HAC News Archives

If you need information on affordable rural housing and rural America in a quick, easy-to-digest format, you need the HAC News.

HAC News: August 3, 2017

August 3, 2017/in HAC News

HAC News Formats. pdf

August 3, 2017
Vol. 46, No. 16

Senate committee approves FY18 HUD funding bill • HUD nominations advance • Administration infrastructure group created • Section 514/516 Farm Labor Housing preapplications due September 11 • USDA accepting applications for rural broadband funding • VA proposes changes to Homeless Providers Grant and Per Diem Program • USDA to consider new online homeownership education courses • Rural manufactured housing pilots expanding • HUD accepting manufactured housing recommendations • Final rule issued on GSEs’ inclusion of minorities and women • Senate committee hearing focuses on LIHTC • Studies consider impact of mortgage interest deduction reform

HAC News Formats. pdf

August 3, 2017
Vol. 46, No. 16

Senate committee approves FY18 HUD funding bill. On July 27, the Senate Appropriations Committee passed its Transportation-HUD funding bill, which would keep most HUD programs at or above current funding levels. Unlike the House bill, it would also fund the U.S. Interagency Council on Homelessness as well as a relatively new, not yet implemented pilot program that would make grants to nonprofits to rehabilitate and modify veterans’ homes. The Senate committee report (S. Rept. 115-138) directs HUD to publish a NOFA for the veterans’ rehab program within 90 days after the bill is enacted. (HUD has requested public input by September 11 on the design of the program; see HAC News, 7/20/17.)
In developing its appropriations bills, the Senate committee used a total domestic discretionary programs funding level that is higher than the cap set by the 2011 Budget Control Act, so final FY18 appropriations cannot be set at the Senate bill’s levels unless the BCA cap is raised in separate legislation passed by both houses of Congress and signed by the president. [tdborder][/tdborder]

HUD Program (dollars in millions)	FY16 Approp.	FY17 Approp.	FY18 Trump Budget Proposal	FY18 House Bill (H.R. 3353)	FY18 Senate Bill (S. 1655)
CDBG	$3,000	$3,000	$0	$2,900	3,000
HOME	950	950	0	850	950
Self-Help Homeownshp. (SHOP)	10	10	0	10	10
Veterans Home Rehab	5.7	4	0	0	4
Tenant-Based Rental Assistance VASH setaside Tribal VASH	19,628 60 0	20,292 40 7	19,318 0 7	20,487 577a 7	21,365 40a 5
Project-Based Rental Asstnce.	10,622	10,816	10,351	11,082	11,507
Public Hsg. Capital Fund	1,900	1,942	628	1,850	1,945
Public Hsg. Operating Fund	4,500	4,400	3,900	4,400	4,500
Choice Neighbrhd. Initiative	125	137.5	0	20	50
Native Amer. Hsg. Block Grant	650	654	600	654	655
Homeless Assistance Grants	2,250	2,383	2,250	2,383	2,456
Hsg. Opps. for Persons w/ AIDS	335	356	330	356	330
202 Hsg. for Elderly	432.7	502.4	510	573	573
811 Hsg. for Disabled	150.6	146.2	121	147	147
Fair Housing	65.3	65.3	65	65.3	65.3
Healthy Homes & Lead Haz. Cntl.	110	145	130	130	160
Housing Counseling	47	55	47	50	47

a. The House bill specifies that its entire VASH appropriation is for renewals. The Senate bill would renew current VASH vouchers and provide $40 million for new ones.

HUD nominations advance. On July 27 the Senate Banking Committee recommended Senate approval of several Administration nominees, including J. Paul Compton Jr. to be HUD general counsel; Anna Farias to be assistant HUD secretary for fair housing and equal opportunity; and Neal Rackleff to be assistant HUD secretary for community planning and development. (See HAC News, 6/22/17.)

Administration infrastructure group created. Executive Order 13805, signed on July 19 by President Trump, establishes a Presidential Advisory Council on Infrastructure. The council may have up to 15 members, all appointed by the President. It must include expertise from several sectors including real estate, finance, construction, and regional and local economic development.

Section 514/516 Farm Labor Housing preapplications due September 11. Applicants can request up to $3 million in combined loan and grant funds. Additional points will be given to projects based in or serving census tracts with poverty rates greater than or equal to 20 percent over the last 30 years. For more information, contact Mirna Reyes-Bible, USDA, 202-720-1753.

USDA accepting applications for rural broadband funding. The second FY17 application window for the Rural Broadband Access Loan and Loan Guarantee Program is open until September 30. Applications will be reviewed as received. Nonprofits, for-profits, coops, tribes, and state and local governments are eligible and can use the funds for construction, improvement, and acquisition of facilities and equipment. For more information, contact Richard Anderson, RUS, 202-720-0800.

VA proposes changes to Homeless Providers Grant and Per Diem Program. Comments are due September 25 on regulatory amendments (including corrections published separately) intended to provide the program with increased flexibility to respond to the changing needs of homeless veterans; repurpose existing and future funds more efficiently; and allow recipients the ability to add, modify, or eliminate components of funded programs. For more information, contact Guy Liedke, VA, 877-332-0334.

USDA to consider new online homeownership education courses. Course providers are invited to apply for approval by August 25. Section 502 direct borrowers must successfully complete approved courses. Homeownership education providers are generally approved at the state level, and there are currently two nationally approved online education providers. For more information, contact Brooke Baumann, USDA, 202-690-4250.

Rural manufactured housing pilots expanding. USDA plans to add states to two existing pilot programs. One allows the Section 502 direct and guarantee programs to finance existing manufactured homes that are not already USDA-financed. The second reduces the required land lease term for energy-efficient homes in nonprofit communities.

HUD accepting manufactured housing recommendations. HUD invites suggestions for updates and revisions to its standards and regulations for manufactured housing, which will be submitted to the Manufactured Housing Consensus Committee for review and consideration. Submissions are due December 31. For more information, contact Pamela Beck Danner, HUD, 202-708-6423.

Final rule issued on GSEs’ inclusion of minorities and women. A Federal Housing Finance Agency regulation sets requirements for Fannie Mae, Freddie Mac, and the Federal Home Loan Banks to include minorities and women in all business and activities including management, employment, and contracting. For more information, contact Sharron P.A. Levine, FHFA, 202-649-3496.

Senate committee hearing focuses on LIHTC. The Senate Finance Committee held a hearing August 1 titled “America’s Affordable Housing Crisis: Challenges and Solutions.” Witnesses discussed ways to reform the Low-Income Housing Tax Credit in any upcoming tax overhaul legislation. Committee Chair Orrin Hatch (R-UT) is co-sponsor with Sen. Maria Cantwell (D-WA) of S. 548, the Affordable Housing Credit Improvement Act of 2017. A summary of the hearing and other information are available from the ACTION Campaign, a national coalition supporting the housing credit.

Studies consider impact of mortgage interest deduction reform. “Do People Respond to the Mortgage Interest Deduction? Quasi-Experimental Evidence from Denmark,” by the National Bureau of Economic Research, found that Denmark’s mortgage deduction has no effect on homeownership, but encourages homeowners to buy larger and more expensive houses and to increase their debt. “Reforming the Mortgage Interest Deduction: How Tax Reform Can Help End Homelessness and Housing Poverty,” by the United for Homes campaign, calculates the possible impact of modest reforms to the U.S. mortgage interest deduction, which benefits primarily higher-income homeowners. The paper concludes that reforms could provide a tax break to 25 million lower-income homeowners and generate $241 billion over 10 years that could then be reinvested to support affordable housing for those with the greatest needs through the national Housing Trust Fund and rental assistance programs.

HAC News: July 20, 2017

July 20, 2017/in HAC News

HAC News Formats. pdf

July 20, 2017
Vol. 46, No. 15

USDA RD leader encourages full use of 502 direct funds • USDA funding moves to Senate • House takes up HUD funding bill • House leaders proposes budget resolution • Congressional committee holds field hearing on NAHASDA • USDA requests comments on improving its regulations • Comment on new HUD veterans rehab and modification pilot • Committee reviews HUD nominations • Programs, including housing, help children succeed, report says

HAC News Formats. pdf

July 20, 2017
Vol. 46, No. 15

USDA RD leader encourages full use of 502 direct funds. With ten weeks remaining in the fiscal year, Anne Hazlett, Assistant to the Secretary for Rural Development, has asked single-family program directors in RD state offices to “establish a high priority” for spending all available Section 502 direct funds. She encouraged RD staff to reach out to partners for assistance, and promised additional guidance on tools and resources. For more information, contact state office single-family program directors.

USDA funding moves to Senate. The Senate Appropriations Committee approved an FY18 spending bill for USDA on July 20. The bill has not yet been released to the public. Funding levels for a few of the rural housing programs are available in statements released by the subcommittee, and would keep most rural housing programs at current levels, somewhat higher than the levels in the House bill. The committee included a provision requiring USDA to have an Undersecretary for Rural Development at USDA. Watch www.ruralhome.org for updates on the Senate bill’s contents.
The House Appropriations Committee completed work on its FY18 USDA bill on July 12. It adopted one housing-related change to its subcommittee’s bill, making H-2A visa holders eligible for Section 514/516 farmworker housing.

USDA Rural Dev. Prog. (dollars in millions)	FY16 Approp.	FY17 Approp.	FY18 Trump Budget Proposal	House Bill	Senate Bill
502 Single Fam. Direct Self-Help setaside	$900 5	$1,000 5	0 0	$900 5	$1,000d
502 Single Family Guar.	24,000	24,000	24,000	24,000	24,000d
504 VLI Repair Loans	26.3	26.3	0	24	e
504 VLI Repair Grants	28.7	28.7	a	a	e
515 Rental Hsg. Direct Lns.	28.4	35	0	28.4	35d
514 Farm Labor Hsg. Lns.	23.9	23.9	(-11)b	15	23.9d
516 Farm Labor Hsg. Grts.	8.3	8.3	0	6	8.3d
521 Rental Assistance	1,390	1,405c	1,345	1,345	1,345d
523 Self-Help TA	27.5	30	(-4)b	25	e
533 Hsg. Prsrv. Grants	3.5	5	0	a	e
538 Rental Hsg. Guar.	150	230	250	230	e
Rental Prsrv. Demo. (MPR)	22	22	(-4)b	15	e
542 Rural Hsg. Vouchers	15	19.4	16	20	19.4d
Rural Cmnty. Dev’t Init.	4	4	0	0	e

a. Would become part of Rural Economic Infrastructure Grant program.

b. Budget proposes to rescind unobligated funds from three programs: $11 million from Sec. 523 self-help, $4 million from Sec. 514/516 farm labor housing, and $4 million from MPR.

c. Includes $40 million in advance funding for FY18, so total available in FY17 is $1.365 billion and total available in FY18 would be $1.385 billion.

d. Preliminary, pending release of bill text.

e. Unknown as of press time, pending release of bill text.

House takes up HUD funding bill. On July 17 the House Appropriations Committee approved an FY18 HUD funding bill that would cut most HUD programs. HOME and CDBG would both be reduced. The bill also would eliminate the U.S. Interagency Council on Homelessness. The National Low Income Housing Coalition and the Center on Budget and Policy Priorities estimate that the House bill would eliminate at least 140,000 vouchers in FY18 because its funding levels for Housing Choice Vouchers and Project-Based Rental Assistance are inadequate. The committee did adopt an amendment to the bill expanding the Rental Assistance Demonstration to include Section 202 Rental Assistance Contracts. The Senate has not yet begun work on its HUD bill.

HUD Program (dollars in millions)	FY16 Approp.	FY17 Approp.	FY18 Trump Budget Proposal	FY18 House Bill
CDBG	$3,000	$3,000	$0	$2,900
HOME	950	950	0	850
Self-Help Homeownshp. (SHOP)	10	10	0	10
Tenant-Based Rental Assistance VASH setaside Tribal VASH	19,628 60 0	20,292 40 7	19,318 0 7	20,487 577a 7
Project-Based Rental Asstnce.	10,622	10,816	10,351	11,082
Public Hsg. Capital Fund	1,900	1,942	628	1,850
Public Hsg. Operating Fund	4,500	4,400	3,900	4,400
Choice Neighbrhd. Initiative	125	137.5	0	20
Native Amer. Hsg. Block Grant	650	654	600	654
Homeless Assistance Grants	2,250	2,383	2,250	2,383
Hsg. Opps. for Persons w/ AIDS	335	356	330	356
202 Hsg. for Elderly	432.7	502.4	510	573
811 Hsg. for Disabled	150.6	146.2	121	147
Fair Housing	65.3	65.3	65	65.3
Healthy Homes & Lead Haz. Cntl.	110	145	130	130
Housing Counseling	47	55	47	50

a. The House bill specifies that its entire VASH appropriation is for renewals.

House leaders propose budget resolution. The House resolution released by the House Budget Committee on July 18, would set caps for FY18 spending at the levels the House is currently using as it develops its versions of FY18 appropriations bills. That limit is below the cap required by the Budget Control Act. In later years, funding for domestic programs – both discretionary and mandatory – would drop sharply. The budget resolution also includes significant tax cuts and may become the vehicle for tax reform legislation.

Congressional committee holds field hearing on NAHASDA. On July 21, the House Financial Services Committee’s Subcommittee on Housing and Insurance will hold a hearing in Wisconsin titled “NAHASDA: 20 Years On.” HAC will submit written testimony for the record.

USDA requests comments on improving its regulations. The department requests ideas on modifying, streamlining, expanding, or repealing regulations, guidance documents, or any other policy documents. Comments are due July 17, 2018. USDA will review comments in four batches: those submitted by September 15, 2017, then by November 14, 2017, then February 12, 2018, and finally July 17, 2018. For more information, contact Michael Poe, USDA, 202-720-5303. The Interagency Task Force on Agriculture and Rural Prosperity is also still accepting comments on legislative, regulatory, and policy changes (see HAC News, 6/22/17).

Comment on new HUD veterans rehab and modification pilot. HUD requests input by September 11 on the design of a new pilot program that will make grants to nonprofit organizations that provide nationwide or statewide programs serving primarily veterans or low-income individuals. The grants may be used to modify or rehabilitate eligible veterans’ primary residences or to provide grantees’ affiliates with technical, administrative, and training support in connection with those services. Email comments to rhed@hud.gov. For more information, contact Sylvia Y. Purvis, HUD, 877-787-2526 (toll-free) or 202-708-2290.

Committee reviews HUD nominations. On July 18 the Senate Banking Committee considered several nominations, including three for HUD positions: J. Paul Compton, Jr. as General Counsel; Anna M. Farias as Assistant Secretary for Fair Housing and Equal Opportunity; and Neal J. Rackleff as Assistant Secretary for Community Planning and Development. The Committee has not yet voted whether to recommend Senate confirmation of these nominees.

Programs, including housing, help children succeed, report says. “Economic Security Programs Help Low-Income Children Succeed Over Long Term, Many Studies Find,” from the Center on Budget and Policy Priorities, summarizes the findings of numerous researchers. Economic security programs such as housing subsidies, food assistance, and working-family tax credits not only help families afford basic needs, but also help children do better in school and increase their earning power as adults.

HAC News: July 7, 2017

July 7, 2017/in HAC News

HAC News Formats. pdf

July 7, 2017
Vol. 46, No. 14

House subcommittee marks up USDA funding bill • HUD markup set for July 11 • Funding for 2020 Census falls short in House spending bill • FY18-20 housing goals proposed for Fannie Mae and Freddie Mac • National Week of Action on housing set for July 22-29 • Research finds housing discrimination against same-sex couples and transgender individuals • HAC webinar: “An Introduction to Proposal Writing for Nonprofits”

HAC News Formats. pdf

July 7, 2017
Vol. 46, No. 14

House subcommittee marks up USDA funding bill. On June 17, the Agriculture Appropriations Subcommittee reviewed an agriculture appropriations bill for fiscal year 2018. The full committee has not yet considered the bill.

The subcommittee’s bill does not eliminate rural housing programs, as the Administration proposed. It does reduce funding for many programs below FY17 levels (see table below). It also follows the Administration in defunding the Rural Community Development Initiative, a capacity-building program. It adopts the Rural Economic Infrastructure Account proposed in the Administration’s budget, and moves several Rural Development programs into that pool: Section 504 grants, Section 533 grants, community facilities grants, grants for telemedicine distance learning, and broadband transmission grants. The House would provide $122.7 million for the new account rather than the $162 million proposed by the Administration. Like the Administration’s budget, the House would set aside half of its funding total – $60 million – for Appalachia. The House also establishes a minimum amount for each program, 15 percent of the total, or $18.4 million. It is not entirely clear whether that minimum would apply to Section 504 and 533 combined, or to each separately.

For rental housing preservation, the House bill follows the final FY17 appropriations law. Like that legislation, it does not extend the voucher program to cover properties where mortgages matured, but it does require USDA to help nonprofits and PHAs to preserve rental properties. Nonprofits and PHAs would be allowed to receive returns on investment and asset management fees when purchasing rental properties to preserve them. [tdborder][/tdborder]

USDA Rural Dev. Prog. (dollars in millions)	FY16 Approp.	FY17 Approp.	FY18 Trump Budget Proposal	House Subcmte. Draft
502 Single Fam. Direct Self-Help setaside	$900 5	$1,000 5	0 0	$900 5
502 Single Family Guar.	24,000	24,000	24,000	24,000
504 VLI Repair Loans	26.3	26.3	0	24
504 VLI Repair Grants	28.7	28.7	a	a
515 Rental Hsg. Direct Lns.	28.4	35	0	28.4
514 Farm Labor Hsg. Lns.	23.9	23.9	(-11)b	d
516 Farm Labor Hsg. Grts.	8.3	8.3	0	d
521 Rental Assistance	1,390	1,405c	1,345	1,345
523 Self-Help TA	27.5	30	(-4)b	25
533 Hsg. Prsrv. Grants	3.5	5	0	a
538 Rental Hsg. Guar.	150	230	250	230
Rental Prsrv. Demo. (MPR)	22	22	(-4)b	15
542 Rural Hsg. Vouchers	15	19.4	16	20
Rural Cmnty. Dev’t Init.	4	4	0	0

a. Would become part of Rural Economic Infrastructure Grant program.
b. Budget proposes to rescind unobligated funds from three programs: $11 million from Sec. 523 self-help, $4 million from Sec. 514/516 farm labor housing, and $4 million from MPR.
c. Includes $40 million in advance funding for FY18, so total available in FY17 is $1.365 billion and total available in FY18 would be $1.385 billion.
d. The program levels for Section 514 and 516 are not available yet; they will be specified in the report that will be prepared when this bill is considered by the full House Appropriations Committee. The bill does provide the “budget authority,” which is the actual cost to the government. For grant programs, the budget authority is the same as the program level. For loans, the budget authority is less than the program level, and the calculation changes from year to year depending on variables such as interest rates. In FY17, budget authority of $15.387 million yielded $23.9 million in Section 514 loans and $8.3 million in Section 516 grants. This FY18 bill provides $10.008 million in budget authority. The total program level will be somewhat higher than $10.008 million, but probably not as high as the FY17 program amounts.

HUD markup set for July 11. The House Transportation-HUD Appropriations Subcommittee will review its draft FY18 spending bill on July 11. HAC will post more information at ruralhome.org as soon as the bill’s funding levels are available.

Funding for 2020 Census falls short in House spending bill. The line items that cover preparations for the 2020 Census and the American Community Survey need at least $1.8 billion rather than the $1.507 billion offered in the FY18 Commerce-Justice-Science appropriations bill marked up by a House subcommittee on June 28, according to the Census Project.

FY18-20 housing goals proposed for Fannie Mae and Freddie Mac. Comments are due September 5 on the Federal Housing Finance Agency’s suggested goals for purchases of single-family and multifamily mortgages over the next three years. (These goals are separate from the Duty to Serve requirements.) For more information, contact Ted Wartell, FHFA, 202-649-3157.

National Week of Action on housing set for July 22-29. The Campaign for Housing and Community Development Funding (CHCDF) and other state, local, and national leaders invite everyone to participate in Our Homes, Our Voicesto bring more attention to America’s affordable housing crisis.

Research finds housing discrimination against same-sex couples and transgender individuals. The Urban Institute conducted studies in the Dallas-Fort Worth, Los Angeles, and Washington, DC, metro areas using paired testing, a technique that allows comparison of how housing providers treat different applicants. UI found that in the early stages of the rental search process, housing providers discriminate against gay men and transgender people on some treatment measures but treat lesbians and heterosexual women comparably.

HAC webinar: “An Introduction to Proposal Writing for Nonprofits”
Thursday, July 13, 2017
2:00-3:00 Eastern Time

If you’re new to grant and proposal writing, or if you want a quick refresher, this webinar is for you! Join HAC experts as we break down the elements of a funding proposal and identify the features of strong, successful proposals.
Registration capacity for this webinar is limited. Please register only if you are sure you will be able to attend. Registration will remain open until 30 minutes prior to the event start time.

HAC News: June 22, 2017

June 22, 2017/in HAC News

HAC News Formats. pdf

June 22, 2017
Vol. 46, No. 13

Anne Hazlett named to lead USDA Rural Development • Administration’s rural task force holds first meeting, requests comments • House passes Financial CHOICE Act • Trump nominates Farias and Rackleff for HUD posts, Otting for OCC • Patenaude nomination moves forward • Cost burden worsens, Harvard reports, and high-poverty areas growing on metro fringes • USDA issues two Administrative Notices about self-help organizations • Hatch requests feedback on tax reform • FEMA asks for input on regulations • HAC sums up rural housing programs’ performance in FY16 • Coalition forms to combat neighborhood hate activity • HAC SEEKS EXECUTIVE DIRECTOR

HAC News Formats. pdf

June 22, 2017
Vol. 46, No. 13

Anne Hazlett named to lead USDA Rural Development. On June 12, USDA Secretary Sonny Perdue named Hazlett the Assistant to the Secretary for Rural Development, announcing she will oversee the department’s rural housing, business-cooperative, and utilities programs. She was Chief Counsel to the Majority on the Senate Committee on Agriculture, Nutrition, and Forestry. HAC has posted an update on USDA’s reorganization plans, including the comments HAC submitted to USDA about the changes, and a collection of links to information from HAC and others.

Administration’s rural task force holds first meeting, requests comments. The Interagency Task Force on Agriculture and Rural Prosperity, chaired by USDA Secretary Sonny Perdue, met on June 15. “Ideas and suggestions on legislative, regulatory, and policy changes” for the task force can be posted to USDA’s website; no deadline is specified.

House passes Financial CHOICE Act. H.R. 10, which would repeal and change large portions of the Dodd-Frank Act, passed the House on June 8 by an almost strictly party-line vote. The Senate is expected to develop its own version of the bill.

Trump nominates Farias and Rackleff for HUD posts, Otting for OCC. President Trump nominated Anna Maria Farias, who served at HUD in the George W. Bush administration, to be HUD’s Assistant Secretary for Fair Housing and Equal Opportunity. Neal J. Rackleff, an attorney and former director of Houston’s housing department, was nominated as Assistant Secretary of HUD. Joseph Otting, who has worked as an executive with several large banks, has been nominated as Comptroller of the Currency.

Patenaude nomination moves forward. After a June 6 hearing, on June 14 the Senate Banking Committee recommended Senate approval for the nomination of Pamela Hughes Patenaude to become HUD Deputy Secretary. A Senate vote has not yet been scheduled.

Cost burden worsens, Harvard reports, and high-poverty areas growing on metro fringes. The 2017 State of the Nation’s Housing report from Harvard’s Joint Center for Housing Studies indicates the total number of households with severe cost burdens (paying more than 50% of income for housing) declined from 2014 to 2015, but most of the improvement was for owners, with 11.1 million renter households severely cost burdened in 2015, a 3.7 million increase from 2001. Nationwide, 70.3% of households earning under $15,000 a year (roughly equivalent to working full-time, year-round at the federal minimum wage) are severely cost burdened.
While the 12-year decline in homeownership rates has slowed, there has been a disproportionate impact on African-American households. From 1994 to 2016, the black homeownership rate fell to 42.2% while white homeownership increased to 71.9%, resulting in the largest percentage point disparity since World War II. Both Asians (55.5%) and Hispanics (46.0%) narrowed their gaps with whites.
Segregation by income is also increasing nationwide. Between 2000 and 2015, the share of the poor population living in high-poverty neighborhoods rose from 43% to 54%, and the number of high-poverty neighborhoods rose from 13,400 to more than 21,300. Most of these neighborhoods are concentrated in high-density urban cores, but their recent growth has been fastest in low-density areas at the metropolitan fringe and in rural communities.
The report concludes that government regulations and public subsidies are needed. “Only the federal government can provide funding at the scale necessary to make meaningful progress toward the nation’s stated goal of a decent home in a suitable living environment for all.”

USDA issues two Administrative Notices about self-help organizations. AN 4840 clarifies use of supervised bank accounts and custodial accounts in conjunction with self-help technical assistance grants. AN 4842 sets guidelines and standards for RD state offices to use in determining whether self-help grantees are high risk. For more information, contact an RD state office.

Hatch requests feedback on tax reform. Sen. Orrin Hatch (R-UT), chair of the Senate Finance Committee, has invited public comments by July 17 on improvements in the U.S. tax system.

FEMA asks for input on regulations. Like other federal agencies, FEMA is reviewing its regulations, policies, and information collections as required by Executive Orders. It requests comments by August 14 on any that may be appropriate for repeal, replacement, or modification. For more information, contact Liza Davis, FEMA, 202-646-4046.

HAC sums up rural housing programs’ performance in FY16. HAC’s annual compilation of data on USDA’s housing activities reports that for the second year in a row all Section 502 direct funds were used. The average income was $30,911 for homebuyers with Section 502 direct loans and $57,962 for those with Section 502 guarantees. Section 538 loan guarantees were committed for construction of 3,037 units and Section 514/516 funds for 1,006 new units for farmworkers. Fewer Multifamily Preservation and Revitalization loans and grants were made than in FY15, probably because some MPR funds were needed for preservation vouchers. The report includes data for each program and each state.

Coalition forms to combat neighborhood hate activity. Communities Against Hate, led by the Leadership Conference Education Fund and the Lawyers Committee for Civil Rights Under Law, is a coalition of diverse national civil rights organizations and neighborhood groups that are providing a safe place for survivors of hate activity to share their stories and to get help. Report an incident online, or call 1-844-9-NO-HATE (1-844-966-4283) to report or to be connected with resources and services.

HAC News: June 8, 2017

June 8, 2017/in HAC News

HAC News Formats. pdf

June 8, 2017
Vol. 46, No. 12

June is National Homeownership Month • June is also National Healthy Homes Month • Senate and House members question Carson on HUD budget proposal • Patenaude confirmation hearing held • Data show impact of proposed HUD funding cuts in many places • House begins debate on CHOICE Act to repeal parts of Dodd-Frank Act • Housing still not affordable at minimum wage • Section 533 HPG applications due July 17 • HUD proposes changes to FMR calculations • New exam for certified housing counselors available August 1 • USDA provides guidance on refinancing Section 538 loans • Federal regulators suggest ways to address shortage of appraisers • HUD assistance is associated with better access to health care • State TANF decisions correlate with race • HAC SEEKS EXECUTIVE DIRECTOR.

HAC News Formats. pdf

June 8, 2017
Vol. 46, No. 12

June is National Homeownership Month. President Trump’s proclamation and press releases from HUD and USDA are online.

June is also National Healthy Homes Month. HUD plans to use the designation to highlight the vital role that pediatricians and the health community play in healthy homes education and offers a series of webinars.

Senate and House members question Carson on HUD budget proposal. HUD Secretary Ben Carson appeared before Senate and House appropriations subcommittees on June 7 and 8. Members of Congress from both parties were very critical of the significant cuts proposed to HUD programs. (See HAC News, 5/26/17.) Carson repeatedly expressed his willingness to work with others to find solutions, but defended the cuts.

Patenaude confirmation hearing held. On June 6 the Senate Banking Committee considered the nomination of Pamela Hughes Patenaude to be Deputy Secretary of HUD. (See HAC News, 4/28/17.) She defended the Administration’s proposed budget (see HAC News, 5/26/17) against criticism. The Committee is scheduled to vote on June 13 whether to recommend she be approved by the full Senate.

Data show impact of proposed HUD funding cuts in many places. Some, but not all, cities and counties are included on a website estimating the impacts of the Administration’s FY18 cuts to CDBG, HOME, public housing, housing choice vouchers, and Section 811.

House begins debate on CHOICE Act to repeal parts of Dodd-Frank Act. H.R. 10, the Financial CHOICE Act, passed the House Financial Services Committee on May 25 on a strictly party-line vote. House floor debate on the bill began on June 8. It is likely to pass the House, but Senators are writing separate legislation rather than taking up the House bill.

Housing still not affordable at minimum wage. The 2017 issue of Out of Reach, released on June 8 by the National Low Income Housing Coalition, reports that in no state can a person working full-time at the federal minimum wage afford a two-bedroom apartment at HUD’s Fair Market Rent. In only 12 counties can a full-time worker earning the prevailing federal or state minimum wage afford a one-bedroom rental home. The report is online along with data for every state and county.

Section 533 HPG applications due July 17. USDA’s Housing Preservation Grants can be used by nonprofits, state and local governments, and tribes for repair or rehabilitation of owner-occupied or rental housing. For more information, contact a USDA RD state office.

HUD proposes changes to FMR calculations. Comments are due June 26 on a HUD proposal to make three changes in the way it calculates Fair Market Rents. For more information, contact Marie L. Lihn or Peter B. Kahn, HUD, 202-402-2409.

New exam for certified housing counselors available August 1. The HUD Certified Housing Counselor Examination under new certification rules issued in December will be available beginning August 1. HUD has also reduced the cost of the exam. For more information, contact Lorraine Griscavage-Frisbee, HUD, 702-366-2126.

USDA provides guidance on refinancing Section 538 loans. An Unnumbered Letter dated May 3, 2017 describes requirements for refinancing existing Section 538 guaranteed loans for rural rental housing. Refinancing is not available for non-USDA properties or those with both Section 515 loans and Section 538 guarantees.

Federal regulators suggest ways to address shortage of appraisers. Responding to concerns about timeliness of appraisals due to shortages, particularly in rural areas, the Federal Reserve, FDIC, Comptroller of the Currency, and National Credit Union Administration issued an advisory describing two existing options: temporary practice permits for appraisers licensed in other states, and temporary waivers of licensing requirements.

HUD assistance is associated with better access to health care. The link between housing conditions and health is well established, and a new study begins to examine whether assistance that improves housing also leads to improved health. Researchers found that receiving HUD vouchers or public housing was associated with lower rates of uninsurance and of unmet need due to cost. “HUD Housing Assistance Associated with Lower Uninsurance Rates and Unmet Medical Need” is $15 online.

State TANF decisions correlate with race. An Urban Institute study tried to identify some reasons for differences among state policies governing Temporary Assistance for Needy Families. “Why Does Cash Welfare Depend on Where You Live? How and Why State TANF Programs Vary” reports that African-American population was the only factor correlated with less generous, more restrictive policies. Conclusions include a recommendation for research on other racial and ethnic groups.

HAC SEEKS EXECUTIVE DIRECTOR. The new Executive Director will provide strategic management and fiscal leadership that supports current programs and services, increases revenue, and strengthens the financial health of the organization. Candidates should have 10+ years’ experience working in a senior leadership capacity in the nonprofit or government sector in a relevant field. Details and application instructions are available online or from Peggy Sand at Raffa.

HAC News: May 26, 2017

May 26, 2017/in HAC News

HAC News Formats. pdf

May 26, 2017

Vol. 46, No. 11

Administration’s FY18 USDA budget would eliminate many rural housing programs • USDA proposes reorganization with substantial change to Rural Development • Budget proposes to eliminate significant HUD programs and others • USDA offers Community Facilities Technical Assistance and Training grants • HUD requests input on reducing regulations and costs • Public invited to suggest Executive Branch improvements • Clarifications issued for allowable expenses in RD multifamily properties • Webinar planned on HUD’s Manufactured Home Dispute Resolution Program • REGISTER TO KEEP YOUR HAC NEWS SUBSCRIPTION ACTIVE

HAC News Formats. pdf

May 26, 2017
Vol. 46, No. 11

Administration’s FY18 USDA budget would eliminate many rural housing programs. Direct rural housing lending would be eliminated, along with several grant programs, under the first full budget proposal from the Trump Administration, released on May 23. The budget would maintain assistance for current renters through the Section 521 Rental Assistance and Section 542 rural voucher programs, but all rental housing preservation efforts would be defunded, as would the self-help homeownership program. RD staffing would be cut by 925 staff years; a table in one of the budget documents shows how many positions would be eliminated in each state.
A new Rural Economic Infrastructure Grant program would combine Section 504 grants with Community Facilities grants, telemedicine distance learning grants, and broadband grants. The four programs received a total of $133.6 million in FY17. The combined pool would get $162 million under the FY18 budget, $80 million of which is earmarked for Appalachia. (The Appalachian Regional Commission, however, would be eliminated, along with the Delta Regional Authority, the Denali Commission, and the Northern Border Regional Commission.)
HAC has posted online a recording and materials from its webinar May 25 reviewing the budget, the upcoming funding process for FY18, and USDA’s reorganization proposal (see article below); more details and a statement on the RD budget proposal; and more details and a statement on the reorganization proposal.

USDA Rural Dev. Prog. (dollars in millions)	FY16 Approp.	FY17 Approp.	FY18 Trump Budget Proposal
502 Single Fam. Direct Self-Help setaside	$900 5	$1,000 5	0 0
502 Single Family Guar.	24,000	24,000	24,000
504 VLI Repair Loans	26.3	26.3	0
504 VLI Repair Grants	28.7	28.7	a
515 Rental Hsg. Direct Lns.	28.4	35	0
514 Farm Labor Hsg. Lns.	23.9	23.9	(-11)b
516 Farm Labor Hsg. Grts.	8.3	8.3	0
521 Rental Assistance	1,390	1,405c	1,345
523 Self-Help TA	27.5	30	(-4)b
533 Hsg. Prsrv. Grants	3.5	5	0
538 Rental Hsg. Guar.	150	230	250
Rental Prsrv. Demo. (MPR)	22	22	(-4)b
542 Rural Hsg. Vouchers	15	19.4	16
Rural Cmnty. Dev’t Init.	4	4	0

USDA proposes reorganization with substantial change to Rural Development. In a report to Congress released on May 11, USDA has proposed to “realign” its RD mission area so the Rural Housing Service, Rural Business-Cooperative Service, and Rural Utilities Service administrators report directly to the Secretary of Agriculture. The document focuses on USDA’s trade functions, and also emphasizes changes related to farm production. It is not clear what the elimination of the Under Secretary for Rural Development would mean, but HAC and others have expressed concerns.
Comments on the proposal can be submitted by June 14. HAC is preparing comments and hopes to have them available on its website before the deadline.
USDA Secretary Sonny Perdue appeared before the House Agriculture Committee on May 17 to talk about the rural economy, and faced a number of questions about the reorganization’s impact on RD; a summary is posted on HAC’s website. When Perdue testified about the FY18 budget before the House Agriculture Appropriations Subcommittee on May 24, both Republican and Democrat members raised questions about not only the budget’s proposed cuts, but also the reorganization. In both hearings, Perdue said repeatedly that, despite the elimination of the RD Under Secretary, the changes would elevate RD.

Budget proposes to eliminate significant HUD programs and others. The Administration’s budget would do away with the CDBG, Indian CDBG, HOME, and SHOP programs. Outside HUD, it would defund the National Housing Trust Fund, the Indian CDBG program, most CDFI Fund programs, the U.S. Interagency Council on Homelessness, and the Neighborhood Reinvestment Corporation.

HUD Program (dollars in millions)	FY16 Approp.	FY17 Approp.	FY18 Trump Budget Proposal
Cmty. Devel. Fund CDBG	$3,060 3,000	$3,060 3,000	$0 0
HOME	950	950	0
Self-Help Homeownshp. (SHOP)	10	10	0
Tenant-Based Rental Assistance VASH setaside Tribal VASH	19,628 60 0	20,292 40 7	19,318 0 7
Project-Based Rental Asstnce.	10,622	10,816	10,351
Public Hsg. Capital Fund	1,900	1,942	628
Public Hsg. Operating Fund	4,500	4,400	3,900
Choice Neighbrhd. Initiative	125	137.5	0
Native Amer. Hsg. Block Grant	650	654	600
Homeless Assistance Grants	2,250	2,383	2,250
Hsg. Opps. for Persons w/ AIDS	335	356	330
202 Hsg. for Elderly	432.7	502.4	510
811 Hsg. for Disabled	150.6	146.2	121
Fair Housing	65.3	65.3	65
Healthy Homes & Lead Haz. Cntl.	110	145	130
Housing Counseling	47	55	47

USDA offers Community Facilities Technical Assistance and Training grants. A new program will make grants to public bodies and private nonprofits to provide technical assistance or training with respect to community facilities programs. Applications are due July 24. Contact an RD State Office or Shirley Stevenson, RD, 202-205-9685.

HUD requests input on reducing regulations and costs. As instructed by recent Executive Orders, HUD is reviewing its existing regulations to assess their compliance costs and reduce regulatory burden. HUD invites public comments to assist in identifying regulations that may be outdated, ineffective, or excessively burdensome. Comments are due June 14, 2017. For more information, contact Ariel Pereira, HUD, 202-402-5138.

Public invited to suggest Executive Branch improvements. Suggestions for improvements to the organization and functioning of federal executive agencies are due by June 12.

Clarifications issued for allowable expenses in RD multifamily properties. An Unnumbered Letter dated April 28, 2017 clarifies what expenses can be charged against project income in Section 515 and Section 514 multifamily properties. For more information, contact an RD State Office.

Webinar planned on HUD’s Manufactured Home Dispute Resolution Program. HUD’s Office of Manufactured Housing Programs will explain the program and answer questions on June 27 at 2:00 Eastern. For more information and to register, visit https://www.huddrp.net/events/. (See HAC News, 3/2/17.)

REGISTER TO KEEP YOUR HAC NEWS SUBSCRIPTION ACTIVE. Thank you for reading the HAC News, the premier source of information on rural housing for over 45 years. HAC is developing a new and improved distribution system for the newsletter. As a part of this process, we need you to update your registration to the HAC News. We estimate the entire process will take less than a minute. You must complete the registration process by May 30, or you will no longer receive direct mailing of the HAC News. Questions? Contact portal@ruralhome.org.

HAC News: May 11, 2017

May 11, 2017/in HAC News

HAC News Formats. pdf

May 11, 2017
Vol. 46, No. 10

Final FY17 spending agreement supports USDA and HUD housing • Trump’s signing statement singles out Native American Housing Block Grants • FY18 funding process uncertain • Duty to Serve plans released for comment • USDA RD publishes FY17 voucher notice • New Markets Tax Credit allocations available • USDA to continue stakeholder calls on multifamily housing • HUD reopens Moving to Work comment period • Farmworkers are now older and less likely to migrate, research shows • Rural Voices considers “Action for a Rapidly Changing Rural America • REGISTER TO KEEP YOUR HAC NEWS SUBSCRIPTION ACTIVE

HAC News Formats. pdf

May 11, 2017
Vol. 46, No. 10

Final FY17 spending agreement supports USDA and HUD housing. The omnibus spending bill for FY17 provides full funding for USDA and HUD housing programs, rejecting cuts proposed by the Trump Administration. It increases funding for Section 502 direct loans, Section 523 self-help, and Section 515, and provides the full $1.405 billion in Section 521 Rental Assistance funding requested by the Obama Administration. For details on the bill’s provisions relating to rural rental housing preservation, visit HAC’s website.

USDA Rural Dev. Prog. (dollars in millions)	FY16 Approp.	FY17 Obama Budget Proposal	FY17 House Cmte. Bill (H.R. 5054)	FY17 Senate Cmte. Bill (S. 2956)	FY17 Omnibus (H.R. 244)
502 Single Fam. Direct Self-Help setaside	$900 5	$900 0	$1,000 5	$900 5	$1,000 5
502 Single Family Guar.	24,000	24,000	24,000	24,000	24,000
504 VLI Repair Loans	26.3	26.3	26.3	26.3	26.3
504 VLI Repair Grants	28.7	28.7	28.7	28.7	28.7
515 Rental Hsg. Direct Lns.	28.4	33.1	35	40	35
514 Farm Labor Hsg. Lns.	23.9	23.9	23.9	23.9	23.9
516 Farm Labor Hsg. Grts.	8.3	8.3	8.3	8.3	8.3
521 Rental Assistance	1,390	1,405	1,405	1,405	1,405
523 Self-Help TA	27.5	18.5	30	27.5	30
533 Hsg. Prsrv. Grants	3.5	0	5	3.5	5
538 Rental Hsg. Guar.	150	230	200	230	230
Rental Prsrv. Demo. (MPR)	22	19.4	22	22	22
542 Rural Hsg. Vouchers	15	18	18	18	19.4
Rural Cmnty. Dev’t Init.	4	4	4	4	4

The omnibus provides full renewal funding for HUD programs, including CDBG, HOME, and SHOP, which would have been eliminated by the Trump Administration’s proposal . It also includes $10 million for Section 202 that HUD can use either for new construction – the first such funding since 2011 – or for new Senior Preservation Rental Assistance Contracts.

HUD Program (dollars in millions)	FY16 Approp.	FY17 Obama Budget Proposal	FY17 House Subcmte. Bill (H.R. 5394)	FY17 Senate Cmte. Bill (H.R. 2844)	FY17 Omnibus (H.R. 244)
Cmty. Devel. Fund CDBG	$3,060 3,000	$2,880 2,800	$3,060 3,000	$3,000 3,000	$3,060 3,000
HOME	950	950	950	950	950
Self-Help Homeownshp. (SHOP)	10	10a	10	10	10
Tenant-Based Rental Assistance VASH setaside	19,628 60	20,854 7c	20,189 7c	20,432 57	20,292 47d
Project-Based Rental Asstnce.	10,622	10,816	10,901	10,901	10,816
Public Hsg. Capital Fund	1,900	1,865	1,900	1,925	1,942
Public Hsg. Operating Fund	4,500	4,569	4,500	4,675	4,400
Choice Neighbrhd. Initiative	125	200	100	80	137.5
Native Amer. Hsg. Block Grant	650	700	655	647	654
Homeless Assistance Grantsb	2,250	2,664	2,487	2,330	2,383
Hsg. Opps. for Persons w/ AIDS	335	335	335	335	356
202 Hsg. for Elderly	432.7	505	505	505	502.4
811 Hsg. for Disabled	150.6	154	154	154	146.2
Fair Housing	65.3	70	65.3	65	65.3
Healthy Homes & Lead Haz. Cntl.	110	110	130	135	145
Housing Counseling	47	47	55	47	55
Local Housing Policy Grants	–	300	–	–	–

a. The FY17 Obama Administration budget, like past budget requests, proposed to make SHOP a setaside in HOME. b. Includes the Rural Housing Stability Program, which is not yet operational. c. Tribal VASH setaside. d. $7 million for tribal VASH and $40 million for VASH.

Trump’s signing statement singles out Native American Housing Block Grants. When he signed the FY17 omnibus appropriations bill into law, President Trump issued a statement commenting on some of its provisions. Signing statements are not unusual. This one says certain programs, including Native American Housing Block Grants, minority business development, and funding for historically black colleges and universities, may conflict with the Constitution’s equal protection clause because they “allocate benefits on the basis of race, ethnicity, and gender.” A response from the National American Indian Housing Council points out that these Native American grants “are rooted in the United States’ trust responsibilities and treaty obligations towards Indian Tribes and Native Americans” and are not based on race or ethnicity.

FY18 funding process uncertain. The Trump Administration’s budget proposal, expanding on the outline released in March, is expected in late May. The 2011 Budget Control Act’s spending caps require substantial cuts in both defense and non-defense spending for FY18. The March “skinny budget” did not conform to those caps, and many members of Congress also object to them. It is not clear whether a compromise on spending limits and then an agreement on appropriations details can be worked out before the year begins on October 1, so a continuing resolution may be needed again to keep the government operating.

Duty to Serve plans released for comment. Comments are due July 10 on Fannie Mae’s and Freddie Mac’s proposed Duty to Serve Underserved Markets Plans, which describe specific activities the enterprises propose to undertake from 2018 to 2020 to fulfill their obligations to serve three underserved markets: manufactured housing, affordable housing preservation, and rural markets. Access HAC resources on DTS here.

USDA RD publishes FY17 voucher notice. The annual notice governing the Section 542 voucher program is now available online. For more information, contact Stephanie B.M. White, RD, 202-720-1615.

New Markets Tax Credit allocations available. Apply by June 21 for a portion of the CDFI Fund’s $3.5 billion of NMTC allocation authority. Informational webcasts or conference calls will be announced at https://www.cdfifund.gov. For more information, contact NMTC staff at 202-653-0421.

USDA to continue stakeholder calls on multifamily housing. The calls’ dates and times will be emailed to people who register by contacting Timothy James, USDA, 919-873-2056. Those who have registered in the past do not need to do so again. (These are not the same as the Section 538 stakeholder calls described in the HAC News, 1/19/17.)

HUD reopens Moving to Work comment period. In January, HUD published a notice seeking comment on the proposed operations for PHAs joining the MTW demonstration. (See HAC News, 2/2/17.) HUD has revised the notice and reopened the comment period through June 5. For more information, contact Marianne Nazzaro, HUD.

Farmworkers are now older and less likely to migrate, research shows. Data from the U.S. Department of Labor’s National Agricultural Worker Survey shows the share of farmworkers in the 20-34 age group has fallen from more than half in 2000 to under 40% in 2016. Only 15% migrate for work. Workers have been employed an average of seven years by their current employers, and earn $15,000-$20,000 annually from farmwork. Many families have more than one wage earner and 25% of farmworkers have at least one nonfarm job, so total median family income ranges from $20,000 to $25,000. “Hired U.S. and California Farm Workers are Aging and Settling: Comparisons from 1990, 2000, and 2016” is in the Western Rural Development Center’s magazine.

Rural Voices considers “Action for a Rapidly Changing Rural America.” The spring issue of HAC’s magazine reports on some of the learning and brainstorming that occurred at the HAC 2016 Rural Housing Conference, with articles based on keynote addresses and issue papers from the conference, along with action recommendations from participant roundtables.

HAC News: April 28, 2017

April 28, 2017/in HAC News

HAC News Formats. pdf

April 28, 2017
Vol. 46, No. 9

FY17 continuing resolution extended for one week • Sonny Perdue sworn in at USDA • Trump order requires reducing federal regulations • Trump creates Agriculture and Rural Task Force • Patenaude and Rackleff nominated for HUD • HUD postpones Small Building Risk Sharing Initiative • FY17 income limits released • GAO issues report on federal programs • Annual NLIHC Advocates’ Guide published • Affordable housing manual offers tools • HAC supports Native American housing • NHLP webinar will cover rural rental housing preservation

HAC News Formats. pdf

April 28, 2017
Vol. 46, No. 9

FY17 continuing resolution extended for one week. H.J.Res 99 keeps program funding at FY16 levels through May 5, providing time for further negotiations regarding the fiscal year that ends September 30.

Sonny Perdue sworn in at USDA. Confirmed by the Senate on April 24, former Georgia governor Perdue took office as Secretary of Agriculture on April 25. A USDA statement says he will be guided by four principles. “First, he will maximize the ability of the men and women of America’s agriculture and agribusiness sector to create jobs, to produce and sell the foods and fiber that feed and clothe the world, and to reap the earned reward of their labor. . . . Second, he will prioritize customer service every day for American taxpayers and consumers. . . . Third, as Americans expect a safe and secure food supply, USDA will continue to serve in the critical role of ensuring the food we put on the table to feed our families meets the strict safety standards we’ve established. . . . And fourth, Perdue will always remember that America’s agricultural bounty comes directly from the land . . . and our responsibility is to leave it better than we found it.”

Trump creates Agriculture and Rural Task Force. An Executive Order titled “Promoting Agriculture and Rural Prosperity in America” establishes the task force, comprised of representatives from 21 agencies and headed by USDA Secretary Perdue. At a briefing a reporter asked an administration representative whether the order covered rural development, housing, and broadband. He answered: “Those things are absolutely included. I would say on the messaging point there that we do believe that in these rural communities, the best thing we can do to make them grow quickly and economically is to focus on agriculture because it is the number-one driver in most of these rural communities. But we certainly understand that’s not the only silver bullet. And so one of the things the task force is charged with doing is looking at those rural communities and also making recommendations with regard to what we can do to promote their economic stability as well.” In response, the Daily Yonder analyzed the role of agriculture in the rural economy.

Patenaude and Rackleff nominated for HUD. Pamela Hughes Patenaude, selected as HUD Deputy Secretary, is President of the J. Ronald Terwilliger Foundation for America’s Families and previously Director of the Bipartisan Policy Center Housing Commission. Neal J. Rackleff has been named HUD Assistant Secretary for Community Planning and Development. He is an attorney and the former director of Houston’s Housing and Community Development Department. Both nominees will need to be confirmed by the Senate.

HUD postpones Small Building Risk Sharing Initiative. Through the initiative, launched in 2015 (see HAC News, 7/22/15), HUD would have shared 50% of the risk for financing small multifamily properties. HUD did not implement the program. A notice announcing its “indefinite deferral” says it may not be needed “under current economic conditions.” For more information, contact Donald Billingsley, HUD, 202-402-7125.

FY17 income limits released. The median family incomes and income limits are used by HUD, USDA, and other agencies.

GAO issues report on federal programs. 2017 Annual Report: Additional Opportunities to Reduce Fragmentation, Overlap, and Duplication and Achieve Other Financial Benefits (GAO-17-491SP) does not add any new items on housing or homelessness. Regarding a past suggestion that Congress consider requiring HUD and USDA to examine the costs and benefits of merging similar housing programs, GAO’s online tracker states that, “According to the Office of Management and Budget, the current administration may reevaluate ongoing collaborative efforts across the different agencies, which could have implications for housing program consolidation.” A 2015 recommendation has also been added to the tracker for the first time in April 2017: “The Secretary of Housing and Urban Development, in consultation with the Rental Policy Working Group, should work with states and localities to develop an approach for compiling and reporting on the collective performance of federal, state, and local rental assistance programs. Such an effort may begin with one or more pilot programs to test approaches before they are considered for wider application.”

Annual NLIHC Advocates’ Guide published. Advocates’ Guide 2017: A Primer on Federal Affordable Housing & Community Development Programs can be downloaded free, or purchased for $33 (NLIHC members) or $47 (non-members). To order more than one copy, contact Josephine Clarke, 202-662-1530 ext. 226.

Affordable housing manual offers tools. Intended for advocates, grassroots organizers, and community members, Housing for All: Western Center on Law & Poverty’s Affordable Housing Manual addresses local and HUD-mandated planning, accessing government documents, and some HUD programs. California housing planning requirements are covered as well. Some chapters, including one on fair housing assessments, will be added.

HAC supports Native American housing. An opinion piece by HAC Executive Director Moises Loza, posted April 20 by The Hill, is titled “It’s time for Congress to reauthorize, fully fund Native American housing.”

NHLP webinar will cover rural rental housing preservation. “Prepayments and Loan Maturities: Protecting Residents and Preserving RD Rental Housing” is scheduled for Tuesday, May 30 at 2:00 Eastern. It will explain how to find out whether a development is maturing or is being prepaid. It will review RD regulations, Administrative Notices, and other policies intended to preserve these developments and protect residents against displacement. It will also discuss what nonprofit and public entities can do to preserve the housing. Register here for this free 90-minute session, presented by the National Housing Law Project.

HAC News: April 13, 2017

April 13, 2017/in HAC News

HAC News Formats. pdf

April 13, 2017
Vol. 46, No. 8

April is National Fair Housing Month • Congress on recess, faces spending decisions • Housing will be in infrastructure proposal, Carson tells NLIHC group • Grants available for Lead and Healthy Homes Technical Studies • OMB issues second memo about cutting regulations • Funding cuts estimated for states, counties, and cities • Guidance issued for Section 523 self-help grants extensions, final evaluations, and applications • HUD offers technical assistance to CoCs seeking to end veteran homelessness • RD addresses documentation on credit availability for Community Facilities programs • Rural impact report illustrates nonprofits’ successes • Online USDA rural housing data described, updated • Housing Trust Fund state plans described and allocations revised • Report recommends ways to reduce racial/ethnic divide in homeownership • Web tool shows how green infrastructure protects against climate threats • Rural placemaking grantees announced

HAC News Formats. pdf

April 13, 2017
Vol. 46, No. 8

April is National Fair Housing Month. The National Fair Housing Alliance has posted a list of events around the country. People who believe they have experienced housing discrimination may file a complaint with HUD’s Office of Fair Housing and Equal Opportunity, 800-669-9777.

Congress on recess, faces spending decisions. When members of Congress return to work on April 24, they will have only a few days to agree on spending levels for the remainder of FY17 before the current Continuing Resolution expires on April 28. (See HAC News, 3/30/17.)

Housing will be in infrastructure proposal, Carson tells NLIHC group. The National Low Income Housing Coalition reports that in an address to its 2017 Housing Policy Forum, HUD Secretary Ben Carson said there is “a significant inclusion of housing” in the Administration’s forthcoming infrastructure bill. NLIHC President and CEO Diane Yentel noted that a one-time spending boost could not replace annual appropriations.

Grants available for Lead and Healthy Homes Technical Studies. Applications are due May 16 for these HUD programs, which fund technical studies to improve detection and control of key housing-related health and safety hazards, including lead-based paint hazards; to develop new methods to detect and control these hazards; and to improve knowledge of these hazards. For more information, contact Peter Ashley, HUD.

OMB issues second memo about cutting regulations. In memos dated April 5 and February 2, the Office of Management and Budget explains how federal agencies are expected to implement Executive Order 13771, which requires repealing two regulations for each new one and capping regulatory costs. (See HAC News, 2/2/17.)

Funding cuts estimated for states, counties, and cities. An interactive online tool calculates how the Trump Administration’s proposed FY18 budget cuts to major HUD programs (see HAC News, 3/16/17) would affect each state and county, as well as major cities. It compares the cuts to FY16 funding levels.

Guidance issued for Section 523 self-help grants extensions, final evaluations, and applications. Administrative Notice 4828 (March 27, 2017) provides guidance on RD processing of applications for self-help technical assistance grants. AN 4827 (March 29, 2017) offers information for RD evaluations of performance under Section 523 self-help grants and consideration of extensions or other revisions. For more information, contact a USDA RD state office.

HUD offers technical assistance to CoCs seeking to end veteran homelessness. Continuums of Care new to HUD’s Vets@Home effort can submit TA requests through the HUD Exchange to access technical assistance and additional resources.

RD addresses documentation on credit availability for Community Facilities programs. An Unnumbered Letter dated March 9, 2017 explains how to show that other financing is not available or feasible when a CF loan, grant, or guarantee is sought. For more information, contact a USDA RD state office.

Rural impact report illustrates nonprofits’ successes. The National Rural Housing Coalition surveyed local nonprofits about their activity in seven categories in FY16, including homeownership, rental housing, and clean water and sewer. Among the 104 responding organizations, 84 assisted 3,139 families in rural communities with rehabilitating, constructing, or purchasing their homes. There were 24,104 families on the waiting lists of 26 organizations. The report and presentations of some of its case studies are available online.

Online USDA rural housing data described, updated. “New Public Data Available on USDA Rural Housing Service’s Single-Family and Multifamily Programs,” an article in HUD’s Cityscape journal, discusses what data is available, its challenges and limitations, and its possible uses. Separately, USDA RD has updated its maturing mortgage data for Section 515 and 514/516 properties.

Housing Trust Fund state plans described and allocations revised. In Housing the Lowest Income People: An Analysis of National Housing Trust Fund Draft Allocation Plans, the National Low Income Housing Coalition reviews draft plans from each state indicating how they may use HTF funds when received. For more information, contact Ed Gramlich, NLIHC. HUD has also corrected errors in its initial allocation of FY16 funds among states and territories.

Report recommends ways to reduce racial/ethnic divide in homeownership. A Downpayment on the Divide: Steps to Ease Racial Inequality in Homeownership, published by CFED, reports that white families (71.9%) are much more likely to own a home than Black (41.3%) and Latino (47%) families. While 34% of white wealth is generated through homeownership, about 56% of Black and Latino wealth is. (There was not enough data to include other races in the study.) Helping to close these gaps would significantly help reduce wealth disparities, CFED says. Its suggestions include reforming the mortgage interest deduction, supporting the CFPB, enforcing the Fair Housing Act, and others.

Web tool shows how green infrastructure protects against climate threats. Naturally Resilient Communities is an interactive tool featuring 30 case studies of places that rely on nature-based solutions such as wetlands and floodplains to protect themselves against flooding. It was developed by the Nature Conservancy in partnership with the American Planning Association, American Society of Civil Engineers, National Association of Counties, and Association of State Floodplain Managers. To search the collection, users select scale, cost, region, and whether a community is urban, suburban, or rural.

Rural placemaking grantees announced. HAC and buildingcommunityWORKSHOP have selected two organizations for a Rural Placemaking Program. The smART Kinston City Project Foundation will partner artists with local stakeholders to address racial tensions and economic inequity in Kinston, NC. The Woodlands Development Group will work with an arts nonprofit to develop public art and wayfinding installations in Thomas, WV.

HAC News: March 30, 2017

March 30, 2017/in HAC News

HAC News Formats. pdf

March 30, 2017
Vol. 46, No. 7

Committee holds hearing, supports Perdue for USDA • Administration proposes FY17 cuts, targets include USDA RA • Senate committee requests proposals for economic growth legislation • RD continues two-tier income pilot for single-family programs • Impact of eliminating Delta and Appalachian regional bodies quantified • Nonmetro counties lost jobs in 2016 • 14% of U.S. children live in areas of concentrated poverty, rates highest for black and Native American kids • Nominations open for site manager and maintenance person recognitions • Housing events planned nationwide for Saturday, April 1

HAC News Formats. pdf

March 30, 2017
Vol. 46, No. 7

Committee holds hearing, supports Perdue for USDA. Former Georgia governor Sonny Perdue appeared before the Senate Agriculture Committee on March 23. He pointed out he had no role in developing the Administration’s budget, which proposes a 21% cut to USDA funding for FY18, and noted that President Trump received strong support in rural areas. The committee voted on March 30 to recommend Perdue be confirmed as Secretary of Agriculture. A vote in the full Senate has not yet been scheduled, but confirmation is expected.

Administration proposes FY17 cuts, targets include USDA RA. Early this week the Trump Administration circulated a list of spending cuts it proposes for FY17, many of them similar to those included in its FY18 budget outline. The FY17 list would reduce USDA Section 521 Rental Assistance by $50 million, saying that is excess funding not needed this year; would cut CDBG in half; and would eliminate funding for SHOP, Rural Capacity Building, the CDFI Fund, and more. Members of Congress are reportedly unwilling to consider new suggestions for the FY17 funding bills they have been negotiating for months. Appropriators in both houses are working to finish as many as possible of the 11 remaining individual appropriations bills before the current Continuing Resolution expires on April 28. Any incomplete bills are expected to be rolled together into another CR to finish the fiscal year.

Senate committee requests proposals for economic growth legislation. Submissions to the Senate Committee on Banking, Housing and Urban Affairs should “clearly identify” proposals that will “promote economic growth and/or enable consumers, market participants and financial companies to better participate in the economy,” and should include legislative language. Emails are due April 14.

RD continues two-tier income pilot for single-family programs. For a second year, income eligibility in 23 states and territories will be based on two income bands, using HUD’s four-person income level for households with one to four members and HUD’s eight-person income level for households with five to eight people. Contact an RD state office.

Impact of eliminating Delta and Appalachian regional bodies quantified. The Trump Administration’s budget outline for FY18 proposes to eliminate the Appalachian Regional Commission and the Delta Regional Authority (along with a number of other entities). The Center for American Progress Action Fund has posted data on dollars, jobs, and other factors showing the ARC’s and DRA’s achievements in each state they serve.

Nonmetro counties lost jobs in 2016. A Daily Yonder analysis of federal jobs data found U.S. employment growth was concentrated in large metropolitan areas. Some rural places, such as Appalachia, did gain some jobs, while others, like those where shale gas fracking had boomed relatively recently, lost employment during 2016. Job losses were proportionally highest in counties not adjacent to metro areas.

14% of U.S. children live in areas of concentrated poverty, rates highest for black and Native American kids. The Annie E. Casey Foundation’s Kids Count Data Center reports the incidence of children living in census tracts with poverty rates of 30% or higher increased by almost 30% from the 2006-2010 period to 2011-2015. The largest state-level increase over that time was in Nevada, though the states with the highest rates (20-27%) of children living in high poverty areas in 2011-2015 were Arizona, Louisiana, Mississippi, and New Mexico. Nationwide, African American (32%) and Native American (31%) children were six times more likely to live in neighborhoods with concentrated poverty compared to their white (5%) peers, and Hispanic children (23%) more than five times more likely. Data on race are also reported for each state.

Nominations open for site manager and maintenance person recognitions. USDA RD state offices can submit nominations by May 19 for the agency’s annual awards to site managers and maintenance workers at RD-financed rental properties. Contact an RD state office.

Housing events planned nationwide for Saturday, April 1. Activities include speakers and education sessions in more than 20 cities and towns.

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50 Years for Rural America