    [Appendix]
    [Detailed Budget Estimates by Agency]
    [Department of Housing and Urban Development]
    [From the U.S. Government Printing Office, www.gpo.gov]

                         THE BUDGET FOR FISCAL YEAR 2004

    [[Page 475]]

                   DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

        This chapter presents the budget estimates and program
    justifications for the Department of Housing and Urban Development
    (HUD). HUD's core mission is to increase homeownership, support
    community development, and increase access to affordable housing free
    from discrimination. The 2004 Budget for HUD reflects the continuation
    of a multi-year comprehensive reform effort that will enhance the
    effectiveness of programs, reduce high unobligated and obligated
    balances, and return HUD to its core mission. Congress has provided
    significant increases in several HUD programs over the past several
    years.

        The Department continues to emphasize expanding homeownership
    opportunities for all. In addition, borrowers who because of poor credit
    would be served at higher cost by the conventional market or not at all
    may take advantage of a new FHA mortgage product that rewards ``good
    behavior'' by reducing borrower mortage insurance premiums by one
    percentage point after a series of consecutive on-time mortgage
    payments. Housing counseling increases by $10 million. Also, the HOME
    Investment Partnerships Program is increased by $113 million. This
    increase includes $200 million for the down payment initiative. The 2004
    budget continues the expanded Self-Help Homeownership Opportunity
    Program (SHOP) in an effort to accelerate home ownership by lower-income
    families.

        The 2004 budget proposes to allow housing authorities to use up to
    $131 million to reform the public housing subsidy system in a manner
    similar to the President's 2003 proposal.

        The budget provides a means by which Public Housing Authorities
    (PHAs) can privately finance the capital needs of properties that can be
    underwritten to market standards. A loan guarantee of up to 80 percent
    would be established as a credit enhancement to protect lenders in the
    case of default. Properties recapitalized under this new financing model
    would be converted to project-based vouchers. Conversion would allow
    capital needs to be financed on a property basis as is done in the
    private sector, and the project-based voucher program gives additional
    choice and mobility to residents in the selection of their housing. In
    addition, such conversion will facilitate PHA management and finance on
    a property-by-property basis and thus increase accountability for
    efficient management. Many housing authorities will take advantage of
    this voluntary initiative to improve living conditions for their
    residents.

        The 2004 Budget proposes the Housing Assistance for Needy Families
    (HANF) program. Housing vouchers will be converted to a State run block
    grant and will continue to assist at least the same number of low-income
    families. Administration by states will better assist low-income
    households to locate decent, safe, and affordable housing by allowing
    them to tailor programs to fit the needs of particular communities.
    Coordination by states with Temporary Assistance for Needy Families
    (TANF) programs will be encouraged to better reach families
    transitioning from welfare to work. States will provide better program
    administration adapted to their needs, leading to better utilization of
    funds to help more low-income households secure housing. The Department
    will also continue to fully renew contracts to assist rental of low-
    income elderly units in the Housing for the Elderly Program (under
    Section 202 of the Housing Act of 1959).

        HUD continues to focus on combating homelessness and in addition
    eliminating chronic homelessness over a ten-year period with $1.375
    billion for the Homeless Assistance program overall. The effort includes
    a $50 million Samaritan housing program that will be jointly
    administered with the Departments of Health and Human Services and
    Veterans Affairs focused on compassionate and effective assistance for
    chronically homeless persons. Funding also supports a consolidated
    comprehensive homeless effort, including Shelter Plus Care renewals, and
    support for the leadership of the Interagency Council on Homelessness.

        The transfer of the Emergency Food and Shelter Program from the
    Federal Emergency Management Agency (FEMA), to HUD contributes to the
    ongoing effort to better coordinate overall homeless program efforts.

        Funding in the 2004 budget for the Fair Housing Assistance and Fair
    Housing Initiatives programs (FHAP and FHIP) will strengthen the ability
    of public and private fair housing groups, and partnerships between
    them, to enforce the laws protecting all Americans against illegal
    housing discrimination.

        With the publication of the National Discrimination Study HUD now
    has the information necessary to improve enforcement, reduce
    discrimination and address accessibility issues.

        The Community Development Block Grant program is funded at $4.7
    billion with $4.4 billion for formula grants. The CDBG Formula is
    significantly impacted by the Census and other factors. The Department
    is pursuing proposals that would better reflect current data, fiscal
    need, levels of poverty, and effective use of funds.

        HUD is one of five Departments that are leading the Federal
    Government in tapping the potential of faith-based and community
    organizations to improve housing and help develop communities.

        The 2004 budget includes a 10 percent increase in lead hazard
    reduction grants to continue the 10-year program to eradicate lead
    hazards in housing.

        In order to ensure the effective implementation of its programs, the
    Department's Office of Policy Development and Research (PD&R) will be
    provided with funds necessary to ensure timely provision of data,
    provide research and analysis of national housing and economic
    conditions, and measure the performance of programs, consistent with the
    Government Performance and Results Act of 1994.

        The Department will continue the management reform effort initiated
    in 2001 and undertake further efforts in 2004 to refocus HUD on its core
    mission and key programs as part of a continuing series of planned
    reforms to improve program performance.

                            PUBLIC AND INDIAN HOUSING

                                  Federal Funds

    General and special funds:

                      Housing Assistance For Needy Families

        For activities and assistance under the United States Housing Act of
    1937, as amended (42 U.S.C. 1437 et seq.) (the ``Act''), $8,335,201,000
    to remain available until expended: Provided, That $4,200,000,000
    appropriated under the heading ``Housing Certificate Fund'' for fiscal
    year 2003 that become available on October 1, 2003 shall be transferred
    to and merged with such amounts. Provided further, That the total of
    such amounts are available as follows:
        (1) $11,481,616,000 for renewals of expiring section 8 subsidy
    contracts (including amendments and renewals of enhanced vouchers under
    any provision of law authorizing such assistance under section 8(t) of
    the Act (42 U.S.C. 1437f(t)): Provided, That notwithstanding

    [[Page 476]]

    any other provision of law, the Secretary shall renew expiring section 8
    subsidy contracts for each public housing agency (PHA) based on the most
    recent information the Secretary determines to be available and reliable
    regarding the total number of unit months under lease (and including (A)
    unit months representing units to be leased under existing contracts or
    agreements to enter into contracts for PHA project-based assistance, and
    (B) for agencies participating in the Moving to Work demonstration, unit
    months representing section 8 subsidy contracts committed to fulfill
    requirements for specific numbers of vouchers specified in existing
    agreements), and by applying an inflation factor based on local or
    regional factors to the actual per unit cost reported.
        (2) $609,000,000 for a central fund to be allocated by the Secretary
    for the support of section 8 subsidy contracts or amendments to such
    contracts, and for such other purposes as are set forth in this
    paragraph: Provided, That the Secretary may use amounts in such fund, as
    necessary, for contracts or contract amendments resulting from a
    significant change in the total number of unit months under lease, a
    significant change in per-unit costs, or otherwise to provide funds so
    that public housing agencies may lease units up to their allocation
    baselines: Provided further, That the Secretary shall use amounts in
    such fund to provide States with up to $100,000,000 as determined by the
    Secretary, for costs associated with developing the capacity of States
    to assume the administration of the Housing Assistance for Needy
    Families program: Provided further, That the Secretary shall use up to
    $36,000,000 in such fund for incremental vouchers under section 8 of the
    Act to be used for non-elderly disabled families affected by the
    designation of a public housing development under section 7 of the Act,
    the establishment of preferences in accordance with section 651 of the
    Housing and Community Development Act of 1992 (42 U.S.C. 13611), or the
    restriction of occupancy to elderly families in accordance with section
    658 of such Act (42 U.S.C. 13618): Provided further, That to the extent
    the Secretary determines that amounts in such fund are sufficient for
    purposes set forth in the three immediately preceding provisos, the
    Secretary may make any remaining amounts in such fund available to
    States for section 8 tenant-based rental and homeownership assistance:
    Provided further, That any State using amounts pursuant to the preceding
    proviso for section 8 tenant-based rental and homeownership assistance,
    shall administer such assistance in accordance with section 8 statutory
    and regulatory requirements: Provided further, That a State may petition
    the Secretary, and the Secretary may waive any statutory or regulatory
    provision pertaining to such rental or homeownership assistance and may
    make provision for alternative conditions or terms where appropriate
    where the Secretatry determines that such waiver will improve
    performance relative to the objectives of such assitance when
    administered by a State: Provided further, That a State may petition the
    Secretary with respect to rental or homeownership assistance
    administered by a public housing agency in the State, and the Secretary
    may waive any regulation pertaining to such assistance and may make
    provision for alternative conditions or terms where appropriate where
    the Secretary determines that such waiver will improve performance
    relative to the objectives of such assistance: Provided further, That
    the Secretary may allocate and distribute any such remaining amounts to
    States or public housing agencies notwithstanding section 213(d) of the
    Housing and Community Development Act of 1974.
        (3) $252,203,000 for section 8 rental assistance for relocation and
    replacement of housing units that are demolished or disposed of pursuant
    to the Omnibus Consolidated Recissions and Appropriations Act of 1996
    (Public Law 104-134), conversion of section 23 projects to assistance
    under section 8, the family unification program under section 8(x) of
    the Act, relocation of witnesses in connection with efforts to combat
    crime in public and assisted housing pursuant to a request from a law
    enforcement or prosecution agency, enhanced vouchers under any provision
    of law authorizing such assistance under section 8(t) of the Act (42
    U.S.C. 1437f(t)), and tenant protection assistance, including
    replacement and relocaiton assistance.
        (4) $72,000,000 for Family Self-Sufficiency Coordinators.
        (5) $1,192,382,000 for administrative and other expenses of public
    housing agencies in administering the section 8 tenant-based rental
    assistance program: Provided, That, notwithstanding any other provision
    of law, administrative fees shall be paid only for dwelling untis
    covered by a section 8 housing assistance payments contract and such
    fees shall be paid at a rate that for each public housing agency shall
    not exceed 10 percent of the total annual budget authority applicable
    for rental and homeownership assistance to such units leased by the
    public housing agency: Provided further, That all such administrative
    fee amounts provided under this paragraph shall be only for activities
    related to the provision of rental and homeownership assistance under
    section 8:
        Provided further, That upon advance notice to the Committees on
    Appropriations the Secretary may transfer funds provided under
    paragraphs (1), (2) or (5) among such paragraphs, if the Secretary
    determines that such action is necessary because the funding authorized
    under one such paragraph otherwise would be depleted and as a result,
    the maximum utilization of section 8 tenant-based assistance with the
    funds appropriated for this purpose by this Act would not be feasible:
    Provided further, That, hereafter, the Secretary shall require public
    housing agencies to submit accounting data for funds disbursed under
    this heading by source of funds: Provided further, That an additional
    $4,200,000,000 shall be available on October 1, 2004 and remain
    available until expended: Provided further, That $1,072,000,000 from
    unobligated balances remaining from funds appropriated to the Department
    of Housing and Urban Development under the heading ``Housing certificate
    fund'' or the heading ``Annual contribution for assisted housing'' shall
    be transferred to and merged with the amounts provided under this
    heading.

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0332-0-1-604      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------

        Obligations by program activity:
    00.01 Rental assistance Block Grant.....                              13,607
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 41.0)...................                              13,607
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    22.00 New budget authority (gross)......                              12,535
    22.22 Unobligated balance transferred
            from other accounts.............                               1,072
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......                              13,607
    23.95 Total new obligations.............                             -13,607
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.00   Appropriation...................                               8,335
    55.00   Advance appropriation...........                               4,200
                                               ---------   ---------  ----------
    70.00   Total new budget authority
              (gross).......................                              12,535
    ----------------------------------------------------------------------------

        Change in obligated balances:
    73.10 Total new obligations.............                              13,607
    73.20 Total outlays (gross).............                              -6,086
    74.40 Obligated balance, end of year....                               7,521
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.90 Outlays from new discretionary
            authority.......................                               5,014
    86.93 Outlays from discretionary
            balances........................                               1,072
                                               ---------   ---------  ----------
    87.00   Total outlays (gross)...........                               6,086
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................                              12,535
    90.00 Outlays...........................                               6,086
    ---------------------------------------------------------------------------

        Housing Assistance for Needy Families. This proposal establishes a
    new block grant program to States called Housing Assistance for Needy
    Families (HANF). The Department will be submitting a comprehensive
    legislative proposal to authorize this proposal. When the proposed
    legislation is adopted, this block grant program will replace the
    current tenant-based Housing Choice Voucher Program. Converting the
    current program to a block grant approach is necessary to improve the
    delivery of rental and homeownership subsidies for low-income families
    and eliminate the significant utilization and recapture problems that
    plague the current tenant-based program.

        Fiscal year 2004 will be a transitional year in which HUD will
    provide voucher payments directly to Public Housing Agencies (PHAs)
    currently managing the program to cover units leased. HUD will also
    remit payment to PHAs for ad

    [[Page 477]]

    ministrative fees. States will use fiscal year 2004 as the transition
    year to ramp up with staff and systems.

        A Central Fund will be available for use to: (1) fund State start-up
    costs; (2) support leasing up to the baseline; (3) and fund additional
    units in PHAs or States that have utilized one hundred percent of
    allocated funds.

        Contract Renewals. Contract renewals provide funding to renew
    expiring rental assistance contracts covering certificates, vouchers
    (including project-based vouchers), and moderate rehabilitation. The
    account also includes $72 million in funding for Family Self-Sufficiency
    Coordinators.

        Incremental Rental Assistance.--For 2004, the Department is
    requesting $36 million in budget authority for approximately 5,500
    vouchers for persons with disabilities. Additional funding for tenant-
    based housing assistance may become available in the central reserve
    fund.

        PIH Tenant Protection Vouchers.--The Housing Assistance for Needy
    Families account will continue to support families living in public and
    assisted housing units affected by changes in the status of the units.
    Income-eligible families who are affected by the demolition,
    disposition, revitalization or other capital improvements through no
    fault of their own, will continue to be eligible to receive relocation/
    replacement vouchers.

        Housing Tenant Protection Vouchers.--The Housing Assistance for
    Needy Families account will also continue supporting families in FHA-
    insured, privately owned assisted housing projects affected by changes
    in project status. It is intended that income-eligible families who,
    through no fault of their own, are affected by HUD's management of the
    multifamily inventory or owner's decision to prepay their mortgage or
    opt-out of project-based section 8 contracts, be aided through HANF.

        Proposed minimum rent.--A new minimum rent of $50 a month is
    proposed for recipients of low-income housing assistance. This would
    apply to households headed by an able-bodied working age individual. It
    is intended to promote work and increase equity in the treatment of
    recipient households with similar needs.

                         Project-based Rental Assistance

                  (including transfer and rescission of funds)

        For assistance under the United States Housing Act of 1937, as
    amended (42 U.S.C. 1437 et seq.) (``Act'') not otherwise provided for,
    $4,823,405,379 and amounts recaptured in this account, to remain
    available until expended; of which up to $100,000,000 is for contract
    administrators; of which no less than $3,010,000 shall be transferred to
    the Working Capital fund for development of and modifications to
    information technology systems which serve programs or activities under
    this heading and under ``Housing Assistance for Needy Families''; and of
    which $4,720,395,379 is for expiring project-based section 8 subsidy
    contracts, for amendments to project-based section 8 subsidy contracts,
    and for contracts entered into pursuant to section 441 of the McKinney-
    Vento Homeless Assistance Act, and for 1-year renewals of section 8
    contracts for units in projects that are subject to approved plans of
    action under the Emergency Low Income Housing Preservation Act of 1987
    or the Low-Income Housing Preservation and Resident Homeownership Act of
    1990: Provided, That $300,000,000 is rescinded from unobligated balances
    remaining from funds appropriated to the Department of Housing and Urban
    Development under this heading or the heading ``Annual contributions for
    assisted housing'' or any other heading for fiscal year 2003 and prior
    years, to be effected by the Secretary no later than September 30, 2004:
    Provided further, That any such balances governed by reallocation
    provisions under the statute authorizing the program for which the funds
    were originally appropriated shall not be available for this rescission:
    Provided further, That any obligated balances of contract authority that
    have been terminated shall be canceled.

        Note.--A regular 2003 appropriation for this account had not been
    enacted at the time the budget was prepared; therefore, this account is
    operating under a continuing resolution (P.L. 107-229, as amended). The
    amounts included for 2003 in this budget reflect the Administration's
    2003 policy proposals.

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0319-0-1-604      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------

        Obligations by program activity:
    00.01 Contract renewals.................      15,573      17,272       4,720
    00.02 Contract Administrator............         148         289         100
    00.03 Rental Assistance.................         145         388
    00.04 Preservation Amendment............                       2
    00.05 Section 514 Technical Assistance..           8
    00.06 Non-Elderly Disabled..............          40          40
    00.08 Regional Opportunity Counseling...          10
    00.09 Section 8 Amendment...............         359          23
    00.11 Incremental vouchers..............         104         164
    00.12 Other.............................                       2
    00.13 Job Plus..........................                       6
    00.14 Working Capital Fund..............          13           3           3
    00.15 Section 8 Counseling..............           1           2
    00.17 Home (City of New Rochelle).......           6
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 41.0)...................      16,407      18,191       4,823
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........       1,676       1,738       1,072
    22.00 New budget authority (gross)......      13,948      16,427       4,523
    22.10 Resources available from
            recoveries of prior year
            obligations.....................       2,539       1,100         300
    22.21 Unobligated balance transferred to
            other accounts..................                              -1,072
    22.75 Balance of contract authority
            withdrawn.......................         -17
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......      18,146      19,265       4,823
    23.95 Total new obligations.............     -16,407     -18,191      -4,823
    24.40 Unobligated balance carried
            forward, end of year............       1,738       1,072
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.00   Appropriation...................      11,336      13,327       4,823
    40.36   Unobligated balance rescinded...      -1,588      -1,100        -300
                                               ---------   ---------  ----------
    43.00     Appropriation (total
                discretionary)..............       9,748      12,227       4,523
    55.00   Advance appropriation...........       4,200       4,200
          Mandatory:

    60.00   Appropriation...................       5,105       5,000       5,000
    60.49   Portion applied to liquidate
              contract authority............      -5,105      -5,000      -5,000
                                               ---------   ---------  ----------
    62.50     Appropriation (total
                mandatory)..................
                                               ---------   ---------  ----------
    70.00   Total new budget authority
              (gross).......................      13,948      16,427       4,523
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..      42,520      37,889      35,106
    73.10 Total new obligations.............      16,407      18,191       4,823
    73.20 Total outlays (gross).............     -18,499     -19,874     -14,369
    73.45 Recoveries of prior year
            obligations.....................      -2,539      -1,100        -300
    74.40 Obligated balance, end of year....      37,889      35,106      25,260
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.90 Outlays from new discretionary
            authority.......................                   1,917         623
    86.93 Outlays from discretionary
            balances........................      18,499      17,957      13,746
                                               ---------   ---------  ----------
    87.00   Total outlays (gross)...........      18,499      19,874      14,369
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................      13,948      16,427       4,523
    90.00 Outlays...........................      18,499      19,874      14,369
    ---------------------------------------------------------------------------

        This account was formerly known as the Housing Certificate Fund.
    Beginning in 2004, all new activity under the Housing Choice Voucher
    Program is funded under ``Housing Assistance for Needy Families.''
    Funding requested in 2004 under this account is only for project-based
    rental assistance contract renewals and supporting activities in
    contract administration and information technology spending under the
    Working Capital Fund. Spending from obligated balances resulting from
    Housing Certificate Fund appropriations in 2003 and prior will continue
    to be shown under this account.

        Contract Renewals. Contract renewals provide funding to renew
    expiring Section 8 rental assistance contracts covering Loan Management,
    New Construction/Substantial Rehabilitation, Property Disposition, and
    Preservation, and contracts authorized under section 441 of the
    McKinney-Vento Homeless Assistance Act.

    [[Page 478]]

                Status of Contract Authority (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0319-0-1-604      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------
    0400  Appropriation to liquidate
            contract authority..............      -5,105      -5,000      -5,000
    0600  Balance of contract authority
            withdrawn.......................         -17
    ---------------------------------------------------------------------------

                                 Moving to Work

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0331-0-1-451      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..           3           2           1
    73.20 Total outlays (gross).............          -1          -1          -1
    74.40 Obligated balance, end of year....           2           1
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.93 Outlays from discretionary
            balances........................           1           1           1
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................
    90.00 Outlays...........................           1           1           1
    ---------------------------------------------------------------------------

        The Moving-to-Work demonstration provides unprecedented autonomy and
    flexibility to a select group of high-performing public housing
    authorities (PHAs) in order to assess the potential impacts of Federal
    deregulation on resident households, housing developments, and local
    housing programs. Through waivers of requirements of the 1937 Housing
    Act, as amended, and related Federal regulations, participating PHAs can
    combine Federal funding allocated for public housing operating subsidy,
    capital subsidy, and Section 8 vouchers into a flexible housing
    assistance fund. PHAs may provide incentives to families that work, are
    seeking work, or are preparing for work, PHAs are also allowed to change
    administrative procedures and management policies so they can reallocate
    resources to better address local housing needs and priorities. No
    additional funding is being requested for this demonstration.

                           Public Housing Capital Fund

                         (including transfers of funds)

        For the Public Housing Capital Fund Program to carry out capital and
    management activities for public housing agencies, as authorized under
    section 9 of the United States Housing Act of 1937, as amended (42
    U.S.C. 1437g) (the ``Act''), $2,641,000,000, to remain available until
    September 30, 2007; of which up to the specified following amounts shall
    be available as provided herein: for section 9(h) of such Act,
    $50,000,000, of which $13,000,000 shall be for the provision of
    remediation services to public housing agencies identified as
    ``troubled'' under the Section 8 Management Assessment Program and for
    surveys used to calculate local Fair Market Rents and assess housing
    conditions in connection with rental assistance under section 8 of the
    Act; for partial guarantees of loans to finance the conversion of public
    housing subsidies to project-based voucher assistance where such
    conversion is done in conjunction with financing of any necessary
    capital improvements of properties that will be covered by such
    assistance, $131,000,000; for lease adjustments to section 23 projects,
    $500,000; for the development of and modifications to information
    technology systems which serve programs or activities under Public and
    Indian Housing, no less than $10,610,000 to be transferred to the
    Working Capital Fund; to make grants to public housing agencies for
    emergency capital needs and natural disasters in fiscal year 2004,
    $40,000,000; for supportive services, service coordinators and
    congregate services as authorized by section 34 of the Act and the
    Native American Housing Assistance and Self-Determination Act of 1996,
    $40,000,000; for demolition, site revitalization, replacement housing,
    and tenant-based assistance grants, $30,000,000: Provided, That no funds
    may be used under this heading for the purposes specified in section
    9(k) of the Act.

        Note.--A regular 2003 appropriation for this account had not been
    enacted at the time the budget was prepared; therefore, this account is
    operating under a continuing resolution (P.L. 107-229, as amended). The
    amounts included for 2003 in this budget reflect the Administration's
    2003 policy proposals.

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0304-0-1-604      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------

        Obligations by program activity:
    00.01 Capital Grants....................       2,678       2,891       2,577
    00.02 Emergency/Disaster................          12          40          40
    00.03 Technical Assistance..............          37          45          50
    00.04 Working Capital Fund..............          53          19          11
    00.05 Neighborhood Network Initiative...          12          10
    00.06 Resident Opportunities and
            Supportive Services.............                      55          40
    00.07 Tenant Opportunity Programs.......           8
    00.08 Public Housing Amendments.........           1
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 41.0)...................       2,801       3,060       2,718
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........         696         751         117
    22.00 New budget authority (gross)......       2,843       2,426       2,641
    22.10 Resources available from
            recoveries of prior year
            obligations.....................          35
    22.75 Balance of contract authority
            withdrawn.......................         -22
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......       3,552       3,177       2,758
    23.95 Total new obligations.............      -2,801      -3,060      -2,718
    24.40 Unobligated balance carried
            forward, end of year............         751         117          40
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.00   Appropriation...................       2,843       2,426       2,641
          Mandatory:

    60.00   Appropriation...................         500         589         589
    60.49   Portion applied to liquidate
              contract authority............        -500        -589        -589
                                               ---------   ---------  ----------
    62.50     Appropriation (total
                mandatory)..................
                                               ---------   ---------  ----------
    70.00   Total new budget authority
              (gross).......................       2,843       2,426       2,641
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..      11,996      10,995      10,454
    73.10 Total new obligations.............       2,801       3,060       2,718
    73.20 Total outlays (gross).............      -3,767      -3,601      -3,808
    73.45 Recoveries of prior year
            obligations.....................         -35
    74.40 Obligated balance, end of year....      10,995      10,454       9,362
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.90 Outlays from new discretionary
            authority.......................         164         161         172
    86.93 Outlays from discretionary
            balances........................       3,603       3,440       3,636
                                               ---------   ---------  ----------
    87.00   Total outlays (gross)...........       3,767       3,601       3,808
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................       2,843       2,426       2,641
    90.00 Outlays...........................       3,767       3,601       3,808
    ---------------------------------------------------------------------------

        The Public Housing Capital Fund, a comprehensive formula-driven
    program based on need, is designed to respond to the capital and
    management improvement requirements of public housing. The fund is a
    consolidation of the following programs: public housing modernization;
    public housing development; Major Reconstruction of Obsolete Public
    Housing Projects (MROP); and public housing amendments.

        Of the $2.6 billion requested for the Public Housing Capital Fund,
    approximately $2.3 billion is provided to cover annual accrual needs. Up
    to $131 million may be used for partial loan guarantees for a new
    initiative that has the promise to address the public housing capital
    backlog by enabling housing authorities to privately finance their
    properties. Other uses include up to $40 million to provide supportive
    services to public housing residents under the Resident Opportunities
    and Supportive Services (ROSS) program, up to $40 million for
    emergencies or disasters, up to $50 million

    [[Page 479]]

    for technical assistance, up to $30 million for demolition, site
    revitalization, replacement housing, and tenant based assistance grants,
    and no less than $10.61 million for the Working Capital Fund.

        The budget provides a means by which Public Housing Authorities
    (PHAs) can privately finance the capital needs of properties that can be
    underwritten to market standards. A loan guarantee of 80 percent would
    be established as a credit enhancement to protect lenders in the case of
    default. Properties recapitalized under this new financing model would
    be converted to project-based vouchers. Conversion would allow capital
    needs to be financed on a property basis as is done in the private
    sector, and the project-based voucher program gives additional choice
    and mobility to residents in the selection of their housing. In
    addition, such conversion will facilitate PHA management and finance on
    a property-by-property basis and thus increase accountability for
    efficient management, and will relate ongoing Federal subsidies more
    closely to the rental market. Many housing authorities should be able to
    take advantage of this voluntary initiative to improve the living
    conditions of their residents and their own management.

        Legislation is being proposed to accompany this proposal. It
    provides changes in the applicability of the project-based voucher so
    that the program is workable for current public housing sites; allows
    for partial loan guarantees; and authorizes the use of up-front capital
    contributions where necessary.

                Status of Contract Authority (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0304-0-1-604      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------
    0400  Appropriation to liquidate
            contract authority..............        -500        -589        -589
    0600  Balance of contract authority
            withdrawn.......................         -22
    ---------------------------------------------------------------------------

    Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
                                millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0304-0-1-604      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------
        Guaranteed loan levels supportable by subsidy
                    budget authority:
    215001Public Housing Reform Initiative..                               1,715
                                               ---------   ---------  ----------
    215901Total loan guarantee levels.......                               1,715
        Guaranteed loan subsidy (in percent):
    232001Public Housing Reform Initiative..                                7.66
                                               ---------   ---------  ----------
    232901Weighted average subsidy rate.....                                7.66
        Guaranteed loan subsidy budget authority:
    233001Public Housing Reform Initiative..                                 131
                                               ---------   ---------  ----------
    233901Total subsidy budget authority....                                 131
        Guaranteed loan subsidy outlays:
    234001Public Housing Reform Initiative..                                   7
                                               ---------   ---------  ----------
    234901Total subsidy outlays.............                                   7
    ---------------------------------------------------------------------------

                          Public Housing Operating Fund

                          (including transfer of funds)

        For 2004 payments to public housing agencies for the operation and
    management of public housing, as authorized by section 9(e) of the
    United States Housing Act of 1937, as amended (42 U.S.C. 1437g(e)),
    $3,574,000,000, to remain available until September 30, 2005; of which
    $15,000,000 shall be for supportive services, service coordinators and
    congregate services as authorized by section 34 of the Act and the
    Native American Housing Assistance and Self-Determination Act of 1996:
    Provided, That in 2004 and hereafter, no amounts provided under this
    header may be used for payments to public housing agencies for the costs
    of operation and management of public housing in any year prior to the
    current year.

        Note.--A regular 2003 appropriation for this account had not been
    enacted at the time the budget was prepared; therefore, this account is
    operating under a continuing resolution (P.L. 107-229, as amended). The
    amounts included for 2003 in this budget reflect the Administration's
    2003 policy proposals.

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0163-0-1-604      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------

        Obligations by program activity:
    00.01 Operating Subsidy.................       3,621       3,546       3,574
    00.02 Office of Inspector General.......           5
    00.03 Department of Justice Anti-Drug...          10          10
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 41.0)...................       3,636       3,556       3,574
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........         141          26
    22.00 New budget authority (gross)......       3,495       3,530       3,574
    22.10 Resources available from
            recoveries of prior year
            obligations.....................          26
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......       3,662       3,556       3,574
    23.95 Total new obligations.............      -3,636      -3,556      -3,574
    24.40 Unobligated balance carried
            forward, end of year............          26
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.00   Appropriation...................       3,495       3,530       3,574
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..       1,683       1,658       1,757
    73.10 Total new obligations.............       3,636       3,556       3,574
    73.20 Total outlays (gross).............      -3,635      -3,457      -3,565
    73.45 Recoveries of prior year
            obligations.....................         -26
    74.40 Obligated balance, end of year....       1,658       1,757       1,766
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.90 Outlays from new discretionary
            authority.......................       1,842       1,805       1,823
    86.93 Outlays from discretionary
            balances........................       1,793       1,652       1,742
                                               ---------   ---------  ----------
    87.00   Total outlays (gross)...........       3,635       3,457       3,565
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................       3,495       3,530       3,574
    90.00 Outlays...........................       3,635       3,457       3,565
    ---------------------------------------------------------------------------

        Operating subsidies are provided to public housing authorities
    (PHAs) to assist in funding the operation and maintenance expenses of
    public housing units in accordance with Section 9(e) of the United
    States Housing Act of 1937, as amended.

        The following tables display the sources of housing authorities'
    expected revenue and expenditures by category. The distribution is based
    on historical data reported by housing authorities to HUD on the
    Statement of Operating Receipts and Expenditures.

      Sources of Housing Authorities' Operating Revenue (in millions of
                                   dollars)

                    Category                 Annual income    Percent of
                                                                 total
    Operating Subsidies.....................        $3,559             53%
    Dwelling Rental.........................         2,618             39%
    Investment..............................           269              4%
    Other Income............................           269              4%
                                             -------------  --------------

       Total, Operating Revenue.............         6,715            100%
                                             -------------  --------------

        Operating Subsidies.--Represent HUD's contributions to a housing
    authority's operating budget. Under the current formula-based approach,
    HUD sets a formula-determined allowable expense level (AEL) for each PHA
    and separately computes utility and audit costs. The PHA's dwelling
    rental income is also projected and the subsidy is the difference
    between the projected AEL, utility, and audit expenses and projected
    dwelling rental income.

        Dwelling Rental.--Income derived from tenants' rents.

        Investment Income.--Income from interest earned on general fund
    investments.

        Other Income.--Includes income from other sources such as renting
    rooftop space for signs or broadcasting and from operating services for
    tenants, such as laundromats or day care centers.

    [[Page 480]]

     Housing Authorities' Operating Expenditures (in millions of dollars)

                    Category                    Annual
                                              expenditures    Percent of
                                                                 total
    Utilities...............................         1,477             22%
    Administration..........................         1,813             27%
    General Operating Expenses..............           537              8%
    Maintenance.............................         2,417             36%
    Tenant Services.........................           134              2%
    Protective Services.....................           201              3%
    Capital Expenditures....................            67              1%
    Operating Reserve.......................            67              1%
                                             -------------  --------------

       Total, Operating Expenses............         6,715            100%
                                             -------------  --------------

        Utilities.--Includes water, sewer, electricity, gas, and fuel.

        Administration.--Includes administrative salaries, legal expenses,
    staff training, travel, accounting fees, auditing fees, sundry, and
    outside management costs.

        General Operating Expenses.--Includes insurance, payments made to
    local governments in lieu of taxes, terminal leave payments, employees
    benefit contributions, collection losses, interest on administrative and
    sundry notes, and other general expenses.

        Ordinary Maintenance and Operations.--Consists of expenses for
    labor, materials, contracts and garbage fees associated with the day-to-
    day operation of the public housing authority.

        Tenant Services.--Cover salaries, recreation, publication, contract
    costs, training, and other expenses.

        Protective Services.--Includes expenses for labor, materials, and
    contract costs.

        Capital Expenditures.--Includes extraordinary maintenance, casualty
    losses, and property betterments (e.g. roofs and furnaces).

        Operating reserves.--Provides working capital funds and is a reserve
    for emergencies.

                 Drug Elimination Grants for Low-Income Housing

                         (including transfers of funds)

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0197-0-1-604      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------

        Obligations by program activity:
    00.01 Direct program....................          92          24
    00.02 Federally Assisted Housing........          17           3
    00.03 Operation Safe Home...............                       9
    00.04 New Approach Anti-Drug Program....          21           3
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 41.0)...................         130          39
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........         171          39
    22.00 New budget authority (gross)......         -11
    22.10 Resources available from
            recoveries of prior year
            obligations.....................           9
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......         169          39
    23.95 Total new obligations.............        -130         -39
    24.40 Unobligated balance carried
            forward, end of year............          39
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.36   Unobligated balance rescinded...         -11
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..         490         286         125
    73.10 Total new obligations.............         130          39
    73.20 Total outlays (gross).............        -325        -200         -74
    73.45 Recoveries of prior year
            obligations.....................          -9
    74.40 Obligated balance, end of year....         286         125          51
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.93 Outlays from discretionary
            balances........................         325         200          74
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................         -11
    90.00 Outlays...........................         325         200          74
    ---------------------------------------------------------------------------

        The Public Housing Drug Elimination Grants program was terminated in
    the 2002 Budget. The program was found to have limited impact; current
    regulatory tools, such as eviction, are effective in reducing drug-
    related crime in public housing; and finally, fighting crime and drugs
    is not directly related to HUD's core mission--it is the mission of
    federal law enforcement and other agencies whose programs help combat
    illegal drugs and crime in public housing communities. PHAs can
    supplement other public housing security efforts using operating funds
    if they choose.

         Revitalization of Severely Distressed Public Housing (Hope VI)

        Note.--A regular 2003 appropriation for this account had not been
    enacted at the time the budget was prepared; therefore, this account is
    operating under a continuing resolution (P.L. 107-229, as amended). The
    amounts included for 2003 in this budget reflect the Administration's
    2003 policy proposals.

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0218-0-1-604      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------

        Obligations by program activity:
    00.01 Direct Program Activity...........         569         580         557
    00.02 Technical Assistance..............           7           6           6
    00.05 Neighborhood Networks.............                       5           5
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 41.0)...................         576         591         568
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........         581         587         570
    22.00 New budget authority (gross)......         574         574
    22.10 Resources available from
            recoveries of prior year
            obligations.....................           8
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......       1,163       1,161         570
    23.95 Total new obligations.............        -576        -591        -568
    24.40 Unobligated balance carried
            forward, end of year............         587         570           2
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.00   Appropriation...................         574         574
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..       2,579       2,681       2,726
    73.10 Total new obligations.............         576         591         568
    73.20 Total outlays (gross).............        -466        -546        -609
    73.45 Recoveries of prior year
            obligations.....................          -8
    74.40 Obligated balance, end of year....       2,681       2,726       2,685
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.90 Outlays from new discretionary
            authority.......................           1           6
    86.93 Outlays from discretionary
            balances........................         465         540         609
                                               ---------   ---------  ----------
    87.00   Total outlays (gross)...........         466         546         609
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................         574         574
    90.00 Outlays...........................         466         546         609
    ---------------------------------------------------------------------------

        No additional funds are requested for this program in 2004. This
    program utilized Federal resources to rehabilitate and restore severely
    distressed public housing projects, thereby expanding the supply of
    decent, safe, and affordable housing for low-income individuals and
    families. The funds were used for project demolition, hard replacement
    units, and tenant-based rental assistance.

    [[Page 481]]

                      Native American Housing Block Grants

                          (including transfer of funds)

        For the Native American Housing Block Grants program, as authorized
    under title I of the Native American Housing Assistance and Self-
    Determination Act of 1996 (NAHASDA) (25 U.S.C. 4111 et seq.),
    $646,600,000, to remain available until expended, of which $5,000,000
    shall be to support the inspection of Indian housing units, contract
    expertise, training, and technical assistance in the training,
    oversight, and management of Indian housing and tenant-based assistance,
    including up to $300,000 for related travel; and of which no less than
    $2,720,000 shall be transferred to the Working Capital Fund for
    development of and modifications to information technology systems which
    serve programs or activities under ``Public and Indian Housing'':
    Provided, That of the amount provided under this heading, $1,000,000
    shall be made available for the cost of guaranteed notes and other
    obligations, as authorized by title VI of NAHASDA: Provided further,
    That such costs, including the costs of modifying such notes and other
    obligations, shall be as defined in section 502 of the Congressional
    Budget Act of 1974, as amended: Provided further, That these funds are
    available to subsidize the total principal amount of any notes and other
    obligations, any part of which is to be guaranteed, not to exceed
    $8,049,242: Provided further, That the Secretary of Housing and Urban
    Development may provide technical and financial assistance to Indian
    tribes and their tribally-designated housing entities in accordance with
    the provisions of NAHASDA for emergency housing, housing assistance, and
    other assistance to address the problem of mold: Provided further, That
    for administrative expenses to carry out the guaranteed loan program, up
    to $150,000 from amounts in the first proviso, which shall be
    transferred to and merged with the appropriation for ``Salaries and
    expenses'', to be used only for the administrative costs of these
    guarantees.

        Note.--A regular 2003 appropriation for this account had not been
    enacted at the time the budget was prepared; therefore, this account is
    operating under a continuing resolution (P.L. 107-229, as amended). The
    amounts included for 2003 in this budget reflect the Administration's
    2003 policy proposals.

            General Fund Credit Receipt Accounts (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0313-0-1-604      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------
    0100  Negative subsidies/subsidy
            reestimates.....................                       1
    ---------------------------------------------------------------------------

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0313-0-1-604      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------

        Obligations by program activity:
    00.01 Indian Housing Block Grants.......         691         641         641
    00.02 Title VI Loan Guarantee Subsidy...           6           2           2
    00.03 Technical Assistance..............           4           3           3
    00.04 Working Capital Fund..............           3           1           1
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 41.0)...................         704         647         647
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........         187         139         139
    22.00 New budget authority (gross)......         649         647         647
    22.10 Resources available from
            recoveries of prior year
            obligations.....................           7
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......         843         786         786
    23.95 Total new obligations.............        -704        -647        -647
    24.40 Unobligated balance carried
            forward, end of year............         139         139         139
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.00   Appropriation...................         649         647         647
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..       1,034       1,018         925
    73.10 Total new obligations.............         704         647         647
    73.20 Total outlays (gross).............        -713        -740        -820
    73.45 Recoveries of prior year
            obligations.....................          -7
    74.40 Obligated balance, end of year....       1,018         925         752
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.90 Outlays from new discretionary
            authority.......................         113         113         113
    86.93 Outlays from discretionary
            balances........................         600         627         707
                                               ---------   ---------  ----------
    87.00   Total outlays (gross)...........         713         740         820
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................         649         647         647
    90.00 Outlays...........................         713         740         820
    ---------------------------------------------------------------------------

    Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
                                millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0313-0-1-604      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------
        Guaranteed loan levels supportable by subsidy
                    budget authority:
    215001Title VI..........................          53          17           8
                                               ---------   ---------  ----------
    215901Total loan guarantee levels.......          53          17           8
        Guaranteed loan subsidy (in percent):
    232001Title VI..........................       11.07       11.07       10.56
                                               ---------   ---------  ----------
    232901Weighted average subsidy rate.....       11.07       11.07       10.56
        Guaranteed loan subsidy budget authority:
    233001Title VI..........................           6           2           1
                                               ---------   ---------  ----------
    233901Total subsidy budget authority....           6           2           1
        Guaranteed loan subsidy outlays:
    234001Title VI..........................           6           3           2
                                               ---------   ---------  ----------
    234901Total subsidy outlays.............           6           3           2
        Guaranteed loan downward reestimate subsidy
                    budget authority:
    237001Title VI..........................                      -1
                                               ---------   ---------  ----------
    237901Total downward reestimate subsidy
            budget authority................                      -1
        Guaranteed loan downward reestimate subsidy
                    outlays:
    238001Title VI..........................                      -1
                                               ---------   ---------  ----------
    238901Total downward reestimate subsidy
            outlays.........................                      -1
    ---------------------------------------------------------------------------

        Title I of the Native American Housing Assistance and Self-
    Determination Act (NAHASDA) of 1996 (P.L. 104-330) authorized the Native
    American Housing Block Grant program. This program provides an
    allocation of funds on a formula basis to Indian tribes and their
    tribally designated housing entities to help them address housing needs
    within their communities.

        The Native American Housing Block Grant program includes a
    guaranteed loan provision (Title VI). A guarantee level of $8 million is
    proposed for this loan guarantee program for 2004. The subsidy rate for
    this program is set at 10.56 percent with a federal guarantee of 80
    percent. A primary goal of the Title VI program is to encourage private
    lenders to provide financing in Indian country. Therefore, the program
    provides for the federal guarantee of notes or other obligations issued
    by Indian tribes or tribally designated housing entities for the purpose
    of financing affordable housing activities described in section 202 of
    the Act.

        As required by the Federal Credit Reform Act of 1990, this account
    records, for this program, the subsidy costs associated with the loan
    guarantees committed in 1998 and beyond (including modifications of
    guarantees that resulted from obligations in any given year), as well as
    administrative expenses of this program. The subsidy amounts are
    estimated on a present value basis; the administrative expenses are
    estimated on a cash basis.

                       Native Hawaiian Housing Block Grant

        For the Native Hawaiian Housing Block Grant program, as authorized
    under title VIII of the Native American Housing Assistance and Self-
    Determination Act of 1996 (25 U.S.C. 4111 et seq.), $10,000,000, to
    remain available until expended, of which $400,000 shall be for training
    and technical assistance activities.

        Note.--A regular 2003 appropriation for this account had not been
    enacted at the time the budget was prepared; therefore, this account is
    operating under a continuing resolution (P.L. 107-229, as amended). The
    amounts included for 2003 in this budget reflect the Administration's
    2003 policy proposals.

    [[Page 482]]

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0235-0-1-604      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------

        Obligations by program activity:
    00.01 Native Hawaiian Housing Block
            Grant...........................                      10          10
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 41.0)...................                      10          10
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    22.00 New budget authority (gross)......                      10          10
    23.95 Total new obligations.............                     -10         -10
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.00   Appropriation...................                      10          10
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..                                  10
    73.10 Total new obligations.............                      10          10
    73.20 Total outlays (gross).............                                 -11
    74.40 Obligated balance, end of year....                      10           9
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.90 Outlays from new discretionary
            authority.......................                                   1
    86.93 Outlays from discretionary
            balances........................                                  10
                                               ---------   ---------  ----------
    87.00   Total outlays (gross)...........                                  11
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................                      10          10
    90.00 Outlays...........................                                  11
    ---------------------------------------------------------------------------

        The Hawaiian Homelands Homeownership Act of 2000 (P.L. 106-568)
    amended the Native American Housing Assistance and Self-Determination
    Act of 1996 by adding Title VIII, which authorized the Native Hawaiian
    Housing Block Grant program. This program provides an allocation of
    funds to assist and promote affordable housing activities to develop,
    maintain and operate affordable housing for eligible low-income Native
    Hawaiian families.

        It authorizes annual grants to the Department of Hawaiian Home Lands
    (DHHL) for housing and housing-related assistance, pursuant to an annual
    housing plan, within the area in which DHHL is authorized to provide
    that assistance. DHHL uses performance measures and benchmarks that are
    consistent with the national goals of the program, but it can base these
    measures on the needs and priorities that it establishes in its five-
    and one-year housing plans.

    Public enterprise funds:

                Low-Rent Public Housing--Loans and Other Expenses

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4098-0-3-604      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------

        Obligations by program activity:
    09.01 Reimbursable program: Capital
            investment loans to PHAs........           7          40          30
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 33.0)...................           7          40          30
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........          20          20          21
    22.00 New budget authority (gross)......          97         115         114
    22.60 Portion applied to repay debt.....         -90         -74         -79
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......          27          61          56
    23.95 Total new obligations.............          -7         -40         -30
    24.40 Unobligated balance carried
            forward, end of year............          20          21          26
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Mandatory:

    67.10   Authority to borrow.............          25          40          30
    69.00 Offsetting collections (cash).....          72          75          84
                                               ---------   ---------  ----------
    70.00   Total new budget authority
              (gross).......................          97         115         114
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..         682         597         522
    73.10 Total new obligations.............           7          40          30
    73.20 Total outlays (gross).............         -92        -115        -114
    74.40 Obligated balance, end of year....         597         522         438
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.97 Outlays from new mandatory
            authority.......................          92         115         114
    ----------------------------------------------------------------------------

        Offsets:
          Against gross budget authority and outlays:

            Offsetting collections (cash)
                from:
    88.00     Federal sources...............         -71         -75         -84
    88.40     Non-Federal sources...........          -1
                                               ---------   ---------  ----------
    88.90       Total, offsetting
                  collections (cash)........         -72         -75         -84
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................          25          40          30
    90.00 Outlays...........................          20          40          30
    ---------------------------------------------------------------------------

                   Status of Direct Loans (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4098-0-3-604      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------
        Cumulative balance of direct loans
                    outstanding:
    1210  Outstanding, start of year........       1,280       1,209       1,134
    1251  Repayments: Repayments and
            prepayments.....................         -71         -75         -84
                                               ---------   ---------  ----------
    1290    Outstanding, end of year........       1,209       1,134       1,050
    ---------------------------------------------------------------------------

                 Status of Guaranteed Loans (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4098-0-3-604      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------
        Cumulative balance of guaranteed loans
                    outstanding:
    2210  Outstanding, start of year........       2,464       2,189       1,909
    2251  Repayments and prepayments........        -275        -280        -280
                                               ---------   ---------  ----------
    2290    Outstanding, end of year........       2,189       1,909       1,629
    ----------------------------------------------------------------------------

        Memorandum:
    2299  Guaranteed amount of guaranteed
            loans outstanding, end of year..       2,189       1,909       1,629
    ---------------------------------------------------------------------------

        The Low-Rent Public Housing Loan Fund provides direct Federal loans
    to fund remaining Public Housing Agency and Indian Housing Authority
    construction, acquisition, and modernization activities reserved under
    the Annual Contributions appropriation through 1986. These loans are
    made by borrowing from the Treasury. Under legislation enacted during
    1986 (Public Law 99-272), amounts borrowed from the Treasury are
    forgiven at the end of each fiscal year and the loans to PHAs/IHAs are
    forgiven as construction, acquisition, and modernization activities are
    completed. Under the provisions of this legislation, $25 million
    borrowed from the Treasury was forgiven in 2002, an estimated $40
    million will be borrowed from the Treasury and forgiven in 2003, and an
    estimated $30 million will be borrowed from the Treasury and forgiven in
    2004.

        Since 1987, new reservations of capital funds for construction,
    acquisition, and modernization activities have been provided directly
    from the Public Housing Capital Fund appropriations.

        Operating results.--The actual and estimated net operating income
    for 2001, 2002, 2003 and 2004 follows:

                            Statement of Operations (in millions of dollars)

    -----------------------------------------------------------------------------------------------
    Identification code   86-4098-0-3-604    2001 actual    2002 actual     2003 est.      2004 est.
    -----------------------------------------------------------------------------------------------
    0101  Revenue...........................          89             92            92             92
    0102  Expense...........................         -91            -91           -91            -91
                                            ------------ --------------  ------------  -------------
    0105  Net income or loss (-)............          -2              1             1              1
    -----------------------------------------------------------------------------------------------

    [[Page 483]]

                                 Balance Sheet (in millions of dollars)

    -----------------------------------------------------------------------------------------------
    Identification code   86-4098-0-3-604    2001 actual    2002 actual     2003 est.      2004 est.
    -----------------------------------------------------------------------------------------------
        ASSETS:
    1101  Federal assets: Fund balances with
            Treasury........................         702            617           617            617
          Net value of assets related to
              pre-1992 direct loans
              receivable and acquired
              defaulted guaranteed loans
              receivable:

    1601    Direct loans, gross.............       1,282          1,210         1,210          1,210
    1602    Interest receivable.............          80             75            75             75
    1603    Allowance for estimated
              uncollectible loans and
              interest (-)..................          -1
                                            ------------ --------------  ------------  -------------
    1604      Direct loans and interest
                receivable, net.............       1,361          1,285         1,285          1,285
                                            ------------ --------------  ------------  -------------
    1699      Value of assets related to
                direct loans................       1,361          1,285         1,285          1,285
                                            ------------ --------------  ------------  -------------
    1999    Total assets....................       2,063          1,902         1,902          1,902
        LIABILITIES:
          Federal liabilities:

    2102    Interest payable................         151            147           147            147
    2104    Resources payable to Treasury...       1,279          1,207         1,207          1,207
    2207  Non-Federal liabilities: Other....           2              2             2              2
                                            ------------ --------------  ------------  -------------
    2999    Total liabilities...............       1,432          1,356         1,356          1,356
        NET POSITION:
    3100  Appropriated capital..............         636            551           551            551
    3300  Cumulative results of operations..          -5             -5            -5             -5
                                            ------------ --------------  ------------  -------------
    3999    Total net position..............         631            546           546            546
                                            ------------ --------------  ------------  -------------
    4999  Total liabilities and net position       2,063          1,902         1,902          1,902
    -----------------------------------------------------------------------------------------------

    Credit accounts:

               Indian Housing Loan Guarantee Fund Program Account

                          (including transfer of funds)

        For the cost of guaranteed loans, as authorized by section 184 of
    the Housing and Community Development Act of 1992 (12 U.S.C. 1715z-13a),
    $1,000,000, to remain available until expended: Provided, That such
    costs, including the costs of modifying such loans, shall be as defined
    in section 502 of the Congressional Budget Act of 1974, as amended:
    Provided further, That these funds are available to subsidize total loan
    principal, any part of which is to be guaranteed, not to exceed
    $27,472,528.
        In addition, for administrative expenses to carry out the guaranteed
    loan program, up to $250,000 from amounts in the first paragraph, which
    shall be transferred to and merged with the appropriation for ``Salaries
    and expenses'', to be used only for the administrative costs of these
    guarantees.

        Note.--A regular 2003 appropriation for this account had not been
    enacted at the time the budget was prepared; therefore, this account is
    operating under a continuing resolution (P.L. 107-229, as amended). The
    amounts included for 2003 in this budget reflect the Administration's
    2003 policy proposals.

            General Fund Credit Receipt Accounts (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0223-0-1-371      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------
    0101  Indian housing loan guarantee
            fund, downward reestimates of
            subsidies.......................                       1
    ---------------------------------------------------------------------------

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0223-0-1-371      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------

        Obligations by program activity:
    00.02 Guaranteed loan subsidy...........           1           9           1
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 41.0)...................           1           9           1
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........          22          29          25
    22.00 New budget authority (gross)......           6           5           1
    22.10 Resources available from
            recoveries of prior year
            obligations.....................           2
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......          30          34          26
    23.95 Total new obligations.............          -1          -9          -1
    24.40 Unobligated balance carried
            forward, end of year............          29          25          25
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.00   Appropriation...................           6           5           1
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..           3           1           5
    73.10 Total new obligations.............           1           9           1
    73.20 Total outlays (gross).............          -1          -4          -5
    73.45 Recoveries of prior year
            obligations.....................          -2
    74.40 Obligated balance, end of year....           1           5           1
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.90 Outlays from new discretionary
            authority.......................                       1
    86.93 Outlays from discretionary
            balances........................           1           3           5
                                               ---------   ---------  ----------
    87.00   Total outlays (gross)...........           1           4           5
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................           6           5           1
    90.00 Outlays...........................           1           4           5
    ---------------------------------------------------------------------------

    Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
                                millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0223-0-1-371      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------
        Guaranteed loan levels supportable by subsidy
                    budget authority:
    215001Indian Housing Loan Guarantee.....         234         197          27
                                               ---------   ---------  ----------
    215901Total loan guarantee levels.......         234         197          27
        Guaranteed loan subsidy (in percent):
    232001Indian Housing Loan Guarantee.....        2.47        2.43        2.73
                                               ---------   ---------  ----------
    232901Weighted average subsidy rate.....        2.47        2.43        2.73
        Guaranteed loan subsidy budget authority:
    233001Indian Housing Loan Guarantee.....           6           5           1
                                               ---------   ---------  ----------
    233901Total subsidy budget authority....           6           5           1
        Guaranteed loan subsidy outlays:
    234001Indian Housing Loan Guarantee.....           1           3           3
                                               ---------   ---------  ----------
    234901Total subsidy outlays.............           1           3           3
        Guaranteed loan downward reestimate subsidy
                    budget authority:
    237001Indian Housing Loan Guarantee.....                       1
                                               ---------   ---------  ----------
    237901Total downward reestimate subsidy
            budget authority................                       1
        Guaranteed loan downward reestimate subsidy
                    outlays:
    238001Indian Housing Loan Guarantee.....                       1
                                               ---------   ---------  ----------
    238901Total downward reestimate subsidy
            outlays.........................                       1
    ---------------------------------------------------------------------------

        As required by the Federal Credit Reform Act of 1990, this account
    records, for this program, the subsidy costs associated with the loan
    guarantees committed in 1992 and beyond (including modifications of
    guarantees that resulted from obligations in any year). The subsidy
    amounts are estimated on a net present value basis. The administrative
    expenses are shown on a cash basis.

        This program provides access to sources of private financing for
    Indian families, Indian tribes, and their tribally designated housing
    entities who otherwise could not acquire housing financing because of
    the unique legal status of Indian trust land.

              Indian Housing Loan Guarantee Fund Financing Account

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4104-0-3-604      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------

        Obligations by program activity:
    00.01 Direct Program Activity (Default
            Claims).........................           1
    08.02 Downward subsidy rate reestimate..                       1
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 33.0)...................           1           1
    ----------------------------------------------------------------------------

    [[Page 484]]

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........           6           5           7
    22.00 New financing authority (gross)...          -1           3           3
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......           5           8          10
    23.95 Total new obligations.............          -1          -1
    24.40 Unobligated balance carried
            forward, end of year............           5           7          10
    ----------------------------------------------------------------------------

        New financing authority (gross), detail:
          Spending authority from offsetting
              collections:

            Discretionary:
    68.00     Federal sources...............           1           3           3
    68.10     Change in uncollected customer
                payments from Federal
                sources (unexpired).........          -2
                                               ---------   ---------  ----------
    68.90       Spending authority from
                  offsetting collections
                  (total discretionary).....          -1           3           3
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..          -3          -1          -1
    73.10 Total new obligations.............           1           1
    73.20 Total financing disbursements
            (gross).........................          -1
    74.00 Change in uncollected customer
            payments from Federal sources
            (unexpired).....................           2
    74.40 Obligated balance, end of year....          -1          -1          -1
    87.00 Total financing disbursements
            (gross).........................           1
    ----------------------------------------------------------------------------

        Offsets:
          Against gross financing authority and
              financing disbursements:

    88.00   Offsetting collections (cash)
              from: Federal sources:
              Payments from program account.          -1          -3          -3
          Against gross financing authority only:

    88.95   Change in receivables from
              program accounts..............           2
    ----------------------------------------------------------------------------

        Net financing authority and financing
            disbursements:
    89.00 Financing authority...............
    90.00 Financing disbursements...........          -1          -3          -3
    ---------------------------------------------------------------------------

                 Status of Guaranteed Loans (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4104-0-3-604      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------
        Position with respect to appropriations act
                    limitation on commitments:
    2111  Limitation on guaranteed loans
            made by private lenders.........         234         197          27
    2121  Limitation available from carry-
            forward.........................         272         505         682
    2143  Uncommitted limitation carried
            forward.........................        -505        -682        -686
                                               ---------   ---------  ----------
    2150    Total guaranteed loan
              commitments...................           1          20          23
    2199  Guaranteed amount of guaranteed
            loan commitments................           1          20          23
    ----------------------------------------------------------------------------

        Cumulative balance of guaranteed loans
                    outstanding:
    2210  Outstanding, start of year........          66          58          57
    2231  Disbursements of new guaranteed
            loans...........................           1          10          19
    2251  Repayments and prepayments........          -8          -9         -11
    2263  Adjustments: Terminations for
            default that result in claim
            payments........................          -1          -2          -2
                                               ---------   ---------  ----------
    2290    Outstanding, end of year........          58          57          63
    ----------------------------------------------------------------------------

        Memorandum:
    2299  Guaranteed amount of guaranteed
            loans outstanding, end of year..          58          57          63
    ---------------------------------------------------------------------------

        As required by the Federal Credit Reform Act of 1990, this non-
    budgetary account records all cash flows to and from the Government
    resulting from the loan guarantees committed in 1992 and beyond
    (including modifications of loan guarantees that resulted from
    obligations in any year). The amounts in this account are a means of
    financing and are not included in the budget totals. As required by the
    Federal Credit Reform Act of 1990, no administrative expenses can be
    recorded in the financing account.

                                 Balance Sheet (in millions of dollars)

    -----------------------------------------------------------------------------------------------
    Identification code   86-4104-0-3-604    2001 actual    2002 actual     2003 est.      2004 est.
    -----------------------------------------------------------------------------------------------
        ASSETS:
    1101  Federal assets: Fund balances with
            Treasury........................           4              5             6              6
                                            ------------ --------------  ------------  -------------
    1999    Total assets....................           4              5             6              6
        LIABILITIES:
    2204  Non-Federal liabilities:
            Liabilities for loan guarantees.           4              5             6              6
                                            ------------ --------------  ------------  -------------
    2999    Total liabilities...............           4              5             6              6
                                            ------------ --------------  ------------  -------------
    4999  Total liabilities and net position           4              5             6              6
    -----------------------------------------------------------------------------------------------

           Native Hawaiian Housing Loan Guarantee Fund Program Account

                          (including transfer of funds)

        For the cost of guaranteed loans, as authorized by section 184A of
    the Housing and Community Development Act of 1992 (12 U.S.C. 1715z-13b),
    $1,000,000, to remain available until expended: Provided, That such
    costs, including the costs of modifying such loans, shall be as defined
    in section 502 of the Congressional Budget Act of 1974, as amended:
    Provided further, That these funds are available to subsidize total loan
    principal, any part of which is to be guaranteed, not to exceed
    $35,347,985.
        In addition, for administrative expenses to carry out the guaranteed
    loan program, up to $35,000 from amounts in the first paragraph, which
    shall be transferred to and merged with the appropriation for ``Salaries
    and expenses'', to be used only for the administrative costs of these
    guarantees.

        Note.--A regular 2003 appropriation for this account had not been
    enacted at the time the budget was prepared; therefore, this account is
    operating under a continuing resolution (P.L. 107-229, as amended). The
    amounts included for 2003 in this budget reflect the Administration's
    2003 policy proposals.

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0233-0-1-371      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------

        Obligations by program activity:
    00.02 Guaranteed loan subsidy...........                       1           1
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 41.0)...................                       1           1
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........                       1           1
    22.00 New budget authority (gross)......           1           1           1
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......           1           2           2
    23.95 Total new obligations.............                      -1          -1
    24.40 Unobligated balance carried
            forward, end of year............           1           1           1
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.00   Appropriation...................           1           1           1
    ----------------------------------------------------------------------------

        Change in obligated balances:
    73.10 Total new obligations.............                       1           1
    73.20 Total outlays (gross).............                      -1          -1
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.93 Outlays from discretionary
            balances........................                       1           1
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................           1           1           1
    90.00 Outlays...........................                       1           1
    ---------------------------------------------------------------------------

    Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
                                millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0233-0-1-371      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------
        Guaranteed loan levels supportable by subsidy
                    budget authority:
    215001Native Hawaiian Housing...........          40          40          35
                                               ---------   ---------  ----------
    215901Total loan guarantee levels.......          40          40          35
        Guaranteed loan subsidy (in percent):
    232001Native Hawaiian Housing...........        2.47        2.43        2.73
                                               ---------   ---------  ----------

    [[Page 485]]

    232901Weighted average subsidy rate.....        2.47        2.43        2.73
        Guaranteed loan subsidy budget authority:
    233001Native Hawaiian Housing...........           1           1           1
                                               ---------   ---------  ----------
    233901Total subsidy budget authority....           1           1           1
        Guaranteed loan subsidy outlays:
    234001Native Hawaiian Housing...........                       1           1
                                               ---------   ---------  ----------
    234901Total subsidy outlays.............                       1           1
    ---------------------------------------------------------------------------

        As required by the Federal Credit Reform Act of 1990, this account
    records, for this program, the subsidy costs associated with the loan
    guarantees committed in 2001 and beyond (including modifications of
    guarantees that resulted from obligations in any year). The subsidy
    amounts are estimated on a net present value. The administrative
    expenses are shown on a cash basis.

        This program provides access to sources of private financing to
    eligible Native Hawaiian families who reside on the Hawaiian Home Lands
    and who otherwise could not acquire private financing because of the
    unique legal status of the Hawaiian Home Lands.

          Native Hawaiian Housing Loan Guarantee Fund Financing Account

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4351-0-3-371      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........                                   1
    22.00 New financing authority (gross)...                       1           1
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......                       1           2
    24.40 Unobligated balance carried
            forward, end of year............                       1           1
    ----------------------------------------------------------------------------

        New financing authority (gross), detail:
          Discretionary:

    68.00   Spending authority from
              offsetting collections
              (gross): Federal sources......                       1           1
    ----------------------------------------------------------------------------

        Offsets:
          Against gross financing authority and
              financing disbursements:

    88.00   Offsetting collections (cash)
              from: Federal sources:
              Payments from program account.                      -1          -1
    ----------------------------------------------------------------------------

        Net financing authority and financing
            disbursements:
    89.00 Financing authority...............
    90.00 Financing disbursements...........                      -1          -1
    ---------------------------------------------------------------------------

                 Status of Guaranteed Loans (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4351-0-3-371      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------
        Position with respect to appropriations act
                    limitation on commitments:
    2111  Limitation on guaranteed loans
            made by private lenders.........          40          40          35
    2121  Limitation available from carry-
            forward.........................                      40          79
    2143  Uncommitted limitation carried
            forward.........................         -40         -79        -112
                                               ---------   ---------  ----------
    2150    Total guaranteed loan
              commitments...................                       1           2
    2199  Guaranteed amount of guaranteed
            loan commitments................                       1           2
    ----------------------------------------------------------------------------

        Cumulative balance of guaranteed loans
                    outstanding:
    2210  Outstanding, start of year........                                   1
    2231  Disbursements of new guaranteed
            loans...........................                       1           2
    2251  Repayments and prepayments........                                  -1
                                               ---------   ---------  ----------
    2290    Outstanding, end of year........                       1           2
    ----------------------------------------------------------------------------

        Memorandum:
    2299  Guaranteed amount of guaranteed
            loans outstanding, end of year..                       1           2
    ---------------------------------------------------------------------------

                                 Balance Sheet (in millions of dollars)

    -----------------------------------------------------------------------------------------------
    Identification code   86-4351-0-3-371    2001 actual    2002 actual     2003 est.      2004 est.
    -----------------------------------------------------------------------------------------------
        ASSETS:
    1101  Federal assets: Fund balances with
            Treasury........................                                        1
                                            ------------ --------------  ------------  -------------
    1999    Total assets....................                                        1
        LIABILITIES:
    2204  Non-Federal liabilities:
            Liabilities for loan guarantees.                                        1
                                            ------------ --------------  ------------  -------------
    2999    Total liabilities...............                                        1
                                            ------------ --------------  ------------  -------------
    4999  Total liabilities and net position                                        1
    -----------------------------------------------------------------------------------------------

        As required by the Federal Credit Reform Act of 1990, this non-
    budgetary account records all cash flows to and from the government
    resulting from the loan guarantees committed in 2001 and beyond
    (including modifications of loan guarantees that resulted from
    obligations in any year). The amounts in this account are a means of
    financing and are not included in the budget totals. As required by the
    Federal Credit Reform Act of 1990, no administrative expenses can be
    recorded in the financing account.

              Title VI Indian Federal Guarantees Financing Account

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4244-0-3-604      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------

        Obligations by program activity:
    08.02 Downward Reestimate...............                       1
                                               ---------   ---------  ----------
    10.00   Total new obligations...........                       1
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........           1           8          10
    22.00 New financing authority (gross)...           6           3           2
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......           7          11          12
    23.95 Total new obligations.............                      -1
    24.40 Unobligated balance carried
            forward, end of year............           8          10          12
    ----------------------------------------------------------------------------

        New financing authority (gross), detail:
          Discretionary:

    68.00   Spending authority from
              offsetting collections
              (gross): Offsetting
              collections (cash)............           6           3           2
    ----------------------------------------------------------------------------

        Change in obligated balances:
    73.10 Total new obligations.............                       1
    ----------------------------------------------------------------------------

        Offsets:
          Against gross financing authority and
              financing disbursements:

    88.00   Offsetting collections (cash)
              from: Federal sources.........          -6          -3          -2
    ----------------------------------------------------------------------------

        Net financing authority and financing
            disbursements:
    89.00 Financing authority...............
    90.00 Financing disbursements...........          -6          -3          -2
    ---------------------------------------------------------------------------

                 Status of Guaranteed Loans (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4244-0-3-604      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------
        Position with respect to appropriations act
                    limitation on commitments:
    2111  Limitation on guaranteed loans
            made by private lenders.........          53          17           8
    2121  Limitation available from carry-
            forward.........................         193         191         191
    2143  Uncommitted limitation carried
            forward.........................        -191        -191        -187
                                               ---------   ---------  ----------
    2150    Total guaranteed loan
              commitments...................          55          17          12
    2199  Guaranteed amount of guaranteed
            loan commitments................          44          14          10
    ----------------------------------------------------------------------------

        Cumulative balance of guaranteed loans
                    outstanding:
    2210  Outstanding, start of year........          10          65          76
    2231  Disbursements of new guaranteed
            loans...........................          55          14          10
    2251  Repayments and prepayments........                      -2          -5

    [[Page 486]]

    2263  Adjustments: Terminations for
            default that result in claim
            payments........................                      -1          -1
                                               ---------   ---------  ----------
    2290    Outstanding, end of year........          65          76          80
    ----------------------------------------------------------------------------

        Memorandum:
    2299  Guaranteed amount of guaranteed
            loans outstanding, end of year..          52          61          64
    ---------------------------------------------------------------------------

                                 Balance Sheet (in millions of dollars)

    -----------------------------------------------------------------------------------------------
    Identification code   86-4244-0-3-604    2001 actual    2002 actual     2003 est.      2004 est.
    -----------------------------------------------------------------------------------------------
        ASSETS:
    1101  Federal assets: Fund balances with
            Treasury........................           1              8             3
                                            ------------ --------------  ------------  -------------
    1999    Total assets....................           1              8             3
        LIABILITIES:
    2204  Non-Federal liabilities:
            Liabilities for loan guarantees.           1              8             3
                                            ------------ --------------  ------------  -------------
    2999    Total liabilities...............           1              8             3
        NET POSITION:
                                            ------------ --------------  ------------  -------------
    3999    Total net position..............
                                            ------------ --------------  ------------  -------------
    4999  Total liabilities and net position           1              8             3
    -----------------------------------------------------------------------------------------------

        As required by the Federal Credit Reform Act of 1990, this non-
    budgetary account records all cash flows to and from the Government
    resulting from loan guarantees committed in 1992 and beyond (including
    modifications of loan guarantees that resulted from commitments in any
    year). The amounts in this account are a means of financing and are not
    included in the budget totals. As required by the Federal Credit Reform
    Act of 1990, no administrative expenses can be recorded in the financing
    account.

       Public Housing, Reform Initiative Guaranteed Loan Financing Account

                  (Legislative proposal, not subject to PAYGO)

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4352-2-3-371      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    22.00 New financing authority (gross)...                                   7
    24.40 Unobligated balance carried
            forward, end of year............                                   7
    ----------------------------------------------------------------------------

        New financing authority (gross), detail:
          Discretionary:

    68.00   Spending authority from
              offsetting collections
              (gross): Offsetting
              collections (cash)............                                   7
    ----------------------------------------------------------------------------

        Offsets:
          Against gross financing authority and
              financing disbursements:

    88.00   Offsetting collections (cash)
              from: Federal sources.........                                  -7
    ----------------------------------------------------------------------------

        Net financing authority and financing
            disbursements:
    89.00 Financing authority...............
    90.00 Financing disbursements...........                                  -7
    ---------------------------------------------------------------------------

        This proposal is described under the Public Housing Capital Fund.

                 Status of Guaranteed Loans (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4352-2-3-371      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------
        Position with respect to appropriations act
                    limitation on commitments:
    2111  Limitation on guaranteed loans
            made by private lenders.........                               1,715
    2121  Limitation available from carry-
            forward.........................
    2143  Uncommitted limitation carried
            forward.........................
                                               ---------   ---------  ----------
    2150    Total guaranteed loan
              commitments...................                               1,715
    2199  Guaranteed amount of guaranteed
            loan commitments................                               1,372
    ----------------------------------------------------------------------------

        Cumulative balance of guaranteed loans
                    outstanding:
    2210  Outstanding, start of year........
    2231  Disbursements of new guaranteed
            loans...........................                                  86
    2251  Repayments and prepayments........                                  -2
    2263  Adjustments: Terminations for
            default that result in claim
            payments........................
                                               ---------   ---------  ----------
    2290    Outstanding, end of year........                                  84
    ----------------------------------------------------------------------------

        Memorandum:
    2299  Guaranteed amount of guaranteed
            loans outstanding, end of year..                                  67
    ---------------------------------------------------------------------------

                       COMMUNITY PLANNING AND DEVELOPMENT

                                  Federal Funds

    General and special funds:

                   Housing Opportunities for Persons with AIDS

        For carrying out the Housing Opportunities for Persons with AIDS
    program, as authorized by the AIDS Housing Opportunity Act (42 U.S.C.
    12901 et seq.), $297,000,000, to remain available until September 30,
    2005: Provided, That the Secretary shall renew all expiring contracts
    for permanent supportive housing that were funded under section
    854(c)(3) of such Act that meet all program requirements before awarding
    funds for new contracts and activities authorized under this section:
    Provided further, That the Secretary may use up to $3,000,000 of the
    funds under this heading for training, oversight, and technical
    assistance activities.

        Note.--A regular 2003 appropriation for this account had not been
    enacted at the time the budget was prepared; therefore, this account is
    operating under a continuing resolution (P.L. 107-229, as amended). The
    amounts included for 2003 in this budget reflect the Administration's
    2003 policy proposals.

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0308-0-1-604      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------

        Obligations by program activity:
    00.01 Housing for Persons with HIV/AIDS.         276         383         297
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 41.0)...................         276         383         297
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........          88          91
    22.00 New budget authority (gross)......         277         292         297
    22.10 Resources available from
            recoveries of prior year
            obligations.....................           1
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......         366         383         297
    23.95 Total new obligations.............        -276        -383        -297
    24.40 Unobligated balance carried
            forward, end of year............          91
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.00   Appropriation...................         277         292         297
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..         439         399         490
    73.10 Total new obligations.............         276         383         297
    73.20 Total outlays (gross).............        -314        -292        -311
    73.45 Recoveries of prior year
            obligations.....................          -1
    74.40 Obligated balance, end of year....         399         490         476
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.90 Outlays from new discretionary
            authority.......................           2          12          12
    86.93 Outlays from discretionary
            balances........................         312         280         299
                                               ---------   ---------  ----------

    [[Page 487]]

    87.00   Total outlays (gross)...........         314         292         311
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................         277         292         297
    90.00 Outlays...........................         314         292         311
    ---------------------------------------------------------------------------

        The Housing Opportunities for Persons with AIDS program provides
    States and localities with resources and incentives to devise long-term
    comprehensive strategies for meeting the housing needs of persons with
    HIV/AIDS and their families.

        Up to $3 million is used for technical assistance to grantees and
    project sponsors to strengthen management of programs and ensure
    responsiveness in meeting client needs. States and metropolitan areas
    receive 90 percent of the remaining funds by formula based on the number
    of cases of AIDS and, for metropolitan areas, the incidence of AIDS in
    that area. The final 10 percent is awarded competitively to States,
    local governments, and private nonprofit entities, including faith-based
    organizations, for projects of national significance with priority for
    renewal of the projects providing permanent supportive housing. Awards
    are also made to States and local governments for projects in
    jurisdictions which do not qualify for a formula allocation. The
    requested funding for 2004 will support an additional 1,250 households,
    for a total of approximately 74,250 housing units for persons with HIV/
    AIDS and their families.

                       Community Development Block Grants

                         (including transfers of funds)

        For assistance to units of State and local government, and to other
    entities, for economic and community development activities, and for
    other purposes, $4,716,000,000, to remain available until September 30,
    2006, of which Provided, That of the amount provided, $4,436,000,000 is
    for carrying out the community development block grant program under
    title I of the Housing and Community Development Act of 1974, as amended
    (the ``Act'' herein) (42 U.S.C. 5301 et seq.); $72,500,000 shall be for
    grants to Indian tribes notwithstanding section 106(a)(1) of such Act;
    $3,000,000 shall be for a grant to the Housing Assistance Council;
    $2,200,000 shall be for a grant to the National American Indian Housing
    Council; and $37,900,000 shall be for grants pursuant to section 107 of
    the Act, of which $2,400,000 shall be to support Alaska Native serving
    institutions and Native Hawaiian serving institutions as defined under
    the Higher Education Act, as amended, $3,000,000 shall be for tribal
    colleges and universities to build, expand, renovate and equip their
    facilities, and not less than $3,000,000 shall be for technical
    assistance pursuant to section 107(b)(4) of the Act; of which no less
    than $4,900,000 shall be transferred to the Working Capital Fund for the
    development of and modification to information technology systems: which
    serve programs or activities under ``Community Planning and
    Development''; and of which $65,000,000 shall be for grants pursuant to
    the Self Help Homeownership Opportunity Program, including $3,000,000
    shall be for technical assistance: Provided, That not to exceed 20
    percent of any grant made with funds appropriated under this heading
    (other than a grant made available in this paragraph to the Housing
    Assistance Council or the National American Indian Housing Council, or a
    grant using funds under section 107(b)(3) of the Act) shall be expended
    for ``Planning and Management Development'' and ``Administration'', as
    defined in regulations promulgated by the Department.
        Of the amount under this heading, $29,500,000 shall be for capacity
    building, of which $25,000,000 shall be for Capacity Building for
    Community Development and Affordable Housing for LISC and the Enterprise
    Foundation for activities as authorized by section 4 of the HUD
    Demonstration Act of 1993 (42 U.S.C. 9816 note), as in effect
    immediately before June 12, 1997, with not less than $5,000,000 of the
    funding to be used in rural areas, including tribal areas, and of which
    $4,500,000 shall be for capacity building activities administered by
    Habitat for Humanity International.
        Of the amount made available under this heading, notwithstanding any
    other provision of law, $65,000,000 shall be available for YouthBuild
    program activities authorized by subtitle D of title IV of the Cranston-
    Gonzalez National Affordable Housing Act, as amended, and such
    activities shall be an eligible activity with respect to any funds made
    available under this heading: Provided, That local YouthBuild programs
    that demonstrate an ability to leverage private and nonprofit funding
    shall be given a priority for YouthBuild funding: Provided further, That
    no more than 10 percent of any grant award may be used for
    administrative costs: Provided further, That not less than $10,000,000
    shall be available for grants to establish YouthBuild programs in
    underserved and rural areas: Provided further, That of the amount
    provided under this paragraph, $2,000,000 shall be set aside and made
    available for a grant to YouthBuild USA for capacity building for
    community development and affordable housing activities as specified in
    section 4 of the HUD Demonstration Act of 1993, as amended.

        Note.--A regular 2003 appropriation for this account had not been
    enacted at the time the budget was prepared; therefore, this account is
    operating under a continuing resolution (P.L. 107-229, as amended). The
    amounts included for 2003 in this budget reflect the Administration's
    2003 policy proposals.

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0162-0-1-451      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------

        Obligations by program activity:
    00.01 Community Development Grants......       5,042       4,742       4,746
    00.02 World Trade Center Response.......       2,700         783
    00.03 Working Capital Fund..............          14           3           5
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 41.0)...................       7,756       5,528       4,751
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........       1,026       1,747         935
    22.00 New budget authority (gross)......       7,783       4,716       4,716
    22.10 Resources available from
            recoveries of prior year
            obligations.....................           3
    22.22 Unobligated balance transferred
            from other accounts.............         700
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......       9,512       6,463       5,651
    23.95 Total new obligations.............      -7,756      -5,528      -4,751
    23.98 Unobligated balance expiring or
            withdrawn.......................          -9
    24.40 Unobligated balance carried
            forward, end of year............       1,747         935         900
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

            Appropriation:
    40.00     Appropriation.................       5,000       4,716       4,716
    40.00     Appropriation.................       2,783
                                               ---------   ---------  ----------
    43.00     Appropriation (total
                discretionary)..............       7,783       4,716       4,716
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..       9,091      11,409      10,287
    73.10 Total new obligations.............       7,756       5,528       4,751
    73.20 Total outlays (gross).............      -5,429      -6,650      -6,124
    73.40 Adjustments in expired accounts
            (net)...........................          -6
    73.45 Recoveries of prior year
            obligations.....................          -3
    74.40 Obligated balance, end of year....      11,409      10,287       8,914
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.90 Outlays from new discretionary
            authority.......................         111          94          94
    86.93 Outlays from discretionary
            balances........................       5,318       6,556       6,030
                                               ---------   ---------  ----------
    87.00   Total outlays (gross)...........       5,429       6,650       6,124
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................       7,783       4,716       4,716
    90.00 Outlays...........................       5,429       6,650       6,124
    ---------------------------------------------------------------------------

                     Summary of Budget Authority and Outlays

                            (in millions of dollars)

                                         2002 actual  2003 est.   2004 est.
    Enacted/requested:
      Budget Authority..................       7,783       4,716       4,716
      Outlays...........................       5,429       6,650       6,124
    Legislative proposal, not subject to
        PAYGO:
      Budget Authority..................                      16          16
      Outlays...........................                                   5
                                        ------------------------------------
    Total:
      Budget Authority..................       7,783       4,732       4,732
      Outlays...........................       5,429       6,650       6,129
                                        ====================================

        Title I of the Housing and Community Development Act of 1974, as
    amended, authorizes the Secretary to make grants to units of general
    local government under the Community Development Block Grant (CDBG)
    program and States to fund local community development programs.

    [[Page 488]]

        The 2004 Budget allocates $72.5 million to Indian tribes as
    authorized by Section 106(a)(1) of the Housing and Community Development
    Act of 1974. Since its inception, funds made available to Native
    American communities have supported a wide variety of community
    development activities, predominantly, but not exclusively, community
    facilities, infrastructure and buildings to help meet the basic needs of
    low and moderate income community members. Since the vast majority of
    eligible tribes and Alaska Native Villages have non-existent tax bases,
    this program has helped to finance those public facilities needed to
    maintain or establish community viability. While it has had a
    significant impact on many Native American communities throughout the
    Nation, basic community development needs throughout Indian Country
    remain substantial.

        Seventy percent of CDBG formula funds are allocated to metropolitan
    cities and urban counties that receive their grants using the higher of
    two objective formulas. States and small cities receive 30 percent of
    the formula funds. The proposed level of funding for CDBG will support
    an estimated 90,000 jobs. These funds will also help to rehabilitate an
    estimated 185,000 housing units.

        Section 107 Grants include funding for technical assistance to
    support local and State grantees including efforts to streamline the
    Consolidated Plan, program management and analytical support of
    information technology projects such as enhancements to the Integrated
    Disbursement and Information System (IDIS). Historically Black Colleges
    and Universities, Hispanic serving Institutions, the Community
    Development Work Study, Community Outreach Partnership Centers (COPC),
    Tribal Colleges and Universities and Alaska Native and Native Hawaiian
    Serving Institutions programs. There is also a legislative proposal to
    move the funding for the Insular areas out of Section 107 and into
    Section 106, the Formula program.

        As authorized by Section 4 of the HUD Demonstration Act of 1993, the
    National Community Development Initiative (NCDI) helps build capacity of
    community-based development corporations and housing development
    organizations, and assist such corporations and organizations to carry
    out community development and affordable housing activities. The 2004
    Budget includes $25 million for this program. In addition, $4.5 million
    is set aside for Habitat for Humanity capacity building programs. Both
    programs will target their efforts to increasing minority homeownership.

        The Youthbuild program provides resources to educate, train and
    supply stipends for economically disadvantaged young adults through
    their participation in the construction and rehabilitation of housing
    for low-income and homeless families and individuals. The program
    expands the supply of affordable housing and, at the same time, enables
    high school drop-outs to obtain the education and employment skills
    necessary to achieve self-sufficiency. The 2004 request for $65 million
    will provide more than 3,728 young people with skills they need to
    obtain jobs. Funding of $65 million is provided for the Self-Help
    Homeownership Opportunity Program (Shop) including $3 million for
    technical assistance is targeted at very low-income populations. The
    three-fold increase reflects the growing capacity of self-help housing
    organizations to expand upon recent successes in making home ownership a
    viable option. In addition, $3 million is provided for the Housing
    Assistance Council as well as $2.2 million for the Native American
    Indian Housing Council to meet unserved rural and Native American
    housing needs.

        The 2004 Budget also includes $3 million in competitive grants to
    Tribal Colleges and Universities (TCU) to provide resources to build,
    expand, renovate and equip facilities. In addition, $2.4 million is
    provided to assist Alaska Native and Native Hawaiian Serving
    institutions. A transfer of $4.9 million to the Working Capital Fund is
    included.

                       Community Development Block Grants

                  (Legislative proposal, not subject to PAYGO)

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0162-2-1-451      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------

        Obligations by program activity:
    00.01 Colonias Gateway Initiative.......                      16          16
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 41.0)...................                      16          16
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    22.00 New budget authority (gross)......                      16          16
    23.95 Total new obligations.............                     -16         -16
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.00   Appropriation...................                      16          16
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..                                  16
    73.10 Total new obligations.............                      16          16
    73.20 Total outlays (gross).............                                  -5
    74.40 Obligated balance, end of year....                      16          27
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.93 Outlays from discretionary
            balances........................                                   5
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................                      16          16
    90.00 Outlays...........................                                   5
    ---------------------------------------------------------------------------

        The Budget also provides $16 million for the Colonias Gateway
    Initiative to enhance the availability of affordable housing, economic
    opportunity, and infrastructure in the Colonias by establishing a non-
    profit entity with the mission of improving the coordination of public,
    private, and community-based resources in the Colonias. Colonias are
    rural communities within 150 miles of the U.S. Mexican border that lack
    adequate infrastructure and other basic services.

                    Empowerment Zones/Enterprise Communities

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0315-0-1-451      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------

        Obligations by program activity:
    00.01 Develop urban sites...............          42           3
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 41.0)...................          42           3
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........                       3
    22.00 New budget authority (gross)......          45
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......          45           3
    23.95 Total new obligations.............         -42          -3
    24.40 Unobligated balance carried
            forward, end of year............           3
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.00   Appropriation...................          45
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..         246         231         159
    73.10 Total new obligations.............          42           3
    73.20 Total outlays (gross).............         -57         -75         -70
    74.40 Obligated balance, end of year....         231         159          89
    ----------------------------------------------------------------------------

    [[Page 489]]

        Outlays (gross), detail:
    86.93 Outlays from discretionary
            balances........................          57          75          70
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................          45
    90.00 Outlays...........................          57          75          70
    ---------------------------------------------------------------------------

        The Empowerment Zone (EZ) initiative helps revitalize city
    neighborhoods by attracting business development and providing
    employment opportunities to residents of empowerment zones. Empowerment
    Zone principles include a strategic vision for change, a community-based
    partnership, providing economic opportunity and sustainable community
    development.

        The VA HUD Appropriations Act of 2001 (P.L. 106-377 and P.L. 106-
    554) provided $185 million for Round II Urban Empowerment Zones. The VA
    HUD Appropriations Act of 2002 (P.L. 107-73) provided $45 million for
    Round II Urban Empowerment Zones which brought the total funding for
    Round II urban EZs through 2002 to $330 million. No new funding is
    proposed for EZ's in FY 2004.

        Funding has provided for a broad range of activities aimed at
    assisting residents, businesses and organizations in urban EZs,
    including: community policing; health care; neighborhood development;
    brownfields clean-up and redevelopment; support for financing of capital
    projects; education; work force preparation and job creation efforts
    linked to welfare reform; leveraging private sector resources, repayment
    of debt financing by municipal bonds; financing of projects in
    conjunction with the Section 108 loan guarantee program and other
    economic development projects; support for project-based rental
    assistance; and, financing other housing activities.

        EZs are helping to stimulate billions of dollars in private
    investment, reviving inner city neighborhoods and supporting jobs, and
    helping families move from welfare to work.

        The Community Renewal and Tax Relief Act of 2000 (P.L. 106-554)
    authorized the designation of a third round of 7 urban and 2 rural
    empowerment zones and 40 competitively selected Renewal Communities
    administered by HUD.

                            Brownfields Redevelopment

        Note.--A regular 2003 appropriation for this account had not been
    enacted at the time the budget was prepared; therefore, this account is
    operating under a continuing resolution (P.L. 107-229, as amended). The
    amounts included for 2003 in this budget reflect the Administration's
    2003 policy proposals.

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0314-0-1-451      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------

        Obligations by program activity:
    00.01 Cleanup and develop contaminated
            sites...........................          22          29
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 41.0)...................          22          29
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........           1           4
    22.00 New budget authority (gross)......          25          25
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......          26          29
    23.95 Total new obligations.............         -22         -29
    24.40 Unobligated balance carried
            forward, end of year............           4
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.00   Appropriation...................          25          25
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..          91         109         128
    73.10 Total new obligations.............          22          29
    73.20 Total outlays (gross).............          -5         -10         -13
    74.40 Obligated balance, end of year....         109         128         115
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.90 Outlays from new discretionary
            authority.......................                       1
    86.93 Outlays from discretionary
            balances........................           5           9          13
                                               ---------   ---------  ----------
    87.00   Total outlays (gross)...........           5          10          13
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................          25          25
    90.00 Outlays...........................           5          10          13
    ---------------------------------------------------------------------------

        The 2004 Budget proposes no new funding for this program. The
    Brownfields Redevelopment initiative provided competitive economic
    development grants, in conjunction with Section 108 loan guarantees, for
    the redevelopment of qualified brownfield projects.

        Grants are made in accordance with section 108(q) selection criteria
    and such other criteria deemed appropriate for brownfield projects,
    including the extent to which an applicant is currently operating a
    brownfields program and is working with appropriate environmental
    regulatory agencies.

        The Brownfields Redevelopment initiative has received annual
    appropriations of $25 million since its inception in 1998.

                               Youthbuild Program

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0219-0-1-604      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..           1           1
    73.20 Total outlays (gross).............                      -1
    74.40 Obligated balance, end of year....           1
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.93 Outlays from discretionary
            balances........................                       1
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................
    90.00 Outlays...........................                       1
    ---------------------------------------------------------------------------

        This program provides resources to educate, train, and provide
    stipends for economically disadvantaged young adults through their
    participation in the construction and rehabilitation of housing for low-
    income and homeless persons. The program expands the supply of
    affordable housing and, at the same time, enables high school dropouts
    to obtain the education and life and employment skills necessary to
    achieve self-sufficiency. The Youthbuild program has been funded as a
    set-aside within the CDBG program since 1996. The 2004 CDBG set aside
    request of $65 million will provide more than 3,728 young people with
    skills they need to get jobs. The obligated balance and outlays
    represent activity in the separate youthbuild account.

                      HOME Investment Partnerships Program

                          (including transfer of funds)

          For the HOME investment partnerships program, as authorized under
    title II of the Cranston-Gonzalez National Affordable Housing Act, as
    amended, $2,197,400,000, to remain available until September 30, 2006,
    of which $200,000,000 shall be available for the Downpayment Assistance
    Initiative; of which $25,000,000 shall be for a lead hazard reduction
    demonstration; and no less than $2,100,000 shall be transferred to the
    Working Capital Fund for the development and maintenance of, and
    modification to information technology systems which serve Programs or
    activities under ``Community Planning and Development''.

        Note.--A regular 2003 appropriation for this account had not been
    enacted at the time the budget was prepared; therefore, this account is
    operating under a continuing resolution (P.L. 107-229, as amended). The
    amounts included for 2003 in this budget reflect the Administration's
    2003 policy proposals.

    [[Page 490]]

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0205-0-1-604      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------

        Obligations by program activity:
    00.01 HOME grants.......................       1,827       2,089       2,199
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 41.0)...................       1,827       2,089       2,199
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........         284         256         251
    22.00 New budget authority (gross)......       1,796       2,084       2,197
    22.10 Resources available from
            recoveries of prior year
            obligations.....................           3
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......       2,083       2,340       2,448
    23.95 Total new obligations.............      -1,827      -2,089      -2,199
    24.40 Unobligated balance carried
            forward, end of year............         256         251         249
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.00   Appropriation...................       1,846       2,084       2,197
    40.35   Appropriation rescinded.........         -50
                                               ---------   ---------  ----------
    43.00     Appropriation (total
                discretionary)..............       1,796       2,084       2,197
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..       4,383       4,667       5,156
    73.10 Total new obligations.............       1,827       2,089       2,199
    73.20 Total outlays (gross).............      -1,540      -1,600      -1,700
    73.45 Recoveries of prior year
            obligations.....................          -3
    74.40 Obligated balance, end of year....       4,667       5,156       5,655
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.90 Outlays from new discretionary
            authority.......................          27          42          44
    86.93 Outlays from discretionary
            balances........................       1,513       1,558       1,656
                                               ---------   ---------  ----------
    87.00   Total outlays (gross)...........       1,540       1,600       1,700
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................       1,796       2,084       2,197
    90.00 Outlays...........................       1,540       1,600       1,700
    ---------------------------------------------------------------------------

        The HOME Investment Partnerships program is authorized by the
    National Affordable Housing Act (P.L. 101-625). This program provides
    assistance to States and units of local government, through formula
    allocation, expanding the supply and affordability of housing. Eligible
    activities include acquisition, rehabilitation, and new construction of
    housing and tenant-based rental assistance. The 2004 request will result
    in the production of 109,200 units of affordable housing through new
    construction, rehabilitation, or acquisition. In addition, tenant-based
    rental assistance will be provided for 13,335 units.

        Funding of $25 million is included for a new competitive set-aside
    to demonstrate innovative local strategies targeted at making homes lead
    safe for low-income children. This initiative will involve private
    sector matching funds and will be evaluated so the lessons learned can
    be extended to the Lead Hazard Reduction program.

        The HOME request also includes up to $2.1 million for systems
    development and related projects including improvements to the
    Integrated Disbursement and Information System (IDIS), funding for
    technical assistance, and $1 million for program management and
    analytical support.

                           Homeless Assistance Grants

                          (including transfer of funds)

        For the emergency shelter grants program as authorized under
    subtitle B of title IV of the McKinney-Vento Homeless Assistance Act, as
    amended; the supportive housing program as authorized under subtitle C
    of title IV of such Act; the section 8 moderate rehabilitation single
    room occupancy program as authorized under the United States Housing Act
    of 1937, as amended, to assist homeless individuals pursuant to section
    441 of the McKinney-Vento Homeless Assistance Act; and the shelter plus
    care program as authorized under subtitle F of title IV of such Act,
    $1,325,000,000, to remain available until September 30, 2006: Provided,
    That not less than 30 percent of funds made available, excluding amounts
    provided for renewals under the shelter plus care program, shall be used
    for permanent housing: Provided further, That all funds awarded for
    services shall be matched by 25 percent in funding by each grantee:
    Provided further, That the Secretary shall renew on an annual basis
    expiring contracts or amendments to contracts funded under the shelter
    plus care program if the program is determined to be needed under the
    applicable continuum of care and meets appropriate program requirements
    and financial standards, as determined by the Secretary: Provided
    further, That all awards of assistance under this heading shall be
    required to coordinate and integrate homeless programs with other
    mainstream health, social services, and employment programs for which
    homeless populations may be eligible, including Medicaid, State
    Children's Health Insurance Program, Temporary Assistance for Needy
    Families, Food Stamps, and services funded through the Mental Health and
    Substance Abuse Block Grant, Workforce Investment Act, and the Welfare-
    to-Work grant program: Provided further, That $12,000,000 of the funds
    appropriated under this heading shall be available for the national
    homeless data analysis project and technical assistance: Provided
    further, That no less than $2,580,000 of the funds appropriated under
    this heading shall be transferred to the Working Capital Fund for the
    development of and modifications to information technology systems which
    serve activities under ``Community Planning and Development'': Provided
    further, That $1,500,000 shall be made available to the Interagency
    Council on the Homeless for administrative needs.

        Note.--A regular 2003 appropriation for this account had not been
    enacted at the time the budget was prepared; therefore, this account is
    operating under a continuing resolution (P.L. 107-229, as amended). The
    amounts included for 2003 in this budget reflect the Administration's
    2003 policy proposals.

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0192-0-1-604      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------

        Obligations by program activity:
    00.01 Homeless assistance grants........         994       1,138       1,365
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 41.0)...................         994       1,138       1,365
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........       1,408       1,583       1,575
    22.00 New budget authority (gross)......       1,123       1,130       1,325
    22.10 Resources available from
            recoveries of prior year
            obligations.....................          47
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......       2,578       2,713       2,900
    23.95 Total new obligations.............        -994      -1,138      -1,365
    24.40 Unobligated balance carried
            forward, end of year............       1,583       1,575       1,535
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.00   Appropriation...................       1,123       1,130       1,325
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..       2,500       2,428       2,509
    73.10 Total new obligations.............         994       1,138       1,365
    73.20 Total outlays (gross).............      -1,019      -1,057      -1,174
    73.45 Recoveries of prior year
            obligations.....................         -47
    74.40 Obligated balance, end of year....       2,428       2,509       2,700
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.90 Outlays from new discretionary
            authority.......................          12          34          40
    86.93 Outlays from discretionary
            balances........................       1,007       1,023       1,134
                                               ---------   ---------  ----------
    87.00   Total outlays (gross)...........       1,019       1,057       1,174
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................       1,123       1,130       1,325
    90.00 Outlays...........................       1,019       1,057       1,174
    ---------------------------------------------------------------------------

        The Homeless Assistance Grants program funds the Shelter Plus Care,
    Supportive Housing, Emergency Shelter Grants, and Section 8 Moderate
    Rehabilitation Single Room Occupancy programs. These funds will enable
    localities to shape and implement comprehensive, flexible, coordinated
    ap

    [[Page 491]]

    proaches to solving rather than institutionalizing homelessness. In
    fact, in recent years, many communities have made great strides in
    developing holistic approaches to solving homelessness. Requested
    funding would be available for a wide range of activities to assist
    homeless persons and prevent future homelessness, and will support the
    Department's effort to end chronic homelessness within a decade. The
    Administration will propose legislation to combine HUD's three
    competitive programs--Shelter Plus Care, Supportive Housing, and Section
    8 Moderate Rehabilitation Single Room Occupany into a single program
    with enough flexibility to meet community needs. The Department is also
    continuing to pursue expanded interagency efforts to meet the needs of
    the homeless.

        Funding is also requested for technical assistance to provide needed
    assistance to grantees to resolve problems that hinder successful
    project completion and implementation, and for management information
    systems support, including the continuing operation of tracking systems
    required by House Report 105-610.

                                Samaritan Housing

                  (Legislative proposal, not subject to PAYGO)

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0400-2-1-604      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------

        Obligations by program activity:
    00.01 Direct Program Activity...........                                  50
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 41.0)...................                                  50
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    22.00 New budget authority (gross)......                                  50
    23.95 Total new obligations.............                                 -50
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.00   Appropriation...................                                  50
    ----------------------------------------------------------------------------

        Change in obligated balances:
    73.10 Total new obligations.............                                  50
    73.20 Total outlays (gross).............                                  -5
    74.40 Obligated balance, end of year....                                  45
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.90 Outlays from new discretionary
            authority.......................                                   5
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................                                  50
    90.00 Outlays...........................                                   5
    ---------------------------------------------------------------------------

        The Administration will submit legislation for the Samaritan Housing
    initiative, a new competitive grant program that supports the
    Administration's efforts to end chronic homelessness within a decade.
    Funding of $50 million for housing grants is requested in 2004 to
    support the most promising local strategies to move chronically homeless
    persons from the streets to safe permanent housing with supportive
    services. The Samaritan Housing initiative is part of a broader
    interagency Samaritan Initiative involving the Departments of Housing
    and Urban Development (HUD), Health and Human Services (HHS), and
    Veterans Affairs (VA) and other Federal agencies to end chronic
    homelessness.

                     Rural Housing and Economic Development

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0324-0-1-604      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------

        Obligations by program activity:
    00.01 Rural Housing.....................          25          26
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 41.0)...................          25          26
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........          26          26
    22.00 New budget authority (gross)......          25
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......          51          26
    23.95 Total new obligations.............         -25         -26
    24.40 Unobligated balance carried
            forward, end of year............          26
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.00   Appropriation...................          25
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..          31          34          35
    73.10 Total new obligations.............          25          26
    73.20 Total outlays (gross).............         -22         -25         -23
    74.40 Obligated balance, end of year....          34          35          12
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.93 Outlays from discretionary
            balances........................          22          25          23
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................          25
    90.00 Outlays...........................          22          25          23
    ---------------------------------------------------------------------------

        This program encouraged new and innovative approaches to serving the
    housing and economic development needs of the nation's rural
    communities. The 2004 Budget proposes no new funding for this program.

                       Emergency Food and Shelter Program

                  (Legislative proposal, not subject to PAYGO)

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0230-2-1-605      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------

        Obligations by program activity:
    04.10 Direct Program Activity...........                     153         153
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 41.0)...................                     153         153
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    22.00 New budget authority (gross)......                     153         153
    23.95 Total new obligations.............                    -153        -153
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.00   Appropriation...................                     153         153
    ----------------------------------------------------------------------------

        Change in obligated balances:
    73.10 Total new obligations.............                     153         153
    73.20 Total outlays (gross).............                    -153        -153
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.90 Outlays from new discretionary
            authority.......................                     153         153
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................                     153         153
    90.00 Outlays...........................                     153         153
    ---------------------------------------------------------------------------

        Legislation will be submitted to transfer this program from the
    Federal Emergency Management Agency to HUD in order to consolidate
    emergency homeless assistance. The Emergency Food and Shelter program
    distributes funds rapidly and equitably to local jurisdictions to
    supplement community efforts to provide emergency food and shelter
    services. Funds will be obligated to a National Board, which will be
    chaired by HUD and whose non-profit partners (American Red Cross, The
    Salvation Army, United Way of America, and others) provide professional
    expertise. This National Board then works through similarly composed
    local boards to advertise the availability of funds, assess community
    needs, and make allocation choices. These community-based Local Boards
    also assure coordination of effort and development of systems to

    [[Page 492]]

    prevent duplication of benefits. The Budget proposes no changes in the
    program's design or operation. The 2004 Budget proposes $153 million.

                         Urban Development Action Grants

        From balances of the Urban Development Action Grant Program, as
    authorized by title I of the Housing and Community Development Act of
    1974, as amended, $30,000,000 are cancelled.

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0170-0-1-451      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    22.00 New budget authority (gross)......                                 -30
    22.10 Resources available from
            recoveries of prior year
            obligations.....................                                  30
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.36   Unobligated balance rescinded...                                 -30
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..          67          61          51
    73.20 Total outlays (gross).............          -6         -10         -10
    73.45 Recoveries of prior year
            obligations.....................                                 -30
    74.40 Obligated balance, end of year....          61          51          11
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.93 Outlays from discretionary
            balances........................           6          10          10
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................                                 -30
    90.00 Outlays...........................           6          10          10
    ---------------------------------------------------------------------------

        Title I of the Housing and Community Development Act of 1974, as
    amended, authorized grants to distressed cities and distressed urban
    counties to fund economic development projects. The program was
    terminated in 1990. The Budget proposes a cancellation of $30 million
    from terminated Urban Development Action Grants.

       Capacity Building for Community Development and Affordable Housing

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0222-0-1-451      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..           2
    73.20 Total outlays (gross).............          -2
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.93 Outlays from discretionary
            balances........................           2
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................
    90.00 Outlays...........................           2
    ---------------------------------------------------------------------------

        As authorized by section 4 of the HUD Demonstration Act of 1993,
    this program provides funding to the National Community Development
    Initiative to build the capacity of community-based development
    corporations and housing development organizations and to assist such
    corporations and organizations to carry out community development and
    affordable housing activities. Funding for this program was provided
    under the Annual Contributions for Assisted Housing account in 1996.
    Public Law 105-18 amended authorizing legislation to include additional
    eligible recipients and provided funding for this program through a
    transfer from the Homeownership and Opportunity for People Everywhere
    Grants account in 1997. Funding of $28 million was provided for this
    program in 2001 in Public Law 106-377 as a set-aside within the CDBG
    program. P.L. 107-73 provided $29 million for this program in 2002.
    Funding of $29.5 million is being requested in 2004, again as a set-
    aside within CDBG.

                           Shelter Plus Care Renewals

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0232-0-1-604      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------

        Obligations by program activity:
    00.01 Renewal of Expiring Contracts.....          57          18           1
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 41.0)...................          57          18           1
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........          76          19           1
    23.95 Total new obligations.............         -57         -18          -1
    24.40 Unobligated balance carried
            forward, end of year............          19           1
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..          22          54          37
    73.10 Total new obligations.............          57          18           1
    73.20 Total outlays (gross).............         -25         -35         -37
    74.40 Obligated balance, end of year....          54          37           1
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.93 Outlays from discretionary
            balances........................          25          35          37
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................
    90.00 Outlays...........................          25          35          37
    ---------------------------------------------------------------------------

        Shelter Plus Care provides rental assistance that, when combined
    with social services, supplies supportive housing for homeless people
    with disabilities and their families. Homeless people with disabilities
    often need more than shelter to live independently, such as medical care
    or other social services. Shelter Plus Care provides for a variety of
    housing choices such as group homes or individual units, coupled with a
    range of supportive services (which are funded by other sources).
    Grantees must match the rental assistance with supportive services that
    are at least equal in value to the amount of HUD's rental assistance.
    The Shelter Plus Care renewal funding renews contracts on a one-year
    basis and provides funding to amend contracts that were previously
    extended but which will run out of funding. The 2002 VA HUD
    Appropriations Act (P.L. 107-73) provided funding for Shelter Plus Care
    in the Homeless Assistance Grants account. Amounts provided in 2002 are
    sufficient to cover Shelter Plus Care Renewals in 2003. Shelter Plus
    Care Renewals are funded in the Homeless Assistance Grants account in
    2004.

    Public enterprise funds:

                      Revolving Fund (Liquidating Programs)

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4015-0-3-451      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------

        Obligations by program activity:
    09.01 Loan servicing....................           2
                                               ---------   ---------  ----------
    10.00   Total new obligations...........           2
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........          31          20          11
    22.00 New budget authority (gross)......           1           1           1
    22.10 Resources available from
            recoveries of prior year
            obligations.....................           4
    22.40 Capital transfer to general fund..         -15         -10          -8
                                               ---------   ---------  ----------

    [[Page 493]]

    23.90   Total budgetary resources
              available for obligation......          21          11           4
    23.95 Total new obligations.............          -2
    24.40 Unobligated balance carried
            forward, end of year............          20          11           3
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Mandatory:

    69.00   Offsetting collections (cash)...           1           1           1
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..           7           3           1
    73.10 Total new obligations.............           2
    73.20 Total outlays (gross).............          -1          -2          -1
    73.45 Recoveries of prior year
            obligations.....................          -4
    74.40 Obligated balance, end of year....           3           1
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.98 Outlays from mandatory balances...           1           2           1
    ----------------------------------------------------------------------------

        Offsets:
          Against gross budget authority and outlays:

    88.40   Offsetting collections (cash)
              from: Non-Federal sources.....          -1          -1          -1
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................
    90.00 Outlays...........................                       1
    ---------------------------------------------------------------------------

                   Status of Direct Loans (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4015-0-3-451      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------
        Cumulative balance of direct loans
                    outstanding:
    1210  Outstanding, start of year........          19          18          17
    1251  Repayments: Repayments and
            prepayments.....................                                  -1
    1263  Write-offs for default: Direct
            loans...........................          -1          -1          -1
                                               ---------   ---------  ----------
    1290    Outstanding, end of year........          18          17          15
    ---------------------------------------------------------------------------

        The Revolving fund (liquidating programs) was established by the
    Independent Offices Appropriations Act of 1955 for the efficient
    liquidation of assets acquired under a number of housing and urban
    development programs. The account's largest influx of funds in fiscal
    year 2001 resulted from the sale of most of the section 312 loan
    portfolio to the private sector for $64 million.

                            Statement of Operations (in millions of dollars)

    -----------------------------------------------------------------------------------------------
    Identification code   86-4015-0-3-451    2001 actual    2002 actual     2003 est.      2004 est.
    -----------------------------------------------------------------------------------------------
    0101  Revenue...........................           4              1             1              1
    0102  Expense...........................        -183            -16           -10             -9
                                            ------------ --------------  ------------  -------------
    0105  Net income or loss (-)............        -179            -15            -9             -8
    -----------------------------------------------------------------------------------------------

                                 Balance Sheet (in millions of dollars)

    -----------------------------------------------------------------------------------------------
    Identification code   86-4015-0-3-451    2001 actual    2002 actual     2003 est.      2004 est.
    -----------------------------------------------------------------------------------------------
        ASSETS:
    1101  Federal assets: Fund balances with
            Treasury........................          38             23            14              6
    1207  Non-Federal assets: Advances and
            prepayments.....................           1              1             1              1
          Net value of assets related to
              pre-1992 direct loans
              receivable and acquired
              defaulted guaranteed loans
              receivable:

    1601    Direct loans, gross.............          19             18            16             12
    1602    Interest receivable.............           4              4             4              4
    1603    Allowance for estimated
              uncollectible loans and
              interest (-)..................          -8             -7            -7             -7
                                            ------------ --------------  ------------  -------------
    1604      Direct loans and interest
                receivable, net.............          15             15            13              9
    1606    Foreclosed property.............           3              2             1
                                            ------------ --------------  ------------  -------------
    1699      Value of assets related to
                direct loans................          18             17            14              9
    1801  Other Federal assets: Cash and
            other monetary assets...........
                                            ------------ --------------  ------------  -------------
    1999    Total assets....................          57             41            29             16
        LIABILITIES:
          Non-Federal liabilities:

    2201    Accounts payable................                          1
    2207    Other...........................           9              8             9              8
                                            ------------ --------------  ------------  -------------
    2999    Total liabilities...............           9              9             9              8
        NET POSITION:
    3100  Appropriated capital..............           3              3             3              3
    3300  Cumulative results of operations..          45             29            17              5
                                            ------------ --------------  ------------  -------------
    3999    Total net position..............          48             32            20              8
                                            ------------ --------------  ------------  -------------
    4999  Total liabilities and net position          57             41            29             16
    -----------------------------------------------------------------------------------------------

                   Object Classification (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4015-0-3-451      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------
    25.2  Other services....................           1
    32.0  Land and structures...............           1
                                               ---------   ---------  ----------
    99.9    Total new obligations...........           2
    ---------------------------------------------------------------------------

    Credit accounts:

              Community Development Loan Guarantees Program Account

                          (including transfer of funds)

        Note.--A regular 2003 appropriation for this account had not been
    enacted at the time the budget was prepared; therefore, this account is
    operating under a continuing resolution (P.L. 107-229, as amended). The
    amounts included for 2003 in this budget reflect the Administration's
    2003 policy proposals.

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0198-0-1-451      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------

        Obligations by program activity:
    00.02 Community development loan
            guarantee credit subsidy........           7           9           4
    00.09 Administrative expense............           1           1
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 33.0)...................           8          10           4
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........                       7           4
    22.00 New budget authority (gross)......          15           7
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......          15          14           4
    23.95 Total new obligations.............          -8         -10          -4
    24.40 Unobligated balance carried
            forward, end of year............           7           4
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.00   Appropriation...................          15           7
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..          18          18          21
    73.10 Total new obligations.............           8          10           4
    73.20 Total outlays (gross).............          -6          -7          -7
    73.40 Adjustments in expired accounts
            (net)...........................          -1
    74.40 Obligated balance, end of year....          18          21          18
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.90 Outlays from new discretionary
            authority.......................           3           2
    86.93 Outlays from discretionary
            balances........................           3           5           7
                                               ---------   ---------  ----------
    87.00   Total outlays (gross)...........           6           7           7
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................          15           7
    90.00 Outlays...........................           6           7           7
    ---------------------------------------------------------------------------

        Guaranteed Loans.--No funds are requested for the Community
    Development Loan Guarantee program (Section 108) in 2004.

        Section 108 loan guarantees have been used by Community Development
    Block Grant entitlement and nonentitlement communities (assisted by
    their State) for economic development activities, acquisition of real
    property, rehabilitation of publicly owned real property, and housing
    rehabilitation.

    [[Page 494]]

    Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
                                millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0198-0-1-451      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------
        Guaranteed loan levels supportable by subsidy
                    budget authority:
    215001Community development loan
            guarantee levels................         609         275
                                               ---------   ---------  ----------
    215901Total loan guarantee levels.......         609         275
        Guaranteed loan subsidy (in percent):
    232001Community development loan
            guarantee levels................        2.30        2.30        0.00
                                               ---------   ---------  ----------
    232901Weighted average subsidy rate.....        2.30        2.30        0.00
        Guaranteed loan subsidy budget authority:
    233001Loan guarantee levels.............          14           6
                                               ---------   ---------  ----------
    233901Total subsidy budget authority....          14           6
        Guaranteed loan subsidy outlays:
    234001Community development loan
            guarantee levels................           5           6           7
                                               ---------   ---------  ----------
    234901Total subsidy outlays.............           5           6           7
    ----------------------------------------------------------------------------

        Administrative expense data:
    351001Budget authority..................           1           1
    359001Outlays from new authority........           1           1
    ---------------------------------------------------------------------------

        As required by the Federal Credit Reform Act of 1990, this account
    records the subsidy costs associated with the loan guarantees committed
    since 1992 (including modifications of direct loans or loan guarantees
    that resulted from obligations or commitments in any year), as well as
    administrative expenses for this program. The subsidy amounts are
    estimated on a present value basis; the administrative expenses are
    estimated on a cash basis.

             Community Development Loan Guarantees Financing Account

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4096-0-3-451      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........          48          56          65
    22.00 New financing authority (gross)...           7           9          11
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......          55          65          76
    24.40 Unobligated balance carried
            forward, end of year............          56          65          76
    ----------------------------------------------------------------------------

        New financing authority (gross), detail:
          Discretionary:

    68.00   Spending authority from
              offsetting collections
              (gross): Offsetting
              collections (cash)............           7           9          11
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..         -18         -18         -18
    74.40 Obligated balance, end of year....         -18         -18         -18
    ----------------------------------------------------------------------------

        Offsets:
          Against gross financing authority and
              financing disbursements:

            Offsetting collections (cash)
                from:
    88.00     Federal sources...............          -5          -6          -7
    88.25     Interest on uninvested funds..          -2          -3          -4
                                               ---------   ---------  ----------
    88.90       Total, offsetting
                  collections (cash)........          -7          -9         -11
    ----------------------------------------------------------------------------

        Net financing authority and financing
            disbursements:
    89.00 Financing authority...............
    90.00 Financing disbursements...........          -7          -9         -11
    ---------------------------------------------------------------------------

                 Status of Guaranteed Loans (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4096-0-3-451      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------
        Position with respect to appropriations act
                    limitation on commitments:
    2111  Limitation on guaranteed loans
            made by private lenders.........         609         275
    2121  Limitation available from carry-
            forward.........................                     298         183
    2143  Uncommitted limitation carried
            forward.........................        -298        -183
                                               ---------   ---------  ----------
    2150    Total guaranteed loan
              commitments...................         311         390         183
    2199  Guaranteed amount of guaranteed
            loan commitments................         311         390         183
    ----------------------------------------------------------------------------

        Cumulative balance of guaranteed loans
                    outstanding:
    2210  Outstanding, start of year........       1,887       2,040       2,051
    2231  Disbursements of new guaranteed
            loans...........................         309         261         304
    2251  Repayments and prepayments........        -156        -250        -300
                                               ---------   ---------  ----------
    2290    Outstanding, end of year........       2,040       2,051       2,055
    ----------------------------------------------------------------------------

        Memorandum:
    2299  Guaranteed amount of guaranteed
            loans outstanding, end of year..       2,040       2,051       2,055
    ---------------------------------------------------------------------------

                                 Balance Sheet (in millions of dollars)

    -----------------------------------------------------------------------------------------------
    Identification code   86-4096-0-3-451    2001 actual    2002 actual     2003 est.      2004 est.
    -----------------------------------------------------------------------------------------------
        ASSETS:
    1101  Federal assets: Fund balances with
            Treasury........................          30             38            50             62
                                            ------------ --------------  ------------  -------------
    1999    Total assets....................          30             38            50             62
        LIABILITIES:
    2204  Non-Federal liabilities:
            Liabilities for loan guarantees.          30             38            50             62
                                            ------------ --------------  ------------  -------------
    2999    Total liabilities...............          30             38            50             62
                                            ------------ --------------  ------------  -------------
    4999  Total liabilities and net position          30             38            50             62
    -----------------------------------------------------------------------------------------------

        Guaranteed loans.--The Community Development Loan Guarantees program
    has provided a mechanism for the Federal guarantee of private loans. An
    accompanying liquidating account shows activity for Federal Financing
    Bank (FFB) direct loan activity, obligated prior to July 1, 1986. The
    following is a status of privately financed guaranteed loan commitments
    made prior to 1992. No funding is requested for new section 108 loans in
    2004.

        As required by the Federal Credit Reform Act of 1990, this non-
    budgetary account records all cash flows to and from the Government
    resulting from loan guarantees committed in 1992 and beyond (including
    modifications of loan guaran- tees that resulted from commitments in any
    year). The amounts in this account are a means of financing and are not
    included in the budget totals. As required by the Federal Credit Reform
    Act of 1990, no administrative expenses can be recorded in the financing
    account.

            Community Development Loan Guarantees Liquidating Account

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4097-0-3-451      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------

        Obligations by program activity:
    01.11 Direct program activity...........          18
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 44.0)...................          18
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........          16
    22.00 New budget authority (gross)......           5
    22.60 Portion applied to repay debt.....          -3
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......          18
    23.95 Total new obligations.............         -18
    ----------------------------------------------------------------------------

    [[Page 495]]

        New budget authority (gross), detail:
          Mandatory:

    60.00   Appropriation...................           2
    69.00 Offsetting collections (cash).....           2
    69.10 Change in uncollected customer
            payments from Federal sources
            (unexpired).....................           1
                                               ---------   ---------  ----------
    69.90   Spending authority from
              offsetting collections (total
              mandatory)....................           3
                                               ---------   ---------  ----------
    70.00   Total new budget authority
              (gross).......................           5
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..          -5          -6          -6
    73.10 Total new obligations.............          18
    73.20 Total outlays (gross).............         -17
    74.00 Change in uncollected customer
            payments from Federal sources
            (unexpired).....................          -1
    74.40 Obligated balance, end of year....          -6          -6          -6
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.98 Outlays from mandatory balances...          17
    ----------------------------------------------------------------------------

        Offsets:
          Against gross budget authority and outlays:

    88.40   Offsetting collections (cash)
              from: Non-Federal sources.....          -2
          Against gross budget authority only:

    88.95   Change in uncollected customer
              payments from Federal sources
              (unexpired)...................          -1
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................           2
    90.00 Outlays...........................          17
    ---------------------------------------------------------------------------

                   Status of Direct Loans (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4097-0-3-451      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------
        Cumulative balance of direct loans
                    outstanding:
    1210  Outstanding, start of year........           8           6           6
    1251  Repayments: Repayments and
            prepayments.....................          -2
                                               ---------   ---------  ----------
    1290    Outstanding, end of year........           6           6           6
    ---------------------------------------------------------------------------

                 Status of Guaranteed Loans (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4097-0-3-451      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------
        Cumulative balance of guaranteed loans
                    outstanding:
    2210  Outstanding, start of year........          81          47          27
    2251  Repayments and prepayments........         -34         -20         -15
                                               ---------   ---------  ----------
    2290    Outstanding, end of year........          47          27          12
    ----------------------------------------------------------------------------

        Memorandum:
    2299  Guaranteed amount of guaranteed
            loans outstanding, end of year..          47          27          12
    ---------------------------------------------------------------------------

                            Statement of Operations (in millions of dollars)

    -----------------------------------------------------------------------------------------------
    Identification code   86-4097-0-3-451    2001 actual    2002 actual     2003 est.      2004 est.
    -----------------------------------------------------------------------------------------------
    0101  Revenue...........................           1              1             1              1
    0102  Expense...........................          -1             -1            -1             -1
                                            ------------ --------------  ------------  -------------
    0105  Net income or loss (-)............
    -----------------------------------------------------------------------------------------------

                                 Balance Sheet (in millions of dollars)

    -----------------------------------------------------------------------------------------------
    Identification code   86-4097-0-3-451    2001 actual    2002 actual     2003 est.      2004 est.
    -----------------------------------------------------------------------------------------------
        ASSETS:
          Federal assets:

    1101    Fund balances with Treasury.....          11             -8            -6             -4
            Investments in US securities:
    1106      Receivables, net..............           5              6             5              4
          Net value of assets related to
              pre-1992 direct loans
              receivable and acquired
              defaulted guaranteed loans
              receivable:

    1701    Defaulted guaranteed loans,
              gross.........................           8              5             4              3
                                            ------------ --------------  ------------  -------------
    1704      Defaulted guaranteed loans and
                interest receivable, net....           8              5             4              3
                                            ------------ --------------  ------------  -------------
    1799      Value of assets related to
                loan guarantees.............           8              5             4              3
                                            ------------ --------------  ------------  -------------
    1999    Total assets....................          24              3             3              3
        LIABILITIES:
    2103  Federal liabilities: Debt.........           8              5             5              4
    2207  Non-Federal liabilities: Other....          16             -2            -2             -1
                                            ------------ --------------  ------------  -------------
    2999    Total liabilities...............          24              3             3              3
                                            ------------ --------------  ------------  -------------
    4999  Total liabilities and net position          24              3             3              3
    -----------------------------------------------------------------------------------------------

        No funding is requested for new Section 108 loans in 2004.

        As required by the Federal Credit Reform Act of 1990, this account
    records all cash flows to and from the Government resulting from Federal
    Financing Bank (FFB) direct loans for which loan guarantees were
    committed prior to 1992. This account is shown on a cash basis.

        Guaranteed loans.--Guaranteed loan assistance under the Community
    Development Loan Guarantees program was provided to eligible communities
    to finance economic development activities, housing rehabilitation,
    development or expansion of public facilities, acquisition of real
    property, rehabilitation of publicly owned real property, and certain
    related expenses. In the past, the FFB financed these guaranteed loans.
    The Consolidated Omnibus Budget Reconciliation Act of 1985 required
    private financing of all loan guarantees committed after July 1, 1986.
    FFB will continue disbursing loans for commitments approved prior to
    July 1, 1986. The activity shown in the above account reflects privately
    financed guaranteed loans for which commitments were made prior to 1992.

                                HOUSING PROGRAMS

                                  Federal Funds

    General and special funds:

                             Housing for the Elderly

                          (including transfer of funds)

        For capital advances, including amendments to capital advance
    contracts, for housing for the elderly, as authorized by section 202 of
    the Housing Act of 1959, as amended, and for project rental assistance
    for the elderly under section 202(c)(2) of such Act, including
    amendments to contracts for such assistance and renewal of expiring
    contracts for such assistance for up to a 1-year term, which shall
    remain available for disbursement until September 30, 2016, and for
    supportive services associated with housing, $773,636,000, plus
    recaptures and cancelled commitments, to remain available until
    September 30, 2006, of which $53,000,000, shall be for service
    coordinators and the continuation of existing congregate service grants
    for residents of assisted housing projects, and of which amount
    $30,000,000 shall be for grants under section 202b of the Housing Act of
    1959 (12 U.S.C. 1701q-2) for conversion of eligible projects under such
    section to assisted living or related use: Provided, That no less than
    $470,000 shall be transferred to the Working Capital Fund for the
    development of and modifications to information technology systems which
    serve programs or activities under ``Housing Programs'' or ``Federal
    Housing Administration'': Provided further, That the Secretary may waive
    any provision of section 202 (including the provisions governing the
    terms and conditions of project rental assistance that the Secretary
    determines is not necessary to achieve the objections of such program,
    or that otherwise impedes the ability to develop, operate, or administer
    projects assisted under such program, and may make provision for
    alternative conditions or terms where appropriate. Provided further,
    That all balances outstanding, as of September 30, 2003, for capital
    advances, including amendments to capital advances, for housing for
    elderly, as authorized by section 202, for project rental assistance for
    housing for the elderly, as authorized under section 202(c)(2) of such
    Act, including amendments to contracts for such assistance and renewal
    of expiring contracts for such assistance, for service coordinators and
    congregate service grants, and for grants for conversion of eligible
    projects to assisted living or related use under section 202b of such
    Act, shall be transferred to and merged with the amounts of these
    purposes under this heading.
        Note.--A regular 2003 appropriation for this account had not been
    enacted at the time the budget was prepared; therefore, this account is
    operating under a continuing resolution

    [[Page 496]]

    (P.L. 107-229, as amended). The amounts included for 2003 in this budget
    prefect the Administration's 2003 policy proposals.

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0320-0-1-604      2002 actual   2003 est.   2004 est.
    ----------------------------------------------------------------------------

        Obligations by program activity:
    00.01 Elderly and disabled housing
            grants..........................       1,481       1,024         773
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 41.0)...................       1,481       1,024         773
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........       2,896       2,453       2,453
    22.00 New budget authority (gross)......       1,024       1,024         773
    22.10 Resources available from
            recoveries of prior year
            obligations.....................          14
    22.21 Unobligated balance transferred to
            other accounts..................                                -463
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......       3,934       3,477       2,763
    23.95 Total new obligations.............      -1,481      -1,024        -773
    24.40 Unobligated balance carried
            forward, end of year............       2,453       2,453       1,990
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.00   Appropriation...................       1,024       1,024         773
          Mandatory:

    60.00   Appropriation...................          73
    60.49   Portion applied to liquidate
              contract authority............         -73
                                               ---------   ---------  ----------
    62.50     Appropriation (total
                mandatory)..................
                                               ---------   ---------  ----------
    70.00   Total new budget authority
              (gross).......................       1,024       1,024         773
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..       4,062       4,634       4,763
    73.10 Total new obligations.............       1,481       1,024         773
    73.20 Total outlays (gross).............        -895        -895        -702
    73.31 Obligated balance transferred to
            other accounts..................                              -1,164
    73.45 Recoveries of prior year
            obligations.....................         -14
    74.40 Obligated balance, end of year....       4,634       4,763       3,670
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.93 Outlays from discretionary
            balances........................         895         895         702
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................       1,024       1,024         773
    90.00 Outlays...........................         895         895         702
    ---------------------------------------------------------------------------

        This account consolidates activity under the Section 202 Housing for
    the Elderly Program and the Section 811 Housing for the Disabled
    Program. In 2004, housing for persons with disabilities is proposed as a
    separate account. A total of $773 million is proposed for housing for
    the elderly. Of this amount $30 million is for t