March 4, 2005

HUD Budget Hearing Held in House

The House Financial Services Committee held a hearing on March 2nd to examine HUD’s budget request for FY 2006. HUD Secretary Alphonso Jackson testified before the committee. Several committee members expressed concerns in their opening statements regarding the new budget-based funding of Section 8 Housing Choice Vouchers, proposed funding cuts to Community Development Block Grants (CDBG), Section 811 housing, and HOME block grants. Concerns were also raised about the President’s proposal to move CDBG and other community development programs to the Department of Commerce. In his prepared testimony, HUD Secretary Jackson addressed some of the Representatives’ concerns. In response to the issue of budget-based Section 8 vouchers, he stressed that the Section 8 program currently consumes 60% of HUD’s budget, and that that percentage is expected to rise. Jackson believes HUD should give PHAs more flexibility in administering Section 8 programs, including adjusting subsidy levels according to local market rents and eliminating administrative red tape to make the programs more efficient. In response to the proposal to move CDBG to the Department of Commerce, Jackson stated that the move would make the program more “targeted,” “unified,” and “accountable.” He did not mention the Administration’s proposed cuts to CDBG, nor did he mention cuts in the Section 811 or HOME programs.

Senate Appropriations Committee Restructures

The Senate Appropriations Committee announced its new structure in a press release issued Wednesday, March 2nd. As a result of the restructuring, HUD will now be overseen in the Senate by the Transportation, Treasury, the Judiciary, Housing and Urban Development, and Related Agencies subcommittee. HUD was formerly overseen by the VA-HUD and Independent Agencies subcommittee. Senate Appropriations Committee Chairman Thad Cochran said the changes in the Appropriations Committee structure “will allow for a more orderly approach to the appropriations process.” The members of the newly created Transportation, Treasury, the Judiciary, Housing and Urban Development, and Related Agencies subcommittee are:
Republicans: Democrats:
Senator Christopher Bond (MO) (Chairman) Senator Patty Murray (WA) (Ranking Member)
Senator Richard Shelby (AL) Senator Robert C. Byrd (WV)
Senator Arlen Specter (PA) Senator Barbara Mikulski (MD)
Senator Robert Bennett (UT) Senator Harry Reid (NV)
Senator Kay Bailey Hutchison (TX) Senator Herb Kohl (WI)
Senator Mike DeWine (OH) Senator Richard Durbin (IL)
Senator Sam Brownback (KS) Senator Byron Dorgan (ND)
Senator Ted Stevens (AK) Senator Patrick Leahy (VT)
Senator Pete Domenici (NM) Senator Tom Harkin (IA)
Senator Conrad Burns (MT)
For more information, see: https://appropriations.senate.gov/releases/record.cfm?id=232718.

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