Congress Agrees on a Continuing Resolution for FY 2017: Housing Programs Survive

Despite dramatic spending cuts proposed by the Trump Administration, legislative leaders in Washington have come to an agreement that will fund the federal government for the balance of FY 2017 at levels similar to FY 2016.  While still underfunding many important affordable housing programs, advocates across the board are applauding this agreement and see it as a hopeful sign for future appropriations. The charts below compare the final FY 2017 appropriations with the 2016 final, President Obama’s proposed FY 2017 budget and the House and Senate budget resolutions for the current year.  We extend our thanks to Bob Rapoza and the National Rural Housing Coalition for these charts.

The next big test will come late this summer as Congress and the President must agree on a FY 2018 spending plan before the October 1st deadline.  NYS Rural Advocates will be working over the summer to make sure that the Upstate New York Congressional delegation understands the impact of HUD and USDA programs on the communities they represent.  We hope you will join us in that effort.

Federal Housing and Community Development Programs
HUD Appropriations – Selected Programs, FY 16 Final, FY 17 Budget, House, Senate and Final
$ In millions
HUD FY 16 Final FY 17 Budget FY 17 House FY 17 Senate FY 17 Final
HOME 950 950 950 950 950
Capacity Building 0 0   0  
Transformation Initiative 0 0 0 0  
Housing Counseling 47 47 55 47 55
Community Development Fund 3060 2880 3060 3000 3060
  CDBG Formula funding 3000 2800 3000 3000 3000
Choice Neighborhoods Initiative 125 200 100 80 137.5
Housing Trust Fund** 170 136      
SHOP 55.7# 10* 50# 54#  
Section 108 Program Level 300 300 300 300 300
Section 202 Housing for Elderly 423 505 505 505 502.4
EPA FY 16 Final FY 17 Budget FY 17 House FY 17 Senate FY 17 Final
Clean Water SRF 1393 979   1393.8 1393.8
Safe Drinking Water SRF 863 1020   863 863

 

Agriculture Appropriations — Selected Programs ($ in millions) FY 16 Final, FY 17 Budget, House, Senate, and Final
RHS/RUS Programs FY 16 Final FY 17 Budget FY 17 House FY 17 Senate FY 17 Final
502 Single Family Direct 900 900 1,000 900 1,000
502 Single Family Guaranteed 24,000 24,000 24,000 24,000 24,000
504 Loans 26.28 26.277 26.277 26.278 26
504 Grants 28.7 28.7 28.7 28.7 #28.7
514 Farm Labor Housing Loans 23.855 23.857 23.9 23.857 23.855
515 Rural Rental Housing 28.4 33.074 35 40 35
516 Farm Labor Housing Grants 8.4 8.3 8.4 8.336 8.336
521 Rural Rental Assistance 1389 1405 1,405.03 1,405.03 1,405.03
523 Self-Help TA 27.5 18.493 30 27.5 30
533 Housing Preservation Grants 3.5 0 3.5 3.5 #5
538 Rental Housing Guaranteed 150 230 200 230 230
Multi-Family  Restructuring* (BA) 37 37.362 40 40 41.4
Housing Preservation  Demonstration 0 0 0 0 0
Voucher Demonstration (15) (18) (18) (18) 19.4
Supervisory TA Grants 0 0 0 0 0
Community Facility Loans 2200 2,200 2,200 2200 2,600
Community Facility Grants 25 37 43.778 42.278 30
Community Facility Guarantee 148 0 148.305 156.25 148.305
Water-Wastewater Loans 1200 803 1,250 1200 1,200
Water-Wastewater Grants 364 350 533 364.38 391.98
Water-Wastewater Guarantee 50 0 0 50 50
Solid Waste Grants 4 1 4 4 4
Small Systems Revolver 1 1 1 1 1
Rural Business Enterprise Grants 24 33 43 24 24
Intermediary Re-lending 18.9 18.889 18.889 18.889 18.889
RCDI 4 4 4* 4 4
B&I 919 892 919 919.765 919.765
Rural Microenterprise Investment BA/Program Authority 0 4/32 0/0 0/0 0/0
   Rural Microenterprise Investment Grants 0 4 0 0  

 

NYS Adopts FY 2017/2018 Budget

Nine days into the start of a new state fiscal year, New York State has a budget.  After working through the weekend of April 1st and 2nd, the Governor and Legislature agreed to a budget extender that would have covered state fiscal operations through the end of May.  While the Governor appeared content to delay the full budget for two months, the Legislature went to work the following Monday and began passing regular budget bills midweek. (See the attached table)

Among the first of the bills to be passed was the Education, Labor and Family Assistance (ELFA) Article VII bill which, among other things allocates funds from “off budget” sources including what are known as the excess reserves of the SONYMA Mortgage Insurance Fund (MIF).  The ELFA provides $22.960 million to fund the Rural Rental Assistance Program, an amount thought to be sufficient to cover all existing contracts.  ELFA Article VII also provides funding from the MIF to support the Rural and Neighborhood Preservation Programs at the levels recommended by Governor Cuomo in the executive budget.  RPC is funded at $3.539 million, a cut of $200,000 from last year’s funding levels.  Unless NYSHCR intervenes administratively, the budget is expected to result in reduction in annual RPC contracts of about $3,400.  The ELFA Article VII fails to provide the increase that Rural Advocates had called for the NYS Rural Housing Coalition providing just $150K for the Coalition’s important training and TA programs.

The Legislature also included $1 million for the Mobile and Manufactured Home Replacement Program in the ELFA Article VII which will supplement another $13 million over five years to come from the capital programs bill discussed below.

In a departure from long standing policy of using the Mortgage Insurance Funds only to support related housing programs, the final agreement resulted in $12.5 million of MIF funding to go to “municipal relief” for the City of Albany.

 

A Capital Projects Bill was agreed to late last week and was voted on by the Senate over the weekend.  The bill finally resulted in an agreement on spending details for a Governor Cuomo’s $2 billion plus housing capital plan.  After almost two years of back and forth, the agreement on the five year plan will cover the 2016/2017 and 2017/2018 fiscal years and looks very much like what the Governor had proposed as an MOU in September of 2016.  In their one house budget resolution, the Assembly had proposed a fairly dramatic overhaul of the plan in order to provide the New York City Housing Authority with a $400 million increase over the $100 million in the Cuomo proposal.  The final plan provided NYCHA with an allocation of $200 million by reducing the allocations of funding for new construction, rehab and preservation of multi family housing through the Housing Trust Fund.  Advocates were pleased to see that the final agreement also provided language detailing process, reporting and other administrative details for how this massive investment was to be managed.  In the fall of 2016 Rural Advocates had formally called for the inclusion of such details in the final agreement, and although the executive budget did not address the issue, the final agreement did.

The Capital Projects budget held other programs of interest to Rural Advocates at the levels proposed by Governor Cuomo.  Traditional Access to Home is funded at $1 million; HOPE/RESTORE is scheduled to receive $1.4 million and the NY Main Street program is again provided with $4.2 million.  The Affordable Housing Corporation is funded at $26 million.

The $10 million that Rural Advocates and other had called for to support to continued mortgage foreclosure services was not included in the budget as an agreement had been reached for the Attorney General to continue to operate foreclosure prevention services using settlement funds on hand through March of 2018.  Additional funding will be needed to cover the 2018/2019 State fiscal years.

 

Watch for more details of the state budget as well as information on federal budget issues at the Rural Advocates blog https://ruraladvocates.wordpress.com/

State Budget Update – Assembly “one house”

The folks at the State Capitol got yesterday off due to the snow storm and therefore, things seem to be running a little behind.  Both houses of the legislature were due to release their proposed changes to Governor Cuomo’s budget executive budget as “one house” bill on Monday.  As of this morning, the Assembly has published a pretty comprehensive summary of their proposed changes to the budget.

The Assembly:  the Assembly is proposing several changes to the Education, Labor and Family Assistance, Article VII bill.  The Assembly would fund RPC/NPC at $22.2 million which would be a $4 million increase over what the Governor has proposed.  This amount would be $3.3 million more than last year’s enacted budget – enough to provide a $15k per group increase over last year’s funding level.  The Assembly would also provide “carve out” for the housing coalitions but they do not specify an amount for them.

The Assembly would include $10 million in MIF funding for foreclosure prevention services for the coming year.  They would also commit $20 from unspecified settlement funds to provide foreclosure services next year.

The Assembly would reduce Governor Cuomo’s proposed funding for the Rural and Urban Community fund by $8.7 million bringing the proposed appropriation for the program to $27.3 million.

The Assembly proposes to make substantial changes to the Governor’s proposal for the $2 billion House NY 2020 program.  The Assembly would add $400 million for the NYC Housing Authority bringing the total appropriation for NYCHA to $500 million.  They would get the $400 by reducing several other components of the program.  They would zero out the Governor’s proposed $45 million for the Rural and Urban Community Fund; They would zero out the $150 million middle income rental program; reduce multi-family new construction by $125 million; multifamily preservation would be reduced by $100 million to $77 million; Small projects would be reduced by $30 million to $32.5 million.  The Assembly would add $50 million under House NY 2020 to fund Housing for the Developmentally Disabled.

The Senate:  we have yet to see anything is writing from the Senate but we have been told that they will propose a million dollar increase for both the NPC and RPC programs and they would carve out $250K for the Rural Housing Coalition.  We also understand that the Senate intends to provide $10 million for foreclosure prevention services.

More news as it develops

NYS Rural Advocates 2017 Legislative Conference

 

NYS Rural Advocates 2017

Legislative Conference

 

February 27, 2017 – Holiday Inn Express Downtown

February 28, 2017 – Empire State Plaza

Monday, February 27, 2017

We begin at 3:00 PM with Advocates Board hosting a legislative briefing and dinner meeting at the Albany Holiday Inn Express Downtown, (300 Broadway)

All Rural Advocates members are encouraged to attend.  Our agenda will include an overview of Rural Advocates 2017 Legislative Agenda, updates on legislative action to date,  a review of Tuesday’s legislative appointment schedules, and tips on making the ask.  We want to make the most of your time in Albany.  Our discussion will focus on of YOUR rural housing concerns including:

  • Advocating for an RPC funding increase
  • The Importance of a permanently funded HOPP program
  • Exploring the role and challenges of manufactured housing

Tuesday, February 28, 2017

On Tuesday we move to the Capitol for legislative visits. Plan on making appointments with your Senators and Assembly members and join with others in your region to inform them of the impact of your work.  Rural Advocates will coordinate meetings with Legislative and Administration leaders.  Please contact us at nysruraladvocates @gmail.com if you need assistance.

Registration Deadline Feb 15, 2017: Return the form below with payment to NYS Rural Advocates: PO Box 101, Cambridge, NY 12816.   Phone: 518-573-2255. Registration of $109 includes dinner, gratuities and advocacy materials. (Please feel free to contribute your beverage of choice)

A block of rooms are reserved for the NYS Rural Advocates at the Holiday Inn Express Downtown at $115, please call 518.434.4111 and use code RAC or book online

 

 

 

 

NYS Rural Advocates 2017

Legislative Conference

 February 27, 2017 – Holiday Inn Express Downtown

February 28, 2017 – Empire State Plaza

Registration

I (we) will be participating in NYS Rural Advocates’ Legislative Conference and will be advocating for the Rural Preservation Program and a fair shake for Rural New York!

 

Name: _____________________________________________________________

Organization: _______________________________________________________

Number of Attendees: _________________

Amount Enclosed $ ___________________

Names of Additional attendees: ________________________________________

__________________________________________________________________

 

 

Cuomo introduces budget: funds RPCs at a slightly reduced level

New York Governor Andrew Cuomo released his $152.3 billion executive budget proposal Tuesday night.  The Governor’s briefing materials point out that the increase in this year’s proposal is once again less than 2% – and we note that this is accomplished in part by funding programs such as Rural Preservation “off budget”.  RPC base funding of $3.539 million is provided by sweeping “excess revenues” from the Mortgage Insurance fund included in an Article VII bill rather that including it  in one of the five regular appropriations bills.  The MIF funding for RPC will be supplemented by the RPC’s share of the final $6 million installment of JP Morgan Chase settlement funds.  Budget negotiations in 2016 resulted in $2 million in additional funds for RPC/NPC.  Advocates will be working to have supplemental funds included in this year’s budget as well.

Advocacy Day a Great Success

Thanks to all who took the time from their frantic schedules to meet with legislators and leadership to explain the conditions in  your community and the need for affordable housing.  Remember to follow up with thanks and requests for updates and reports of all the good work you do in the district.  One house bills expected very shortly and then negotiations on the final budget begins.  Remember, this doesn’t work without your participation!

MWBE community meetings scheduled

Two New York State’s Disparity Study Community Meetings, a component of the State’s Disparity Study have been scheduled upstate in Albany and Binghamton. These meetings, led by Mason Tillman Associates, will inform the local community and businesses about the Study, which assesses the policies related to maximizing MWBE participation and outreach, its methodology and legal standard. For more information regarding the Disparity Study and statewide community meetings click here.

Capital Region
Thursday, March 10th
SUNY Polytechnic Institute
College of Nanoscale Science and Engineering
257 Fuller Road
Albany, NY 12203

Southern Tier
Wednesday, April 27th
Binghamton University’s Innovative Technologies Complex
85 Murray Hill Road
Vestal, NY 13850