The U.S. Department of Housing and Urban Development (HUD) HOME Rental Development program is a housing block grant program used to preserve and create affordable housing for very low-income households (households earning 50% of the Area Median Income, or AMI). HUD allocates HOME funds to certain state and local governments, known as HOME Participating Jurisdictions (“PJs”).
The National Housing Trust Fund (NHTF) is a alternative federal affordable housing program that serves individuals and families with incomes at or below 30 percent of the area median income.
The Department of Commerce (Commerce) administers the state’s HOME Rental Development program. HOME Rental Development funds are awarded to non-profit organizations, housing authorities, and local and tribal governments through the state Housing Trust Fund (HTF) application process.
Commerce’s HOME program is governed by the Consolidated Plan and Action Plan.
Every spring an annual Action Plan is developed to describe how the state will use the year’s annual allocation of HUD formula funds to meet affordable housing and community development needs. Action Plans are annual amendments to the five-year Consolidated Plan and encompasses all HUD programs, including HOME.
The state’s 2024 Draft Action Plan is available here and is open to receive input during a 30-day public comment period. The public comment period is from April 16, 2024 until May 16, 2024, with a public hearing scheduled on April 30, 2024 – see the Consolidated Plan and Action Plan webpage for additional information.
Proposed changes drafted in the Plan include how the HUD program funds are allocated for the 2024 funding year. The Action Plan follows HUD’s template.
HOME-assisted rental housing must comply with rent limitations that are set and published each year by HUD. Household income eligibility requirements vary depending on the HOME activity but tend to target very low-income (less than 50 percent area median income) households.
The State of Washington Consolidated Plan identifies current state HOME-funded activities, which include:
Two handbooks are available for the HOME and National Housing Trust Fund programs administered by the Department of Commerce.
Commerce, working with a federal programs consulting specialist, created handbooks for the two federal housing programs. The handbooks clarify program and compliance requirements for both the HOME and National Housing Trust Fund programs.
Program Guidelines Handbook – provides insight into overall program intent, the application process, and financing terms.
Rental Management Handbook – provides detail on compliance and reporting requirements, including an expansion of Compliance and Asset Management for the programs.
HUD requires that participating jurisdictions (PJs) set aside at least 15% of their HOME funds for housing developed, owned, or sponsored by Community Housing Development Organizations (CHDOs). CHDOs are a specific type of nonprofit organization defined in the HOME Final Rule (24 CFR Part 92).
HOME & CHDO solicit applications for available funding during the annual HTF Traditional Funding Round, which is generally announced in the summer. Please visit Applying to the Housing Trust Fund to view available funding opportunities.
