Section 8 Block Grant
House Financial Services Housing and Opportunity Subcommittee Chairman Bob Ney (R-OH) has introduced the Housing Assistance for Needy Families (HANF) Act. The bill number is HR 1841.
HR 1841 is the legislative text of the Administration’s proposal to block grant tenant-based Section 8 assistance. It establishes a HOME-type block grant in that funding will be formula-based and subject to yearly appropriations. A quick review of the bill validates many of the concerns NAHMA initially raised in deciding to strongly oppose the Administration’s budget proposal. Perhaps the biggest continuing concerns are the potential for funding to fall behind cost increases, unrealistic expectations for transitioning from PHA to state administration, and the potential uncertainty in new state requirements. Additional details concerning HR 1841 are forthcoming, and will be presented on the legislative part of NAHMA’s website.
Chairman Ney went to considerable lengths in his press release to explain that this bill was introduced at the request of the Bush Administration. In fact, he even noted on the bill itself that the introduction was “by request.”
Chairman Ney intends to hold hearings on HR 1841. NAHMA has requested the opportunity to testify.
Dividends / LIHTC
Next week, the House Ways and Means Committee is expected to approve a tax bill. Many components of the President’s Jobs and Growth proposal will be included. However, in large part due to the $550 billion tax cut limitation in the budget, the President’s proposed dividend tax repeal is expected to be dropped. Chairman Bill Thomas (R-CA) is expected to propose an alternative measure that treats shareholders’ dividends like capital gains and lowers the capital gains tax rates. Thomas’ staff confirmed to NAHMA the Chairman was “moving more toward capital gains,” but cautioned the decision was not yet official.
Under the Thomas capital gains alternative, the LIHTC would not be affected.
Hearings
FHA Commissioner John Weicher testified before the House Financial Services Housing and Community Opportunity Subcommittee in support of the Administration’s efforts to partner with “faith-based” organizations to provide housing assistance. Please see
https://financialservices.house.gov/media/pdf/042803jw.pdf to view his testimony.
Assistant Secretary for Public and Indian Housing Michael Liu, NAHRO, and others testified before the House Financial Services Housing and Community Opportunity Subcommittee regarding the HOPE VI program’s role in community revitalization. Liu argued HOPE VI has fulfilled its mission, costs more to produce new units than the HOME program, and should be ended. Liu’s testimony can be viewed at
https://financialservices.house.gov/media/pdf/042903ml.pdf. NAHRO argued the program should be reauthorized. For more information, please see
https://financialservices.house.gov/media/pdf/042903ml.pdf.
The Senate’s Special Committee on Aging concluded hearings on a report issued by the Assisted Living Workgroup entitled “Assuring Quality in Assisted Living: Guidelines for Federal and State Policy, State Regulation, and Operations.” Testimony was offered by the Alzheimer’s Association, the American Seniors Housing Association and the National Academy for State Health Policy. This hearing can be viewed at
https://aging.senate.gov/hearings.htm.
