NAHMA Washington Update – February 12, 2016
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President Obama Releases Budget Request for FY 2017
On Tuesday, February 9, the White House Office of Management and Budget (OMB) released President Obama’s budget request to Congress for fiscal year 2017. This is Obama’s last budget request as president and his eighth overall since taking office in 2008.
The budget proposes a total of $1.1 trillion in discretionary spending for FY 2017, which falls in line with the discretionary caps agreed to for the upcoming fiscal year as part of the Bipartisan Budget Act of 2015. For HUD, the budget requests a $1.9 billion increase over the FY 2016 enacted level for a total amount of $48.9 billion. The Administration has also requested increases across the board for rural housing programs administered by the U.S. Department of Agriculture’s (USDA) Rural Development (RD), and alterations to various tax programs, including the Low-Income Housing Tax Credit (LIHTC). Read More
NAHMA HUD Update: HUD Publishes 2016 Qualified Census Tracts and Difficult Development Areas
oday, HUD published the 2016 Difficult Development Areas (DDAs) and Qualified Census Tracts (QCTs). Please visit the HUD website to access the 2016 DDAs and QCTs. For additional information, please find the summary of the HUD notice below:
This document designates DDAs and QCTs for purposes of the Low-Income Housing Tax Credit (LIHTC) under Internal Revenue Code (IRC) Section 42. HUD makes new DDA and QCT designations annually. As previously announced, the 2016 metropolitan DDA designations use for the first time Small Area Fair Market Rents (SAFMRs), rather than metropolitan-area Fair Market Rents (FMRs), for designating metropolitan DDAs. Compared to previous designations, this notice: (1) describes a strengthening of the data quality standard HUD uses in designating the 2016 QCTs, (2) extends from 365 days to 730 days the period for which the 2016 lists of QCTs and DDAs are effective for projects located in areas not on a subsequent list of DDAs or QCTs but having submitted applications while the area was a 2016 QCT or DDA, and (3) establishes the effective date of the new QCTs and DDAs as July 1, 2016 rather than January 1.
The published HUD notice will be uploaded to the NAHMA webpage next week.
NAHMA HUD Update: HUD issues a Proposed Rule on Gender Identity in Community Planning and Development (CPD) Programs
In a press release issued today, HUD announced a proposed rule entitled “Equal Access in Accordance with an Individual’s Gender Identity in Community Planning and Development Programs(CPD) Rule (Gender Identity Rule)”.
NAHMA plans to review this proposed rule in consultation with our Fair Housing Committee and will be submitting comments. The 60-day comment period for this proposed rule closes on January 19, 2016. We invite you to submit your own comments and recommendations for this proposed rule. In order to have adequate time to review and compile all comments, we ask that you submit your comments by January 12, 2016. Please forward your comments to NAHMA’s Director of Government Affairs, Larry Keys, at email@example.com. Read More
NAHMA HUD Update: Project-Based Rental Assistance Industry Day
NAHMA received the following memo from HUD regarding their Project-Based Rental Assistance Industry Day, an event designed to encourage discussion among stakeholders of the industry on the best practices related to HUD’s Performance Based Contract Administration (PBCA) program in support of the Section 8 Project-Based Rental Assistance (PBRA) program.
The intent of this Industry Day is to solicit best practices and ideas from all stakeholders. The concepts and ideas emerging from this forum may be used by HUD as part of the overall plan for implementation of the new process. Please note that this Industry Day is being conducted to obtain best practice information and is not a pre-proposal conference for the planned procurement. HUD will not address any procurement specifics or provide detailed information about the scope of the planned procurement at this time.
NAHMA would like to share best practices with HUD, and we request that members provide their input. The Industry Day will occur on Friday, February 26, 2016 at the primary location: Brooke-Mondale Auditorium, 451 7th Street SW, Washington, DC 20410. There will be various satellite locations across the country.
To provide NAHMA staff with sufficient time to prepare its list of best practices, we ask that you share your input by Monday, February 22, 2016
NAHMA HUD Update: Guidance on Excluding the Use of Arrest Records in Housing Decisions
HUD recently issued the following notice for multifamily owners and management agents containing guidance on excluding the use of arrest records of residents or applicants in housing decisions.
For the past five years, HUD has been an active member of the Federal Interagency Reentry Council. An important aspect of the Reentry Council’s work has been to have each Federal Agency identify and address “collateral consequences” that individuals and their families may face because they or a family member has been incarcerated.
HUD states that the purpose of this Notice is to inform PHAs and owners that arrest records may not be the basis for denying admission or terminating assistance/evicting tenants, to remind PHAs and owners that HUD does not require their adoption of “One Strike” policies, and to reinforce the obligation to safeguard the due process rights of applicants and tenants. The Notice provides best practices and peer examples for PHAs and owners to review.
To view this notice, please click here
In addition to this notice issued by the Office of Housing, HUD’s Office of Public and Indian Housing released a similar notice on this guidance as it applies to other programs.
NAHMA HUD Update: Proposed Fair Housing Rule “Quid Pro Quo and Hostile Environment Harassment and Liability for Discriminatory Housing Practices Under the Fair Housing Act”
In a press release issued today, HUD’s Office of Fair Housing and Equal Opportunity (FHEO) announced a proposed rule entitled “Quid Pro Quo and Hostile Environment Harassment and Liability for Discriminatory Housing Practices Under the Fair Housing Act.”
NAHMA plans to review this proposed rule in consultation with our Fair Housing Committee and will be submitting comments. The comment period for this proposed rule closes on December 21, 2015. We invite you to submit your own comments and recommendations for this proposed rule. In order to have adequate time to review and compile all comments, we ask that you submit your comments by December 11, 2015. Please forward your comments to NAHMA’s Director of Government Affairs, Larry Keys, at firstname.lastname@example.org. READ MORE
NAHMA Tax Credit Update: State Housing Credit Ceiling for 2016 Released
Today, the Internal Revenue Service issued the inflation-adjusted low-income housing tax credit (LIHTC) and private activity bond caps for 2016 in Revenue Procedure 2015-53.
For calendar year 2016, the amount used under § 42(h)(3)(C)(ii) to calculate the State housing credit ceiling for the low-income housing credit is the greater of (1) $2.35 multiplied by the State population, or (2) $2,690,000.
This is an increase over the 2015 amounts, which were $2.30 and $2,680,000. The amount used under §146(d) to calculate the state ceiling for the volume cap for private activity bonds in 2016 is the greater of $100 multiplied by the state population (the same as 2015) or $302,875,000, up from $301,515,000.
To view Revenue Procedure 2015-53, please click here
Financial Services Committee Chairman Urges Public to Offer Issues on Poverty and Housing Affordability
Following the celebration of HUD’s 50th anniversary, Financial Services Committee Chairman Jeb Hensarling (R-TX) requested that members of the public submit new ideas on how best to fight the problems of poverty and housing affordability in America. “Simply put, we must reform and innovate how we provide assistance for housing in the 21st century or we will continue to fail the very people who are in most need of our help. That is why I am calling on all interested advocates, organizations, and ordinary citizens to join the effort to modernize the delivery of federal housing assistance and submit their ideas on how to restructure and rebuild HUD for today’s generation” Hensarling said in a press release. READ MORE
NAHMA HUD Update: HUD OIG Report finds Office of Asset Management did not Comply with its Requirements for Monitoring Management Agent’s Cost
The office of the Inspector General (OIG) for HUD recently released the following report reviewing HUD’s Office of Multifamily Asset Management and Portfolio Oversight as part of OIG’s annual audit plan. OIG’s audit objective was to determine whether HUD adequately monitored its management agents to ensure that front line costs and direct costs were not excessive across the portfolios as identified in audits performed by OIG. READ MORE
To view the report from HUD’s OIG, please click here
NAHMA HUD Update: Section 8 Renewal Policy Guidebook Released
NAHMA recently received the long-awaited revision of the Section 8 Renewal Policy Guidebook. The Section 8 renewal guide is a pivotal document that is used by HUD staff, contract administrators, housing providers, appraisers and other professionals to process the renewal options and understand the policies related to Section 8 Housing Assistance Payment (HAP) contracts that have been renewed or will be renewed under the Multifamily Assisted Housing Reform and Affordability Act of 1997 (MAHRAA).
A key area of focus for NAHMA in this guide has been Chapter 9 (Rent Comparability). READ MORE
To see Comments click here
To view the Section 8 Renewal Policy Guidebook, please click here
NAHMA HUD Update: Proposed Rule for Improving the Previous Participation Reviews of Prospective Multifamily Housing and Healthcare Programs Participants.
HUD recently issued the following rule which would revise HUD’s regulations for reviewing the previous participation in federal programs of certain participants seeking to take part in multifamily housing and healthcare programs administered by HUD’s Office of Housing.
The proposed rule would clarify which individuals and entities will be reviewed, HUD’s purpose in conducting such review, and describe the review to be undertaken. By targeting more closely the individuals and actions that would be subject to prior participation review, HUD hopes to create greater certainty and clarity to the review process. Through this rule, HUD proposes to replace the current previous participation regulations in their entirety. READ MORE
To view this proposed rule, please click here
NAHMA Rural Housing Update: Multifamily Preservation and Revitalization (MPR) Demonstration Program Solicitation of Applications
On Monday, August 3, the USDA’s Rural Housing Service (RHS) announced the application schedule for the next round of Multifamily Preservation and Revitalization (MPR) funds. MPR is a demonstration program designed to preserve and revitalize rural rental housing projects under Section 514, Section 515, and Section 516. READ MORE
To view this notice and to learn more about the application schedule, please click here
NAHMAnalysis: Affirmatively Furthering Fair Housing Final Rule
A new NAHMAnalysis which reviews HUD’s recently issued final rule for Affirmatively Furthering Fair Housing is now available at NAHMA.org.
On July 16, HUD issued the final rule on affirmatively furthering fair housing (AFFH). The final rule comes after the proposed rule received over 1,000 public comments, when it was issued back on July 19, 2013. READ MORE
To view this NAHMAnalysis, please click here