The proposed Consolidated and Further Continuing Appropriations Act of 2015 (CR-Omnibus) also extend the demonstration period through 2018. This is a big win for the U.S. Department of Housing and Urban Development (HUD.)
In growing RAD from the current 60,000-unit cutoff, this legislation provides for the conversion of all properties on the RAD waiting list. With limited redevelopment options available to public housing authorities (PHAs), and a substantial public housing capital improvements backlog, the RAD provisions in the CR-Omnibus bill will open another avenue for some housing authorities to leverage capital for needed improvements.
However, the spending bill cut HUD program funding by $90 million, which is far less severe than the original proposal passed by the House. HUD’s Choice Neighborhoods Initiative, Home Investments Partnerships (HOME) program, and Community Development Block Grants (CDBG) are all on the chopping block in the CR-Omnibus bill, with allocations lower than fiscal year 2014 enacted levels.
$80 million for the Choice Neighborhoods Initiative. The agreement includes language requiring that at least $50 million be made available to PHAs and provides up to $5 million to assist communities in developing strategies for implementing the program with community notice and input.
$900 million to remain available until September 30, 2018, for the HOME program.
$3.066 billion for the Community Development Fund, to remain available until September 30, 2017. Of the total, the agreement provides $3 billion in formula funding and $66 million for Indian tribes, including $6 million for grants for mold remediation and prevention.