May 20, 2024

Fiscal Year 2025 HUD Funding

May 20, 2024

House Appropriations Chairman Issues Mark-Up Schedule for HUD FY25 Funding Bills

On May 16, House Appropriations Committee Chairman Tom Cole (R-OK) released the markup schedule for Fiscal Year 2025 appropriations bills, including for the Department of Housing and Urban Development (HUD). During the markups, first the Transportation and HUD Subcommittee and then the full House Appropriations Committee will review and vote on proposed funding levels for FY25. The markups follow relatively friendly Congressional hearings in early May, during which acting HUD Secretary Adrianne Todman defended the agency’s funding proposals for next year. Chairman Cole set the subcommittee markup for June 27 and the full committee hearing for July 10, an ambitious timeline meant to set up the Committee for funding bill completion ahead of the fiscal year end in September.

LeadingAge is disappointed in HUD’s request for FY25, in part because it does not seek any funding for new Section 202 homes or new HUD service coordinators. LeadingAge is urging Congress to instead increase funding for affordable housing for older adults, including for the Section 202 program, new service coordinators, and new Older Adult Special Purpose Vouchers. See Congress Must Adequately Fund Affordable Senior Housing, our Action Alert on HUD funding.

May 14, 2024

Senators Seek Bold Housing Funding

On May 10, Senator Robert Menendez (D-NJ) led a letter to Senate Appropriations HUD Subcommittee Chair Brian Schatz (D-HI) and Ranking Member Cindy Hyde-Smith (R-MS) urging strong funding in fiscal year 2025 for affordable housing programs serving older adults and persons with disabilities. Thanks to the advocacy of affordable senior housing stakeholders, who asked their senators to join this letter, 33 senators joined Senator Menendez on the letter. In addition to full contract renewal funding, the letter urges appropriators to include $600 million for capital advances and operating subsidies for new Section 202 homes to help meet existing and increasing need and $253 million to fund 20,000 Older Adult Special Purpose Housing Choice Vouchers.

“Section 202 provides a sensible and necessary approach to meeting our nation’s growing affordable housing needs for seniors, and it is the only federally funded program expressly aimed at doing so. In addition to the Section 202 program, new Older Adult Special Purpose Vouchers should be funded in the FY 2025 bill to prevent and end homelessness among older adults, which is quickly rising,” the letter says.

LeadingAge worked with Senator Menendez’s office on the letter and is grateful for his continued championing of funding for affordable senior housing. Read the letter here.

April 30, 2024

Senators Urged to Join HUD Senior Housing Support Letter

Continuing his championship of funding for affordable housing for older adults and persons with disabilities, Senator Robert Menendez (D-NJ) is circulating a letter among his Senate colleagues in support of $600 million for approximately 6,200 new Section 202 Supportive Housing for the Elderly homes nationwide, an additional $253 million to fund 20,000 Older Adult Special Purpose Housing Choice Vouchers, and sufficient funding to fully renew project-based rental assistance contracts. These are three of LeadingAge’s affordable senior housing priorities.

The letter is addressed to Senators Brian Schatz and Cindy Hyde-Smith, Chair and Ranking Member, respectively, of the Senate Appropriations Subcommittee on Transportation, Housing and Urban Development.

All aging services stakeholders should urge their Senate offices to let Senator Menendez’s staff member, Alfie Feder, know that they will join the letter by May 9.

April 27, 2024

House: No Earmarks for Nonprofits in HUD Funding Bill

The House Appropriations Committee Chair Tom Cole (R-OK) announced on April 25 that he would not allow any earmarks in the HUD fiscal year 2025 spending bill to go to nonprofit organizations. For FY25, Cole said, any earmarks in the HUD funding bill would be restricted to state, local, and tribal governments as well as public colleges and universities. Of the $3 billion in individual project earmarks in the FY24 HUD funding bill, about one-quarter went to nonprofit organizations.

During consideration of HUD’s FY24 appropriations bill, there was much debate and disagreement about whether to fund certain earmarks designated for LGBTQ affordable senior housing and other LBGTQ proposals; these were ultimately not funded by the House but some survived thanks to subsequent Senate inclusion, including one earmark for a LeadingAge member whose funding was stripped during House consideration, much to LeadingAge’s disappointment.

Of his decision to nix nonprofit earmarks from the House’s HUD funding bill for FY25, Cole, who was the chair of the House HUD appropriations committee until his ascension to full committee chair in March 2024, said, “Some of these [earmarks] are unobjectionable, some of them create political problems for people. That’s just the reality of it. I shouldn’t have to have a political problem in my district because I voted for a bill that had your earmark in it.”

April 24, 2024

HUD Funding Hearings FY25: April 30 and May 1

On April 30 and May 1, respectively, the Senate and House HUD appropriations subcommittees will hold hearings on HUD’s fiscal year 2025 budget request. HUD Acting Secretary Adrienne Todman is the sole witness at both hearings.

LeadingAge is disappointed in HUD’s request for FY25 because, in part, it does not seek any funding for new Section 202 homes or new HUD service coordinators. LeadingAge is urging Congress to instead increase funding for affordable housing for older adults, including for the Section 202 program, new service coordinators, and new Older Adult Special Purpose Vouchers.

Take Action: Congress Must Adequately Fund Affordable Senior Housing.

March 11, 2024

President Releases Fiscal Year 2025 HUD Budget Proposal

The White House released and sent to Congress its Fiscal Year (FY) 2025 budget summary. Because of strict budget caps imposed by the Fiscal Responsibility Act of 2023, the Administration’s budget balances mostly level funding with proposals for new initiatives for aging services, including on workforce, Medicaid, immigration, and affordable housing.

Overall, the President proposed relatively flat funding for the Department of Housing and Urban Development (HUD) but included a number of bold initiatives for housing affordability and access, including for older adults. Like in Fiscal Year 2024, the President proposed guaranteed Housing Choice Vouchers for certain populations and is seeking the first new project-based rental assistance contracts in decades, designed to serve extremely low-income households. Newly this year, the President is proposing to establish a $20 billion “innovation fund” that would help invest in new multifamily housing development, as well as a new tax credit for first time homebuyers and grants to help local efforts on eviction prevention.

The proposal also renews existing project-based Section 8 and Section 202 Supportive Housing for the Elderly contracts, seeks renewal funding for Service Coordinators, and requests supplemental funding to preserve Section 202 units undergoing conversion through the Rental Assistance Demonstration (RAD). Missing from the proposal is significant new investment in Section 202 and Service Coordination.

Notably, the budget proposes continuity funds for the Affordable Connectivity Program, which will sunset as early as May 2024 without urgent investment.

Again, this is just the first move in a long and complex set of discussions and negotiations that will determine the actual budget for the federal government next fiscal year. Further LeadingAge analysis is forthcoming.