The Build Back Better Act includes $150 billion for affordable housing programs, including $501 million for new Section 202 Supportive Housing for the Elderly homes (compared to the original bill’s $2.36 billion for the Section 202 program). The original housing portion of Build Back Better package included $327 billion for affordable housing programs but was cut back significantly, and thankfully not eliminated in its entirety, after lengthy negotiations and pressure to scale the overall Build Back Better bill from $3.5 trillion to $1.75 trillion.

The $450 million in funding is expected to build more than 7,000 affordable homes for older adults with very low incomes over the next ten years. The operating subsidy for these new Section 202 homes will come from Section 8 Project-Based Rental Assistance (not Project Rental Assistance Contracts).

To put into context how important these dollars are, for fiscal year 2021, Congress appropriated $52 million for new Section 202 homes.

The bill includes $7.5 million for a new technical assistance center to help states better target services funding to older adult residents of affordable housing communities. The bill will also fund an unspecified number of new Service Coordinators.

Also within the Section 202 account, the bill provides an additional $42.5 million for HUD’s administration of the new funds.

LeadingAge will continue to work to expand the supply of Section 202 housing through the annual appropriations process.

For housing, the Build Back Better Act also includes:

• $880 million, instead of the original bill’s $15 billion, for new Section 8 Project-Based Rental Assistance.
• $1.77 billion, instead of the original bill’s $6 billion, for energy and water efficiency and climate resiliency improvements to the Section 8 Project-Based Rental Assistance, Section 202, and Section 811 portfolios.
• $1.45 billion, instead of the original bill’s $4 billion, for the preservation and improvement of HUD multifamily housing (the Section 8 Project-Based Rental Assistance, Section 202, and Section 811 portfolios).
• $65 billion to revitalize public housing.
• $25 billion for new Housing Choice Vouchers.
• $15 billion for the national Housing Trust Fund.
• $10 billion for the HOME program.

Each of these programs will be tremendously beneficial to older adults in need of affordable housing.