Sponsors (13)
Introduced March 11, 2025 by Catherine Marie Cortez Masto · Last progress March 11, 2025
The bill increases funding flexibility and tools to expand and preserve affordable housing (including guarantees, longer affordability terms, and new CLT authority) but raises federal fiscal exposure, grants broader administrative discretion, and includes changes that could reduce long-term affordability or divert resources from community-based nonprofits.
Low-income renters and homeowners: The bill increases HOME program appropriations for FY2025–FY2029, enabling more affordable housing projects and rental/homeowner assistance.
Owners/developers and communities: New HUD guarantee authority with a $2 billion FY2025 cap could expand access to acquisition and preservation financing for affordable housing.
Low-income renters: Expanding the definition to allow more small-scale (≤4-unit) rental buildings to qualify increases the stock of units eligible as affordable housing.
Taxpayers and federal budget: Higher appropriations plus a new guarantee program increase federal fiscal exposure and potential liability, raising deficit concerns or the need for offsets.
Low-income renters: Broader exceptions that allow termination of affordability upon foreclosure or for 'financial nonviability' risk reducing long-term affordable units and displacing tenants.
Low-income households and renters: Allowing jurisdictions to use up to 15% for administration reduces the share of funds invested directly in units or tenant assistance, potentially producing fewer housing units per dollar.
Based on analysis of 8 sections of legislative text.
Reauthorizes and raises HOME program funding for FY2025–FY2029, increases admin caps, revises eligibility, affordability, CHDO and community land trust rules, and expands Secretary discretion.
Reauthorizes the HOME Investment Partnerships program for FY2025–FY2029 with larger annual funding levels and makes multiple rule changes that shift how participating jurisdictions, nonprofit partners, and owners must operate. Key changes include raising the share of funds allowed for local administrative/planning costs, changing what counts as matching/recognized contributions, expanding exceptions to affordability requirements (including foreclosure and financial nonviability), creating a streamlined path for very small rental properties, and altering CHDO and community land trust rules. The bill increases grant amounts, gives the Secretary of Housing more discretion over eligibility, reallocations, income thresholds, and program standards, and eliminates a 24-month binding-commitment expiration for HOME trust deposits — all of which may expand flexibility for jurisdictions and owners but also reduce some affordability protections and shift the balance of control toward federal rulemaking and local administrative use of funds.