HOUSING: Build America Caucus, Real Estate Caucus Demand Section 901 Reforms in Federal Housing Package

Section 901, as drafted, would cut rental construction by at least 72,000 units per year

76-member letter urges congressional leaders to strip harmful provision

WASHINGTON – Today, the bipartisan Build America Caucus and Real Estate Caucus led a 76-member letter to congressional leaders demanding pro-growth reforms in the 21st Century ROAD to Housing Act. The coalition highlighted how Section 901 of the housing package would decrease new housing construction by tens of thousands of units per year, undermining the original goal of the package to address the nation’s housing shortage.

“After decades of inaction, our solution to the nationwide housing shortage cannot be a bill that effectively bans new housing development,” said Build America Caucus Chair Josh Harder (CA-09). “Our families deserve better, and the bipartisan Build America Caucus is committed to ensuring that historic housing reforms actually increase our housing supply. That means fixing Section 901 and fast-tracking a deal through Congress that will unlock affordable housing nationwide.”

“By effectively banning build-to-rent housing, Section 901 will force working families to limit family size and place home ownership further out of reach,” said Build America Caucus Co-Chair Celeste Maloy (UT-02). “After decades of inaction, our solution to the nationwide housing shortage cannot be a bill that further limits housing supply. The bipartisan Build America Caucus supports removing Section 901 so that this historic housing deal can move forward.”

Part of a bill to unlock more housing, Section 901 does the opposite:

• As drafted, Section 901 would effectively halt the production of Build-to-Rent (BTR) housing to the tune of at least 72,000 new rental units per year.
• This provision would also push out renters and destabilize housing through mandatory divestment timelines that would compel property sales.
• Middle-class and military families who rely on flexible, high-quality rental housing would be hurt the most from cuts to housing options, especially amid rising prices across the board.

“While we applaud the Senate’s efforts to promote homeownership, a key plank of the American Dream, Section 901 would decrease the housing supply and harm Americans,” said the Members in the letter to congressional leadership. “For these reasons, we respectfully urge you to strip or substantially revise these harmful provisions as the House considers the 21st Century ROAD to Housing Act. We stand ready to work with you to ensure that final legislation advances policies that meaningfully address the nation’s housing challenges and support American families.”

Read the full letter here.

The bipartisan Build America Caucus began as a first-of-its-kind effort to advance federal pro-growth policies and has since grown into the number one workhorse hub in Congress. Capitalizing on yearslong growing momentum at the state and local level to address scarcity and red tape, the Caucus focuses on three major policy areas:

• Unleashing American energy through permitting and transmission reform.
• Making housing affordable by incentivizing states and cities to build more homes.
• Speeding up infrastructure projects by streamlining requirements and cutting red tape.

In just months, the Caucus has moved at startup speed – rolling out ten member roundtables and nine staff briefings while introducing nine bipartisan bills of the Caucus’ broader pro-growth agenda. Dozens of members have also supported letters to policy leaders demanding concrete reforms on housing, permitting reform, and surface transportation investment. 

Read more about the Caucus here, and subscribe to our monthly newsletter here.

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