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Section 202 and Section 811 Reform

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The Office of Multifamily Housing Programs is currently seeking stakeholder input on a range of possible reforms being contemplated for the Section 202 and Section 811 Programs. Both programs received no funding for new construction activities in the administration's proposed Fiscal Year 2011 budget. In part, this reflects the need to focus limited HUD resources in support of existing assets and programs. But it also reflects the fact that both programs have suffered from a lack of updating over recent years. An overhaul is now contemplated to better target HUD's resources to more cost-effectively meet the current housing and supportive service needs for frail, elderly and disabled very low-income households. The direction of reform is still being determined; however, HUD anticipates that modifications to the programs could be legislative and/or administrative. Items under consideration include:

  1. Revisions in program guidelines to facilitate further leveraging of public and private dollars;
  2. Allocating and administering funds through States;
  3. Raised thresholds for award of funds to sponsors with higher capacity;
  4. Better readiness criteria to speed development timeframes;
  5. Broader benefits of program dollars achieved by providing aging-in-place services as an alternative to institutionalization (202 only) and by encouraging integration of disabled households within larger affordable communities (811 only);
  6. Modifications to the geographic allocation formulas which spread limited resources too thin.

Please email your comments and suggestions to Benjamin T. Metcalf.

 
Content current as of 26 March 2010   Follow this link to go  Back to top   
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