EPA Repeals Obama-Era WOTUS Rule
In a positive development to resolve years of uncertainty over where federal jurisdiction begins and ends, the Environmental Protection Agency today rescinded the Obama-era “waters of the U.S.” (WOTUS) rule.
“NAHB commends the EPA and U.S. Army Corps of Engineers for repealing the 2015 WOTUS rule that vastly expanded federal overreach over water and land use by regulating man-made ditches and isolated ponds on private property,” said NAHB Chairman Greg Ugalde.
“By repealing the 2015 rule, the EPA and Corps have finally provided consistency among all 50 states, which will make the federal permitting process more predictable and affordable," he added. "Now, the agencies need to finalize a new definition that restores common sense to the regulatory process by respecting states' rights and balancing economic and environmental concerns.”
The 2015 WOTUS rule has been subject to several legal challenges that halted its implementation nationwide. Last month, the U.S. District Court for Georgia issued a decision finding that the substance of the rule violates the Clean Water Act. The court remanded the rule back to the agencies to fix it.
Prior to EPA's repeal announcement, the Obama-era rule was in effect in 22 states and the District of Columbia, and the previous regulations issued in 1986 were in effect in the remaining 28 states. The EPA decision means the 1986 rule will now be in effect in nationwide until a final replacement rule is issued.
The Trump administration has proposed a new WOTUS rule that NAHB generally supports. The proposed rule would clarify the extent of federal oversight and correct the vast overreach of prior rules.
Once finalized, builders and developers will be better able to determine for themselves whether they will need federal permits for construction activities. And, because the proposed rule narrows the extent of federal jurisdiction by excluding isolated water bodies, "ephemeral" waters that only form in response to rain, and most ditches, builders should require fewer Clean Water Act permits for isolated or temporary wetlands or water bodies.
Latest from NAHBNow
Feb 25, 2026
Is the Decline in Young Adult-Led Households a Cyclical Slip or the New Normal?The headship rates among young adults — the share of adults ages 25-34 heading their own households — declined in 2024 to 43.7% after a post-pandemic jump. Are cyclical factors causing household rates to fluctuate, or is the data pointing to a new long-term trend?
Feb 25, 2026
NAHB Legal Action Fund Awards $125,000 in Legal Support at IBSAt its recent meeting at the 2026 International Builders’ Show in Orlando, the NAHB Legal Action Committee reviewed requests for Legal Action Fund assistance and recommended a total of $125,000 in legal grants which was approved by the NAHB Board of Directors.
Latest Economic News
Feb 25, 2026
Housing’s Share of GDP Declined Further at the End of 2025Housing’s share of the economy was 16.0% in the fourth quarter of 2025, according to the latest estimates of GDP produced by the Bureau of Economic Analysis. This share is down from 16.1% in the third quarter and is also lower than 16.3% as registered just one year ago.
Feb 24, 2026
Young Adult Headship Rates in 2024: Cyclical Slip or New Equilibrium?Reversing the post-pandemic rebound, the headship rates among young adults (the share of the population heading their own households) declined in 2024, according to NAHB’s analysis of the American Community Survey (ACS) data.
Feb 23, 2026
A 25-Basis-Point Decline in the Mortgage Rate Prices-In 1.42 Million HouseholdsHousing affordability remains a critical challenge nationwide, and mortgage rates continue to play a central role in shaping homebuying power. Although rates have declined from the recent peak of about 7.6% in 2023 to around 6.01% as of February 19,2026, they remain elevated relative to typical levels in the 2010s.