July 22, 2009
Vol. 38, No. 15

USDA FUNDING BILLS APPROVED BY FULL HOUSE, SENATE COMMITTEE. The House passed H.R. 2997 on July 9, making no changes in the Appropriations Committee’s funding for rural housing programs (see HAC News, 6/24/09). S. 1406, passed by the Senate Appropriations Committee on July 7, would almost double the Section 502 guaranteed loan program to $12 billion and does not include most of the House’s increases. Like the FY 2009 appropriations act, both the House and Senate would eliminate interest subsidies for Section 538 guaranteed loans. Visit https://thomas.loc.gov/home/approp/app10.html for bill text and committee reports.

HUD FUNDING BILL MAY REACH FULL HOUSE THIS WEEK. On July 17 the House Appropriations Committee passed its FY 2010 HUD bill, still unnumbered, available at https://appropriations.house.gov. All major programs would receive funding increases. The bill adopts the Administration’s proposal to replace the RHED program with a CDBG setaside for rural innovations. The House is expected to consider the bill this week.

a. Proposed new initiatives under CDBG.
b. $25 million new initiative proposed under CDBG.
c. New initiative to combat mortgage fraud.

RHED AUTHORIZATION BILL REINTRODUCED. The Rural Housing and Economic Development Improvement Act was introduced on July 14 by Rep. Rubén Hinojosa (D-Texas), cosponsored by Reps. Barney Frank (D-Mass.) and Maxine Waters (D-Calif.). It would authorize HUD’s RHED program at $30 million in FY 2010 and $40 million each year from 2011 through 2015. Find H.R. 3210 at https://thomas.loc.gov.

CAPITOL HILL HEARINGS COVER USDA AND HUD RENTAL PRESERVATION. On July 15 USDA housing administrator Tammye Treviño and others testified before the House Housing Subcommittee; HAC submitted written testimony. HUD Secretary Shaun Donovan was the only witness at a June 25 hearing before the House Financial Services Committee. Statements and webcast archives are at https://financialservices.house.gov/hearings_all.shtml.

HUD OFFERS FUNDS. NOFAs for SHOP, Healthy Homes Technical Studies, HOPE VI, and previously announced programs are at https://www.hud.gov/offices/adm/grants/fundsavail.cfm or https://www.grants.gov.

FEMA RELEASES NATIONAL DISASTER HOUSING STRATEGY. The document is intended to describe how the U.S. currently provides housing to those affected by disasters and to chart a new direction for the future. Visit https://www.fema.gov/news/newsrelease.fema?id=47305.

ADMINISTRATION CONDUCTS RURAL TOUR. USDA Secretary Tom Vilsack and other Administration officials are stopping in states throughout the country, focusing on a range of topics including health care, energy, and infrastructure. Visit https://www.ruraltour.gov and the newsroom at https://www.usda.gov.

FAIR HOUSING FEATURED IN RURAL VOICES. The summer issue of HAC’s quarterly magazine, reflecting on the 1968 Fair Housing Act and its rural impact, is free at http://ruralhome.org/infoRural.php. One print subscription per organization is free from Lawrence Adams, HAC, 202-842-8600, lawrence@ruralhome.org. Sign up at https://lists.ruralhome.org/lists/info/rural_voices for email notices announcing new issues.

HAC OFFERS SUMMER CHDO TRAININGS. “Single-Family Housing Development” and “Advanced Financial Management” will be held July 29-30 in Burlington, Vermont and August 5-6 in Boise. “Building HOME for CHDOs and Nonprofits” and “Fitting the Pieces Together” (combining HOME and private financing for homeowner-ship) are set for August 12-13 in Milwaukee. “Single-Family Housing Development” is offered August 12-13 in McAllen, Texas. Limited travel scholarships are available. For details and to register online, visit HAC’s Training page. Contact Dan Stern, registration@ruralhome.org, 202-842-8600. Clarification: The August 11-12 workshops in Flatwood, West Virginia listed in the print edition of the 7/22/09 HAC News are open only to organizations working in West Virginia and Pennsylvania.

RURAL RENTAL PRESERVATION CONFERENCE SET FOR SEPTEMBER 24. HAC will convene “Preserving Rural Rental Housing: A Conference on Policy and Practice” in Washington, D.C. with support from the John D. and Catherine T. MacArthur Foundation. Hear from leaders in Section 515 preservation legislation, expert congressional staff, USDA staff, and local practitioners. Watch for details at http://ruralhome.org and in the HAC News.

July 08, 2009
Vol. 38, No. 14

USDA APPROPRIATIONS BILLS FOR 2010 EXPECTED TO MOVE FORWARD THIS WEEK. The House bill, H.R. 2997 (see HAC News, 6/24/09), will be considered by the full House and the Senate Appropriations Committee is expected to take up its version. HAC will post updates at http://ruralhome.org as available.

HOUSING TRUST FUND SOURCES PROPOSED. H.R. 3068, introduced June 26, would use $1 billion of dividends paid by financial institutions receiving funds from the Troubled Asset Relief Program to capitalize the National Housing Trust Fund Congress created in 2008. The National Low Income Housing Coalition reports the Administration has proposed using Ginnie Mae reserves. H.R. 3068 is at https://thomas.loc.gov and NLIHC details are at https://capwiz.com/nlihc/issues/alert/?alertid=13648666. A House Financial Services Committee hearing is set for July 9.

HUD ISSUES NOFAS FOR THREE UNIVERSITY PROGRAMS AND HEALTHY HOMES TECHNICAL STUDIES. Historically black, Alaska Native/Native Hawaiian, and tribal colleges and universities may apply by July 24. Visit https://www.hud.gov/offices/adm/grants/nofa09/grpucp.cfm or https://www.grants.gov. Contact Sherone Ivey, HUD, 202-402-4200. Healthy Homes Technical Studies applications are due August 18. Visit https://www.hud.gov/lead or https://www.grants.gov. Contact Dr. Peter Ashley, HUD, 202-402-7595, Peter.J.Ashley@hud.gov.

RD EXPLAINS DAVIS-BACON FOR ARRA-FUNDED 502 MORTGAGES. Administrative Notice 4449 guides RD staff in following Davis-Bacon wage requirements for properties receiving Section 502 direct or guaranteed loans under the American Recovery and Reinvestment Act. AN 4449 is available at https://www.rurdev.usda.gov/regs/an/an4449.pdf or from RD offices. Contact Bill Downs, RD, 202-720-1499, william.downs@wdc.usda.gov.

GUIDANCE ISSUED ON USING SECTION 538 FOR SECTION 515 PRESERVATION. An RD Unnumbered Letter (June 18, 2009) explains how to reconcile program differences when using a Section 538 guaranteed loan for an existing Section 515 property. Obtain the UL at https://www.rurdev.usda.gov/regs/ul/uljune09.pdf or from an RD office. Contact James Carey, RD, 202-401-2307, james.carey@wdc.usda.gov.

USDA BEGINS NAMING RD STATE DIRECTORS. Nineteen were announced in press releases issued June 29 and 30. For links and updates visit http://ruralhome.org/infoAnnouncements_2009RDStateDirectors.php.

RURAL ENERGY PLUS PILOT PROGRAM BECOMES PERMANENT PART OF SECTION 502 PROGRAM. Begun as a nationwide pilot in June 2006, the program allows higher debt ratios for direct and guaranteed loan applicants purchasing energy-efficient homes. An unnumbered letter dated June 4, 2009 makes it permanent. Obtain the UL at https://www.rurdev.usda.gov/regs/ul/uljune09.pdf or from an RD office.

CRA RULES TO BE REVISED. Changes would incorporate recent statutory language that requires considering education loans to low-income borrowers and activities by institutions that are not owned by minorities or women cooperating with those that are owned by minorities or women. Comments are due July 30. See Federal Register, 6/30/09 or https://www.regulations.gov. Contact Margaret Hesse, OCC, 202-874-5750.

APPROVAL PROPOSED FOR FANNIE MAE AND FREDDIE MAC INNOVATIONS. Under an interim rule implementing recent legislation, the GSEs would be required to obtain Federal Housing Finance Agency approval for new products and notify it of new activities. Comments are due August 31. See Federal Register, 7/2/09, or https://www.regulations.gov. Contact Carol Connelly, FHFA, 202-414-8910, carol.connelly@fhfa.gov.

HUD GIS SYSTEM AIMS TO HELP THOSE WHO HELP HOMELESS. The HUD GIS Tool for Communities is a free downloadable software tool on the Homelessness Resource Exchange site that allows users to explore HUD project data as well as design and print custom maps. Visit https://hudhre.info/index.cfm?do=viewGIStoolIntro.

SURVEY FINDS FORECLOSURE AND ECONOMIC CRISES ARE INCREASING HOMELESSNESS. When seven national homeless and housing organizations surveyed homeless service and advocacy agencies in both urban and rural places, 79% stated that at least some of their clients were homeless as a result of foreclosure. Foreclosure to Homelessness 2009 is available at https://www.nationalhomeless.org.

HAC OFFERS SUMMER CHDO TRAININGS. “Single-Family Housing Development” and “Advanced Financial Management” will be held July 29-30 in Burlington, Vermont and August 5-6 in Boise. “Building HOME for CHDOs and Nonprofits” and “Fitting the Pieces Together” (combining HOME and private financing for homeowner-ship) are set for July 15-16 in Orlando and August 12-13 in Milwaukee. “Single-Family Housing Development” is offered August 12-13 in McAllen, Texas. Limited travel scholarships are available. For details and to register online, visit http://ruralhome.org/servicesTraining.php. Contact Dan Stern, registration@ruralhome.org, 202-842-8600.

June 24, 2009
Vol. 38, No. 13

HOUSE APPROPRIATIONS COMMITTEE PASSES FY 2010 USDA FUNDING BILL. Most rural housing programs would remain at FY 2009 levels, with increases for Section 523 self-help, Section 515 rental, Section 514/516 farm labor housing, and the MPR rental preservation program. Like the FY 2009 appropriations act, H.R. 2997 would eliminate interest subsidies for Section 538 guaranteed loans. The bill, which will be considered by the full House in July at the earliest, is available at https://thomas.loc.gov/home/approp/app10.html.

* A total of $45.5 million would be provided for Section 504 grants, Section 533 HPG, supervisory and technical assistance, and compensation for construction defects.

RENTAL PRESERVATION BILL RE-INTRODUCED. On June 15, Rep. Lincoln Davis (D-Tenn.) and 17 cosponsors introduced the Rural Housing Preservation Act of 2009. H.R. 2876, identical to H.R. 4002 in the last Congress, would create a preservation program similar to the existing Multi-Family Housing Revitalization Demonstration (MPR), and a preservation voucher program. Rents in revitalized properties would be capped at 30% of tenant income. Search by bill number at https://thomas.loc.gov.

VETERANS’ HOUSING BILL PASSES HOUSE. H.R. 403, sponsored by Rep. Al Green (D-Texas) and passed on June 16, directs HUD to provide assistance to nonprofits and consumer coops to expand the supply of supportive housing for very low-income veteran families, makes vouchers available to all homeless vets regardless of medical condition, includes vets in public housing planning, and excludes vets’ benefits from income for purposes of HUD-assisted rental determinations. Find the bill at https://thomas.loc.gov.

CONGRESS CHANGES DAVIS-BACON FOR SOME HUD ARRA PROGRAMS. The 2009 supplemental appropriations act, now awaiting President Obama’s signature, exempts CDBG (including the Neighborhood Stabilization Program), Native American block grants, and public housing capital funds from provisions of the American Recovery and Reinvestment Act that imposed Davis-Bacon wage requirements on all ARRA-funded units. Pre-ARRA Davis-Bacon provisions apply. Other ARRA-funded programs are not exempt. Find H.R. 2346 at https://thomas.loc.gov.

HOUSE APPROVES FULL FUNDING FOR 2010 CENSUS. H.R. 2847, the Commerce, Justice and Science appropriations bill, passed on June 18 and is available at https://thomas.loc.gov.

RD OFFERS DISASTER FUNDS. Funding from a variety of programs is available for areas with major disasters in 2008 or affected by hurricanes Katrina and Rita. Applications will be accepted on a rolling basis. The notice will be published in the Federal Register on 6/25/09. Contact an RD state office.

HUD FUNDs AVAILABLE FOR HOUSING COUNSELING, TRAINING, AND FSS. Local counseling agencies, intermediaries, state agencies, and multi-state organizations can apply by July 17 for housing counseling funds; public and private nonprofits by July 17 for housing counseling training funds; and PHAs and TDHEs by August 11 for public housing Family Self-Sufficiency funds. Visit https://www.hud.gov/offices/adm/grants/fundsavail.cfm. Contact HUD’s NOFA Information Center, 1-800-HUD-8929.

HOMELESS PREVENTION PROGRAM NOTICE CORRECTED. Under HUD’s new Homeless Prevention and Rapid Re-Housing Program, funds will be allocated to states, metro city governments, and urban counties, which will pass them to local governments and nonprofits. Visit https://www.hudhre.info/HPRP/.

HUD REVISES LEAD CONTROL AND REDUCTION NOFA (see HAC News, 6/10/09). The deadline remains July 21. See Federal Register, 6/9/09 and 6/25/09, or https://www.hud.gov/offices/lead/09NOFA/leadcombo.cfm. Contact Bill Nellis, HUD, 202-402-7686, William.C.Nellis@hud.gov.

CAPITAL FUND RECOVERY GRANTS NOFA CORRECTED. PHAs can apply by August 18 for these Recovery Act funds. This NOFA supersedes one published on May 7. Other capital funds were distributed to PHAs by formula. See Federal Register, 6/9/09, or https://www.hud.gov/offices/pih/programs/ph/capfund/ocir.cfm.

NSP2 NOFA CORRECTED, BRIDGE NOTICE PUBLISHED. The “bridge notice” implements the Recovery Act’s changes to the NSP1 program. See Federal Register, 6/17/09 (NOFA correction) and 6/19/09 (bridge notice) or https://www.hud.gov/nsp. Contact Stanley Gimont, HUD, 202-708-3587.

USDA NARROWS DATA COLLECTION ON RACE AND OTHER CHARACTERISTICS. USDA is proposing to collect standardized data on farmers’ and ranchers’ race, ethnicity, and gender only, not including national origin, age, or disability (see HAC News, 5/27/09.) See Federal Register, 6/19/09. Contact Winona Scott, USDA, 202-401-3648.

PROTECTIONS FOR TENANTS IN FORECLOSURE EXPLAINED. Anyone acquiring foreclosed residential property is subject to the recent Protecting Tenants at Foreclosure Act (see HAC News, 5/27/09), whether or not federal funding is involved. Materials from the National Low Income Housing Coalition and National Housing Law Project are posted at https://www.nlihc.org. An explanation by HUD is in the Federal Register, 5/24/09, https://www.gpoaccess.gov/fr.

FEDERAL APPEALS COURT UPHOLDS PREPAYMENT RULING. On June 22 the Ninth Circuit Court of Appeals upheld a lower court ruling that an owner of a Section 515 development may not avoid statutory prepayment restrictions by offering to prepay the loan and seeking to quiet title to the property. The opinion in Schroeder v. United States is available at https://www.ca9.uscourts.gov/datastore/opinions/2009/06/22/07-36073.pdf.

HARVARD’S JOINT CENTER REVIEWS IMPACT OF HOUSING CRISIS ON AFFORDABILITY. The State of the Nation’s Housing 2009, sponsored by HAC and others, is free at https://www.jchs.harvard.edu/publications/markets/son2009/index.htm or $15 from the Joint Center on Housing Studies, 617-495-7908.

HAC OFFERSSUMMER CHDO TRAININGS. “Single-Family Housing Development” and “Advanced Financial Management” will be held July 29-30 in Burlington, Vermont and August 5-6 in Boise. “Building HOME for CHDOs and Nonprofits” and “Fitting the Pieces Together” (combining HOME and private financing for homeownership) are set for July 15-16 in Orlando and August 12-13 in Milwaukee. “Single-Family Housing Development” is offered August 12-13 in McAllen, Texas. Limited travel scholarships are available. For details and to register online, visit http://ruralhome.org/servicesTraining.php. Contact Dan Stern, registration@ruralhome.org, 202-842-8600.