Policy
Shawn Poynter / There Is More Work To Be Done
Shawn Poynter / There Is More Work To Be Done
Administration Budget Proposes Minimum Rents and New Limits on Rental Assistance
March 4, 2014: The Obama Administration released its budget proposal for FY15. Most of the figures for USDA rural housing programs are familiar: they are either the same levels suggested in past Obama budgets, or the same as the final appropriations for FY14.
Differences include decreases in two major single-family programs. Section 523 self-help housing funds would be cut from $25 million this year to $10 million. Section 502 direct loans would be cut from $900 million this year to $360 million; as in the past, the Administration states it would rely on the Section 502 and 538 guarantee programs to finance single- and multifamily housing.
The budget promises a legislative proposal for Rental Assistance and rental preservation programs. Legislation on preservation was mentioned in the FY14 budget as well, but no proposal was made public.
Significant changes are proposed for the Section 521 Rental Assistance program in FY15. The budget’s explanatory text states:
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|
USDA Rural Devel. Prog. |
FY13 |
FY14 |
FY15 |
|
502 Single Fam. Direct |
$900 |
$900 |
$360 |
|
502 Single Family Guar. |
24,000 |
24,000 |
24,000 |
|
504 VLI Repair Loans |
28 |
26.3 |
26.3 |
|
504 VLI Repair Grants |
29.5 |
28.7 |
25 |
|
515 Rental Hsg. Direct Loans |
31.3 |
28.4 |
28.4 |
|
514 Farm Labor Hsg. Loans |
20.8 |
23.9 |
23.9 |
|
516 Farm Labor Hsg. Grants |
7.1 |
8.3 |
8.3 |
|
521 Rental Assistance |
907.1 |
1,110 |
1,089 |
|
523 Self-Help TA |
30 |
25 |
10 |
|
533 Hsg. Prsrv. Grants |
3.6 |
3.5 |
0 |
|
538 Rental Hsg. Guar. |
150 |
150 |
150 |
|
Rental Prsrv. Demo. (MPR) |
17.8 |
20 |
20 |
|
Rental Prsrv. Revlg. Lns. |
0 |
0 |
0 |
|
542 Rural Hsg. Vouchers |
10 |
12.6 |
8 |
|
Rural Cmnty. Dev’t Init. |
6.1 |
6 |
0 |
|
a Figures shown do not include 5% sequester or 2.5% across the board cut. |
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