On March 18, the Trump administration officially released the President’s budget request for FY 2020. The proposal once again outlines the administration’s vision of devastating funding cuts to most HUD programs, including steep cuts to housing and community development programs. Overall the proposed budget would slash HUD funding by $9.7 billion.
Highlights from the President’s budget include:
- Elimination of the Public Housing Capital Fund and subsequent placement of current Capital Fund set-asides in the Operating Fund.
- A 54 percent proration for the Public Housing Operating Fund.
- $20.116 billion for Housing Choice Voucher (HCV) renewals, which NAHRO estimates to be a 95 percent proration.
- $1.718 billion for the HCV administrative fee, which NAHRO estimates to be a 71 percent proration.
- $11.676 billion for Project-based Rental Assistance contracts, which NAHRO estimates will slightly underfund all contracts.
- Elimination of funding for the Community Development Fund, HOME Investment Partners Program, and Housing Trust Fund.
- $37 million decrease in Homeless Assistance Grants compared to FY 2019.
NAHRO strongly opposes the President’s proposed budget cuts and will work to provide necessary and responsible funding for critical housing and community development programs. NAHRO CEO Adrianne Todman notes that, “[housing and community development programs] are more important than ever. Multiple studies have quantified the housing affordability crises that many of us see in our cities and towns nationwide: median housing costs have outpaced incomes, waiting lists are growing, and our precious affordable housing stock continues to dwindle under the weight of age and a decreasing federal commitment.”
It is important to note that this budget is not in effect; it only lays out a blueprint that Congress may choose to follow. NAHRO will continue to fight for increased HUD funding from Congress as well as long-overdue program and regulatory reforms that can reduce costly administrative burdens.
The Public Housing in-depth analysis can be found here.