 National Association of Counties * Washington, D.C. Vol. 31, No. 15 * August 9, 1999 Previous story | Table of Contents | Next story House appropriators cut CDBG, By Diane Taylor
Following the action taken by the House VA-HUD and Independent Agencies Appropriations Subcommittee, the full Appropriations Committee maintained the cuts to CDBG, HOME and other HUD programs in the House version of the FY2000 spending bill. The measure provided $26.1 billion for HUD, funding many of HUD programs below existing levels. The committee slashed CDBG by $250 million below its current funding level of $4.75 billion, HOME was reduced by $20 million, Emergency Shelter Grant/Continuum of Care was reduced by $5 million. HOPWA trimmed by $10 million, HOPE VI, the distressed public housing program, was cut by $50 million. Brownfields would be funded at $5 million less than this year. In addition to direct cuts to HUD programs, the committee chose not to fund the Administration’s America’s Private Investment Companies (APIC), which is part of the New Market Strategy being touted by President Clinton and HUD Secretary Andrew Cuomo. The committee did not allocate any funding for continuation of the Regional Connections Program. These reductions have been made to stay within the budget caps agreed to in the 1997 Balanced Budget Act, which resulted in an 8 percent reduction in the 602(b) allocation to the House VA-HUD and Independent Agencies Appropriations Subcommittee to distribute to the programs under its jurisdiction. In cutting key HUD programs, House leadership made good on their promise to fully fund veteran programs at the detriment to HUD programs. Staying within the caps allows the Republican leadership to keep domestic discretionary spending under control while using the additional funds generated by higher than expected surplus to provide a large tax cut, which President Clinton has threatened to veto. In other agencies, the funding committee eliminated funding for the Selective Service and the Corporation for National and Community Service (Americorps), a presidential priority. The extra funds were given to NASA; however, the space agency’s budget is still $900 million short of President Clinton’s request. The measure was slated to go to the House floor the week of August 2, prior to the recess. NACo sent out an action alert to county officials to contact their congressional delegations and urge them to oppose the pending cuts in HUD programs. Reductions to CDBG, HOME and other housing and community development programs will result in a significant loss of projects and services at the local level. Share with your congressional delegation the number of elderly, homeless, children – those who are likely to bear the burden of bearing these cuts who will not receive assistance if these cuts are made. |