Empty Lots to Housing Act

Bill Number

H.R. 3459

Origin Chamber

House

Congress

119th Congress, Session 1

Policy Area

Transportation and Public Works

Status

Introduced

Latest Action

2025-05-15: Referred to the Subcommittee on Highways and Transit.

Last Updated

2026-06-12T13:43:13Z

AI-Generated Summary

Purpose

The "Empty Lots to Housing Act" (H.R. 3459) aims to address underused real property acquired with federal highway funding by allowing its transfer to entities that can develop affordable, transit-oriented housing. This promotes housing near public transportation while repurposing land no longer needed for transportation purposes.

Key Provisions

• Eligibility for Transfer: A recipient of federal assistance under Chapter 1 of Title 23 of the U.S. Code (which covers federal-aid highways) may transfer real property acquired with such funds if it is no longer needed for its original purpose. The transfer is authorized by the Secretary of Transportation and releases the recipient from further obligations to the federal government.
• Eligible Recipients:
• Primary option: Transfer to a local government authority or nonprofit organization for developing "transit-oriented dwelling units" (housing located near public transit to encourage walkable, sustainable communities).
• Alternative option: Transfer to a third-party entity (e.g., a private developer) if a local government or nonprofit cannot accept it, provided:
• The overall public benefit of the transfer exceeds the government's interest in selling the property (considering fair market value and other factors).
• The third-party has a proven track record in building or managing affordable housing.
• Affordability Requirements: The Secretary can only approve the transfer if the recipient includes a contract with the receiving entity enforcing these rules for 30 years from the transfer date:
• At least 40% of developed housing units must be reserved for families with adjusted income (a measure of household income after deductions, defined by federal rules) at or below 60% of the area median income (AMI, the midpoint income for a region). These units must be rented at no more than 30% of the family's adjusted income.
• Within those 40% reserved units, at least 20% (or 8% of total units) must be for families at or below 30% of AMI.
• Administrative Details: Adds a new Section 180 to Chapter 1 of Title 23, U.S. Code, and updates the chapter's table of contents accordingly.

Significant Changes to Existing Law

• Previously, under Title 23, unused federally assisted real property was typically required to be sold or reverted to the government, with proceeds often returned to federal highway programs. This bill introduces a new pathway for no-cost transfers specifically for affordable housing development, bypassing traditional disposal methods and emphasizing long-term affordability mandates.
• It expands flexibility for recipients (like state transportation departments) by allowing transfers without federal repayment, but ties approvals to strict housing commitments.

Potential Impacts

• On Government Agencies: The U.S. Department of Transportation (via the Secretary) gains new oversight responsibilities for evaluating transfers and enforcing 30-year contracts, potentially increasing administrative workload but enabling better use of federal assets.
• On Citizens: Low- and moderate-income families (especially those below 60% AMI) could gain access to more affordable rental housing near transit, reducing commuting costs and promoting equitable urban development. It may help alleviate housing shortages in transit-accessible areas.
• On International Relations: No direct impacts, as the bill focuses on domestic transportation and housing policy.
• Broader Effects: Could lead to more transit-oriented communities, supporting environmental goals like reduced car dependency, though success depends on local implementation.

Main Stakeholders Affected

• Federal and State Transportation Agencies: As recipients of highway funds, they can initiate transfers but must comply with affordability contracts.
• Local Governments and Nonprofits: Primary beneficiaries for receiving property to develop housing, potentially partnering with housing authorities.
• Third-Party Developers: Private entities with affordable housing experience that may receive property under specific conditions.
• Low-Income Families and Communities: Direct beneficiaries through reserved affordable units, particularly in urban areas with transit infrastructure.
• U.S. Department of Housing and Urban Development (HUD): Involved in defining "adjusted income" through rulemaking, ensuring alignment with federal housing standards.

Notable Legal, Constitutional, or Political Implications

• Legal: Amends federal highway law (Title 23) to prioritize housing over revenue generation from property sales, potentially setting a precedent for repurposing federal assets for social needs. The 30-year affordability covenant creates enforceable long-term obligations, enforceable via contract law, but may face challenges if economic conditions change (e.g., disputes over AMI calculations).
• Constitutional: Aligns with Congress's spending power under Article I, Section 8, by directing federal funds toward public welfare (housing and transit). No apparent conflicts with property rights, as transfers involve government-assisted land.
• Political: Encourages bipartisan support for affordable housing initiatives by leveraging existing transportation infrastructure, potentially influencing future infrastructure bills. It balances federal control with local flexibility, though third-party transfers could raise concerns about private profit from public land.

This summary was generated by AI and may contain inaccuracies. Refer to the official source document for the authoritative text.

Sponsor

Rep. Mullin, Kevin [D-CA-15]

Cosponsors (15)

Rep. Edwards, Chuck [R-NC-11], Rep. Fitzpatrick, Brian K. [R-PA-1], Rep. Peters, Scott H. [D-CA-50], Rep. Thanedar, Shri [D-MI-13], Rep. Garcia, Robert [D-CA-42], Rep. Auchincloss, Jake [D-MA-4], Rep. Goodlander, Maggie [D-NH-2], Rep. Bresnahan, Robert P. [R-PA-8], Rep. Davids, Sharice [D-KS-3], Rep. Nunn, Zachary [R-IA-3], Rep. Harder, Josh [D-CA-9], Rep. Horsford, Steven [D-NV-4], Rep. Friedman, Laura [D-CA-30], Rep. Wasserman Schultz, Debbie [D-FL-25], Rep. McDonald Rivet, Kristen [D-MI-8]

Recent Actions

• 2025-05-15: Referred to the Subcommittee on Highways and Transit.
• 2025-05-15: Referred to the House Committee on Transportation and Infrastructure.
• 2025-05-15: Introduced in House
• 2025-05-15: Introduced in House

Bill Versions

• Empty Lots to Housing Act — issued 2025-05-15 — PDF (4 pages)