Water Preservation and Affordability Act of 2025

— 515 — Department of Housing and Urban Development 25. Process must prioritize where political leadership can implement administrative reforms through regulatory action and subregulatory guidance reforms. 26. China and other foreign nations should not be able to disrupt our nation’s housing markets, including by artificially driving up prices and reducing affordability and access to housing for Americans who are crowded out of the market by such market participation. 27. These initiatives are maintained under such designations as diversity, equity, and inclusion (DEI); critical race theory (CRT); black, indigenous, Pacific Islander, and other people of color (BIPOC); and environmental, social, and governance (ESG). 28. At a minimum, these efforts duplicate what the federal government already collects and assesses; at worst, they institute arbitrary procedures in real estate appraisal practices that undermine integrity and perversely introduce arbitrary biases into what should be an unbiased system for determining financial value. 29. Revise regulatory and subregulatory guidance, where applicable within statutory authorities, that adds unnecessary delay and costs to the construction and development of new housing and has been estimated to account for about 40 percent of new housing unit costs in multifamily housing. 30. The Biden Administration has issued a proposed rule to replace the Trump Administration’s “Preserving Community and Neighborhood Choice” rule that had repealed earlier rules expanding AFFH enforcement. See U.S. Department of Housing and Urban Development, Office of Fair Housing, “Preserving Community and Neighborhood Choice,” Final Rule, Federal Register, Vol. 85, No. 153 (August 7, 2020), pp. 47899–47912, https://www.govinfo.gov/content/pkg/FR-2020-08-07/pdf/2020-16320.pdf (accessed March 5, 2023), and U.S. Department of Housing and Urban Development, Office of the Secretary, “Affirmatively Furthering Fair Housing,” Proposed Rule, Federal Register, Vol. 88, No. 27 (February 9, 2023), pp. 8516–8590, https://www. govinfo.gov/content/pkg/FR-2015-07-16/pdf/2015-17032.pdf (accessed March 5, 2023). 31. Certain pilot initiatives may encourage greater take-up of loan products designed for faster equity accumulation, including loans with shorter terms and accelerated amortization schedules. In concept, the FHA’s Home Equity Accelerator Loan (HEAL) and Good Neighbor Next Door (GNND) pilot initiatives might lead to meaningful wealth generation for first-time buyers, but they should be available to all eligible households only when they do not arbitrarily discriminate based on race or other characteristics. 32. Housing supply does remain a problem in the U.S., but constructing more units at the low end of the market will not solve the problem. Investors and developers can deliver at more efficient cost new units that will allow for greater upward mobility of rental and ownership housing stock and better target increased construction of mid-tier rental units. Further, and more fundamental to the housing supply challenge in markets across the U.S., localities can consider revising land use, zoning, and building regulations that constrict new housing development, adding time delays and costs that impede construction. Federal housing policy should get out of the way where possible and minimize the distortive impact that stimulating greater demand through loose lending can have in driving up housing prices for households that are looking for affordable entry into the housing market. 33. U.S. Department of Housing and Urban Development, Office of the Secretary, “Housing and Community Development Act of 1980: Verification of Eligible Status,” Proposed Rule, Federal Register, Vol. 84, No. 91 (May 10, 2019), pp. 20589–20595, https://www.govinfo.gov/content/pkg/FR-2019-05-10/pdf/2019-09566.pdf (accessed March 5, 2023). 34. Reforms should contemplate rent payment flexibilities, allow escrow savings, and set maximum term limits that can reduce implicit penalties for increasing household incomes over eligibility terms for housing assistance and reweight waiting-list prioritization for two-parent households. 35. Some PHAs have been able to implement work requirements and term limit policies in various congressionally authorized demonstration programs, notably the Moving to Work (MTW) demonstration program established in 1996 for 39 PHAs (Congress has since authorized another 100 PHAs) in which participating MTW PHAs were given authority to implement rent reforms, work requirements and other experimental policies in rental assistance programs along with flexibilities in the use of capital and operating appropriations. 36. The FSS program has a general five-year term with a possible two-year extension, which could be applied at the term limit for overall benefits, and certain PHAs have imposed five-year to seven-year term limits. Families in these programs build escrow savings during their term eligibility that helps to facilitate successful transitions to family self-sufficiency and unassisted housing. — 516 — Mandate for Leadership: The Conservative Promise 37. HUD should implement administrative changes in regulation and guidance and seek statutory authority to end all Housing First directives of Continuum of Care (CoC) grantees and contract homelessness providers in addition to establishing restrictions on local Housing First policies where HUD grant funds are used. 38. The U.S. Interagency Council on Homelessness (USICH) was established in the 1990s, and numerous Administrations have devoted enormous resources to the Housing First model, experimenting with various ways to provide federally financed rapid rehousing and permanent housing opportunities. Housing First is a far-left idea premised on the belief that homelessness is primarily circumstantial rather than behavioral. The Housing First answer to homelessness is to give someone a house instead of attempting to understand the underlying causes of homelessness. Federal intervention centered on Housing First has failed to acknowledge that resolving the issue of homelessness is often a matter of resolving mental health and substance abuse challenges. Instead of the permanent supportive housing proffered by Housing First, a conservative Administration should shift to transitional housing with a focus on addressing the underlying issues that cause homelessness in the first place. 39. The Senate Low-Income First-Time Homebuyers (LIFT) Act would address this policy goal. See S. 2797, Low-Income First-Time Homebuyers Act of 2021 (LIFT Homebuyers Act of 2021), 117th Congress, introduced September 22, 2021, https://www.congress.gov/117/bills/s2797/BILLS-117s2797is.pdf (accessed March 5, 2023). 40. FHA did not facilitate the widespread use of 30-year mortgages until the 1950s when, interacting with Federal Reserve policies, federal agencies began broader adoption of the mortgages, which, despite lowering the monthly repayment terms, result in slow equity accumulation and wealth-building opportunities. 41. The Housing and Economic Recovery Act of 2008 fundamentally revised the scope of federal regulation in the nation’s housing finance system, placing Fannie Mae and Freddie Mac under the purview of a newly established Federal Housing Finance Agency (FHFA) and establishing a Housing Trust Fund (HTF) that is administered in the HUD Office of Community Planning and Development. See H.R. 3221, Housing and Economic Recovery Act of 2008, Public Law No. 110-289, 110th Congress, July 30, 2008, https://www.congress. gov/110/plaws/publ289/PLAW-110publ289.pdf (accessed March 5, 2023). 42. Guiding questions: What reforms should be proposed that could be accomplished within five years? What reforms can be done administratively, and what reforms would need legislative authorization? Are there functions that HUD administers that could be achieved more effectively at another department or agency? What big-picture reforms should be proposed that might take more than five years that would reorganize HUD and its programs to meet the objectives in the vision or mission? What would occur in the absence of these public finance subsidies? How much crowd-out do these subsidies create in the market? Would America be a seriously underhoused nation without these subsidies? Who are the policies intended to benefit? What organizational changes must be made? 43. The Faircloth Amendment (Quality Housing and Work Responsibility Act of 1998) amended the Housing Act of 1937 to maintain public housing units at 1999 levels, preventing housing authorities from maintaining more public housing than they did then. H.R. 4194, Departments of Veterans Affairs and Housing and Urban Development, and Independent Agencies Appropriations Act, 1999, Public Law No. 105-276, 105th Congress, October 21, 1998, Title V, https://www.congress.gov/105/plaws/publ276/PLAW-105publ276.pdf (accessed March 5, 2023). In recent years, the statutory restriction on new construction of public housing units has been circumvented through some narrow uses of preservation programs such as the Rental Assistance Demonstration (RAD) program, initially authorized in 2012 and reauthorized several times since under higher program unit conversion caps. Congress also provided paths for renewal and continuation of a portion of existing public housing; project/site-based housing stock (refinancing with long-term HAP contract commitments); and Section 8 units through the Multifamily Assisted Housing Reform and Affordability Act of 1997 (MAHRA). H.R. 2158, Departments of Veterans Affairs and Housing and Urban Development, and Independent Agencies Appropriations Act, 1998, Public Law No. 105-65, 105th Congress, October 27, 1997, Title V, https://www.congress.gov/105/plaws/publ65/PLAW-105publ65.pdf (accessed March 5, 2023). 44. As the evolution of HUD rental assistance transitions away from the public housing model toward housing choice vouchers, there should be adequate landlord participation to ensure that the supply of housing units for rent in these programs meets the demand for rent among eligible tenants. This issue has been addressed in various ways, including by a task force instituted at the department during the Trump Administration, but could likely remain a challenge in the administration of the program.

— 446 — Mandate for Leadership: The Conservative Promise ENDNOTES 1. Gabriella Hoffman, “Fact Check: Is Net Zero an Effective Policy for Stopping Climate Change?” Independent Women’s Forum, October 31, 2022, https://www.iwf.org/2022/10/31/fact-check-is-net-zero-an-effective- policy-for-stopping-climate-change/ (accessed January 25, 2023). 2. Stephen Lee, Pat Rizzuto, Dean Scott, and Jennifer Hijazi, “EPA Would See Highest Funding Ever Under Biden Budget Plan (2),” Bloomberg Law, March 28, 2022, https://news.bloomberglaw.com/environment- and-energy/epa-would-see-highest-funding-level-ever-under-biden-budget-plan (accessed January 25, 2023). See also U.S. Environmental Protection Agency, United States Environmental Protection Agency Fiscal Year 2023 Justification of Appropriation Estimates for the Committee on Appropriations, April 2022, https:// www.epa.gov/system/files/documents/2022-04/fy-2023-congressional-justification-all-tabs.pdf (accessed March 20, 2023). 3. William Yeatman, “EPA’s Missed Deadlines Cause Widespread Dysfunction,” Competitive Enterprise Institute Blog, August 3, 2016, https://cei.org/blog/epas-missed-deadlines-causing-widespread-dysfunction/ (accessed January 25, 2023). 4. Shannon Osaka, “The EPA Failed Flint. Now We Know Exactly How,” Grist, July 19, 2018, https://grist.org/ article/the-epa-failed-flint-now-we-know-exactly-how/ (accessed January 25, 2023). 5. Alan Neuhauser, “EPA to Blame for ‘Preventable’ Gold King Mine Spill,” US News & World Report, October 22, 2015, https://www.usnews.com/news/articles/2015/10/22/epa-to-blame-for-preventable-gold-king-mine- spill-interior-dept-finds (accessed January 25, 2023). 6. Christopher Helman, “EPA Official Not Only Touted ‘Crucifying’ Oil Companies, He Tried It,” Forbes, April 26, 2012, https://www.forbes.com/sites/christopherhelman/2012/04/26/epa-official-not-only-touted-crucifying- oil-companies-he-tried-it/?sh=5b7472b15dc9 (accessed March 20, 2023). 7. News release, “EPA Celebrates 50 Year[s] of Progress, Dedicates Conference Center to First Administrator,” U.S. Environmental Protection Agency, December 2, 2020, https://www.epa.gov/newsreleases/ epa-celebrates-50-year-progress-dedicates-conference-center-first-administrator (accessed January 25, 2023). 8. Case Western Reserve University, “Encyclopedia of Cleveland History: Cuyahoga River Fire,” https://case.edu/ ech/articles/c/cuyahoga-river-fire (accessed January 25, 2023). 9. President Richard Nixon, “Reorganization Plan No. 3 of 1970: Special Message from the President to the Congress About Reorganization Plans to Establish the Environmental Protection Agency and the National Oceanic and Atmospheric Administration,” July 9, 1970, https://www.epa.gov/archive/epa/aboutepa/ reorganization-plan-no-3-1970.html (accessed January 25, 2023). 10. Ibid. 11. U.S. Environmental Protection Agency, “Summary of the Clean Air Act, 42 U.S.C. §7401 et seq. (1970),” last updated September 12, 2022, https://www.epa.gov/laws-regulations/summary-clean-air-act (accessed January 27, 2023). 12. U.S. Environmental Protection Agency, “Summary of the Clean Water Act, 33 U.S.C. §1251 et seq. (1972),” last updated July 6, 2022, https://www.epa.gov/laws-regulations/summary-clean-water-act (accessed January 25, 2023). 13. U.S. Environmental Protection Agency, “1990 Clean Air Act Amendment Summary,” last updated November 28, 2022, https://www.epa.gov/clean-air-act-overview/1990-clean-air-act-amendment-summary (accessed January 25, 2023). 14. U.S. Department of State, Office of Environmental Quality, “The Montreal Protocol on Substances That Deplete the Ozone Layer,” https://www.state.gov/key-topics-office-of-environmental-quality-and-transboundary- issues/the-montreal-protocol-on-substances-that-deplete-the-ozone-layer/ (accessed January 25, 2023). 15. 5 U.S. Code § 3345 et seq., https://www.law.cornell.edu/uscode/text/5/3345 (accessed March 20, 2023). 16. 42 U.S. Code § 7261(a), https://www.govinfo.gov/content/pkg/USCODE-2013-title42/html/USCODE-2013- title42-chap85-subchapIII-sec7621.htm (accessed January 25, 2023). 17. 42 U.S. Code § 7607(d), https://www.govinfo.gov/content/pkg/USCODE-2013-title42/html/USCODE-2013- title42-chap85-subchapIII-sec7607.htm (accessed January 25, 2023). 18. H.R. 5376, Inflation Reduction Act of 2022, Public Law No. 117-169, 117th Congress, August 16, 2022, https:// www.congress.gov/117/plaws/publ169/PLAW-117publ169.pdf (accessed March 20, 2023). — 447 — Environmental Protection Agency 19. 42 U.S. Code § 7426(b), https://www.law.cornell.edu/uscode/text/42/7426 (accessed January 26, 2023). 20. 42 U.S. Code § 7410(k)(5)–(6), https://www.law.cornell.edu/uscode/text/42/7410 (accessed January 26, 2023). 21. 42 U.S. Code § 7601(a), https://www.law.cornell.edu/uscode/text/42/7601 (accessed January 26, 2023). 22. 42 U.S. Code § 7675, https://www.law.cornell.edu/uscode/text/42/7675 (accessed January 26, 2023). 23. 42 U.S. Code § 7411, https://www.law.cornell.edu/uscode/text/42/7411 (accessed January 26, 2023). 24. 42 U.S. Code § 7411(d). 25. 42 U.S. Code § 7412, https://www.law.cornell.edu/uscode/text/42/7412 (accessed January 26, 2023). 26. U.S. Environmental Protection Agency, “Summary of the Clean Water Act, 33 U.S.C. §1251 et seq. (1972),” last updated July 6, 2022, https://www.epa.gov/laws-regulations/summary-clean-water-act (accessed January 26, 2023). 27. U.S. Environmental Protection Agency, “Summary of the Safe Drinking Water Act, 42 U.S.C. §300f et seq, (1974),” last updated September 12, 2022, https://www.epa.gov/laws-regulations/summary-safe-drinking- water-acthttps://www.epa.gov/sdwa (accessed January 26, 2023). 28. Memorandum from David P. Ross, Assistant Administrator, Environmental Protection Agency, to Office of Water Program Directors, “Subject: Office of Water Policy for Draft Documents,” August 6, 2019, https:// www.epa.gov/sites/default/files/2020-12/documents/ow_policy_for_draft_documents_to_ow_program_ directors_signed_002.pdf (accessed January 26, 2023). 29. 33 U.S. Code § 1341, https://www.law.cornell.edu/uscode/text/33/1341 (accessed January 26, 2023). 30. Rapanos v. United States, 547 U.S. 715 (2006), https://supreme.justia.com/cases/federal/us/547/04-1034/ index.pdf (accessed January 25, 2023). 31. 33 U.S. Code § 1318, https://www.law.cornell.edu/uscode/text/33/1318 (accessed January 26, 2023). 32. 33 U.S. Code § 1342, https://www.law.cornell.edu/uscode/text/33/1342 (accessed January 26, 2023). 33. 33 U.S. Code § 1344, https://www.law.cornell.edu/uscode/text/33/1344 (accessed January 26, 2023). 34. U.S. Environmental Protection Agency, “Summary of the Resource Conservation and Recovery Act, 42 U.S.C. §6901 et seq. (1976),” last updated September 12, 2022, https://www.epa.gov/laws-regulations/summary- resource-conservation-and-recovery-act (accessed January 27, 2023). 35. U.S. Environmental Protection Agency, “Summary of the Comprehensive Environmental Response, Compensation, and Liability Act (Superfund), 42 U.S.C. §9601 et seq. (1980),” last updated September 12, 2022, https://www.epa.gov/laws-regulations/summary-comprehensive-environmental-response- compensation-and-liability-act (accessed January 27, 2023). 36. 42 U.S. Code § 7412(r), https://www.law.cornell.edu/uscode/text/42/7412 (accessed January 27, 2023). 37. 42 U.S. Code § 6924(n), https://www.law.cornell.edu/uscode/text/42/6924 (accessed January 27, 2023). 38. U.S. Environmental Protection Agency, “Summary of the Toxic Substances Control Act, 15 U.S.C. §2601 et seq. (1976),” last updated October 4, 2022, https://www.epa.gov/laws-regulations/summary-toxic-substances- control-act (accessed January 27, 2023). 39. U.S. Environmental Protection Agency, “Summary of the Federal Insecticide, Fungicide, and Rodenticide Act, 7 U.S.C. §136 et seq. (1996),” last updated September 12, 2022, https://www.epa.gov/laws-regulations/ summary-federal-insecticide-fungicide-and-rodenticide-act (accessed January 27, 2023). 40. U.S. Environmental Protection Agency, “Summary of the Federal Food, Drug, and Cosmetic Act, 21 U.S.C. §301 et seq. (2002),” last updated September 12, 2022, https://www.epa.gov/laws-regulations/summary-federal- food-drug-and-cosmetic-act (accessed January 27, 2023). 41. U.S. Environmental Protection Agency, “The Frank R. Lautenberg Chemical Safety for the 21st Century Act,” last updated March 24, 2022, https://www.epa.gov/assessing-and-managing-chemicals-under-tsca/frank-r- lautenberg-chemical-safety-21st-century-act (accessed January 27, 2023), and “Highlights of Key Provisions in the Frank R. Lautenberg Chemical Safety Act for the 21st Century,” last updated February 12, 2020, https:// www.epa.gov/assessing-and-managing-chemicals-under-tsca/highlights-key-provisions-frank-r-lautenberg- chemical (accessed January 27, 2023). 42. U.S. Environmental Protection Agency, “Summary of the Endangered Species Act, 16 U.S.C. §1531 et seq. (1973),” last updated September 12, 2022, https://www.epa.gov/laws-regulations/summary-endangered- species-act (accessed January 27, 2023). 43. U.S. Environmental Protection Agency, “PRIA Overview and History,” last updated July 19, 2022, https://www. epa.gov/pria-fees/pria-overview-and-history (accessed January 27, 2023).

— 425 — Environmental Protection Agency are statutorily required, and remove any regulatory differences between attainment and maintenance that are not explicitly required by law. l Streamline the process for state and local governments to demonstrate that their federally funded highway projects will not interfere with NAAQS attainment. l Adopt policies to prevent abuse of EPA’s CAA “error correction” authority.20 EPA historically has used this to coerce states into adopting its favored policies on pain of imposition of a Federal Implementation Plan (FIP). l Limit EPA’s reliance on CAA § 30121 general rulemaking authority to ensure that it is not abused to issue regulations for which EPA lacks substantive authority elsewhere in the statute. l If possible, return the standard-setting role to Congress. Climate Change l Remove the Greenhouse Gas Reporting Program (GHGRP) for any source category that is not currently being regulated. The overall reporting program imposes significant burdens on small businesses and companies that are not being regulated. This is either a pointless burden or a sword-of- Damocles threat of future regulation, neither of which is appropriate. l Establish a system, with an appropriate deadline, to update the 2009 endangerment finding. l Establish a significant emissions rate (SER) for greenhouse gasses (GHGs). Regulating Hydrofluorocarbons (HFCs) Under the American Innovation and Manufacturing (AIM) Act22 l Repeal Biden Administration implementing regulations for the AIM Act that are unnecessarily stringent and costly. l Refrain from granting petitions from opportunistic manufacturers to add new restrictions that further skew the market toward costlier refrigerants and equipment. — 426 — Mandate for Leadership: The Conservative Promise l Conduct realistic cost assessments that reflect actual consumer experiences instead of the current unrealistic ones claiming that the program is virtually cost-free. Mobile Source Regulation by the Office of Transportation and Air Quality l Establish GHG car standards under Department of Transportation (DOT) leadership that properly consider cost, choice, safety, and national security. l Review the existing “ramp rate” for car standards to ensure that it is actually achievable. l Include life cycle emissions of electric vehicles and consider all of their environmental impacts. l Restore the position that California’s waiver applies only to California- specific issues like ground-level ozone, not global climate issues. l Ensure that other states can adopt California’s standards only for traditional/criteria pollutants, not greenhouse gases. l Stop the use of the International Civil Aviation Organization (ICAO) to increase standards on airplanes. l Reconsider the Cleaner Trucks Initiative to balance the goal of driving down emissions without creating significant costs or complex burdens on the industry. Air Permitting Reforms for New Source Review (Pre-Construction Per- mits) and Title V (Operating Permits) l Develop reforms to ensure that when a facility improves efficiency within its production process, new permitting requirements are not triggered. l Restore the Trump EPA position on Once-In, Always-In (that major sources can convert to area sources when affiliated emissions standards are met). l Revisit permitting and enforcement assumptions that sources will operate 24 hours a day, 365 days a year; this artificially inflates a source’s potential to emit (PTE), which can result in more stringent permit terms.