Not much new has happened since last week. The Senate has approved the omnibus 2003 appropriations bill (H.J.Res. 2). H.J.Res. 2 includes the 11 unapproved spending bills which should have been signed into law by October 1, 2002.
Recent press reports indicate overall spending in the bill was held to about $390 billion. As mentioned in the January 17th update, the Senate version of the bill introduced by Senate Appropriations Committee Chairman Ted Stevens (R-AK) would have provided the following funding levels for housing programs:
- $16.9 billion for Section 8 certificates;
- $1.03 billion for Section 202 & Section 811;
- $120 million for Section 515 rural housing; and
- $730 million for rural rental housing assistance
As is often the case, legislation changes as it is considered on the Senate floor. The bill included a 2.9 percent across the board spending reduction to pay for increased spending on programs related to education, Medicare, drought aid to farmers, and election reform. This means spending for housing programs could drop to:
- $16.4 billion for Section 8 certificates;
- $1 billion for Section 202 & Section 811;
- $116.5 million for Section 515; and
- $708.8 million for rural rental housing assistance
NAHMA is seeking clarification on the final numbers for this massive bill.
It is also worth noting that the Senate approved an amendment offered by Senator Bond (amendment no. 224) to “permit certain qualified aliens and immigrants access to public and assisted housing consistent with the intent of the 1996 welfare and immigration reform legislation.”
I must emphasize that the process in not over. The Senate must now conference with the House to arrive at a final bill. It is not clear what trade-offs will be made in conference, and it is possible that the across the board reductions will be dropped.
Because the conference process is expected to take a couple of weeks to resolve, there will be another continuing resolution. The current CR expires on January 31. It is possible the President will introduce the 2004 budget before the 2003 appropriations have been resolved. The 2004 budget is expected to be submitted to the Hill on February 4.
Finally, the President will make his State of the Union Address on Tuesday night, January 28. He is expected to emphasize his positions regarding Iraq and taxes in his speech.
