HAC News: April 13, 2011

http://ruralhome.org.

USDA Rural Development Program
(dollars in millions)

FY10
Approp.

FY11 Admin.
Budget

FY11 Proposed CR
(H.R. 1)

FY 11 Final CR
(H.R. 1473) a

FY 2012 Admin. Budget

Loans

502 Single Fam. Direct

$1,121

$1,200

$1,121

$1,121

$211.4

502 Single Family Guar.

12,000

12,000

12,000

24,000

24,000

504 Very Low-inc. Repair

34.4

34

34

23.4

0

514 Farm Labor Hsg.

27.3

27

27.3

b

27

515 Rental Hsg. Direct

69.5

95.2

69.5

69.5

95.2

538 Rental Hsg. Guar.

129.1

129.1

129.1

30.9

0

Rental Prsrv. Revlg. Loans

1.8

0

0

1

0

Grants & Payments

504 Very Low-inc. Repair

31.6

31

31.6

c

11.5

516 Farm Labor Hsg.

9.9

10

9.9

b

9.8

523 Self-Help TA

41.9

37

37

37

0

533 Hsg. Prsrv. Grants

9.4

9.4

9.4

c

0

521 Rental Assistance (1-yr. contracts)
Preservation RA
New Construction 515 RA
New Construction 514/516 RA

980
(6)
(2.03)
(3.4)

966
0
(3)
(3)

955.6
0
(2.03)
(3)

955.6
0
(2.03)
(3)

906.7
0
(3)
(3)

542 Rural Hsg. Vouchers

16.4

18

16.4

14

16

Rental Prsrv. Demo. (MPR)

25

0

0

15

0

Rural Community Development Initiative

6.3

0

0

5

8.4

a. Figures shown do not include 0.2% across the board reduction.

b. Budget authority (the cost to the government) in the farm labor housing account would remain at FY10 levels, but loan costs have risen as interest rates have risen, so the 514/516 program levels could be somewhat lower.
c. The CR provides for a reduction of $1.1 million in the Rural Housing Assistance Grants pool, which funds Section 504 grants, Section 533, and some other smaller programs.

FY11 DEAL CUTS MANY HUD PROGRAMS. The funding compromise eliminates HUD’s Housing Counseling program and Rural Innovation Fund. Section 202 elderly housing and Section 811 housing for people with disabilities would be halved. CDBG, HOME, public housing, NAHASDA, and some others would be reduced. Details are shown in the table below (parentheses indicate amounts that are included in totals). For more information visit HAC’s website, http://ruralhome.org.

HUD Program
(dollars in millions)

FY 2010 Approp.

FY11 Admin. Budget

FY11 House
Proposed CR
(H.R. 1)
FY11
Final CR
(H.R. 1473) (d)
FY12 Admin. Budget

Cmty. Devel. Block Grants

Sustainable Commun. Init.
Rural Innovation Fund (a)
Catalytic Investment Grants (b)

$4,450

(150)
(25)

$4,380.1

(150)
0
(150)

$1,500

0
(25)
0

$3,508

(100)
0
0

$3,781

0
(25)
0

HOME

1,825

1,650

1,650

1,610

1,650

Tenant-Based Rental Asstnce.
Vets. Affairs Supprtve Hsg Vouchers

18,184
(75)

19,551
0

18,080
(75)
18,408
(50)
19,223
(75)

Project-Based Rental Asstnce.

8,551.5

9,382.3

9,282 8,882 9,429

Transforming Rental Asstnce. (b)

350 0 0 200

Public Hsg. Capital Fund

2,500 2,044 1,428 2,044 2,405

Public Hsg. Operating Fund

4,775 4,829 4,626 4,626 3,962

Public Hsg. Revtlztn. (HOPE VI)

135 0 0 100 0

Choice Neighbrhd. Initiative (c)

65 250 65 0 250

Housing Trust Fund

1,000 0 0 1,000

Native Amer. Hsg. Block Grant

700 580 500 650 700

Homeless Assistance Grants

1,865 2,055 1,865 1,905 2,372

Hsg. Opps. for Persons w/ AIDS

335 340 335 335 335

202 Hsg. for Elderly

825 273 238 400 757

811 Hsg. for Disabled

300 90 90 150 196

Fair Housing

72 61 72 72 72

Healthy Homes & Lead Hazard Cntl.

140 140 120 120 140

Sustainable Communities Initiative

0 150

Self-Help Homeownshp. (SHOP)

27 0 27 27 0
Brownfields Redevelopment 17.5 0 0 0 0

Housing Counseling

87.5 88 0 0 88

a. Replaces the Rural Housing & Economic Development program.
b. New programs proposed by the Administration.
c. Demonstration initially proposed in FY 2010 budget to replace HOPE VI.
d. Figures shown do not include 0.2% across the board reduction

PROPOSALS FOR FY12 FUNDING PROVIDE FEW HOUSING DETAILS. The FY12 spending plans currently under discussion are intended to provide general spending ceilings for congressional appropriations deliberations, so they do not include full details. The House and Senate are not likely to agree on a final budget resolution, but the FY12 appropriations process can move forward without it. H. Con. Res. 34, introduced by Rep. Paul Ryan (R-Wisconsin), chair of the House Budget Committee, suggests time limits and work requirements for housing aid recipients, as well as “narrowing the gap between assisted renters and unassisted renters with the same income levels,” and is available at https://budget.house.gov. President Obama’s proposal, issued on April 13, is summarized in a fact sheet at https://www.whitehouse.gov/briefing-room/statements-and-releases, which refers to the Bowles-Simpson Fiscal Commission report at https://www.fiscalcommission.gov. Neither provide any specifics about housing. A Senate proposal is expected in early May.

HUD OFFERS FUNDS FOR SECTION 811, HEALTHY HOMES, AND HOMELESS FAMILIES RESEARCH, AND POSTS FY11 NOFA GENERAL SECTION. These NOFAs are available at https://www.hud.gov/offices/adm/grants /fundsavail.cfm and https://www.grants.gov.

HAC FACT SHEET DESCRIBES SELF-HELP PROGRAM’S IMPORTANCE FOR MINORITIES. USDA’s Self-Help Housing Program Supports Minority Homeownership notes that minorities comprise a significant proportion of participants in USDA’s self-help program and recommends maintaining FY10 funding levels for the Section 502 direct and 523 programs. It is available free at http://ruralhome.org.

USDA's Self Help Housing Program Supports Rural Minority Homeownership (Sections 502 & 523)

Self-help housing may well be the federal government’s most successful homeownership activity, and minorities make up a significant proportion of USDA’s self-help program recipients. However, it is often under threat from the administration and Congress.

USDA’s Self Help Housing Program Supports Rural Minority Homeownership(PDF)

HAC News: March 31, 2011

https://appropriations.house.gov (go to the Agriculture Subcommittee page and click “Related Documents”). Written testimony from others will be accepted until April 14. Submission instructions are at https://appropriations.house.gov, or call staff, 202-225-2638.

GAO SUGGESTS IMPROVEMENTS IN FARM LABOR HOUSING PROGRAM. The Government Accountability Office examined demand for the Section 514/516 program, RD’s oversight processes, and existing properties’ financial status. Rural Housing Service: Opportunities Exist to Strengthen Farm Labor Housing Program Management and Oversight (GAO-11-329) is available free at https://www.gao.gov or for a fee from GAO, 866-801-7077.

DONATED MANUFACTURED HOMES FOR NATIVE AMERICANS ELIGIBLE FOR SECTION 502 LOANS. HUD is transferring free homes, donated by FEMA, to tribes. Section 502 loans can be used to cover transportation and set-up costs. An Unnumbered Letter dated March 14, 2011 reminds RD offices of requirements for manufactured homes and is available at https://www.rurdev.usda.gov/SupportDocuments/ulmarch11.pdf or from RD offices.

RD ENCOURAGES LOCAL OFFICES TO PARTNER FOR REPLACEMENT OF OLD MOBILE HOMES. Local offices are urged to support efforts by nonprofits and government entities to provide new manufactured housing to replace mobile homes built before the HUD Code came into effect in 1976. See Unnumbered Letter (March 15, 2011), available at https://www.rurdev.usda.gov/SupportDocuments/ulmarch11.pdf or from RD offices. Contact Christopher Ketner, RD, 202-690-1530, christopher.ketner@wdc.usda.gov.

USDA SECRETARY APPOINTS MINORITY ADVISORY COMMITTEE. The Minority Farmer Advisory Committee will help implement outreach and assistance efforts to socially disadvantaged farmers and ranchers, promote their participation in USDA programs, and support civil rights activities within the department. USDA’s press release is at https://content.govdelivery.com/bulletins/gd/USDAOC-52d34.

OMB REQUESTS COMMENTS ON COSTS AND BENEFITS OF REGULATIONS. Draft 2011 Report to Congress on the Benefits and Costs of Federal Regulations and Unfunded Mandates on State, Local, and Tribal Entities is available for review at https://www.whitehouse.gov/omb/inforeg_regpol_reports_congress/. Comments are particularly requested on how to improve retrospective analysis of existing rules, and are due May 16. See Federal Register, 4/1/11. Contact OMB, 202-395-3741.

RENTAL HOUSING DATA PROFILES FOR CONGRESSIONAL DISTRICTS UPDATED. The National Low Income Housing Coalition has added new data to provide snapshots of housing needs in each congressional district and state. The profiles include renter cost burden levels, overcrowding and incomplete plumbing rates, and more. Visit https://www.nlihc.org/detail/article.cfm?article_id=3810&id=61.

RURAL VOICES FEATURES SELF-HELP SUCCESSES. A special edition of HAC’s quarterly magazine describes the benefits of USDA’s Section 523 self-help housing program coupled with Section 502 direct mortgages. Current and past issues of Rural Voices are free at http://ruralhome.org. One print subscription per organization is free from Dan Stern, HAC, 202-842-8600, dan@ruralhome.org.

GET THE HAC NEWS SOONER – GET IT BY EMAIL. To subscribe, visit https://lists.ruralhome.org/lists/info/hac_news. To be removed from the postal mailing list, send a request to dan@ruralhome.org.

Special Edition 2011: Rural Housing Programs That Work

Access a pdf version of Rural Voices.

Features

USDA Housing Programs:

Expand Homeownership. By providing affordable mortgages to low- and very low-income households, USDA Sections 502 and 523 increase homeownership rates beyond what the private market will support.

  • USDA Housing Programs have Countless Benefits, by Neal Gibson, NRHA
  • USDA Funding Helps Put an End to the Cycle of Poverty In Rural Colorado, by Brittnee Wood, CRHDC
  • A Chance at Homeownership, by Tom Sommerville, HRWC
  • Building Sustainable Assets through Homeownership, by Dana Cleary, CHISPA

Promote Affordability. The low rates of foreclosure for self-help and other USDA-financed homes show that USDA housing programs provide truly affordable mortgages.

  • Bringing Down Housing Costs in Hawaii, by Claudia Shay, SHHCH
  • Innovating to Affordability, by Mark Kvammen, NEICAC

Create Jobs. Section 502 funds support local businesses that sell materials, construction workers, plumbers, electricians, and others who depend on housing development for their livelihood.

  • States Recognize the Benefit of USDA Housing Programs, by Jill Lordan, NCALL
  • Supporting Local Businesses in Kentucky, by Wilma Kelley, BHDC
  • Getting the Economic Ball Rolling , by Kimberly Miller, UHDC.

Stabilize Families and Communities. Homeownership benefits families through a more stable environment for children and more investment in the surrounding community; particularly if the whole block help build one another’s home.

  • With Drive and Determination, by Becky Reynolds, Little Dixie CAA
  • Finding a Way Home, by David Ferrier, CHIP
  • Building Homes and Communities in America’s Breadbasket, by Tom Collishaw, SHE

HAC News: March 16, 2011

https://rules.house.gov. HAC will post updates at http://ruralhome.org.

HOUSE VOTES TO TERMINATE MORTGAGE ASSISTANCE PROGRAMS AND NSP. The FHA Refinance Program Termination Act (H.R. 830) passed the House on March 10. At press time on March 16 the House was considering the NSP Termination Act (H.R. 861), which would rescind the third round of Neighborhood Stabilization Program funding and terminate the program, and the HAMP Termination Act (H.R. 839), which would end the Home Affordable Modification Program although assistance would continue to be available for homeowners with commitments. The bills’ texts are available at https://thomas.loc.gov.

SECTION 202 FUNDS OFFERED. Apply by June 1 for capital advances and rental assistance to develop supportive housing for very low-income seniors age 62 and higher. Visit www.hud.gov/offices/adm/grants/fundsavail.cfm or www.grants.gov. Contact a local HUD Office or Alicia Anderson, HUD, 202-708-3000.

USDA RD ENDS SETASIDES OF SECTION 502 LOANS FOR SELF-HELP. An Unnumbered Letter dated February 28, 2011 notifies field staff that “only those purposes specifically authorized in the Housing or Appropriation Acts will be set aside for Fiscal Year 2011. The past practice of maintaining National Office set asides for Self Help and other purposes will not be continued in FY 2011.” The UL is available at https://www.rurdev.usda.gov/SupportDocuments /ulfebruary11.pdf or from RD offices.

HUD REACTIVATES EMERGENCY HOMEOWNERS’ LOAN PROGRAM, HOUSE VOTES TO ELIMINATE IT. Originally created in the 1970s, the program received $1 billion in funding from the Dodd-Frank Act to provide emergency mortgage relief to unemployed or underemployed homeowners at risk of foreclosure. The program will be administered by states that have substantially equivalent programs and by NeighborWorks® America in other states. Comments are due May 3 on the EHLP interim rule. See Federal Register, 3/4/11, or https://www.regulations.gov. Potential applicants should contact a HUD-approved housing counseling agency or a NeighborWorks National Foreclosure Mitigation Counseling Program site. Visit https://www.hud.gov/offices/hsg/sfh/hcc/ehlp/ehlphome.cfm or call HUD’s housing counseling office, 1-800-569-4287. On March 11 the House approved H.R. 836, which would rescind the program’s funding and terminate the program. Visit https://thomas.loc.gov.

REVISIONS PROPOSED FOR ADDRESSING MANUFACTURED HOME PROBLEM REPORTS. HUD is considering changes to regulations concerning how manufacturers and others address reports of problems with manufactured homes, including imminent safety hazards and violations of the HUD Code, but not normal wear and aging, unforeseeable consumer abuse, or unreasonable neglect of maintenance. Comments are due April 18. See Federal Register, 2/15/11, or https://www.regulations.gov. Contact HUD’s Office of Manufactured Housing Programs, 202-708-6401.

TELECONFERENCES SET ON SECTION 538 GUARANTEE PROGRAM. USDA RD will hold stakeholder calls in June and October. See Federal Register, 2/15/11. To register, contact Monica Cole, RD, phone 202-720-1251, fax 202-205-5066, monica.cole@wdc.usda.gov.

COMMENTS SOUGHT ON FAIR MARKET RENTS TREND FACTOR. Comment by April 8 on HUD’s proposed alternatives to the current factor used to trend FMRs to current rental rates. See Federal Register, 3/9/11 or https://www.regulations.gov or https://www.huduser.org/portal/datasets/fmr.html. Call HUD USER, 1-800-245-2691.

NATIONAL HOUSING TRUST FUND FAQ REVISED. The National Housing Trust Fund campaign’s updated answers to frequently asked questions include HUD’s proposed regulations and other new developments, available at https://www.nlihc.org/doc/NHTF-FAQ.pdf.

HAC PUBLISHES NEW FAIR HOUSING ANALYSIS. HAC analyzed over 91,000 fair housing complaints in a HUD dataset that includes violations filed with HUD and FHAP agencies from FY98 to FY08. The reasons for complaints are generally similar in urban and rural areas, with disability replacing race during the past five years as the most common basis for complaint. The report includes advice from experienced rural fair housing providers. Rural Fair Housing Complaints and Enforcement is free at http://ruralhome.org or $5 from Janice Clark, HAC, janice@ruralhome.org, 202-842-8600.

USDA Rural Development Housing Programs FY2009 Year-End Report

USDA Rural Development Housing Programs: FY 2009 Year-End Report, produced by the Housing Assistance Council, provides a review of USDA rural housing activity. Since the 1950s, the United States Department of Agriculture has built or repaired millions of affordable homes for rural Americans primarily through its Rural Development agency (formerly the Farmer’s Home Administration). In Fiscal Year 2009, Rural Development (RD) obligated approximately $19 billion which built, repaired, or supported over 350,000 units of affordable housing for low- and moderate-income families in rural areas.

Contents

Introduction/Table of Contents

I. Summary of USDA Rural Housing Obligations
II. Single Family Housing Program Obligations
III. Multi-Family Housing Program Obligations
IV. Other Program Obligations
V. Rural Housing Program Historical Activity
VI. State Obligation Tables
VII. About the Data

20011, 136 pages, ISBN 1-58064-169-5


All Files are in PDF format and require Adobe Acrobat Reader.

Questions? Contact Janice Clark at HAC, janice@ruralhome.org, 202-842-8600.

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HAC News: March 2, 2011

FY11 SPENDING CONTINUES UNTIL MARCH 18. President Obama is expected to sign H.J. Res. 44, approved by the House on March 1 and by the Senate on March 2. This latest in a series of Continuing Resolutions will extend most FY11 spending at FY10 levels through March 18. It provides no funding for earmarks and for some programs that were targeted for elimination in the Administration’s budget, including HUD’s Economic Development Initiative and Neighborhood Initiatives. HAC will post updates at http://ruralhome.org.

IDA FUNDING AVAILABLE. The Assets for Independence Program run by the Department of Health and Human Services offers grants to nonprofits, state and local governments, community development credit unions, and CDFIs to provide Individual Development Accounts and supportive services. Deadlines are March 31 and May 25. For details and to register for applicant webinars, visit https://www.IDAresources.org. Contact the AFI Resource Center, HHS, info@IDAresources.org, 1-866-778-6037 (toll free).

USDA SEEKS COMMENTS ON DRAFT ACTION PLAN FOR TRIBAL CONSULTATION AND COLLABORATION. The final policy will guide all USDA agencies as they work with tribes. Comments are due March 25. Visit https://www.tinyurl.com/usdatribal. Contact USDA’s Office of Tribal Relations, tribalconsultation@usda.gov, 202-205-2249.

HUD REQUESTS INPUT ON REVIEWING REGULATIONS. Comments are due May 2 regarding HUD’s development of a plan for periodically analyzing significant HUD regulations and identifying specific regulations that may be outdated, ineffective, or excessively burdensome. See Federal Register, 3/2/11 or https://www.regulations.gov. Contact Camille E. Acevedo, HUD, 202-708-1793.

INTERIM RULE REVISES PHAS. Changes are intended to enhance the efficiency and utility of HUD’s Public Housing Assessment System. Comments are due April 25. See https://www.regulations.govor https://www.hud.gov/offices/reac/. Contact Claudia Yarus, HUD, 202-475-8830.

USDA OFFERS CLAIMS PROCESS FOR HISPANIC AND WOMEN FARMERS AND RANCHERS. Those who believe they were unjustifiably denied farm loan program benefits between 1981 and 2000 because of their ethnic background or gender may file claims with USDA. Call 1-888-508-4429 (toll free) or visit https://farmerclaims.gov.

GAO SAYS DUPLICATION CAN BE REDUCED IN FEDERAL HOMELESSNESS PROGRAMS AND OTHERS. A new Government Accountability Office report identifies 81 areas where federal efforts are duplicated or fragmented, or where costs could be reduced or revenues increased, including homelessness: seven agencies administer over 20 housing or shelter programs, and others fund supportive services for people experiencing homelessness. Past GAO research addressing this overlap included a July 2010 study of rural homelessness (see HAC News, 8/18/10). No other housing programs are mentioned. The report also notes efforts in multiple depart-ments to meet water needs in the U.S.-Mexico border region and to enhance economic development (including HUD and USDA RD programs), and problems with FEMA’s coordination of disaster preparedness grants. Opportunities to Reduce Potential Duplication in Government Programs, Save Tax Dollars, and Enhance Revenue (GAO-11-318SP) is available free at https://www.gao.gov or at cost from GAO, 1-866-801-7077 (toll free).

USDA MAPS RURAL COUNTY CHARACTERISTICS. An online, interactive Atlas of Rural and Small-Town America maps unemployment, population data, homeownership, and many other characteristics. Specific data are shown by clicks on the map. Visit https://ers.usda.gov/data/ruralatlas/.

HUD LAUNCHES NEW HOME TA WEBSITE, INCLUDING INFORMATION ON CONFERENCE. HOME funding recipients can find information about training and technical assistance resources, including the program’s 20th anniversary conference, May 2-4 in Washington, DC, at https://www.hometa.info/.

EVIDENCE SUMMARIZED ON ECONOMIC IMPACT OF AFFORDABLE HOUSING. The Role of Affordable Housing in Creating Jobs and Stimulating Economic Development is free from the Center for Housing Policy, https://www.nhc.org/The-Role-of-Affordable-Housing-in-Creating-Jobs-and-Fostering-Economic-Growth.html.

HAC UPDATES FORECLOSURE RESEARCH. New Neighborhood Stabilization Program data provide information about delinquency and foreclosure rates in each census tract. HAC’s research note entitled Foreclosure in Rural America: An Update includes recommendations for rural homeowners with conventional loans, manufactured home loans, and USDA loans, and is free at http://ruralhome.org or $2.00 from Janice Clark, HAC, 202-842-8600.

HAC EXAMINES MANUFACTURED HOME COMMUNITY CONVERSION TO RESIDENT OWNERSHIP. Preserving Affordable Manufactured Home Communities in Rural America: A Case Study is free at http://ruralhome.org or $2.00 from Janice Clark, HAC, 202-842-8600.

Preserving Affordable Manufactured Home Communities In Rural America

Manufactured housing is an important yet often overlooked segment of our nation’s housing stock, especially in rural communities. Despite its importance to the American housing sector, there is a dearth of information on manufactured housing, particularly for homes in community or land-lease settings. This report presents a case study highlighting the process one rural manufactured home community undertook to convert from investor to cooperative resident ownership.
March 2011, 18 pages, ISBN 978-1-58064-168-5, Rural Housing Research Note.

Rural Fair Housing Complaints and Enforcement

Rural Fair Housing Complaints and Enforcement
This report provides an analysis of over 91,000 fair housing complaints in HUD’s TEAPOTS dataset. The analysis of TEAPOTS data includes information on the number and types of fair housing violations filed with HUD and FHAP agencies in rural counties from fiscal year (FY) 1998 to FY 2008.
Print copy: $5.00
March 2011, 35 pages, ISBN 978-1-58064-165-4

Foreclosure in Rural America: An Update

Foreclosure in Rural America: An Update
The diversity of rural mortgage markets, combined with a lack of access to accurate data, create ongoing challenges to understanding and addressing the mortgage default and foreclosure problem in rural America. This report provides new information to update, What is the Housing Foreclosure Situation in Rural America?, HAC’s initial report and assessment of the foreclosure situation in rural America.
February 2011, 19 pages, ISBN 978-1-58064-166-7, Rural Housing Research Note.

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