Housing Call: May 23, 2023 – North Carolina Housing Coalition

NCHC Organizational Updates

We are revamping Policy Updates

Housing Call notes typically contain all the same information and so in the place of a separate policy update a few times a month we will bring different content in which we hope to highlight partners, release resources, and communicate about different opportunities to engage with us and in building the housing movement.

Federal Update

Debt Ceiling & Budget Negotiations: President Biden and Speaker McCarthy met yesterday evening to discuss the debt ceiling and budget, but did not reach any agreements. While both Biden and McCarthy came away from the conversation optimistic, some top Democrats expressed frustration that negotiations seem to be headed in the wrong direction.
- The Center on Budget and Policy Priorities released an interactive tool last week that shows how drastically Republicans’ proposed funding caps would cut spending in exchange for lifting the debt ceiling. Interactive: How House Republicans’ Harsh Funding Caps Would Affect Different, Vital Programs | Center on Budget and Policy Priorities

HUD Income Limits. HUD released FY23 income limits last week. These figures are used to determine eligibility for HUD programs and are based on the median area income for a metro area or county. Check out FY23 Income Limits here.

State Updates

The NC Housing Finance Agency is accepting public comment on the 2021-2025 Consolidated Plan and the contents of the substantial amendment regarding the upcoming new Rental Preservation Loan Program (RPLP) and changes to the existing Supportive Housing Development Program (SHDP). The substantial amendment summarizes the research and consultation conducted to develop the associated program and summarizes the intended uses of federal funds. A summary of the substantial amendment detailing the program design, intended use of funds and award criteria can be found here. Public comment is open through June 3.
The public comment period for the NC Department of Health and Human Services’ Strategic Housing Plan is open through May 24. The plan focuses on DHHS’s policies and resource decision making in creating and maximizing community-based housing opportunities for people with disabilities who are experiencing homelessness, living in an institution or at risk of institutionalization. Please submit feedback by emailing housing@dhhs.nc.gov.
The NC Office of Recovery and Resiliency (NCORR) has launched the third phase of the Affordable Housing Development Fund (AHDF) program. A total of $47 million will be awarded by fall 2023 to increase the availability of safe, affordable housing in areas of the state that experienced major damage from hurricanes. Local governments within the Federally identified most impacted and distressed counties are invited to apply for financing for multifamily or single-family housing rehabilitation and new construction outside of the 100-year floodplain. Letters of interest will be accepted from local governments through June 27. Information about the Letter of interest process and related virtual information sessions for grant applicants are available on the Affordable Housing Development Fund website. An initial information session will be held on Wednesday, May 24 at 11 a.m.

State Legislative Updates

NC Senate budget passed on Thursday, May 18

We highlighted a few elements last week, here are a few other key things we want to pull out:

Although the NC Senate budget also lifts project caps for the Workforce Housing Loan Program, it does not include any funding, effectively zeroing out this critical housing development tool.
No increases in funding for the Housing Trust Fund – keeping it level at $7.6 million.
HOME Program Match: $3m
Supportive Housing Development Program: $10m each year of biennium (assists homeless veterans & survivors of domestic violence).
Low Income Energy Assistance Program (LIHEAP): $68m for each year of biennium
Transitions to Community Living (TCLI): $84M each year of biennium + $8M recurring each year of biennium

Here is a reminder of our appropriations asks this legislative session:

Allocate $30 million to WHLP
Make WHLP recurring
Allocate $70 million to the Housing Trust Fund
Invest any remaining ARP funds into housing

Remember that bills that made crossover are still live AND elements from other bills that did not make crossover still could make it into other bills and ultimately whatever final form of the budget for FY 23-25 that is reached.

Check out our bill tracker here and our gallery of bills that survived crossover here. Reach out to us if you have any questions.

Local Community Updates

A recent article in the Transylvania Times explores housing affordability in Brevard and the greater Transylvania County area amid rising rents and short term rental conversions geared towards tourists. The article also discusses how Brevard is responding to the housing shortage with their recently created Housing Fund. The Fund can be used to finance a variety of affordable housing creation and preservation strategies, such as gap financing to affordable housing developers, loans and grants for low-income homeowner emergency repairs, down payment assistance, security deposit assistance, and property acquisition.
In Greensboro, city leaders are considering converting the Regency Inn into 57 units of permanent supportive housing. For the past few years, the Inn has been used for non congregate emergency shelter. Currently, Guilford County has a targeted need of 250 additional permanent supporting housing units. If the conversion goes through, the city would commit case management funding and has requested that Greensboro Housing Authority provide vouchers for tenants.
In neighboring Summerfield, residents are opposing zoning amendments that would allow for multifamily housing. Developer David Couch wants to build a community of single-family, duplexes, townhomes, and apartments and is petitioning the state legislature to de-annex Summerfield, which would take municipal control away from the Town and place it under County zoning. Current zoning in Summerfield allows for one single family home per acre.
The Durham Housing Authority broke ground last week on the 72-unit mixed income community at Elizabeth Street in Durham. DHA CEO Anthony Scott indicated that the Housing Authority is shifting towards developing mixed-income communities, citing “unreliable” HUD dollars as the reason for the change. Mixed income communities help to erase the stigma of public housing and children often benefit from better schools.

Events

[webinar] Removing Regulatory Barriers to Manufactured Housing | Lincoln Institute of Land Policy, 5/23, 12-1 p.m
[free virtual learning session] Local Governments & Affordable Housing: Policies & Tools in Asheville & Buncombe County | Land of Sky Regional Council COGWorks Program, May 25, 12-1:15 pm
- Topics include funding tools, local government bonds, zoning reforms, and city/county-owned land.
- Find the link to register on the Land of Sky Regional Council COGWorks page.