A recent federal court ruling is a significant development for builders, developers, and homebuyers nationwide.

The U.S. District Court for the Eastern District of Texas ruled in favor of the National Association of Home Builders (NAHB) and a coalition of 15 states, blocking the Department of Housing and Urban Development (HUD) and the U.S. Department of Agriculture (USDA) from enforcing newer energy code requirements on certain housing programs. 

What Was Blocked

The ruling prevents HUD and USDA from mandating:
· 2021 International Energy Conservation Code (IECC)
· ASHRAE 90.1-2019 standards

These were set to apply to certain single-family and multifamily housing tied to federal programs. The court agreed that these impacts could hurt affordability and limit housing availability, which conflicts with existing federal housing law.

In Summary

· These stricter federal energy code mandates are currently blocked
· Builders working on HUD/USDA-backed projects will not be required to adopt the 2021 IECC at this time
· The decision helps avoid immediate cost increases and project delays

Important Note

This ruling applies specifically to federal program requirements—it does not override state or local energy codes, which may still require newer standards. However, it does mean you may continue to benefit from any state or local amendments

If you’re interested in scheduling training for your team or learning more about how ARCXIS can support your projects, let’s connect. Find your local ARCXIS Sales Manager here: https://arcxis.com/markets