U.S. Housing Agenda: Officials Outline Plans
By Caitlin Jones
4 min read
Tax Credit Advisor, May 2009: Wonder what lies ahead on the national housing agenda?
On April 20-21, three top Washington housing officials talked about what you can expect in the weeks and months ahead. This includes new housing legislation, increased funding, possible new programs, and close coordination between federal departments on actions and policies pertaining to housing and other domestic programs, such as energy and education.
Speaking at a Washington, DC conference of the National Low-Income Housing Coalition were: Rep. Barney Frank (D-MA), chairman of the House Financial Services Committee; Shaun Donovan, new Secretary of the U.S. Department of Housing and Urban Development (HUD); and Melody Barnes, Director, President’s Domestic Policy Council.
Weatherization Agreement
Donovan announced his department “within days” will sign an agreement to make federal weatherization assistance program funds automatically available for use in HUD programs. Under this program, administered by the Department of Energy (DOE), federal dollars fund energy-efficiency improvements made to homes and apartments owned or rented by low-income households. The American Recovery and Reinvestment Act provides an additional $5 billion for the program.
Donovan indicated that until now an income qualification issue has made it difficult to utilize weatherization program funds on a large scale in housing that utilizes HUD programs. He noted this issue has since been resolved.
The new agreement is the result of a recent announcement by the secretaries of HUD and DOE of a partnership netween HUD and DOE to better coordinate weatherization efforts.
Barnes cited the partnership between HUD and DOE, and recent conversations on housing and education between Donovan and his counterpart at the Department of Education, as examples of the new, more holistic direction and policy by the Obama Administration. This, she explained, is to closely coordinate and leverage federal actions across different federal departments in ways to maximize benefits to low- and moderate-income Americans.
Donovan and Barnes asserted the need for additional changes to not only further affirm fair housing, but also to increase access by minorities and low-income households to transportation, quality health care, and other services, and to increase their access to neighborhoods with greater opportunities. “We must find new ways, in partnership with local areas, in partnership with states and with regional collaborations with governments, to plan in ways that allow access for low-income and minority families to all neighborhoods,” Donovan said.
Donovan indicated that one step in this direction is a new Sustainable Communities initiative that will be proposed in the Administration’s FY 2010 budget request for HUD. He said details of the HUD budget proposal will be released within three weeks. Previously, the Administration issued a rough outline. (For details, see Tax Credit Advisor, April 2009, p. 5.)
Donovan cited some of the highlights in the HUD budget request. For instance, he said it will propose $1 billion in initial funding for the new National Affordable Housing Trust Fund, and propose funding for public housing operating subsidies at a level equivalent to 100% of need.
Housing Legislation
Frank told the group his panel will write legislation this year that restricts subprime mortgage lending, addresses the home foreclosure issue, and promotes the preservation and production of affordable rental housing. He didn’t say when this might happen.
“We will do everything legally possible to preserve every unit of affordable housing that is now set aside” for low-income households, Frank said.
Frank said future legislation also will restore the ability to build new projects under HUD’s Section 8 program, provide funds for the National Affordable Housing Trust Fund, contain protections for renters living in foreclosed properties, and “fix” the HUD housing voucher program.
Frank also indicated that a one-for-one replacement requirement – to mandate a new unit for each affordable unit demolished or otherwise removed from the housing stock – will be made a part of new housing production programs created by the legislation, for future projects.
