President Trump has signed into law an Omnibus Appropriations Bill that would fund the Federal Government through the end of FY-2017.
The following chart outlines HUD funding under the Omnibus bill:
| HUD Programs | Enacted Funding FY 2016 | Omnibus Proposed Budget FY 2017 | Difference Between 2016 Enacted and 2017 Omnibus |
|---|---|---|---|
| PROPOSED INCREASE IN FUNDING (Figures in Millions of Dollars) | |||
| Project-Based Rental Assistance | 10,622.0 | 10,816.0 | 194.0 |
| Tenant-Based Rental Assistance | 19,628.5 | 20,292.0 | 663.5 |
| Public Housing Capital Fund | 1,900.0 | 1,941.5 | 41.5 |
| Homeless Assistance Grants | 2,250.0 | 2,383.0 | 133.0 |
| Choice Neighborhoods Initiative | 125.0 | 137.0 | 12.0 |
| Housing for the Elderly Program | 432.7 | 502.4 | 69.7 |
| NO PROPOSED CHANGE IN FUNDING (Figures in Millions of Dollars) | |||
| HOME Investment Partnerships | 950.0 | 950.0 | no change |
| Community Development Block Grants | 3,060.0 | 3,060.0 | no change |
| PROPOSED DECREASE IN FUNDING (Figures in Millions of Dollars) | |||
| Public Housing Operating Fund | 4,500.0 | 4,400.0 | (100.0) |
| Housing for Persons with Disabilities Program | 150.6 | 146.2 | (4.4) |
The legislation also makes several notable policy changes impacting HUD programs. Notable highlights include:
- Section 211: Extends the ability of the HUD Secretary to authorize the transfer of some or all project-based assistance, debt held or insured by HUD and statutorily required low-income and very low-income use restrictions, if any, associated with one or more multifamily housing projects to another multifamily housing project or projects. This includes transferring authority in phases. Certain conditions must be met to be eligible to transfer subsidy under this authority. This authority has been granted to the HUD Secretary in previous years in the Appropriations legislation.
- Section 212: Sets forth additional requirements for Section 8 voucher eligibility relating to individuals with disabilities
- Section 223: Creates new procedures whereby HUD can replace management agents, impose civil money penalties on properties, abate Section 8 contracts and pursue transfer of a project to a new owner for projects that fail REAC inspections and fail to correct deficiencies within a specified time table.
- Section 239: Extends the Rental Assistance Demonstration program through 2020 and raises the cap for the program from 185,000 units to 225,000 units.
- Section 243: Prohibits HUD funds from being used to direct grantees to undertake specific changes to existing zoning laws as part of carrying out the final “Affirmatively Furthering Fair Housing” Rule
The $1.07 trillion budget agreement does not include any of the $18 billion in domestic program cuts initially requested by the White House, but did meet President Trump halfway in regards to military spending – an increase of $15 billion. The agreement is also devoid of funding for constructing a wall on the southern border, though it does include $1.5 billion towards border security. The spending bill will likely pass, as it is mostly void of the “poison pill” riders opposed by Democrats. The bill would also do away with Obama-era parity between defense and non-defense spending, something many Republicans will be happy about. It’s possible some hard-line conservatives will vote against the spending bill, as it maintains funding for programs like Planned Parenthood, continues funding to “sanctuary cities”, and lacks border wall funding. The bill seems to have enough bipartisan support, however, for the conservative faction in the House to be outweighed.
