New HUD guidelines call for nixing green building requirements

The newly released 'best practices' advise local governments to streamline permitting processes, cap permitting fees and encourage by-right development of single-family homes.

1 minute read

May 26, 2026, 9:00 AM PDT

By Diana Ionescu @aworkoffiction


Two-story home or multifamily housing with large windows under construction in front of mature green trees.

Homes under construction in Englewood, New Jersey. | Alysson M / Shutterstock

The Department of Housing and Urban Development issued a set of "regulatory best practices" for local and state governments with the goal of stimulating more housing production.

As Ryan Kushner explains in Smart Cities Dive, "The three-page HUD document includes methods the agency says will reduce costs, such as capping permitting fees, implementing 'efficient' building codes and nixing green-energy building requirements."

According to Kushner, "HUD’s 'best practices' report calls on local governments to adopt solutions to streamline construction approvals and also encourages by-right development for single-family homes, with an emphasis on middle-income levels." The report also recommends using public land for housing, streamlining permitting with AI, and supporting manufactured and modular housing. It does not specifically address density or multifamily housing.

Thursday, May 21, 2026 in Smart Cities Dive

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