TOP STORIES 

Bipartisan housing bill gets unanimous committee approval 

The Renewing Opportunity in the American Dream (ROAD) to Housing Act, S. 2651, was approved unanimously by the Senate Banking Committee on July 29. The bill, which HAC supports, combines provisions from around 30 different housing bills, including the Rural Housing Service Reform Act (endorsed by HAC), the Streamlining Rural Housing Act, the HUD-USDA-VA Interagency Coordination Act, and the Whole-Home Repairs Act. It would reauthorize the HOME program, provide permanent authorization for the PRICE manufactured housing program and the CDBG-Disaster Recovery program, streamline FHA financing for modular/manufactured housing, and support affordable housing in numerous other ways. The ROAD to Housing Act does not include the RHS Reform Act’s provision to permanently authorize the Section 502 Native CDFI relending program, but in the committee markup Senator Tina Smith (D-MN) indicated that she and Senator Mike Rounds (R-SD) hope to prioritize moving that provision forward as a stand-alone bill. 

Senate passes USDA funding bill 

On August 1, the full Senate approved three FY26 appropriations bills, including the measure for USDA. It would hold many of the rural housing programs at their current funding levels while increasing Section 502 direct funding to $1 million from the current $880 million. Details are posted on HAC’s site. The House has not yet considered the USDA funding bill passed by its Appropriations Committee, which would provide lower amounts for several rural housing programs. Both houses are now in recess until after Labor Day. Fiscal year 2026 begins on October 1, 2025.  

HUD appropriations approved by Senate committee 

The FY26 Transportation-HUD funding bill approved by the Senate Appropriations Committee on July 24 would provide $1.25 billion for the HOME program, which would receive no funding under the House version of the bill. The Senate bill would also increase funding for housing vouchers, project-based rental assistance, homeless assistance grants, Section 202 elderly housing, and Section 811 housing for people with disabilities. SHOP would be set at $13 million, up from $12 million in FY25, and the Rural Capacity Building program would receive $8 million. It would provide $3.1 billion for CDBG compared to this year’s $3.3 billion. Details are available here. Neither the House nor the Senate would renew expiring Emergency Housing Program vouchers. The Center on Budget and Policy Priorities provides state-by-state and demographic estimates of the loss of Housing Choice Vouchers under the House and Senate THUD proposals.  

Executive order calls for changed approach to homelessness

President Trump issued an executive order on July 24 titled Ending Crime and Disorder on America’s Streets, calling for institutional treatment of people experiencing homelessness, prioritization of funding to states and cities that criminalize homelessness, and an end to Housing First policies and harm reduction approaches. Many of these policies are determined by state and local laws, however. The National Alliance to End Homelessness has published the first two of a series of blog posts explaining the order and its impacts.  

RuralSTAT 

Immigrants make up 14% of physicians and surgeons in rural areas, compared to 5% of the overall rural workforce. They are 28% of agricultural workers. Source: Kaiser Family Foundation, What Role Do Immigrants Play in the Rural Workforce?  

OPPORTUNITIES

Low Income Housing Tax Credit resources to increase

The Federal Housing Finance Agency has doubled the amounts Fannie Mae and Freddie Mac can invest per year in Low Income Housing Tax Credits from $1 billion each to $2 billion each. Half of the $4 billion total will be reserved for difficult to serve LIHTC markets and at least 20 percent of that half will be for Duty to Serve rural communities. HAC issued a statement applauding the move.  

USDA offers funds for housing repairs

Nonprofits, public agencies, and Tribes can apply by September 4 for the FY25 Section 533 Housing Preservation Grant program. The $13.1 million available includes $2.1 million for disaster assistance and $500,000 each for recovery from Hurricanes Fiona in Puerto Rico and Helene in Tennessee. Awardees can make grants or low-interest loans to repair or rehabilitate housing owned by or rented to low- or very low-income rural residents. A nonprofit cannot receive funds directly from USDA for a rental property it owns.  

HUD ordered to release fair housing funds, publishes new competition notices  

Applications are due August 21 for four Fair Housing Initiatives Program (FHIP) initiatives. A federal judge required HUD to reopen the competitions, issuing a temporary restraining order on July 28 in National Fair Housing Alliance v. HUD. The case, filed in June, challenges HUD’s failure to award FY24 FHIP funds under funding opportunity notices it published in September 2024 and its failure to disburse funds under previously awarded multi-year grants. The judge ordered HUD to explain its timeline and to file weekly reports on its progress in making the awards before September 30, when the funding expires. The reopened opportunities are: 

• The FHIP Private Enforcement Initiative will enable experienced fair housing enforcement organizations to conduct testing, investigate violations, and enforce the Fair Housing Act and equivalent state and local laws.  

• The FHIP Education and Outreach Initiative will fund fair housing organizations and other nonprofits that have, or partner with an entity that has, experience in media or public relations. Awardees will develop and implement media campaigns promoting fair housing. 

• The FHIP Fair Housing Organizations Initiative will support nonprofit fair housing organizations to build their own capacity or to establish new fair housing enforcement organizations.  

• The FHIP Education and Outreach Initiative – Test Coordinator Training will fund fair housing enforcement organizations, nonprofits, and state or local government agencies to develop and implement test coordinator training programs.  

Green Communities Criteria comment period open  

Enterprise Community Partners has posted the first full draft of its 2026 Green Communities Criteria and requests public comment by August 27. It describes Green Communities as the only green building standard created with, and for, the affordable housing sector.  

CAPITOL HILL 

Senators ask OMB to release CDFI funding  

A bipartisan group of 26 senators has written to OMB director Russell Vought urging him to release monies appropriated for the Community Development Financial Institutions Fund in FY25. The letter points out that the CDFI Fund closed applications periods for five of its programs months ago but has not yet made awards, while applications for other programs have not yet been announced. The senators ask OMB to issue a spending plan outlining timelines for obligating its funds.  

REGULATIONS AND FEDERAL AGENCIES 

USDA accepting comments on reorganization plan 

On August 1, USDA announced it will accept comments on the reorganization plan it released on July 24. Input from “all stakeholders, including USDA employees, members of Congress, and agricultural and nutrition partners,” can be emailed to reorganization@usda.gov by August 26. Deputy Secretary Stephen Vaden told a congressional committee he believes a majority of employees who will be asked to relocate will accept transfers from Washington, DC to other parts of the country. He also said the reorganization will “leave the county-level footprint [which includes RD offices] alone.”   

Justice Department advises federal funding recipients on DEI discrimination 

A memo from the Attorney General offers guidance “to ensure that recipients of federal funding do not engage in unlawful discrimination,” including through diversity, equity, and inclusion programs. The memo’s examples of unlawful practices include prioritizing hiring candidates from “underrepresented groups,” establishing a Black Faculty Caucus, and favoring minority-owned or women-owned businesses. Recommended best practices include focusing on skills and qualifications in selection processes and including nondiscrimination clauses in contracts.  

Comments requested on ending Equitable Housing Finance Plans  

The Federal Housing Finance Agency proposes to repeal its Fair Lending, Fair Housing, and Equitable Housing Finance Plans regulation. The rule has required Fannie Mae and Freddie Mac to each adopt a plan every three years identifying barriers to sustainable housing opportunities faced by one or more underserved communities, goals and objectives with respect to the identified barriers, and meaningful actions to support accomplishment of the goals and objectives. Comments are due September 26.     

Funding stopped for technical assistance to address homelessness through SSI/SSDI 

The SSI/SSDI Outreach, Access, and Recovery (SOAR) model assists caseworkers to help clients who have a mental illness, medical impairment, or a substance use disorder and are experiencing or at risk of homelessness to access Supplemental Security Income and Social Security Disability Insurance. As of August 18, the Substance Abuse and Mental Health Services Administration is ending funding for technical assistance to SOAR caseworkers and the resource website at https://soarworks.samhsa.gov/ will become unavailable. Archived versions of the site should still be accessible through the Internet Archive. Policy Research Associates, which has run the SOAR TA Center since 2009, offers a recorded webinar explaining how organizations can continue using the SOAR model. 

Nominations open for USDA’s Tribal Advisory Committee 

USDA seeks nominations for four open positions on its Tribal Advisory Committee. Nominations can be submitted by representatives of Tribes, Tribal organizations, or national or regional organizations with relevant expertise such as national or regional Tribal serving organizations, land-grant institutions, and Native CDFIs. The deadline is September 22. 

Rural Development to begin using USDA’s environmental requirements 

On October 1, USDA RD will begin to evaluate compliance with the National Environmental Policy Act using a new interim final rule that applies throughout the department. RD’s announcement says that funding applications submitted before October 1 “will continue to be reviewed on a case-by-case basis under prior NEPA policies and procedures or [the interim final rule].”  

Guidance issued for HOPWA inspections 

A HUD notice offers guidance to grantees under the Housing Opportunities for Persons With AIDS program on implementing the National Standards for the Physical Inspection of Real Estate. It addresses how to inspect units for compliance with the NSPIRE rule and how to ensure corrections are made, as well as statutory requirements for carbon monoxide alarms or detectors and smoke alarms. The compliance date for these standards is February 2, 2026.  

EVENTS 

Webinar to consider disaster recovery for immigrants 

The National Low Income Housing Coalition, the Protecting Immigrant Families Coalition, and Just Solutions Collective will hold a webinar entitled Immigration & Disaster Recovery: Rights, Access, and Where We Go from Here, on August 12. This session, intended for advocates for immigrant communities and disaster recovery practitioners, will address protecting communities while navigating the disaster recovery system.  

PUBLICATIONS AND MEDIA 

New report shows home repair difficulties for lower-income homeowners 

A new report from the Harvard University Joint Center for Housing Studies, summarized in a blog posted titled Home Repairs Are Out of Reach for Many Lower-Income Homeowners, highlights the challenges of home repair and maintenance for lower-income households. In 2023, 2.9 million homeowners lived in homes classified as inadequate. Lower-income households, with less resources, spend more on maintenance of habitability rather than discretionary upgrades.  

HAC 

Rural Housing Service Awards nominations open 

At the 2025 National Rural Housing Conference in November, HAC will present its prestigious Rural Housing Service Awards. These awards recognize individuals whose exceptional leadership, commitment, and lasting contributions have significantly advanced affordable housing and community development in rural America. Submit nominations here by August 29.  

HAC is hiring

HAC job listings and application links are available on our website.  

• Chief Financial Officer 

• Business Manager 

• Housing Preservation Specialist 

Need capital for your affordable housing project? 

HAC’s loan fund provides low interest rate loans to support single- and multifamily affordable housing projects for low-income rural residents throughout the U.S. and territories. Capital is available for all types of affordable and mixed-income housing projects, including preservation, new development, farmworker, senior and veteran housing. HAC loan funds can be used for pre-development, site acquisition, site development, construction/rehabilitation and permanent financing. Contact HAC’s loan fund staff at hacloanfund@ruralhome.org, 202-842-8600. 

Please note: HAC is not able to offer loans to individuals or families. Borrowers must be nonprofit or for-profit organizations or government entities (including Tribes). 

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