HR6217-119

What This Bill Does

The Revitalize Our Neighborhoods Act authorizes HUD to make competitive grants to States, units of general local government, and multi-jurisdictional entities for eligible activities in low-income communities. Grant funds may be used for demolition, clearance, and removal of blighted structures; boarding vacant properties and blighted structures; deconstruction; waste removal, site clearance, and vacant land management; renovation of blighted or abandoned structures; construction or preservation of affordable rental or owner-occupied housing as an outcome of blight elimination; and administrative costs up to 10 percent. Recipients may provide funds to land banks and Community Housing Development Organizations, and States may pass funds to local governments with low-income communities. Funds may not be used to acquire occupied residential dwelling units. Recipients must contribute matching funds at least equal to 15 percent of the grant, submit a detailed five-year plan identifying low-income communities, activities, timetables, and match sources, and spend grant and matching amounts within five years. HUD must run a competition, provide technical assistance using no more than 5 percent of appropriations, collect annual recipient reports starting 15 months after initial grant receipt, publish those reports, and may issue regulations. GAO must report to Congress after three years on planned projects and after six years on final outcomes. The bill authorizes such sums as necessary for fiscal years 2026 through 2031.

Who Benefits and How

Residents of low-income communities benefit from demolition, site clearance, renovation, and affordable housing work aimed at eliminating blight. State housing agencies benefit because they can compete for grants and subgrant funds to local governments with low-income communities. Local governments with blighted properties benefit from Federal support for clearance, deconstruction, vacant land management, and affordable housing outcomes. Land banks benefit because recipients may provide grant amounts to them for eligible activities. Community Housing Development Organizations benefit because recipients may pass funds to them for blight elimination and neighborhood revitalization. Demolition and construction contractors benefit from grant-funded eligible activities.

Who Bears the Burden and How

HUD community development staff must run competitions, review five-year plans, provide technical assistance, publish annual reports, and issue regulations if needed. Grant recipients must provide at least a 15 percent match, submit detailed plans, spend funds within five years, and file annual reports. States receiving grants must manage subgrants to local governments and ensure activities stay within low-income communities. GAO auditors must report to Congress three years and six years after initial awards. Federal taxpayers bear the cost of any appropriations Congress provides for fiscal years 2026 through 2031.

Key Provisions

• Authorizes competitive HUD grants for blight elimination and neighborhood revitalization in low-income communities.
• Provides eligible uses for demolition, clearance, boarding, deconstruction, waste removal, site management, renovation, and affordable housing outcomes.
• Allows recipients to pass funds to land banks, Community Housing Development Organizations, and local governments.
• Prohibits use of grant funds to acquire occupied residential dwelling units.
• Requires a 15 percent matching contribution and a detailed five-year plan for activities, communities, timetables, and match sources.
• Requires annual recipient reports, HUD public posting, GAO three-year and six-year reports, and authorizes such sums as necessary for fiscal years 2026 through 2031.