Weekly update from the National Housing Conference | |
News from Washington | By Brittany Webb
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OMB moves to increase layoffs, Senators question cuts
A new memo from the Office of Personnel Management and the Office of Management and Budget (OMB) sets a March 13 deadline for federal agencies to submit workforce reduction plans. The memo expands on a February 11 executive order signed by President Trump requiring agencies across the federal government to develop strategies for widespread layoffs. This is the first widespread reduction in force (RIF) for the federal government since the 1990s.
A group of Democratic Senators sent a letter to U.S. Department of Housing and Urban Development (HUD) Secretary Turner questioning the consequences of reported rumors of severe cuts to HUD staff, along with several changes brought upon by the Department of Government Efficiency (DOGE). Many housing groups have argued that such cuts contradict President Trump’s first executive order aimed at reducing housing costs.
“Axing these offices will handicap the Department’s ability to serve the American public and exacerbate the housing crisis we currently find ourselves in,” the senators’ letter reads. “It is not clear how laying off half its staff serves HUD’s mission, or whether the $260 million figure you referred to in your interview represents legitimate waste and abuse. As HUD Secretary, it is your job to ensure that the millions of Americans who rely on HUD can continue to do so without DOGE’s interference.”
The letter further questions reports that HUD is terminating the Green and Resilient Retrofit Program, which helps repair and improve energy efficiency in homes for families, seniors, and people with disabilities. The funds have already been allocated to nonprofits and other housing providers to improve more than 30,000 homes.
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Explore the speaker lineup!
Join housing experts, thought leaders, policymakers, and journalists from across the United States for a full day of sessions exploring communications and messaging strategies for successfully expanding awareness about the importance of affordable housing both at the national level and within local communities. Gain insights from experts on:
- Fostering productive dialogues with policymakers.
- Understanding how journalists cover housing issues.
- Engaging housing advocates and communities online.
- Evaluating successful communication strategies in housing initiatives.
- Gaining new allies to address affordable housing challenges.
Featured speakers include:
- Nicole Friedman, Reporter, The Wall Street Journal
- Rachel Siegel, Housing and Economics Reporter, The Washington Post
- Jennifer Ludden, Correspondent, National Desk, NPR
- Kriston Capps, Staff Writer, Bloomberg CityLab
- Hayley Hoffman, MA, LPC, The Imago Center of Washington, DC
- Marisol Bello, Executive Director, Housing Narrative Lab
- Douglas Robinson, Senior Manager, Public Relations, NeighborWorks® America
- Christopher Spina, Vice President, Public Relations and Digital Communications, Freddie Mac
- Kim Marshall, Director, Integrated Communications, UnidosUS
- Josh Dubensky, Housing Policy Advocate Associate, SAGE
NHC members enjoy a discounted rate by using the below codes.
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In Person Tickets
Members Only Rate
$175
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Virtual Tickets
Members Only Rate
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Trump administration, again, terminates AFFH rule
HUD Secretary Scott Turner announced that HUD is terminating the Affirmatively Furthering Fair Housing (AFFH) rule, an anti-discrimination law that was first introduced in 1968 but never fully implemented. Instead, HUD will allow localities to self-certify compliance. The move comes as no surprise as the 2015 iteration of the rule was also terminated under the first Trump administration, citing criticisms that it was overly burdensome as it required localities to conduct extensive analyses to ensure new housing developments did not exacerbate disparities among federally protected groups. NHC strongly condemned the elimination of AFFH in 2020.
Key provisions of AFFH were reinstated in 2021, with exclusion of the burdensome reporting required of the 2015 rule. A new proposed AFFH rule was issued in January 2023 that offered significant revisions of the previous versions, however, was never finalized by the Biden administration, much to the chagrin of many housing advocates.
In a guest blog post, Lisa Rice, President and CEO of the National Fair Housing Alliance explains the 2023 proposed rule, “urges municipalities who wish to receive federal funding to examine zoning, licensing, permitting, and other policies that may arbitrarily impede the development of affordable housing units, carefully streamline processes, and take actions to increase the supply of fair and affordable housing.”
Turner’s announcement interprets the rule differently, highlighting its impact on zoning decisions.
“By terminating the AFFH rule, localities will no longer be required to complete onerous paperwork and drain their budgets to comply with the extreme and restrictive demands made up by the federal government. This action also returns decisions on zoning, home building, transportation, and more to local leaders,” he stated in the release.
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New episode released
On December 4, the National Housing Conference hosted its Solutions for Affordable Housing convening at the National Press Club. The event brought together policymakers and affordable housing stakeholders to discuss tangible, impactful, and achievable actions to address the nation’s most critical housing policy challenges.
In this week's episode, we revisit the panel, "Heirs’ Property and the Preservation of Generational Wealth," which explores the historical and systemic barriers that have led to significant disparities in homeownership rates including issues around appraisal bias, redlining, and heirs’ property that have led to vulnerabilities in property rights and wealth retention. Panelists included Abigail Suarez, JPMorganChase; Reggie O'Shields, Federal Home Loan Bank of Atlanta; Maria Evans, Fannie Mae; Thomas Mitchell, Boston College of Law; and Natasha Moodie, Housing Assistance Council. Listen here.
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HUD moves to terminate local capacity building grants
Enterprise Community Partners reported that it received notice of HUD’s intention to terminate Section 4 nonprofit capacity building grants, as well as funding for technical assistance programs that provide vital housing development assistance nationwide. These grants were award to three organizations: Enterprise Community Partners, Local Initiatives Support Corporation, and Habitat for Humanity International, which provide technical and administration support for local communities to develop affordable housing, support small businesses, and revitalize commercial corridors. According to Enterprise, over the past decade $143 million in grant funding has been distributed to 700 organizations across the country, creating or preserving 45,000 affordable homes. In 2021, the grants were projected to support development of 8,000 affordable housing units and generate $150 million in investment.
“Make no mistake: Today’s decision will raise costs for families, hobble the creation of affordable homes, sacrifice local jobs, and sap opportunity from thousands of communities in all 50 states. We intend to pursue every avenue to ensure these vital programs are not torn away from the neighborhoods and working Americans who benefit from them,” said Shaun Donovan, President and CEO, Enterprise Community Partners.
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Michigan opens EAH program
The Michigan State Housing Development Authority (MSHDA) has launched a new $10 million Employer-Assisted Housing (EAH) Fund to address the state's workforce housing shortage. The fund will provide support to employers who contribute matching funds through cash investments, land donations, or below-market interest loans. In return, rental housing developed through the fund must remain affordable for at least 10 years, and for-sale housing must remain affordable for five years. The initiative aims to encourage employers to invest in local housing solutions for income-eligible households. According to the state, from 2014 to 2023, Michigan built one new home for every 14 jobs. Governor Whitmer has requested an additional $25 million for the fund in the next state budget.
“Addressing our state’s housing shortage takes creativity, investment, and commitment from many partners,” said MSHDA CEO and Executive Director Amy Hovey. “That’s exactly the kind of collaboration that led to the creation of the Employer-Assisted Housing Fund."
NHC has been an advocate for EAH programs and offers an EAH Toolkit to assist employers interested in building their own EAH programs.
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Explore NHC’s Housing Resource Center
for up-to-date federal policy news and resources
NHC’s Housing Resource Center (HRC) is the definitive destination for all your federal policy needs in housing. We update the platform at least every week and have already included a host of information on the latest administrative actions.
Nowhere else offers a platform that captures information from across the housing ecosystem – catering to the diverse needs of policymakers, journalists, lenders, home builders, civil rights groups, consumer and affordable housing advocates, real estate professionals, nonprofit and for-profit housing development corporations, academics, and more.
The HRC provides access to a growing collection of over 2,000 resources, offering an unparalleled wealth of knowledge in an easily searchable, centralized repository. Resources include news articles, toolkits, issue papers, research, and congressional actions, all searchable by topic and resource type. The HRC also provides comprehensive collections of housing-related blogs, podcasts, and data tools on their current events and shared knowledge of housing and community development best practices.
With new developments happening daily, the HRC is your trusted source for staying informed and navigating the ever-changing federal housing policy landscape.
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Disaster recovery efforts grapple with inflation
A new white paper from the Bipartisan Policy Center dives into rising insurance costs and opportunities for federal action to provide relief for rapidly increasing prices. The paper notes the issue is conflated by construction facing setbacks from increased extreme weather events and inflated material costs due to supply chain disruptions during the pandemic, including lumber, concrete, steel, gypsum, and more. Steel mill products saw a 77% rise in cost from 2020-2024, and power and distribution transformers followed close behind at 72%. In comparison, those increases from 2016-2020 were 19% and 15%, respectively.
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CNN published an article highlighting the latest jobless claims data by the Department of Labor, which showed the largest increase in four months. Last week, an estimated 242,000 claims were filed – 22,000 more than the previous week. However, the extent to which this is linked to ongoing federal worker layoffs remains unclear. As the US labor market navigates these shifts, economists will continue to monitor whether the recent surge is a transient response to federal layoffs or an indicator of broader economic instability.
In an Urban Wire report authored by past Ginnie Mae presidents Ted Tozer and Alanna McCargo, the impacts of staffing cuts on the operational stability of Ginnie Mae is discussed. Ginnie Mae’s mortgage-backed securities (MBS) portfolio stood at $2.64 trillion, supporting over 1.3 million households in fiscal year 2024. Disruptions to operational functions could leave borrowers with higher costs, reduced credit availability, consolidation of lenders, and greater challenges. They note that in order to ensure continued stability in the housing finance system, policymakers must prioritize adequate staffing and support for Ginnie Mae’s critical operations.
Affordable Housing Finance reported that affordable housing completions are expected to reach a multi-year high in 2025, with 78,377 units anticipated, marking a 12.6% increase from the previous year. Six markets, led by Austin, Texas, are set to deliver over 2,000 fully affordable units in 2025. However, this growth is projected to be short-lived, as completions are forecasted to decline in 2026. Despite the increased need for affordable housing due to high interest rates and lagging for-sale home construction, a decline in housing starts signals that future supply may not keep pace with demand.
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Renew your NHC membership today! | |
Watch this video to learn more about how NHC represents diverse leaders across the housing spectrum, including lenders, homebuilders, affordable housing advocates, real estate professionals, housing development corporations, housing finance agencies, and more, to address today's pressing housing issues. | |
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Your involvement is essential to addressing today’s housing challenges, and NHC relies on active members to maximize our impact and remain a leader in tackling today’s housing issues.
NHC membership offers exclusive networking opportunities, access to our weekly Member Brief, and other key housing resources such as our Housing Resource Center, Paycheck to Paycheck database, and Employer Assisted Housing Toolkit. We look forward to working with you to address America's housing challenges.
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The National Housing Conference is a diverse continuum of affordable housing stakeholders that convene and collaborate through dialogue, advocacy, research, and education, to develop equitable solutions that serve our common interest. | |
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