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HAC News... information on rural low-income housing issues

June 22, 2011

Vol. 40, No. 13

HOUSE PASSES FY12 USDA FUNDING BILL WITHOUT CHANGES. On June 16 the House approved H.R. 2112 with a 0.78% across-the-board cut. Amendments to eliminate funding for Section 523 self-help housing were defeated by both the Subcommittee and Committee, and one to reduce funding for Section 504 grants was rejected on the House floor. Also defeated was an effort to move money from the Foreign Agricultural Service to Section 542 vouchers and USDA business programs. A funding table is at http://www.ruralhome.org and the bill’s text is at http://thomas.loc.gov/home/approp/app12.html. The House will begin work on HUD funding in July. When the Senate begins action on FY12 appropriations bills it is expected to propose higher housing figures than the House.

HUD OFFERS FUNDS FOR NATIVE INSTITUTIONS AND SECTION 3 COORDINATORS. The deadline for Alaska Native/Native Hawaiian Institutions Assisting Communities is August 1; contact Robert S. Kroll, HUD, 213-534-2601, robert.s.kroll@hud.gov. The deadline for entities receiving Section 3 funds to request coordinator funding is July 20; contact HUD’s fair housing office, 202-708-3633. Both notices are posted at http://www.grants.gov.

SUSTAINABLE COMMUNITIES REGIONAL PLANNING GRANT ADVANCE FUNDING NOTICE POSTED. Pre-applications are not yet being accepted. Funds will be set aside for areas with populations under 500,000. Visit http://www.grants.gov or http://www.hud.gov/offices/adm/grants/fundsavail.cfm. Contact sustainablecommunities@hud.gov.

WHITE HOUSE RURAL COUNCIL ESTABLISHED. The group, chaired by USDA Secretary Tom Vilsack, consists of numerous federal agencies. President Obama’s June 9 Executive Order is available at http://www.whitehouse.gov.

HUD WILL NOT IMPLEMENT RURAL HOUSING STABILITY PROGRAM IN FY11. HUD’s Office of Special Needs Assistance Programs says the funding available this year will not allow HUD to implement many provisions of the HEARTH Act, including the Rural Housing Stability Program, although HUD is working on program regulations. SNAP’s May 16 update is posted at http://www.hudhre.info/hearth/.

HABITAT TO PACKAGE SECTION 502 AND 504 DIRECT APPLICATIONS. Rural Development and Habitat for Humanity have signed a memorandum of agreement intended to improve program access for Habitat participants, according to an Unnumbered Letter dated June 2, 2011 and posted at http://www.rurdev.usda.gov/SupportDocuments/uljune11.pdf. Contact Brooke Baumann, RD, 202-690-4250.

GUIDANCE PROVIDED ON CLOSING MPR PRESERVATION TRANSACTIONS. An RD Unnumbered Letter dated May 31, 2011 includes a matrix showing what closing documents are needed for different types of transactions. Intended to supplement handbook HB-1-3560, the UL is posted at http://www.rurdev.usda.gov/SupportDocuments /ulmay11.pdf. Contact Bonnie Edwards-Jackson, RD, 202-720-0759, bonnie.edwards@wdc.usda.gov.

RD INSTRUCTS FIELD STAFF ON EVALUATING MULTIFAMILY PROPERTIES IN DEFAULT. An Unnumbered Letter dated May 18, 2011 explains steps to be taken in evaluating and resolving servicing actions related to properties with defaulted Section 515 or 514 loans. Visit http://www.rurdev.usda.gov/SupportDocuments/ulmay11.pdf. Contact Stephanie White, RD, 202-720-1615.

HUD’S 2010 HOMELESS ASSESSMENT REPORT SHOWS PROGRESS AND PROBLEMS. HUD credits the Homelessness Prevention and Rapid Re-Housing Program with keeping the number of homeless persons unchanged from 2009 to 2010. Over 90% of HPRP clients exited the program to permanent housing. Between 2007 and 2010, however, the number of people using shelters in rural and suburban areas increased 57% and family homelessness increased 20%. 2010 Annual Homelessness Assessment Report to Congress is available at http://www.usich.gov.

TWO STUDIES DOCUMENT HOUSING ISSUES FOR PEOPLE WITH DISABILITIES. Renter households that include people with disabilities are more likely than other renters to face worst case housing needs, according to Worst Case Housing Needs of People with Disabilities - Supplemental Findings of the Worst Case Housing Needs 2009: Report to Congress, available at http://www.huduser.org/portal/publications/affhsg/wcn_disability.html. Supplemental Security Income payments are lower than HUD’s Fair Market Rents for one-bedroom or efficiency rentals in many states and metro areas nationwide, reports Priced Out in 2010 by the Consortium for Citizens with Disabilities Housing Task Force and the Technical Assistance Collaborative, available at http://pricedout.tacinc.org.

FACT SHEET LISTS BENEFITS OF HOUSING COUNSELING. The Center for Housing Policy summarizes research on the impacts housing counseling has in reducing mortgage delinquency and foreclosure. Visit http://www.nhc.org/policy/Papers-Briefs-and-Fact-Sheets.html.

CONGRESSIONAL DISTRICT PROFILES UPDATED WITH The National Low Income Housing Coalition’s snapshots of housing needs in each congressional district and state are at OUT OF REACH 2011 DATA.http://www.nlihc.org.

Housing Assistance Council

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