Choice Neighborhoods Initiative Act of 2025
Sponsored By: Representative Cleaver, Emanuel [D-MO-5]
Introduced
Summary
Transforming extremely poor, severely distressed neighborhoods into sustainable, mixed‑income communities. This bill would create a competitive HUD grant program to fund housing redevelopment, supportive services, and neighborhood improvements while protecting residents’ right to return and requiring one‑for‑one replacement of public or assisted units.
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- Families and displaced residents: Residents who leave because of redevelopment would get relocation help, tenant‑based rental assistance options, a vacancy‑occupancy preference to return, at least 90 days' notice before relocation, and a minimum 150‑day housing search period.
- Local governments, public housing agencies, and nonprofits: Eligible applicants must submit transformation plans that include long‑term affordability commitments developed with residents and plans to keep affordability for at least 50 years.
- Neighborhoods, services, and projects: Grant funds may finance housing construction and rehab, supportive services, jobs and training partnerships, transit and community assets, and education linkages. No more than 25 percent of a grant may fund non‑housing activities and no more than 5 percent may fund sustainable housing and critical community improvements.
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Bill Overview
Analyzed Economic Effects
9 provisions identified: 5 benefits, 0 costs, 4 mixed.
Strict one-for-one unit replacement rules
If enacted, this bill would require 100% replacement of each public or assisted unit that gets demolished or disposed of. At least one-third of those replacement homes would have to be built near the old site. HUD could lower replacement only to 90% and only if a court order or strong market data shows the requirement cannot be met. Replacement homes would be comparable in size, keep the same tenant rights, and carry long-term affordability.
New HUD grants and rental help
If enacted, this bill would fund a HUD competition with $1 billion in 2026 and more as needed later. Up to 10% could fund planning and up to 5% technical help. At least 80% of funds or assisted units would be public housing. It would also allow HUD to spend what is needed for vouchers and other rental help tied to the number of units demolished.
Keep units affordable for 30 years
If enacted, this bill would require owners who get funds to keep homes affordable for at least 30 years or longer if already required. It would also require recorded use restrictions for private projects that get help, to protect long-term affordability.
Relocation help and right to return
If enacted, this bill would require plain written notice and usually at least 90 days before relocation. Families would get comparable housing options, moving-cost help, and security deposits. If you use a voucher to move, you would get at least 150 days to find a unit, with extensions or a comparable unit if needed. Plans would have to give a preference and path for residents to return if in good standing. Grantees would provide counseling and track residents until replacement homes are filled, and managers could not add extra screening to block returning tenants.
Limits on how grants are spent
If enacted, this bill would cap many non-housing uses at 25% of each grant and cap certain community improvements at 5%. It would also bar using funds to build or rehab schools, except for shared infrastructure with pro rata cost-sharing and HUD approval that it would not promote segregation.
Who can apply and resident meetings
If enacted, this bill would limit primary applicants to local governments, public housing agencies, or qualifying nonprofits. For public housing projects, the housing agency would need to apply alone or as a co-applicant. Applicants would have to meet with residents at least 30 days before applying, explain return and relocation options, and ask each resident about their preference.
More reporting and public transparency
If enacted, this bill would make HUD report to Congress each year at least 90 days before the fiscal year ends. Reports would cover unit counts, costs, assistance, resident impacts, relocation, and replacement compliance. HUD would also post applications, plans, and budgets online while protecting resident privacy.
Faster approvals and phased financing
If enacted, this bill would exempt demolitions under approved plans from one usual rule, while replacement units would still follow it. HUD would have to issue implementing rules within 180 days. HUD could also let multi-stage projects be financed and underwritten by phase.
HUD can reclaim funds, replace grantees
If enacted, this bill would let HUD take back unspent money when a grantee falls behind or breaks rules and give it to groups that can move faster, ideally in the same area. HUD could also require a different entity to run a project if the original misses performance targets.
Sponsors & CoSponsors
Sponsor
Cleaver, Emanuel [D-MO-5]
MO • D
Cosponsors
Rep. Lynch, Stephen F. [D-MA-8]
MA • D
Sponsored 6/12/2025
Rep. Meeks, Gregory W. [D-NY-5]
NY • D
Sponsored 6/12/2025
Rep. Torres, Ritchie [D-NY-15]
NY • D
Sponsored 6/12/2025
Roll Call Votes
No roll call votes available for this bill.
View on Congress.gov