Capital Briefs
By Caitlin Jones
2 min read
HUD to Allow Decreases in Section 8 Income Limits
HUD has discontinued its previous “hold harmless policy” used in calculating Section 8 program annual income limits, starting with the FY 2010 income limits. The Department, though, will limit all annual decreases in the income limits for affected areas to no more than 5%, and limit all annual increases to 5% or twice the change in the national median family income, whichever is greater. HUD will continue its hold harmless policies in setting HOME program rents and rural housing program income limits.
(http://www2.huduser.org/portal/datasets/il/ILHH_%20Final.pdf)
Administration Submits Legislation for TRA Initiative
The Obama Administration has sent Congress proposed authorizing legislation for its new Transforming Rental Assistance (TRA) initiative. Contained in HUD’s FY 2011 budget request, the proposed multi-year initiative would facilitate the voluntary conversion of existing funding streams for public housing and certain HUD-assisted projects to a single new form of project-based rental assistance, and streamline HUD’s multiple separate rental assistance programs. The budget proposes $350 million for the initiative for FY 2011.
Rural Housing Service Announces Demo Program
USDA’s Rural Housing Service has launched and is soliciting proposals for a new $10 million demonstration program under which it will provide a continuous loan note guarantee covering the construction and permanent financing phases of a project under its Section 538 guaranteed rural rental housing loan program. A May 10 notice provides details and eligibility requirements.
(http://edocket.access.gpo.gov/2010/pdf/2010-10929.pdf)
HUD Revises NSP Program Definitions
A recent HUD notice liberalizes the definitions of “foreclosed” and “abandoned” properties under the Neighborhood Stabilization Program. The changes will permit a broader range of properties to be acquired, renovated, and redeveloped using NSP funds.
(http://edocket.access.gpo.gov/2010/pdf/2010-8131.pdf)
DOE Issues Notice on Weatherizing Buildings
In an April 8 notice, the U.S. Department of Energy (DOE) clarifies how grantees can ensure that the benefits from using federal Weatherization Assistance Program funds to weatherize a multifamily rental building will accrue primarily to the low-income tenants.
