Affordable Housing, Community Development, Federal News, Homelessness, Supportive Housing

Senate Passes HUD Spending Bill: Significant Cuts

 

Housing programs would be cut significantly under Fiscal Year 2012 (FY12) spending levels passed by the U.S. Senate November 1.  H.R. 2112, the "minibus" package incorporating FY12 appropriations bills for Transportation, Housing and Urban Development, and Related Agencies (T-HUD).

Now that both Senate and House have passed differing versions of this appropriations bill, those differences are now being negotiated in Conference Committee, with the goal of considering the reconciled bill on the House floor the week of November 14. The House also is expected to attach a third Continuing Resolution (CR) to the bill to keep the government running into December. The current CR expires on November 18.

HUD and other agencies covered by this bill would have new funding levels for FY12, and the remaining agencies not yet resolved would continue largely at current funding levels under the Continuing Resolution.

The Senate version would fund HUD at over $1 billion less than the House version, and over $5 billion less than President Obama’s proposed budget.  Features of the bill include:

  • Both bills would underfund Tenant Based Rental Assistance (TBRA) contract renewals, resulting in potential loss of up to 40,000 vouchers, according to the National Low Income Housing Coalition.
  • Underfunds Project Based Rental Assistance contract renewals.
  • Both bills make large cuts to the Public Housing Capital Fund, risking loss of tens of thousands of public housing units due to disrepair.
  • State public housing that was recently converted to federal public housing – enabled by the ARRA stimulus bill in 2009 - would no longer be eligible for federal funding.  This would include the 496 units in Connecticut.
  • Both House and Senate fund the McKinney Vento Homeless Assistance Grants at $1.9 billion, less than the almost $2.4 billion proposed in the President’s budget, and advocated by the National Alliance to End Homelessness.

To Learn More:
Chart of housing and community development funding levels FY10-12, by Enterprise Community Partners
Appropriations recap by National Low Income Housing Coalition:

 
 

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