Congress Approves FY 2010 Appropriations Bill for HUD

By
2 min read

Tax Credit Advisor, January 2010: Congress has given final passage to a consolidated appropriations bill (H.R. 3288) containing funding for the federal fiscal year (FY 2010) ending 9/31/10 for the U.S. Department of Housing and Urban Development (HUD) and for numerous other departments and agencies. The measure was sent to President Obama on 12/15/09 for his signature.

H.R. 3288 boosts total annual funding for HUD by 12%, to $46.5 billion. Increases are provided for project- and tenant-based rent subsidies, development of supportive rental housing for elderly and disabled persons (Section 202, 811), public housing, community development block grants, homeless assistance grants, and certain other programs.

The measure also increases funding for the HOPE VI public housing revitalization program from $120 million to $200 million. But $65 million of these new HOPE VI dollars are earmarked for the Choice Neighborhoods Initiative, a new program proposed by the Obama Administration that is intended to replace and build on the HOPE VI program.

Congress still must pass enabling legislation to formally establish the Choice Neighborhoods program. H.R. 3288 also includes funds for other proposed new HUD programs: Sustainable Communities Initiative, Rural Innovation Fund, University Community Fund, and Energy Innovation Fund. The last will be used for pilot programs to finance creative energy-efficiency activities involving multifamily and single-family housing.

The bill directs HUD to issue notices within 60 days after H.R. 3288 is signed to solicit applications for the FY 2010 funds for HOPE VI and the Section 202 and 811 programs.

H.R. 3288 doesn’t provide any funds for the national Housing Trust Fund.

President Obama in October signed a separate bill providing FY 2010 funding for federal rural housing and community development programs.