Key facts
- The Build Housing Affordably Act has been introduced in the House by Reps. Mike Flood and Maggie Goodlander.
- The bill proposes to temporarily suspend Build America, Buy America (BABA) requirements for specific affordable housing projects.
- This suspension aims to reduce construction costs and accelerate the development of affordable housing nationwide.
- The legislation mandates a study by the Department of Housing and Urban Development (HUD) on the impact of BABA rules on housing.
- A report detailing HUD's findings will be submitted to Congress.
- BABA implementation for covered projects would be paused until 60 days after the report's delivery.
- HUD would face a 90-day deadline for reviewing waiver requests, with automatic approval for those not acted upon within this period.
U.S. Representatives Mike Flood and Maggie Goodlander have introduced bipartisan legislation in the House aimed at addressing the rising costs and delays associated with affordable housing development. The proposed Build Housing Affordably Act seeks to temporarily suspend the application of Build America, Buy America (BABA) requirements for certain affordable housing projects.
The BABA provisions, enacted under the Infrastructure Investment and Jobs Act of 2021, mandate that iron, steel, manufactured products, and construction materials used in federally assisted infrastructure projects be produced in the United States. Affordable housing advocates argue that applying these standards to housing construction and rehabilitation projects funded by federal programs has led to increased costs and slowed development timelines.
Under the proposed bill, the Department of Housing and Urban Development (HUD) would be required to conduct a study examining the effects of BABA requirements on affordable housing development and the federal waiver process. Following the study, HUD would submit a report to Congress detailing its findings. The legislation would pause BABA implementation for covered affordable housing projects until 60 days after this report is delivered. Additionally, it establishes a 90-day deadline for HUD to review waiver requests, with any request not acted upon within this timeframe being automatically approved.
Representative Flood stated that the bill aims to cut government red tape and bureaucracy that hinder the construction of affordable homes. Representative Goodlander echoed these sentiments, highlighting the housing crisis in New Hampshire and arguing that federal rules are unnecessarily increasing costs and causing delays. The legislation has received support from a coalition of housing, real estate, and community development organizations.
