NEW YORK – As
RealEstateGates.com informed on September 30, the US Administration released intends to amend Section 8 some time ago aimed at providing the low-income families with affordable
real estate and home ownership. The program provides rental subsidies and is funded by the federal budget. About 2 million low-income families are subject to it. George W. Bush and his administration proposed amendments to the rules for the Department of Housing and Urban Development (HUD) revising the existing conditions on the real estate market and budget funding. The new cutbacks may impose devastating impact on the poor families.
The New York City Department of Homeless Services is planning to limit applications for the vouchers to the working poor and move others into a new rental assistance program, AP reported Wednesday.
"The fact is that there's not enough Section 8 for the foreseeable future to meet our needs, so that it really makes this (new) program necessary," Linda Gibbs said Tuesday. Section 8 used to provide lifelong housing assistance before, while now it will provide the benefits for 5 years with 20 percent decreasing value each year. However, the new program has not been approved by state authorities.
The Administration is seeking to cut $1 billion off the program for the next year, and $4.6 billion in 2009, Center on Budget and Policy Priorities reported.