Senators Smith, Shaheen Introduce Legislation to Protect Thousands of Low-income Families in Rural Areas From Losing Their Homes

Press Release

U.S. Senators Tina Smith (D-MN) and Jeanne Shaheen (D-NH) introduced legislation in the Senate this week to ensure that thousands of low-income tenants in rural areas are able to maintain access to safe and affordable housing.

The Strategy and Investment in Rural Housing Preservation Act of 2022 would protect access to affordable housing for families that are largely elderly, disabled and live in rural areas, who are at risk of losing rental assistance through the U.S. Department of Agriculture (USDA) Rural Housing Service (RHS).

"Without access to housing, nothing else in your life works. Not your job, your health, your education or your family," said Senator Smith. "As Chair of the Subcommittee on Housing, Transportation, and Community Development, I have worked with stakeholders to expand access to affordable housing, but we also need to make sure that people who already have a place they call home can keep it that way. And that's what this bill does. Our measure would help families and elderly Minnesotans stay in their homes."

"Affordable housing is one of the biggest issues impacting New Hampshire families, especially as we work to recover from the pandemic which exacerbated a pre-existing, serious concern," said Senator Shaheen. "This legislation targets our most vulnerable populations affected by housing insecurity or those who are at risk for experiencing it by enhancing the USDA's ability to provide rental assistance. This is a commonsense bill that would make a real difference for rural Granite State communities in need."

Specifically, the bill will provide the RHS tools to maintain rental assistance for residents in prepaid or maturing properties who are at risk of losing their homes by restructuring existing Section 515 loans and extending incentives for property owners to stay in the program. In the event a loan restructuring is not possible, the bill further protects residents by allowing rental assistance to be decoupled from the underlying loan but remain in place at the property. It also gives the resident an option to transfer their rental assistance to another eligible property. Finally, the bill requires USDA to establish a plan for preserving affordable rental housing in rural areas in consultation with an advisory committee composed of a variety of interested stakeholders, including tenants. Representative Cindy Axne (IA-03) introduced companion legislation in the House of Representatives.

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