White House Releases Full FY 2022 Budget Request

Last week, President Joe Biden released the administration’s full fiscal year (FY) 2022 discretionary funding request to Congress. The HUD budget requests $68.7 billion, a $9 billion or 15-percent increase from the 2021 enacted level. In addition to the budget chart below, which highlights selected HUD and USDA programs, President Biden’s budget request includes $800 million for modernization and rehabilitation aimed at energy efficiency and resilience to climate change impacts, such as increasingly frequent and severe floods, in HUD-assisted housing.

On the tax side of things, President Biden requested $55 billion for the LIHTC over five years, or $11 billion per year. Treasury’s Green Book specifies that majority of funds in the president’s budget would target certain opportunity census tracts, defined as those that are entirely in one or more difficult development areas (DDAs) or that have low poverty or other considerations, as determined by the Secretary of the Treasury in consultation with HUD. In addition, the proposal provides a permanent basis boost of up to 50 percent for Housing Credit properties in DDAs.

HUD & RD Housing Programs
 (In millions)
FY20 Enacted FY21 Enacted FY22 President Budget Request Difference Between FY21 Enacted & FY22 Proposed
Tenant Based Rental Assistance 23,874 25,777 30,422 4,645
Public Housing Capital Fund 2,869 2,942 3,500 558
Public Housing Operating Fund 4,549 4,864 4,887 23
Choice Neighborhoods Initiative 175 200 185 (15)
Hsg. Opp. for Persons with AIDS (HOPWA) 410 430 450 20
Community Development Fund (CDBG) 3,425 3,475 3,770 295
HOME Investment Partnerships 1,350 1,350 1,850 500
Rental Assistance Demonstration 0 0 100 73
Project-Based Rental Assistance (PBRA) 12,570 13,465 14,060 45
Hsg. for the Elderly (202) 793 855 928 0
Hsg. For Persons w/Disabilities (811) 202 227 272 40
Section 515 Rental Housing Direct Loans 40 40 40 4,645
Section 521 Rental Assistance 1,375 1,410 1,450 558

Source: National Low Income Housing Coalition