News and Legislative Update, June 2021

STATE

Budget. 

The Senate Finance Committee considered housing-related amendments to the 2022-23 budget last week. In a vote of 6-0, the Committee approved a $25 million general fund appropriation to the Affordable Housing Fund (AHF). In addition, they reinstated the Real Estate Transfer Tax carve-out to the AHF, adding another $10 million for a total of $35 million.

The same Committee rejected an amendment presented by NH DHHS to increase the funding for homeless services by $19.8 million. Instead, they advanced a separate amendment to reinstate the Department’s eviction prevention program for $3 million. Homeless service advocates are continuing to seek support from state policymakers for the resources needed to address the increase in the homeless population. According to HUD, New Hampshire experienced one of the highest increases in the homeless population in the country between 2019 and 2020, with an overall increase of 21%.

Budget bills, HB 1 and HB 2, still need consideration by the full Senate and a likely Committee of Conference before heading to the Governor.
 

Community Revitalization Tax Relief Incentives/HB 154.Representative Casey Conley’s bill to enable municipalities to offer community revitalization tax incentives for the construction of affordable housing has passed the House and Senate and heads to the Governor for signature. This bill is an expansion of the existing RSA 79:e statute. It would allow developers to access tax relief provisions if one-third of the housing units are set aside as affordable. The bill also extends the maximum period of this relief from 9 to 10 years. 

Right to Cure/SB 126. Senator Perkins Kwoka’s bill to extend the right to cure for tenants up until the date of the eviction hearing passed the Senate and received a favorable recommendation by the House Judiciary Committee. The bill will be on the consent calendar at the next session of the full House.

2021-2025 Consolidated Plan. NH Housing Finance Authority, NH Community Development Finance Authority and the NH Department of Health and Human Services Bureau of Housing Supports have submitted the 2021-2025 Consolidated Plan to HUD. The plan establishes priorities for addressing the state’s housing, homeless, and community development. The plan is developed with the support of the Housing and Community Development Planning Council.

Analysis of Impediments to Fair Housing Report. New Hampshire Legal Assistance has finalized its updates to the Analysis of Impediments to Fair Housing Report. The report reviews issues related to housing discrimination and proposes actions and policy improvements, including the need to end source of income discrimination for those seeking to pay for housing with vouchers. 
 

Supportive Housing Medicaid Benefit. The NH Department of Health and Human Services has posted the 1915i state plan amendment for supportive housing services for public comment. Following the comment period, the proposal will be submitted to CMS. The proposed effective date is September 1, 2021. 

FEDERAL

Federal Budget. The Biden Administration released its proposed budget for the 2022 fiscal year. Included are several proposed increases, including: 1) expanding rental assistance through the Tenant Based Rental Assistance program to 200,000 additional households, focusing on homelessness and domestic violence; 2) an additional $500 million for Homeless Assistance Grants; 3) a more significant investment in the HOME Investment Partnerships program by $500 million; 3) $180 million for 2,000 new homes for seniors and people with disabilities; 4) an additional $12 million for fair housing; 5) a $55 billion increase to the Low Income Housing Tax Credit/Housing Credit; 6) $800 million for energy-efficient upgrades, as well as; 7) $3.5 billion for public housing capital repairs. The FY22 budget is the first annual spending bill in a decade that is not limited by the low spending caps required by the Budget Control Act. Congress will now begin drafting spending bills, with House appropriations subcommittees expected to consider spending proposals on June 24, and full committee votes June 29 through July 16. Voting in the Senate is expected to begin the following month. You can track the budget proposals here. 

American Rescue Plan State and Local Funds. The US Department of Treasury has released its interim final rule on the Coronavirus State and Local Fiscal Recovery Funds. Comments on the rule are due by July 16, 2021. The NH Fiscal Policy Institute estimates that the American Rescue Plan will bring $4 billion to New Hampshire, including $1.4 billion from the Coronavirus State and Local Fiscal Recovery funding. 

American Jobs Plan/Infrastructure Proposals. The President offered the $2.2 trillion American Jobs Plan as his initial set of infrastructure proposals, including major investments in affordable housing and public housing capital needs. Counteroffers from Senate Republicans appear to drop housing investments. “Pay-for” for the infrastructure package are also being debated.
 

HoUsed Campaign. The National Low Income Housing Coalition has launched the HoUSed campaign aimed at address racial and income inequities in housing. The Coalition released this letter to House and Senate leadership underscoring its four goals:

1. Bridge the gap between incomes and housing costs by expanding rental assistance to every eligible household. 

2. Expand and preserve the supply of rental homes affordable and accessible to people with the lowest incomes.

3. Provide emergency rental assistance to households in crisis by creating a national housing stabilization fund. 

4. Strengthen and enforce renter protections. 

HOUSING ACTION NH NEWS