' means any entity regulated by the 
Comptroller of the Currency, the Board of Governors of the 
Federal Reserve System, the Federal Deposit Insurance 
Corporation, or the National Credit Union Administration that 
has total consolidated assets greater than or equal to 
$50,000,000,000.
``(C) Rural depository institution.--The term `rural 
depository institution' means a depository institution (as 
defined in section 3 of the Federal Deposit Insurance Act)--
``(i) with total consolidated assets of less than 
$10,000,000,000; and
``(ii) located in a rural area, as defined under 
section 1026.35(b)(2)(iv)(A) of title 12, Code of 
Federal Regulations.
``(D) Small financial institution.--The term `small 
financial institution' means--
``(i) any entity regulated by the Comptroller of the 
Currency, the Board of Governors of the Federal Reserve 
System, the Federal Deposit Insurance Corporation, or 
the National Credit Union Administration that has total 
consolidated assets less than or equal to 
$2,000,000,000;
``(ii) a minority depository institution; or
``(iii) a rural depository institution.''.

SEC. 909. AMERICAN ACCESS TO BANKING.

(a) Streamlining Application Process and Review of Capital Raising by De 
Novo Regulated Institutions.--
(1) In general.--Each of the Federal financial institutions 
regulatory agencies shall--
(A) for the purpose of streamlining the process of applying 
to become a de novo regulated institution, conduct a review of 
any application forms related to such process;
(B) to the extent practicable, gather information needed 
from applicants seeking to become a de novo regulated 
institution from other Federal Government agencies or public 
sources to minimize information requests of such applicants; and
(C) in consultation with the Securities and Exchange 
Commission, review how de novo regulated institutions raise 
capital while maintaining investor protections, including the 
impact of--
(i) general capital raising restrictions; and
(ii) capital raising restrictions related to 
individuals who are not accredited investors.
(2) Report.--Not later than 1 year after the date of the enactment 
of this section, and annually for 5 years thereafter, each of the 
Federal financial institutions regulatory agencies shall submit to the 
Committee on Financial Services of the House of Representatives and the 
Committee on Banking, Housing, and Urban Affairs of the Senate and 
publish on a public website of such agency a report that contains--
(A) a description of the actions taken by such agency 
pursuant to paragraph (1); and
(B) as appropriate, any administrative or legislative 
recommendations with respect to the purpose described in 
paragraph (1)(C).
(b) Improving Communication With De Novo Regulated Institutions.--
(1) In general.--Each of the Federal financial institutions 
regulatory agencies shall, at the request of an applicant to become a de 
novo regulated institution, designate an employee of the agency as a 
caseworker, who may perform such duty in addition to the other duties of 
the employee.
(2) Caseworker duties.--Each caseworker described in paragraph (1) 
shall, to the maximum extent practicable--
(A) meet with the lead organizers applying to become a de 
novo regulated institution to provide a tutorial with respect to 
the application process; and
(B) be the primary point of contact of the respective 
Federal financial institutions regulatory agency for such 
organizers during the application process.
(3) New caseworker.--Each agency described in paragraph (1) may 
designate a new caseworker, as appropriate, to support continuity based 
on staffing and responsibilities assigned to the current caseworker.
(c) De Novo Mentor-protege Partnerships.--
(1) In general.--At the request of an institution that seeks to 
become a de novo regulated institution, each of the Federal financial 
institutions regulatory agencies shall, to the maximum extent 
practicable, provide a list to such institution of similar types of 
institutions that--
(A) were recently approved to become a de novo regulated 
institution; and
(B) are interested in volunteering to serve as a mentor to 
provide advice about the de novo application process.
(2) Mentorship information.--Not later than 1 year after the date of 
the enactment of this section, each of the Federal financial 
institutions regulatory agencies shall provide public information and 
directions on how an institution may request a mentor or serve as a 
mentor as described in paragraph (1).
(d) State and Stakeholder Engagement Plan.--
(1) In general.--Each of the Federal financial institutions 
regulatory agencies shall develop a plan to--
(A) regularly consult with State regulators to promote 
cooperation between State and Federal banking and credit union 
agencies in the creation of de novo regulated institutions, 
including responding to any State regulator that requests 
assistance on how a State-chartered financial institution can 
request Federal insurance;
(B) regularly consult with stakeholders, including 
applicants to become de novo regulated institutions and recently 
approved regulated institutions, to inform any reforms that may 
support the creation of de novo regulated institutions, 
including rural institutions, community development financial 
institutions, and minority depository institutions; and
(C) provide guidance, training material, and regular 
workshops to assist any interested parties to understand such 
agencies' processes.
(2) Submission to congress.--
(A) In general.--Not later than 2 years after the date of 
the enactment of this section, and every 5 years thereafter, 
each of the Federal financial institutions regulatory agencies 
shall submit to the Committee on Financial Services of the House 
of Representatives and the Committee on Banking, Housing, and 
Urban Affairs of the Senate the respective plan of such agency 
described in paragraph (1).
(B) Public comment.--With respect to developing the plan 
described in paragraph (1), each of the Federal financial 
institutions regulatory agencies shall--
(i) provide an opportunity for public comments; and
(ii) take such public comments into consideration.
(e) Definitions.--
(1) In general.--In this section:
(A) Federal banking agency.--The term ``Federal banking 
agency'' has the meaning given the term in section 3 of the 
Federal Deposit Insurance Act (12 U.S.C. 1813).
(B) Federal financial institutions regulatory agencies.--The 
term ``Federal financial institutions regulatory agencies'' has 
the meaning given the term in section 1003 of the Federal 
Financial Institutions Examination Council Act of 1978 (12 
U.S.C. 3302).
(C) Regulated institution.--The term ``regulated 
institution'' means--
(i) with respect to a Federal banking agency, a 
depository institution (as such term is defined in 
section 3 of the Federal Deposit Insurance Act (12 
U.S.C. 1813)) for which the Federal banking agency is 
the appropriate Federal banking agency (as such term is 
defined in such section 3); and
(ii) with respect to the National Credit Union 
Administration, an insured credit union (as such term is 
defined in section 101 of the Federal Credit Union Act 
(12 U.S.C. 1752)).
(D) State.--The term ``State'' means each of the several 
States, the District of Columbia, and each territory of the 
United States.
(E) State regulator.--The term ``State regulator'' means--
(i) with respect to a Federal banking agency, a 
State banking regulator; and
(ii) with respect to the National Credit Union 
Administration, the State regulatory agency having 
jurisdiction over a State credit union (as such term is 
defined in section 101 of the Federal Credit Union Act 
(12 U.S.C. 1752)).
(2) Rule of construction.--For purposes of this section, the process 
of applying to become a de novo regulated institution shall include the 
process of applying for Federal deposit insurance, Federal share 
insurance, or membership in the Federal Reserve System.

SEC. 910. PROMOTING NEW BANK FORMATION.

(a) Pilot Phase-in of Capital Standards.--The Federal banking agencies may 
issue rules that provide for a 2-year phase-in period for a qualifying community 
bank or its depository institution holding company to meet any Federal capital 
requirements that would otherwise be applicable to the qualifying community bank 
or its depository institution holding company, beginning on--
(1) the date on which the qualifying community bank became an 
insured depository institution; or
(2) in the case of its depository institution holding company, the 
date on which the qualifying community bank of the depository 
institution holding company became an insured depository institution.
(b) Pilot Changes to Business Plans.--
(1) In general.--During the 2-year period beginning on the date on 
which a qualifying community bank became an insured depository 
institution, the qualifying community bank or its depository institution 
holding company may request to deviate from a business plan that has 
been approved by the appropriate Federal banking agency by submitting a 
request to such agency pursuant to this section.
(2) Review of changes.--The appropriate Federal banking agency 
shall, not later than the end of the 90-day period beginning on the 
receipt of a request under paragraph (1)--
(A) approve, conditionally approve, or deny such request; 
and
(B) notify the applicant of such decision and, if the agency 
denies the request--
(i) provide the applicant with the reason for such 
denial; and
(ii) suggest changes to the request that, if 
adopted, would allow the agency to approve such request.
(3) Result of failure to act.--If the appropriate Federal banking 
agency fails to approve or deny a request within the 90-day period 
required under paragraph (2), such request shall be deemed to be 
approved.
(c) Pilot Program Study.--
(1) Study.--The Federal banking agencies shall, jointly, carry out a 
study on the impact of the Pilot Program carried out pursuant to 
subsections (a) and (b) of this section on the formation of de novo 
insured depository institutions, including such institutions which are 
rural depository institutions, community development financial 
institutions, and minority depository institutions, taking into account 
safety and soundness, promoting competition, and expanding access to 
affordable financial products and services to underserved communities.
(2) Report to congress.--Not later than December 31, 2031, the 
Federal banking agencies shall, jointly, issue a report to the Committee 
on Financial Services of the House of Representatives and the Committee 
on Banking, Housing, and Urban Affairs of the Senate containing all 
findings and determinations made in carrying out the study required 
under paragraph (1).
(d) Study on De Novo Insured Depository Institutions.--
(1) Study.--The Federal banking agencies shall, jointly, carry out a 
study on--
(A) the principal causes for the low number of de novo 
insured depository institutions in the 10-year period ending on 
the date of enactment of this subsection;
(B) ways to promote more de novo insured depository 
institutions in areas currently underserved by insured 
depository institutions; and
(C) ways to ensure de novo depository institutions, 
including institutions which are rural depository institutions, 
community development financial institutions, and minority 
depository institutions, can utilize the Community Bank Leverage 
Ratio.
(2) Report to congress.--Not later than the end of the 1-year period 
beginning on the date of enactment of this Act, the Federal banking 
agencies shall, jointly, issue a report to the Committee on Financial 
Services of the House of Representatives and the Committee on Banking, 
Housing, and Urban Affairs of the Senate containing all findings and 
determinations made in carrying out the study required under paragraph 
(1).
(e) Definitions.--In this section:
(1) Appropriate federal banking agency.--The term ``appropriate 
Federal banking agency'' has the meaning given the term in section 3 of 
the Federal Deposit Insurance Act (12 U.S.C. 1813).
(2) Depository institution.--The term ``depository institution'' has 
the meaning given the term in section 3 of the Federal Deposit Insurance 
Act (12 U.S.C. 1813).
(3) Depository institution holding company.--The term ``depository 
institution holding company'' has the meaning given the term in section 
3 of the Federal Deposit Insurance Act (12 U.S.C. 1813).
(4) Federal banking agency.--The term ``Federal banking agency'' has 
the meaning given the term in section 3 of the Federal Deposit Insurance 
Act (12 U.S.C. 1813).
(5) Insured depository institution.--The term ``insured depository 
institution'' has the meaning given the term in section 3 of the Federal 
Deposit Insurance Act (12 U.S.C. 1813).
(6) Qualifying community bank.--The term ``qualifying community 
bank'' means a depository institution that--
(A) including its holding company and all of its 
subsidiaries and affiliates, has total combined assets of less 
than $10,000,000,000; and
(B) became an insured depository institution between January 
1, 2026, and December 31, 2028.

SEC. 911. RURAL DEPOSITORIES REVITALIZATION STUDY.

(a) Study.--The Federal banking agencies shall, jointly, carry out a study--
(1) to identify methods to improve the growth, capital adequacy, and 
profitability of depository institutions in the United States that 
primarily serve rural areas; and
(2) to identify Federal statutes (other than appropriations Acts) or 
regulations of the Federal banking agencies that limit--
(A) the methods identified under paragraph (1); or
(B) the establishment of de novo depository institutions in 
rural areas.
(b) Report.--Not later than 1 year after the date of enactment of this Act, 
the Federal banking agencies shall, jointly, issue a report to Congress 
containing all findings and determinations made in carrying out the study 
required under subsection (a).
(c) Study on Rural Credit Unions.--The National Credit Union Administration 
shall carry out a study--
(1) to identify methods to improve the growth, capital adequacy, and 
profitability of credit unions in the United States that primarily serve 
rural areas; and
(2) to identify Federal statutes (other than appropriations Acts) or 
regulations of the National Credit Union Administration that limit--
(A) the methods identified under paragraph (1); or
(B) the establishment of de novo credit unions in rural 
areas.
(d) Report on Rural Credit Unions.--Not later than 1 year after the date of 
enactment of this Act, the National Credit Union Administration shall issue a 
report to Congress containing all findings and determinations made in carrying 
out the study required under subsection (c).
(e) Definitions.--In this section:
(1) Depository institution.--The term ``depository institution'' has 
the meaning given that term in section 3 of the Federal Deposit 
Insurance Act (12 U.S.C. 1813).
(2) Federal banking agencies.--The term ``Federal banking agencies'' 
means the Board of Governors of the Federal Reserve System, the 
Comptroller of the Currency, and the Federal Deposit Insurance 
Corporation.
(3) Rural.--With respect to an area, the term ``rural'' has the 
meaning given that term in section 1026.35(b)(2)(iv)(A) of title 12, 
Code of Federal Regulations.

SEC. 912. DISCRETIONARY SURPLUS FUND.

(a) In General.--The dollar amount specified under section 7(a)(3)(A) of the 
Federal Reserve Act (12 U.S.C. 289(a)(3)(A)) is reduced by $115,000,000.
(b) Effective Date.--The amendment made by subsection (a) shall take effect 
on September 30, 2035.

TITLE X--HOME-OWNERSHIP FOR MAIN STREET AMERICA

SEC. 1001. HOMES ARE FOR PEOPLE, NOT CORPORATIONS.

(a) Definitions.--In this section:
(1) Consumer reporting agency.--The term ``consumer reporting 
agency'' has the meaning given the term in section 603 of the Fair 
Credit Reporting Act (15 U.S.C. 1681a)).
(2) Excepted purchase.--The term ``excepted purchase'' means any 
purchase of a single-family home that is--
(A) newly constructed, renovated, or a rental conversion for 
sale by a large institutional investor and not as a residence 
rented pending sale;
(B) pursuant to a build-to-rent program where the large 
institutional investor purchases, constructs, or constructs and 
retains a newly constructed single-family homes to be managed as 
a rental property, whether as part of a community made up 
exclusively of renter-occupied single-family homes or as part of 
a community made up of single-family homes that are both owner- 
and renter-occupied;
(C) pursuant to a renovate-to-rent program that--
(i) substantially rehabilitates single-family homes 
that do not meet structural or core system elements of 
local building codes; and
(ii) makes improvements in an aggregate dollar 
amount of not less than 15 percent of the purchase price 
of the single-family home;
(D) pursuant to a homeownership program that--
(i) requires rental payments and any other fees that 
are not greater than those collected by the large 
institutional investor on other similarly situated 
single-family homes not covered by the eligible 
homeownership program;
(ii) is subject to a contract between the large 
institutional investor and renter that shall be 
considered a consumer credit transaction secured by a 
dwelling or real property;
(iii) provides for positive reporting of rental 
payments to consumer reporting agencies for any renter, 
who shall be informed of and opts into such reporting; 
and
(iv) requires contribution of meaningful financial 
support from the large institutional investor, including 
price concessions, for the purchase of the single-family 
home by the renter;
(E) pursuant to a program to boost homeownership that--
(i) provides for positive reporting of rental 
payments to consumer reporting agencies for any renter, 
who shall be informed of and opts into such reporting;
(ii) provides for the right of first refusal and a 
30-day ``first look'' period; and
(iii) may entail the meaningful financial support 
from the large institutional investor, including price 
concessions, for the purchase of a single-family home by 
the renter (whether it is the home the renter occupies 
or another home);
(F) in connection with the satisfaction of debts previously 
contracted in good faith and where the large institutional 
investor has the right to repossess the single-family home under 
such contract;
(G) undertaken by a mortgage servicer, lender, or other 
entity that has a legal right to a single-family home, for the 
purpose of loss mitigation or compliance with servicing or 
investor obligations, and not as a long-term investment 
strategy, and is solely as a result of--
(i) a foreclosure;
(ii) a deed-in-lieu of foreclosure;
(iii) enforcement of a mortgage, deed of trust, or 
other security interest; or
(iv) operation of law following borrower default;
(H) purchased from another large institutional investor that 
either owned the single-family home on the date of enactment of 
this Act or purchased the single-family home in compliance with 
this section;
(I) purchased from an investor not covered under this 
section, so long as the purchase occurred not more than 2 years 
after the effective date under subsection (f);
(J) newly constructed, renovated, or a rental conversion 
that is intended and operated for occupancy as part of a 
community for households with 1 or more members aged 55 years or 
older, and satisfies visitability standards established by the 
Secretary of Housing and Urban Development; or
(K) purchased through a single purchase or combination or 
series of purchases described in subparagraphs (A) through (J).
(3) Single-family home.--The term ``single-family home''--
(A) means a structure that contains 2 or fewer dwelling 
units that are each intended for residential occupancy by a 
single household; and
(B) does not include a manufactured home, as defined in 
section 603 of the National Manufactured Housing Construction 
and Safety Standards Act of 1974 (42 U.S.C. 5402).
(4) Large institutional investor.--
(A) In general.--The term ``large institutional investor''--
(i) means an investment fund, corporation, general 
or limited partnership, limited liability company, joint 
venture, association, or other for-profit entity that is 
a legal entity structured in a manner that is not 
aforementioned that--
(I) is engaged, in whole or in part, in the 
business of investing in, owning, renting, 
managing, or holding single-family homes; and
(II) alone or in concert with 1 or more 
other entities, beginning after the date of 
enactment of this Act, directly or indirectly 
has investment control of not less than 350 
single-family homes in the aggregate, not 
including any single-family home purchased in an 
excepted purchase made after the date of 
enactment of this Act; and
(ii) does not include any local, State, Tribal, or 
Federal government entity or instrumentality thereof.
(B) Rule of construction.--For purposes of this paragraph, 
an entity has direct or indirect investment control over a 
single-family home if the entity--
(i) owns, or has primary authority or fiduciary 
responsibility to make material investment or management 
decisions relating to, the single-family home;
(ii) is, or directly or indirectly controls, the 
general partner or managing member of the entity that 
owns the single-family home;
(iii) is or controls the investment manager, 
management company, or investment advisor of the entity 
that owns the single-family home;
(iv) owns or controls more than 25 percent of any 
class of equity interests of the entity that owns the 
single-family home, unless such entity is a passive 
investor; or
(v) otherwise controls the entity that owns the 
single-family home.
(5) Purchase.--The term ``purchase'' includes any purchase, 
transfer, or other acquisition of a single family home, including 
through mergers, acquisitions, construction, foreclosures, or bulk 
purchases, whether or not for cash consideration.
(b) Prohibition on Purchases by Large Institutional Investors.--
(1) In general.--No large institutional investor may purchase, or 
enter into a contract to directly or indirectly purchase, any single-
family home.
(2) Exceptions.--The prohibition under paragraph (1) shall not apply 
to--
(A) any excepted purchase; or
(B) any purchase of a single-family home in connection with 
a restructuring or other reorganization of ownership of single-
family homes that were owned or purchased on or before the date 
of enactment of this Act.
(3) Rule of construction.--Nothing in this section may be construed 
to--
(A) require any large institutional investor to divest or 
otherwise sell any single-family home purchased before the date 
of enactment of this Act; or
(B) prevent the filing of a petition, or otherwise affect 
any bankruptcy proceeding, under title 11, United States Code.
(4) Implementation.--
(A) In general.--In consultation with the Secretary of 
Housing and Urban Development, the Director of Federal Housing 
Finance Agency, and the Chair of the Securities and Exchange 
Commission, the Secretary of the Treasury may issue regulations 
in accordance with the notice and comment rulemaking procedures 
under section 553 of title 5, United States Code, to carry out 
the purposes of this section, including regulations to--
(i) minimize market disruptions upon identifying a 
risk of material negative impact on the housing market, 
including an impact on the ability of market 
participants to dispose of single-family homes in an 
orderly fashion; and
(ii) mitigate, to the extent possible, negative 
impacts on consumers and communities.
(B) Rule of construction.--For the avoidance of doubt, no 
regulation issued under subparagraph (A) may amend the 
definitions of the terms defined under subsection (a), including 
to--
(i) alter the scope of excepted purchases in a 
manner that would undermine the goal of expanding the 
number of single-family homes available to individual 
households for purchase;
(ii) alter any type of excepted purchase in a manner 
that would undermine the goal of expanding the number of 
single-family homes available to individual households 
for purchase;
(iii) add any category of large institutional 
investor as an eligible class if not determined by this 
section; or
(iv) alter the quantitative threshold in the 
definition of ``large institutional investor''.
(c) Renter Outreach Resource Established.--
(1) In general.--The Secretary shall, not later than 180 days after 
the date of the enactment of this section, establish a renter outreach 
resource that consists of a toll-free telephone number and a public 
website designed to assist renters of residential properties owned by a 
large institutional investor in--
(A) notifying Federal agencies about disputes relating to 
the rental of such properties, including disputes about 
potential violations of Federal law;
(B) sharing information about such disputes with other 
Federal agencies, including other Federal agencies that manage 
similar disputes;
(C) monitoring such disputes; and
(D) resolving such disputes, to the extent practicable.
(2) Response to outreach.--
(A) In general.--The Secretary shall establish reasonable 
procedures to--
(i) promptly respond, in writing where appropriate, 
to a renter who provides information to the Secretary 
about a dispute using the renter outreach resource 
established under paragraph (1); and
(ii) document such responses.
(B) Contents.--Responses provided under subparagraph (A) 
shall include, where appropriate, information about--
(i) steps that have been taken by the Secretary or 
another Federal agency in response to the information 
about the dispute provided by the renter, including 
determining the appropriate large institutional investor 
involved as described in paragraph (3);
(ii) any responses received by the Secretary or 
another Federal agency from the large institutional 
investor related to such dispute; and
(iii) any outcome of the dispute, to the extent 
practicable.
(3) Investigation of potential violations of federal law.--
(A) In general.--The Secretary shall promptly process and 
investigate any information relating to a dispute received 
through the renter outreach resource established under paragraph 
(1) about a potential violation of Federal law that is received 
from a renter of a residential property owned by a large 
institutional investor through the renter outreach resource 
established under paragraph (1), including:
(i) Requesting information from a large 
institutional investor;
(ii) Determining the appropriate large institutional 
investor involved in the dispute; and
(iii) Sharing information about such potential 
violation of Federal law with any relevant Federal 
agencies, as the Secretary may determine appropriate.
(B) Responses to requests for information.--Upon request for 
information made pursuant to subparagraph (A), the Secretary 
shall provide a large institutional investor the opportunity to 
respond, including regarding whether such large institutional 
investor currently owns the property described in such request 
for information.
(4) Information for appropriate state authority.--When the Secretary 
receives information about a potential violation of State law or about a 
dispute received through the renter outreach resource, from a renter of 
a residential property owned by a large institutional investor through 
the renter outreach resource established under paragraph (1), the 
Secretary shall, at a minimum, provide the renter with contact 
information for the appropriate, State-specific, State authority 
authorized to process and investigate such information.
(5) Notice about renter outreach resource.--Each large institutional 
investor shall--
(A) provide to each renter of a residential property owned 
by such investor at the time such renter first occupies such 
home and annually thereafter--
(i) written notice about the renter outreach 
resource established under paragraph (1); and
(ii) the name, phone number, and email address of 
the person or entity responsible for receiving and 
addressing renter disputes for the large institutional 
investor, and update the name, phone number, and email 
address within 30 days if such information changes prior 
to the subsequent time at which such notice is required 
to be provided; and
(B) prominently feature information about the renter 
outreach resource established under paragraph (1) on a public 
website of such investor that is accessible by such renter.
(6) Annual report to the congress.--
(A) In general.--The Secretary shall, not later than March 
31 of each year, submit to the Congress a public report which 
analyzes and aggregates the information received or obtained 
pursuant to this subsection during the prior year that 
includes--
(i) information about the types and the number of 
disputes received about potential violations of Federal 
law;
(ii) information about the types and the number of 
disputes received about potential violations of State 
law;
(iii) where practicable, information about the 
resolution of such disputes; and
(iv) information provided to the Secretary of 
Housing and Urban Development under paragraph (8).
(B) Anonymization of data.--Any data included in a report 
that is submitted under this paragraph shall be aggregated or 
anonymized so as to protect any individual dispute or personally 
identifiable information received through the renter outreach 
resource.
(7) Protection of personal information.--In complying with the 
requirements of this subsection, the Secretary shall take such measures 
as the Secretary determines are necessary to provide for the protection 
of personally identifiable information received through the renter 
outreach resource in a manner that conforms with existing standards for 
protection of the confidentiality of personally identifiable 
information.
(8) Annual notification.--Not later than 180 days after the date of 
the enactment of this Act, and not later than December 31st of each year 
thereafter, each person or entity that satisfies the definition of a 
large institutional investor, as such term is defined in subsection (a) 
shall--
(A) notify the Secretary each year whether such owner is a 
large institutional investor as defined in subsection (a); and
(B) in such notification, identify how many single-family 
homes such large institutional investor has direct or indirect 
investment control of as of the date of the submission of such 
notice, and the city and State where each such single-family 
home is located, unless such large institutional investor owns 
10 or fewer single-family homes in such city.
(d) Enforcement.--
(1) Civil penalties.--The Secretary of the Treasury, or the Attorney 
General at the request of the Secretary of the Treasury, may bring an 
action against a large institutional investor that violates subsection 
(b) for a civil penalty in an amount that is not more than $1,000,000 
per violation, or 3 times the purchase price of the property involved, 
whichever is greater.
(2) Transfer to hud for homeownership expansion activities.--For 
fiscal year 2027 and each fiscal year thereafter, to the extent and in 
the amounts provided in advance in appropriations Acts, civil penalties 
assessed under this section shall be transferred to and available to the 
Secretary of Housing and Urban Development to provide additional funding 
for the HOME Investment Partnerships program under subtitle A of title 
II of the Cranston-Gonzalez National Affordable Housing Act (42 U.S.C. 
12741 et seq.), to be allocated in accordance with the formula under 
that program, for new construction, acquisition, and rehabilitation of 
single-family homes and to provide assistance grants to first-time 
homebuyers, which may be for downpayments, closing costs, and interest 
rate buydowns.
(e) Studies on Large Institutional Investors.--
(1) Gao report.--Not later than 2 years after the date on which the 
prohibition under subsection (b)(1) takes effect, and again not later 
than 10 years after that date, the Comptroller General of the United 
States shall submit to the Senate Committee on Banking, Housing and 
Urban Affairs and the House Committee on Financial Services a report 
on--
(A) the impact of the ownership by large institutional 
investors of single-family homes on housing availability and 
affordability for renters and homebuyers; and
(B) the effectiveness of this section in reducing demand by 
large institutional investors for single-family homes and 
expanding homeownership for renters and homebuyers.
(2) Hud report.--Not later than 2 years after the date on which the 
prohibition under subsection (b)(1) takes effect, and again not later 
than 10 years after that date, the Secretary of the Housing and Urban 
Development, in consultation with the Secretary of the Treasury, the 
Administrator of the Rural Housing Service, the Executive Director of 
the Loan Guaranty Service of the Department of Veterans Affairs, the 
Chair of Securities and Exchange Commission, and the Director of the 
Federal Housing Finance Agency, shall submit to the Committee on 
Banking, Housing and Urban Affairs of the Senate and the Committee on 
Financial Services of the House of Representatives a report on--
(A) whether there should be adjustments to the definition of 
the term ``large institutional investor'';
(B) the financial impact of this section on large 
institutional investors, renters, and homebuyers; and
(C) any legislative recommendations regarding ways to 
improve the authorities provided under this section to increase 
the supply and affordability of single-family homes for purchase 
by individual homebuyers.
(3) Sense of congress.--It is the sense of Congress that--
(A) this section is intended to expand the number of single-
family homes available to individuals for purchase and is aimed 
at preserving and expanding the supply of single-family homes 
available to individuals; and
(B) any further study on the effectiveness of this section 
and any legislative recommendations therefrom should consider 
this sense of Congress.
(f) Effective Date.--The requirements and prohibitions under subsections (b) 
and (d) of this section--
(1) shall take effect on the date that is 180 days after the date of 
enactment of this Act; and
(2) are repealed on the date that is 15 years after the effective 
date under paragraph (1).

TITLE XI--CENTRAL BANK DIGITAL CURRENCY

SEC. 1101. CENTRAL BANK DIGITAL CURRENCY.

The Federal Reserve Act (12 U.S.C. 221 et seq.) is amended by inserting 
after section 16 (12 U.S.C. 411 et seq.) the following:

``SEC. 16A. CENTRAL BANK DIGITAL CURRENCY.

``(a) Definitions.--In this section:
``(1) Central bank digital currency.--The term `central bank digital 
currency' means a digital asset that--
``(A) is denominated in United States dollars;
``(B) is a United States currency;
``(C) is a direct liability of the Federal Reserve System; 
and
``(D) is widely available to the general public.
``(2) Digital asset.--The term `digital asset' has the meaning given 
the term in section 2 of the GENIUS Act (12 U.S.C. 5901).
``(b) Prohibition.--Except as provided in subsection (c), the Board of 
Governors of the Federal Reserve System or a Federal reserve bank may not issue 
or create a central bank digital currency or any digital asset that is 
substantially similar to a central bank digital currency directly or indirectly 
through a financial institution or other intermediary.
``(c) Exception.--Subsection (b) shall not prohibit any dollar-denominated 
currency that is open, permissionless, and private, and fully preserves the 
privacy protections of United States coins and physical currency.
``(d) Sunset.--This provisions of this section shall cease to be effective 
on December 31, 2030.
``(e) Rule of Construction.--Nothing in this section shall be construed to 
allow the Board of Governors of the Federal Reserve to issue a central bank 
digital currency or any digital asset that is substantially similar to a central 
bank digital currency directly or indirectly absent authorization by an Act of 
Congress.''.

TITLE XII--MISCELLANEOUS

SEC. 1201. SEVERABILITY.

If any provision of this Act, or the application thereof to any person or 
circumstance, is held invalid, the remainder of the Act, and the application of 
such provisions to other persons or circumstances, shall not be affected 
thereby.

SEC. 1202. NO ADDITIONAL FUNDS AUTHORIZED.

No additional funds are authorized to be appropriated to carry out the 
requirements of this Act or any amendment made by this Act.
Attest:

Clerk.