The Nations Domestic Programs At Risk

The Nations Domestic Programs At Risk
By Lynda Carson February 20, 2005

If the homelessness situation in California and the nation seems rather bleak now, a look towards the future does not show that the housing crisis for low-income Americans is going to disappear any time soon. If anything, even larger numbers of homelessness will occur, unless the nations housing policies drastically change course in direction.

Since 2001, around 123,000 units of low-income public housing have been demolished across the nation, and another 45,000 units or more are expected to be demolished under current policies of the Bush administration.

Housing Urban and Development (HUD), has only authorized funding to build around 40,000 units to replace those demolished since 2001.

As a result of the Bush administration's policies, around an additional 50,000 families will need Section 8 housing vouchers this year, according to HUD officials. Most of the families are currently residing in public housing units that are scheduled for major rehabilitation, demolition or conversion to market-rate housing that will charge more than what low-income familes can afford to pay.

It's an extremely flawed housing policy. As the Bush administration razes the nations public housing units across the nation, the administration then proposes to cut funding for the very same vouchers being promised to those being displaced from their public housing. This policy is known as the Double-Cross, by most tenants being effected.

For instance, California stands to lose $665,454,248 in federal HUD funded low-income housing dollars by 2010 under proposed cuts by the Bush administration, according to a report released on February 18, by the Center on Budget and Policy Priorities (CBPP).

Based on actual funding levels for 2005, California has been authorized 300,836 Housing Choice Vouchers (Section 8 vouchers). An estimate based on limited information provided by the Bush administration reveals that if the administration's proposed cuts to HUD occur, by 2010 California faces a projected loss of 52,925 low-income housing vouchers across the state, below the 2005 level.

In addition, the Bush administration proposes a 5-year spending cap that would freeze all funding for low income programs at the already low fiscal year 2006 proposed funding levels.

The Bush proposals have outraged the poor, as housing activists up and down the state and across the nation are alarmed at the proposed cuts that would place tens of thousands more at risk of homelessness by 2010.

BUSH BUDGET PROPOSALS IN BRIEF

On February 7 the Bush administration released it's budget proposal to Congress for fiscal year 2006, and in comparison to all the other government agencies, HUD was hit with the largest funding cuts to it's programs.

The Bush administration is proposing a massive $3.7 billion cut to HUD which amounts to nearly a 12% cut in the nations housing assistance programs.

HUD's current 2005 budget is around $32.4 billion, and the Bush administration proposes to cut that down to around $28.5 billion for fiscal year 2006.

The nations mayors have become alarmed and outraged that the Bush administration proposes to zero out funding for the Community Development Block Grants (CDBG) in HUD, and consolidate the CDBG into the Labor and Commerce Department which is mostly pro business.

Low-income housing activists are horrified that the Bush administration proposes to end the federal rule that requires 75% of the nations housing choice vouchers (Section 8 vouchers) to serve the poorest of the poor. HUD and the Bush administration wants to shift the housing vouchers from the poorest of the nations renters to wealthier tenants that may not need assistance to avoid homelessness.

The Bush administration's proposal to end the 75% rule places the nearly 2 million low-income families in the Section 8 program at risk of homelessness, and would be a disaster for cities across the nation that lack the needed funding to provide shelters for the millions that are already homeless as a result of the nations housing policies.

Bush proposes to cut or eliminate hundreds of domestic programs. Key housing programs for the disabled (Section 811), project based rental assistance programs, Public Housing Capital Funds, Resident Opportunity and Self Suffiency funding, Native American Housing Block Grants, Youth Build funds, Housing for AIDS patients, Rural Housing Programs, Fair Housing Assistance Programs, Lead Paint Hazard Reduction Programs and a whole host of other programs meant to enhance the quality of our lives and the nations housing as a whole.

The proposed budget cuts are on a fast track, and Congress will attempt to begin work on the proposed budget cuts by March 7. The Bush administration's proposed budget includes language to extend the multi-trillion dollar tax cuts to the rich and is meant to protect them from Congressional budget enforcement rules. This would help to ensure the destruction of the nations domestic programs, as the tax cuts to the rich extend into perpetuity unless it is opposed by the American public.

Activists urge the public to reach their Representatives at the Congressional Switchboard by calling 1/888/818-6641, to tell their Reps that the proposed budget cuts must not take place and that the Bush tax cuts must be rolled back.

Lynda Carson may be reached at 510/763-1085