CDFI Accepting Proposals for Technical Assistance and Training

The U.S. Department of the Treasury’s Community Development Financial Institutions (CDFI) Fund is accepting Request for Proposals (RFP) expand technical assistance and training opportunities for community development financial institutions (CDFIs) as part of a new Capacity- Building Initiative to greatly nationwide. This initiative is expected to increase the type of financial products and services to low income communities.

This will make specialized training and technical assistance available throughout the industry and will cover the main issues which affect CDFIs. This includes affordable housing and business lending, portfolio management, risk assessment, foreclosure prevention, training in CDFI business processes, and assistance with liquidity and capitalization challenges. The RFP will cover four key areas;

• CDFI Solutions for Foreclosure Prevention
• CDFI Expansion
• Portfolio Management and Risk Assessment
• Liquidity and Capitalization

The solicitation can be found on FedBizOpps (www.fbo.gov), the Federal government's information clearinghouse for contract opportunities. The contracts will be awarded this fall and that the technical assistance and training will be available to CDFIs the spring of 2010.

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Groups Agree on Tax Credit Changes

According to Affordable Housing Finance magazine 40 national, state and regional groups have agreed to a number of legislative proposals to stimulate the low income housing tax credit (LIHTC) market.

The coalition of organizations have agreed to three key points as part of a grassroots campaign entitled Affordable Rental Housing A.C.T.I.O.N. (A Call To Invest in Our Neighborhood). The three points are:

1. Extend the Exchange Program to Maintain the Development Pipeline in 2010.
2. Immediately Stimulate and Maintain Housing Credit Investment Demand by increasing the Housing Credit Carry back Period.
3. Broaden the Investor Base.

The group is encouraging supports to contact their congressional representatives to press the aforementioned points. For more information on the campaign, go here.

GAO Releases a Report on Fair Lending

The General Accounting Office (GAO) recently released a report on fair lending which explored how effectively federal regulators monitored fair lending practices. The report, entitled, Fair Lending: Data Limitations and the Fragmented U.S. Financial Regulatory Structure Challenge Federal Oversight and Enforcement Efforts, offered the following recommendations:

1. Congress may wish to consider the merits of additional data collection and reporting options.
2. Congress may wish to consider extending the statute of limitations on ECOA violations.
3. Congress may wish to take steps to help ensure that consumers are adequately protected, that laws such as the fair lending laws are comprehensive and consistently applied, and that oversight is efficient and effective.
4. To help strengthen fair lending oversight and enforcement, Department of Justices (DOJ), Federal Deposit Insurance Corporation (FDIC), Federal Reserve System, Federal Trade Commission (FTC), Department of Housing and Urban Development (HUD), National Credit Union Administration (NCUA), Office of the Comptroller of the Currency (OCC), and Office of Thrift Supervision (OTS) should work collaboratively to identify approaches to better assess the potential risk for discrimination during the preapplication phase of mortgage lending.

Magazine Seeks Votes on Housing Development Awards

Affordable Housing Finance has selected 35 affordable housing developments in 10 categories to receive it fifth annual Readers’ Choice Awards. The magazine allows reader to make their selection on-line. Voting is limited to magazine subscribers. The deadline is August 31.


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Conference on Housing Funds Expected in September

The House and Senate is expected to conference on a FY 2010 appropriations bill in September after the House approved its version of the spending bill before adjourning for the August recess. The Senate is expected to take up its spending bill in September. The two chambers will conference before a final bill is submitted to the president for his signature.

There are slight differences in each bill:

1. Community Development Block Grants (CDBG): The House provides $4.6 billion for the CDBG program while the Senate provides $4 billion.
2. HOME Program: The House provides $2 billion for HOME while the Senate provides $1.8 billion.
3. Public Housing Operating Fund: The House provides $4.8 billion and the Senate $4.75 billion.
4. Public Housing Capital Fund: The House and Senate both provide $2.5 billion.
5. Voucher Renewals: Both bills provide $16.3 billion to renew existing vouchers.
6. HOPE VI: The House provides $250 million for the HOPE VI program while the Senate provides $250 million for the president’s proposed Choice Neighborhood Initiatives.

Conferencing both bills is not expected to be contentious.

Urban Institute Releases New Paper on Governments Role in Building Neighborhoods and Schools

The Urban Institute released a paper in July entitled, Vibrant Neighborhoods, Successful Schools: What the Federal Government Can Do to Foster Both, authored by Margery Austin Turner and Alan Berube.

This paper focuses on four principles which affect the performance of schools and the communities where they are located. The four principles are:

1. Low-income children benefit from the resources and learning environment available at schools that also serve middle- and higher-income families.
2. Even in settings where most students are poor, schools can succeed with the right resources and accountability.
3. Kids perform better in school if they don't change schools frequently, and schools perform better when they have lower turnover.
4. Kids do better in school when they are healthy, well-nourished, and arrive at school ready to learn.

Comments on New Market Tax Credits Sought

The U.S. Department of Treasury is seeking comments on the New Markets Tax Credit Program (NMTC) Allocation Application. The deadline for comments is October 2, 2009. Click here to more information.

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Hearing on Public Housing Scheduled for Wednesday July 29

The House Subcommittee on Housing and Community Opportunity will hold a hearing on a hearing on Wednesday, July 29 to explore the future of public housing.

According to a subcommittee press release, the hearing will focus on existing research on the state of the nation’s public housing stock, the ways in which federal housing policy should improve the lives and self-sufficiency of public housing residents and the impact of the Department of Housing and Urban Development’s HOPE VI Revitalization program on neighborhoods and public housing residents.

While the witness list has yet to be compiled, Chairwoman Maxine Waters (D-CA) expressed a desire to introduce comprehensive public housing reform legislation as a priority. Waters is a strong advocate for residents of public housing and the hearing is expected to reflect that perspective. The committee members are expected to hear from researchers who will review their work on the needs of public housing residents, integrating housing with supportive services, and improving resident governance within public housing among other issues.

Voucher Reform Legislation Advances out of House Committee

The Financial Services Committee approved legislation designed to overhaul the housing voucher program popularly known as Section 8. Sponsored by Rep. Maxine Waters (D-CA), the legislation was approved by a vote of 41- 24. Action on the bill can be found here.

The legislation provides a number of changes to the voucher program among them stronger tenant protections for tenants in the former Moving to Work program now called the Housing Innovation Program. For more information on the changes click on the web site of the National Low Income Housing Coalition (NLIHC).

House Appropriations Committee Approves Housing Bill

The House Appropriations Committee approved a FY 2010 budget for the Department of Housing and Urban Development (HUD) www.hud.gov. The bill includes increases in a variety of programs including the public housing operating and capital funds, the community development block grant program (CDBG) and Section 8 voucher assistance. For detailed information on the bill click here.

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HUD 2008 Homeless Report Submitted to Congress

The Department of Housing and Urban Development (HUD) has submitted its 2008 homeless report to Congress. The 2008 Annual Homeless Assessment Report asserts homelessness has increased particularly in suburban and rural areas. The report provides a national review of homelessness in the country. In releasing its report, the department also unveiled a new quarterly assessment of homelessness, Homeless Pulse Project, which is designed to help the government determine the impact of the current economic crisis on families.

The annual report indicates the number of homeless individuals seeking shelter remained constant; however, the number of homeless families seeking shelter increased by 56 percent in the suburbs and rural areas while experiencing a nine percent increase overall.

HUD’s press statement also included the following data about sheltered homeless persons from the report:

• 68 percent are in principal cities – 32 percent are in suburban and rural areas.
• 68 percent are individuals – 32 percent are persons in families with children.
• 62 percent are members of minorities.
• 64 percent of all sheltered homeless adults are men and 36 percent are women.
• 40 percent of all homeless individuals are 31-to-50 years old.
• 12 percent of all sheltered homeless adults are veterans.

Additional findings in the report include the following:

1. About 664,000 people nationwide were homeless—either sheltered or unsheltered—on a single night in January 2008, down about 7,500 people (or one percent) from the previous year.

2. The number of people using homeless residential programs during the course of the year remained steady. Between October 1, 2007 and September 30, 2008, approximately 1.6 million homeless people used shelters or transitional housing programs at least once.

3. While the number of homeless individuals in shelters in 2008 was about the same as in 2007, the number of people in families increased by nine percent to 516,700, suggesting that family homelessness may be on the rise.

4. Family homelessness increased most especially in suburban and rural areas, by nearly 56 percent between 2007 and 2008. During that same time, the number of homeless individuals in suburban and rural areas increased by nearly 34 percent (see exhibit 4-2 and 4-3).

5. Homeless persons in shelters and on the street continued to be most heavily concentrated in urban areas. One in five people homeless on a single night in January were located in Los Angeles, New York, and Detroit.

6. However, in the twelve months ending on September 30, 2008, the number of people who accessed residential programs in suburban and rural areas increased substantially, from 23 percent in 2007 to 32 percent in 2008.

7. There were early signs that the economic crisis may be affecting trends in homelessness nationally. Notably, a greater share of people accessing the homeless system in 2008 came from stays with friends and family and from places where they had lived a year or more, suggesting that people who had been stably housed were becoming homeless after exhausting their housing options.

HUD to hold Web Cast on Fair Housing

The Department of Housing and Urban Development (HUD) will hold a forum and simultaneous web cast on “Affirmatively Furthering Fair Housing” Wednesday, July 22. The forum will be held at its headquarters office in Washington, DC. The “discussion” is designed to assist the department in its efforts to ensure its efforts to further fair housing are effective.

Specifically, the department hopes to answer the following questions:

1. How can the existing AFFH review process be improved?
2. What documentation do recipients currently use to demonstrate compliance with AFFH requirements and to support their certifications to AFFH?
3. What factors should be included in an analysis of impediments (AI) for fair housing choice?
4. How often should AIs be updated without creating undue burden?
5. What are the advantages and disadvantages of creating a regional approach to affirmatively further fair housing?
6. What can communities and public housing agencies do to reduce housing segregation and increase housing opportunities for protected classes under the federal housing civil rights laws?

If you want to attend the forum you must register by sending an email to affh@hud.gov, with “Headquarters” in the subject line and the following information: (a) your full name; (b) organization; (c) phone number; and (d) e-mail address.

To participate via webcast, you must send an e-mail to affh@hud.gov, with “Webcast” in the subject line and the following information: (a) your full name; (b) organization; (c) phone number; and (d) e-mail address. You may view the webcast by going to www.hud.gov and clicking on Webcasts.

Mayoral Group Votes New Officers

The United States Conference of Mayors (USCM) elected Seattle Mayor Greg Nickels its new president during its summer meeting in June. Also elected officers by the organization’s membership was Burnsville (MN) Mayor Elizabeth B. Kautz as Vice President and Los Angeles Mayor Antonio R. Villaraigosa as Second Vice President for 2009–2010.

Other offices elected include five selected to complete vacancies on the organization’s Trustee and Advisory Board. They included Honolulu Mayor Mufi Hannemann, Southfield (MI) Mayor Brenda Lawrence, Dallas Mayor Tom Leppart, Philadelphia Mayor Michael Nutter, and Bowling Green (KY) Mayor Elaine Walker.

Also appointed to the Advisory Board were: Salt Lake City Mayor Ralph Becker, Arlington (TX) Mayor Robert Cluck, Rochester (NY) Mayor Robert J. Duffy, Bridgeport (CT) Mayor Bill Finch, Long Beach Mayor Bob Foster, Redondo Beach Mayor Michael A. Gin, Chattanooga Mayor Ron Littlefield, Laredo Mayor Raul G. Salinas, St. Louis Mayor Francis G. Slay, Mesa (AZ) Mayor Scott Smith, and Piscataway (NJ) Mayor Brian C. Wahler.

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