HR 6726 amends housing counseling programs under the 1968 Housing and Urban Development Act to improve oversight and effectiveness. It requires counseling organizations to serve diverse geographic areas (urban and rural) and mandates regular performance reviews by HUD, including evaluating counselors based on borrower default rates for covered loans. The bill also requires HUD to provide foreclosure mitigation counseling to borrowers 30+ days delinquent on FHA, VA, USDA, or similar loans, with costs covered by the Mutual Mortgage Insurance Fund if eligibility rules are met. These changes directly affect HUD-funded counseling agencies, mortgage counselors, and borrowers with specific loan types facing delinquency. The reforms focus on accountability, quality control, and expanding access to foreclosure prevention services.
# Summary of Transportation, Housing and Urban Development, and Related Agencies Appropriations Act, 2026
This comprehensive appropriations bill allocates funding for the Department of Transportation, Department of Housing and Urban Development (HUD), and several related agencies for fiscal year 2026.
## Key Funding Areas
1. **Department of Transportation**: Includes funding for transportation infrastructure, safety programs, and related initiatives.
2. **Department of Housing and Urban Development (HUD)**:
- Tenant-based rental assistance (Section 8)
- Public housing operating and capital funds
- Lead hazard reduction programs
- Fair housing activities
- Homeless assistance grants
- Community development programs
- Healthy homes initiatives
3. **Related Agencies**: Funding for the Access Board, Federal Maritime Commission, National Railroad Passenger Corporation (Amtrak), National Transportation Safety Board, Neighborhood Reinvestment Corporation, and Surface Transportation Board.
## Major Restrictions and Provisions
1. **Funding Restrictions**:
- No funds may be used for certain types of training (e.g., training inducing emotional stress, religious content, or designed to change personal values)
- No funds for first-class airline travel in contravention of federal regulations
- No funds for certain projects (e.g., no funds to support projects using eminent domain for private economic development)
- No funds to facilitate new scheduled air transportation to Cuban Government-confiscated property
2. **Reporting Requirements**:
- Quarterly reports to Congress on uncommitted, unobligated, recaptured, and excess funds
- Semi-annual reports on properties with failing physical inspections
3. **Fund Transfer Rules**:
- Strict limitations on reprogramming funds without Congressional approval
- Restrictions on transferring funds between accounts (e.g., no more than 10% or $5 million transfer between offices)
- Specific rules for transfer of funds to the Information Technology Fund
4. **Other Significant Provisions**:
- Restrictions on using funds for certain types of litigation
- Requirements for transparency in consulting services
- Limits on using funds for executive-legislative activities
- Prohibitions on using funds for certain types of contracts (e.g., "HAP Contract Support Services" solicitation)
The bill contains numerous specific restrictions on how funds may be used, with over 100 provisions detailing what the funds cannot be used for, reflecting a strong emphasis on fiscal responsibility and program accountability.
HR 918 makes a tax deduction for mortgage insurance premiums permanent for homeowners. The bill removes a temporary expiration clause in the tax code, ensuring that individuals who pay mortgage insurance (typically those with less than 20% down payment on a home loan) can continue deducting these costs on their federal taxes. This change applies to premiums paid after December 31, 2024, providing ongoing tax relief for affected homeowners without altering the deduction's eligibility rules. The policy change directly affects millions of homeowners who rely on this deduction to reduce their taxable income.
The Accelerating Home Building Act of 2025 authorizes $15 million annually (2027-2031) in grants to local governments, tribes, and municipal organizations to develop pre-approved construction designs for mixed-income housing. These pre-reviewed designs - approved in advance by localities - streamline permitting for covered structures like duplexes, townhouses, and infill projects, directly affecting developers and communities seeking to build affordable housing. The bill requires grant recipients to report on housing units produced, permits issued, and impacts on supply, with 10% of funds reserved for rural areas. It aims to address housing shortages by reducing regulatory delays, targeting households cost-burdened by housing costs (50% of renters in 2023).
This bill increases tax credits for rehabilitating historic buildings in rural areas. It creates a new "applicable rural project" category: affordable housing projects get a 40% credit on rehabilitation costs (up to $5 million total), while other rural projects get a 30% credit. The credit can now be transferred to other taxpayers, unlike previous rules. It specifically targets buildings in areas outside cities over 50,000 people or adjacent urban zones, and requires affordable housing projects to maintain housing affordability standards. The changes apply to property placed in service after December 31, 2025.
The Choice in Affordable Housing Act of 2025 aims to increase landlord participation in the Housing Choice Voucher program, which helps low-income families, seniors, and people with disabilities afford housing in the private market. The bill creates new incentives including one-time payments to landlords (up to 200% of monthly rent) for renting to voucher holders in low-poverty areas (census tracts with poverty rates below 20%), security deposit assistance for tenants, and bonus payments to public housing agencies that employ dedicated landlord liaisons. It establishes a $100 million annual fund for these initiatives and requires annual reports on the program's effectiveness in expanding housing options in high-opportunity neighborhoods. These changes directly affect landlords, voucher recipients, and public housing agencies administering the program.
This bill requires the Department of Veterans Affairs (VA) to conduct a comprehensive assessment within 72 hours for veterans identified as needing homeless program services who have mental health needs. The assessment must cover physical/mental health needs, create a care plan addressing immediate and long-term support, and identify suitable housing. VA staff must integrate this information into veterans' electronic health records while following privacy laws. The VA Homeless Program Office must also monitor whether these care plans effectively address veterans' needs. This directly affects homeless veterans with mental health challenges who access VA homeless services.
The Housing Supply Frameworks Act (HR 2840) directs the Department of Housing and Urban Development (HUD) to create federal guidelines and best practices for state and local governments to reform zoning rules that restrict housing supply. It focuses on practical changes like reducing parking minimums, allowing more housing types (e.g., duplexes, accessory dwellings), streamlining approval processes, and increasing density near transit - aiming to address a nationwide housing shortage affecting cost-burdened households. The guidelines, developed with public input from planners, developers, and community groups, are intended to help states and localities voluntarily adopt reforms that increase housing availability across income levels. States and localities that adopt these recommendations must report progress to Congress within five years, though the bill does not mandate specific changes or provide direct housing construction funds.
The HART Act requires real estate investors to report all residential property purchases made in a single year as one transaction to the Federal Trade Commission (FTC) and Department of Justice (DOJ). It directly affects individuals or entities buying multiple residential properties (like apartments or single-family homes) for investment purposes, not for personal residence. The bill amends antitrust law to count all such annual acquisitions as a single "acquisition" for reporting, excluding properties held solely for personal use. New FTC rules will define the required reporting format and documentation to assess if large-scale property purchases might violate antitrust laws.
This bill amends the VA home loan guaranty program to adjust the percentage of loan coverage. It increases the guaranty rate to 50% for veterans with service-connected disabilities whose VA entitlement is unused or fully restored, while maintaining a 25% guaranty for other veterans. The change directly affects eligible veterans applying for VA-backed home loans by altering the government's financial guarantee on those loans. This is a technical adjustment to existing VA loan rules, not a new housing program. The bill modifies specific provisions in Title 38 of the U.S. Code without creating new benefits or funding.
