House Appropriations Committee Passes FY 2023 Spending Bill

Last week, the House Appropriations Committee passed the Transportation, Housing and Urban Development, and Related Agencies fiscal year 2023 appropriations bill, which would increase annual funding levels for U.S. Department of Housing and Urban Development (HUD) programs in FY 2023. The bill would provide $62.7 billion for HUD programs and activities, $9 billion more than the FY 2022 enacted level and $1.1 billion above President Biden’s FY 2023 budget request.

The bill provides $1.7 billion for the HOME Investment Partnerships (HOME) program, including a $50 million set-aside for a down payment assistance program to help first-time, first-generation home buyers purchase homes. While this would be an increase of $200 million for HOME over the FY 2022 enacted level, it is $300 million below the president’s FY 2023 budget request and $150 million below the FY 2022 House-passed funding level. HOME is HUD’s flagship program for increasing the supplies of both rental and for-sale housing affordable to low-income households, so while $1.7 billion would be the high-water mark for the HOME program, more funding is needed to keep pace with demand.

The bill includes $14.9 billion for project-based rental assistance, an increase of $1 billion above the FY 2022 enacted level. This amount includes $375 million for contract administration. The committee signaled strong support for the resiliency and preservation of manufactured housing communities with the creation of a new $500 million Preservation and Reinvestment Initiative for Community Enhancement (PRICE) program, a competitive grant program named for the retiring THUD Subcommittee chair, Representative David Price (D-NC). The bill also includes $983 million across HUD programs to improve energy and water efficiency and increase resiliency in public and low-income housing.

House committee-passed funding levels for key programs are listed below. See NCSHA’s full budget chart here.

$31 billion for Tenant-Based Rental Assistance, an increase of $3.6 billion from FY 2022. The bill also includes $1.1 billion for new incremental vouchers, enough to assist an estimated 140,000 additional households.
$3.6 billion for Homeless Assistance Grants, $391 million more than the FY 2022 enacted level and $28 million above the president’s FY 2023 budget request.
$3.3 billion for Community Development Block Grants, level with FY 2022 and $470 million less than the president’s FY 2023 budget request.
$1.2 billion for Housing for the Elderly, an increase of $167 million above the FY 2022 enacted level and $234 million above the president’s budget request.
$600 million for Housing Opportunities for People with AIDS, an increase of $150 million above the FY 2022 enacted level and $145 million above the president’s budget request.
$450 million for the Choice Neighborhoods Initiative, $100 million over the FY 2022 enacted level and $200 million above the president’s FY 2023 budget request.
$415 million for the Office of Lead Hazard Control and Healthy Homes, level with FY 2022 and $15 million above the president’s budget request.
$400 million for Housing for Persons with Disabilities, an increase of $48 million above the FY 2022 enacted level and $112 million above the president’s budget request.
$86 million for Fair Housing and Equal Opportunity, equal to the president’s budget request.
$70 million for housing counseling, $13 million above the FY 2022 enacted level and level with the president’s budget request.
$4.6 million for the U.S. Interagency Council on Homelessness.