Federal Legislation Policy Update
1. On February 17, 2009, President Obama signed the American Recovery and Reinvestment Act of 2009, (ARRA), which is a $780 billion stimulus package devoted to tax cuts and spending to occur in 2009 and 2010.
ARRA provisions focused on stimulating the housing sector include the following:
Homebuyer Tax Credit of $8,000 tax for first time homebuyers;
$2 billion for Neighborhood Stabilization to provide CBDG grants targeted at neighborhoods decimated by foreclosures;
Low Income Housing Grants to allow states to trade in their 2008 and a portion of their 2009 low-income housing tax credits for Treasury grants to finance the construction or acquisition and rehabilitation of low-income housing;
$2.25 billion for LIHTC gap funding through HOME; and $6 billion for Energy Efficient Housing Tax Credits & Grants.
To read the entire ARRA legislation, visit: http://www.opencongress.org/bill/111-h1/text
2. President Obama’s Federal Foreclosure Proposal aims to reduce some mortgage payments and stabilize the market. The $75 billion plan hopes to help as many as 4 million people by refinancing and staying out of foreclosure. In addition, the government will double it’s commitment to Fannie Mae and Freddie Mac to $400 billion.
3. The Department of Housing and Urban Development budget for 2010 will provide $1 billion to capitalize and launch an Affordable Housing Trust Fund, increase funding for the Housing Choice Voucher Program, increase funding for the Department’s assisted multifamily properties, create a new Energy Innovation Fund, and create a new Choice Neighborhoods Initiative. For a full summary of the HUD Budget for 2010, visit: http://www.hud.gov/content/releases/pr09-015.pdf
Montgomery Housing Partnership
12200 Tech Road
Suite 250
Silver Spring, MD 20904-1983
Phone: 301-622-2400
Fax: 301-622-2800
Email: info@mhpartners.org |
