TOP STORIES

Election results show urban-rural gap narrowed, Lipsetz says

In the recent election, HAC President and CEO David Lipsetz points out, millions of suburban and urban Americans joined rural voters to send a message that the current economy is failing them. He suggests there may now be an opportunity for progress toward an American future where working families in every geography have an opportunity not just to survive, but to get ahead. HAC stands ready to share our expertise with the Trump Administration and 119th Congress to ensure that rural communities fully benefit from efforts to address the current housing crunch.

White House asks for disaster aid

The administration has asked Congress to provide almost $100 billion to help with recovery from Hurricanes Helene and Milton and other disasters. President Biden requests $2 billion for the Small Business Administration’s disaster loan program – which supports housing repair and other needs as well as small businesses – because it has used all its funding. He seeks $40 billion for FEMA’s Disaster Relief Fund and $12 billion for HUD’s Community Development Block Grant Disaster Recovery program. A Senate Appropriations Committee hearing on November 20 reviewed current disaster funding needs in more detail.

Government funding likely to be extended beyond December 20

When FY25 began October 1, federal government appropriations were extended at FY24 levels through December 20. It seems likely that the lame duck 118^th Congress will adopt another continuing resolution to renew current funding levels until sometime in March, allowing the incoming 119^th Congress to set final funding for FY25. A CR lasting to the end of FY25 is another possibility.

Senate Farm Bill introduced

Senate Agriculture Committee Chair Debbie Stabenow (D-MI) has released the full text of her Farm Bill proposal in an effort to prompt movement on the bill in the last few weeks of the 118^th Congress. She had released a framework for the bill in May, but the newly released text includes several concessions to encourage compromise with Senate Republicans. Introduced as S. 5335, the new proposal continues to include the provisions of the Rural Partnerships and Prosperity Act, a rural capacity building initiative that HAC has supported. It is still unlikely that Congress will pass a Farm Bill before the December 31 deadline when key commodity programs start to expire, making another extension highly likely and pushing development of a full Farm Bill into the next Congress when Republicans will control both the House and Senate.

Project 2025’s housing positions summarized

During his campaign, President-elect Trump said that Mandate for Leadership: The Conservative Promise 2025, published by Project 2025, did not represent his platform. After the election, Axios collected comments by some of his allies stating that this document is their agenda for Trump’s second term. HAC has posted a summary of the document’s positions on topics relevant to rural housing.

RuralSTAT

In 2010, there were 439 counties outside metro areas with high elderly populations (20% or more of residents at age 65 or older). Between 2010 and 2023, the number nearly tripled to 1,294 counties. Only two counties moved from older age to younger age status. Source: Economic Research Service, Rural America at a Glance: 2024 Edition.

OPPORTUNITIES

New Greenhouse Gas Reduction Fund grants available

Adding to the opportunities summarized in the October 24 HAC News, Climate United is offering pre-development grants to support clean energy projects in Native communities. Nonprofits, Tribes, state and local government entities, and institutions of higher education are eligible. Projects should be in the pre-construction stages and can address clean energy, energy efficiency, clean transportation, affordable and sustainable housing, workforce development, remediation of water infrastructure, or pollution mitigation. The deadline is January 10. A webinar about this application round is scheduled for December 6. Additional rounds in 2025 will focus on other underserved markets.

The Coalition for Green Capital is now accepting proposals from clean energy developers, commercial partners, community lenders, and financial investors including private credit and equity firms. Housing is not one of CGC’s primary focuses. CGC will provide loans, loan guarantees, credit enhancements, equity investments, and other financing types directly to projects and also to financial intermediaries. It aims to make at least 2% of its investments on Tribal lands and 20% in rural communities. It has not set a deadline and will accept proposals indefinitely.

Energy funding can serve off-grid homes

Nonprofits, for-profits, state and local governments, Tribes, and others can submit concept papers by February 27 for the Department of Energy’s Energy Improvements in Rural or Remote Areas program, which serves communities with populations under 10,000. Funds cannot be used for weatherization-only projects, but eligible clean energy projects do include provision of isolated microgrids in remote areas or service to unelectrified homes or community buildings.

USDA posts information about rental preservation funding

Presentation slides and a Q&A document are now available online from USDA’s October 17 webinar on its open funding opportunity for Multifamily Housing Preservation and Revitalization funds and Section 515 loans. The agency will continue to update the Q&A post as additional questions are received.

REGULATIONS AND FEDERAL AGENCIES

EPA sets new lead-based paint dust levels

EPA does not require property owners or occupants to evaluate their property for lead-based paint hazards or to take control actions, but if an activity such as an abatement is performed, then EPA’s regulations provide requirements for doing so. A new final rule, effective January 13, establishes lead-based paint dust levels for reporting and action. It makes other changes as well, including in terminology and the definition of target housing.

Regulations updated on using federal property to assist homeless

Title V of the McKinney-Vento Homeless Assistance Act makes suitable unused or surplus federal real properties available to states, local government agencies, and nonprofits for use to assist people experiencing homelessness. A new rule updates the program for the first time since 1991.

FHA revises flood risk management for new construction

Updated flood risk management standards for newly constructed homes with mortgages insured by the Federal Housing Administration are provided in FHA Mortgagee Letter 2024-20. The changes implement a final rule published in April. Manufactured homes are not covered by this standard.

HUD updates public housing Faircloth-to-RAD program

HUD describes Restore-Rebuild, formerly called Faircloth-to-RAD, as a streamlined process to combine public housing mixed finance development and a Rental Assistance Demonstration (RAD) conversion in an integrated transaction. Updated guidance and tools are posted on a new program website.

PUBLICATIONS AND MEDIA

Literature review examines possible impact of large-scale deportations on agriculture and economy

The Economic Impact on Citizens and Authorized Immigrants of Mass Deportation, published by the Carsey School of Public Policy at the University of New Hampshire, summarizes studies considering the possible effects on agriculture, other industries, and the U.S. economy at large if large numbers of undocumented residents were deported. (Carsey notes there is little research about the impact on deported people themselves.) Because most unauthorized people in the U.S. work, researchers found that the U.S. economy would “noticeably contract” without their contributions. As a result, work opportunities and wages for native-born workers would fall and tax revenues would decline. As domestic production of goods and services dropped, inflation would increase.

Veteran homelessness drops

Veteran homelessness has dropped to its lowest level on record since the annual Point-in-Time count started gathering this data in 2009, the U.S. Interagency Council on Homelessness, HUD, and VA announced. Between January 2023 and January 2024, the number of veterans experiencing any form of homelessness dropped by 7.5% from 35,574 to 32,882. For unsheltered veterans, the number dropped by 10.7% from 15,507 to 13,851. HUD expects to publish the 2024 PIT data later this year.

Guide covers access to behavioral health services for people experiencing homelessness

The Substance Abuse and Mental Health Services Administration’s guide, Expanding Access to and Use of Behavioral Health Services for People Experiencing Homelessness, highlights trauma-informed strategies for housing providers and behavioral health practitioners to conduct outreach with persons experiencing homelessness and seeking stable housing and sustained recovery.

Improved oversight and enforcement of H-2A farmworker visas recommended

A Government Accountability Office report, H-2A Visa Program: Agencies Should Take Additional Steps to Improve Oversight and Enforcement, examines trends in the H-2A farmworker visa program, federal agencies’ processing of employer applications, and investigation of employer violations of program requirements. The study notes that from FY18 through FY23, 84% of the Labor Department’s employer investigations found one or more violations. The most common violations (42%) related to pay, while 30% involved transportation, and other subjects including housing accounted for 28%.

HAC

CIRD workshop plans park revitalization

Over the last year and a half, the Citizens’ Institute on Rural Design has helped 25 rural communities tackle their place-based design challenges in arenas from farmworker housing to educational trail developments. The final design workshop of the 2023-2024 CIRD cohort took place in September in Dublin, Texas. CIRD worked with the Dublin Public Library, park staff, city officials, and others on design concepts to revitalize an existing park pavilion and parkland to create a functional, accessible park for all.

HAC is hiring

HAC job listings and application links are available on our website.

• Research Associate
• Financial Controller
• External Affairs Specialist
• Training Implementation Specialist

Need capital for your affordable housing project?

HAC’s loan fund provides low interest rate loans to support single- and multifamily affordable housing projects for low-income rural residents throughout the U.S. and territories. Capital is available for all types of affordable and mixed-income housing projects, including preservation, new development, farmworker, senior and veteran housing. HAC loan funds can be used for pre-development, site acquisition, site development, construction/rehabilitation and permanent financing. Contact HAC’s loan fund staff at hacloanfund@ruralhome.org, 202-842-8600.

Please note: HAC is not able to offer loans to individuals or families. Borrowers must be nonprofit or for-profit organizations or government entities (including Tribes).

Want to reprint a HAC News item?

Please credit the HAC News and provide a link to HAC’s website. Thank you!

TOP STORIES

Lame duck Congress to reconvene November 12

When members of the 118^th Congress return to work next week they will face a continuing resolution that expires December 20, a need for significant disaster recovery funding, and an expired Farm Bill. One possible outcome is a supplemental disaster appropriations bill that also extends the CR for FY25 funding to March, after the next Congress is seated.

At press time, control of the House in the 119^th Congress has not yet been determined, but Donald Trump’s reelection and a Republican majority in the Senate can be expected to lead to changes in federal housing and rural development policy.

Control of key Senate committees will change. Sen. John Boozman (R-AR) is expected to become chair of the Senate Agriculture Committee, with Sen. Amy Klobuchar (D-MN) becoming the top Democrat. Sen. Tim Scott (R-SC) is in line to chair the Banking Committee, which has jurisdiction over housing programs. Sen. Scott has been rumored as a candidate for President-elect Trump’s cabinet or another senior political appointment, in which case Sen. Mike Crapo (R-WY) would chair the committee. With Sen. Sherrod Brown (D-OH) having lost his seat, next in line to become ranking member is Sen. Jack Reed (D-RI), although he is unlikely to give up his Ranking Member position on the Armed Services Committee. Sen. Mark Warner (D-VA) is next in seniority, but would also be required to give up a coveted Ranking Member position on the Intelligence Committee; if he chose not to do so, Sen. Elizabeth Warren (D-MA) is next in line.

HAC policy recommendations highlighted by HousingWire

It’s Time to Address Rural America’s Housing Crisis, an opinion piece by HAC President and CEO David Lipsetz, describes three steps federal policymakers can take to address the misalignment between rural needs and federal housing aid: craft tax policy that accounts for the economics of rural America’s housing markets, empower USDA to more forcefully shape the next generation of housing policy, and streamline federal housing programs and grow rural communities’ capacity to use them.

November honors Native Americans, veterans, and military families

November is both National Native American Heritage Month and National Veterans and Military Families Month.

RuralSTAT

Approximately 53% of Native Americans live in rural communities. Source: HAC tabulations of the U.S. Census Bureau’s 2020 P.L. 94-171 Redistricting Data.

REGULATIONS AND FEDERAL AGENCIES

Recorded deed restrictions proposed to keep Section 538 properties affordable

Rental properties with mortgages guaranteed under USDA’s Section 538 program are required to remain affordable for the original term of the mortgage. If a mortgage is prepaid and no separate deed restriction was recorded, USDA has no way to enforce the affordability requirement. A proposed regulation would require recordation of a separate deed restriction stating that the housing must remain available for occupancy by low- and moderate-income households for the original term of the guaranteed loan. Comments are due January 6, 2025.

Federal Home Loan Bank Affordable Housing Program simplified for rentals

A new bulletin from the Federal Housing Finance Agency is intended to make it easier for project sponsors to apply for grants or subsidized advances from the Federal Home Loan Banks’ Affordable Housing Program to develop rental housing. Advisory Bulletin 2024-05: Affordable Housing Program: Determining the Need for Affordable Housing Program Subsidy in Rental Projects addresses feedback from program users regarding subsidy determinations and compliance burdens.

IRS requests input on regulations for energy efficient home improvement credit

The Section 25C energy efficient home improvement credit, as modified by the Inflation Reduction Act of 2022, allows an individual taxpayer to receive a credit for the taxable year equal to 30% of the cost of qualified energy efficiency improvements, residential energy property expenditures, and home energy audits. The IRS has proposed rules for manufacturers to register to be qualified manufacturers and rules for taxpayers to calculate the credit. Comments are due December 24. Requests to speak at a public hearing on January 21 are also due December 24.

Treasury issues National Strategy for Financial Inclusion

The Treasury Department has released a National Strategy for Financial Inclusion in the United States with recommendations for policymakers, industry, employers, and community organizations to advance consumer access to safe financial products and services and strengthen financial security. The strategy recognizes rural residents as among those who are underserved by the country’s current financial system.

National Flood Insurance premiums can now be paid monthly

FEMA has revised the regulations for the National Flood Insurance Program to offer NFIP policyholders the option of paying their annual flood insurance premium in monthly installments.

PUBLICATIONS AND MEDIA

U.S. underproduced housing by 3.85 million homes in 2022

2024 Housing Underproduction in the U.S., a study from Up for Growth, examines the gap between housing and need at all income levels. The research found that in 2022, for the first time in more than a decade, housing underproduction decreased by 50,000 homes. This slight improvement was driven by low interest rates and historic demand for housing as the effects of the coronavirus pandemic began to lessen. In 24 states, however, housing underproduction worsened between 2021 and 2022. The average U.S. state had a housing deficit of 75,000 homes.

Report considers policies for heirs’ property and wealth preservation

The Asset Funders Network released a new publication, Heirs’ Property: Policies to Preserve Wealth, with an accompanying state-specific Texas: Checklist of State and Local Legal Heirs’ Property Protections and a brief on the Impacts of Heirs’ Property on Homeowners in North Texas. These briefs highlight state and local policies that impact heirs’ property owners and present a checklist to inform planning for education and advocacy in municipalities.

Black/white wealth gap almost unchanged from 1992 to 2022, report shows

The Racial Wealth Gap 1992 to 2002, published by the National Community Reinvestment Coalition, reports that in 1992 median Black wealth was about 14% of median white wealth. In 2022, it was 15%, and the wealthiest 80% of Black households held less wealth than the median White household. The wealth of Black and Hispanic households is increasingly reliant on homeownership, NCRC reports, with insufficient liquid assets leaving their economic positions more fragile and more susceptible to market fluctuations.

Study shows broadband’s impact in rural places

The Center on Rural Innovation reports in Beyond Connectivity: The Role of Broadband in Rural Economic Growth and Resilience that higher broadband utilization (higher broadband adoption rates and a higher prevalence of small broadband service providers) improves the economic dynamism of rural areas. Rural communities that are better connected and have access to additional services that allow users to effectively leverage that connection see a more significant economic impact, while comparable underserved communities experience economic stagnation, even when comparing regions with the same demographics, economic conditions and poverty rates. The report includes closer looks at specific communities in Georgia, Minnesota, and Montana.

CIRD town manager receives award for economic and revitalization efforts

Luke Dyer, manager of the town of Van Buren, Maine, credits participation in the Citizen’s Institute on Rural Design’s Design Learning Cohort for spurring improvements in Van Buren. Dyer will be honored with the William F. King Jr. Downtown Champion Award on November 7 during Maine’s Downtown Conference. This award recognizes downtown revitalization efforts throughout the state.

HAC

HAC is hiring

HAC job listings and application links are available on our website.

• External Affairs Specialist
• Training Implementation Specialist

Need capital for your affordable housing project?

HAC’s loan fund provides low interest rate loans to support single- and multifamily affordable housing projects for low-income rural residents throughout the U.S. and territories. Capital is available for all types of affordable and mixed-income housing projects, including preservation, new development, farmworker, senior and veteran housing. HAC loan funds can be used for pre-development, site acquisition, site development, construction/rehabilitation and permanent financing. Contact HAC’s loan fund staff at hacloanfund@ruralhome.org, 202-842-8600.

Please note: HAC is not able to offer loans to individuals or families. Borrowers must be nonprofit or for-profit organizations or government entities (including Tribes).

Want to reprint a HAC News item?

Please credit the HAC News and provide a link to HAC’s website. Thank you!

TOP STORIES

Disaster recovery information available from HAC

HAC has published disaster response guides for those affected by Hurricane Helene and Hurricane Milton. HAC’s Rural Resilience website offers tools for readiness, response, and recovery, including HAC’s detailed guide, Prepare Your Organization to Respond and Recover from Natural and Man-Made Disasters.

Lawsuit filed to expand freeze on new H-2A farmworker rule

A group of growers and others has filed a legal action challenging new regulations that add protections for farmworkers with H-2A visas. In August a similar suit resulted in a preliminary injunction that blocks implementation of the rule in 17 states. While that case proceeds, the new filing asks a different federal court to declare the regulations unconstitutional and says the plaintiffs will ask to expand the preliminary injunction.

October is Domestic Violence Awareness Month

HUD’s Office of Fair Housing reminds readers that domestic violence and harassment in housing are prohibited by the Fair Housing Act. Housing discrimination complaints can be filed here.

RuralSTAT

In 2021-22, 22% of crop workers interviewed for a Department of Labor survey lived in a dwelling defined as crowded. According to estimates from the U.S. Census Bureau’s American Community Survey, approximately 3.4% of households nationally are crowded. Source: U.S. Department of Labor, Findings from the National Agricultural Workers Survey (NAWS) 2021–2022: A Demographic and Employment Profile of United States Crop Workers and HAC tabulations of  2018-2022 American Community Survey data.

OPPORTUNITIES

AmeriCorps support and small grants available for disaster-impacted communities

SBP, a national nonprofit disaster recovery organization, offers assistance to locally based nonprofits. Its Disaster Recovery AmeriCorps Program assists impacted communities in long-term recovery and rebuilding efforts. November 1 is the deadline to apply for grants from two SBP programs to aid homeowners with low and moderate incomes. National Long Term Recovery Grants are for local long-term disaster recovery nonprofits providing rebuild services for presidentially declared disasters within the past four years. Preparedness and Resilience Micro Grants are for local nonprofits providing resources and support for individuals and community members at high risk for extreme weather or climate events.

Grants offered for community environmental justice projects

Eleven groups that are administering funds from EPA’s Environmental Justice Thriving Communities Grantmaking Program are beginning to offer pass-through subgrants to nonprofits, Tribal governments, local governments, and others in communities affected by environmental or public health issues. A wide variety of project types are eligible, including healthy homes efforts, small land purchases, testing, and surveying. Application processes and deadlines will vary among the 11 regional “Grantmakers,” most of which have not yet issued RFPs. One of them, the Environmental Protection Network, is collecting information about all 11 RFPs here.

REGULATIONS AND FEDERAL AGENCIES

USDA changes compliance date for HOTMA tenant income provisions

To be consistent with the deadlines HUD announced in September, USDA is extending full implementation of Housing Opportunity Through Modernization Act regulations. HOTMA requirements will apply to certifications of income for tenants in USDA-financed rental housing effective on or after July 1, 2025.

Manufactured housing pilot extended again

USDA is extending its manufactured housing pilot in the Section 502 direct and guaranteed programs until May 1, 2025 while it continues to work on a final rule that will make the pilot’s new flexibilities available nationwide. A proposed rule was published in August 2023.

Guidance offered on emergency pull cords in USDA properties

USDA does not require emergency call systems (often called pull cords) in rental units it finances, but where such systems are in place they must be operational. Systems that are not operational must be removed, according to new USDA guidance, which notes that they can give tenants a false sense of security.

Floodplain rule corrected

FEMA has issued a correction to a Federal Flood Risk Management Standard regulation published in July.

EVENTS

Register now to learn more about the Citizens’ Institute on Rural Design

Join CIRD online on October 24 for our 2023-2024 local design workshop showcase, titled CIRD’s Local Design Workshops: The Process Explained. CIRD is a leadership initiative of the National Endowment for the Arts in partnership with HAC. With support from a wide range of design, planning, and creative placemaking professionals, CIRD design workshops bring together local residents and local leaders from nonprofits, community organizations, and government to develop actionable solutions to specific design challenges. To learn more about CIRD’s workshop process from the perspective of our workshop communities, our design partners at TBD Studio, and others, register here for the showcase.

PUBLICATIONS AND MEDIA

Report provides national survey data on farmworkers

The Department of Labor has published its report on the 2021-2022 National Agricultural Workers Survey. While limited, the NAWS provides some insight into the characteristics of farmworkers in the United States. As one of the most impoverished groups in the nation, farmworkers continue to earn low wages with mean and median incomes in the $20,000-$24,999 range and experience working conditions that hinder their ability to access affordable housing.

Webinar looks at expanding rural development capacity

A recorded webinar titled Advancing Inclusive Development in Rural Towns explores efforts by the Brookings Institution and LISC to expand capacity and development in three rural Indiana towns. Leaders involved in this effort discuss increasing local involvement in policymaking, expanding local capacity, and improving access to local and regional resources to spur rural development.

New report considers accessory dwelling units for affordable housing

The Joint Center for Housing Studies of Harvard University and NeighborWorks America released a new report, Nonprofit Accessory Dwelling Unit (ADU) Programs as Affordable Housing Strategies, finding that ADUs fulfill a range of housing needs in rural, suburban, and urban areas. Regulations, zoning, and financing impact the provision of ADUs in some communities.

Podcast focuses on rural philanthropy

Funding Rural, a podcast now in its second season, features voices from across rural, remote, and Indigenous spaces who are working to bring change to the areas and communities they serve. The Daily Yonder recently posted an interview with podcast host Erin Borla.

American Housing Survey to begin collecting monthly data

The American Housing Survey, the country’s most comprehensive housing survey, is currently conducted every two years. Starting in May 2025, it will be run as a continuous operation with new data collected every month. Celebrating the AHS’s 50th anniversary this year, Census and HUD note that in 1973, there were about 76 million housing units in the U.S., compared to 145.3 million in 2023. The two agencies also released new housing data from the 2023 AHS.

HAC

HAC is hiring

HAC job listings and application links are available on our website.

• Training Implementation Specialist

Need capital for your affordable housing project?

HAC’s loan fund provides low interest rate loans to support single- and multifamily affordable housing projects for low-income rural residents throughout the U.S. and territories. Capital is available for all types of affordable and mixed-income housing projects, including preservation, new development, farmworker, senior and veteran housing. HAC loan funds can be used for pre-development, site acquisition, site development, construction/rehabilitation and permanent financing. Contact HAC’s loan fund staff at hacloanfund@ruralhome.org, 202-842-8600.

Please note: HAC is not able to offer loans to individuals or families. Borrowers must be nonprofit or for-profit organizations or government entities (including Tribes).

Want to reprint a HAC News item?

Please credit the HAC News and provide a link to HAC’s website. Thank you!