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President’s budget proposes changes to federal housing credit, MRB and HUD programs

By: Leslie Black-Plumeau on 2/17/2012

The Obama administration sent Congress its FY 2013 budget this week, proposing changes to the housing credit program to provide incentives for creating mixed-income housing and to allow a 30 percent basis boost for some 4 percent credit, tax-exempt bond-financed preservation projects. It also proposes repealing the mortgage revenue bond (MRB) program purchase price limit and refinancing restriction.

In terms of HUD programs, the budget proposes increasing funding for housing choice vouchers, homeless assistance, and Section 202 housing for the elderly. It proposes cutting funding for the project-based Section 8 and Section 811 housing for persons with disabilities program. It provides level funding for HOME and the community development block grant (CDBG) programs. The budget also again proposes $1 billion in new funding to launch the housing trust fund.

Read more budget highlights summarized by the National Council for State Housing Agencies.