A significant permitting bill, the Bipartisan American Affordability and Jobs Act of 2026, was moved forward by the Senate on Monday, potentially expediting the construction of apartments. While the bill’s primary focus is on energy and infrastructure, it includes measures that would, as National Apartment Association Assistant Vice President of Federal Legislative Affairs Owen Caine noted, “streamline permitting processes and development programs to deliver critically needed housing supply.”
Legislation garners support from industry groups
A letter of endorsement for the housing aspects of the Bipartisan American Affordability and Jobs Act of 2026 was issued by industry groups, including the National Association of Home Builders and YIMBY Action, on Monday. These groups emphasized that the bill’s potential to transform housing development has been overlooked, stating that its “impact on housing development has received little attention even though it could be transformative for building more housing.” The Bipartisan Policy Center described the bill as the most full permitting legislation to date. With a 73-25 affirmative procedural vote on Monday, the Senate has paved the way for further discussion on the bill.
The Senate Environment and Public Works Committee and the Energy and Natural Resources Committee introduced the Bipartisan American Affordability and Jobs Act of 2026 on September 30. To avoid a potential filibuster, the bill was attached to a separate, popular bill that had already passed the House. Over the weekend, a substitute amendment was released by several senators, incorporating technical and clarifying edits based on feedback received since the bill’s introduction, resulting in a nearly 500-page document.
According to analysis by the Bipartisan Policy Center, the revisions primarily consisted of sector-specific exemptions from the National Environmental Policy Act. The updated bill would exempt many housing projects supported by the Department of Housing and Urban Development and the Department of Agriculture from federal historic preservation reviews, instead requiring only streamlined federal environmental reviews, as stated in the letter from housing groups.
These modifications, according to the groups, “would alleviate significant, major burdens in HUD programs,” affecting initiatives such as the Community Development Block Grant, HOME Investment Partnerships Programs, public housing assistance, Economic Development Initiatives, and various loan programs. The groups estimate that these changes would impact approximately $10 billion in federal housing programs annually.
The Bipartisan American Affordability and Jobs Act of 2026 would also simplify reviews under the Clean Water Act, which apply to projects regardless of federal funding status, potentially reducing related costs by up to $425,000 per project. As the housing group letter noted, “In total, these reforms will bring greater predictability to the federal permitting process for home builders and help lower the cost of housing.”
When combined with the measures outlined in the 21st Century ROAD to Housing Law, these provisions could have a notable impact, according to Owen Caine, who provided comments via email.
