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Bill would let CDBG grants fund new affordable housing, not just repairs

In committeeH.R. 5077Latest action

Sponsor: Maxine Waters · Representative · CA

AIDecoded by AI · checked against the record
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Official title: Strengthening Housing Supply Act of 2025

119th Congress

Topics: Housing

Introduced:

Read the official bill on Congress.gov

In plain words

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HR 5077 would let cities use CDBG grants to build new affordable housing, not just fix existing units.

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What does this do?

HR 5077 would add "new construction of affordable housing" as an approved use of Community Development Block Grant (CDBG) funds, which currently can generally only be used to rehabilitate existing housing. It uses the affordable housing definition from existing housing law and updates related rules on serving low- and moderate-income residents to include new construction. The changes would apply only to funds after the law takes effect, not past grants.

Who does it affect?

Local and state governments that manage CDBG funds, housing developers partnering with them, and lower-income renters or homebuyers would be affected. Congress and HUD would also be affected in how they allocate and oversee these grants.

Why does it matter?

The change would expand how local governments can spend federal grant dollars, shifting some funds potentially from rehabilitation toward new construction. It could also change how HUD oversees compliance with low- and moderate-income service requirements.

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Where does it stand?

  1. IntroducedAug 29, 2025
  2. House committeeYou are here · Aug 29, 2025
  3. House vote
  4. Senate
  5. The president's desk

Right now: a House committee is reviewing it. If the Senate changes it, it goes back to the House before reaching the president.

Latest action: — Referred to the House Committee on Financial Services.

Data as of October 9, 2026
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