II 119th CONGRESS 1st Session S. 2460 IN THE SENATE OF THE UNITED STATES July 24, 2025 Mr. Banks (for himself and Mr. Warner ) introduced the following bill; which was read twice and referred to the Committee on Banking, Housing, and Urban Affairs A BILL To establish a pilot program to convert blighted buildings into housing.

1. Short title This Act may be cited as the Revitalizing Empty Structures Into Desirable Environments Act or the RESIDE Act . 2. Blighted Building to Housing Conversion Program (a) Definitions In this section: (1) Attainable housing The term attainable housing means housing that— (A) serves households earning not more than 100 percent of the area median income, if a majority of the housing units are affordable to households earning not more than 80 percent of the area median income; or (B) serves households earning not more than 120 percent of the area median income, if the majority of the housing units are affordable to households earning not more than 60 percent of the area median income. (2) Converted housing unit The term converted housing unit means a housing unit that is created using a covered grant. (3) Covered grant The term covered grant means a grant awarded under the Pilot Program. (4) Eligible entity The term eligible entity means a participating jurisdiction, as that term is defined in section 104 of the Cranston-Gonzalez National Affordable Housing Act ( 42 U.S.C. 12704 ). (5) HOME Investment Partnerships Program The term HOME Investment Partnerships Program means the program under subtitle A of title II of the Cranston-Gonzalez National Affordable Housing Act ( 42 U.S.C. 12741 et seq. ). (6) Pilot Program The term Pilot Program means the Blighted Building to Housing Conversion Program carried out under subsection (b). (7) Secretary The term Secretary means the Secretary of Housing and Urban Development. (8) Vacant and abandoned building The term vacant and abandoned building means a property— (A) that was constructed for use as a warehouse, factory, mall, strip mall, or hotel, or for another industrial or commercial use; and (B) (i) with respect to which— (I) a code enforcement inspection has determined that the property is not safe; and (II) not less than 90 days have elapsed since the owner was notified of the deficiencies in the property and the owner has taken no corrective action; or (ii) that is subject to a court-ordered receivership or nuisance abatement related to abandonment pursuant to State or local law or otherwise meets the definition of an abandoned property under State law. (b) Grant program For each of fiscal years 2027 through 2031, if the amounts made available to carry out the HOME Investment Partnerships Program exceed $1,350,000,000, the Secretary may use not more than $100,000,000 of the excess amounts to carry out a pilot program, to be known as the Blighted Building to Housing Conversion Program , under which the Secretary awards grants on a competitive basis to eligible entities to convert vacant and abandoned buildings into attainable housing. (c) Amount of grant (1) In general For any fiscal year for which $100,000,000 is available to carry out the Pilot Program pursuant to subsection (b), the amount of a covered grant shall be not less than $1,000,000 and not more than $10,000,000. (2) Fiscal years with lower funding For any fiscal year for which less than $100,000,000 is available to carry out the Pilot Program pursuant to subsection (b), the Secretary shall seek to maximize the number of covered grants awarded. (d) Relation to HOME Investment Partnerships Program formula allocation A covered grant awarded to an eligible entity shall be in addition to, and shall not affect, the formula allocation for the eligible entity under the HOME Investment Partnerships Program. (e) Priority In awarding covered grants, the Secretary shall give priority to an eligible entity that— (1) will use the covered grant in a community that is experiencing economic distress; (2) will use the covered grant in a qualified opportunity zone (as defined in section 1400Z–1(a) of the Internal Revenue Code of 1986); (3) will use the covered grant to construct housing that will serve a need identified in the comprehensive housing affordability strategy and community development plan of the eligible entity under part 91 of title 24, Code of Federal Regulations, or any successor regulation (commonly referred to as a consolidated plan ); or (4) has enacted ordinances to reduce regulatory barriers to conversion of commercial or industrial properties to housing, which shall not include any alteration of an ordinance that governs safety and habitability. (f) Use of funds An eligible entity may use a covered grant for— (1) property acquisition; (2) demolition; (3) health hazard remediation; (4) site preparation; (5) construction, renovation, or rehabilitation; or (6) the establishment, maintenance, or expansion of community land trusts. (g) Applicability of HOME requirements The requirements for rental, sale, and resale of housing under the HOME Investment Partnerships Program shall apply to rental, sale, and resale of converting housing units under the Pilot Program. (h) Waiver authority In administering covered grants, the Secretary may waive, or specify alternative requirements for, any statute or regulation that the Secretary administers in connection with the obligation by the Secretary or the use by eligible entities of covered grant funds (except for requirements related to fair housing, nondiscrimination, labor standards, or the environment) if the Secretary makes a public finding that good cause exists for the waiver or alternative requirement. (i) Study; report Not later than 180 days after the termination of the Pilot Program, the Secretary shall study and submit a report to Congress on the impact of the Pilot Program on— (1) improving the tax base of local communities; (2) increasing access to affordable housing, especially for elderly individuals, disabled individuals, and veterans; (3) increasing homeownership; and (4) removing blight.