HUD has released a new public interest waiver delaying the implementation of the Build America, Buy America Act (BABA) for most HUD programs. The implementation dates are as follows for the following programs and purchases.
- Community Development Block Grants used for iron and steel: November 15, 2022;
- Choice Neighborhood and Lead Hazard Control and Healthy Homes grants used for iron and steel: February 22, 2023;
- Recovery Housing Program grants used for iron and steel: August 23, 2023;
- Choice Neighborhood and Lead Hazard Control and Healthy Homes grants used for construction materials and manufactured products: August 23, 2024;
- Community Development Block Grants used for construction materials and manufactured products: Fiscal Years 2024 and 2025;
- Recovery Housing Program grants used for construction materials: Fiscal Year 2024 and manufactured products: Fiscal Year 2025;
- All other HUD programs receiving Federal Financial Assistance used for iron and steel (not including HOME, Housing Trust Fund, and Public Housing funding used for maintenance): February 22, 2024; and
- All other HUD programs using Federal Financial Assistance (including for maintenance) for construction materials and manufactured products: August 23, 2024.
These dates apply to when funds are obligated by HUD to recipients. For example, only Public Housing Capital Fund dollars obligated on or after August 23, 2024 would fall under BABA requirements but those obligated before this date would not. Because the current public interest phased implementation waiver runs through February 21, 2023 and this new proposed waiver will not be effective until after its comment period ends March 2, 2023, funding obligated between these two dates would be subject to BABA requirements. However, HUD has informed NAHRO that the department will not allocate funding to agencies during this gap to ensure funds do not fall under BABA.
For more information about this waiver, see the waiver text here, NAHRO Direct News, and the February 28 edition of The NAHRO Monitor.