The document discusses various federal redevelopment programs that are at risk of being cut under the new presidential administration, including Community Development Block Grants, Low Income Housing Tax Credits, and HOME funds. It also provides details on how much funding different New Jersey cities and counties receive from federal homeless assistance and HUD programs. The document argues that cuts to these programs would significantly impact affordable housing development and homelessness assistance in New Jersey.
2. An Existential Threat to Federal
Redevelopment Tools
• $54 Billion more for Defense, $54 Billion
less for Non-Defense
• Community Development Block Grants
• Low Income Housing Tax Credits
• New Markets Tax Credits
• Home Funds
• New Starts, Small Starts, Transit Ops,
TAP, TIGER
4. How Do You Cut $6 Billion
• Rental Assistance Level
• $1.3 Billion Public Housing
Capital Fund
• $600 Million Public Housing
Operating Fund
• Public Housing Authorities
$600 Million
• Repairs for Public Housing $1.3
Billion
• $3 Billion CDBG
• HOME and Choice
Neighborhoods Cut
• Homeless Vets, Elderly and
Disabled Programs Cut as Well
5. With Occasional Opportunity
• Infrastructure-- $1 Trillion Dollars
– What Money, What Projects?
• Tax
– Community Revitalization Tax Credit
• Some Federal Programs Need to Be Broken
– Program Coordination, Reconciliation,
Consolidation (Recovery Funds, CDBG,
housing/economic development/transportation
plans)
6. What Do These Programs
Mean in NJ
Homeless Programs
– Atlantic City & County $519.5 thousand
– Bergen County $4.7 million
– Burlington County $478 thousand
– Camden City & County $3.5 million
– Newark/Essex County $6.6 million
– Jersey City, Bayonne/Hudson County $6.5
million
– New Brunswick/Middlesex County $2.9 million
– Monmouth County $3.4 million
– Morris County $1.7 million
– Lakewood Township/Ocean County $566
thousand
– Patterson/Passaic County $4.0 million
– Salem County $134 thousand
– Somerset County $416 thousand
– Trenton/Mercer County $3.8 million
– Elizabeth/Union County $4.5 million
– Warren, Sussex, Hunterdon Counties $1.2 million
– NJ Total in 2016
• $45.5 million Source: HUD
7. What Do These Programs
Mean in NJ
• over $20 million in 9% credits annually, which generates
approximately $200 million in equity for the
development of affordable housing in the State.
• HMFA currently monitors over 500 tax credit
developments and assists with the rehabilitation and
construction of approximately 20 projects annually.
• In 2015, approximately 36,755 LIHTC Units were in
service in New Jersey.
Source: New Jersey Housing and Mortgage Finance Agency
8. What Do These Programs
Mean in NJ• Historic Tax Credits
– In 2015, $33 million in rehabilitation costs, creating 474
jobs.
Source: The National Trust for Historic Preservation
9. What Do These Programs
Mean in NJ
• HUD Programs in 2016
– $24 million in HOME
– $81 million in CDBG
– $11 million HOPWA
(Housing Oppty for
Persons with Aids)
Source: HUD
10. What Do These Programs
Mean in NJ
• Capital Investment
Grants
– Currently 2 CIG Project
with FTA commitment
– Projects: Hudson
Tunnel Project, $11.5
billion (amtrak gateway
project cost)
– Portal North Bridge
$450 million
Source: Federal Transit Administration
11. Fill the Vacuum
• Promises have been made but the
substance is currently absent.
• New Appointees vary widely in their
knowledge and the degree to which they
have an agenda.
• The right messengers with the right
messages and proposals can fill this
vacuum. If they don’t, others will.
12. FAST Act: Overview
• Fixing America’s Surface Transportation (FAST) Act
• Passed on December 3, 2015
$305 billion
FY16 FY17 FY18 FY19 FY20
• 5-year authorization for federal surface
transportation program passenger rail program
• Establishes new transit-oriented development
financing for the first time
• Maintains TOD Planning Grants
13. Is your project near….
Bus/Bike-
Ped
Bus Rapid
Transit
Street
Car/Light
Rail
Subway
Commuter
Rail
High Speed
Rail
Amtrak/Int
ercity
RRIF Eligible TOD FINANCING
TIFIA Eligible TOD Financing
14. Is your project near….
Bus/Bike-
Ped
Bus Rapid
Transit
Street
Car/Light
Rail
Subway
Commuter
Rail
High Speed
Rail
Amtrak/Int
ercity
RRIF Eligible TOD FINANCING
Examples of RRIF Eligible Rail Stations:
• Commuter: MARC (DC), NJ Transit, LIRR, MBTA, PATH
• High Speed Rail: Cali High Speed Rail or NE Corridor
• Amtrak: Newark Penn Station or NYC Penn Station
15. RRIF New Program Eligibility
Commercial Development
Residential Development
Eligible TOD Projects
Loan Limit
A RRIF loan may not exceed the following share of total
project costs:
• 100% of the project cost (Rail Infrastructure Only)
• 75% percent of the total project cost for TOD projects.
TOD projects must have a 25% non-federal match
TOD Requirement
RRIF loan can be used to finance development that can:
(1) incorporate private investment,
(2) is located near (or functionally related) to a
passenger rail station or multimodal station that
includes rail service, and
(3) is able to start no later than 90 days after the loan is
obligated,
(4) demonstrate new sources of revenue for the
passenger rail station or service by increasing
ridership, tenant lease payments or other activities
that generate revenue exceeding cost
15
Note: The TOD provision will sunset in 4 years
TOD Related Infrastructure
16. Is your project near….
Bus/Bike-
Ped
Bus Rapid
Transit
Street
Car/Light
Rail
Subway
Commuter
Rail
High Speed
Rail
Amtrak/Int
ercity
TIFIA Eligible TOD Financing
Examples of TIFIA Eligible TOD/Local Projects:
• Commuter: MARC (DC), NJ Transit, LIRR, MBTA, PATH
• High Speed Rail: Cali High Speed Rail or NE Corridor
• Amtrak: Newark Penn Station or NYC Penn Station
• Subway: WMATA, MTA
• Streetcar: New Orleans, Atlanta
• BRT: Cleveland
• Bike-Ped: Local sidewalks, bike lanes and trails
17. TIFIA Program Basics
States
Private Firms
Special Authorities
Local Governments
Transit Authorities
Public-private
partnership
Eligible Applicants Creditworthiness
• Senior project debts must receive an investment grade
rating from two national rating agencies
• Investment grade is defined as “BBB(low)” or higher
Inclusion in Transportation Plans
• A project must be included in the transportation plan as
well as the TIP/STIP
• Private entities are eligible to apply for a TIFIA loan
provided their project is included in the statewide or
metropolitan plan and TIP/STIP
Dedicated Revenue Source
TIFIA loan must have a dedicated source of revenue pledged
as repayment, including:
• Tolls or other user fees
• Payments from a private entity through P#
• Tax such as sales, property, or income
17
18. TIFIA Program Basics
Highways
Bridges
Intelligent Transportation Systems
Intermodal Connectors
Public Transportation
Intercity Bus Facilities
Passenger Rail Vehicles and
Facilities
Intermodal Freight/Port Access
TOD Infrastructure
Eligible Projects Loan Limit
A TIFIA loan may not exceed the following share of
total project costs:
• 49 percent
• 33 percent for public sector project sponsors that
take advantage of the “nonsubordination wavier”
with a broad-based revenue source (e.g., sales,
property, or income tax)
Minimum Project Costs
In order to qualify for a TIFIA loan, your project must
meet the following cost threshold:
• $50 million in urban areas
• $25 million in rural areas
• $15 million for ITS projects
• $10 million for TOD and Local projects
18
19. Eligible TOD Infrastructure
19
Property Acquisition
Demolition of Existing Structures
Utilities
Transit Station Improvements
Safety and Security Equipment
Building Foundations
Site Preparation
Open Space
Walkways
Pedestrian and Bicycle Access
TOD Related Infrastructure
Intermodal Transfer Facility
Construction of space for
Commercial Uses
Facilitates that incorporate
community services such as daycare
or health care
Note: While TOD “related infrastructure”
includes TOD infrastructure categories such as
parking garages, these projects should (1)
promote greater transit ridership, (2)
walkability, or (3) increase private investment.
”