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 5, 2009

Access a pdf version of this HAC News. • Senate passes FY 2010 USDA appropriations bill • HUD funding bills passed by full House and by Senate committee • USDA announces ARRA Section 502 funds • Comments requested on GSEs’ duty to serve underserved markets including rural areas • Proposed Fair Market Rents for 2010 released • AHP refinancing role may be broadened • FHFA addresses multiple topics for Federal Home Loan Banks • Comments sought on use of Section 108 guarantees outside CDBG entitlement areas • FHA requests comments on insufficient credit histories • New flood insurance guidance for lenders • 2009 data show rent subsidy use rising in USDA multifamily housing • SSN/TIN requirement clarified for 502 and 504 borrowers • Local data on seriously delinquent mortgages published

August 5, 2009
Vol. 38, No. 16

SENATE PASSES FY 2010 USDA APPROPRIATIONS BILL. H.R. 2997 was approved by the full Senate on August 4. Housing program funding levels are the same as those reported in the HAC News, 7/22/09 and are available on HAC’s website. The full House and Senate bills are posted at https://thomas.loc.gov/home/approp/app10.html. After Congress’s August recess, a conference committee will resolve differences between the House and Senate bills.

HUD FUNDING BILLS PASSED BY FULL HOUSE AND BY SENATE COMMITTEE. The 2010 HUD appropriations bill passed by the House on July 23 would provide higher funding levels for most programs than the version approved by the Senate Appropriations Committee on July 30. Both bills would move the Rural Housing and Economic Development program’s $25 million to a new Rural Innovation Fund, although the Senate Committee’s report directs HUD to retain the program’s current structure. The bills and reports were not available at print time .

HUD Program
(dollars in millions)

FY 2009
Approp.

FY 2010
Admin. Budget

FY 2010
House
H.R. 3288

FY 2010 Senate Approps. Comm.
H.R. 3288

Cmty. Devel. Block Grants
Sustainable Commun. Init.(a)
Rural Innovation Fund (a)
University Community Fund (a)

$3,900


$4,450
(150)
(25)
(25)

$4,599
(150)
(25)
(25)

$4,450
(150)
(25)
(25)

HOME

1,825

1,825

2,000

1,825

Housing Trust Fund

1,000

0

0

Tenant-Based Rental Asstnce.

16,217

17,836

18,242

18,187

Project-Based Rental Asstnce.

7,100

8,100

8,700

8,100

Vets. Affairs Spprtv. Hsg. Vouchers

75

0

75

75

Public Hsg. Capital Fund

2,450

2,244

2,500

2,500

Public Hsg. Operating Fund

4,455

4,600

4,800

4,750

Public Hsg. Revtlztn. (HOPE VI)

120

0

250

0

Choice Neighborhoods Init.(d)

250

250

Native Amer. Hsg. Block Grant

645

645

750

670

Native Hawaiian Hsg. Block Grant

10

10

12

13

Homeless Assistance Grants

1,677

1,794

1,850

1,875

Hsg. Opps. for Persons w/ AIDS

310

310

350

320

202 Hsg. for Elderly

765

765

1,000

785

811 Hsg. for Disabled

248

250

350

265

Fair Housing

54

72

72

72

Rural Hsg. & Econ. Dev. (RHED)

26

0 (b)

0 (b)

0 (b)

Self-Help Homeownshp. (SHOP)

26.5

27

27

27

Lead Hazard Control

140

140

140

140

Housing Counseling

65

100

70

100

Transformation Initiative (c)

20

20

20

Energy Innovation Fund

100

50

75

(a) Proposed new initiatives under CDBG.
(b) $25 million new initiative proposed under CDBG.
(c) New initiative to combat mortgage fraud.
(d) Proposed in President’s budget to replace HOPE VI; authorizing legislation not yet introduced.

USDA ANNOUNCES ARRA SECTION 502 FUNDS. The application process is the same for Section 502 direct and guaranteed loans funded by the American Recovery and Reinvestment Act as for those provided by the 2009 appropriations law. For ARRA loans, Davis-Bacon wages are required for any construction or repair (including painting) over $2,000. See Federal Register, 7/23/09 . Contact a USDA Rural Development local or state office.

COMMENTS REQUESTED ON GSES’ DUTY TO SERVE UNDERSERVED MARKETS INCLUDING RURAL AREAS. The Federal Housing Finance Agency will develop regulations to implement Fannie Mae’s and Freddie Mac’s duty to serve manufactured housing, affordable housing preservation, and rural areas. Comments are due September 18 on the types of transactions and activities that should be considered and how. See Federal Register, 8/4/09 or https://www.regulations.gov. Contact Nelson Hernandez, FHFA, 202-408-2819, Nelson.Hernandez@fhfa.gov.

PROPOSED FAIR MARKET RENTS FOR 2010 RELEASED. Comments are due September 2. See Federal Register, 8/4/09 or www.huduser.org/datasets/fmr.html. Contact Marie L. Lihn, HUD, 202-708-0590.

AHP REFINANCING ROLE MAY BE BROADENED. The Federal Housing Finance Agency proposes to broaden the use of the Affordable Housing Program to assist in refinancing under numerous federal, state and local programs, not only FHA’s program. Comments are due October 5. See Federal Register, 8/4/09 or www.regulations.gov. Contact Nelson Hernandez, FHFA, 202-408-2819, Nelson.Hernandez@fhfa.gov.

FHFA ADDRESSES MULTIPLE TOPICS FOR FEDERAL HOME LOAN BANKS. See the Federal Register, 8/4/09 or https://www.regulations.gov for: • regulations regarding the board of directors of the FHLB System’s Office of Finance (comments are due October 5; contact Joseph A. McKenzie, 202-408-2845), • research findings on the extent to which loans and securities used as collateral to support FHLBank advances are consistent with guidance on nontraditional mortgage products (comments are due October 2; contact Louis M. Scalza, 202-408-2953); and • a final rule defining critical capital for the FHLBanks and FHFA’s authority to take prompt corrective action (contact Julie Paller, 202-408-2842).

COMMENTS SOUGHT ON USE OF SECTION 108 GUARANTEES OUTSIDE CDBG ENTITLEMENT AREAS. HUD has issued an interim rule and request for comments by September 21 on using FY 2009 Section 108 loan guarantees for states borrowing on behalf of local governments in nonentitlement areas. See Federal Register, 7/22/09 or https://www.regulations.gov. Contact Paul Webster, HUD, 202-708-1871.

FHA REQUESTS COMMENTS ON INSUFFICIENT CREDIT HISTORIES. FHA is developing a pilot automated process for providing alternative credit rating information (e.g., rent payment histories) for homebuyers whose credit histories are insufficient to determine their creditworthiness. Comments are due September 28. See Federal Register, 7/28/09 or https://www.regulations.gov. Contact Margaret Burns, HUD, 202-708-2121.

NEW FLOOD INSURANCE GUIDANCE FOR LENDERS. The agencies that regulate banks, credit unions, and other commercial lenders have revised their Interagency Questions and Answers Regarding Flood Insurance to help lenders meet their responsibilities under federal flood insurance law. Comments are due September 21. See Federal Register, 7/21/09 or https://www.regulations.gov. Contact Pamela Mount, OCC, 202-874-4428.

2009 DATA SHOW RENT SUBSIDY USE RISING IN USDA MULTIFAMILY HOUSING. RD reports on its 2009 multifamily housing fair housing occupancy survey in an unnumbered letter dated July 14, 2009, available on HAC’s website or from RD offices.

SSN/TIN REQUIREMENT CLARIFIED FOR 502 AND 504 BORROWERS. An Unnumbered Letter dated July 22, 2009 explains that anyone who will sign a note under Section 502 or 504 must have a Social Security Number or a Taxpayer Identification Number issued by the IRS, not the Western Pacific Territories or other entity. ULs are available at https://www.rurdev.usda.gov/regs/ul_list.html or from RD offices.

LOCAL DATA ON SERIOUSLY DELINQUENT MORTGAGES PUBLISHED. A Government Accountability Office report includes the number and percentage of seriously delinquent mortgages in every congressional district. Characteristics and Performance of Nonprime Mortgages, GAO-09-848R, is available at https://www.gao.gov/cgi-bin/getrpt?GAO-09-848R or for a fee from GAO, 866-801-7077.

HAC News: July 22, 2009

Access a pdf version of this HAC News. • USDA funding bills approved by full House, Senate Committee • HUD funding bill may reach full House this week • RHED authorization bill reintroduced • Capitol Hill hearings cover USDA and HUD rental preservation • HUD offers funds • FEMA releases National Disaster Housing Strategy • Administration conducts rural tour • Fair housing featured in Rural Voices • West Virginia dates added to HAC summer CHDO trainings • Rural rental preservation conference set for September 24

July 22, 2009
Vol. 38, No. 15

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

USDA Rural Development Program
(dollars in millions)

FY 2009 Approp.

FY 2010
Admin. Budget

FY 2010
House
H.R. 2997

FY 2010
Sen. App. Cmte.
S. 1406

Loans

502 Single Fam. Direct

$1,121.5

$1,121

$1,121

$1,227

502 Single Family Guar.

6,223.9

6,200

6,204

12,000

504 Very Low-inc. Repair

34.4

34.4

34.4

34.4

514 Farm Labor Hsg.

20

22

30.5

21.6

515 Rental Hsg. Direct

69.5

69.5

80

69.5

538 Rental Hsg. Guar.

129.1

129.1

129.1

129.1

Rental Prsrv. Revlg. Loans

2.9

1.8

1.8

1.8

Grants & Payments

504 Very Low-inc. Repair

29.7

31.6

31.6

31.6

516 Farm Labor Hsg.

9.1

9

11.5

9.1

523 Self-Help TA

>38.7

38.7

45

38.7

533 Hsg. Prsrv. Grants

8.9

9.4

9.4

9.4

521 Rental Assistance (1-yr. cntrcts.)

902.5

1,091

>980

980

Preservation RA

(6)

(6)

(6)

(6)

New Construction 515 RA

(2.03)

(2.03)

(2.03)

(2.03)

New Construction 514/516 RA

(3.4)

(3.4)

(3.4)

(3.4)

542 Rural Hsg. Vouchers

5

5

5

18

Rental Prsrv. Demo. (MPR)

20

19.8

25

19.9

Rural Cmnty. Dev’t Init.

6.3

6.3

6.3

6.3

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

HUD Program
(dollars in millions)

FY 2008
Approp.

FY 2009
Approp.

FY 2010
Admin. Budget

FY 2010
House Cmte.

Cmty. Devel. Block Grants
Sustainable Commun. Init.(a)
Rural Innovation Fund (a)
University Community Fund (a)

$3,865.8


$3,900


$4,450
(150)
(25)
(25)

$4,601
(150)
(25)
(25)

HOME

1,704

1,825

1,825

2,000

Housing Trust Fund

1,000

0

Tenant-Based Rental Asstnce.

15,555

16,217

17,836

18,242

Project-Based Rental Asstnce.

6,223

7,100

8,100

8,700

Vets. Affairs Spprtv. Hsg. Vouchers

75

75

0

75

Public Hsg. Capital Fund

2,439

2,450

2,244

2,500

Public Hsg. Operating Fund

4,200

4,455

4,600

4,800

Public Hsg. Revtlztn. (HOPE VI)

100

120

0

250

Native Amer. Hsg. Block Grant

630

645

645

750

Native Hawaiian Hsg. Block Grant

9

10

10

12

Homeless Assistance Grants

1,586

1,677

1,794

1,850

Hsg. Opps. for Persons w/ AIDS

300

310

310

350

202 Hsg. for Elderly

735

765

765

1,000

811 Hsg. for Disabled

231

248

250

350

Fair Housing

50

54

72

72

Rural Hsg. & Econ. Dev. (RHED)

17

26

0 b

0 (b)

Self-Help Homeownshp. (SHOP)

26.5

26.5

27

27

Lead Hazard Control

142

140

140

140

Housing Counseling

65

100

70

Transformation Initiative (c)

20

20

Energy Innovation Fund

100

50

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

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

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

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

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

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

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

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

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

HAC News: July 8, 2009

Access a pdf version of this HAC News. • USDA appropriations bills for 2010 expected to move forward this week • Housing trust fund sources proposed • HUD issues NOFAs for three university programs and healthy homes technical studies • RD explains Davis-Bacon for ARRA-funded 502 mortgages • Guidance issued on using Section 538 for Section 515 preservation • USDA begins naming RD State Directors • Rural Energy Plus Pilot Program becomes permanent part of Section 502 program • CRA rules to be revised • Approval proposed for Fannie Mae and Freddie Mac innovations • HUD GIS system aims to help those who help homeless • Survey finds foreclosure and economic crises are increasing homelessness • HAC offers summer CHDO trainings

July 08, 2009
Vol. 38, No. 14

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

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

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

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

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

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

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

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

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

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

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

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

HAC News: June 24, 2009

Access a pdf version of this HAC News. • House Appropriations Committee passes FY 2010 USDA funding bill • Rental preservation bill re-introduced • Veterans’ housing bill passes House • Congress changes Davis-Bacon for some HUD ARRA programs • House approves full funding for 2010 Census • RD offers disaster funds • HUD funds available for housing counseling, training, and FSS • Homeless prevention program notice corrected • HUD revises lead control and reduction NOFA • Capital Fund Recovery Grants NOFA corrected • NSP2 NOFA corrected, bridge notice published • USDA narrows data collection on race and other characteristics • Protections for tenants in foreclosure explained • Federal appeals court upholds prepayment ruling • Harvard’s Joint Center reviews impact of housing crisis on affordability • HAC offers summer CHDO trainings

June 24, 2009
Vol. 38, No. 13

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

USDA Rural Development Program
(dollars in millions)

FY 2009 Approp.

FY 2010
Admin. Budget

FY 2010
House Cmte.
H.R. 2997

Loans

502 Single Fam. Direct

$1,121.5

$1,121

$1,121

502 Single Family Guar.

6,223.9

6,200

6,204

504 Very Low-inc. Repair

34.4

34.4

34.4

514 Farm Labor Hsg.

20

22

29.4

515 Rental Hsg. Direct

69.5

69.5

80

538 Rental Hsg. Guar.

129.1

129.1

129.1

Rental Prsrv. Revlg. Loans

2.9

1.8

1.8

Grants and Payments

504 Very Low-inc. Repair

29.7

31.6

*

516 Farm Labor Hsg.

9.1

9

11

523 Self-Help TA

38.7

38.7

45

533 Hsg. Prsrv. Grants

8.9

9.4

*

521 Rental Assistance (1-yr. contracts)

902.5

1,091

980

Preservation RA

(6)

(6)

(6)

New Construction 515 RA

(2.03)

(2.03)

(2.03)

New Construction 514/516 RA

(3.4)

(3.4)

(3.4)

542 Rural Hsg. Vouchers

5

5

5

Rental Prsrv. Demo. (MPR)

20

19.8

25

Rural Cmnty. Dev’t Init.

6.3

6.3

6.3

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

HAC News: June 10, 2009

Access a pdf version of this HAC News. • June is National Homeownership Month • Congress begins reviewing appropriations bills • HUD offers Native American housing funds • Lead hazard control grants available • USDA corrects list of state offices in Section 533 funding notice • FTC requests comments on mortgage regulations • H-2A final rule suspended • Agencies provide guidance on new homebuyer tax credit • Prequalification proposed for multifamily weatherization • OMB issues Circular A-133 Compliance Supplement • New media campaign promotes fair housing, report shows record filings in 2008 • HAC offers summer CHDO trainings

JUNE IS NATIONAL HOMEOWNERSHIP MONTH. HUD events are posted at https://www.fha.gov. See USDA’s press release in the newsroom at https://www.usda.gov.

CONGRESS BEGINS REVIEWING APPROPRIATIONS BILLS. On June 11 the House Agriculture Appropriations Subcommittee and the Senate Transportation-HUD Subcommittee are scheduled to mark up their FY 2010 bills. As news about Hill actions becomes available, updates will be posted on HAC’s site at https://ruralhome.org.

HUD OFFERS NATIVE AMERICAN HOUSING FUNDS. Tribes and tribal organizations can apply by August 7 for FY 2009 Indian CDBG funds. Visit https://www.hud.gov/offices/adm/grants/fundsavail.cfm. This competition is separate from the ICDBG and NAHASDA funds provided by the 2009 Recovery Act (see HAC News, 5/27/09). Contact Roberta Youmans, HUD, 202-402-3316 or a HUD Area Office of Native American Programs, listed at https://www.hud.gov/offices/pih/ih/codetalk/onap/map/nationalmap.cfm.

LEAD HAZARD CONTROL GRANTS AVAILABLE. Deadline is July 20 to apply for the Lead-Based Paint Hazard Control Grant Program and Lead Hazard Reduction Demonstration Grant Program. See Federal Register, 5/22/09 or visit https://www.hud.gov/offices/adm/grants/fundsavail.cfm. Contact Warren Friedman, HUD, 202-402-7574.

USDA CORRECTS LIST OF STATE OFFICES IN SECTION 533 FUNDING NOTICE. See Federal Register, 6/2/09 or https://www.grants.gov. Contact a USDA office for details.

FTC REQUESTS COMMENTS ON MORTGAGE REGULATIONS. The Federal Trade Commission’s Mortgage Acts and Practices rulemaking addresses unfairness and deception in advertising, origination, appraisals, and servicing. Comments are due July 30. Visit https://www.ftc.gov or contact Laura Johnson, FTC, 202-326-3224. The Mortgage Assistance Relief Services rulemaking addresses the practices of entities that are not mortgage servicers and offer to help consumers deal with owners or servicers of their loans to modify them or avoid foreclosure. Comments are due July 15. Visit https://www.ftc.gov or contact Evan Zullow, FTC, 202-326-3224. Neither rule will apply to banks, thrifts, federal credit unions, and nonprofits because the FTC does not have jurisdiction over them.

H-2A FINAL RULE SUSPENDED. The Department of Labor has suspended a December rule for certifying H-2A farmworkers (see HAC News, 4/29/09 and 3/18/09) and reinstated the previous regulations for nine months. See Federal Register, 5/29/09 or https://www.regulations.gov. Contact William L. Carlson, DOL, 202-693-3010.

AGENCIES PROVIDE GUIDANCE ON NEW HOMEBUYER TAX CREDIT. A USDA RD Unnumbered Letter dated May 4, 2009 is available at https://www.rurdev.usda.gov/regs/ul/ulmay09.pdf or from RD offices. FHA Mortgagee Letter 09-15 is posted at https://www.hud.gov/offices/adm/hudclips/letters/mortgagee/.

PREQUALIFICATION PROPOSED FOR MULTIFAMILY WEATHERIZATION. The Department of Energy is proposing to allow multi-unit buildings with HUD or LIHTC assistance (not USDA) to qualify for the Weatherization Assistance Program without an extensive application process. Comments are due June 22. See Federal Register, 5/21/09 or https://www.regulations.gov. Contact Gil Sperling, DOE, 202-586-1510, Gil.Sperling@ee.doe.gov.

OMB ISSUES CIRCULAR A-133 COMPLIANCE SUPPLEMENT. The supplement will apply to audits of nonprofits and others receiving federal funding for fiscal years beginning after June 30, 2008. Comments are due October 31, 2009. Download from https://www.whitehouse.gov/omb/financial_offm_circulars/ or order a print copy from the Government Printing Office (stock number 041-001-00667-2), 866-512-1800 (toll free).

NEW MEDIA CAMPAIGN PROMOTES FAIR HOUSING, REPORT SHOWS RECORD FILINGS IN 2008. The campaign by HUD and the National Fair Housing Alliance seeks to inform consumers about alternatives to foreclosure, how to avoid predatory loan terms, and how to recognize and report rental discrimination. For details visit https://www.nationalfairhousing.org. A new HUD report to Congress states that in FY 2008 over 10,500 fair housing discrimination complaints were filed, 44% of them by persons with disabilities and 35% based on race. People who believe they are the victims of housing discrimination should contact HUD at 1-800-669-9777 (voice), 800-927-9275 (TTY). For more information, visit https://www.hud.gov/fairhousing.

HAC OFFERS SUMMER CHDO TRAININGS. “Becoming a High Performing CHDO” is scheduled for June 25 in Colorado Springs. “Single-Family Housing Development” and “Advanced Financial Management” will be held July 29-30 in Burlington, Vermont and August 5-6 in Boise. “Building HOME for CHDOs and Nonprofits” and “Fitting the Pieces Together” (combining HOME and private financing for homeownership) are set for July 15-16 in Orlando and August 12-13 in Milwaukee. Limited travel scholarships are available. For details and to register online, visit https://ruralhome.org/servicesTraining.php. Contact Dan Stern, registration@ruralhome.org, 202-842-8600.

HAC News: May 27, 2009

Access a pdf version of this HAC News. • Tammye Treviño named rural housing administrator. • Foreclosure law signed, includes provisions for tenants and Sec. 502 guaranteed borrowers, as well as McKinney-Vento changes. • New protections for renters in foreclosure take effect immediately. • Senate votes for supplemental disaster housing funds. • Additional details on HUD budget released. • HUD offers Recovery Act NAHASDA and ICDBG funds. • Section 514/516 off-farm Farm Labor Housing funds available. • RD adds processing workers to “domestic farm laborers” definition. • Comments requested on implementing Kennedy Serve America Act. • USDA plans to collect standardized data on race, other characteristics. • HUD encourages Ike/Gustav survivors to register for disaster housing vouchers. • Online ARRA Clearinghouse collects Recovery Act information. • Rural public housing authorities covered in Rural Voices magazine. • Corrected link for details about HUD’s Green Retrofit program.

May 27, 2009
Vol. 38, No. 11

TAMMYE TREVIÑO NAMED RURAL HOUSING ADMINISTRATOR. Treviño – CEO of FUTURO Communities, an Empowerment Zone in parts of Dimmit, LaSalle, Maverick, Uvalde, and Zavala counties in Texas’s Middle Rio Grande area – will begin work June 8 as the administrator of USDA RD’s Housing and Community Development Programs.

FORECLOSURE LAW SIGNED, INCLUDES PROVISIONS FOR TENANTS AND SEC. 502 GUARANTEED BORROWERS, AS WELL AS MCKINNEY-VENTO CHANGES. (See HAC News, 5/13/09.) A summary, including full text of the Section 502 guarantee provision, is posted at https://ruralhome.org/infoAnnouncements_2008HousingCrisis.php. New protections for renters in foreclosure take effect immediately. The National Low Income Housing Coalition’s summary of those provisions is at https://www.nlihc.org/template/page.cfm?id=159.

SENATE VOTES FOR SUPPLEMENTAL DISASTER HOUSING FUNDS. On May 21 the Senate passed a supplemental appropriations act for FY 2009 that would provide $30 million, not included in the House version of the bill, for vouchers for Hurricane Katrina/Rita survivors whose disaster housing aid has ended. A conference committee will resolve differences. For bill text, visit https://thomas.loc.gov/home/approp/app09.html.

ADDITIONAL DETAILS ON HUD BUDGET RELEASED. HUD’s “Congressional Justifications for 2010 Estimates” are posted at https://www.hud.gov/offices/cfo/reports/2010/main_toc.cfm.

HUD OFFERS RECOVERY ACT NAHASDA AND ICDBG FUNDS. Deadline is July 13 for NAHASDA-eligible tribes and organizations to apply for funds to develop new housing, improve existing units, and build infrastructure. Tribes and organizations that received ICDBG grants in FY 2008 can apply by July 7 for funds to encourage economic development. Visit https://www.hud.gov/recovery and click Programs.

SECTION 514/516 OFF-FARM FARM LABOR HOUSING FUNDS AVAILABLE. Pre-applications for Section 514 loans and Section 516 grants for the construction of new off-farm units for farmworkers are due July 20. See Federal Register, 5/21/09 or https://www.rurdev.usda.gov/rd/nofas/index.html. Contact an RD state office or Henry Searcy, RD, 202-720-1753, Henry.Searcy@wdc.usda.gov.

RD ADDS PROCESSING WORKERS TO “DOMESTIC FARM LABORERS” DEFINITION. The 2008 Farm Bill made workers who process agricultural or aquacultural commodities eligible for Section 514/516 housing. A new Attachment 12-A to Handbook-1-3560, explaining how this change should be implemented, is available at https://www.rurdev.usda.gov/regs/hblist.html or from USDA RD offices.

COMMENTS REQUESTED ON IMPLEMENTING KENNEDY SERVE AMERICA ACT. The Corporation for National and Community Service seeks input on implementation of the new law, which expands existing service programs and adds new ones. Visit https://www.nationalservice.gov/serveact to submit comments in writing or register for a conference call in early June. Contact Amy Borgstrom, CNCS, 202-606-6930.

USDA PLANS TO COLLECT STANDARDIZED DATA ON RACE, OTHER CHARACTERISTICS. Comments are due July 13 on a proposal for USDA agencies that serve agricultural producers and landowners to consolidate data on race, ethnicity, sex, national origin, disability, and age of farmers or ranchers. See Federal Register, 5/13/09. Contact Rhonda Davis, USDA, 202-720-1010, rhonda.davis@usda.gov.

HUD ENCOURAGES IKE/GUSTAV SURVIVORS TO REGISTER FOR DISASTER HOUSING VOUCHERS. Aid ends on May 31 for those eligible for the Disaster Housing Assistance Program (DHAP-Ike/Gustav) who have not yet enrolled. Call a local housing authority or HUD’s Referral Call Center, 1-866-785-3239.

ONLINE ARRA CLEARINGHOUSE COLLECTS RECOVERY ACT INFORMATION. The portal at https://www.nlihc.org, created by the National Low Income Housing Coalition, provides materials and links regarding the housing and development programs affected by the American Recovery and Reinvestment Act of 2009 (see HAC News, 2/18/09).

RURAL PUBLIC HOUSING AUTHORITIES COVERED IN RURAL VOICES MAGAZINE. The current issue of HAC’s quarterly magazine explores ways rural PHAs have become partners in local housing and development. It also includes an article written by Rep. Lincoln Davis (D-Tenn.), the first in a series reflecting on the 60th anniversary of the Housing Act of 1949. Rural Voices is free online at https://ruralhome.org/infoRural.php. 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://lists.ruralhome.org/lists/info/rural_voices.

CORRECTED LINK FOR DETAILS ABOUT HUD’S GREEN RETROFIT PROGRAM (see HAC News of 5/13/09). Go to https://www.hud.gov/recovery, click on Programs, then select Green Retrofit Program. Documents including the application are listed in the lower right column on HUD’s program page.

HAC News: May 13, 2009

Access a pdf version of this HAC News. • Obama Administration Budget Would Hold Most Rural Housing Programs Steady, Replace RHED • Budget includes settlement funds for black farmers • Foreclosure bills include protections for tenants and for Sec. 502 guaranteed borrowers • HAC website provides RHED application help • USDA offers Section 533 funds • HUD will make NSP2 and public housing capital grants • HUD implements Green Retrofit program for multifamily housing • HUD and DOE agree to weatherize multifamily housing • Former HUD Secretary Jack Kemp passes away at age 73

May 13 , 2009
Vol. 38, No. 10

OBAMA ADMINISTRATION BUDGET WOULD HOLD MOST RURAL HOUSING PROGRAMS STEADY, REPLACE RHED. Under the detailed proposal for FY 2010 released on May 7, most USDA rural housing programs would stay at the same funding levels as in FY 2009. Some HUD programs would receive increases. The new National Housing Trust Fund would get $1 billion, offset by reductions in unspecified other spending. HUD’s Rural Housing and Economic Development program would be replaced by a new Rural Initiative Fund. Budget documents are at https://www.omb.gov and HAC’s analysis is at https://ruralhome.org/manager2/Budget2010HACSummary.pdf.

USDA Rural Development Program
(dollars in millions)

FY 2008 Approp.

FY 2009 Approp.

FY 2010 Proposed Budget

Loans

502 Single Fam. Direct

$1,129.4

$1,121.5

$1,121

502 Single Family Guar.

4,220

6,223.9

6,200

504 Very Low-inc. Repair

34.7

34.4

34.4

514 Farm Labor Hsg.

27.7

20

22

515 Rental Hsg. Direct

70

69.5

69.5

538 Rental Hsg. Guar.

130

129.1

129.1

Rental Prsrv. Revlg. Loans

3

2.9

1.8

Grants and Payments

504 Very Low-inc. Repair

30

29.7

31.6

516 Farm Labor Hsg.

10

9.1

9

523 Self-Help TA

39

38.7

38.7

533 Hsg. Prsrv. Grants

9

8.9

9.4

521 Rental Assistance a

482.1

902.5

1,091

Preservation RA

6

New Construction 515 RA

2.03

New Constr. 514/516 RA

3.4

542 Rural Hsg. Vouchers

5

5

5

Rental Prsrv. Demo. (MPR)

20

20

19.8

Rural Cmnty. Dev’t Init.

6.3

6.3

6.3

a. Rental Assistance contracts were for four years in FY 2006, for two years in FY 2007, and for one year in FY 2008 and 2009. The budget proposes one-year contracts in 2010.

HUD Program
(dollars in millions)

FY 2008 Approp.

FY 2009
Approp.

FY 2010 Proposed Budget

Cmty. Devel. Block Grants
Sustainable Commnts Init.a
Rural Innovation Fund a
University Community Fund a

$3,865.8


$3,900


$4,450
(150)
(25)
(25)

HOME

1,704

1,825

1,825

Housing Trust Fund

1,000

Tenant-Based Rental Asstnce.

15,555

16,217

17,836

Project-Based Rental Asstnce.

6,223

7,100

8,100

Public Hsg. Capital Fund

2,439

2,450

2,244

Public Hsg. Operating Fund

4,200

4,455

4,600

Public Hsg. Revtlztn. (HOPE VI)

100

0

0

Native Amer. Hsg. Block Grant

630

645

645

Homeless Assistance Grants

1,586

1,677

1,794

Hsg. Opps. for Persons w/ AIDS

300

310

310

202 Hsg. for Elderly
Hsg. Constructn.
Supportive Svcs.

735

765

522
243

811 Hsg. for Disabled
Hsg. Constructn.
Supportive Svcs.

231

248

114
136

Fair Housing

50

54

72

Rural Hsg. & Econ. Dev. (RHED)

17

26

0 b

Self-Help Homeownshp. (SHOP)

26.5

26.5

27

Lead Hazard Control

142

140

140

Housing Counseling

65

100

Transformation Initiative c

20

Energy Innovation Fund

100

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

BUDGET INCLUDES SETTLEMENT FUNDS FOR BLACK FARMERS. The Administration’s USDA budget would provide $1.25 billion for black farmers whose discrimination complaints have not yet been settled. To read USDA’s press release visit https://www.usda.gov and click Newsroom.

FORECLOSURE BILLS INCLUDE PROTECTIONS FOR TENANTS AND FOR SEC. 502 GUARANTEED BORROWERS. A variety of mortgage lending reforms and protections for tenants in foreclosed properties are provided in H.R. 1728 and S. 896, which passed the House and Senate last week. S. 896 would also require lenders with USDA Section 502 guarantees to take steps to avoid foreclosures and would authorize USDA to allow modifications, make loans to defaulting borrowers, and take over modified mortgages. In addition, the Senate bill would reauthorize and consolidate the McKinney-Vento homeless assistance programs. Find both bills at https://thomas.loc.gov.

HAC WEBSITE PROVIDES RHED APPLICATION HELP. Slides and audio from a recent webcast for applicants are posted at https://ruralhome.org/servicesTraining.php. The deadline is May 29.

USDA OFFERS SECTION 533 FUNDS. Housing Preservation Grants are available for public agencies and nonprofits to repair owner-occupied and rental housing. Deadline is July 10. See Federal Register, 5/11/09, or https://www.grants.gov. Contact a USDA RD state office.

HUD WILL MAKE NSP2 AND PUBLIC HOUSING CAPITAL GRANTS. Government agencies and nonprofits can compete for foreclosure recovery funding from the second round of the Neighborhood Stabilization Program. Deadline is July 17. Funds to provide technical assistance to NSP grantees are also available with a June 8 deadline. Visit https://www.hud.gov/nsp. Contact Stanley Gimont, HUD, 202-708-3587. PHAs can apply for capital funding; visit www.hud.gov/offices/pih/programs/ph/capfund/ocir.cfm. Contact HUD staff at PIHOCI@hud.gov.

HUD IMPLEMENTS GREEN RETROFIT PROGRAM FOR MULTIFAMILY HOUSING. Owners of properties with funding from Section 202 or 811, or with project-based Section 8 vouchers (including Section 515/8 properties with at least 20 units) can apply beginning June 15 for grants or loans to reduce utility consumption, benefit resident health, or benefit the environment. Details will be available soon at HUD’s Economic Recovery page.

HUD AND DOE AGREE TO WEATHERIZE MULTIFAMILY HOUSING. A Memorandum of Understanding is intended to help the Department of Energy use economic stimulus weatherization funds for multifamily properties with HUD or Low-Income Housing Tax Credit funding. Visit https://www.hud.gov/news/index.cfm.

FORMER HUD SECRETARY JACK KEMP PASSES AWAY AT AGE 73. The Washington Post’s obituary is at https://www.washingtonpost.com/wp-dyn/content/article/2009/05/02/AR2009050202501.html.

HAC News: April 29, 2009

Access a pdf version of this HAC News. • Two rural housing bills introduced in House • AmeriCorps expansion bill signed into law • RHED funds available, deadline May 29 • NOFAs issued for most USDA multifamily housing programs and for household water wells • IDA grants offered • Second funding round opens for CDFIs and Native American CDFIs • USDA issues civil rights improvement plan • Economic stimulus Section 502 direct loans explained • RD preservation voucher policy updated • Loss mitigation guide for 502 guaranteed loans reissued • Transition period extended for new H-2A certification process • Advocates’ Guide to Housing and Community Development released

April 29, 2009
Vol. 38, No. 9

TWO RURAL HOUSING BILLS INTRODUCED IN HOUSE. H.R. 2034, introduced by Rep. William Lacy Clay (D-MO) with several cosponsors, would allow Section 502 guaranteed loans to refinance private sector mortgages. USDA would set the guarantee fee at a level that would enable such refis without credit subsidy. The guarantee fee for other Section 502 guaranteed loans would increase to 2%. H.R. 1989, sponsored by Rep. Shelley Moore Capito (R-WV), would change FY 2009 appropriations bill language for Section 538 guaranteed loans, allowing part of the program’s FY 09 funding to be used for interest subsidies. Search by bill number at https://thomas.loc.gov.

AMERICORPS EXPANSION BILL SIGNED INTO LAW. President Obama signed the Edward M. Kennedy Serve America Act on April 21 (see HAC News, 4/1/09). The first opportunity to fund the larger program will be FY 2010. Search H.R. 1388 at https://thomas.loc.gov.

RHED FUNDS AVAILABLE, DEADLINE MAY 29. HUD’s Rural Housing and Economic Development program has three categories: innovative housing and economic development, economic development and entrepreneurship for tribes, and technical assistance for tribes. Paper applications are required this year. Visit https://www.hud.gov/offices/cpd/economicdevelopment/programs/rhed/funding09/index.cfm. Contact RHED staff at 1-877-787-2526.

NOFAS ISSUED FOR MOST USDA MULTIFAMILY HOUSING PROGRAMS AND FOR HOUSEHOLD WATER WELLS. June 29 is the application deadline for Section 515 rental housing new construction and the Multi-family Housing Revitalization Demonstration (MPR) program for Section 515 and 514/516 housing. Applications for household water well grants are due May 21. Section 542 preservation vouchers are available on a rolling basis for tenants in Section 515 properties when mortgages are prepaid or foreclosed upon. See Federal Register, April 29 or https://www.grants.gov. For Section 515, contact Sue Harris-Green, 202-720-1660, Susie.Harris@wdc.usda.gov; for MPR, Cynthia Foxworth, cynthia.reesefoxworth@usda.gov, 202-720-1940; for vouchers, Stephanie B.M. White, 202-720-1615; and for wells, Cheryl Francis, 202-720-1937, cheryl.francis@wdc.usda.gov.

IDA GRANTS OFFERED. Nonprofits, governments, and tribes can apply by June 25 for Assets for Independence grants to implement Individual Development Account programs. Visit https://www.acf.hhs.gov/programs/ocs/afi/. Contact AFI staff, 1-866-778-6037, info@idaresources.org.

SECOND FUNDING ROUND OPENS FOR CDFIS AND NATIVE AMERICAN CDFIS. Both CDFI Fund programs are offering financial assistance grants only, not technical assistance. Applicants must already be certified or have applied for certification. Apply by May 27 through https://www.cdfifund.gov (not through grants.gov). See Federal Register, 4/28/09 or https://www.cdfifund.gov. Contact CDFI Fund staff, 202-622-6355, cdfihelp@cdfi.treas.gov.

USDA ISSUES CIVIL RIGHTS IMPROVEMENT PLAN. On April 21, USDA Secretary Tom Vilsack released a memo explaining his plan to promote civil rights and equal access for USDA employees and clients. Steps include an external analysis of program delivery in RD and other agencies, creation of a task force to review processing of civil rights complaints, improved data collection, and management controls for handling complaints. View the memo at https://www.usda.gov/documents/NewCivilRightsEra.pdf.

ECONOMIC STIMULUS SECTION 502 DIRECT LOANS EXPLAINED. Information applicable to Section 502 direct loans made with funding under the American Recovery and Reinvestment Act is provided in an unnumbered letter dated April 10, available at https://www.rurdev.usda.gov/regs/ul/ulapril09.pdf or from RD offices.

RD PRESERVATION VOUCHER POLICY UPDATED. An unnumbered letter dated April 10 is available at https://www.rurdev.usda.gov/regs/ul/ulapril09.pdf or from RD offices.

LOSS MITIGATION GUIDE FOR 502 GUARANTEED LOANS REISSUED. Administrative Notice 4433 is intended to clarify policies for loss mitigation and updates a guide for lenders. AN 4433 and others are available at https://www.rurdev.usda.gov/regs/an_list.html or from USDA offices.

TRANSITION PERIOD EXTENDED FOR NEW H-2A CERTIFICATION PROCESS. As the Department of Labor considers suspending the new process (see HAC News, 3/18/09), it has extended transition procedures to include all employers with a date of need on or before January 1, 2010. Comments on the extension are due May 18. See Federal Register, 4/16/09 or https://www.regulations.gov. Contact William L. Carlson, DOL, 202-693-3010.

ADVOCATES’ GUIDE TO HOUSING AND COMMUNITY DEVELOPMENT RELEASED. The 2009 issue of the National Low Income Housing Coalition’s annual book describes housing and housing-related programs, proposals, issues, and pending legislation. The guide is free at https://www.nlihc.org. Print copies are $25 for NLIHC members (or call 202-662-1530 for bulk rates) or $40 for non-members.

HAC News: April 15, 2009

Access a pdf version of this HAC News. • HUD changes SuperNOFA general section • April is Fair Housing Month • McKinney-Vento reauthorization bills introduced • EPA smart growth aid available • RBOG deadline extended, rural redefined • OCC rule on bank public welfare investments final • FEMA proposes rule on hurricane loan cancellations • Fannie Mae and Freddie Mac eviction ban ends • Federal and state governments combat mortgage relief fraud • Two updated reports confirm ongoing affordability crisis • National “Jobs and Homes Now!” Day of Action set for June 11

April 15, 2009
Vol. 38, No. 8

HUD CHANGES SUPERNOFA GENERAL SECTION. An April 16 Federal Register notice, available on April 15 at https://ruralhome.org, says some programs may accept applications on paper rather than through grants.gov, with specifics to be provided in forthcoming individual program NOFAs; it does not say when those NOFAs will be released. Other changes include alternative websites where NOFAs will be posted. HAC is monitoring relevant sites daily and will post information at https://ruralhome.org as soon as it becomes available.

APRIL IS FAIR HOUSING MONTH. HUD will mark Fair Housing Education Week April 20-24 with events for 5th-8th grade students nationwide. Visit https://www.hud.gov/news/index.cfm. Contact a local HUD office.

MCKINNEY-VENTO REAUTHORIZATION BILLS INTRODUCED. Homeless Emergency Assistance and Rapid Transition to Housing (HEARTH) Acts have been introduced in identical form in the House and Senate and are similar to a bill that passed the House in October (see HAC News, 10/8/08). H.R 1877 and S. 808 are available at https://thomas.loc.gov (search by bill number). A summary and other information from the National Alliance to End Homelessness are at https://www.endhomelessness.org/section/policy/legislature/mckinney_vento.

EPA SMART GROWTH AID AVAILABLE. State, local, and tribal governments and nonprofits with government partners can apply by April 23 for direct technical assistance in policy analysis or public participation to implement smart growth. Visit https://www.epa.gov/smartgrowth/sgia.htm or contact Kevin Nelson, nelson.kevin@epa.gov.

RBOG DEADLINE EXTENDED, RURAL REDEFINED. The deadline for Rural Business Opportunity Grant applications is now April 30 rather than March 31 (see HAC News, 3/18/09). See Federal Register, 4/13/09 or https://www.grants.gov. Contact RD state offices. Following a 2008 Farm Bill requirement, RD implemented a new definition of “rural” for RBOG and other business programs in Administrative Notice 4419 (dated February 24, 2009), available from RD offices or at https://www.rurdev.usda.gov/regs/an/an4419.pdf.

OCC RULE ON BANK PUBLIC WELFARE INVESTMENTS FINAL. The Office of the Comptroller of the Currency is adopting, without change, the interim final rule issued August 11, 2008 (see HAC News, 8/13/08). See Federal Register, 4/7/09, or contact Stephen Van Meter, OCC, 202-874-5750.

FEMA PROPOSES RULE ON HURRICANE LOAN CANCELLATIONS. Comments are due June 2 on a proposed regulation implementing statutory changes allowing FEMA to cancel Special Community Disaster Loans made to local governments following Hurricanes Katrina and Rita. See Federal Register, 4/3/09 or https://www.regulations.gov. Contact James A. Walke, FEMA, 202-646-2751, james.walke@dhs.gov.

FANNIE MAE AND FREDDIE MAC EVICTION BAN ENDS. The Washington Independent reports that on March 31 the GSEs, which now have programs to work with homeowners and renters, lifted their moratorium on foreclosure evictions. Read the story at https://washingtonindependent.com/category/economy and descriptions of the programs at https://www.fanniemae.com and https://www.freddiemac.com.

FEDERAL AND STATE GOVERNMENTS COMBAT MORTGAGE RELIEF FRAUD. The plan recently announced by the Obama Administration aims to protect homeowners seeking assistance under the Administration’s Making Home Affordable program. Visit https://www.makinghomeaffordable.gov or call 1-888-995-HOPE (4673).

TWO UPDATED REPORTS CONFIRM ONGOING AFFORDABILITY CRISIS. • Out of Reach 2009, published by the National Low Income Housing Coalition and supported in part by HAC, was released April 14. With data comparing incomes and HUD’s Fair Market Rents in counties and metro areas nationwide, the study finds that “in both urban and rural areas from coast to coast, decent housing is affordable for low-wage workers only if they are able to work significant overtime or hold down multiple jobs.” Out of Reach is free at https://www.nlihc.org/oor2009. For print copy prices visit https://www.nlihc.org/doc/Publications%20Order%20Form.pdf or call NLIHC, 202-662-1530. Priced Out in 2008, announced April 13 by the Technical Assistance Collaborative and the Consortium of Citizens with Disabilities, reports that rents for modest studio and one-bedroom units are higher than monthly income for people with disabilities. The report is free at https://www.tacinc.org/pubs/pricedout/2008.html or contact Emily Cooper, ecooper@tacinc.org, 617-266-5657 x 123.

NATIONAL “JOBS AND HOMES NOW!” DAY OF ACTION SET FOR JUNE 11. Local organizations and others will meet with policymakers about creating jobs, stopping foreclosures, and investing in community infrastructure. For information or to sign up as a host, contact the National Community Reinvestment Coalition, https://www.ncrc.org/dayofaction, 202-464-2719, or membership@ncrc.org.

HAC News: April 1, 2009

Access a pdf version of this HAC News. • AmeriCorps expansion to include housing work • Rural utilities administrator named • HUD launches new homelessness program • Energy Efficiency and Conservation Block Grant Program begins • New Markets Tax Credit NOFA amended • Energy weatherization amendments adopted • HUD releases income data • Federal Home Loan Bank capitalization comments deadline extended to May 15 • Comments requested on housing tax credit data • USDA housing appeals results now online • HUD delays income verification rule • Vilsack housing remarks posted on HAC’s website • Congressman asks Vilsack about USDA office closings

April 1, 2009
Vol. 38, No. 7

AMERICORPS EXPANSION TO INCLUDE HOUSING WORK. H.R. 1388, the Edward M. Kennedy Serve America Act, would greatly increase the number of AmeriCorps workers and would make a number of affordable housing activities eligible for the program. It passed the House on March 18 and the Senate on March 26, and a compromise version is expected to be adopted this week. H.R. 1388 is available at https://thomas.loc.gov.

RURAL UTILITIES ADMINISTRATOR NAMED. On March 25, President Obama named Jonathan S. Adelstein to be Administrator of USDA RD’s Rural Utilities Service. Visit https://www.rurdev.usda.gov.

HUD LAUNCHES NEW HOMELESSNESS PROGRAM. The Homelessness Prevention and Rapid Re-Housing Program, created by the recent stimulus bill, will cover rent and some other costs for up to 15 months for very low-income individuals and families who are homeless or at risk of homelessness. HPRP grants will go to states, territories, metro cities, and urban counties, which must first submit substantial amendments to their 2008 Consolidated Plans. They can make subgrants to local governments and nonprofits by September 30, 2009. Visit https://www.hud.gov/recovery/homeless-prevention.cfm. Contact Ann Marie Oliva, HUD, 1-800-998-9999, or submit a question at the bottom of https://www.hudhre.info/index.cfm?do=viewHPRP.

ENERGY EFFICIENCY AND CONSERVATION BLOCK GRANT PROGRAM BEGINS. States can apply to the Department of Energy by May 26 and local governments (cities over 35,000 population or the 10 largest cities in a state) and tribes by June 25. Each state must subgrant at least 60% of its funds to places not eligible to apply directly. Eligible activities include improving buildings’ energy efficiency. Visit https://www.eecbg.energy.gov/#le1. Contact Lisa Kuzniar, DOE, lkuzni@netl.doe.gov.

NEW MARKETS TAX CREDIT NOFA AMENDED. Deadline is still April 8. See Federal Register, 3/26/09 or https://www.cdfifund.gov. Contact CDFI Fund staff, cdfihelp@cdfi.treas.gov, 202-622-6355.

ENERGY WEATHERIZATION AMENDMENTS ADOPTED. Among the changes to the Department of Energy’s Weatherization Assistance Program for Low-Income Persons regulations are: people with incomes up to 200% of poverty (instead of 150%) are now eligible, each state must spend a minimum average of $6,500 per unit (rather than $2,500), and Puerto Rico is now treated as a state. See Federal Register, 3/25/09 or https://apps1.eere.energy.gov/weatherization/. Contact Jean Diggs, DOE, 202-586-8506, jean.diggs@ee.doe.gov.

HUD RELEASES INCOME DATA. Estimated median family incomes and income limits for FY 2009 are available at https://www.huduser.org/datasets/il/il09/index.html. For the first time, HUD has also developed a new set of income limits specifically for projects that use Low Income Housing Tax Credits or tax-exempt bonds. Information on limits for these “Multifamily Tax Subsidy Projects” is at https://www.huduser.org/datasets/mtsp.html.

FEDERAL HOME LOAN BANK CAPITALIZATION COMMENTS DEADLINE EXTENDED TO MAY 15. (See HAC News, 2/4/09.) See Federal Register, 3/26/09 or https://www.regulations.gov. Contact Julie Paller, Federal Housing Finance Agency, 202-408-2842.

COMMENTS REQUESTED ON HOUSING TAX CREDIT DATA. Comments are due May 29 on standards for collecting data about Low Income Housing Tax Credit properties’ residents. See Federal Register, 3/30/09 or https://www.regulations.gov. Contact Michael K. Hollar, HUD, 202-402-5878, Michael.K.Hollar@hud.gov.

USDA HOUSING APPEALS RESULTS NOW ONLINE. At the bottom right of https://www.rurdev.usda.gov/rhs/ are links to lists of dispositions of National Appeals Division housing cases, identified by NAD case numbers.

HUD DELAYS INCOME VERIFICATION RULE. Changes to income determination requirements (see HAC News, 2/4/09 and 2/18/09) will become effective on September 30 instead of March 30. See Federal Register, 3/27/09 or https://www.regulations.gov. Contact Nicole Faison, HUD, 202-708-0744.

VILSACK HOUSING REMARKS POSTED ON HAC’S WEBSITE. Secretary of Agriculture Tom Vilsack was a keynote speaker at a rental housing conference in Washington, D.C. on March 17 sponsored by the John D. and Catherine T. MacArthur Foundation and the National Housing Conference. Visit https://ruralhome.org/infoAnnouncements_2009USDASEC.php.

CONGRESSMAN ASKS VILSACK ABOUT USDA OFFICE CLOSINGS. Rep. Lincoln Davis (D-Tenn.) recently expressed concerns to USDA Secretary Tom Vilsack about the closing of local RD offices and asked for details about office closures since 2000. Visit https://ruralhome.org/infoAnnouncements_2009Davis.php.

GREEN CLINICS AND SYMPOSIUM OFFERED BY NEIGHBORWORKS IN PHOENIX, MAY 4-6. Visit https://www.nw.org/network/training/upcoming/PHXNTI09.asp.