2004 Public Policy Recommendation

Appropriate at least $1.8 billion in FY 2005 for HUD McKinney-Vento Homeless Assistance Programs.

U.S. Senators—All Senators—Write a letter to Senate Appropriations Subcommittee on Veterans Affairs, Housing and Urban Development, and Independent Agencies (VA-HUD) Chair Christopher “Kit” Bond (R-MO) and Ranking Member Barbara Mikulski (D-MD) urging them to include at least $1.8 billion for HUD McKinney-Vento Homeless Assistance programs in the “Chairman’s Mark” of the FY 2005 VA-HUD appropriations measure.  Senators on the Appropriations Committee—Prepare to offer an amendment during markup of the FY 2005 VA-HUD appropriations measure to increase funding for HUD McKinney-Vento Homeless Assistance programs to the $1.8 billion level.

U.S. Representatives—All Representatives—Write a letter to House Appropriations Committee Chairman C.W. “Bill” Young (R-FL) and Ranking Member David Obey (D-WI) expressing concern with the Committee’s decision to reduce funding for HUD McKinney-Vento Homeless Assistance programs by $54 million below the FY 2004 level and urging them to increase funding for the programs to at least level funding in a floor amendment to the Committee-passed measure.

Issue Status

The President’s FY 2005 Budget, submitted to Congress in February 2004, included a request of $1.257 billion for HUD McKinney-Vento Homeless Assistance programs, a reduction of $0.003 billion below the FY 2004 appropriation.

In late July, the Appropriations Committee of the House of Representatives approved an FY 2005 VA-HUD appropriations measure with $1.23 million for HUD McKinney-Vento Homeless Assistance programs, a $54 million reduction below the FY 2004 level.

The Senate VA-HUD Subcommittee may mark-up its version of an FY 2005 VA-HUD appropriations bill in early September.

Why this Matters

• HUD McKinney-Vento Homeless Assistance programs are the primary source of federal financial assistance to public, community-based, and faith-based organizations providing emergency shelter, transitional housing, permanent supportive housing and supportive services to all people experiencing homelessness, including homeless veterans.
• The well-documented need for emergency services and permanent supportive housing is not being met.  According to the latest report by the U.S. Conference of Mayors, an average of 30 percent of emergency shelter requests were unmet in 2003.
• To end long-term homelessness for persons with disabilities in ten years, consistent with the Administration’s commitment, at least 15,000 units of permanent supportive housing must be created in each of the next ten years.  HUD data indicate that approximately 9,400 units of permanent supportive housing were created last year, at a cost of $257 million. 
• Extrapolating from that data, 15,000 units could be created for $410 million.  This would require $153 million in new money – only $70 million of which will be addressed through the Administration’s Samaritan Initiative.
• Data from the 2003 Continuum of Care process indicates that because of a lack of funds, 16 percent of all funding requests could not be met, and certain Continuums received no funding at all. To close this gap, $266 million would be required.
• However, this gap does not fully capture the need for additional HUD-McKinney funds to effectively move towards ending homelessness.  For example, it does not take into account applications not submitted or needs outside the existing parameters of McKinney-Vento.
• HUD McKinney-Vento programs presently do not fund permanent housing for homeless families.  Fulfilling the need for permanent housing requires an increase in McKinney-Vento funds.

Background

HUD McKinney-Vento Homeless Assistance programs provide emergency and transitional housing services for all homeless populations, as well as permanent supportive housing for single homeless persons with disabilities.  McKinney-Vento programs are intended to meet the emergency needs of the increasing number of people experiencing homelessness in America.  McKinney-Vento funds alone will not end homelessness – but given adequate funding and proper program planning, they will help move our public policy in that direction.

The best data available indicate that approximately 2.5-3.5 million people are homeless each year, including 600,000 families and 1.26 million children.  Families make up approximately 34 percent of the homeless population.  Roughly 150,000-200,000 persons experience long-term homelessness, many of whom have multiple disabilities.  500,000 veterans experience homelessness in a given year.

HUD McKinney-Vento Homeless Assistance programs were first authorized in 1987 under the Stewart McKinney Homeless Assistance Act.  The programs were last reauthorized formally in 1994, although Congress has renewed them annually since that time through the annual appropriations process.

The FY 2004 appropriation for HUD McKinney-Vento Homeless Assistance program was $1.260 billion. 

Committees of Jurisdiction

Senate—Appropriations, Veterans Affairs, Housing and Urban Development, and Independent Agencies Subcommittee.  Chair, Christopher “Kit” Bond (R-MO); Ranking Member, Barbara Mikulski (D-MD). 

House—Appropriations, Veterans Affairs, Housing and Urban Development, and Independent Agencies Subcommittee.  Chair, James Walsh (R-NY); Ranking Member, Alan Mollohan (D-WV).

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