Directs the Secretary of Housing and Urban Development to treat certain small-scale infill housing activities as exempt from or eligible for categorical exclusions under HUD’s NEPA (environmental review) rules. It defines what counts as an eligible “infill project,” describes which kinds of activities qualify for streamlined review, and requires HUD to report to Congress annually for five years starting two years after enactment on any reductions in review time and administrative costs and any recommended regulatory changes.

The goal is to speed up environmental reviews and lower administrative costs for qualifying affordable housing and related projects by reclassifying specific activities into exemption or categorical exclusion categories and setting limits and conditions for those categories.