Automated Permitting Systems Demonstration NOFO

The Automated Permitting Systems Demonstration NOFO is administered by the United States Department of Housing and Urban Development through its Policy Development and Research office. This funding opportunity is designed as a cooperative agreement to support governmental jurisdictions in testing and evaluating automated building permitting technologies in real-world environments. The initiative is aligned with broader federal priorities to reduce regulatory barriers, accelerate housing development, and improve affordability by modernizing permitting systems. HUD seeks to generate empirical evidence on how automation can improve efficiency, reduce delays, and enhance the applicant experience in construction permitting processes. The primary purpose of this program is to support the deployment of automated permitting platforms that streamline building code review and approval workflows. These systems are expected to improve processing timelines, reduce administrative burden, and increase transparency in permitting decisions. Participating jurisdictions will implement digital or AI-enabled tools that assist with application intake, completeness checks, automated code screening, and workflow management. Through these deployments, HUD aims to evaluate operational performance, staffing implications, governance needs, and cost efficiency, ultimately producing actionable insights for broader adoption across state and local governments. Funding under this opportunity totals approximately 3000000 dollars, with an estimated six awards ranging from 300000 to 1500000 dollars each. The period of performance is up to 36 months, with flexibility depending on project scope. Funds may be used for software licensing, system integration, hardware or cloud infrastructure, staffing, training, and data collection activities. However, restrictions apply, including prohibitions on unrelated capital expenditures, construction, or infrastructure projects not directly tied to permitting operations. Capital costs such as equipment or software must be justified, approved, and generally limited to a portion of the total award. Eligible applicants include state governments, county governments, city or township governments, and federally recognized tribal governments. Individuals are not eligible. Applicants must meet federal statutory and regulatory requirements, including compliance with civil rights laws and maintaining active registrations in SAM.gov and Grants.gov. Faith-based organizations are eligible if they meet all other criteria. The program does not require cost sharing or matching funds, lowering the barrier to entry for eligible public entities. The application process requires submission through Grants.gov and includes standard federal forms, a detailed budget, and a narrative responding to specific rating factors. Required components include a project abstract, narrative response, resumes of key personnel, and supporting documentation. The narrative must address evaluation criteria such as project contribution, soundness of approach, team capacity, and budget reasonableness. Applications undergo a threshold review followed by a merit-based evaluation and risk assessment before final selection by HUD officials. Key deadlines include an application submission deadline of July 13, 2026 at 11:59:59 PM Eastern Time. The anticipated award date is August 31, 2026, with project activities expected to begin on October 1, 2026 and conclude by October 1, 2029. This is a new, non-recurring funding opportunity, and no future cycles are explicitly indicated. Selected applicants will work closely with HUD through cooperative agreements, including regular reporting, data sharing, and participation in evaluation activities to ensure successful implementation and knowledge dissemination.

Align proposal clearly with rating factors; demonstrate measurable outcomes; provide strong implementation plan; justify budget with direct linkage to project phases