House Approves $45 Million in 2015 Housing Counseling Funds

Housing counseling programs would get the same amount in funding in fiscal year 2015 as in fiscal year 2014 at $45 million under a spending bill passed by the House Appropriations Committee on Wednesday.

Housing counseling programs also received the same amount of funding under the Transportation, Housing and Urban Development (THUD) funding bill in fiscal year 2013, which fell from fiscal year 2012’s allocation of $60 million.

While the appropriations committee was positive on housing counseling in general, it did not approve funding for for a new pilot program—Homeowners Armed with Knowledge (HAWK)–that would expand use of housing counseling tied to FHA originations and servicing.

Advertisement

The last time housing counseling funding was slashed altogether—causing many counseling organizations to scramble to secure funding and raise the cost of counseling service—was in 2011.

In total, the bill, which also provides funds toward transportation and infrastructure in national need, reflects an allocation of $52 billion in discretionary spending—an increase of $1.2 billion above the fiscal year 2014 enacted level and a decrease of $7.8 billion below the President’s budget request. However, given the reduction in offsets caused by a decline in Federal Housing Administration receipts, the program level within the bill is more accurately $1.8 billion below the current level.

The bill was approved with a 28-21 vote.

Fiscal year 2015 begins Oct. 1, 2014.

Written by Cassandra Dowell

Join the Conversation (3)

see all

This is a professional community. Please use discretion when posting a comment.

  • hecmvet – That amount is determined later; now it’s just one amount for all housing counseling that is appropriated each year.

  • With the high rate of those who those who drop out of the program after counseling and at $125 each, the amount needed just for the HECM appropriation to get to 60,000 endorsements would be about $15 million. Of course that is assuming that all counseling sessions are underwritten by US taxpayers. To get to 300,000 endorsements, the 2018 goal of the Extreme Summit, the amount rises to $75 million.

    What I wonder about sometimes is if our stated goals might not be very unsettling to members of Congress, particularly Democrats as we have so recently experienced.

string(103) "https://reversemortgagedaily.com/2014/05/22/house-approves-45-million-in-2015-housing-counseling-funds/"

Share your opinion