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DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT This chapter presents the budget and program estimates for the Department of Housing and Urban Development. In order to better address the needs of communities and cities and the nation’s poorest and most vulnerable populations, the Administration is proposing a reinvention plan which will dramatically alter the way in which the Department carries out its mission. Flexibility will be increased as State and local governments decide for themselves how funds can best be allocated. The reinvention plan represents a financial restructuring that will result in the eventual consolidation of the activities of some sixty current programs into three programs by 1998. In addition, the reinvention plan calls for the transformation of the Federal Housing Administration into a government corporation. The reinvention process will begin with the consolidation of some sixty programs into seven new programs in 1996. In 1998, these seven programs will be further consolidated so that these activities are carried out by three grant programs: Housing Certificates for Families and Individuals Performance Funds, Community Opportunity Performance Funds, and Affordable Housing Performance Funds. Activities currently carried out by the Department and the seven new accounts to be established in 1996—along with the funding requested for each—are summarized in the table below. Budget details are contained in the remainder of this chapter under the Department’s major activity headings. PROPOSED CONSOLIDATION OF HUD ACTIVITIES AND 1996 FUNDING REQUESTS (In thousands of dollars) Current programs/activities Section 8 Vouchers Section 8 Certificates Section 8 Certificates for Persons with Disabilities Section 8 Certificates for Persons with AIDS Section 8 Certificates for the Homeless Section 8 Counseling Homeownership/Preservation Property Disposition Loan Management Section 8 Opt Outs Lease Adjustments Renewal of Expiring Section 8 Contracts Sec. 8 Family Unification Family Self Sufficiency Coordinators Elderly Housing Service Coordinators Project-Based Service Coordinators Flexible Subsidy Fund Congregate Housing Public/Indian Housing Development Public/Indian Housing Amendments Indian Housing Development Tenant Opportunity Program (TOP) Urban Youth Corps Public/Indian Housing Modernization Public Housing Coordinators Major Reconstruction of Public Housing (MROP) Severely Distressed Public Housing Family Investment Centers Fiscal year 1996 budget structure Housing Certificates for Families and Individuals Performance Funds $7,665,000 Public and Indian Housing Capital Performance Funds $4,884,000 Public Housing Operating Subsidies Drug Elimination Grants Service Coordinators Public and Indian Housing Operation Performance Funds $3,220,000 Community Development Grants (CDBG) Youthbuild Community Opportunity Performance Funds $4,850,000 Economic Development Initiative (EDI) Colonias Urban Development Action Grants (UDAG) Historically Black Colleges Work Study Program Joint Community Development Community Outreach Early Childhood Development Insular Areas Technical Assistance Neighborhood Development Community Adjustment Planning HOME National Homeownership Trust Demonstration EZ Homes Housing Counseling Section 202 Elderly Housing Section 811 Housing for the Disabled Pension Fund Partnerships HOPE Lead-Based Paint Hazard Reduction Homeless Assistance Grants Shelter Plus Care Section 8 Mod Rehab SRO Emergency Shelter Grants Supportive Housing Innovative Program Housing Opportunity for Persons with AIDS Affordable Housing Performance Funds $3,339,000 Homeless Assistance Performance Funds $1,120,000 Housing Opportunities for Persons With AIDS Funds $186,000 The major divisions of this chapter conform to the following Department activities: Public and Indian housing programs cover three of the Department’s proposed new performance programs: Housing Certificates for Families and Individuals Performance Funds, Public and Indian Housing Operation Performance Funds, and Public and Indian Housing Capital Performance Funds. Current public housing, assisted housing and Section 8 rental assistance programs will eventually be consolidated into one housing certificates program. Local and state governments, with a premium on metropolitan strategies, will administer the new housing certificates. This section also includes programs addressing the problems of severely distressed public housing and housing assistance to Native Americans. Community planning and development covers the new consolidated performance-based Community Opportunity Performance Funds, Affordable Housing Performance Funds, and Homeless Assistance Performance Funds programs. The Community Opportunity program will provide formula grants, offering local and State governments flexible funding for the economic revitalization and renewal of distressed communities. The Affordable Housing program will consolidate activities currently included under HOME, housing for the elderly and persons with disabilities, housing counseling, and the National Homeownership fund. The program will provide grants to local and State governments under a formula with a national set-aside for Native Americans. Various grants and other assistance for the homeless would be consolidated in the proposed Homeless Assistance Performance Funds program. This heading also includes a program offering Housing Opportunities to Persons with AIDS. Housing programs cover the planned consolidation of mortgage insurance activities of the Federal Housing Administration into two funds, single family and multifamily housing, to be carried out by a government-owned corporation. The new FHA corporation will also restructure the existing single family and multifamily programs based on market forces. HUD’s reinvention of FHA will transform it into a streamlined enterprise using credit enhancement to finance expanded homeownership opportunities and the development of affordable rental housing. Other activities included under this 499 500 THE BUDGET FOR FISCAL YEAR 1996 heading are the Office of Interstate Land Sales Registration and manufactured home inspection and monitoring programs. Government National Mortgage Association (GNMA) covers the Department’s programs to assist in the availability of mortgage credit and stabilize financing of selected types of mortgage loans through the guarantee of mortgage-backed securities. GNMA also utilizes multiple maturity securities issued through Real Estate Mortgage Investment Conduits (REMICS) in addition to its current single-class mortgagebacked securities. Fair housing and equal opportunity includes the Fair Housing Assistance Program authorized by title VIII of the Civil Rights Act of 1968, as amended, and the Fair Housing Initiatives Program. Policy development and research includes the policy development, economic analysis, program evaluation, and research activities of the Department. Departmental Management includes the Department’s Salaries and Expenses, the Inspector General, and the Office of Federal Housing Enterprise Oversight. PUBLIC AND INDIAN HOUSING Federal Funds General and special funds: HOUSING CERTIFICATES FOR FAMILIES AND INDIVIDUALS PERFORMANCE FUNDS For assistance in accordance with the Housing Certificates for Families and Individuals Performance Funds program, $7,664,875,000, to remain available until expended: Provided, That such amount shall be available only upon enactment into law of authorizing legislation. (Additional authorizing legislation required.) Program and Financing (in thousands of dollars) Identification code 86–0302–0–1–604 1994 actual 1995 est. 1996 est. Program by activities: Total obligations (object class 41.0) ............................ ................... ................... 3,832,438 Financing: 24.40 Unobligated balance available, end of year: Treasury balance ...................................................................... ................... ................... 7,664,875 Identification code 86–0303–0–1–604 10.00 Budget authority (appropriation) .............................. ................... ................... Relation of obligations to outlays: 71.00 Total obligations ............................................................ ................... ................... 3,832,438 74.40 Obligated balance, end of year: Unpaid obligations: Treasury balance ....................................................... ................... ................... –3,052,087 90.00 Outlays ....................................................................... ................... ................... 780,351 The Administration proposes to consolidate all rental assistance programs into one that provides Housing Certificates for Families and Individuals. Consolidated programs would include Incremental Rental Assistance, Section 8 Family Unification, Section 8 Opt-Outs, Section 8 contract renewals, and Family Self Sufficiency Coordinators. Certificates would provide recipients with subsidies to help them afford rental housing in the private housing market. The program would provide formula allocations of certificates to local and State governments, which would be encouraged to administer certificates on a marketwide basis. Jurisdictions would be given the authority to select administering entities. PUBLIC AND INDIAN HOUSING OPERATION PERFORMANCE FUNDS For assistance in accordance with the Public Housing/Indian Housing Operation Performance Funds program, $3,220,000,000, to remain available until expended: Provided, That such amount shall be available only upon enactment into law of authorizing legislation. (Additional authorizing legislation required.) 1994 actual 1995 est. 1996 est. 10.00 Program by activities: Total obligations (object class 41.0) ............................ ................... ................... 3,220,000 40.00 Financing: Budget authority (appropriation) ................................... ................... ................... 3,220,000 71.00 74.40 90.00 Relation of obligations to outlays: Total obligations ............................................................ ................... ................... 3,220,000 Obligated balance, end of year: Unpaid obligations: Treasury balance ....................................................... ................... ................... –1,996,560 Outlays ....................................................................... ................... ................... 1,223,440 The Administration proposes to consolidate operating subsidies for public housing into a single Public and Indian Housing Operation Performance Funds program. Programs to be consolidated include Operating Subsidies for Public and Indian Housing, Drug Elimination Grants, and Public Housing Service Coordinators. Operating subsidy payments are provided to assist local Public Housing Agencies (PHAs) and Indian Housing Authorities (IHAs) to meet certain deficits in the operations of public and Indian housing. These payments are in addition to debt service and capital funding provided by HUD. A portion of the funds will be awarded competitively to States and local governments and to private and non-profit entities who are proven performers. The funds may be used for a variety of special purposes. PUBLIC AND INDIAN HOUSING CAPITAL PERFORMANCE FUNDS For the Public Housing/Indian Housing Capital Performance Funds program, $4,884,000,000, to remain available until expended; and in addition, $287,000,000 of amounts reserved or obligated in prior years for reconstruction of obsolete public housing projects under 42 U.S.C. 1437 which were recaptured during fiscal year 1995, which shall become available only upon enactment into law of authorizing legislation, and remain available until expended. (Additional authorizing legislation required.) 3,832,438 40.00 Program and Financing (in thousands of dollars) Program and Financing (in thousands of dollars) Identification code 86–0304–0–1–604 10.00 1994 actual 1995 est. Program by activities: Total obligations (object class 41.0) ............................ ................... ................... 1996 est. 517,100 Financing: 22.00 Unobligated balance transferred, net ........................... ................... ................... 24.40 Unobligated balance available, end of year: Treasury balance ...................................................................... ................... ................... 4,653,900 40.00 Budget authority (appropriation) .............................. ................... ................... 4,884,000 71.00 74.40 Relation of obligations to outlays: Total obligations ............................................................ ................... ................... Obligated balance, end of year: Unpaid obligations: Treasury balance ....................................................... ................... ................... –504,401 Outlays ....................................................................... ................... ................... 12,699 90.00 –287,000 517,100 The Administration proposes to consolidate all current public housing capital programs into a single Public and Indian Housing Capital Performance Funds program. Consolidated programs would include Public Housing Modernization, Public and Indian Housing Development, Severely Distressed Public Housing, public and Indian housing amendments and Family Investment Centers. This program would provide Federal resources to rehabilitate and restore viable public housing in need of modernization, demolish uninhabitable and non-viable public housing projects, and construct replacement housing where feasible. PUBLIC AND INDIAN HOUSING—Continued Federal Funds—Continued DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT øPAYMENTS FOR OPERATION OF LOW-INCOME HOUSING PROJECTS¿ øFor payments to public housing agencies and Indian housing authorities for operating subsidies for low-income housing projects as authorized by section 9 of the United States Housing Act of 1937, as amended (42 U.S.C. 1437g), $2,900,000,000.¿ (Departments of Veterans Affairs and Housing and Urban Development, and Independent Agencies Appropriations Act, 1995.) Relation of obligations to outlays: Total obligations ............................................................ Obligated balance, start of year: Unpaid obligations: Treasury balance ....................................................... 74.40 Obligated balance, end of year: Unpaid obligations: Treasury balance ....................................................... 78.00 Adjustments in unexpired accounts .............................. 71.00 72.40 90.00 Outlays ....................................................................... 44,729 501 544,740 ................... 302,896 186,427 552,350 –186,427 –552,350 –293,350 –861 ................... ................... 160,337 178,817 259,000 Program and Financing (in thousands of dollars) 1994 actual Identification code 86–0163–0–1–604 1995 est. 1996 est. 00.01 Program by activities: Operating subsidies ....................................................... 2,620,304 2,900,000 ................... 10.00 Total obligations (object class 41.0) ........................ 2,620,304 2,900,000 ................... Financing: 21.40 Unobligated balance available, start of year: Treasury balance ...................................................................... 504 ................... ................... 24.40 Unobligated balance available, end of year: Treasury balance ...................................................................... ................... ................... ................... 40.00 Budget authority (appropriation) .............................. 2,620,808 2,900,000 ................... Relation of obligations to outlays: Total obligations ............................................................ 2,620,304 2,900,000 ................... Obligated balance, start of year: Unpaid obligations: Treasury balance ....................................................... 1,341,545 1,373,295 1,566,000 74.40 Obligated balance, end of year: Unpaid obligations: Treasury balance ....................................................... –1,373,295 –1,566,000 –29,000 77.00 Adjustments in expired accounts .................................. –4,770 ................... ................... 71.00 72.40 90.00 Outlays ....................................................................... 2,583,784 2,707,295 The table below shows the funding requested for drug-related and crime prevention activities for the period 1994–1995. This program will be terminated at the end of fiscal year 1995. Beginning in fiscal year 1996, funding for these types of activities will be provided under the Public and Indian Housing Operation Performance Funds program. Summary of Program Activity (in thousands of dollars) 1994 actual 1996 est. Funding level: Drug elimination grants ......................................................... 265,000 290,000 ................... Total Funding ................................................................. 265,000 290,000 ................... Outlays: Drug Elimination Grants: Annual Contributions .......................................................... Operating Subsidies ........................................................... Drug Elimination Grants .................................................... 1,537,000 Operating subsidy payments are provided to assist local Public Housing Agencies (PHAs) and Indian Housing Authorities (IHAs) to meet certain deficits in the operation of PHAowned and IHA-owned low-income housing. These payments are in addition to the debt service and capital funding provided by HUD for development and modernization of lowincome housing. The operating subsidy estimates were based primarily upon the Performance Funding System (PFS) formula. This program will be terminated at the end of fiscal year 1995. Beginning in fiscal year 1996, funding for these activities will be provided under the Public and Indian Housing Operation Performance Funds program. 1995 est. Total Outlays .................................................................. 108 ................... ................... 5,752 ................... ................... 160,337 178,817 259,000 166,187 178,817 259,000 VIOLENT CRIME REDUCTION PROGRAMS For activities authorized by subtitle J, Title III of Public Law 103– 322 (including administrative costs), $3,000,000, to remain available until expended, which shall be derived from the Violent Crime Reduction Trust Fund and shall be transferred to the Bureau of the Census to develop or update statistical data required by the Local Partnership Act to develop formulae necessary for the future distribution of funds appropriated under such Act. Program and Financing (in thousands of dollars) Identification code 86–8192–0–1–754 1994 actual 1995 est. 1996 est. 00.01 øDRUG ELIMINATION GRANTS FOR LOW-INCOME HOUSING¿ øFor grants to public housing agencies for use in eliminating drugrelated crime in public housing projects authorized by 42 U.S.C. 11901–11908, and for drug information clearinghouse services authorized by 42 U.S.C. 11921–11925, $290,000,000, to remain available until expended, of which $10,000,000 shall be for grants, technical assistance, contracts and other assistance training, program assessment, and execution for or on behalf of public housing agencies and resident organizations (including the cost of necessary travel for participants in such training).¿ (Departments of Veterans Affairs and Housing and Urban Development, and Independent Agencies Appropriations Act, 1995.) Program and Financing (in thousands of dollars) Identification code 86–0197–0–1–604 10.00 Program by activities: Total obligations (object class 41.0) ............................ 1994 actual 44,729 Financing: 17.00 Recovery of prior year obligations ................................. Unobligated balance available, start of year: 21.40 Treasury balance ....................................................... 21.49 Contract authority ..................................................... Unobligated balance available, end of year: 24.40 Treasury balance ....................................................... 24.49 Contract authority ..................................................... –13,853 –19,755 40.00 265,000 Budget authority (appropriation) .............................. 1995 est. 1996 est. Program by activities: Local Partnership Act .................................................... ................... ................... 3,000 10.00 Total obligations (object class 25.1) ........................ ................... ................... 3,000 Financing: 42.00 Budget authority (transferred from other accounts) ................... ................... 3,000 71.00 Relation of obligations to outlays: Total obligations ............................................................ ................... ................... 3,000 90.00 Outlays ....................................................................... ................... ................... 3,000 Amounts for Public and Indian Housing’s portion of the Crime Control Programs are derived from transfers from the Violent Crime Reduction Trust Fund (VCRTF) as authorized by the Crime Control and Law Enforcement Act of 1994. These funds are provided to pay for census surveys required in development of formulae needed to distribute funds to units of local governments. 544,740 ................... –861 ................... ................... –20,763 ................... –233,977 ................... 20,763 ................... ................... 233,977 ................... ................... 290,000 ................... øSEVERELY DISTRESSED PUBLIC HOUSING¿ øFor the HOPE VI/urban revitalization demonstration program under the third paragraph under the head ‘‘Homeownership and Opportunity for People Everywhere grants (HOPE grants)’’ in the Department of Veterans Affairs and Housing and Urban Development, and Independent Agencies Appropriations Act, 1993, Public Law 102– 389, 106 Stat. 1571, 1579, $500,000,000, to remain available until expended: Provided, That notwithstanding the first proviso of such third paragraph, the Secretary shall have discretion to approve fund- 502 PUBLIC AND INDIAN HOUSING—Continued Federal Funds—Continued THE BUDGET FOR FISCAL YEAR 1996 24.40 31.00 General and special funds—Continued øSEVERELY DISTRESSED PUBLIC HOUSING¿—Continued ing for more than fifteen applicants: Provided further, That notwithstanding the third proviso of such third paragraph, the Secretary may provide funds for more than 500 units for each participating city: Provided further, That in selecting HOPE VI implementation grants recipients in fiscal year 1995, the Secretary must first award such grants to those cities or jurisdictions which have received HOPE VI planning grants in fiscal year 1993 or fiscal year 1994: Provided further, That the requirement of the immediately proceeding proviso shall not limit the Secretary’s discretion to limit funding to amounts he deems appropriate, nor shall it prevent the Secretary from guaranteeing that all implementation grant recipients conform with the requirements of the HOPE VI/urban revitalization demonstration program: Provided further, That of the foregoing $500,000,000, the Secretary may use up to $2,500,000 for technical assistance under such urban revitalization demonstration, to be made available directly, or indirectly, under contracts or grants, as appropriate: Provided further, That nothing in this paragraph shall prohibit the Secretary from conforming the program standards and criteria set forth herein, with subsequent authorization legislation that may be enacted into law.¿ (Departments of Veterans Affairs and Housing and Urban Development, and Independent Agencies Appropriations Act, 1995.) Program and Financing (in thousands of dollars) Identification code 86–0218–0–1–604 Program by activities: 10.00 Total obligations (object class 41.0) ............................ 1994 actual 1995 est. 579,248 1996 est. 549,446 ................... Financing: Unobligated balance available, start of year: 21.40 Treasury balance ....................................................... ................... –22,564 ................... 21.49 Contract authority ..................................................... –300,000 –476,428 –449,546 Unobligated balance available, end of year: 24.40 Treasury balance ....................................................... 22,564 ................... ................... 24.49 Contract authority ..................................................... 476,428 449,546 449,546 40.00 Budget authority (appropriation) .............................. 778,240 500,000 ................... Relation of obligations to outlays: Total obligations ............................................................ 579,248 549,446 ................... Obligated balance, start of year: Unpaid obligations: Treasury balance ....................................................... ................... 577,827 1,107,773 74.40 Obligated balance, end of year: Unpaid obligations: Treasury balance ....................................................... –577,827 –1,107,773 –1,087,773 Unobligated balance available, end of year: Treasury balance ...................................................................... Redemption of debt ....................................................... 20,092 54,464 20,092 57,952 20,092 61,711 39.00 Budget authority (gross) ........................................... 99,046 107,952 111,711 67.15 68.00 Budget authority: Authority to borrow (indefinite) ................................. Spending authority from offsetting collections ........ 25,000 74,046 50,000 57,952 50,000 61,711 47,949 50,000 50,000 Relation of obligations to outlays: Total obligations ............................................................ Obligated balance, start of year: 72.10 Receivables from other government accounts .......... 72.40 Appropriation ............................................................. 72.90 Unpaid obligations: Fund balance ............................ Obligated balance, end of year: 74.10 Receivables from other government accounts .......... 74.40 Appropriation ............................................................. 74.90 Unpaid obligations: Fund balance ............................ 78.00 Adjustments in unexpired accounts .............................. 71.00 87.00 Outlays (gross) .......................................................... ................... ................... ................... 1,521,753 1,414,832 1,299,209 6,123 1,276 1,276 ................... ................... ................... –1,414,832 –1,299,209 –1,187,353 –1,276 –1,276 –1,276 ................... ................... ................... 159,717 165,623 161,856 Adjustments to gross budget authority and outlays: Offsetting collections from: 88.00 Federal sources ......................................................... 88.40 Non-Federal sources .................................................. –54,464 –57,952 –61,711 –19,582 ................... ................... 88.90 Total, offsetting collections .................................. –74,046 –57,952 –61,711 89.00 90.00 Budget authority (net) ................................................... Outlays (net) .................................................................. 25,000 85,671 50,000 107,671 50,000 100,145 Status of Direct Loans (in thousands of dollars) 1994 actual 1995 est. 1996 est. Cumulative balance of direct loans outstanding: 1210 Outstanding, start of year ............................................. 1251 Repayments: Repayments and prepayments ................. 1,800,965 –54,464 1,746,501 –57,952 1,688,549 –61,711 1290 1,746,501 1,688,549 1,626,838 Identification code 86–4098–0–3–604 Outstanding, end of year .......................................... 71.00 72.40 Status of Guaranteed Loans (in thousands of dollars) Identification code 86–4098–0–3–604 1994 actual 1995 est. 1996 est. 2210 2251 90.00 Outlays ....................................................................... 1,421 19,500 This program provided Federal resources to rehabilitate and restore severely dilapidated public housing projects, thereby expanding the supply of decent, safe, and affordable housing for low-income renters. Funds provided to this program were in addition to the substantial resources provided for the public housing modernization program and were specifically targeted to the units in most need of attention. This program will be terminated at the end of fiscal year 1995. Beginning in fiscal year 1996, funding for this type of activity will be provided under the Public and Indian Housing Capital Performance Funds program. Public enterprise funds: LOW-RENT PUBLIC HOUSING—LOANS AND OTHER EXPENSES Program and Financing (in thousands of dollars) Identification code 86–4098–0–3–604 00.01 10.00 1994 actual 1995 est. Cumulative balance of guaranteed loans outstanding: Outstanding, start of year ............................................. Repayments and prepayments ...................................... 4,689,694 –277,059 4,412,635 –300,000 4,112,635 –325,000 2290 Outstanding, end of year .......................................... 4,412,635 4,112,635 3,787,635 2299 Memorandum: Guaranteed amount of guaranteed loans outstanding, end of year ................................................................ 4,412,635 4,112,635 3,787,635 20,000 1996 est. Program by activities: Capital investment: Loans to public housing agencies and Indian housing authorities ................................ 47,949 50,000 50,000 Total obligations (object class 33.0) ........................ 47,949 50,000 50,000 Financing: 17.00 Recovery of prior year obligations ................................. ................... ................... ................... 21.40 Unobligated balance available, start of year: Treasury balance ...................................................................... –23,459 –20,092 –20,092 The Low-Rent Public Housing Loan Fund is used to provide direct Federal loans to fund remaining Public Housing Agency (PHA) and Indian Housing Authority (IHA) construction, acquisition, and modernization activities reserved under the Annual Contributions appropriation through 1986. These loans are made from available resources of this fund and from borrowings from the Treasury. Under legislation enacted during 1986 (Public Law 99–272), the borrowings from the Treasury are forgiven at the end of each fiscal year and the loans to PHAs/IHAs are forgiven as construction, acquisition, and modernization activities are completed. Under the provisions of this legislation, $25 million of borrowings from the Treasury were forgiven in 1994, an estimated $50 million will be borrowed from the Treasury and forgiven in 1995, and an estimated $50 million will be borrowed from the Treasury and forgiven in 1996. The table below shows the status of outstanding loans for the period 1994–1996. The $68 million balance at the end of each year represents administrative loans, off-site facility loans, and preliminary loans on projects never undertaken and excess financing. PUBLIC AND INDIAN HOUSING—Continued Federal Funds—Continued DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT PUBLIC HOUSING AGENCIES/INDIAN HOUSING AUTHORITIES Loans Outstanding [In millions of dollars] 1994 actual Outstanding, start of year .......................................................... Direct loan disbursements .......................................................... Repayments ................................................................................. Adjustments ................................................................................. Total loans forgiven .................................................................... 1995 est. 1996 est. 88 68 68 48 50 50 –27 .................... .................... 13 .................... .................... –54 –50 –50 modifying such loans, shall be as defined in section 502 of the Congressional Budget Act of 1974, as amended: Provided further, That these funds are available to subsidize total loan principal, any part of which is to be guaranteed, not to exceed ø$22,388,000¿ $36,900,000. (Departments of Veterans Affairs and Housing and Urban Development, and Independent Agencies Appropriations Act, 1995.) Program and Financing (in thousands of dollars) Identification code 86–0223–0–1–604 Outstanding, end of year ............................................................ 68 68 1994 actual 1995 est. 1995 est. 10.00 Program by activities: Total obligations (object class 41.0) ............................ Financing: 25.00 Unobligated balance expiring ........................................ 40.00 Budget authority (appropriation) .............................. 209 3,000 1996 est. 1996 est. 0101 0102 Revenue ................................................... Expense .................................................... 123,354 –171,365 119,386 –138,807 53,150 –53,150 53,150 –53,150 0109 Net income or loss (–) ....................... –48,011 –19,421 .................. 3,000 791 ................... ................... 1,000 3,000 3,000 3,000 3,000 209 750 –750 –750 2,459 Relation of obligations to outlays: Total obligations ............................................................ 209 Obligated balance, start of year: Unpaid obligations: Treasury balance ....................................................... ................... 74.40 Obligated balance, end of year: Unpaid obligations: Treasury balance ....................................................... –209 71.00 72.40 Statement of Operations (in thousands of dollars) 1993 actual 1994 actual 68 Since 1987, new reservations of capital funds for construction, acquisition, and modernization activities have been provided directly from the Annual Contributions appropriation. Operating results.—The actual and estimated net operating income for 1993, 1994, 1995, and 1996 follows: Identification code 86–4098–0–3–604 503 3,000 .................. 90.00 Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in thousands of dollars) Balance Sheet (in thousands of dollars) Identification code 86–4098–0–3–604 1993 actual ASSETS: Federal assets: 1101 Fund balances with Treasury ................................... 1,539,089 Investments in US securities: 1106 Receivables, net .............. 1,876,404 Net value of assets related to pre–1992 direct loans receivable and acquired defaulted guaranteed loans receivable: 1601 Direct loans, gross .............. 129,510 1602 Interest receivable ............... ...................... 1603 Allowance for estimated uncollectible loans and interest (–) ...................... –12,746 1604 Direct loans and interest receivable, net ................... ...................... 1699 Total assets ......................... LIABILITIES: Federal liabilities: 2102 Interest payable ................... 2104 Resources payable to Treasury ................................... Non-Federal liabilities: 2201 Accounts payable ................ 2207 Other .................................... 1995 est. 1996 est. Identification code 86–0223–0–1–604 Guaranteed loan levels supportable by subsidy budget authority: 2150 Indian loan guarantees ................................................. 1,423,954 1,324,884 1994 actual 1995 est. 1,560 22,388 36,900 Total loan guarantee levels ...................................... 1,560 Guaranteed loan subsidy (in percent): 2320 Subsidy rate ................................................................... 13.40 Guaranteed loan subsidy budget authority: 2330 Subsidy budget authority ............................................... 209 Guaranteed loan subsidy outlays: 2340 Subsidy outlays .............................................................. ................... 22,388 36,900 13.40 8.13 3,000 3,000 2,459 2,459 2159 1,852,164 68,247 3,143 1,794,212 68,247 3,143 1996 est. 1,225,814 1,732,501 68,247 3,143 –12,004 ...................... ...................... 59,385 71,390 71,390 59,385 71,390 71,390 3,532,257 3,335,504 3,190,486 3,029,705 218,194 211,652 211,652 1,800,965 1,746,500 1,688,549 1,626,838 As required by the Federal Credit Reform Act of 1990, this account records, for this program, the subsidy costs associated with the loan guarantees committed in 1994 and beyond (including modifications of guarantees that resulted from obligations in any year). The subsidy amounts are estimated on a present value basis. This program provides access to sources of private financing for Indian families and Indian housing authorities which otherwise could not acquire housing financing because of the unique legal status of Indian trust land. 211,652 Value of assets related to direct loans ............ ...................... 1999 1994 actual Outlays ....................................................................... ................... 33 1,650 INDIAN HOUSING LOAN GUARANTEE FUND FINANCING ACCOUNT Program and Financing (in thousands of dollars) 33 33 33 1,242 ...................... ...................... Identification code 86–4104–0–3–604 2999 Total liabilities .................... 2,020,842 NET POSITION: 3100 Appropriated capital ................ 3,532,257 3300 Cumulative results of operations ................................... ...................... 1994 actual 1995 est. 1996 est. 1,959,427 1,900,234 1,838,523 3,335,503 3,190,486 3,029,705 00.01 Program by activities: Default claims ............................................................... ................... 397 397 79,477 10.00 Total obligations ........................................................ ................... 397 397 Financing: 21.90 Unobligated balance available, start of year: Fund balance ...................................................................... ................... 24.90 Unobligated balance available, end of year: Fund balance ...................................................................... 209 –209 –3,179 3,179 6,149 39.00 3,367 3,367 3,143 3,143 224 224 79,477 79,477 3999 Total net position ................ 3,532,257 3,414,980 3,269,963 3,109,182 4999 Total liabilities and net position ............................... 5,553,099 5,374,407 5,170,197 4,947,705 Credit accounts: INDIAN HOUSING LOAN GUARANTEE FUND PROGRAM ACCOUNT For the cost of guaranteed loans, $3,000,000, as authorized by section 184 of the Housing and Community Development Act of 1992 (106 Stat. 3739): Provided, That such costs, including the costs of 68.00 68.00 Financing authority (gross) ....................................... 209 Financing authority: Spending authority from offsetting collections: Spending authority from offsetting collections, Federal sources ................................................ 209 Spending authority from offsetting collections, non-Federal sources ......................................... ................... 504 PUBLIC AND INDIAN HOUSING—Continued Federal Funds—Continued THE BUDGET FOR FISCAL YEAR 1996 1501 Credit accounts—Continued INDIAN HOUSING LOAN GUARANTEE FUND FINANCING ACCOUNT— Continued Program and Financing (in thousands of dollars)—Continued 1994 actual Identification code 86–4104–0–3–604 68.90 Relation of obligations to financing disbursements: Total obligations ............................................................ Obligated balance, start of year: 72.10 Receivables from other government accounts .......... 72.40 Unpaid obligations: Treasury balance ...................... Obligated balance, end of year: 74.10 Receivables from other government accounts .......... 74.40 Unpaid obligations: Treasury balance ...................... 87.00 1996 est. 209 3,367 3,367 ................... 397 397 ................... –209 –750 ................... ................... ................... 209 750 750 ................... ................... ................... Financing disbursements (gross) .............................. 209 938 –3,000 –143 –224 88.90 –3,367 –3,367 –209 Total assets ......................... ...................... LIABILITIES: 2204 Non-Federal liabilities: Liabilities for loan guarantees .... ...................... 418 4,326 7,693 209 750 750 Total liabilities .................... ...................... NET POSITION: 3100 Appropriated capital ................ ...................... 209 750 750 209 3,576 6,943 3999 Total net position ................ ...................... 209 3,576 6,943 4999 Total liabilities and net position ............................... ...................... 418 4,326 7,693 COMMUNITY PLANNING AND DEVELOPMENT –3,000 –143 –224 89.00 90.00 794 397 Adjustments to financing authority and financing disbursements: Offsetting collections from: 88.00 Federal sources: Payments from program account –209 88.25 Interest on uninvested funds .................................... ................... 88.40 Non-Federal sources .................................................. ................... Total, offsetting collections .................................. 1999 397 2999 Spending authority from offsetting collections (total) ................................................................ 71.00 1995 est. Net value of assets related to post–1991 acquired defaulted guaranteed loans receivable: Defaulted guaranteed loans receivable, gross .................................... ...................... ...................... Financing authority (net) ............................................... ................... ................... ................... Financing disbursements (net) ...................................... ................... –2,429 –2,970 Federal Funds General and special funds: COMMUNITY OPPORTUNITY PERFORMANCE FUNDS For assistance in accordance with the Community Opportunity Performance Funds program, $4,850,000,000, to remain available until expended: Provided, That such amount shall be available only upon enactment into law of authorizing legislation. (Additional authorizing legislation required.) Status of Guaranteed Loans (in thousands of dollars) Program and Financing (in thousands of dollars) 1994 actual Identification code 86–4104–0–3–604 2210 2231 2261 1996 est. Identification code 86–0305–0–1–451 Position with respect to appropriations act limitation on commitments: 2111 Limitation on guaranteed loans made by private lenders .............................................................................. 2150 1995 est. 7,463 Total guaranteed loan commitments ........................ 7,463 22,388 22,388 Cumulative balance of guaranteed loans outstanding: Outstanding, start of year ............................................. ................... ................... Disbursements of new guaranteed loans ...................... ................... 18,351 Adjustments: Terminations for default that result in loans receivable ........................................................ ................... –397 Outstanding, end of year .......................................... ................... 2299 Memorandum: Guaranteed amount of guaranteed loans outstanding, end of year ................................................................ ................... 17,954 4,850,000 36,900 4,850,000 17,954 33,272 71.00 74.40 10.00 397 397 2390 794 As required by the Federal Credit Reform Act of 1990, this nonbudgetary account records all cash flows to and from the Government resulting from the loan guarantees committed in 1994 and beyond (including modifications of loan guarantees that resulted from obligations in any year). The amounts in this account are a means of financing and not included in the budget totals. Balance Sheet (in thousands of dollars) 1993 actual ASSETS: Federal assets: 1101 Fund balances with Treasury ................................... ...................... Investments in US securities: 1106 Receivables, net .............. ...................... 1994 actual 1995 est. Outlays ....................................................................... ................... ................... 174,600 50,829 Addendum: Cumulative balance of defaulted guaranteed loans that result in loans receivable: 2310 Outstanding, start of year ........................................ ................... ................... 2331 Disbursements for guaranteed loan claims ............. ................... 397 Identification code 86–4104–0–3–604 Relation of obligations to outlays: Total obligations ............................................................ ................... ................... 4,850,000 Obligated balance, end of year: Unpaid obligations: Treasury balance ....................................................... ................... ................... –4,675,400 –397 50,829 397 1996 est. Financing: 40.00 Budget authority (appropriation) ................................... ................... ................... 17,954 Outstanding, end of year ...................................... ................... 1995 est. Program by activities: Total obligations (object class 41.0) ............................ ................... ................... 36,900 90.00 2290 1994 actual 1996 est. The Administration proposes to consolidate current HUD grants for community economic development into a single Community Opportunity Performance Funds program. Consolidated programs would include Community Development Block Grants, Economic Development Initiative and recaptures from the Urban Development Action Grants (UDAG). Community Opportunity Performance Funds would provide localities and States with flexible funding for the economic revitalization and renewal of distressed communities. The new program would provide formula grants to local and State governments, with a national set-aside for Native Americans. Jurisdictions would be permitted to use grants for a wide range of activities including assistance to community-based organizations for neighborhood revitalization activities, business loans to entrepreneurs in distressed communities, and cleanup of environmentally contaminated sites for economic or housing development. The budget proposes that a small percentage of program funds be retained for later distribution to reward those jurisdictions that are deemed high performers. AFFORDABLE HOUSING PERFORMANCE FUNDS 209 3,179 6,149 209 750 750 For assistance in accordance with the Affordable Housing Performance Funds program, $3,339,000,000, to remain available until expended: Provided, That such amount shall be available only upon enactment into law of authorizing legislation: Provided further, That COMMUNITY PLANNING AND DEVELOPMENT—Continued Federal Funds—Continued DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT during fiscal year 1996, the Secretary shall sell assigned mortgage notes having an unpaid principal balance of up to $4,000,000,000, which notes were originally insured under section 203(b) of the National Housing Act: Provided further, That of the amount appropriated herein, an amount equal to the lesser of $175,000,000 or the excess of net proceeds above the value of holding the loans to maturity, such value established using assumptions specified in the President’s fiscal year 1996 Budget adjusted for interest rates at the time of the sale, shall become available only after such sale has been completed. (Additional authorizing legislation required.) Program and Financing (in thousands of dollars) Identification code 86–0306–0–1–604 1994 actual 1995 est. 1996 est. Program by activities: Total obligations (object class 41.0) ............................ ................... ................... tiatives Demonstration, Shelter Plus Care, Emergency Shelter Grants, Supportive Housing program, and Section 8 Moderate Rehabilitation Single Room Occupancy program. The new Homeless Assistance Performance Funds program would provide support on a formula basis to States, local governments, nonprofit organizations, and Indian tribes. Funds would support a wide range of activities that are components of an innovative approach to providing a ‘‘continuum of care’’ system to assist homeless persons move to permanent housing and prevent future homelessness. The budget proposes that a small percentage of program funds will be retained for later distribution to reward those jurisdictions that are deemed high performers. 3,339,000 Financing: 40.00 Budget authority (appropriation) ................................... ................... ................... 505 3,339,000 10.00 71.00 74.40 90.00 Relation of obligations to outlays: Total obligations ............................................................ ................... ................... 3,339,000 Obligated balance, end of year: Unpaid obligations: Treasury balance ....................................................... ................... ................... –3,278,898 Outlays ....................................................................... ................... ................... 60,102 The Administration proposes to consolidate current grants for housing production and rehabilitation, including homeownership initiatives, into a single Affordable Housing Performance Funds program. Consolidated programs would include HOME, Housing for the Elderly and Persons with Disabilities, Housing Counseling, HOPE, and the National Homeownership Trust Demonstration program. Affordable Housing Performance Funds would provide localities and States with flexible funding for the development of affordable housing. The Fund would provide formula grants to local and State governments, with a national set-aside for Native Americans. Jurisdictions would be permitted to use the Federal grants for a wide range of activities including housing acquisition, rehabilitation and construction of affordable housing, particularly housing for special vulnerable populations, and homeownership efforts to draw moderate-income families into housing or to help stabilize distressed communities. The budget proposes that a small percentage of program funds be retained for later distribution to reward those jurisdictions that are deemed high performers. HOMELESS ASSISTANCE PERFORMANCE FUNDS For assistance in accordance with the Homeless Assistance Performance Funds program, $1,120,000,000, to remain available until expended: Provided, That such amount shall be available only upon enactment into law of authorizing legislation. (Additional authorizing legislation required.) Program and Financing (in thousands of dollars) Identification code 86–0307–0–1–604 1994 actual 1995 est. 1,120,000 Financing: 40.00 Budget authority (appropriation) ................................... ................... ................... 1,120,000 71.00 74.40 90.00 Relation of obligations to outlays: Total obligations ............................................................ ................... ................... 1,120,000 Obligated balance, end of year: Unpaid obligations: Treasury balance ....................................................... ................... ................... –1,069,600 Outlays ....................................................................... ................... ................... FOR PERSONS WITH AIDS Program and Financing (in thousands of dollars) Identification code 86–0308–0–1–604 1994 actual 1995 est. 1996 est. Program by activities: Total obligations (object class 41.0) ............................ ................... ................... 186,000 Financing: 40.00 Budget authority (appropriation) ................................... ................... ................... 186,000 10.00 71.00 73.00 74.40 90.00 Relation of obligations to outlays: Total obligations ............................................................ ................... ................... Obligated balance transferred, net ............................... ................... ................... Obligated balance, end of year: Unpaid obligations: Treasury balance ....................................................... ................... ................... –445,461 Outlays ....................................................................... ................... ................... 113,539 186,000 373,000 The Administration proposes to establish a Housing Opportunities for Persons with AIDS program as a separate account in 1996. All of the balances from prior appropriations for this program would be merged with the new appropriations. The program would resemble the program which is already in existence. The purpose of the program is to provide States and localities with resources and incentives to devise longterm comprehensive strategies for meeting the housing needs of persons with AIDS and their families. States and metropolitan areas receive 90 percent of the funds by formula based on the incidence of AIDS in their jurisdictions. The remaining 10 percent is awarded competitively to States and local governments and private nonprofit entities for projects of national significance and to States and local governments for projects in jurisdictions which do not qualify for a formula allocation. øCOMMUNITY DEVELOPMENT GRANTS¿ 1996 est. Program by activities: Total obligations (object class 41.0) ............................ ................... ................... 10.00 HOUSING OPPORTUNITIES For assistance in accordance with the Housing Opportunities for Persons with AIDS Fund, $186,000,000, to remain available until expended. (Additional authorizing legislation required.) 50,400 The Administration proposes to create a single Homeless Assistance Performance Funds program. The program would include activities currently funded under the Homeless Assistance Grants account, including the Innovative Homeless Ini- øFor grants to States and units of general local government and for related expenses, not otherwise provided for, necessary for carrying out a community development grants program as authorized by title I of the Housing and Community Development Act of 1974, as amended (42 U.S.C. 5301), $4,600,000,000, to remain available until September 30, 1997: Provided, That $46,000,000 shall be available for grants to Indian tribes pursuant to section 106(a)(1) of the Housing and Community Development Act of 1974, as amended (42 U.S.C. 5301), and $44,000,000 shall be available for ‘‘special purpose grants’’ pursuant to section 107 of such Act: Provided further, That not to exceed 20 per centum of any grant made with funds appropriated herein (other than a grant using funds under section 107(b)(3) of such Act or funds set aside in the following provisos) shall be expended for ‘‘Planning and Management Development’’ and ‘‘Administration’’ as defined in regulations promulgated by the Department of Housing and Urban Development: Provided further, That $20,000,000 shall be made available from the total amount provided to carry out an early childhood development program under section 506 COMMUNITY PLANNING AND DEVELOPMENT—Continued Federal Funds—Continued THE BUDGET FOR FISCAL YEAR 1996 General and special funds—Continued Program and Financing (in thousands of dollars) øCOMMUNITY DEVELOPMENT GRANTS¿—Continued Identification code 86–0205–0–1–999 222 of the Housing and Urban-Rural Recovery Act of 1983, as amended (12 U.S.C. 1701z–6 note), including services for families that are homeless or at risk of becoming homeless: Provided further, That $5,000,000 shall be made available from the total amount provided to carry out a neighborhood development program under section 123 of said Act (42 U.S.C. 5318 note).¿ øDuring fiscal year 1995, new commitments to issue guarantees to carry out the purposes of section 108 of the Housing and Community Development Act of 1974, as amended (42 U.S.C. 5301), shall not exceed $2,054,000,000.¿ (Departments of Veterans Affairs and Housing and Urban Development, and Independent Agencies Appropriations Act, 1995.) 1994 actual 1995 est. 1996 est. 00.01 00.02 Program by activities: Grant .............................................................................. Salaries and expenses ................................................... 4,877,319 70 5,224,457 100,000 475 ................... 10.00 Total obligations (object class 41.0) ........................ 4,877,389 5,224,932 Financing: Recovery of prior year obligations ................................. Unobligated balance available, start of year: Treasury balance ...................................................................... 24.40 Unobligated balance available, end of year: Treasury balance ...................................................................... 25.00 Unobligated balance expiring ........................................ –524,255 39.00 Budget authority ........................................................ 5,050,000 40.00 41.00 42.00 Budget authority: Appropriation ............................................................. Transferred to other accounts ................................... Transferred from other accounts .............................. 43.00 Appropriation (total) ............................................. 17.00 21.40 –723 100,000 –6,000 ................... –696,732 –100,000 696,732 100,000 ................... 857 ................... ................... 4,622,200 ................... 5,075,000 4,622,200 ................... –75,000 ................... ................... 50,000 ................... ................... 5,050,000 Program by activities: Total obligations (object class 41.0) ............................ Financing: 17.00 Recovery of prior year obligations ................................. 21.40 Unobligated balance available, start of year: Treasury balance ...................................................................... 24.40 Unobligated balance available, end of year: Treasury balance ...................................................................... 4,622,200 ................... Relation of obligations to outlays: Total obligations ............................................................ 4,877,389 5,224,932 100,000 Obligated balance, start of year: Unpaid obligations: Treasury balance ....................................................... 6,724,495 7,949,629 8,838,113 74.40 Obligated balance, end of year: Unpaid obligations: Treasury balance ....................................................... –7,949,629 –8,838,113 –4,373,905 77.00 Adjustments in expired accounts .................................. –49 ................... ................... 78.00 Adjustments in unexpired accounts .............................. –723 –6,000 ................... 39.00 Budget authority ........................................................ 40.00 42.00 Program and Financing (in thousands of dollars) Identification code 86–0162–0–1–451 10.00 Budget authority: Appropriation ............................................................. Transferred from other accounts .............................. 43.00 Appropriation (total) ............................................. 1994 actual 1995 est. 1996 est. 1,450,003 1,485,441 ................... –80 –2,000 ................... –153,364 –83,441 ................... 83,441 ................... ................... 1,380,000 1,400,000 ................... 1,275,000 1,400,000 ................... 105,000 ................... ................... 1,380,000 1,400,000 ................... Relation of obligations to outlays: Total obligations ............................................................ 1,450,003 1,485,441 ................... Obligated balance, start of year: Unpaid obligations: Treasury balance ....................................................... 2,364,612 3,032,323 3,303,024 74.40 Obligated balance, end of year: Unpaid obligations: Treasury balance ....................................................... –3,032,323 –3,303,024 –2,080,571 78.00 Adjustments in unexpired accounts .............................. –80 –2,000 ................... 71.00 72.40 90.00 Outlays ....................................................................... 782,212 1,212,740 1,222,453 The HOME Investment Partnerships program is authorized by the National Affordable Housing Act (P.L. 101–625). This program provided assistance to States and units of local government, through formula allocation, for the purpose of expanding the supply and affordability of housing. Eligible activities included acquisition, rehabilitation, tenant-based rental assistance, and, new construction. This program will be terminated at the end of fiscal year 1995. Beginning in fiscal year 1996, funding for these types of activities will be provided under the Affordable Housing Performance Funds program. 71.00 72.40 90.00 Outlays ....................................................................... 3,651,483 4,330,448 4,564,208 Title I of the Housing and Community Development Act of 1974, as amended, authorizes the Secretary to make grants to units of general local government and States to fund local community development programs. Funds are allocated to Indian tribes, and on an entitlement basis, to metropolitan cities and urban counties which receive their grants using the higher of two objective formulas. States and small cities are also allocated a portion of the available funds. Funding for this program will be terminated at the end of fiscal year 1995. Beginning in fiscal year 1996, funding for these types of activities will be provided under the Community Opportunity Performance Funds program. URBAN DEVELOPMENT ACTION GRANTS Program and Financing (in thousands of dollars) Identification code 86–0170–0–1–451 øFor the HOME investment partnerships program, as authorized under title II of the Cranston-Gonzalez National Affordable Housing Act (Public Law 101–625), as amended, $1,400,000,000, to remain available until expended.¿ (Departments of Veterans Affairs and Housing and Urban Development, and Independent Agencies Appropriations Act, 1995.) 1995 est. 1996 est. Financing: Recovery of prior year obligations ................................. –10,534 –89,464 ................... Unobligated balance available, start of year: Treasury balance ...................................................................... ................... –10,534 ................... 24.40 Unobligated balance available, end of year: Treasury balance ...................................................................... 10,534 ................... ................... 17.00 21.40 41.00 Budget authority (transferred to other accounts) ................... –100,000 ................... Relation of obligations to outlays: Total obligations ............................................................ ................... ................... ................... Obligated balance, start of year: Unpaid obligations: Treasury balance ....................................................... 234,366 191,157 66,693 74.40 Obligated balance, end of year: Unpaid obligations: Treasury balance ....................................................... –191,157 –66,693 –36,693 78.00 Adjustments in unexpired accounts .............................. –10,534 –89,464 ................... 71.00 72.40 90.00 øHOME INVESTMENT PARTNERSHIPS PROGRAM¿ 1994 actual Outlays ....................................................................... 32,675 35,000 30,000 Title I of the Housing and Community Development Act of 1974, as amended, authorizes grants to distressed cities and distressed urban counties to fund economic development projects. The program has terminated and there are no funds remaining available for obligation. COMMUNITY PLANNING AND DEVELOPMENT—Continued Federal Funds—Continued DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT CAPACITY BUILDING FOR COMMUNITY DEVELOPMENT AFFORDABLE HOUSING AND Program and Financing (in thousands of dollars) Identification code 86–0222–0–1–451 1994 actual 1995 est. 1996 est. Program by activities: Total obligations (object class 41.0) ............................ 20,000 ................... ................... Financing: 40.00 Budget authority (appropriation) ................................... 20,000 ................... ................... 10.00 to transfer one- to four-unit HUD-owned properties, without payment, to units of local government for use in an urban homesteading program. In addition, the Act authorized the Secretary of the Department of Veterans Affairs, the Secretary of Agriculture, and the Resolution Trust Corporation to transfer their unoccupied, single family properties for use in such programs. The National Affordable Housing Act (P.L. 101–625) terminated the Urban Homesteading Program effective October 1, 1991. Relation of obligations to outlays: Total obligations ............................................................ 20,000 ................... ................... Obligated balance, start of year: Unpaid obligations: Treasury balance ....................................................... ................... 20,000 12,000 74.40 Obligated balance, end of year: Unpaid obligations: Treasury balance ....................................................... –20,000 –12,000 –4,000 71.00 72.40 90.00 Outlays ....................................................................... ................... 8,000 8,000 As authorized by section 4 of the HUD Demonstration Act of 1993, this program provides funding to the National Community Development Initiative to build the capacity of community-based development corporations and housing development organizations, and to assist such corporations and organizations to carry out community development and affordable housing activities. 507 ASSISTANCE FOR SOLAR AND CONSERVATION IMPROVEMENTS Program and Financing (in thousands of dollars) Identification code 86–0179–0–1–272 Financing: Unobligated balance available, start of year: Treasury balance ...................................................................... 25.00 Unobligated balance expiring (P.L. 101–507) .............. 1994 actual 1995 est. 1996 est. 21.40 –54 ................... ................... 54 ................... ................... 39.00 Budget authority ........................................................ ................... ................... ................... 71.00 Relation of obligations to outlays: Total obligations ............................................................ ................... ................... ................... 90.00 Outlays ....................................................................... ................... ................... ................... RENTAL REHABILITATION GRANTS Program and Financing (in thousands of dollars) Identification code 86–0182–0–1–451 1994 actual Financing: Unobligated balance available, start of year: Treasury balance ...................................................................... 22.00 Unobligated balance transferred, net ........................... 1995 est. 1996 est. 21.40 –507 ................... ................... 507 ................... ................... Title V of the Energy Security Act of 1980 authorized the creation of the Solar Energy and Energy Conservation Bank to encourage energy conservation and the use of solar energy. It has provided funds to subsidize loans and grants for the installation of energy conservation and solar energy improvements in single and multifamily residences, and agricultural and commercial buildings. The Solar Bank terminated operation on March 15, 1988. 39.00 Budget authority ........................................................ ................... ................... ................... 71.00 Relation of obligations to outlays: Total obligations ............................................................ ................... ................... ................... EMERGENCY SHELTER GRANTS PROGRAM 90.00 Outlays ....................................................................... ................... ................... ................... Program and Financing (in thousands of dollars) This program was authorized under section 17(a)(1)(A) of the United States Housing Act of 1937, as amended by section 301 of the Housing and Urban-Rural Recovery Act of 1983 (Public Law 98–181). The National Affordable Housing Act (P.L. 101–625) terminated the Rental Rehabilitation program effective October 1, 1991, and the program’s unexpended balances were transferred to the revolving fund (liquidating programs), effective October 1, 1991. URBAN HOMESTEADING Financing: 17.00 Recovery of prior year obligations ................................. 25.00 Unobligated balance expiring ........................................ 39.00 1994 actual 1995 est. 1996 est. –184 ................... ................... 184 ................... ................... Budget authority ........................................................ ................... ................... ................... Relation of obligations to outlays: 71.00 Total obligations ............................................................ ................... ................... ................... 78.00 Adjustments in unexpired accounts .............................. –184 ................... ................... 90.00 Outlays ....................................................................... 10.00 Program by activities: Total obligations (object class 41.0) ............................ Financing: Recovery of prior year obligations ................................. Unobligated balance available, start of year: Treasury balance ...................................................................... 24.40 Unobligated balance available, end of year: Treasury balance ...................................................................... 17.00 21.40 40.00 Budget authority (appropriation) .............................. Relation of obligations to outlays: Total obligations ............................................................ Obligated balance, start of year: Unpaid obligations: Treasury balance ....................................................... 74.40 Obligated balance, end of year: Unpaid obligations: Treasury balance ....................................................... 78.00 Adjustments in unexpired accounts .............................. 71.00 72.40 Program and Financing (in thousands of dollars) Identification code 86–0171–0–1–451 Identification code 86–0181–0–1–604 –184 ................... ................... Section 810 of the Housing and Community Development Act of 1974, as amended, authorized the Secretary of HUD 90.00 Outlays ....................................................................... 1994 actual 113,587 1995 est. 1996 est. 160,677 ................... –57 ................... ................... –2,407 –3,877 ................... 3,877 ................... ................... 115,000 156,800 ................... 113,587 160,677 ................... 65,960 116,893 167,646 –116,893 –167,646 –44,214 –57 ................... ................... 62,596 109,924 123,432 Title IV, subtitle B, of the Stewart B. McKinney Homeless Assistance Act (Public Law 100–77), authorizes the Secretary to make Emergency Shelter Grants to States, units of local government, and nonprofit organizations to provide emergency shelter and other support for the homeless. For fiscal year 1995, this assistance was funded by appropriations to the Homeless Assistance Grants account. Beginning in fiscal year 1996, funding for this type of activity will be provided under the Homeless Assistance Performance Funds program. 508 COMMUNITY PLANNING AND DEVELOPMENT—Continued Federal Funds—Continued THE BUDGET FOR FISCAL YEAR 1996 General and special funds—Continued SHELTER PLUS CARE SUPPORTIVE HOUSING PROGRAM Program and Financing (in thousands of dollars) Program and Financing (in thousands of dollars) Identification code 86–0188–0–1–604 Program by activities: 10.00 Total obligations (object class 41.0) ............................ Financing: Recovery of prior year obligations ................................. Unobligated balance available, start of year: Treasury balance ...................................................................... 24.40 Unobligated balance available, end of year: Treasury balance ...................................................................... 17.00 21.40 40.00 Budget authority (appropriation) .............................. Relation of obligations to outlays: 71.00 Total obligations ............................................................ 72.40 Obligated balance, start of year: Unpaid obligations: Treasury balance ....................................................... 74.40 Obligated balance, end of year: Unpaid obligations: Treasury balance ....................................................... 78.00 Adjustments in unexpired accounts .............................. 90.00 Outlays ....................................................................... 1994 actual Identification code 86–0204–0–1–604 1995 est. 1996 est. 10.00 134,176 370,738 ................... –1,981 ................... ................... –135,333 –337,138 ................... 337,138 ................... ................... 334,000 33,600 ................... Program by activities: Total obligations (object class 41.0) ............................ Financing: 21.40 Unobligated balance available, start of year: Treasury balance ...................................................................... 24.40 Unobligated balance available, end of year: Treasury balance ...................................................................... 40.00 Budget authority (appropriation) .............................. Relation of obligations to outlays: Total obligations ............................................................ Obligated balance, start of year: Unpaid obligations: Treasury balance ....................................................... 74.40 Obligated balance, end of year: Unpaid obligations: Treasury balance ....................................................... 71.00 72.40 134,176 370,738 ................... 388,732 418,662 675,053 –418,662 –675,053 –554,420 –1,981 ................... ................... 102,265 114,347 120,633 Title IV, subtitle C, of the Stewart B. McKinney Homeless Assistance Act (Public Law 100–77) authorizes assistance to promote the development of supportive housing and services for deinstitutionalized homeless individuals, homeless families with children, homeless individuals with mental disabilities, and other homeless persons. Such assistance is available for the acquisition, rehabilitation, construction, or leasing of structures to be used for homeless persons as well as to pay for operating costs and supportive services. For 1995, this type of assistance was funded by appropriations to the Homeless Assistance Grants account. Beginning in fiscal year 1996, funding for this type of activity will be provided under the Homeless Assistance Performance Funds program. 90.00 Outlays ....................................................................... 1994 actual 1995 est. 1996 est. 239,199 198,999 ................... –314,451 –198,999 ................... 198,999 ................... ................... 123,747 ................... ................... 239,199 198,999 ................... 61,658 295,878 444,877 –295,878 –444,877 –394,877 4,980 50,000 50,000 Title IV, subtitle F, of the Stewart B. McKinney Homeless Assistance Act (Public Law 100–77), authorizes the Secretary to provide rental assistance to persons with disabilities. Supportive services at least equal in value to the aggregate rental assistance must also be provided by grant recipients, using other Federal, State, local and private resources. Eligible recipients include States, units of general local government and Indian tribes. Grants are awarded on a competitive basis. For 1995, this type of assistance can be provided within the Homeless Assistance Grants account. Beginning in fiscal year 1996, funding for this type of activity will be provided under the Homeless Assistance Performance Funds program. INNOVATIVE HOMELESS INITIATIVES DEMONSTRATION PROGRAM Program and Financing (in thousands of dollars) SUPPLEMENTAL ASSISTANCE FOR FACILITIES TO ASSIST HOMELESS Identification code 86–0221–0–1–604 THE 10.00 Program and Financing (in thousands of dollars) Identification code 86–0187–0–1–451 17.00 22.00 39.00 Financing: Recovery of prior year obligations ................................. Unobligated balance transferred, net ........................... 1994 actual 1995 est. 1996 est. –4 ................... ................... 4 ................... ................... Budget authority ........................................................ ................... ................... ................... Relation of obligations to outlays: Total obligations ............................................................ ................... ................... ................... Obligated balance, start of year: Unpaid obligations: Treasury balance ....................................................... 24,143 17,015 10,515 74.40 Obligated balance, end of year: Unpaid obligations: Treasury balance ....................................................... –17,015 –10,515 –4,515 78.00 Adjustments in unexpired accounts .............................. –4 ................... ................... 71.00 72.40 90.00 Outlays ....................................................................... 7,124 6,500 Program by activities: Total obligations (object class 41.0) ............................ 1994 actual 99,950 1995 est. 1996 est. 25,050 ................... Financing: 21.40 Unobligated balance available, start of year: Treasury balance ...................................................................... ................... –50 ................... 24.40 Unobligated balance available, end of year: Treasury balance ...................................................................... 50 ................... ................... 40.00 Budget authority (appropriation) .............................. 100,000 Relation of obligations to outlays: Total obligations ............................................................ 99,950 Obligated balance, start of year: Unpaid obligations: Treasury balance ....................................................... ................... 74.40 Obligated balance, end of year: Unpaid obligations: Treasury balance ....................................................... –95,637 71.00 72.40 90.00 Outlays ....................................................................... 4,313 25,000 ................... 25,050 ................... 95,637 79,687 –79,687 –44,687 41,000 35,000 6,000 Title IV, subtitle D, of the Stewart B. McKinney Homeless Assistance Act (Public Law 100–77), authorized the Supplemental Assistance for Facilities To Assist the Homeless program (SAFAH) to provide comprehensive assistance for particularly innovative programs or alternative methods of meeting the immediate and long-term needs of the homeless. The authority for the SAFAH program was terminated by section 1403 of the Housing and Community Development Act of 1992. Section 2 of the HUD Demonstration Act of 1993 authorizes assistance for projects intended to provide a continuum of care for homeless persons and for innovative programs to assist homeless persons. Eligible recipients include States, units of local government, Indian tribes and nonprofit organizations. In 1995, demonstration activities were funded by appropriations to the Homeless Assistance Grants account. Beginning in fiscal year 1996, funding for these types of activities will be provided under the Homeless Assistance Performance Funds program. COMMUNITY PLANNING AND DEVELOPMENT—Continued Federal Funds—Continued DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT 90.00 øHOMELESS ASSISTANCE GRANTS¿ øFor the emergency shelter grants program (as authorized under subtitle B of title IV of the Stewart B. McKinney Homeless Assistance Act (Public Law 100–77), as amended); the supportive housing program (as authorized under subtitle C of title IV of such Act); the section 8 moderate rehabilitation single room occupancy program (as authorized under the United States Housing Act of 1937, as amended) to assist homeless individuals pursuant to section 441 of the Stewart B. McKinney Homeless Assistance Act; the shelter plus care program (as authorized under subtitle F of title IV of such Act); and the innovative homeless initiatives demonstration program (as authorized under section 2 of the HUD Demonstration Act of 1993 (Public Law 103–120)), $1,120,000,000, to remain available until expended.¿ (Departments of Veterans Affairs and Housing and Urban Development, and Independent Agencies Appropriations Act, 1995.) Program and Financing (in thousands of dollars) 1994 actual Identification code 86–0192–0–1–604 Outlays ....................................................................... 1996 est. IN Program and Financing (in thousands of dollars) 904,600 ................... Identification code 86–0220–0–1–451 Financing: Budget authority (appropriation) ................................... ................... 904,600 ................... 10.00 Relation of obligations to outlays: Total obligations ............................................................ ................... 904,600 ................... Obligated balance, start of year: Unpaid obligations: Treasury balance ....................................................... ................... ................... 859,370 74.40 Obligated balance, end of year: Unpaid obligations: Treasury balance ....................................................... ................... –859,370 –768,910 71.00 72.40 90.00 Outlays ....................................................................... ................... 45,230 90,460 This appropriation provided support to States, local governments, nonprofit organizations, and Indian tribes for a wide range of activities to assist homeless persons and prevent future homelessness. Beginning in fiscal year 1996, funding for these types of activities will be provided under the Homeless Assistance Performance Funds program. 25,000 SCHOOLS COMMUNITY DEVELOPMENT PROGRAM Program by activities: 10.00 Total obligations (object class 41.0) ............................ ................... 40.00 15,600 This program provided resources to educate, train and provide stipends for economically disadvantaged young adults to construct and rehabilitate housing for low-income and homeless persons. The program expanded the supply of affordable housing, while at the same time, enabling high school dropouts to obtain the education and employment skills necessary to achieve self-sufficiency. This program will be terminated at the end of fiscal year 1995. Beginning in fiscal year 1996, funding for these types of activities will be provided as part of the Administration’s GI Bill for America’s workers. NATIONAL CITIES 1995 est. 353 509 1994 actual 1995 est. 1996 est. Program by activities: Total obligations (object class 41.0) ............................ 10,000 ................... ................... Financing: 40.00 Budget authority (appropriation) ................................... 10,000 ................... ................... Relation of obligations to outlays: Total obligations ............................................................ 10,000 ................... ................... Obligated balance, start of year: Unpaid obligations: Treasury balance ....................................................... ................... 8,700 1,700 74.40 Obligated balance, end of year: Unpaid obligations: Treasury balance ....................................................... –8,700 –1,700 ................... 71.00 72.40 90.00 Outlays ....................................................................... 1,300 7,000 1,700 This program provided grants for community-wide programs designed to assist at-risk youth and their families. The program was terminated at the end of fiscal year 1994. Funding for such activities will be provided in the future under the Community Opportunity Performance Funds program. øYOUTHBUILD PROGRAM¿ ø(INCLUDING TRANSFER OF FUNDS)¿ øFor youthbuild program activities authorized by subtitle D of title IV of the Crantson-Gonzalez National Affordable Housing Act, as amended, $50,000,000, to remain available until expended. In addition, the unexpended balances from the $28,000,000 made available for subtitle D of title IV of such Act under the head ‘‘Homeownership and opportunity for people everywhere grants (HOPE Grants)’’ in the Departments of Veterans Affairs and Housing and Urban Development, and Independent Agencies Appropriations Act, 1994 shall be transferred to and merged with this appropriation.¿ (Departments of Veterans Affairs and Housing and Urban Development, and Independent Agencies Appropriations Act, 1995.) Program and Financing (in thousands of dollars) Identification code 86–0219–0–1–604 10.00 Program by activities: Total obligations (object class 41.0) ............................ 1994 actual 36,080 Budget authority (appropriation) .............................. ................... Relation of obligations to outlays: Total obligations ............................................................ 36,080 Obligated balance, start of year: Unpaid obligations: Treasury balance ....................................................... ................... 73.00 Obligated balance transferred, net ............................... ................... 74.40 Obligated balance, end of year: Unpaid obligations: Treasury balance ....................................................... –35,727 71.00 72.40 REVOLVING FUND (LIQUIDATING PROGRAMS) Program and Financing (in thousands of dollars) Identification code 86–4015–0–3–451 00.01 00.02 00.03 00.04 00.05 10.00 1995 est. 1996 est. 79,520 ................... Financing: 21.40 Unobligated balance available, start of year: Treasury balance ...................................................................... –40,000 –3,920 ................... 22.00 Unobligated balance transferred, net ........................... ................... –25,600 ................... 24.40 Unobligated balance available, end of year: Treasury balance ...................................................................... 3,920 ................... ................... 40.00 Public enterprise funds: 35,727 102,047 2,400 ................... –102,047 –77,047 Program by activities: Operating expenses ........................................................ ................... Public facility loan expenses ......................................... 34 Loan servicing and other expenses ............................... 6,015 Maintenance of acquired security and collateral ......... 7,044 Administrative expenses ................................................ 1,254 Total obligations (object class 25.2) ........................ 14,347 1995 est. 1996 est. 441 ................... 60 50 7,500 6,000 17,500 8,000 1,290 1,290 26,791 15,340 Financing: 17.00 Recovery of prior year obligations ................................. –2,242 ................... ................... 21.90 Unobligated balance available, start of year: Fund balance ...................................................................... –105,890 –91,870 –83,925 22.00 Unobligated balance transferred, net ........................... –4,041 ................... ................... 24.90 Unobligated balance available, end of year: Fund balance ...................................................................... 91,870 83,925 71,585 25.00 Unobligated balance expiring ........................................ ................... ................... ................... 27.00 Capital transfer to general fund ................................... 84,041 55,000 70,000 39.00 50,000 ................... 79,520 ................... 1994 actual 68.00 68.75 68.90 71.00 Budget authority (gross) ........................................... 78,085 Budget authority: Spending authority from offsetting collections ........ 78,085 Procurement reduction pursuant to P.L. 103–327 ................... 73,846 73,000 74,000 73,000 –154 ................... Spending authority from offsetting collections (total) ................................................................ 78,085 73,846 73,000 Relation of obligations to outlays: Total obligations ............................................................ 14,347 26,791 15,340 510 COMMUNITY PLANNING AND DEVELOPMENT—Continued Federal Funds—Continued THE BUDGET FOR FISCAL YEAR 1996 1604 Public enterprise funds—Continued REVOLVING FUND (LIQUIDATING PROGRAMS)—Continued 1606 Program and Financing (in thousands of dollars)—Continued 1699 1994 actual Identification code 86–4015–0–3–451 1995 est. 1996 est. 1801 72.90 78.00 Obligated balance, start of year: Unpaid obligations: Fund balance ............................................................. Obligated balance, end of year: Unpaid obligations: Fund balance ............................................................. Adjustments in unexpired accounts .............................. 87.00 Outlays (gross) .......................................................... 47,100 73,791 35,007 88.40 Adjustments to gross budget authority and outlays: Offsetting collections from: Non-Federal sources ......... –78,085 –74,000 –73,000 74.90 106,416 71,421 24,421 1803 –71,421 –24,421 –4,754 –2,242 ................... ................... 1901 Direct loans and interest receivable, net ................... Foreclosed property .............. 430,212 2,219 347,565 1,335 310,704 1,335 274,934 1,335 Value of assets related to direct loans ............ 432,431 348,900 312,039 276,269 Other Federal assets: Cash and other monetary assets .............................. ...................... 189 189 189 Property, plant and equipment, net ........................ ...................... ...................... ...................... ...................... Other assets ........................ 1,018 293 293 293 1999 Total assets ......................... LIABILITIES: Non-Federal liabilities: 2201 Accounts payable ................ 2207 Other .................................... 515,207 470,555 422,445 4,983 15,609 758 13,430 757 13,430 757 13,430 Budget authority (net) ................................................... ................... Outlays (net) .................................................................. –30,985 –154 ................... –209 –37,993 Status of Direct Loans (in thousands of dollars) 1994 actual Identification code 86–4015–0–3–451 1995 est. Total liabilities .................... NET POSITION: 3300 Cumulative results of operations ................................... 20,592 14,188 14,187 14,187 631,423 501,019 456,368 408,258 3999 89.00 90.00 2999 652,015 Total net position ................ 631,423 501,019 456,368 408,258 4999 Total liabilities and net position ............................... 652,015 515,207 470,555 422,445 1996 est. Cumulative balance of direct loans outstanding: Outstanding, start of year ............................................. 504,462 449,607 398,607 Disbursements: Direct loan disbursements ................... ................... ................... ................... Repayments: Repayments and prepayments ................. –53,659 –51,000 –49,000 Write-offs for default: 1263 Direct loans ............................................................... –651 ................... ................... 1264 Other adjustments, net ............................................. –545 ................... ................... 1210 1231 1251 1290 Outstanding, end of year .......................................... 449,607 398,607 349,607 Status of Guaranteed Loans (in thousands of dollars) 1994 actual Identification code 86–4015–0–3–451 Cumulative balance of guaranteed loans outstanding: 2210 Outstanding, start of year ............................................. 2251 Repayments and prepayments ...................................... 2290 1996 est. 11,126 –2,789 8,337 –4,192 4,145 –682 8,337 4,145 3,463 Outstanding, end of year .......................................... 2299 1995 est. Memorandum: Guaranteed amount of guaranteed loans outstanding, end of year ................................................................ 8,337 4,145 3,463 Statement of Operations (in thousands of dollars) 1993 actual 1994 actual 0101 0102 Revenue ................................................... Expense .................................................... 22,314 –28,921 21,426 –26,158 23,000 –12,652 24,000 –2,110 0109 Net income or loss (–) ....................... –6,607 –4,732 10,348 21,890 1995 est. 1996 est. Balance Sheet (in thousands of dollars) Identification code 86–4015–0–3–451 1993 actual COMMUNITY OPPORTUNITY PERFORMANCE FUNDS PROGRAM ACCOUNT For the cost of guaranteed loans, $21,000,000, as authorized by section 108 of the Housing and Community Development Act of 1974: Provided, That such costs, including the cost of modifying such loans, shall be as defined in section 502 of the Congressional Budget Act of 1974: Provided further, That these funds are available to subsidize total loan principal, any part of which is to be guaranteed, not to exceed $2,000,000,000. In addition, for administrative expenses to carry out the guaranteed loan program, $900,000, which shall be transferred to and merged with the appropriation for Salaries and Expenses. (Additional authorizing legislation required.) Program and Financing (in thousands of dollars) The Revolving fund (liquidating programs) was established by the Independent Offices Appropriation Act of 1955 for the more efficient liquidation of assets acquired under a number of housing and urban development programs. Identification code 86–4015–0–3–451 Credit accounts: 1994 actual Identification code 86–0198–0–1–451 00.02 00.09 10.00 1995 est. 1996 est. 1995 est. Program by activities: Guaranteed loan subsidy ............................................... ................... 23,000 Administrative expenses ................................................ ................... ................... 1996 est. 21,000 900 Total obligations (object class 33.0) ........................ ................... 23,000 21,900 Financing: 40.00 Budget authority (appropriation) ................................... ................... 23,000 21,900 Relation of obligations to outlays: Total obligations ............................................................ ................... 23,000 Obligated balance, start of year: Unpaid obligations: Treasury balance ....................................................... ................... ................... 74.40 Obligated balance, end of year: Unpaid obligations: Treasury balance ....................................................... ................... –11,500 71.00 72.40 90.00 ASSETS: 1101 Federal assets: Fund balances with Treasury ....................... 212,528 163,292 155,501 143,161 Non-Federal assets: 1201 Investments in non-Federal securities, net ................. 6 3 3 3 1206 Receivables, net .................. 6,032 2,530 2,530 2,530 1207 Advances and prepayments ...................... ...................... ...................... ...................... Net value of assets related to pre–1992 direct loans receivable and acquired defaulted guaranteed loans receivable: 1601 Direct loans, gross .............. 504,462 449,607 398,607 349,607 1602 Interest receivable ............... ...................... 19,720 19,720 19,720 1603 Allowance for estimated uncollectible loans and interest (–) ...................... –74,250 –121,762 –107,623 –94,393 1994 actual Outlays ....................................................................... ................... 11,500 21,900 11,500 –10,500 22,900 Guaranteed loans.—The Community Opportunity Performance Funds (COPF) program will include a loan guarantee mechanism similar in nature and use to the existing Community Development Block Grant (CDBG) guaranteed loan provision (Section 108). A commitment level of $2 billion is proposed for the COPF guarantee program for 1996. The credit subsidy estimate for the COPF guaranteed loans is $21 million for the estimated use of this authority in 1996. Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in thousands of dollars) Identification code 86–0198–0–1–451 Guaranteed loan levels supportable by subsidy budget authority: 2150 Loan guarantee levels ................................................... 1994 actual 2,054,000 1995 est. 500,000 1996 est. 456,522 COMMUNITY PLANNING AND DEVELOPMENT—Continued Federal Funds—Continued DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT 2159 Total guarantee loan levels ...................................... 2,054,000 Guaranteed loan subsidy (in percent): 2329 Weighted average subsidy rate ..................................... 0.00 Guaranteed loan subsidy budget authority: 2330 Subsidy budget authority ............................................... ................... 511 500,000 456,522 4.60 4.60 23,000 21,000 Total subsidy budget authority ................................. ................... Guaranteed loan subsidy outlays: 2340 Subsidy outlays .............................................................. ................... 23,000 21,000 11,500 22,000 Position with respect to appropriations act limitation on commitments: 2111 Limitation on guaranteed loans made by private lenders .............................................................................. 2,054,000 2,054,000 2,000,000 2112 Uncommitted loan guarantee limitation ....................... –1,703,480 –1,554,000 –1,543,487 2349 11,500 22,000 2150 Total guaranteed loan commitments ........................ 350,520 500,000 456,513 Administrative expense data: Budget authority ............................................................ ................... ................... Outlays ........................................................................... ................... ................... 900 900 2210 2231 2251 Cumulative balance of guaranteed loans outstanding: Outstanding, start of year ............................................. Disbursements of new guaranteed loans ...................... Repayments and prepayments ...................................... 88,605 139,115 –9,150 218,570 425,000 –14,000 629,570 750,000 –30,000 2290 Outstanding, end of year .......................................... 218,570 629,570 1,349,570 2299 Memorandum: Guaranteed amount of guaranteed loans outstanding, end of year ................................................................ 218,570 629,570 1,349,570 2339 3510 3590 Total subsidy outlays ................................................ ................... COMMUNITY OPPORTUNITY PERFORMANCE FUND PROGRAM ACCOUNT Status of Guaranteed Loans (in thousands of dollars) Identification code 86–4096–0–3–451 (Legislative proposal, not subject to PAYGO) The COPF guaranteed loan provision will enable local governments receiving COPF funds to obtain loan guarantees by pledging current and future COPF funds as security for the loan. In order to obtain the guarantee, borrowers will be required to provide additional security, such as pledges of existing grant balances and program income, liens on assets financed with the guaranteed loans funds, or the establishment of loss reserves. In all cases, HUD will structure additional security requirements to ensure that each guaranteed loan is adequately collateralized with existing assets and credit enhancements. Adopting these reforms will reduce the amount of credit subsidy required to support expected loan guarantee activity. 1994 actual 1995 est. 543,478 2159 543,478 Total guarantee loan levels ...................................... ................... ................... Guaranteed loan subsidy (in percent): 2329 Weighted average subsidy rate ..................................... ................... ................... (Legislative proposal, not subject to PAYGO) Status of Guaranteed Loans (in thousands of dollars) Identification code 86–4096–2–3–451 –2.50 1996 est. COMMUNITY OPPORTUNITY PERFORMANCE FUNDS FINANCING ACCOUNT 1996 est. Guaranteed loan levels supportable by subsidy budget authority: 2150 Loan guarantee levels ................................................... ................... ................... 1995 est. Guaranteed loans.—As part of the Community Opportunity Performance Funds program, the budget provides a mechanism for Federal guarantees of private loans. There is an accompanying liquidating account which shows activity for Federal Financing Bank direct loan activity, obligated prior to July 1, 1986. Also following is a status of privately financed guaranteed loan commitments made prior to 1992. The Department will add a balance sheet to this account in the FY 1997 budget. Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in thousands of dollars) Identification code 86–0198–2–1–451 1994 actual 1994 actual 1995 est. 1996 est. Position with respect to appropriations act limitation on commitments: 2112 Uncommitted loan guarantee limitation ....................... ................... ................... 543,478 2150 543,478 Total guaranteed loan commitments ........................ ................... ................... COMMUNITY OPPORTUNITY PERFORMANCE FUNDS FINANCING ACCOUNT COMMUNITY OPPORTUNITY PERFORMANCE FUNDS LIQUIDATING ACCOUNT Program and Financing (in thousands of dollars) Program and Financing (in thousands of dollars) Identification code 86–4096–0–3–451 1994 actual 1995 est. Financing: 21.90 Unobligated balance available, start of year: Fund balance ...................................................................... ................... ................... 24.90 Unobligated balance available, end of year: Fund balance ...................................................................... ................... 23,468 68.00 Financing authority (gross): Spending authority from offsetting collections .................................... ................... 1996 est. –23,468 Identification code 86–4097–0–3–451 39.00 46,282 68.00 68.47 23,468 1994 actual 1995 est. 1996 est. Financing: Budget authority (gross) ................................................ ................... ................... ................... Budget authority: Spending authority from offsetting collections ........ Portion applied to debt reduction ............................. –27,271 27,271 –23,000 23,000 –20,000 20,000 22,814 68.90 Spending authority from offsetting collections (total) ................................................................ ................... ................... ................... Relation of obligations to financing disbursements: 71.00 Total obligations ............................................................ ................... ................... ................... 72.10 Obligated balance, start of year: Receivables from other government accounts ....................................... ................... ................... –11,500 74.10 Obligated balance, end of year: Receivables from other government accounts ....................................... ................... 11,500 10,500 71.00 72.47 74.47 Relation of obligations to outlays: Total obligations ............................................................ ................... ................... ................... Obligated balance, start of year: Authority to borrow 151,937 151,937 151,937 Obligated balance, end of year: Authority to borrow –151,937 –151,937 –151,937 87.00 87.00 Outlays (gross) .......................................................... ................... ................... ................... Financing disbursements (gross) .............................. ................... 11,500 –1,000 Adjustments to financing authority and financing disbursements: Offsetting collections from: 88.00 Federal sources ......................................................... ................... 88.25 Interest on uninvested funds .................................... ................... –23,000 –468 –21,000 –1,814 88.90 –23,468 –22,814 89.00 90.00 Total, offsetting collections .................................. ................... 88.40 Financing authority (net) ............................................... ................... ................... ................... Financing disbursements (net) ...................................... ................... –11,968 –23,814 Adjustments to gross budget authority and outlays: Offsetting collections from: Non-Federal sources ......... –27,271 –23,000 –20,000 89.00 90.00 Budget authority (net) ................................................... Outlays (net) .................................................................. –27,271 –27,271 –23,000 –23,000 –20,000 –20,000 As required by the Federal Credit Reform Act of 1990, this account records, for this program, all cash flows to and from the Government resulting from Federal Financing Bank 512 COMMUNITY PLANNING AND DEVELOPMENT—Continued Federal Funds—Continued THE BUDGET FOR FISCAL YEAR 1996 Credit accounts—Continued COMMUNITY OPPORTUNITY PERFORMANCE FUNDS LIQUIDATING ACCOUNT—Continued direct loans for which loan guarantees were committed prior to 1992. This account is shown on a cash basis. Status of Direct Loans (in thousands of dollars) 1994 actual Identification code 86–4097–0–3–451 1995 est. 1996 est. Cumulative balance of direct loans outstanding: 1210 Outstanding, start of year ............................................. 1251 Repayments: Repayments and prepayments ................. 131,384 –21,482 109,902 –23,000 86,902 –20,000 1290 109,902 86,902 66,902 Outstanding, end of year .......................................... Status of Guaranteed Loans (in thousands of dollars) 1994 actual Identification code 86–4097–0–3–451 1995 est. 1996 est. 2210 2231 2251 Cumulative balance of guaranteed loans outstanding: Outstanding, start of year ............................................. Disbursements of new guaranteed loans ...................... Repayments and prepayments ...................................... 309,700 42,075 –54,720 297,055 30,000 –73,000 254,055 15,000 –53,000 2290 Outstanding, end of year .......................................... 297,055 254,055 216,055 2299 Memorandum: Guaranteed amount of guaranteed loans outstanding, end of year ................................................................ 297,055 254,055 216,055 Guaranteed loans.—Guaranteed loan assistance under the Community Opportunity Performance Funds program is provided to eligible communities to finance acquisition of real property, rehabilitation of publicly owned real property, and certain related expenses. In the past the Federal Financing Bank (FFB) financed these guaranteed loans. The Consolidated Omnibus Budget Reconciliation Act of 1985 requires private financing of all loan guarantees committed after July 1, 1986. FFB will continue disbursing loans for commitments approved prior to July 1, 1986. The activity shown in the above account reflects privately financed guaranteed loans for which commitments were made prior to 1992. HOUSING PROGRAMS Federal Funds General and special funds: øANNUAL CONTRIBUTIONS ø(INCLUDING FOR ASSISTED HOUSING¿ RESCISSION AND TRANSFERS OF FUNDS)¿ øFor assistance under the United States Housing Act of 1937, as amended (‘‘the Act’’ herein) (42 U.S.C. 1437), not otherwise provided for, $11,083,000,000, to remain available until expended: Provided, That to be added to and merged with the foregoing amounts there shall be up to $400,000,000 of amounts of budget authority (and contract authority) reserved or obligated in prior years for the development or acquisition costs of public housing (including public housing for Indian families), for modernization of existing public housing projects (including such projects for Indian families), and, except as herein provided, for programs under section 8 of the Act (42 U.S.C. 1437f), which are recaptured during fiscal year 1995 or are unobligated as of September 30, 1994; and up to $100,000,000 of transfers of unobligated balances from the Urban Development Action Grants program: Provided further, That of the total amount provided under this head, $282,000,000 shall be for the development or acquisition cost of public housing for Indian families, including amounts for housing under the mutual help homeownership opportunity program under section 202 of the Act (42 U.S.C. 1437bb); and $598,000,000 shall be for the development or acquisition cost of public housing, of which up to .67 per centum shall be available for technical assistance and inspection of public housing agencies by the Secretary: Provided further, That of the total amount provided under this head, $3,700,000,000 shall be for modernization of existing public housing projects pursuant to section 14 of the Act (42 U.S.C. 1437l), including up to $15,000,000 for the inspection of modernization units and provision of technical assistance by the Secretary and contract expertise to assist in the oversight and management of the public and Indian housing modernization program, including an annual resident survey: Provided further, That of the amounts provided under this head for modernization of existing public housing projects, $25,000,000 may be used for the Tenant Opportunity Program: Provided further, That of the total amount provided under this head, $2,785,582,000 shall be for rental assistance under the section 8 existing housing certificate program (42 U.S.C. 1437f) and the housing voucher program under section 8(o) of the Act (42 U.S.C. 1437f(o)): Provided further, That of the total amount provided for rental assistance, a total of up to $400,000,000 may be made available for new programs subject to enactment into law of applicable authorizing legislation: Provided further, That those portions of the fees for the costs incurred in administering incremental units assisted in the certificate and housing voucher programs under sections 8(b), 8(o), and 8(e)(2) shall be established or increased in accordance with the authorization for such fees in section 8(q) of the Act: Provided further, That of the total amount provided under this head, $17,300,000 shall be available for fees for coordinators under section 23(h)(1) for the family selfsufficiency program (42 U.S.C. 1437u): Provided further, That of the total amount provided under this head, $735,000,000 shall be for amendments to section 8 contracts other than contracts for projects developed under section 202 of the Housing Act of 1959, as amended, and $555,000,000 shall be for section 8 assistance for property disposition, and $175,000,000 shall be for assistance for State or local units of government, tenant and nonprofit organizations to purchase projects where owners have indicated an intention to prepay mortgages and for assistance to be used as an incentive to prevent prepayment or for vouchers to aid eligible tenants adversely affected by mortgage prepayment, as authorized in the Emergency Low-Income Housing Preservation Act of 1987, as amended: Provided further, That 50 per centum of the amounts of budget authority, or in lieu thereof 50 per centum of the cash amounts associated with such budget authority, that are recaptured from projects described in section 1012(a) of the Stewart B. McKinney Homeless Assistance Amendments Act of 1988 (Public Law 100–628, 102 Stat. 3224, 3268) shall be rescinded, or in the case of cash, shall be remitted to the Treasury, and such amounts of budget authority or cash recaptured and not rescinded or remitted to the Treasury shall be used by State housing finance agencies or local governments or local housing agencies with projects approved by the Secretary of Housing and Urban Development for which settlement occurred after January 1, 1992, in accordance with such section: Provided further, That of the total amount provided under this head, $186,000,000 shall be for housing opportunities for persons with AIDS under title VIII, subtitle D of the Cranston-Gonzalez National Affordable Housing Act; $100,000,000 shall be for the lead-based paint hazard reduction program as authorized under sections 1011 and 1053 of the Residential Lead-Based Hazard Reduction Act of 1992; and $30,000,000 shall be for service coordinators in public housing pursuant to section 9(a)(1)(B)(ii) of the United States Housing Act of 1937; and $30,000,000 shall be for service coordinators in project-based section 8 housing, pursuant to section 8(d)(2)(F)(1) of the Act, tenant-based section 8 housing, pursuant to section 8(q) of the Act and, for service coordinators in multifamily housing assisted under the National Housing Act, pursuant to section 676 of the Housing and Community Development Act of 1992: Provided further, That notwithstanding the language preceding the first proviso of this paragraph, $289,500,000 shall be used for special purpose grants in accordance with the terms and conditions specified for such grants in the committee of conference report and statement of the managers (H. Rept. 103–715) accompanying H.R. 4624, except for the grant of $500,000 for the Earth Conservatory for the acquisition of land near WilkesBarre, Pennsylvania.¿ øOf the total amount provided under this head, $1,279,000,000 shall be for capital advances, including amendments to capital advance contracts, for housing for the elderly, as authorized by section 202 of the Housing Act of 1959, as amended, and for project rental assistance, and amendments to contracts for project rental assistance, for supportive housing for the elderly under section 202(c)(2) of the Housing Act of 1959: Provided, That $22,000,000 shall be for service coordinators pursuant to section 202(q) of the Housing Act of 1959 and subtitle E of title VI of the Housing and Community Development Act of 1992, other than section 676 of such Act and section 8(d)(2)(F)(i) of the Act.¿ HOUSING PROGRAMS—Continued Federal Funds—Continued DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT øOf the total amount provided under this head, $387,000,000 shall be for capital advances, including amendments to capital advance contracts, for supportive housing for persons with disabilities, as authorized by section 811 of the Cranston-Gonzalez National Affordable Housing Act; and for project rental assistance, and amendments to contracts for project rental assistance, for supportive housing for persons with disabilities as authorized by section 811 of the CranstonGonzalez National Affordable Housing Act.¿ (Departments of Veterans Affairs and Housing and Urban Development, and Independent Agencies Appropriations Act, 1995.) 1994 actual 1995 est. 15,114,217 16,359,134 19,725,963 ANNUAL CONTRIBUTIONS FOR ASSISTED HOUSING Status of Contract Authority (in thousands of dollars)—Continued 1994 actual 1995 est. 1996 est. Total unfunded balance, start of year ............. Program and Financing (in thousands of dollars) Identification code 86–0164–0–1–604 Outlays .................................................................................... 513 1996 est. Program by activities: Assistance contracts: 00.01 Lower income housing (section 8) .......... 00.02 Public and Indian housing ...................... 00.03 Elderly/Disabled Grants ........................... 4,316,325 3,615,377 1,331,660 4,647,955 3,893,152 1,623,692 4,415,814 2,837,969 1,217,769 10.00 9,263,362 10,164,799 –2,012,420 –2,089,715 85,872,915 Unfunded balances rescinded: Debt forgiveness ........................................................ –2,160,741 –2,000,000 –2,000,000 Total, unobligated balance lapsing ................. Unfunded balances transferred for liquidation Unfunded balance, end of year ....................... 286,426 –28,932 103,203,669 ...................... –15,330,754 85,872,915 ...................... –15,943,587 67,929,328 –2,000,000 –2,205,166 103,203,669 8,471,552 –2,435,736 105,106,916 –90,296 Total obligations (object class 41.0) Financing: 17.00 Recovery of prior year obligations ............... Unobligated balance available, start of year: Treasury balance: 21.40 Grants (available) ............................... 21.40 Administrative commitments (reserved) ............................................ 21.49 Administrative commitments (reserved) .. 22.00 Unobligated balance transferred, net .......... Unobligated balance available, end of year: Treasury balance: 24.40 Available .............................................. 24.40 Reserved .............................................. 24.49 Administrative commitments ................... Unobligated balance expiring: 25.00 Unobligated balance expiring .................. 25.00 Unobligated balance expiring .................. 39.00 Budget authority ...................................... 40.00 40.35 41.00 42.00 Budget authority: Current: Appropriation ....................................... Appropriation rescinded ...................... Transferred to other accounts ............. Transferred from other accounts ........ 43.00 60.00 60.05 60.49 63.00 Summary of Administrative Commitments—Continued –17,280,624 –17,711,683 –20,818,551 –73,167 –89,248 ........................ –11,037 ........................ –740,621 2,089,715 90,296 90,296 17,711,683 20,818,551 13,087,620 89,248 ........................ ........................ 19,814 ........................ ........................ 2,160,741 2,000,000 2,000,000 9,328,833 11,170,580 ........................ 9,437,900 11,083,000 ........................ –45,515 ........................ ........................ –68,552 –12,420 ........................ 5,000 100,000 ........................ Appropriation (total) ....................... 9,328,833 11,170,580 ........................ Permanent: Appropriation ....................................... 28,932 15,330,754 15,943,587 Appropriation (indefinite) .................... ........................ ........................ ........................ Portion applied to liquidate contract authority .......................................... –28,932 –15,330,754 –15,943,587 Appropriation (total) ....................... ........................ ........................ ........................ Relation of obligations to outlays: Total obligations ........................................... 9,263,362 10,164,799 8,471,552 Obligated balance, start of year: 72.40 Appropriation ............................................ 28,831,392 22,517,436 31,247,456 72.49 Contract authority .................................... 105,005,567 103,021,778 86,031,403 73.00 Obligated balance transferred, net .............. ........................ ........................ 18,938,637 Obligated balance, end of year: 74.40 Appropriation ............................................ –22,517,436 –31,247,456 –37,304,989 74.49 Contract authority .................................... –103,021,778 –86,031,403 –85,545,396 77.00 Adjustments in expired accounts ................. –11,154 ........................ ........................ 78.00 Adjustments in unexpired accounts ............. –2,435,736 –2,012,420 –2,000,000 Outlays ..................................................... [In thousands of dollars] Program by activities: Assistance contracts: Lower income housing (section 8) ....................... Public and Indian housing ................................... Sec. 202/811 ............................................................. 15,114,217 16,412,734 19,838,663 Summary of Budget Authority and Outlays (in thousands of dollars) Enacted/requested: 1994 actual Budget Authority ..................................................................... 9,328,833 Outlays .................................................................................... 15,114,217 Rescission proposal: Budget Authority ..................................................................... .................... Outlays .................................................................................... .................... Total: Budget Authority ..................................................................... 9,328,833 1995 est. 1996 est. 11,170,580 .................... 16,412,734 19,838,663 –439,200 .................... –53,600 –112,700 10,731,380 .................... 1994 actual 1995 est. 1996 est. 3,967,179 4,130,247 1,596,995 6,662,352 4,849,438 1,758,256 ...................... ...................... ...................... Subtotal ............................................................ 9,694,179 Administrative commitments, start of year .............. 17,369,825 Administrative commitments transferred1 ................ ...................... Administrative commitments, end of year ................ ¥17,800,884 13,270,046 17,800,884 ...................... ¥20,906,131 ...................... 20,906,131 1,027,621 ¥13,462,200 10,164,799 8,471,552 Total obligations ............................................... 1 Reflects 71.00 90.00 ANNUAL CONTRIBUTIONS FOR ASSISTED HOUSING 9,263,362 transfer from Contract Renewals to Annual Contributions account. The Annual Contributions for Assisted Housing account provided assistance under three major categories. Low-income housing (section 8).—Included within the section 8 category were incremental rental assistance in the form of housing certificates and housing vouchers; Public Housing and Housing Relocation/Replacement opt-out units; Housing Opportunities for Persons with AIDS; Section 23 Conversions; and Loan Management and Property Disposition activities. Housing for the elderly and disabled (section 801 and 811).—The Cranston-Gonzales National Affordable Housing Act authorized a grant program to make new construction assistance available to elderly and disabled persons. Both the Grant funding and the Rental Assistance—or operating subsidy—needed to aid these low-income tenants was provided under the annual contributions account. Public and Indian housing.—New development funding was provided for both Public Housing and for Indian Housing within this account. In addition, funding was provided for Public and Indian Housing Modernization activities and Public/Indian Housing amendments and lease adjustments. Also, funding was provided for Public Housing Service Coordinators. Funding for the Annual Contributions for Assisted Housing account will be terminated at the end of fiscal year 1995. Beginning in fiscal year 1996, the funding for the assistance once provided under this program will be provided under the Housing Certificates for Families and Individuals Performance Funds program, the Affordable Housing Performance Funds program, the Public and Indian Housing Capital Performance Funds program, and the Housing Opportunities for Persons with AIDS program. 514 HOUSING PROGRAMS—Continued Federal Funds—Continued THE BUDGET FOR FISCAL YEAR 1996 78.00 OTHER ASSISTED HOUSING PROGRAMS Adjustments in unexpired accounts ................. –630,618 –372,466 –230,771 90.00 General and special funds—Continued Outlays ......................................................... 779,913 828,537 762,182 RENTAL HOUSING ASSISTANCE OTHER ASSISTED HOUSING (In thousands of dollars) (RESCISSION) The limitation otherwise applicable to the maximum payments that may be required in any fiscal year by all contracts entered into under section 236 of the National Housing Act (12 U.S.C. 1715z– 1) is reduced in fiscal year ø1995¿ 1996 by not more than $2,000,000 in uncommitted balances of authorizations provided for this purpose in appropriations Acts: Provided, That up to ø$66,000,000¿ $163,000,000 of recaptured section 236 budget authority resulting from the prepayment of mortgages subsidized under section 236 of the National Housing Act (12 U.S.C. 1715z–1) shall be rescinded in fiscal year ø1995¿ 1996. (Departments of Veterans Affairs, and Housing and Urban Development, and Independent Agencies Appropriations Act, 1995.) RESCISSION OF FUNDS)¿ øFor payments under section 235(r) of the National Housing Act, as amended (12 U.S.C. 1715z), for incentives to mortgagors to refinance mortgages that are insured under such section 235 and for closing and other costs in connection with such refinancing, $6,875,000, to remain available until expended; Provided, That up to $50,000,000 of recaptured section 235 budget authority resulting from reducing the interest rate on such refinanced mortgages shall be reused for payments under this heading: Provided further, That up to $184,000,000 of additional recaptured section 235 budget authority from refinancing section 235 mortgages shall be rescinded in fiscal year 1995.¿ (Departments of Veterans Affairs, and Housing and Urban Development, and Independent Agencies Appropriations Act, 1995.) 00.01 00.02 10.00 Program by activities: Rent supplement .............................................. Homeownership and rental housing assistance (Sections 235 and 236) ...................... Total obligations (object class 41.0) .......... 1994 actual 1995 est. 1996 est. 41,652 82,520 132,875 72,000 111,470 176,841 113,652 –630,618 –372,466 –230,771 ...................... –1,042,833 9,738 ...................... –950,829 9,824 ...................... 1,042,833 647,376 ...................... 950,829 46,766 ...................... 817,739 42,266 39.00 Budget authority .......................................... ...................... –231,125 –198,119 40.00 40.36 Budget authority: Current: Appropriation ........................................... Unobligated balance rescinded ............... ...................... ...................... 56,875 –288,000 ...................... –198,119 Appropriation (total) ........................... Permanent: Appropriation ........................................... Portion applied to liquidate contract authority .................................................. ...................... –231,125 –198,119 764,792 828,537 762,182 –764,792 –828,537 –762,182 Appropriation (total) ........................... ...................... ...................... ...................... 111,470 176,841 113,652 192,661 24,960,744 128,483 23,725,861 128,483 22,701,699 –128,483 –23,725,861 –128,483 –22,701,699 –128,483 –21,822,398 63.00 Relation of obligations to outlays: Total obligations ............................................... Obligated balance, start of year: 72.40 Administrative commitment (reserved) ....... 72.49 Contract authority ........................................ Obligated balance, end of year: 74.40 Administrative commitment reserved .......... 74.49 Contract authority ........................................ 71.00 22,759,095 1,836,943 192,838 21,754,935 1,755,675 171,838 Total unfunded balance, start of year .......................... 26,122,461 24,788,876 23,682,448 New Budget Authority Sec. 523 .............................................. Recaptures Sec. 235 ............................................................... Unfunded balances rescinded: Rental and homeownership assistance .................................. ................... ................... ................... ................... 6,875 ................... 50,000 ................... 501,000 ................... –288,000 –198,119 –288,000 –198,119 Unobligated balance expiring or restored: Homeowership and rental housing assistance ...................... –639,982 –23,292 –20,292 Rent supplement ..................................................................... ................... –23,474 –21,974 College housing ...................................................................... –7,484 ................... ................... Total, unobligated balance lapsing ............................... Unfunded balances transferred for liquidation .......................... Other transfers ........................................................................ Prior year adjustment ............................................................. Unfunded balance, end of year: Homeownership and rental housing assistance .................... Rent supplement ..................................................................... College housing grants ........................................................... –647,376 –46,766 –42,266 –764,792 –828,537 –762,182 23,976 ................... ................... 54,607 ................... ................... 22,759,095 1,836,943 192,838 21,754,933 1,755,675 171,838 20,409,768 2,119,275 150,838 Total unfunded balance, end of year ............................ 24,788,876 23,682,448 22,679,881 Summary of Administrative Commitments—Continued Program by activities: Assistance contracts: Rent supplement ................................................................ Homeownership and rental housing assistance (sections 235 and 236) ................................................................. Administrative commitments, start of year ........................... Administrative commitments, end of year ............................. 1994 actual Total obligations ............................................................ 43,966 –16,034 –1,175,207 20,180 60.00 60.49 24,006,213 1,894,926 221,322 [In thousands of dollars] 28,950 Financing: 17.00 Recovery of prior year obligations ................... Unobligated balance available, start of year: Contract authority: 21.49 Administrative commitments (reserved) 21.49 Contract authority (available) ................. 22.00 Unobligated balance transferred, net .............. Unobligated balance available, end of year: Contract authority: 24.49 Administrative commitments (reserved) 24.49 Contract authority (available) ................. 25.00 Unobligated balance expiring .......................... 43.00 1996 est. OTHER ASSISTED HOUSING Program and Financing (in thousands of dollars) Identification code 86–0206–0–1–999 1995 est. Total, unfunded balances rescinded ............................. ................... øHOMEOWNERSHIP ASSISTANCE¿ ø(INCLUDING 1994 actual Unfunded balance, start of year: Homeownership and rental housing assistance .................... Rent supplement ..................................................................... College housing grants ........................................................... 1995 est. 1996 est. 28,950 43,966 41,652 82,520 16,034 –16,034 132,875 16,034 –16,034 72,000 16,034 –16,034 111,470 176,841 113,652 The Other Assisted Housing Account contains the programs listed below: Rent supplement.—Rent supplement assistance payments will continue to be made on behalf of qualified low-income tenants in approximately 18,000 units which have not converted to section 8. Section 235.—The Housing and Urban-Rural Recovery Act of 1983 (Public Law 98–181) authorized a restructured section 235 program based on a 10-year interest reduction subsidy. A total of $150 million of budget authority was provided in the Second Supplemental Appropriations Act of 1984 (Public Law 98–396) to fund the program. Recaptures of budget authority from terminations must be transferred into the Homeownership Assistance Fund account established pursuant to Public Law 98–181. Amounts deposited will be available for use to assist program beneficiaries still in need of assistance at the expiration of their present ten-year assistance contracts. In addition, appropriations were enacted in 1995 in the amount of $6.9 million, to fund closing costs, discount points, and incentives needed to encourage mortgagors subsidized under the Section 235 program to refinance at lower, prevailing market interest rates. The subsidy savings from refinancing these loans substantially exceed the costs involved and will produce a net savings to the Treasury over time. Up to $184 million in budget authority may be rescinded in 1995. HOUSING PROGRAMS—Continued Federal Funds—Continued DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT Section 236.—The Housing and Urban Development Act of 1968, as amended, authorizes the section 236 Rental Housing Assistance Program which subsidizes the monthly mortgage payment that an owner of a rental or cooperative project is required to make. This interest subsidy reduces rents for lower income tenants. The Rental Housing Assistance Rescission allows the rescission of not more than $2,000,000 in uncommitted balances of contract authority. In addition, up to $163 million in budget authority may be rescinded as a result of mortgage prepayments by section 236 project owners. The table below reflects the consolidated outlay total for both the Annual Contributions for Assisted Housing account and the Other Assisted Housing account, for fiscal years 1994, 1995, and 1996. SUMMARY OF OUTLAYS [In thousands of dollars] (Annual contributions for Assisted Housing and Other Assisted Housing) 1 1994 actual Subsidized Housing Programs, total ........................................... Low income housing assistance (sec. 8) ................................... Public housing ............................................................................. Rent supplement ......................................................................... Homeownership assistance (sec. 235) ....................................... Rental housing assistance (sec. 236) ........................................ College housing grants ............................................................... 1 Excludes 2 Reflects 1995 est. 1996 est.2 21,381,876 16,576,233 4,025,730 56,293 45,948 659,310 18,362 21,155,401 15,877,757 4,449,107 57,793 89,171 660,573 21,000 20,600,845 15,128,347 4,710,316 59,293 31,269 650,620 21,000 outlays for contract renewals. spendout from old programs. øASSISTANCE FOR THE RENEWAL OF EXPIRING SECTION 8 SUBSIDY CONTRACTS¿ ø(INCLUDING TRANSFER OF FUNDS)¿ øFor assistance under the United States Housing Act of 1937 (42 U.S.C. 1437) not otherwise provided for, for use in connection with expiring section 8 subsidy contracts, $2,536,000,000, to remain available until expended: Provided, That to the extent the amount in this appropriation is insufficient to fund all expiring section 8 contracts, the Secretary may transfer to and merge with this appropriation such amounts from the ‘‘Annual contributions for assisted housing’’ appropriation as the Secretary shall determine, and amounts earmarked in the foregoing account may be reduced accordingly, at the Secretary’s discretion: Provided further, That the Secretary may maintain consolidated accounting data for funds disbursed at the public housing agency or Indian housing authority or project level for subsidy assistance regardless of the source of the disbursement so as to minimize the administrative burden of multiple accounts.¿ (Departments of Veterans Affairs and Housing and Urban Development, and Independent Agencies Appropriations Act, 1995.) Program and Financing (in thousands of dollars) Identification code 86–0194–0–1–604 Program by activities: Total obligations (object class 41.0) ............... Financing: Unobligated balance available, start of year: 21.40 Treasury balance .......................................... 21.49 Administrative commitments ....................... 22.00 Unobligated balance transferred, net .............. Unobligated balance available, end of year: 24.40 Treasury balance .......................................... 24.49 Administrative commitments ....................... 10.00 1994 actual 1995 est. 1996 est. 5,099,793 3,395,224 ...................... –30,266 –885,714 ...................... –59,224 –1,027,621 ...................... –1,027,621 ...................... 1,027,621 59,224 1,027,621 1,027,621 ...................... ...................... ...................... 72.40 73.00 74.40 Obligated balance, start of year: Unpaid obligations: Treasury balance ........................... Obligated balance transferred, net .................. Obligated balance, end of year: Unpaid obligations: Treasury balance ........................... 90.00 Outlays ......................................................... 515 18,218,497 ...................... 19,830,544 ...................... 19,311,637 –19,311,637 –19,830,544 –19,311,637 ...................... 3,487,746 3,914,130 ...................... STATUS OF ADMINISTRATIVE COMMITMENTS Program by activities: Section 8 Contract Renewals .................................... Net Recaptures .......................................................... Administrative commitments, start of year .............. Administrative commitments transferred ................. Administrative commitments, end of year ................ 1994 actual 1995 est. 1996 est. 5,252,533 –10,832 885,714 ...................... –1,027,621 3,395,224 ...................... 1,027,621 –1,027,621 ...................... ...................... ...................... ...................... ...................... ...................... Total obligations ............................................... 5,099,793 3,395,224 ...................... 1 Reflects transfer from Contract Renewals account. The Assistance for the Renewal of Expiring Section 8 Contracts account provided funding to renew existing section 8 loan management, property disposition, new construction, substantial rehabilitation, moderate rehabilitation, voucher and certificate contracts. This account will be terminated at the end of fiscal year 1995. Beginning in fiscal year 1996, the funding for this assistance will be provided under the Housing Certificates for Families and Individuals Performance Funds program. Multifamily Debt Restructuring.—The contract renewal requirements for project-based assistance contracts (LMSA, PD and New Construction/Sub Rehab projects) have been reduced in this budget to reflect the Administration’s proposal to lower or ‘‘mark-to-market’’ Section 8 rents to reflect comparable prevailing market rents for assisted projects. A principal objective of the ‘‘mark-to-market’’ proposal is to balance market-determined rental income against project costs including: debt service, operating costs, reserve requirements and profit margin. This will permit projects to operate over the long run on a sound financial basis without the need for permanent project-based assistance. Projects will have affordable, market priced units which will be able to compete for tenants with comparable projects in the locality. Renters with certificates or vouchers (tenant based assistance), as well as non-assisted tenants, will be attracted to projects with an affordable, market-determined rent structure. Marking down of rents will be accomplished at or near the point of Section 8 contract renewal. In order to make operations feasible under a lower total rent structure, FHA will restructure the mortgage debt of the project by paying partial claim payments against the outstanding mortgage on the property. This will lower the debt service portion of total project costs. Thus lower Section 8 rental income will service lower project costs. The amount of the debt restructuring will be determined by how much total costs the market rents can support. A new Housing Resolution Fund, shown under a separate schedule, would make available resources to repair, secure and provide tenant services in multifamily projects, as well as property disposition assistance in connection with the sale of projects. All contract renewal obligations will occur in the proposed ‘‘Housing Certificates for Families and Individuals Performance Fund’’ beginning in 1996. A two year transition period, during which renewal vouchers may be tied to projects, is also proposed to facilitate a gradual changeover to a market driven basis. 39.00 Budget authority .......................................... 5,270,658 3,336,000 ...................... 40.00 42.00 Budget authority: Current: Appropriation ........................................... Transferred from other accounts ............ 4,482,106 68,552 2,536,000 ...................... ...................... ...................... 4,550,658 2,536,000 ...................... øNATIONAL HOMEOWNERSHIP TRUST DEMONSTRATION PROGRAM¿ øFor the National Homeownership Trust Demonstration program, as authorized by title III of the National Affordable Housing Act, as amended by section 182 of the Housing and Community Development Act of 1992, $50,000,000, to remain available until expended.¿ 43.00 65.00 Appropriation (total) ........................... Permanent: Advance appropriation (definite) ............ 71.00 Relation of obligations to outlays: Total obligations ............................................... 720,000 800,000 ...................... 5,099,793 3,395,224 ...................... 516 HOUSING PROGRAMS—Continued Federal Funds—Continued THE BUDGET FOR FISCAL YEAR 1996 General and special funds—Continued øNATIONAL HOMEOWNERSHIP TRUST DEMONSTRATION PROGRAM¿— Continued (Departments of Veterans Affairs and Housing and Urban Development, and Independent Agencies Appropriations Act, 1995.) Program and Financing (in thousands of dollars) Identification code 86–0301–0–1–371 1994 actual 1995 est. 1996 est. Program by activities: 10.00 Total obligations (object class 41.0) ............................ ................... 43.00 Unobligated balance rescinded ................................. –250,000 ................... ................... Transferred from other accounts .............................. ................... 12,420 ................... Appropriation (total) ............................................. –206,810 Relation of obligations to outlays: Total obligations ............................................................ 154,318 Obligated balance, start of year: Unpaid obligations: Treasury balance ....................................................... 140,170 73.00 Obligated balance transferred, net ............................... ................... 74.40 Obligated balance, end of year: Unpaid obligations: Treasury balance ....................................................... –228,037 78.00 Adjustments in unexpired accounts .............................. –1,634 62,420 ................... 71.00 72.40 81,501 53,629 228,037 218,856 –2,400 ................... –218,856 –208,998 –1,000 ................... 50,000 ................... Financing: 40.00 Budget authority (appropriation) ................................... ................... 40.36 42.00 50,000 ................... 90.00 Relation of obligations to outlays: Total obligations ............................................................ ................... 50,000 ................... Obligated balance, start of year: Unpaid obligations: Fund balance ............................................................. ................... ................... 50,000 74.90 Obligated balance, end of year: Unpaid obligations: Fund balance ............................................................. ................... –50,000 –33,000 71.00 72.90 90.00 Outlays ....................................................................... ................... ................... 17,000 The National Homeownership Demonstration Program was authorized to provide resources to revolving funds established by public agencies to assist eligible first-time buyers to become homeowners. In addition, certain forms of mortgage assistance were authorized. This account reflects an appropriation of $50 million for the National Homeownership Demonstration in 1995. Beginning in 1996, funding for this type of activity will be provided under the Affordable Housing Performance Funds program. Outlays ....................................................................... 64,817 87,282 63,487 The Homeownership and Opportunity for People Everywhere Program provided homeownership opportunities which were affordable for low-income families. Units were converted to homeownership from public and Indian housing properties in HOPE 1, from FHA-insured and Government-held multifamily properties in HOPE 2 and from Government-owned or -held single family properties in HOPE 3. HOPE Grants were used for property acquisition, rehabilitation, mortgage subsidies, security measures, and technical assistance. In addition, grants have been devoted to counseling and training of residents, and other activities intended to help them become economically self-sufficient homeowners. Funding for the HOPE program will be terminated at the end of fiscal year 1995. Beginning in fiscal year 1996, funding for this type of assistance will be provided under the Affordable Housing Performance Funds program. øCONGREGATE SERVICES¿ øHOMEOWNERSHIP AND OPPORTUNITY FOR PEOPLE GRANTS (HOPE GRANTS)¿ EVERYWHERE øFor the homeownership and opportunity for people everywhere (HOPE grants) program as authorized under title III of the United States Housing Act of 1937 (42 U.S.C. 1437aaa et seq.) and subtitles A, B, and C, of title IV of the Cranston-Gonzalez National Affordable Housing Act (Public Law 101–625), $50,000,000, to remain available until expended, of which up to one and one-half percent may be made available for technical assistance to potential applicants, applicants and recipients of assistance under this head as authorized under subtitle E of title I of the Housing and Community Development Act of 1992.¿ (Departments of Veterans Affairs and Housing and Urban Development, and Independent Agencies Appropriations Act, 1995.) Program and Financing (in thousands of dollars) Identification code 86–0196–0–1–604 Program by activities: 00.01 Hope I ............................................................................. 00.02 Hope II ............................................................................ 00.03 Hope III ........................................................................... 00.04 Elderly independence ..................................................... 00.05 Youthbuild ...................................................................... 10.00 Total obligations (object class 41.0) ........................ 1994 actual 1995 est. 1996 est. 11,504 63,775 ................... 38,191 12,146 50,213 93,537 3,864 1,000 8,686 1,716 2,416 2,400 ................... ................... 154,318 Financing: 17.00 Recovery of prior year obligations ................................. –1,634 Unobligated balance available, start of year: Treasury balance: 21.40 Uncommitted ......................................................... –423,839 21.40 Administratively committed .................................. –32,965 22.00 Unobligated balance transferred ................................... ................... Unobligated balance available, end of year: Treasury balance: 24.40 Uncommitted ......................................................... 34,069 24.40 Administratively committed .................................. 63,241 81,501 53,629 –1,000 ................... –34,069 –1,000 –63,241 –52,629 25,600 ................... øFor contracts with payments to public housing agencies and nonprofit corporations for congregate services programs, $25,000,000, to remain available until September 30, 1995, of which $6,267,000 shall be for entities operating such programs in accordance with the provisions of the Congregate Services Act of 1978, as amended, and the balance shall be for programs under section 802 of the CranstonGonzalez National Affordable Housing Act (Public Law 101–625).¿ (Departments of Veterans Affairs and Housing and Urban Development, and Independent Agencies Appropriations Act, 1995.) Program and Financing (in thousands of dollars) 10.00 Program by activities: Total obligations (object class 41.0) ............................ Financing: 17.00 Recovery of prior year obligations ................................. 21.40 Unobligated balance available, start of year: Treasury balance ...................................................................... 24.40 Unobligated balance available, end of year: Treasury balance ...................................................................... 25.00 Unobligated balance expiring ........................................ 40.00 Budget authority (appropriation) .............................. Relation of obligations to outlays: Total obligations ............................................................ Obligated balance, start of year: Unpaid obligations: Treasury balance ....................................................... 74.40 Obligated balance, end of year: Unpaid obligations: Treasury balance ....................................................... 77.00 Adjustments in expired accounts .................................. 78.00 Adjustments in unexpired accounts .............................. 71.00 72.40 90.00 1,000 ................... 52,629 ................... 1994 actual Identification code 86–0178–0–1–604 Outlays ....................................................................... 22,089 1995 est. 1996 est. 44,747 ................... –48 ................... ................... –19,880 –19,747 ................... 19,747 ................... ................... 3,092 ................... ................... 25,000 25,000 ................... 22,089 44,747 ................... 22,478 38,355 77,002 –38,355 –77,002 –63,002 –104 ................... ................... –48 ................... ................... 6,060 6,100 14,000 Summary of Budget Authority and Outlays [in thousands of dollars] 39.00 40.00 40.35 Budget authority ........................................................ Budget authority: Appropriation ............................................................. Appropriation rescinded ............................................ –206,810 62,420 ................... 109,190 50,000 ................... –66,000 ................... ................... Enacted/requested: 1994 actual Budget Authority ..................................................................... 25,000 Outlays .................................................................................... 6,060 Rescission proposal: Budget Authority ..................................................................... .................... 1995 est. 1996 est. 25,000 .................... 6,100 14,000 –37,000 .................... HOUSING PROGRAMS—Continued Federal Funds—Continued DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT Outlays .................................................................................... .................... .................... Total: Budget Authority ..................................................................... Outlays .................................................................................... 40.00 –12,000 .................... 6,100 8,912 25,000 6,060 –5,088 71.00 72.40 Under the Congregate Services program, the Department contracted directly with local public housing agencies and section 202 housing for the elderly or disabled sponsors to supply support services, including meals and other services. This program will be terminated at the end of fiscal year 1995. Beginning in fiscal year 1996 funding for this type of activity will be provided under the Housing Certificates for Families and Individuals Performance Funds program. As identified in a separate section of this budget, $37 million of the funding available for this program in fiscal year 1995 is proposed for rescission. Budget authority (appropriation) .............................. Relation of obligations to outlays: Total obligations ............................................................ Obligated balance, start of year: Unpaid obligations: Treasury balance ....................................................... 74.40 Obligated balance, end of year: Unpaid obligations: Treasury balance ....................................................... 90.00 Program and Financing (in thousands of dollars) 25.00 Financing: Unobligated balance expiring ........................................ 40.00 Budget authority (appropriation) .............................. Relation of obligations to outlays: 71.00 Total obligations ............................................................ 72.40 Obligated balance, start of year: Unpaid obligations: Treasury balance ....................................................... 74.40 Obligated balance, end of year: Unpaid obligations: Treasury balance ....................................................... 77.00 Adjustments in expired accounts .................................. 90.00 Outlays ....................................................................... 286,353 ................... 190,619 240,029 490,144 –240,029 –490,144 –446,728 7,783 36,238 43,416 AND MONITORING Program and Financing (in thousands of dollars) øFor contracts, grants, and other assistance, other than loans, not otherwise provided for, for providing counseling and advice to tenants and homeowners—both current and prospective—with respect to property maintenance, financial management, and such other matters as may be appropriate to assist them in improving their housing conditions and meeting the responsibilities of tenancy or homeownership, including provisions for training and for support of voluntary agencies and services as authorized by section 106 of the Housing and Urban Development Act of 1968, as amended, $50,000,000.¿ (Departments of Veterans Affairs and Housing and Urban Development, and Independent Agencies Appropriations Act, 1995.) Program by activities: 10.00 Total obligations (object class 41.0) ............................ 57,192 Section 8 assistance for single room occupancy dwellings is authorized by Title IV, subtitle E, of the Stewart B. McKinney Homeless Assistance Act, as amended by the Housing and Community Development Act of 1992. Beginning in fiscal year 1996, funding for this type of activity will be provided under the Homeless Assistance Performance Funds program. øHOUSING COUNSELING ASSISTANCE¿ 1994 actual 150,000 ................... ................... Outlays ....................................................................... MANUFACTURED HOME INSPECTION Identification code 86–0156–0–1–506 517 1,154 ................... ................... 12,000 50,000 ................... 10,846 50,000 ................... 12,679 49,580 –12,679 –49,580 –11,580 –273 ................... ................... 5,392 13,100 1995 est. 1996 est. Program by activities: Transfer to salaries and expenses ................................ Other program costs ...................................................... 835 7,791 1,009 7,938 1,035 8,038 10.00 Total obligations (object class 25.2) ........................ 8,626 8,947 9,073 Financing: 21.40 Unobligated balance available, start of year: Treasury balance ...................................................................... 24.40 Unobligated balance available, end of year: Treasury balance ...................................................................... –3,523 –5,662 –7,260 5,662 7,260 8,731 10,766 10,544 10,544 8,626 8,947 9,073 1,741 1,654 1,718 –1,654 –1,718 –1,744 8,713 8,883 9,047 Budget authority (appropriation) (special fund, indefinite) ................................................................. 1996 est. 50,000 ................... 7,498 1994 actual 00.01 00.02 60.25 1995 est. 10,846 Identification code 86–5271–0–2–376 38,000 The Housing Counseling Assistance program provided comprehensive housing counseling services to eligible homeowners and tenants, including default and renter counseling. This program will be terminated at the end of fiscal year 1995. Beginning in fiscal year 1996, funding for this type of activity will be provided under the Affordable Housing Performance Funds program. SECTION 8 MODERATE REHABILITATION Relation of obligations to outlays: Total obligations ............................................................ Obligated balance, start of year: Unpaid obligations: Treasury balance ....................................................... 74.40 Obligated balance, end of year: Unpaid obligations: Treasury balance ....................................................... 71.00 72.40 90.00 Outlays ....................................................................... Section 620 of the National Manufactured Housing Construction and Safety Standards Act of 1974, as amended, authorizes enforcement of appropriate construction standards for the construction, design and performance of manufactured homes to assure their quality, durability, and safety. All manufactured homes produced since the standards took effect on June 15, 1976 must comply with Federal construction and safety standards. The States are actively encouraged to participate in the program under compliance plans approved by HUD. A fee is charged to the manufacturers for each manufactured home produced to cover the costs of the monitoring and enforcement activities by HUD contract agents. Fees are deposited in a special fund administered by the Department, and a portion of the fee receipts are transferred to the salaries and expenses account to defray the direct administrative expenses of the program. SINGLE ROOM OCCUPANCY INTERSTATE LAND SALES Program and Financing (in thousands of dollars) Identification code 86–0195–0–1–604 10.00 Program by activities: Total obligations (object class 41.0) ............................ Financing: 21.40 Unobligated balance available, start of year: Treasury balance ...................................................................... 24.40 Unobligated balance available, end of year: Treasury balance ...................................................................... 1994 actual 1995 est. Program and Financing (in thousands of dollars) 1996 est. Identification code 86–5270–0–2–376 57,192 286,353 ................... –286,353 ................... 286,353 ................... ................... 1995 est. 1996 est. Program by activities: Total obligations (object class 25.2) ............................ 349 550 550 Financing: 60.25 Budget authority (appropriation) (special fund, indefinite) ........................................................................... 349 550 550 10.00 –193,545 1994 actual 518 HOUSING PROGRAMS—Continued Federal Funds—Continued THE BUDGET FOR FISCAL YEAR 1996 89.00 90.00 General and special funds—Continued INTERSTATE LAND SALES—Continued Program and Financing (in thousands of dollars)—Continued Identification code 86–5270–0–2–376 1994 actual 1995 est. 1996 est. 71.00 Relation of obligations to outlays: Total obligations ............................................................ 349 550 550 90.00 Outlays ....................................................................... 349 550 550 The Interstate Land Sales Full Disclosure Act provides protection to the public with respect to purchases or leases of subdivision lots. Statements of record must be filed with the Secretary before subdivisions with 100 or more lots may be sold in interstate commerce, except when the subdivision is eligible for exemption. The Secretary is authorized to charge a fee, to be paid by the developer when filing a statement of record. The fee receipts are permanently appropriated and have helped finance a portion of the direct administrative expenses incurred in program operations. Budget authority (net) ................................................... ................... ................... ................... Outlays (net) .................................................................. –1,208 2,525 ................... The Housing and Urban Development Act of 1968 authorized the Secretary to establish a revolving fund into which rental collections in excess of the established basic rents for units in section 236 subsidized projects would be deposited. The Housing and Community Development Amendment of 1978 authorized the Secretary, subject to approval in appropriation acts, to transfer excess rent collections received after 1978 to the Troubled Projects Operating Subsidy program, renamed the Flexible Subsidy Fund. Prior to that time, collections were used for paying tax and utility increases in section 236 projects. The Housing and Community Development Act of 1980 amended the 1978 Act by authorizing the transfer of excess rent collections regardless of when collected. This Budget proposes that the resources from the Rental Housing Assistance Fund continue to be transferred to the Flexible Subsidy Fund. Statement of Operations (in thousands of dollars) TITLE IV—CORPORATIONS Corporations and agencies of the Department of Housing and Urban Development which are subject to the Government Corporation Control Act, as amended, are hereby authorized to make such expenditures, within the limits of funds and borrowing authority available to each such corporation or agency and in accord with law, and to make such contracts and commitments without regard to fiscal year limitations as provided by section 104 of the Act as may be necessary in carrying out the programs set forth in the budget for ø1995¿ 1996 for such corporation or agency except as hereinafter provided: Provided, That collections of these corporations and agencies may be used for new loan or mortgage purchase commitments only to the extent expressly provided for in this Act (unless such loans are in support of other forms of assistance provided for in this or prior appropriations Acts), except that this proviso shall not apply to the mortgage insurance or guaranty operations of these corporations, or where loans or mortgage purchases are necessary to protect the financial interest of the United States Government. (Departments of Veterans Affairs and Housing and Urban Development, and Independent Agencies Appropriations Act, 1995.) 1994 actual Revenue ................................................... Expense .................................................... 68,230 –70,056 64,863 –60,330 66,126 –66,126 68,176 –68,176 0109 Public enterprise funds: 1993 actual 0101 0102 Net income or loss (–) ....................... –1,826 4,533 .................. .................. Identification code 86–4041–0–3–604 1995 est. 1996 est. Balance Sheet (in thousands of dollars) Identification code 86–4041–0–3–604 1993 actual 1994 actual 1995 est. 1996 est. ASSETS: 1101 Federal assets: Fund balances with Treasury ....................... 1206 Non-Federal assets: Receivables, net ............................ 1,823 3,031 2,269 6,800 ...................... ...................... 1999 506 506 506 Total assets ......................... LIABILITIES: 2101 Federal liabilities: Accounts payable ................................ 2207 Non-Federal liabilities: Other ... 4,092 9,831 506 1,270 50 2,496 ...................... ...................... 29 ...................... ...................... 2999 1,320 2,525 ...................... ...................... 2,772 7,305 506 506 3999 Total net position ................ 2,772 7,305 506 506 4999 RENTAL HOUSING ASSISTANCE FUND Total liabilities .................... NET POSITION: 3300 Cumulative results of operations ................................... Total liabilities and net position ............................... 4,092 9,830 506 506 Program and Financing (in thousands of dollars) Identification code 86–4041–0–3–604 Program by activities: 10.00 Total obligations (object class 25.2) ............................ Financing: 17.00 Recovery of prior year obligations ................................. 21.90 Unobligated balance available, start of year: Fund balance ...................................................................... 24.90 Unobligated balance available, end of year: Fund balance ...................................................................... 68.00 Budget authority (gross): Spending authority from offsetting collections ............................................ 1994 actual 64,200 1995 est. 66,126 1996 est. 68,176 –3 ................... ................... –503 –506 –506 506 506 506 64,200 66,126 68,176 64,200 66,126 68,176 Relation of obligations to outlays: Total obligations ............................................................ Obligated balance, start of year: Unpaid obligations: Fund balance ............................................................. 74.90 Obligated balance, end of year: Unpaid obligations: Fund balance ............................................................. 78.00 Adjustments in unexpired accounts .............................. –2,525 ................... ................... –3 ................... ................... 87.00 Outlays (gross) .......................................................... 62,992 68,651 68,176 88.40 Adjustments to gross budget authority and outlays: Offsetting collections from: Non-Federal sources ......... –64,200 –66,126 –68,176 71.00 72.90 1,320 2,525 ................... FLEXIBLE SUBSIDY FUND øFor assistance to owners of eligible multifamily housing projects insured, or formerly insured, and under¿ From the fund established by section 236(g) of the National Housing Act, as amended, øor which are otherwise eligible for assistance under section 201(c) of the Housing and Community Development Amendments of 1978, as amended (12 U.S.C. 1715z–1a), in the program of assistance for troubled multifamily housing projects under the Housing and Community Development Amendments of 1978, as amended, $50,000,000, and¿ all uncommitted balances of excess rental charges as of September 30, ø1994¿ 1995, and any collections øand other amounts in the fund authorized under section 201(j) of the Housing and Community Development Amendments of 1978, as amended,¿ during fiscal year ø1995, to remain available until expended: Provided, That assistance to an owner of a multifamily housing project assisted, but not insured, under the National Housing Act may be made if the project owner and the mortgagee have provided or agreed to provide assistance to the project in a manner as determined by the Secretary of Housing and Urban Development¿ 1996 shall be transferred, as authorized under such section, to the fund authorized under Section 201 (j) of the Housing and Community Development Amendments of 1978, as amended. (Departments of Veterans Affairs and Housing and Urban Development, and Independent Agencies Appropriation Act, 1995.) HOUSING PROGRAMS—Continued Federal Funds—Continued DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT Program and Financing (in thousands of dollars) Identification code 86–4044–0–3–604 10.00 Program by activities: Total obligations (object class 41.0) ............................ Financing: 17.00 Recovery of prior year obligations ................................. Unobligated balance available, start of year: 21.90 Treasury balance: Uncommitted ................................ 21.91 U.S. Securities: Par Value—Administratively Committed .................................................................... Unobligated balance available, end of year: 24.90 Treasury balance: Uncommitted ................................ 24.91 U.S. Securities: Par Value-Administratively Committed ......................................................................... 39.00 Budget authority (gross) ........................................... 40.00 Budget authority: Current: Appropriation ......................................................... Permanent: Spending authority from offsetting collections 68.00 Relation of obligations to outlays: Total obligations ............................................................ Obligated balance, start of year: 72.10 Receivables from other government accounts .......... 72.90 Unpaid obligations: Fund balance ............................ 72.91 U.S. Securities: Par value ......................................... Obligated balance, end of year: 74.10 Receivables from other government accounts .......... 74.90 Unpaid obligations: Fund balance ............................ 74.91 U.S. Securities: Par value ......................................... 78.00 Adjustments in unexpired accounts .............................. 71.00 87.00 1994 actual 1995 est. 126,044 124,351 1996 est. Summary of Administrative Commitments –619 ................... ................... –7,840 –114,532 –77,496 ................... –124,351 –198,724 77,496 ................... 68,176 124,351 198,724 204,900 121,228 [In thousands of dollars] Program by activities: Capital investments: Flexible subsidy reservations ............................................. Administrative commitments, start of year ....................... Cancellation of prior year commitments ........................... Administrative commitments, end of year ......................... 1994 actual Capital investment—obligations .................................. 126,044 5,255 1995 est. 1996 est. 136,531 198,724 5,255 114,532 124,351 198,724 –668 .................... .................... –124,351 –198,724 –5,255 73,431 124,351 198,724 Statement of Operations (in thousands of dollars) 50,000 ................... 69,153 71,228 73,431 126,044 124,351 1993 actual 1994 actual 1995 est. 1996 est. 0101 0102 Revenue ................................................... Expense .................................................... 75,490 –66,411 69,779 –67,172 69,136 –117,461 71,056 –148,102 0109 135,747 Net income or loss (–) ....................... 9,079 2,607 –48,325 –77,046 Identification code 86–4044–0–3–604 198,724 –1,270 36,493 35,468 –2,496 ................... 75,750 24,159 25,649 ................... 2,496 ................... ................... –75,750 –24,159 –132,883 –25,649 ................... ................... –619 ................... ................... 97,213 199,095 90,000 Adjustments to gross budget authority and outlays: Offsetting collections from: 88.00 Federal sources ......................................................... 88.20 Interest on U.S. securities ......................................... 88.40 Non-Federal sources .................................................. –64,200 –4,435 –518 –66,126 –4,568 –534 –68,176 –4,705 –550 88.90 Total, offsetting collections .................................. –69,153 –71,228 –73,431 89.00 90.00 Budget authority (net) ................................................... Outlays (net) .................................................................. 135,747 28,060 50,000 ................... 127,867 16,569 Status of Direct Loans (in thousands of dollars) 1994 actual 1995 est. 1996 est. Balance Sheet (in thousands of dollars) Identification code 86–4044–0–3–604 ASSETS: Federal assets: 1101 Fund balances with Treasury ................................... Investments in US securities: 1102 Treasury securities, par .. 1106 Receivables, net .............. Non-Federal assets: 1206 Receivables, net .................. 1207 Advances and prepayments Net value of assets related to pre–1992 direct loans receivable and acquired defaulted guaranteed loans receivable: 1601 Direct loans, gross .............. 1603 Allowance for estimated uncollectible loans and interest (–) ...................... 1699 1901 Cumulative balance of direct loans outstanding: 1210 Outstanding, start of year ............................................. 1231 Disbursements: Direct loan disbursements ................... 1251 Repayments: Repayments and prepayments ................. 1264 Write-offs for default: Other adjustments, net ............. 366,584 459,114 656,117 97,941 199,095 90,000 –1,670 –2,092 –2,705 –3,741 ................... ................... 1290 459,114 Outstanding, end of year .......................................... Although new activity will not be carried out in this account, the budget assumes that the account will continue to serve as a repository of excess rental charges appropriated from the Rental Housing Assistance Fund. 198,724 Outlays (gross) .......................................................... Identification code 86–4044–0–3–604 519 656,117 743,412 1994 actual 43,062 1999 Total assets ......................... LIABILITIES: 2201 Non-Federal liabilities: Accounts payable .................... 1995 est. 150,749 150,000 1,270 24,259 1996 est. 132,883 150,000 198,724 73,431 2,495 ...................... ...................... 1,575 2,014 ...................... ...................... 273 ...................... ...................... ...................... 366,584 459,114 656,117 743,412 –321,188 –413,203 –590,503 –669,071 45,911 65,614 74,341 Value of assets related to direct loans ............ 45,396 Other Federal assets: Other assets .................................. ...................... 2999 The Flexible Subsidy Fund assisted financially troubled subsidized projects under certain FHA authorities. The subsidies were intended to prevent potential losses to the FHA fund resulting from project insolvency and to preserve these projects as a viable source of housing for low and moderateincome tenants. Priority was given to projects with Federal insurance-in-force and then to those with mortgages that had been assigned to the Department of Housing and Urban Development. A portion of Flexible Subsidy capital improvement loans were used, along with incentives available in the Emergency Low-Income Housing Preservation program, to extend affordability requirements for projects eligible to prepay mortgages. Funding for this program will be terminated at the end of fiscal year 1995. Beginning in fiscal year 1996, funding for this type of activity will be provided under the Housing Certificates for Families and Individuals Performance Funds program or carried out under the proposed Housing Resolution Fund which appears elsewhere in this appendix. 1993 actual 241,576 28,868 ...................... ...................... 380,037 288,597 280,655 241 348 ...................... ...................... 241 348 ...................... ...................... Total liabilities .................... NET POSITION: 3100 Appropriated capital ................ 3300 Cumulative results of operations ................................... 39,200 174,947 224,947 224,947 202,135 204,742 63,650 55,708 3999 Total net position ................ 241,335 379,689 288,597 280,655 4999 Total liabilities and net position ............................... 241,576 380,037 288,597 280,655 COMMUNITY DISPOSAL OPERATIONS FUND Program and Financing (in thousands of dollars) Identification code 86–4040–0–3–451 Financing: Unobligated balance available, start of year: Fund balance ...................................................................... 27.00 Capital transfer to general fund ................................... 1994 actual 1995 est. 1996 est. 21.90 –22 ................... ................... 7 ................... ................... 520 HOUSING PROGRAMS—Continued Federal Funds—Continued THE BUDGET FOR FISCAL YEAR 1996 4999 Public enterprise funds—Continued COMMUNITY DISPOSAL OPERATIONS FUND—Continued Total liabilities and net position ............................... 48 ...................... ...................... ...................... Program and Financing (in thousands of dollars)—Continued 1994 actual Identification code 86–4040–0–3–451 68.00 71.00 72.10 1995 est. HOMEOWNERSHIP ASSISTANCE FUND 1996 est. Unavailable Collections (in thousands of dollars) Budget authority (gross): Spending authority from offsetting collections ............................................ –15 ................... ................... Relation of obligations to outlays: Total obligations ............................................................ ................... ................... ................... Obligated balance, start of year: Receivables from other government accounts, start of year ................ –19 ................... ................... 87.00 Outlays (gross) .......................................................... –19 ................... ................... 88.40 Adjustments to gross budget authority and outlays: Offsetting collections from: Non-Federal sources ......... Budget authority (net) ................................................... ................... ................... ................... Outlays (net) .................................................................. –4 ................... ................... Status of Direct Loans (in thousands of dollars) 1994 actual Identification code 86–4040–0–3–451 Cumulative balance of direct loans outstanding: 1210 Outstanding, start of year ............................................. 1251 Repayments: Repayments and prepayments ................. 1290 1995 est. 1996 est. 5 ................... ................... –5 ................... ................... Outstanding, end of year .......................................... ................... ................... ................... The community disposition program was established by the Atomic Energy Community Act of 1955 to dispose of federally owned properties. Budget program.—All sales under the program have been completed. All loans have been repaid to the Department. Operating results.—Total funds recovered and transferred to the Treasury over the life of the program reached $88 million by the end of 1994. The mortgages were liquidated at the end of 1994 and there will be no additional activity thereafter. Statement of Operations (in thousands of dollars) 1995 est. 1996 est. Balance, start of year: 01.99 Balance, start of year .................................................... 57,255 61,354 65,092 03.00 04.00 07.99 4,099 61,354 61,354 3,738 65,092 65,092 3,824 68,916 68,916 15 ................... ................... 89.00 90.00 1994 actual Identification code 86–4043–0–3–376 Offsetting Collections ................................................ Total: Balances and collections .................................... Total balance, end of year ............................................ Program and Financing (in thousands of dollars) 1994 actual Identification code 86–4043–0–3–376 Financing: Unobligated balance available, start of year: 21.49 Contract authority ..................................................... 21.90 Treasury balance ....................................................... U.S. Securities: 21.91 Par value ............................................................... 21.92 Unrealized discounts ............................................. 22.00 Unobligated balance transferred, net ........................... Unobligated balance available, end of year: 24.49 Contract authority ..................................................... 24.90 Treasury balance ....................................................... 24.91 U.S. Securities: Par value ......................................... 39.00 68.00 68.45 68.90 –50,457 –1,505 1995 est. –55,501 –4,357 1996 est. –61,501 –4,357 –40,830 –42,692 –46,430 –615 ................... ................... –9,143 –9,738 –9,824 55,501 4,357 42,692 61,501 4,357 46,430 67,501 7,357 47,254 Budget authority (gross) ........................................... ................... ................... ................... Budget authority: Spending authority from offsetting collections ........ Portion not available for obligation (limitation on obligations) ........................................................... 4,099 3,738 3,824 –4,099 –3,738 –3,824 Spending authority from offsetting collections (total) ................................................................ ................... ................... ................... Relation of obligations to outlays: Total obligations ............................................................ ................... ................... ................... Obligated balance, start of year: Receivables from other government accounts, start of year ................ –1,753 –1,656 ................... 74.10 Obligated balance, end of year: Receivables from other government accounts, end of year .................. 1,656 ................... ................... 71.00 72.10 Identification code 86–4040–0–3–451 1993 actual 1994 actual 1995 est. 1996 est. 0101 0102 Revenue ................................................... Expense .................................................... 1 .................. .................. .................. .................. .................. .................. .................. 87.00 Outlays (gross) .......................................................... –97 0109 Net income or loss (–) ....................... 1 .................. .................. .................. Adjustments to gross budget authority and outlays: Offsetting collections from: 88.00 Federal sources: Interest on U.S. securities ............. 88.40 Non-Federal sources .................................................. –2,845 –1,254 –2,738 –1,000 –2,824 –1,000 88.90 Total, offsetting collections .................................. –4,099 –3,738 –3,824 89.00 90.00 Budget authority (net) ................................................... Outlays (net) .................................................................. –4,099 –4,196 –3,738 –5,393 –3,824 –3,824 Balance Sheet (in thousands of dollars) Identification code 86–4040–0–3–451 ASSETS: Federal assets: 1101 Fund balances with Treasury ................................... Investments in US securities: 1106 Receivables, net .............. 1601 Net value of assets related to pre–1992 direct loans receivable and acquired defaulted guaranteed loans receivable: Direct loans, gross .................................... Total assets ......................... LIABILITIES: 2104 Federal liabilities: Resources payable to Treasury ............. 1993 actual 1994 actual 1995 est. 1996 est. 22 ...................... ...................... ...................... 18 ...................... ...................... ...................... 8 ...................... ...................... ...................... 1999 48 ...................... ...................... ...................... 2999 1 ...................... ...................... ...................... Total liabilities .................... NET POSITION: 3300 Cumulative results of operations ................................... 3999 Total net position ................ –1,655 ................... The Homeownership Assistance Fund was established by the Housing and Urban-Rural Recovery Act of 1983. It provided for the receipt of recaptures of budget authority, cash, and interest earnings under the restructured section 235 program. The funds were authorized to be used, to the extent approved in Appropriation Acts, by the Secretary to provide additional section 235 assistance payments for mortgagors who are unable to assume the full payment due under the mortgage after the termination of the original 10-year assistance payments contract. 1 ...................... ...................... ...................... Statement of Operations (in thousands of dollars) Identification code 86–4043–0–3–376 1993 actual 1994 actual 1995 est. 1996 est. 47 ...................... ...................... ...................... 0101 0102 Revenue ................................................... Expense .................................................... 6,798 .................. 4,099 .................. 3,738 .................. 3,824 .................. 47 ...................... ...................... ...................... 0109 Net income or loss (–) ....................... 6,798 4,099 3,738 3,824 HOUSING PROGRAMS—Continued Federal Funds—Continued DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT of Veterans Affairs and Housing and Urban Development, and Independent Agencies Appropriation Act, 1995.) Balance Sheet (in thousands of dollars) Identification code 86–4043–0–3–376 1993 actual 1994 actual ASSETS: Federal assets: 1101 Fund balances with Treasury ................................... 8,918 Investments in US securities: 1102 Treasury securities, par .. 40,830 1103 Treasury securities, unamortized discount (–) ............................... ...................... 1106 Receivables, net .............. 1,753 1999 1995 est. 1996 est. Unavailable Collections (in thousands of dollars) 1994 actual Identification code 86–0183–0–1–371 2,701 4,357 7,357 42,692 46,430 1995 est. 1996 est. 47,254 Receipts: 02.01 FHA Mutual Mortgage Insurance Guaranteed Loan, negative subsidies .................................................... 262,810 308,846 525,595 Total: Balances and collections ................................ 262,810 308,846 Appropriation: 05.01 FHA mutual mortgage insurance program account ...... –262,810 –308,846 07.99 Total balance, end of year ............................................ ................... ................... 525,595 04.00 465 ...................... ...................... 1,190 ...................... ...................... Total assets ......................... NET POSITION: 3300 Cumulative results of operations ................................... 51,501 47,048 50,787 54,611 3999 51,501 47,048 50,787 54,611 Total net position ................ 51,501 521 47,048 50,787 –341,595 184,000 54,611 Program and Financing (in thousands of dollars) 1994 actual Identification code 86–0183–0–1–371 1995 est. 1996 est. 00.09 Program by activities: 10.00 Total obligations (object class 33.0) ............................ ................... Financing: 17.00 Recovery of prior year obligations ................................. 21.40 Unobligated balance available, start of year: Treasury balance ...................................................................... 24.40 Unobligated balance available, end of year: Treasury balance ...................................................................... 41.00 18,877 ................... –18,877 ................... 18,877 ................... ................... Budget authority (transferred to other accounts) ................... ................... ................... Outlays ....................................................................... 2,528 Total obligations (object class 25.2) ........................ 262,810 308,846 341,595 262,810 308,846 341,595 Relation of obligations to outlays: Total obligations ............................................................ 262,810 308,846 341,595 90.00 Outlays ....................................................................... 262,810 308,846 341,595 1996 est. Relation of obligations to outlays: 71.00 Total obligations ............................................................ ................... 18,877 ................... 72.40 Obligated balance, start of year: Unpaid obligations: Treasury balance ....................................................... 36,782 31,928 18,877 74.40 Obligated balance, end of year: Unpaid obligations: Treasury balance ....................................................... –31,928 –18,877 ................... 78.00 Adjustments in unexpired accounts .............................. –2,325 ................... ................... 90.00 341,595 71.00 1995 est. –2,325 ................... ................... –16,552 308,846 Financing: 40.25 Budget authority (appropriation) (special fund, indefinite) ........................................................................... Program and Financing (in thousands of dollars) Identification code 86–4071–0–3–604 262,810 10.00 NEHEMIAH HOUSING OPPORTUNITY FUND 1994 actual Program by activities: Administrative expenses ................................................ 31,928 18,877 The Nehemiah grants program was authorized by the Housing and Community Development Act of 1987 to provide loans to eligible families to assist in the purchase of new or substantially rehabilitated units. This schedule reflects the liquidation of remaining reserved obligated balances. Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in thousands of dollars) Identification code 86–0183–0–1–371 Direct loan levels supportable by subsidy budget authority: 1159 Total direct loan levels .................................... Direct loan subsidy (in percent): 1329 Weighted average subsidy rate ........................ Direct loan subsidy budget authority: 1339 Total subsidy budget authority ........................ Guaranteed loan levels supportable by subsidy budget authority: 2150 MMI Fund, Section 203(b) ................................ 2150 Other products .................................................. 2150 Standby commitment authority ........................ 2150 Actual portion of loans guaranteed ................. Guaranteed loan levels supportable by subsidy budget authority ........................ Guaranteed loan subsidy (in percent): 2320 MMI Fund, Section 203(b) ................................ 2320 Other products .................................................. FHA—MUTUAL MORTGAGE INSURANCE PROGRAM ACCOUNT (INCLUDING TRANSFERS OF FUNDS) During fiscal year ø1995¿ 1996, commitments to guarantee loans to carry out the purposes of section 203(b) of the National Housing Act, as amended, shall not exceed a loan principal of ø$100,000,000,000¿ $110,000,000,000. During fiscal year ø1995¿ 1996, obligations to make direct loans to carry out the purposes of Section 204(g) of the National Housing Act, as amended, shall not exceed ø$180,000,000¿ $200,000,000: Provided, That the foregoing amount shall be for loans to nonprofit and governmental entities in connection with sales of single family real properties owned by the Secretary and formerly insured under Section 203 of such Act. For administrative expenses necessary to carry out the guaranteed and direct loan program, ø$308,846,000¿ $341,595,000, to be derived from the FHA-mutual mortgage insurance guaranteed loans receipt account, of which not to exceed ø$302,056,000¿ $334,483,000 shall be transferred to the appropriation for salaries and expenses; and of which not to exceed ø$6,790,000¿ $7,112,000 shall be transferred to the appropriation for the Office of Inspector General. (Departments 1995 est. 1996 est. ...................... 180,000 200,000 0.00 0.00 0.00 ...................... ...................... 89,143,140 ...................... ...................... ...................... 81,815,961 ...................... 18,184,039 ...................... 83,861,360 11,354,378 14,784,262 (104,322,811) 89,143,140 100,000,000 110,000,000 –2.79 0.00 –1.95 0.00 –2.77 –2.77 –2.79 –1.95 –2.77 –2,518,066 ...................... –1,298,039 ...................... –1,468,391 –156,829 –2,518,066 –1,298,039 –1,625,220 –2,518,066 ...................... –1,298,039 ...................... –1,468,391 –156,829 –2,518,066 –1,298,039 –1,466,257 2159 2329 Credit accounts: 1994 actual Weighted average subsidy rate ................... Guaranteed loan subsidy budget authority: 2330 MMI Section 203(b) negative subsidy ............. 2330 Other products, negative subsidy .................... 2339 Guaranteed loan subsidy budget authority Guaranteed loan subsidy outlays: 2340 MMI Section 203(b) negative subsidy ............. 2340 Other products .................................................. 2349 Guaranteed loan subsidy outlays ................ Reorganization of FHA.—HUD proposes to dramatically reinvent FHA as a wholly-owned government corporation that would use public-private partnerships and market mechanisms to achieve public purposes. The potential savings and efficiencies of a new FHA corporation are significant. Modernization of both the single family and multifamily operations and new origination partnerships will reduce the number of staff required while at the same time increasing the number of Americans assisted. The new corporation will also ‘‘mark-to-market’’ the multifamily insurance portfolio of Section 8 assisted properties, reflecting on its books the true 522 HOUSING PROGRAMS—Continued Federal Funds—Continued Credit accounts—Continued FHA—MUTUAL MORTGAGE INSURANCE PROGRAM ACCOUNT— Continued (INCLUDING TRANSFERS OF FUNDS)—Continued value of the portfolio. Reducing the debt permits significant rent reductions and generates Section 8 savings. FHA Business Plan.—FHA is currently developing a business plan to identify its markets, relationships with participants in the housing market, partnership opportunities, and potential product mix. The business plan will also define the resource requirements necessary to support FHA’s new entity, including the size of its work-force, systems needs, and contracting requirements. This document will be completed by April 1995. Therefore, budget numbers related to the MMI and GI funds are preliminary, computed prior to completing the business plan. HUD will review and revise these figures after completion of the planning process. Single Family Product Mix.—Increasingly, the single family program will rely on third party partners to deliver a portion of its product. These partnerships could involve risk sharing, reinsurance, pool insurance, and other forms of credit enhancement. However, essential current products and delivery systems will be retained to ensure that all markets are served. FHA’s mix of single family products within the MMI Fund will become increasingly diverse over the next five years. It is estimated that about 12 percent of FHA’s business in 1996 will involve ‘‘non-traditional’’ products, while risk sharing and other non-traditional products will make up 50 percent of its volume by 2000. Staffing Impact.—Streamlining and reliance on risk sharing and other credit enhancement vehicles will reduce FTE requirements. Initially, some freed-up staff will be redeployed to address critical needs. Given the changes in product mix and planned redeployments, significant staff reductions in 1996 are not anticipated. Claims and Acquisitions.—Generally, the new corporation will seek to transfer responsibility for servicing and disposition of assets to partners. As a result, it is expected that future default claims, assignment of defaulted mortgages, and property acquisitions will decrease as the new corporation makes increasing use of partnerships. A higher proportion of claims are also estimated to be recovered under the new partnership arrangements. Credit Subsidy and Administrative Expenses.—As required by the Federal Credit Reform Act of 1990, this account records, for this program, the subsidy costs associated with the loan guarantees committed in 1992 and thereafter, as well as administrative expenses of this program. The subsidy amounts are estimated on a present value basis; the administrative expenses are estimated on a cash basis. Total insurance commitments are estimated at $95.2 billion in 1996. The total credit limitation proposed of $110 billion includes $14.8 billion in standby authority in case the demand for insurance exceeds the estimated level. Because the net present value of future income for the 1996 book of business is expected to exceed the net present value of expenses, no credit subsidy appropriation is required. Negative subsidies are recorded in the MMI guaranteed loan financing and receipt accounts. The appropriation requested, $341.6 million, is to be transferred to the consolidated Salaries and Expenses and Office of Inspector General accounts. THE BUDGET FOR FISCAL YEAR 1996 FHA—MUTUAL MORTGAGE INSURANCE DIRECT LOAN FINANCING ACCOUNT Program and Financing (in thousands of dollars) 1994 actual Identification code 86–4242–0–3–371 1995 est. 1996 est. 00.01 00.02 Program by activities: Direct loans .................................................................... ................... Interest paid to Treasury ............................................... ................... 180,000 4,644 200,000 13,932 10.00 Total obligations ........................................................ ................... 184,644 213,932 Financing: 39.00 Financing authority (gross) ........................................... ................... 184,644 213,932 67.15 68.00 Financing authority: Authority to borrow (indefinite) ................................. ................... Spending authority from offsetting collections ........ ................... 177,995 6,649 191,882 22,050 71.00 Relation of obligations to financing disbursements: Total obligations ............................................................ ................... 184,644 213,932 87.00 Financing disbursements (gross) .............................. ................... 184,644 213,932 Adjustments to financing authority and financing disbursements: Offsetting collections from: Non-Federal sources: 88.40 Repayments of principal ....................................... ................... 88.40 Other collections from non-Federal sources ......... ................... –1,054 –5,595 –3,750 –18,300 88.90 Total, offsetting collections .................................. ................... –6,649 –22,050 89.00 90.00 Financing authority (net) ............................................... ................... Financing disbursements (net) ...................................... ................... 177,995 177,995 191,882 191,882 The $200 million in FY 1996 direct loan limitation in the MMI Fund would permit the Department to use Purchase Money Mortgages (PMMs) to help finance the sale of acquired single family properties. HUD would extend credit for these single-family homes to community nonprofit organizations or local government entities who would be expected to sell the properties to low- and medium-income buyers. The use of PMMs provides a tool for State and local nonprofit organizations to use in revitalizing communities, and creates enhanced homeownership opportunities for low- and moderate-income families. Status of Direct Loans (in thousands of dollars) 1994 actual Identification code 86–4242–0–3–371 1995 est. 1996 est. Position with respect to appropriations act limitation on obligations: 1111 Limitation on direct loans ............................................. ................... 180,000 200,000 1150 180,000 200,000 Cumulative balance of direct loans outstanding: Outstanding, start of year ............................................. ................... ................... Disbursements: Direct loan disbursements ................... ................... 180,000 Repayments: Repayments and prepayments ................. ................... –1,054 178,946 200,000 –3,752 1210 1231 1251 1290 Total direct loan obligations ..................................... ................... Outstanding, end of year .......................................... ................... 178,946 375,194 Balance Sheet (in thousands of dollars) Identification code 86–4242–0–3–371 1401 1999 1993 actual 1994 actual ASSETS: Net value of assets related to post–1991 direct loans receivable: Direct loans receivable, gross .................... ...................... ...................... Total assets ......................... ...................... ...................... LIABILITIES: 1995 est. 1996 est. 178,946 375,194 178,946 375,194 HOUSING PROGRAMS—Continued Federal Funds—Continued DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT 2999 Total liabilities .................... ...................... ...................... ...................... ...................... 523 Memorandum: Guaranteed amount of guaranteed loans outstanding, end of year .................................. 184,189,690 234,091,660 284,996,059 Addendum: Cumulative balance of defaulted guaranteed loans that result in loans receivable: 2310 Outstanding, start of year ........................... 2331 Disbursements for guaranteed loan claims 2351 Repayments of loans receivable .................. 27,315 124,961 –34 152,242 417,143 –7,460 561,925 594,384 –67,534 2390 152,242 561,925 1,088,775 2299 FHA—MUTUAL MORTGAGE INSURANCE GUARANTEED LOAN FINANCING ACCOUNT Program and Financing (in thousands of dollars) 1994 actual Identification code 86–4587–0–3–371 1995 est. 1996 est. Program by activities: 00.01 Default claims and other .............................................. 438,310 1,796,814 2,635,082 00.04 Working capital fund reimbursements .......................... ................... ................... 19,000 00.05 Payment of negative subsidy to receipt account .......... 262,810 308,846 525,595 00.06 Payment of negative subsidy to liquidating account 2,255,256 989,193 1,099,625 00.07 Subsidy reestimate paid to liquidating account ........... ................... 1,352,577 ................... 00.08 Interest payments to Treasury ....................................... 17,763 39,712 78,345 00.09 Payment to liquidating account for asset sale ............ ................... ................... 1,946,000 10.00 Total obligations ........................................................ 2,974,139 4,487,142 6,303,647 1,128,003 82,999 52,756 39.00 Financing authority (gross) ....................................... 3,400,580 3,442,138 6,273,404 67.15 68.00 Financing authority: Authority to borrow (indefinite) ................................. Spending authority from offsetting collections ........ 286,038 3,114,542 510,000 2,932,138 381,000 5,892,404 2,974,139 4,487,142 6,303,647 –5,440 –60,657 –60,657 60,657 60,657 60,657 3,029,356 4,487,142 6,303,647 Relation of obligations to financing disbursements: Total obligations ............................................................ Obligated balance, start of year: Receiveables, in excess of unpaid obligations, start of year .............. 74.10 Obligated balance, end of year: Receiveables in excess of unpaid obligations, end of year ................... 87.00 Financing disbursements (gross) .............................. –701,562 –1,128,003 –82,999 Adjustments to financing authority and financing disbursements: Offsetting collections from: 88.25 Interest on uninvested funds .................................... –52,170 ................... ................... Non-Federal sources: 88.40 Fees and premiums .............................................. –1,917,695 –2,173,302 –2,394,420 88.40 Premium prior year adjustment ............................ –1,028,990 ................... ................... 88.40 Recovery on defaulted notes ................................ –115,687 –758,836 –1,367,984 88.40 Gross proceeds from asset sales ......................... ................... ................... –2,130,000 88.90 89.00 90.00 Total, offsetting collections .................................. –3,114,542 –2,932,138 –5,892,404 Financing authority (net) ............................................... Financing disbursements (net) ...................................... 286,038 –85,186 510,000 1,555,004 381,000 411,243 Status of Guaranteed Loans (in thousands of dollars) Identification code 86–4587–0–3–371 Position with respect to appropriations act limitation on commitments: 2111 Limitation on guaranteed loans made by private lenders ................................................. 2112 Uncommitted loan guarantee limitation .......... 2150 Total guaranteed loan commitments .......... Cumulative balance of guaranteed loans outstanding: 2210 Outstanding, start of year ............................... 2231 Disbursements of new guaranteed loans ........ 2251 Repayments and prepayments ......................... Adjustments: 2261 Terminations for default that result in loans receivable ...................................... 2262 Terminations for default that result in acquisition of property ................................ 2263 Terminations for default that result in claim payments ....................................... 2264 Other adjustments, net ................................ 2290 Outstanding, end of year ............................. As required by the Federal Credit Reform Act of 1990, this non-budgetary account records all cash flows to and from the Government resulting from loan guarantees committed in 1992 and thereafter. The amounts in this account are considered a means of financing and are not included in the budget totals. Balance Sheet (in thousands of dollars) Financing: Unobligated balance available, start of year: Fund balance ...................................................................... 24.90 Unobligated balance available, end of year: Fund balance ...................................................................... 21.90 71.00 72.10 Outstanding, end of year ........................ 1994 actual 1995 est. 1996 est. 119,564,645 –30,421,505 100,000,000 –18,184,039 110,000,000 –14,784,263 89,143,140 81,815,961 Identification code 86–4587–0–3–371 1599 1901 Net value of assets related to defaulted guaranteed loan ................ Other Federal assets: Other assets .................................. 234,091,660 62,824,827 –5,265,287 –124,961 –417,143 –594,384 –261,335 –1,214,013 –1,783,615 –2,340 ...................... –39,726 ...................... 184,189,690 234,091,660 1995 est. 1996 est. 27,315 253,030 831,970 1,521,217 30,019 ...................... ...................... ...................... 1999 Total assets ......................... 798,961 1,450,611 984,547 1,662,551 LIABILITIES: Federal liabilities: 2101 Accounts payable ................ 10 ...................... ...................... ...................... 2102 Interest payable ................... ...................... 17,763 17,763 17,763 2103 Debt ..................................... ...................... 286,038 796,038 1,361,038 Non-Federal liabilities: 2201 Accounts payable ................ 10 19 19 19 2207 Unearned revenue and advances ............................. 2,574,288 4,404,966 5,000,563 5,538,395 2999 Total liabilities .................... NET POSITION: 3300 Cumulative results of operations ................................... 2,574,308 4,708,786 5,814,383 6,917,215 –1,775,338 –3,258,175 –4,829,837 –5,254,664 3999 Total net position ................ –1,775,338 –3,258,175 –4,829,837 –5,254,664 4999 Total liabilities and net position ............................... 798,970 1,450,611 984,546 1,662,551 1 Preliminary 184,189,690 59,194,972 –7,622,120 1994 actual1 ASSETS: Federal assets: 1101 Fund balances with Treasury ................................... 696,122 1,067,346 22,342 11,099 Investments in US securities: 1106 Receivables, net .............. ...................... ...................... ...................... ...................... 1107 Advances and prepayments .......................... 10,202 97,443 97,443 97,443 1206 Non-Federal assets: Receivables, net ............................ 35,303 32,792 32,792 32,792 Net value of assets related to post–1991 acquired defaulted guaranteed loans receivable: 1501 Defaulted guaranteed loans receivable, gross ............. 27,315 152,242 561,925 1,088,775 1504 Foreclosed property .............. ...................... 100,788 270,045 432,442 95,215,737 94,330,868 91,813,074 –1,565,616 1993 actual results pending final audit. Object Classification (in thousands of dollars) Identification code 86–4587–0–3–371 1994 actual 1995 est. 1996 est. –65,515 ...................... 25.2 25.2 25.2 32.0 33.0 42.0 43.0 Other services: Payment of negative subsidy to receipt account .......... Payment of negative subsidy to liquidating account Other services ................................................................ Land and structures ...................................................... Investments and loans .................................................. Insurance claims and indemnities ................................ Interest and dividends ................................................... 262,810 2,255,256 33,195 277,814 124,961 2,340 17,763 308,846 2,341,770 30,630 1,309,315 417,143 39,726 39,712 525,595 3,045,625 49,630 1,944,553 594,384 65,515 78,345 289,207,686 99.9 Total obligations ........................................................ 2,974,139 4,487,142 6,303,647 524 HOUSING PROGRAMS—Continued Federal Funds—Continued THE BUDGET FOR FISCAL YEAR 1996 Credit accounts—Continued FHA—MUTUAL MORTGAGE Status of Direct Loans (in thousands of dollars) COOPERATIVE HOUSING INSURANCE FUNDS AND 1994 actual Identification code 86–4070–0–3–371 1995 est. 1996 est. Identification code 86–4070–0–3–371 1994 actual 1995 est. 20,731 –2,269 –1,238 17,224 –2,850 –1,534 12,840 –838 –451 1290 Program and Financing (in thousands of dollars) Cumulative balance of direct loans outstanding: 1210 Outstanding, start of year ............................................. 1251 Repayments: Repayments and prepayments ................. 1264 Write-offs for default: Other adjustments, net ............. 17,224 12,840 11,551 1996 est. Program by activities: Operating expenses: 00.03 Other operating costs ................................................ 66,256 69,070 00.04 Working Capital Fund reimbursements ..................... ................... ................... 00.05 Participation payments ............................................. 1,828 1,900 69,070 24,000 1,900 00.91 68,084 70,970 94,970 01.02 01.03 01.05 01.07 01.08 01.09 Total operating expenses ...................................... Capital investment: Assignment of defaulted mortgages ......................... Acquisition of real properties .................................... Acquisition of other assets ....................................... Capitalized property expenses ................................... Loss on defaulted guaranteed loans ........................ Preforeclosure claims ................................................ 832,704 3,073,089 33,532 434,122 3,162 21,045 666,118 2,148,084 33,532 348,181 2,469 60,141 477,112 1,515,615 33,532 250,417 1,786 48,612 01.91 Total capital investment ....................................... 4,397,654 3,258,525 2,327,074 10.00 Total obligations ........................................................ 4,465,738 3,329,495 2,422,044 Financing: Recovery of prior year obligations ................................. –5,587 ................... ................... Unobligated balance available, start of year: 21.90 Treasury balance ....................................................... 100,201 415,957 630,904 U.S. Securities: 21.91 Par value ............................................................... –5,194,580 –5,726,317 –8,516,317 21.92 Unrealized discounts ............................................. 39,279 35,758 45,965 Unobligated balance available, end of year: 24.90 Treasury balance ....................................................... –415,957 –630,904 314,571 U.S. Securities: 24.91 Par value ............................................................... 5,726,317 8,516,317 10,916,317 24.92 Unrealized discounts ............................................. –35,758 –45,965 –45,965 31.00 Redemption of debt ....................................................... 650 ................... ................... Status of Guaranteed Loans (in thousands of dollars) Identification code 86–4070–0–3–371 Cumulative balance of guaranteed loans outstanding: 2210 Outstanding, start of year ............................... 2251 Repayments and prepayments ......................... Adjustments: 2261 Terminations for default that result in loans receivable ...................................... 2262 Terminations for default that result in acquisition of property ................................ 2263 Terminations for default that result in claim payments ....................................... 40.75 68.00 Budget authority (gross) ........................................... Budget authority: Current: Procurement reduction pursuant to P.L. 103– 327 ................................................................... ................... Permanent: Spending authority from offsetting collections 4,680,303 Relation of obligations to outlays: Total obligations ............................................................ Obligated balance, start of year: Unpaid obligations: Fund balance ............................................................. 74.90 Obligated balance, end of year: Unpaid obligations: Fund balance ............................................................. 78.00 Adjustments in unexpired accounts .............................. 71.00 72.90 87.00 4,680,303 Outlays (gross) .......................................................... Adjustments to gross budget authority and outlays: Offsetting collections from: 88.20 Interest on U.S. securities ......................................... Non-Federal sources: 88.40 Fees and premiums .............................................. 88.40 Rebate of unearned prepaid premiums collected 88.40 Proceeds from sale of real property ..................... 88.40 Proceeds from sale of mortgage notes ................ 88.40 Cost of mortgage note sales ................................ 88.40 Repayment of mortgage notes and sales contracts ................................................................ 88.40 Interest and operating income ............................. 88.40 Recoveries on defaulted mortgages ..................... 88.40 Other interest, dividends and revenues ............... 88.40 Prior year adjustment ........................................... 88.40 Payment from financing account ......................... 88.40 Miscellaneous collections ..................................... 88.40 Other income ......................................................... 5,894,341 5,767,519 5,895,010 5,767,519 4,465,738 3,329,495 2,422,044 632,959 660,538 660,538 –660,538 –660,538 –660,538 –5,587 ................... ................... 4,432,572 3,329,495 2,422,044 –411,589 –554,785 –704,737 –164,884 –156,469 –151,918 1,236,834 137,362 70,836 –2,636,344 –2,144,447 –1,555,434 –13,352 –355,000 –1,946,000 ................... 13,500 13,500 –179,582 –196,515 –186,103 –21,231 –21,797 –21,769 –173,294 –175,721 –86,901 –595 –595 –595 32,763 ................... ................... –2,255,256 –2,341,770 –1,099,625 ................... –5,000 –5,000 –93,773 –93,773 –93,773 88.90 Total, offsetting collections .................................. –4,680,303 –5,895,010 –5,767,519 89.00 90.00 Budget authority (net) ................................................... ................... –669 ................... Outlays (net) .................................................................. –247,731 –2,565,515 –3,345,475 1995 est. 1996 est. 191,155,783 –68,537,325 118,688,458 –2,099,490 113,712,156 –1,300,012 –832,704 –666,118 –477,112 –3,073,089 –2,148,084 –1,515,615 –24,207 –62,610 –50,398 Outstanding, end of year ............................. 118,688,458 113,712,156 110,369,019 2299 Memorandum: Guaranteed amount of guaranteed loans outstanding, end of year .................................. 118,688,458 113,712,156 110,369,019 Addendum: Cumulative balance of defaulted guaranteed loans that result in loans receivable: 2310 Outstanding, start of year ........................... 2331 Disbursements for guaranteed loan claims 2351 Repayments of loans receivable .................. 2361 Write-offs of loans receivable ..................... 3,269,961 832,704 –307,769 –152,511 3,642,385 666,118 –791,829 –150,741 3,365,933 477,112 –2,329,814 –1,146,923 2390 3,642,385 3,365,933 366,308 1 Unaudited –669 ................... 1994 actual 1 2290 17.00 39.00 Outstanding, end of year .......................................... Outstanding, end of year ........................ preliminary results. The Federal Housing Administration (FHA) Fund currently consists of four separate insurance funds. Prior to 1992, all budget transactions for the four funds were reflected in a single consolidated budget account (86–4070). Beginning in 1992, the transactions of the Fund appear in six separate accounts. (However, financial data for each individual insurance fund are continuing to be maintained for control and reporting purposes.) In order to present more clearly the operations of the various funds, FHA’s budget transactions were separated into two major business segments. The basic single-family insurance programs in the Mutual Mortgage Insurance Fund and the multifamily Cooperative Management Housing insurance funds (MMI/CMHI) form one segment. The basic multifamily and other specialized insurance programs in the General Insurance and Special Risk Insurance funds (GI/SRI) form the other. The Federal Credit Reform Act of 1990 creates a structure of three accounts for existing credit programs. For each of the FHA business segments (MMI/CMHI and GI/SRI) there is a liquidating account, which records the revenues and costs associated with loan insurance committed prior to October 1, 1991; a financing account which records the revenues and costs associated with commitments to insure loans made after September 30, 1991; and, a program account which records the transactions associated with the program subsidy costs, if any, and the costs of administering the program. This liquidating account records, for this program, all cash flows to and from the Government resulting from MMI/CMHI loan guarantees committed prior to fiscal year 1992. This account is shown on a cash basis. All new activity in this program in 1992 and thereafter (including modifications of loan guarantees that resulted from commitments in any year) HOUSING PROGRAMS—Continued Federal Funds—Continued DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT is recorded in corresponding program (86–0183) and financing (86–4587 and 86–4242) accounts. The detailed program activity in the ‘‘Program Highlights’’ table shown below reflects only the activity in the MMI/CMHI liquidating and financing accounts. The detailed GI/SRI program activity can be found with the GI/SRI liquidating account (86–4072). [In millions of dollars] Insurance initiation: Mortgage insurance applications (units) ............................... 1994 actual 1 1995 est. 1996 est. 1,228,108 1,083,128 1,229,777 Mortgage insurance written: Units ........................................................................................ Amount .................................................................................... 1,259,875 91,813 784,698 59,195 826,661 62,824 Insurance maintenance: Outstanding balance of insurance in force, end of year: Mortgage insurance ................................................................ 302,878 347,804 399,576 Properties acquired (units): 2 Homes ..................................................................................... 49,606 52,981 50,247 Property sales during year (units): Homes ..................................................................................... 57,427 54,993 50,406 Property on hand, end of year (units): Homes ..................................................................................... 25,120 23,108 22,949 Defaulted mortgage assignments during year (units): Homes ..................................................................................... 15,392 16,804 16,340 Purchase money mortgages during year: Units ........................................................................................ .................... Amount .................................................................................... .................... 4,500 180,000 5,000 200,000 Assigned mortgages on hand, end of year (units): Homes ..................................................................................... 0102 Expense .................................... –4,509,898 –1,392,130 –1,024,615 –1,261,967 0109 Net income or loss (–) ........ 1,062,867 3,138,561 2,655,570 1,142,651 1 Estimated Balance Sheet (in thousands of dollars) 74,907 71,712 53,052 ASSETS: Federal assets: 1101 Fund balances with Treasury ................................... Investments in US securities: 1102 Treasury securities, par .. 1103 Treasury securities, unamortized net discount/premium ........... 1106 Receivables, net .............. 1107 Advances and prepayments .......................... Non-Federal assets: 1206 Receivables, net .................. 1207 Advances and prepayments Net value of assets related to pre–1992 direct loans receivable and acquired defaulted guaranteed loans receivable: 1601 Direct loans, gross .............. 1603 Allowance for estimated uncollectible loans and interest (–) ...................... 1604 Direct loans and interest receivable, net ................... 1699 Value of assets related to direct loans ............ Defaulted guaranteed loans, gross ............................... Allowance for estimated uncollectible loans and interest (–) ...................... Defaulted guaranteed loans and interest receivable, net ................................... Foreclosed property .............. 1701 1703 Inventory of property and assigned mortgages on hand, end of year (units): Homes ..................................................................................... 100,027 94,820 76,001 1704 Claims with no acquisition (units): 3 Homes ..................................................................................... Multifamily .............................................................................. Total claims with no acquisition ............................................ 1,815 0 1,815 6,599 0 6,599 6,889 0 6,889 1706 1 Unaudited preliminary results. direct acquisition from mortgagee and foreclosure of HUD-held mortgage notes. 3 Includes coinsurance claims and preforeclosure claims. 1799 1901 2 Includes Insurance reserves from operations at the end of 1994 are estimated to be in a surplus position for the Mutual mortgage insurance and Cooperative management housing insurance funds. The status of estimated insurance reserves from operations (retained income or deficit) through 1996 for the MMI/ CMHI account follows: STATUS OF INSURANCE RESERVES FROM OPERATIONS [In millions of dollars] Insurance fund: Mutual mortgage/CMHI: Liquidating account 2 ......................................................... Financing account 2 ............................................................ 1994 est. 1 1995 est. 1996 est. 6,083 –3,258 8,737 –4,830 9,877 –5,255 2,825 3,907 4,622 Total MMI/CMHI .............................................................. results pending final audit. 2 Reflects impact from transfer of negative subsidy from the Financing account to the Liquidating account. Financial condition.—The following tables reflect the revenues and financial condition of the MMI/CMHI funds based on Generally Accepted Accounting Principles (GAAP). Statement of Operations (in thousands of dollars) 0101 Revenue .................................... 1993 actual 1994 actual1 1995 est. Value of assets related to loan guarantees ..... Other Federal assets: Other assets .................................. 4,530,691 3,680,185 1994 actual1 1996 est. 497,379 244,582 32,401 39,438 5,194,580 5,726,317 8,516,317 10,916,317 –39,279 109,106 –45,965 97,406 –45,965 97,406 –45,965 97,406 45,289 ...................... ...................... ...................... 156,613 5,992 171,779 6,985 171,779 6,985 171,779 6,985 20,371 17,224 12,840 11,551 –3,886 –3,286 –2,450 –2,204 16,485 13,938 10,390 9,347 16,485 13,938 10,390 9,347 3,270,321 3,642,386 3,365,933 1,895,200 –815,276 –685,595 –633,559 –356,728 2,455,045 1,250,288 2,956,791 1,102,343 2,732,374 1,159,113 1,538,472 840,740 3,705,333 4,059,134 3,891,487 2,379,212 17 60 13,192 26,324 2999 Total liabilities .................... NET POSITION: 3100 Appropriated capital ................ 3300 Cumulative results of operations2 ................................. 6,828,560 4,172,351 3,938,444 3,704,538 18,809 18,809 18,809 18,809 2,844,147 6,083,076 8,736,747 9,877,497 3999 Total net position ................ 2,862,956 6,101,885 8,755,556 9,896,306 Total liabilities and net position ............................... 9,691,516 10,274,236 12,694,000 13,600,844 1996 est. 2,404,618 1995 est. Total assets ......................... 9,691,515 10,274,236 12,693,992 13,600,843 LIABILITIES: Federal liabilities: 2101 Accounts payable ................ 79 13,868 13,868 13,868 2102 Interest payable ................... 4 ...................... ...................... ...................... 2104 Resources payable to Treasury ................................... 16 ...................... ...................... ...................... Non-Federal liabilities: 2201 Accounts payable ................ 716,205 578,084 578,084 578,084 2202 Interest payable ................... ...................... ...................... ...................... ...................... 2203 Debt ..................................... 1,008 359 359 359 2206 Pension and other actuarial liabilities ......................... 2,170,600 2,176,600 2,176,600 2,176,600 2207 Unearned revenue and advances ............................. 3,940,648 1,403,440 1,169,533 935,627 1 Preliminary 5,572,765 1993 actual 1999 4999 1 Preliminary Identification code 86–4070–0–3–371 result on GAAP basis pending final audit. Identification code 86–4070–0–3–371 PROGRAM HIGHLIGHTS 525 2 Includes results pending final audit. negative subsidy disbursements from the Financing account. 526 HOUSING PROGRAMS—Continued Federal Funds—Continued THE BUDGET FOR FISCAL YEAR 1996 Credit accounts—Continued Program and Financing (in thousands of dollars) FHA—MUTUAL MORTGAGE AND COOPERATIVE HOUSING INSURANCE FUNDS—Continued 1994 actual Identification code 86–0200–0–1–371 1995 est. 1996 est. 00.02 00.09 1994 actual 1995 est. Other services ................................................................ Land and structures ...................................................... Investments and loans .................................................. Insurance claims and indemnities ................................ Refunds .......................................................................... 66,256 3,507,211 866,236 24,207 1,828 69,070 2,496,265 699,650 62,610 1,900 93,070 1,766,032 510,644 50,398 1,900 99.9 Total obligations ........................................................ 4,465,738 3,329,495 2,422,044 155,451 192,252 188,395 197,470 188,395 197,470 Total obligations ........................................................ 347,703 385,865 385,865 Financing: 39.00 Budget authority ............................................................ 347,703 385,865 385,865 Budget authority: Appropriation ............................................................. 347,703 Appropriation (special fund, indefinite) .................... ................... 267,446 118,419 192,177 193,688 347,703 385,865 385,865 347,703 385,865 385,865 1996 est. 25.2 32.0 33.0 42.0 44.0 Program by activities: Guaranteed loan subsidy ............................................... Administrative expenses ................................................ 10.00 Object Classification (in thousands of dollars) Identification code 86–4070–0–3–371 40.00 40.25 43.00 FHA—GENERAL AND (INCLUDING TRANSFERS OF FUNDS) For the cost of guaranteed loans, as authorized by sections 238 and 519 of the National Housing Act, as amended (12 U.S.C. 1715z– 3(b) and 1735c(f)), $188,395,000, to remain available until September 30, ø1996¿ 1997, of which up to ø$132,903,000¿ $188,395,000 is to be derived from the FHA—general and special risk, negative subsidies receipt account: Provided, That such costs, including the cost of modifying such loans, shall be as defined in section 502 of the Congressional Budget Act of 1974: Provided further, That these funds are available to subsidize total loan principal any part of which is to be guaranteed of not to exceed ø$20,885,072,000¿ $17,400,000,000 Provided further, That of the foregoing amount provided to subsidize program costs, not more than $47,098,750 may be obligated by January 1, 1995, not more than $94,197,500 may be obligated by April 1, 1995, not more than $160,135,750 may be obligated by July 1, 1995 Provided further, That during fiscal year 1996, the Secretary shall sell assigned mortgage notes having an unpaid principal balance of up to $2,600,000,000, which notes were orignially insured under said sections 238 and 519: Provided further, That of the amount appropriated herein, an amount equal to the lesser of $52,000,000 or the excess of net proceeds above the value of holding the loans to maturity, such value established using assumptions specified in the President’s fiscal year 1996 Budget adjusted for interest rates at the time of the sale, shall become available only after such sale has been completed. Gross obligations for the principal amount of direct loans, as authorized by sections 204(g), 207(l), 238(a), and 519(d) of the National Housing Act, shall not exceed ø$220,000,000¿ $120,000,000; of which not to exceed ø$200,000,000¿ $100,000,000 shall be for bridge financing in connection with the sale of multifamily real properties owned by the Secretary and formerly insured under such Act; and of which not to exceed $20,000,000 shall be for loans to nonprofit and governmental entities in connection with the sale of single-family real properties owned by the Secretary and formerly insured under such Act. In addition, for administrative expenses necessary to carry out the guaranteed and direct loan programs, $197,470,000, of which $193,299,000 shall be transferred to the appropriation for salaries and expenses; and of which $4,171,000 shall be transferred to the appropriation for the Office of Inspector General. (Departments of Veterans Affairs and Housing and Urban Development, and Independent Agencies Appropriation Act, 1995.) Unavailable Collections (in thousands of dollars) 1994 actual Relation of obligations to outlays: Total obligations ............................................................ Obligated balance, start of year: Unpaid obligations: Treasury balance ....................................................... 74.40 Obligated balance, end of year: Unpaid obligations: Treasury balance ....................................................... 8,413 58,714 42,911 –58,714 –42,911 –35,616 90.00 297,402 401,668 393,160 71.00 72.40 SPECIAL RISK PROGRAM ACCOUNT Identification code 86–0200–0–1–371 Appropriation (total) ............................................. 1995 est. 1996 est. 1,011,720 1,092,289 Outlays ....................................................................... Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in thousands of dollars) Identification code 86–0200–0–1–371 1994 actual 1995 est. 1996 est. Direct loan levels supportable by subsidy budget authority: 1150 Single-family PMMs .......................................... 1150 Multifamily bridge loans .................................. ...................... ...................... 20,000 200,000 20,000 100,000 1159 Total direct loan levels ................................ ...................... 220,000 120,000 Guaranteed loan levels supportable by subsidy budget authority: 2150 Multifamily development .................................. 2150 Refinance of FHA-insured mortgages .............. 2150 Risk sharing programs ..................................... 2150 Nursing homes and Hospitals .......................... 2150 Other multifamily, positive ............................... 2150 Other multifamily, negative ............................. 2150 Single family, negative .................................... 2150 Single family, prior year adjustment ............... 2150 Title I guarantees ............................................. 2150 Standby commitment authority ........................ 2150 Actual portion of loans guaranteed ................. ...................... ...................... 252,906 1,166,600 2,298,448 254,738 7,145,089 2,114,270 806,494 ...................... (13,981,800) ...................... ...................... 461,305 1,900,000 1,838,668 1,100,000 9,104,734 ...................... 1,289,200 5,191,165 (20,715,535) 431,165 300,000 811,875 1,745,000 922,700 300,000 8,031,676 ...................... 1,397,000 3,460,584 (17,069,313) 14,038,545 20,885,072 17,400,000 0.00 0.00 5.78 –2.88 6.13 –1.64 –1.27 –1.40 0.00 0.00 5.45 –2.23 8.88 –1.71 –1.28 –2.10 11.76 7.04 3.97 –2.56 5.73 –1.96 –1.34 –2.02 ...................... ...................... 14,621 140,830 ...................... ...................... ...................... ...................... 25,163 163,232 ...................... ...................... 50,704 21,105 32,256 84,330 ...................... ...................... 155,451 188,395 188,395 ...................... ...................... ...................... 114,394 9,276 ...................... –18,520 ...................... ...................... 33,493 170,705 ...................... ...................... ...................... 38,029 15,829 30,482 111,349 ...................... ...................... ...................... 105,150 204,198 195,689 2159 Total loan guarantee levels ......................... Guaranteed loan subsidy (in percent): 2320 Multifamily development .................................. 2320 Refinance of FHA-insured mortgages .............. 2320 Risk sharing programs ..................................... 2320 Nursing homes and hospitals .......................... 2320 Other multifamily, positive ............................... 2320 Other multifamily, negative ............................. 2320 Single family, negative .................................... 2320 Title I ................................................................ Guaranteed loan subsidy budget authority: 2330 Multifamily development .................................. 2330 Refinance of FHA-insured projects .................. 2330 Risk sharing programs ..................................... 2330 Other multifamily, positive ............................... 2330 Single family .................................................... 2330 Title I ................................................................ 2339 Total subsidy budget authority .................... Guaranteed loan subsidy outlays: 2340 Multifamily development .................................. 2340 Refinance of FHA-insured projects .................. 2340 Risk sharing ..................................................... 2340 Other, multifamily, positive .............................. 2340 Single family, positive ...................................... 2340 Title I ................................................................ 2340 Outlay adjustment ............................................ Balance, start of year: Balance, subsidy downward reestimate, start of year Receipts: 02.01 Negative Subsidies ........................................................ 02.02 Downward reestimates of subsidies .............................. 595,048 198,988 244,272 174,602 ................... ................... 02.99 769,650 198,988 244,272 Total: Balances and collections ................................ 1,011,720 Appropriation: 05.01 General and special risk program account ................... ................... 07.99 Total balance, end of year ............................................ 1,011,720 1,210,708 1,336,561 2349 –118,419 1,092,289 –193,688 1,142,873 Multifamily Product Mix.—Significant changes related to delivery of multifamily insurance and the use of credit sub- 01.99 04.00 Total receipts ............................................................. 242,070 Total subsidy outlays ................................... HOUSING PROGRAMS—Continued Federal Funds—Continued DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT sidy are envisioned. FHA will increasingly rely on third party partners to deliver products and will explore a range of partnership types. The business plan for the new FHA corporation will set forth the product mix and partnership types over the next five years, as well as credit subsidy needs. The plan will be completed in April 1995. In general, it is expected that most of FHA’s traditional multifamily business will be completed by the end of 1996. From 1997 forward, FHA’s retail component will be limited to new product design, nursing homes and hospitals, and refinancing of projects with FHA-insured loans. Preliminary projections of product mix are shown below: 68.00 68.47 Spending authority from offsetting collections ........ 364,979 Portion applied to debt reduction ............................. ................... 68.90 Spending authority from offsetting collections (total) ................................................................ 2,612,620 –33,121 3,451,906 –15,219 364,979 2,579,499 3,436,687 850,805 2,346,108 3,241,482 Relation of obligations to financing disbursements: Total obligations ............................................................ Obligated balance, start of year: 72.10 Receivables from program account, start of year 72.40 Unpaid obligations: Treasury balance ...................... Obligated balance, end of year: 74.10 Receivables from program account, end of year 74.40 Unpaid obligations: Treasury balance ...................... –45,765 30,150 87.00 886,199 71.00 Financing disbursements (gross) .............................. 527 –58,714 –42,911 7,705 ................... 58,714 42,911 –7,705 ................... 2,338,010 35,617 –8,409 3,225,779 FHA Multifamily Product Mix (Units) 1996 est. 1997 est. 1998 est. 1999 est. 2000 est. Traditional products ................................. Partnerships/Risk Sharing ....................... New Product Design ................................. FHA-Insured Refinancing ......................... Nursing Homes and Hospitals ................. 12,700 25,675 10,000 33,500 18,000 ................ 43,960 16,490 24,032 18,000 ................ 52,901 14,591 16,716 18,000 ................ 60,975 11,575 12,716 18,000 ................ 68,100 8,822 10,886 18,000 Total MF Units ................................ 99,275 102,482 102,208 103,266 105,808 Subsidy Costs and Administrative Expenses.—As required by the Federal Credit Reform Act of 1990, this account records, for the single family, multifamily and Title I insurance programs of FHA’s General and Special Risk Insurance Funds, the subsidy costs associated with the loan guarantees committed or direct loans obligated in 1992 and thereafter (including modifications of loan guarantees or direct loans that resulted from obligations or commitments in any year), as well as administrative expenses of these programs. The subsidy amounts are estimated on a present value basis; the administrative expenses are accounted for on a cash basis. Object Classification (in thousands of dollars) Identification code 86–0200–0–1–371 1994 actual 1995 est. 1996 est. 25.2 41.0 Other services ................................................................ Grants, subsidies, and contributions ............................ 192,252 155,451 197,470 188,395 197,470 188,395 99.9 Total obligations ........................................................ 347,703 385,865 Adjustments to financing authority and financing disbursements: Offsetting collections from: 88.00 Payments from program account .............................. –155,451 –188,395 –188,395 88.25 Interest on uninvested funds .................................... –13,343 –41,065 –51,738 Non-Federal sources: 88.40 Fees and premiums .............................................. –182,781 –383,387 –453,168 88.40 Recoveries on defaulted mortgages ..................... –13,404 –250,173 –367,031 88.40 New program premiums and recoveries ............... ................... ................... –10,374 88.40 Proceeds from sale of mortgage notes ................ ................... –1,699,600 –2,331,200 88.40 Repayment of principal and interest from liquidating account .............................................. ................... –50,000 –50,000 88.90 Total, offsetting collections .................................. 89.00 90.00 Financing authority (net) ............................................... Financing disbursements (net) ...................................... –364,979 –2,612,620 –3,451,906 496,867 521,220 –33,121 –274,610 –15,219 –226,127 Status of Guaranteed Loans (in thousands of dollars) Identification code 86–4077–0–3–371 1994 actual1 1995 est. 1996 est. Position with respect to appropriations act limitation on commitments: Limitation on guaranteed loans made by private lenders: 2111 Limitation on guaranteed loans made by private lenders .................................................................. 18,436,205 20,885,072 17,400,000 2111 Prior-year adjustment ................................................ 2,114,270 ................... ................... 2112 Uncommitted loan guarantee limitation ....................... –6,511,929 –5,191,165 –3,057,300 385,865 FHA—GENERAL AND SPECIAL RISK GUARANTEED LOAN FINANCING ACCOUNT Program and Financing (in thousands of dollars) Identification code 86–4077–0–3–371 Program by activities: Capital investment, claims and other: 00.01 Default claims and other .......................................... 00.02 Default claims, new programs .................................. 00.03 Working Capital Fund reimbursements ..................... 00.04 Payment of negative subsidy to receipt account 00.05 Interest paid to Treasury ........................................... 00.06 Downward subsidy reestimate paid to receipt account ..................................................................... 00.08 Asset sale negative subsidy payment to receipt account ................................................................. 00.09 Asset sale payment to liquidating account .............. 00.10 Cost of mortgage note sales .................................... 00.11 Indirect modification payment to receipt account 10.00 Total obligations ................................................... Financing: 21.90 Unobligated balance available, start of year: Fund balance ...................................................................... 24.90 Unobligated balance available, end of year: Fund balance ...................................................................... 39.00 Financing authority (gross) ....................................... 67.15 Financing authority: Authority to borrow (indefinite) ................................. 1994 actual 1995 est. 79,859 379,474 ................... ................... ................... ................... 119,048 193,688 1,296 37,746 1996 est. 634,757 7,773 4,000 192,272 34,780 174,602 ................... ................... 2150 Total guaranteed loan commitments ........................ 14,038,546 15,693,907 Cumulative balance of guaranteed loans outstanding: Outstanding, start of year ............................................. 14,754,605 26,227,561 Disbursements of new guaranteed loans ...................... 11,857,317 14,172,984 Repayments and prepayments ...................................... –310,503 –1,609,629 Adjustments: 2261 Terminations for default that result in loans receivable ....................................................................... –34,927 –227,070 2262 Terminations for default that result in acquisition of property ............................................................. –38,799 –103,207 2263 Terminations for default that result in claim payments .................................................................... –132 –866 2264 Other adjustments, net ............................................. ................... ................... 2210 2231 2251 14,342,700 38,459,773 12,307,416 –521,789 –399,283 –191,534 –3,383 –5,077 2290 Outstanding, end of year .......................................... 26,227,561 38,459,773 49,646,123 2299 Memorandum: Guaranteed amount of guaranteed loans outstanding, end of year ................................................................ 26,227,561 38,459,773 49,143,723 850,805 –260,693 2,346,108 –271,734 3,241,482 –505,125 271,734 505,125 700,330 861,846 2,579,499 3,436,687 496,867 ................... ................... Addendum: Cumulative balance of defaulted guaranteed loans that result in loans receivable: 2310 Outstanding, start of year ........................................ 2331 Disbursements for guaranteed loan claims ............. 2351 Repayments of loans receivable ............................... 2361 Write-offs of loans receivable ................................... 6,608 38,194 132,335 34,927 227,070 399,283 –522 –132,929 –121,326 –2,819 ................... ................... 2390 ................... 5,300 52,000 ................... 1,658,200 2,279,600 ................... 71,700 36,300 476,000 ................... ................... 38,194 1 Preliminary Outstanding, end of year ...................................... 132,335 410,292 results pending final audit. As required by the Federal Credit Reform Act of 1990, this non-budgetary account records all cash flows to and from the Government resulting from loan guarantees committed in FY 1992 and thereafter (including modifications of loan guarantees that resulted from commitments in any year) for HOUSING PROGRAMS—Continued Federal Funds—Continued 528 THE BUDGET FOR FISCAL YEAR 1996 Credit accounts—Continued FHA—GENERAL AND GENERAL SPECIAL RISK GUARANTEED LOAN FINANCING ACCOUNT—Continued FHA’s General and Special Risk Insurance Fund programs. The amounts in this account are a means of financing and are not included in the budget totals. AND SPECIAL RISK DIRECT LOAN FINANCING ACCOUNT Program and Financing (in thousands of dollars) 1994 actual Identification code 86–4105–0–3–371 1995 est. 1996 est. 1993 actual 1994 ASSETS: Federal assets: 1101 Fund balances with Treasury ................................... 260,693 Investments in US securities: Receivables, net: 1106 Receivables, net ......... 45,765 1106 Receivables, net ......... ...................... 1206 Non-Federal assets: Receivables, net ............................ 5,678 Net value of assets related to post–1991 acquired defaulted guaranteed loans receivable: 1501 Defaulted guaranteed loans receivable, gross ............. 6,608 1504 Foreclosed property .............. 4,059 1505 Allowance for uncollectible loans ............................... –5,097 1599 1901 1995 est. Total assets ......................... 317,706 LIABILITIES: Federal liabilities: 2101 Accounts payable ................ 30,149 2102 Interest payable ................... ...................... 2103 Debt ..................................... ...................... Non-Federal liabilities: Accounts payable: 2201 Accounts payable ............ 1 2201 Other ............................... ...................... 2207 Unearned revenue and advances ............................. 14,856 2999 220,726 420,553 725,362 61,125 476,000 61,125 463,746 61,125 448,527 2,446 2,446 2,446 Financing authority: Authority to borrow (indefinite) ................................. ................... Spending authority from offsetting collections ........ ................... 217,550 8,126 112,000 21,000 71.00 Relation of obligations to financing disbursements: Total obligations ............................................................ ................... 225,676 133,000 87.00 Financing disbursements (gross) .............................. ................... 225,676 133,000 Adjustments to financing authority and financing disbursements: Offsetting collections from: Non-Federal sources: 88.40 Repayment of principal ........................................ ................... 88.40 Interest received on loans .................................... ................... –1,288 –6,838 –3,000 –18,000 –21,265 –73,679 –224,107 89.00 90.00 Financing authority (net) ............................................... ................... Financing disbursements (net) ...................................... ................... 217,550 217,550 112,000 112,000 793,394 1,058,296 1,534,562 4,468 1,296 496,867 4,468 1,296 463,746 4,468 1,296 448,527 1,641 74 1,641 74 1,641 74 18,705 16,667 113,957 249,799 553,115 1,061,889 3999 Total net position ................ 272,700 270,343 568,366 1,078,556 4999 Total liabilities and net position ............................... 317,706 793,394 1,058,296 1,534,562 results pending final audit. Object Classification (in thousands of dollars) 1994 actual 1995 est. 1996 est. Other services ................................................................ 4,041 48,330 52,330 Land and structures: Downward subsidy reestimate ....................................... 174,602 ................... ................... Payment of negative subsidy ........................................ 119,048 248,988 244,272 Indirect modification payment ....................................... 476,000 ................... ................... Investments and loans: Investments and loans .................................................. 75,818 352,844 630,500 Reimbursement to liquidating account for mortgage note sales .................................................................. ................... 1,658,200 2,279,600 Interest and dividends ................................................... 1,296 37,746 34,780 850,805 Status of Direct Loans (in thousands of dollars) 1994 actual Identification code 86–4105–0–3–371 1995 est. 1996 est. Position with respect to appropriations act limitation on obligations: 1111 Limitation on direct loans ............................................. ................... 220,000 120,000 1150 220,000 120,000 Cumulative balance of direct loans outstanding: Outstanding, start of year ............................................. ................... ................... Disbursements: Direct loan disbursements ................... ................... 220,000 Repayments: Repayments and prepayments ................. ................... –1,288 218,712 120,000 –3,000 1210 1231 1251 1290 Total direct loan obligations ..................................... ................... Outstanding, end of year .......................................... ................... 218,712 335,712 18,705 ...................... 15,251 Total obligations ........................................................ 67.15 68.00 –21,000 20,544 99.9 133,000 –8,126 158,743 43.0 225,676 Total, offsetting collections .................................. ................... 456,006 33.0 33.0 Financing: Financing authority (gross) ........................................... ................... 88.90 489,930 32.0 32.0 32.0 133,000 410,292 110,917 523,051 25.2 225,676 132,335 51,770 45,006 Identification code 86–4077–0–3–371 Total obligations ........................................................ ................... 38,194 16,168 Total liabilities .................... NET POSITION: 3100 Appropriated subsidy capital ... 3300 Cumulative results of operations ................................... 1 Preliminary 120,000 13,000 1996 est. Net value of assets related to defaulted guaranteed loan ................ 5,570 33,097 110,426 297,102 Other Federal assets: Other assets .................................. ...................... ...................... ...................... ...................... 1999 220,000 5,676 39.00 Identification code 86–4077–0–3–371 actual1 Program by activities: Direct Loans ................................................................... ................... Interest paid to Treasury ............................................... ................... 10.00 Balance Sheet (in thousands of dollars) 00.01 00.02 2,346,108 3,241,482 As required by the Federal Credit Reform Act of 1990, this non-budgetary account records all cash flows to and from the Government resulting from direct loans obligated in FY 1992 and thereafter (including loan modifications) for FHA’s General and Special Risk Insurance Fund programs. The amounts in this account are a means of financing and are not included in the budget totals. This schedule includes two direct loan programs. One provides bridge loan financing to facilitate the disposition of multifamily housing owned by the Department to non-profit organizations who agree to preserve it as affordable rental or cooperative housing. The second is a single-family direct loan program for purchase money mortgages, as discussed in the preceding section for the Mutual Mortgage Insurance Fund. Balance Sheet (in thousands of dollars) Identification code 86–4105–0–3–371 1993 actual 1994 actual 1995 est. 1996 est. ASSETS: 1401 Net value of assets related to post–1991 direct loans receivable: Direct loans receivable, gross .................... ...................... ...................... 218,712 335,712 1999 218,712 335,712 2999 Total assets ......................... ...................... ...................... LIABILITIES: Total liabilities .................... ...................... ...................... ...................... ...................... HOUSING PROGRAMS—Continued Federal Funds—Continued DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT 3300 3999 NET POSITION: Cumulative results of operations ................................... ...................... ...................... 88.40 88.40 1,162 Total net position ................ ...................... ...................... 6,162 1,162 6,162 Object Classification (in thousands of dollars) 1994 actual Identification code 86–4105–0–3–371 88.40 88.40 88.40 Proceeds from sale of mortgage notes Repayment of mortgage notes and sales contracts ............................................. Interest and operating income ................ Recoveries on defaulted mortgages ........ Recoveries on defaulted Title I mortgages .................................................. Other interest, dividends and revenue Prior year adjustment .............................. Miscellaneous collections ........................ 1995 est. 1996 est. 88.40 88.40 88.40 529 –141,145 –1,558,500 –1,760,000 –6,243 –240,517 –459,565 –5,131 –215,430 –255,052 –5,096 –174,358 –153,792 –23,161 –71,419 ...................... –64,095 –23,161 –52,250 ...................... –64,095 –21,059 –33,318 ...................... –64,095 33.0 43.0 Investments and loans .................................................. ................... Interest and dividends ................................................... ................... 220,000 5,676 120,000 13,000 88.90 Total, offsetting collections ..................... –1,620,267 –2,792,180 –2,870,193 99.9 Total obligations ........................................................ ................... 225,676 133,000 89.00 90.00 Budget authority (net) ...................................... Outlays (net) ..................................................... 149,761 –342,065 192,262 –1,247,439 605,700 –1,610,280 Status of Direct Loans (in thousands of dollars) FHA—GENERAL AND SPECIAL RISK INSURANCE FUNDS Identification code 86–4072–0–3–371 Program by activities: Operating expenses: 00.03 Interest on debentures ................................. 00.04 Other operating costs .................................. 00.04 Working capital fund reimbursements ........ 00.05 Repayment to financing account ................ 00.91 1995 est. 1996 est. 28,772 61,014 ...................... ...................... 28,772 44,357 ...................... 50,000 28,772 165,357 8,000 50,000 89,786 123,129 252,129 01.01 01.02 01.03 01.06 01.07 01.08 01.09 01.10 41,108 274,488 409,249 1,801 270,545 19,116 472 89,979 57,210 668,843 321,173 35,000 222,808 25,728 871 89,979 62,955 457,755 221,426 32,900 124,094 17,237 1,438 89,979 01.91 Total capital investment ......................... 1,106,758 1,421,612 1,007,784 10.00 Total obligations .......................................... 1,196,544 1,544,741 1,259,913 –124,167 ...................... ...................... Financing: Recovery of prior year obligations ................... Unobligated balance available, start of year: 21.40 Treasury balance .......................................... 21.91 U.S. Securities: Par value ............................ Unobligated balance available, end of year: 24.40 Treasury balance .......................................... 24.91 U.S. Securities: Par value ............................ 31.00 Redemption of debt .......................................... –588,302 –19,426 –1,039,993 –15,236 –2,386,780 –14,950 1,039,993 15,236 250,150 2,386,780 14,950 93,200 4,534,846 14,664 68,200 39.00 1,770,028 2,984,442 3,475,893 40.75 Budget authority (gross) .............................. Budget authority: Current: Procurement reduction pursuant to P.L. 103–327 .............................................. Permanent: Appropriation (indefinite) ........................ Proceeds of loan asset sales with recourse .................................................. Authority to borrow (indefinite) ............... Spending authority from offsetting collections ................................................ –638 ...................... ...................... ...................... ...................... ...................... 149,761 99,700 93,200 537,600 68,100 1,620,267 2,792,180 2,870,193 1,196,544 1,544,741 1,259,913 613,916 408,091 408,091 –408,091 –124,167 –408,091 ...................... –408,091 ...................... Outlays (gross) ............................................. 1,278,202 1,544,741 1,259,913 Adjustments to gross budget authority and outlays: Offsetting collections from: Non-Federal sources: 88.40 Fees and premiums ................................. 88.40 Rebates of insurance premiums ............. 88.40 Multifamily foreclosure sales .................. 88.40 Proceeds from sale of real property ....... –262,061 4,997 ...................... –357,058 –287,280 8,000 –72,915 –266,366 –299,523 8,000 –128,340 –238,612 67.15 68.00 Relation of obligations to outlays: Total obligations ............................................... Obligated balance, start of year: Unpaid obligations: Fund balance ................................. 74.90 Obligated balance, end of year: Unpaid obligations: Fund balance ................................. 78.00 Adjustments in unexpired accounts ................. 71.00 72.90 87.00 1996 est. 121,050 –6,244 –2,920 111,886 –3,078 –2,053 106,755 –3,058 –2,038 111,886 106,755 101,659 Outstanding, end of year .......................................... Status of Guaranteed Loans (in thousands of dollars) Identification code 86–4072–0–3–371 Cumulative balance of guaranteed loans outstanding: 2210 Outstanding, start of year ............................... 2251 Repayments and prepayments ......................... Adjustments: 2261 Terminations for default that result in loans receivable ...................................... 2262 Terminations for default that result in acquisition of property ................................ 2263 Terminations for default that result in claim payments ....................................... 1994 actual 1995 est. 1996 est. 63,130,562 –9,631,747 52,754,369 –775,405 50,871,010 –1,547,305 –317,397 –761,053 –553,609 –409,249 –321,173 –221,426 –17,800 –25,728 –17,237 2290 Outstanding, end of year ............................. 52,754,369 50,871,010 48,531,433 2299 Memorandum: Guaranteed amount of guaranteed loans outstanding, end of year .................................. 52,754,369 50,871,010 48,531,432 Addendum: Cumulative balance of defaulted guaranteed loans that result in loans receivable: 2310 Outstanding, start of year ........................... 2331 Disbursements for guaranteed loan claims 2351 Repayments of loans receivable .................. 2361 Write-offs of loans receivable1 .................... 7,791,961 317,397 –1,112,680 –174,934 6,821,744 951,324 –2,893,470 –122,002 4,757,596 884,113 –3,865,867 –44,400 6,821,744 4,757,596 1,731,442 2390 ...................... 60.05 64.00 1995 est. Cumulative balance of direct loans outstanding: 1210 Outstanding, start of year ............................................. 1251 Repayments: Repayments and prepayments ................. 1264 Write-offs for default: Other adjustments, net ............. 1290 1994 actual Total operating expenses ........................ Capital investment: Claims and other: Acquisition of defaulted Title I notes .......... Assignment of defaulted mortgages ........... Acquisition of real properties ...................... Assignment of current mortgages ............... Capitalized property expenses ..................... Loss on defaulted guaranteed loans ........... Interest subsidy on auctioned mortgages Tax advances on held mortgages ............... 17.00 1994 actual Identification code 86–4072–0–3–371 Program and Financing (in thousands of dollars) 1 Includes Outstanding, end of year ........................ foreclosures of HUD-held mortgage notes. The General insurance fund provides for a large number of specialized mortgage insurance programs, including the insurance of loans for property improvements as well as for cooperatives, condominiums, housing for the elderly, rental housing and nonprofit hospitals. The Special risk insurance fund provides mortgage insurance on behalf of mortgagors eligible for interest reduction payments who otherwise would not be eligible for mortgage insurance. In addition, the fund provides insurance on mortgages covering experimental housing where strict adherence to State or local building regulations is not observed. Also provided is insurance for high-risk mortgagors who normally would not be eligible for mortgage insurance. Budget program.—As required by the Federal Credit Reform Act of 1990, this account records, for this program, all cash flows to and from the Government resulting from loan guarantees committed and direct loans obligated prior to 1992. This account is shown on a cash basis. All new activity in this program in 1992 and thereafter (including modifications of loan guarantees that resulted from obligations, direct loans or commitments in any year and direct loans) is re- 530 HOUSING PROGRAMS—Continued Federal Funds—Continued THE BUDGET FOR FISCAL YEAR 1996 Credit accounts—Continued FHA—GENERAL AND SPECIAL RISK INSURANCE FUNDS—Continued corded in corresponding program (86–0200) and financing (86–4077 and 86–4105) accounts. The detailed program activities in the ‘‘Program Highlights’’ table shown below reflect the consolidated activity of the GI/ SRI accounts. PROGRAM HIGHLIGHTS [In millions of dollars] Insurance initiation: Mortgage insurance applications (units) ............................... 1994 actual 1 223,048 1995 est. 327,987 Defaulted title I property acquisition: Number .................................................................................... Amount .................................................................................... 7,602 $61 7,700 $72 8,000 $79 1 Unaudited 2 Includes 3 Includes preliminary results. direct acquisition from mortgage and foreclosure of HUD-held mortgage notes. coinsurance claims. Insurance reserves from operations at the end of 1994 are estimated to be in a deficit status of about $22 billion for the GI and SRI funds. The status of estimated insurance reserves from operations (retained income or deficit) through 1996 is as follows: 1996 est. STATUS OF INSURANCE RESERVES FROM OPERATIONS 289,707 [In millions of dollars] Mortgage insurance written: Units ........................................................................................ Amount .................................................................................... 201,823 $11,051 263,139 $12,996 246,042 $10,190 Title I property improvement loans insured: Notes ....................................................................................... Amount .................................................................................... Insurance fund: General and special risk insurance: Liquidating account ........................................................... Financing account .............................................................. 72,148 $806 86,500 $1,177 97,000 $1,397 Total GI/SRI 2 ................................................................. 1994 actual 1 1995 est. 1996 est. –22,291 250 –21,975 553 –21,113 1,062 –22,041 –21,422 –20,051 1 Preliminary results pending final audit. GI/SRI Program account resources payable to the Financing account. Insurance maintenance: Outstanding balance of insurance in force, end of year: Mortgage insurance ................................................................ Title I property improvement loan insurance ......................... 73,911 5,070 83,620 5,710 92,182 5,995 Total outstanding balance of insurance in force, end of year ....................................................................... 1993 actual1 1994 actual1 78,981 89,330 98,177 0101 0102 Revenue ................................................... Expense .................................................... 886,440 –857,774 452,948 –230,865 377,641 –62,197 348,508 513,793 Property acquired during year (units): 2 Homes ..................................................................................... Multifamily .............................................................................. 7,987 4,747 7,214 2,564 6,867 4,569 0109 Net income or loss (–) ....................... 28,666 222,083 315,444 862,301 12,734 9,778 11,436 8,213 13,767 6,433 8,860 5,799 10,336 2 Excludes Statement of Operations (in thousands of dollars) Identification code 86–4072–0–3–371 1 Preliminary Total property acquired during year (units) .................. Property sales during year (units): Homes ..................................................................................... Multifamily .............................................................................. Total property sales during year (units) ....................... 21,980 15,293 16,135 Property on hand, end of year (units): Homes ..................................................................................... Multifamily .............................................................................. 3,902 23,104 4,683 16,808 5,751 11,041 Total property on hand (units) ...................................... 27,006 21,491 16,792 Defaulted mortgage assignments during year (units): Homes ..................................................................................... Multifamily .............................................................................. 1,466 9,799 1,381 26,800 1,253 25,050 Total mortgage assignments during year (units) ......... 11,265 28,181 26,303 Claims on current mortgages during year (units): Homes ..................................................................................... 241 4,516 4,245 Multifamily .............................................................................. .................... .................... .................... Total claims on current mortgages during year (units) 241 Purchase Money Mortgages during year: Units ........................................................................................ .................... Amount .................................................................................... .................... Assigned mortgages on hand, end of year (units): Homes ..................................................................................... 29,633 Multifamily .............................................................................. 300,040 4,516 4,245 1,333 120,000 1,333 120,000 34,365 195,019 39,197 67,074 329,673 229,384 106,271 1996 est. results pending final audit. Balance Sheet (in thousands of dollars) Identification code 86–4072–0–3–371 1993 actual1 1994 actual1 ASSETS: Federal assets: 1101 Fund balances with Treasury ................................... 333,098 Investments in US securities: 1102 Treasury securities, par .. 19,426 1103 Treasury securities, unamortized premium 142 1106 Receivables, net .............. 6,309 1107 Advances and prepayments .......................... 20,000 Non-Federal assets: 1206 Receivables, net .................. 115,542 1207 Advances and prepayments 78,133 Net value of assets related to pre–1992 direct loans receivable and acquired defaulted guaranteed loans receivable: 1601 Direct loans, gross .............. ...................... 1603 Allowance for estimated uncollectible loans and interest (–) ...................... ...................... 1604 Direct loans and interest receivable, net ................... ...................... 1699 Total assigned mortgages on hand, end of year (units) ........................................................................ 1995 est. 1701 1703 Inventory of property and assigned mortgages on hand, end of year (units): Homes ..................................................................................... Multifamily .............................................................................. 33,535 323,144 39,048 211,827 44,948 78,115 1704 Total inventory of property and assigned mortgages on hand, end of year (units) .................................... 356,679 250,875 123,063 1706 Claims with no acquisition (units): 3 Homes ..................................................................................... Multifamily .............................................................................. 120 1,410 330 697 559 465 Total claims with no acquisition ................................... 1,530 1,027 1,024 1799 1901 1999 Total assets ......................... 1996 est. 578,964 1,895,772 4,065,956 15,236 14,950 14,664 –203 3,528 –203 3,528 –203 3,528 20,000 20,000 20,000 140,348 547,332 140,348 547,332 140,348 547,332 111,886 106,755 101,659 –24,208 –24,208 –24,208 87,678 82,547 77,451 87,678 82,547 77,451 6,821,744 4,527,106 1,514,883 –4,025,599 –2,671,504 –893,952 11,184,580 287,607 7,422,408 258,156 2,483,724 190,227 3,480,908 3,083,752 2,113,758 811,158 4 4 –15,412 –15,412 4,053,562 4,476,639 4,802,620 5,664,822 Value of assets related to direct loans ............ ...................... Defaulted guaranteed loans, gross ............................... 7,791,961 Allowance for estimated uncollectible loans and interest (–) ...................... –4,618,410 Defaulted guaranteed loans and interest receivable, net ................................... 12,694,204 Foreclosed property .............. 307,357 Value of assets related to loan guarantees ..... Other Federal assets: Other assets .................................. 1995 est. HOUSING PROGRAMS—Continued Federal Funds—Continued DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT LIABILITIES: Federal liabilities: 2101 Accounts payable ................ 2102 Interest payable ................... 2104 Resources payable to Treasury ................................... Non-Federal liabilities: 2201 Accounts payable ................ 2202 Interest payable ................... 2203 Debt ..................................... 2206 Pension and other actuarial liabilities ......................... 2207 Unearned revenue and advances ............................. Total liabilities .................... NET POSITION: 3100 Appropriated capital ................ 3300 Cumulative results of operations ................................... 3600 Other ........................................ 141,929 25,048 560,615 7,115 560,615 7,115 560,615 7,115 67,639 62,238 62,238 129,547 18,235 111,774 129,547 28,772 111,774 129,547 28,772 111,674 12,351,200 10,701,700 10,701,700 10,701,700 398,348 418,322 418,322 418,322 13,504,285 12,009,546 12,020,083 12,019,983 7,286,557 7,286,557 7,286,557 –24,208,736 7,471,455 –22,290,919 7,471,455 2999 Program and Financing (in thousands of dollars) Identification code 86–4115–0–3–371 1994 actual 1995 est. 1996 est. –21,975,476 7,471,455 –21,113,173 7,471,455 4999 Total liabilities and net position ............................... 4,053,561 4,476,639 4,802,619 5,664,822 results pending final audit. Object Classification (in thousands of dollars) 1994 actual Identification code 86–4072–0–3–371 1995 est. Other services ................................................................ 61,014 Land and structures ...................................................... 409,249 Investments and loans .................................................. 407,376 Grants, subsidies, and contributions ............................ 472 Insurance claims and indemnities ................................ 289,661 Interest and dividends ................................................... 28,772 Indirect modification repayment to financing account ................... Total obligations ........................................................ 1,196,544 1996 est. 44,357 321,173 851,032 871 248,536 28,772 50,000 173,357 221,426 643,589 1,438 141,331 28,772 50,000 1,544,741 1,259,913 SPECIAL RISK INSURANCE FUNDS LIQUIDATING ACCOUNT RESOLUTION FUND) (Legislative proposal, subject to PAYGO) Program and Financing (in thousands of dollars) Identification code 86–4072–4–3–371 1994 actual 1995 est. 1,825 23,601 3,500 01.01 01.02 Total capital investment ....................................... Operating expenses: Interest on borrowings .............................................. Other expenses .......................................................... 689,174 9 633,704 200 571,653 200 01.91 Total operating expenses ...................................... 689,183 633,904 571,853 10.00 –6,355,161 (HOUSING HANDICAPPED FUND 00.91 –7,217,464 AND OR 7,286,557 –7,532,907 FHA—GENERAL ELDERLY 20,101 ................... 3,500 3,500 –9,450,724 99.9 FOR THE 646 1,179 Total net position ................ 25.2 32.0 33.0 41.0 42.0 43.0 44.0 HOUSING Program by activities: Capital investment: 00.01 Housing for the elderly or handicapped loans ......... 00.02 Maintenance security and collateral ......................... 3999 1 Preliminary in costs which otherwise would be incurred by the GI/SRI Liquidating Account without the investment of these resources. 62,238 263,620 44,338 212,163 531 Total obligations ........................................................ 691,008 657,505 575,353 Financing: 17.00 Recovery of prior year obligations ................................. Unobligated balance available, start of year: 21.47 Authority to borrow .................................................... 21.90 Fund balance ............................................................. Unobligated balance available, end of year: 24.47 Authority to borrow .................................................... 24.90 Fund balance ............................................................. 32.47 Balance of authority to borrow withdrawn .................... –3,355 ................... ................... –25,197 –8,154 –20,104 ................... –27,594 –140,794 20,104 ................... ................... 27,594 140,794 315,725 513,042 ................... ................... 39.00 Budget authority (gross) ........................................... 1,215,042 750,601 750,282 60.05 60.47 Budget authority: Appropriation (indefinite) .......................................... Portion applied to debt reduction ............................. 989,934 –475,000 770,000 –770,000 804,830 –804,830 63.00 68.00 Appropriation (total) ............................................. Spending authority from offsetting collections ........ 514,934 ................... ................... 700,108 750,601 750,282 Relation of obligations to outlays: Total obligations ............................................................ 691,008 657,505 575,353 Obligated balance, start of year: 72.47 Authority to borrow .................................................... 12,845 ................... ................... 72.90 Unpaid obligations: Fund balance ............................ 423,283 448,768 319,714 Obligated balance, end of year: 74.47 Authority to borrow .................................................... ................... ................... ................... 74.90 Unpaid obligations: Fund balance ............................ –448,768 –319,714 –258,674 78.00 Adjustments in unexpired accounts .............................. –3,355 ................... ................... 71.00 1996 est. 87.00 Program by activities: Partial claim payments: restructuring .......................... Rehabilitation, security, and other expenses ................ Operating expenses: 00.03 Section 8 multifamily property disposition activities 00.04 Program reforms ........................................................ 00.01 00.02 10.00 Outlays (gross) .......................................................... 675,013 786,559 636,393 643,000 250,000 88.40 Adjustments to gross budget authority and outlays: Offsetting collections from: Non-Federal sources ......... –700,108 –750,601 –750,282 ................... ................... 763,200 ................... ................... –1,656,200 89.00 90.00 Budget authority (net) ................................................... Outlays (net) .................................................................. ................... ................... ................... ................... 514,934 ................... ................... –25,095 35,958 –113,891 Total obligations ........................................................ ................... ................... ................... Financing: 39.00 Budget authority ............................................................ ................... ................... ................... 71.00 Relation of obligations to outlays: Total obligations ............................................................ ................... ................... ................... 90.00 Outlays ....................................................................... ................... ................... ................... This account summarizes the impact on the General and Special Risk Insurance Funds Liquidating Account of transactions associated with the proposed Housing Resolution Fund. This account includes partial claim payments associated with the multifamily debt restructuring proposal. These payments will allow Section 8 rents to be lowered to comparable market rents ‘‘marked-to-market’’ without jeopardizing the financial viability of affected projects. The account also includes expenditures for necessary repair, rehabilitation, crime and anti-drug costs. Also included are Sec. 8 Property Disposition costs associated with the rehabilitation and sale of acquired properties. Finally, the account reflects reductions Status of Direct Loans (in thousands of dollars) Identification code 86–4115–0–3–371 1994 actual 1995 est. 1996 est. Cumulative balance of direct loans outstanding: 1210 Outstanding, start of year ............................................. 1231 Disbursements: Direct loan disbursements ................... 1251 Repayments: Repayments and prepayments ................. 1264 Write-offs for default: Other adjustments, net ............. 8,497,196 8,461,582 8,604,876 15,372 204,217 ................... –50,756 –60,923 –62,816 –230 ................... ................... 1290 8,461,582 Outstanding, end of year .......................................... 8,604,876 8,542,060 Note.—Amounts for direct loan obligations reflect reservations of section 202 funds. Loan obligations shown under the program and financing schedule reflect loans that have reached the initial closing stage of processing. The Housing for the Elderly or Handicapped Fund was established pursuant to section 202 of the Housing Act of 1959, as amended. The fund provides direct loans to nonprofit organizations building and managing housing projects for lower income persons who are elderly or disabled. Projects must include an assured range of necessary services for the occupants of such projects. In addition, the section 8 lower income housing assistance payments program has HOUSING PROGRAMS—Continued Federal Funds—Continued 532 THE BUDGET FOR FISCAL YEAR 1996 Credit accounts—Continued HOUSING FOR THE ELDERLY OR HANDICAPPED FUND—Continued been used in conjunction with the section 202 program. Applications under the two programs have been processed simultaneously. The data included in these schedules represent direct loan activities funded under the Housing for the Elderly or Handicapped Loan Fund. Further, activities in support of the needs of the elderly and disabled have been carried out under a grant program funded in the 1991 Appropriations Act (P.L. 101–507) and authorized in the National Affordable Housing Act (P.L. 101–625). After April 1, 1992, all projects for which there were administrative reservations converted to the capital advance assistance program. The program and financing schedule for this account summarizes the Federal government’s obligations for this loan program. The amounts reflected in the following summary of administrative commitments reflect outstanding section 202 fund reservations, whereas, the obligations portion of the program and financing schedule reflects commitments which have reached the initial loan closing stage of processing. LIABILITIES: Federal liabilities: 2102 Interest payable ................... 2104 Resources payable to Treasury ................................... Non-Federal liabilities: 2201 Accounts payable ................ 2207 Other .................................... 31 ...................... ...................... ...................... 8,958,974 8,484,149 7,713,830 6,909,000 2999 Total liabilities .................... NET POSITION: 3100 Appropriated capital ................ 3300 Cumulative results of operations ................................... 9,286,425 8,993,571 8,196,312 7,361,346 –76,652 455,693 455,693 455,693 –212,976 –270,936 391,865 1,278,064 3999 Total net position ................ –289,628 184,757 847,558 1,733,757 4999 Total liabilities and net position ............................... 8,996,797 9,178,328 9,043,870 9,095,103 326,524 334,711 307,771 277,635 896 174,711 174,711 174,711 Object Classification (in thousands of dollars) Identification code 86–4115–0–3–371 1994 actual 1995 est. 1996 est. 22.0 32.0 33.0 43.0 Transportation of things ................................................ Land and structures ...................................................... Investments and loans .................................................. Interest and dividends ................................................... 9 1,179 646 689,174 200 200 3,500 3,500 20,101 ................... 633,704 571,653 99.9 Total obligations ........................................................ 691,008 657,505 575,353 SUMMARY OF ADMINISTRATIVE COMMITMENTS [In thousands of dollars] Program by activities: Capital investment: Administrative commitments, start of year ......... Recovery of prior year obligations ........................ Administrative commitments, end of year ........... 1994 actual 1995 est. 1996 est. 25,157 ¥4,410 ¥20,101 20,101 ...................... ...................... ...................... ...................... ...................... 646 9 20,101 ...................... ...................... ...................... NONPROFIT SPONSOR ASSISTANCE Program and Financing (in thousands of dollars) Identification code 86–4042–0–3–604 Subtotal, capital investment-loan obligations Other expenses (Fee inspection) ........................... Capital investment: Loan obligations ................................................... Maintenance security and collateral ......................... 646 1,179 20,101 3,500 ...................... 3,500 Total capital investment .................................. 1,825 23,601 3,500 Financing.—Repayments and interest income from loans continue to be available to pay for commitments of the fund. Statement of Operations (in thousands of dollars) 1993 actual 1994 actual 1995 est. 1996 est. Revenue ................................................... Expense .................................................... 712,680 –729,285 708,962 –690,219 704,798 –745,716 687,467 –575,353 0109 Net income or loss (–) ....................... –16,605 18,743 –40,918 112,114 Balance Sheet (in thousands of dollars) Identification code 86–4115–0–3–371 ASSETS: Federal assets: 1101 Fund balances with Treasury ................................... Investments in US securities: 1106 Receivables, net .............. 1206 Non-Federal assets: Receivables, net ............................ Net value of assets related to pre–1992 direct loans receivable and acquired defaulted guaranteed loans receivable: 1601 Direct loans, gross .............. 1603 Allowance for estimated uncollectible loans and interest (–) ...................... 1699 1999 1993 actual 1994 actual 431,436 496,566 68.00 460,508 1996 est. 19 ................... ................... –3,588 –3,691 –4,091 3,691 4,091 4,491 122 400 400 Relation of obligations to outlays: Total obligations ............................................................ ................... ................... ................... Obligated balance, start of year: Unpaid obligations: Fund balance ............................................................. 2,768 2,787 2,787 74.90 Obligated balance, end of year: Unpaid obligations: Fund balance ............................................................. –2,787 –2,787 –2,787 78.00 Adjustments in unexpired accounts .............................. 19 ................... ................... 87.00 88.40 1995 est. Budget authority (gross): Spending authority from offsetting collections ............................................ 1995 est. 71.00 72.90 0101 0102 Identification code 86–4115–0–3–371 Financing: Recovery of prior year obligations ................................. Unobligated balance available, start of year: Fund balance ...................................................................... 24.90 Unobligated balance available, end of year: Fund balance ...................................................................... 17.00 21.90 1994 actual 1996 est. 89.00 90.00 Outlays (gross) .......................................................... ................... ................... ................... Adjustments to gross budget authority and outlays: Offsetting collections from: Non-Federal sources ......... 88,867 242,123 ...................... ...................... 8,461,582 8,604,876 8,542,060 –21,248 –21,151 –21,512 –21,355 Value of assets related to direct loans ............ 8,475,948 8,440,431 8,583,364 8,520,705 Total assets ......................... 8,996,256 9,178,303 9,043,872 9,095,104 1994 actual 1995 est. 1996 est. Cumulative balance of direct loans outstanding: 1210 Outstanding, start of year ............................................. 1,538 1,416 1,016 1231 Disbursements: Direct loan disbursements ................... ................... ................... ................... 1251 Repayments: Repayments and prepayments ................. –122 –400 –400 1290 8,497,196 –400 Budget authority (net) ................................................... ................... ................... ................... Outlays (net) .................................................................. –122 –400 –400 Identification code 86–4042–0–3–604 –817 ...................... ...................... –400 Status of Direct Loans (in thousands of dollars) 574,399 5 –122 Outstanding, end of year .......................................... 1,416 1,016 616 As required by the Federal Credit Reform Act of 1990, this account records, for this program, all cash flows to and from the Government resulting from direct loans obligated prior to 1992. This account is shown on a cash basis. The Nonprofit Sponsor Assistance fund provided interestfree loans to nonprofit organizations to plan housing projects to be financed under the section 202 housing for the elderly GOVERNMENT NATIONAL MORTGAGE ASSOCIATION Federal Funds DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT or disabled program. The Department will add a statement of operations schedule in the Fiscal Year 1997 budget. 88.00 Balance Sheet (in thousands of dollars) 89.00 90.00 1993 actual Identification code 86–4042–0–3–604 ASSETS: 1101 Federal assets: Fund balances with Treasury ....................... Net value of assets related to pre–1992 direct loans receivable and acquired defaulted guaranteed loans receivable: 1601 Direct loans, gross .............. 1603 Allowance for estimated uncollectible loans and interest (–) ...................... 1699 1994 actual 1995 est. Adjustments to gross budget authority and outlays: Offsetting collections from: Federal sources ................. 6,859 7,259 7,659 1,538 1,416 1,016 616 –607 –1,416 –1,016 –616 931 ...................... ...................... ...................... Total assets ......................... 7,287 6,859 7,259 7,659 NET POSITION: 3100 Appropriated capital ................ ...................... ...................... ...................... ...................... 3300 Cumulative results of operations ................................... 7,112 6,859 7,259 7,659 Budget authority (net) ................................................... ................... ................... ................... Outlays (net) .................................................................. –1,146 –936 –636 Budget program.—The remaining $15 million portfolio in the Management and Liquidating Functions Fund consists primarily of FHA debentures acquired when GNMA-held FHA insured mortgages defaulted. Debenture interest income is transferred to the Treasury. Operating results.—Net income of $850 thousand and $621 thousand is expected in 1995 and 1996 respectively. 1993 actual 1994 actual 0101 0102 Revenue ................................................... Expense .................................................... 3,564 –116 1,041 –5 855 –5 624 –3 0109 Net income or loss (–) ....................... 3,448 1,036 850 621 Identification code 86–4016–0–3–371 Total net position ................ 7,112 6,859 7,259 7,659 4999 Total liabilities and net position ............................... 7,112 6,859 7,259 7,659 1996 est. 1993 actual 1994 actual 1995 est. 1996 est. ASSETS: Federal assets: 1101 Fund balances with Treasury ................................... Investments in US securities: 1102 Treasury securities, par .. 1104 Agency securities, par .... 1106 Receivables, net .............. 46 3 3 8,500 ...................... 19,936 16,036 337 227 50 14,992 140 50 12,659 125 1999 GOVERNMENT NATIONAL MORTGAGE ASSOCIATION 28,889 16,309 15,185 12,837 28 28 27 27 Total assets ......................... LIABILITIES: 2201 Non-Federal liabilities: Accounts payable .................... Federal Funds Public enterprise funds: FEDERAL NATIONAL MORTGAGE ASSOCIATION The Treasury is authorized to make up to $2.25 billion of loans to the Federal National Mortgage Association. Such loans were made in the first few months of the Association’s existence as a private corporation while it arranged lines of credit with commercial banks. No loans have been made since that time and the loan authority will be used only in emergency situations. AND 1995 est. Balance Sheet (in thousands of dollars) Identification code 86–4016–0–3–371 3999 MANAGEMENT –624 Statement of Operations (in thousands of dollars) 1999 TO –855 1996 est. 6,356 Value of assets related to direct loans ............ LOANS –1,041 533 2999 116 Total liabilities .................... NET POSITION: 3300 Cumulative results of operations ................................... 28 28 27 27 28,845 16,281 15,158 12,810 3999 Total net position ................ 28,845 16,281 15,158 12,810 4999 Total liabilities and net position ............................... 28,873 16,309 15,185 12,837 LIQUIDATING FUNCTIONS FUND Credit accounts: Program and Financing (in thousands of dollars) Identification code 86–4016–0–3–371 1994 actual GUARANTEES 1995 est. 1996 est. OF MORTGAGE-BACKED SECURITIES LOAN GUARANTEE PROGRAM ACCOUNT (INCLUDES TRANSFER OF FUNDS) 00.03 Program by activities: Administrative expense .................................................. 5 5 3 10.00 Total obligations (object class 25.2) ........................ 5 5 3 –409 –28,436 –245 –16,036 –116 –15,042 245 16,036 13,600 116 15,042 1,973 101 12,709 2,969 1,041 855 624 5 5 3 –309 –199 –113 199 113 98 –105 –81 –12 Financing: Unobligated balance available, start of year: 21.90 Treasury balance ....................................................... 21.91 U.S. Securities: Par value ......................................... Unobligated balance available, end of year: 24.90 Treasury balance ....................................................... 24.91 U.S. Securities: Par value ......................................... 27.00 Capital transfer to general fund ................................... 68.00 Budget authority (gross): Spending authority from offsetting collections ............................................ Relation of obligations to outlays: Total obligations ............................................................ Obligated balance, start of year: Receivables from other government accounts, start of year ................ 74.10 Obligated balance, end of year: Receivables from other government accounts, end of year .................. 71.00 72.10 87.00 Outlays (gross) .......................................................... During fiscal year ø1995¿ 1996, new commitments to issue guarantees to carry out the purposes of section 306 of the National Housing Act, as amended (12 U.S.C. 1721(g)), shall not exceed ø$142,000,000,000¿ $110,000,000,000. For administrative expenses necessary to carry out the guaranteed mortgage-backed securities program, ø$8,824,000¿ $9,101,000, to be derived from the GNMA—guarantees of mortgage-backed securities guaranteed loan receipt account, of which not to exceed ø$8,824,000¿ $9,101,000 shall be transferred to the appropriation for salaries and expenses. (Departments of Veterans Affairs, and Housing and Urban Development, and Independent Agencies Appropriations Act, 1995.) Program and Financing (in thousands of dollars) Identification code 86–0186–0–1–371 1994 actual 1995 est. 1996 est. Program by activities: Total obligations (object class 25.2) ............................ 8,038 8,824 9,101 Financing: 40.25 Budget authority (appropriation) (special fund, indefinite) ........................................................................... 8,038 8,824 9,101 10.00 534 GOVERNMENT NATIONAL MORTGAGE ASSOCIATION—Continued Federal Funds—Continued THE BUDGET FOR FISCAL YEAR 1996 Credit accounts—Continued GUARANTEES OF Status of Guaranteed Loans (in thousands of dollars) MORTGAGE-BACKED SECURITIES LOAN GUARANTEE PROGRAM ACCOUNT—Continued (INCLUDES TRANSFER OF FUNDS)—Continued Program and Financing (in thousands of dollars)—Continued 1994 actual Identification code 86–0186–0–1–371 1995 est. 1996 est. 71.00 Relation of obligations to outlays: Total obligations ............................................................ 8,038 8,824 9,101 90.00 Outlays ....................................................................... 8,038 8,824 9,101 Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in thousands of dollars) Identification code 86–0186–0–1–371 1994 actual Guaranteed loan levels supportable by subsidy budget authority: 2150 Loan guarantee levels ...................................... 185,000,000 142,000,000 110,000,000 2159 185,000,000 142,000,000 110,000,000 –8,038 –8,824 –9,101 –8,038 –8,824 –9,101 Total guarantee loan levels ......................... Guaranteed loan subsidy budget authority: 2339 Total subsidy budget authority ........................ Guaranteed loan subsidy outlays: 2349 Total subsidy outlays ....................................... 1995 est. 1996 est. As required by the Federal Credit Reform Act of 1990, this account records the administrative expenses of this program. The administrative expenses are estimated on a cash basis. GUARANTEES OF 1995 est. Position with respect to appropriations act limitation on commitments: 2111 Limitation on guaranteed loans made by private lenders ................................................. 185,000,000 142,000,000 110,000,000 2150 185,000,000 142,000,000 110,000,000 Total guaranteed loan commitments .......... 1995 est. 1996 est. The Housing and Urban Development Act of 1968 authorized the Government National Mortgage Association (GNMA) to guarantee the timely payment of principal and interest on privately issued securities that are backed by pools of FHA, VA and FmHA mortgages. The GNMA guarantee gives lenders access to the capital markets for funds to originate new loans. New FHA and VA loans are currently pooled into GNMA securities. Financing.—GNMA Issuers are assessed commitment, guarantee and other fees to cover costs incurred by GNMA and to fund a reserve against possible future payments under the guarantee. Operating results.—Fee collections, interest, and other income are expected to exceed expenses by $32 million and $26 million in 1995 and 1996 respectively. These amounts will be retained to cover future year expenses and as a reserve against losses that may be incurred on guarantees. Balance Sheet (in thousands of dollars) Identification code 86–4240–0–3–371 1993 actual ASSETS: Federal assets: Fund balances with Treasury ....................... 1206 Non-Federal assets: Receivables, net ............................ 1994 actual 42,474 1995 est. 1996 est. 1101 73,644 79,536 85,898 1996 est. 00.01 Program by activities: Payment to receipt account for administration ............ 8,038 8,824 9,101 10.00 Total obligations (object class 25.2) ........................ 8,038 8,824 2,214 4,335 4,432 3,898 Total assets ......................... NET POSITION: 3300 Cumulative results of operations ................................... Program and Financing (in thousands of dollars) 1994 actual 1994 actual 1999 MORTGAGE-BACKED SECURITIES FINANCING ACCOUNT Identification code 86–4240–0–3–371 Identification code 86–4240–0–3–371 44,688 77,979 83,968 89,796 44,688 77,979 83,968 89,796 3999 44,688 77,979 83,968 89,796 Total net position ................ Note.—GNMA guarantees the timely payment of principal and interest installments on securities which are backed by FHA-insured, FmHA-insured, and VA-guaranteed mortgages. Such guarantees are excluded from the Government total of guaranteed obligations duplicating FHA, FmHA, and VA guarantees. 9,101 Financing: Unobligated balance available, start of year: Fund balance ...................................................................... 24.90 Unobligated balance available, end of year: Fund balance ...................................................................... GUARANTEES 21.90 68.00 Financing authority (gross): Spending authority from offsetting collections .................................... Relation of obligations to financing disbursements: 71.00 Total obligations ............................................................ 72.10 Obligated balance, start of year: Receivables from other government accounts, start of year ................ 74.10 Obligated balance, end of year: Receivables from other government accounts, end of year .................. 87.00 Financing disbursements (gross) .............................. –44,688 –77,979 –110,427 77,979 110,427 136,311 41,329 41,272 34,985 45,974 63,656 65,245 595,621 32,276 476 646,643 31,953 76 687,437 31,634 75 4,335 4,432 3,898 00.91 10,159 8,921 8,567 01.01 01.02 01.03 –41,272 –34,985 89.00 90.00 18,142 7,838 15,718 22,047 1,500 –4,432 –41,329 1996 est. 17,278 7,917 15,864 20,997 1,600 –4,335 88.90 1995 est. 16,455 –2,055 13,396 16,500 1,678 –2,214 –2,225 –32,760 1994 actual Program by activities: Operating expenses: 00.02 Functional services .................................................... 00.03 Default expenses ....................................................... 00.04 Servicing expenses .................................................... 00.05 Other expenses .......................................................... 00.06 REMIC expenses ........................................................ 9,101 –2,624 –38,648 Total, offsetting collections .................................. Identification code 86–4238–0–3–371 8,824 –4,327 –37,002 MORTGAGE-BACKED SECURITIES LIQUIDATING ACCOUNT Program and Financing (in thousands of dollars) 8,038 Adjustments to financing authority and financing disbursements: Offsetting collections from: 88.25 Interest on uninvested funds .................................... 88.40 Non-Federal sources: Commitment and other fees OF Total operating expenses ...................................... Capital investment: Advances of guaranty payments ............................... Real estate owned properties ................................... Mortgages .................................................................. 01.91 Financing authority (net) ............................................... ................... ................... ................... Financing disbursements (net) ...................................... –31,170 –32,351 –26,417 Total capital investment ....................................... 628,373 678,672 719,146 10.00 Total obligations ........................................................ 674,347 742,328 784,391 Financing: Unobligated balance available, start of year: 21.90 Treasury balance ....................................................... –52,164 –91,298 –94,200 U.S. Securities: Par value: 21.91 Par value .......................................................... –3,222,128 –3,714,425 –4,144,935 21.91 Par value (REMICs) .......................................... ................... ................... –47,400 GOVERNMENT NATIONAL MORTGAGE ASSOCIATION—Continued Federal Funds—Continued DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT 21.92 24.90 24.91 24.91 24.92 39.00 68.00 68.00 68.90 Unrealized discounts ............................................. 7,864 9,892 ................... Unobligated balance available, end of year: Treasury balance ....................................................... 91,298 94,200 101,944 U.S. Securities: Par value: Par value .......................................................... 3,714,425 4,144,935 4,611,854 Par value (REMICs) .......................................... ................... 47,400 47,400 Unrealized discounts ............................................. –9,892 ................... ................... new loans. New FHA and VA loans are currently pooled into GNMA securities. Budget Program.—Program activity is summarized below: Mortgage-backed Securities [In thousands of dollars] 1994 actual Commitment Limitation ................................................. Commitments Issued ..................................................... Guarantees Issued ......................................................... Securities Outstanding .................................................. 142,000,000 142,000,000 94,439,889 473,497,686 1996 est. 110,000,000 110,000,000 81,575,322 485,201,530 1,203,750 1,233,032 1,259,054 Budget authority: Spending authority from offsetting collections: Spending authority from offsetting collections Spending authority from offsetting collections (REMICs) ........................................................... 1,198,698 1,184,032 1,170,954 5,052 49,000 88,100 1,203,750 1,233,032 1,259,054 674,347 742,328 784,391 –47,690 –65,227 –64,177 Financing.—GNMA Issuers are assessed commitment, guarantee and other fees to cover costs incurred by GNMA and to fund a reserve against possible future payments under the guarantee. Operating results.—Fee collections, interest, and other income are expected to exceed expenses by $539 million and $644 million in 1995 and 1996, respectively. These amounts will be retained to cover future year expenses and as a reserve against losses that may be incurred on guarantees. 65,227 64,177 70,024 Statement of Operations (in thousands of dollars) 691,884 741,278 790,238 Spending authority from offsetting collections (total) ................................................................ Relation of obligations to outlays: Total obligations ............................................................ Obligated balance, start of year: Receivables from other government accounts, start of year ................ 74.10 Obligated balance, end of year: Receivables from other government accounts, end of year .................. Outlays (gross) .......................................................... Adjustments to gross budget authority and outlays: Offsetting collections from: 88.20 Interest on U.S. securities ......................................... Non-Federal sources: 88.40 Guarantee fees ...................................................... 88.40 Repayments of guaranteed payments .................. 88.40 Commitment and other fees ................................. 88.40 Servicing income ................................................... 88.40 Receipts from sale of REO properties and mobile home units ....................................................... 88.40 Interest income mortgages ................................... 88.40 Repayments on mortgages ................................... 88.40 Sale of servicing rights ........................................ –164,510 –229,846 –287,432 –275,138 –682,915 –15,928 –8,418 –294,794 –568,332 –78,986 –8,450 –304,756 –508,300 –99,195 –8,366 –18,975 –1,595 –28,382 –7,889 –15,139 –1,579 –28,098 –7,808 –13,894 –1,563 –27,817 –7,731 88.90 Budget authority (net) ................................................... ................... ................... ................... Outlays (net) .................................................................. –511,866 –491,754 –468,816 Status of Direct Loans (in thousands of dollars) 1994 actual Identification code 86–4238–0–3–371 Cumulative balance of direct loans outstanding: 1210 Outstanding, start of year ............................................. 1232 Disbursements: Purchase of loans assets from the public ......................................................................... 1252 Repayments: Proceeds from loan asset sales to the public or discounted ................................................. Outstanding, end of year .......................................... 1995 est. 1996 est. 477,468 348,985 356,824 596,097 646,719 687,513 –724,580 –638,880 –559,333 348,985 356,824 485,004 Status of Guaranteed Loans (in thousands of dollars) Identification code 86–4238–0–3–371 Cumulative balance of guaranteed loans outstanding: 2210 Outstanding, start of year ........................... 2231 Disbursements of new guaranteed loans .... 2251 Repayments and prepayments ..................... 1994 actual 1995 est. 1996 est. 415,290,516 140,411,220 –110,711,541 444,990,195 94,439,889 –65,932,398 473,497,686 81,575,322 –69,871,478 2290 Outstanding, end of year ......................... 444,990,195 473,497,686 485,201,530 2299 Memorandum: Guaranteed amount of guaranteed loans outstanding, end of year1 ........................ 444,990,195 473,497,686 Revenue: Revenue ................................................... Revenue (REMICs) ................................... Expense: 0102 Expense .................................................... 0102 Expense (REMICs) .................................... Net income or loss (–): 0101 0101 1994 actual 1995 est. 1996 est. 399,024 .................. 437,470 5,052 553,464 49,000 620,944 88,100 70,071 .................. 17,682 –1,678 –62,058 –1,600 –63,746 –1,500 455,152 491,406 557,198 0109 Net income or loss (–) ....................... 469,095 0109 Net income or loss (–) (REMICs) ....... .................. 3,374 47,400 86,600 0199 Total income or loss ........................... 469,095 458,526 538,806 643,798 Balance Sheet (in thousands of dollars) Identification code 86–4238–0–3–371 1993 actual 1994 actual 1995 est. 1996 est. ASSETS: Federal assets: 1101 Fund balances with Treasury ................................... 4,474 26,071 28,157 30,409 Investments in US securities: Treasury securities, par: 1102 Treasury securities, par .......................... 3,221,228 3,713,323 4,143,833 4,533,719 1102 Treasury securities, par (REMICs) .......... ...................... ...................... 47,400 134,000 1103 Treasury securities, unamortized discount (–) ............................... 43,076 33,259 ...................... ...................... 1104 Agency securities, par .... 900 1,102 1,102 1,102 1106 Receivables, net .............. 37,601 44,551 54,958 66,469 1206 Non-Federal assets: Receivables, net ............................ 15,430 25,843 27,557 28,386 Net value of assets related to pre–1992 direct loans receivable and acquired defaulted guaranteed loans receivable: 1601 Direct loans, gross .............. 477,468 348,985 356,824 485,004 1603 Allowance for estimated uncollectible loans and interest (–) ...................... –193,084 –172,062 –267,034 –507,438 485,201,530 1699 Value of assets related to direct loans ............ Other Federal assets: Cash and other monetary assets Total assets: 284,384 176,923 89,790 –22,434 6,913 7,145 12,693 19,743 3,614,006 4,028,217 4,358,090 4,657,394 Total assets (REMICs) .... ...................... ...................... LIABILITIES: Non-Federal liabilities: 2201 Accounts payable ................ 66,455 44,833 2207 Other .................................... 588,000 540,801 47,400 134,000 20,467 563,700 25,402 563,700 1801 1 Ultimate liability for GNMA mortgage backed securities rests with other U.S. agencies. Total Federal contingent liability should not be double counted. The Housing and Urban Development Act of 1968 authorized the Government National Mortgage Association (GNMA) to guarantee the timely payment of principal and interest on privately issued securities that are backed by pools of FHA, VA and FmHA mortgages. The GNMA guarantee gives lenders access to the capital markets for funds to originate 1993 actual Identification code 86–4238–0–3–371 Total, offsetting collections .................................. –1,203,750 –1,233,032 –1,259,054 89.00 90.00 1290 1995 est. 185,000,000 151,585,286 140,411,220 444,990,195 Budget authority (gross) ........................................... 71.00 72.10 87.00 535 1999 1999 Total assets .................... 536 GOVERNMENT NATIONAL MORTGAGE ASSOCIATION—Continued Federal Funds—Continued THE BUDGET FOR FISCAL YEAR 1996 Credit accounts—Continued GUARANTEES OF MORTGAGE-BACKED SECURITIES LIQUIDATING ACCOUNT—Continued Balance Sheet (in thousands of dollars)—Continued Identification code 86–4238–0–3–371 1993 actual 2999 1994 actual 1995 est. 1996 est. Total liabilities .................... NET POSITION: 3300 Cumulative results of operations ................................... 654,455 585,634 584,167 589,102 2,541,331 3,442,583 4,129,922 4,510,892 3999 Total net position ................ 2,541,331 3,442,583 4,129,922 4,510,892 4999 Total liabilities and net position ............................... 3,195,786 4,028,217 4,714,089 The Housing and Urban Development Act of 1970 directs the Secretary to undertake programs of research, studies, testing, and demonstrations related to the HUD mission. These functions are carried out internally and through contracts with industry, nonprofit research organizations, and educational institutions, and through agreements with State and local governments and other Federal agencies. In 1996, the research program will focus on activities to support the reinvention of HUD, including examination of issues such as transformation of public housing and design of standards for performance-based funds. National housing surveys and research to reduce the cost of housing will continue in 1996. 5,099,994 Object Classification (in thousands of dollars) Note.—GNMA guarantees the timely payment of principal and interest installments on securities which are backed by FHA-insured, FmHA-insured, and VA-guaranteed mortgages. Such guarantees are excluded from the Government total of guaranteed obligations duplicating FHA, FmHA, and VA guarantees. 1994 actual 1995 est. 1996 est. 25.2 41.0 Object Classification (in thousands of dollars) Identification code 86–4238–0–3–371 1994 actual Identification code 86–0108–0–1–451 1995 est. 1996 est. 25.2 33.0 Other services ................................................................ Investments and loans .................................................. 45,974 628,373 70,056 672,272 65,245 719,146 99.9 Total obligations ........................................................ 674,347 742,328 Other services ................................................................ Grants, subsidies, and contributions ............................ 33,281 5,953 36,127 6,000 34,100 8,000 99.0 Subtotal, direct obligations ....................................... 39,234 42,127 42,100 99.9 Total obligations ........................................................ 39,234 42,127 42,100 784,391 FAIR HOUSING AND EQUAL OPPORTUNITY Federal Funds POLICY DEVELOPMENT AND RESEARCH General and special funds: Federal Funds FAIR HOUSING ACTIVITIES General and special funds: RESEARCH AND TECHNOLOGY For contracts, grants, and necessary expenses of programs of research and studies relating to housing and urban problems, not otherwise provided for, as authorized by title V of the Housing and Urban Development Act of 1970, as amended (12 U.S.C. 1701z–1 et seq.), including carrying out the functions of the Secretary under section 1(a)(1)(i) of Reorganization Plan No. 2 of 1968, $42,000,000, to remain available until September 30, ø1996¿ 1997. (Departments of Veterans Affairs and Housing and Urban Development, and Independent Agencies Appropriations Act, 1995.) For contracts, grants, and other assistance, not otherwise provided for, as authorized by title VIII of the Civil Rights Act of 1968, as amended by the Fair Housing Amendments Act of 1988, and section 561 of the Housing and Community Development Act of 1987, as amended, ø$33,375,000¿ $45,000,000, to remain available until September 30, ø1996¿ 1997: Provided, That ø$26,000,000¿ $30,000,000 shall be available to carry out activities pursuant to section 561 of the Housing and Community Development Act of 1987. (Departments of Veterans Affairs and Housing and Urban Development, and Independent Agencies Appropriations Act, 1995.) Program and Financing (in thousands of dollars) Program and Financing (in thousands of dollars) Identification code 86–0108–0–1–451 00.01 01.01 10.00 1994 actual 1995 est. 1996 est. Program by activities: Direct program ............................................................... 39,234 42,127 42,100 Reimbursable program .................................................. ................... ................... ................... Total obligations ........................................................ 39,234 42,127 42,100 Identification code 86–0144–0–1–751 6,979 27,886 8,522 29,204 15,000 30,000 10.00 Total obligations (object class 41.0) ........................ 34,865 37,726 45,000 39.00 42,000 40.00 Budget authority: Appropriation ............................................................. 35,000 42,000 42,000 Procurement reduction pursuant to P.L. 103–327 ................... –281 ................... Transferred from other accounts .............................. 1,500 ................... ................... 71.00 72.40 40.00 40.75 42.00 43.00 Appropriation (total) ............................................. 36,500 36,500 41,719 41,719 42,000 Relation of obligations to outlays: Total obligations ............................................................ 39,234 42,127 42,100 Obligated balance, start of year: Unpaid obligations: Treasury balance ....................................................... 13,821 24,609 30,236 74.40 Obligated balance, end of year: Unpaid obligations: Treasury balance ....................................................... –24,609 –30,236 –31,936 77.00 Adjustments in expired accounts .................................. –307 ................... ................... 78.00 Adjustments in unexpired accounts .............................. ................... –100 –100 71.00 72.40 90.00 Outlays ....................................................................... 28,139 36,400 40,300 1996 est. Program by activities: Fair housing assistance ................................................ Fair housing initiatives .................................................. Financing: Recovery of prior year obligations ................................. ................... –100 –100 Unobligated balance available, start of year: Treasury balance ...................................................................... –3,105 –308 ................... 24.40 Unobligated balance available, end of year: Treasury balance ...................................................................... 308 ................... ................... 25.00 Unobligated balance expiring ........................................ 63 ................... ................... Budget authority ........................................................ 1995 est. 00.01 00.02 Financing: 17.00 Recovery of prior year obligations ................................. 21.40 Unobligated balance available, start of year: Treasury balance ...................................................................... 24.40 Unobligated balance available, end of year: Treasury balance ...................................................................... 25.00 Unobligated balance expiring ........................................ 17.00 21.40 1994 actual Budget authority (appropriation) .............................. Relation of obligations to outlays: Total obligations ............................................................ Obligated balance, start of year: Unpaid obligations: Treasury balance ....................................................... 74.40 Obligated balance, end of year: Unpaid obligations: Treasury balance ....................................................... 77.00 Adjustments in expired accounts .................................. 78.00 Adjustments in unexpired accounts .............................. 90.00 Outlays ....................................................................... –1 ................... ................... –14,216 –4,351 ................... 4,351 ................... ................... 1 ................... ................... 25,000 33,375 45,000 34,865 37,726 45,000 12,453 37,265 46,444 –37,265 –46,444 –69,958 489 ................... ................... –1 ................... ................... 10,541 28,547 21,486 The Budget proposes an appropriation of $45 million in 1996 for Fair Housing Activities to aid in eliminating housing discrimination. Of the amount requested, $15 million is for the Fair Housing Assistance program and $30 million is for the Fair Housing Initiatives program. MANAGEMENT AND ADMINISTRATION Federal Funds DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT The Fair Housing Assistance program, authorized by title VIII of the Civil Rights Act of 1968 as amended, provides funding to State and local agencies to assure prompt and effective processing of title VIII (Civil Rights Act of 1968) complaints. The Fair Housing Initiatives program, authorized by the Housing and Community Development Act of 1987 as amended by the Housing and Community Development Act of 1992, provides support to public and private organizations for the purpose of eliminating or preventing discrimination in housing and for enhancing fair housing opportunities. Federal Funds For necessary administrative and nonadministrative expenses of the Department of Housing and Urban Development, not otherwise provided for, including not to exceed $7,000 for official reception and representation expenses, ø$955,398,000¿, $1,017,262,000, of which ø$495,355,000¿ $527,782,000 shall be provided from the various funds of the Federal Housing Administration, øand $8,824,000¿ $9,101,000 shall be provided from funds of the Government National Mortgage Association, and $900,000 shall be provided from the Community Opportunity Performance Funds Program account. (Departments of Veterans Affairs and Housing and Urban Development, and Independent Agencies Appropriations Act, 1995.) Program and Financing (in thousands of dollars) 1994 actual 450,598 431,031 479,479 472,125 Object Classification (in thousands of dollars) 1994 actual Direct obligations: Personnel compensation: Full-time permanent ............................................. Other than full-time permanent ........................... Other personnel compensation ............................. 1995 est. 1996 est. 1995 est. 1996 est. Program by activities: Direct program: 00.01 Housing, mortgage credit, regulatory and energy conservation .......................................................... 00.02 Community planning and development programs 00.03 Equal opportunity and research programs ............... 00.04 Departmental management, legal and audit services ........................................................................ 00.05 Field direction and administration ........................... 139,601 70,887 65,487 141,201 68,377 69,404 150,562 71,990 73,985 141,476 44,381 106,976 64,640 114,036 68,906 00.91 01.01 Total direct program ............................................. Reimbursable program .................................................. 461,832 444,872 450,598 504,179 479,479 537,783 10.00 Total obligations ........................................................ 906,704 954,777 271,076 4,877 3,804 259,554 4,670 3,642 274,901 4,946 3,858 279,757 55,261 731 6,062 197 38,411 267,866 52,912 699 7,843 761 33,001 283,705 56,041 741 7,493 836 39,186 24.0 25.1 25.2 26.0 31.0 42.0 Total personnel compensation ......................... Civilian personnel benefits ....................................... Benefits for former personnel ................................... Travel and transportation of persons ....................... Transportation of things ........................................... Rental payments to GSA ........................................... Communications, utilities, and miscellaneous charges ................................................................. Printing and reproduction ......................................... Advisory and assistance services ............................. Other services ............................................................ Supplies and materials ............................................. Equipment ................................................................. Insurance claims and indemnities ........................... 12,398 2,749 3,117 58,291 2,710 1,558 590 11,605 2,881 3,506 64,934 2,549 1,834 207 12,648 3,165 3,759 66,864 2,799 2,014 228 99.0 99.0 EXPENSES (INCLUDING TRANSFERS OF FUNDS) Identification code 86–0143–0–1–999 464,053 469,842 This appropriation finances all salaries and related costs associated with administering the programs of the Department of Housing and Urban Development, including: housing and mortgage credit programs; community planning and development programs; equal opportunity, research, regulatory and insurance programs; departmental management, legal services; and field direction and administration. 11.1 11.3 11.5 General and special funds: AND Budget authority (net) ................................................... Outlays (net) .................................................................. Identification code 86–0143–0–1–999 MANAGEMENT AND ADMINISTRATION SALARIES 89.00 90.00 537 Subtotal, direct obligations .................................. Reimbursable obligations .............................................. 461,832 444,872 450,598 504,179 479,479 537,783 99.9 Total obligations ................................................... 906,704 954,777 1,017,262 11.9 12.1 13.0 21.0 22.0 23.1 23.3 1,017,262 Financing: 25.00 Unobligated balance expiring ........................................ 39.00 40.00 40.75 43.00 68.00 Budget authority (gross) ........................................... Personnel Summary 954,777 OFFICE OF 1995 est. 1996 est. 6,122 58 5,626 30 5,620 30 6,051 6,292 6,089 INSPECTOR GENERAL (INCLUDING TRANSFER OF FUNDS) 1,017,262 464,053 450,598 479,479 For necessary expenses of the Office of Inspector General in carrying out the provisions of the Inspector General Act of 1978, as amended, ø$47,388,000¿ $48,251,000, of which ø$10,961,000¿ $11,283,000 shall be transferred from the various funds of the Federal Housing Administration. (Departments of Veterans Affairs and Housing and Urban Development, and Independent Agencies Appropriations Act, 1995.) 444,872 504,179 537,783 Program and Financing (in thousands of dollars) Budget authority: Current: Appropriation ......................................................... 464,053 Procurement reduction pursuant to P.L. 103– 327 ................................................................... ................... Appropriation (total) ......................................... Permanent: Spending authority from offsetting collections Direct: Total compensable workyears: 1001 Full-time equivalent employment .............................. 1005 Full-time equivalent of overtime and holiday hours Reimbursable: 2001 Total compensable workyears: Full-time equivalent employment ............................................................... 2,221 ................... ................... 908,925 1994 actual Identification code 86–0143–0–1–999 451,219 479,479 –621 ................... Relation of obligations to outlays: Total obligations ............................................................ 906,704 954,777 1,017,262 Obligated balance, start of year: 72.10 Receivables from other government accounts .......... ................... ................... ................... 72.40 Unpaid obligations: Treasury balance ...................... 84,771 84,071 103,638 73.00 Obligated balance transferred, net ............................... 11 ................... ................... Obligated balance, end of year: 74.10 Receivables from other government accounts .......... ................... ................... ................... 74.40 Unpaid obligations: Treasury balance ...................... –84,071 –103,638 –110,992 77.00 Adjustments in expired accounts .................................. 7,298 ................... ................... Identification code 86–0189–0–1–451 1994 actual 1995 est. 1996 est. 71.00 87.00 Outlays (gross) .......................................................... Adjustments to gross budget authority and outlays: 88.00 Offsetting collections from: Federal sources ................. 914,713 –444,872 935,210 –504,179 1,009,908 –537,783 00.01 01.01 Program by activities: Direct program ............................................................... Reimbursable program .................................................. 35,728 10,946 36,395 10,961 36,968 11,283 10.00 Total obligations ........................................................ 46,674 47,356 48,251 Financing: 25.00 Unobligated balance expiring ........................................ 387 ................... ................... 39.00 Budget authority (gross) ........................................... 47,061 47,356 48,251 40.00 Budget authority: Current: Appropriation ......................................................... 36,115 36,427 36,968 538 MANAGEMENT AND ADMINISTRATION—Continued Federal Funds—Continued THE BUDGET FOR FISCAL YEAR 1996 General and special funds—Continued OFFICE OF 2001 INSPECTOR GENERAL—Continued Reimbursable: Total compensable workyears: Full-time equivalent employment ............................................................... 118 122 115 (INCLUDING TRANSFER OF FUNDS)—Continued Program and Financing (in thousands of dollars)—Continued NEW COMMUNITY ASSISTANCE GRANTS 1994 actual Identification code 86–0189–0–1–451 1995 est. 1996 est. Program and Financing (in thousands of dollars) 40.75 43.00 68.00 Procurement reduction pursuant to P.L. 103– 327 ................................................................... ................... Appropriation (total) ......................................... Permanent: Spending authority from offsetting collections Relation of obligations to outlays: Total obligations ............................................................ Obligated balance, start of year: Unpaid obligations: Treasury balance ....................................................... 74.40 Obligated balance, end of year: Unpaid obligations: Treasury balance ....................................................... 77.00 Adjustments in expired accounts .................................. 71.00 72.40 –32 ................... 10,946 10,961 11,283 46,674 47,356 48,251 Financing: Unobligated balance available, start of year: Treasury balance ...................................................................... –23 ................... ................... 24.40 Unobligated balance available, end of year: Treasury balance ...................................................................... ................... ................... ................... 25.00 Unobligated balance expiring ........................................ 23 ................... ................... 6,968 10,885 12,288 39.00 Budget authority ........................................................ ................... ................... ................... –10,885 –12,288 –12,288 –227 ................... ................... 71.00 Relation of obligations to outlays: Total obligations ............................................................ ................... ................... ................... 90.00 Outlays ....................................................................... ................... ................... ................... 21.40 45,953 48,251 88.00 Adjustments to gross budget authority and outlays: Offsetting collections from: Federal sources ................. –10,946 –10,961 –11,283 89.00 90.00 Budget authority (net) ................................................... Outlays (net) .................................................................. 36,115 31,584 36,395 34,992 36,968 36,968 This appropriation provides agency-wide audit and investigative functions to identify and correct management and administrative deficiencies that create conditions for existing or potential instances of fraud, waste and mismanagement. The audit function provides internal audit, contract audit, and inspection services. Contract audits provide professional advice to agency contracting officials on accounting and financial matters relative to negotiation, award, administration, repricing, and settlement of contracts. Internal audits review and evaluate all facets of agency operations. Inspection services provide detailed technical evaluations of agency operations. The investigative function provides for the detection and investigation of improper and illegal activities involving programs, personnel, and operations. Object Classification (in thousands of dollars) 1994 actual 1995 est. 19,952 35 536 20,581 4,148 357 2,532 11 3,009 20,993 4,231 364 2,608 11 3,100 20,523 4,137 356 2,686 11 3,194 24.0 25.2 26.0 31.0 Total personnel compensation ......................... Civilian personnel benefits ....................................... Benefits for former personnel ................................... Travel and transportation of persons ....................... Transportation of things ........................................... Rental payments to GSA ........................................... Communications, utilities, and miscellaneous charges ................................................................. Printing and reproduction ......................................... Other services ............................................................ Supplies and materials ............................................. Equipment ................................................................. 38 23 4,289 151 589 38 24 4,257 162 607 38 25 5,206 167 625 99.0 99.0 Subtotal, direct obligations .................................. Reimbursable obligations .............................................. 35,728 10,946 36,395 10,961 36,968 11,283 99.9 Total obligations ................................................... 46,674 47,356 48,251 Personnel Summary 1001 Direct: Total compensable workyears: Full-time equivalent employment ............................................................... OFFICE OF FEDERAL HOUSING ENTERPRISE OVERSIGHT SALARIES AND EXPENSES (INCLUDING TRANSFER OF FUNDS) For carrying out the Federal Housing Enterprise Financial Safety and Soundness Act of 1992, ø$15,451,000¿ $14,895,000, to remain available until expended, from the Federal Housing Enterprise Oversight Fund: Provided, That such amounts shall be collected by the Director as authorized by section 1316 (a) and (b) of such Act, and deposited in the Fund under section 1316(f). (Departments of Veterans Affairs and Housing and Urban Development, and Independent Agencies Appropriations Act, 1995.) Program and Financing (in thousands of dollars) Identification code 86–5272–0–2–371 20,409 36 548 Identification code 86–0189–0–1–451 New community assistance grants were authorized by the Housing and Urban Development Act of 1970, as amended. Budget program.—Grants were distributed to new community developers under section 718 to supplement public facility projects in existing new communities. Public Law 96– 7, dated April 9, 1979, rescinded all budget authority not administratively committed. 1996 est. 20,008 36 537 11.9 12.1 13.0 21.0 22.0 23.1 23.3 1996 est. 36,968 42,530 11.1 11.3 11.5 1995 est. 36,395 Outlays (gross) .......................................................... Direct obligations: Personnel compensation: Full-time permanent ............................................. Other than full-time permanent ........................... Other personnel compensation ............................. 1994 actual 36,115 87.00 Identification code 86–0189–0–1–451 Identification code 86–0149–0–1–451 1994 actual 396 1995 est. 408 1996 est. 387 10.00 Program by activities: Total obligations ............................................................ 1994 actual 6,486 Financing: 17.00 Recovery of prior year obligations ................................. ................... 21.40 Unobligated balance available, start of year: Treasury balance ...................................................................... –874 24.40 Unobligated balance available, end of year: Treasury balance ...................................................................... 5,088 40.20 Budget authority (appropriation) (special fund, definite) ................................................................. 10,700 1995 est. 15,451 1996 est. 14,895 1,303 ................... –5,088 –3,785 3,785 3,785 15,451 14,895 15,451 14,895 3,611 4,914 Relation of obligations to outlays: Total obligations ............................................................ 6,486 Obligated balance, start of year: Unpaid obligations: Treasury balance ....................................................... 1,961 74.40 Obligated balance, end of year: Unpaid obligations: Treasury balance ....................................................... –3,611 78.00 Adjustments in unexpired accounts .............................. ................... –4,914 –4,914 1,303 ................... 90.00 15,451 71.00 72.40 Outlays ....................................................................... 4,836 14,895 This appropriation funds the Office of Federal Housing Enterprise Oversight (OFHEO), which was established in 1992 to regulate the financial safety and soundness of the two housing Government Sponsored Enterprises (GSEs)—the Federal National Mortgage Association and the Federal Home MANAGEMENT AND ADMINISTRATION—Continued Trust Funds DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT Loan Mortgage Corporation. The Office was authorized in the Federal Housing Enterprise Safety and Soundness Act of 1992, which also instituted a three-part capital standard for the GSEs, and gave the regulator enhanced authority to enforce those standards. The Department of Housing and Urban Development itself will monitor the GSEs’ compliance with affordable housing goals that were also contained in the Act. Object Classification (in thousands of dollars) 1994 actual Identification code 86–5272–0–2–371 1995 est. 1996 est. 11.1 11.3 11.5 Personnel compensation: Full-time permanent ...................................................... Other than full-time permanent .................................... Other personnel compensation ...................................... 816 1,342 58 2,113 3,475 150 2,300 3,782 163 11.9 12.1 21.0 22.0 23.1 23.3 24.0 25.2 26.0 31.0 Total personnel compensation .................................. Civilian personnel benefits ............................................ Travel and transportation of persons ............................ Transportation of things ................................................ Rental payments to GSA ................................................ Communications, utilities, and miscellaneous charges Printing and reproduction .............................................. Other services ................................................................ Supplies and materials ................................................. Equipment ...................................................................... 2,216 474 76 20 623 267 6 2,473 112 219 5,738 1,561 232 100 799 343 157 5,480 158 883 6,245 1,699 375 105 1,095 469 104 4,422 245 136 99.9 Total obligations ........................................................ 6,486 15,451 539 can be performed more efficiently on a centralized basis. The fund is financed from fees charged for services performed. Object Classification (in thousands of dollars) 1994 actual Identification code 86–4586–0–4–451 1995 est. 1996 est. Personnel compensation: 11.1 Full-time permanent ...................................................... 11.3 Other than full-time permanent .................................... 11.5 Other personnel compensation ...................................... 16,614 641 144 17,510 676 151 16,476 636 142 11.9 12.1 21.0 22.0 23.3 24.0 25.2 26.0 31.0 Total personnel compensation .................................. Civilian personnel benefits ............................................ Travel and transportation of persons ............................ Transportation of things ................................................ Communications, utilities, and miscellaneous charges Printing and reproduction .............................................. Other services ................................................................ Supplies and materials ................................................. Equipment ...................................................................... 17,399 3,552 411 32 24,724 116 83,317 3,396 5,588 18,337 4,704 332 17 23,533 116 78,749 3,150 12,764 17,254 4,426 310 15 21,990 108 93,461 2,942 11,924 99.9 Total obligations ........................................................ 138,535 141,702 152,430 14,895 Personnel Summary 5001 Total compensable workyears: Full-time equivalent employment ............................................................... Personnel Summary Identification code 86–5272–0–2–371 1001 1994 actual Identification code 86–4586–0–4–451 1995 est. 359 1996 est. 370 350 Trust Funds 1994 actual Total compensable workyears: Full-time equivalent employment ............................................................... 1995 est. 25 65 1996 est. GIFTS AND BEQUESTS Program and Financing (in thousands of dollars) 69 Identification code 86–8093–0–7–451 1994 actual Financing: Unobligated balance available, start of year: Fund balance ...................................................................... 24.90 Unobligated balance available, end of year: Fund balance ...................................................................... Intragovernmental funds: 1995 est. 1996 est. 21.90 WORKING CAPITAL FUND Program and Financing (in thousands of dollars) 1994 actual 1995 est. 1996 est. –4 –4 –4 4 4 4 71.00 Identification code 86–4586–0–4–451 Relation of obligations to outlays: Total obligations ............................................................ ................... ................... ................... Outlays ....................................................................... ................... ................... ................... 00.03 01.01 Program by activities: Operating expenses: Data processing services ............. Capital investment: Data processing services .............. 136,735 1,800 139,902 1,800 150,630 1,800 90.00 10.00 Total obligations ........................................................ 138,535 141,702 152,430 This fund is the repository of gifts and bequests that the Secretary of Housing and Urban Development is authorized to accept and use for the purposes of aiding the work of the Department. Section 7(k)(1) of the Department of Housing and Urban Development Act, 42 U.S.C. 3535(k)(1), authorizes the installment of a fund amount for the above purpose. Financing: 17.00 Recovery of prior year obligations ................................. 21.90 Unobligated balance available, start of year: Fund balance ...................................................................... 24.90 Unobligated balance available, end of year: Fund balance ...................................................................... 68.00 Budget authority (gross): Spending authority from offsetting collections ............................................ –8,399 ................... ................... –7,011 –35,949 –35,949 35,949 35,949 35,949 159,074 141,702 152,430 Relation of obligations to outlays: Total obligations ............................................................ 138,535 141,702 152,430 Obligated balance, start of year: 72.10 Receivables from other government accounts .......... ................... –10,050 –10,050 72.90 Unpaid obligations: Fund balance ............................ 7,824 ................... ................... Obligated balance, end of year: 74.10 Receivables from other government accounts .......... 10,050 10,050 10,050 74.90 Unpaid obligations: Fund balance ............................ ................... ................... ................... 78.00 Adjustments in unexpired accounts .............................. –8,399 ................... ................... 71.00 87.00 Outlays (gross) .......................................................... 148,010 141,702 152,430 88.00 Adjustments to gross budget authority and outlays: Offsetting collections from: Federal sources ................. –159,074 –141,702 –152,430 89.00 90.00 Budget authority (net) ................................................... ................... ................... ................... Outlays (net) .................................................................. –11,064 ................... ................... The Working Capital Fund, authorized by the Department of Housing and Urban Development Act of 1965, finances information technology and office automation initiatives which ADMINISTRATIVE PROVISIONS All remaining obligated and unobligated balances in the Renewal of Expiring Section 8 Contracts account on September 30, 1995 shall immediately thereafter be transferred to and merged with the obligated and unobligated balances, respectively, of the Annual Contributions for Assisted Housing account. øNone of the funds provided under this title to the Department of Housing and Urban Development, which are obligated to State or local governments or to housing finance agencies or other public or quasi-public housing agencies, shall be used to indemnify contractors or subcontractors of the government or agency against costs associated with judgments of infringement of intellectual property rights.¿ øOf the budgetary resources available to the Department of Housing and Urban Development during fiscal year 1995, $3,538,000 are permanently canceled. The Secretary of Housing and Urban Development shall allocate the amount of budgetary resources canceled among the Department’s accounts available for procurement and procurement-related expenses. Amounts available for procurement and procurement-related expenses in each such account shall be reduced by the amount allocated to such account. For the purpose of this 540 MANAGEMENT AND ADMINISTRATION—Continued Trust Funds—Continued Intragovernmental funds—Continued ADMINISTRATIVE PROVISIONS—Continued paragraph, the definition of ‘‘procurement’’ includes all stages of the process of acquiring property or services, beginning with the process of determining a need for a product or service and ending with contract completion and closeout as specified in 41 U.S.C. 403(2).¿ øOf the $150,000,000 earmarked in Public Law 102–139 for special purpose grants (105 Stat. 736, 745), $1,000,000 made available to the Pennsylvania Housing Finance Agency to complete renovation and revitalization of the Saquoit Silk Mills in Scranton into lowincome elderly apartments shall instead be made available for such low-income elderly apartments on the site of the existing Lackawanna Junior College in Lackawanna County, Pennsylvania.¿ øNotwithstanding any provision of law or regulation thereunder, the requirement that an amendment to an urban development action grant agreement must be integrally related to the approved project is hereby waived for project numbers B87AA360540 and B87AA360521.¿ øNone of the funds made available in this Act may be used in violation of section 214 of the Housing and Community Development Act of 1980 or of any applicable Federal law or regulation of the United States.¿ øSubparagraph (A) of the first sentence of section 203(b)(2) of the National Housing Act (12 U.S.C. 1709(b)(2)) is amended by striking clause (ii) and all that follows through ‘‘May 12, 1992;’’ and inserting the following: ‘‘(ii) 75 percent of the dollar amount limitation determined under section 305(a)(2) of the Federal Home Loan Mortgage Corporation Act for a residence of the applicable size; except that the applicable dollar amount limitation in effect for any area under this subparagraph may not be less than the greater of the dollar amount limitation in effect under this section for the area on the date of enactment of the Housing Choice and Community Investment Act of 1994 or 38 percent of the dollar amount limitation determined under section 305(a)(2) of the Federal Home Loan Mortgage Corporation Act for a residence of the applicable size;’’.¿ øNotwithstanding subsection 306(g)(3) of the National Housing Act, as amended, fees charged for the guaranty of, or commitment to guaranty, multiclass securities backed by a trust or pool of securities or notes guaranteed by the Government National Mortgage Association prior to February 1, 1993, and other related fees, shall be charged in an amount the Association deems appropriate.¿ øBeginning fiscal year 1995, the Government National Mortgage Association shall permit Ginnie Mae II mortgage-backed securities to be eligible as collateral for multiclass securities that such Association guarantees, in accordance with the Notice published at 59 Fed. Reg. 27290 (May 26, 1994) and successor Notices.¿ Section 8(c)(2)(A) of the United States Housing Act of 1937 is amended by inserting at the end the following: ‘‘However, where the maximum monthly rent, for a unit in a new construction, substantial rehabilitation, or moderate rehabilitation project, to be adjusted using an annual adjustment factor exceeds the fair market rental for an existing dwelling unit in the market area, the Secretary shall adjust the rent only to the extent that the owner demonstrates that the adjusted rent would not exceed the rent for an unassisted unit of similar quality, type, and age in the same market area, as determined by the Secretary. The immediately foregoing sentence shall be effective øonly¿ during fiscal year ø1995¿ 1996.’’. The immediately foregoing amendment shall apply to all contracts for new construction, substantial rehabilitation, and moderate rehabilitation projects under which rents are adjusted under section 8(c)(2)(A) of such Act by applying an annual adjustment factor. Section 8(c)(2)(A) of the United States Housing Act of 1937, as amended by the immediately foregoing amendment to such section, is further amended by inserting at the end the following: ‘‘For any unit occupied by the same family at the time of the last annual rental adjustment, where the assistance contract provides for the adjustment of the maximum monthly rent by applying an annual adjustment factor and where the rent for a unit is otherwise eligible for an adjustment based on the full amount of the factor, 0.01 shall be subtracted from the amount of the factor, except that the factor THE BUDGET FOR FISCAL YEAR 1996 shall not be reduced to less than 1.0. The immediately foregoing sentence shall be effective øonly¿ during fiscal year ø1995¿ 1996.’’. The immediately foregoing shall hereafter apply to all contracts that are subject to section 8(c)(2)(A) of such Act and that provide for rent adjustments using an annual adjustment factor. The United States Housing Act of 1937 is amended in each of sections 6(c)(4)(A)(ii) and 8(d)(1)(A)(ii), by striking ‘‘and (V)’’ and inserting in lieu thereof the following: ‘‘(V) assisting families that include one or more adult members who are employed; and (VI)’’; and in sections 6(c)(4)(A)(ii) and 8(d)(1)(A)(ii), by inserting after the final semicolon in each the following: ‘‘subclause (V) shall be effective øonly¿ during fiscal year ø1995¿ 1996;’’. øSection 8 of the United States Housing Act of 1937 (42 U.S.C. 1437f) is amended by adding at the end the following new subsection: ‘‘(aa) REFINANCING INCENTIVE.— ‘‘(1) IN GENERAL.—The Secretary may pay all or a part of the up front costs of refinancing for each project that— ‘‘(A) is constructed, substantially rehabilitated, or moderately rehabilitated under this section; ‘‘(B) is subject to an assistance contract under this section; and ‘‘(C) was subject to a mortgage that has been refinanced under section 223(a)(7) or section 223(f) of the National Housing Act to lower the periodic debt service payments of the owner. ‘‘(2) SHARE FROM REDUCED ASSISTANCE PAYMENTS.—The Secretary may pay the up front cost of refinancing only— ‘‘(A) to the extent that funds accrue to the Secretary from the reduced assistance payments that results from the refinancing; and ‘‘(B) after the application of amounts in accordance with section 1012 of the Stewart B. McKinney Homeless Assistance Amendments Act of 1988.’’.¿ øSection 223(a)(7) of the National Housing Act (42 U.S.C. 1751n(a)(7)) is amended in subparagraph (B), by striking ‘‘and’’ at the end; and by inserting, before ‘‘: Provided further’’ in said paragraph, the following: ‘‘; and (D) any multifamily mortgage that is refinanced under this paragraph shall be documented through amendments to the existing insurance contract and shall not be structured through the provisions of a new insurance contract’’.¿ øThe amendments of the two immediately preceding paragraphs shall be effective only during fiscal year 1995.¿ øSection 601 of title VI of S. 2281 (103d Cong., 2d Sess), as reported to the Senate on July 13 (legislative day, July 11), 1994 (S. Rep. 103–307), is hereby incorporated into this Act, and such section 601 is deemed enacted into law upon enactment of this Act: Provided, That the provisions of such section 601 shall be effective only during fiscal year 1995.¿ øTitle VIII of S. 2281 (103d Cong., 2d Sess), as reported to the Senate on July 13 (legislative day, July 11), 1994 (S. Rep. 103– 307), is hereby incorporated into this Act, and such title VIII is deemed enacted into law upon enactment of this Act.¿ øNotwithstanding any other provision of law, the New York City Housing Authority is authorized to use not more than $12,420,000, from development reservation number NY36P005324 for 100 public housing units previous awarded from funds appropriated under Public Law 101–507 (Nov. 5, 1990), for the purpose of completing a homeownership program involving not more than 463 dwelling units located in Bronx County, in the City of New York, in accordance with a certain submission dated November 16, 1993 made in response to a Notice of Funding Availability issued at 58 Fed. Reg. 41127. The Secretary of Housing and Urban Development shall thereafter add a similar number of existing non-Federal public housing units, designated by the Authority, to the agency’s inventory of federallyassisted public housing developments and said units shall, for all purposes other than the repayment of any debt associated with their development or rehabilitation, be considered as if initially developed under title I of the Housing Act of 1937.¿ Notwithstanding section 8(q) of the United States Housing Act of 1937, those portions of the fees for the costs incurred in administering units assisted in the certificate and housing voucher programs under sections 8(b), 8(o), and 8(e)(2) shall be set at no higher than 7 percent. (Departments of Veterans Affairs and Housing and Urban Development, and Independent Agencies Appropriations Act, 1995.)
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