Access a pdf version of this HAC News. • Bill to provide 502 guarantee funds introduced in Senate • House passes manufactured housing replacement bill • Administration to hold rural summit on June 3 • Funds available for Section 514/516 farmworker housing • RD offers Section 538 continuous guarantee demo • EPA amends lead paint rule • USDA studies guaranteed and direct lending • Developing in rural towns mitigates transportation cost impacts • Websites warn homeowners about loan scams • Delinquency and foreclosure lower in community land trusts • NLIHC publishes 2010 Advocates’ Guide • USDA RD updates website

May 12, 2010
Vol. 39, No. 10

May 26, 2010
Vol. 39, No. 11

Many housing provisions pending in supplemental appropriations and jobs bills. H.R. 4899, the Disaster Relief and Summer Jobs Act of 2010, would add FY 2010

funds to the Section 502 guarantee program, with a 5% fee. It is available at >

href=”https://thomas.loc.gov/home/approp/app10.htmlhttps://thomas.loc.gov/home/approp/app10.html”>https://thomas.loc.gov/home/approp/app10.html>. H.R. 4213, the American Jobs and Closing Tax Loopholes Act,

includes $1.065 billion for the National Housing Trust Fund, extends the Low Income Housing Tax Credit exchange program and New Markets Tax Credit for one year, and

provides settlement funds for the Cobell class action lawsuit regarding American Indians’ trust accounts and the Pigford suit concerning USDA discrimination against

African-American farmers. Its text is posted at >

href=”https://www.rules.house.gov/111/LegText/111_hr4213_txt.pdfhttps://www.rules.house.gov/111/LegText/111_hr4213_txt.pdf”>https://www.rules.house.gov/111/LegText/111_hr4213_txt.pdf>. The current versions of both bills have

not yet been approved by either the House or the Senate.

House panel hears pros and cons on HUD rental changes. Opinions varied at a May 25 House Financial Services Committee hearing on the Preservation,

Enhancement and Transformation of Rental Assistance Act, submitted to Congress by HUD. Written testimony and an archived webcast are posted at >

href=”https://www.house.gov/apps/list/hearing/financialsvcs_dem/hrfc_051910.shtmlhttps://www.house.gov/apps/list/hearing/financialsvcs_dem/hrfc_051910.shtml”>https://www.house.gov/apps/list/hearing/financialsvcs_dem/hrfc_051910.shtml>. HUD’s

proposed bill is at >

href=”https://portal.hud.gov/portal/page/portal/HUD/fy2011budget/signature_initiatives/transforming_rental_assistance.

Comments”>https://portal.hud.gov/portal/page/portal/HUD/fy2011budget/signature_initiatives/transforming_rental_assistance”>https://portal.hud.gov/portal/page/portal/HUD/fy20 due June 14 on next Farm Bill. The House Agriculture Committee invites comments through a web form at >

11budget/signature_initiatives/transforming_rental_assistance.

Comments

href=”https://agriculture.house.govhttps://agriculture.house.gov”>https://agriculture.house.gov> as it begins to develop the 2012 Farm Bill. The committee is also holding field hearings around

the country; testimony to date, posted at https://agriculture.house.gov/hearings/statements.htmlhttps://agriculture.house.gov/hearings/statements.html”>https://agriculture.house.gov/hearings/statements.html>,

has focused on agriculture issues rather than rural development.

In 2007, 1.05 million nonmetro renters had worst case housing needs. The recession’s full economic impact is not included in a new HUD report to Congress on

renters who pay more than half their income for rent, live in severely substandard housing, or both, and do not receive housing aid. Worst Case Housing Needs 2007:

A Report to Congress is free at >

href=”https://www2.huduser.org/portal/publications/affhsg/wc_HsgNeeds07.html.

Congressional”>https://www2.huduser.org/portal/publications/affhsg/wc_HsgNeeds07.html”>https://www2.huduser.org/portal/publications/affhsg/wc_HsgNeeds07.html.

Caucus on Homelessness launched. Co-founded and co-chaired by Reps. Alcee L. Hastings (D-FL), Judy Biggert (R-IL), Eddie Bernice Johnson (D-

Congressional

TX), and Geoff Davis (R-KY), the caucus hopes to coordinate work on the issue. The members’ press releases can be accessed through >

href=”https://www.house.gov.

National”>https://www.house.gov”>https://www.house.gov.

Housing Trust and Enterprise offer green preservation mini-loans. Nonprofit owners and developers can borrow up to $50,000 for up to 30 months at

National

below-market rates to pay for predevelopment activities in connection with green retrofits of older affordable rental communities. Visit >

href=”https://www.nhtinc.orghttps://www.nhtinc.org”>https://www.nhtinc.org> for a summary. Contact Keiva Dennis, NHT, 202-333-8931 ext. 126, >

href=”kdennis@nhtinc.org.

Section”>mailto:kdennis@nhtinc.org”>kdennis@nhtinc.org

.

533 HPG notice corrected. RD added the Rural Economic Area Partnership Zones set-aside to the NOFA published April 27 and corrected some state office

Section

information. See Federal Register, 5/21/10 or https://www.regulations.govhttps://www.regulations.gov”>https://www.regulations.gov>. Contact Bonnie Edwards-Jackson, 202-690-0759,

bonnie.edwards@wdc.usda.gov.

“Pre-notice”>mailto:bonnie.edwards@wdc.usda.gov”>bonnie.edwards@wdc.usda.gov.

” for Choice Neighborhoods funding issued. The document describes this new HOPE VI replacement program and tells applicants to register for

“Pre-notice

grants.gov. The NOFA will be issued this summer. Visit https://www.hud.gov/offices/pih/programs/ph/cn/.

USDA”>https://www.hud.gov/offices/pih/programs/ph/cn/”>https://www.hud.gov/offices/pih/programs/ph/cn/.

RD considers changes to Section 502 guarantee program. Comments are due July 19 on a proposed rule that would use Fannie Mae’s interest rate to

USDA

calculate interest on all program loans and would allow USDA to recoup funds it paid on a claim if the lender did not follow program rules. See Federal

Register, 5/19/10, or https://www.regulations.govhttps://www.regulations.gov”>https://www.regulations.gov>. Contact Joaquin Tremols, RD, 202-720-1465, >

href=”joaquin.tremols@wdc.usda.gov.

Census”>mailto:joaquin.tremols@wdc.usda.gov”>joaquin.tremols@wdc.usda.gov

.

requests comments on new poverty measure. The new calculation would supplement, not replace, the official poverty measurement. (See HAC News,

Census

3/5/10.) Deadline is June 25. Visit https://www.census.gov/hhes/www/poverty/poverty.htmlhttps://www.census.gov/hhes/www/poverty/poverty.html”>https://www.census.gov/hhes/www/poverty/poverty.html>. Contact

David Johnson, Census, 301-763-6443, spm@census.gov.

HUD”>mailto:spm@census.gov”>spm@census.gov.

reduces use of Section 8 income limits hold-harmless policy. Income limits for Section 8 tenants will be allowed to decrease if HUD’s formula indicates

HUD

they should. HUD will continue to publish a second set of income limits that apply the hold-harmless provisions, to be used by some HUD programs and by USDA rural

housing programs. Visit https://www2.huduser.org/portal/datasets/il.htmlhttps://www2.huduser.org/portal/datasets/il.html”>https://www2.huduser.org/portal/datasets/il.html>. Contact HUD USER, 800-245-

2691.

Black-white wealth gap quadruples from 1984 to 2007, researchers report. Brandeis University’s Institute on Assets and Social Policy found a large increase

in white households’ real wealth over the time period studied, while African Americans’ wealth rose only slightly. “The Racial Wealth Gap Increases Fourfold” is posted

at https://iasp.brandeis.edu/pdfs/Racial-Wealth-Gap-Brief.pdf.https://iasp.brandeis.edu/pdfs/Racial-Wealth-Gap-Brief.pdf”>https://iasp.brandeis.edu/pdfs/Racial-Wealth-Gap-Brief.pdf.>

Access a pdf version of this HAC News. • House moves to add 502 guarantee funds • Committee approves GREEN Act • Section 533 HPG funds available • Continuum of Care application registration opens • HUD proposes new definition of “homeless • RD addresses self-help appraisals. • Some dates changed for USDA self-help forums • USDA Section 515 buyers and sellers conferences scheduled for May-July • RD provides guidance on new RESPA requirements • Input sought on reform of housing finance system • National Housing Trust Fund campaign collects nationwide support • Affordable housing still out of reach nationwide • 2010 Census participation rates may be lower in rural places • Data show inequalities for Latino children

April 28, 2010
Vol. 39, No. 9

HOUSE MOVES TO ADD 502 GUARANTEE FUNDS. On April 27 the House passed H.R. 5017, the Rural Housing Preservation and Stabilization Act of 2010, authorizing up to $30 billion in Section 502 loan guarantees in FY10. A guarantee fee of up to 4% on each loan would cover the additional cost. The program is expected to run out of money by the end of April. It is not known when the Senate may act. Find H.R. 5017 at https://thomas.loc.gov.

COMMITTEE APPROVES GREEN ACT. Provisions in the Green Resources for Energy Efficient Neighborhoods Act, approved by the House Financial Services Committee on April 22, include energy-efficiency incentives for HUD and USDA housing. Find H.R. 2336 at https://thomas.loc.gov.

SECTION 533 HPG FUNDS AVAILABLE. Nonprofits and public agencies can apply by June 28 for USDA’s Housing Preservation Grants (not related to the Multifamily Revitalization Program or Section 515). See Federal Register, 4/27/10 or https://www.grants.gov. Contact a USDA RD state office for an application and details.

CONTINUUM OF CARE APPLICATION REGISTRATION OPENS. Applicants must register for HUD’s e-snaps system by June 4 in order to apply for FY10 funds. The NOFA will be issued after July 1. Visit www.hudhre.info. Applicants without Internet access can contact HUD’s NOFA Information Center, 800-HUD-8929.

HUD PROPOSES NEW DEFINITION OF “HOMELESS.” Comments are due June 21 on a proposed rule that is HUD’s first step in implementing the 2009 HEARTH Act. See Federal Register, 4/20/10 or https://www.regulations.gov. Contact Ann Marie Oliva, HUD, 202-708-4300.

RD ADDRESSES SELF-HELP APPRAISALS. Responding to concerns in places with falling land values, a new Administrative Notice says the appraised value of a self-help home must cover the amount of the Section 502 direct loan. When the value of sweat equity does not cover the cost of Section 523 management, the AN says, exceptions may be documented. AN 4507 is available at www.rurdev.usda.gov/regs/an_list.html or from RD offices.

SOME DATES CHANGED FOR USDA SELF-HELP FORUMS. (See HAC News, 2/3/10.) The Washington, DC forum will be held June 30 rather than June 18. Written comments are now due July 15. See Federal Register, 4/19/10 or https://www.rurdev.usda.gov/rhs/Admin/2010SelfHelpForums.htm. Contact Carolyn Bell, USDA, carolyn.bell@wdc.usda.gov, 202-720-1532.

USDA SECTION 515 BUYERS AND SELLERS CONFERENCES SCHEDULED FOR MAY-JULY. Information about RD’s new “Super Green” goals will be included. Visit https://www.rurdev.usda.gov/rhs/mfh/MPR/MPRHome.htm.

RD PROVIDES GUIDANCE ON NEW RESPA REQUIREMENTS. AN 4506 (April 12, 2010), intended to help RD field staff comply with new mortgage disclosure requirements, is available at www.rurdev.usda.gov/regs/an_list.html or from RD offices.

INPUT SOUGHT ON REFORM OF HOUSING FINANCE SYSTEM. HUD and the Treasury Department request comments by July 21 on the federal government’s role, how the current organization of the housing finance system could be improved, and more. See Federal Register, 4/22/10 or www.regulations.gov, or contact a HUD field office.

NATIONAL HOUSING TRUST FUND CAMPAIGN COLLECTS NATIONWIDE SUPPORT. The National Low Income Housing Coalition reports that over 1,350 organizations from every state, DC, and Puerto Rico have signed on to a letter urging Congress to provide $1 billion for the National Housing Trust Fund, created in 2008 to finance construction of affordable housing, primarily for extremely low-income tenants. Visit https://www.nhtf.org.

AFFORDABLE HOUSING STILL OUT OF REACH NATIONWIDE. Again this year, there is no county in the United States in which a full-time minimum wage worker can afford even a one-bedroom apartment at HUD’s Fair Market Rent, according to Out of Reach 2010, prepared by the National Low Income Housing Coalition in collaboration with HAC. Data for states, counties, metro areas, and nonmetro areas are at www.nlihc.org/oor2010.

2010 CENSUS PARTICIPATION RATES MAY BE LOWER IN RURAL PLACES. A preliminary HAC analysis of Census participation data indicates slightly lower Census participation rates for rural counties than for the nation as a whole, and rates are even lower in the Border Colonias and Native American Reservations. To find local participation rates on an interactive map, visit https://2010.census.gov/2010census/take10map/.

DATA SHOW INEQUALITIES FOR LATINO CHILDREN. America’s Future: Latino Child Well-Being in Numbers and Trends uses 25 indicators, including affordable housing, to review current national and state-level trends for Latino children under age 18. Produced by the National Council of La Raza and the Population Reference Bureau, the report and data are available at https://www.nclr.org/section/audience/researchers/latino_child_well_being.

Housing Assistance Council
1025 Vermont Ave., NW, Suite 606, Washington DC 20005
(202) 842-8600 | hac@ruralhome.org | www.ruralhome.org

Access a pdf version of this HAC News. • Art Collings passed away March 23 • Preservation bill under consideration • USDA offers funds to relend for water and wastewater • Lists posted of multifamily properties eligible for weatherization • Section 502 packaging demonstration launched • Tribes believe NAHASDA has helped improve housing, GAO finds • HUD releases three studies of homelessness • HUD’s Transforming Rental Assistance initiative taking shape • Homeownership unaffordable for many in metro areas despite housing cost drops

March 31, 2010
Vol. 39, No. 7

ART COLLINGS PASSED AWAY MARCH 23. Arthur M. Collings, Jr. retired in 2004 after almost 50 years with HAC and the Farmers Home Administration. A legend in the rural housing world, he was both the conscience and the brains of the movement, passionate and dedicated to the mission but also able to cite statutes, regs, and ANs from memory. An obituary is posted at https://ww.ruralhome.org and HAC has created a blog at https://artcollingsmemorial.blogspot.com/ where stories and comments about Art can be shared. HAC will post information about memorial contributions on its website as soon as possible. Plans are being developed for a remembrance at HAC’s National Rural Housing Conference in December 2010.

PRESERVATION BILL UNDER CONSIDERATION. On March 17, Rep. Barney Frank (D-Massachusetts) introduced H.R. 4868, the Housing Preservation and Tenant Protection Act of 2010, a long-awaited bill addressing the preservation of rental housing funded by HUD or USDA. Most of the provisions in the bill’s rural section are the same as those in H.R. 2876, introduced in 2009 (see HAC News, 6/24/09). HAC submitted written testimony, posted at https://ruralhome.org. Witnesses’ statements and a webcast of a March 24 House Subcommittee on Housing hearing are at www.house.gov/apps/list/hearing/financialsvcs_dem/hr_031710.shtml.

USDA OFFERS FUNDS TO RELEND FOR WATER AND WASTEWATER. Nonprofits can apply by May 31 for Household Water Well System Grants to establish lending programs for homeowners to construct or repair household water wells for existing homes. Contact Lorrie Davis, RUS, 202-720-9631, lorrie.davis@wdc.usda.gov. The deadline is May 25 to apply for Revolving Fund Program grants to provide loans for predevelopment costs of community water or wastewater projects, or short-term small capital projects. Contact Joyce Taylor, RUS, 202-720-0499. For both programs, see Federal Register, 3/26/10 or www.usda.gov/rus/water/index.htm.

LISTS POSTED OF MULTIFAMILY PROPERTIES ELIGIBLE FOR WEATHERIZATION. Specified properties subsidized by USDA, HUD, or the Low Income Housing Tax Credit are eligible for the Department of Energy’s Weatherization Assistance Program without further evaluation of eligibility (see HAC News, 2/17/10). These properties will not necessarily receive funds, and others may apply as well. The lists and links to other information, including state and local entities that administer the funds, are posted at https://apps1.eere.energy.gov/wip/eligibility_hud.cfm. Contact Claire Broido Johnson, DOE, 202-586-1510, claire.johnson@ee.doe.gov.

SECTION 502 PACKAGING DEMONSTRATION LAUNCHED. This new pilot program enables Federation of Appalachian Housing Enterprises member organizations, under a contract with USDA RD, to package applications for Section 502 direct loans. Their assistance is expected to speed approvals, helping the agency to use its FY2010 appropriation and Recovery Act funds. More information is at https://www.fahe.org/502. Contact Tom Carew, FAHE, tomc@fahe.org, 606-669-0053.

TRIBES BELIEVE NAHASDA HAS HELPED IMPROVE HOUSING, GAO FINDS. Native American Housing: Tribes Generally View Block Grant Program as Effective, but Tracking of Infrastructure Plans and Investments Needs Improvement (GAO-10-326) is available at https://www.gao.gov or for a fee from GAO, 1-866-801-7077. The study’s full survey results are at https://www.gao.gov/cgi-bin/getrpt?GAO-10-373SP.

HUD RELEASES THREE STUDIES OF HOMELESSNESS. The research for all three focused on metro areas. Costs Associated with First-Time Homelessness for Families and Individuals, Life after Transitional Housing for Homeless Families, and Strategies for Improving Homeless People’s Access to Mainstream Benefits and Services are available at https://www.huduser.org/portal/taxonomy/term/65.

HUD’S TRANSFORMING RENTAL ASSISTANCE INITIATIVE TAKING SHAPE. A new Center on Budget and Policy Priorities report describes TRA as the most important new initiative to preserve affordable housing in over a decade. It would create a new form of long-term rental subsidy that would combine features from the existing project-based Section 8 and the project-based voucher programs. CBPP’s summary is at https://www.cbpp.org/cms/index.cfm?fa=view&id=3123. A HUD webcast on TRA is archived at https://www.hud.gov/webcasts/index.cfm.

HOMEOWNERSHIP UNAFFORDABLE FOR MANY IN METRO AREAS DESPITE HOUSING COST DROPS. A Center for Housing Policy study found that the income needed to purchase a median-priced home fell in 93% of the metro areas studied, while rent rose. Yet many workers still do not earn enough to own a home. Paycheck to Paycheck: Wages and the Cost of Housing in America and an interactive database are at https://www.nhc.org/chp /p2p/. CHP and the National Housing Conference also recently released products on elderly housing, foreclosures, disasters, and transportation, available at https://www.housingpolicy.org/housing_solutions_week.html.

Access a pdf version of this HAC News. • Field offices encouraged to obligate all Section 502 direct funds this year • USDA to announce some housing NOFAs on web only • Section 538 rental housing guarantees offered • RD changes position on Tax Credit Exchange Program funding as equity • New affordable housing goals proposed for Fannie and Freddie • Federal Home Loan Banks community development lending changes suggested • Census Bureau developing new poverty calculation • Census participation tools offered • Home Depot Offers $1 Million For 2010 Pro Trade Scholarships • Correction to budget table, HAC News, 2/3/10 • Rural Voices magazine covers colonias • Registration and details posted for HAC’s conference on sustainable approaches

March 5, 2010
Vol. 39, No. 5

FIELD OFFICES ENCOURAGED TO OBLIGATE ALL SECTION 502 DIRECT FUNDS THIS YEAR. An Unnumbered Letter to USDA state offices launches a campaign to use all FY2010 appropriation and Recovery Act loan funds by September 30, including providing at least 40% of funds to very low-income borrowers. The UL, dated February 24, 2010, is available at https://www.rurdev.usda.gov/regs/ul_list.html or from RD offices.

USDA TO ANNOUNCE SOME HOUSING NOFAS ON WEB ONLY. A Federal Register notice and an Unnumbered Letter state that NOFAs for some programs will be posted only on RD’s website, https://www.rurdev.usda.gov, and others will continue to be published in the Federal Register. The notice does not provide details, and HAC could not obtain any by press time. Any additional news HAC receives will be posted at https://ruralhome.org. See Federal Register, 3/4/10 or https://www.rurdev.usda.gov/regs/ul/ulfebruary10.pdf.

SECTION 538 RENTAL HOUSING GUARANTEES OFFERED. Funds can be used for new construction; acquisition with rehabilitation; or revitalization, repair, and transfer of existing Section 515 housing, including equity payments in connection with transfer. Deadline is December 31. See Federal Register, 2/26/10 at https://www.access.gpo.gov/su_docs/fedreg/a100226c.html or contact a Rural Development state office.

RD CHANGES POSITION ON TAX CREDIT EXCHANGE PROGRAM FUNDING AS EQUITY. Responding to a letter from House Financial Services Committee Chair Barney Frank (D-Mass.), RD housing Administrator Tammye Treviño committed to reverse a November 20, 2009 Unnumbered Letter that stated TCEP funds would be considered grants rather than equity in Section 515 projects. A National Housing Law Project explanation and the Frank and Treviño letters are posted at https://nhlp.org/node/1293.

NEW AFFORDABLE HOUSING GOALS PROPOSED FOR FANNIE AND FREDDIE. As required by the Housing and Economic Recovery Act of 2008, the Federal Housing Finance Agency has drafted new goals for Fannie Mae and Freddie Mac to purchase single-family and multifamily affordable housing mortgages. FHFA also suggests revising the way it determines whether the goals are met. Comments are due April 12. See Federal Register, 2/26/10 or https://www.fhfa.gov/Default.aspx?Page=89. Contact Nelson Hernandez, FHFA, 202-408-2993.

FEDERAL HOME LOAN BANKS COMMUNITY DEVELOPMENT LENDING CHANGES SUGGESTED. Comments are due April 26 on a Federal Housing Finance Agency proposed rule regarding Federal Home Loan Bank community development finance, including definitions of terms such as “community development.” See Federal Register, 2/23/10 or https://www.regulations.gov. Contact Thomas E. Joseph, FHFA, thomas.joseph@fhfa.gov, 202-414-3095.

CENSUS BUREAU DEVELOPING NEW POVERTY CALCULATION. The Supplemental Poverty Measure will not change the official government calculation, but will provide “an additional macro-economic statistic.” See the press release at https://www.commerce.gov/NewsRoom/PressReleases_FactSheets/PROD01_008963.

CENSUS PARTICIPATION TOOLS OFFERED. Nonprofit Voter Engagement Network resources, including a toolkit to help nonprofits encourage Census participation, are at https://www.nonprofitscount.org/downloads.html. Census Bureau resources are at https://2010.census.gov/2010census/take10map/.

HOME DEPOT OFFERS $1 MILLION FOR 2010 PRO TRADE SCHOLARSHIPS. The program will provide $1,000 scholarships to 500 students attending building and construction trade schools and $1,000 grants to their schools. Applications are due April 30. Visit https://www.homedepot.com/tradescholarship or call 877-743-5327.

CORRECTION TO BUDGET TABLE, HAC NEWS, 2/3/10. The second to last line in the table of HUD programs should read “Transformation Initiative” rather than “Transforming Rental Assistance.” HAC apologizes for any confusion. The corrected version is available at https://ruralhome.org.

RURAL VOICES MAGAZINE COVERS COLONIAS. In the latest issue of HAC’s quarterly magazine, nonprofit organizations working across the colonias region illustrate the work being done to organize residents, build affordable housing, and improve infrastructure. Articles by Rep. Rubén Hinojosa (D-Texas) and USDA housing administrator Tammye Treviño are included. Rural Voices is free at https://ruralhome.org. For one free print subscription per organization, contact Lawrence Adams, HAC, 202-842-8600, lawrence@ruralhome.org. To sign up for email notices announcing new issues, visit https://ruralhome.org/information-and-publications/169-sign-up.

REGISTRATION AND DETAILS POSTED FOR HAC’S CONFERENCE ON SUSTAINABLE APPROACHES. “Building Green in Rural America: A Symposium on Policy and Practice” will be held June 9 in Washington, DC. Visit https://ruralhome.org. Contact Dan Stern, HAC, 202-842-8600, dan@ruralhome.org.

Access a pdf version of this HAC News. • Budget proposes level funding for most USDA rural housing programs, none for MPR • HUD budget requests cuts for many programs in FY 2011 • Rules proposed for new rural water/wastewater predevelopment grant program • USDA announces self-help forums

February 3, 2010
Vol. 39, No. 3

BUDGET PROPOSES LEVEL FUNDING FOR MOST USDA RURAL HOUSING PROGRAMS, NONE FOR MPR. The Obama Administration’s budget for fiscal year 2011, released February 1, zeroes out initiatives that were created in past appropriations legislation but never authorized, including USDA’s rural rental preservation demonstration program, known as MPR. Section 515 rental housing would be increased from $69 to $95 million; Section 515 funds can be used for some preservation activities, but not all that have been available through MPR. The budget does fund vouchers for tenants whose rents rise because of rental prepayment, and Section 521 Rental Assistance for new Section 515 rental and Section 514/516 farm labor housing. Most other RD rural housing programs would remain at FY 2010 levels. For more details visit https://ruralhome.org.

USDA Rural Development Program (dollars in millions)	FY 2009 Approp.	FY 2010 Approp.	FY 2011 Budget
Loans
502 Single Fam. Direct	$2,121.5 (a)	$1,121	$1,200
502 Single Family Guar.	16,699 (a)	12,000	12,000
504 Very Low-inc. Repair	34.4	34.4	34
514 Farm Labor Hsg.	20	27.3	27
515 Rental Hsg. Direct	69.5	69.5	95.2
538 Rental Hsg. Guar.	129.1	129.1	129.1
Rental Prsrv. Revlg. Loans	2.9	1.8	0
Grants & Payments
504 Very Low-inc. Repair	29.7	31.6	31
516 Farm Labor Hsg.	9.1	9.9	10
523 Self-Help TA	38.7	41.9	37
533 Hsg. Prsrv. Grants	8.9	9.4	9.4
521 Rental Assistance (1-yr. contracts) Preservation RA New Construction 515 RA New Construction 514/516 RA	902.5 (6) (2.03) (3.4)	980 (6) (2.03) (3.4)	966 0 (3) (3)
542 Rural Hsg. Vouchers	5	16.4	18
Rental Prsrv. Demo. (MPR)	20	25	0
Rural Cmnty. Dev’t Init.	6.3	6.3	0

(a) For Section 502 direct, $1.12 billion in regular appropriations and $1 billion from the Recovery Act. For Section 502 guaranteed, $6.2 and $10.5 billion.

HUD BUDGET REQUESTS CUTS FOR MANY PROGRAMS IN FY 2011. The Administration’s HUD budget would increase homelessness programs, rental assistance, the Public Housing Operating Fund, and HOPWA, while cutting CDBG, HOME, Indian housing, Sections 202 and 811, fair housing, and the Public Housing Capital Fund. The Housing Trust Fund would be funded at $1 billion. For the first time since the late 1990s a President’s budget proposes to eliminate SHOP. No funding is requested for the new Rural Innovation Fund, which replaced the Rural Housing and Economic Development Program in 2010 appropriations, at HUD’s urging. The budget also proposes new initiatives on “Transforming Rental Assistance” and “Catalytic Investments.” Details are at https://ruralhome.org.

HUD Program (dollars in millions)	FY 2009 Approp. (a)	FY 2010 Approp.	FY 2011 Budget
Cmty. Devel. Block Grants Sustainable Commun. Init. Rural Innovation Fund University Community Fund Catalytic Investment Grants (b)	$6,900 – – – –	$4,450 (150) (25) (25) –	4,380 (150) 0 (25) (150)
HOME	4,075	1,825	1,650
Housing Trust Fund	–	0	1,000
Tenant-Based Rental Asstnce.	12,817	14,184	15,551
Project-Based Rental Asstnce.	7,130	8,158	8,982
Transforming Rental Asstnce. (c)	–	–	350
Vets. Affairs Spptve Hsg. Vouchers	76	76	0
Public Hsg. Capital Fund	6,450	2,500	2,044
Public Hsg. Operating Fund	4,455	4,775	4,829
Public Hsg. Revtlztn. (HOPE VI)	120	200	0
Choice Neighbrhd. Initiative (d)	–	65	250
Native Amer. Hsg. Block Grant	1,155	700	580
Native Hawaiian Hsg. Block Grant	10	13	10
Homeless Assistance Grants	3,177	1,865	2,055
Hsg. Opps. for Persons w/ AIDS	310	335	340
202 Hsg. for Elderly	765	825	274
811 Hsg. for Disabled	250	300	90
Fair Housing	54	72	61
Rural Hsg. & Econ. Dev. (RHED)	26	0	0
Self-Help Homeownshp. (SHOP)	26.5	27	0
Lead Hazard Control	240	140	140
Housing Counseling	65	87.5	88
Transformation Initiative (e)	–	20	20
Energy Innovation Fund	–	50	0

(a) 2009 levels include Recovery Act funds. (b) New program for economic development and gap financing for community revitalization. (c) New program for rental preservation, efficiency and resident choice. (d) Demonstration, initially proposed in FY 2010 budget to replace HOPE VI. (e) New initiative to combat mortgage fraud and to transform ways in which HUD does business.

RULES PROPOSED FOR NEW RURAL WATER/WASTEWATER PREDEVELOPMENT GRANT PROGRAM. Comments are due February 22 on draft regulations for USDA’s new Special Evaluation Assistance for Rural Communities and Households (SEARCH) program for financially distressed rural communities with populations below 2,500. Nonprofits, public agencies, and tribes will be eligible for grants to cover water and waste disposal project feasibility studies, designs, and applications. See Federal Register, 1/22/10 or https://www.regulations.gov. Contact Anita O’Brien, RD, 202-690-3789, anita.obrien@usda.gov.

USDA ANNOUNCES SELF-HELP FORUMS. Rural Development will hold forums on its self-help program around the country between February and June, with an emphasis on the Technical and Management Assistance contracts under Section 523. See Federal Register, 2/2/10 and https://www.rurdev.usda.gov/rhs/Admin/2010SelfHelpForums.htm. Contact Debra S. Arnold, RD, 202-720-1366, debra.arnold@wdc.usda.gov. Watch for additional details at https://ruralhome.org as they become available.

Housing Assistance Council
1025 Vermont Ave., NW, Suite 606, Washington DC 20005
(202) 842-8600 | hac@ruralhome.org | www.ruralhome.org