Vol. 50, No. 26

TOP STORIES

As social spending bill negotiations go on, refundable Child Tax Credit ends.

The Senate will not vote until at least January on the Build Back Better social infrastructure bill, H.R. 5376, though the House passed its version of the bill in November including $2 billion for USDA rural housing programs and substantial investments in many other housing programs. The bill would also continue the expanded Child Tax Credit, restructured in the American Rescue Plan Act to provide monthly payments to low-income families. That version of the tax credit was in place only from July through December 2021 and was particularly beneficial for rural children, according to research by the Daily Yonder and the Niskanen Center.

Response and recovery continue for South and Midwest tornadoes.

A 200-mile line of devastating storms on December 10-11 left scores dead and resulted in massive property damage estimated to be in the billions of dollars across six states in the South and Midwest. President Biden signed federal disaster declarations for affected communities in Kentucky, Illinois, and Tennessee, HUD announced aid for Kentucky, and USDA provided guidance for owners and managers of its rental housing properties. For more information about preparing for and recovering from natural disasters, visit HAC’s new resource Rural Resilience. For those wishing to help with recovery efforts, FEMA provides general guidance and numerous national and local organizations seek support for their work, including:

• Coalition for Home Repair’s Tornado Disaster Recovery Fund; and
• Commonwealth of Kentucky/Team Kentucky’s Western Tornado Relief Fund.

CRA rule rescinded and replaced.

The Office of the Comptroller of the Currency is finalizing the Community Reinvestment Act regulation it proposed in September, making few changes. The new rule rescinds the June 2020 regulation adopted under the Trump administration and replaces it with rules based on the regulations that were in effect before 2020. OCC notes that it continues to work with the Federal Reserve Board and FDIC to modernize the rule. OCC is also requesting public comment by February 14 on proposed revisions to the form that banks and others can use to confirm whether an activity qualifies under CRA. For more information, contact OCC’s Chief Counsel’s Office, 202-649-5490.

Happy Holidays from HAC!

“Home” takes on even more meaning during the holiday season. HAC wishes everyone a safe, healthy, and affordable place to call home.

RuralSTAT

Between November 20 and December 20, 2021, the average rate of daily deaths from COVID-19 was more than twice as high outside metropolitan areas as in metropolitan areas of the United States (cases per 100,000 population – 14 day average). Source: Housing Assistance Council tabulations of public health data from the New York Times.

OPPORTUNITIES

HAC offers aid for rural veterans’ housing.

HAC’s Affordable Housing for Rural Veterans initiative helps local nonprofit housing development organizations to meet the affordable housing needs of veterans in rural places. Grants typically range up to $30,000 per organization and must support bricks-and-mortar projects that assist low-income, elderly, and/or disabled veterans with home repair and rehab needs, support homeless veterans, help veterans become homeowners, and/or secure affordable rental housing. This initiative is funded through the generous support of The Home Depot Foundation. Applications are due January 21. For more information, contact HAC staff. No phone calls please.

Rural job accelerator funding available.

The Rural Innovation Stronger Economy program makes grants of up to $2 million to consortiums of local governments, nonprofits, industry, and other entities to support innovation centers and job accelerator programs that improve the ability of distressed rural communities to create high-wage jobs, form new businesses, and identify and maximize local assets. Apply by April 19. For more information, contact a USDA RD State Office.

HAC seeks Loan Processor Associate, Housing Specialist, and Community Facilities Housing Specialist.

• The Loan Processor Associate is an entry-level position and will assist in managing HAC’s portfolio of loans made to entities engaged in affordable housing activities throughout the rural U.S. This position is eligible for telecommuting.
• The Housing Specialist is primarily based in either the Southwest or Western states (within two hours of a major airport) and works with local partner organizations to identify financial resources and funding opportunities to support the preservation and development of affordable housing and community and economic development strategies specifically throughout expanses of Southwest and/or Western rural America. This position is remote location eligible.
• The Community Facilities Housing Specialist identifies and engages community stakeholders and provides direct technical assistance to rural organizations that are developing facilities such as parks, community centers, public libraries and childcare centers. This is a two-year position and is eligible for telecommuting.

REGULATIONS AND FEDERAL AGENCIES

USDA addresses cost concerns for new single-family homes.

Because of cost increases and construction delays in the current economic climate, USDA has announced some temporary authorizations for new construction financed under its Section 502 and 504 direct loan programs. It has increased the permissible construction contingency in these loans and eased some of the requirements for borrowers to obtain subsequent loans at the end of construction to cover cost overruns. For more information, contact a USDA RD State Office.

Thompson nominated as head of Federal Housing Finance Agency.

President Biden has nominated Sandra L. Thompson, who has served as FHFA’s acting director since June, to become the agency’s director. She will need to be confirmed by the Senate.

More Rural Development State Directors named.

President Biden has appointed USDA RD State Directors for Maine and Missouri, as well as for Delaware and Maryland, Illinois, Nebraska, New York, and Tennessee. The administration had previously announced the State Directors for Alabama, Colorado, Georgia, Iowa, Michigan, Pennsylvania, New Mexico, North Carolina, and South Carolina.

HUD seeks input on strategic plan.

HUD requests feedback on the four proposed focus areas in its draft FY22-26 Strategic Plan: support underserved communities, ensure access to and increase the production of affordable housing, promote homeownership, and advance sustainable communities. Comments are due January 28.

Housing goals set for Fannie Mae and Freddie Mac.

The Federal Housing Finance Agency has established benchmarks for Fannie Mae’s and Freddie Mac’s single-family housing goals and subgoals for 2022-2024 and multifamily housing goals for 2022. FHFA also recently announced that in 2020 Fannie Mae met all of its single-family and multifamily housing goals, while Freddie Mac met all except its single-family low-income refinance goal.

PUBLICATIONS AND MEDIA

Lack of regulations contributes to affordability problems.

A segment on the Marketplace Morning Report titled For Unincorporated Communities, Limited Ways to Regulate Housing examines the challenges high amenity communities like Joshua Tree, CA have with rental housing affordability. Lance George, HAC’s Director of Research and Information, offered a national perspective on factors that contribute to these challenges.

Communities observe Homeless Persons’ Memorial Day.

December 21, the first day of winter and the longest night of the year, is recognized by the National Consumer Advisory Board, the National Coalition for the Homeless, and the National Health Care for the Homeless Council as an opportunity to remember people experiencing homelessness who have died and to strengthen the resolve to work for change. The U.S. Interagency Council on Homelessness acknowledged the event with recommendations for actions to address homelessness.

Emergency Rental Assistance programs and needs examined.

Recent reports consider the use of the Treasury Department’s Emergency Rental Assistance funding and ways to estimate need.

• Biden Move to Withdraw Rental Aid Threatens to Squeeze Rural Tenants (subscription required), an article in Politico, includes a quote from James Clyburn’s address to HAC’s Virtual 2021 National Rural Housing Conference.
• Treasury Emergency Rental Assistance Programs in 2021: Preliminary Analysis of Program Features and Spending Performance was published by the National Low Income Housing Coalition and the Housing Initiative at Penn.
• Lessons from Eight States Regarding Factors That Have Contributed to States’ ERA1 Spending Rates was conducted by Abt Associates for the National Council of State Housing Agencies.
• Analysis of Models for Assessing Rental Assistance Need was also prepared by Abt Associates for NCSHA.

Rural workforce shrinking.

A recent Daily Yonder analysis of county-level data from the U.S. Bureau of Labor Statistics indicates that rural counties have gained jobs in the last year but have not reached the same number of jobs as before the beginning of the pandemic. The data reflects fewer people in rural America available to work, though the data do not show whether this is because working-age people are leaving rural counties, retiring, or just not looking for work.

Need capital for your affordable housing project?

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

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

Vol. 50, No. 25

TOP STORIES

Federal funding extended to February 18.

Hours before a temporary spending measure was set to expire on December 3, Congress passed and President Biden signed another continuing resolution that will fund the government through February 18, 2022. The new CR holds most government programs, including housing programs at USDA and HUD, at their fiscal 2021 funding levels; fiscal year 2022 began on October 1, 2021. FY22 appropriations bills proposing increased resources for some USDA and HUD housing programs passed the House in July and have been introduced in the Senate.

HAC holds National Rural Housing Conference, sessions now available online.

Rev. Dr. William Barber issued an inspiring call to action on Poverty and Equity in Rural America at HAC’s Virtual 2021 National Rural Housing Conference, held November 30-December 3. His address is available on HAC’s YouTube channel along with other plenary sessions featuring USDA Secretary Tom Vilsack, HUD Secretary Marcia Fudge, Rep. James Clyburn (D-S.C.), Rep. Bennie Thompson (D-Miss.), Rep. Maxine Waters (D-Calif.), and others. The more than 550 registrants from 44 states, DC, and the Virgin Islands can access workshop recordings on the conference app. HAC thanks our many sponsors, scholarship contributors, and partners for helping to make the event possible.

RuralSTAT

Between 2019 and 2020 the number of home purchase mortgage loans in rural America increased by 13.7% – a rate higher than in suburban or urban areas for the same time period. Source: Housing Assistance Council Tabulations of 2019 and 2020 FFIEC Home Mortgage Disclosure Act data.

OPPORTUNITIES

USDA offers support for farmworkers and food workers.

The new Farm and Food Worker Relief Grant Program will make grants to state agencies, tribal entities, and nonprofits with experience in providing support or relief services. Grant recipients will then distribute relief payments to frontline farmworkers, meatpacking, and grocery workers who incurred expenses preparing for, preventing exposure to, and responding to the coronavirus pandemic. Applications are due February 8. For more information, contact USDA staff.

Indian housing competitive grants deadline extended.

Tribes and tribally designated housing entities now have until January 4 to apply for the Indian Housing Block Grant Competitive Grant Program. HUD has posted updated Frequently Asked Questions. For more information, contact HUD staff.

HAC seeks Loan Processor Associate, Housing Specialist, and Community Facilities Housing Specialist.

• The Loan Processor Associate is an entry-level position and will assist in managing HAC’s portfolio of loans made to entities engaged in affordable housing activities throughout the rural U.S. This position is eligible for telecommuting.
• The Housing Specialist is primarily based in either the Southwest or Western states (within two hours of a major airport) and works with local partner organizations to identify financial resources and funding opportunities to support the preservation and development of affordable housing and community and economic development strategies specifically throughout expanses of Southwest and/or Western rural America. This position is remote location eligible.
• The Community Facilities Housing Specialist identifies and engages community stakeholders and provides direct technical assistance to rural organizations that are developing facilities such as parks, community centers, public libraries and childcare centers. This is a two-year position and is eligible for telecommuting.

REGULATIONS AND FEDERAL AGENCIES

USDA continues temporary authorization for appraisals.

For single-family direct loans, USDA will accept appraisals obtained by self-help grantees, certified loan application packagers, approved intermediaries, and leveraged or other participating lenders. This temporary authorization is effective through September 30, 2022.

Toolkit aims to help practitioners comply with federal lead rules.

HUD’s Office of Lead Hazard Control and Healthy Homes has developed a Lead Safe Housing Rule Toolkit with sample forms, checklists, and flowcharts to aid compliance with HUD’s rules on lead safe housing for units both with and without federal assistance.

Regulations revised for oneRD Guarantee Loan Program.

Based on comments and experience since a final rule was adopted in 2020, USDA has revised its regulations for oneRD, which applies to the Community Facilities, Water and Waste Disposal, Business and Industry, and Rural Energy for America guarantee programs. The changes are effective immediately but comments can be submitted until February 8. For more information, contact Thomas P. Dickson, USDA, 202-690-4492.

Change proposed for H-2A farmworker wages.

The Department of Labor is proposing to change the way wages are determined for many farmworkers with temporary H-2A visas. Comments are due January 31. For more information, contact Brian Pasternak, DOL, 202-693-8200.

Worker heat standards comment deadline extended.

OSHA has extended the deadline for responses to its request for information about protecting outdoor and indoor workers from hazardous heat. Comments are now due January 26. For more information, contact Andrew Levinson, OSHA, 202-693-1950.

PUBLICATIONS AND MEDIA

State and local use of Emergency Rental Assistance funds remains uneven.

Treasury Department data show that in October some states and localities began using the second round of Emergency Rental Assistance funds, while efforts to use the first round continue. Treasury estimates at least 80% of ERA 1 funds will be spent or obligated by the end of 2021. A National Low Income Housing Coalition analysis shows that states – which provide this rental aid for many rural areas – spent 48% of their ERA 1 funds by October 31, while localities spent 68%. Treasury has not yet announced how much ERA 1 funding it will reallocate, or what jurisdictions will gain or lose dollars.

Legal aid attorneys report eviction law violations continue.

A National Housing Law Project survey of legal aid and civil rights attorneys found that despite the availability of Emergency Rental Assistance and other aid, eviction filings rose, even for federally subsidized tenants, after the federal eviction moratorium ended on August 26. Survey respondents also saw more landlords lying in court to evict tenants; more illegal evictions, lockouts, and other harassment of tenants; evictions even after landlords collected rental assistance funds; and judges ignoring or inconsistently applying federal and state law. NHLP’s survey report includes recommendations to resolve these violations.

“Lost local news” includes stories on housing, prairie conservation, other rural topics.

The Lost Local News Issue of the Washington Post Magazine provides stories from local journalists living and working in news deserts, many of them in rural places and small towns. A Long-Deferred Hope for Better Housing, a photo essay, shows part of the process of remodeling the home of a low-income resident of Leflore County, Mississippi. (The author and photographer, Rory Doyle, also contributed to HAC’s There is More Work to Be Done exhibition.) How to Save the Prairie, Acre by Acre tells the story of Bob and Lorna Harder, who have preserved a portion of their farm in Kansas for Great Plains native plant species.

Article highlights rural use of housing tax credits.

Creating Affordable Housing in Rural America, an article in Affordable Housing Finance magazine, describes how developers around the country use Low Income Housing Tax Credits to address homelessness and the need for rental housing in rural America.

New docuseries explores perceptions of rural life.

Rural By Choice is filmed in Otter Tail County in central Minnesota. It shares stories from residents about “diversity, the rural vs. urban divide, and why people choose to live in rural areas.”

Almost all states criminalize homelessness.

A new study identifies laws in 48 states that prohibit or restrict conduct of people experiencing homelessness such as sleeping in public or in vehicles. Housing Not Handcuffs 2021, a National Homelessness Law Center study of state laws, supplements 2019 research on municipal laws. The law center notes that local laws and variations in enforcement can lead to penalties for activities even when they are not restricted by a state-level statute.

Need capital for your affordable housing project?

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

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

Vol. 50, No. 23

TOP STORIES

Bipartisan infrastructure bill passes, social spending measure still pending.

On November 5 the House passed the $550 billion funding measure for traditional infrastructure, including rural broadband. It was approved by the Senate on August 10 and President Biden is scheduled to sign it into law on November 15. Also on November 5, the House agreed to move forward towards a vote on the Build Back Better social infrastructure bill, H.R. 5376, which includes funding for housing and the new Rural Partnership Program. A revised version of BBB, released November 3, added funds for some housing and development programs, including the Low Income Housing Tax Credit and the CDFI Fund. The House will continue its consideration of the bill after Congress returns from recess on November 15.

There’s still time to register for the 2021 Virtual HAC National Rural Housing Conference!

HAC invites you to join us virtually on November 30-December 3! This year’s conference features more than 30 workshops, where participants will interact and engage around best practices for rural housing and community development, organizational management, and resource development. The conference also includes a pre-conference day with gatherings for coalitions, associations, and working groups. For more information, contact HAC staff, 404-892-4824.

Joaquin Altoro appointed as Rural Housing Service Administrator.

USDA announced on November 8 that Joaquin Altoro will serve as the RHS Administrator. He has been CEO and Executive Director for the Wisconsin Housing and Economic Development Authority.

HAC’s Rural Voices magazine covers pandemic’s impact.

The pandemic is not over yet, but this issue, titled Creating the New Normal: COVID-19 Leaves its Mark on Rural America, covers how affordable housing organizations have adapted to a new reality. Get insights on how rural renters, the colonias, farmworkers, and people experiencing homelessness have been impacted.

RuralSTAT

53% of American Indians or Alaska Natives in the U.S. live in rural America. Source: HAC tabulations of 2020 P.L. 94-171 Redistricting Data.

OPPORTUNITIES

New Markets Tax Credits available.

Applications are due January 13 for NMTC allocations, which can be used to attract private investment in economic and community development in low-income communities. Applicants must be certified Community Development Entities; apply for certification by November 18. For more information, submit a service request on the CDFI Fund’s site or call agency staff, 202-653-0421.

Grants will help historic places important to underrepresented communities.

The National Trust for Historic Preservation’s Telling the Full History Preservation Fund offers one-time grants to help interpret and preserve historic places of importance to underrepresented communities. Nonprofits, colleges and universities, state or local government agencies, and tribes are eligible and must have been adversely impacted by the coronavirus pandemic. Apply by December 15. For more information, contact National Trust staff.

Webinar to consider rural capacity building.

This Is What Capacity Looks Like: Building Development Muscle in Rural and Native Nation Communities, to be held November 30, will examine what key components of capacity need to be intentionally strengthened so that local organizations can strengthen their rural and Native nation communities, what it takes for them to build capacity, and what barriers stand in the way. This is one of the Rural Opportunity and Development (ROAD) Sessions, virtual exchanges co-designed and hosted by the Aspen Institute Community Strategies Group, HAC, the Rural Community Assistance Partnership, Rural LISC, and the Federal Reserve Board.

NEW! HAC seeks Loan Processor Associate, Housing Specialist, and Community Facilities Housing Specialist.

• The Loan Processor Associate is an entry-level position and will assist in managing HAC’s portfolio of loans made to entities engaged in affordable housing activities throughout the rural U.S. This position is eligible for telecommuting.
• The Housing Specialist is primarily based in either the Southwest or Western states (within two hours of a major airport) and works with local partner organizations to identify financial resources and funding opportunities to support the preservation and development of affordable housing and community and economic development strategies specifically throughout expanses of Southwest and/or Western rural America. This position is remote location eligible.
• The Community Facilities Housing Specialist identifies and engages community stakeholders and provides direct technical assistance to rural organizations that are developing facilities such as parks, community centers, public libraries and childcare centers. This is a two-year position and is eligible for telecommuting.

REGULATIONS AND FEDERAL AGENCIES

Agencies return to full enforcement of mortgage servicing protections.

Ending temporary flexibility they had instituted in April 2020, several federal and state regulatory agencies have announced they will enforce provisions requiring mortgage servicers to give families the chance to find alternatives to foreclosure before losing their homes. A Consumer Financial Protection Bureau statement notes that, with the majority of the over one million remaining pandemic-related forbearances expected to end before the end of the year, struggling homeowners will need these protections to avoid foreclosure.

USDA Rural Development requests comments on new forms.

Public comments are due January 4 on two sets of new forms for applicants. The Common Forms Package for Civil Rights Forms will collect information from funding recipients so RD can monitor their compliance with civil rights laws and regulations. The Common Forms Package for Real Estate Title Clearance and Loan Closing will collect information from recipients of funds involving real estate, including housing. For more information, contact Lynn Gilbert, USDA, 202-690-2682.

RISE rule for jobs accelerators is final.

USDA’s Rural Innovation Stronger Economy Grant Program interim final rule received no substantive comments, so it was finalized without changes. For more information, contact David Chestnut, USDA, 202-692-5233.

PUBLICATIONS AND MEDIA

Learn about veterans in your community.

HAC’s Veterans Data Central is newly updated with data from the Census Bureau and other sources. This on-line resource is easy to use and provides essential information on the social, economic, and housing characteristics of veterans in the U.S. This data can help support sound strategies and policies to assist veterans.

New analysis shows what states may lose unspent Emergency Rental Assistance funds.

Emergency Rental Assistance Spending and Performance Trends, published by the National Low Income Housing Coalition, reports that 28% of grantees have spent less than 30% of their allocations under the first portion of the Treasury Department’s Emergency Rental Assistance program and may be at risk of losing funds through reallocation. This includes 32 states (63% of state grantees) and 80 localities (23% of local grantees). The report analyzes grantee spending progress, describes Treasury’s process for reallocating funds, and provides recommendations to ERA administrators and Treasury to best serve low-income renters.

Booming housing sales affect trends in rental market, zoning, and housing availability.

Recent reports, including by Politico and Forbes, look at rises in housing costs. Forbes notes that housing sales continue to boom across the country. The lack of availability of starter homes has led to high demand in the rental market, with trending rent increases. Some states are changing single-family home zoning laws, apartments are being built with less square footage, and an increased allowability of tent cities across the country aims to provide housing in an increasingly expensive housing market. While the Forbes piece does not identify differences between urban and rural places, a new data analysis from the Center for Rural Pennsylvania verifies anecdotal reports about increased home sales in that state’s rural counties, while sales have fallen in its urban areas.

Postal Service plan for cost savings raises concerns about disproportionate rural impacts.

Researchers who study the U.S. Postal Service raise concerns about possible “catastrophic” impacts for rural communities due to cost cutting efforts in a recent article in the Daily Yonder. Citing a National Farmers Union statement, the article notes that rural residents disproportionately depend on the Postal Service to receive medication, vote, communicate with friends and family, cash checks, and conduct business.

Need capital for your affordable housing project?

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

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