Obama budget helps renters, homeless
The proposal would give housing a small shot in the arm to help blighted neighborhoods. Most current programs would be able to keep running.
This post comes from Marilyn Lewis at MSN Money.
Housing for low-income Americans gets a new shot in the arm in President Barack Obama's proposed national budget, unveiled Wednesday.
"Better urban development isn't the first item on that agenda, but its an important part of the administration priorities for the coming year," says The Atlantic magazine.
Of course White House budget proposals rarely if ever are adopted whole. "President Obama's proposals today at a minimum shed light on which community development programs the administration sees as worth fighting for," adds The Atlantic.
Obama would give the Department of Housing and Urban Development new attention, expanding HUD's resources by almost 10% from 2012 -- up $4.2 billion to $47.6 billion.
Housing share still small
Still, the portion proposed for housing is tiny compared with, say, Social Security, defense or a lot of other categories, and that's no different from last year.
"The budget makes investments to revitalize distressed neighborhoods, reduces blight in communities hardest hit by the foreclosure crisis and supports sustainable economic development," according to HousingWire.
It's all part of a $3.77 trillion national budget proposal that tries trimming the country's budget deficit by more than 20% in 2014. Here's the budget, at WhiteHouse.gov, and a six-page overview from Politico. (If you want all the details, get them, with excellent graphics and clear breakdowns, at the Washington Post's Wonkbook.)
Obama would raise taxes on wealthier taxpayers and reduce spending with, among other proposals, cuts to Medicare and Medicaid. He'd also shrink Social Security recipients' annual cost-of-living increases, which has got many in Congress, including in his own party, up in arms. (Here is The New York Times' coverage.)
Meanwhile, $400 million is provided through the budget to transform neighborhoods with distressed HUD-assisted housing, up from $150 million in the 2013 budget.
Here are the most-important details:
- $37.4 billion for rental housing assistance for 4.7 million low-income families.
- $2.4 billion to keep trying to end chronic homelessness and homelessness among veterans and families.
- $400 million to help transform neighborhoods blighted with deteriorating HUD-assisted housing into mixed-income communities.
- Maintains housing counseling for people with troubled loans and continues "loss mitigation" support to help FHA borrowers who are struggling with their mortgages. There's also money to reform the financially troubled FHA itself.
- Keeps the long-running Community Development Block Grant program running, helping targeted neighborhoods with specific projects.
The proposed HUD budget says "savings are achieved through reduced funding for new affordable housing construction and reforms to the Department."
More than 90% of the increase to HUD's budget "would maintain current levels of rental and homelessness assistance, most who earn less than 30% of their area's median income," according to the MBA NewsLink.
More from MSN Money:
- Will Junior ever move out?
- 10 cheap ways to pest-proof your home
- 20 cities where it pays to buy a rental
- Are you insured against a landslide?
- Housing recovery firmly underway
Here are the most-important details:
These low income people need real jobs. Not sucking off the public nipple thru rent subsidies, food stamps and medicaid. What has obama done in that regard? Nothing. Unemployment figures including the shadow unemployed is at its highest ever.
Start ending these people's lives on the public dole and maybe they will then be forced to find jobs or move to better areas to find jobs like the Dakotas, Wyoming, etc. If an entire family from mexico or central america who are much poorer than the poorest people we have can travel thousands of miles to the US, I think these lazy jackasses can pack up and move a couple hundred miles to find a job.
Kjun, your racism is showing. While it is true that some people are lazy and therefore homeless, that is not true of most people in substandard housing. It is a complicated problem, and I am glad that the President wants to address this problem. Many families lost their homes in the economic downturn due to losing their job, and there are few jobs to replace those that were lost. Many rental properties are not maintained as they should be, and that is not always due to tenants neglect. Sometimes it is due to cheap landlords, or 'slumlords' as we call them here.
Copyright © 2014 Microsoft. All rights reserved.
ABOUT SMART SPENDING
LATEST BLOG POSTS
Cheap LED light bulbs cost more upfront -- between $8 to $10 apiece -- but begin to pay off within 18 months.
VIDEO ON MSN MONEY
BLOGS WE LIKE
MUST-SEE ON MSN
A charcuterie master shares his process for cold-smoking meat at home.
- Jetpacks about to go mainstream
- Weird things covered by home insurance
- Bing: 70 percent of adults report 'digital eye strain'