http://xml.gov/stratml/drybridge/HUDstratplan.xmlStrategic Plan FY 2006 - FY 2011Department of Housing and Urban DevelopmentHUD_826670dc-9bfc-4907-a1e3-583ff7dbb156_489068e2-9531-11e1-b301-5ac4222d735fTo increase homeownership, support community development and increase access to affordable housing free from discrimination._630d162c-5589-43b9-b869-54c6b1f4b0c4Home OwnershipIncrease homeownership opportunities_01517562-1824-4570-bc4c-2a5a79d976edAOverview: Opening doors to homeownership is a core aspect of HUD’s mission, originating when Congress created the Federal Housing Administration(FHA) in the 1930s. Homeownership allows an individual or family to make an investment in the future. A home is an asset that can grow in value and provide capital to finance future needs of a family, such as college educations or retirement. Homeownership helps stabilize neighborhoods, strengthen communities, and stimulate economic growth. Research has shown that homeownership improves outcomes for children on a number of dimensions, including school achievement and dropout rates. Rapid changes in the U.S. housing market highlight the necessity of encouraging a balanced and reasonable approach to homeownership, as well as the continuing need to provide appropriate support for renter families to take the step to homeownership. Strategic Goal A focuses on HUD’s activities to expand homeownership opportunities for minorities, low-income families, and other Americans. HUD’s activities under this strategic goal will help to make homeownership more accessible, affordable, and secure for millions of families. Performance Measures: • An additional 5.5 million minority households become homeowners by 2010, and the share of first-time minority homebuyers among FHA home purchase mortgages remains above 35 percent.• The share of FHA-insured home purchase mortgages for first-time homebuyers will remain above71 percent through 2011.• The share of first-time minority homebuyers among FHA home purchase mortgages remains above 35 percent.• Between FY 2006 and FY 2011, 48,000 households will purchase homes through the HOME Downpayment Assistance Initiative.• Between FY 2006 and FY 2011, over 739,000 households will receive homeownership assistance with CDBG, HOME, HOPWA, and IHBG funds.• Increase the number of families achieving homeownership under HUD’s Native American and Native Hawaiian housing and loan guarantee programs by guaranteeing 2,000 loans annually by FY 2011.• Between FY 2006 and FY 2011, approximately 219,000 claims are expected to be submitted under the FHA Loss Mitigation program. • Between FY 2006 and FY 2011, 6.5 million families will receive HUD housing counseling.• At least 30 percent of clients receiving pre-purchase counseling will become mortgage-ready within90 days.• Minority clients will be at least 50 percent of total clients receiving housing counseling.• More that 50 percent of total mortgagors seeking help with resolving or preventing mortgage delinquency will successfully avoid foreclosure.• Take the following steps to promote FHA loan products as affordable mortgage options: Make FHA business processes more compatible with those used in the mortgage industry. Streamline FHA programs to make them more accessible to homebuyers. Expand FHA products to meet the changing financial and housing needs of the public.• Ginnie Mae will maintain liquidity in the market for single-family mortgages, VA loans and eligible multifamily loans through FY 2011:o Securitize at least 95 percent of FHA single-family mortgages. Securitize at least 95 percent of VA mortgages. Securitize at least 95 percent of eligible FHA multifamily mortgages.• Implementation of RESPA regulatory changes will improve the mortgage finance process.• Enforcement of RESPA and the Interstate Land Sales Act will reduce unnecessary housing costs.• Between FY 2006 and FY 2011, a total of 10,000 new homeownership units will be created through the HOPE VI program.• Increase homeownership closings under existing PIH programs by 10,000 by FY 2011.• Through the HOPE VI Community and Supportive Services program, 800 public housing families will become homeowners between FY 2006–FY 2011, from a FY 2005 baseline of 2,454 families.• Ensure that the default rate in the SHOP program does not exceed the comparable rate for FHA insured loans.• Through the SHOP program, create $225 million in household equity by 2011, as measured by the cumulative total of purchase price less outstanding mortgage balance at closing for assisted households.• FHA increases the percentage of at-risk loans that substantively comply with FHA program requirements.• Release an upgraded default data reporting system to accommodate lenders’ monthly electronic reporting of loans with a delinquency of 30 days or more and to enable lenders to report such data via an FHA Connection Interface to this system.• Publish a rule requiring FHA lenders to use the new default data reporting system to submit monthly electronic data on all loans that are 30 days or more delinquent.• Publish regulations for FHA mortgage insurance programs that increase lender compliance and accountability.National Home OwnershipExpand national homeownership opportunities_10a622a5-55fc-41cd-82a9-40d632a20bbdA1This objective reflects HUD’s goal of helping more families, particularly low- and moderate income families, attain homeownership. Since its creation in 1934, FHA has insured more than33 million single-family mortgages totaling$1.6 trillion, and has served as a model for housing finance around the world. While the overall homeownership rate at the end of FY 2005 was 68.8 percent – constituting a record number of homeowners – the homeownership rate for low- and moderate income families was only 52.8 percent. While recognizing that homeownership is not an option for everyone, HUD will focus on ensuring that the benefits of homeownership are made available to more American families.Minority Home OwnershipIncrease minority homeownership._26e37cb3-9960-42c9-8e62-35ad32b98106A2This objective continues to support the President’s goal, established in 2002, of eliminating barriers to minority homeownership and adding 5.5 million more minority homeowners by 2010. A unique public-private partnership is bringing together government, the real estate and mortgage finance industry, affordable housing groups, and advocacy organizations to work on a nationwide campaign to increase homeownership opportunities for minority families. The homeownership rate for minorities in 2002was 49.2 percent, more than 25 percentage points below the 74.5 percent homeownership rate for nonminority households. Between 2002 and the end of FY 2005, 2.4 million minority homeowners had been added, on track to complete the President’s goal. The minority homeownership rate climbed to 51.2 percent at the end of FY 2005.Home Buying ProcessMake the homebuying process less complicated and less expensive._a196bf67-d537-4239-b79d-6da5b9dbe750A3Under this strategic objective, HUD is continuing to undertake reform of Real Estate Settlement Procedures Act (RESPA) regulations that provide basic consumer protections in the home buying process. HUD is working with industry and consumer stakeholders to improve disclosure of settlement costs; to have the disclosed costs be as firm as possible, thereby avoiding surprises at settlement; to provide consumers more choices; and to encourage innovation and competition in the marketplace. In addition, HUD will protect consumers through vigorous enforcement of RESPA and the Interstate Land Sales Act and provide a level playing field for all industry providers.Predatory LendingReduce predatory lending through reform, education, and enforcement._8165bf8e-f229-4c70-84d1-69066429b734A4Predatory lending involves deception or fraud by creditors, mortgage brokers, or even home improvement contractors. Unscrupulous businesses manipulate borrowers through aggressive sales tactics or take unfair advantage of their lack of understanding of loan terms. Predatory lending is harmful not only to the consumer, but also harms the economic vitality of the community at large. Most often, those who are affected most severely are minorities, low income families, and the elderly. Under this strategic objective, HUD is committed to eliminating practices that permit predatory lending, working with other federal and state agencies, and vigorously enforcing RESPA rules that make the real estate settlement process more transparent and prohibit the payment of kickbacks and referral fees. HUD also is taking steps to strengthen education of potential homebuyers so they can recognize malicious practices.RentersHelp HUD-assisted renters become homeowners,_6bd60ce8-5aea-4986-9af1-c7f09004c9f5A5HUD is committed to helping more HUD assisted renters become homeowners by providing greater flexibility for public housing agencies and through expanded use of Housing Choice Vouchers for homeownership. Homeownership vouchers cover the cost of a down payment or the ongoing costs of a mortgage. HUD also expects to increase homeownership production and sales through the HOPE VI program, increase the number of public housing families purchasing homes, and increase the number of families achieving homeownership under the Native American and Native Hawaiian housing and loan guarantee programs.Home RetentionKeep existing home owners from losing their homes._4eb71a0b-726d-420e-ab77-6bd6313ddf89A6In addition to helping families become homeowners, HUD is supporting new homeowners in maintaining their homeownership status through housing counseling, foreclosure prevention activities, and better monitoring of appraisers. Because HUD requires participating lenders to employ loss mitigation techniques, over59 percent of families who defaulted on FHA insured mortgages in FY 2005 were able to workout their delinquencies and remain in their homes.Affordable HousingPromote decent affordable housing_506c3342-b49a-45f4-8c08-d8962af7236bBOverview: Promoting decent affordable housing is a central part of HUD’s mission. To this end, HUD seeks to expand access to, availability, and quality of affordable rental housing, improve the management accountability of public and assisted housing, improve housing opportunities for the elderly and persons with disabilities, and promote housing self-sufficiency. An estimated 5.18 million very low-income renters had worst-case needs for rental assistance in 2003.Most of these severe needs consisted solely of severe rent burdens: rents exceeding half of household incomes. In most metropolitan areas, a high demand for housing means that the market does not yield monthly rents reasonable for families with modest incomes. While recognizing the primacy of the private market, there is clearly a role for the federal government in addressing the challenges of housing affordability in America. Current policies provide a multi-faceted federal approach that directs resources in a measured and targeted manner to meet priority housing needs, and proposed reforms will strengthen these efforts. HUD offers direct rental assistance primarily through its Section 8 program, while also increasing the production of affordable units though public housing development, HOME, and other grant programs that support housing construction and rehabilitation. Through its FHA mortgage insurance programs, the Department facilitates the development of affordable rental housing and helps insure that the financial markets provide adequate funding for affordable housing, as well as long-term, low cost financing for preservation of privately owned subsidized housing. The Department’s efforts are complemented by federal tax credits that stimulate rental housing construction and rehabilitation, as well as by other federal programs serving specific populations, such as veterans and the rural poor. This Strategic Plan spans a transition phase for public and assisted housing programs. In recent years, HUD has strengthened these programs by demolishing obsolete public housing, changing the voucher program from a unit-based to a dollar based system, and expanding opportunities for tenants to transition from rental housing to homeownership. Under this plan, HUD will continue to reform and improve the public housing and voucher programs, as public housing agencies convert to asset-based management and implement proposed legislative reforms. These reforms are needed because success in meeting the nation’s affordable housing needs cannot be achieved without devolving decision-making authority to the state and local level. No one is in a better position to address a community’s specific affordable housing concerns than the community leaders themselves. The proposed reforms would increase local discretion, enabling PHAs to improve efficiency and maximize the number of families receiving assistance. In addition, HUD grant programs provide local grantees with significant levels of flexibility to use funds in a way that best meets their communities’ needs. Performance Measures: • Expand affordable rental housing by 1.346 million units through the Low-Income Housing Tax Credit, CDBG, HOME, HOPWA, and IHBG funds, by FY 2011. • Increase the proportion of FHA Multifamily insurance used with Low-Income Housing Tax Credits from the baseline level of 24 percent of endorsements used with LIHTC. • The total number of remaining years of affordability provided for low-income households residing in units produced from the investment of HOME funds will be 1.15 million years by FY 2011, up from 980,000 currently. • The number of HOME production units completed (includes rental units produced, new homebuyers, and existing homeowners assisted) will be 243,000 by FY 2011. • HOPE VI projects will complete all unit production within an average period of 7 years from execution of the grant agreement, and by 2011, all HOPE VI grants from 1993 to 2004 will have completed all unit production. • The HOPE VI program will leverage a projected total of $4 billion in private sector financing between 2006 and 2011.• The Capital Fund Financing program will leverage a projected total of $315 million in private financing for public housing projects between 2006 and 2011. • Implement the Public Housing Energy Efficiency program to control energy consumption in public housing properties and, by FY 2008, develop a baseline and specify annual percentage reduction in energy consumption to be achieved in public housing by FY 2011. • The share of public housing units that meet HUD-established physical standards will increase from 85.1 percent to 87.5 percent by 2011. • Unoccupied units in public housing that are not HUD-approved vacancies decline by 5 percent by2011. • Reduce the number of Exigent Health and Safety deficiencies per property by 10 percent annually among PHAs that are designated as troubled by PHAS and have 5 or more deficiencies per property. • Revamp the Section 8 Management Assessment Program and create a more efficient and accurate assessment tool for the Housing Choice Voucher program by 2008. • The share of assisted and insured privately owned multifamily properties that meet HUD established physical standards will be maintained at no less than 95 percent, and substandard properties will continue to improve. • Reform the Section 202 and 811 programs to further improve the efficiency and outcomes for each program. o For Section 202 program, increase the admission of frail elderly and make facilities and service improvements so that residents can “age in place.” o For the Section 811 program, increase the housing inventory and accomplish more rapid development of these projects. • The percentage of HOPWA clients who maintain housing stability, avoid homelessness, and access care each year will be sustained at 80 percent for 2008 through 2011. • Increase the number of Neighborhood Networks Centers and maintain the existing Neighborhood Networks Centers in multifamily housing developments and public housing. • Between FY 2006 and FY 2011, the number of families counseled in homeownership readiness by PHAs through the ROSS program will increase by 830 to 4,148, and the number of counseled families who purchase homes will increase by 75 to 372. • Implement property-based funding, accounting and monitoring for public housing: o By 2007, 20 percent of all PHAs will have acceptable asset-based accounting systems in place. o By 2008, 50 percent of all PHAs will have acceptable asset-based accounting systems in place. o By 2008, 10 percent of all PHAs will have substantially converted to asset-based management. o By 2009, 90 percent of all PHAs will have acceptable asset-based accounting systems in place. o By 2009, 25 percent of all PHAs will have substantially converted to asset-based management. o By 2010, 50 percent of all PHAs will have substantially converted to asset-based management. o By 2011, all PHAs will have converted to asset-based management and accounting.Rental HousingExpand access to and availability of decent, affordable rental housing._67ad9902-0b23-43ce-9967-ddc51d73f01bB1To help low-income families afford the costs of rental housing, HUD provides rental assistance to more than four million households through public housing and assisted housing programs. HUD’s largest program, the Housing Choice Voucher program, is a $15 billion asset that currently provides rental assistance to 1.8 million low income families. Additionally, approximately one million families live in public housing. Through the HOME program, HUD provides states and localities with flexible funding they can use to produce affordable rental housing. Through the use of FHA insurance, HUD provides flexible, long-term insurance for private investors and lenders to support the production and preservation of affordable rental housing. The Department also funds a number of rental assistance programs geared to special populations: the Housing Opportunities for Persons with AIDS (HOPWA) program and homeless assistance programs are two important examples. Within the constraints of its budget, HUD seeks to provide affordable housing opportunities to as many families as possible. HUD’s several housing assistance programs together reduce the potential number of families with worst case housing needs by about half.HUD also will work to develop creative solutions to the problems presented by local regulatory barriers and other obstacles to the development of affordable rental housing. The Department, through FHA’s multifamily mortgage insurance programs, improves the affordability of rental housing and of health care facilities, such as nursing homes and assisted living facilities. FHA mortgage insurance is often used in conjunction with Low Income Housing Tax Credits and other federal, state, and local subsidies to produce and support affordable housing.Management of HousingImprove the management accountability and physical quality of public and assisted housing._9143fd30-ad5f-4fa8-b8bd-e4367dd8c9d1B2The Department will build on recent successes in improving the management accountability of public and assisted housing. HUD has instituted a comprehensive evaluation system for the public housing program and assisted multifamily housing program, and will develop a new system for the evaluation of the Housing Choice Voucher program. The current assessment systems identify PHAs in need of technical assistance from HUD staff. As a result, the number of units managed by PHAs designated “troubled” has declined since2003, and HUD will continue to track this measure. The Department also will continue to hold PHAs accountable through measures that track the timely performance of HOPE VI grants and PHAs’ submission of data to HUD.HUD is committed to improving the quality of HUD’s public and assisted housing and ensuring that all subsidized families live in units that meet basic quality standards. By reducing energy consumption and increasing the amount of leveraged private financing, PHAs can free up capital and operating funds for the development and modernization of existing properties. Stewardship and preservation of the current assisted housing stock is critical for achieving this strategic goal. As part of the effort to preserve affordable housing through the Mark-to-Market program, HUD sets appropriate market-level rents for HUD-assisted housing – thereby eliminating subsidy overpayments – and incorporates policies and procedures to ensure good management and good physical condition at properties that have gone through the program.Elderly and Disability HousingImprove housing opportunities for the elderly and persons with disabilities._b64100db-df8b-4a2f-9406-ff4965de6814B3Elderly households and persons with disabilities have special needs that require flexible housing strategies. HUD’s strategy is to maximize the independence of these households. HUD’s programs, where appropriate, promote community-based living opportunities for the elderly and persons with disabilities, and make supportive services available to residents of rental housing, enabling them to live as independently as possible in the most integrated setting. One way HUD supports independence for persons with disabilities is to promote visitability in all HUD funded projects. Another approach is broader: to increase awareness and compliance with accessibility laws in the multifamily housing market. HUD’s Section 202 and 811 programs for elderly households and persons with disabilities are unique among HUD programs in providing the only construction financing programs for affordable supportive rental housing for the target populations. The Section 811 program also provides rental assistance vouchers to persons with disabilities through the Mainstream program. Through the Designated Housing Program, HUD is providing technical assistance to PHAs to encourage the designation of housing for the elderly, persons with disabilities, and the elderly combined with persons with disabilities when the local demographics support the need for the program. The technical assistance provides guidance to meet the Designated Housing Plans’ statutory requirements contained in Section 7 of the U.S. Housing Act of 1937. HUD tracks and monitors the Designated Housing Plans.Housing Self-SufficiencyPromote housing self sufficiency._5f902ec0-330f-4956-af7c-814d7e6666eaB4This objective, together with Objective A.5, “Help HUD-assisted renters become homeowners,” reflects the Department’s intention to maximize the role of public and assisted housing as a spring board to advance low-income families toward housing self-sufficiency and homeownership. Recent research suggests that severe rent burdens are often temporary. As federal resources are limited, it is critical to structure housing programs to help as many families as possible by promoting independence rather than long-term dependence on housing assistance.Public Housing ReformFacilitate more effective delivery of affordable housing by reforming public housing and the Housing Choice Voucher program._2819b195-4641-45f3-a060-9fa4d11192f4B5The period covered by this Strategic Plan will include major transitions for HUD’s public housing and voucher programs. To improve the efficiency, effectiveness, and long-term sustainability of these key rental housing programs, the Department is pursuing reforms across regulatory and legislative levels. Themes of the efforts include: • Simplifying programs and burdensome administrative requirements; • Giving PHAs greater flexibility; • Requiring more accountability of PHAs;• Encouraging tenant work contributions; • Lessen intrusion in families’ lives; and • Containing program costs.HUD also has implemented regulatory change requiring PHAs to transition to asset-based management, representing a major evolution in the way PHAs manage their inventory of public housing. Beginning in 2007, under this new, private-market approach, operating subsidies will be allocated based on property costs typical of the broader multifamily management industry. PHAs that own and operate 250 or more units are required to operate using the asset management model. HUD will work with PHAs, providing training, guidance, and technical assistance to effect the transition.Strong CommunitiesStrengthen communities_b49524aa-733d-4d03-85f0-7dd2f4518838COverview: The federal community development programs administered by HUD target their benefits to low and moderate-income people and have been successful in stabilizing and revitalizing communities across the nation. Through the programs of HUD’s Office of Community Planning and Development (CPD), HUD supports the development efforts of states, local communities, and other HUD partners. A key component of this goal is the Community Development Block Grant program that has built and rehabilitated homes, fueled business development to create jobs, and improved the overall health of our nation’s communities. The Bush Administration proposes to reform the CDBG program to more effectively contribute to local community and economic progress. Formula changes will be proposed to direct more of the program’s base funding to communities that cannot meet their own needs and bonus funds will be available to communities that demonstrate the greatest progress in expanding home ownership and opportunity for their residents. Strategic Objectives Supporting Goal C Strengthen Communities Additionally, the HOME program helps strengthen communities by expanding the availability of homeownership and affordable rental housing. CPD also administers HUD’s homeless programs, which are an essential part of the Administration’s strategy for eliminating chronic homelessness. A new focus for this strategic goal is to strengthen the effectiveness of federal efforts to provide economic and community development opportunities to low-income households. HUD is working with grantees, interested parties, and other federal agencies to develop and implement performance measures and outcomes for these programs. Other HUD offices contribute to this goal through maintaining and promoting quality affordable housing in neighborhoods, reaching out to communities through University Partnerships, making affordable capital available to construct and modernize hospitals, and fostering international exchanges on housing, community development, and urban planning. Performance Measures: • HUD will assist Louisiana, Mississippi, Alabama, Texas, and Florida in planning and implementing programs to aid in community and economic recovery of the areas destroyed by the hurricanes.HUD will expeditiously review and approve disaster recovery plans submitted by these states.(Metrics will be developed over FY 2007 to measure progress in recovery.) • By 2011, median home loan values as reported by Home Mortgage Disclosure Act (HMDA) data will increase in 60 percent of the CDBG Neighborhood Revitalization Strategy Areas that have concentrated community development investments. (Baseline studies, if available, will guide further refinement of this measure.) • Eliminate the blighting influence of 25,000 vacant, boarded up, or abandoned properties by 2011. • By 2011, 322,486 (2006-2011) jobs will be created or retained through CDBG. • Increase economic opportunity through use of CDBG funds in communities that are above the national unemployment rates. • The share of CDBG entitlement funds that benefit low- and moderate-income persons remains at or exceeds 92 percent. • The share of state CDBG funds that benefit low- and moderate-income persons remains at or exceeds 96 percent. • Support the availability of decent, affordable rental housing by endorsing at least 33 percent of FHA-insured multifamily mortgages in underserved areas annually through 2011. • Increase and maintain the number of Neighborhood Networks Centers in FHA-insured and assisted multifamily housing properties. • The percentage of formerly homeless persons who remain housed in HUD permanent housing projects for more than 6 months will be 75 percent by 2011. • By 2011, HUD will create 40,000 new units of permanent housing for chronically homeless individuals. • By 2011, 65 percent of households leaving transitional housing will directly move to permanent housing. • By 2011, 25 percent of homeless persons will be employed upon exiting HUD homeless assistance projects. • HUD will work with other federal partners to eliminate lead poisoning in children nationwide by2010. • By 2011, the Healthy Homes Initiative will reduce allergen levels in 5,000 homes and consequently decrease asthmatic episodes in at least 3,000 children.Gulf Coast Disaster RecoveryAssist disaster recovery in the Gulf Coast region._f003fe5a-6c17-41e6-a28f-e6d8a311f91cC1During 2005, Hurricanes Katrina, Rita, and Wilma ravaged Louisiana, Mississippi, Alabama, Florida, and Texas and displaced hundreds of thousands of people. The people and infrastructure of the city of New Orleans were hit particularly hard. HUD is working with the Federal Emergency Management Agency to meet the emergency housing needs. The Department also has estimated that over 125,000 housing units were severely damaged or destroyed by Hurricanes Katrina, Rita, and Wilma, and another 179,000units received major damage. As Congress looked toward long-term reconstruction strategies, it provided $11.5 billion through the CDBG program in December 2005. The Department has requested that Congress provide additional supplemental funding of $4.2 billion for community development and continued rental assistance for Louisiana. Under this objective, HUD will use supplemental appropriations to support the recovery of housing and critical infrastructure in the Gulf region so the citizens can rebuild their communities and lives.Economic OpportunitiesEnhance sustainability of communities by expanding economic opportunities._65be6780-624c-400a-b4ee-3bcece1ebbe3C2Communities cannot be viable places to live without economic resources. A key objective of HUD’s community and economic development programs is to help improve economic conditions in distressed communities. Economic development is a key activity under the CDBG program. Funded activities include job creation and retention, as well as education, training, and services that strengthen the workforce. Grantees may also use CDBG funds to invest in infrastructure and housing improvements, which can spur further economic growth. HUD, in consultation with grantees and other interested parties, has developed a performance measurement framework for the formula grant programs (CDBG, HOME, HOPWA, and Emergency Shelter Grants) that will focus on three objectives, one of which is creating economic opportunities. Through this framework, HUD will be able to measure the extent to which the formula programs are supporting this strategic objective.HUD funds promote economic development even when that is not the primary purpose. Section 3 of the Housing and Urban Development Act of l968 requires that when HUD provides financial assistance to grantees in economically distressed areas, the resulting jobs, training, and contracts will be given to low- and very-low income persons in those areas to the greatest extent feasible.Physical Conditions and Quality of LifeFoster a suitable living environment in communities by improving physical conditions and quality of life._4423ca11-0aeb-4c14-acfd-8a2d31790e5eC3Decent public services and amenities, safe, clean streets, adequate infrastructure, and homes free from environmental hazards are among the many factors that influence quality of life for members of a community. A range of HUD programs target funds to address such quality-of-life issues in low-income communities and households. For example, local communities often use CDBG funds for roads, sewers, and other infrastructure investments, or for community centers, parks, and other assets that help to strengthen and revitalize their low-income neighborhoods. HUD also funds housing development and rehabilitation through CDBG, HOME, Youth build, and Lead Hazard Control grants, and provides FHA mortgage insurance to make private capital more available for homeownership, affordable rental housing, and healthcare facilities.HomelessnessEnd chronic homelessness and move homeless families and individuals to permanent housing._59606e45-d14f-47cd-a1dc-d1796f2a692fC4Decent public services and amenities, safe, clean streets, adequate infrastructure, and homes free from environmental hazards are among the many factors that influence quality of life for members of a community. A range of HUD programs target funds to address such quality-of-life issues in low-income communities and households. For example, local communities often use CDBG funds for roads, sewers, and other infrastructure investments, or for community centers, parks, and other assets that help to strengthen and revitalize their low-income neighborhoods. HUD also funds housing development and rehabilitation through CDBG, HOME, Youth build, and Lead Hazard Control grants, and provides FHA mortgage insurance to make private capital more available for homeownership, affordable rental housing, and healthcare facilities. mainstream housing programs, such as Housing Choice Vouchers and the public housing program.HealthAddress housing conditions that threaten health._21179741-9acd-4e4c-b619-da316920c1c6C5A safe housing stock is a critical precondition for safe, livable communities. Along with its responsibility for HUD-assisted private housing and public housing, HUD addresses hazards in unassisted private housing. The Department regulates the construction and inspection of manufactured housing. HUD also remains committed to reducing mold and other residential health and safety hazards through a comprehensive, cost-effective Healthy Homes approach, and to eliminating the poisoning of children by lead-based paint in older homes. The Department makes housing, especially for low income families, safe from these residential environmental hazards through grants; in the case of lead hazards, HUD also does so by regulating the sale or lease of older housing, and by regulating assistance to older housing. HUD’s research improves methods for detecting, assessing, and controlling these residential environmental hazards. HUD supports research and development of housing construction that resists natural disasters, such as hurricanes, floods, earthquakes, tornados, and firestorms. In addition, for persons with HIV and other chronic health challenges, the risks of homelessness pose a direct threat to their health, stability, and relative wellness. The Department’s homeless assistance programs and the HOPWA program are vital tools in reducing the health consequences for persons who are homeless or at severe risk of homelessness.Equal Opportunity HousingEnsure equal opportunity in housing_25df2aa8-5969-4988-a14b-1062833f4e9bDOverview: Battling housing discrimination remains a core element of HUD’s mission. In order for all Americans to have an equal opportunity to buy or rent housing that matches their individual needs, discrimination against minorities and persons with disabilities must be eliminated in all our communities. Architectural barriers, refusals to rent or sell, denials of financing, and steering buyers away from certain neighborhoods are some of the forms discrimination now takes. These discriminatory actions exclude people from the diverse housing opportunities that should be available to them.HUD is committed to ending the practice of discrimination. To do this, HUD enforces fair housing laws and educates lenders, housing providers, developers, architects, home seekers, landlords, and tenants about rights and obligations in complying with the laws. Working with state and local partners – as well as the private sector –the Department is involved in a cooperative effort to increase access to the nation’s housing stock so that more Americans can obtain housing of their choice. Since 2000, HUD has conducted several key studies to determine the frequency of discrimination in the housing market and the public’s level of fair housing awareness. HUD’s multi-year Housing Discrimination Study 2000 (HDS 2000) found that while housing discrimination has decreased overall during the preceding decade – notably, by 12 percentage points for African American homebuyers – it continues to affect the lives of millions of Americans. All major minority groups – including African Americans, Hispanics, Native Americans, Asians and Pacific Islanders – were found to experience high levels of consistent adverse treatment in at least 21 percent of rental settings. In July 2005, HUD released its first study of housing discrimination against persons with disabilities. The study, “Discrimination Against Persons with Disabilities: Barriers at Every Step,” examined the Chicago-area rental market and found that hearing-impaired people experienced consistent adverse treatment 50 percent of the time when using a telephone-operator relay to search for rental housing. Persons in wheelchairs experienced consistent adverse treatment32 percent of the time when they visited rental properties. HUD’s 2002 Housing Awareness Study “How Much Do We Know?” indicated that fair housing education and enforcement had greatly increased awareness, but also found that many Americans still do not recognize unlawful discrimination when it occurs. For example, 46 percent of people surveyed did not know that it is illegal for real estate agents to limit a home search to certain neighborhoods based on the race of the home seeker and the racial composition of the neighborhood. When asked about differential treatment of families with children, an alarming62 percent of those surveyed were not aware that such different treatment was illegal. In 2001, HUD studied pre-application lending discrimination in two major metropolitan areas. “All Other Things Being Equal” found that while minorities and whites receive equal treatment in the majority of cases, there were patterns of unequal treatment that systematically favor whites. For example, African Americans received less information about the loans and less follow-up than white homebuyers with similar economic histories. In one city, Hispanic borrowers were quoted a loan amount that was on average $10,000 less than the amount quoted to whites with identical economic profiles. These differences in treatment, even at the pre-application stage, influence a family’s decision about what home to choose and the amount of the loan and type of loan they can afford. These studies provide HUD with important information to fulfill its mission and ensure equal opportunity in housing. Performance Measures: • By the end of FY 2011, at least 85 percent of open HUD fair housing complaints will be completed within 100 days, excluding recommended cause, pattern and practice, and systemic complaints, increasing by 5 percentage points annually from the FY 2006 baseline of 60 percent. • By the end of FY 2011, at least 65 percent of open FHAP fair housing complaints will be completed within 100 days, excluding recommended cause, pattern and practice, and systemic complaints, increasing by 2 percentage points in FY 2006, and thereafter by 3 percentage points annually, from the FY 2005 baseline of 48 percent. • To improve the quality and rigor of investigations, increase the proportion of complaints that use testing as evidence by 6 percentage points from the FY 2006 baseline by FY 2011. • Decrease the percentage of minorities that were found to experience consistent adverse treatment in the rental market by 2 percentage points by 2011. (This performance measure is contingent upon the availability of funds to measure results by conducting a Housing Discrimination Study.) • By 2011, HUD will increase public awareness of the Fair Housing Act’s prohibitions of discrimination against families with children by 6 percentage points from the baseline of 44 percent in 2005. • By 2011, HUD will increase public awareness of the Fair Housing Act’s prohibitions against racial steering by 4 percentage points from the baseline of 58 percent in 2005. • Ensure that civil rights limited monitoring reviews are conducted during on-site monitoring reviews of HUD-funded recipients by responsible HUD program offices, with referral to FHEO for review and appropriate action. • Through development of a national strategy, FHEO will conduct 280 compliance and monitoring reviews by 2011. • HUD will take corrective action on all findings resulting from civil rights limited monitoring reviews. • HUD-assisted units made accessible as a result of Voluntary Compliance Agreements will be verified by FHEO and a database of those accessible units will be maintained beginning 2007through 2011.Discrimination ComplaintsEnsure access to a fair and effective administrative process to investigate and resolve complaints of discrimination._2348a767-c283-4ff8-b945-c16b773931a8D1HUD is responsible for enforcement of the Fair Housing Act and for ensuring that HUD programs promote fair housing and comply with civil rights laws. The Fair Housing Act makes it unlawful to discriminate in housing against persons based on race, color, religion, sex, national origin, disability, or familial status. The Department investigates all complaints filed by individuals who believe they have experienced discrimination in housing. Resolving these complaints on a timely basis reflects HUD’s commitment to continuing and improving this important aspect of its work. In recent years, HUD has made significant strides in reducing its inventory of “aged cases” and is now focused on increasing the number of cases processed within 100 days, the statutory threshold for timeliness.Public AwarenessImprove public awareness of rights and responsibilities under fair housing laws._faec9ea9-4be8-4139-8674-b375b0eb9161D2HUD views enforcement of fair housing laws as going hand-in-hand with increasing public awareness of those laws and the avenues for reporting violations. Many people remain unaware of protections provided by the law, and according to “How Much Do We Know?” only5 percent of the people who believe they experienced housing discrimination contact a government agency, a fair housing organization, or a lawyer. To address these findings, HUD launched an award-winning multi-media campaign in 2003 to expand awareness of fair housing laws and methods for filing complaints. These efforts contributed greatly to a 14 percent increase in the number of discrimination complaints reported to HUD and substantially equivalent fair housing agencies between 2003 and 2005.HUD will continue to work in cooperative effort with tenants, builders, landlords, and other stakeholders to improve understanding and compliance with Fair Housing laws.AccessibilityImprove housing accessibility for persons with disabilities._5245c8d4-9114-4bf1-9ac5-296b15c98de1D3This strategic objective reflects a concerted effort by HUD to reduce barriers that limit the housing options for persons with disabilities and create more accessible units. In addition to the Fair Housing Act, HUD enforces Section 504 of the Rehabilitation Act of 1973, which prohibits discrimination in federally assisted programs or activities; Title II of the Americans with Disabilities Act of 1990; and the Architectural Barriers Act of 1968.HUD’s 2005 study “Discrimination Against Persons with Disabilities: Barriers at Every Step” revealed high levels of discrimination against persons with disabilities. The study found that at least one-third of the advertised rental properties in the Chicago area were not accessible to wheelchair users. In other words, a person who uses a wheelchair is limited to about two-thirds of the Chicago-area rental market from the outset. As a result of enforcement done in tandem with ongoing educational efforts to acquaint the public and building community with rules regarding accessibility, HUD anticipates a continued increase in the number of accessible units. HUD also will provide more homeownership opportunities to persons with disabilities through enforcement of the Fair Housing Act and Section504 of the Rehabilitation Act of 1973.Law EnforcementEnsure that HUD-funded entities comply with fair housing and other civil rights laws._db8a7937-261c-4996-82a0-029400b3b7b2D4Title VI of the Fair Housing Act requires federal agencies to ensure that their programs provide equal opportunity in housing. This new strategic objective focuses on the cross-cutting nature of fair housing issues and invigorates the Department’s compliance enforcement activities, including accessibility of housing for persons with disabilities under Section 504.Ethics, Management, and AccountabilityEmbrace high standards of ethics, management, and accountability_37955a83-ce84-4168-bbb4-9484fbaabb29EOverview: To achieve the Department’s other strategic goals effectively, it is essential that HUD employees and HUD’s partners embrace high standards of ethics, management, and accountability. Because HUD manages public programs using public resources, HUD is accountable for ensuring that government funds are handled properly and achieve the purposes for which they were provided. The Secretary has made stronger ethics, effective management, and accountability a top priority throughout the Department’s operations. This goal guides the planning, investment, and management of human and other resources to achieve performance improvements in financial management, information technology, and program operations. The President’s Management Agenda (PMA) is designed to improve the efficiency and effectiveness of the federal government and to address significant management deficiencies at individual agencies. Building on the PMA and feedback from the Government Accountability Office (GAO), HUD has made significant progress in its financial systems and rental assistance program management. In the years to come, the Department will sustain its commitment to these areas while improving performance and maintaining the highest standards of ethics, management, and accountability. The PMA provides the framework for this strategic goal’s means and strategies, as it addresses HUD’s management challenges and high-risk programs through five initiatives to improve government-wide performance. The five areas of focus are human capital, expanded electronic government, improved financial management, competitive sourcing, and budget and performance integration. The PMA also includes two HUD-specific initiatives to correct long-standing management control weaknesses and improper payment issues. Under an eighth initiative, HUD will improve program delivery by enabling increased participation by faith-based and community organizations. Performance Measures: • By 2008, HUD will have implemented its human capital strategic plan and will have its workforce training, retention, and recruitment policies in place and determined acceptable by an independent review. • Once the process is completed for identifying all skill gaps in mission-critical positions, HUD will reduce by 80 percent all identified skill gaps by 2011, contingent upon adequate funding. • Employee satisfaction will increase by 5 percent from the 2005 baseline by 2011. • HUD will eliminate all remaining material weaknesses by FY 2008. • Continue the Rental Housing Integrity Improvement Program Initiative and institutionalize processes into PIH’s annual Management Plan. • Reduce gross improper payments to less than 2.5 percent of appropriated annual funds under the tenant-based voucher, public housing, and project-based rental assistance programs. • Properly align PIH Headquarters and Field Office operations to facilitate the implementation of asset-based management in public housing. • Require PHAs to develop an emergency evacuation plan in coordination with local, state, and federal government. • Increase the number of performance assessments received from Neighborhood Networks Centers. • Ensure that IT investments better promote enterprise collaboration by 2008, as measured by the level of technical standardization and use of off-the-shelf systems, reusable components, and shared services. • Increase the percentage of customers and business partners who are satisfied with the security, rapidness, and reliability of HUD-provided data and information. • Certify and accredit all information systems prior to their operation; reduce the number of outstanding security vulnerabilities by 25 percent per quarter; and provide topical security awareness training to all HUD users annually. • Revise and implement standards for the timeliness and accuracy of critical PIH management data, with the goal of achieving 97 percent timeliness and accuracy of tenant characteristics data and99 percent of electronic financial statements for the public housing and voucher programs.Human CapitalStrategically manage HUD’s human capital to increase employee satisfaction and improve HUD performance._6f47dbbc-20d5-42a8-b0f5-54a7248632e2E1This strategic objective stresses the importance HUD places on its most valuable resources, its employees, recognizing that it is only through their efforts that HUD’s mission will be carried out. HUD’s goals are to recruit, develop, and retain a workforce of employees renowned for professional leadership, management, and technical competency, while ensuring that they have opportunity to gain the widest possible ranges of skills and experiences. The eligibility of over half of HUD’s workforce for retirement over the next several years poses a significant challenge for HUD’s operations. As GAO has recognized, this retirement issue is a government-wide problem. HUD, however, views it as an opportunity to attract and develop anew cadre of employees to take on the future challenges of housing and community development. In the future, all employees of HUD will have the knowledge and skills to manage information effectively. The continued implementation of HUD’s Strategic Human Capital Management plan remains critical to the Department’s success in managing this invaluable resource and continuing to strengthen internal communications.Internal Controls and AuditsImprove HUD’s management and internal controls to ensure program compliance and resolve audit issues._2b5a45c0-ad95-443c-8558-cf1468ff40d9E2HUD will remain focused on the continuous improvement of the organization and functions, and respond as effectively to the needs of its partners as the private sector responds to its customers. As a large organization with multiple responsibilities, HUD must maintain strong internal controls to ensure that HUD effectively meets its responsibilities, including the elimination of fraud, waste, and abuse of federal resources. As discussed in more detail below, HUD’s most significant management challenges are the following: • Improve financial management systems; • Ensure adequate and sufficiently trained HUD staff; • Improve origination of FHA single-family mortgage insurance and oversight of real estate owned property; • Improve the effectiveness and efficiency of public and assisted housing program administration; • Ensure grantee compliance with relevant regulations and statues.Accountability and ServiceImprove accountability, service delivery, and customer service of HUD and its partners._0f59097e-bb44-49a7-9125-fb3c7635fb8cE3HUD’s extensive use of the partnership model is a fundamental aspect of the Department’s operations. This objective highlights the HUD and PMA goal of improving the performance of HUD partners or intermediaries. HUD’s partners include state and local governments, nonprofit organizations, for-profit organizations, and even other federal agencies. HUD has a legal and financial relationship with 4,500 PHAs and numerous private housing providers. Approximately 4,000 localities and service providers administer HUD’s community development programs. Private partners also participate in housing finance programs that insure mortgages and guarantee mortgage-backed securities totaling over a half trillion dollars.Modernized TechnologyCapitalize on modernized technology to improve the delivery of HUD’s core business functions._6c5bdabb-dbed-4b5b-bbf2-1aab9e2a787dE4As technology continues to reshape our world, the Department must transform business using information technology innovations and solutions that meet and exceed the rising expectations of our business partners and the citizens we serve.HUD is already recognized as a technology leader, delivering secure, reliable, and well-managed information technology (IT) solutions that increase the accessibility and availability of services, funding opportunities, and program related information to our business partners and the general public. Using HUD’s new Enterprise Architecture and its IT Strategic Plan as a foundation for decision making, the Department will modernize HUD’s business processes and IT through its five-year Vision 2010 initiative. Vision 2010 will focus on core business and enterprise IT investments to optimize HUD business practices and improve internal efficiency and decision making. The key approach is to provide integrated web-based solutions to enhance HUD’s ability to meet Departmental goals and “just in time” customer demand for HUD’s programs.Faith-Based and Community OrganizationsPromote participation of faith-based and community organizations_2f163656-845f-4e07-9d39-d06f9df957c0FOverview: In January 2001, President Bush created the White House Office of Faith-Based and Community Initiatives and charged it with lifting up this nation’s charitable service organizations and encouraging their good works. Roadblocks –including outright bias, arbitrary and burdensome regulations, and general confusion over the way the federal government has addressed the separation of church and state – often have prevented HUD and other federal agencies from expanding federal partnerships with America’s faith-based groups. HUD’s goal is to break down the barriers and substantially strengthen and expand its partnerships with faith-based and community groups, taking full advantage of their capacity to provide quality services to communities and families. Performance Measures: • Participation of faith-based and community-based organizations in HUD programs continues to increase, as evidenced by the number of grant applications for and partnerships in HUD programs. • Evaluate the number of applications by faith-based and community grantees against the previous year’s baseline. • Identify and eliminate the barriers to participation by faith-based and community organizations in HUD-sponsored programs. • Implement and monitor the recording mechanisms for analyzing competitive grant applications for faith-based groups. • Implement and monitor the recording mechanisms for analyzing formula grant applications for faith-based groups.• Provide technical assistance and/or training to a significant number of potential faith-based and community-based applicants for HUD-sponsored programs. • Encourage HUD’s block grant recipients to create partnerships with faith-based and community organizations. • Encourage faith-based and community organizations to enter into local and regional consolidated planning processes so as to participate in block-grant funding opportunities.Reduce BarriersReduce barriers to faith-based and community organizations’ participation in HUD-sponsored programs._29d416fd-4eb5-4d27-b6e2-b25be15a823aF1HUD’s activities under this objective will help to maximize full participation by faith-based and community organizations, by identifying barriers that inhibit participation and by assessing procurement and other internal policies and practices. Building on regulatory reforms put in place in 2003 and 2004, HUD will pursue remediation to any additional barriers, regulatory or otherwise, that emerge. Although HUD enjoys a long history of partnering with faith-based and community groups, many have been at a disadvantage. Some have been required to strip themselves of their religious identity and to separate their faith from their good works. Additionally, some smaller faith-based and community groups lack knowledge about the more technical aspects of identifying, applying for, and administering government funds.Outreach & Technical AssistanceConduct outreach and provide technical assistance to strengthen the capacity of faith-based and community organizations to attract partners and secure resources._d12f4331-7052-417a-ba1b-b1d387c3df8aF2Faith-based and community organizations, large and small, can play a significant role in helping HUD to achieve its core mission. Among other assets, many of these organizations have a detailed knowledge of the needs of low-income communities and have the trust of low-income residents. However, some smaller grassroots and faith-based institutions have lacked access to information and critical networking contacts, and lack complete capacity to make themselves eligible to receive federal funding. In response, HUD’s Center for Faith-Based and Community Initiatives(CFBCI) will reach out to groups – especially the smaller grassroots organizations that tend to be excluded – and help them with educational seminars, technical assistance, and other services. By increasing the involvement of faith-based and community organizations in HUD’s programs, the Department intends to provide higher quality services to the nation’s communities.PartnershipsEncourage partnerships between faith-based/community organizations and HUD grantees and subgrantees._68ffff94-2d69-4c4e-8f20-d5b5ac63c383F3The goal of utilizing faith-based and community grassroots organizations to advance the mission of HUD ultimately hinges on the extent to which these organizations are able to access resources at the local level. HUD annually awards on the order of $2 billion in competitive grants for which nonprofit organizations are eligible. By comparison, $6 billion is potentially available through the CDBG and HOME programs – and more still through PHAs. Some local government entities may have limited experience in working with nonprofit, community-based service providers. Therefore, the CFBCI will work to bring together local government and community organizations to discuss the unmet needs of the community and the capacity of faith communities to respond to those needs. Additionally, the CFBCI seeks to encourage access to local funds by creating a greater transparency of the grant making processes. To this end, HUD will publicize the local grant opportunities, the points of contact, and examples of recent grants to faith-based and community grassroots organizations.2005-10-012011-09-302010-02-08http://www.hud.gov/offices/cfo/reports/hud_strat_plan_2006-2011.pdfOwenAmburOwen.Ambur@verizon.net