Special District Fairness and Accessibility Act
- Bill Number
- H.R. 2766
- Origin Chamber
- House
- Congress
- 119th Congress, Session 1
- Policy Area
- Government Operations and Politics
- Status
- Introduced
- Latest Action
- 2026-03-18: Ordered to be Reported (Amended) by the Yeas and Nays: 32 - 8.
- Last Updated
- 2026-06-09T08:06:51Z
AI-Generated Summary
Purpose of the Legislation
The "Special District Fairness and Accessibility Act" (H.R. 2766) aims to ensure that special districts—such as water or fire districts—are officially recognized as local governments when determining eligibility for federal financial aid. This promotes fair access to grants, loans, and other federal support for these entities, which handle specific public services like utilities or emergency response.
Key Provisions
- Guidance from the Office of Management and Budget (OMB): Within 180 days of the bill's enactment, the OMB Director must issue clear instructions to federal agencies on how to treat special districts as eligible "units of local government" for federal financial assistance programs.
- Agency Implementation: Federal agencies must adopt this OMB guidance within one year of its release, updating their policies, procedures, and guidelines to align with it.
- Reporting Requirement: Within two years of enactment, the OMB Director must submit a report to the House Committee on Oversight and Government Reform and the Senate Committee on Homeland Security and Governmental Affairs, assessing how well agencies have followed the guidance.
- Definitions:
- Agency: Any federal department or entity subject to the Freedom of Information Act (5 U.S.C. § 552).
- Federal Financial Assistance: Includes grants, loans, property, or other aid provided to non-federal recipients, but excludes reimbursements for services to individuals.
- Special District: A state-created entity with defined boundaries and independent budget control, focused on narrow functions (e.g., sanitation or transportation) separate from general city or county governments.
- State: Encompasses the 50 states, District of Columbia, U.S. territories, possessions, and federally recognized Indian tribes.
Significant Changes to Existing Law
This bill introduces new federal requirements for recognizing special districts in aid eligibility, which may not have been consistently treated as local governments under current policies. It mandates standardized guidance and compliance timelines, potentially overriding inconsistent agency practices that previously excluded or limited special districts from federal programs.
Potential Impacts
- On Government Agencies: Federal agencies will need to revise administrative processes, possibly increasing workload initially but streamlining aid distribution long-term by clarifying eligibility rules.
- On Citizens: Residents served by special districts (e.g., rural or suburban areas reliant on district-managed services like water supply) could gain better access to federal-funded improvements in infrastructure, public safety, or environmental projects.
- On International Relations: No direct impact, as the bill focuses on domestic federal-local funding.
Main Stakeholders Affected
- Special Districts: Primary beneficiaries, gaining clearer pathways to federal funding for their operations.
- Federal Agencies: Must update and report on their programs, affecting entities like the Department of Housing and Urban Development or Environmental Protection Agency that administer grants.
- States and Local Governments: Broader local entities may see shifts in how federal aid is allocated, potentially reducing competition or overlap with special districts.
- OMB and Congress: OMB leads implementation and reporting; congressional oversight committees monitor compliance.
Notable Legal, Constitutional, or Political Implications
- Legal: Establishes a uniform federal standard for aid eligibility without altering core statutes, relying on executive guidance to enforce changes—potentially subject to judicial review if agencies challenge implementation.
- Constitutional: Aligns with Congress's spending power under Article I, Section 8, by directing how federal funds are distributed to local entities, without infringing on state sovereignty over special districts.
- Political: Bipartisan support (introduced by members from both parties) highlights regional interests in equitable funding for underrecognized local bodies, possibly influencing future appropriations debates by emphasizing fairness in federalism.
This summary was generated by AI and may contain inaccuracies. Refer to the official source document for the authoritative text.
Sponsor
Cosponsors (24)
Rep. Pettersen, Brittany [D-CO-7], Rep. Valadao, David G. [R-CA-22], Rep. Kim, Young [R-CA-40], Rep. LaMalfa, Doug [R-CA-1], Rep. Newhouse, Dan [R-WA-4], Rep. Obernolte, Jay [R-CA-23], Rep. Harder, Josh [D-CA-9], Rep. Bonamici, Suzanne [D-OR-1], Rep. Ruiz, Raul [D-CA-25], Rep. Salinas, Andrea [D-OR-6], Rep. Hoyle, Val T. [D-OR-4], Rep. Whitesides, George [D-CA-27], Rep. Calvert, Ken [R-CA-41], Rep. Bynum, Janelle S. [D-OR-5], Rep. Fong, Vince [R-CA-20], Rep. Vindman, Eugene Simon [D-VA-7], Rep. Brownley, Julia [D-CA-26], Rep. Garamendi, John [D-CA-8], Rep. Randall, Emily [D-WA-6], Rep. Schrier, Kim [D-WA-8], Rep. Liccardo, Sam T. [D-CA-16], Rep. Carbajal, Salud O. [D-CA-24], Rep. DelBene, Suzan K. [D-WA-1], Rep. Owens, Burgess [R-UT-4]
Recent Actions
- 2026-03-18: Ordered to be Reported (Amended) by the Yeas and Nays: 32 - 8.
- 2026-03-18: Committee Consideration and Mark-up Session Held
- 2025-04-09: Referred to the House Committee on Oversight and Government Reform.
- 2025-04-09: Introduced in House
- 2025-04-09: Introduced in House
Bill Versions
- Special District Fairness and Accessibility Act — issued 2025-04-09 — PDF (4 pages)