WASHINGTON—The U.S. Senate passed the Responsibly and Optimally Advancing Development (ROAD) Act this week, a bipartisan bill proponents say will accelerate critical infrastructure projects. However, a coalition of housing policy analysts and urban planners warns the legislation contains provisions that may ultimately shrink, rather than expand, the nation’s strained housing supply.
The bill, which now heads to the House, streamlines environmental reviews for federally funded highways, bridges, and transit under the National Environmental Policy Act (NEPA). Supporters argue that cutting red tape will unclog a pipeline of projects vital for economic growth and community connectivity.
Yet, the core of the criticism lies in a specific section, the “Build Here Act,” incorporated into the ROAD Act. This section mandates a new, extended review process for any residential development proposed within a mile of a new federally assisted transportation project. “The intent was to ensure coordination,” a Senate aide familiar with the negotiations said on background. “But the practical effect could be to freeze development in the very areas where we need more housing the most—near transit hubs.”
Analysts point to the existing housing deficit, estimated by sources at the National Association of Realtors to exceed 5.5 million units. “Adding another layer of federal review, even with a streamlined NEPA process for the road itself, creates uncertainty and cost for homebuilders,” said a policy director at an urban planning nonprofit, who requested anonymity to speak freely about pending legislation. “Developers may simply choose to build further out, exacerbating sprawl, rather than navigate this new hurdle.”
The bill’s forward momentum sets up a contentious debate in the House. Some representatives from high-cost districts are already signaling they will seek amendments to decouple the housing review mandate from the infrastructure streamlining. The outcome will test whether Congress can reconcile two urgent national priorities: modernizing infrastructure and solving the housing affordability crisis.