FOR IMMEDIATE RELEASE: September 14, 2012
CONTACT: Amy Clark, firstname.lastname@example.org, 202.662.1530 x227
Administration Confirms: Sequestration Would Devastate Low Income Housing Programs
Across-the-board cuts to the federal budget through sequestration scheduled for January 2013 would have a devastating impact on housing programs for low income households, according to an Office of Management and Budget report issued today.
In the report, OMB describes sequestration as “a blunt and indiscriminate instrument” that would result in an 8.2% cut to “critical housing programs” for low income families and individuals.
“The OMB report is conclusive proof that sequestration will rob low income people of already scarce housing resources at a time when our economy and communities can least afford to lose them,” said Sheila Crowley, President and CEO of the National Low Income Housing Coalition, a nonprofit research and advocacy organization. “We urge Members of Congress to work together to instead seek a balanced solution that will raise revenue and protect the most vulnerable Americans.”
Sequestration cuts to housing programs as estimated by OMB include:
- Public housing operating fund cut by $325 million
- Project-based rental assistance cut by $772 million
- Public housing capital fund cut by $154 million
- HOME Investment Partnership program cut by $82 million
- Housing counseling assistance cut by $4 million.
Calculations from the National Low Income Housing Coalition show how these hundreds of millions of dollars in budget cuts would impact low income households. More than 185,000 households would lose their tenant-based rental assistance vouchers, 92,400 households would lose their project-based rental assistance housing, and that 145,900 people would be remain homeless, instead of being housed under the Homeless Assistance Grant program. In addition, more than 140,000 currently housed households that include an elderly person or a person with a disability would receive reduced unit maintenance and lower levels of supportive services in units funded by Section 202 Housing for the Elderly or Section 811 Housing for People with Disabilities.
Further estimates from HUD show that in addition to the loss of housing assistance, 53,000 jobs would be lost due to sequestration cuts to that agency alone.
Established in 1974 by Cushing N. Dolbeare, the National Low Income Housing Coalition is dedicated solely to achieving socially just public policy that assures people with the lowest incomes in the United States have affordable and decent homes.
National Low Income Housing Coalition
727 15th Street NW, 6th Floor, Washington, D.C. 20005