The Department of Housing and Urban Development’s Office of the Inspector General will expand its oversight of the HECM program, ensuring it does not pose undue risk to the Mutual Mortgage Insurance (MMI) Fund, according to a statement made this week in President Trump’s proposed Fiscal Year 2020 budget request.
The President’s budget is merely a blurprint that highlights the administration’s future priorities, while Congress ultimately decides what the final funding levels for HUD and other federal agencies should be.
No further details were provided in the OIG citation that appeared on page 27 of HUD’s Budget In Brief. NRMLA will continue to monitor the situation and provide updates to members as needed.
The administration’s proposed budget reduces HUD’s funding levels by $8.7 billion to $44.1 billion, mostly through cuts to grant programs, such as the Community Development Block Grant and HOME, which finance affordable housing and other local community revitalization activities. However, the proposed budget also cuts funding for housing counseling, including HECM counseling, by $10 million to $45 million.