Federal Budget Approved

by Richard W. Brown on December 15, 2009 · Comments

in Advocacy, Ending Homelessness

Discretionary Budget goes to President Obama’s Desk
HUD budget increased by $4.5 billion
McKinney, 811, 202 increased; 10,000 new VASH Vouchers

Resource Links

To view a comparison of the final budget with prior years
prepared by NLIHC click here.

To read the full T-HUD Conference Report click here.

To view a list of earmarks requested by members of the
New Jersey delegation click here.

The final HUD FY10 budget authority is $46.1 billion, a $4.5 billion increase over FY09 funding. Funding levels for HUD programs in the T-HUD conference report reflect compromises between the House’s funding levels and the generally lower levels in the Senate bill. The House had proposed a total budget authority of $47.1 billion, while the Senate proposed $45.8 billion. The majority of programs are funded above the President’s budget request.

Of special interest are:

  • Veterans Affairs Supportive Housing (VASH) vouchers will continue to be funded at $75 million. This will fund 10,000 new VASH vouchers.
  • Homeless assistance grants receive an increase of $188 million over the FY09 level. The $1.865 million funding level is above the House level of $1.85 billion and below the Senate level of $1.875 billion.
  • Additionally, the Military Construction and Veterans Affairs and Related Agencies appropriations bill conference report includes $50 million to renovate vacant Veterans Affairs medical campus properties to be used as supported housing for homeless veterans.
  • Other T-HUD programs providing housing for the elderly and housing for people with disabilities are both funded above FY09 levels. The Section 202 program will receive an increase of $60 million, and the Section 811 program will receive an increase of $50 million.
  • The Housing Opportunities for Persons with AIDS (HOPWA) program will receive a $25 million increase, bringing total funding to $335 million.
  • Second Chance Act funding for programs serving ex-offenders received a $75 million increase, for a total of $100 million in FY 2010.

HUD’s tenant-based rental assistance voucher program is funded at $18.184 billion, in between the House and Senate proposed levels. Contract renewals are funded at $16.3 billion, a level that will likely leave the program with a funding shortfall. Within the tenant-based rental assistance program, family unification program vouchers are funded at $15 million. These vouchers were funded at a higher level in the Senate, not funded in the House, and funded at $20 million in FY09. Tenant protection vouchers and family self-sufficiency coordinators were funded at the higher House levels of $120 and $60 million, respectively. For tenant protection vouchers, the bill represents a $30 million decrease in funding, while family self-sufficiency coordinators will receive an increase of $10 million over last year.

The project-based rental assistance program is funded at $8.5 billion, closer to the House request of $8.7 billion than the lower Senate level, and a significant boost of $1 billion more than FY09. Advanced appropriations were omitted in the Senate budget but are included in the final budget. A general provision will also allow recaptured project-based rental assistance funds from 1975-1987 to be added as budget authority to the program. 

The public housing operating fund receives $4.775 billion in the bill, an amount between the House and Senate requests, while the capital fund is provided $2.5 billion, $50 million more than in FY09. The capital fund has not received more than $2.5 billion dollars since FY05. Within the capital fund program, emergency disaster grants will continue to receive $20 million and the Resident Opportunity and Supported Services program will receive $50 million, an increase of $10 million over FY09. A provision from the Senate bill was included in the conference report that will allow HUD to increase by three the number of housing authorities that are Moving to Work agencies in FY10. 

Instead of either dedicating the House’s proposed increased funding for HOPE VI or moving HOPE VI funds entirely to the Senate’s proposed Choice Neighborhoods Initiative (CNI) line item, the final conference report splits funding between the two programs. While the Administration had hoped to convert the entire HOPE VI program in one fiscal year rather than administer both programs simultaneously, the final budget provides $200 million for HOPE VI ($80 million above the FY09 level), and $65 million for a Choice Neighborhoods Initiative demonstration. The House language on HOPE VI is kept intact, as is the Senate’s language on CNI. Additional conference report language specifies that CNI funds will not be considered public housing funds and that the affordability term of redeveloped properties will be extended by a minimum of 20 years. 

Community Development Block Grants will be funded at $4.45 billion, $600 million above FY09 but below the House-requested level. The HOME program is level-funded at $1.8 billion, consistent with the President’s request and the Senate bill. This is the highest funding level the program has received since FY04.

As requested by the President, the final bill also includes $150 million for a Sustainable Communities Initiative to “improve regional planning efforts that integrate housing and transportation decisions, and increase the capacity to improve land use and zoning.”


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