Due to a lapse in Congressional Appropriations for Fiscal Year 2019, parts of the federal government shut down on December 22, 2018 and remain closed as funding negotiations continue between Congress and the White House. About a quarter of the government, including HUD and USDA, remains affected by the shutdown; agency ability to make payments on contract renewals hinges on existing and available budget authority. Both agency websites will not be updated, and most staff have been furloughed since the beginning of the shutdown.
NAHMA members are beginning to experience funding delays and contract non-renewals. A longer shutdown will be more serious for owners/agents and tenants, agency staff, and overall program operations. NAHMA continues to urge Congress and the White House to come to an agreement for full-year FY19 funding for housing and community development programs as soon as possible.
Is the shutdown impacting your operations, your staff, or your tenants?
It is imperative that ALL NAHMA Members review and monitor the funding level on your contracts. With the exception of the 1,150 non-renewed contracts described below, it is NAHMA’s understanding that all other PBRA contracts have funding or access to reserves to at least cover January and February operations. If this is not the case, please let us know as soon as possible so that we can help address the issue and relay the message to decision-makers in Washington.
1/10/19 – Contract Non-Renewals due to Funding Lapse
This week, NAHMA, our industry partners, and national media outlets learned that an estimated 1,150 contracts were not renewed prior to government shutdown, despite HUD’s assurances prior to government shutdown. Specifically, HUD was not able to renew 650 rental assistance contracts up for renewal in December and an additional 500 January contracts will not be renewed. If you are one of these contracts, it is imperative you follow the memos below to ensure you are speaking with the appropriate HUD staff that can address your problem. Due to the government shutdown, HUD is operating with a very limited staff nationally.
Shutdown Resources and Agency Information
- NAHMA Letter to Congressional Leaders (January 10, 2019)
- NAHMA Fact Sheet on the Impacts of a Shutdown (available soon)
- NAHMA Grassroots Alert to Re-Open the Federal Government
- NEW! Template Shutdown Letter to Congress
- HUD Contingency Plan in the Event of a Government Shutdown (December 22, 2018)
- HUD Shutdown Memo: Multifamily Production and Asset Management (January 4, 2019)
- HUD January 9, 2019 Communication to affected owners (January 10, 2019)
- NEW! Map and List of Non-Renewed Contracts due to shutdown – National Low Income Housing Coalition (January 15, 2019)
- USDA Rural Development Plan for Operations in the Absence of Appropriations (December 21, 2018)