Congress converts unused federal land into affordable housing—with 30-year rent caps

What it does

This bill allows recipients of federal transportation funding who own land they no longer need to transfer it to local governments, nonprofits, or private developers for affordable housing—without repaying the federal government. In exchange, the developer must reserve at least 40% of units for families earning up to 60% of area median income at rents capped at 30% of their income, with 20% of those units reserved for families at 30% AMI or below, for 30 years. The goal is to convert underused federal-funded land into affordable housing.

Why we flagged it

The bill's core mechanism is to unlock federal land for affordable housing by removing repayment obligations and imposing affordability covenants. It is fundamentally a housing-policy tool, not a transportation bill, despite being codified in title 23 (transportation law).

What the text implies

• The bill allows private for-profit developers to receive federal land at no cost if they meet affordability thresholds, creating a subsidy pathway for private real estate firms that may not have been the original intent of transportation funding.
• Placement in title 23 (transportation law) rather than housing law may obscure the bill's true purpose and make it harder for housing advocates and the public to track affordable housing policy.
• The 30-year affordability covenant is binding on the developer but enforcement mechanisms and remedies for breach are not specified in the text provided.
• The bill grants the Secretary broad discretion to define 'adjusted income' and 'area median income' by rule, potentially allowing future administrations to weaken affordability protections through regulatory interpretation.

Who it affects

Ordinary citizens gain access to affordable housing on land that would otherwise sit vacant or be sold at market rates. The 30-year affordability requirement and income-targeting (40% of units at 60% AMI, 20% at 30% AMI) directly serve low- and moderate-income families. The mechanism reduces barriers to affordable housing development by eliminating federal repayment obligations.

Who stands to gain

• real estate development companies (for-profit)
• nonprofit housing developers
• property management firms

Named in the bill

Secretary of Transportation, Secretary of HUD, local governmental authorities, nonprofit organizations, third-party developers, title 23 USC (transportation law), area median income (AMI)

Where it stands

15 cosponsors: 11 Democrats, 4 Republicans.

• May 15, 2025 — Introduced · Congress.gov: “Introduced in House”
• May 15, 2025 — Referred to House Committee on Transportation and Infrastructure · Congress.gov: “Referred to the Subcommittee on Highways and Transit”

Dates and quoted wording are Congress.gov's action record; the timeline shows status changes, not every procedural step.

Money around this bill

2 lobbying clients named this bill on 4 disclosure filings across 2 quarters, Dec 2025 to Jun 2026. Those filings disclosed $150,000 in lobbying spend. A filing names 20 bills on average, so that figure is what each filing reported, not a share belonging to this bill.

More lobbying clients named this bill than 41% of bills with at least one filing.

Kevin Mullin, the sponsor, reported $505,911 in PAC receipts in the 2026 cycle.

• Up for Growth Action Inc — $90,000 on 2 filings
• Catholic Charities USA — $60,000 on 2 filings

Lobbying Disclosure Act filings through Jul 18, 2026. A filing shows who paid to lobby on a bill it names, not what changed.