Senate Advances Landmark Housing and Zoning Reform Bill

The U.S. Senate has approved the 21st Century ROAD to Housing Act with an overwhelming 89-10 vote. The action marks the latest step on Capitol Hill toward enacting major housing legislation that will help communities and their planners eliminate barriers to increasing housing supply.

The Senate has delivered a comprehensive response to the nation's housing crisis. The resounding, bipartisan vote demonstrates once again broad support for increasing housing supply and affordability.

We are proud to endorse the 21st Century ROAD to Housing Act! Through this bipartisan legislation, planners are supported in creating local reforms to increase housing affordability.🏘️💯

Thank you @SenWarren & @SenatorTimScott for championing the bill! https://t.co/5AAxDbkUF1

— APA Advocates (@APAadvocates) March 19, 2026

Legislation Package

The 21st Century ROAD to Housing Act is a legislative package that includes elements of the Senate's unanimously supported Renewing Opportunity in the American Dream (ROAD) to Housing Act from last fall, as well as provisions from the House's bipartisan Housing for the 21st Century Act.

The latest bill focuses primarily on improving federal housing funding programs, incentivizing local zoning reform, advancing modular and manufactured housing, and streamlining federal barriers and regulations — all areas that planners have identified as significant opportunities to advance federal action on housing.

Key provisions

Among the bill's key provisions are:

• A new grant program supporting local pattern books and pre-approved plans
• Changes to the environmental review process for targeted housing development
• Removal of the outdated "chassis rule" for modular and manufactured housing
• Grant funding to promote local innovation in zoning, land use, permitting, and code reform
• A new incentive structure within the Community Development Block Grant (CDBG) program
• Housing finance program reforms to promote a more diverse range of housing types
• Authorization of the CDBG-Disaster Recovery program
• Pilot initiative within the HOME program aimed at adaptive reuse projects
• A "whole-home" repair program to support renovation and preservation of existing housing

The Senate vote brings Congress an important step closer to enacting the largest housing bill in a generation. However, more work remains ahead.

Legislation compromises

The two previous bills that comprise the legislation contained numerous provisions. While many of these were maintained in the 21st Century ROAD to Housing Act, the Senate bill dropped some of these shared elements and, controversially, added new language on institutional investors in housing and build-to-rent housing. Among the elements cut from the Senate bill was the proposal to require HUD to develop zoning reform frameworks and analyses.

The new build-to-rent provisions caused some housing industry organizations to drop their support. Critics of the provision argue that the changes could undermine the bill's overall focus on increasing housing supply. Despite the large, bipartisan majority for passage, even many supporters of the bill hope the House may yet force a change to the language. The House will have to approve the Senate-passed version, return an amended version, or request a formal conference committee.

While it is not yet clear how the House will proceed, there is clear momentum for passage of a housing bill this year, and an important opportunity to enact legislation that can help deliver more homes and lower costs. Now is also the time for planners to weigh in with their representatives on Capitol Hill about the critical role of good planning in tackling the housing crisis.

Top image: iStock/Getty Images - benedek