HAC News

HAC News: May 19, 2016

HAC News Formats. pdf

May 19, 2016
Vol. 45, No. 9

• Senate adopts FY17 HUD funding measure, House releases bill • USDA FY17 funding consideration begins in Senate • Some Continuums of Care see renewal funding cut • Correction: streamlined refinancing applies to Section 502 direct loans also • Sexual orientation and gender protection proposed for Native American programs • HUD seeks comment on broadband and on climate change hazards • Stakeholder calls on Section 515 to continue • RD corrects environmental regs • Guidance on implementation of Section 502 packaging available • Rural child poverty increased as income inequality grew • HAC report describes older veterans

HAC News Formats. pdf

May 19, 2016
Vol. 45, No. 9

Senate adopts FY17 HUD funding measure, House releases bill. The Senate passed its Transportation-HUD appropriations bill on May 19, after adopting an amendment lifting until 2019 the two-year commitment deadline for HOME funds, and rejecting an amendment that would have stopped HUD implementation of its Affirmatively Furthering Fair Housing regulations. The Administration has threatened a veto of the Senate bill, listing numerous objections including the funding levels for Tenant-Based Rental Assistance and for Homeless Assistance Grants. The House version of the bill would keep many programs at FY16 levels, with decreases in tenant vouchers and an increase in housing counseling. The House T-HUD Appropriations Subcommittee approved it on May 18, and the full committee will take it up on May 24. Updates will be posted on HAC’s website when available. [tdborder][/tdborder]

HUD Program
(dollars in millions)

FY16
Approp.

FY17 Budget Proposal

FY17 House Subcmte. Bill

FY17 Senate Cmte. Bill
H.R. 2577

Cmty. Devel. Fund
CDBG

3,060
3,000

2,880
2,800

3,060
3,000

3,000
3,000

HOME

950

950

950

950

Self-Help Homeownshp. (SHOP)

10

10a

10

10

Tenant-Based Rental Assistance
VASH setaside

19,628
60

20,854
7c

20,189
7c

20,432
57

Project-Based Rental Asstnce.

10,622

10,816

10,901

10,901

Public Hsg. Capital Fund

1,900

1,865

1,900

1,925

Public Hsg. Operating Fund

4,500

4,569

4,500

4,675

Choice Neighbrhd. Initiative

125

200

100

80

Native Amer. Hsg. Block Grant

650

700

655

647

Homeless Assistance Grantsb

2,250

2,664

2,487

2,330

Hsg. Opps. for Persons w/ AIDS

335

335

335

335

202 Hsg. for Elderly

432.7

505

505

505

811 Hsg. for Disabled

150.6

154

154

154

Fair Housing

65.3

70

65.3

65

Healthy Homes & Lead Haz. Cntl.

110

110

130

135

Housing Counseling

47

47

55

47

Local Housing Policy Grants

300d

a. The FY17 Administration budget, like past budget requests, proposes to make SHOP a setaside in HOME. Congress has consistently rejected that proposal. b. Includes the Rural Housing Stability Program, which is not yet operational. c. Tribal VASH setaside. d. Proposed as mandatory spending.

USDA FY17 funding consideration begins in Senate. TheSenate Agriculture Appropriations Subcommit-tee approved a spending bill on May 17 and the full committee will consider it on May 19. A press release says the bill includes $900 million for Section 502 loans, $24 billion for Section 502 loan guarantees, and $1.4 billion for Rental Assistance. The bill’s text has not yet been released. The House committee passed its version, H.R. 5054, in April (see HAC News, 4/20/16).

Some Continuums of Care see renewal funding cut. As a result of changes to HUD’s FY15 homelessness funding competition, some CoCs received increases but a number of others had funding for ongoing projects reduced. HUD emphasized rapid rehousing and permanent supportive housing, while awards for transitional housing fell. HUD acknowledges that some grantees now “face the difficult task of finding alternative funding for, downsizing, or closing down longstanding programs,” but says the total number of people served nationwide will increase. The National Alliance to End Homelessness’s blog offers analysis and suggestions. Find an area CoC here.

Correction: streamlined refinancing applies to Section 502 direct loans also. The May 4, 2016 HAC News reported that USDA RD adopted amendments to the regulations for Section 502 guaranteed loans but did not note that one of them, a new refinance option, is available for Section 502 direct borrowers also. Contact Lilian Lipton, RD, 202-260-8012.

Sexual orientation and gender protection proposed for Native American programs. A proposed rule would require HUD’s Native American and Native Hawaiian programs to be open to all regardless of sexual orientation, gender identity, or marital status. HUD promulgated this rule for other programs in 2012. Comments are due July 8. Contact Camille E. Acevedo, HUD, 202-708-1793.

HUD seeks comment on broadband and on climate change hazards. Comments are due July 18 on two proposed rules. One would require installation of broadband infrastructure at the time of new construction or substantial rehabilitation of multifamily rental housing funded or supported by HUD, with limited exceptions. Contact people vary by program and are listed in the proposed regulation. The second would require jurisdictions to include broadband and natural hazard risks in their Consolidated Plans. They would have to describe existing broadband access in low- and moderate-income housing, and consider providing access where there is none. They would also have to “consider incorporating resilience to natural hazard risks, taking care to anticipate how risks will increase due to climate change.” Contact Lora Routt, HUD, 202-402-4492.

Stakeholder calls on Section 515 to continue. To register for announcements of upcoming quarterly calls on the Section 515 program, contact Timothy James, RD, 919-873-2056. Those who have registered in the past do not need to register again. (These are separate from the Section 538 calls announced in the HAC News, 5/4/16.)

RD corrects environmental regs. The changes apply to a rule issued in March (see HAC News, 3/4/16).

Guidance on implementation of Section 502 packaging available. RD published anUnnumbered Letter (dated May 6, 2016) that provides guidance on the implementation of the certified loan application packaging process, which becomes effective on May 19. Contact Tammy Repine, RD, 360-753-7677.

Rural child poverty increased as income inequality grew. A USDA Economic Research Service report, Understanding the Rise in Rural Child Poverty, 2003-14, and an article based on the report, explain that nonmetro child poverty rates rose 2003-2011 during economic growth and recession periods, then fell 2012-1014 but remained well above 2003 levels. ERS determined that growth in income inequality accounted for most of the increase in rural child poverty.

HAC report describes older veterans. Over two-thirds of U.S. veterans are age 55 and older and their numbers are rising, according to Aging Veterans in the United States, an analysis of data on the older veteran population. The majority are homeowners, and more than half of older veteran renters are cost burdened.