Speaker
Description
This paper examines the Faircloth-to-RAD conversion process as an example of creative reinterpretation and repositioning of existing public policy within the national bureaucracy to create an emerging path for US public housing authorities to expand the supply of federally assisted, deeply affordable housing. Specifically, it will delve into the origins and structure of the program and discuss the opportunities it opens and limitations it faces. The Faircloth-to-RAD process, its creation, and its implementation are an excellent example of a core aspect of the Congress theme: it illustrates the emergence of innovative programs through an understanding of the interconnected challenges to transform a policy enacted to limit new publicly subsidized housing into a tool for expanding the supply of this much needed public resource.
Introduced in 2022, Faircloth-to-RAD draws together several existing aspects of federal public and subsidized housing programs and policy. The first is “Faircloth Authority”, dormant public housing unit capacity available to certain public housing authorities. Passed by the US Congress in 1998, the Faircloth Amendment, placed a cap on the maximum number of public housing units that could receive federal capital and operating subsidies. Many public housing authorities, through demolition and redevelopment, are now below this maximum number. The second is the Rental Assistance Demonstration (RAD) program, which allows conversion of public housing subsidies to project-based assistance. Combined these provide a path for public housing authorities to potentially create approximately 235,000 new affordable units through mixed-financing (HUD, 2022; Metcalf, Garcia, and Hacnik, 2023).
Through interviews and review of documents and development plans, this paper explores the structure and mechanics of this new program, discussing both its policy innovation and practical implementation. Initial findings highlight the potential of this program, but also the complexity of execution and continuing limitations imposed by both Faircloth limits and RAD rent levels. It also examines potential changes and complications that may emerge under the new presidential administration and the actions being taken in anticipation.
References
Metcalf, Ben, David Garcia, and Chris Hacnik. (2023) New Pathways to Create More Deeply Affordable Housing: Early Lessons from HUD’s Faircloth-to-RAD Program. Terner Center for Housing Innovation, https://ternercenter.berkeley.edu/research-and-policy/faircloth-to-rad-early-lessons/
US Department of Housing and Urban Development. (2022) Faircloth-to-RAD Conversions. https://www.hud.gov/sites/dfiles/Housing/documents/Faircloth_Resource_Package.pdf
| Keywords | public housing; policy innovation |
|---|---|
| Best Congress Paper Award | No |
