HUD Funds in Shutdown-Ending Proposal

Legislation | January 01, 2019 | by Linda Couch

House Democrats released an appropriations package on Monday, December 31, that they plan to bring to a House floor vote on Thursday, January 3. The package includes the fiscal year 2019 HUD funding bill. 

The HUD bill within the House Democrat's spending package largely mirrors spending levels found in the Senate’s FY19 HUD appropriations bill. For older adults, that means a total of $678M for the Section 202 account. Within this account is full funding for contract renewals, $90M for Service Coordinators, and $10M for the new home modification program to be carried out by nonprofits, state and local governments, and public housing agencies.

The remaining funds in the account would be for new construction and operating assistance in the Section 202 program; the bill’s summary estimates that $51 million of the bill would be for new Section 202 construction / operating assistance in FY19.

In addition to the Section 202 account, the bill would also provide sufficient funding to adequately renew Section 8 Project-Based Rental Assistance contracts, which undergird one-third of Section 202 communities.

By January 3, the federal government shutdown would be in its 12th day. HUD staff have stated clearly that January contract renewals for the Section 202 program will be difficult to achieve during a shutdown. Enactment of a final FY19 appropriations bill, such as the one described above to be brought up to a vote on January 3, would end the shutdown.

The package does not include funds for a border wall, a priority for President Trump. Therefore, the bill as released is not expected to result in an end to the federal goverment shutdown, which began at midnight on December 21.