Summary

Requires the Department of Housing and Urban Development (HUD) and the Department of Agriculture (USDA) to sign a memorandum of understanding within 180 days to coordinate environmental review and inspection processes for housing projects funded by one or both agencies. It directs the agencies to streamline how they adopt each other’s environmental assessments and impact statements, review categorical exclusions under NEPA, consider a joint physical inspection process, and keep procedures consistent with current HUD environmental rules. Also directs the two agencies to form an advisory working group of rural and non-rural stakeholders within 180 days and to submit a joint report to congressional housing committees within one year with recommendations to improve joint project efficiency without reducing resident safety, shifting long-term costs to residents, or weakening environmental protections.

• HUD and USDA must sign an MOU within 180 days to coordinate environmental reviews and inspections for housing projects funded by one or both agencies.
• The MOU must consider NEPA categorical exclusions, designate lead-agency rules, and speed adoption of each other's environmental assessments and impact statements.
• Agencies must maintain compliance with HUD’s environmental rule (24 C.F.R. part 58) as of Jan 1, 2025.
• The agencies must evaluate whether a joint physical inspection process is feasible.
• An advisory working group of rural and non-rural stakeholders must be formed within 180 days to advise on coordination.
• A joint report with recommendations to improve efficiency must be submitted to congressional housing committees within one year.
• Recommendations must not materially reduce resident safety, shift long-term costs to residents, or undermine environmental standards.
• No new funding is authorized by the text; implementation relies on agency administrative action.
• Aimed at reducing duplication and delays in environmental review for projects that involve both agencies.