Trump Administration Budget Outline Released

Updated March 16, 2017, 4:30 p.m. Eastern – Links added at the bottom of this page to some relevant information from other housing organizations and news media.

March 16, 2017, 11:15 a.m. Eastern – The notes below cover the parts of the Trump Administration’s budget outline relevant to rural housing and community development. The budget document, named “America First: A Budget Blueprint to Make America Great Again,” is the first step in a long process. Its contents are proposals, not law. A more detailed budget request from the Administration will be released later, probably in May.

USDA:

Total funding reduced by 21% from the FY17 CR level; the CR level is too low for Sec. 521 Rental Assistance and Sec. 542 vouchers
No specific mention of RHS or rural housing programs
Eliminates Water and wastewater loan and grant program. “Rural communities can be served by private sector financing or other Federal investments in rural water infrastructure, such as the Environmental Protection Agency’s State Revolving Funds.”
“Reduces staffing in USDA’s Service Center Agencies to streamline county office operations, reflect reduced Rural Development workload, and encourage private sector conservation planning.”
Eliminates RBS “discretionary activities,” “a savings of $95 million from the 2017 annualized CR level.”

HUD:

Total funding 13.2% lower than the FY17 CR; the CR level is too low for HUD’s rental assistance programs
Eliminates CDBG, HOME, SHOP, Choice Neighborhoods, Section 4 (which funds Enterprise Community Partners, LISC, and Habitat for Humanity)
Increases lead funding to $130, an increase of $20 million over FY17 CR
Native American housing programs are not mentioned

Agencies and offices eliminated include:

Appalachian Regional Commission
Corporation for National and Community Service (AmeriCorps and similar volunteer programs)
Delta Regional Authority
Denali Commission
Legal Services Corporation
Neighborhood Reinvestment Corporation (NeighborWorks America)
Northern Border Regional Commission
U.S. Interagency Council on Homelessness
Economic Development Administration (part of the Commerce Dept.)

Other programs eliminated include:

Weatherization Assistance in Energy Dept.
LIHEAP, calling it “a lower-impact program” that “is unable to demonstrate strong performance outcomes.”
CSBG, saying it duplicates other federal programs “and is also a limited-impact program.”
“Federal support for Amtrak’s long distance train services, which have long been inefficient and incur the vast majority of Amtrak’s operating losses”
CDFI Fund grants, $210 million savings from FY17 CR
Energy Star
“infrastructure assistance to Alaska Native Villages and the Mexico Border” from EPA

Other notes:

“Supports substance abuse treatment services for the millions of Americans struggling with substance abuse disorders. The opioid epidemic, which took more than 33,000 lives in calendar year 2015, has a devastating effect on America’s families and communities. In addition to funding Substance Abuse and Mental Health Services Administration substance abuse treatment activities, the Budget also includes a $500 million increase above 2016 enacted levels to expand opioid misuse prevention efforts and to increase access to treatment and recovery services to help Americans who are misusing opioids get the help they need.”
“Supports VA programs that provide services to homeless and at-risk veterans and their families to help keep them safe and sheltered.”
“All Federal agencies will be responsible for reporting critical performance metrics and showing demonstrable improvement. OMB will also regularly review agency progress in implementing these reforms to ensure there is consistent improvement.”
“Provides $1.5 billion, an increase of more than $100 million, for the U.S. Census Bureau to continue preparations for the 2020 Decennial Census. This additional funding prioritizes fundamental investments in information technology and field infrastructure, which would allow the bureau to more effectively administer the 2020 Decennial Census.”

Remember:

This is FY18 only; FY17 funding still up in the air; current CR for FY17 expires April 28
This is federal “discretionary” funding only; the full budget will cover mandatory spending (e.g., Social Security) and tax proposals, as well as more details on discretionary
Congress has to approve funding levels, and is expected to disagree with many of the cuts proposed by the Administration

Some links: