HAC News: July 26, 2019

/in

News Formats. pdf

July 26, 2019
Vol. 48, No. 15

Deal clears the way for FY20 funding •House committee approves disaster recovery bill • Updated, “banded” income limits posted for USDA single-family housing programs •Broadband increases market value of rural homes • Changes finalized for Section 502 construction-to-permanent loan guarantees • Labor Department suggests changes to H-2A farmworker program • RuralSTAT • Federal court tells FHA to delay restrictions on downpayment aid • Rural areas farthest from cities more likely to lose jobs since May 2018 • HAC is hiring • HAC and Fannie Mae to hold webinar on colonias in Arizona • HAC offers Section 502 packaging training for nonprofits, August 6-8 in Michigan • Need capital for your affordable housing project?

HAC News Formats. pdf

July 26, 2019
Vol. 48, No. 15

Deal clears the way for FY20 funding.
On July 25 the House approved H.R. 3877, the Bipartisan Budget Act of 2019. The Senate is expected to pass it during the week of July 29 and President Trump has said he will sign it. The measure raises the 2011 Budget Control Act’s spending caps for FY20 and 21 and suspends the public debt ceiling until July 31, 2021. Now that spending totals are established, Congress can proceed with its appropriations bills for fiscal year 2020, which begins October 1, 2019. The House has already passed funding bills for USDA and HUD. The Senate will begin marking up its bills in September after its August recess.

House committee approves disaster recovery bill.
The Reforming Disaster Recovery Act of 2019, H.R. 3702, would permanently authorize the federal government’s primary long-term resource for rebuilding after a disaster, the Community Development Block Grant-Disaster Recovery program. The bill, passed unanimously by the House Financial Services Committee, is intended to help ensure housing recovery efforts are administered consistently, transparently, and with a priority for those most in need.

Updated, “banded” income limits posted for USDA single-family housing programs.
Implementing the regulation that adopts income banding nationwide for its single-family programs, USDA has posted new income limits online and incorporated them into its eligibility website.

Broadband increases market value of rural homes.
Based on a study of 887 “remote rural” U.S. counties, professors from Oklahoma State University and the University of Wisconsin Madison estimate that a 10% increase in the percentage of county residents with 200 kbps broadband access would create a $661 average increase in the housing value in that county. They project the increased housing value would result in increased property tax collections in remote rural counties that struggle to find funding for local services.

Changes finalized for Section 502 construction-to-permanent loan guarantees.
USDA has adopted changes it proposed last year for “single close” Section 502 guaranteed loans, including allowing lenders to charge a higher interest rate for the construction phase. It will also make single close loans available for the purchase and rehabilitation of existing homes. For more information, contact Kate Jensen, USDA, 503-894-2382.

Labor Department suggests changes to H-2A farmworker program.
The Department of Labor is proposing numerous changes to the regulations that govern employers’ use of the H-2A temporary visa program for farmworkers. Among the revisions are clarifications to the minimum standards required for H-2A worker housing, which must be provided by employers. DOL also hopes to streamline its process for reviewing employers’ applications. Comments are due September 24. For more information, contact Thomas M. Dowd, DOL, 202-513-7350.

RuralSTAT.
According to 2017 Home Mortgage Disclosure Act data, nearly 30% of all “high cost” home loans nationally were made in rural high need areas as identified under the Duty to Serve mandate for Fannie Mae and Freddie Mac. HAC provides more information on Duty to Serve and mortgage data online.

Federal court tells FHA to delay restrictions on downpayment aid.
After a ruling in an ongoing lawsuit, HUD has suspended the effective date of Mortgagee Letter 2019-06, which would have made it more difficult for government entities to provide downpayment assistance to homebuyers seeking Federal Housing Administration insurance. The Cedar Band of Paiutes and its mortgage agency, which filed the suit, announced on July 22 that the judge granted a preliminary injunction allowing current downpayment assistance guidelines to continue at least until a final determination is made in the case.

Rural areas farthest from cities more likely to lose jobs since May 2018.
A Daily Yonder analysis of Bureau of Labor Statistics data found that major cities continue to account for most of job growth, with the central counties of major metropolitan areas gaining six out of 10 new jobs. Rural America accounted for 5.5% of the total increase.

HAC is hiring!
Housing Specialist: based primarily in the Southwest or Western U.S. to provide direct technical assistance, coaching and training to nonprofits, government agencies and others.
Portfolio Manager: based in DC to manage a portfolio of loans made to entities engaged in affordable housing activities in rural communities.
Both positions come with competitive salaries, generous benefits and the opportunity to work in a fun and mission-focused environment.

HAC and Fannie Mae to hold webinar on colonias in Arizona.
HAC, in partnership with Fannie Mae, will hold a webinar presenting data and research on Colonias Investment Areas, a geographic concept developed to target mortgage finance and resource investment in colonia communities along the southwest U.S. border. The August 7 webinar will focus on Arizona. For more information, contact HAC staff, 404-892-4824.

HAC offers Section 502 packaging training for nonprofits, August 6-8 in Michigan.
This three-day advanced course trains experienced participants to assist potential borrowers and work with RD staff, other nonprofits and regional intermediaries to deliver successful Section 502 loan packages. The training will be held in East Lansing, MI on August 6-8. For more information, contact HAC staff, 404-892-4824.

Need capital for your affordable housing project?
HAC’s loan funds provide 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, farmworker, senior and veteran housing. HAC loan funds can be used for pre-development, site acquisition, site development and construction/rehabilitation. 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).

USDA Rural Development Obligations FY 19 – June

/in , , ,

The Housing Assistance Council (HAC) presents this month’s report on Fiscal Year 2019 USDA Rural Housing program obligations.

As of the end of June, USDA obligated 74,991 loans, loan guarantees, and grants totaling about $10,659,333,101. This is $2,648,858,105 less than obligation levels from this time last year. At that time, there were 95,558 loans, loan guarantees, and grants obligated totaling $13,308,191,206.

The agency has been operating under several continuing resolutions and a 35-day government shutdown since the beginning of the fiscal year. The Consolidated Appropriations Act, 2019 was signed into law on February 15, 2019 which provided funding for the rest of the fiscal year.

Single Family Housing Program Highlights
The Section 502 Guaranteed loan program, the largest of the Single Family Housing programs, obligated $9,898,895,099 (67,456 loan guarantees) down from $12,430,479,360 ( 85,738 loan guarantees) last year.

For the Section 502 Direct program, loan obligations totaled $570,541,542 (3,579 loans), down from $674,685,223 (4,500 loans) this time last year. About 35 percent of the loan dollars went to Very low-income (VLI) applicants. VLI loans represented nearly 40 percent of the total number of Section 502 Direct loans.

The Section 504 Repair and Rehabilitation programs obligated 1,611 loans representing $9,790,531. Loan volume was down from this time last year (2,074 loans representing $12,606,413 million.) There were also about $13,467,007 (1,611 grants) obligated in the Section 504 grant program compared to $2,815,882 (3,073 grants) last year.

USDA’s Section 523 Self Help Housing Grant program funded 14 grants and contracts totaling $13,890,675 down from last year’s 17 grants and contracts totaling $18,944,693.

USDA has also funded 5 credit sales representing $402,961.

Multi-Family Housing Programs
USDA’s Section 538 Multifamily Housing obligated 59 loan guarantees totaling $102,636,987, down from last year’s 87 loan guarantees ($111,684,926.) In the Section 515 Rural Rental Housing program, there were 30 loans totaling $44,551,701 obligated compared to 16 loans totaling $19,555,407 last year. Obligations in the MPR program include 22 MPR loans totaling $116,537 and no grants compared to 15 loans and 2 grants representing $15,650,054 and $251,260 last year.

In the Farm Labor Housing programs, 5 loans and 2 grants have been funded totaling $3,587,261and $1,400,000 respectively. Last year in June, 5 loans and 1 grant were obligated ($7,055,000 and $3,000,000, respectively.)

No Section 533 Housing Preservation grants have been obligated so far this year, compared to 2 grants last year totaling $251,260.

USDA obligated funds for 156,173 rental assistance units under the Section 521 Rental Assistance program totaling $809,159,791. This compares to about 192,696 units ($948,701,481) obligated same time last year. There were also 4,750 Rural Housing Vouchers totaling $21,058,331 compared to 5,025 vouchers representing $21,096,088 this time last year.

Download the combined document.

* The Rural Housing Service (RHS) monthly obligation reports are produced by the Housing Assistance Council (HAC) 1025 Vermont Ave., NW, Suite 606, Washington, DC 20005. The monthly figures derive from HAC tabulations of USDA –RHS 205c, d, and f report data. For questions or comments about the obligation reports, please contact Michael Feinberg at 202-842-8600 or michael@ruralhome.org.

Picking Up the Pieces: HAC’s Natural Disaster Guide

/in ,

Picking Up the Pieces - CoverWhen a disaster strikes a rural area, one of the most serious problems may be a lack of information about resources and assistance available for recovery efforts. HAC’s guide, Picking Up the Pieces: Restoring Rural Housing and Communities After a Disaster, is intended to help survivors and local organizations identify resources to rebuild their homes and communities. This report emphasizes housing assistance.

HAC News: July 12, 2019

/in

News Formats. pdf

July 12, 2019
Vol. 48, No. 14

Rural rental preservation bill passes House committee unanimously • HUD’s mixed-status families proposal receives comments and analysis • USDA offers funds for farmworker housing and issues new guidance on renting to H-2A workers • Funding available to provide housing and services for victims of human trafficking • Census to proceed without citizenship question • Legality of ERS/NIFA relocation challenged • Deadlines extended for mortgage data comments • Affordable rental housing significantly further out of reach now than in 1989 • RuralSTAT • OMB publishes 2019 Compliance Supplement for federal audits • Unsheltered and Uncounted: Rural America’s Hidden Homeless • Americans in the Most Financially Distressed Zip Codes are Trapped in a ‘Really Troubling’ Catch-22 • The Education Deserts of Rural America • 2019 Kids Count Data Book • Rural America Faces Housing Shortage. How One Town is Addressing It • Rural Electrification 2.0: The Transition to a Clean Energy Economy • HAC is hiring! • HAC and Fannie Mae to hold webinars on colonias in New Mexico and Arizona • HAC offers Section 502 packaging training for nonprofits, August 6-8 in Michigan • Need capital for your affordable housing project?

HAC News Formats. pdf

July 12, 2019
Vol. 48, No. 14

Rural rental preservation bill passes House committee unanimously.

The Strategy and Investment in Rural Housing Preservation Act, H.R. 3620, was approved by the House Financial Services Committee in a 57-0 vote on July 11. Introduced by Rep. William Lacy Clay (D-MO) and Emanuel Cleaver (D-MO), the bill would authorize the MPR and preservation technical assistance programs, authorize vouchers for tenants after a mortgage matures or is foreclosed (in addition to after prepayment), allow decoupling of Rental Assistance as a last resort, require USDA to develop a preservation plan, and establish a stakeholders’ committee to advise USDA.

HUD’s mixed-status families proposal receives comments and analysis.

HUD received nearly 29,000 comments on its proposed rule that would require landlords to evict tenants whose immigration status makes them ineligible for aid, even if other members of the family are eligible. HAC provided comments opposing the regulation. Analysis by the Center on Budget and Policy Priorities found that 95% of those who would be impacted by the rule are people of color, including 85% who are Latinx, 56% female, and 53% children. Another proposed change that would require tenants to verify their citizenship or immigration status would impact 9 million citizens currently receiving HUD rental assistance, 72% of them people of color, 39% children and 17% seniors. The Center for Migration Studies estimates up to 11.5 million people could lose eligibility for housing assistance under the proposal.

USDA offers funds for farmworker housing and issues new guidance on renting to H-2A workers.

Nonprofits, tribes and government entities are eligible to submit pre-applications for Section 514 loans and Section 516 grants to develop off-farm housing for farmworkers. The deadline is August 30. USDA has also published an Unnumbered Letter dated May 30, 2019 that replaces a July 5, 2018 UL and provides information about allowing farmworkers with H-2A visas to live in Section 514/516 housing. The new UL includes more details than the 2018 version. For more information, contact a USDA RD state office.

Funding available to provide housing and services for victims of human trafficking.

HUD and the Department of Justice will make grants to nonprofits, for-profits, local or state governments and tribes to provide safe housing and specialized services to assist victims of human trafficking. Applications are due October 30. For more information, contact Sherri L. Boyd, HUD.

Census to proceed without citizenship question.

On June 11, President Trump issued an Executive Order instructing federal agencies to provide the Commerce Department any data they have that might help determine numbers of citizens and non-citizens. The order says the Supreme Court’s recent decision questioning the Administration’s rationale for including a citizenship question on the 2020 Census left “no practical mechanism” for making the question part of the census. It also states that obtaining accurate data on total numbers of citizens and non-citizens “has nothing to do with enforcing immigration laws against particular individuals” and records will continue to be confidential.

Legality of ERS/NIFA relocation challenged.

Politico reports that NBL Associates, the landlord that leases Washington, DC space to USDA’s National Institute of Food and Agriculture, filed a formal complaint (subscription required) on June 28 with the Government Accountability Office. NBL charges that USDA’s search for new space for NIFA and the Economic Research Service violates federal procurement law. It argues the process should begin again and should include the DC area. USDA has not changed its plans to move employees to temporary office space in Kansas City beginning by August 1, but it did change its deadline to August 7 rather than July 7 for bids from building owners in the Kansas City area.

Deadlines extended for mortgage data comments.

In May, CFPB requested comments on two proposals that could limit available Home Mortgage Disclosure Act data. The deadline for input on data points that are currently collected was July 8 but has been changed to October 15. The bureau also announced it will reopen the comment period on some aspects of a proposed rule to exempt lenders that originate small numbers of mortgages, but the official document has not yet appeared in the Federal Register.

Affordable rental housing significantly further out of reach now than in 1989.

Out of Reach 2019 marks the 30th anniversary of this National Low Income Housing Coalition report. In the late 1980s housing assistance reached only one in three eligible households, but today that figure is fewer than one in four. The report’s interactive site provides data for every county, state, and metro area.

RuralSTAT.

More than 3.5 million rural workers are employed in the manufacturing sector. Manufacturing comprises 14% of rural jobs compared to 10% nationally. To learn more about industry and employment in your community visit HAC’s Rural Data Portal.

OMB publishes 2019 Compliance Supplement for federal audits.

The annual supplement to OMB’s Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards applies to audits of entities that use any of a lengthy list of federal housing programs.

Recent publications and media of interest

  • Unsheltered and Uncounted: Rural America’s Hidden Homeless, a National Public Radio story, examines the growing problem of rural homelessness, where challenges in getting accurate counts still persist. Additionally, according to organizations working with the rural homeless in Kentucky, people are now less likely to be doubling up in crowded houses and more likely to sleep outdoors or in cars.
  • Americans in the Most Financially Distressed Zip Codes are Trapped in a ‘Really Troubling’ Catch-22 reports on an Economic Innovation Group analysis that found the most distressed zip codes are concentrated in the Southeast, rural West, and urban centers in the Northeast and Midwest, places that have the country’s most persistent pockets of really entrenched poverty. Rural areas are projected to never fully recover from the Great Recession and a lack of job opportunities continues to make rural areas less appealing places to live, the article says.
  • The Education Deserts of Rural America notes that the high-school education gap between urban and rural students has decreased but the college-completion gap has widened. (The author uses Economic Research Service data.) Rural students often have to travel greater distances than their urban peers to attend college, limited broadband access eliminates online education as an option, and many states have disinvested in public higher education.
  • 2019 Kids Count Data Book is the 30th edition of the Annie E. Casey Foundation’s compilation of figures. The foundation reports that 11 of the 16 areas of child well-being it tracks have improved since 1990, though housing cost burden rates increased. Racial and ethnic disparities persist. Data are provided for the U.S. and each state.
  • Rural America Faces Housing Shortage. How One Town is Addressing It looks at how a town in Nebraska and other rural communities are addressing the need for more affordable housing, especially workforce housing. The piece quotes HAC CEO David Lipsetz and references HAC’s research on the looming rural rental housing crisis.
  • Rural Electrification 2.0: The Transition to a Clean Energy Economy reports that while many rural areas in the United States provide the infrastructure for clean energy, the power generated is not used locally. Rural electric cooperatives derive two-thirds of their energy from fossil fuels. The report authors argue that the decreasing cost of producing wind- and solar-powered energy makes the transition to renewable resources more affordable and makes economic sense in the long run.

HAC is hiring!

Housing Specialist: based primarily in the Southwest or Western U.S. to provide direct technical assistance, coaching and training to nonprofits, government agencies and others.

Portfolio Manager: based in DC to manage a portfolio of loans made to entities engaged in affordable housing activities in rural communities.

Both positions come with competitive salaries, generous benefits and the opportunity to work in a fun and mission-focused environment.

HAC and Fannie Mae to hold webinars on colonias in New Mexico and Arizona.

HAC, in partnership with Fannie Mae, will hold webinars in July and August presenting data and research on Colonias Investment Areas, a geographic concept developed to target mortgage finance and resource investment in colonia communities along the southwest U.S. border. A webinar on July 17 will focus on New Mexico, and one on August 7 will focus on Arizona. For more information, contact HAC staff, 404-892-4824.

HAC offers Section 502 packaging training for nonprofits, August 6-8 in Michigan.

This three-day advanced course trains experienced participants to assist potential borrowers and work with RD staff, other nonprofits and regional intermediaries to deliver successful Section 502 loan packages. The training will be held in East Lansing, MI on August 6-8. For more information, contact HAC staff, 404-892-4824.

Need capital for your affordable housing project?

HAC’s loan funds provide 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, farmworker, senior and veteran housing. HAC loan funds can be used for pre-development, site acquisition, site development and construction/rehabilitation. 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).

Snapshots of Rural Data

/in

Rural America is a vast and diverse place, with a character all its own. This page includes infographics from Rural Voices Magazine and HAC’s publications which tell a small story in data about a particular slice of rural America.

Duty to Serve Infographic

Duty to Serve in Rural America

PDF | Image

The Duty to Serve program requires the GSEs to help direct investment toward vulnerable people and places. How does that impact rural areas?

demographics infographic 2019

The Demographics of Rural America

PDF | Image

Learn a little bit more about the people of rural America who make up roughly one fifth of the US population.

cra infographic 2019

The Community Reinvestment Act in Rural America

PDF | Image

The Community Reinvestment Act (CRA), adopted in 1977, has been a boon to urban community development. How does it work in rural areas?

homeownership infographic 2019

Homeownership in Rural America

PDF | Image

Rates of homeownership in rural areas are generally higher than in urban areas, but many still face challenges.

rv-fall-2018-infogrpahic

The Digital Divide in Rural America

Broadband internet access and adoption in rural areas lags behind that of metropolitan areas.

rv-may-2018-infographic

Fair Housing in Rural America – By the Numbers

This infographic reveals trends in rural fair housing complaints as reported from HUD’s FHEO filed cases data, including a look at the number of complaints per year, geography, and the most prevalent complaints by county.

American and Alaska Native (AIAN) Communities at a Glance Infographic

American and Alaska Native (AIAN) Communities at a Glance

A look at the geographic distribution and unique mortgage lending experiences of American and Alaska Native Communities.

Ruralities: The Changing Face of Rural America

Ruralities: The Changing Face of Rural America

A set of maps demonstrate the ways rural America’s demographics and housing are changing.

The Complicated Picture of Rural Homelessness

The Complicated (& largely unknown) Picture of Rural Homelessness (Infographic)

It is often difficult to quantify the number of homeless people who live in rural areas. Here is a look at some of the information we know about this vulnerable population.

rvsummer2015-infographic Page 2

Celebrating 50 Years of helping families help themselves.(8.5″ X 11″ printable pdf)

Celebrating 50 Years of helping families help themselves.(25.5″ X 11″ original document)

Celebrate the accomplishments of USDA’s Self-Help housing program during the 50 years since its founding.

rvspring15-infographic

Mortgage Lending and Access in Rural America

Rural communities have different experiences when it comes to accessing and using mortgage markets. This infographic provides a window into some of those experiences.

rv-se-infographic-pira

Poverty in Rural America

Approximately 45 million Americans, or 15 percent of the population, had incomes below the official poverty rate in 2012. In rural America, the poverty rate is above 17 percent with more than 10 million people living in poverty.

housing-crisis-in-rural-america-web-small

The housing crisis and its wake in rural America– (Interactive Prezi)

What was the impact of the housing crisis in rural America?

childrenandyouthmap

Children & Youth in Rural America – (Interactive Prezi)

aging-rural-america-map

An Aging Rural America (jpg)
MAP – A Demographic Portrait of Seniors in Rural America

HAC News: June 27, 2019

/in

News Formats. pdf

June 27, 2019
Vol. 48, No. 13

House passes USDA and HUD funding for FY20 • U.S. housing supply falls far short of needs, Harvard analysis finds • Supreme Court rules citizenship question on census needs a better rationale. • USDA expands pilot to help nonprofits preserve rural rentals, creates two-step transfer • Most USDA Research Service staff to quit, not move, union says • HUD offers grants for lead reduction and tribal healthy homes • White House council on regulatory barriers created • GAO suggests centralizing information on services to rural elders • Senate confirms two HUD appointees • RuralSTAT • Final rule adopts income banding for USDA single-family housing programs • The 2019 AARP Rural Livability Workshop •How to Make College Accessible to Students from Rural Communities • The June 24 Power Station podcast • A Town with No Bank: How Itta Benna, Mississippi, Became a Banking Desert • 2020 Democrats Offer Up Affordable Housing Plans Amid Surging Prices • NEW! HAC and Fannie Mae to hold webinars on colonias in New Mexico and Arizona • NEW! HAC offers Section 502 packaging training for nonprofits, August 6-8 in Michigan • Need capital for your affordable housing project?

HAC News Formats. pdf

June 27, 2019
Vol. 48, No. 13

House passes USDA and HUD funding for FY20.

On June 25 the House passed H.R. 3055, a “minibus” that combines five appropriations bills for FY20, including both USDA and HUD. The measure would maintain or increase funding for housing programs in both departments. The Administration has threatened to veto the bill. Congress and the White House have not yet been able to agree to lift the spending caps imposed by the 2011 Budget Control Act, which would require drastic funding cuts, and the Senate has not yet begun to consider appropriations bills.

U.S. housing supply falls far short of needs, Harvard analysis finds.

Harvard’s Joint Center on Housing Studies reports in The State of the Nation’s Housing 2019 that U.S. housing production has not kept pace with increases in household formation and a large proportion of new homes are for the higher end of the market. Cost-burden rates have declined for homeowners but 47.4% of renters still pay more than 30% of their incomes for housing. HAC is one of the sponsors of this yearly report.

Supreme Court rules citizenship question on census needs a better rationale.

The Supreme Court ruled on June 27 that including a citizenship question on the decennial census is permitted by the Constitution, but that the Commerce Department’s stated reason for adding the question is not supported by the facts. The case will return to a lower court and it is not clear whether a final determination can be made in time to include the question on the 2020 Census, even if different justification is provided.

USDA expands pilot to help nonprofits preserve rural rentals, creates two-step transfer.

USDA RD’s pilot program to assist nonprofits preserving Section 515 properties has been extended through April 30, 2021. An Unnumbered Letter dated June 14, 2019 announces the extension and expands the options for nonprofits to include a “two-step transfer process.” A nonprofit can now request permission to purchase a property before it has all funding in place for rehabilitation and, so long as it addresses health, safety and accessibility needs immediately, will have up to two years to do other rehab. The pilot will also expand to cover properties with mortgage maturations through 2035 (instead of 2030, the limit when the pilot began). Another UL dated June 14, 2019 offers guidance on using the Section 538 program to preserve Section 515 properties.

Most USDA Research Service staff to quit, not move, union says.

Politico (subscription required) reports that a preliminary survey by the American Federation of Government Employees found at least two-thirds of Economic Research Service staff who have been asked to relocate from Washington, DC to the Kansas City area will leave the agency instead of moving. Workers at ERS and the National Institute of Food and Agriculture recently voted overwhelmingly to join AFGE. Separately, the Agricultural & Applied Economics Association has calculated that USDA’s cost-benefit analysis seriously underestimated the cost of moving ERS and NIFA, partly because it did not take into account the lost value of research from staffers who resign or retire rather than move.

HUD offers grants for lead reduction and tribal healthy homes.

State and local governments, some states and some tribes can apply by August 9 for HUD’s Lead Hazard Reduction Grant Program to identify and control lead-based paint hazards in privately owned housing. For more information, contact Yolanda Brown, HUD, 202-402-7596. August 9 is also the deadline for tribes and TDHEs to apply for the Healthy Homes Production Grant Program, which assists in identifying and remediating housing issues that contribute to health and safety concerns in urban tribal communities. For more information, contact Michelle Miller, HUD, 202-402-5769.

White House council on regulatory barriers created.

President Trump issued an executive order establishing a White House Council on Eliminating Regulatory Barriers to Affordable Housing. The order blames the current housing affordability crisis on a supply shortage caused by barriers such as restrictive zoning, rent controls, environmental regulations and labor requirements. Chaired by HUD, the council includes representatives from USDA and other departments and is charged with producing a report by June 25, 2020. HUD has worked for decades to reduce regulatory barriers imposed by federal, state, local and tribal governments, and since 2001 has maintained a Regulatory Barriers Clearinghouse.

GAO suggests centralizing information on services to rural elders.

HHS Could Help Rural Service Providers by Centralizing Information on Promising Practices addresses services such as in-home care, meal delivery and transportation to medical appointments, which are funded by the Department of Health and Human Services to assist older adults to stay in their homes. Rural residents receive some services less frequently than their urban counterparts. GAO recommends that HHS centralize access to and promote awareness of promising practices or other resources to better serve rural seniors.

Senate confirms two HUD appointees.

On June 20, the Senate confirmed Seth Appleton as Assistant Secretary of Policy Development and Research and Hunter Kurtz as Assistant Secretary of Public and Indian Housing.

RuralSTAT.

Approximately 78.1% of American households have broadband subscriptions in their homes. In rural homes, the broadband subscription rate is 69.5%. (HAC tabulations of 2017 American Community Survey)

RuralSTAT

Final rule adopts income banding for USDA single-family housing programs.

Since 2016 USDA has tested broadening eligibility for the Section 502 direct loan program and the Section 504 loan and grant programs by establishing one income limit for families with one to four people and another for families with five to eight people, rather than eight different income limits. A new rule puts the change into effect nationwide as of July 22. RD will publish new income limits online. The definition of net family assets is also revised and, effective August 5, area loan limits will be calculated as a percentage of HUD’s Section 203(b) limits. For more information, contact Shannon Chase, RD, 515-305-0399.

Recent publications and media of interest

NEW! HAC and Fannie Mae to hold webinars on colonias in New Mexico and Arizona.

HAC, in partnership with Fannie Mae, will hold webinars in July and August presenting data and research on Colonias Investment Areas, a geographic concept developed to target mortgage finance and resource investment in colonia communities along the southwest U.S. border. A webinar on July 17 will focus on New Mexico, and one on August 7 will focus on Arizona. For more information, contact HAC staff, 404-892-4824.

NEW! HAC offers Section 502 packaging training for nonprofits, August 6-8 in Michigan.

This three-day advanced course trains experienced participants to assist potential borrowers and work with RD staff, other nonprofits and regional intermediaries to deliver successful Section 502 loan packages. The training will be held in East Lansing, MI on August 6-8. For more information, contact HAC staff, 404-892-4824.

Need capital for your affordable housing project?

HAC’s loan funds provide 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, farmworker, senior and veteran housing. HAC loan funds can be used for pre-development, site acquisition, site development and construction/rehabilitation. 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).

USDA Rural Development Obligations FY 19 – May

/in , , ,

The Housing Assistance Council (HAC) presents this month’s report on Fiscal Year 2019 USDA Rural Housing program obligations.

As of the end of May, USDA obligated 64,313 loans, loan guarantees, and grants totaling $9,081,241,676. This is $869,914,101 less than obligations from the same time last year. At that time were 71,545 loans, loan guarantees, and grants obligated totaling $9,951,155,777.

The agency has been operating under several continuing resolutions and a 35-day government shutdown since the beginning of the fiscal year. The Consolidated Appropriations Act, 2019 was signed into law on February 15, 2019 which provided funding for the rest of the fiscal year.

Single Family Housing Program Highlights
The Section 502 Guaranteed loan program, the largest of the Single Family Housing programs, obligated $8,456,186,019 (57,962 loan guarantees) down from $9,344,108,146 (64,441 loan guarantees) last year.

For the Section 502 Direct program, there have been $469,298,153 (2,975 loans) in loan obligations, compared to $470,085,569 (3,172 loans) this time last year. Very low income (VLI) loan obligations as a percentage of the total Section 502 Direct loan dollars was about 35 percent. VLI loans represented 40 percent of the total number of Section 502 Direct loans.

The Section 504 Repair and Rehabilitation programs obligated 1,385 loans representing about $8,299,424. Loan volume was down from this time last year (1,512 loans representing $9,060,511 million.) In the Section 504 grant program, there were $11,229,910 (1,385 grants) obligated compared to $761,087 (2,304 grants) at the same time last year.

USDA’s Section 523 Self Help Housing Grant program funded 10 grants and contracts totaling $10,088,093, up from this time last year when 5 grants and contracts were funded totaling $14,238,816.

USDA has also funded 5 credit sales representing $402,961.

Multi-Family Housing Programs
USDA’s Section 538 Multifamily Housing obligated 53 loan guarantees totaling $86,375,887, down from last year’s 60 loan guarantees ($82,500,369.) In the Section 515 Rural Rental Housing program, there were 40 loans totaling $33,788,303 obligated compared to 14 loans totaling $12,095,965 this time last year. There has been 1 MPR loan totaling $537,865 and no grants obligated compared to 15 loans and 2 grants representing $15,650,054 and $251,260 this time last year.

In the Farm Labor Housing programs, 5 loans and 2 grants have been funded totaling $3,587,261 and $1,400,000 respectively. Last year in May, there were no loans or grants.

No Section 533 Housing Preservation grants have been obligated so far this year, like this time last year. USDA obligated funds for 153,093 rental assistance units under the Section 521 Rental Assistance program totaling $808,780,291 million. This compares to about 133,633 units ($662,237,636) obligated same time last year. There were also 4,354 Rural Housing Vouchers totaling $19,380,653 compared to 3,763 vouchers representing $15,497,346 this time last year.

Download the combined document.

* The Rural Housing Service (RHS) monthly obligation reports are produced by the Housing Assistance Council (HAC) 1025 Vermont Ave., NW, Suite 606, Washington, DC 20005. The monthly figures derive from HAC tabulations of USDA –RHS 205c, d, and f report data. For questions or comments about the obligation reports, please contact Michael Feinberg at 202-842-8600 or michael@ruralhome.org.

HAC News: June 14, 2019

/in ,

News Formats. pdf

June 14, 2019
Vol. 48, No. 12

Resources offered for local rural design activities • June is National Homeownership Month • House moves appropriations forward • House committee passes bills to block recent HUD proposals • Disaster funding bill becomes law • Flood insurance program extended • HUD offers grants for technical health and housing studies • USDA moving ERS and NIFA to Kansas City • Revised income limits for HUD programs posted • RuralSTAT • Iowa inmates learn to construct affordable housing • RAPIDO disaster recovery home celebrated in Texas • Comments sought on Fair Market Rent calculation changes • A Piece of Mississippi: Retrospective on Rural Generation for CIRD • Reservation Profiles • Speak Your Piece: Rural Strength and Possibility •Need capital for your affordable housing project?

HAC News Formats. pdf

June 14, 2019
Vol. 48, No. 12

Resources offered for local rural design activities.

The Citizens’ Institute on Rural Design is accepting applications through July 22 for stipends and technical assistance to enable rural and tribal communities to host rural design workshops or participate in a Learning Cohort. A webinar offering application guidance from HAC, the National Endowment for the Arts and buildingcommunityWORKSHOP is available online. “Open office hour” events will also be hosted by [bc] on Facebook live on June 18 and July 10. For more information, contact CIRD@bcworkshop.org.

June is National Homeownership Month.

USDA’s press release highlights the department’s homeownership programs.

House moves appropriations forward.

The House Appropriations Committee approved the proposed FY20 spending bills for USDA and HUD on June 4. Those two measures have been combined with the bills for Commerce-Justice-Science, Interior-Environment and Military Construction-VA to create a second “minibus” that is scheduled for a vote in the full House the week of June 17. The House began debate June 12 on the first minibus, comprised of appropriations bills for Labor-HHS-Education, Defense, State-Foreign Operations and Energy. The Financial Services bill, not included in either minibus, passed the House Appropriations Committee on June 11 and includes $300 million for CDFI Fund programs, compared to $250 million in FY19. The Senate has not yet begun to consider its appropriations bills.

House committee passes bills to block recent HUD proposals.

H.R. 3018, passed by the House Financial Services Committee on June 12, would block HUD’s proposal to allow homeless shelters to treat transgender and gender non-conforming people according to the sex they were assigned at birth. Similar language is included in the House’s HUD appropriations bill for FY20. Also approved by the committee was H.R. 2763, prohibiting implementation of HUD’s proposed rule to end housing benefits for families with mixed immigration status. Finally, H.R. 3154 clarifies that Deferred Action for Childhood Arrivals recipients cannot be denied federally backed mortgage loans based on their DACA status; after the bill passed, a letter from a HUD official to Rep. Pete Aguilar (D-CA) became public confirming that FHA considers DACA recipients ineligible for its mortgage guarantees, a policy previously denied by HUD Secretary Ben Carson.

Disaster funding bill becomes law.

On June 6, President Trump signed the disaster relief bill into law, providing $17.2 billion for recovery from 2018 and 2019 natural disasters.

Flood insurance program extended.

The new disaster relief law extends authorization for the National Flood Insurance Program through September 30, 2019, the end of the current fiscal year. The program would be authorized through the end of fiscal 2024 by H.R. 3167, which received unanimous approval from the House Financial Services Committee on June 12. That bill and H.R. 3111, also passed unanimously by the committee, make other changes to the program as well.

HUD offers grants for technical health and housing studies.

Nonprofits, for-profits, PHAs, state or local governments, tribes and educational institutions can apply by July 11 for HUD Lead and Healthy Homes Technical Studies Grants to improve detection and control of housing-related health and safety hazards. For more information, contact J. Kofi Berko, HUD.

USDA says ERS and NIFA will move to Kansas City.

The Kansas City region has been selected as the new location for the Economic Research Service and the National Institute of Food and Agriculture, USDA Secretary Sonny Perdue announced on June 13. With its press release, USDA provided the first publicly available cost-benefit analysis for the controversial move. The House’s FY20 appropriations bill for USDA includes language prohibiting use of FY20 funds for the relocation, but a timeline in the cost-benefit document shows the Department intends to begin the relocation by August 1 and complete it by September 30, before FY20 begins on October 1. NIFA workers voted on June 11 to join the American Federation of Government Employees, as ERS employees did in May.

Revised income limits for HUD programs posted.

The 2019 income limits for CDBG, HOME, HTF, HOPWA and NSP will be effective June 29. The limits for ESG are effective as of April 24.

RuralSTAT. The citizenship question on the 2020 Census has been hotly debated as of late. Data on citizenship already exists in the American Community Survey. From the ACS, the Census Bureau estimates that 2.8% of the rural and small town population are not U.S. citizens. To view the data for your community and its reliability, visit HAC’s Rural Data Portal.

Iowa inmates learn to construct affordable housing.

A new Iowa program, based on one in South Dakota, aims to help alleviate the state’s rural affordable housing shortage by recruiting the state’s prison population to build modular affordable housing. The program also hopes to provide inmates with training and apprenticeships that can help them find jobs upon reentry.

RAPIDO disaster recovery home celebrated in Texas.

An open house event allowed visitors to see a finished home where a family lived throughout construction, beginning with a small “core” house erected in three days and intended to replace a FEMA trailer after a natural disaster. The family occupied the core while the rest of the home was built onto it. Texas Housers, one of the partners in developing and testing the concept, declared this RAPIDO home ready to move to large scale use in future disaster rebuilding. Other partners were buildingcommunityWorkshop, Enterprise Community Partners, the Texas Organizing Project and Covenant Community Capital. A past issue of HAC’s Rural Voices magazine (p. 27) describes how the concept can be used for affordable housing in non-disaster situations as well.

Comments sought on Fair Market Rent calculation changes.

HUD is proposing changes in how it calculates trend factors that are used in determining Fair Market Rents. The changes are intended to make the determinations more local. Comments are due July 5. For more information, contact HUD’s Program Parameters and Research Division, 202-402-2409.

Recent publications and media of interest

Need capital for your affordable housing project?

HAC’s loan funds provide 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, farmworker, senior and veteran housing. HAC loan funds can be used for pre-development, site acquisition, site development and construction/rehabilitation. 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).

HAC News: May 31, 2019

/in

News Formats. pdf

May 31, 2019
Vol. 48, No. 11

Rural Housing Service administrator named • Section 533 Housing Preservation Grants available • House subcommittees approve USDA and HUD spending bills for FY20 • Disaster bill passes Senate but not House • Section 504 repair pilot announced • USDA will propose rule on housing for mixed-status families • HUD drafting change to rule on gender identity protection • RuralSTAT • Recent publications and media of interest • HAC Section 502 packaging training for nonprofits in Nashville set for June 19-20 • Need capital for your affordable housing project?

HAC News Formats. pdf

May 31, 2019
Vol. 48, No.11

Rural Housing Service administrator named.

Bruce Lammers has been appointed RHS administrator and began work on May 28. His career has been in banking with an emphasis on government-guaranteed lending.

Section 533 Housing Preservation Grants available.

State and local governments, nonprofits, federally recognized Indian Tribes, and consortia of eligible entities are eligible for these grants, which can be used to repair and rehab homes for low- and very low-income owners or rental units available to low- and very low-income tenants. Apply by July 8 to an RD state office or at grants.gov. For more information, contact Bonnie Edwards-Jackson, RD, 202-690-0759.

House subcommittees approve USDA and HUD spending bills for FY20.

FY20 funding bills for both USDA and HUD passed separate House appropriations subcommittees in May 23 and next will be considered by the full Appropriations Committee. No spending measures have been introduced in the Senate so far. Both House bills provide level funding or increases for housing programs, rejecting the Administration’s budget requests. USDA Rural Development would see increases in the Section 523 self-help program and rental housing preservation resources including Section 515, MPR and Section 542 vouchers, although technical assistance funding for preservation is not included. USDA’s funding bill would also prevent USDA’s planned move of ERS and NIFA out of the Washington, DC area.

Disaster bill passes Senate but not House.

The Senate passed the repeatedly delayed disaster relief bill, H.R. 2157, on May 23, after President Trump agreed to sign it into law. The House was not able to pass the bill, however, and Congress is now on recess until June 3.

Section 504 repair pilot announced.

In an attempt to increase use of the Section 504 repair loan program by low- and very low-income homeowners, USDA is waiving some regulatory requirements in 20 states and Puerto Rico for fiscal years 2019 and 2020. The pilot also raises the dollar limits in those places from $20,000 for loans and $7,500 for grants to $40,000 for loans and $10,000 for grants. For more information, contact an RD state office.

USDA will propose rule on housing for mixed-status families.

USDA is drafting a regulation on housing aid for families with mixed immigration statuses. The agency’s summary says it will “harmonize” its requirements with HUD’s. HUD recently proposed to evict people who are ineligible for HUD housing assistance because of their immigration status, rather than continuing to allow them to live in units with eligible family members and receive pro-rated aid. USDA hopes to publish its rule for public comment in August.

HUD drafting change to rule on gender identity protection.

HUD is preparing a change in regulations that would allow HUD-funded homeless shelters to treat transgender people as belonging to the sex they were assigned at birth rather than the sex with which they identify, eliminating a 2016 rule that requires recognition of individuals’ gender identities. HUD estimates that the revised rule will be published for public comment in September. The House’s HUD appropriations bill includes language that would block this change.

RuralSTAT. In 2010, 79.3% of U.S. households completed Census forms, resulting in a national non-response rate of 20.7%. Census response rates were not evenly distributed across the country and varied greatly by location. See the Census 2020 estimated response rate for your community using the Census Bureau’s ROAM tool. Over the next year HAC will provide updates and resources to help improve Census response in your community.

Recent publications and media of interest

HAC Section 502 packaging training for nonprofits in Nashville set for June 19-20.

This three-day advanced course trains experienced participants to assist potential borrowers and work with RD staff, other nonprofits, and regional intermediaries to deliver successful Section 502 loan packages. The training will be held June 19-20. For more information, contact HAC staff, 404-892-4824.

Need capital for your affordable housing project?

HAC’s loan funds provide 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, farmworker, senior and veteran housing. HAC loan funds can be used for pre-development, site acquisition, site development and construction/rehabilitation. 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).

USDA Rural Development Obligations FY 19 – April

/in , , ,

The Housing Assistance Council (HAC) presents this month’s report on Fiscal Year 2019 USDA Rural Housing program obligations.

As of the end of April, USDA obligated 53,177 loans, loan guarantees, and grants totaling $7,457,480,989. This is $2,493,674,788 less than obligation levels from the same time last year when there were 71,545 loans, loan guarantees, and grants obligated totaling $9,951,155,777.

The agency has been operating under several continuing resolutions and a 35-day government shutdown since the beginning of the fiscal year. The Consolidated Appropriations Act, 2019 was signed into law on February 15, 2019 which provided funding for the rest of the fiscal year.

Single Family Housing Program Highlights

The Section 502 Guaranteed loan program, the largest of the Single Family Housing programs, obligated $6,961,849,991 (48,113 loan guarantees) down from $9,344,108,146 (64,441 loan guarantees) at the same time last year.

For the Section 502 Direct program, the agency obligated $373,232,082 (2,366 loans), down from $470,085,569 (3,172 loans) in loan obligations this time last year. Very lowincome (VLI) loan obligations as a percentage of the total Section 502 Direct loan dollars was 36 percent. VLI loans represented 41 percent of the total number of Section 502 Direct loans.

The Section 504 Repair and Rehabilitation programs obligated 1,112 loans representing $6,630,392. Loan volume was down from this time last year (1,512 loans representing $9,060,511 million.) There were also $8,897,038 (1,112 grants) obligated in the Section 504 grant program compared to $2,430,119 (2,304 grants) at the same time last year.

USDA’s Section 523 Self Help Housing Grant program funded 7 grants and contracts totaling $7,052,393, up from last year at this time when 5 grants and contracts were funded totaling $14,238,816.

USDA has also funded 4 credit sales representing $304,961.

Multi-Family Housing Programs

USDA’s Section 538 Multifamily Housing obligated 48 loan guarantees totaling $72,502,085, down from last year’s 60 loan guarantees ($82,500,369.) In the Section 515 Rural Rental Housing program, there were 30 loans totaling $22,963,582 obligated compared to 14 loans totaling $12,095,965 this time last year. There has been 1 MPR loan totaling $537,865 and no grants obligated compared to 15 loans and 2 grants representing $15,650,054 and $251,260 this time last year.

In the Farm Labor Housing programs, 2 loans and 2 grants have been funded totaling $2,070,000 and $1,400,000 respectively. Last year in April, there were no loans or grants.

No Section 533 Housing Preservation grants obligated so far this year, similar to this time last year.

USDA obligated funds for 155,727 rental assistance units under the Section 521 Rental Assistance program totaling $807,221,198 million. This compares to 133,633 units ($662,237,636) obligated same time last year. There were also 3,843 Rural Housing Vouchers totaling $16,991,439 compared to 3,763 vouchers representing $15,497,346 this time last year.

Download the combined document.

* The Rural Housing Service (RHS) monthly obligation reports are produced by the Housing Assistance Council (HAC) 1025 Vermont Ave., NW, Suite 606, Washington, DC 20005. The monthly figures derive from HAC tabulations of USDA –RHS 205c, d, and f report data. For questions or comments about the obligation reports, please contact Michael Feinberg at 202-842-8600 or michael@ruralhome.org.

GET THE HAC NEWS!

Sign-up for HAC information products

SIGN UP HERE
Link to: Impact

50 Years for Rural America

Over 50 years HAC has worked in every U.S. state and the territories. Learn more about what our work means for rural communities.

Board Portal

Housing Assistance Council   |  1828 L Street. N.W., Suite 505, Washington, D.C. 20036
(202) 842-8600  |  (202) 347-3441  |  hac@ruralhome.org

HAC is an equal opportunity provider, employer, and lender.