HUD has many programs beyond its multifamily housing programs that can contribute to the expansion, preservation, and improvement of affordable senior housing.

From funding provided in the FY22 HUD appropriations bill, HUD distributed $6.3 billion via formula allocations to state and local governments through programs in HUD’s Office of Community Planning and Development (CPD), including the Community Development Block Grant, HOME, national Housing Trust Fund, Housing for Persons with AIDS (HOPWA), and Emergency Solutions Grants programs in May.

HUD has also awarded $3.2 billion in FY22-appropriated funds to 2,813 Public Housing Agencies (PHAs) for the development, financing, and modernization of public housing developments and for management improvements and $775 million to 594 eligible tribes under the Indian Housing Block Grant program to provide funding for affordable housing activities on Indian reservations, in Indian communities, and in Alaska Native villages. Unlike appropriations distributed by formula, funding for new Section 202 Supportive Housing for the Elderly awards is done by a national competition, the application for which is called a “Notice of Funding Opportunity” or NOFO.

Since Congress revived funding for new Section 202 homes in FY17, after strong LeadingAge advocacy to do so, HUD has only released two NOFO rounds (and made two rounds of awards from these national competitions).

LeadingAge joins Congress in our frustration that at least a third NOFO for new Section 202 homes has not been released as waiting lists grow and homelessness increases among older adults. HUD officials have repeatedly told LeadingAge that the NOFO will be released “soon.”

In the report accompanying the House Committee on Appropriations FY23 HUD funding bill, House appropriators admonish HUD’s delay in releasing the next NOFO.

“The Committee recommendation includes $323,000,000 for new capital advances to address the acute shortage of affordable housing for seniors. From fiscal years 2018 to 2022, the Committee has provided a total of $820,000,000 in funds for new construction. To date, the Department has awarded a total of $220,747,752 for 54 awards to create an estimated 3,631 units for very low-income seniors. The Committee directs the Department to make all remaining funding provided in fiscal years 2021 and 2022 available within 60 days of enactment of this Act, and to award that funding within 180 days of enactment of this Act,” the report says. Similar deadlines were included in the FY21 bill’s report, to no avail.

See LeadingAge’s action alert for affordable senior housing funding.