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Proposed formula the result of three-year negotiated rulemaking

WASHINGTON – After three years of negotiation with federally and state recognized tribes across the country, the U.S. Department of Housing and Urban Development (HUD) today proposed a new formula to be used to allocate funds through the Department’s Indian Housing Block Grant (IHBG) ProgramRead HUD’s proposed rule.

The Native American Housing Assistance and Self-Determination Act of 1996 (NAHASDA) requires HUD to update IHBG’s formula periodically through a negotiated rulemaking process with grant recipients.  HUD negotiated the proposed rule with active tribal participation and using the procedures of the Negotiated Rulemaking Act of 1990.  As a result of this process, and after a year-long study of potential data sources to be used in this formula, the Negotiated Rulemaking Committee succeeded in reaching consensus on most issues that were discussed.  The proposed rule announced today reflects HUD’s decisions for both consensus and non-consensus issues, with the intention of improving and clarifying the current regulations. The notice calls for comments to be submitted by August 1, 2016.

The IHBG Program is the single largest source of affordable housing assistance in Native American communities. Over the life of the program, recipients built or acquired nearly 37,000 affordable homes and have rehabilitated more than 77,000 others.

The IHBG allocations are distributed each year to eligible Indian tribes or their tribally designated housing entities for a range of affordable housing activities. Through the program, HUD provides federal housing assistance for Indian tribes in a manner that recognizes the right of Indian self-determination and tribal self-government.  In February, HUD announced more than $660 million in grant allocations to 587 Native American tribes in 35 states for fiscal year 2016. The funds benefit low-income families living on Indian reservations or in other American Indian and Alaska Native communities. The amount of each grant is based on a formula that considers local needs and housing units under management by the tribe or designated entity.

Eligible activities for the funds include housing development, assistance to housing developed under the Indian Housing Program of the 1937 Housing Act, housing services to eligible families and individuals, housing management services, crime prevention and safety, and HUD-approved model activities that provide creative approaches to solving affordable housing problems. The block grant approach to housing was enabled by the Native American Housing Assistance and Self Determination Act of 1996 (NAHASDA).


HUD’s mission is to create strong, sustainable, inclusive communities and quality affordable homes for all.
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Elena Gaona