Build America, Buy America law causes construction delays amid US housing crisis
5 hours ago
- #Affordable Housing
- #US Manufacturing
- #Government Policy
- The Build America, Buy America (BABA) law is causing delays in affordable housing projects due to strict requirements for American-made materials.
- Developers face difficulties sourcing domestically produced items like HVAC systems, lighting, and ceiling fans, leading to construction delays and increased costs.
- The waiver process for exemptions is slow, with HUD taking at least six months to approve requests, exacerbating the housing crisis.
- Affordable housing developers report spending thousands on consultants to verify American-made materials, adding to project expenses.
- Advocates argue the law supports American manufacturing, but critics say it fails to account for the lack of domestic production capacity for certain goods.
- Some developers are avoiding federal funding to bypass BABA requirements, though this limits their ability to finance projects.
- Proposals to exempt affordable housing from BABA rules are under consideration, but no concrete solutions have been implemented yet.