USDA Rural Development Obligations FY 18 – July

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The Housing Assistance Council (HAC) presents this month’s report on Fiscal Year 2018 USDA Rural Housing program obligations.

As of the end of July, USDA obligated 107,385 loans, loan guarantees, and grants totaling about $14.97 billion. This is about $1.73 billion less than obligation levels from the same time last year when there were 121,655 loans, loan guarantees, and grants obligated totaling about $16.71 billion.

Single Family Housing Program Highlights

The Section 502 Guaranteed loan program, the largest of the Single Family Housing programs, obligated $13.92 billion (95,949 loan guarantees) down from $15.71 billion (109,516) at the same time last year.

For the Section 502 Direct program, there have been over $822.2 million (5,426 loans), also down from $771.4 million (5,596 loans) in loan obligations this time last year. Very low-income (VLI) loan obligations as a percentage of the total Section 502 Direct loan dollars was 33.5 percent, down from 36.8 percent at the same time last year.

The Section 504 Repair and Rehabilitation programs obligated 2,386 loans representing $14.6 million. As in the other single family housing programs, loan volume was down from this time last year (2,605 loans representing $14.6 million.) There were also $21.1 million (3,428 grants) obligated in the Section 504 grant program compared to $22.8 million (3,774 grants) at the same time last year.

Obligations in the Mutual Self-Help program totaled 23 grants and contracts totaling $18 million compared to 26 grants and contracts totaling $20.3 million last year.

Multifamily Housing Program Highlights

USDA’s Section 538 Multifamily Housing obligated 98 loan guarantees totaling $125.3 million, up from 71 loan guarantees ($121.6 million.) In the Section 515 Rural Rental Housing program, there were 16 loans totaling $19.6 million obligated compared to 10 loans totaling $10.5 million this time last year. There were also 15 MPR loans and 2 grants totaling $10.5 million and $251,260 respectively, compared to 30 loans ($21.4 million) and 2 grants ($53,220) this time last year.

In the Farm Labor Housing program, there were 6 loans ($8.5 million) and 4 grants ($7.9 million) compared to 7 loans ($10.7 million) and no grants at this time last year. One Housing Preservation Grant has been obligated ($21,417) versus none last year.

USDA obligated funds for 193,148 rental assistance units under the Section 521 Rental Assistance program totaling $950.6 million. This compares to about 194,472 units ($1.093 billion) obligated same time last year. There were also 5,526 Rural Housing Vouchers totaling $23.2 million compared to 5,011 vouchers representing $19.8 million this time last year.

There were no other obligations for Multi-Family Housing programs in July.

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: August 15, 2018

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HAC News Formats. pdf

August 15, 2018
Vol. 47, No. 17

HUD requests comments on Affirmatively Furthering Fair Housing • Deadline for lead-based paint reduction grants extended • HAC seeks Director of Lending • USDA to move Economic Research Service out of DC • Senate bills would create refundable tax credits for cost-burdened renters • HAC explores rural broadband gap • Federal strategic plan to end homelessness released • Rural Studio to spread affordable housing design nationwide • New portfolio manager named for USDA rental housing programs • Online tool offers data on reservations • Wage growth lower than inflation in past year, generally stagnant over decades, analyses show • Senate committee delays vote on CFPB nomination

HAC News Formats. pdf

August 15, 2018
Vol. 47, No. 17

HUD requests comments on Affirmatively Furthering Fair Housing.
An “Advance Notice of Proposed Rulemaking” seeks input for amendments to HUD’s Affirmatively Furthering Fair Housing (AFFH) regulations. Questions ask about the extent of appropriate community participation, the type of data or qualitative information to be used, reporting, evaluation, and more. Comments will be due in mid-October. For more information, contact Krista Mills, HUD, 202-402-6577. In May, HUD withdrew the Assessment Tool local governments were using to develop Assessments of Fair Housing to meet their AFFH obligations; comments on that action were filed last month. Separately, comments on HUD’s disparate impact standard for analysis of fair housing violations are due August 20.

Deadline for lead-based paint reduction grants extended.
Applications for HUD’s Lead-Based Paint Hazard Reduction Program grants are now due on September 25, not August 2.

HAC seeks Director of Lending.
The Director of Lending will be the entrepreneurial leader and manager of HAC’s lending and community investment functions. S/he will report directly to the CEO; manage programs and staff; serve as the primary liaison to the Board of Directors’ Loan Committee; develop relationships with borrowers and funding sources; and help lead HAC’s strategic planning, policy and program development. The ideal candidate will be energetic, innovative and willing to take on a thought leadership role in the industry of CDFIs, affordable housing, and rural community development. Visit HAC’s site for a complete job description and application information.

USDA to move Economic Research Service out of DC.
USDA Secretary Sonny Perdue announced on August 9 that the Economic Research Service will be “realigned” with the Office of the Chief Economist, and employees of ERS and the National Institute of Food and Agriculture will be relocated outside the Washington, DC area by the end of 2019. USDA requests expressions of interest from potential locations by September 14. The Daily Yonder collected comments about the changes, most of which express concern.

Senate bills would create refundable tax credits for cost-burdened renters.
The Rent Relief Act of 2018 (S. 3250), introduced in July by Sen. Kamala Harris (D-CA), is similar to H.R. 3670, introduced in September 2017 by Rep. Joseph Crowley (D-NY). The Housing, Opportunity, Mobility, and Equity Act of 2018 (S. 3342) was introduced August 1 by Sen. Cory Booker (D-NJ). All three bills would cover all or part of the rent amounts paid by low-income tenants that exceed 30% of their incomes. A National Low Income Housing Coalition factsheet compares the provisions in the two Senate bills.

HAC explores rural broadband gap.
“Disconnect in Rural America,” a new HAC Rural Research Note, reports that 27% of nonmetro households lack broadband subscriptions (including cellular data plans), compared to 17.1% in metro areas. There are gaps in broadband access at all income levels and all ages. The upcoming fall issue of Rural Voices, HAC’s quarterly magazine, will describe how some rural communities have helped overcome the physical and financial challenges of providing broadband access for their residents and businesses.

Federal strategic plan to end homelessness released.
The U.S. Interagency Council on Homelessness adopted Home, Together as the 2018-2022 federal strategic plan to prevent and end homelessness. “Tailoring strategies for rural communities” is listed as an area of increased focus. The plan does not include specific timeframes for achieving its goals.

Rural Studio to spread affordable housing design nationwide.
The Rural Studio at Auburn University in Alabama, known for developing small, affordable 20K Homes, is now collaborating with HAC on several projects and with Fannie Mae as part of its Duty to Serve work. Auburn issued a press release on the Rural Studio’s 20K Initiative, a program that involves collaboration with a wide range of partners and is intended to support both housing and local economies in rural places.

New portfolio manager named for USDA rental housing programs.
USDA Rural Development has hired Nancie-Ann Bodell, who has worked at HUD, to be director of the Portfolio Management Division for Multifamily Housing Programs. Stephanie White retired from this position in 2017.

Online tool offers data on reservations.
The Reservation Profiles Database, provided by the Center for Indian Country Development at the Federal Reserve Bank of Minneapolis, has data and graphs showing demographic, economic, and homeownership indicators for American Indian reservations with at least 2,500 residents.

Wage growth lower than inflation in past year, generally stagnant over decades, analyses show.
A Washington Post analysis of data from the Bureau of Labor Statistics shows that wages increased 2.7% from July 2017 to July 2018, while the cost of living rose 2.9%. At the same time, the Post notes, corporate profits have soared. A separate report from the Pew Research Center found that the current real average wage (that is, the wage after accounting for inflation) is about the same as it was in 1978. Since 2000, Pew states, wages have grown much faster for the highest earners than for those at the bottom of the scale, contributing to widening income inequality.

Senate committee delays vote on CFPB nomination.
The Senate Banking, Housing and Urban Affairs Committee has postponed votes on several Administration nominees including Kathleen Kraninger, proposed to serve as director of the Consumer Financial Protection Bureau. The committee held a hearing July 19 on Kraninger’s nomination.

HAC offers Section 502 packaging training in September.
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 registration fee is $750. The training will be held September 24-26 in Liverpool, NY. For more information, contact HAC staff, 404-892-4824.

Deadline extended to nominate local and national leaders for HAC awards.
HAC is still accepting nominations for its 2018 Cochran/Collings National Service and Skip Jason Community Service Leadership Awards. The awards will be presented at the 2018 HAC Rural Housing Conference in December. Past awardees are listed on HAC’s site. Complete the online nomination form. For more information, contact Lilla Sutton, HAC, 202-842-8600.

Save the date for the 2018 HAC Rural Housing Conference!
The conference will be held December 4-7 at the Capital Hilton in Washington, DC. The HAC News will announce when conference registration opens and when the hotel room block is available for reservations.

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).

Disconnect in Rural America - Rural Research Brief

Disconnect in Rural America

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Disconnect in Rural America - Rural Research NoteDespite mass adoption, greater functionality, and more access points, the internet remains out of reach for many Americans, especially those in rural communities. One of the primary reasons for this disconnect is geography, where long distances between homes raise the cost of installing the infrastructure for broadband in rural areas, leaving rural homes with less access to fast, reliable internet.

As broadband becomes less a luxury and more a daily necessity, this technology gap can leave segments of the rural population technologically behind, causing slow economic growth, and limited access to advancements in areas, such as telemedicine.

More Than One-Quarter of Rural Homes Do Not Have Internet Subscriptions

Overall, 27 percent of all rural households lack any type of broadband subscription, compared to 17.1 percent of metropolitan households. This amounts to more than 4.7 million rural households without a broadband internet subscription – cellular data plan, cable/DSL/fiber optic, or satellite.

In addition, 129,963 rural households with an internet subscription are still using dial-up. This is 1 percent of all rural households with internet subscriptions, while only .04 percent of subscribers in metro areas have dial-up subscriptions.

The digital gap applies to most types of internet access, as measured by subscription data from the U.S. Census Bureau. Broadband subscription rates, at least in part, reflect access to the internet based on existing infrastructure and affordability. For example, rural households are less likely to have a cellular data plan than metropolitan area households, 57 percent to 70 percent. The one exception to this gap is satellite-based service. Nine percent of rural Disparities in Rural Broadband Subscriptions Across Income Levelshouseholds, compared to 6 percent of metropolitan area households use satellite internet services. Greater isolation and more sparse populations in rural areas likely explain the more common use of satellite technology, where cable or fiber optic services are not available.

The broadband gap between rural and metropolitan area households exists at all income levels. For households with incomes less than $20,000 a year, rural broadband subscriptions are 10 percentage points lower than in metropolitan areas. For households with incomes from $20,000 to $75,000 the gap persists albeit slightly smaller at 7 percentage points. Even at higher income levels – $75,000 and above – rural households have lower broadband subscription rates, 91 percent to 95 percent.

The same disparity in connectivity exists at all age ranges as well. Rural residents under 18 years old are less likely to have a broadband subscription compared to their metropolitan counterparts, 84 percent to 89 percent. The trend follows for residents between 18 and 64 years old, 81 percent to 88 percent, and for those 65 years and older, 62 percent to 73 percent.

So, while income and age may exacerbate the disparity in broadband subscriptions, subscription rates in rural areas continue to trail metropolitan areas across the board.

Rural Homes Lack Device Diversity

Rural households also have fewer computing devices than their metropolitan area counterparts. About 83 percent of rural households have at least one computing devices (smartphone, tablet, laptop, etc.), while 90 percent of metropolitan area households do. Furthermore, less than 67 percent of rural households have at least two devices, compared to almost 75 percent of metropolitan households.

Rural households with access to some type of computing device are more often limited, with access to either a smartphone or a desktop computer, rather than having the capability and benefits of both forms of technology. While seemingly a small issue, fewer devices directly impacts rural households’ ability to take advantage of ever increasing technologies. This means that a rural home buyer with only a smartphone may not be able to obtain detailed information on mortgage products, and a veteran without a smartphone cannot get on the road directions to a VA healthcare facility for an appointment.

What the Disconnect Means

While it may not be surprising that rural households have less broadband access and fewer devices, it can be consequential. Less dense areas where there are large physical gaps in infrastructure is where the internet can be the best utilized. Households without broadband subscriptions are unable to access services effectively, such as online banking and shopping, telemedicine, and more reliable communication.

Investing in broadband infrastructure in rural areas can help diminish the disparities in access between rural and metropolitan households. While initial infrastructure investments may not be deemed profitable by traditional providers currently, small and local municipalities may need to consider creative methods of bringing broadband to their rural communities.

“Rural” in this Note refers to population and territory outside of a Metropolitan Area, as designated by the Office of Management and Budget.

HAC News: August 2, 2018

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HAC News Formats. pdf

August 2, 2018
Vol. 47, No. 16

Senate passes funding for USDA and HUD • Flood insurance program extended temporarily • Guide for California wildfires survivors published by HAC • HUD sets public housing rent limits • RUS invites comments on broadband pilot • Puerto Rico disaster recovery plan approved, hotel aid extended • Government Effectiveness Advanced Research Center proposed • Advocate identifies opportunity to comment on citizenship question proposed for census • HUD Inspector General criticizes department’s oversight in Cairo, Illinois area • Inclusionary Housing Calculator explores local scenarios • Senate bill would establish housing task force

HAC News Formats. pdf

August 2, 2018
Vol. 47, No. 16

Senate passes funding for USDA and HUD.
Both USDA and HUD were included in an FY19 appropriations measure passed on August 1 without changes to the housing program funding levels previously approved by the Senate Appropriations Committee. The Senate adopted an amendment telling USDA to report on its strategy for rental housing preservation. FY19 spending bills for both departments have been approved by the House Appropriations Committee, but not yet by the full House, which is now in recess until September 4.

Flood insurance program extended temporarily.
The National Flood Insurance Program has been renewed through November 30, the most recent of several short-term authorizations since the program expired last year.

Guide for California wildfires survivors published by HAC.
The newly published supplement to HAC’s disaster guide provides resources for residents of fire-stricken areas. HAC’s Picking Up the Pieces disaster guide offers broader information for residents and communities on short- and long-term resources in any disaster situation. Current information about specific fires is posted by Cal Fire .

HUD sets public housing rent limits.
The Housing Opportunity Through Modernization Act of 2016 requires PHAs to terminate tenancies or charge higher rents for over-income public housing households. HUD is adopting a calculation that would set income limits at 120% of area median income in most places and would be adjusted to account for high or low housing costs or a low state nonmetro median family income. Separately, HUD will propose a rule on how to set rents for over-income households. For more information, contact Todd Thomas , HUD, 202-402-4542.

RUS invites comments on broadband pilot.
USDA’s Rural Utilities Service requests comments by September 10 on its implementation of certain provisions of an e-Connectivity Pilot program established in its FY18 appropriation. Loans and grants will be available for construction, improvement, and acquisition of facilities and equipment for broadband service. For more information, contact Michele Brooks , USDA, 202-690-1078.

Puerto Rico disaster recovery plan approved, hotel aid extended.
HUD announced on July 30 it has approved a $1.5 billion plan for use of CDBG-Disaster Recovery funds to help Puerto Rico residents recover from Hurricanes Irma and Maria. Most of the funding will be used for the island’s severely damaged housing. HUD has also published a Housing Damage Assessment and Recovery Strategies Report for Puerto Rico. Separately, a federal judge ordered FEMA to extend its Temporary Shelter Assistance program until August 31 . A lawsuit is ongoing regarding a longer term extension of the program, which covers hotel costs on the U.S. mainland for Puerto Rican evacuees.

Government Effectiveness Advanced Research Center proposed.
OMB requests ideas by September 14 on establishing the GEAR Center , described as a “non-governmental, public-private partnership” to conduct research “that improves mission delivery, citizen services, and stewardship of public resources.” OMB’s notice identifies two “early focus areas”: reskilling and upskilling federal employees and using federally owned data to help grow the economy.

Advocate identifies opportunity to comment on citizenship question proposed for census.
The Census Bureau requested comments by August 7 on the 2020 decennial Census. Writing for The Nation, the Leadership Conference Education Fund suggests using this opportunity to convey opinions about the proposed addition of a question on citizenship to the 2020 Census.

HUD Inspector General criticizes department’s oversight in Cairo, Illinois area.
An Inspector General report released on July 24 says HUD’s Office of Public and Indian Housing knew since at least 2010 that the Alexander County Housing Authority had serious governance issues and public housing residents there lived in “deplorable” conditions, but did not take over ACHA until 2016. Alexander County, Illinois’s southernmost county, is in the Mississippi River Delta and identified by the Delta Regional Authority as distressed. The report recommends actions to improve PIH’s oversight of troubled PHAs. HUD agreed with the recommendations.

Inclusionary Housing Calculator explores local scenarios.
The online calculator , created by Grounded Solutions Network with support from the Lincoln Institute of Land Policy and the National Housing Conference, allows users to select economic conditions and test potential incentives’ impact on the development of mixed income housing.

Senate bill would establish housing task force.
The Task Force on the Impact of the Affordable Housing Crisis Act, S. 3231, was introduced on July 18 by Senators Todd Young (R-IN), Maria Cantwell (D-WA), and Angus King (I-ME). It would establish a task force to evaluate the impact of a lack of affordable housing on other areas of life and the costs incurred by other programs resulting from a lack of affordable housing, as well as to make recommendations to Congress.

HAC offers Section 502 packaging training in September.
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 registration fee is $750. The training will be held September 24-26 in Liverpool, NY. For more information, contact HAC staff, 404-892-4824.

Deadline extended to nominate local and national leaders for HAC awards.
HAC is still accepting nominations for its 2018 Cochran/Collings National Service and Skip Jason Community Service Leadership Awards. The awards will be presented at the 2018 HAC Rural Housing Conference in December. Past awardees are listed on HAC’s site. Complete the online nomination form. For more information, contact Lilla Sutton, HAC, 202-842-8600.

Save the date for the 2018 HAC Rural Housing Conference!
The conference will be held December 4-7 at the Capital Hilton in Washington, DC. The HAC News will announce when conference registration opens and when the hotel room block is available for reservations.

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: July 19, 2018

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HAC News Formats. pdf

July 19, 2018
Vol. 47, No. 15

Rural residents spend disproportionate amounts on household energy, study finds • Persons with temporary farmworker visas now eligible for USDA-financed housing • USDA to institute guarantee fee for information technology enhancements • House bill would authorize new housing mobility funds • GAO releases new auditing standards • Guide aims to help tribes increase homeownership • House committee hears testimony on rural broadband • Child poverty remains higher than before recession

HAC News Formats. pdf

July 19, 2018
Vol. 47, No. 15

Rural residents spend disproportionate amounts on household energy, study finds.
Rural U.S. households spend a disproportionately high share of their incomes on energy bills, according to a new report by the American Council for an Energy-Efficient Economy and Energy Efficiency for All. Low-income rural households spend a median 9% of their incomes on home energy, almost three times larger than the proportion for their higher-income counterparts. Other rural residents hit particularly hard include elderly, nonwhite, and renting households, as well as those living in multifamily and manufactured homes. The High Cost of Energy in Rural America: Household Energy Burdens and Opportunities for Energy Efficiency includes suggestions to improve energy efficiency incentives and affordability.

Persons with temporary farmworker visas now eligible for USDA-financed housing.
USDA’s FY18 funding bill makes workers admitted to the U.S. on H-2A visas eligible to live in Section 514/516 farmworker housing. This month USDA issued guidance on implementing this change. Employers, who must sponsor H-2A workers and are responsible for providing housing, may be required to sign leases as guarantors. For more information, contact a USDA RD state office.

USDA to institute guarantee fee for information technology enhancements.
USDA intends to begin on January 2, 2019 collecting a guarantee underwriting user fee from lenders using the Section 502 guarantee program. Authorized in the 2016 Housing Opportunity Through Modernization Act, the funds will be used for future information technology enhancements. USDA expects to levy a $25 fee; the authorized amount can be up to $50. Comments are due September 11. For more information, contact Kate Jensen, USDA, 503-894-2382.

House bill would authorize new housing mobility funds.
The Housing Choice Voucher Mobility Demonstration Act (H.R. 5793), which passed the House on July 10, would authorize funding for a new housing mobility demonstration program to encourage families with Housing Choice Vouchers to move to lower-poverty areas. The Senate has not yet begun considering the bill.

GAO releases new auditing standards.
Government Auditing Standards 2018 Revision, known as the Yellow Book, provides standards and guidance for audits of federal, state, and local government programs. It was last updated in 2011. For more information, contact GAO, 202-512-9535.

Guide aims to help tribes increase homeownership.
Tribal Leaders Handbook on Homeownership, published by the Center for Indian Country Development at the Federal Reserve Bank of Minneapolis, describes mortgage programs and lenders, and offers case studies.

House committee hears testimony on rural broadband.
The House Energy and Commerce Committee held a hearing July 17 titled Realizing the Benefits of Rural Broadband: Challenges and Solutions. Witnesses agreed that rural places need reliable broadband access and described how different types of technologies could help.

Child poverty remains higher than before recession.
USDA’s Economic Research Service reports that almost 20% of U.S. children lived in poverty in 2016, compared to 18% in 2007. Child poverty rates are highest in the South and Southwest, particularly in counties with concentrations of Native Americans and along the Mississippi Delta. Children in poverty tend to live in nonmetro counties – many with persistently high poverty – that were hard hit by the recession.

HAC OFFERS SECTION 502 PACKAGING TRAINING IN SEPTEMBER.
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 registration fee is $750. The training will be held September 24-26 in Liverpool, NY. For more information, contact HAC staff, 404-892-4824.

DEADLINE EXTENDED TO NOMINATE LOCAL AND NATIONAL LEADERS FOR HAC AWARDS.
HAC is still accepting nominations for its 2018 Cochran/Collings National Service and Skip Jason Community Service Leadership Awards. The awards will be presented at the 2018 HAC Rural Housing Conference in December. Past awardees are listed on HAC’s site. Complete theonline nomination form. For more information, contact Lilla Sutton, HAC, 202-842-8600.

SAVE THE DATE FOR THE 2018 HAC RURAL HOUSING CONFERENCE!
The conference will be held December 4-7 at the Capital Hilton in Washington, DC. The HAC News will announce when conference registration opens and when the hotel room block is available for reservations.

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: July 5, 2018

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HAC News Formats. pdf

July 5, 2018
Vol. 47, No. 14

HAC seeks workshop proposals for the 2018 Rural Housing Conference • Nominate local and national leaders for HAC awards • HAC offers grants to affordable housing projects serving rural veterans. • Farmworker housing loans and grants available from USDA. • HHS will make grants for new Rural Communities Opioid Response Program • Judge extends FEMA housing aid in Puerto Rico to July 23 • Carson questioned about moving RHS programs to HUD • KIDS COUNT data book warns of Census undercount, shows mixed progress on well-being • Housing aid could reduce child poverty almost 21%, says Children’s Defense Fund • Housing a key in rural economies, members of Congress report • Senate passes Farm Bill • USDA posts webinar trainings for Section 502 direct program • Webinars offer information to engage low-income renters in elections

HAC News Formats. pdf

July 5, 2018
Vol. 47, No. 14

HAC seeks workshop proposals for the 2018 Rural Housing Conference.
HAC is looking to our constituents and partners for proposals for workshop sessions that engage participants and facilitate an active exchange of approaches and ideas to improve housing conditions in rural America. Check the online call for proposals and submit online by July 11. For more information, contact Mike Feinberg, 202-842-8600, or Kelly Cooney, 678-649-3831.

Nominate local and national leaders for HAC awards.
HAC is now accepting nominations for its 2018 Cochran/Collings National Service and Skip Jason Community Service Leadership Awards. Nominations are due Friday July 13. The awards will be presented at the 2018 HAC Rural Housing Conference in December. Past awardees are listed on HAC’s site. Complete the online nomination form. For more information, contact Lilla Sutton, HAC, 202-842-8600.

HAC offers grants to affordable housing projects serving rural veterans.
These grants, supported by The Home Depot Foundation, will go to nonprofits, tribally designated housing entities, and housing authorities serving veterans at or below 80% of area median income in rural areas. Projects may be new construction or rehab, temporary or permanent housing, in progress or beginning within 12 months. Applications are due July 9. For more details, contact Shonterria Charleston or Anselmo Telles, HAC.

Farmworker housing loans and grants available from USDA.
Pre-applications are due August 27 for USDA’s Section 514 Farm Labor Housing loans and Section 516 FLH grants for the construction or purchase and substantial rehabilitation of off-farm rental units and related facilities for domestic farmworkers. For more information, contact Mirna Reyes-Bible, USDA, 202-720-1753.

HHS will make grants for new Rural Communities Opioid Response Program.
The Federal Office of Rural Health Policy in the Department of Health and Human Services offers one-year planning grants to nonprofits, for-profits, tribes, and tribal organizations to form consortia and plan for treatment and prevention of substance use disorders, including opioid use disorder, in high-risk rural counties. Applications are due July 30. Contact Allison Hutchings, HHS, 301-945-9819. Nonprofit and tribal entities are also eligible to apply by August 10 for a grant to provide technical assistance to new or existing consortia. Contact Michael McNeely, HHS, 301-443-5812.

Judge extends FEMA housing aid in Puerto Rico to July 23.
A federal judge has ordered FEMA’s Temporary Shelter Assistance program to continue paying hotels through July 23 to house more than 950 Puerto Ricans evacuated after Hurricane Maria. Aid was set to terminate on June 30, but LatinoJustice PRLDEF and others sued because many homes remain uninhabitable. The short-term extension will cover shelter while the litigation continues.

Carson questioned about moving RHS programs to HUD.
At a House Financial Services Committee HUD oversight hearing on June 27, Rep. Frank Lucas (R-OK) asked HUD Secretary Ben Carson about the Administration’s proposal to move some of USDA’s rural housing programs to HUD. He asked why HUD is better equipped than USDA to meet rural housing needs. Carson responded that moving programs would not be “a very difficult shift” because HUD already has more activity in rural places than USDA’s rural housing programs. He said the change would reduce duplication and increase efficiency to help address the nation’s “severe fiscal crisis.”

KIDS COUNT data book warns of Census undercount, shows mixed progress on well-being.
The Annie E. Casey Foundation’s yearly report measures child well-being nationwide and in each state. This year it estimates about 1 million children under age five could be left out of the 2020 Census count and warns of “troubling consequences” because Census data determine the allocation of much federal assistance. The research shows upward trends in economic indicators of child well-being, but mixed results or stalled progress in education, health, and family and community indicators.

Housing aid could reduce child poverty almost 21%, says Children’s Defense Fund.
CDF’s Ending Child Poverty Now report states that without federal safety net programs child poverty would be 68% higher. Even so, more than one in five American children is poor and the rate is three times higher for African-American children. Investing another 2% of the national budget and making other changes would reduce child poverty by 60% and improve economic circumstances for the families of almost all poor children. Currently only one in four eligible families with children receives federal housing aid, but making it available to all who are eligible would alone reduce child poverty nearly 21%.

Housing a key in rural economies, members of Congress report.
Investing in Rural America: Bringing Progress and Economic Opportunity to Rural Communities, released by Democratic members of the Congressional Joint Economic Committee, covers housing, education, health care, infrastructure, and more. The housing chapter notes challenges related to substandard housing, Indian Country’s unique situation, fewer rental options, limited access to mortgage credit, and loss of federal aid as rental housing mortgages mature. Its recommendations include empowering nonprofit organizations.

Senate passes Farm Bill.
The full Senate passed its version of the 2018 Farm Bill, S. 3042, on June 28, without the controversial work requirements for food stamp recipients that are included in H.R. 2, the House bill. The Senate accepted two amendments offered by Sen. Heidi Heitkamp (D-ND); one of them establishes a technical assistance program to improve tribal access to USDA rural development programs, including housing, and another that creates Tribal Promise Zones. Next, a conference committee will need to resolve differences between the two bills.

USDA posts webinar trainings for Section 502 direct program.
Webinars on income calculations, credit requirements, and intermediaries have been posted along with other resources on USDA’s website (select the Forms and Resources link).

Webinars offer information to engage low-income renters in elections.
A series of six webinars beginning July 17 will provide strategies for nonpartisan voter registration, candidate engagement, and voter education. The series is sponsored by the National Low Income Housing Coalition’s Our Homes, Our Votes campaign.

SAVE THE DATE FOR THE 2018 HAC RURAL HOUSING CONFERENCE!
The conference will be held December 4-7 at the Capital Hilton in Washington, DC. The HAC News will announce when conference registration opens and when the hotel room block is available for reservations.

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: June 22, 2018

/in

HAC News Formats. pdf

June 22, 2018
Vol. 47, No. 13

Rescission bill fails in Senate • Rents remain unaffordable at minimum wage • Harvard report addresses housing affordability • Administration proposes moving some rural housing programs to HUD • Sec. 533 Housing Preservation Grants available • Water and wastewater grants available for relending • HUD offers Jobs Plus funds • Grants available to reduce lead paint hazards • Comments invited on fair housing and disparate impact • Strategies for addressing rural homelessness offered in new report • Senate Committee and full House pass different Farm Bills •Changes proposed for construction to permanent mortgages guaranteed by USDA • Final set of Opportunity Zones announced • HUD designates EnVision Centers in 17 communities • Deadline extended for commenting on USDA regulations • Kraninger nominated to be CFPB director

HAC News Formats. pdf

June 22, 2018
Vol. 47, No. 13

Rescission bill fails in Senate.
On June 20 the Senate voted 50-48 against the Administration’s request to rescind previously appropriated funds, including $40 million from USDA’s Section 521 Rental Assistance program and additional amounts from other housing-related programs. The Senate could reconsider the bill, but is unlikely to. The House passed its version of the bill on June 7.

Rents remain unaffordable at minimum wage.
The National Low Income Housing Coalition’s 2018 Out of Reach report shows that, as has been the case for years, there is no county in the U.S. where a full-time worker earning the federal minimum wage or prevailing state minimum wage can afford a two-bedroom rental at HUD’s Fair Market Rent while working a standard 40-hour week. A full-time minimum-wage worker can afford a one-bedroom apartment in only 22 of the more than 3,000 U.S. counties. Data for each state and county is available through an interactive map.

Harvard report addresses housing affordability.
Another annual research report, the State of the Nation’s Housing, was released this week by Harvard’s Joint Center for Housing Studies. It recommends collaboration among the public, private, and nonprofit sectors to tackle the conditions creating the housing affordability gap, and notes that “a more robust federal response is essential to any meaningful progress.” The report states that increases in federal assistance for renters have lagged far behind the growth in renters with very low incomes. It notes that income inequality and the inability of income growth to keep pace with the economy’s growth over the past 30 years have contributed to current affordability challenges.

Administration proposes moving some rural housing programs to HUD.
On June 21 the Trump Administration released recommendations for reorganizing federal government agencies and programs, including moving USDA’s loan guarantee and rental assistance programs to HUD. It would also privatize Fannie Mae and Freddie Mac. It is not clear whether Congress will consider enacting the proposals.

Sec. 533 Housing Preservation Grants available.
A request for applications for grants to repair owner-occupied or rental housing will be published on June 25. Nonprofit, local government agencies, and tribes are eligible. Applications are due in early August. For more information, contact Bonnie Edwards-Jackson, RD, 202-690-0759.

Water and wastewater grants available for relending.
The Rural Utilities Service is offering grants to nonprofits under two programs. Household Water Well System grants can be used to create lending programs for homeowners to construct or repair household water wells. Revolving Fund Program grants establish funds that make loans to entities eligible for RUS water and wastewater programs. Applications for both programs are due July 20. For more information, contact Derek Jones, RUS, 202-720-9640.

HUD offers Jobs Plus funds.
Public housing authorities (not tribes or tribally designated housing entities) that did not receive Jobs Plus grants in 2014-2017 can apply by August 14. For more information, contact HUD staff.

Grants available to reduce lead paint hazards.
State, local, and tribal governments are eligible for Lead-Based Paint Hazard Reduction grants to identify and remediate lead paint in owner-occupied or rental housing. Applications are due August 2.

Comments invited on fair housing and disparate impact.
HUD is reviewing its regulation implementing the disparate impact standard – which applies the Fair Housing Act to practices with discriminatory effect even if the discrimination was not intended – to determine whether changes are appropriate based on the Supreme Court’s 2015 ruling upholding the use of disparate impact analysis, the Administration’s efforts to reduce regulatory burden, or for other reasons. Comments are due August 20. For more information, contact Krista Mills, HUD, 202-402-6577.

Strategies for addressing rural homelessness offered in new report.
In Strengthening Systems for Ending Rural Homelessness: Promising Practices and Considerations, the U.S. Interagency Council on Homelessness describes tactics such as obtaining technical assistance, partnering with service providers, developing creative outreach, identifying crisis housing options, and more.

Senate Committee and full House pass different Farm Bills.
The House Farm Bill, H.R. 2, was defeated in May but passed on June 21. The Senate Agriculture Committee approved its version, S. 3042, on June 18. The Senate bill does not contain controversial House provisions such as expanded work requirements, so after the full Senate votes (possibly before the end of June) a compromise will need to be developed.

Changes proposed for construction to permanent mortgages guaranteed by USDA.
USDA’s Rural Housing Service has proposed amendments intended to increase lenders’ willingness to use Section 502 guaranteed loans that cover both the construction and permanent mortgage phases. Along with other changes, lenders would be allowed to charge a higher interest rate for the construction phase and to escrow principal as well as other payments during construction. Comments are due August 20. For more information, contact Kate Jenson, USDA, 503-810-6855.

Final set of Opportunity Zones announced.
Opportunity Zones have now been designated in all states and territories. The IRS welcomes comments as it develops guidance on Opportunity Funds and eligible investments for taxpayers with capital gains.

HUD designates EnVision Centers in 17 communities.
The Choctaw Nation in Oklahoma is one of the locations selected for Secretary Ben Carson’s initiative, which intends to leverage public-private partnerships to connect HUD-assisted households with services and help them achieve self-sufficiency.

Deadline extended for commenting on USDA regulations.
In July 2017 USDA requested comments on improving its regulations, with a deadline of July 17, 2018. The deadline is now extended by a year to July 18, 2019. For more information, contact Michael Poe, USDA, 202-720-5303.

Kraninger nominated to be CFPB director.
President Trump has nominated Kathy Kraninger to become director of the Consumer Financial Protection Bureau. She currently works at OMB for Mick Mulvaney, who is OMB director and acting CFPB director.

HAC OFFERS GRANTS TO AFFORDABLE HOUSING PROJECTS SERVING RURAL VETERANS These grants, supported by The Home Depot Foundation, will go to nonprofits, tribally designated housing entities, and housing authorities serving veterans at or below 80% of area median income in rural areas. Projects may be new construction or rehab, temporary or permanent housing, in progress or beginning within 12 months. Applications are due July 9. For more information, contact Shonterria Charleston or Anselmo Telles.

HAC SEEKS WORKSHOP PROPOSALS.
HAC is trying something new for the 2018 Rural Housing Conference. We are looking to our constituents and partners for proposals for workshop sessions that engage participants and facilitate an active exchange of approaches and ideas to improve housing conditions for the rural poor. Check the online call for proposals and submit online by July 11. For more information, contact Mike Feinberg, 202-842-8600, or Kelly Cooney, 678- 649-3831.

SAVE THE DATE FOR THE 2018 HAC RURAL HOUSING CONFERENCE!
The conference will be held December 4-7 at the Capital Hilton in Washington, DC. The HAC News will announce when conference registration opens and when the hotel room block is available for reservations.

NOMINATE LOCAL AND NATIONAL LEADERS FOR HAC AWARDS..
HAC is now accepting nominations for its 2018 Cochran/Collings National Service and Skip Jason Community Service Leadership Awards. Nominations are due Friday July 13. The awards will be presented at the 2018 HAC Rural Housing Conference in December. Past awardees are listed on HAC’s site. Complete the online nomination form. For more information, contact Lilla Sutton, HAC, 202-842-8600.

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: June 11, 2018

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HAC News pdf

June 11, 2018
Vol. 47, No. 12

Senate Committee advances 2019 HUD funding • House votes to rescind funds, including USDA Rental Assistance • ROSS Service Coordinator funds available • HUD offers Tribal Healthy Homes grants • USDA and NCDFIs partner to increase Native homeownership • CFPB dismisses members of three advisory boards • UN report critiques US approach to poverty • Answers to some common housing questions posted • Guide helps select USDA refinancing for homeowners • June is National Homeownership Month • HAC seeks workshop proposals • Save the date for the 2018 HAC Rural Housing Conference! • Nominate local and national leaders for HAC awards • Need capital for your affordable housing project?

HAC News pdf

June 11, 2018
Vol. 47, No. 12

Senate Committee advances 2019 HUD funding.
A 2019 HUD appropriations bill was approved by a Senate subcommittee on June 5 and by the full Appropriations Committee on June 7. The bill keeps many programs at FY18 levels, with increases for vouchers, Section 8, and public housing, and a decrease in Section 811 housing for people with disabilities. It includes new funds for homeless youth and survivors of domestic violence. It provides FY19 funding for U.S. Interagency Council on Homelessness but does not reauthorize USICH. [tdborder][/tdborder]

HUD Program
(dollars in millions)

FY17 Approp.

FY18 Approp.

FY19 Admin. Budget

FY19 House Bill

FY19 Senate Bill (S. 3023)

CDBG

$3,000

$3,300

0

$3,300

$3,300

HOME

950

1,362

0

1,200

1,362

Self-Help Homeownshp. (SHOP)

10

10

0

10

10

Veterans Home Rehab

4

4

0

0

4

Tenant-Based Rental Asstnce.
VASH setaside
Tribal VASH

20,292
40
7

22,015
40
5

20,550*
0
4

22,476
40
5

22,781
40
5

Project-Based Rental Asstnce.

10,816

11,515

10,952

11,347

11,747

Public Hsg. Capital Fund

1,942

2,750

0

2,750

2,775

Public Hsg. Operating Fund

4,400

4,550

3,279*

4,550

4,756

Choice Neighbrhd. Initiative

137.5

150

0

150

100

Native Amer. Hsg. Block Grt.

654

655

600

655

655

Homeless Assistance Grants

2,383

2,513

2,383

2,546

2,612

Hsg. Opps. for Persons w/ AIDS

356

375

330

393

375

202 Hsg. for Elderly

502.4

678

563

678

678

811 Hsg. for Disabled

146.2

230

132

154

154

Fair Housing

65.3

65.3

62.3

65.3

65.3

Healthy Homes & Lead Haz. Cntl.

145

230

145

230

260

Housing Counseling

55

55

45

55

45

* Includes amounts added by an Administration addendum to its budget request.

House votes to rescind funds, including USDA Rental Assistance.
The House rescission bill, H.R. 3, passed on June 7. Currently, the Senate has no plans to vote on its companion bill, S. 2979. Both bills would rescind funding previously appropriated, including $40 million from Section 521 Rental Assistance, as requested by President Trump.

ROSS Service Coordinator funds available.
Applications are due July 30 for grants to hire Service Coordinators to operate Resident Opportunity and Self-Sufficiency Programs for PHAs, nonprofits, tribes, and TDHEs are eligible. For more information, contact HUD staff.

HUD offers Tribal Healthy Homes grants.
American Indian and Alaska Native tribal governments and tribal organizations can apply by July 18 for the Healthy Homes Production Grant Program for Tribal Housing. These $500,000-$1,000,000 grants, being offered for the first time since 2012, assist recipients to identify and remediate housing-related health and safety hazards. For more information, contact Michelle Miller, HUD.

USDA and NCDFIs partner to increase Native homeownership.
Under a new pilot program, USDA will loan $800,000 in Section 502 direct funds to each of two Native CDFIs, Mazaska Owecaso Otipi Financial and Four Bands Community Fund. They will relend the funds to homebuyers for mortgages on tribal lands in North and South Dakota. For more information, contact USDA Rural Development’s South Dakota state office.

CFPB dismisses members of three advisory boards.
On June 6 the Consumer Financial Protection Bureau dismissed all members of its Consumer Advisory Board, Community Bank Advisory Council, and Credit Union Advisory Council. It announced it will increase other types of outreach and will reconstitute the advisory groups with new, smaller memberships. Reportedly the current members cannot reapply. This was done following a request in February for public comments about its external engagements.

UN report critiques US approach to poverty.
The United Nations has released the Report of the Special Rapporteur on Extreme Poverty and Human Rights on his Mission to the United States of America, which will be presented to the UN Human Rights Council on June 21. The Special Rapporteur, Australian human rights attorney Philip Alston, visited the U.S., including rural Lowndes County, AL, in December 2017. His report describes “a dramatic contrast between the immense wealth of the few and the squalor and deprivation in which vast numbers of Americans exist. For almost five decades the overall policy response has been neglectful at best, but the policies pursued over the past year seem deliberately designed to remove basic protections from the poorest, punish those who are not in employment and make even basic health care into a privilege to be earned rather than a right of citizenship.”

Answers to some common housing questions posted.
Every three months, housing publication Shelterforce offers a one-page response to a question that readers may be trying to answer. Recent questions include, “Why don’t people who get rental assistance get a job?,” “Can supporting community development improve outcomes for the health sector?,” and “Do rent regulations make the housing crisis worse?”

Guide helps select USDA refinancing for homeowners.
A new brief guide is intended to help lenders or others select appropriate USDA refinancing for current borrowers using the Section 502 direct or guaranteed programs. It also lists all items required in a complete loan application for each type of mortgage. For more information, contact an RD state office.

June is National Homeownership Month.
HUD’s theme for the month is “Find Your Place.”

HAC SEEKS WORKSHOP PROPOSALS.
HAC is trying something new for the 2018 Rural Housing Conference. We are looking to our constituents and partners for proposals for workshop sessions that engage participants and facilitate an active exchange of approaches and ideas to improve housing conditions for the rural poor. Check the online call for proposals and submit online by July 11. For more information, contact Mike Feinberg, 202-842-8600, or Kelly Cooney, 678- 649-3831.

SAVE THE DATE FOR THE 2018 HAC RURAL HOUSING CONFERENCE!
The conference will be held December 4-7 at the Capital Hilton in Washington, DC. The HAC News will announce when conference registration opens and when the hotel room block is available for reservations.

NOMINATE LOCAL AND NATIONAL LEADERS FOR HAC AWARDS..
HAC is now accepting nominations for its 2018 Cochran/Collings National Service and Skip Jason Community Service Leadership Awards. Nominations are due Friday July 13. The awards will be presented at the 2018 HAC Rural Housing Conference in December. Past awardees are listed on HAC’s site. Complete the online nomination form. For more information, contact Lilla Sutton, HAC, 202-842-8600.

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).

Rural Voices: Working Toward Access for All

/in , , , ,

50 Years of the Fair Housing Act

Safe and affordable homes, free of discrimination, should be equally accessible to all. This edition of Rural Voices explores the state of fair housing half a century after the adoption of the Fair Housing Act and includes contributions from a federal agency, national nonprofits, and practitioners in the field.

VIEW FROM WASHINGTON

HUD’s Fair Housing Office: Combating Discrimination
Anna María Farías

In a nation founded on the principles of justice and equality, it is unacceptable for anyone to be denied the housing of their choice.

FEATURES

Working Towards Fair Housing in 2018’s Rural America
by Leslie R. Strauss

Rural fair housing advocates rely on outreach, education, cultural sensitivity, and partnerships to address issues that may not have been evident 50 years ago.

HUD Suspends Implementation of Affirmatively Furthering Fair Housing Rule
by Renee Williams

In early 2018 HUD suspended implementation of a regulation put into place in 2015.

Vermont Tackles Fair Housing Along with Housing Affordability
by Ted Wimpey

Vermont’s Fair Housing Project encourages residents and local governments to improve zoning and permitting in order to further fair housing and the development of affordable housing.

Disasters Don’t Discriminate, Recovery Shouldn’t Either
by Maddie Sloan

Disaster recovery must be designed to be fair for all, even if pre-disaster housing situations were not.

Nuisance and Crime-Free Ordinances: The Next Fair Housing Frontier
by Renee Williams and Marie Flannery

Fair housing laws may conflict with local laws and policies that penalize tenants for calling law enforcement or having a history of arrest or conviction.

Fighting Hate with Fair Housing Laws

The recent increase in hate crimes includes housing-related hate activity, which can have criminal or civil remedies.

Fighting Hate in North Dakota
by Michelle Rydz

A statewide coalition supports victims of hate crimes, including crimes that are related to housing.

INFOGRAPHIC

rv-may-2018-infographicFair Housing in Rural America – By the Numbers

Rural Voices would like to hear what you have to say about one, or all, of these issues. Please comment on these stories by sending a tweet to #RuralVoicesMag, discuss on the Rural Affordable Housing Group on LinkedIn, or on our Facebook page.

HAC News: May 25, 2018

/in

HAC News Formats. pdf

May 25, 2018
Vol. 47, No. 11

HUD changes course on 2015 fair housing regulation• Senate committee approves 2019 USDA funding bill • House begins work on 2019 HUD funding • Dodd-Frank provisions rolled back for banks, manufactured homes • GAO makes recommendations to USDA and Congress on preserving rural rentals • Revised bills propose changes to preserve rural rental housing • Advocate’s guide to rural housing preservation published • Choice Neighborhoods Implementation Grants offered • USDA seeks partnerships in the Section 502 direct loan program • More Opportunity Zones announced • Farm Bill fails in House • Tribal VASH notices updated • Inclusionary zoning map shows local and state programs • African Americans and Hispanics still far from equal with whites, National Urban League reports

HAC News Formats. pdf

May 25, 2018
Vol. 47, No. 11

HUD changes course on 2015 fair housing regulation.
In January, HUD suspended implementation of a 2015 regulation that required local jurisdictions to prepare Assessments of Fair Housing (AFHs) to help meet their obligations to affirmatively further fair housing. On May 8, civil rights groups sued HUD for suspending the rule. HUD has now canceled January’s suspension, and instead has withdrawn the Assessment Tool that local governments were using to develop their AFHs. Like the January notice, this one means local governments will keep using the older Analysis of Impediments rather than the AFH. HUD says it is planning a series of national listening sessions regarding the Assessment Tool. Comments on the Assessment Tool are due July 23. For more information, contact Krista Mills, HUD, 202-402-6577. HUD also announced recently that it plans to request public comment on whether its 2013 regulation on the use of disparate impact to identify housing discrimination is consistent with the 2015 Supreme Court ruling on the subject.

Senate committee approves 2019 USDA funding bill.
On May 24 the Senate Appropriations Committee passed its FY19 funding bill for USDA. Most of its rural housing funding amounts are the same as the FY18 levels, with slight increases for MPR and vouchers. The Senate bill provides slightly lower levels than the House bill – which passed the House Appropriations Committee on May 16 – for Section 514 and 516 farm labor housing, Section 533, MPR, and vouchers.

USDA Rural Dev. Prog.
(dollars in millions)

FY17 Approp.

FY18 Approp.

FY19 Admin. Budget

FY19 House Bill

FY19 Senate Bill (S. 2976)

502 Single Fam. Direct
Self-Help setasidea

$1,000
5

$1,100
5

0
0

$1,000
5

$1,100
5

502 Single Family Guar.

24,000

24,000

24,000

24,000

24,000

504 VLI Repair Loans

26.3

28

0

28

28

504 VLI Repair Grants

28.7

30

0

30

30

515 Rental Hsg. Direct Lns.

35

40

0

40

40

514 Farm Labor Hsg. Lns.

23.9

23

0

27.5

23.9

516 Farm Labor Hsg. Grts.

8.3

8.4

0

10

8.3

521 Rental Assistance

1,405

1,345

1,331.4

1,331.4

1,331.4

523 Self-Help TA

30

30

0

30

30

533 Hsg. Prsrv. Grants

5

10

0

15

10

538 Rental Hsg. Guar.

230

230

250

230

230

Rental Prsrv. Demo. (MPR)

22

22

0

25

24

542 Rural Hsg. Vouchers

19.4

25

20

28

26

Rural Cmnty. Dev’t Init.

4

4

0

4

6
  1. Figures shown represent budget authority, not program levels.

House begins work on 2019 HUD funding.
On May 23 the House Appropriations Committee passed its FY19 funding bill for HUD. The bill would provide more funding than the Administration’s budget, but some reductions from FY18 levels. It introduces a new mobility demonstration that would allow families with children to move to areas with greater opportunity. The Senate will begin considering HUD appropriations the first week of June.

HUD Program
(dollars in millions)

FY17 Approp.

FY18 Final Approp.

FY19 Admin. Budget

FY19 House Bill

CDBG

$3,000

$3,300

0

$3,300

HOME

950

1,362

0

1,200

Self-Help Homeownshp. (SHOP)

10

10

0

10

Veterans Home Rehab

4

4

0

0

Tenant-Based Rental Assstnce.
VASH setaside
Tribal VASH

20,292
40
7

22,015
40
5

20,550*
0
4

22,476
40
5

Project-Based Rental Asstnce.

10,816

11,515

10,952

11,347

Public Hsg. Capital Fund

1,942

2,750

0

2,750

Public Hsg. Operating Fund

4,400

4,550

3,279*

4,550

Choice Neighbrhd. Initiative

137.5

150

0

150

Native Amer. Hsg. Block Grt.

654

655

600

655

Homeless Assistance Grants

2,383

2,513

2,383

2,546

Hsg. Opps. for Persons w/ AIDS

356

375

330

393

202 Hsg. for Elderly

502.4

678

563

678

811 Hsg. for Disabled

146.2

230

132

154

Fair Housing

65.3

65

62.3

65.3

Healthy Homes & Lead Haz. Cntl.

145

230

145

230

Housing Counseling

55

55

45

55

* Includes amounts added by an Administration addendum to its budget request.

Dodd-Frank provisions rolled back for banks, manufactured homes.
On May 24 President Trump signed into law S. 2155, which passed the House on May 22 and the Senate in March. The measure does not affect the Consumer Financial Protection Bureau, but it removes some oversight for smaller banks, exempts 85% of lenders from some HMDA reporting, allows manufactured home retailers to make financing recommendations, and expands the ability of smaller lenders to make “Qualified Mortgages.” It also provides permanent authorization for HUD’s Family Self-Sufficiency Program.

GAO makes recommendations to USDA and Congress on preserving rural rentals.
The Government Accountability Office reviewed RHS’s efforts to address the possible loss of affordable rural rental housing due to maturing mortgages and made six recommendations. Rural Housing Service: Better Data Controls, Planning, and Additional Options Could Help Preserve Affordable Rental Units suggests that Congress consider authorizing Section 521 Rental Assistance and vouchers for tenants in properties whose mortgages have matured. Its recommendations for RHS include improving data accuracy, updating online preservation information regularly, and setting, monitoring, and reporting on preservation goals.

Revised bills propose changes to preserve rural rental housing.
Rep. Annie Kuster (D-NH) and Sen. Jeanne Shaheen (D-NH) have introduced new versions of the Rural Housing Preservation Act, introduced in 2016 in the previous Congress but not acted upon then. This year’s H.R. 5352 and S. 2574 would authorize vouchers for tenants in maturing mortgage properties, decouple Rental Assistance from Section 515 and 514 mortgages so it could be available for tenants in maturing mortgage properties, require uniform standards for transfers of Section 515 properties with LIHTCs, and permanently authorize USDA’s Multifamily Preservation and Revitalization Program. Committee action has not been scheduled for either bill.

Advocates’ guide to rural housing preservation published.
The National Housing Law Project has released An Advocate’s Guide to Rural Housing Preservation: Prepayments, Mortgage Maturities, and Foreclosures. Intended for advocates and legal services attorneys, the guide provides information, strategies, references, and sample pleadings and case materials. For more information, contact Jessica Cassella , NHLP.

Choice Neighborhoods Implementation Grants offered.
Local and tribal governments, PHAs and IHAs, and owners of HUD-assisted housing may apply by September 17 for grants to implement Transformation Plans that address distressed housing, improved household outcomes, and reinvestment in neighborhoods. For more information, contact HUD staff.

USDA seeks partnerships in the Section 502 direct loan program.
USDA RD wants to increase participation with intermediaries, qualified nonprofit packagers, and self-help grantees across the U.S. to raise their packaging of Section 502 loans from the current 18% to 25% in FY19. In May RD will begin publishing a quarterly newsletter for loan packagers and self-help grantees. For more information, contact Tammy Repine, USDA, 360-999-0251.

More Opportunity Zones announced.
As of May 18, the Treasury Department had designated Opportunity Zones in 46 states, as well as in DC and five U.S. territories. Designations for Florida, Nevada, Pennsylvania, and Utah are pending.

Farm Bill fails in House.
On May 18 the House voted on H.R. 2, the 2018 Farm Bill, but it did not pass. The Senate is expected to release its draft Farm Bill in June.

Tribal VASH notices updated.
A new HUD notice consolidates previous Federal Register notices from October 21, 2015 and December 6, 2016 on the Tribal HUD-VASH program and adds procedures for issuing renewal funding. For more information, contact Heidi J. Frechette, HUD, 202-402-7914.

Inclusionary zoning map shows local and state programs.
The Grounded Solutions Network has developed an interactive map that shows the characteristics of inclusionary housing programs as well as state laws regarding adoption of such local programs. It also offers an interactive Inclusionary Housing Calculator, designed to explore the relationship between local incentives and the development of mixed income housing.

African Americans and Hispanics still far from equal with whites, National Urban League reports.
The annual State of Black America report shows the 2018 “Equality Index” is 72.5% for African Americans and 79.3% for Hispanics. Full equality with whites would be 100%.

NOMINATE LOCAL AND NATIONAL LEADERS FOR HAC AWARDS..
HAC is now accepting nominations for its 2018 Cochran/Collings National Service and Skip Jason Community Service Leadership Awards. Nominations are due Friday July 13. The awards will be presented at the 2018 HAC Rural Housing Conference in December. Past awardees are listed on HAC’s site. Complete the online nomination form. For more information, contact Lilla Sutton, HAC, 202-842-8600.

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).

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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.

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