Reg Changes Section 502 G

USDA Rural Development Changes Regs for Rental Preservation and Section 502 Guaranteed

Updated November 5, 2008: Two new USDA RD regulations were published in the Federal Register on November 4, 2008.

Multifamily housing: Changes and corrections in the regulation governing preservation for the Section 515 rental housing and 514/516 farm labor housing programs are issued as a final rule, effective immediately.

Single-family housing: RD simplifies the income categories used to qualify borrowers for the Section 502 guaranteed loan program. Rather than using an eight-tiered system with separate income levels for families based on number of family members up to eight, RD will use two tiers, one for families with one to four people and a second for families with five to eight members. This is a “direct final rule” and will become effective without change unless RD receives adverse written comments by January 4, 2009.

____________________________

Posted: November 3, 2008
Updated: November 5, 2008

NSP

Information on HUD’s Neighborhood Stabilization Program

CONTENTS OF THIS PAGE

HUD’s Neighborhood Stabilization Program
Additional Information and Links


HUD’S NEIGHBORHOOD STABILIZATION PROGRAM

Update November 20, 2008. All NSP plans should now be available online for comment; some comment periods may have closed. Jurisdictions receiving NSP funds must submit their plans to HUD by December 1. Key links for current information are:

October 15, 2008.The Housing and Economic Recovery Act of 2008 created a new Neighborhood Stabilization Program (NSP), making $3.92 billion available through the Community Development Block Grant (CDBG) program to help state and local governments purchase, renovate, and resell foreclosed properties. The U.S. Department of Housing and Urban Development has identified about 300 states and CDBG entitlement communities that can apply by December 1 for allocations of NSP funds.

Rural governments and nonprofits should have opportunities to influence the use of these funds, and/or to be designated subrecipients, through states and some metropolitan area governments. The sub-state allocation process will not necessarily be the same as CDBG’s. Each state will decide how to distribute its funds, or — an option not available in the CDBG program — whether to use the funds itself. The legislation requires states and local governments to allocate funds to places with the greatest needs, including those with the highest percentages of foreclosures and subprime loans.

HAC is offering to collect questions and comments on the regulations, particularly as they relate to rural areas, and will provide the information to HUD. Please send questions or comments to Leslie Strauss at HAC, leslie@ruralhome.org or 202-842-8600 ext. 141.


ADDITIONAL INFORMATION AND LINKS

_____________________________

Posted: October 15, 2008
Updated: November 20, 2008

If you have problems accessing any of the material on this page, or if you would like to suggest additional information to include, contact Leslie Strauss at HAC, leslie@ruralhome.org, 202-842-8600.

FY08 HUD NOFAs

FY 2008 News on HUD’s SuperNOFA and Other HUD NOFAs

Update: Section 202 Predevelopment Funds Available, Deadline Extended to February 18.

Update: Continuum of Care Deadline Extended Again, to October 23. A notice published in the Federal Register on October 9 further extends the due date for applications to October 23 instead of October 16.

Update: Continuum of Care Deadline Extended to October 16. A notice published in the Federal Register on September 15 makes a clarification in the Continuum of Care NOFA published on July 10 and extends the due date for applications to October 16 instead of September 26.

Update: HUD Announces FY 2008 RHED Funding Recipients. Sixty organizations will receive a total of $16.9 million from HUD’s Rural Housing and Economic Development (RHED) program. HUD’s press release, with a link to more information about the program, is available here. The list of awardees is also available here.

Update: HUD Invites Review Requests from Applicants with Grants.gov Problems, Deadline September 5 or 15 Days after NOFA Deadline. Because some applicants for HUD assistance in 2008 have reported technical difficulties in applying electronically through grants.gov, HUD is now conducting a Quality Assurance Review (QAR). HUD wants to identify applicants that correctly followed all electronic application submission instructions, including registration for electronic submission, but were unable to submit an application because of technical problems related to the use of the Adobe Acrobat forms and Grants.gov error messages.

Applicants that had difficulties submitting an electronic application for a NOFA for which the deadline has passed may submit a request for QAR by September 5, 2008. Applicants having difficulties responding to a NOFA for which the deadline date has not passed may submit a request for QAR during the 15 days after the deadline date. For details, see the August 21Federal Register notice.

Update: Continuum of Care NOFA Details Published August 13, Deadline September 26. A noticepublished in the Federal Register on August 13 makes technical corrections in the Continuum of Care NOFA published on July 10 and establishes September 26 as the application deadline. Applicants must use HUD’s e-snaps system to apply.

Update: Continuum of Care Funds Available, Deadline Approximately September 15, Announced July 10, 2008. About $1.42 billion is available for HUD’s Continuum of Care Homeless Assistance Program, according to a July 10 Federal Register notice. Applicants must use HUD’s e-snaps system to apply, but e-snaps is not yet able to accept applications. HUD will publish another Federal Register notice setting a deadline after the system is operational. .HUD expects the deadline to be about September 15.

Update: HOPE VI Main Street Funds Available, Deadline August 15, Announced June 26, 2008. The HOPE VI Main Street Grants program has $4 million available, HUD announced in a June 26 Federal Register notice. Applications are due on August 15, 2008.

Update: SuperNOFA Corrections Issued, June 9 and 12, 2008. A Federal Register notice on June 9 made changes to the SuperNOFA sections for Section 202 elderly housing and Section 811 housing for people with disabilities. The program deadlines remain the same.

A Federal Register notice on June 12 corrected the SuperNOFA provisions on:

  • the hourly rate for consultants published in the General Section;
  • Appendix A of the Introduction to the SuperNOFA;
  • Lead-Based Paint Hazard Control Grant Program;
  • Lead Hazard Reduction Demonstration Grant Program;
  • Operation Lead Elimination Action Program;
  • Lead Outreach Grant Program;
  • Housing Choice Voucher Family Self-Sufficiency Program, including changing the deadline to July 16;
  • Resident Opportunity and Self-Sufficiency (ROSS) Service Coordinators Program; and
  • Self-Help Homeownership Opportunity Program (SHOP), including changing the deadline to July 18. The deadline for local self-help organizations to apply to the Housing Assistance Council for SHOP funds has not changed.

The June 12 notice also explained how applicants should address “a technical issue” with the Grants.gov SF-424 form.

Update: SuperNOFA Available, May 13, 2008. Funding announcements are available through the links below as well as on grants.gov, at HUD’s website, and in the Federal Register of Monday, May 12.

Additional useful links:

Currently Available Information for Continuum of Care Applicants, May 6, 2008.

Access Information by Phone

  • If you have difficulty accessing SuperNOFA information online, contact HUD’s NOFA Information Center, Monday through Friday 10:00 a.m. to 6:30 p.m. Eastern Time, 1-800-483-8929 (toll free).
  • To reach HUD’s Office of Departmental Grants Management and Oversight, call 202-708-0667.

Links to Additional Resources

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


Posted: March 19, 2008
Last updated: December 12, 2008


FY08 RD NOFA

USDA RD Funds Available, FY 2008

Update September 24, 2008. USDA RD has announced recipients of 2008 funds under the Rural Community Development Initiative and Housing Preservation Grant programs.

Update August 19, 2008. The NOFA for RD’s Preservation Revolving Loan Fund, which makes loans to intermediaries who then re-loan the funds to owners or purchasers of USDA-financed rental housing, was issued on August 19. This year for the first time the funds can be used for preservation of Section 514/516 farmworker housing as well as for Section 515 multifamily rental housing. Applications are due October 20.

Update July 31, 2008. USDA transfers funds to Section 502 guarantees. USDA has shifted $13 million in FY 2008 budget authority (more than $20 million in program funds) from Sections 502 direct, 514/516, 504/533, and processing workers housing to generate over $1.2 billion for Section 502 guarantees. Reps. Rubén Hinojosa (D-TX) and Lincoln Davis (D-TN) are leading an effort in the House to restore the funds in a supplemental appropriations bill.

Update July 21, 2008. RD published an amendment to its April 21Federal Register notice on the Section 538 demonstration. Rather than requiring each applicant to have received its program obligation at least one week before the deadline for its application, RD is making all applicants with obligations during FY 2008 eligible. This seems to mean that an applicant receiving its obligation on September 29 could apply on September 29 for the final round of the demo (if funds were still available).

Update April 30, 2008. RD published a notice in the April 30 Federal Register correcting the percentages of funds for the Section 502 direct and 504 programs that are available for each quarter of FY 2008.

Update April 21, 2008. As it did in 2007, RD is implementing a demonstration program for Section 538 loan guarantees that cover both construction and permanent financing. RD’s announcement in the April 21 Federal Register explains the process for Section 538 applicants to request these continuous guarantees. Those who received Section 538 obligations between October 1, 2007 and April 4, 2008 can make a request by April 25. The request deadlines for later rounds are July 11 and September 29.

Update March 28, 2008. The annual “1940-L” notice for FY 2008 regarding allocation of funds for most of USDA’s rural housing programs was published in today’s Federal Register. Deadlines (if any) and links are provided in the table below.

Update March 24, 2008. The NOFA for USDA RD’s Section 542 Voucher Program was published in today’s Federal Register. USDA has $5 million available to provide vouchers for low-income tenants in Section 515 properties whose loans are prepaid or foreclosed after September 30, 2005. A voucher can be used at the prepaid property or anywhere else in the country, provided that the landlord is willing to accept the voucher and the unit passes an RD health inspection. A voucher is for one year, with a three year limit on voucher assistance to each tenant or family. USDA will follow Section 8 regs and administrative guidance as much as possible.

Update March 12, 2008. Today’s Federal Register contains funding announcements for Section 515 new construction, Section 514/516 off-farm new construction, and the Multi-Family Housing Preservation Demonstration Program (MPR). This year for the first time MPR funds are available for Section 514/516 developments as well as Section 515. A minor correction to the Section 533 Housing Preservation Grant funding notice was also published on March 12, providing accurate contact information for the Rural Development State Office in Oregon.

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

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 (March 28 and correction April 30)

Rolling

Low- and very low-income homebuyers

RD local offices

Sec. 502 single-fam. guaranteed (March 28)

Rolling

Low- and very low-income homebuyers

RD local offices

Sec. 504 repair loans (March 28 and correction April 30)

Rolling

Very low-income homeowners

RD local offices

Sec. 504 repair grants (March 28)

Rolling

Very low-income homeowners age 62 or older

RD local offices

Sec. 515 new constr. (March 12)

May 12

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

RD state offices

Multifamily revitaliz. demo (MPR) (March 12)

May 12

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

Sherry Engel, 715-345-7677

Preserv. Revolving Loan Fund (Aug. 19)

Oct. 20

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

Henry Searcy, Jr., 202-720-1753 or Bonnie Edwards-Jackson, 202-690-0759

Sec. 514 farm labor loans (off-farm) (March 12)

May 12

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

RD state offices

Sec. 516 farm labor grants (off-farm) (March 12)

May 12

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

RD state offices

Farmworker housing disaster and emerg. funds (Feb. 4)

April 4

Nonprofits and public agencies

RD local offices or Henry Searcy, 202-720-1753

Farmworker housing technical assistance (Feb. 4)

March 14

Public and private nonprofits

Sue M. Harris-Green, 202-720-1604

Sec. 523 self-help tech. assistance (March 28)

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

Technical & Management Assistance Contractors
Information about partial funding of self-help TA grants in FY 2008 is available here

Sec. 523/524 site loans (March 28)

Rolling

Nonprofits, public agencies, tribes

RD local offices

Sec. 306C water/waste (March 28)

Rolling

Nonprofits, public agencies, tribes in Ariz., Calif., N.M., and Texas

RD local offices

Sec. 525/509 packaging (March 28)

Rolling

States, state agencies, local gov’t, nonprofits

RD local offices

Sec. 533 Hsg. Preserv. Grants (Feb. 20 and correction March 12)

April 21

Nonprofits, state or local gov’t agencies, tribes

RD state offices

Sec. 538 guar. rental (Feb. 4)

April 25, then rolling while funds available

Approved lenders

RD state offices

Sec. 538 guar. demo (April 21)

April 25, July 11, Sept. 29

Approved lenders

RD state offices

Sec. 542 vouchers (March 24)

Rolling

Tenants in Sec. 515 properties w/ prepaid or foreclosed mortgages

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

Rural Community Devel. Init. (RCDI) (Feb. 4)

May 5

Nonprofit and public intermediaries, tribes

RD state offices

Household Water Well Systems Grants (Jan. 28)

May 31

Nonprofits

Cheryl Francis, 202-720-1937

* HAC stated incorrectly in the HAC News of March 12, 2008 and on this page that farmers were eligible for Section 514 loans for off-farm housing. Farmers are eligible for Section 514 loans for on-farm housing only, and may apply at any time. Contact an RD state office for more details. HAC apologizes for any confusion.

Posted: Feb. 20, 2008
Last updated:April 30, 2008

FY08 Appropriations

Appropriations for Fiscal Year 2008

2008 Omnibus Appropriations Bill (UPDATED Jan. 22, 2008)
Continuing Resolutions (UPDATED Dec. 20, 2007)
USDA (UPDATED Dec. 17, 2007)
HUD (UPDATED Dec. 17, 2007)

Click here for information on the Administration’s budget proposal for FY 2009.
Click here for more details on the Administration’s budget proposal for FY 2008.
All bills and accompanying reports related to FY 2008 appropriations are available at https://thomas.loc.gov/home/approp/app08.html.

Congress imposes conditions on RD office closings (reprinted from HAC News, 1/16/08). The omnibus appropriations act for FY 2008 prohibits closing RD offices until the impact on cost and program delivery is determined, and requires reporting the justification for any closure or relocation to Congress at least 60 days in advance. (See HAC News, 7/3/07, reporting the possibility of some office closures.) Visit https://thomas.loc.gov/home/approp/app08.html to access the omnibus act; a joint statement by the appropriations committees expressing concern about office closures was printed in the December 17, 2007 Congressional Record, pp. H15761-62.

Farmworker housing added to rental preservation program for FY 2008 (reprinted from HAC News, 1/16/08). The FY 2008 omnibus appropriations act makes Section 514/516 properties eligible for RD’s Multi-Family Housing Preservation and Revitalization Restructuring Program. In FY 2006 and 2007, RD has offered these “MPR” funds through a NOFA published in the spring. The omnibus act is available at https://thomas.loc.gov/home/approp/app08.html.

President signs omnibus appropriation for 2008. On December 26, President Bush signed the omnibus spending bill for 2008. This means USDA and HUD housing programs will be funded through September 30, 2008 at the amounts shown in the last columns in the tables below.

Dec. 20: After votes on December 17, 18, and 19, the House of Representatives and the Senate had passed an omnibus appropriations bill that would fund most of the federal government, including USDA and HUD, for fiscal 2008. The two houses initially adopted different dollar figures for war funding, but came to an agreement by the end of the day on December 19 and sent the omnibus bill to President Bush for signature.

The omnibus bill cuts some programs, but protects most, in order to reach a total budget ceiling sought by President Bush. The omnibus is H.R. 2764 and is technically a very large amendment to the House Foreign Operations spending bill for 2008. The bill groups together 11 appropriations bills for the 2008 fiscal year that began on October 1. The White House had been threatening a veto of any bill that exceeds the President’s budget request for 2008. The text of the bill is available at https://www.rules.house.gov/110_fy08_omni.htm.

Continuing Resolutions. On December 19, the House and Senate both passed a Fourth Continuing Resolution that would extend funding at FY 2007 levels from December 21, when the Third CR expires, to December 31.

Nov. 14, 2007 — On November 13, 2007, President Bush signed into law the second Continuing Resolution passed by Congress for fiscal year 2008, which began on October 1, 2007. This new stopgap measure funds the government through December 14, keeping most programs at FY 2007 levels. It does provide $3 million in new Community Development Block Grant funds for Louisiana’s Road Home program for survivors of Hurricanes Katrina and Rita.

Sept. 14, 2007 — With the 2008 fiscal year beginning on Oct. 1, USDA, HUD and all other federal programs are operating under a continuing resolution through Nov. 16. President Bush signed the CR on Sept. 29. Congress has yet to complete and send to the President any of the 12 appropriations bills. The White House has threatened a veto of any bill that exceeds the President’s budget request for 2008. It is unclear whether Congress may send separate spending bills, a large omnibus package, or some combination of both approaches. Final negotiations will likely go beyond Nov. 16.

USDA. In the near-final omnibus bill, some USDA rural housing programs are cut while others are at higher levels than in 2007. Sec. 502 guaranteed loans would rise sharply to $4.22 billion, with Congress urging this program’s use as an alternative to subprime mortgages. Sec. 523 self-help housing would increase to $39 million. But Sec. 515 rental loans, rental assistance and farm labor housing loans and grants would be cut. Like the House and Senate bills passed earlier this year, the omnibus bill rejects the very deep budget cuts for rural housing programs that were proposed in the Administration’s 2008 budget. That February 2007 proposal had called for the elimination of Section 502 and 515 direct loans and a drastic cut in self-help housing.

The table below has details.

USDA RD Program
(dollars in millions)

FY 2006
Approp.

FY 2007
Approp. (a)

FY 2008
Proposed Budget

FY 2008
Senate Bill
(S. 1859)

FY 2008
House Bill
(H.R. 3161)

FY 2008
Omnibus Bill
(H.R. 2764)

502 Single-Family Direct Loans

$1,141

$1,141

$0

$1,129.4

$1,129.4

$1,129.4

502 Single-Family Guaranteed Loans

3,681

3,681

4,848

3,561.1

3,716.4

4,220

504 Very Low-Income Repair Loans

35

35

22.9

34.7

34.7

34.7

514 Farm Labor Housing Loans

38

38

14

27.7

50

27.7

515 Rental Housing Direct Loans

100

100

0

70

99

70

538 Rental Housing Guaranteed Loans

100

100

200

150

99

130

504 Very Low-Income Repair Grants

30

30

30

29.6

30

30

516 Farm Labor Housing Grants

14

14

4

10

25

10

523 Self-Help TA

34

34

9.5

38

40

39

533 Housing Preservation Grants

10

10

9

9.9

9

9

521 Rental Assistance (b)

653

616

567

497

533

482.1

542 Rural Housing Voucher Program

16

16

27.8

15.5

10

5

Rental Preservation Revolving Loans

3

3

0

2.9

3

3

Rental Preservation Demonstration

9

9

0

15

14.8

20

Rural Community Dev’t Initiative (RCDI)

6

6

0

6.3

0

6.3

a. Figures shown for FY 2006 are before 1% across the board cut.
b. Rental Assistance contracts were for four years in FY 2006 and for two years in FY 2007. The FY 2008 bill provides one-year contracts

HUD. Also part of the omnibus is the 2008 Transportation-HUD appropriations bill. It cuts Community Development Block Grants, HOME and Section 8 vouchers below the levels in both House and Senate spending bills passed earlier this year. Most other HUD programs retained the funding levels of 2007 or the increases won in Congress earlier this year for 2008. The HUD rural housing program would receive $17 million, the same as in 2007. The SHOP program would rise from 19.8 million in 2007 to $26.5 million in 2008.

HUD Program
(in millions of dollars)

FY 2006
Approp. (a)

FY 2007
Approp. (a)

FY 2008 Proposed Budget

FY 2008 House Bill (H.R. 3074)

FY 2008 Senate Bill
(H.R. 3074)

FY 2008 Conf. Rpt. (H.R. 3074)

FY 2008 Omnibus Bill (H.R. 2764)

Community Develop. Block Grants

$4,220

$3,771.9

$3,035.6

$4,180

$4,060

$4,000

$3,865.8

HOME
(Mortgage Foreclosure Mitigation Activities)

1,750

1,750

1,967b

1,757

1,970
(100)

1,767
— (b)

1,704
— (d)

Tenant-Based Rental Assistance

15,574

15,920

16,000

16,330

16,599

16,436

16,391

Project-Based Rental Assistance

5,088

5,976

5,813

6,480

5,813

6,382

6,381.8

Public Housing Capital Fund

2,464

2,464

2,024

2,439

2,500

2,439

2,439

Public Housing Operating Fund

3,600

3,864

4,000

4,200

4,200

4,200

4,200

Public Hsg. Revtlztn. (HOPE VI)

99

99

0

120

100

120

100

Native Amer. Housing Block Grant

630

630

627

627

630

630

630

Homeless Assistance Grants

1,326.6

1,441.6

1,561

1,561

1,586

1,586

1,586

Hsg. Opps. for Persons with AIDS

289

289

300

300

300

300

300

202 Housing for the Elderly

734.6

734.6

575

734.6

735

735

735

811 Housing for Disabled

236.6

236.6

125

236.6

237

237

237

Fair Housing

45.5

45.5

45

45.5

52

50

50

Rural Hsg. and Econ. Dev. (RHED)

17

17

0

16.8

17

17

17

Self-Help Hmownp. Opp. (SHOP)

20

19.8

39

27.7

26.5

26.5

26.5

Lead Hazard Control

152

152

116

130

151

145

145

Housing Counseling

42

44.5

50

41.6

150

50(c)

50(c)

a. Figures shown for FY 2006 and 2007 are before 1% across the board cut.
b. $200 million in counseling and foreclosure prevention activities is provided to the Neighborhood Reinvestment Corporation.
c. Housing counseling funding is under the HOME program.
d. Foreclosure prevention activities moved to appropriation for Neighborhood Reinvestment (not in HUD).

Updated: Jan. 22, 2008

If you have problems accessing any of the material on this page, contact Leslie Strauss at HAC, leslie@ruralhome.org, 202-842-8600.

Rural Platform

Help Develop a Rural Housing Platform

HAC is working with rural communities across the country to develop a Rural Housing Platform that is being shared with the incoming Obama Administration and Congress. As of January 2, 2009, HAC has developed one-page papers on 11 separate issues. The papers are available here in a single document that contains all 11, or in individual documents:

Those who attended the HAC National Rural Housing Conference 2008 had the opportunity to discuss and to blog about the platform. Due to technological problems, HAC is not yet able to post the blog on its website. We invite you to email your comments to Leslie Strauss at HAC, leslie@ruralhome.org, and we will post them here so the discussion can continue.

Please help us by sending your comments and recommendations on three major issues impacting rural affordable housing development:

  1. What measures need to be taken to ensure that USDA’s housing programs remain accessible to rural communities?
  2. Given reduced philanthropic and government resources, what opportunities exist to help increase nonprofit sustainability?
  3. How can vulnerable populations (e.g., homeless, Native American) be effectively served in the current economic environment?

Comments posted to date:

ACCESSING THE UNACESSIBLE
(The Failure of Rural America to Access the Grant Process)

At first glance it could be perceived that the opportunities for Rural America to receive grants are many and varied. From healthcare to housing to education to childcare to infrastructure to livestock to farm aide, you name it and it can not only be found but found in abundance. But the truth is that very few of these grants, in proportion to those that are offered, are accessed by Rural America. There are a lot of well held beliefs for this apathetic behavior toward free aide by Rural America. Some of them are that Rural America is distrustful of strangers; that they distrust the federal government; they like the way that they live and; they are resistant to change. For the record, I was born in Rural America in a share croppers’ shanty. Most of my family and friends live in Rural America and I can say with out a doubt that these are not the beliefs of poor Rural America. But it certainly can be and on most occasions are the beliefs of large property owners, local politicians and middle class and above residents in Rural America. Those who are fine with things just the way they are. This population, all though relatively small in numbers, represent most of the almost insurmountable resistance to the aide that Rural America so direly need. The rest of the resistance is caused by systemic measures that appear to be fair and reasonable to those who accept their advantages and opportunities as the norm for all.

There are four major obstacles to Rural America accessing grants and other opportunities available to them: (1) lack of knowledge; (2) lack of resources; (3) Inability to access resources and; (4) the lack of support from local politicians, agencies, banks and power brokers:

  • Lack of Knowledge – Federal Agencies are quick to tell you that any grants and other opportunities that they have can be found on their web site. This is what they call freedom of information. But most people in Rural America do not have a computer and those that have one have limited skills in its application. There are no radio or television programs informing the community of what grants and/or opportunities are available for them, even though this would be the best way to get information to the Rural Community.
  • Lack of Resources – Even if someone gains the information about a grant and/or opportunity available to their community, there is still the question of who will research and write the proposal. Rural America is not a haven for grant writers and/or program consultants.
  • Inability to Access Resources – Grant writers in Rural America are generally employed by the Educational Systems, Healthcare Systems, County/Town and local Agencies. Seldom if ever will one of these entities donate the use of these persons for the general use of the community and if you seek their assistance outside their employment, they request their money in advance. The problem with this is that if the community had the money, they would not be seeking a grant.
  • Lack of Support from Local Politicians, Agencies, Banks and Power Brokers – the refusal of local politicians, agencies, banks and power brokers to support something that they did not initiate, can not benefit from and/or control is the single greatest reason for the inability of Rural Communities to apply for and/or successfully complete Federally funded grants and other opportunities. If Rural America is fortunate enough to obtain a grant it is not unusual for them to either be unable to fulfill the requirements of the grant opportunity and/or fail to sustain it for more than three years. The unspoken rule is what the powers that be can not control they will destroy.

Lee Walter Jenkins
December 19, 2008

I think it is critical to find new ways to measure and describe housing problems in rural areas. For instance, in our state the data used to justify the distribution of Neighborhood Stabilization Program monies had little to say about rural areas. The data was unreliable if it existed at all. Other data sources, like RealtyTrac, favored urban areas by counting one foreclosure multiple times. Fast forward to December 2008 when the 3-year estimates were released from the census. In our county of over 80,000 the margin of error on even basic data like household income had a margin of error of 10-20% (although I don’t doubt those numbers will become more reliable in coming years.) If we are going to have anything to say about rural housing then we need new ways to measure and express need because we are at a huge disadvantage statistically when compared with urban areas.

Alan Trunnell’s comments (below) add a lot to the discussion – rural areas are where the greatest opportunities for creative thinking on affordable housing exist. We have discussed things like community land trusts, working with local farmers to put a small set of affordable housing on unused land (and give them an additional monthly income), and combining neighborhood housing redevelopment with small scale cottage industry. There is funding at the state level for more creative, outside-the-box initiatives like this but it is not nearly enough and rarely funds personnel. Federal support could play an important role here, at the very least it could help in providing seed monies that counties or nonprofits could then match.

Finally, it seems obvious to me that there should be some reward/incentive for providing comprehensive planning for the related areas of affordable housing, poverty, and homelessness. It is tough to distinguish where one of these issues ends and the other begins.

Thanks for the opportunity to comment, I think everyone here has had something to add to this discussion.
Tim Emmert
Moore County (NC) Community Development
December 18, 2008

In Arizona this administration has consolidated its offices into the metropolitan areas Phoenix, Green Valley (closer to Tucson), therefore there is no intake opportunities other than non-profit housing entities. We will need to build capacity of non-profit counseling agencies in rural areas, by increasing the 502 direct loan funding allocations, and go back to the 525 packing fees paid to non-profits for taking applications and counseling rural residents on their best mortgage options particularly the USDA loan programs.

Additionally, something has to be done in the form of acquisition of existing properties to allow for first-time rural residents to buy these homes, as opposed to investors purchasing them and then renting them or reselling them for higher prices. Other than subsequent 502 loans which of course many of these foreclosed properties are not financed through USDA. There is a glut of foreclosed properties in rural areas, and there aren’t the type of rural housing programs throughout rural Arizona that we once thought we had. What is going on is that the USDA Guarantee Program was increased and the expense of the 502 direct loan program, and we’ll be seeing more of these foreclosure as well, what then?
Thank You,
Frank J. Martinez
Community Equity
December 16, 2008

I am a housing counselor for Community Action Partnership in Lewiston Idaho. I am spending a considerable amount of time on foreclosure prevention counseling. I wish the new administration would greatly expand the USDA RD RHS 502 Home loan program so owners who can only afford subsidized payments would be able to refinance their current conventional loans into USDA loans. I wish they would also include urban areas. This would certainly prevent a lot of foreclosures. Many of the people I am working with have lost jobs or become disabled — including seniors who do not have the equity for reverse mortgages.
Barbara
December 10, 2008

As the Executive Director of non-profits located in southern West Virginia, I want to speak to serving vulnerable populations. I know without the assistance of non-profits in our area there would be little housing development. Private developers cannot overcome the issues of lack of infrastructure and low appraisal values for housing in our poverty stricken area. The need to support the capacity building of non-profit organizations is a way to serve vulnerable populations.
Sharon Walden, Executive Director of SAFE
McDowell County, WV
December 3, 2008

As the only founding director of HAC, I am extremely proud of the job the HAC staff has done with this conference and with its mission over the years. We started with about three million dollars and no staff with knowledge of rual housing. Now our assets are about go million dollars and we have assisted poor people in building anout 60 million self help housing. WE have been doing subprime lending for almost 40 years without major defaults. CongraduLATIONS HAC. I may not get there with you but I know you will worl your self out of A MISSION.
December 3, 2008

I think we should urge the new administration to think outside of the traditional silos in which federal programs normally operate. For example, lack of public infrastructure is one of the major challenges in developing affordable housing in rural areas. If communities applying for federal infrastructure funding were given financial incentives to direct those funds to affordable housing developments that would make an enormous difference. Climate change legislation might offer some possibilities such as directing money from the sale of carbon credits to energy efficiency improvements and even alternative energy in affordable housing.
Polly Nichol
December 4, 2008

I wonder how well we approach rural community viability. I have some concerns that while we strive to provide affordable rural housing are we considering rural community sustainability;job creation, telecommunications, small farms, coops, and maybe outside the box enterprise that supports the growth of the rural village. thanks for allowing me to comment,
Alan Trunnell
December 4, 2008

I would like for the new administration to consider revising the program’s implementation policies/regulations ..most of the times the people that creates the regulations for the programs are so unaware of the issues because they are no longer relate to the poor..and the results are programs that nobody qualifies for..We need to consider the people that really works directly with the low income families in the process of developing the programs in order to successfully implement them.
San Juana Gonzales, Uvalde, Texas
December 4, 2008

1. Enact the Section 515 revitalization program;
2. Create a resident voucher program that protect residents and operates similar to the HUD enhanced voucher program.
3. Limit the guaranteed loan program and create mechanisms to protect borrowers against foreclosrue.
4. increase the RD staff and bring servicing back to the local offices.
December 4, 2008

____________________________

To add an entry, email your comment to Leslie Strauss at HAC, leslie@ruralhome.org, and it will be posted here.

The latest draft (January 2, 2009) of HAC’s “Affordable Rural Housing Issues and Recommendations” paper is available here.

____________________________

Posted: December 8, 2008
Last updated: January 2, 2009

FY09 RD Funds

FY 2009 News about USDA RD Funds

Section 533 Housing Preservation Grant Funds Available, May 11, 2009. Housing Preservation Grants are available for public agencies and nonprofits to repair owner-occupied and rental housing. Deadline is July 10, 2009. See Federal Register, 5/11/09, or https://www.grants.gov. Contact a USDA RD state office.

RD Explains Special Considerations for Section 502 Direct Loans Made with Recovery Act Funds, April 10, 2009. Information applicable to Section 502 direct loans made with funding under the American Recovery and Reinvestment Act is provided in an unnumbered letter dated April 10, available at https://www.rurdev.usda.gov/regs/ul/ulapril09.pdf or from RD offices.

Funds Available for Most USDA Multifamily Housing and for Household Water Wells, April 29, 2009. Funding availability announcements for Section 515 rental housing new construction , the Multi-family Housing Revitalization Demonstration (MPR) program for Section 515 rental and Section 514/516 farmworker housing, preservation vouchers, and household water well grants will be published in the April 29 Federal Register. The application deadline for Section 515 new construction and MPR will be approximately June 29, and for water well grants it is May 21, 2009. Section 542 vouchers are available on a rolling basis for tenants in Section 515 properties when mortgages are prepaid or foreclosed upon after September 30, 2005.

Section 538 Guarantees for Rental Housing Loans Offered, January 21, 2009. USDA RD will review applications on a rolling basis. FY 2009 funding includes $2 million for 2008 disaster areas. See Federal Register, 1/21/09, https://www.access.gpo.gov/su_docs/fedreg/a090121c.html. Contact an RD state office listed in the FR notice or at https://www.rurdev.usda.gov/recd_map.html.

Self-Help Funding Falls Short for FY 09, January 5, 2009. Expecting demand to exceed resources for Section 523 funding again this year, RD will not fund new and predevelopment grants. Existing grantees will receive up to 75% of the amount requested, with the rest obligated later if funds are available. See Unnumbered Letter (January 5, 2009), available at https://www.rurdev.usda.gov/regs/ul_list.html or from RD offices.

RD Offers Household Water Well Grants, Updates Rule, November 20, 2008. Nonprofits can apply by May 31, 2009 for Household Water Well System Grants to establish lending programs. See Federal Register, 11/20/08, pp. 70315-21 or https://www.grants.gov. Also, the limit on loans to homeowners will rise from $8,000 to $11,000 unless adverse comments are submitted by December 18. See Federal Register, 11/18/08, pp. 68293-95 and 68364 or https://www.regulations.gov. Contact Cheryl Francis, 202-720-1937, cheryl.francis@wdc.usda.gov.

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


Posted:January 24, 2009

Foreclosure Assistance

Foreclosure Assistance for Individuals

The Housing Assistance Council is not a housing counseling organization and does not offer assistance to homeowners facing foreclosure. See the resources below for assistance.

HAC recommends caution when seeking assistance. There are a lot of legitimate resources that help families but be careful of scams because there are a lot of those too. HAC believes all the resources provided on this page are legitimate but does not take responsibility for their content. A good rule of thumb is the old adage, “If it sounds too good to be true it probably is.”

Housing Counseling
HOPE NOW is an alliance of HUD-approved counseling agents, services, and investors that provide free foreclosure prevention assistance. Visit www.hopenow.com or call 1-888-995-HOPE.

NeighborWorks America is a national nonprofit organization with local affiliates that offer homeownership counseling and education. A detailed list of foreclosure options is available on the NeighborWorks foreclosure assistance website. Some local affiliates also offer foreclosure prevention assistance. Visit https://nw.org/network/Utilities/NWOLookup.asp to find your local office.

Information
State housing finance agencies are a good place to start if you are having trouble paying your mortgage and looking for assistance. A complete list of state housing finance agencies and related contact information can be found at www.ncsha.org, or by calling the National Council of State Housing Agencies at (202) 624-7710.

The US Department of Housing and Urban Development maintains a page with links to foreclosure prevention resources in your state, at https://www.hud.gov/foreclosure/local.cfm.

Fannie Mae. A homeowner can now determine whether Fannie Mae owns his/her mortgage by entering the street address at https://loanlookup.fanniemae.com/loanlookup. Freddie Mac’s lookup at https://ww3.freddiemac.com/corporate requires additional information including a Social Security Number.

https://www.foreclosureresponse.org/?page_id=45. This website targeted to Kent County, Michigan includes some Helpful Tips and Actions Steps for families facing foreclosure.

Foreclosure-Response.org, a website offering resources intended to help states and localities respond to the foreclosure crisis. This site is maintained by the Center for Housing Policy, KnowledgePlex, Local Initiatives Support Corporation (LISC), and the Urban Institute.

Legal Assistance
The Community Development Project of the Lawyers’ Committee for Civil Rights Under Law is providing pro bono legal assistance to community groups fighting blight and vacancies in neighborhoods affected by the foreclosure crisis. To learn more, contact Deborah Austin, Project Director, (202) 662-8303, or see the website.

Federal Assistance
The Obama Administration has released a new website to assist borrowers with the Making Home Affordable Plan. Borrowers can use this website to determine if they are eligible for the program, to find out who their servicers are, and to locate other resources if they are not eligible for the program. Access the website at www.makinghomeaffordable.gov.

https://www.hud.gov/recovery. This website of the US Department of Housing and Urban Development has detailed information on the American Recovery and Reinvestment Act of 2009.

Warning
HUD warns that https://bailout.hud-gov.us is a “bogus and deceptive website” that mimics government sites and asks for personal information from people looking for help to avoid foreclosure. Real government sites on the subject are https://makinghomeaffordable.gov/ and https://www.hud.gov/recovery.


Posted: March 26, 2009

Announcements

Recent announcements are listed below. If you are looking for an announcement not listed here, try press releases, blog posts or our home page for Updates, or contact Dan Stern at 202-842-8600, ext. 137 or e-mail dan@ruralhome.org.

HAC blog posts

For news releases, please visit HAC’s
Press Room
.

HAC’s Rural Research Note Homeownership in Rural America
-July 18, 2012

USDA releases NOFAs for Farm Labor Housing and Preservation Revolving Loan Fund; will hold call on FLH NOFA July 26
-updated July 18, 2012

14 cosponsors join Rep. Fortenberry’s amendment continuing area eligibility for USDA housing programs
– updated July 11, 2012

EPA to host Essential Smart Growth Fixes for Rural Planning, Zoning and Development Codes webinar on July 19, 2012.
-July 13, 2012

House Passes FY13 Spending Bill for HUD (information about USDA FY13 funding is also available)
-July 2, 2012

HAC map of “Poverty in the United States” is now available for download or purchase
-June 28, 2012

House Passes FY13 Spending Bill for HUD (information about USDA FY13 funding is also available)
-July 2, 2012

The State of the Nation’s Housing 2012 report has been released
-June 14, 2012

Joe Belden’s interview on “Trends in Rural Housing” with the Federal Reserve Bank of Atlanta
-June 12, 2012

FY13 USDA appropriations: House proposes lower funding, tells USDA to plan housing spending in advance
-updated June 6, 2012

HAC responds to Wall Street Journal article on USDA foreclosures
-updated with link to HAC’s published Letter to the Editor, June 7, 2012

HAC contributes to the National Housing Institute’s Rooflines blog, “What does an Affordable Rural Rental Housing Strategy Look Like?”
-May 23, 2012

House votes to Eliminate the American Community Survey (ACS)
-May 11, 2012

Senate Committee acts on FY13 funding for HUD and USDA
-updated May 1, 2012 with details of USDA bill

Minorities account for three-quarters of rural population growth, according to HAC’s latest Rural Research Note on Race and Ethnicity
-April 18, 2012

HAC Awards Nearly $360,000 for Rural Senior Housing
-March 13, 2012

HAC’s 2005 report, A Guide to Restoring Rural Housing and Communities After a Disaster, explains federal and state temporary and long term resources for rebuilding housing after a disaster.

Materials from HAC’s Overview of the 2013 Budget Webinar now available
-February 21, 2012

HAC’s final comments to HUD on the proposed changes to the HOME rule, or view in PDF
-February 14, 2012

Administration Releases FY13 Budget
USDA rural housing programs
HUD housing programs
-February 13, 2012

HAC Awards $2.5 Million for Local Self-Help Homeownership Programs
-February 3, 2012

USDA announces plan for Sec. 502 guaranteed borrowers to refinance to lower interest rates
– February 1, 2012

USDA Closures Include Offices that Help Rural Americans Get Affordable Mortgages
-January 12, 2012

Add your reaction to HAC’s comments on HUD’s proposed HOME rule changes
-February 3, 2012

USDA to close 43 RD offices as part of new “Blueprint for Stronger Service”
– January 10, 2012

RD allows Food Stamps to be included in Sec. 502 repayment income
– January 10, 2012

RD adds square footage to Sec. 502 “modest housing” requirements
– January 10, 2012

New HAC research:
Nonprofit Capacity in the Mississippi Delta Region and,
Rural Reentry: Housing Options and Obstacles for Ex-Offenders.
-December 9, 2011

Senate will not vote on McCain amendment to eliminate SHOP funding for FY12
December 2011

“Pinky” Clifford speaks out on housing conditions on the Pine Ridge Reservation
-December 2, 2011

HAC Research Brief: Analysis of the Supplemental Poverty Measure
– November 29, 2011

President signs bill setting FY12 funding levels for USDA and HUD
-updated November 18, 2011

Download the latest issue of Rural Voices magazine, Housing and Water: The Critical Connection, published jointly with the Rural Community Assistance Partnership (RCAP)
-November 14, 2011

Materials from HAC’s Housing Seniors in Rural America: Aging in Place in a Shifting Landscape symposium in Seattle, WA are now available for download
-November 14, 2011

HAC Awards $9.2 Million for Local Self-Help Homeownership
-November 8, 2011

Rural Research Note: Rurality in the United States
-November 3, 2011

Materials from the Rural Senior Housing Grant Walkthrough Webinar are now available for download
-October 20, 2011

New grant opportunity for rural senior housing
-October 3, 2011

HAC Research: Estimating Changes to USDA Rural Development’s Eligible Areas Designations (Audio File Posted)
-September 27, 2011

Senate rejects Coburn amendment to cut FY12 RD spending by 40%
-November 1, 2011

Senate will not vote on McCain amendment to eliminate SHOP funding for FY12
-November 1, 2011

National Rural Housing Sign on Letter: Oppose amendment that would slash Rural Development funding
-October 26, 2011

McCain to offer amendment eliminating SHOP funding for FY12
-October 18, 2011

Administration asks Senate to cut rural housing spending for FY12
-October 18, 2011

Learn more about Vermont’s SASH program for services and housing
-September 20, 2011

NALCAB announces asset building grants
-September 19, 2011

USDA and HUD testify against moving rural housing programs to HUD
-updated September 13, 2011

HUD Announces Recipients of FY10 Rural Innovation Fund Grants
-August 25, 2011

USDA Announcement: Compensation for Claims of Discrimination for Hispanic and Women Farm Loans
-August 15, 2011

Sign up to be a stakeholder in HAC’s rural senior housing initiative
-August 8, 2011

What are we missing? See more about HMDA activities at small lending institutions in HAC’s new report
-August 4, 2011

HAC Submits Comments on Proposed 20% Down Payment Rule
-August 1, 2011

RD Posts Schedule of Upcoming Stakeholder Meetings and Calls on Reforming its Regulations
-July 26, 2011

Data on Section 502 Guaranteed Loans by the National Housing Law Project
– July 19, 2011

What's New

The Housing Assistance Council informs the public and policy makers of the issues and importance of affordable housing in rural areas.  

What’s New

The latest news from HAC. 

HAC News bi-weekly newsletter

The classic “little yellow newsletter,” providing essential information on affordable rural housing. Includes national program and policy updates, summaries of Federal Register filings, findings from recent research reports, and much more.

Updates on Rural Housing Policy

HAC has over 40 years of experience staying connected to rural housing issues and how they are perceived by decision makers in Congress and the administration. Our policy updates keep the public informed of the important rural issues of the day.

Press Room

Press inquiries, outreach and press releases.

Blog Posts

HAC occassionally creates blog posts for this website and contributes to several industry blogs including Rooflines and The Daily Yonder.

Rural News

What is happening in rural communities across the country? 

HAC in the News

Coverage of HAC in the media or through other outlets.