Administration's Rural Housing Budget Disappointing
Housing Assistance Council: Information and Publications - Press Room
Washington, Feb. 14, 2006 - The federal budget released on February 6 is disappointing for those who believe that the lowest income rural Americans deserve decent, affordable housing, according to a national rural housing organization.
Rural renters are seriously shortchanged, however, and the budget would end two useful programs that aid rural community-based housing organizations, while cutting several other important housing programs.
"The Administration has worthy housing goals - to increase homeownership and to reduce homelessness," said Housing Assistance Council Executive Director Moises Loza.
"For example, increased funding for the Department of Agriculture's Section 502 single-family direct loan program will help more low-income families to buy homes.
"HAC has long recommended that priority go to people with the greatest needs," Loza continued.
Research shows also that renters in both rural and urban areas have some of the worst housing problems in the country."
The budget would also eliminate two programs that help community organizations convert federal dollars into local homes: the Department of Housing and Urban Development's Rural Housing and Economic Development program and the Department of Agriculture's Rural Community Development Initiative.
"These programs, in different ways, help community groups fill the gaps in their knowledge."
In addition, like nearly all housing and community development organizations, HAC is disappointed by the budget's proposals to reduce Community Development Block Grant funding by 20 percent and to cut funding for public housing, Native American housing, programs that produce homes for elderly people and people with disabilities, fair housing, and lead hazard control.
HAC's programs focus on local solutions, empowerment of the poor, reduced dependency, and self-help strategies.
