Maintaining funding levels at current levels through a continuing resolution would be a setback that could have negative consequences for affordable senior housing.
That’s according to US Department of Housing and Urban Development Secretary Marcia Fudge, who testified Tuesday before the Appropriations Subcommittee on Transportation, HUD and Related agencies that the status quo on the budget would put the agency in “turmoil.”
HUD requested additional resources for Section 202 Supportive Housing for the Elderly in the fiscal year 24 budget request to develop more affordable senior housing for a growing low-income older adult population.
“We know that seniors are one of the fastest groups of people moving to the streets,” Fudge testified. “On fixed incomes, they just cannot afford the rents, so this is a fast-growing group becoming homeless.”
Fudge said that President Biden’s budget includes a “historic investment” to lower housing costs, expand housing supply, improve access to affordable rental units and homeownership, and advance efforts to end homelessness. HUD, she added, is proposing a “bold set of values and policies” that prioritize building and preserving affordable housing as well as promoting rental affordability and fairness.
HUD’s FY24 $73.3 billion budget request is $1.1 billion more than the 2023 enacted funding level and asks for $104 billion over 10 years for new mandatory affordable housing investments.
Fudge noted a shortage of almost 7 million affordable housing units — only three rentals are available for every 100 extremely low-income renters. Among the funding she is seeking for programs to ensure access to and increase the supply of affordable housing:
- $258 million for 2,200 new Section 202 and Section 811 Housing for People with Disabilities units.
- $1.8 billion for the Home Investment Partnerships Program to give communities flexibility in creating affordable housing.
- $16 billion to fully fund Project Based Rental Assistance, affordable senior housing and housing for people with disabilities renewals and amendments.
- $104 billion for new mandatory affordable housing investments over 10 years.
“Together, this suite of funding and tax credits aims to tackle the nation’s housing affordability crisis by making a historic investment in curbing housing cost growth, expanding housing production, and providing resources to renters to avoid eviction and further the administration’s commitment to rebuilding America at all levels,” Fudge testified.
The budget proposal hits several of LeadingAge’s affordable senior housing advocacy goals, including expanding, preserving and improving housing assistance for older adults; expanding the number of service coordinators in senior housing; and bridging the digital divide.
