Congress introduces Faith in Housing Act to preempt local zoning for religious housing

Lawmakers on Friday introduced the bipartisan Faith in Housing Act, a measure described as a targeted preemption that would allow houses of worship to build affordable housing on land they own by overriding local zoning rules. The bill would rely on Congress’s authority over interstate commerce and a federal statute designed to prevent local governments from unfairly limiting how religious groups can use their land. It is sponsored by Rep. Scott Peters, a Democrat from California, and Rep. Chuck Edwards, a Republican from North Carolina, and it would set financial and occupancy guardrails to ensure housing serves lower-income households first. The core provision would require new housing to serve low-income families on average, while individual units could be priced for households earning up to 140 percent of the local median income. Up to 5 percent of the homes could be reserved for staff and clergy, but all other units would have to be made available to anyone regardless of religious belief. Peters said the measure would not immediately yield a flood of units, but it would “make the right statement” and show a willingness to find common ground across red and blue areas on housing needs.

It would also be a centerpiece of a broader national push known as Yes in God’s Backyard, or YIGBY, which argues that religious organizations own substantial land and can help address the shortage of affordable homes without sacrificing their missions. Proponents say the legislation could unlock unused parcels while helping faith communities stabilize finances strained by rising maintenance costs and dwindling memberships. The movement took root in San Diego in 2019, when advocates working on homelessness collaborated with lawmakers to ease church-led housing projects without first seeking local planning board approval. In 2023 California’s legislature passed the Affordable Housing on Faith Lands Act, expanding the concept statewide and streamlining approvals so housing on church property could not be blocked by zoning or environmental objections. The Terner Center at the University of California, Berkeley estimated that more than 47,000 acres of land owned by faith-based organizations in California could potentially be developed into affordable housing. Building on that momentum, last year Sen. Sherrod Brown introduced the Yes in God’s Backyard Act in Congress to provide technical assistance and grants to religious institutions and local governments interested in the idea. Although Brown did not win reelection, the bill was reintroduced earlier this month with Sen. Mark Warner at its helm. At least six states introduced their own YIGBY bills in 2025, though most faced strong resistance from local governments wary of states preempting zoning power. In Texas, a high-profile opposition campaign tied to a separate fight over a Muslim community’s housing plans helped sink the state’s YIGBY proposal, while Florida approved a more limited version allowing housing on certain religious lands but stopping short of a statewide mandate. Magazine coverage and legislative analyses note that local control remains the dominant hurdle for most YIGBY efforts.

The national landscape includes mixed results. Florida’s 2025 victory gave cities and counties the authority to approve affordable housing on designated religious lands, but only on a case-by-case basis or under new local rules. Miami is expected to be the first jurisdiction in the state to adopt a city-wide YIGBY policy this fall. By contrast, efforts in New York, Colorado, and Virginia stalled or failed this year, though organizers remain optimistic about 2026. Critics argue that preemption could undermine local planning and raise concerns about religious land use, while supporters say it is a pragmatic tool to address housing shortages in both conservative and liberal regions. Maxwell noted that federal preemption could, in practice, pressure states to act, even if conservatives push back. “Federal preemption is a big deal, so maybe the states then say, ‘Oh, we don’t want the feds to get involved and we’ll figure that out ourselves locally,’” she said. “Just putting pressure on states is important.”

The federal bill arrives as advocates emphasize the parallel paths of policy and faith. Peters, who also serves on housing-related committees, framed the bill as a statement of values aligned with healing and service to the hungry and homeless. He said, “In my faith tradition, we remember that Jesus fed the hungry and housed the homeless, and consistent with the mission of churches and synagogues and other religious institutions, this is a way for the faith community to demonstrate their values. This is what we value, this is what’s important.” The measure is designed to complement ongoing state and local efforts, not to erase local input, proponents say, though opponents warn that preemption would shift decision-making away from communities most affected by growth pressures.

In practice, supporters point to California’s SB 4 as a real-world illustration of YIGBY’s potential. Two years after SB 4 took effect at the start of 2024, advocates point to individual success stories, along with ongoing challenges for smaller congregations seeking financing and technical support. Bethel Presbyterian Community Church in San Leandro, for example, moved its five tiny homes project through permitting within months after SB 4 became law. Still, California officials stress that the market for church-led housing remains uneven, with smaller faith groups needing help securing development partners and grant funding.

Critics, meanwhile, caution that even a narrowly tailored federal preemption could provoke backlash in communities that value local control over zoning decisions. In Texas, for instance, opponents linked the housing proposal to broader culture-war disputes and warned that state preemption could be used to override local plans, contributing to a political backlash that contributed to the bill’s collapse there this year. Felicity Maxwell, executive director of Texans for Housing, said she remains hopeful the federal proposal could catalyze action in resistant states next year, even as she acknowledged the political headwinds. “The idea of federal preemption is a big deal,” she said. “Maybe it will push states to act sooner rather than later.”

California’s experience with SB 4 has provided both momentum and a cautionary tale. The law’s impact remains the subject of ongoing study and scrutiny, with supporters noting that a subset of church- and faith-owned parcels could unlock tens of thousands of units in the long term, while critics stress the need for robust local safeguards to protect existing residents and prevent discrimination. Proponents of the federal bill say it would mirror California’s approach at a national scale, offering technical assistance, guidance, and funding to expand capacity and streamline approvals to expedite housing for low-income families.

The next steps for the Faith in Housing Act could hinge on how its sponsors navigate concerns about local control and religious freedom. Advocates say that the bill’s success will depend on gaining enough bipartisan support to overcome concerns in districts that prioritize zoning sovereignty and local governance. Organizers are eyeing 2026 as a critical window for momentum, with rallies and coalition-building planned in various states, including a Sunday gathering in Northern Virginia aimed at energizing support for statewide YIGBY legislation. If the measure advances, it could reshape the balance between local zoning traditions and the growing need for affordable housing, at a moment when faith communities are increasingly viewed as potential partners in addressing homelessness and housing instability.