October 04, 2026 to October 10, 2026

This is Queen Street Analytics' weekly digest of regulatory developments, legislative discussions and other government-related news related to residential and commercial construction as well as infrastructure and government initiatives and programs concerning housing and housing affordability. Once a week, we break down the most important updates in this space in under five minutes.

📋 In This Week's Newsletter

• 🇺🇸 Federal Government News
• 📚 What We're Reading This Week

Federal Government News

Statutorily Mandated Designation of Difficult Development Areas and Qualified Census Tracts for 2027

The Department of Housing and Urban Development published its annual designation of Difficult Development Areas (DDAs) and Qualified Census Tracts (QCTs) for the Low-Income Housing Tax Credit program, effective for allocations after December 31, 2026. DDAs reflect regions where construction, land, and utility costs are high relative to area median gross income, while QCTs are defined by income and poverty thresholds using data from the 2020 Census and recent American Community Survey tabulations. In DDAs and QCTs, eligible basis for LIHTC projects may be increased up to 30 percent, potentially accelerating development for affordable rental housing. Definitions for metropolitan statistical areas were based on OMB Bulletin No. 23-01, with modifications for housing market differences. The new lists and their statistical methodology determine project credit eligibility and financial incentives for owners and developers in the coming cycle.

Sources: www.federalregister.gov

Section 3 Benchmarks for Creating Economic Opportunities for Low- and Very Low-Income Persons and Eligible Businesses

HUD announced updated Section 3 benchmarks, maintaining current goals for economic opportunities through federal housing programs due to insufficient representative data. The Section 3 Reporting Application for Public Housing Financial Assistance, launched in January 2026, supports compliance tracking. Public comments on benchmarks and reporting challenges are invited through December 4, 2026, and the next update is scheduled within three years unless substantive responses prompt revision. The aim is to direct federally-funded project employment toward low-income individuals and eligible businesses, but broad changes are not planned at this time given incomplete labor hour reporting from large projects.

Sources: www.federalregister.gov

60-Day Notice of Proposed Information Collection: FHA Catalyst: Multifamily Applications, and Portal + Loan Underwriting System (PLUS)

HUD issued a notice seeking Office of Management and Budget approval for information collection related to FHA Catalyst: Multifamily Applications and a new Portal + Loan Underwriting System (PLUS). The web-based platforms streamline lender submissions for FHA multifamily mortgage insurance and allow lenders to request project numbers and monitor real-time status. PLUS will replace current portal functionality, affecting MAP Lenders, Housing Finance Agencies, and Government-Sponsored Enterprises. The annual estimated burden is 590 hours, costing $26,550. Comments on the process and burden are open through December 7, 2026.

Sources: www.federalregister.gov

60-Day Notice of Proposed Information Collection: Builder's Certification of Plans, Specifications, and Site

HUD is requesting comments on reinstatement and change of the Builder's Certification of Plans, Specifications, and Site (Form HUD-92541), required for homes financed with FHA mortgage insurance. The form ensures newly built homes are clear of adverse site conditions or hazards and eligible for insurance. Estimated respondents number 260,742, with 19,556 total burden hours annually. The notice initiates a 60-day public comment period to collect input on necessity, burden, and potential use of automated submissions.

Sources: www.federalregister.gov

Agency Information Collection Activities; Private Rental Survey

The Department of the Interior proposed to renew its Private Rental Survey information collection in compliance with OMB Circular A-45, supporting government employee housing management. The survey reviews rental rates for government-furnished housing, comparing them with private sector rates to validate utility and service charges. Approximately 1,883 respondents participate, furnishing data for 3,539 rental units, with a total annual burden estimated at 342 hours. Public comment is requested before November 4, 2026.

Sources: www.federalregister.gov

Air Plan Approval; Missouri; Construction Permit Exemptions

The EPA approved revisions to Missouri’s State Implementation Plan regarding construction permit exemptions under its Minor New Source Review program. Changes include refined exemption criteria for emergency generators, updated references, and clarified recordkeeping requirements. Missouri conducted public notice and hearing in 2025 with no public comments. The revised SIP meets Clean Air Act requirements and is effective November 9, 2026. EPA concluded the refinements strengthen exemption rules without negatively impacting air quality.

Sources: www.federalregister.gov

SMR, LLC; Palisades SMR, LLC; Pioneer Units 1 and 2; Phased Construction Permit Application-Limited Work Authorization

The Nuclear Regulatory Commission provided notice of receipt and availability of the phased construction permit application, including a limited work authorization, for SMR-300 units at Palisades Energy Center in Michigan. Holtec International submitted Part 1 of its application, containing requests for early construction activities and environmental reporting. NRC will conduct technical review, with public access to documentation via Docket ID NRC-2026-0265. This marks the second weekly notification in the application’s phased process.

Sources: www.federalregister.gov

Presidential Message on Fire Prevention Week

During Fire Prevention Week, the Administration acknowledged firefighters and outlined nationwide fire prevention strategies, including improving response and establishing the United States Wildland Fire Service. Americans were urged to create home escape plans and maintain alarms. An Executive Order signed last year aims to enhance wildfire detection and management, with efforts targeting preparedness for both residential and commercial environments.

Sources: www.whitehouse.gov

President Trump Is Putting American Industry, Jobs, and Paychecks Back on the Map

President Trump announced a series of domestic manufacturing and infrastructure investments, including Mesabi Metallics’ $15 billion steel complex in Iowa, Anduril’s $6.6 billion shipyard in Maryland, and South Korean energy investments in nuclear plants and LNG pipelines. These initiatives target job creation and expansion of U.S. manufacturing capacity, with Becton Dickinson and AstraZeneca committing billions to facilities and workforce development across multiple states. The Department of Energy will fund a major transmission line in Alaska.

Sources: www.whitehouse.gov

Fact Sheet: President Donald J. Trump Promotes Diesel Affordability

President Trump signed an Executive Order permitting off-road dyed diesel use on highways and deferring the Federal excise tax, intending to reduce diesel costs. The Order tasks the Treasury to assess eliminating deferred taxes and coordinate access for farmers and truckers, citing rising diesel prices tied to international supply disruptions and prior energy policy changes. The Administration referenced tax cuts and support measures for the agricultural sector as part of broader relief.

Sources: www.whitehouse.gov

President Trump Takes Decisive Action to Lower Diesel Costs for American Truckers, Farmers

Through an Executive Order, President Trump allowed tax-free dyed diesel for highway use through the end of 2026, deferring the federal diesel tax, estimating savings of approximately $60 per refill and potential for higher savings where state policies match. The measure targets supply disruptions and refining constraints, and was announced in Nebraska as part of the affordability agenda supporting agriculture and logistics.

Sources: www.whitehouse.gov

WHAT THEY ARE SAYING: President Trump Delivers Immediate Diesel Relief, Saving Americans Up to $100 Per Fill

Following the Executive Order on dyed diesel, White House officials, Governors, agriculture leaders, and Members of Congress publicly supported the action, citing potential savings for truckers and farmers. Stakeholders noted immediate reductions in fuel costs and called for broader solutions on energy affordability. States aligned policy enforcement with the federal action to facilitate implementation.

Sources: www.whitehouse.gov

NATIONAL ENERGY DOMINANCE MONTH, 2026

President Trump proclaimed October as National Energy Dominance Month, referencing actions such as overturning the Endangerment Finding, approving thousands of drilling permits, saving coal plants, and securing majority control of Venezuelan oil reserves. The administration claims record oil and gas output and highlights infrastructure projects, such as pipelines and export terminals, contributing to job creation and ratepayer affordability. The Ratepayer Protection Pledge was launched to address energy costs.

Sources: www.whitehouse.gov

Agency Information Collection Activities: Submission for OMB Review, Comment Request; Elevation Certificate/Floodproofing Certificate.

The Federal Emergency Management Agency submitted a request for OMB review regarding information collection for Elevation Certificates and Floodproofing Certificates. The activity pertains to ensuring compliance with construction and floodplain management standards. Documentation and further comment were solicited as part of the agency’s regulatory process.

Sources: www.federalregister.gov

What We're Reading This Week

• How 7.4% Mortgages Are Giving Buyers Leverage in a Stuck Housing Market: Buyers are negotiating prices amid rising mortgage rates.
• Highest Mortgage Rates in 3 Years Chills the Housing Market: Elevated mortgage rates stall housing transactions and impact prices.
• The Surge in Rates Is Blowing Up Commercial Real-Estate Deals: Increased rates cause cancellation of commercial real estate transactions.
• Opinion | Hurray for Higher Mortgage Rates: Commentary discusses broader effects of rising mortgage rates.
• Exclusive | Luxury Senior-Housing Company Locks In a $1 Billion Buyer: Luxury senior-housing firm secures $1 billion investor.
• NEWSLETTER: Can data centers be built sustainably?: Data center development faces challenges in sustainability and energy use.
• Spain's housing crisis bursts into the spotlight at snap election: Spain’s housing supply issues become a topic during election campaigning.
• Rate hike fears weigh on UK housing market, RICS says: UK housing market outlook dims as rate hike expectations persist.

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