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HUD Budget Proposes Separate Line Item for Moving to Work Agency Funding

David Weber and Seth Embry, PHADA Policy Analysts

For the first time since the inception of the Moving to Work (MTW) Demonstration Program in 1996, HUD is proposing to create a separate budget line item within HUD’s budget for the MTW program. No additional funding is proposed, and both the justifications narrative and the proposed legislative language state that existing MTW agencies will continue to be funded based upon their current funding agreements and are assured that they will not receive less funding than they would have received if they had not participated in the demonstration. Expansion agencies are assured that they would receive neither more nor less funding than they would have received had they not participated in the expansion, as required by statute. HUD also proposes that it be given authority to transfer funds between the Public Housing Fund (for more on this proposed combination of the Public Housing Operating and Capital Funds, see "President’s Budget Would Slash and Eliminate HUD Programs") and the MTW Fund in order to ensure that MTW and non-MTW agencies receive the same proration percentage of appropriated funds, as is currently required.

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