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Housing, Homeless Programs Suffer in Federal Budget
By Rae Borsetti

The budget for 2008 falls short in many areas when it comes to spending on homelessness and low-income housing, according to many advocates. But the Bush Administration contends that the budget allocations are more than sufficient.

The Department of Housing and Urban Development's homeless assistance programs were allocated $1.586 billion in the fiscal year 2008 budget released in early February. Though this is $145 million, or approximately 10 percent more than the administration's proposal in the 2007 budget, it is actually 8% less than the 2007 budget passed by the House and waiting for a vote in the Senate.

This overall decrease is coupled with rising operation costs and the proposed budget's cuts of both affordable housing and health care programs that benefit the homeless community, funded under the Department of Health and Human Services.

The administration's 2008 budget, "will not be adequate to keep existing programs in place, meet the goals it has set around ending chronic homelessness, and address unmet needs," said Nan Roman, president of the National Alliance to End Homelessness (NAEH).

The National Low Income Housing Coalition (NLIHC) added that the budget neglects housing needs and that "the Bush Administration appears to be unconcerned about the most serious housing problems of American families."

HUD Secretary Alphonso Jackson, however, is pleased with the budget, which includes a $1.6 billion increase in HUD's funding overall. He credits the President with "making certain that HUD's budget once again includes record funding for those who might otherwise be living on the streets," and said that the budget prioritizes "programs with measurable, documented results."

Major cuts occurred in juvenile justice and delinquency prevention, and rural housing. The Community Services Block Grant would be completely eliminated.

Smaller cuts include those in community health centers and healthcare for the homeless, and the Ryan White HIV/AIDS programs. These smaller decreases in funding will be significant when compounded by rising operating costs.

Programs that remain the same or have slight increases will also be affected by rising operations cost. One important program, the Section 8 Choice Voucher, is an example of this. Though its funding was increased by $80 million, this only accounts for half of 1% over its projected 2007 funding.

"This is several hundred million dollars less than would be needed to keep the program running at its existing level and would necessitate cuts to the program," according to the National Alliance.

A few important programs do receive increased funding, such as homeless assistance and Housing for Persons Living with AIDS (HOPWA). However, HOPWA's $14 million dollar increase in funding was much more than made up for by cuts in housing for low-income seniors and persons with disabilities.

The NLIHC called this, "just what this Administration has done in the past: -- shift funds from one vulnerable population to another."

Like the 2007 budget proposal, the 2008 proposal is likely to undergo many changes before it is adopted. The NAEH is especially hopeful that the budget will see increased funding of affordable housing.

"Without increases in affordable housing," Roman said, "community efforts to end homelessness are doomed to failure."