2024 USDA EXPLANATORY NOTES – RURAL HOUSING SERVICE
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CCOUNT 1: RURAL HOUSING INSURANCE FUND
APPROPRIATIONS LANGUAGE
The appropriations language follows (new language underscored; deleted matter enclosed in brackets):
Rural Housing Insurance Fund program account (Including Transfer of funds) 1
For gross obligations for the principal amount of direct and guaranteed loans as authorized by title V of the Housing 2
Act of 1949, to be available from funds in the rural housing insurance fund, as follows: 3
[$1,250,000,000]$1,500,000,000[ shall be] for section 502 direct loans[,];[ $7,500,000]$12,000,000[ shall be] for a 4
Single Family Housing Relending demonstration program for Native American Tribes[,];[ and] $30,000,000,000, 5
which shall remain available until September 30, 2025,[ shall be] for section 502 unsubsidized guaranteed loans; 6
[$28,000,000]$50,000,000 for section 504 housing repair loans; [$70,000,000]$200,000,000 for section 515 rental 7
housing; $400,000,000 for section 538 guaranteed multi-family housing loans; $10,000,000 for credit sales of single 8
family housing acquired property; $5,000,000 for section 523 self-help housing land development loans; and 9
$5,000,000 for section 524 site development loans. 10
For the cost of direct and guaranteed loans, including the cost of modifying loans, as defined in section 502 of the 11
Congressional Budget Act of 1974, as follows: section 502 loans, [$46,375,000]$205,950,000 shall be for direct 12
loans; Single Family Housing Relending demonstration program for Native American Tribes, 13
[$2,468,000]$5,491,000; section 504 housing repair loans, [$2,324,000]$8,675,000; section 523 self-help housing 14
land development loans, [$267,000]$636,500; section 524 site development loans, [$208,000]$476,500; and repair, 15
rehabilitation, and new construction of section 515 rental housing, [$13,377,000]$69,960,000: Provided, That to 16
support the loan program level for section 538 guaranteed loans made available under this heading the Secretary 17
may charge or adjust any fees to cover the projected cost of such loan guarantees pursuant to the provisions of the 18
Credit Reform Act of 1990 (2 U.S.C. 661 et seq.), and the interest on such loans may not be subsidized: Provided 19
further, That applicants in communities that have a current rural area waiver under section 541 of the Housing Act 20
of 1949 (42 U.S.C. 1490q) shall be treated as living in a rural area for purposes of section 502 guaranteed loans 21
provided under this heading[: Provided further, That of the amounts available under this paragraph for section 502 22
direct loans, no less than $5,000,000 shall be available for direct loans for individuals whose homes will be built 23
pursuant to a program funded with a mutual and self-help housing grant authorized by section 523 of the Housing 24
Act of 1949 until June 1, 2023: Provided further, That the Secretary shall implement provisions to provide 25
incentives to nonprofit organizations and public housing authorities to facilitate the acquisition of Rural Housing 26
Service (RHS) multifamily housing properties by such nonprofit organizations and public housing authorities that 27
commit to keep such properties in the RHS multifamily housing program for a period of time as determined by the 28
Secretary, with such incentives to include, but not be limited to, the following: allow such nonprofit entities and 29
public housing authorities to earn a Return on Investment on their own resources to include proceeds from low 30
income housing tax credit syndication, own contributions, grants, and developer loans at favorable rates and terms, 31
invested in a deal; and allow reimbursement of organizational costs associated with owner's oversight of asset 32
referred to as "Asset Management Fee" of up to $7,500 per property]: Provided further, That, notwithstanding 33
Section 502(g)(1) of the Housing Act of 1949 (42 U.S.C. 1474(g)(1)), for loans made available under this heading, 34
amounts deferred pursuant to section 502(g)(1) of the Housing Act of 1949 shall not be subject to recapture. 35
In addition, for the cost of direct loans and grants, including the cost of modifying loans, as defined in section 502 of 36
the Congressional Budget Act of 1974, [$36,000,000]$75,000,000, to remain available until expended, for a 37
demonstration program for the preservation and revitalization of the sections 514, 515, and 516 multi-family rental 38
housing properties to restructure existing USDA multi-family housing loans, as the Secretary deems appropriate, 39
expressly for the purposes of ensuring the project has sufficient resources to preserve the project for the purpose of 40
providing safe and affordable housing for low-income residents and farm laborers including reducing or eliminating 41
interest; deferring loan payments, subordinating, reducing or re-amortizing loan debt; and other financial assistance 42
including advances, payments and incentives (including the ability of owners to obtain reasonable returns on 43
investment) required by the Secretary: Provided, That the Secretary shall, as part of the preservation and 44
revitalization agreement, obtain a restrictive use agreement consistent with the terms of the restructuring. 45
In addition, for the cost of direct loans, grants, and contracts, as authorized by sections 514 and 516 of the Housing 46
Act of 1949 (42 U.S.C. 1484, 1486), [$14,084,000]$35,405,000, to remain available until expended, for direct farm 47
labor housing loans and domestic farm labor housing grants and contracts. 48