2005 HOME Fund Allocations for Tenant-Based Rental Assistance
- Information Bulletin #202 (3/07)

In previous Information Bulletins, we described the HOME
Investment Partnership program and provided information that broke
down the expenditures by state. The data for 2005 has just been
released by the National Council of State Housing Agencies.

HOME funds are used for single family and/or multi-family units. 
HOME funds can also be used for "Tenant-Based Rental Assistance,"
in which case they function as housing vouchers that can be used,
for example, to assist persons to leave nursing facilities and pay
for housing.  These HOME vouches are critical given the shortage
of new Section 8/Housing Choice Vouchers from Congress and HUD.

HOME funds are allocated so that, in most states, 40% of the total
HOME allocations go to the state's housing finance agency ("HFA")
(or other statewide agency), and the remaining 60% of HOME funds
are allocated directly to the largest cities. Both HFAs and large
cities have substantial discretion regarding how to use HOME
funds.

We have information for FY 2005 regarding the HOME funds that were
allocated by the state HFAs.  Here is an annual breakdown of HOME
funds, focusing only on tenant-based rental assistance:

2003 - 4,178 tenant-based rental assistance units
    [2.9% of HFAs' total HOME expenditures]

2004 - 4,975 tenant-based rental assistance units 
    [3.1% of HFAs' total HOME expenditures]

2005 - 5,510 tenant-based rental assistance units
    [3.9% of HFAs' total HOME expenditures]            

Quite dismal progress, especially since States could use these
funds to provide housing subsidies for persons on Medical
Assistance who want to return to the community but cannot afford
housing.  Also, quite a small percentage of the overall HOME
expenditures allocated for rental assistance.

Why aren't advocates for elderly Americans and persons with
disabilities demanding that their state HFA's allocate
substantially more of their HOME funds for a meaningful State
tenant-based rental assistance?

Why aren't advocates involved in their state's allocation process? 
How HOME funds are allocated are decided in the Consolidated Plan
process.

What about the 60% of the HOME funds that large cities receive
directly from HUD and have discretion to allocate?  What the
percentage of HOME funds allocated directly to your large cities
is used for tenant-based rental assistance?  Again, whether or not
large cities allocate HOME funds for a tenant-based rental
assistance program is up to the advocates. If you are not a force
in your local Consolidated Plan, you probably will not receive
tenant-based rental assistance.

--
Source: Steve Gold, The Disability Odyssey continues

Back issues of other Information Bulletins are available online at
http://www.stevegoldada.com