Custom Search

1.22.2009

The American Recovery and Reinvestment Plan

The Gotham Gazette.com reports: The version of the American Recovery and Reinvestment Plan unveiled on Jan. 15 by House Democrats is breathtaking in its scope and cost. Intended to retain and create 3.7 million jobs over the next two years, the $825 billion package of federal government investments includes dozens of spending measures ranging from $200 billion in fiscal relief to help state and local governments, to $6 billion to extend broadband to rural areas, a 21st century version of Depression-era rural electrification. Two thirds of the total value consists of spending, with one third for tax cuts.

Negotiated with President Barack Obama's transition team, the plan - a.k.a. Stimulus II or ARRP - is an important first step to halt the downward economic spiral triggered by last fall's financial meltdown. As large as it is, though-5 percent of gross domestic product-it is not sufficient to create a sustained recovery. Two other steps are essential. First, more dramatic action is needed to put the brakes on the collapsing housing market. Second, making a recovery sustainable will require a set of policies to lift wages and bolster the middle class. Without these two complementary steps, ARRP might provide temporary relief for our economic illness but not a cure.

Helping the States

Whatever its limitations as a long-term solution, ARRP will provide much-welcome short-term budget relief for New York and other states (45 states face budget gaps). The plan will increase the federal share of Medicaid spending and provide billions in education aid to states and school districts. Both of these measures will help to moderate the severe budget cuts proposed by Gov. David Paterson. New York State should receive upward of $10 billion - and possibly as much as $15 billion - over two years -- funds that will help close the state's budget gaps. Such federal relief will help states maintain their spending and prevent spending cuts or tax increases, both of which would have intensified the downward economic spiral.

Help for a Teetering Economy

A year ago, Congress and the Bush administration agreed to a $150 billion stimulus package that consisted largely of tax rebates. Most economists now agree that last year's stimulus was not up to the task because tax cuts provide less "economic bang for the buck" than most other forms of stimulus. Economic forecaster Mark Zandi, a former advisor to presidential candidate John McCain, estimates that every dollar in tax cuts generates only $1.01 in economic activity, much lower than the spending impact of increasing unemployment compensation ($1.63), state fiscal relief ($1.38) or spending on infrastructure ($1.59). Also, since the tax rebate checks were sent out in May and June, when gasoline prices were skyrocketing, many recipients spent the money to cover their gas costs.


The magnitude of a proposed second stimulus has mounted steadily since last September's financial market meltdown and the ensuing sharp collapse in the consumer spending that accounts for 70 percent of demand in the economy. The spending collapse was compounded by a credit market freeze as Wall Street firms and banks confronted a mountain of bad debts created by high-risk lending and unregulated gambling. The crash of the housing and stock markets destroyed literally trillions in home equity and retirement savings held by millions of middle class households. Along with steadily mounting job losses, this caused households to sharply reduce spending. The collapse of consumer spending is thought to have pulled GDP down by as much as 5 percent during the fourth quarter of 2008.

It is no exaggeration to say that this is the worst economy since the Great Depression. The 2.6 million jobs lost in 2008 were more than in any year since 1945. Overall unemployment could be 9 percent by the end of the year and 11 percent in 2010 in the absence of the recovery plan, according to economist Zandi. Already, unemployment among adult black men is 13.4 percent. Housing prices have fallen 25 percent on average. There were 2.25 million home mortgage foreclosures last year, and one out of every six homeowners owes more on their mortgage than their house is worth.

What Stimulus II Would Do

The proposed American Recovery and Reinvestment Plan is a 21st century version of a government-led recovery and investment program, combining some of the best elements of the Depression-era Works Progress Administration, the Eisenhower era commitment to build the Interstate Highway System, the Apollo Project, and the Great Society. The plan includes spending that will not only provide some short-term stimulus but will increase the long-term productive capacity or efficiency of the economy.

One of the biggest components is $52 billion for various "green jobs" programs from weatherizing public buildings (see related story) and homes to reduce energy demand, to developing a "smart" electric power grid that is both more reliable and better able to transmit clean, renewable energy.

The package would also create jobs by spending $67 billion for infrastructure. Because of the urgent need to boost jobs as quickly as possible, it emphasizes "shovel ready" projects, including mass transit systems, highways, bridges, airports, national parks, water and sewer systems, flood control, and environmental cleanup. The Metropolitan Transit Authority will be able to use some of these monies to fund some of the construction projects and equipment needs in its capital budget. Governor David Paterson submitted an extensive list of 1,922 "ready-to-go" projects to the Obama transition team.

This second stimulus package provides $12 billion to support forward-looking research and development investments that could be particularly important in the future, including biomedical, climate change and alternative energy research, and funds to modernize and expand government and university research facilities.

The ARRP includes $5 billion for job training and employment services, including $1.2 billion to create 1 million summer jobs for youth. It offers additional -- and substantial funds -- for worker training and education as part of the education, healthcare, and science and technology initiatives. There is $5 billion for early childhood development, including additional slots in subsidized childcare and Head Start.

A particularly critical part of ARRP is aid to the unemployed. The program includes $36 billion to extend and modestly increase unemployment benefits, and incentives to encourage states to expand unemployment insurance coverage for low-wage and part-time workers. An additional $30 billion would subsidize health coverage for unemployed workers and provide 100 percent federal funding (i.e., dropping the requirement for a state match) for two years for Medicaid-eligible workers who become unemployed.

Nearly $30 billion would go to increase food stamps, low-income heating assistance, assistance provided under federal Supplemental Security Income, aid for the homeless and Temporary Assistance for Needy Families block grants. A total of more than $11 billion would fund repair and modernization of public housing, help communities build and rehabilitate low-income housing using green technologies, and enable communities to purchase and rehabilitate foreclosed and vacant properties. More HERE


Michael Kelly: Public housing vanguard

http://assets.bizjournals.com/story_image/219790-0-0-1.jpg

Washington.BizJournals.com reports: Public housing in the District was so badly managed that it had gone into court-ordered receivership when Michael Kelly arrived in 2000 to take over as executive director of the D.C. Housing Authority. Eight years later, in December, he received an award from Kenneth Donohue, inspector general for the U.S. Department of Housing and Urban Development, who called the authority under Kelly “one of the best programs in the country.” Now Kelly is arguing that public housing should be included in an economic stimulus package.

You are president of the Council of Large Public Housing Authorities (CLPHA) and wrote congressional leaders to ask that any economic stimulus package include money for public housing upgrades. It’s a request for $5 billion nationwide to look at projects that would modernize or develop public housing.

The maintenance backlog for public housing nationally is $32 billion. How did you decide on $5 billion? I think we’re looking at it as a down payment toward the larger need. One of the things we are very aware of is the president-elect’s desire to have projects that can create jobs and money that can be put on the street quickly, with accountability, and that can have green and sustainable components to it. We think that this $5 billion is the range of dollars that large public housing authorities can utilize quickly.

D.C. has an estimated backlog of $150 million. How much might D.C. get and what could it be used for? We put in a submission for about $30 million that we could actually spend within the next 120 days. Across the country [public housing] received $2.4 billion for the capital fund for the year, so this request would be double an annual capital fund appropriation.


Executive Director, Peekskill Housing Authority

The Peekskill Housing Authority is seeking an experienced housing professional for the position of Executive Director. The successful candidate will administer the current Public Housing. The program consists of two hundred eighty two (282) units. The Authority’s annual operating budget is approximately $2.6 million, and it has a Capital Fund annual allocation of approximately $479,500. The successful candidate will report to a seven (7) member Board of Commissioners and manage staff of nine (9). There is a competitive salary.

Minimum qualifications include: a Bachelor’s degree in Public Administration, Business Administration, Social Services, Urban Studies, City or Regional Planning, Public Policy, or related field; seven (7) to nine (9) years progressively responsible experience with a Public Housing Authority, a non-profit housing corporation, a public agency or private housing management or development firm, with at least 3 years experience at the CEO or Department Head level; proven leadership ability in working with an active board, staff, and residents with diverse backgrounds, government and community services organizations; excellent fiscal, planning, administrative, management, and communication skills; knowledge of HUD rules, regulations, policies, and procedures.

Interested candidates must request an application packet via mail, fax, or email:

Executive Director Search
Attention: Reneé Smith
Peekskill Housing Authority
807 Main Street
Peekskill, NY 10566
Telephone (914) 739-1704
Fax (914) 739-1787
Email: pha.peekskillha@yahoo.com.

RFP: HOPE VI Evaluation Services

The Housing Authority of the City of Texarkana, Texas (HATT) is seeking written Proposals for Evaluation Services for the HOPE VI Program for the Authority over the next four years. The intent of this Request for Proposal (RFP) is to define the general specifications for the professional services required and to set guidelines for selection.

Proposals from perspective offerors for Evaluation Services shall be due no later than Friday, February 20, 2009 at 11:00 a.m. (CST). NO SUBMITTALS WILL BE ACCEPTED AFTER THIS DEADLINE. Submittals must be sealed and will be received at the following address: Housing Authority of the City of Texarkana, Texas, 1611 N. Robison Rd., Texarkana, TX 75501 Attn: Richard Herrington, Jr. The outer-most label of all submittals must be conspicuously marked: "HOPE VI Evaluation Services - Responses to RFP" and include the name of the Offeror(s).

Additional requirements pertaining to the submission package are detailed in this RFP. All questions regarding the RFP should be submitted in writing to: Richard Herrington, Jr., fax (903) 832-2899 or e-mail at rherrington@texarkanaha.org. All questions regarding the attached RFP should be received in writing by Mr. Herrington, no later than 11:00 a.m. (CST) on Friday, February 6, 2009. No verbal questions will be honored.

HATT reserves the right to accept or reject any or all responses, to waive informalities, and to award a contract(s) as it is deemed in the housing authority's best interest. If applicable, HATT reserves the right to award one or more contracts in response to this solicitation if it is to be determined to be in the best interest of the Authority. The finalists in the selection process may be required to participate in an oral interview in Texarkana, Texas.

No oral interpretations will be given to any response as to the meaning or intent of the RFP or to modify any provisions of the documents. No response shall be withdrawn for a period of ninety (90) days subsequent to the submission of offers, without prior written consent of HATT.

The successful candidate(s) shall be required to possess all applicable licenses, certifications, insurance and bonding.

HATT prohibits discrimination in any manner on the basis of race, color, creed, national origin, sex, sexual preference, age, or disability and will pursue an affimative policy of fostering, promoting and conducting business with minority owned enterprises. Submissions will be held in confidence and not released in any manner until after the award of a contract(s).

HATT reserves the right to reject any and all proposals and to waive any minor deficiencies in responses received, if it is in the public interest to do so.

Housing Authority of the City of Texakana, Texas
Richard Herrington, Jr.
1611 N. Robison Rd
Texarkana, TX 75501

RFP: Community and Supportive Services Case Management and Relocation Tracking Software

The Housing Authority of the City of Texarkana, Texas (HATT) is seeking written Proposals for Community and Supportive Services (CSS) Case Management and/or Relocation Tracking Software from qualified firms to provide case management and/or relocation software products and services for the Authority over the next four years. The intent of this Request for Proposal (RFP) is to define the general specifications for the professional services required and to set guidelines for selection.

Proposals from perspective offerors for CSS Management and/or Relocation Tracking Software shall be due no later that Friday, February 20, 2009 at 11:00 a.m. (CST). NO SUBMITTALS WILL BE ACCEPTED AFTER THIS DEADLINE. Submittals must be sealed and will be received at the following address: Housing Authority of the City of Texarkana, Texas, 1611 N. Robison Rd., Texarkana, TX 75501, Attn: Richard Herrington, Jr. The outer-most label of all submittals must be conspicuously marked: 'CSS Case Management and Relocation Tracking Software - Responses to RFP" and include the name of the Offeror(s).

Additional requirements pertaining to the submission package are detailed in this RFP. All questions regarding the RFP should be submitted in writing to: Richard Herrington, Jr. fax (903) 832-2899 or e-mail at rherrington@texarkanaha.org. All questions regarding the attached RFP should be received in writing by Mr. Herrington, no later than 11:00 a.m. (CST) on Friday, February 6, 2009. No Verbal questions will be honored.

HATT reserves the right to accept or reject any or all responses, to waive informalities, and to award a contract(s) as it is deemed in the housing authority's best interest. Bidders may provide responses for with Case Management Tracking software and services or Relocation Tracking software and services or both Case Management and Relocation Tracking software and services. If applicable, HATT reserves the right to award one or more contracts in response to this solicitation if it is to be determined to be in the best interest of the Authority. The finalists in the selection process may be required to participate in an oral interview in Texarkana, Texas.

No oral interpretations will be given to any response as to the meaning or intent of the RFP or to modify any provisions of the documents. No response shall be withdrawn for a period of ninety (90) days subsequent to the submission of offers, without the prior written consent of HATT.

The successful candidate(s) shall be required to possess all applicable licenses, certifications, insurance, and bonding.

HATT prohibits discrimination in any manner on the basis of race, color, creed, national origin, sex, sexual preference, age, or disability and will pursue an affimative policy of fostering, promoting and conducting business with minority owned enterprises. Submissions will be held in confidence and not released in any manner until after the award of a contract(s).

HATT reserves the right to reject any and all proposals and to waive any minor deficiencies in responses received, if it is in the public interest to do so.

Housing Authority of the City of Texarkana, Texas
Richard Herrington, Jr.
1611 N. Robison Rd
Texarkana, TX 75501

President Barack Obama's Housing Agenda

Check out the promises about housing that President Barack Obama made on the obameter located on Politifact.com

No. 15: Create a foreclosure prevention fund for homeowners

Create a $10 billion fund to help homeowners refinance or sell their homes. "The Fund will not help speculators, people who bought vacation homes or people who falsely represented their incomes."

>>More

No. 19: Create a mortgage interest tax credit for non-itemizers

Create a refundable tax credit equal to 10 percent of mortgage interest for nonitemizers, up to a maximum credit of $800.

>>More

No. 116: Expand housing vouchers program for homeless veterans

"Expand proven homeless veteran housing vouchers to assist those already on the streets."

>>More

No. 117: Launch a supportive services-housing program for veterans to prevent homelessness

"Launch an innovative supportive services-housing program to prevent at-risk veterans and veteran families from falling into
homelessness in the first place."

>>More

No. 312: Create a Homeowner Obligation Made Explicit (HOME) score for mortgage comparisons

"Will create a Homeowner Obligation Made Explicit (HOME) score, which will provide potential borrowers with a simplified, standardized borrower metric (similar to APR) for home mortgages. The HOME score will allow Americans to easily compare various mortgage products and understand the full cost of the loan. The HOME score would also help borrowers understand their long-term obligations and would be required to include mandatory taxes and insurance."

>>More

No. 313: Allow bankruptcy judges to modify terms of a home mortgage

Will repeal provisions of the Chapter 13 law that prohibit bankruptcy judges from modifying the original terms of home mortgages for ordinary families—regardless of whether the loan was predatory or unfair or is otherwise unaffordable - "so that ordinary families can also get relief that bankruptcy laws were intended to provide."

>>More

No. 314: Increase the supply of affordable housing throughout metropolitan regions

Will support "efforts to create an Affordable Housing Trust Fund to develop affordable housing in mixed-income neighborhoods. The Affordable Housing Trust Fund would use a small
percentage of the profits of two government-sponsored housing agencies, Fannie Mae and Freddie Mac, to create thousands of new units of affordable housing every year...Will also restore
cuts to public housing operating subsidies, and ensure that all Department of Housing and Urban Development (HUD) programs are restored to their original purpose."

>>More

No. 360: Restore housing in New Orleans

"Will work with the state to establish a goal for approving all Road Home applications within two months...Will also work to increase the supply of rental property, which is particularly important in New Orleans where 57 percent of pre-Katrina residents were renters."

>>More

No. 375: Expand the YouthBuild program, a youth education and housing program.

"Will work with YouthBuild to grow from 8,000 slots today to 50,000 slots over the next eight years in order to meet the demand from young people and communities for this valuable program." YouthBuild programs allow low-income young people to work toward their GED or high school diploma while they build housing for low-income people.

>>More

No. 434: Set a three-month moratorium on foreclosures

"I'll put a three-month moratorium on foreclosures so that we give homeowners the breathing room they need to get back on their feet."

>>More

No. 435: Create new criminal penalties for mortgage fraud

"We will crack down on mortgage professionals found guilty of fraud by increasing enforcement and creating new criminal penalties."

>>More

No. 452: Weatherize 1 million homes per year

"Will make a national commitment to weatherize at least 1 million low-income homes each year for the next decade, which can reduce energy usage across the economy and help moderate energy prices for all."

>>More