S. 3901: HOME Investment Partnerships Program Expansion Act

The HOME Investment Partnerships Program Expansion Act aims to enhance the existing HOME Investment Partnerships Program, which provides funding to create affordable housing. Here’s a breakdown of what the bill proposes:

Infrastructure Improvements

The bill permits certain jurisdictions to use funding from the HOME program for infrastructure improvements. This includes:

• Installing or repairing water and sewer lines, sidewalks, roads, and utility connections.
• Eligibility for these improvements is contingent upon the jurisdiction not receiving assistance from the Housing and Community Development Act of 1974.
• The improvements must directly relate to housing funded under the HOME program or specified sections of the Internal Revenue Code.

Furthermore, labor standards from previous housing acts will apply to any infrastructure work funded by this bill, ensuring fair labor practices are followed.

Affordable Homeownership Qualifications

The bill also introduces changes to the qualifications for affordable homeownership housing. It includes:

• Increasing the qualifying income limit for housing affordability from 95% to 110% of the median income.
• Introducing new mechanisms for maintaining long-term affordability, such as shared equity ownership models or community land trusts.
• Adjustments for military members, allowing jurisdictions to overlook certain income qualifications for housing when impacted by military service, as defined in the bill.
• Provision that allows heirs and beneficiaries of deceased owners to maintain affordable housing status, provided they assume the obligations related to the housing.

Regulatory Requirements

The Secretary of Housing and Urban Development is tasked with creating rules to implement the changes proposed in this bill within one year of its enactment. This will ensure that the new measures are put into practice effectively and consistently.

Additional Notes

The bill emphasizes that while it allows infrastructure improvements connected to housing projects, it clarifies that no additional HOME program requirements will be imposed on such housing that does not receive direct assistance under the HOME program.

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