I 
119TH CONGRESS 
1ST SESSION H. R. 4957 
To reform rural housing programs, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
AUGUST 12, 2025 
Mr. NUNN of Iowa (for himself and Mr. CLEAVER) introduced the following 
bill; which was referred to the Committee on Financial Services, and in 
addition to the Committee on Agriculture, for a period to be subsequently 
determined by the Speaker, in each case for consideration of such provi-
sions as fall within the jurisdiction of the committee concerned 
A BILL 
To reform rural housing programs, and for other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 
(a) SHORT TITLE.—This Act may be cited as the 
‘‘Rural Housing Service Reform Act of 2025’’. 
(b) TABLE OF CONTENTS.—The table of contents of 
this Act is as follows: 
Sec. 1. Short title; table of contents. 
TITLE I—STREAMLINING AND UPDATES 
Sec. 101. Application of multifamily mortgage foreclosure procedures to multi-
family mortgages held by the Secretary of Agriculture and 
preservation of the rental assistance contract upon foreclosure. 
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Sec. 102. Study on rural housing loans for housing for low- and moderate-in-
come families. 
Sec. 103. Authorization of appropriations for staffing and IT upgrades. 
Sec. 104. Funding for technical improvements. 
TITLE II—RURAL HOUSING PRESERVATION AND REVITALIZATION 
Sec. 201. Permanent establishment of housing preservation and revitalization 
program. 
Sec. 202. Rental assistance contract authority. 
TITLE III—SECTION 504 LOANS AND GRANTS 
Sec. 301. Modifications to loans and grants for minor improvements to farm 
housing and buildings; income eligibility. 
TITLE IV—RURAL COMMUNITY DEVELOPMENT INITIATIVE 
GRANTS 
Sec. 401. Rural community development initiative. 
TITLE V—REPORTS 
Sec. 501. Annual report on rural housing programs. 
Sec. 502. GAO report on Rural Housing Service technology. 
TITLE VI—RURAL HOUSING VOUCHER PROGRAM 
Sec. 601. Adjustment to rural development voucher amount. 
Sec. 602. Eligibility for rural housing vouchers. 
Sec. 603. Amount of voucher assistance. 
TITLE VII—TRANSFERS TO NONPROFIT ORGANIZATIONS 
Sec. 701. Transfer of multifamily rural housing projects. 
TITLE VIII—SECTION 502 LOANS AND GUARANTEES 
Sec. 801. Extension of loan term. 
Sec. 802. Release of liability for section 502 guaranteed borrower upon assump-
tion of original loan by new borrower. 
Sec. 803. Department of Agriculture loan restrictions. 
TITLE IX—ACCESSORY DWELLING UNITS 
Sec. 901. Loan guarantees. 
TITLE X—TIME FRAME FOR COMPLETING APPLICATION REVIEW 
Sec. 1001. Application review. 
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TITLE I—STREAMLINING AND 
UPDATES 
SEC. 101. APPLICATION OF MULTIFAMILY MORTGAGE 
FORECLOSURE 
PROCEDURES 
TO 
MULTI-
FAMILY MORTGAGES HELD BY THE SEC-
RETARY OF AGRICULTURE AND PRESERVA-
TION OF THE RENTAL ASSISTANCE CON-
TRACT UPON FORECLOSURE. 
(a) MULTIFAMILY MORTGAGE PROCEDURES.—Sec-
tion 363(2) of the Multifamily Mortgage Foreclosure Act 
of 1981 (12 U.S.C. 3702(2)) is amended— 
(1) in subparagraph (D), by striking ‘‘and’’ at 
the end; 
(2) in subparagraph (E), by striking the period 
at the end and inserting ‘‘; or’’; and 
(3) by adding at the end the following: 
‘‘(F) section 514, 515, or 538 of the Hous-
ing Act of 1949 (42 U.S.C. 1484, 1485, 
1490p).’’. 
(b) PRESERVATION OF CONTRACT.—Section 521(d) 
of the Housing Act of 1949 (42 U.S.C. 1490a(d)) is 
amended by adding at the end the following: 
‘‘(3) Notwithstanding any other provision of law in 
managing and disposing of any multifamily property that 
is owned or has a mortgage held by the Secretary, and 
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during the process of foreclosure on any property with a 
contract for rental assistance under this section— 
‘‘(A) the Secretary shall maintain any rental as-
sistance payments that are attached to any dwelling 
units in the property; and 
‘‘(B) the rental assistance contract may be used 
to provide further assistance to existing projects 
under 514, 515, or 516.’’. 
SEC. 102. STUDY ON RURAL HOUSING LOANS FOR HOUSING 
FOR LOW- AND MODERATE-INCOME FAMI-
LIES. 
Not later than 6 months after the date of enactment 
of this Act, the Secretary of Agriculture shall conduct a 
study and submit to Congress a publicly available report 
on the loan program under section 521 of the Housing 
Act of 1949 (42 U.S.C. 1490a), including— 
(1) the total amount provided by the Secretary 
in subsidies under such section 521 to borrowers 
with loans made pursuant to section 502 of such Act 
(42 U.S.C. 1472); 
(2) how much of the subsidies described in 
paragraph (1) are being recaptured; and 
(3) the amount of time and costs associated 
with recapturing those subsidies. 
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SEC. 
103. 
AUTHORIZATION 
OF 
APPROPRIATIONS 
FOR 
STAFFING AND IT UPGRADES. 
There is authorized to be appropriated to the Sec-
retary of Agriculture for each of fiscal years 2026 through 
2030 such sums as may be necessary for increased staff-
ing needs and information technology upgrades to support 
all Rural Housing Service programs. 
SEC. 104. FUNDING FOR TECHNICAL IMPROVEMENTS. 
(a) AUTHORIZATION OF APPROPRIATIONS.—There is 
authorized to be appropriated to the Secretary of Agri-
culture such sums as may be necessary for fiscal year 
2026 for improvements to the technology of the Rural 
Housing Service of the Department of Agriculture used 
to process and manage housing loans. 
(b) AVAILABILITY.—Amounts appropriated pursuant 
to subsection (a) shall remain available until the date that 
is 5 years after the date of the appropriation. 
(c) TIMELINE.—The Secretary of Agriculture shall 
make the improvements described in subsection (a) during 
the 5-year period beginning on the date on which amounts 
are appropriated under subsection (a). 
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TITLE 
II—RURAL 
HOUSING 
PRESERVATION 
AND 
REVI-
TALIZATION 
SEC. 201. PERMANENT ESTABLISHMENT OF HOUSING PRES-
ERVATION AND REVITALIZATION PROGRAM. 
Title V of the Housing Act of 1949 (42 U.S.C. 1471 
et seq.) is amended by adding at the end the following: 
‘‘SEC. 545. HOUSING PRESERVATION AND REVITALIZATION 
PROGRAM. 
‘‘(a) ESTABLISHMENT.—The Secretary shall carry 
out a program under this section for the preservation and 
revitalization of multifamily rental housing projects fi-
nanced under section 514, 515, or 516. 
‘‘(b) NOTICE OF MATURING LOANS.— 
‘‘(1) TO
OWNERS.—On an annual basis, the 
Secretary shall provide written notice to each owner 
of a property financed under section 514, 515, or 
516 that will mature within the 4-year period begin-
ning upon the provision of the notice, setting forth 
the options and financial incentives that are avail-
able to facilitate the extension of the loan term or 
the option to decouple a rental assistance contract 
pursuant to subsection (f). 
‘‘(2) TO TENANTS.— 
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‘‘(A) IN GENERAL.—On an annual basis, 
for each property financed under section 514, 
515, or 516, not later than the date that is 2 
years before the date that the loan will mature, 
the Secretary shall provide written notice to 
each household residing in the property that in-
forms them of— 
‘‘(i) the date of the loan maturity; 
‘‘(ii) the possible actions that may 
happen with respect to the property upon 
that maturity; and 
‘‘(iii) how to protect their right to re-
side in federally assisted housing, or how 
to secure housing voucher, after that ma-
turity. 
‘‘(B) LANGUAGE.—Notice under this para-
graph shall be provided in plain English and 
shall be translated to other languages in the 
case of any property located in an area in which 
a significant number of residents speak such 
other languages. 
‘‘(c) LOAN RESTRUCTURING.—Under the program 
under this section, in any circumstance in which the Sec-
retary proposes a restructuring to an owner or an owner 
proposes a restructuring to the Secretary, the Secretary 
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