Proposed 2010 HUD Budget calls for needed investment and dramatic innovation - Metropolitan Planning Council

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Proposed 2010 HUD Budget calls for needed investment and dramatic innovation

MPC endorses HUD's 2010 budget, a "Roadmap for Transformation," which fully funds many needed housing programs and introduces demonstration grants to encourage housing and transportation coordination and local innovation.

On May 7, U.S. Housing and Urban Development (HUD) Secy. Shaun Donovan unveiled his agency's proposed 2010 Budget, A "Road Map for Transformation," which warrants tremendous support from community developers and Congressional leaders alike.

In addition to restoring and increasing critical resources for Community Development Block Grants and various public housing initiatives (including the Housing Choice Voucher and project-based subsidies), HUD's proposed 2010 budget creates an "Energy Innovation Fund" and capitalizes the previously unfunded National Housing Trust Fund. It also revamps HOPE VI into "Choice Neighborhoods Program," to expand its focus beyond public housing and encourage broader revitalization. To accomplish these aggressive goals, over two dozen other programs were consolidated or discontinued.

While MPC applauds these investments by HUD, as well as the budget's focus on transparency and accountability, perhaps most inspiring are two demonstration initiatives:

1) The Sustainable Communities Initiative. Building on the March 18, 2009, announcement by HUD Secy. Donovan and U. S. Transportation Secy. Ray LaHood, the HUD budget proposes $150 million in demonstration grants to support regional and local efforts to "integrate transportation and housing planning and decisions in a way that maximizes choices for residents and businesses, lowers transportation costs and drives more sustainable development patterns." There also are challenge grants "to entice metropolitan and local leaders to make market-shifting changes in local zoning and land use rules."

2) The Transformation Initiative. HUD has set aside one percent of the entire $4.3 billion budget, or approximately $430 million, for (a) research and evaluation to highlight what works, and to modify programs and policies that don't,  (b) demonstration grants "to test new ideas for improving its programs and helping state and local governments develop more effective housing and community and economic development strategies;" (c) technical assistance and capacity building, and (d) the next generation of information technology systems.

Given its extensive work related to the Plan for Transformation and voucher initiatives, MPC is encouraged by the overall expansion in those budgets, and by the evolution and expansion of the HOPE VI program into the new $250 million proposal for its "Choice Neighborhood Initiative." According to HUD, this Initiative would focus not only on public housing, but more broadly on the alleviation of "intense concentration of poverty in inner cities caused by the overconcentration of public and assisted housing."

MPC strongly encourages you to contact your legislators to support this budget, and -- as Congress considers transportation, climate and energy Bills -- the continued linkages of housing, transportation and workforce planning. Click here for a sample letter you can send to your legislators to support the proposed 2010 HUD Budget, including the Sustainable Communities and Transformation initiatives, and other incentives for coordinated land use, transportation and workforce planning and investments.

Please let us know you sent a letter to your legislators. Click here to review the HUD budget.

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