WASHINGTON, D.C. – November 17, 2011 – (RealEstateRama) — Congress is poised to pass a FY12 budget for housing programs that would damage federal efforts to provide and maintain homes for the lowest income people. H.R. 2112, the minibus appropriations bill for Transportation, Housing and Urban Development, and Related Agencies (T-HUD); Agriculture, Rural Development, and Food and Drug Administration; and Commerce, Justice, and Science, passed out of conference committee this week and will come to a vote in the House and Senate today.
The portion of the minibus relating to the Department of Housing and Urban Development (HUD) results in a 9% cut below FY11 funding levels, with some programs facing even deeper cuts. Housing construction programs would be slashed, and federal initiatives to end homelessness could come to a standstill.
“Cutting funding for low income housing does not mean the need goes away. It simply means thousands of low income people will be left without the resources they require to survive,” said Sheila Crowley, President and CEO of the National Low Income Housing Coalition. “Our members tell us that they are already turning away families in search of housing. This budget would just make that situation worse.”
On the policy side, the budget proposal includes language authorizing the Rental Assistance Demonstration program. This program would allow HUD to convert public housing to project-based Section 8 contracts. Conversion would allow public housing agencies to leverage private dollars to preserve public resources for the lowest income people. The language in the conference report increases residents’ rights in conversion and mandates long-term affordability of converted units. Low income housing advocates support these policy provisions,
The House of Representatives is scheduled to vote on H.R. 2112 at noon today, with the Senate vote coming soon after.
Further details on the FY12 proposal, with comparisons to previous years’ budgets, can be found at http://www.nlihc.org/doc/FY10_11_12_Budget_Chart_Comparisons.pdf
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Established in 1974 by Cushing N. Dolbeare, the National Low Income Housing Coalition is dedicated solely to achieving socially just public policy that assures people with the lowest incomes in the United States have affordable and decent homes.
Contact:
Amy Clark, 
