Legislative Update (Taken from the Online NACCED Alert dated January 8, 2008)
It's Time to Renew Your NACCED Membership! Please look for your dues invoice in the mail next week. If you have any questions, please contact Brian Lawson and 202-367-1149 or
. A special thanks to everyone who has already renewed.
Mark Your Calendar The NACCED Legislative Conference in Washington, DC will be held March 6 - 8, 2009. Friday, March 6 will be an all day training session on the Neighborhood Stabilization Program (NSP) that will include and update as well as an overview of emerging best practices. Stay tuned for additional details and hotel information!
Legislative Update President-elect Obama Seeks Bipartisan Agreement on Stimulus Legislation
In a series of meetings with congressional leaders on both sides of the aisle President-elect Barack Obama is seeking bipartisan agreement on the broad outlines of a package of spending increases and tax cuts designed to turn around an economy that he characterized as bad and getting worse. In an effort to secure the support of Republicans the President-elect has promised that the package would contain at least $300 billion in tax cuts for both middle class families and business, along with at least $350 billion in spending on infrastructure and other aid for the states to deal with huge Medicaid liabilities. Details of the infrastructure spending piece are sketchy at best, with press accounts identifying it as construction and reconstruction of roads bridges and water infrastructure. NACCED, NACo and others such as the U.S. Conference of Mayors are pushing for inclusion of at least $10 billion in Community Development Block Grant (CDBG) funds to be run through the regular program structure. A survey of NACCED members showed that there are in excess of $550 million in projects that could be underway in three to six months. The U.S. Conference of Mayors has identified in excess of $12 billion in ready to go projects that are CDBG-eligible. Some of them, only identified by the title of the project, have come under criticism by the press and Senate Minority Leader Mitch McConnell (KY).
The Democratic Leadership in the House had hoped to have a stimulus bill ready for the President-elect to sign upon his inauguration. That has slipped into at least mid-February. Republicans are calling for hearings, while the conservative "Blue Dog" Democrats are pushing for inclusion in the legislation of language that would bind Congress in the future to paying for spending increases and tax cuts with offsets (so-called "pay-go").
Around The Agency
Office of Affordable Housing Drafting Regulations to Implement the GSE Housing Trust Fund Officials in HUD's Office of Affordable Housing are drafting regulations that would implement the Government-Sponsored Enterprises (GSEs) Housing Trust Fund that was established under the Housing and Economic Recovery Act of 2008 (HERA) in July 2008. Under the law Fannie Mae and Freddie Mac are required to place an amount of their "profits" in a fund to stimulate investment in housing that principally benefits "extremely low-income" (households at 30% of median income or less) housing.
During the first year, 100 percent of the Housing Trust Fund monies are pledged to cover any losses that might occur from defaults under the Federal Housing Administration's (FHA) Hope for Homeowners (H4H) program. In subsequent years the amount going to H4H would decrease (50% in 2010, 25% in 2011 and zero by 2012) with the balance each year allocated to the states by a needs-based formula.
Unfortunately, both HFH and the Housing Trust Fund are not without their problems - lenders have shown little interest in the HFH program due to the level of the write-off they must take under the program and the GSEs are currently suffering losses so there are no "profits" to place in the Housing Trust Fund. However, according to Office of Affordable Housing staff Congress could appropriate funding for the Trust Fund. Staff says further that they will make the Housing Trust Fund program as "HOME-like" as possible where the statute doesn't direct otherwise. According to HERA the regulation must be promulgated by July 30, 2009.
On a related matter Office of Affordable Housing staff is putting the finishing touches on a new HOME rule, the first such HOME rule update since 1996. It will update the HOME regulations and specifically address CHDO performance standards as well as those Participating Jurisdictions that have not spent their funds set aside for CHDOs. The rule will have to be reviewed by the incoming Obama Administration before it is made final. HUD Approves 22 NSP Action Plan Amendments On December 29, 2008, the Department of Housing and Urban Development (HUD) approved Neighborhood Stabilization Program (NSP) action plan amendments for 22 jurisdictions, including Cobb County, GA and Hillsborough County, FL. To view a full list of approved recipients, click here. According to representatives from HUD, the plans are reviewed by the local HUD office and a recommendation is sent to officials in DC. NACCED received word that two additional recipients were approved Wednesday and that a number of action plan amendments were sent back to the jurisdiction for additional work. HUD is expected to announce the approval of a large number of plans next week and complete the action plan amendment review process before the Bush Administration leaves office.
HUD Awards $49 Million in Grants to Help Low-Income Families Get Job Training and Employment Last Friday, HUD Secretary Steve Preston announced that public housing agencies (PHAs) will receive nearly $49 million through HUD's Housing Choice Voucher Family Self-Sufficiency Program (HCV/FSS). The grants allow PHAs to work with welfare agencies, schools, businesses, and other local partners to develop a comprehensive program to help participating low-income individuals develop the skills and experience to enable them to obtain jobs that pay a living wage. To view the press release and additional details, click here. HUD Announces Plan to Speed Process for Awarding Grants and Accelerate Delivery of Funding On Monday, HUD announced a new streamlined funding process that will accelerate the process of awarding grants to State and local governments, non-profit organizations, and other community-based applicants. HUD will now announce funding notices on a program-by-program basis, an action that will speed up the application process for prospective grantees that would otherwise be required to wait for the publication of HUD's comprehensive funding notice. For additional information on the process and to view the anticipated schedule for release of the Fiscal Year 2009 notices, click here.
Association News
NACCED Annual Report Now Available Online The NACCED Annual Report contains several NACCED Member success stories and is an excellent resource to promote the benefits and accomplishments of the CDBG and HOME programs. NACCED encourages members to share this link with their Congressional Representatives, local and county officials and any other interested parties. To view the NACCED Annual Report, click here.
SAVE THE DATES: NACCED Announces Dates for 34th Annual Conference NACCED's 2009 34th Annual Conference and Training will be held in Chicago, Illinois October 3-7, 2009. Hosted by Cook, DuPage, Lake, and Will Counties and the Village of Oak Park, the conference will take place at the Doubletree Magnificent Mile in downtown Chicago. More information will be forthcoming as the conference draws near.
Record Your Testimonial about NACCED's Nuts & Bolts of CDBG NACCED invites those who have participated in the online training program, The Nuts and Bolts of CDBG, to record a brief testimonial to share with fellow industry professionals. Members are encouraged to submit any positive feedback regarding the class content, objective, and its impact on their business and career as a whole, which staff will then post on NACCED's web site as an audio file. These recordings will give potential candidates a sharper understanding of the session, its purpose, and the benefits attendees will gain as community/economic development professionals upon their completion of the course. If interested in working with NACCED to record a personal testimonial, you may contact Danielle Kutch at 202.367.2350 or
NACCED Now Accepting Bids to Host 35th Annual Conference Will 2010 be the year your urban county hosts NACCED's 35th Annual Conference and Training? It's never too early to start the process. If you're interested in hosting the conference in fall 2010, please click here or contact Danielle Kutch at
Legislative Update (Taken from the Online NACCED Alert dated December 18, 2008)
NACCED Meets with HUD Transition Team & Congressional Leaders
Recently, NACCED participated in separate meetings with representatives from President-elect Obama’s HUD transition team, Speaker Pelosi’s (D-CA) office and Majority Leader Reid’s (D-NV) office. At each meeting the representatives were presented with a letter from the coalition outlining community development, affordable housing and economic development priorities for the 111th Congress and incoming Administration.
An important topic raised during the meetings was the inclusion of $10 billion in emergency Community Development Block Grant (CDBG) funds as part of any stimulus bill or economic recovery package. The need for these funds was demonstrated by using the list of ready-to-go projects provided by NACCED members totaling $525 million as well as a list provided by the Mayors that totaled $12 billion. All parties seemed receptive to the recommendations of the coalition. To view the letter, which was sent to Chairman Dodd (D-CT) and Chairman Frank (D-MA) as well, click here.
Around The Agency
HUD Issues Instructions for FY 2009 Grants.gov Applicants
On Friday, December 5, 2008, the Department of Housing and Urban Development (HUD) issued a notice providing instructions to potential applicants applying for funding under HUD’s Fiscal Year (FY) 2009 grant programs available through Grants.gov. The notice covers changes to the Grants.gov registration process scheduled for January 2009, the opportunity to register early and other important information for electronic application submissions via Grants.gov. To view the notice in its entirety, click here.
NACCED Applauds Obama’s Pick for HUD Secretary
On Sunday, December 14, 2008, in his weekly Democratic Radio Address, President-elect Barack Obama announced he would nominate Shaun Donovan, currently New York City Commissioner of Housing Preservation and Development, as Secretary of Housing and Urban Development (HUD). NACCED applauds Obama’s selection of Donovan as Secretary as he is a long time advocate of affordable housing issues. To view more about the announcement and Donovan’s accomplishments, click here.
Association News
NACCED Annual Report Now Available Online
The NACCED Annual Report contains several NACCED Member success stories and is an excellent resource to promote the benefits and accomplishments of the CDBG and HOME programs. NACCED encourages members to share this link with their Congressional Representatives, local and county officials and any other interested parties. To view the NACCED Annual Report, click here.
SAVE THE DATES: NACCED Announces Dates for 34th Annual Conference
NACCED's 2009 34th Annual Conference and Training will be held in Chicago, Illinois October 3-7, 2009. Hosted by Cook, DuPage, Lake, and Will Counties and the Village of Oak Park, the conference will take place at the Doubletree Magnificent Mile in downtown Chicago. More information will be forthcoming as the conference draws near.
Record Your Testimonial about NACCED's Nuts & Bolts of CDBG
NACCED invites those who have participated in the online training program, The Nuts and Bolts of CDBG, to record a brief testimonial to share with fellow industry professionals. Members are encouraged to submit any positive feedback regarding the class content, objective, and its impact on their business and career as a whole, which staff will then post on NACCED's web site as an audio file. These recordings will give potential candidates a sharper understanding of the session, its purpose, and the benefits attendees will gain as community/economic development professionals upon their completion of the course. If interested in working with NACCED to record a personal testimonial, you may contact Danielle Kutch at 202.367.2350 or
.
NACCED Now Accepting Bids to Host 35th Annual Conference
Will 2010 be the year your urban county hosts NACCED's 35th Annual Conference and Training? It's never too early to start the process. If you're interested in hosting the conference in fall 2010, please click here or contact Danielle Kutch at
.
(Taken from the Online NACCED Alert dated November 18, 2008)
Have you checked out the Foreclosure Toolbox at www.nacced.org?
The Foreclosure Toolbox is one of many resources provided by NACCED to assist members throughout the Neighborhood Stabilization Program (NSP) grant process. Several urban counties have already submitted information that may assist you in the development of your plan. For example, if you need help determining which areas within your county to distribute funds, check out the Cuyahoga County, Ohio NSP Targeting Memo. Your plan could be the next great resource. If you are a direct grantee we are requesting that you submit your plan or other supporting documents to be used as an example for other NACCED members. Even if you're plan is not 100% complete, it may be a useful tool for other members. All materials posted in the Foreclosure Toolbox will be accessible to members only. If you did not receive a direct grant, we need examples of how you will be applying through the state for funds. Send your examples to
Legislative Update
Congress Returns this Week for a Lame Duck Session; Action on Large Stimulus Measure Not Expected
This week the House and Senate return to Washington for a post-election "lame duck" session. Although an attempt will be made in the Senate to bring up a large economic stimulus package with funding for infrastructure projects, it is not expected to survive opposition from Republicans and the White House. Instead, a narrow extension of unemployment benefits and possibly aid to the auto industry is all that is likely to pass.
President-elect Barack Obama has said that he will make a major economic stimulus package with funding for job-creating infrastructure projects the first order of business for the new Congress, which convenes January 20, 2009. A recent survey of NACCED members found that 48 counties have nearly $450 million in infrastructure projects that could get underway in three to six months. You can view the survey here.
NACCED, NACo and several other national associations have called on Congress to appropriate $10 billion in additional Community Development Block Grant (CDBG) funding as a means of stimulating the economy through job creation and public improvements. You can see the letter here.
What Might an Obama Administration and the New Congress Mean for Affordable Housing and Community Development Programs?
NACCED members must be wondering what's ahead for their affordable housing and community development programs in an Obama Administration and a Congress that is more heavily democratic than the 110th Congress. It is anticipated that NACCED, NACo and others won't have to play defense as often as they have during the last several years as first elimination and then deep cuts to the CDBG program were proposed.
As already noted, the new President expects to push through a major economic stimulus bill with funding for infrastructure. Although no details have surfaced, CDBG would be an appropriate vehicle for spending infrastructure funds.
Although the outgoing Bush Administration will probably again propose a $1 billion cut in CDBG formula funds in its FY 2010 budget, the FY 2010 budget that President Obama presents will not contain such a cut. The Democratic Party Platform speaks of restoring the cuts to CDBG over the past several years. That said, with all of the funding committed to the current financial crisis, there will be little in the way of new spending.
As a result of the election there will be larger majorities of Democrats in the House and Senate. The Senate will consist of at least 55 Democrats (three races are still not yet decided), plus two Independents that caucus with the Democrats. This larger majority will mean that the Democrats will occupy more seats on such committees as the Senate Banking Committee. Two Republicans on that committee retired, Senators Wayne Allard (CO) and Chuck Hagel (NE), and a third, Elizabeth Dole (NC), was defeated. Committee Chairman Christopher Dodd (D-CT) has announced that he will remain Chairman.
In the House Democrats increased their majority to 254 seats (eight races are still not decided) and Republicans have 173. Like the Senate this will increase the Democratic margins on committees such as the Financial Services Committee. Two committee Republicans lost election and a third retired. Democrats lost two committee members.
The House Appropriations Committee's Subcommittee on Transportation and Housing and Urban Development will lose Rep. Joe Knollenberg, the ranking republican.
Around The Agency
HUD Issues Long Anticipated Mortgage Reform Rules Under RESPA
Last Wednesday, the Department of Housing and Urban Development (HUD) released the Final Rule on the Real Estate Settlement Procedures Act (RESPA). The Final Rule makes several changes aimed at helping consumers to shop for the lowest cost mortgage and avoid costly and potentially harmful loan offers. Most importantly, the Final Rule requires that lenders and mortgage brokers provide consumers with a standard three-page Good Faith Estimate (GFE) that clearly discloses key loan terms and closing costs. HUD estimates its new regulation will save consumers nearly $700 at the closing table. To view the Federal Register notice, click here. To view HUD's announcement and fact sheet, click here.
Association News
NACCED Hosts First Educational Webinar
On Friday, November 7, 2008, NACCED unveiled a new member benefit - Educational Webinars. The first Webinar was a huge success with over 60 participants and focused on the Neighborhood Stabilization Program (NSP). Topics included program design and content for action plan amendments. Thank you to our panelists Paul Herdeg, Housing Manager for Cuyahoga County, OH and Chair of NACCED's Foreclosure Toolbox Task Force, NACCED Past President Norma Drummond, Deputy Commissioner of Planning for Westchester County, NY and Linda Jenkins of the Los Angeles County Community Development Commission. Materials from the webinar are available on NACCED's Foreclosure Toolbox. To view the materials, click here.
SAVE THE DATES: NACCED Announces Dates for 34th Annual Conference
NACCED's 2009 34th Annual Conference and Training will be held in Chicago, Illinois October 3-7, 2009. Hosted by Cook, DuPage, Lake, and Will Counties and the Village of Oak Park, the conference will take place at the Doubletree Magnificent Mile in downtown Chicago. More information will be forthcoming as the conference draws near.
Record Your Testimonial about NACCED's Nuts & Bolts of CDBG NACCED invites those who have participated in the online training program, The Nuts and Bolts of CDBG, to record a brief testimonial to share with fellow industry professionals. Members are encouraged to submit any positive feedback regarding the class content, objective, and its impact on their business and career as a whole, which staff will then post on NACCED's web site as an audio file. These recordings will give potential candidates a sharper understanding of the session, its purpose, and the benefits attendees will gain as community/economic development professionals upon their completion of the course. If interested in working with NACCED to record a personal testimonial, you may contact Danielle Kutch at 202.367.2350 or
NACCED Now Accepting Bids to Host 35th Annual Conference Will 2010 be the year your urban county hosts NACCED's 35th Annual Conference and Training? It's never too early to start the process. If you're interested in hosting the conference in fall 2010, please click here or contact Danielle Kutch at
