rural development housing programs

RURAL DEVELOPMENT HOUSING PROGRAMS

SFH REPAIR LOAN AND GRANT

• Help low and very low income owner occupants complete essential repairs

• Loans – repair or modernize; 1% fixed interest rate; up to 20 year loan term; $20,000 outstanding at any one time

• Grants – remove health/safety hazards only; $7500 lifetime maximum; must be at least 62 years old

• FY 2012 to date:

17 families assisted with loans - $99,459

64 families assisted with grants - $386,010

SFH 502 DIRECT LOAN PROGRAM

• Assist low and very low income applicants purchase new or existing home, complete required repairs, and pay closing costs

• Payments are based/subsidized on annual household income• Subsidy will be 24% of monthly income or 1% rate whichever is

higher• 100% financing with 33 year loan term and fixed interest rate

(currently 3.25%)• FY 2012 to date: 90 families assisted - $8,243,465• FY 2011: 183 families assisted w/ Direct funds - $17,632,545

SFH 502 GUARANTEED LOAN PROGRAM

• Assist applicants purchase new or existing, complete required repairs, and pay closing costs OR

• Refinance construction to permanent or existing RD direct or guaranteed to lower the rate and extend the term

• Income cannot exceed moderate level which is currently $74,750 for families of 1-4 persons and $98,650 for 5-8 person families

• Loans are approved by an approved lender• 100% mortgage financing but LTV can exceed to include guarantee

fee• No down payment required; mortgage insurance not allowed

SFH 502 GUARANTEED LOAN PROGRAM CONTINUED

• Actual 2% guarantee fee on purchase, 1.5% on refinance, plus .3% annual fee on all loans

• 30 year loan term and fixed interest rate• FY 2012 to date: 1092 families assisted - $119,262,370

• FY 2011: 2,356 families assisted - $257,203,834• FY 2010: 3,045 families assisted - $327,126,343• FY 2009: 3,068 families assisted - $315,459,603

533 HOUSING PRESERVATION GRANTS

• Funds are provided to Grantee to assist low and very low income homeowners repair/rehab their homes or build new

• Eligible applicants – American Indian Tribes, private non-profit, public non-profit organizations

• Funds can be used for: sewers/septic systems, water systems, wiring, roof repair/replacement, siding, handicap accessibility; admin fees

• Grantee supervises work, can use 20% grant funds for admin expenses, provides RD quarterly reports

533 HOUSING PRESERVATION GRANTS CONTINUED

• FY 2011 State Allocation : $239,295

6 applications currently submitted for funding from regular funds

• FY 2010 State Allocation: $261,825

6 projects were funded w/regular and disaster funding

515 MULTI-FAMILY DIRECT HOUSING

• 2011

1 Property funded for $1,000,000

• 20102 Properties funded for $463,243

523 MUTUAL SELF HELP HOUSING

• Provide funds to Grantees to assist with technical assistance, recruitment, etc. to eligible homeowners to build homes utilizing “sweat equity”.

• Currently 6 operating Grantees in the state with funding totaling $3,542,611 to assist 208 families build homes

• FY 2010: 4 Grantees funded $2,873,211 to build 160 homes in 2 yrs.• FY 2011: 1 Grantee funded $449,400 to build 28 homes in 2 yrs. • FY 2012 to date: None funded to date; 2 applications pending for

$1,757,839 and 102 homes

538 GUARANTEED RURAL RENTAL HOUSING LOAN PROGRAM

• FY 2011

0 loans to date

• FY 2010 to date:

2 loans totaling $839,020 on projects with total development costs of $13,804,276 (Leverage funding 88.9% and 91.4% on the two projects)

Business & Community Programs

Business & Industry Guaranteed Loans

Community Facility Direct Loans & Grants

Water & Environmental Programs

and…numerous other programs

Business & Industry Guaranteed Loans

• 50,000 population or less *• New or existing businesses• 80% Guarantee *• Job Creation and Job Sustainment• Banks use it for risk management

Business & Industry Guaranteed Loans

• Since 2008….– Over 60 businesses have been helped– Thousands of jobs have been created or saved– Over 240 million dollars guaranteed– Set records for obligations in 2008 and 2010

Business & Industry Guaranteed Loans

• Some examples….– Hotels– Manufacturing Companies– Convenience & Grocery Stores– Oil & Gas– Retail Establishments

Water & Environmental Programs

• 10,000 population or less• Low interest loans (2.00% to 3.375%)• Some grants are possible• For Municipalities & Rural Water Districts

and Tribal Entities• Guaranteed loans are available• Drinking water, & waste water

Water & Environmental Programs

• Drinking water, & waste water• Since 2008…

– Over $198,000,000 dollars obligated– Repaired, constructed, expanded over 110

facilities

Community Facility Direct Loan, Guaranteed Loan & Grant Program

• 20,000 population or less• For Municipalities, Counties, Non-Profits, Tribal

Entities• Project can receive combined funding…loan/grant

combos• Hospitals, Police, Fire, Rescue, Municipal

Buildings, Jails, Childcare, Farmers Markets, Libraries, Computer Labs, Dormitories

Community Facility Direct Loan, Guaranteed Loan & Grant Program

• Since 2008….– Over $37,000,000 obligated in loans & grants

9000 series Energy Programs

• 9007 - Rural Energy for America Program (R E A P)

• 9005 - Payments to Eligible Advanced Biofuel Producers

9007 – R E A P

• Grants & Guaranteed Loans• “For Profit” companies & Ag Producers• Grants are 25% of eligible project• $1,500 minimum / $250,000 maximum• Wind, solar, HVAC, insulation, windows…

Section 9005 - Payments to Eligible Advanced Biofuel Producers

• To support and ensure an expanding production of Advanced Biofuels

• Provide payments to Eligible Advanced Biofuel Producers• To promote sustainable economic development in rural

America• To provide economic incentives for increased production

of advanced biofuel and use.

Section 9005 - Payments to Eligible Advanced Biofuel Producers

• Eligible Applicants– Advance Biofuel producers

• Rural and non rural biofuel facilities• Foreign owned biofuel facilities

Section 9005 - Payments to Eligible Advanced Biofuel Producers

• August 18, 2010 amended notice • Allows foreign-owned and non rural to submit an

application to participate in the remaining available funds for FY2009

• Provide 25% of the remaining available funds to producer who submitted a request under the March 12, 2010 NOCP

• Applications from foreign-owned and non-rural producers due September 17, 2010

Other Business & Community Programs

• Value Added Producer Grants• Rural Business Enterprise Grants• Rural Business Opportunity Grants• Rural Economic Development Loan & Grants• Rural Microentrepreneur Assistance Grants• Intermediary Relending Programs

Questions….