March 2021: Federal Funding & State Budget

This was originally published in the April 2, 2021 OCDCA Newsletter.

State News

Main Street Job Recovery Program Update

Ohio CDC Association (OCDCA) is advocating for the Main Street Job Recovery Program at the Statehouse during this budget season in order to increase resources for community development organizations.

The Main Street Job Recovery Program will provide state funds for nonprofit organizations that address the economic needs of low-and moderate- income individuals and families through the creation of permanent business development and employment opportunities. The program will focus on creating jobs for Ohioans while rebuilding Main Streets by addressing priorities such as blight remediation, vacant properties, housing, and the reentry population.

We’re pleased that a bipartisan group of 10 submitted the proposed amendment to the House budget version that include Rep Rick Carfagna (R-Genoa Township), Rep Sara Carruthers (R – Hamilton), Rep Jeff Crossman (D – Parma), Rep Laura Lanese (R – Grove City), Rep Lepore-Hagan (D – Ytown), Rep Gayle Manning (R – North Ridgeville), Rep Mike O’Brien (D – Warren), Rep Tom Patton (R – Strongsville), Rep Jean Schmidt (R – Miami Township), Rep Bride Rose Sweeney (D – Cleveland).

If you or your organization are represented by one of the below reps, will you please send them a quick email thanking them? Look up your Rep quickly to know for sure who they are.

Brownfield Revitalization Funding in the State Legislature

The Greater Ohio Policy Center has been advancing brownfields funding and House Bill 143 (HB143) and Senate Bill 84 (SB84) were introduced in the Ohio House of Representatives and the Ohio Senate by Representative Brett Hudson Hillyer (R – Uhrichsville) and Senators Sandra Williams (D – Cleveland) and Michael Rulli (R – Salem). These bills provide dedicated funding to the Clean Ohio Revitalization Fund (CORF). CORF was a highly successful program which, between 2002 and 2013, provided state funding to revitalize brownfields, and in turn, provided the state with a four-to-one economic return. CORF is recognized as a community-responsive tool for brownfield redevelopment efforts.

Final PY21 Housing Development Gap Financing Guidelines Now Available

The Final Program Year 2021 HDGF Guidelines are now available on OHFA's HDAP webpage. The HDGF program will award Ohio Housing Trust Funds and National Housing Trust Funds to affordable housing developments consisting of four to 24 units. OHFA will begin accepting Intents to Apply from applicants on May 3, 2021. Questions regarding HDGF can be sent to kbanyai@ohiohome.org.

Federal News

American Rescue Plan Provides Billions for Housing Security, Small Businesses, State and Local Aid

President Biden signed the $1.9 trillion stimulus package into law on March 11. This sweeping legislation is expected to lift 13 million people out of poverty, including 5.7 million children. These are some of the provisions of interest to community developers:

  • $27.4 billion in emergency rental assistance

  • $5 billion for the HOME program to support homelessness assistance and supportive services

  • $9.96 billion for a Homeowner Assistance Fund, including $100 million for housing counseling via NeighborWorks America

  • $7.25 billion in additional funding for Paycheck Protection Program forgivable loans (still scheduled to close March 31)

  • $15 billion for targeted Economic Injury Disaster Loan advance payments targeted to low-income communities

  • $350 billion to help states, counties, cities and tribal governments mitigate economic harm from the pandemic.

Watch OCDCA’s Nate Coffman and Greater Ohio Policy Center’s Jason Warner discuss what this all means, including updates on what we know about state or local ARPA funding. This is a huge opportunity for recovery funding that make a real impact in communities across the state, and we want to make sure that community development organizations are top of mind during this time. This call was held March 31, 2021 at 10 AM EST.

In the meantime, check out these additional resources, all of which were referenced in this call:

If you have additional questions, please contact Nate Coffman at ncoffman@ohiocdc.org.

American Jobs Plan Proposal Includes Affordable Housing

President Biden announced Wednesday his priorities for the “American Jobs Plan,” an approximately $2 trillion infrastructure and recovery package. The proposal includes $213 billion “to produce, preserve, and retrofit more than two million affordable and sustainable places to live . . . through grants, formula funding, targeted tax credits and project-based rental assistance.” The proposal includes $40 billion to repair public housing, resources to support homeownership and weatherize homes, and new incentives to encourage communities to eliminate exclusionary zoning and harmful land-use restrictions.

Maximize HUD Funding

Urge Congressional appropriators to allocate the largest possible slice of the pie to the Transportation, Housing and Urban Development (THUD) subcommittee. It's critical that the THUD subcommittee get the resources they need to fund housing and community development programs at HUD and USDA. Sign the letter!

CDC Extends Eviction Moratorium, Announces Enforcement

FROM NLIHC: The Biden administration announced an extension of the federal eviction moratorium through June 30, 2021, and greater enforcement of the moratorium’s protections – two measures that will help keep millions of renters stably housed during the pandemic and prevent further spread of and deaths from COVID-19. The announcement comes after NLIHC and more than 2,300 national, state, and local organizations and elected officials urged the Biden administration to take action. The extended moratorium and its enforcement are essential to help ten million families remain in their homes as states and local communities work to distribute emergency rental assistance to address arrears and prevent evictions.

FHFA Authorizes $1+ Billion for Affordable Housing

The Federal Housing Finance Agency (FHFA) authorized the disbursement of $1.09 billion for Fannie Mae and Freddie Mac's affordable housing allocations for 2020. This is the largest amount ever disbursed and more than double what was provided last year. Of the funds, $711 million will go to HUD for the Housing Trust Fund and $383 million will go to the Department of the Treasury for the Capital Magnet Fund. Read the FHFA announcement.