Congressman Cleaver’s Emergency Rural Housing Assistance Bill Included in The American Rescue Plan
(Washington, D.C.) – Today, the House of Representatives passed the Senate Amendment to H.R. 1319, the American Rescue Plan Act, sending the ambitious relief package to be signed into law by President Biden. Included in the American Rescue PlanAct was H.R. 1682, a bill introduced by United States Representative Emanuel Cleaver, II (D-MO), providing emergency rural housing assistance in response to the COVID-19 pandemic.
"I am thrilled we were able to include my rural housing bill in this historic rescue package," said Congressman Cleaver. "Access to safe, affordable housing has always been a challenge in America, but like so many issues affecting our nation's underserved communities, it has been greatly exacerbated by the COVID-19 pandemic. By allocating $39 million for direct loans from the Department of Agriculture to assist low-income Americans in obtaining and refinancing housing loans, this bill helps ensure that hardworking Americans in the heartland have equitable access to a home."
As a result of the inclusion of H.R. 1682, the American Rescue Plan Act includes $39 million for relief measures for Section 502 and 504 Direct Loan Borrowers. The additional funding will allow the U.S. Department of Agriculture (USDA) to refinance loans on terms that makes it easier for borrowers to stay in their homes. The Section 502 Direct Loan Program specifically assists low- and very-low income applicants obtain decent, safe, and sanitary housing in rural areas.
"The USDA has over 11,000 direct loans in forbearance status. This includes numerous struggling borrowers in our home state of Missouri." said Congressman Cleaver. "Without additional funding, the USDA would be forced to add outstanding amounts to the existing principle, thereby increasing monthly payments for borrowers. The $39 million my bill allocated in the American Rescue Plan will allow the USDA to refinance loans on terms that make it easier for borrowers to stay in their homes and continue to make affordable homeownership a reality for rural families."
Emanuel Cleaver, II is the U.S. Representative for Missouri's Fifth Congressional District, which includes Kansas City, Independence, Lee's Summit, Raytown, Grandview, Sugar Creek, Blue Springs, Grain Valley, Oak Grove, North Kansas City, Gladstone, Claycomo, and all of Ray, Lafayette, and Saline Counties. He is a member of the exclusive House Financial Services Committee; Chairman of the House Subcommittee on National Security, International Development, and Monetary Policy; member of the Select Committee on the Modernization of Congress; member of the Committee on Homeland Security; and a Senior Whip of the Democratic Caucus. For more information, please contact Haydin Brady at 202-538-4326 or haydin.brady@mail.house.gov