[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[S. 2651 Reported in Senate (RS)]

<DOC>





                                                       Calendar No. 143
119th CONGRESS
  1st Session
                                S. 2651

        To increase the supply of affordable housing in America.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             August 1, 2025

 Mr. Scott of South Carolina, from the Committee on Banking, Housing, 
and Urban Affairs, reported the following original bill; which was read 
                    twice and placed on the calendar

_______________________________________________________________________

                                 A BILL


 
        To increase the supply of affordable housing in America.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Renewing Opportunity in the American 
Dream to Housing Act of 2025'' or the ``ROAD to Housing Act of 2025''.

SEC. 2. TABLE OF CONTENTS.

    The table of contents for this Act is as follows:

Sec. 1. Short title.
Sec. 2. Table of contents.
                 TITLE I--IMPROVING FINANCIAL LITERACY

Sec. 101. Reforms to housing counseling and financial literacy 
                            programs.
                   TITLE II--BUILDING MORE IN AMERICA

Sec. 201. Rental assistance demonstration program.
Sec. 202. Increasing housing in opportunity zones.
Sec. 203. Housing Supply Frameworks Act.
Sec. 204. Whole-Home Repairs Act.
Sec. 205. Community Investment and Prosperity Act.
Sec. 206. Build Now Act.
Sec. 207. Better Use of Intergovernmental and Local Development (BUILD) 
                            Housing Act.
Sec. 208. Unlocking Housing Supply Through Streamlined and Modernized 
                            Reviews Act.
Sec. 209. Innovation Fund.
Sec. 210. Accelerating Home Building Act.
Sec. 211. Build More Housing Near Transit Act.
Sec. 212. Revitalizing Empty Structures Into Desirable Environments 
                            (RESIDE) Act.
Sec. 213. 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.
Sec. 304. Price 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. Reforming Disaster Recovery Act.
Sec. 502. HOME Investment Partnerships Reauthorization and Improvement 
                            Act.
Sec. 503. Rural Housing Service Reform Act.
Sec. 504. New Moving to Work cohort.
Sec. 505. Reducing Homelessness Through Program Reform Act.
Sec. 506. Incentivizing local solutions to homelessness.
                     TITLE VI--VETERANS AND HOUSING

Sec. 601. VA Home Loan Awareness Act.
Sec. 602. Veterans Affairs Loan Informed Disclosure (VALID) Act.
Sec. 603. 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. NeighborWorks Accountability Act.
Sec. 705. Appraisal Modernization Act.
            TITLE VIII--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.

                 TITLE I--IMPROVING FINANCIAL LITERACY

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

    (a) In General.--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) Performance review.--The Secretary--
                    ``(A) may conduct periodic on-site reviews; and
                    ``(B) shall conduct performance reviews of all 
                participating agencies that--
                            ``(i) consists of a review of the 
                        participating agency's compliance with all 
                        program requirements; and
                            ``(ii) may take into account the agency'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 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 pre-purchase 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) permanently 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 of 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) 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)).''.

                   TITLE II--BUILDING MORE IN AMERICA

SEC. 201. RENTAL ASSISTANCE DEMONSTRATION PROGRAM.

    The language under the heading ``Rental Assistance Demonstration'' 
in the Department of Housing and Urban Development Appropriations Act, 
2012 (Public Law 112-55; 125 Stat. 673) is amended--
            (1) in the second proviso, by striking ``until September 
        30, 2029'' and inserting ``for fiscal year 2012 and each fiscal 
        year thereafter'';
            (2) by striking the fourth proviso;
            (3) in the twentieth proviso, as so designated before the 
        date of enactment of this Act, by striking ``or other means:'' 
        and inserting ``or other means, including the adoption of a 
        mandatory tenant lease and management plan addendum for a 
        property with assistance converted, if not otherwise covered by 
        another program, under this demonstration:''
            (4) by striking the twenty-second proviso, as so designated 
        before the date of enactment of this Act;
            (5) in the twenty-seventh, thirtieth, thirty-first, thirty-
        second, thirty-third, and thirty-forth provisos, as so 
        designated before the date of enactment of this Act, by 
        striking ``Second Component'' each place the term appears and 
        inserting ``First Component''; and
            (6) by striking ``vouchers to project-based vouchers.'' and 
        inserting ``vouchers to project-based vouchers: Provided 
        further, That the Secretary shall annually assess and publish 
        findings regarding the impact of the conversion of assistance 
        under the First Component of the demonstration with respect to 
        the preservation and improvement of public housing, the amount 
        of private sector leveraging resulting from such conversion 
        transactions, the prevalence of pre-conversion residents 
        remaining in or returning to the property following conversion, 
        and the effect of such conversion on tenants, including the 
        impact of such conversion on the rights maintained by tenants 
        as enumerated in regulations and other documents conferring 
        rights upon tenants as developed by the Secretary, and other 
        matters the Secretary may determine appropriate: Provided 
        further, That the Secretary may take remediative action or 
        impose civil money penalties or other administrative sanctions 
        for material violations of a requirement under the 
        demonstration: Provided further, That nothing in the matter 
        under this heading shall be construed to diminish, impair, or 
        otherwise affect the rights of property owners or tenants as 
        enumerated in current law and regulations: Provided further, 
        That all property owner rights, including those related to 
        ownership, management, and contractual obligations, shall 
        continue to apply and be respected following a Rental 
        Assistance Demonstration Program conversion: Provided further, 
        That all tenant protections and rights established in current 
        law and regulations shall remain fully in effect for properties 
        converted under the Rental Assistance Demonstration Program.''.

SEC. 202. 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 
located in, or that primarily serve, a community that has been 
designated as a qualified opportunity zone under section 1400Z-1 of the 
Internal Revenue Code of 1986.

SEC. 203. HOUSING SUPPLY FRAMEWORKS ACT.

    (a) Findings.--Congress finds the following:
            (1) The United States is facing a housing supply shortage. 
        This housing supply shortage has resulted in a record number of 
        cost-burdened households across regions and spanning the large 
        and small cities, towns, and coastal and rural communities of 
        the United States.
            (2) Several factors contribute to the undersupply of 
        housing in the United States, particularly workforce housing, 
        including rising costs of construction, a shortage of labor, 
        supply chain disruptions, and a lack of reliable funding 
        sources.
            (3) Regulatory barriers at the State and local levels, such 
        as zoning and land use regulations, also inhibit the creation 
        of new housing to meet local and regional housing needs.
            (4) State and local governments are proactively exploring 
        solutions for reforming regulatory barriers, but additional 
        resources, data, and models can help adequately address these 
        challenges.
            (5) While land use regulation is the responsibility of 
        State and local governments, there is Federal support for 
        necessary reforms, and there is an opportunity for the Federal 
        Government to provide support and assistance to State and local 
        governments that wish to undertake necessary reforms in a 
        manner that fits their communities' needs.
            (6) Therefore, zoning ordinances or systems of land use 
        regulation that have the intent or effect of restricting 
        housing opportunities based on economic status or income 
        without interests that are substantial, legitimate, 
        nondiscriminatory and that outweigh the regional need for 
        housing are contrary to the regional and national interest.
    (b) 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.
    (c) Guidelines on State and Local Zoning Frameworks.--
            (1) Establishment.--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 in the Federal 
                Register for public comment; and
                    (B) establish a task force for the purpose of 
                providing consultation to draft guidelines published 
                under subparagraph (A), the members of which