2027 IBS Registration Open
 
Register by Sept. 30 to lock in the best deals: Register now
 

NAHB Actively Engaged in WOTUS Rulemaking, Calls for More Transparency

Advocacy
Published
Contact: Michael Mittelholzer
[email protected]
AVP, Environmental Policy
(202) 266-8660

The Biden administration’s process for withdrawing the Trump administration’s “waters of the U.S.” (WOTUS) definition under the Clean Water Act (CWA) and replace it with another WOTUS definition has broad ramifications affecting land developers, home builders and countless other small businesses.

In response, NAHB’s Senior Officers Jerry Konter, Alicia Huey, Carl Harris and Greg Ugalde are participating in a series of virtual hearings hosted by the Environmental Protection Agency (EPA) and U.S. Army Corps of Engineers (Corps) to voice concerns on specific aspects of the proposed WOTUS rule that, if adopted, could significantly increase the scope of CWA’s jurisdiction, in addition to creating increased regulatory confusion and subsequent CWA permitted delays compared to the Trump administration’s rule.

And while NAHB remains actively engaged throughout this process, we continue to express strong concerns to regulators, Congress and the Administration over the legality, transparency, and fairness of this rulemaking process.

Most notably, EPA and the Corps claimed under the Regulatory Flexibility Act the proposed rule will not have a significant economic impact upon small businesses.

Under the Regulatory Flexibility Act, EPA and the Corps are required to consider the impact on small businesses concerning their proposed changes to the definition of WOTUS and provide recommendations on regulatory alternatives to minimize the burden to businesses, organizations and governmental jurisdictions subject to the regulation.

In addition, last week the Corps abruptly released a statement on its website stating the agencies would no longer issue to developers and builders requested federal wetlands permits based upon final approved jurisdictional determinations (AJDs) made by the Corps under the current WOTUS rule. This is a significant reversal of the Corps’ policy concerning AJDs, which states those determinations were valid for five years.

In communities across the nation, small businesses are driving economic growth and environmental stewardship. The proposed changes to WOTUS will have substantial impacts on the ability of small companies and small landowners, which are the backbone of the American economy, to help meet the nation’s ambitious climate and infrastructure goals.

Despite bipartisan recommendations and the Small Business Administration’s own advice for EPA to engage small business stakeholders by convening a Small Business Regulatory Enforcement Fairness Act (SBREFA) panel as required by the Regulatory Fairness Act, EPA has failed to act. The panel would ensure that the needs and priorities of small businesses are fully taken into account early in the rulemaking process.

NAHB is urging Congress to use its oversight authority to intervene and call for a SBREFA panel that formalizes small business input and provides prompt public comment through a transparent rulemaking process.

Subscribe to NAHBNow

Log in or create account to subscribe to notifications of new posts.

Log in to subscribe

Latest from NAHBNow

Economics
Sep 01, 2026
Large Metro Core Counties Drive Drop in Single-Family Market Share

Single-family construction remained soft across most geographic areas in the second quarter of 2026, as rising building material costs, elevated interest rates and economic uncertainty continued to weigh on the industry. By contrast, multifamily construction strengthened in most regions, supported by solid rental housing demand, according to the latest findings from the NAHB Home Building Geography Index (HBGI).

Safety
Aug 31, 2026
Top Safety Tips for Mini Excavators

NAHB's new video and resources focus on how to safely operate mini excavators — versatile machines commonly used for digging, trenching, grading, backfilling and material handling on construction sites.

View all

Latest Economic News

Economics
Aug 31, 2026
Serious Delinquencies Edge Lower While Mortgage Transitions Rise

Household debt delinquency rates showed signs of stabilization in the second quarter of 2026 as overall share of delinquency balances edged lower and the transition to seriously delinquent debt declined for the second consecutive quarter.

Economics
Aug 31, 2026
Single-Family AD&C Lending Falls Back in Q2

Single-family construction lending fell slightly in the second quarter, according to data released by the Federal Deposit Insurance Corporation.

Economics
Aug 28, 2026
Multifamily Absorption Rate Remains Below 50%

The percentage of new apartment units that were absorbed within three months after completion was down five percentage points in the first quarter, according to the Census Bureau’s latest release of the Survey of Market Absorption of New Multifamily Units (SOMA).