FY 12 Budget and Appropriations

Proposals for FY12 funding provide VARYING housing details

April 15, 2011 – Several spending plans for fiscal year (FY) 2012 are currently under discussion in Washington while at least one more is still being developed.

  • Obama Administration budget (released February 14, 2011) – includes specific spending proposals for individual programs at USDA and HUD;
  • H. Con. Res. 34 (introduced on April 11, 2011 by Rep. Paul Ryan (R-Wisconsin), chair of the House Budget Committee and passed by the full House on April 15) – a budget resolution that provides no specifics about housing and proposes overall levels for general funding categories that would serve as ceilings for appropriations subcommittee discussions about FY12 spending;
  • President Obama’s deficit reduction proposal (announced on April 13, 2011) – proposes general funding and revenue figures, without specifics on housing;
  • Bowles-Simpson Fiscal Commission report (released December 1, 2010) – proposes general funding and revenue figures, without specifics on housing; and
  • a proposal by the “Gang of Six” Senators is expected to be released in May.

      The Senate is not expected to pass H. Con. Res. 34, and will establish different ceilings for its appropriations discussions for FY12.

      While the text of H. Con. Res. 34 itself does not detail housing-related suggestions, the background report issued by Republican members 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.”

      FY12 HUD Budget and Appropriations

      (Information on USDA rural housing budget is available separately; click here.)

      FOR FINAL FY12 HUD FUNDING, click here

      NO SENATE VOTE SCHEDULED ON MCCAIN AMENDMENT

      11:00 a.m. Eastern time, November 1, 2011 – The Senate is voting on a series of amendments to H.R. 2112, but has not scheduled a vote on the McCain amendment to eliminate SHOP funding. A vote on H.R. 2112, the “minibus” appropriations bill covering USDA as well as Commerce/Justice, and Transportation/HUD, is expected shortly. C-SPAN’s live broadcast is available here.

      mccain to offer amendment eliminating shop funding for fy12

      October 18, 2011 – HAC has learned that Senator John McCain (R-Arizona) plans to offer an amendment eliminating funding for HUD’s Self-Help Homeownership Opportunity Program (SHOP) in FY12.

      The Senate began consideration of HUD’s funding bill for FY12 on October 17, 2011. The Transportation-HUD bill has been combined with the appropriations bills for USDA and Commerce-Justice into a “minibus” version of H.R. 2112.

      The bill under consideration includes $17 million for SHOP, a steep reduction from the $27 million the program received in FY 2010 and 2011. The House’s appropriations bill for FY12 provides $15.9 million. Like McCain’s amendment, the Administration’s budget proposed defunding SHOP entirely.

      Senate Acts on hud programs

      A Senate subcommittee on Sept. 20 and the full appropriations panel on Sept. 21 approved fiscal year 2012 spending bills for HUD, the Dept. of Transportation and several other agencies.

      There were substantial differences in the Senate bill compared to the version reported out by the House Appropriations T-HUD Subcommittee on Sept. 8. The Senate funded and the House did not fund housing counseling, Sustainable Communities and Choice Neighborhoods. The Senate provided less funding for CDBG, HOME, Sec. 202, Sec. 811, fair housing and HOPWA – but more for rental assistance vouchers, public housing capital and operating funds, and SHOP.

      Senators also approved language directing better controls and oversight of HOME, after a recent press series criticized the program for slow spending and other problems.

      The Rural Innovation Fund did not receive any funding in either the House or Senate bills and appears to be dead.

      Further action on the T-HUD and other appropriations bills is unclear. An omnibus package combining most of the bills is a likely possibility, with no further action taken on individual measures. Congressional leaders plan to enact a continuing resolution through Nov. 18 to begin the new fiscal year. However on Sept. 21 such a measure failed to pass the House.

      HUD Program

      (dollars in millions)

      FY10 Approp.

      FY11

      Approp.b

      FY12

      Admin. Bdgt.

      FY12

      House Bill

      FY12

      Senate Bill

      Cmty. Devel. Block Grants

      Sustainable Commun. Initiative

      Rural Innovation Fund

      $4,450

      (150)

      (25)

      3,508

      (100)

      0

      3,781

      150

      (25)

      3,500

      0

      0

      3,001

      (90)

      0

      HOME

      1,825

      1,610

      1,650

      1,200

      1,000

      Tenant-Based Rental Asstnce.

      Vets. Affairs Spptve Hsg. Vchrs

      18,184

      (75)

      18,408

      (50)

      19,223

      (75)

      18,467.9

      (75)

      18,872.4

      (75)

      Project-Based Rental Asstnce.

      8,551.5

      8,882

      9,429

      9,028.7

      9,018.7

      Transforming Rental Asstnce. a

      0

      200

      0

      0

      Public Hsg. Capital Fund

      2,500

      2,044

      2,405

      1,532.1

      1,875

      Public Hsg. Operating Fund

      4,775

      4,626

      3,962

      3,861.9

      3,961.9

      Public Hsg. Revtlztn. (HOPE VI)

      135

      100

      0

      0

      0

      Choice Neighbrhd. Initiative

      65

      0

      250

      0

      120

      Housing Trust Fund

      0

      1,000

      0

      0

      Native Amer. Hsg. Block Grant

      700

      650

      700

      648.7

      650

      Homeless Assistance Grants

      1,865

      1,905

      2,372

      1,901.2

      1,901.2

      Hsg. Opps. for Persons w/ AIDS

      335

      335

      335

      334.3

      330

      202 Hsg. for Elderly

      825

      400

      757

      600

      369.7

      811 Hsg. for Disabled

      300

      150

      196

      196

      150

      Fair Housing

      72

      72

      72

      71.9

      64.3

      Healthy Homes & Lead Haz. Cntl.

      140

      120

      140

      119.8

      120

      Self-Help Homeownshp. (SHOP)

      27

      27

      0

      15.9

      17

      Housing Counseling

      87.5

      0

      88

      0

      60

      a. New program proposed by the Administration.

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

      senate acts on hud programs

      The Senate Appropriations Subcommittee for Transportation, HUD and Related Agencies approved a HUD spending bill for FY 2012 on September 20. Full details are not yet available, but a Committee release shows cuts to some HUD programs and level funding for others:

      • $2.85 billion for CDBG (a cut of $485 million from the 2011 level);
      • $1 billion for HOME (a cut of $607 million from 2011), with reforms to ensure timely use;
      • $18.9 billion for housing choice vouchers, including $17.4 billion for renewals and $75 million for homeless veterans;
      • $1.9 billion for the public housing capital fund and $4 billion for public housing operating accounts;
      • $9.4 billion for project based rental assistance;
      • $1.9 billion for homeless assistance grants;
      • $125 million for housing counseling; and
      • $90 million for the Sustainable Communities Initiative.

      Further information will be posted here and in the HAC News after the full Senate Appropriations Committee acts on September 21.

      HUD spending bill advances with cuts

      On September 8, 2011 a House appropriations subcommittee voted out a 2012 spending bill for HUD, the Department of Transportation, and several smaller accounts. Most HUD programs saw reductions, and no earmarks are included in the bill. The Rural Innovation Fund, housing counseling and several new proposals from the Obama Administration were not funded.

      Senate appropriators are expected to take up their version of this legislation later in September. Final action on 2012 HUD spending may be part of an omnibus bill or a continuing resolution.

      The table below has details of the House bill. Its full text and a summary are available at appropriations.house.gov.

      HUD Program
      (dollars in millions)

      FY10 Approp.

      FY11 Approp. (c)

      FY12 Admin. Budget

      FY12
      House
      Bill

      Cmty. Devel. Block Grants
      Sustainable Commun. Initiative
      Rural Innovation Fund (a)

      $4,450
      (150)
      (25)

      $3,508
      (100)
      0

      $3,781
      0
      (25)

      $3,500
      0
      0

      HOME

      1,825

      1,610

      1,650

      1,200

      Tenant-Based Rental Asstnce.
      Veterans (VASH) Vouchers

      18,184
      (75)

      18,408
      (50)

      19,223
      (75)

      18,467.9
      (75)

      Project-Based Rental Asstnce.

      8,551.5

      8,882

      9,429

      9,028.7

      Transforming Rental Asstnce. (b)

      200

      0

      Public Hsg. Capital Fund

      2,500

      2,044

      2,405

      1,532.1

      Public Hsg. Operating Fund

      4,775

      4,626

      3,962

      3,861.9

      Public Hsg. Revtlztn. (HOPE VI)

      135

      100

      0

      0

      Choice Neighbrhd. Initiative

      65

      0

      250

      0

      Housing Trust Fund

      0

      1,000

      0

      Native Amer. Hsg. Block Grant

      700

      650

      700

      648.7

      Homeless Assistance Grants

      1,865

      1,905

      2,372

      1,901.2

      Hsg. Opps. for Persons w/ AIDS

      335

      335

      335

      334.3

      202 Hsg. for Elderly

      825

      400

      757

      600

      811 Hsg. for Disabled

      300

      150

      196

      196

      Fair Housing

      72

      72

      72

      71.9

      Healthy Homes & Lead Haz. Cntl.

      140

      120

      140

      119.8

      Sustainable Cmties. Init.

      0

      150

      0

      Self-Help Homeownshp. (SHOP)

      27

      27

      0

      15.9

      Housing Counseling

      87.5

      0

      88

      0

      a. Replaced the Rural Housing and Economic Development program.
      b. New program proposed by the Administration.
      c. Figures shown do not include 0.2% across the board reduction.

      HUD Budget Would Reduce Spending for CDBG, Public Housing, Elderly, and Disabled

      The Administration’s budget for the Department of Housing and Urban Development in fiscal year 2012 would reduce funding for some of HUD’s major programs, while adding a full $1 billion for the never-funded National Housing Trust Fund. The Community Development Block Grant program would lose 15 percent of its current funds and the HOME program about 10 percent. Section 8 vouchers and public housing operating funds would be cut, as would Section 202 housing for the elderly and Section 811 housing for people with disabilities. The Self-Help Homeownership Opportunity Program (SHOP) would not be funded.

      Increases are proposed for homeless assistance grants. The Rural Innovation Fund (which replaced the Rural Housing and Economic Development program in FY10) would again receive $25 million.

      The table below shows not only the FY12 budget proposal, but also the funding levels proposed for the remainder of FY11 in H.R. 1, introduced on February 11 by House Appropriations Committee Chairman Harold Rogers (R-KY). H.R. 1 would eliminate two-thirds of the funding for CDBG and more than two-thirds for Section 202 and Section 811. It would eliminate housing counseling funds and would reduce funding for HOME, public housing, and Native American housing. It would continue funding for the Rural Innovation Fund and SHOP.

      Under the current continuing resolution, which expires March 4, HUD programs are funded at their FY10 levels. Congress will consider funding for the rest of FY11 (from March 4 through the end of the federal fiscal year on September 30, 2011) before it begins work on appropriations bills for FY12.

      HUD Program
      (dollars in millions)

      FY10 Approp.

      FY11 Admin. Budget

      FY11 Proposed CR
      (H.R. 1)

      FY12 Admin. Budget

      Cmty. Devel. Block Grants

      $4,450

      4,380.1

      1,500

      3,781

      Sustainable Commun. Initiative

      (150)

      (150)

      0

      (b)

      Rural Innovation Fund (a)

      (25)

      0

      25

      25

      Catalytic Investment Grants

      (150)

      0

      HOME

      1,825

      1,650

      1,650

      1,650

      Tenant-Based Rental Asstnce.

      16,339

      17,310

      14,080

      15,223

      Project-Based Rental Asstnce.

      8,551.5

      9,382.3

      8,882

      9,035

      Transforming Rental Asstnce.

      350

      200

      Vets. Affairs Spptve Hsg. Vouchers

      75

      0

      75

      75

      Public Hsg. Capital Fund

      2,500

      2,044

      1,428

      2,405

      Public Hsg. Operating Fund

      4,775

      4,829

      4,626

      3,962

      Public Hsg. Revtlztn. (HOPE VI)

      135

      0

      0

      0

      Choice Neighbrhd. Initiative

      65

      250

      65

      250

      Housing Trust Fund

      1,000

      Native Amer. Hsg. Block Grant

      700

      580

      500

      700

      Homeless Assistance Grants

      1,865

      2,055

      1,865

      2,372

      Hsg. Opps. for Persons w/ AIDS

      335

      340

      335

      335

      202 Hsg. for Elderly

      825

      273

      238

      757

      811 Hsg. for Disabled

      300

      90

      90

      196

      Fair Housing

      72

      61

      72

      72

      Rural Hsg. & Econ. Dev. (RHED) (a)

      0

      0

      0

      0

      Healthy Homes & Lead Haz. Cntl.

      140

      140

      120

      140

      Sustainable Housing & Communities (b)

      0

      150

      Self-Help Homeownshp. (SHOP)

      27

      27

      0

      27

      0

      Brownfields Redevelopment

      17.5

      0

      0

      0

      Housing Counseling

      87.5

      88

      0

      88

      a. The Rural Innovation Fund replaced RHED.
      b. Funded as part of CDBG in 2010 and separately in the FY12 budget.

      Posted: February 14, 2011
      Last updated: October 18, 2011

      FY12 RD Budget and Appropriations

      (Information on HUD budget is available separately; click here.)

      FOR FINAL FY12 USDA FUNDING, click here

      SENATE REJECTS AMENDMENT TO FURTHER REDUCE RD FUNDING

      11:00 a.m. Eastern, November 1, 2011 – By a lopsided 85-13 vote, the Senate has defeated an amendment offered by Sen. Tom Coburn (R-Oklahoma) that would have cut USDA RD program funding for FY12 by 40 percent. A vote on H.R. 2112, the “minibus” appropriations bill covering USDA as well as Commerce/Justice, and Transportation/HUD, is expected shortly. C-SPAN’s live broadcast is available here.

      AMENDMENT WOULD SLASH RURAL DEVELOPMENT FUNDING

      October 26, 2011 – The National Rural Housing Coalition has organized a sign on letter opposing the Coburn Amendment, which may come up in the Senate next week and would cut USDA Rural Development funds for 2012 by $1 billion. This cut would amount to 40% of RD programs and would be across all the agency’s functions. The Coalition’s letter has more information and is at the following link: https://org2.democracyinaction.org/o/5172/p/dia/action/public/?action_KEY=8587. The sign on deadline is Friday, October 28.

      ADMINISTRATION ASKS SENATE TO CUT RURAL HOUSING SPENDING

      On October 17, 2011, the Obama Administration issued a Statement of Policy (SOP) setting forth its position on the FY12 appropriations bill covering USDA, HUD, and other agencies that is currently under consideration in the Senate. While the SOP generally supports funding for housing programs – and even requests increases in some, including CDBG and HOME – it singles out the USDA rural housing programs for cuts:

      Program Terminations and Reductions. The Administration urges the Senate to accept additional savings from terminations and reductions proposed in the President’s Budget for USDA, including termination of Rural Housing Services small loan and grant programs and reductions in single family housing direct loans and housing repair grants. Adopting these terminations and reductions will free up scarce resources for higher-priority needs and more effective programs such as food safety.

      The President’s budget, summarized below, proposed elimination of Section 504 repair loans, Section 523 self-help grants, Section 533 Housing Preservation Grants, Section 538 rental housing guarantees, the Multifamily Preservation and Revitalization program, and the Preservation Revolving Loan Fund. It suggested major reductions in funding for Section 502 direct loans and Section 504 repair grants.

      There was no immediate response to the SOP from Senators; such statements usually do not have an impact on legislation that has already been approved by a committee, as this bill has. The Senate is expected to begin consideration of the bill – H.R. 2112, a “minibus” that combines the appropriations bills for USDA, HUD, and Commerce/Justice – on October 18 and to vote by the end of the week.

      SENATE COMMITTEE APPROVES HIGHER FY12 USDA SPENDING LEVELS THAN THE HOUSE

      On September 7, 2011, the full Senate Appropriations Committee marked up a bill to fund USDA in FY12. Almost every program would receive more funding than provided in the House bill passed in June, but less than the final FY11 appropriated amounts. The Section 502 guarantee and Section 538 guarantee programs are notable exceptions: both would be funded at their FY11 levels because USDA expects to collect fees that would make them self-supporting.

      The Senate bill includes victories for self-help housing and rental preservation. The House bill cuts self-help to $22 million from $37 million in FY11, while the Senate provides $30 million. The House bill eliminates funding for Multifamily Preservation and Revitalization (MPR) but the Senate includes it at $2 million, a sharp drop from the FY11 level of $15 million for this very popular demonstration program.

      Observers do not expect most appropriations bills, including this one, to be finished before FY12 begins on October 1, 2011. A continuing resolution is expected to keep programs at FY11 levels, at least temporarily.

      USDA Rural Development Program
      (dollars in millions)

      FY10 Approp.

      FY11
      Approp. (a)

      FY12 Admin. Budget

      FY12
      Hse. Bill (H.R. 2112) (e)

      FY12
      Sen. Bill
      (H.R. 2112)

      Loans and Payments

      502 Single Fam. Direct

      $1,121

      $1,121

      $211.4

      $845.6

      $900

      502 Single Family Guar.

      12,000

      24,000

      24,000

      24,000

      24,000

      504 Very Low-inc. Rpr.

      34.4

      23.4

      0

      0

      10

      514 Farm Labor Hsg.

      27.3

      (b)

      27

      (d)

      23.4

      515 Rental Hsg. Direct

      69.5

      69.5

      95.2

      58.6

      64.5

      538 Rental Hsg. Guar.

      129.1

      30.9

      0

      0

      130

      Rental Prsrv. Revlg. Lns.

      1.8

      1

      0

      0

      0

      Grants

      504 Very Low-inc. Rpr.

      31.6

      (c)

      11.5

      32

      27

      516 Farm Labor Hsg.

      9.9

      (b)

      9.8

      (d)

      8

      523 Self-Help TA

      41.9

      37

      0

      22

      30

      533 Hsg. Prsrv. Grants

      9.4

      (c)

      0

      0

      7.3

      521 Rental Assistance
      Preservation RA
      New Constr. 515 RA
      New Constr. 514/516 RA

      980
      (6)
      (2.03)
      (3.4)

      955.6
      0
      (2.03)
      (3)

      906.7
      0
      (3)
      (3)

      890
      0
      (1.5)
      (2.5)

      904.7
      0
      (2)
      (2)

      542 Rural Hsg. Vouchers

      16.4

      14

      16

      11

      11

      Rental Prsrv. Demo. (MPR)

      25

      15

      0

      0

      2

      Rural Cmnty. Dev’t Init.

      6.3

      5

      8.4

      3

      4.2

      a. Figures shown do not include 0.2% across the board reduction.
      b. Budget authority (BA, 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 Rural Housing Assistance Grants pool, which funds Section 504 grants, Section 533, and some other smaller programs, is reduced by $1 million from FY10 levels.
      d. The BA for Section 514 and 516 would fall from $9.7 million in FY11 to $2.5 million for FY12, but the House bill does not allocate amounts specifically for loans or grants.
      e. Figures shown do not include 0.78% across the board reduction.

      HOUSE PASSES USDA FY12 SPENDING BILL, REJECTS AMENDMENTS

      June 16, 2011 – The full House of Representatives today passed H.R. 2112, a bill to fund the U.S. Department of Agriculture for FY12, with a small across-the-board cut to all programs but without adopting amendments that would have affected funding for USDA’s rural housing programs.

      Aside from the 0.78 percent across-the-board cut, the rural housing funding levels are unchanged from those adopted by the House Agriculture Appropriations Subcommittee on May 24 and the full House Appropriations Committee on May 31. The bill would provide more rural housing funding than had been feared, although all programs except Section 502 guarantees and Section 504 grants would be cut.

      Amendments to eliminate funding for Section 523 self-help housing were offered and defeated at both the Subcommittee and Committee sessions. Two housing-related amendments were proposed and defeated on the House floor. One would have reduced funding for the Section 504 grant program to $11.5 million, the level proposed by the Administration’s budget. The other would have cut money from the Foreign Agricultural Service and moved it to Section 542 vouchers (where it is not needed) and a USDA business program.

      The Senate is likely to propose higher housing figures when it begins consideration of USDA appropriations later this summer.

      The full text of H.R. 2112 will be available at https://thomas.loc.gov/home/approp/app12.html.

      USDA Rural Development Program
      (dollars in millions)

      FY10 Approp.

      FY11
      Approp. (a)

      FY12 Admin. Budget

      FY12 Hse. Bill (H.R. 2112) (e)

      Loans and Payments

      502 Single Fam. Direct

      $1,121

      $1,121

      $211.4

      $845.6

      502 Single Family Guar.

      12,000

      24,000

      24,000

      24,000

      504 Very Low-inc. Rpr.

      34.4

      23.4

      0

      0

      514 Farm Labor Hsg.

      27.3

      (b)

      27

      (d)

      515 Rental Hsg. Direct

      69.5

      69.5

      95.2

      58.6

      538 Rental Hsg. Guar.

      129.1

      30.9

      0

      0

      Rental Prsrv. Revlg. Lns.

      1.8

      1

      0

      0

      Grants

      504 Very Low-inc. Rpr.

      31.6

      (c)

      11.5

      32

      516 Farm Labor Hsg.

      9.9

      (b)

      9.8

      (d)

      523 Self-Help TA

      41.9

      37

      0

      22

      533 Hsg. Prsrv. Grants

      9.4

      (c)

      0

      0

      521 Rental Assistance
      Preservation RA
      New Constr. 515 RA
      New Constr. 514/516 RA

      980
      (6)
      (2.03)
      (3.4)

      955.6
      0
      (2.03)
      (3)

      906.7
      0
      (3)
      (3)

      890
      0
      (1.5)
      (2.5)

      542 Rural Hsg. Vouchers

      16.4

      14

      16

      11

      Rental Prsrv. Demo. (MPR)

      25

      15

      0

      0

      Rural Cmnty. Dev’t Init.

      6.3

      5

      8.4

      3

      a. Figures shown do not include 0.2% across the board reduction.
      b. Budget authority (BA, 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 Rural Housing Assistance Grants pool, which funds Section 504 grants, Section 533, and some other smaller programs, is reduced by $1.1 million from FY10 levels.
      d. The BA for Section 514 and 516 would fall from $19.7 million in FY11 to $12.5 million for FY12, but the bill does not allocate amounts specifically for loans or grants.
      e. Figures shown do not include 0.78% across the board reduction.

      Administration Budget for FY 2012 Would Slash 502 Direct, Self-Help, and Multifamily Preservation

      February 14, 2011 – The Obama Administration’s budget for fiscal year 2012 proposes to maintain several USDA rural housing programs at their FY10 levels, but would cut Section 502 loans dramatically and would eliminate several important programs.

      Information about the budget for HUD programs
      Discuss or comment on the budget on HAC’s rural housing listserv

      Under the Administration’s proposal, Section 502 direct loans would drop to $211.4 million from their FY10 level of $1.121 billion. The Section 502 guaranteed loan program would remain at $24 billion. Section 523 grants for local self-help housing producers would be eliminated. To explain the Section 523 cut, the budget documents state that single-family housing efforts would be focused on the Section 502 guaranteed program.

      Section 538 guarantees for multifamily housing would be eliminated, and Section 515 loans would be receive an increase from $69.5 million in FY10 to $95.2 million in FY12. The Section 515 program would need to cover multifamily preservation efforts as well as new construction, however, because the Multifamily Preservation and Revitalization demonstration program would be defunded, as would the Preservation Revolving Loan Fund.

      The budget does recommend almost level funding at $16 million for rural housing vouchers for tenants living in properties whose mortgages are prepaid. Like previous appropriations bills, it would limit vouchers to tenants of Section 515 properties, omitting those who live in Section 514/516 farm labor housing developments.

      Farm labor housing loans and grants would receive the same funding as in FY10. Section 504 very low-income repair loans would be eliminated but grants would be funded, albeit at a much lower level than in FY10. All Rental Assistance contracts would be renewed for one year, and RA for new construction would be available for both Section 515 and Section 514/516 properties.

      The table below shows not only the FY12 budget proposal, but also the funding levels proposed for the remainder of FY11 in H.R. 1, introduced on February 11 by House Appropriations Committee Chairman Harold Rogers (R-KY). H.R. 1 would maintain many USDA rural housing programs at their current levels, but would shrink Section 515 and eliminate funding for rental housing preservation.

      Under the current continuing resolution, which expires March 4, USDA rural housing programs are funded at their FY10 levels. Congress will consider funding for the rest of FY11 (from March 4 through the end of the federal fiscal year on September 30, 2011) before it begins work on appropriations bills for FY12.

      USDA Rural Development Program
      (dollars in millions)

      FY 2010 Approp.

      FY 2011 Admin. Budget

      FY 2011 Proposed CR
      (H.R. 1)

      FY 2012 Admin. Budget

      Loans

      502 Single Fam. Direct

      $1,121

      $1,200

      $1,121

      $211.4

      502 Single Family Guar.

      12,000

      12,000

      12,000

      24,000

      504 Very Low-inc. Rpr.

      34.4

      34

      34

      0

      514 Farm Labor Hsg.

      27.3

      27

      27.3

      27

      515 Rental Hsg. Direct

      69.5

      95.2

      69.5

      95.2

      538 Rental Hsg. Guar.

      129.1

      129.1

      129.1

      129.1

      0

      Rental Prsrv. Revlg. Lns.

      1.8

      Members of Key Committees, 112th Congress

      Jan. 7, 2011 – Republican and Democratic leaders in both Houses of Congress are making committee assignments for the new 112th Congress. The lists below show who has been named to date. HAC will post updates as available. (The lists also provide links to the committee websites, but note that some of those sites have not yet been updated to reflect the 112th Congress.)

      House Appropriations Committee
      House Agriculture Committee
      House Financial Services Committee
      Senate Appropriations Committee
      Senate Agriculture Committee
      Senate Banking, Housing, and Urban Affairs Committee

      House of Representatives

      Appropriations Committee – Majority (Republicans)

      Hal Rogers (KY), Committee Chair
      Jerry Lewis (CA)
      C.W. Bill Young (FL)
      Frank R. Wolf (VA)+
      Jack Kingston (GA)* (Chair, Agriculture Subcommittee)
      Rodney Frelinghuysen (NJ)
      Tom Latham (IA)* + (Chair, T-HUD Subcommittee)
      Robert B. Aderholt (AL)*
      Jo Ann Emerson (MO)*
      Kay Granger (TX)
      Michael K. Simpson (ID)
      John Abney Culberson (TX)
      Ander Crenshaw (FL)
      Dennis R. Rehberg (MN)
      John R. Carter (TX)+
      Rodney Alexander (LA)
      Ken Calvert (CA)
      Jo Bonner (AL)
      Steve LaTourette (OH)+
      Tom Cole (OK)
      Steve Austria (OH)
      Charles Dent (PA)+
      Mario Diaz-Balart (FL)+
      Jeff Flake (AZ)
      Tom Graves (GA)*
      Cynthia Lummis (WY)*
      Alan Nunnelee (MS)*
      Steve Womack (AR)+
      Kevin Yoder (KS)

      * Agriculture Subcommittee
      + Transportation-HUD Subcommittee
      Appropriations Committee – Minority (Democrats)

      Norm Dicks (WA), Ranking Member
      Sanford D. Bishop Jr. (GA)
      Rosa DeLauro (CT)
      Sam Farr (CA)
      Chaka Fattah (PA)
      Maurice D. Hinchey (NY)
      Michael M. Honda (CA)
      Jesse L. Jackson Jr. (IL)
      Marcy Kaptur (OH)
      Barbara Lee (CA)
      Nita M. Lowey (NY)
      Betty McCollum (MN)
      James P. Moran (VA)
      John W. Olver (MA)
      Ed Pastor (AZ)
      David E. Price (NC)
      Steven R. Rothman (NJ)
      Lucille Roybal-Allard (CA)
      José E. Serrano (NY)
      Adam B. Schiff (CA)
      Peter J. Visclosky (IN)

      Agriculture Committee – Majority (Republicans)

      Frank Lucas (OK), Chair
      Bob Goodlatte (VA)
      Tim Johnson (IL)
      Steve King (IA)
      Randy Neugebauer (TX)
      Mike Conaway (TX)
      Jeff Fortenberry (NE)
      Jean Schmidt (OH)
      Glenn Thompson (PA)
      Tom Rooney (FL)
      Rick Crawford (AR)
      Scott DesJarlais (TN)
      Renee Ellmers (NC)
      Stephen Fincher (TN)
      Bob Gibbs (OH)
      Chris Gibson (NY)
      Vicky Hartzler (MO)
      Tim Huelskamp (KS)
      Randy Hultgren (IL)
      Reid Ribble (WI)
      Martha Roby (AL)
      Bobby Schilling (IL)
      Austin Scott (GA)
      Steve Southerland (FL)
      Marlin Stutzman (IN)
      Scott Tipton (CO)

      Agriculture Committee – Minority (Democrats)

      Collin Peterson (MN), Ranking Member

      Financial Services Committee – Majority (Republicans) (partial list)

      Spencer Bacchus (AL), Chair
      Judy Biggert (IL)* (Chair, Insurance, Housing and Community Opportunity Subcommittee)
      Francisco Canseco (TX)
      Robert Dold (IL)
      Sean Duffy (WI)
      Michael Fitzpatrick (PA)
      Michael Grimm (NY)
      Nan Hayworth (NY)
      Bill Huizenga (MI)
      Robert Hurt (VA)
      Blaine Luetkemeyer (MO)
      Steve Pearce (NM)
      Steve Stivers (OH)
      Lynn Westmoreland (GA)

      * Insurance, Housing, and Community Opportunity Subcommittee
      Financial Services Committee – Minority (Democrats)

      Barney Frank (D-MA), Ranking Member

      Senate

      Appropriations Committee – Majority (democrats)

      Daniel Inouye (HI), Chair
      Patrick Leahy (VT)
      Tom Harkin (IA)
      Barbara Mikulski (MD)
      Herb Kohl (WI)
      Patty Murray (WA)
      Dianne Feinstein (CA)
      Richard Durbin (IL)
      Tim Johnson (SD)
      Mary Landrieu (LA)
      Jack Reed (RI)
      Frank Lautenberg (NJ)
      Ben Nelson (NE)
      Mark Pryor (AR)
      Jon Tester (MT)
      Sherrod Brown (OH)

      Appropriations Committee – Minority (republicans)

      Thad Cochran (MS), Ranking Member
      Mitch McConnell (KY)
      Richard Shelby (AL)
      Kay Bailey Hutchison (TX)
      Lamar Alexander (TN)
      Susan Collins (ME)
      Lisa Murkowski (AK)

      Agriculture Committee – Majority (democrats)
      Agriculture Committee – Minority (republicans)
      banking Committee – Majority (democrats)

      Tim Johnson (SD), Chair

      Banking Committee – Minority (republicans)

      Richard Shelby (AL), Ranking Member

      Outlook For The New Congress

      OUTLOOK FOR THE NEW CONGRESS

      The new 112th Congress next year will have a significantly different line-up of key players for housing. In addition, lame duck sessions of the 111th over the next few weeks may be considering appropriations and other housing legislation. Many questions remain at this early point after the mid term elections.

      The players. The Republicans’ sweeping victory in the House of Representatives means that the following new chairmen will probably take up gavels in January:

      • Appropriations Committee, Jerry Lewis (CA) or Hal Rogers (KY);
      • Transportation-HUD Appropriations Subcommittee, Tom Latham (IA);
      • Agriculture Appropriations Subcommittee, Jack Kingston (GA);
      • Financial Services Committee, Spencer Bachus (AL); and
      • Housing Sucommittee, Shelley Moore Capito (WV).

      Top minority slots (known as “ranking members”) for Democrats will likely fall to Norm Dicks (WA) for the full Appropriations Committee and John Olver (MA) and Rosa DeLauro (MA) for the subcommittees. On Financial Services the minority ranking members are likely to be current chairs Barney Frank (MA) and Maxine Waters (CA).

      Both House and Senate Committees will see many new members. For example, seven Senate appropriators are leaving, as are a large number of their House counterparts. Chairs and ranking slots also may be subject to realignments among members based on vacancies and seniority.

      In the Senate present Appropriations Committee leadership is likely to continue — Daniel Inouye (D-HI) and Thad Cochran (R-MS). But the new Senate Banking Committee chair will likely be Tim Johnson (D-SD). There also will be new ranking members for T-HUD and Agriculture Appropriations. Sens. Kit Bond (R-MO) and Sam Brownback (R-KS) are leaving, and it is not yet clear who will assume their ranking positions.

      Legislation and funding. With a continuing resolution in effect until Dec. 3, the current Congress is set to reconvene for a lame duck session starting November 15. It is currently unclear whether 2011 appropriations will be funded in an omnibus bill, a year-long continuing resolution, or another short-term CR until early next year. There also seem to be possibilities for inclusion of several pieces of authorizing legislation in an omnibus spending measure. But that too is unclear.

      HAC will provide further updates as more information is known.


      Last updated: November 4, 2010

      Carol Soliz

      The Housing Assistance Council Remembers Carol J. Soliz

      Carol Soliz was a dedicated and persistent housing advocate who worked to create safe and affordable housing for low-income families and farmworkers until her death on October 21, 2010. Born March 11, 1936, she was 74 years old. Director of Florida Non-Profit Housing from 1978 – 1998, Carol was instrumental in establishing the Farmworker Housing Trust Fund and the National Farmworker Project Directors Association. Also under her leadership, 3500 families obtained safe and affordable places to live.

      Carol was a leader and friend to the rural housing community and the Housing Assistance Council (HAC). In 1993, she was the recipient of the National Farmworker Alliance Award at the Housing Assistance Council’s National Rural Housing Conference. The award recognized her persistent advocacy, and housing endeavors for farmworkers throughout the United States of America.

      In 20 years, Carol did a lot of good for humanity on a local, state, and national level. Most of the things she helped put into place are still in existence. She touched the lives of many and shared her knowledge and wisdom with everyone she encountered. Carol, rural America will miss you.

      The Housing Assistance Council sends its condolences to the Soliz family and her colleagues at Florida Non-Profit Housing.

      For more information on Carol Soliz’s life and work, please contact Selvin McGahee, Executive Director, Florida Non-Profit Housing, Inc., (863) 385-2519.

      _____________________________

      Posted: October 26, 2010

      FY 2010 HUD NOFAs

      As it did in 2009, HUD will not use a SuperNOFA for FY 2010 funding, but will publish separate NOFAs for individual programs. Notices published to date are summarized in the table below, and new notices will be added as they are issued.

      HAC has received many inquiries about the NOFA for the Rural Innovation Fund (RIF) (the new replacement for the Rural Housing and Economic Development Program). As of September 20, 2010, the RIF NOFA has not yet been released.

      HUD encourages applicants to sign up for the funding opportunity notification subscription service at https://www.grants.gov/applicants/email_subscription.jsp.

      Updates are also posted on HUD’s website and at grants.gov.

      Additional useful links:

      Program, Link, and Release Date

      Deadline

      Eligible Applicants

      Contact

      General Section for most NOFAs

      NA

      Varies by program

      HUD’s Office of Grants Management, 202-708-0667

      Choice Neighborhoods Pre-Notice

      NOFA (posted 8/26/10)

      10/26/10 Nonprofits, local gov’ts, public housing authorities, and for-profit entities that apply jointly with a public entity

      Caroline Clayton, 202-402-5461

      Community Challenge Planning Grants/DOT TIGER II Planning Grants (published 6/24/10)

      8/23/10

      HUD’s Office of Sustainable Housing and Communities, sustainablecommunities @hud.gov or 202-402-5297; TIGERIIGrants@dot.gov or Robert Mariner, DOT, 202-366-8914

      Community Devel. Block Grants for Indian Tribes and Alaska Native Villages (posted 8/24/10)

      10/27/10 Tribes and tribal organizations HUD Area ONAP or Roberta Youmans, 202-402-3316

      Continuum of Care (posted 9/20/10)

      11/18/10 Continuums of Care HUD’s NOFA Information Center, 800-483-8929 or https://www.hudhre.info/helpdesk

      HOPE VI (posted 8/25/10)

      11/22/10 Public housing authorities Ms. Leigh van Rij, 202-402-5788

      Housing Counseling (posted 7/26/10)

      8/27/10

      Local or multi-state hsg. counseling agencies, nat’l and reg’l intermediaries, state hsg. finance agencies

      HUD Homeownership Centers, listed in the NOFA

      Lead Hazard Control Combo (posted 9/1/10)

      10/15/10

      Tribes, states, cities, counties, or other local gov’t units; can partner with nonprofits

      Michelle Miller, 202-402-5769

      Sec. 202 Demonstration Pre-Devel. Grant Program (posted 8/27/10)

      10/4/10

      Nonprofit orgs. and nonprofit consumer coops that applied for FY2009 Sec. 202 funding

      Denise Taylor-Parker, 202-402-2892

      Sustainable Communities Planning Grant Preliminary Information

      NOFA (posted 6/24/10)

      8/23/10

      Multijurisdictional and multisector consortia of gov’t entities and nonprofits

      HUD’s Office of Sustainable Housing and Communities, sustainablecommunities @hud.gov, 202-402-5297

      University and College Programs (posted 7/16/10)

      8/16/10 Varies by program; see individual NOFAs Varies by program; see HUD’s information page

      If you have trouble accessing any information on HAC’s site only (not HUD’s or grants.gov), please contact Leslie Strauss, 202-842-8600.


      Last updated: Sept. 20, 2010

      FY 2010 Spending, Section 502 Direct Homeownership Loans

      nrhc

      National Rural Housing Coalition Budget Bulletin,
      Volume 13, Number 44
      October 1, 2010

      reprinted by permission

      Attached is a table on USDA Section 502 direct loan obligations for Fiscal Year 2010. Through the Recovery Act as well as FY 10 appropriations, the Rural Housing Service had a total of $2.423 billion available, the most since the early 1980’s.

      USDA obligated $2.144 billion or 85% of the total available. Of that, $755 million went to very low-income borrowers. This was 36% of the total. While this amount was less than the 40% setaside for very low-income, it is still the most that USDA has ever spent in a single year in the category. In terms of loans, USDA made 17,640 loans. Almost 40% of those went to very low-income borrowers. Self-help obligations totaled $167 million for 1,243 loans. The Home Ownership Partnership totaled $20.7 million and 271 loans.

      In FY 2009, USDA obligated a total of $1.39 billion in Recovery Act and FY 09 appropriated funds. So, in FY 10, the Agency obligated about 55%, or $750 million more.

      In September, USDA issued a change in procedure that allowed loan obligations without an appraisal. This change resulted in a spike in obligations and allowed the Department to get as close as it did to obligating the entire amount available. A question remains as to how many of those loans made in the last month will close, once appraisals are completed.

      It is very likely that Section 502 direct returns to earth in FY 11. The budget request for FY 11 is about half of that available in FY 10. Discretionary resources are on the downswing and a program level of $1.12 billion (the level for the regular FY 10 appropriation) is likely.

      Posted: October 1, 2010

      Comments Requested on the Next Farm Bill

      Comments Requested on the Next Farm Bill

      The House Agriculture Committee is accepting comments regarding the next Farm Bill through June 14. The 2008 Farm Bill does not expire until 2012, but House Agriculture Committee Chairman Collin Peterson (D-Minn.) has already held a series of hearings in Washington, D.C. and across the country over the past two months.

      The Farm Bill is a massive piece of legislation that authorizes a broad range of programs critical to rural areas. These programs include housing, rural water/wastewater infrastructure, community facilities, broadband expansion, renewable energy, support for new farmers, and business development initiatives. Secretary of Agriculture Tom Vilsack testified at the first Farm Bill hearing and expressed the Administration’s commitment to focus on funding regional rural development initiatives in the next Farm Bill. Since then, the field hearings have been almost entirely focused on agriculture issues.

      Written comments will be an official part of the Committee’s Farm Bill field hearing record and should be submitted using the House Agriculture Committee’s online feedback form at https://agriculture.house.gov/inside/feedbackform.html. Comments are due by June 14, 2010.

      Posted: June 09, 2010

      FY 2010 RD NOFAs

      USDA Rural Development funding notices published to date are summarized in the table below, and new notices will be added as they are issued.

      A notice published in the Federal Register on March 4, 2010 stated that RD will not publish its combined NOFA for single-family and multi-family housing programs (commonly known as the 1940-L notice).

      Links to funding notices for business and utilities programs are available on USDA RD’s website, here.

      Program, Link, and Publication Date

      Deadline

      Eligible Applicants

      Contact

      Sec. 502 single-fam. direct

      Low- and very low-income homebuyers

      Sec. 502 single-fam. guaranteed

      Low- and very low-income homebuyers

      Sec. 504 repair loans

      Very low-income homeowners

      Sec. 504 repair grants

      Very low-income homeowners age 62 or older

      Sec. 515 new constr. (publ. 4/14/10)

      June 14

      Nonprofits, for-profits, indivs., prtnrshps., pub. agencies, etc.

      RD state offices, listed in the NOFA or online here, or Melinda Price,
      614-255-2403

      Multifamily revitaliz. demo (MPR)

      Owners or purchasers of Sec. 515 or Sec. 514/516 (off-farm) rental property

      Preserv. Revolving Loan Fund

      Nonprofits, nonprofits’ loan funds, state or local hsg. finance agencies

      Sec. 514 farm labor loans (off-farm) (NOFA publ. 5/10/10, correction publ. 6/17/10)

      July 9

      Nonprofits, pub. agencies, tribes, prtnrshps w/ nonprofit GP

      Henry Searcy, 202-720-1753, or RD state offices, listed in the NOFA or online here

      Sec. 516 farm labor grants (off-farm) (NOFA publ. 5/10/10, correction publ. 6/17/10)

      July 9

      Nonprofits, pub. agencies, frmwrkr ass’ns, tribes

      Henry Searcy, 202-720-1753, or RD state offices, listed in the NOFA or online here

      Sec. 523 self-help tech. assistance

      Nonprofits, public agencies with existing Sec. 523 TA contracts (no new applications accepted in FY 2008)

      Sec. 523/524 site loans

      Nonprofits, public agencies, tribes

      Sec. 525/509 packaging

      States, state agencies, local gov’t, nonprofits

      Sec. 533 Hsg. Preserv. Grants (NOFA publ. 4/27/10, correction publ. 5/21/10)

      June 28

      Nonprofits, state or local gov’t agencies, tribes

      RD state offices – listed in the NOFA or online here

      Sec. 538 guar. rental (publ. 2/26/10)

      Dec. 31

      Approved lenders

      RD state offices – listed in the NOFA or online here

      Sec. 538 guar. demo (NOFA publ. 5/10/10, correction publ. 6/14/10)

      rolling until funds are exhausted

      Approved lenders with obligations issued between 10/1/07 and 12/17/10

      Tammy Daniels

      Sec. 542 vouchers (NOFA publ. 4/14/10, correction publ. 8/25/10)

      Rolling

      Tenants in Sec. 515 properties w/ mortgages prepaid or foreclosed after 9/30/05

      RD offices or Stephanie B.M. White, 202-720-1615

      Rural Community Devel. Init. (RCDI)

      Nonprofit and public intermediaries, tribes

      Household Water Well Systems Grants to lend to homeowners(publ. 3/26/10)

      May 31

      Nonprofits

      Lorrie Davis, 202-720-9631

      Household Water Well Systems Grants to lend to community systems (publ. 3/26/10)

      May 25

      Nonprofits

      Joyce Taylor, 202-720-0499

      Posted: May 10, 2010

      Last Updated: September 20, 2010