1. No category

FY16 President’s Budget Request
for HUD and USDA
Housing and Community
Development Programs
Dirksen 106
April 27, 2015
C A M PA I G N F O R H OU SI N G A N D C OMMUN I T Y D E VE LOPME NT F U N DI N G
WORKING TO ENSURE MAXIMUM FEDERAL RESOURCES FOR
H O U S I N G A N D C O M M U N I T Y D E V E L O P M E N T.
About the Campaign for Housing and
Community Development Funding
•Formed 30 years ago
•75 national organizational members
•Broad representation of housing and community development field
•CHCDF works to ensure maximum federal resources for housing and community development
• Inform, educate, advocate
• Expand and preserve
•FY16 302b letter signed by 3,020 organizations supporting highest possible THUD 302b
Sequestration-Level Budget Caps Will Force Further Deep
Cuts in Housing & Community Development Programs
• 2015 funding for federal housing and community development assistance programs is 12%
below 2010 funding due to the Budget Control Act spending caps and sequestration
• The HUD budget requires an increase of ~$3 billion in 2016 just to sustain rental assistance for
roughly 5 million families that currently receive it. This is due in part to a more than $1 billion
decline in FHA receipts in 2016
• The 2016 BCA spending cap for non-defense discretionary (NDD) programs is roughly flat
(nominally) with the 2015 spending level
• The House Committee on Appropriations has approved a 2016 THUD allocation (302(b)) that is
$1.5 billion above the 2015 level. The Committee is right to prioritize THUD for a higher
allocation. But at this level, it will be very difficult to sustain rental assistance for the current
number of families without making deep cuts in other HUD and Transportation programs
Public Housing
• Gerard Holder, Council of Large Public Housing Authorities
• FY16 budget request for Operating Fund: $4.6 billion, would meet 86% of HUD-determined need
• FY16 budget request for Capital Fund: $1.97 billion, would meet 53% of accruing need according to HUD
FY10
FY11
FY12
FY13
FY14
FY15
Operating
$4.78 billion
$4.63 billion
$3.96 billion
$4.05 billion
$4.40 billion
$4.44 billion
FY16 HUD
Request
$4.60 billion
Capital
$2.5 billion
$2.04 billion
$1.88 billion
$1.78 billion
$1.88 billion
$1.88 billion
$1.97 billion
• Policy Provisions:
Allows housing authorities to set aside a portion of funds for a replacement reserve account
Allows non-troubled housing authorities with more than 250 units flexibility to use up to 30 percent of capital and operating
funds between accounts
Proposes a $100 million set-aside under the Capital Fund for the Jobs Plus Initiative
Proposes a utilities conservation pilot
Tenant-Based Rental Assistance
•Doug Rice, Center on Budget and Policy Priorities
•FY16 budget request: $21.1 billion, including voucher renewals, Section 811 renewals, Tenant
Protection Vouchers, administrative fees, restoring 67,000 vouchers lost due to sequestration
FY10
FY11
FY12
FY13
FY14
FY15
FY16 budget
request
$18.2 billion
$18.4 billion
$18.9 billion
$18.0 billion
$19.2 billion
$19.3 billion
$21.1 billion
•30,000 of 67,000 “restoration” vouchers targeted on homeless families, veterans, and tribal
families, and to assist victims of domestic violence
•Policy provisions:
• Streamline recertifications of fixed-income households
Project-Based Rental Assistance
•Ellen Lurie Hoffman, National Housing Trust
•FY16 budget request: $10.8 billion
• At least $1.1 billion more needed for FY16 due to shift to Calendar Year funding cycle
FY11
FY12
FY13
FY14
FY15
$9.2 billion
$9.3 billion
$8.8 billion
$9.9 billion
$9.7 billion
FY16 budget
request
$10.8 billion
•Anticipated impact of funding change
•Policy provisions:
• Calendar year funding cycle, restoring 12 month contract funding practice
• Energy retrofit proposal
HOME Investment Partnerships Program
•Althea Arnold, National Council of State Housing Agencies
•FY16 budget request: $1.06 billion, including Self-Help Homeownership Opportunity Program
set-aside
FY10
FY11
FY12
FY13
FY14
FY15
FY16
Budget
Request
$1.8 billion $1.6 billion
$1 billion
$948
million
$1 billion
•Anticipated impact of funding change
•Policy provisions:
• Qualification threshold change, grandfathering provision change
$900
million
$1.06
billion
Community Development Block Grant
•Linda Thompson, Council of State Community Development Agencies
•FY16 budget request: $2.8 billion
FY10
FY11
FY12
FY13
FY14
$4.00
billion
$3.3 billion
$2.9 billion
$3.07
billion
$3.03
billion
•Anticipated impact of funding change
FY15
FY16
budget
request
$3.0 billion $2.8 billion
Homeless Assistance
•Steve Berg, National Alliance to End Homelessness
•FY16 budget request: $2.48 billion
FY10
FY11
FY12
FY13
FY14
$1.8 billion $1.9 billion $1.9 billion $1.9 billion $2.1 billion
FY15
$2.1
billion
FY16
Budget
Request
$2.48
billion
•Anticipated impact of funding change
•Policy provisions:
• Adjusting date for goal of ending chronic homelessness
• Targeted initiatives for homeless people with disabilities, families with children
Section 811 Housing for Persons with
Disabilities
•Dara Baldwin, National Disability Rights Network
•FY 2016 request - $177 million, $25 million for new PRA units and $150 million for PRAC renewals and
amendments
Section 202 Supportive Housing for the Elderly
• Alayna Waldrum, LeadingAge
• FY16 budget request: $455 million
Section 202 Supportive Housing for the Elderly
Including
Total Section 202 Program
(All amounts are in millions)
Section 202 Capital Advance
FY10
FY11
FY12
FY13
FY14
FY15
FY16 Budget Request
$825
$400
$374.6
$374.6
$383.5
$420
$455
$582
$90
0
0
0
0
0
Section 202 Demonstration
-
-
-
-
$20
-
$10
PRAC renewals
$158.1
$183.7
$258.6 est. $290
$350
$365
Service Coordinators
$90
$90
$258.6
est.
$91
$91
$72
$70
$77
2,731
594
0
0
0
0
0
Total Units Awarded
•Level services, but no new units as demand continues to grow
• Policy Changes
• Additional funding for demonstration to study impact of affordable, supportive housing on federally funded senior health
and long-term care needs
Additional Critical HUD Programs
National Housing Trust Fund
•Linda Couch, National Low Income Housing Coalition
•Anticipated funds for NHTF in FY16 included in HUD budget because HUD administers the NHTF.
•Most analysts predict $200 - $250 million for NHTF in 2016, based on annual assessment of 4.2 basis
points of volume of business of Freddie Mac and Fannie Mae.
•Block grant to states for production, preservation, and operation of housing.
•At least 90% for rental and at least 75% for households with incomes below 30% of area median.
•NOT funded through appropriations process.
•Very different, deeper targeting than HOME, LIHTC programs.
Rural Housing Programs
FY11
FY12
FY13
FY14
FY15
FY16
Request
502 Single Fam. Direct
Self-Help set-aside
$1,121
0
$900
0
$900
5
$900
5
$900
5
$900
0
502 Single Family Guarantee
24,000
24,000
24,000
24,000
24,000
24,000
504 VLI Repair Loans
23.4
10
28
26.3
26.3
26.3
504 VLI Repair Grants
34
29.5
29.5
28.7
28.7
26
515 Rental Hsg. Direct Loans
69.5
64.5
31.3
28.4
28.4
42.3
514 Farm Labor Housing Loans
25.7
20.8
20.8
23.9
23.6
23.9
516 Farm Labor Housing Grants
9.8
7.1
7.1
8.3
8.3
8.3
955.6
904.7
907.1
1,110
1,089
1,172
523 Self-Help TA
37
30
30
25
27.5
10
533 Housing Prsrv. Grants
10
3.6
3.6
3.5
3.5
0
30.9
130
150
150
150
200
Rental Prsrv. Demo. (MPR)
15
2
17.8
20
17
19
542 Rural Housing Vouchers
14
11
10
12.6
7
15
Rural Community Dev. Initiative
5
3.6
6.1
6
4
4
USDA Rural Development
521 Rental Assistance
538 Rental Housing Guarantee
•Anticipated impact of
funding changes
•Policy provisions:
• Rental Assistance
proposals including
minimum rents
• Sec. 542 vouchers for
maturing mortgages
Low Income Housing Tax Credit
and Housing Bonds
Questions