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Feature Story 
February 5, 2008
Housing Budget Devastating For Low-Income Rural Americans

Housing Assistance Council:

Rural Americans would receive deplorably low levels of housing aid under the fiscal year 2009 budget released today by the Bush Administration, according to rural housing experts, and even a signature rental housing effort would be abandoned.

"There is one bright spot in the funding proposal for the U.S. Department of Agriculture's rural housing programs," explained Moises Loza, executive director of the Housing Assistance Council.

"The budget proposes about the right amount for rental assistance to low-income tenants, almost $1 billion.

But it defunds a number of essential programs, including the Administration's own recent efforts to save rental developments for very low-income tenants."

USDA's Rural Community Development Initiative and the U.S. Department of Housing and Urban Development's Rural Housing and Economic Development program, which work in different ways to build local rural organizations' abilities to meet their communities' needs.

"The budget also proposes to emphasize guaranteed loans instead of direct loans, without recognizing that they are apples and oranges," Loza stated.

"The programs serve two different populations, and it's the direct loans that assist people with the lowest incomes.

"The United States has repeatedly affirmed a commitment to provide decent, affordable housing for all Americans.

Founded in 1971, the Housing Assistance Council is a national nonprofit corporation headquartered in Washington, D.C. that helps local organizations build affordable homes in rural America by providing below-market financing, technical assistance, research, training, and information services.

HAC's programs focus on local solutions, empowerment of the poor, reduced dependency, and self-help strategies.

Posted on February 5, 2008 1:04 AM


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