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HOUSING POLICY

Occurs at Three Levels Local level  set standards for housing  zoning regulations  building codes  growth plans  can access & use federal monies

State level  legislation to use available federal monies for state assistance housing programs  state certification agencies  state housing finance agencies Colorado Housing Finance Agency (CHFA)

Federal level  influence the availability & cost of housing  most consistent theme: To advance single-family home ownership as the American dream

How?  amortized, long-term mortgages  tax deductions on interest & property taxes  capital gains tax exclusions More important than housing production or providing low- income housing

How Should Government be Involved?  Helping moderate income families buy homes?  Helping low-income families to live in decent rental homes?  Helping the homeless?  Supporting sustainable housing?  Supporting universal design?

OVERVIEW OF POLICY 1930s—Response to the Great Depression  First large-scale federal government involvement in housing  Built a new mortgage finance system: Federal Home Loan Bank Board Federal Savings and Loan Insurance Corporation Federal Housing Administration (FHA)

 These mortgages were: government-insured long-term low downpayment  Created a secondary mortgage market Federal National Mortgage Association (Fannie Mae)  Public Housing

1940s—World War II  Veterans Administration Program (VA)— critical housing shortage after war  Housing Act of 1949: “a decent home and a suitable living environment for every American family” (National Policy)  Farmers Home Administration (FmHA)—U.S. Department of Agriculture (USDA)

1950s—Renewal of the Cities  Programs curtailed due to budget shortfalls  Intense urban renewal activity that fostered unassisted construction  Slum clearance (destroyed more housing than produced)  Legislation tried to perfect existing policy

1960s—Evolution of Subsidies  Urban unrest  Rent Supplement (family pays 25% of income towards rent)  Section 23  U.S. Department of Housing and Urban Development (HUD)  Section 235 that subsidizes interest rates  Government National Mortgage Association (Ginne Mae)  Focused on specific programs

1970s—Period of Reassessment  Moratorium under Nixon equity impact efficiency  Community Development Block Grant (CDBG) program—shifted focus to general programs determined at the local level  Section 8—certificate of family participation  Urban Homesteading

1980s—Trying to Take the H out of HUD  Under Reagan there were drastic cuts in housing funding  Focus shifted away from federal government to private businesses & even more to local governments  McKinney Act (homeless)—1987  Joint Venture for Affordable Housing  Fair Housing Amendments—1988 Fair Housing Law

1990s—Homelessness & Affordability  National Affordable Housing Act  Expansion of McKinney Act: Persons at risk Shelters Supportive services  HOME & HOPE programs to help with homeownership  HUD given a higher profile

2000+: Expanding Homeownership  Rural Housing and Development Program  Expansion of CDBG  HOME Investment Partnerships—housing needs of lower-income persons  Self Help Homeownership Opportunity Program (SHOP)  Special Needs Assistance Programs  Native American Housing Block Grants  Partnership for Advancing Technology in Housing (PATH)

Goals  Reduce housing discrimination  Reduce homelessness  Create more affordable housing units  Increase CDBG funding  Increase homeownership