Appropriations, 2002	$25,000,000
Budget estimate, 2003	25,000,000
Committee recommendation	25,000,000

PROGRAM DESCRIPTION

Section 108(q) of the Housing and Community Development Act of 1974, as amended, authorizes the Brownfields Redevelopment program. This program provides competitive economic development grants in conjunction with section 108 loan guarantees for qualified brownfields projects. Grants are made in accordance with Section 108(q) selection criteria. The program supports the cleanup and economic redevelopment of contaminated sites.

COMMITTEE RECOMMENDATION

The Committee recommends an appropriation of $25,000,000 for this program. This amount is the same as the fiscal year 2002 enacted level and the budget request. In order to allow greater flexibility, Brownfields funds are no longer required to be tied to section 108 development funding.

HOME INVESTMENT PARTNERSHIPS PROGRAM

(INCLUDING TRANSFER OF FUNDS)

Appropriations, 2002	$1,846,040,000
Budget estimate, 2003	2,084,100,000
Committee recommendation	1,950,000,000

PROGRAM DESCRIPTION

Title II of the National Affordable Housing Act, as amended, authorizes the HOME Investment Partnerships Program. This program provides assistance to States and units of local government for the purpose of expanding the supply and affordability of housing to low- and very low-income people. Eligible activities include tenant-based rental assistance, acquisition, and rehabilitation of affordable rental and ownership housing and, also, construction of housing. To participate in the HOME program, State and local governments must develop a comprehensive housing affordability strategy. There is a 25-percent matching requirement for participating jurisdictions which can be reduced or eliminated if they are experiencing fiscal distress.

COMMITTEE RECOMMENDATION

The Committee recommends an appropriation of $1,950,000,000 for the HOME Investment Partnerships Program. This amount is $103,960,000 more than the fiscal year 2002 enacted level and $134,100,000 less than the budget request.

The Committee did not include any funds for the Administration's proposed American Dream Downpayment Fund. The Committee supports expanding homeownership opportunities, but remains concerned that this program constrains the ability of local communities to determine how best to use HOME funds. The Committee supports any efforts the Department may undertake to educate communities on how to use HOME funds to expand homeownership, and encourages the Department to use its technical assistance funds towards this end. The Committee also reminds HUD that technical assistance funds available under this heading should be used to provide both Community Housing Development Organization (CHDO) and HOME technical assistance.

Of the amount provided for the HOME program, $40,000,000 is for housing counseling assistance. The Committee does not fund housing assistance counseling in a new account, as proposed by the administration. Funding for housing counseling assistance has been doubled from the fiscal year 2002 enacted level. The Committee views homeownership counseling, including pre- and post-purchase counseling, as an essential part of successful homeownership. The Committee expects that this program will remain available to those participating in all of HUD's homeownership programs. The Committee urges HUD to utilize this program as a means of educating homebuyers on the dangers of predatory lending, in addition to the administration's stated purpose of expanding homeownership opportunities.

HOMELESS ASSISTANCE GRANTS

(INCLUDING TRANSFER OF FUNDS)

Appropriations, 2002	$1,122,525,000
Budget estimate, 2003	1,129,500,000
Committee recommendation	1,215,025,000

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