New Environmental Review Process Will Boost Infrastructure Projects
The Trump administration today proposed regulatory reforms to the National Environmental Policy Act that will boost infrastructure projects that are needed to support residential land development projects.
“The plan to reform the National Environmental Policy Act (NEPA) is the most recent example of the Trump administration’s ongoing efforts to reduce harmful regulations that hurt small businesses and impede economic growth,” said NAHB Chairman Greg Ugalde. “Updating NEPA will streamline the federal permitting process and allow badly needed transportation and infrastructure projects to move forward. In turn, this will build strong communities and support a thriving housing market.”
NEPA was intended to provide an important environmental check on major federal actions. However, it has often been misused to improperly delay or prohibit vital infrastructure projects or to thwart implementation of needed reforms to federal environmental regulations.
NAHB CEO Jerry Howard represented NAHB at the White House event announcing the proposed overhaul on how federal agencies will implement NEPA. NAHB believes the administration deserves credit for its actions to remove federal regulatory barriers across all federal agencies that impact the larger U.S. economy, including regulations that affect housing.
“We welcome any NEPA reforms that streamline the regulatory process and reduce unnecessary costs and delays,” said Howard. “At the same time, we urge President Trump and the administration to continue their efforts to highlight and eliminate regulatory barriers to affordable housing at all levels of government.”
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New homes with 5,000 square feet or more of living space posted an increase in market share last year. In 2025, 27,000 homes of this size were started, accounting for 2.9% of all new homes started. Both the number and market share of homes with 5,000 square feet or more increased from 2024, according to annual data from the Census Bureau’s Survey of Construction (SOC).
Twenty-one percent of NAHB builder members listed residential remodeling as their primary business, according to the 2025 Member Census. These remodelers tend to be relatively small, with a median of five employees and a median annual revenue of $2.1 million. This means that remodelers are even smaller than NAHB builder members, who had a median of six employees and median annual revenue of $3.7 million, as reported in a recent post.
Total tax revenue collected by state and local governments was up 5.8% from a year ago in the second quarter, according to the Quarterly Summary of State and Local Government Tax Revenue published by the U.S. Census Bureau. This was the highest year-over-year growth since the third quarter of 2024 (7.2%).