House and Senate Action

Both the House and Senate are in session this week, after which Congress will recess for one week in observance of Presidents’ Day.

House

There are several notable bills on the agenda this week, including a bipartisan housing package and a bill that would impose new voter eligibility requirements (more on these below).

Senate

Across Capitol Hill, the Senate will focus on nominations, while negotiations continue behind the scenes on potential immigration enforcement reforms.

FY26 Appropriations Package Signed into Law; DHS Funding Talks Continue

With most federal agencies now funded through the end of fiscal year 2026, attention has shifted squarely to the Department of Homeland Security (DHS), where Congress has only a few days to reach an agreement before funding expires on February 13.

As of this writing, lawmakers remain far apart on immigration enforcement policy provisions tied to the DHS bill, leaving a narrow and uncertain path to a deal. Democrats are pushing for several guardrails on enforcement practices, while Republicans have largely rejected those proposals. With the clock ticking, congressional leaders are scrambling to determine whether a compromise, or another short-term extension, is possible.

Absent a last minute compromise, a lapse in DHS funding could disrupt airport security operations overseen by the Transportation Security Administration and disaster response activities at the Federal Emergency Management Agency. On the other hand, Immigration and Customs Enforcement (ICE) and Customs and Border Protection (CBP) – agencies that received significant funding through last year’s budget reconciliation package – would likely see more limited near-term operational impacts.

House Slated to Vote on Bipartisan Housing Package

The House is scheduled to consider a bipartisan housing reform package today – the Housing for the 21st Century Act (H.R. 6644) – that overwhelmingly advanced through the House Financial Services Committee in December. The legislation, which is part of a broader effort to address the growing housing affordability crisis, includes 25 separate provisions aimed at boosting housing supply, modernizing local development and rural housing programs, expanding manufactured and affordable housing options, strengthening borrower protections, and improving oversight of housing providers.

Meanwhile, the Senate has advanced its own bipartisan proposal – the ROAD to Housing Act (ROAD Act; S. 2651) – which was recently included in the upper chamber’s version of the National Defense Authorization Act. However, the housing reforms were ultimately removed from the final conference agreement.

While both the ROAD Act and Housing for the 21st Century Act incorporate several overlapping provisions designed to increase the affordable housing supply, there are some key differences between the two measures. For instance, each chamber takes a unique approach to reauthorizing and modernizing the Community Development Block Grant (CDBG) and HOME Investment Partnerships Program. The Road Act includes additional funding for these programs but would also impose new financial penalties on local governments that fail to meet certain housing growth benchmarks. It also includes provisions related to federal homelessness programs and creates a $200 million annual innovation fund to provide flexible, competitive grants to local governments expanding housing supply.

If the House approves H.R. 6644 as expected, bipartisan leaders from the relevant House and Senate committees are expected to begin negotiations on a compromise package.

House to Consider New Voter Eligibility Requirements

The House is expected to vote this week on legislation – the Safeguarding American Voter Eligibility (SAVE) Act (S. 1383) – that would require individuals to provide proof of U.S. citizenship (i.e. passport or REAL ID-compliant identification cards) when registering to vote in federal elections. While citizenship is already required under current law, most states rely on voter attestation under penalty of perjury rather than documentary proof. The bill would establish new verification requirements and grant election officials access to certain federal databases to support citizenship checks, along with new penalties related to registration compliance.

SBA Issues Rule to Speed Post-Disaster Permitting Decisions

The U.S. Small Business Administration (SBA) recently issued an interim final rule allowing federal officials to waive certain state and local permitting requirements for projects financed with SBA disaster loans when approval delays exceed 60 days. The change applies to SBA disaster loans approved on or after January 1, 2025, and is intended to accelerate rebuilding following Presidentially declared disasters.

Under the rule, if a borrower submits a complete permit or approval application and does not receive a decision within 60 days, the SBA may allow reconstruction to proceed without that specific requirement. It should be noted that the policy is limited to SBA-funded projects and does not waive substantive building codes, health and safety standards, inspections, or certificates of occupancy.

The SBA is accepting public comments on the rule through March 2, 2026.