HUD Final Rule Boosts Native Hawiian Housing Opportunties
Some may consider the state of Hawaii as a tropical paradise. Yet, this state has similar problems with affordable housing that all other states do. A recent final rule issued by the Department of Housing and Urban Development (HUD) seeks to help address this concern.
On Monday, HUD issued the final rule to amend its regulations at 24 C.F.R. Part 1006 covering rental housing assistance under the Native Hawaiian Housing Block Grant (NHHBG) program to clarify and improve consistency with Title VIII of the Native American Housing Assistance and Self-Determination Act of 1996 and HUD’s Indian Housing Block Grant program regulations. It also aimed to help make affordable housing opportunities, in the form of NHHBG-assisted rental housing, more available to eligible Native Hawaiian families. The final rule becomes effective March 13.
The NHHBG program primarily benefits low-income Native Hawaiian families who are eligible to reside on the Hawaiian home lands. According to HUD, current NHHBG regulations do not adequately explain how NHHBG’s sole funding recipient, the Department of Hawaiian Home Lands (DHHL), may use funds for rental assistance. Prior to federal fiscal year 2020, DHHL used NHHBG funds primarily for homeownership housing assistance, but in 2019, Hawaii changed its administrative rules to allow DHHL to expand residential lease offerings to include rental housing.
In response, HUD is now amending its NHHBG program regulations to decrease DHHL’s burden in implementing rental assistance, improve low-income Native Hawaiian families’ access to rental assistance and clarify HUD’s program requirement monitoring and enforcement tools. In the final rule, HUD is changing the definition of “project-based rental assistance” to add that such assistance may consist of rental assistance provided through an agreement for use of a DHHL property to account for situations where DHHL owns the building, but contracts with an agency to manage the property as a facility where units are rented out. The agency also is amending its regulations at 24. C.F.R §1006.215(f) to allow NHHBG funds to be used for management services, not just for units developed with NHHBG funds, but for all units occupied by NHHBG eligible families, to account for the fact that some units occupied by NHHBG eligible families are not developed with NHHBG funds.
“We are committed to supporting Hawaiian communities with quality, affordable housing, especially low-income Native Hawaiian families who reside on the Hawaiian home lands and often face significant housing challenges,” said HUD Secretary Marcia Fudge. “Expanding the availability of affordable and accessible housing options will enable Native Hawaiians to maintain their housing and ensure benefits for future generations.”
Paradise or not, having a place to call home is something to aspire to.
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