H.R. 4989: Streamlining Rural Housing Act of 2025

This bill, known as the Streamlining Rural Housing Act of 2025, aims to improve housing projects in rural areas by requiring collaboration between two key federal departments: the Department of Housing and Urban Development (HUD) and the Department of Agriculture (USDA). Here’s a breakdown of its main components:

1. Memorandum of Understanding

The bill mandates that within 180 days of its enactment, the Secretaries of HUD and USDA must create a memorandum of understanding. This agreement will focus on several areas:

• Evaluate Categorical Exclusions: They will assess the rules that allow certain housing projects to bypass detailed environmental reviews.
• Designate a Lead Agency: The two departments will establish a clear lead agency to streamline the development and approval process for housing projects that receive funding from both agencies.
• Ensure Compliance with Environmental Regulations: They must confirm adherence to existing environmental regulations to safeguard environmental standards.
• Joint Physical Inspections: The bill also explores the possibility of a combined inspection process for projects funded by both departments, aiming for efficiency.

2. Advisory Working Group

Another requirement is the formation of an advisory working group within 180 days. This group's purpose is to offer guidance on how to implement the memorandum. The members will include a diverse range of stakeholders such as:

• Affordable housing nonprofit organizations
• State housing and finance agencies
• Both nonprofit and for-profit home builders and developers
• Property management companies
• Owners of multifamily properties
• Public housing agencies
• Residents in HUD or USDA-assisted housing
• Housing contract administrators

3. Reporting Requirements

Within one year of the bill's enactment, HUD and USDA must submit a report to congressional committees outlining recommendations to enhance the efficiency and effectiveness of housing projects funded by both agencies. They must ensure that these recommendations do not:

• Compromise the safety of residents
• Transfer long-term costs to residents
• Undermine established environmental standards

Relevant Companies

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