    [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 2008

    [[Page 505]]

                   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 2008 Budget for HUD includes major reform
    proposals for the Federal Housing Administration (FHA), the Housing
    Choice Voucher program, and the Community Development Block Grant (CDBG)
    program. These reforms will enhance the effectiveness of HUD's programs.

        The Department continues to emphasize expanding homeownership
    opportunities for all. Toward that goal, in 2007 FHA will introduce
    financing options for families who have good credit histories but lack
    the savings needed for the downpayment on a home, and for families who
    have impaired credit histories and who would normally be served only by
    the sub-prime market. Also, the Budget provides nearly $2 billion for
    the HOME Investment Partnerships Program, including $50 million for the
    American Dream Downpayment Initiative. The improved performance of FHA
    and other homeownership efforts will help meet the goal of adding 5.5
    million new minority homeowners by 2010.

        While maintaining a budget-based approach, the 2008 Budget proposes
    changes to the Housing Choice Voucher Program to give State and local
    housing authorities more decision-making authority to better address the
    unique needs of their communities, such as the flexibility to serve more
    households. The Budget also proposes to update the funding allocation
    formula to better reflect current needs.

        HUD continues to support and improve Public Housing and has
    initiated the effort to adopt asset-based project management to allow
    significant improvements and efficiencies. The Budget provides $4
    billion for the Public Housing Operating subsidies and $2 billion for
    the Public Housing Capital Fund.

        HUD continues to support reduction of over-crowding in Indian
    country with $627 million in housing grants. The Budget also continues
    support for Indian community development.

        HUD continues to focus on combating homelessness and eliminating
    chronic homelessness with $1.6 billion for Homeless Assistance,
    including up to $50 million for a Samaritan initiative to provide
    supportive housing linked to services for chronically homeless persons.
    Homeless assistance includes $25 million for HUD's part in a three-
    agency faith-based initiative for ex-offender activities.

        Funding in the 2008 Budget for the Fair Housing Assistance and Fair
    Housing Initiatives programs (FHAP and FHIP) will continue to 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, along with other
    Federal programs for community and economic development, will be
    reformed in 2008 to increase the focus and effectiveness of Federal
    efforts to provide adequate economic opportunity in low-income
    communities. HUD has proposed legislation to revise the CDBG allocation
    formula to better target needy communities, to provide bonus funds tied
    to performance, and to make further reforms to increase CDBG's
    effectiveness.

        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 2008 Budget includes $116 million in lead hazard reduction
    grants to continue the 10-year program to eradicate lead hazards in
    housing.

        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 evaluate 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 2007 and 2008 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 PROGRAMS

                                  Federal Funds

                       Prevention of Resident Displacement

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0311-0-1-604      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    09.00 Reimbursable program..............          36
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 41.0)...................          36
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........          69           7           7
    22.00 New budget authority (gross)......         -26
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......          43           7           7
    23.95 Total new obligations.............         -36
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........           7           7           7
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    58.00   Spending authority from
              offsetting collections:
              Offsetting collections (cash).         -26
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..          10           1           1
    73.10 Total new obligations.............          36
    73.20 Total outlays (gross).............         -45
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..           1           1           1
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.90 Outlays from new discretionary
            authority.......................         -26
    86.93 Outlays from discretionary
            balances........................          71
                                               ---------   ---------  ----------
    87.00   Total outlays (gross)...........          45
    ----------------------------------------------------------------------------

        Offsets:
          Against gross budget authority and outlays:

    88.00   Offsetting collections (cash)
              from: Federal sources.........          26
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................
    90.00 Outlays...........................          71
    ---------------------------------------------------------------------------

        HUD received $79 million from FEMA in 2005 via a mission assignment
    to provide housing assistance to families that

    [[Page 506]]

    were affected by Hurricane Katrina. Eligible recipients included
    families that were previously assisted by HUD or those that were
    homeless prior to Hurricane Katrina. Similar activities will be
    continued under the $390 million supplemental appropriation pursuant to
    P.L. 109-148, the Robert T. Stafford Disaster Relief and Emergency Act
    (42 U.S.C. 5121 et seq.) under the Tenant-Based Rental Assistance
    account.

                          Tenant-Based Rental Assistance

                          (including transfer of funds)

         For activities and assistance for the provision of tenant-based
    rental assistance authorized under the United States Housing Act of
    1937, as amended (42 U.S.C. 1437 et seq.) (``the Act'' herein), not
    otherwise provided for, $16,000,000,000, to remain available until
    expended, of which $11,800,000,000 shall be available on October 1,
    2007, and $4,200,000,000 shall be available on October 1, 2008:
    Provided, That the amounts made available under this heading are
    provided as follows:
             (1) $14,444,506,000 for renewals of expiring section 8 tenant-
        based annual contributions contracts (including renewals of enhanced
        vouchers under any provision of law authorizing such assistance
        under section 8(t) of the Act): Provided, That notwithstanding any
        other provision of law, from amounts provided under this paragraph,
        the Secretary for the calendar year 2008 funding cycle shall provide
        renewal funding for each public housing agency based on the amount
        public housing agencies were eligible to receive in calendar year
        2007, and by applying the 2008 Annual Adjustment Factor as
        established by the Secretary, and by making any necessary
        adjustments for the costs associated with deposits to Family Self-
        Sufficiency Program escrow accounts or the first-time renewal of
        tenant protection or HOPE VI vouchers: Provided further, That the
        Secretary shall, to the extent necessary to stay within the amount
        provided under this paragraph, pro rate each public housing agency's
        allocation otherwise established pursuant to this paragraph:
        Provided further, That public housing agencies participating in the
        Moving to Work demonstration shall be funded pursuant to their
        Moving to Work agreements and shall be subject to the same pro rata
        adjustments under the previous proviso: Provided further, That up to
        $100,000,000 shall be available for additional rental subsidy due to
        unforeseen exigencies as determined by the Secretary and for the
        one-time funding of housing assistance payments resulting from the
        portability provisions of the housing choice voucher program;
             (2) $150,000,000 for section 8 rental assistance for relocation
        and replacement of housing units under lease that are demolished or
        disposed of pursuant to the Omnibus Consolidated Rescissions 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, HOPE VI
        vouchers, mandatory and voluntary conversions, and tenant protection
        assistance including replacement and relocation assistance:
        Provided, That additional section 8 tenant protection rental
        assistance costs may be funded in 2008 by utilizing unobligated
        balances, including recaptures and carryover, remaining from funds
        appropriated to the Department of Housing and Urban Development
        under this heading, the heading ``Annual Contributions for Assisted
        Housing'', the heading ``Housing Certificate Fund'', and the heading
        ``Project-based rental assistance'', for fiscal year 2007 and prior
        years;
             (3) $48,000,000 for family self-sufficiency coordinators under
        section 23 of the Act;
             (4) $6,494,000 shall be transferred to the Working Capital
        Fund; and
             (5) $1,351,000,000 for administrative and other expenses of
        public housing agencies in administering the section 8 tenant-based
        rental assistance program, of which up to $5,000,000 shall be
        available as an incentive bonus as determined by the Secretary for
        administrative expenses for PHAs that voluntarily consolidate, and
        of which up to $35,000,000 shall be available to the Secretary to
        allocate to public housing agencies that need additional funds to
        administer their section 8 programs, with up to $30,000,000 to be
        for fees associated with section 8 tenant protection rental
        assistance: Provided, That no less than $1,311,000,000 of the amount
        provided in this paragraph shall be allocated for the calendar year
        2008 funding cycle to public housing agencies based on a formula
        tied to the number of assisted households, as determined by the
        Secretary: Provided further, That all amounts provided under this
        paragraph shall be only for activities related to the provision of
        tenant-based rental assistance authorized under section 8, including
        related development activities.

        Note.--A regular 2007 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. 109-289, Division B, as
    amended). The amounts included for 2007 in this budget reflect the
    levels provided by the continuing resolution.

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0302-0-1-604      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    00.01 Tenant Protection.................         139         215         150
    00.02 Administrative Fees...............       1,023       1,243       1,351
    00.03 Family Self Sufficiency
            Coordinators....................          93          48          48
    00.05 Working Capital Fund..............           6           6           6
    00.06 Contract Renewals.................      12,404      14,035      14,445
    00.07 Disaster Assistance...............         132         258
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 41.0)...................      13,797      15,805      16,000
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........          87         724
    22.00 New budget authority (gross)......      14,401      15,081      16,000
    22.10 Resources available from
            recoveries of prior year
            obligations.....................          33
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......      14,521      15,805      16,000
    23.95 Total new obligations.............     -13,797     -15,805     -16,000
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........         724
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.00   Appropriation...................      11,764      10,881      11,800
    40.35   Appropriation permanently
              reduced.......................        -114
    40.36   Unobligated balance permanently
              reduced.......................      -1,407
                                               ---------   ---------  ----------
    43.00     Appropriation (total
                discretionary)..............      10,243      10,881      11,800
    55.00   Advance appropriation...........       4,200       4,200       4,200
    55.35   Advance appropriation
              permanently reduced...........         -42
                                               ---------   ---------  ----------
    55.90     Advance appropriation (total
                discretionary)..............       4,158       4,200       4,200
                                               ---------   ---------  ----------
    70.00   Total new budget authority
              (gross).......................      14,401      15,081      16,000
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..         482       1,280       1,763
    73.10 Total new obligations.............      13,797      15,805      16,000
    73.20 Total outlays (gross).............     -12,966     -15,322     -15,987
    73.45 Recoveries of prior year
            obligations.....................         -33
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..       1,280       1,763       1,776
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.90 Outlays from new discretionary
            authority.......................      12,517      13,875      14,720
    86.93 Outlays from discretionary
            balances........................         449       1,447       1,267
                                               ---------   ---------  ----------
    87.00   Total outlays (gross)...........      12,966      15,322      15,987
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................      14,401      15,081      16,000
    90.00 Outlays...........................      12,966      15,322      15,987
    ---------------------------------------------------------------------------

        Tenant Based Rental Assistance.--The Tenant-based Rental Assistance
    program (also known as the Housing Choice Voucher Program) provides
    approximately 2 million families with subsidies to afford housing in the
    private market. Congress and the Administration have implemented a
    number of policy changes over the past several years to assist the most
    needy families and encourage Public Housing Authorities (PHAs) to spend
    their allotted funds. For example, the Voucher program no longer funds a
    set number of units,

    [[Page 507]]

    but appropriates funds to PHAs on a budget-based system making them more
    accountable in managing their budgets.

        The Budget proposes legislative changes that would: 1) provide
    incentives for PHAs to spend their funds to maximize assistance; 2)
    maximize appropriated funds by changing the way funds are allocated to
    PHAs; and 3) factor unused funds into future allocations. First, the
    Administration proposes to require administrative fees to be distributed
    according to the number of families housed. Currently, PHAs receive a
    flat amount per year for administrative costs based on a distribution
    that does not provide an incentive to increase the number of families
    served. Second, the Budget proposes eliminating the cap on the number of
    families that each PHA can assist, thereby unlocking funds at PHAs that
    are unable to spend funds beyond their authorized number of units. A new
    funding allocation formula for PHAs would follow elimination of the cap,
    and would be based on the level of spending by PHAs over the most recent
    year. Current funding is based on the higher of a three-month snapshot
    of PHA's expenditures from summer 2004 or full year expenditures in
    2004, which distributes funds across the 2,400 PHAs that administer
    Vouchers. Third, the Budget proposes to identify and adjust for unspent
    prior year balances from PHAs. PHAs that end a year with significant
    unspent balances, despite having been given the opportunity to draw down
    such balances by providing housing for additional low-income families,
    would have their funds for the next year reduced. According to HUD, at
    the end of 2006, over one billion dollars in balances remained in PHA
    accounts, of which more than half represents balances that could not be
    spent due to the current cap on the number of units. In addition, in
    order to encourage the consolidation of small PHAs, a bonus
    administrative fee will be offered to PHAs that participate in this
    streamlining effort. Legislation to implement the Administration's
    reform proposal will be submitted to Congress early in 2007.

                             Housing Certificate Fund

                                 (cancellation)

         Of the unobligated balances, including recaptures and carryover,
    remaining from funds appropriated to the Department of Housing and Urban
    Development under this heading, the heading ``Annual contributions for
    assisted housing'', the heading ``Tenant-based rental assistance'', and
    the heading ``Project-based rental assistance'', for fiscal year 2007
    and prior years, $1,300,000,000 is cancelled, to be effected by the
    Secretary no later than September 30, 2008: Provided, That, if
    insufficient funds exist under these headings, the remaining balance may
    be derived from any other heading under this title: Provided further,
    That any such balances governed by reallocation provisions under the
    statute authorizing the program for which the funds were originally
    appropriated shall be available for the cancellation: Provided further,
    That any obligated balances of contract authority from fiscal year 1974
    and prior that have been terminated shall be cancelled.

        Note.--A regular 2007 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. 109-289, Division B, as
    amended). The amounts included for 2007 in this budget reflect the
    levels provided by the continuing resolution.

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0319-0-1-604      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    00.01 Contract renewals.................         156           3
    00.02 Contract Administrator............          94
    00.03 Rental Assistance.................          27
    00.05 Section 8 Amendments..............         275         300         300
    00.11 Administrative Fees...............           3
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 41.0)...................         555         303         300
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........       1,414       1,329
    22.00 New budget authority (gross)......        -605      -2,050      -1,300
    22.10 Resources available from
            recoveries of prior year
            obligations.....................       1,076       1,189       1,600
    22.75 Balance of contract authority
            withdrawn.......................          -1        -165
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......       1,884         303         300
    23.95 Total new obligations.............        -555        -303        -300
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........       1,329
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.36   Unobligated balance permanently
              reduced.......................        -605      -2,050      -1,300
          Mandatory:

    60.00   Appropriation...................       2,500       3,000       3,000
    60.49   Portion applied to liquidate
              contract authority............      -2,500      -3,000      -3,000
                                               ---------   ---------  ----------
    62.50     Appropriation (total
                mandatory)..................
                                               ---------   ---------  ----------
    70.00   Total new budget authority
              (gross).......................        -605      -2,050      -1,300
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..      18,808      13,087       9,248
    73.10 Total new obligations.............         555         303         300
    73.20 Total outlays (gross).............      -5,200      -2,953      -2,881
    73.45 Recoveries of prior year
            obligations.....................      -1,076      -1,189      -1,600
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..      13,087       9,248       5,067
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.93 Outlays from discretionary
            balances........................       5,200       2,953       2,881
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................        -605      -2,050      -1,300
    90.00 Outlays...........................       5,200       2,953       2,881
    ----------------------------------------------------------------------------

        Memorandum (non-add) entries:
    93.03 Obligated balance, start of year:
            Contract authority..............      13,241      10,740       7,740
    93.04 Obligated balance, end of year:
            Contract authority..............      10,740       7,740       4,740
    ---------------------------------------------------------------------------

        The Housing Certificate Fund, until 2005, provided funding to both
    project-based and tenant-based components of the Section 8 program.
    Project-based Rental Assistance and Tenant-based Rental Assistance are
    now separately funded accounts. The Housing Certificate Fund retains and
    recovers balances from previous years' appropriations. In 2008, a
    cancellation of $1.3 billion of those balances is proposed.

                         Project-Based Rental Assistance

                          (including transfer of funds)

         For activities and assistance for the provision of project-based
    subsidy contracts under the United States Housing Act of 1937, as
    amended (42 U.S.C. 1437 et seq.) (``the Act'' herein), not otherwise
    provided for, $5,813,000,000, to remain available until expended:
    Provided, That the amounts made available under this heading are
    provided as follows:
             (1) no less than $5,522,810,000 for expiring or terminating
        section 8 project-based subsidy contracts (including section 8
        moderate rehabilitation contracts), for amendments to section 8
        project-based subsidy contracts (including section 8 moderate
        rehabilitation contracts), for contracts entered into pursuant to
        section 441 of the McKinney-Vento Homeless Assistance Act, for
        renewal 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, and for
        administrative and other expenses associated with project-based
        activities and assistance funded under this paragraph;
             (2) up to $286,230,000 for performance-based contract
        administrators for section 8 project-based assistance;
             (3) $3,960,000 to be transferred to the Working Capital Fund;
        and
             (4) amounts which are recaptured under this heading, the
        heading ``Annual Contributions for Assisted Housing'', or the
        heading ``Housing Certificate Fund,'' may be used for renewals of or
        amendments to section 8 project-based contracts or for performance-
        based contract administrators, notwithstanding the purposes for
        which such amounts were appropriated.

    [[Page 508]]

        Note.--A regular 2007 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. 109-289, Division B, as
    amended). The amounts included for 2007 in this budget reflect the
    levels provided by the continuing resolution.

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0303-0-1-604      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    00.01 Contract Renewals.................       5,336       5,499       5,523
    00.02 Contract Administrators...........         168         147         286
    00.03 Working Capital Fund..............           1           1           4
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 41.0)...................       5,505       5,647       5,813
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........         610         189
    22.00 New budget authority (gross)......       5,037       5,458       5,813
    22.10 Resources available from
            recoveries of prior year
            obligations.....................          47
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......       5,694       5,647       5,813
    23.95 Total new obligations.............      -5,505      -5,647      -5,813
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........         189
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.00   Appropriation...................       5,088       5,458       5,813
    40.35   Appropriation permanently
              reduced.......................         -51
                                               ---------   ---------  ----------
    43.00     Appropriation (total
                discretionary)..............       5,037       5,458       5,813
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..       2,530       2,620       2,555
    73.10 Total new obligations.............       5,505       5,647       5,813
    73.20 Total outlays (gross).............      -5,368      -5,712      -5,752
    73.45 Recoveries of prior year
            obligations.....................         -47
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..       2,620       2,555       2,616
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.90 Outlays from new discretionary
            authority.......................       2,710       3,002       3,197
    86.93 Outlays from discretionary
            balances........................       2,658       2,710       2,555
                                               ---------   ---------  ----------
    87.00   Total outlays (gross)...........       5,368       5,712       5,752
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................       5,037       5,458       5,813
    90.00 Outlays...........................       5,368       5,712       5,752
    ---------------------------------------------------------------------------

        Project-based Rental Assistance.--HUD subsidizes rents for
    approximately 1.3 million families in over 19,000 projects under the
    Section 8 project-based rent subsidy program. Unlike the tenant-based
    Section 8 program, subsidies in the project-based program are tied
    directly to the project. Tenants pay up to 30 percent of income toward
    the rent with HUD subsidizing the remainder. Rents are adjusted
    periodically subject to HUD guidelines and approval. The Section 8
    project-based program provides essential assistance to maintain the
    stock of affordable housing for low-and moderate-income families and
    individuals, many of whom are elderly or disabled. Program activity
    includes the following:

        Contract Renewals.--Original Section 8 assistance contracts were
    entered into between HUD and project owners for periods of up to 40
    years. As contract terms expire they are renewed on an annual funding
    cycle and additional renewal budget authority is required to maintain
    the housing stock. Currently, roughly 80 percent of contracts are
    renewed annually; the other 20 percent of contracts are funded from
    previously appropriated funds for long-term contracts.

        Section 8 Amendments.--A funding amendment to a Section 8 contract
    is required to maintain the project until its contract expiration date
    when actual costs incurred exceed the amount of budget authority
    originally set-aside for the project. These additional costs are
    proposed to be entirely funded in 2008 by utilizing recoveries of excess
    balances remaining on expired Section 8 contracts that utilized less
    than anticipated resources in completing the contract. No new BA is
    requested in 2008 for Section 8 Amendment activity.

        Contract Administrators.--HUD utilizes Performance Based Contract
    Administrators (PBCAs) to administer and monitor a vast majority of the
    project-based portfolio. Funding of $286 million is requested for 2008.

        Project-based Tenant Protection.--Voucher assistance is provided to
    tenants who face dislocation as a result of actions taken by project
    owners or by HUD that are beyond their control. This occurs as a result
    of owners opting out of the program or being terminated by HUD. HUD's
    property disposition activities and prepayment activity under the
    Preservation program may also lead to Project-Based Tenant Protection
    requirements. These project-based requirements, which are met through
    voucher assistance, are funded under the Tenant-Based heading.

        Working Capital Fund Transfer.--$4 million is requested in 2008 to
    fund development of and modifications to technology systems that service
    or are related to the programs or activities under this heading.

                           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'') $2,024,000,000, to remain available until
    September 30, 2011: Provided, That notwithstanding any other provision
    of law or regulation, during fiscal year 2008, the Secretary may not
    delegate to any Department official other than the Deputy Secretary and
    the Assistant Secretary for Public and Indian Housing any authority
    under paragraph (2) of section 9(j) regarding the extension of the time
    periods under such section: Provided further, That for purposes of such
    section 9(j), the term ``obligate'' means, with respect to amounts, that
    the amounts are subject to a binding agreement that will result in
    outlays, immediately or in the future: Provided further, That of the
    total amount provided under this heading, up to $14,890,000 shall be for
    carrying out activities under section 9(h) of such Act; $16,847,000
    shall be transferred to the Working Capital Fund; up to $10,000,000 is
    to support the costs of administrative and judicial receiverships; and
    up to $15,345,000 shall be to support the ongoing Public Housing
    Financial and Physical Assessment activities of the Real Estate
    Assessment Center (REAC): Provided further, That no funds may be used
    under this heading for the purposes specified in section 9(k) of the
    Act.

        Note.--A regular 2007 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. 109-289, Division B, as
    amended). The amounts included for 2007 in this budget reflect the
    levels provided by the continuing resolution.

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0304-0-1-604      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    00.01 Capital Grants....................       2,235       2,115       1,967
    00.02 Emergency/Disaster................          46          20
    00.03 Technical Assistance..............          39          11          15
    00.04 Working Capital Fund..............          16          15          17
    00.05 Neighborhood Networks.............          15
    00.06 Resident Opportunities and
            Supportive Services.............          51          24
    00.07 Administrative Receivership.......           7           8          10
    00.08 Financial and Physical Assessment
            Support.........................                      15          15
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 41.0)...................       2,409       2,208       2,024
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........         322         335         335
    22.00 New budget authority (gross)......       2,420       2,208       2,024
    22.10 Resources available from
            recoveries of prior year
            obligations.....................          16
    22.35 Unexpired unobligated balance
            transfer to expired account (-).          -8
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......       2,750       2,543       2,359

    [[Page 509]]

    23.95 Total new obligations.............      -2,409      -2,208      -2,024
    23.98 Unobligated balance expiring or
            withdrawn.......................          -6
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........         335         335         335
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.00   Appropriation...................       2,464       2,208       2,024
    40.35   Appropriation permanently
              reduced.......................         -25
    40.36   Unobligated balance permanently
              reduced.......................         -19
                                               ---------   ---------  ----------
    43.00     Appropriation (total
                discretionary)..............       2,420       2,208       2,024
          Mandatory:

    60.00   Appropriation...................         550         500         500
    60.49   Portion applied to liquidate
              contract authority............        -550        -500        -500
                                               ---------   ---------  ----------
    62.50     Appropriation (total
                mandatory)..................
                                               ---------   ---------  ----------
    70.00   Total new budget authority
              (gross).......................       2,420       2,208       2,024
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..       9,142       8,373       7,499
    73.10 Total new obligations.............       2,409       2,208       2,024
    73.20 Total outlays (gross).............      -3,161      -3,082      -3,076
    73.40 Adjustments in expired accounts
            (net)...........................          -1
    73.45 Recoveries of prior year
            obligations.....................         -16
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..       8,373       7,499       6,447
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.90 Outlays from new discretionary
            authority.......................         116          43          46
    86.93 Outlays from discretionary
            balances........................       3,045       3,039       3,030
                                               ---------   ---------  ----------
    87.00   Total outlays (gross)...........       3,161       3,082       3,076
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................       2,420       2,208       2,024
    90.00 Outlays...........................       3,161       3,082       3,076
    ----------------------------------------------------------------------------

        Memorandum (non-add) entries:
    93.03 Obligated balance, start of year:
            Contract authority..............       2,139       1,582       1,082
    93.04 Obligated balance, end of year:
            Contract authority..............       1,582       1,082         582
    ---------------------------------------------------------------------------

        The Public Housing Capital Fund, a formula-driven program based on
    estimated need, is designed to respond to the capital and management
    improvement requirements of public housing.

        Of the $2.02 billion requested for the Public Housing Capital Fund,
    approximately $1.96 billion is provided to cover annual accrual needs.
    Other uses include up to $15 million for technical assistance, $17
    million for the Working Capital Fund, up to $15 million for public
    housing financial and physical assessment support, and up to $10 million
    for administrative and judicial receiverships. Funds for the Resident
    Opportunity and Supportive Services are not requested in 2008 in order
    to eliminate an unusually large pipeline of unobligated funds. Funds for
    disaster relief will no longer be requested; the FEMA disaster
    assistance is available for any needs that are not covered by the
    required property insurance.

                          Public Housing Operating Fund

         For 2008 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)),
    $4,000,000,000 of which $5,940,000 shall be for technical assistance
    related to the transition and implementation of asset-based management
    in public housing: Provided, That in fiscal year 2008 and all fiscal
    years hereafter, no amounts under this heading in any appropriations Act
    may be used for payments to public housing agencies for the costs of
    operation and management of public housing for any year prior to the
    current year of such Act: Provided further, That no funds may be used
    under this heading for the purposes specified in section 9(k) of the
    United States Housing Act of 1937, as amended.

        Note.--A regular 2007 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. 109-289, Division B, as
    amended). The amounts included for 2007 in this budget reflect the
    levels provided by the continuing resolution.

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0163-0-1-604      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    00.01 Operating Subsidy.................       3,564       3,565       3,994
    00.02 Transition to asset management
            fund............................                                   6
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 41.0)...................       3,564       3,565       4,000
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........           1           1
    22.00 New budget authority (gross)......       3,564       3,564       4,000
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......       3,565       3,565       4,000
    23.95 Total new obligations.............      -3,564      -3,565      -4,000
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........           1
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.00   Appropriation...................       3,600       3,564       4,000
    40.35   Appropriation permanently
              reduced.......................         -36
                                               ---------   ---------  ----------
    43.00     Appropriation (total
                discretionary)..............       3,564       3,564       4,000
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..         872         940         891
    73.10 Total new obligations.............       3,564       3,565       4,000
    73.20 Total outlays (gross).............      -3,496      -3,614      -3,891
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..         940         891       1,000
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.90 Outlays from new discretionary
            authority.......................       2,673       2,673       3,000
    86.93 Outlays from discretionary
            balances........................         823         941         891
                                               ---------   ---------  ----------
    87.00   Total outlays (gross)...........       3,496       3,614       3,891
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................       3,564       3,564       4,000
    90.00 Outlays...........................       3,496       3,614       3,891
    ---------------------------------------------------------------------------

        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 2008 request proposes a 12
    percent increase in operating subsidies. This reflects recognition of
    higher utility costs as well as providing more funding for day-to-day
    expenses.

        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.....................        $4,000             58%
    Dwelling Rental.........................         2,522             37%
    Investment..............................           114              2%
    Other Income............................           187              3%
                                             -------------  --------------

       Total, Operating Revenue.............        $6,823            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. AEL is not based on actual cost data from PHAs.
    HUD, after consultation with PHAs, has adopted a new operating subsidy
    formula based on the

    [[Page 510]]

    previously congressionally sanctioned cost study conducted by the
    Harvard Graduate School of Design.

        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.

                  Housing Authorities' Operating Expenditures

                           (in millions of dollars)
                    Category                    Annual
                                              expenditures    Percent of
                                                                 total
    Utilities...............................        $1,602             23%
    Administration..........................         1,999             29%
    General Operating Expenses..............           565              8%
    Maintenance.............................         2,286             34%
    Tenant Services.........................           189              3%
    Protective Services.....................           182              3%
                                             -------------  --------------

       Total, Operating Expenses............        $6,823            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.--Covers 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.

        Asset-Based Management Technical Assistance.--Provides contracting
    and consultative services to support PHA's transitioning to project-
    based accounting and asset-based management.

                  Drug Elimination Grants for Low-Income Housing

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0197-0-1-604      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Budgetary resources available for obligation:
    22.00 New budget authority (gross)......          -3
    22.10 Resources available from
            recoveries of prior year
            obligations.....................           3
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.36   Unobligated balance permanently
              reduced.......................          -3
    ----------------------------------------------------------------------------

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

        Outlays (gross), detail:
    86.90 Outlays from new discretionary
            authority.......................           1
    86.93 Outlays from discretionary
            balances........................                       2           1
                                               ---------   ---------  ----------
    87.00   Total outlays (gross)...........           1           2           1
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................          -3
    90.00 Outlays...........................           1           2           1
    ---------------------------------------------------------------------------

        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 tenant screening and eviction, are effective
    in reducing drug-related crime in public housing; and fighting crime and
    drugs is not directly related to HUD's core mission--it is the mission
    of 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)

         Of the unobligated balances remaining from funds appropriated in
    fiscal year 2007 under the heading ``Revitalization of Severely
    Distressed Public Housing (HOPE VI)'' for grants to public housing
    agencies for demolition site revitalization, replacement housing, and
    tenant-based assistance grants to projects as authorized by section 24
    of the United States Housing Act of 1937 as amended, $99,000,000 is
    cancelled: Provided, That any remaining unobligated amounts under this
    heading, including recoveries and carryover, may be used for grants,
    technical assistance and other eligible activities as provided under
    this heading, of which up to $2,000,000 may be used for technical
    assistance and contract expertise, for grants, contracts or cooperative
    agreements, including training and cost of necessary travel for
    participants and employees of the Department: Provided further, That the
    Department shall recover unexpended obligations from nonperforming
    grantees as determined by the Secretary from funds appropriated for
    fiscal year 2001 and prior years under this heading.

        Note.--A regular 2007 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. 109-289, Division B, as
    amended). The amounts included for 2007 in this budget reflect the
    levels provided by the continuing resolution.

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0218-0-1-604      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    00.01 Direct program activity...........         182          56
    00.02 Technical Assistance..............           1           3
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 41.0)...................         183          59
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........         143          59         183
    22.00 New budget authority (gross)......          99         183         -99
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......         242         242          84
    23.95 Total new obligations.............        -183         -59
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........          59         183          84
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.00   Appropriation...................         100         183
    40.35   Appropriation permanently
              reduced.......................          -1                     -99
                                               ---------   ---------  ----------
    43.00     Appropriation (total
                discretionary)..............          99         183         -99
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..       2,138       1,754       1,253
    73.10 Total new obligations.............         183          59
    73.20 Total outlays (gross).............        -567        -560        -535
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..       1,754       1,253         718
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.90 Outlays from new discretionary
            authority.......................           3                      -3

    [[Page 511]]

    86.93 Outlays from discretionary
            balances........................         564         560         538
                                               ---------   ---------  ----------
    87.00   Total outlays (gross)...........         567         560         535
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................          99         183         -99
    90.00 Outlays...........................         567         560         535
    ---------------------------------------------------------------------------

        The HOPE VI program in coordination with funding from the Public
    Housing Capital Fund has completed its goal of contributing to the
    demolition of 100,000 severely distressed public housing units. The HOPE
    VI program, while completing its goal, was found to be more costly than
    other programs and slow to complete redevelopments. The budget proposes
    no additional funds and requests a cancellation of the expected 2007
    appropriation, currently estimated at $99 million.

        The remaining balance in this program of over $1.8 billion at the
    end of 2006 will spend out over several years as the redevelopment
    projects are completed. Cumulative results of the HOPE VI program as of
    March 31, 2006 follow: 63,885 households have been relocated, 78,115
    units have been demolished, 50,482 units (new and rehabilitated) have
    been completed, and 48,012 completed units have been occupied.

        In an effort to encourage the completion of delayed HOPE VI projects
    and to promote the efficient use of funds, the budget proposes that the
    Department recover unexpended HOPE VI obligations from nonperforming
    grantees whose funds were appropriated in fiscal year 2001 and prior
    years. These recovered funds may then be reused for new HOPE VI grants
    and technical assistance. Grants to Public Housing Authorities that are
    part of the Moving to Work demonstration and those in receivership will
    be exempt from these recoveries.

                       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.),
    $626,965,000, to remain available until expended: Provided, That,
    notwithstanding the Native American Housing Assistance and Self-
    Determination Act of 1996, to determine the amount of the allocation
    under title I of such Act for each Indian tribe, the Secretary shall
    apply the formula under section 302 of such Act with the need component
    based on single-race Census data and with the need component based on
    multi-race Census data, and the amount of the allocation for each Indian
    tribe shall be the greater of the two resulting allocation amounts:
    Provided further, That of the amounts made available under this heading,
    $4,250,000 shall be to support the inspection of Indian housing units,
    contract expertise, training, and technical assistance in the training,
    oversight, and management of such Indian housing and tenant-based
    assistance, including up to $300,000 for related travel: Provided
    further, That of the amount provided under this heading, $1,980,000
    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
    $17,000,000: Provided further, That for administrative expenses to carry
    out the guaranteed loan program, up to $148,500 from amounts in the
    third proviso, which shall be transferred to and merged with the
    appropriation for ``Salaries and Expenses.''

        Note.--A regular 2007 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. 109-289, Division B, as
    amended). The amounts included for 2007 in this budget reflect the
    levels provided by the continuing resolution.

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0313-0-1-604      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    00.02 Title VI Loan Guarantee Subsidy...           2           2           2
    00.07 Upward reestimate.................           2           2
    00.10 Indian Housing Block Grants.......         606         620         621
    00.11 Technical Assistance..............           2           4           4
    00.13 National American Indian Housing
            Council.........................           1
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 41.0)...................         613         628         627
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........          61          77          75
    22.00 New budget authority (gross)......         626         626         627
    22.10 Resources available from
            recoveries of prior year
            obligations.....................           3
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......         690         703         702
    23.95 Total new obligations.............        -613        -628        -627
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........          77          75          75
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.00   Appropriation...................         630         624         627
    40.35   Appropriation permanently
              reduced.......................          -6
                                               ---------   ---------  ----------
    43.00     Appropriation (total
                discretionary)..............         624         624         627
          Mandatory:

    60.00   Appropriation...................           2           2
                                               ---------   ---------  ----------
    70.00   Total new budget authority
              (gross).......................         626         626         627
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..         910         933         975
    73.10 Total new obligations.............         613         628         627
    73.20 Total outlays (gross).............        -587        -586        -579
    73.45 Recoveries of prior year
            obligations.....................          -3
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..         933         975       1,023
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.90 Outlays from new discretionary
            authority.......................         175         175         176
    86.93 Outlays from discretionary
            balances........................         410         409         403
    86.97 Outlays from new mandatory
            authority.......................           2           2
                                               ---------   ---------  ----------
    87.00   Total outlays (gross)...........         587         586         579
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................         626         626         627
    90.00 Outlays...........................         587         586         579
    ---------------------------------------------------------------------------

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

    ----------------------------------------------------------------------------
    Identification code 86-0313-0-1-604      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Guaranteed loan levels supportable by subsidy
                    budget authority:
    215001Title VI..........................          13          17          17
                                               ---------   ---------  ----------
    215999Total loan guarantee levels.......          13          17          17
        Guaranteed loan subsidy (in percent):
    232001Title VI..........................       12.26       11.99       12.12
                                               ---------   ---------  ----------
    232999Weighted average subsidy rate.....       12.26       11.99       12.12
        Guaranteed loan subsidy budget authority:
    233001Title VI..........................           2           2           2
                                               ---------   ---------  ----------
    233999Total subsidy budget authority....           2           2           2
        Guaranteed loan subsidy outlays:
    234001Title VI..........................           1           2           2
                                               ---------   ---------  ----------
    234999Total subsidy outlays.............           1           2           2
        Guaranteed loan upward reestimates:
    235001Title VI..........................           2           2
                                               ---------   ---------  ----------
    235999Total upward reestimate budget
            authority.......................           2           2
        Guaranteed loan downward reestimates:
    237001Title VI..........................          -2          -7
                                               ---------   ---------  ----------
    237999Total downward reestimate subsidy
            budget authority................          -2          -7
    ---------------------------------------------------------------------------

        Title I of the Native American Housing Assistance and Self-
    Determination Act (NAHASDA) of 1996 (P.L. 104-330) au

    [[Page 512]]

    thorized 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 $17 million
    is proposed for this loan guarantee program for 2008. 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.), $5,940,000, to
    remain available until expended of which $299,211 shall be for training
    and technical activities, including up to $100,000 for related travel.

        Note.--A regular 2007 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. 109-289, Division B, as
    amended). The amounts included for 2007 in this budget reflect the
    levels provided by the continuing resolution.

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0235-0-1-604      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    00.01 Native Hawaiian Housing Block
            Grant...........................                       6           6
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 41.0)...................                       6           6
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........                       9           3
    22.00 New budget authority (gross)......           9                       6
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......           9           9           9
    23.95 Total new obligations.............                      -6          -6
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........           9           3           3
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.00   Appropriation...................           9                       6
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..                                   4
    73.10 Total new obligations.............                       6           6
    73.20 Total outlays (gross).............                      -2          -3
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..                       4           7
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.90 Outlays from new discretionary
            authority.......................                                   1
    86.93 Outlays from discretionary
            balances........................                       2           2
                                               ---------   ---------  ----------
    87.00   Total outlays (gross)...........                       2           3
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................           9                       6
    90.00 Outlays...........................                       2           3
    ---------------------------------------------------------------------------

        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
    based on the needs and priorities established in its five- and one-year
    housing plans.

                Low-Rent Public Housing--Loans and Other Expenses

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4098-0-3-604      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    09.01 Reimbursable program: Capital
            investment loans to PHAs........           2           2           2
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 33.0)...................           2           2           2
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........          20
    22.00 New budget authority (gross)......          98          95         101
    22.40 Capital transfer to general fund..         -28
    22.60 Portion applied to repay debt.....         -88         -93         -99
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......           2           2           2
    23.95 Total new obligations.............          -2          -2          -2
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Mandatory:

    67.10   Authority to borrow.............          10           2           2
    69.00   Spending authority from
              offsetting collections:
              Offsetting collections (cash).          88          93          99
                                               ---------   ---------  ----------
    70.00   Total new budget authority
              (gross).......................          98          95         101
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..         369         305         212
    73.10 Total new obligations.............           2           2           2
    73.20 Total outlays (gross).............         -66         -95        -101
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..         305         212         113
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.97 Outlays from new mandatory
            authority.......................          66          95         101
    ----------------------------------------------------------------------------

        Offsets:
          Against gross budget authority and outlays:

    88.00   Offsetting collections (cash)
              from: Federal sources.........         -88         -93         -99
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................          10           2           2
    90.00 Outlays...........................         -22           2           2
    ---------------------------------------------------------------------------

                   Status of Direct Loans (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4098-0-3-604      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Cumulative balance of direct loans
                    outstanding:
    1210  Outstanding, start of year........         973         885         792
    1251  Repayments: Repayments and
            prepayments.....................         -88         -93         -99
                                               ---------   ---------  ----------
    1290    Outstanding, end of year........         885         792         693
    ---------------------------------------------------------------------------

                 Status of Guaranteed Loans (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4098-0-3-604      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Cumulative balance of guaranteed loans
                    outstanding:

    [[Page 513]]

    2210  Outstanding, start of year........       1,390       1,140         873
    2251  Repayments and prepayments........        -250        -267        -267
                                               ---------   ---------  ----------
    2290    Outstanding, end of year........       1,140         873         606
    ----------------------------------------------------------------------------

        Memorandum:
    2299  Guaranteed amount of guaranteed
            loans outstanding, end of year..       1,123         790         600
    ---------------------------------------------------------------------------

        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, $10 million
    borrowed from the Treasury was forgiven in 2006, $2 million will be
    borrowed from the Treasury and forgiven in 2007, and an estimated $2
    million will be borrowed from the Treasury and forgiven in 2008.

        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 net operating income for 2005 and
    2006 follows:

                                 Balance Sheet (in millions of dollars)

    -----------------------------------------------------------------------------------------------
    Identification code 86-4098-0-
    3-604

    2005 actual

    2006 actual

    -----------------------------------------------------------------------------------------------
        ASSETS:
    1101

    Federal assets: Fund balances with Treasury

    389

    305

    1601

    Direct loans, gross

    973

    885

    1602

    Interest receivable

    59

    54

    1604

    Direct loans and interest receivable, net

    1,032

    939

    1699

    Value of assets related to direct loans

    1,032

    939

    1999

    Total assets

    1,421

    1,244

        LIABILITIES:
          Federal liabilities:

    2102

    Interest payable

    118

    107

    2104

    Resources payable to Treasury

    972

    884

    2999

    Total liabilities

    1,090

    991

        NET POSITION:
    3100

    Appropriated capital

    338

    259

    3300

    Cumulative results of operations

    -7

    -6

    3999

    Total net position

    331

    253

    4999

    Total liabilities and net position

    1,421

    1,244

    -----------------------------------------------------------------------------------------------

                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),
    $7,450,000, 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, up to $367,000,000:
    Provided further, That up to $750,000 shall be for administrative
    contract expenses including information technology to carry out the loan
    guarantee program.
         In addition, for administrative expenses to carry out the
    guaranteed loan program, up to $247,500 from amounts in the first
    paragraph which shall be transferred to and merged with the
    appropriation for ``Salaries and Expenses.''

        Note.--A regular 2007 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. 109-289, Division B, as
    amended). The amounts included for 2007 in this budget reflect the
    levels provided by the continuing resolution.

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0223-0-1-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    00.02 Guaranteed loan subsidy...........           5           6           6
    00.07 Upward reestimate.................                       1
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 41.0)...................           5           7           6
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........           4           4           2
    22.00 New budget authority (gross)......           4           5           7
    22.10 Resources available from
            recoveries of prior year
            obligations.....................           1
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......           9           9           9
    23.95 Total new obligations.............          -5          -7          -6
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........           4           2           3
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.00   Appropriation...................           4           4           7
          Mandatory:

    60.00   Appropriation...................                       1
                                               ---------   ---------  ----------
    70.00   Total new budget authority
              (gross).......................           4           5           7
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..           3           2           7
    73.10 Total new obligations.............           5           7           6
    73.20 Total outlays (gross).............          -5          -2          -5
    73.45 Recoveries of prior year
            obligations.....................          -1
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..           2           7           8
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.90 Outlays from new discretionary
            authority.......................           1           1           1
    86.93 Outlays from discretionary
            balances........................           4                       4
    86.97 Outlays from new mandatory
            authority.......................                       1
                                               ---------   ---------  ----------
    87.00   Total outlays (gross)...........           5           2           5
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................           4           5           7
    90.00 Outlays...........................           5           2           5
    ---------------------------------------------------------------------------

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

    ----------------------------------------------------------------------------
    Identification code 86-0223-0-1-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Guaranteed loan levels supportable by subsidy
                    budget authority:
    215001Indian Housing Loan Guarantee.....         190         251         367
                                               ---------   ---------  ----------
    215999Total loan guarantee levels.......         190         251         367
        Guaranteed loan subsidy (in percent):
    232001Indian Housing Loan Guarantee.....        2.42        2.35        2.42
                                               ---------   ---------  ----------
    232999Weighted average subsidy rate.....        2.42        2.35        2.42
        Guaranteed loan subsidy budget authority:
    233001Indian Housing Loan Guarantee.....           5           5           6
                                               ---------   ---------  ----------
    233999Total subsidy budget authority....           5           5           6
        Guaranteed loan subsidy outlays:
    234001Indian Housing Loan Guarantee.....           4           1           4
                                               ---------   ---------  ----------
    234999Total subsidy outlays.............           4           1           4
        Guaranteed loan upward reestimates:
    235001Indian Housing Loan Guarantee.....                       1
                                               ---------   ---------  ----------
    235999Total upward reestimate budget
            authority.......................                       1
        Guaranteed loan downward reestimates:
    237001Indian Housing Loan Guarantee.....          -1          -1
                                               ---------   ---------  ----------
    237999Total downward reestimate subsidy
            budget authority................          -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 1992 and beyond (including modifications of
    guarantees that resulted from obligations in any year). The subsidy
    amounts are estimated

    [[Page 514]]

    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      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    00.01 Default Claims....................           1           1           1
    08.02 Downward Re-estimate..............           1           1
                                               ---------   ---------  ----------
    10.00   Total new obligations...........           2           2           1
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........          10          14          14
    22.00 New financing authority (gross)...           6           2           4
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......          16          16          18
    23.95 Total new obligations.............          -2          -2          -1
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........          14          14          17
    ----------------------------------------------------------------------------

        New financing authority (gross), detail:
          Mandatory:

            Spending authority from
                offsetting collections:
    69.00     Offsetting collections (cash).           7           2           4
    69.10     Change in uncollected customer
                payments from Federal
                sources (unexpired).........          -1
                                               ---------   ---------  ----------
    69.90     Spending authority from
                offsetting collections
                (total mandatory)...........           6           2           4
    ----------------------------------------------------------------------------

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

        Outlays (gross), detail:
    87.00 Total financing disbursements
            (gross).........................           2
    ----------------------------------------------------------------------------

        Offsets:
          Against gross financing authority and
              financing disbursements:

            Offsetting collections (cash)
                from:
    88.00     Federal sources: Payments from
                program account.............          -4          -1          -4
    88.00     Federal sources Upward
                Restimate...................                      -1
    88.25     Interest on uninvested funds..          -1
    88.40     Non-Federal sources...........          -2
                                               ---------   ---------  ----------
    88.90     Total, offsetting collections
                (cash)......................          -7          -2          -4
          Against gross financing authority only:

    88.95   Change in receivables from
              program accounts..............           1
    ----------------------------------------------------------------------------

        Net financing authority and financing
            disbursements:
    89.00 Financing authority...............
    90.00 Financing disbursements...........          -5          -2          -4
    ---------------------------------------------------------------------------

                 Status of Guaranteed Loans (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4104-0-3-604      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Position with respect to appropriations act
                    limitation on commitments:
    2111  Limitation on guaranteed loans
            made by private lenders.........         116         158         367
    2121  Limitation available from carry-
            forward.........................         169          98           5
    2142  Uncommitted loan guarantee
            limitation......................           3
    2143  Uncommitted limitation carried
            forward.........................         -98          -5          -5
                                               ---------   ---------  ----------
    2150    Total guaranteed loan
              commitments...................         190         251         367
    2199  Guaranteed amount of guaranteed
            loan commitments................         190         251         367
    ----------------------------------------------------------------------------

        Cumulative balance of guaranteed loans
                    outstanding:
    2210  Outstanding, start of year........         192         362         584
    2231  Disbursements of new guaranteed
            loans...........................         171         251         367
    2251  Repayments and prepayments........                     -28         -28
    2263  Adjustments: Terminations for
            default that result in claim
            payments........................          -1          -1          -1
                                               ---------   ---------  ----------
    2290    Outstanding, end of year........         362         584         922
    ----------------------------------------------------------------------------

        Memorandum:
    2299  Guaranteed amount of guaranteed
            loans outstanding, end of year..         362         581         916
    ---------------------------------------------------------------------------

        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

    2005 actual

    2006 actual

    -----------------------------------------------------------------------------------------------
        ASSETS:
    1101

    Federal assets: Fund balances with Treasury

    7

    13

    1999

    Total assets

    7

    13

        LIABILITIES:
          Non-Federal liabilities:

    2204

    Liabilities for loan guarantees

    7

    10

    2207

    Unearned revenues and advances

    3

    2999

    Total liabilities

    7

    13

    4999

    Total liabilities and net position

    7

    13

    -----------------------------------------------------------------------------------------------

           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),
    $1,044,000, 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
    $41,504,255.
         In addition, for administrative expenses to carry out the
    guaranteed loan program, up to $34,650 from amounts in the first
    paragraph which shall be transferred to and merged with the
    appropriation for ``Salaries and Expenses.''

        Note.--A regular 2007 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. 109-289, Division B, as
    amended). The amounts included for 2007 in this budget reflect the
    levels provided by the continuing resolution.

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0233-0-1-371      2006 actual   2007 est.   2008 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..........           4           5           4
    22.00 New budget authority (gross)......           1                       1
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......           5           5           5

    [[Page 515]]

    23.95 Total new obligations.............                      -1          -1
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........           5           4           4
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

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

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

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

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

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

    ----------------------------------------------------------------------------
    Identification code 86-0233-0-1-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Guaranteed loan levels supportable by subsidy
                    budget authority:
    215001Native Hawaiian Housing...........                      43          41
                                               ---------   ---------  ----------
    215999Total loan guarantee levels.......                      43          41
        Guaranteed loan subsidy (in percent):
    232001Native Hawaiian Housing...........        2.42        2.35        2.42
                                               ---------   ---------  ----------
    232999Weighted average subsidy rate.....        0.00        2.35        2.42
        Guaranteed loan subsidy budget authority:
    233001Native Hawaiian Housing...........                       1           1
                                               ---------   ---------  ----------
    233999Total subsidy budget authority....                       1           1
        Guaranteed loan subsidy outlays:
    234001Native Hawaiian Housing...........                       1           1
                                               ---------   ---------  ----------
    234999Total 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      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    00.02 Direct Program Activity...........                       1           1
                                               ---------   ---------  ----------
    10.00   Total new obligations...........                       1           1
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    22.00 New financing authority (gross)...                       1           1
    23.95 Total new obligations.............                      -1          -1
    ----------------------------------------------------------------------------

        New financing authority (gross), detail:
          Mandatory:

    69.00   Spending authority from
              offsetting collections:
              Offsetting collections (cash).                       1           1
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..                                   1
    73.10 Total new obligations.............                       1           1
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..                       1           2
    ----------------------------------------------------------------------------

        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      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Position with respect to appropriations act
                    limitation on commitments:
    2111  Limitation on guaranteed loans
            made by private lenders.........          36          36          41
    2121  Limitation available from carry-
            forward.........................         155         191         184
    2143  Uncommitted limitation carried
            forward.........................        -191        -184        -184
                                               ---------   ---------  ----------
    2150    Total guaranteed loan
              commitments...................                      43          41
    2199  Guaranteed amount of guaranteed
            loan commitments................                      43          41
    ----------------------------------------------------------------------------

        Cumulative balance of guaranteed loans
                    outstanding:
    2210  Outstanding, start of year........           2           2          43
    2231  Disbursements of new guaranteed
            loans...........................                      43          41
    2251  Repayments and prepayments........                      -2          -4
                                               ---------   ---------  ----------
    2290    Outstanding, end of year........           2          43          80
    ----------------------------------------------------------------------------

        Memorandum:
    2299  Guaranteed amount of guaranteed
            loans outstanding, end of year..           2          43          80
    ---------------------------------------------------------------------------

        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      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    00.01 Default Claims....................                       2           2
    08.02 Downward Reestimate...............           2           6
    08.04 Interest on Downward Reestimate...                       1
                                               ---------   ---------  ----------
    08.91   Direct Program by Activities--
              Subtotal (1 level)............           2           7
                                               ---------   ---------  ----------
    10.00   Total new obligations...........           2           9           2
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........          15          18          13
    22.00 New financing authority (gross)...           5           4           2
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......          20          22          15
    23.95 Total new obligations.............          -2          -9          -2
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........          18          13          13
    ----------------------------------------------------------------------------

        New financing authority (gross), detail:
          Mandatory:

            Spending authority from
                offsetting collections:
    69.00     Offsetting collections (cash).           4           4           2
    69.10     Change in uncollected customer
                payments from Federal
                sources (unexpired).........           1
                                               ---------   ---------  ----------
    69.90     Spending authority from
                offsetting collections
                (total mandatory)...........           5           4           2
    ----------------------------------------------------------------------------

    [[Page 516]]

        Change in obligated balances:
    72.40 Obligated balance, start of year..                      -1           8
    73.10 Total new obligations.............           2           9           2
    73.20 Total financing disbursements
            (gross).........................          -2
    74.00 Change in uncollected customer
            payments from Federal sources
            (unexpired).....................          -1
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..          -1           8          10
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    87.00 Total financing disbursements
            (gross).........................           2
    ----------------------------------------------------------------------------

        Offsets:
          Against gross financing authority and
              financing disbursements:

            Offsetting collections (cash)
                from:
    88.00     Federal sources...............          -2          -2          -2
    88.00     Upward Reestimate.............          -1          -2
    88.25     Interest on uninvested funds..          -1
                                               ---------   ---------  ----------
    88.90     Total, offsetting collections
                (cash)......................          -4          -4          -2
          Against gross financing authority only:

    88.95   Change in receivables from
              program accounts..............          -1
    ----------------------------------------------------------------------------

        Net financing authority and financing
            disbursements:
    89.00 Financing authority...............
    90.00 Financing disbursements...........          -2          -4          -2
    ---------------------------------------------------------------------------

                 Status of Guaranteed Loans (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4244-0-3-604      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Position with respect to appropriations act
                    limitation on commitments:
    2111  Limitation on guaranteed loans
            made by private lenders.........          17          17          17
    2121  Limitation available from carry-
            forward.........................          30          35          35
    2142  Uncommitted loan guarantee
            limitation......................           1
    2143  Uncommitted limitation carried
            forward.........................         -35         -35         -35
                                               ---------   ---------  ----------
    2150    Total guaranteed loan
              commitments...................          13          17          17
    2199  Guaranteed amount of guaranteed
            loan commitments................          12          17          17
    ----------------------------------------------------------------------------

        Cumulative balance of guaranteed loans
                    outstanding:
    2210  Outstanding, start of year........          80          83          92
    2231  Disbursements of new guaranteed
            loans...........................           9          15          15
    2251  Repayments and prepayments........          -6          -4          -5
    2263  Adjustments: Terminations for
            default that result in claim
            payments........................                      -2          -2
                                               ---------   ---------  ----------
    2290    Outstanding, end of year........          83          92         100
    ----------------------------------------------------------------------------

        Memorandum:
    2299  Guaranteed amount of guaranteed
            loans outstanding, end of year..          79          92         100
    ---------------------------------------------------------------------------

        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.

                                 Balance Sheet (in millions of dollars)

    -----------------------------------------------------------------------------------------------
    Identification code 86-4244-0-
    3-604

    2005 actual

    2006 actual

    -----------------------------------------------------------------------------------------------
        ASSETS:
    1101

    Federal assets: Fund balances with Treasury

    15

    17

    1999

    Total assets

    15

    17

        LIABILITIES:
    2204

    Non-Federal liabilities: Liabilities for loan guarantees

    15

    17

    2999

    Total liabilities

    15

    17

    4999

    Total liabilities and net position

    15

    17

    -----------------------------------------------------------------------------------------------

                       COMMUNITY PLANNING AND DEVELOPMENT

                                  Federal 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.), $300,100,000, to remain available until September 30,
    2009, except that amounts allocated pursuant to section 854(c)(3) of
    such Act shall remain available until September 30, 2010: 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 $1,485,000 of the funds under
    this heading for training, oversight, and technical assistance
    activities; and $1,485,000 shall be transferred to the Working Capital
    Fund.

        Note.--A regular 2007 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. 109-289, Division B, as
    amended). The amounts included for 2007 in this budget reflect the
    levels provided by the continuing resolution.

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0308-0-1-604      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    00.01 Housing for Persons with HIV/AIDS.         296         296         300
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 41.0)...................         296         296         300
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........          99          89          89
    22.00 New budget authority (gross)......         286         296         300
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......         385         385         389
    23.95 Total new obligations.............        -296        -296        -300
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........          89          89          89
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.00   Appropriation...................         289         296         300
    40.35   Appropriation permanently
              reduced.......................          -3
                                               ---------   ---------  ----------
    43.00     Appropriation (total
                discretionary)..............         286         296         300
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..         468         455         442
    73.10 Total new obligations.............         296         296         300
    73.20 Total outlays (gross).............        -309        -309        -309
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..         455         442         433
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.90 Outlays from new discretionary
            authority.......................           1           6           6
    86.93 Outlays from discretionary
            balances........................         308         303         303
                                               ---------   ---------  ----------
    87.00   Total outlays (gross)...........         309         309         309
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................         286         296         300
    90.00 Outlays...........................         309         309         309
    ---------------------------------------------------------------------------

        The Housing Opportunities for Persons with AIDS (HOPWA) 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. HOPWA funds provide stable
    housing arrangements, help reduce risks of homelessness and improve
    access to care for program participants. The requested funding for 2008
    will support approximately 67,000 housing units for persons with HIV/
    AIDS and their families. A legislative proposal to amend the HOPWA
    authorization language will be transmitted to Congress allowing HUD the
    oppor

    [[Page 517]]

    tunity to update the current program formula. Whereas the current
    formula distributes formula grant resources by the cumulative number of
    AIDS cases, the revised formula will account for the present number of
    people living with AIDS as well as the housing costs in that
    jurisdiction.

        States and metropolitan areas receive 90 percent of 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 that do not qualify for a
    formula allocation. In addition, $1.5 million is used for technical
    assistance to grantees and project sponsors to strengthen management of
    programs and ensure responsiveness in meeting client needs. Another $1.5
    million is transferred to the Working Capital Fund.

                            Community Development Fund

                         (including transfers of funds)

                            (including cancellation)

         For assistance to units of State and local government, and to other
    entities, for economic and community development activities, and for
    other purposes, $3,036,570,000, to remain available until September 30,
    2010, unless otherwise specified: Provided, That of the amount provided,
    $2,974,580,000 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.): Provided
    further, That unless explicitly provided for under this heading (except
    for planning grants provided in the second paragraph and amounts made
    available under the third paragraph), not to exceed 20 percent of any
    grant made with funds appropriated under this heading shall be expended
    for planning and management development and administration: Provided
    further, That $1,570,000 shall be transferred to the Working Capital
    Fund: Provided further, That $3,000,000 is for technical assistance as
    authorized by section 107(b)(4) of such Act: Provided further, That
    $57,420,000 shall be for grants to federally-recognized Indian tribes
    notwithstanding section 106(a)(1) of such Act, of which, notwithstanding
    any other provision of law (including section 305 of this Act), up to
    $3,960,000 may be used for emergencies that constitute imminent threats
    to health and safety.
         Of the unobligated balances remaining from funds appropriated in
    fiscal year 2007 and prior years under this heading, for grants for the
    Economic Development Initiative (EDI), $306,900,000 is cancelled.
         Of the unobligated balances remaining from funds appropriated in
    fiscal year 2007 and prior years under this heading, for grants for
    neighborhood initiatives, $49,500,000 is cancelled.

        Note.--A regular 2007 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. 109-289, Division B, as
    amended). The amounts included for 2007 in this budget reflect the
    levels provided by the continuing resolution.

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0162-0-1-451      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    00.01 Community Development Formula
            Grants..........................       3,823       4,355       2,619
    00.02 Working Capital Fund..............           2                       2
    00.03 Indian Tribes.....................          70         119          57
    00.04 Special Purpose Grants............          38           5           3
    00.05 Youthbuild........................          64          50
    00.06 Self Help Homeownership
            Opportunity Program.............          25
    00.07 Economic Development Initiative
            Grants..........................         255         598
    00.08 Neighborhood Initiative
            Demonstration...................          41          67
    00.09 National Council of La Raza.......           5
    00.10 Disaster Assistance...............      11,436       5,257
    00.11 Native Hawaiian Block Grants......           8           1
    00.12 Hudson River Park Trust Grant.....          31
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 41.0)...................      15,798      10,452       2,681
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........       1,181       6,237
    22.00 New budget authority (gross)......      20,851       4,215       2,681
    22.10 Resources available from
            recoveries of prior year
            obligations.....................           1
    22.22 Unobligated balance transferred
            from other accounts.............           3
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......      22,036      10,452       2,681
    23.95 Total new obligations.............     -15,798     -10,452      -2,681
    23.98 Unobligated balance expiring or
            withdrawn.......................          -1
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........       6,237
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.00   Appropriation...................      20,920       4,215       3,037
    40.35   Appropriation permanently
              reduced.......................         -42
    40.36   Unobligated balance permanently
              reduced.......................                                -356
    41.00   Transferred to other accounts...         -27
                                               ---------   ---------  ----------
    43.00     Appropriation (total
                discretionary)..............      20,851       4,215       2,681
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..      10,659      21,413      24,037
    73.10 Total new obligations.............      15,798      10,452       2,681
    73.20 Total outlays (gross).............      -5,012      -7,828      -8,000
    73.40 Adjustments in expired accounts
            (net)...........................         -31
    73.45 Recoveries of prior year
            obligations.....................          -1
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..      21,413      24,037      18,718
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.90 Outlays from new discretionary
            authority.......................         130          84          54
    86.93 Outlays from discretionary
            balances........................       4,882       7,744       7,946
                                               ---------   ---------  ----------
    87.00   Total outlays (gross)...........       5,012       7,828       8,000
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................      20,851       4,215       2,681
    90.00 Outlays...........................       5,012       7,828       8,000
    ---------------------------------------------------------------------------

        The Community Development Block Grant (CDBG) program provides
    flexible annual formula grants to State and local governments to benefit
    mainly low- to moderate-income persons. The funding is used for a wide-
    range of community and economic development activities, such as housing
    rehabilitation and construction, job creation and retention, public
    services, and improving public infrastructure.

        The Budget will re-propose the CDBG Reform Act, which adopts an
    improved formula to better target funds to communities with the greatest
    need and to hold communities accountable for results. The current
    formula has not been updated in almost 30 years and results in many
    lower-income communities receiving less assistance than wealthier
    communities. The reformed program would be designed with a Challenge
    Grant Fund component, a new allocation formula to better target funds to
    communities most in need of assistance, and other reforms to achieve
    greater results and enable communities to focus on addressing
    deficiencies and opportunities for improvement as noted in the PART
    analysis. Legislation to authorize these reforms will be transmitted in
    early 2007.

        As part of the reforms, HUD programs such as Brownfields Economic
    Development Initiatve, Community Development Loan Guarantee Program
    (Section 108), and Rural Housing and Economic Development are proposed
    for termination. These programs are duplicative--their activities are
    eligible to be funded by CDBG and other Federal programs.

        The Indian Community Development Block Grant program will continue
    to be funded in this account at $57 million. This program provides
    eligible grantees with direct grants for use in developing viable Indian
    and Alaska Native Communities, including decent housing, a suitable
    living environment, and economic opportunities, primarily for low and
    moderate income persons.

        The Youthbuild Transfer Act (P.L. 109-281), signed in September
    2006, transferred the Youthbuild program from HUD to the Department of
    Labor, as recommended by the White House Task Force on Disadvantaged
    Youth, to allow for great

    [[Page 518]]

    er coordination of the program with Job Corps and other employment and
    training programs. Funding for this program in 2007 was included in the
    budget for the Department of Labor. Youthbuild provides grants to local
    organizations to provide education and training to disadvantaged youth
    ages 16-24. In addition to participating in classroom training, young
    people/participants learn construction skills by helping to build
    affordable housing.

           Empowerment Zones/Enterprise Communities/Renewal Communities

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0315-0-1-451      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Change in obligated balances:
    72.40 Obligated balance, start of year..         133          94          59
    73.20 Total outlays (gross).............         -39         -35         -30
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..          94          59          29
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.93 Outlays from discretionary
            balances........................          39          35          30
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................
    90.00 Outlays...........................          39          35          30
    ---------------------------------------------------------------------------

        No funding is requested for Empowerment Zones/Enterprise
    Communities/Renewal Communities (EZ/EC/RC). No authorization for new
    grants or tax incentives have been provided for this program since 2001.
    Prior grants and tax benefits to communities that are still active
    complement the goals of the proposed Community Development Block Grant
    program reforms.

        The EZ/EC/RC initiative helps revitalize distressed neighborhoods by
    attracting business development and providing employment opportunities
    to residents of high poverty urban areas.

                            Brownfields Redevelopment

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0314-0-1-451      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    00.01 Cleanup and develop contaminated
            sites...........................          15          11
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 41.0)...................          15          11
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........          24          11
    22.10 Resources available from
            recoveries of prior year
            obligations.....................           2
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......          26          11
    23.95 Total new obligations.............         -15         -11
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........          11
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.00   Appropriation...................          10
    40.36   Unobligated balance permanently
              reduced.......................         -10
                                               ---------   ---------  ----------
    43.00     Appropriation (total
                discretionary)..............
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..         127         122         111
    73.10 Total new obligations.............          15          11
    73.20 Total outlays (gross).............         -18         -22         -28
    73.45 Recoveries of prior year
            obligations.....................          -2
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..         122         111          83
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.93 Outlays from discretionary
            balances........................          18          22          28
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................
    90.00 Outlays...........................          18          22          28
    ---------------------------------------------------------------------------

         The 2008 Budget requests no funding for the Brownfields Economic
    Development Initiative (BEDI) program. BEDI activities can be funded
    with Community Development Block Grant (CDBG) funds. The program is
    proposed to be terminated as a part of the broader CDBG program reforms.

        BEDI is a competitive grant program designed to stimulate and
    promote economic and community development, and is used in conjunction
    with the Community Development Loan Guarantee program. Brownfields are
    abandoned, idled, and underused industrial and commercial facilities and
    land where expansion and redevelopment is burdened by real or potential
    environmental contamination.

        Grants are made in accordance with selection criteria deemed
    appropriate for brownfield projects, including the extent to which an
    applicant is currently operating a brownfields program and is working
    with environmental regulatory agencies, as well as the projected future
    economic benefits of its development to the community.

                       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, $1,916,640,000, to remain available until September 30, 2010,
    of which $3,465,000 shall be transferred to the Working Capital Fund:
    Provided further, That up to $9,900,000 shall be available for technical
    assistance.
         In addition to amounts otherwise made available under this heading,
    $50,000,000, to remain available until September 30, 2010, for
    assistance to homebuyers as authorized under title I of the American
    Dream Downpayment Act.

        Note.--A regular 2007 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. 109-289, Division B, as
    amended). The amounts included for 2007 in this budget reflect the
    levels provided by the continuing resolution.

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0205-0-1-604      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    00.01 HOME grants.......................       1,807       1,805       1,967
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 41.0)...................       1,807       1,805       1,967
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........         318         270         270
    22.00 New budget authority (gross)......       1,757       1,805       1,967
    22.10 Resources available from
            recoveries of prior year
            obligations.....................           2
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......       2,077       2,075       2,237
    23.95 Total new obligations.............      -1,807      -1,805      -1,967
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........         270         270         270
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.00   Appropriation...................       1,775       1,805       1,967
    40.35   Appropriation permanently
              reduced.......................         -18
                                               ---------   ---------  ----------
    43.00     Appropriation (total
                discretionary)..............       1,757       1,805       1,967
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..       5,557       5,550       5,485
    73.10 Total new obligations.............       1,807       1,805       1,967
    73.20 Total outlays (gross).............      -1,812      -1,870      -1,901
    73.45 Recoveries of prior year
            obligations.....................          -2
                                               ---------   ---------  ----------

    [[Page 519]]

    74.40   Obligated balance, end of year..       5,550       5,485       5,551
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.90 Outlays from new discretionary
            authority.......................          15          36          39
    86.93 Outlays from discretionary
            balances........................       1,797       1,834       1,862
                                               ---------   ---------  ----------
    87.00   Total outlays (gross)...........       1,812       1,870       1,901
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................       1,757       1,805       1,967
    90.00 Outlays...........................       1,812       1,870       1,901
    ---------------------------------------------------------------------------

        The HOME Investment Partnerships Program is authorized by the
    National Affordable Housing Act (P.L. 101-625). This program provides
    annual formula grant assistance to States and units of local government
    to increase homeownership and expand the supply of affordable housing
    for low to very-low income persons. Eligible activities include
    acquisition, rehabilitation, and new construction of housing, and
    tenant-based rental assistance.

        In its PART assessment, the HOME program received a ``Moderately
    Effective'' rating based on the program's potentially significant impact
    on affordable housing problems, the progress towards its annual
    performance goals, and its ability to demonstrate improved efficiency
    over time. The 2008 Budget supports the PART analysis and will result
    over time in the production of 91,150 units of affordable housing
    through new construction, rehabilitation, and/or acquisition. Tenant-
    based rental assistance will be provided for 18,750 units.

        In addition, the $50 million requested for the American Dream
    Downpayment Initiative (ADDI) will help expand homeownership
    opportunities to 6,500 low-income first-time homebuyers and also support
    expansion of minority homeownership. Legislation to reauthorize ADDI
    will be submitted in early 2007.

             Self-Help and Assisted Homeownership Opportunity Program

         For the Self-Help and Assisted Homeownership Opportunity Program,
    as authorized under Section 11 of the Housing Opportunity Program
    Extension Act of 1996, as amended, $69,700,000, to remain available
    until September 30, 2010, of which up to $990,000 is for technical
    assistance, and of which $30,000,000 is for capacity building for
    community development and affordable housing for the Local Initiatives
    Support Corporation and the Enterprise Community Partners, Inc. for
    activities 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.

        Note.--A regular 2007 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. 109-289, Division B, as
    amended). The amounts included for 2007 in this budget reflect the
    levels provided by the continuing resolution.

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0176-0-1-604      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    00.01 Self Help Housing Opportunity
            Program.........................                      20          40
    00.02 Capacity Building.................                      29          30
    00.03 National American Indian Housing
            Council.........................           1           1
    00.04 Housing Assistance Council........           3           3
    00.05 Special Olympics..................           1           1
    00.06 National Council of La Raza.......           4           4
    00.07 National Housing Development
            Corporation.....................           2           2
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 41.0)...................          11          60          70
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........                      49
    22.00 New budget authority (gross)......          60          11          70
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......          60          60          70
    23.95 Total new obligations.............         -11         -60         -70
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........          49
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.00   Appropriation...................          61          11          70
    40.35   Appropriation permanently
              reduced.......................          -1
                                               ---------   ---------  ----------
    43.00     Appropriation (total
                discretionary)..............          60          11          70
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..                       7          48
    73.10 Total new obligations.............          11          60          70
    73.20 Total outlays (gross).............          -4         -19         -28
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..           7          48          90
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.90 Outlays from new discretionary
            authority.......................           4
    86.93 Outlays from discretionary
            balances........................                      19          28
                                               ---------   ---------  ----------
    87.00   Total outlays (gross)...........           4          19          28
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................          60          11          70
    90.00 Outlays...........................           4          19          28
    ---------------------------------------------------------------------------

        Self-Help Homeownership Opportunity Program (SHOP) funds assist low-
    income homebuyers willing to contribute ``sweat equity'' toward the
    construction of their houses. The funds increase the ability of non-
    profit organizations to leverage funds from other sources and will
    produce at least 2,000 new homeownership units. The 2006 PART Assessment
    found SHOP to be ``Effective.''

        SHOP was previously funded as a set-aside within the Community
    Development Fund, but became a separate account in 2006. The Budget
    requests $40 million for grants to eligible national and regional non-
    profits and consortia for land acquisition for home siting and
    improvement of utilities and other site infrastructure, of which,
    $990,000 will be used for technical assistance.

        In addition, the Budget requests $30 million for the National
    Community Development Initiative (NCDI), which is authorized by Section
    4 of the HUD Demonstration Act of 1993. These funds are provided to
    national non-profit intermediaries (Local Initatives Support Corporation
    and the Enterprise Community Partners, Inc.) to develop the capacity of
    community development corporations to undertake community development
    and affordable housing projects.

                            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,
    $1,560,990,000, of which $1,540,990,000 shall remain available until
    September 30, 2010, and of which $20,000,000 shall remain available
    until expended: 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 funding through
    the Mental Health and Substance Abuse Block Grant, Workforce Investment

    [[Page 520]]

    Act, and the Welfare-to-Work grant program: Provided further, That up to
    $8,000,000 of the funds appropriated under this heading shall be
    available for the national homeless data analysis project and technical
    assistance: Provided further, That $2,475,000 of the funds appropriated
    under this heading shall be transferred to the Working Capital Fund:
    Provided further, That all balances for Shelter Plus Care renewals
    previously funded from the Shelter Plus Care Renewal account and
    transferred to this account shall be available, if recaptured, for
    Shelter Plus Care renewals in fiscal year 2008. In addition, $25,000,000
    is provided for fiscal year 2008, to be transferred to ``Training and
    Employment Services,'' Employment and Training Administration,
    Department of Labor, and shall be for the Prisoner Re-Entry Initiative
    as established under that heading.

        Note.--A regular 2007 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. 109-289, Division B, as
    amended). The amounts included for 2007 in this budget reflect the
    levels provided by the continuing resolution.

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0192-0-1-604      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    00.01 Homeless assistance grants........       1,403       1,577       1,680
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 41.0)...................       1,403       1,577       1,680
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........       1,572       1,546       1,372
    22.00 New budget authority (gross)......       1,327       1,353       1,586
    22.10 Resources available from
            recoveries of prior year
            obligations.....................          68          50          50
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......       2,967       2,949       3,008
    23.95 Total new obligations.............      -1,403      -1,577      -1,680
    23.98 Unobligated balance expiring or
            withdrawn.......................         -18
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........       1,546       1,372       1,328
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.00   Appropriation...................       1,340       1,353       1,586
    40.35   Appropriation permanently
              reduced.......................         -13
                                               ---------   ---------  ----------
    43.00     Appropriation (total
                discretionary)..............       1,327       1,353       1,586
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..       2,517       2,474       2,623
    73.10 Total new obligations.............       1,403       1,577       1,680
    73.20 Total outlays (gross).............      -1,346      -1,378      -1,395
    73.40 Adjustments in expired accounts
            (net)...........................         -32
    73.45 Recoveries of prior year
            obligations.....................         -68         -50         -50
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..       2,474       2,623       2,858
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.90 Outlays from new discretionary
            authority.......................           7          14          16
    86.93 Outlays from discretionary
            balances........................       1,339       1,364       1,379
                                               ---------   ---------  ----------
    87.00   Total outlays (gross)...........       1,346       1,378       1,395
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................       1,327       1,353       1,586
    90.00 Outlays...........................       1,346       1,378       1,395
    ---------------------------------------------------------------------------

        The Homeless Assistance Grants account provides funds for the
    Shelter Plus Care, Supportive Housing, Emergency Shelter Grants, and
    Section 8 Moderate Rehabilitation Single Room Occupancy programs. These
    programs, which award funds through the Continuum of Care process,
    enable localities to shape and implement comprehensive, flexible,
    coordinated approaches to address the multiple issues of homelessness.
    Many communities have made great strides in creating comprehensive
    approaches to ending chronic homelessness through the development of
    State Interagency Councils and local ten-year plans. Requested funding
    will be available for a wide range of activities to assist homeless
    persons and prevent future homelessness. Increased funding will support
    the Administration's goal to end chronic homelessness by creating new
    permanent supportive housing for this population. In addition, the
    Budget places a major emphasis on permanent housing by requiring 30
    percent of funds to be used for this purpose.

        The Administration will again propose legislation to combine HUD's
    three competitive grant programs--Shelter Plus Care, Supportive Housing,
    and Section 8 Moderate Rehabilitation Single Room Occupancy--into a
    single program with flexibility to better meet community needs. The new
    consolidated program will incorporate up to $50 million for the
    Samaritan Housing Initiative that will specifically address the
    supportive housing needs of chronically homeless individuals. The
    Department continues to pursue expanded interagency efforts to meet the
    needs of the homeless and to accomplish the Administration's goal of
    ending chronic homelessness.

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

        The Budget also includes $25 million for Reintegration of Ex-
    Offenders, involving the Departments of Justice, Labor, and Housing and
    Urban Development, to help individuals exiting prison make a successful
    transition to community life and long-term employment. Upon enactment,
    these funds will be transferred to the Department of Labor.

                      Rural Housing and Economic Development

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0324-0-1-604      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    00.01 Rural Housing.....................          24          44
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 41.0)...................          24          44
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........          27          20
    22.00 New budget authority (gross)......          17          24
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......          44          44
    23.95 Total new obligations.............         -24         -44
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........          20
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.00   Appropriation...................          17          24
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..          39          42          64
    73.10 Total new obligations.............          24          44
    73.20 Total outlays (gross).............         -21         -22         -27
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..          42          64          37
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.93 Outlays from discretionary
            balances........................          21          22          27
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................          17          24
    90.00 Outlays...........................          21          22          27
    ---------------------------------------------------------------------------

        The 2008 Budget requests no funding for the Rural Housing and
    Economic Development (RHED) program. The program is duplicative
    particularly with programs provided through the U.S. Department of
    Agriculture, which manages a portfolio of rural housing and economic
    development grants programs that vastly exceed HUD's RHED program in
    terms of programs and services, budget and staffing.

    [[Page 521]]

        The RHED program was created to encourage innovative approaches to
    serve the housing and economic development needs of the nation's rural
    communities.

                         Urban Development Action Grants

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0170-0-1-451      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........           5           2           2
    22.21 Unobligated balance transferred to
            other accounts..................          -3
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......           2           2           2
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........           2           2           2
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..           4           4           2
    73.20 Total outlays (gross).............                      -2          -2
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..           4           2
    ----------------------------------------------------------------------------

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

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

        The Urban Development Action Grants program was terminated in 1990.
    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.

                      Revolving Fund (Liquidating Programs)

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4015-0-3-451      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    00.01 Section 312 expenses..............                       1           1
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 32.0)...................                       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           2           2
    22.40 Capital transfer to general fund..          -1          -2          -1
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......           1           1           1
    23.95 Total new obligations.............                      -1          -1
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........           1
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Mandatory:

    60.00   Appropriation...................           1           1           1
    69.00   Spending authority from
              offsetting collections:
              Offsetting collections (cash).                       1           1
                                               ---------   ---------  ----------
    70.00   Total new budget authority
              (gross).......................           1           2           2
    ----------------------------------------------------------------------------

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

        Outlays (gross), detail:
    86.97 Outlays from new mandatory
            authority.......................                       2           2
    86.98 Outlays from mandatory balances...                       1           1
                                               ---------   ---------  ----------
    87.00   Total outlays (gross)...........                       3           3
    ----------------------------------------------------------------------------

        Offsets:
          Against gross budget authority and outlays:

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

        Net budget authority and outlays:
    89.00 Budget authority..................           1           1           1
    90.00 Outlays...........................                       2           2
    ---------------------------------------------------------------------------

                   Status of Direct Loans (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4015-0-3-451      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Cumulative balance of direct loans
                    outstanding:
    1210  Outstanding, start of year........           6           6           4
    1251  Repayments: Repayments and
            prepayments.....................                      -1          -1
    1263  Write-offs for default: Direct
            loans...........................                      -1          -1
                                               ---------   ---------  ----------
    1290    Outstanding, end of year........           6           4           2
    ---------------------------------------------------------------------------

        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 operational expenses are financed from
    repayments of loans and recaptures, therefore no appropriation is
    requested.

        The Section 312 loan program portfolio, which provided first and
    junior lien financing at below market interest rates for the
    rehabilitation of homes in low-income neighborhoods, constituted a large
    portion of the account activities. This program ceased to originate new
    loans over ten years ago. Since the sale of the Section 312 loan
    portfolio to the private sector, activity in this account has been
    considerably reduced.

                                 Balance Sheet (in millions of dollars)

    -----------------------------------------------------------------------------------------------
    Identification code 86-4015-0-
    3-451

    2005 actual

    2006 actual

    -----------------------------------------------------------------------------------------------
        ASSETS:
    1101

    Federal assets: Fund balances with Treasury

    3

    3

    1601

    Direct loans, gross

    6

    6

    1603

    Allowance for estimated uncollectible loans and interest (-)

    -6

    -6

    1604

    Direct loans and interest receivable, net

    1606

    Foreclosed property

    2

    2

    1699

    Value of assets related to direct loans

    2

    2

    1999

    Total assets

    5

    5

        LIABILITIES:
    2207

    Non-Federal liabilities: Other

    1

    1

    2999

    Total liabilities

    1

    1

        NET POSITION:
    3100

    Appropriated capital

    4

    4

    3999

    Total net position

    4

    4

    4999

    Total liabilities and net position

    5

    5

    -----------------------------------------------------------------------------------------------

              Community Development Loan Guarantees Program Account

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0198-0-1-451      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    00.02 Community development loan
            guarantee credit subsidy........           5           3           1
    00.07 Upward Reestimate of Loan
            Guarantee.......................           2           7
    00.08 Interest on reestimate............                       1
    00.09 Administrative expense............           1
                                               ---------   ---------  ----------
    10.00   Total new obligations...........           8          11           1
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........           3           2           2
    22.00 New budget authority (gross)......           7          11
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......          10          13           2
    23.95 Total new obligations.............          -8         -11          -1
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........           2           2           1
    ----------------------------------------------------------------------------

    [[Page 522]]

        New budget authority (gross), detail:
          Discretionary:

    40.00   Appropriation...................           4           3
          Mandatory:

    60.00   Appropriation...................           3           8
                                               ---------   ---------  ----------
    70.00   Total new budget authority
              (gross).......................           7          11
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..          17          13           8
    73.10 Total new obligations.............           8          11           1
    73.20 Total outlays (gross).............         -11         -16          -5
    73.40 Adjustments in expired accounts
            (net)...........................          -1
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..          13           8           4
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.90 Outlays from new discretionary
            authority.......................           3
    86.93 Outlays from discretionary
            balances........................           5           8           5
    86.97 Outlays from new mandatory
            authority.......................           3           8
                                               ---------   ---------  ----------
    87.00   Total outlays (gross)...........          11          16           5
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................           7          11
    90.00 Outlays...........................          11          16           5
    ---------------------------------------------------------------------------

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

    ----------------------------------------------------------------------------
    Identification code 86-0198-0-1-451      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Guaranteed loan levels supportable by subsidy
                    budget authority:
    215001Community development loan
            guarantee levels................         220         136          45
                                               ---------   ---------  ----------
    215999Total loan guarantee levels.......         220         136          45
        Guaranteed loan subsidy (in percent):
    232001Community development loan
            guarantee levels................        2.20        2.17        2.20
                                               ---------   ---------  ----------
    232999Weighted average subsidy rate.....        2.20        2.17        2.20
        Guaranteed loan subsidy budget authority:
    233001Community development loan
            guarantee levels................           5           3           1
                                               ---------   ---------  ----------
    233999Total subsidy budget authority....           5           3           1
        Guaranteed loan subsidy outlays:
    234001Community development loan
            guarantee levels................           7           7           5
                                               ---------   ---------  ----------
    234999Total subsidy outlays.............           7           7           5
        Guaranteed loan upward reestimates:
    235001Community development loan
            guarantee levels................           3           8
                                               ---------   ---------  ----------
    235999Total upward reestimate budget
            authority.......................           3           8
        Guaranteed loan downward reestimates:
    237001Community development loan
            guarantee levels................          -6          -5
                                               ---------   ---------  ----------
    237999Total downward reestimate subsidy
            budget authority................          -6          -5
    ----------------------------------------------------------------------------

        Administrative expense data:
    3510  Budget authority..................           1
    3590  Outlays from new authority........           1
    ---------------------------------------------------------------------------

        Guaranteed Loans.--The 2008 Budget requests no funding for the
    Community Development Loan Guarantee program (Section 108). The program
    activities can be funded with Community Development Block Grant (CDBG)
    funds and/or other private financing options, and is proposed to be
    terminated as a part of the broader CDBG and federal economic
    development program reforms.

        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.

                   Object Classification (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0198-0-1-451      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Direct obligations:
    12.1  Civilian personnel benefits.......           1
    33.0  Investments and loans.............           5          10           1
    43.0  Interest and dividends............           2           1
                                               ---------   ---------  ----------
    99.9    Total new obligations...........           8          11           1
    ---------------------------------------------------------------------------

             Community Development Loan Guarantees Financing Account

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4096-0-3-451      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    08.02 Payment of Downward Reestimate to
            Receipt Account.................           5           4
    08.04 Payment of Downward Reestimate to
            Receipt Account (Interest)......           1           2
                                               ---------   ---------  ----------
    10.00   Total new obligations...........           6           6
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........          86          90         104
    22.00 New financing authority (gross)...          10          20           9
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......          96         110         113
    23.95 Total new obligations.............          -6          -6
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........          90         104         113
    ----------------------------------------------------------------------------

        New financing authority (gross), detail:
          Mandatory:

            Spending authority from
                offsetting collections:
    69.00     Offsetting collections (cash).          14          20           9
    69.10     Change in uncollected customer
                payments from Federal
                sources (unexpired).........          -4
                                               ---------   ---------  ----------
    69.90     Spending authority from
                offsetting collections
                (total mandatory)...........          10          20           9
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..         -17         -13          -7
    73.10 Total new obligations.............           6           6
    73.20 Total financing disbursements
            (gross).........................          -6
    74.00 Change in uncollected customer
            payments from Federal sources
            (unexpired).....................           4
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..         -13          -7          -7
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    87.00 Total financing disbursements
            (gross).........................           6
    ----------------------------------------------------------------------------

        Offsets:
          Against gross financing authority and
              financing disbursements:

            Offsetting collections (cash)
                from:
    88.00     Federal Sources: Payments from
                Program Account.............         -10         -16          -5
    88.25     Interest on uninvested funds..          -4          -4          -4
                                               ---------   ---------  ----------
    88.90     Total, offsetting collections
                (cash)......................         -14         -20          -9
          Against gross financing authority only:

    88.95   Change in receivables from
              program accounts..............           4
    ----------------------------------------------------------------------------

        Net financing authority and financing
            disbursements:
    89.00 Financing authority...............
    90.00 Financing disbursements...........          -8         -20          -9
    ---------------------------------------------------------------------------

                 Status of Guaranteed Loans (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4096-0-3-451      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Position with respect to appropriations act
                    limitation on commitments:
    2111  Limitation on guaranteed loans
            made by private lenders.........         135         136
    2121  Limitation available from carry-
            forward.........................         159          74          74

    [[Page 523]]

    2142  Uncommitted loan guarantee
            limitation......................
    2143  Uncommitted limitation carried
            forward.........................         -74         -74         -29
                                               ---------   ---------  ----------
    2150    Total guaranteed loan
              commitments...................         220         136          45
    2199  Guaranteed amount of guaranteed
            loan commitments................         220         136          45
    ----------------------------------------------------------------------------

        Cumulative balance of guaranteed loans
                    outstanding:
    2210  Outstanding, start of year........       2,302       2,386       2,473
    2231  Disbursements of new guaranteed
            loans...........................         358         270         198
    2251  Repayments and prepayments........        -274        -183        -175
                                               ---------   ---------  ----------
    2290    Outstanding, end of year........       2,386       2,473       2,496
    ----------------------------------------------------------------------------

        Memorandum:
    2299  Guaranteed amount of guaranteed
            loans outstanding, end of year..       2,386       2,473       2,496
    ---------------------------------------------------------------------------

        Guaranteed loans.--The Community Development Loan Guarantee program
    has provided a mechanism for the Federal guarantee of private loans. The
    financing account shows the status of privately financed guaranteed loan
    commitments made in and after 1992. No funding is requested for new
    section 108 loans in 2008. An accompanying liquidating account shows
    activity for Federal Financing Bank (FFB) direct loan activity obligated
    prior to July 1, 1986, and any pre-1992 loan guarantee activity.

        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.

                                 Balance Sheet (in millions of dollars)

    -----------------------------------------------------------------------------------------------
    Identification code 86-4096-0-
    3-451

    2005 actual

    2006 actual

    -----------------------------------------------------------------------------------------------
        ASSETS:
    1101

    Federal assets: Fund balances with Treasury

    70

    77

    1999

    Total assets

    70

    77

        LIABILITIES:
    2204

    Non-Federal liabilities: Liabilities for loan guarantees

    70

    77

    2999

    Total liabilities

    70

    77

    4999

    Total liabilities and net position

    70

    77

    -----------------------------------------------------------------------------------------------

            Community Development Loan Guarantees Liquidating Account

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4097-0-3-451      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        New budget authority (gross), detail:
          Mandatory:

            Spending authority from
                offsetting collections:
    69.00     Offsetting collections (cash).           1
    69.47     Portion applied to repay debt.          -1
                                               ---------   ---------  ----------
    69.90     Spending authority from
                offsetting collections
                (total mandatory)...........
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..          -4          -3          -3
    74.10 Change in uncollected customer
            payments from Federal sources
            (expired).......................           1
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..          -3          -3          -3
    ----------------------------------------------------------------------------

        Offsets:
          Against gross budget authority and outlays:

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

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

                 Status of Guaranteed Loans (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4097-0-3-451      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Cumulative balance of guaranteed loans
                    outstanding:
    2210  Outstanding, start of year........          39          39          37
    2251  Repayments and prepayments........                      -2          -2
                                               ---------   ---------  ----------
    2290    Outstanding, end of year........          39          37          35
    ----------------------------------------------------------------------------

        Memorandum:
    2299  Guaranteed amount of guaranteed
            loans outstanding, end of year..          39          37          35
    ---------------------------------------------------------------------------

        Guaranteed loans.--Guaranteed loan assistance under the Community
    Development Loan Guarantee program is 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. Until 1986, the Federal Financing Board (FFB) in the
    Department of Treasury financed these guaranteed loans. The Consolidated
    Omnibus Budget Reconciliation Act of 1985 required private financing of
    all loan guarantees committed after July 1, 1986. The 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.

        As required by the Federal Credit Reform Act of 1990, this
    liquidating 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.

                                 Balance Sheet (in millions of dollars)

    -----------------------------------------------------------------------------------------------
    Identification code 86-4097-0-
    3-451

    2005 actual

    2006 actual

    -----------------------------------------------------------------------------------------------
        ASSETS:
          Federal assets:

    1101

    Fund balances with Treasury

    -4

    -4

            Investments in US securities:
    1106

    Receivables, net

    4

    4

    1999

    Total assets

    -----------------------------------------------------------------------------------------------

                                HOUSING PROGRAMS

                                  Federal 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, and for
    supportive services associated with the housing, $575,000,000, to remain
    available until September 30, 2011, of which up to $415,450,000 shall be
    for capital advance and project-based rental assistance awards,
    including up to $25,000,000 for a demonstration program that leverages
    project awards with other sources of development financing, such as tax
    credit incentives, to expand housing assistance: Provided, That, of the
    amount provided under this heading, up to $71,000,000 shall be for
    service coordinators and the continuation of existing congregate service
    grants for residents of assisted housing projects, and of which up to
    $24,750,000 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 and for emergency capital
    repairs as determined by the Secretary: Provided further, That amounts
    under this heading shall be available for Real Estate Assessment Center
    inspections and inspection-related activities associated with section
    202 capital advance projects: Pro

    [[Page 524]]

    vided further, That $1,400,000 of the total amount made available under
    this heading shall be transferred to the Working Capital Fund: Provided
    further, That the Secretary may waive the provisions of section 202
    governing the terms and conditions of project rental assistance, except
    that the initial contract term for such assistance shall not exceed 5
    years in duration.

        Note.--A regular 2007 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. 109-289, Division B, as
    amended). The amounts included for 2007 in this budget reflect the
    levels provided by the continuing resolution.

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0320-0-1-604      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    00.01 Expansion.........................         753         725         700
    00.02 Rental assistance renewal and
            operating expenses..............         138         165         189
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 41.0)...................         891         890         889
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........       1,009         834         691
    22.00 New budget authority (gross)......         726         747         575
    22.10 Resources available from
            recoveries of prior year
            obligations.....................          16
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......       1,751       1,581       1,266
    23.95 Total new obligations.............        -891        -890        -889
    23.98 Unobligated balance expiring or
            withdrawn.......................         -26
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........         834         691         377
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.00   Appropriation...................         742         747         575
    40.35   Appropriation permanently
              reduced.......................          -7
    40.36   Unobligated balance permanently
              reduced.......................          -9
                                               ---------   ---------  ----------
    43.00     Appropriation (total
                discretionary)..............         726         747         575
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..       4,266       4,212       4,227
    73.10 Total new obligations.............         891         890         889
    73.20 Total outlays (gross).............        -922        -875        -874
    73.40 Adjustments in expired accounts
            (net)...........................          -7
    73.45 Recoveries of prior year
            obligations.....................         -16
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..       4,212       4,227       4,242
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.93 Outlays from discretionary
            balances........................         922         875         874
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................         726         747         575
    90.00 Outlays...........................         922         875         874
    ---------------------------------------------------------------------------

        This account consolidates activities under the Section 202 Housing
    for the Elderly Program. It funds capital grants for construction of
    low-income housing, operating subsidies, conversion of existing
    properties to assisted living, and service coordinators. For the first
    time in 2008, the account is displayed as two general activities--
    ``Expansion'' and ``Rental Assistance Renewal and Operating Expenses''--
    to provide better information on programmatic functions and resource
    usage. Expansion funds include capital grants for new unit construction
    and project rental assistance provided for an initial period to each new
    project, while Rental Assistance Renewal and Operating Expenses cover
    the cost of activities associated with existing units and other
    expenses. Up to $25 million of 2008 Expansion funds may be used for a
    demonstration project that leverages additional capital from various
    sources--such as private investors through tax credits--to support the
    construction of additional elderly housing units.

        The 2008 Budget expands the number of housing units assisted by this
    program by providing $415 million to construct approximately 3,000 new
    units of housing. In addition, all housing previously supported will
    continue to receive operating subsidies. Finally, congregate services
    and other supportive social services for residents, such as benefit
    counseling, will receive $71 million, and upgrades of developments to
    assisted living facilities are funded at $25 million.

                             HOUSING FOR THE ELDERLY

                                         2006 actual  2007 est.   2008 est.
    Units eligible for payment....         82,359         88,418          94,351

                      Housing for Persons With Disabilities

                          (including transfer of funds)

         For capital advance contracts, including amendments to capital
    advance contracts, for supportive housing for persons with disabilities,
    as authorized by section 811 of the Cranston-Gonzalez National
    Affordable Housing Act (42 U.S.C. 8013), for project rental assistance
    for supportive housing for persons with disabilities under section
    811(d)(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, and for supportive services associated with the
    housing for persons with disabilities as authorized by section 811(b)(1)
    of such Act, and for tenant-based rental assistance contracts entered
    into pursuant to section 811 of such Act, $125,000,000, to remain
    available until September 30, 2011: Provided, That $600,000 shall be
    transferred to the Working Capital Fund: Provided further, That up to
    $29,500,000 shall be for additional housing assistance under section
    811(b)(2) including up to $15,000,000 for a demonstration program that
    leverages project awards with other sources of development financing,
    such as tax credit incentives, to expand housing assistance: Provided
    further, That, of the amount provided under this heading up to
    $74,745,000 shall be for tenant-based assistance contracts including
    renewal or amendment of such contracts: Provided further, That all
    tenant-based assistance made available under this heading shall continue
    to remain available only to persons with disabilities: Provided further,
    That the Secretary may waive the provisions of section 811 governing the
    terms and conditions of project rental assistance and tenant-based
    assistance, except that the initial contract term for such assistance
    shall not exceed 5 years in duration: Provided further, That amounts
    made available under this heading shall be available for Real Estate
    Assessment Center Inspections and inspection-related activities
    associated with section 811 Capital Advance Projects.

        Note.--A regular 2007 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. 109-289, Division B, as
    amended). The amounts included for 2007 in this budget reflect the
    levels provided by the continuing resolution.

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0237-0-1-604      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    00.01 Expansion.........................         177         160         150
    00.02 Rental assistance renewal and
            operating expenses..............          92          95         100
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 41.0)...................         269         255         250
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........         276         230         215
    22.00 New budget authority (gross)......         231         240         125
    22.10 Resources available from
            recoveries of prior year
            obligations.....................          10
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......         517         470         340
    23.95 Total new obligations.............        -269        -255        -250
    23.98 Unobligated balance expiring or
            withdrawn.......................         -18
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........         230         215          90
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.00   Appropriation...................         239         240         125
    40.35   Appropriation permanently
              reduced.......................          -2
    40.36   Unobligated balance permanently
              reduced.......................          -6
                                               ---------   ---------  ----------
    43.00     Appropriation (total
                discretionary)..............         231         240         125
    ----------------------------------------------------------------------------

    [[Page 525]]

        Change in obligated balances:
    72.40 Obligated balance, start of year..       1,215       1,170       1,165
    73.10 Total new obligations.............         269         255         250
    73.20 Total outlays (gross).............        -301        -260        -259
    73.40 Adjustments in expired accounts
            (net)...........................          -3
    73.45 Recoveries of prior year
            obligations.....................         -10
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..       1,170       1,165       1,156
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.93 Outlays from discretionary
            balances........................         301         260         259
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................         231         240         125
    90.00 Outlays...........................         301         260         259
    ---------------------------------------------------------------------------

        This account consolidates all activities funded under section 811,
    Housing for Persons With Disabilities program, including new capital
    grants, project rental assistance, main stream vouchers, and renewal and
    amendments as appropropriate. For the first time in 2008, the account is
    displayed as two general activities--``Expansion'' and ``Rental
    Assistance Renewal and Operating Expenses''--to provide better
    information on programmatic functions and resource usage. Expansion
    funds include capital grants for new housing unit construction and
    project rental assistance provided for an initial period to each new
    project, while Rental Assistance Renewal and Operating Expenses cover
    costs associated with existing units and other expenses. Up to $15
    million of 2008 Expansion funds may be used for a demonstration project
    that leverages additional capital from various sources--such as private
    investors through tax credits--to support the construction of additional
    disabled housing units..

                      HOUSING FOR PERSONS WITH DISABILITIES

                                         2006 actual  2007 est.   2008 est.
    Units eligible for payment....         23,243         24,759          26,180

                          Housing Counseling Assistance

         For contracts, grants, and other assistance other than loans, as
    authorized under section 106 of the Housing and Urban Development Act of
    1968, as amended, $50,000,000, to remain available until September 30,
    2009: Provided, That funds shall be used for providing counseling and
    advice to tenants and homeowners, both current and prospective, with
    respect to property maintenance, financial management, and such other
    matters as may be appropriate to assist them in improving their housing
    conditions, meeting their financial needs by accessing home equity, and
    meeting the responsibilities of tenancy or homeownership, including
    provisions for training and for support of voluntary agencies and
    services.

        Note.--A regular 2007 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. 109-289, Division B, as
    amended). The amounts included for 2007 in this budget reflect the
    levels provided by the continuing resolution.

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0156-0-1-604      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    00.01 Housing Assistance................                                   5
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 41.0)...................                                   5
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    22.00 New budget authority (gross)......                                  50
    23.95 Total new obligations.............                                  -5
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........                                  45
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

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

        Change in obligated balances:
    73.10 Total new obligations.............                                   5
    73.20 Total outlays (gross).............                                  -5
    ----------------------------------------------------------------------------

        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 Housing Counseling Assistance Program provides comprehensive
    housing counseling services to eligible homeowners and tenants,
    including home purchase, financial management, and rental counseling.
    This program has been funded through a set-aside under the HOME program
    appropriation for the past several years. However, in 2008, it is being
    proposed as a stand alone account.

        The Housing Counseling Assistance Program supports the delivery of a
    wide variety of housing counseling services to homebuyers, homeowners,
    low- to moderate-income renters and the homeless. The primary objectives
    of the program are to expand homeownership opportunities, improve access
    to affordable housing and aid in HUD's commitment to bridging the gap of
    homeownership of minorities and other under-served groups in comparison
    to the National homeownership rate.

                         Other Assisted Housing Programs

                            Rental Housing Assistance

         For amendments to contracts under section 101 of the Housing and
    Urban Development Act of 1965 (12 U.S.C. 1701s) and section 236(f)(2) of
    the National Housing Act (12 U.S.C. 1715z-1) in State-aided, non-insured
    rental housing projects, $27,600,000, to remain available until
    expended.

                                 (cancellation)

         Of the amounts made available under the heading ``Rent Supplement''
    in Public Law 98-63 for amendments to contracts under section 101 of the
    Housing and Urban Development Act of 1965 (12 U.S.C. 1701s) and section
    236(f)(2) of the National Housing Act (12 U.S.C. 1715z-1) in State-
    aided, non-insured rental housing projects, $27,600,000 is cancelled.

        Note.--A regular 2007 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. 109-289, Division B, as
    amended). The amounts included for 2007 in this budget reflect the
    levels provided by the continuing resolution.

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0206-0-1-999      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    00.01 Rent supplement...................           3           7           8
    00.02 Homeownership and rental housing
            assistance (Sections 235 and
            236)............................          11          18          20
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 41.0)...................          14          25          28
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........         492         970         970
    22.00 New budget authority (gross)......          26          25
    22.10 Resources available from
            recoveries of prior year
            obligations.....................         466
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......         984         995         970
    23.95 Total new obligations.............         -14         -25         -28
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........         970         970         942
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.00   Appropriation...................          26          25          28
    40.36   Unobligated balance permanently
              reduced.......................                                 -28
                                               ---------   ---------  ----------
    43.00     Appropriation (total
                discretionary)..............          26          25
          Mandatory:

    60.00   Appropriation...................         623         578         578
    60.49   Portion applied to liquidate
              contract authority............        -623        -578        -578
                                               ---------   ---------  ----------

    [[Page 526]]

    62.50     Appropriation (total
                mandatory)..................
                                               ---------   ---------  ----------
    70.00   Total new budget authority
              (gross).......................          26          25
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..       6,861       5,833       5,307
    73.10 Total new obligations.............          14          25          28
    73.20 Total outlays (gross).............        -576        -551        -505
    73.45 Recoveries of prior year
            obligations.....................        -466
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..       5,833       5,307       4,830
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.90 Outlays from new discretionary
            authority.......................                      15
    86.93 Outlays from discretionary
            balances........................         576         536         505
                                               ---------   ---------  ----------
    87.00   Total outlays (gross)...........         576         551         505
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................          26          25
    90.00 Outlays...........................         576         551         505
    ----------------------------------------------------------------------------

        Memorandum (non-add) entries:
    93.01 Unobligated balance, start of
            year: Contract authority........         104         509         457
    93.02 Unobligated balance, end of year:
            Contract authority..............         509         457         356
    93.03 Obligated balance, start of year:
            Contract authority..............       6,861       5,833       5,307
    93.04 Obligated balance, end of year:
            Contract authority..............       5,833       5,307       4,813
    ---------------------------------------------------------------------------

        The Other Assisted Housing Account contains the programs listed
    below:

        Rent supplement.--Rent supplement assistance payments will continue
    to be made on behalf of qualified low-income tenants in approximately
    17,239 units which have not converted to Section 8.

        Section 235.--The Housing and Urban-Rural Recovery Act of 1983
    (Public Law 98-181) authorized a restructured Section 235 (Homeownership
    Assistance) program that provided homeowners a 10-year interest
    reduction subsidy on their mortgages.

        Section 236.--The Housing and Urban Development Act of 1968, as
    amended, authorizes the Section 236 Rental Housing Assistance Program
    which subsidizes the monthly mortgage payment that an owner of a rental
    or cooperative project is required to make. This interest subsidy
    reduces rents for lower income tenants.

        This account includes funding necesssary to amend Rent Supplement
    and Rental Assistance Payment (RAP) contracts in state-aided multifamily
    housing projects to address cost increases beyond the maximum annual
    payment limitation previously established for the affected contracts. As
    some of these rental assistance contracts are terminated due to
    prepayments or other reasons, remaining balances are recovered. The
    account includes language to cancel the amounts recovered from projects
    where rental assistance has been terminated.

        The table below provides a summary of outlays by program.

                               SUMMARY OF OUTLAYS

                            (in millions of dollars)

                                         2006 actual  2007 est.   2008 est.
    Total.........................            576            551             505
    Rent supplement...............             50             50              50
    Homeownership assistance
    (Section 235).................              4              4               3
    Rental housing assistance
    (Section 236).................            516            491             446
    College housing grants........              6              6               6

        Homeownership and Opportunity for People Everywhere Grants (HOPE
                                     Grants)

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0196-0-1-604      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Change in obligated balances:
    72.40 Obligated balance, start of year..           8           7           6
    73.20 Total outlays (gross).............          -1          -1          -1
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..           7           6           5
    ----------------------------------------------------------------------------

        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 Homeownership and Opportunity for People Everywhere Program
    provided affordable homeownership opportunities for low-income families.
    Units were converted to homeownership from public and Indian housing
    properties in HOPE I, from FHA-insured and Government-held multifamily
    properties in HOPE II, and from Government-owned or -held single family
    properties in HOPE III. HOPE Grants were used for property acquisition,
    rehabilitation, mortgage subsidies, security measures, and technical
    assistance. In addition, grants have been devoted to counseling and
    training of residents, and other activities intended to help them become
    economically self-sufficient homeowners. This schedule reflects the
    expenditure of prior year balances.

                       Manufactured Housing Fees Trust Fund

         For necessary expenses as authorized by the National Manufactured
    Housing Construction and Safety Standards Act of 1974, as amended (42
    U.S.C. 5401 et seq.), up to $16,000,000, to remain available until
    expended, to be derived from the Manufactured Housing Fees Trust Fund:
    Provided, That not to exceed the total amount appropriated under this
    heading shall be available from the general fund of the Treasury to the
    extent necessary to incur obligations and make expenditures pending the
    receipt of collections to the Fund pursuant to section 620 of such Act:
    Provided further, That the amount made available under this heading from
    the general fund shall be reduced as such collections are received
    during fiscal year 2008 so as to result in a final fiscal year 2008
    appropriation from the general fund estimated at not more than $0 and
    fees pursuant to such section 620 shall be modified as necessary to
    ensure such a final fiscal year 2008 appropriation: Provided further,
    That for the dispute resolution and installation programs, the Secretary
    of Housing and Urban Development may assess and collect fees from any
    program participant: Provided further, That such collections shall be
    deposited into the Fund, and the Secretary, as provided herein, may use
    such collections, as well as fees collected under section 620, for
    necessary expenses of such Act: Provided further, That notwithstanding
    the requirements of section 620 of such Act, the Secretary may carry out
    responsibilities of the Secretary under such Act through the use of
    approved service providers that are paid directly by the recipients of
    their services.

        Note.--A regular 2007 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. 109-289, Division B, as
    amended). The amounts included for 2007 in this budget reflect the
    levels provided by the continuing resolution.

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0234-0-1-376      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........          16          20          20
    22.00 New budget authority (gross)......           4
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......          20          20          20
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........          20          20          20
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    [[Page 527]]

    40.00   Appropriation...................           4
    ----------------------------------------------------------------------------

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

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

                              Interstate Land Sales

              Special and Trust Fund Receipts (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-5270-0-2-376      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
    01.00 Balance, start of year............
                                               ---------   ---------  ----------
    01.99 Balance, start of year............
        Receipts:
    02.60 Interstate land sales fund........           1           1           1
                                               ---------   ---------  ----------
    04.00 Total: Balances and collections...           1           1           1
        Appropriations:
    05.00 Interstate land sales.............          -1          -1          -1
                                               ---------   ---------  ----------
    07.99 Balance, end of year..............
    ---------------------------------------------------------------------------

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-5270-0-2-376      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    00.01 Transfer to salaries and expenses.           1           1           1
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 25.2)...................           1           1           1
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    22.00 New budget authority (gross)......           1           1           1
    23.95 Total new obligations.............          -1          -1          -1
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Mandatory:

    60.20   Appropriation (special fund)....           1           1           1
    ----------------------------------------------------------------------------

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

        Outlays (gross), detail:
    86.97 Outlays from new mandatory
            authority.......................           1           1           1
    ----------------------------------------------------------------------------

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

        The Interstate Land Sales Full Disclosure Act provides protection to
    the public with respect to purchase or leases of subdivision lots.
    Statements of record must be filed with the Secretary before
    subdivisions with 100 or more lots may be sold in interstate commerce,
    except when the subdivision is eligible for exemption.

        The Secretary is authorized to charge a fee, to be paid by the
    developer when filing a statement of record. The fee receipts are
    permanently appropriated and have helped finance a portion of the direct
    administrative expenses incurred in program operations.

                          Rental Housing Assistance Fund

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4041-0-3-604      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    09.01 Refunds of Excess Income..........          11          14          14
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 25.2)...................          11          14          14
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........          10           4           4
    22.00 New budget authority (gross)......           5          14          14
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......          15          18          18
    23.95 Total new obligations.............         -11         -14         -14
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........           4           4           4
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Mandatory:

    69.00   Spending authority from
              offsetting collections:
              Offsetting collections (cash).           5          14          14
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..                                 -14
    73.10 Total new obligations.............          11          14          14
    73.20 Total outlays (gross).............         -11         -28         -28
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..                     -14         -28
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.97 Outlays from new mandatory
            authority.......................           5          14          14
    86.98 Outlays from mandatory balances...           6          14          14
                                               ---------   ---------  ----------
    87.00   Total outlays (gross)...........          11          28          28
    ----------------------------------------------------------------------------

        Offsets:
          Against gross budget authority and outlays:

    88.40   Offsetting collections (cash)
              from: Non-Federal sources.....          -5         -14         -14
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................
    90.00 Outlays...........................           6          14          14
    ---------------------------------------------------------------------------

        The Housing and Urban Development Act of 1968 authorized the
    Secretary to establish a revolving fund into which rental collections in
    excess of the established basic rents for units in Section 236
    subsidized projects would be deposited.

        The Housing and Community Development Amendment of 1978 authorized
    the Secretary, subject to approval in appropriation acts, to transfer
    excess rent collections received after 1978 to the Troubled Projects
    Operating Subsidy program, renamed the Flexible Subsidy Fund. Prior to
    that time, collections were used for paying tax and utility increases in
    Section 236 projects. The Housing and Community Development Act of 1980
    amended the 1978 Act by authorizing the transfer of excess rent
    collections regardless of when collected. This Budget proposes that the
    resources from the Rental Housing Assistance Fund continue to be
    transferred to the Flexible Subsidy Fund, with the exception of amounts
    required to make refunds of excess income remittances as authorized by
    Public Law 106-569.

                              Flexible Subsidy Fund

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4044-0-3-604      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........           3          41          74
    22.00 New budget authority (gross)......          38          33          33
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......          41          74         107
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........          41          74         107
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    58.00   Spending authority from
              offsetting collections:
              Offsetting collections (cash).          38          33          33
    ----------------------------------------------------------------------------

        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
    ----------------------------------------------------------------------------

    [[Page 528]]

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

        Offsets:
          Against gross budget authority and outlays:

            Offsetting collections (cash)
                from:
    88.00     Federal sources...............         -10          -5          -5
    88.40     Non-Federal sources...........         -28         -28         -28
                                               ---------   ---------  ----------
    88.90     Total, offsetting collections
                (cash)......................         -38         -33         -33
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................
    90.00 Outlays...........................         -38         -32         -33
    ---------------------------------------------------------------------------

                   Status of Direct Loans (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4044-0-3-604      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Cumulative balance of direct loans
                    outstanding:
    1210  Outstanding, start of year........         703         699         695
    1251  Repayments: Repayments and
            prepayments.....................          -4          -4          -4
                                               ---------   ---------  ----------
    1290    Outstanding, end of year........         699         695         691
    ---------------------------------------------------------------------------

        The Flexible Subsidy Fund assisted financially troubled subsidized
    projects under certain FHA authorities. The subsidies were intended to
    prevent potential losses to the FHA fund resulting from project
    insolvency and to preserve these projects as a viable source of housing
    for low and moderate-income tenants. Priority was given to projects with
    Federal insurance-in-force and then to those with mortgages that had
    been assigned to the Department of Housing and Urban Development.

                                 Balance Sheet (in millions of dollars)

    -----------------------------------------------------------------------------------------------
    Identification code 86-4044-0-
    3-604

    2005 actual

    2006 actual

    -----------------------------------------------------------------------------------------------
        ASSETS:
    1101

    Federal assets: Fund balances with Treasury

    44

    43

    1601

    Direct loans, gross

    707

    670

    1602

    Interest receivable

    87

    95

    1603

    Allowance for estimated uncollectible loans and interest (-)

    -591

    -567

    1699

    Value of assets related to direct loans

    203

    198

    1999

    Total assets

    247

    241

        LIABILITIES:
    2207

    Non-Federal liabilities: Other

    3

    4

    2999

    Total liabilities

    3

    4

        NET POSITION:
    3100

    Appropriated capital

    -308

    -376

    3300

    Cumulative results of operations

    552

    613

    3999

    Total net position

    244

    237

    4999

    Total liabilities and net position

    247

    241

    -----------------------------------------------------------------------------------------------

                        Nehemiah Housing Opportunity Fund

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4071-0-3-604      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........                       1           1
    22.00 New budget authority (gross)......           1
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......           1           1           1
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........           1           1           1
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    58.00   Spending authority from
              offsetting collections:
              Offsetting collections (cash).           1
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..          11          11          10
    73.20 Total outlays (gross).............                      -1          -1
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..          11          10           9
    ----------------------------------------------------------------------------

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

        Offsets:
          Against gross budget authority and outlays:

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

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

        The Nehemiah grants program was authorized by the Housing and
    Community Development Act of 1987 to provide loans to eligible families
    to assist in the purchase of new or substantially rehabilitated units.
    This schedule reflects the liquidation of remaining reserved and
    obligated balances.

                          Federal Housing Administration

                    mutual mortgage insurance program account

                         (including transfers of funds)

         During fiscal year 2008, commitments to guarantee loans to carry
    out the purposes of section 203(b) of the National Housing Act, as
    amended, shall not exceed a loan principal of $185,000,000,000.
         During fiscal year 2008, obligations to make direct loans to carry
    out the purposes of section 204(g) of the National Housing Act, as
    amended, shall not exceed $50,000,000: Provided, That the foregoing
    amount shall be for loans to nonprofit and governmental entities in
    connection with sales of single family real properties owned by the
    Secretary and formerly insured under the Mutual Mortgage Insurance Fund.
         For administrative expenses necessary to carry out the guaranteed
    and direct loan program, $351,450,000, of which not to exceed
    $347,490,000 shall be transferred to the appropriation for ``Salaries
    and expenses''; and not to exceed $3,960,000 shall be transferred to the
    appropriation for ``Office of Inspector General''. In addition, for
    administrative contract expenses, $77,400,000, of which $25,550,000
    shall be transferred to the Working Capital Fund, and of which up to
    $5,000,000 shall be for education and outreach of FHA single family loan
    products: Provided, That to the extent guaranteed loan commitments
    exceed $65,500,000,000 on or before April 1, 2008, an additional $1,400
    for administrative contract expenses shall be available for each
    $1,000,000 in additional guaranteed loan commitments (including a pro
    rata amount for any amount below $1,000,000), but in no case shall funds
    made available by this proviso exceed $30,000,000.

        Note.--A regular 2007 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. 109-289, Division B, as
    amended). The amounts included for 2007 in this budget reflect the
    levels provided by the continuing resolution.

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0183-0-1-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    00.07 Reestimates of loan guarantee
            subsidy--upward re-estimate.....       2,881       1,148
    00.08 Interest on reestimates of loan
            guarantee subsidy...............         523         202
    00.09 Administrative expenses, salaries
            & expenses transfer.............         351         362         352
    00.12 Non-overhead administrative
            expenses for FHA contracts......          62          52          77
                                               ---------   ---------  ----------
    10.00   Total new obligations...........       3,817       1,764         429
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    22.00 New budget authority (gross)......         414         414         429
    22.22 Unobligated balance transferred
            from other accounts.............       3,404       1,350
                                               ---------   ---------  ----------

    [[Page 529]]

    23.90   Total budgetary resources
              available for obligation......       3,818       1,764         429
    23.95 Total new obligations.............      -3,817      -1,764        -429
    23.98 Unobligated balance expiring or
            withdrawn.......................          -1
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.00   Appropriation...................         418         414         429
    40.35   Appropriation permanently
              reduced.......................          -4
                                               ---------   ---------  ----------
    43.00     Appropriation (total
                discretionary)..............         414         414         429
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..          94          82          82
    73.10 Total new obligations.............       3,817       1,764         429
    73.20 Total outlays (gross).............      -3,818      -1,764        -426
    73.40 Adjustments in expired accounts
            (net)...........................         -11
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..          82          82          85
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.90 Outlays from new discretionary
            authority.......................         378         346         358
    86.93 Outlays from discretionary
            balances........................          36          68          68
    86.98 Outlays from mandatory balances...       3,404       1,350
                                               ---------   ---------  ----------
    87.00   Total outlays (gross)...........       3,818       1,764         426
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................         414         414         429
    90.00 Outlays...........................       3,818       1,764         426
    ---------------------------------------------------------------------------

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

    ----------------------------------------------------------------------------
    Identification code 86-0183-0-1-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Direct loan levels supportable by subsidy
                    budget authority:
    115001MMI Fund, Direct loans............           3          50          50
                                               ---------   ---------  ----------
    115999Total direct loan levels..........           3          50          50
        Direct loan subsidy (in percent):
    132001MMI Fund, Direct loans............        0.00        0.00        0.00
    ----------------------------------------------------------------------------

        Guaranteed loan levels supportable by subsidy
                    budget authority:
    215001MMI Fund, Section 203(b)..........      51,783      44,418      39,705
                                               ---------   ---------  ----------
    215999Total loan guarantee levels.......      51,783      44,418      39,705
        Guaranteed loan subsidy (in percent):
    232001MMI Fund, Section 203(b)..........       -1.70       -0.37       -0.01
                                               ---------   ---------  ----------
    232999Weighted average subsidy rate.....       -1.70       -0.37       -0.01
        Guaranteed loan subsidy budget authority:
    233001MMI Fund, Section 203(b)..........        -880        -164          -4
                                               ---------   ---------  ----------
    233999Total subsidy budget authority....        -880        -164          -4
        Guaranteed loan subsidy outlays:
    234001MMI Fund, Section 203(b)..........        -880        -164          -4
                                               ---------   ---------  ----------
    234999Total subsidy outlays.............        -880        -164          -4
        Guaranteed loan upward reestimates:
    235001MMI Fund, Section 203(b)..........       3,404       1,350
                                               ---------   ---------  ----------
    235999Total upward reestimate budget
            authority.......................       3,404       1,350
        Guaranteed loan downward reestimates:
    237001MMI Fund, Section 203(b)..........        -103        -554
                                               ---------   ---------  ----------
    237999Total downward reestimate subsidy
            budget authority................        -103        -554
    ----------------------------------------------------------------------------

        Administrative expense data:
    3510  Budget authority..................         414         414         429
    3580  Outlays from balances.............          36           5           5
    3590  Outlays from new authority........         378         409         420
    ---------------------------------------------------------------------------

        The Federal Housing Administration (FHA) provides mortgage insurance
    to encourage lenders to make credit available to expand homeownership
    and to serve borrowers for which the conventional market does not
    adequately provide. These include first-time homebuyers, minorities,
    lower-income families, and residents of underserved areas (central
    cities and rural areas). .

        In 2008, FHA is requesting an aggregate limitation of $185 billion
    on loan guarantees and is proposing legislative changes to reform FHA,
    including the consolidation of all single family programs under this
    account.

        In 2002, the President issued America's Homeownership Challenge to
    increase first-time minority homeowners by 5.5 million through 2010. The
    Budget continues Administration efforts to modernize FHA with proposals
    for new mortgage products targeted toward families who face the
    obstacles of having poor credit histories or little savings. These new
    mortgages will have premiums tied to credit records and the size of
    downpayments. This will result in more families having access to
    mortgage financing and will reward families with lower mortgage payments
    for having good credit histories and saving more for downpayments. The
    Budget also proposes to increase the FHA single-family loan limit from
    87 percent to 100 percent of the conforming loan limit.

        Because of adverse loan performance and improved estimation
    techniques, the baseline credit subsidy rate for FHA's single family
    program--assuming no programmatic changes--is positive, meaning that
    total costs exceed receipts on a present value basis, and therefore
    would require appropriations of credit subsidy budget authority to
    continue operation. The 2008 baseline includes no budget authority to
    cover these costs and assumes FHA would use its existing authorities to
    increase premiums to avoid the need for credit subsidy appropriations.
    Under the Budget's policy proposals, FHA will be able to set premiums
    that are based on risk and are sufficient to avoid the need for credit
    subsidy appropriations. The Budget also proposes to move the
    Condominium, the Section 203(k) rehabilitation and Home Equity
    Conversion programs from the General and Special Risk funds to the MMI
    fund in order to consolidate single-family programs in one fund. The
    proposal includes a removal of the statutory cap on the number of Home
    Equity Conversion Mortgages insured by FHA. The effects of these
    proposals are illustrated in separate schedules published for the MMI
    and General and Special Risk funds.

        As required by the Federal Credit Reform Act of 1990, this account
    records administrative expenses for this program, as well as the subsidy
    costs, if any, associated with the loan guarantees committed in 1992 and
    thereafter. The subsidy amounts are estimated on a present value basis;
    the administrative expenses are estimated on a cash basis.

                   Object Classification (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0183-0-1-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Direct obligations:
    25.2  Other services....................          43          29          53
    25.3  Other purchases of goods and
            services from Government
            accounts........................         370         385         376
    41.0  Grants, subsidies, and
            contributions...................       2,881       1,148
    43.0  Interest and dividends............         523         202
                                               ---------   ---------  ----------
    99.9    Total new obligations...........       3,817       1,764         429
    ---------------------------------------------------------------------------

                  FHA--Mutual Mortgage Insurance Program Account

                  (Legislative proposal, not subject to PAYGO)

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

    ----------------------------------------------------------------------------
    Identification code 86-0183-2-1-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Guaranteed loan levels supportable by subsidy
                    budget authority:
    215001MMI Fund, Section 203(b)..........                              17,291
    215004MMI HECM..........................                              25,000
                                               ---------   ---------  ----------
    215999Total loan guarantee levels.......                              42,291
        Guaranteed loan subsidy (in percent):
    232001MMI Fund, Section 203(b)..........                               -0.59
    232004MMI HECM..........................                               -1.35
                                               ---------   ---------  ----------
    232999Weighted average subsidy rate.....                               -0.82
        Guaranteed loan subsidy budget authority:
    233001MMI Fund, Section 203(b)..........                                -338

    [[Page 530]]

    233004MMI HECM..........................                                -338
                                               ---------   ---------  ----------
    233999Total subsidy budget authority....                                -676
        Guaranteed loan subsidy outlays:
    234001MMI Fund, Section 203(b)..........                                -338
    234004MMI HECM..........................                                -338
                                               ---------   ---------  ----------
    234999Total subsidy outlays.............                                -676
    ---------------------------------------------------------------------------

           FHA--Mutual Mortgage Insurance Direct Loan Financing Account

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4242-0-3-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    00.01 Direct loans......................           3          50          50
    00.02 Interest paid to Treasury.........                       2           2
    00.03 Claims & other....................           1           4           4
                                               ---------   ---------  ----------
    10.00   Total new obligations...........           4          56          56
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........           5           5
    22.00 New financing authority (gross)...           5         105         105
    22.60 Portion applied to repay debt.....          -1         -54         -49
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......           9          56          56
    23.95 Total new obligations.............          -4         -56         -56
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........           5
    ----------------------------------------------------------------------------

        New financing authority (gross), detail:
          Mandatory:

    67.10   Authority to borrow.............           1          50          50
    69.00   Spending authority from
              offsetting collections:
              Offsetting collections (cash).           4          55          55
                                               ---------   ---------  ----------
    70.00   Total new financing authority
              (gross).......................           5         105         105
    ----------------------------------------------------------------------------

        Change in obligated balances:
    73.10 Total new obligations.............           4          56          56
    73.20 Total financing disbursements
            (gross).........................          -4         -56         -56
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    87.00 Total financing disbursements
            (gross).........................           4          56          56
    ----------------------------------------------------------------------------

        Offsets:
          Against gross financing authority and
              financing disbursements:

            Offsetting collections (cash)
                from:
    88.25     Interest on uninvested funds..                      -1          -1
    88.40     Repayment of principal........          -4         -50         -50
    88.40     Repayment of interest.........                      -4          -4
                                               ---------   ---------  ----------
    88.90     Total, offsetting collections
                (cash)......................          -4         -55         -55
    ----------------------------------------------------------------------------

        Net financing authority and financing
            disbursements:
    89.00 Financing authority...............           1          50          50
    90.00 Financing disbursements...........                       1           1
    ---------------------------------------------------------------------------

                   Status of Direct Loans (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4242-0-3-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Position with respect to appropriations act
                    limitation on obligations:
    1111  Limitation on direct loans........          50          50          50
    1142  Unobligated direct loan limitation
            (-).............................         -47
                                               ---------   ---------  ----------
    1150    Total direct loan obligations...           3          50          50
    ----------------------------------------------------------------------------

        Cumulative balance of direct loans
                    outstanding:
    1210  Outstanding, start of year........           1
    1231  Disbursements: Direct loan
            disbursements...................           3          50          50
    1251  Repayments: Repayments and
            prepayments.....................          -4         -50         -50
                                               ---------   ---------  ----------
    1290    Outstanding, end of year........
    ---------------------------------------------------------------------------

        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 direct loans obligated in 1992 and thereafter (including
    modifications of direct loans 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.

        The $50 million in 2008 direct loan limitation in the MMI Fund would
    permit the Department to use Purchase Money Mortgages (PMMs) to help
    finance the sale of acquired single family properties. HUD would extend
    credit for these single-family homes to community nonprofit
    organizations or local government entities who would be expected to sell
    the properties to low- and moderate-income buyers. The use of PMMs
    provides a tool for State and local nonprofit organizations to use in
    revitalizing communities, and creates enhanced homeownership
    opportunities for low- and moderate-income families.

                                 Balance Sheet (in millions of dollars)

    -----------------------------------------------------------------------------------------------
    Identification code 86-4242-0-
    3-371

    2005 actual

    2006 actual

    -----------------------------------------------------------------------------------------------
        ASSETS:
    1101

    Federal assets: Fund balances with Treasury

    5

    5

          Net value of assets related to
              post-1991 direct loans
              receivable:

    1401

    Direct loans receivable, gross

    1

    1

    1405

    Allowance for subsidy cost (-)

    -3

    -3

    1499

    Net present value of assets related to direct loans

    -2

    -2

    1999

    Total assets

    3

    3

        LIABILITIES:
    2103

    Federal liabilities: Federal Liabilities--Debt

    3

    3

    2999

    Total liabilities

    3

    3

    4999

    Total liabilities and net position

    3

    3

    -----------------------------------------------------------------------------------------------

         FHA--Mutual Mortgage Insurance Guaranteed Loan Financing Account

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4587-0-3-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    00.01 Loan guarantee default claim
            payments........................       5,317       5,685       6,185
    00.02 Interest on Treasury Borrowing....         342         278         245
    00.03 Other capital investment &
            operating expenses..............         662         489         426
                                               ---------   ---------  ----------
    00.91   Subtotal, capital/operating
              expenses......................       6,321       6,452       6,856
    08.01 Payment of negative subsidy to
            capital reserve for new business         880         190           4
    08.02 Reestimate of loan guarantee
            subsidy (downward reestimates)..          39         512
    08.04 Interest on reestimates of loan
            guarantee subsidy...............          64          42
    08.05 Loan modification payment
            (negative subsidy) to capital
            reserve account 86-0236.........           9          13
                                               ---------   ---------  ----------
    08.91   Direct Program by Activities--
              Subtotal (1 level)............         992         757           4
                                               ---------   ---------  ----------
    10.00   Total new obligations...........       7,313       7,209       6,860
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........       3,389       4,313       5,100
    22.00 New financing authority (gross)...       9,981       9,996       7,472
    22.10 Resources available from
            recoveries of prior year
            obligations.....................           1
    22.60 Portion applied to repay debt.....      -1,745      -2,000      -2,000
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......      11,626      12,309      10,572
    23.95 Total new obligations.............      -7,313      -7,209      -6,860
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........       4,313       5,100       3,712
    ----------------------------------------------------------------------------

    [[Page 531]]

        New financing authority (gross), detail:
          Mandatory:

    67.10   Authority to borrow.............         535       1,000       1,000
            Spending authority from
                offsetting collections:
    69.00     Offsetting collections........       3,404       1,350
    69.00     Offsetting collections (cash).       6,042       7,646       6,472
                                               ---------   ---------  ----------
    69.90     Spending authority from
                offsetting collections
                (total mandatory)...........       9,446       8,996       6,472
                                               ---------   ---------  ----------
    70.00   Total new financing authority
              (gross).......................       9,981       9,996       7,472
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..       1,080       1,159       1,304
    73.10 Total new obligations.............       7,313       7,209       6,860
    73.20 Total financing disbursements
            (gross).........................      -7,233      -7,064      -6,724
    73.45 Recoveries of prior year
            obligations.....................          -1
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..       1,159       1,304       1,440
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    87.00 Total financing disbursements
            (gross).........................       7,233       7,064       6,724
    ----------------------------------------------------------------------------

        Offsets:
          Against gross financing authority and
              financing disbursements:

            Offsetting collections (cash)
                from:
    88.00     Transfer of Reestimates from
                reserves in Capital Reserve
                account.....................      -3,404      -1,350
    88.25     Interest on uninvested funds..        -293        -236        -196
    88.40     Fees and premiums.............      -1,907      -2,092      -2,291
    88.40     Recoveries on defaults........      -3,842      -5,318      -3,985
                                               ---------   ---------  ----------
    88.90     Total, offsetting collections
                (cash)......................      -9,446      -8,996      -6,472
    ----------------------------------------------------------------------------

        Net financing authority and financing
            disbursements:
    89.00 Financing authority...............         535       1,000       1,000
    90.00 Financing disbursements...........      -2,213      -1,932         252
    ---------------------------------------------------------------------------

                 Status of Guaranteed Loans (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4587-0-3-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Position with respect to appropriations act
                    limitation on commitments:
    2111  Limitation on guaranteed loans
            made by private lenders.........     185,000     185,000     185,000
    2142  Uncommitted loan guarantee
            limitation......................    -133,217    -140,582    -145,295
                                               ---------   ---------  ----------
    2150    Total guaranteed loan
              commitments...................      51,783      44,418      39,705
    2199  Guaranteed amount of guaranteed
            loan commitments................      51,783      44,418      39,705
    ----------------------------------------------------------------------------

        Cumulative balance of guaranteed loans
                    outstanding:
    2210  Outstanding, start of year........     319,846     304,476     304,372
    2231  Disbursements of new guaranteed
            loans...........................      51,783      44,418      39,705
    2251  Repayments and prepayments........     -60,715     -34,509     -33,220
          Adjustments:

    2261    Terminations for default that
              result in loans receivable....        -150         -49         -57
    2262    Terminations for default that
              result in acquisition of
              property......................      -5,018      -5,566      -6,047
    2263    Terminations for default that
              result in claim payments......        -149         -70         -81
    2264    Other adjustments, net..........      -1,121      -4,328      -4,381
                                               ---------   ---------  ----------
    2290    Outstanding, end of year........     304,476     304,372     300,291
    ----------------------------------------------------------------------------

        Memorandum:
    2299  Guaranteed amount of guaranteed
            loans outstanding, end of year..     304,476     304,372     300,291
    ----------------------------------------------------------------------------

        Addendum:
          Cumulative balance of defaulted guaranteed
              loans that result in loans receivable:

    2310    Outstanding, start of year......         343         341
    2331    Disbursements for guaranteed
              loan claims...................         150          49          57
    2351    Repayments of loans receivable..        -291
    2364    Other adjustments, net..........         139        -390         -57
                                               ---------   ---------  ----------
    2390      Outstanding, end of year......         341
    ---------------------------------------------------------------------------

        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 loans insured in 1992 and thereafter. The amounts in this
    account are considered a means of financing and are not included in the
    budget totals.

                                 Balance Sheet (in millions of dollars)

    -----------------------------------------------------------------------------------------------
    Identification code 86-4587-0-
    3-371

    2005 actual

    2006 actual

    -----------------------------------------------------------------------------------------------
        ASSETS:
          Federal assets:

    1101

    Fund balances with Treasury

    4,469

    5,473

            Investments in US securities:
    1106

    Receivables, net

    2,292

    1,330

          Non-Federal assets:

    1201

    Investments in non-Federal securities, net

    192

    93

    1206

    Receivables, net

    290

    255

          Net value of assets related to
              post-1991 acquired defaulted
              guaranteed loans receivable:

    1501

    Defaulted guaranteed loans receivable, gross

    343

    341

    1502

    Interest receivable

    1

    1

    1504

    Foreclosed property

    2,405

    2,539

    1505

    Allowance for subsidy cost

    -1,441

    -1,257

    1599

    Net value of assets related to defaulted guaranteed loan

    1,308

    1,624

    1901

    Other Federal assets: Other assets

    363

    481

    1999

    Total assets

    8,914

    9,256

        LIABILITIES:
          Federal liabilities:

    2101

    Accounts payable

    103

    576

    2103

    Federal liabilities, Debt

    6,235

    5,025

          Non-Federal liabilities:

    2201

    Accounts payable

    671

    613

    2204

    Liabilities for loan guarantees

    1,803

    2,828

    2207

    Other

    102

    214

    2999

    Total liabilities

    8,914

    9,256

    4999

    Total liabilities and net position

    8,914

    9,256

    -----------------------------------------------------------------------------------------------

         FHA--Mutual Mortgage Insurance Guaranteed Loan Financing Account

                  (Legislative proposal, not subject to PAYGO)

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4587-2-3-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    00.01 Loan guarantee default claim
            payments........................                                  41
    00.02 Interest on Treasury Borrowing....                                 -36
                                               ---------   ---------  ----------
    00.91   Subtotal (capital/operating
              expenses).....................                                   5
    08.01 Payment of negative subsidy to
            capital reserve account for new
            busines.........................                                 676
                                               ---------   ---------  ----------
    10.00   Total new obligations...........                                 681
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    22.00 New financing authority (gross)...                                 954
    23.95 Total new obligations.............                                -681
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........                                 273
    ----------------------------------------------------------------------------

        New financing authority (gross), detail:
          Mandatory:

            Spending authority from
                offsetting collections:
    69.00     Offsetting collections........
    69.00     Offsetting collections (cash).                                 954
                                               ---------   ---------  ----------
    69.90     Spending authority from
                offsetting collections
                (total mandatory)...........                                 954
    ----------------------------------------------------------------------------

        Change in obligated balances:
    73.10 Total new obligations.............                                 681
    73.20 Total financing disbursements
            (gross).........................                                -829
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..                                -148
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    87.00 Total financing disbursements
            (gross).........................                                 829
    ----------------------------------------------------------------------------

        Offsets:
          Against gross financing authority and
              financing disbursements:

            Offsetting collections (cash)
                from:
    88.25     Interest on uninvested funds..                                  26

    [[Page 532]]

    88.40     Fees and premiums.............                                -965
    88.40     Recoveries on default.........                                 -15
                                               ---------   ---------  ----------
    88.90     Total, offsetting collections
                (cash)......................                                -954
    ----------------------------------------------------------------------------

        Net financing authority and financing
            disbursements:
    89.00 Financing authority...............
    90.00 Financing disbursements...........                                -125
    ---------------------------------------------------------------------------

                 Status of Guaranteed Loans (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4587-2-3-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Position with respect to appropriations act
                    limitation on commitments:
    2111  Limitation on guaranteed loans
            made by private lenders.........
    2142  Uncommitted loan guarantee
            limitation......................                              42,291
                                               ---------   ---------  ----------
    2150    Total guaranteed loan
              commitments...................                              42,291
    2199  Guaranteed amount of guaranteed
            loan commitments................                              42,291
    ----------------------------------------------------------------------------

        Cumulative balance of guaranteed loans
                    outstanding:
    2210  Outstanding, start of year........
    2231  Disbursements of new guaranteed
            loans...........................                              42,291
    2251  Repayments and prepayments........                              -1,467
          Adjustments:

    2261    Terminations for default that
              result in loans receivable....                                  -1
    2262    Terminations for default that
              result in acquisition of
              property......................                                 -40
    2263    Terminations for default that
              result in claim payments......
    2264    Other adjustments, net..........                                -349
                                               ---------   ---------  ----------
    2290    Outstanding, end of year........                              40,434
    ----------------------------------------------------------------------------

        Memorandum:
    2299  Guaranteed amount of guaranteed
            loans outstanding, end of year..                              40,434
    ----------------------------------------------------------------------------

        Addendum:
          Cumulative balance of defaulted guaranteed
              loans that result in loans receivable:

    2310    Outstanding, start of year......
    2331    Disbursements for guaranteed
              loan claims...................                                   1
    2331    Disbursements for guaranteed
              loan claims...................
    2364    Other adjustments, net..........                                  -1
                                               ---------   ---------  ----------
    2390      Outstanding, end of year......
    ---------------------------------------------------------------------------

              FHA--Mutual Mortgage Insurance Capital Reserve Account

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0236-0-1-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........      23,262      21,959      22,450
    22.00 New budget authority (gross)......       2,101       1,841       1,123
    22.21 Unobligated balance transferred to
            other accounts..................      -3,404      -1,350          -4
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......      21,959      22,450      23,569
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........      21,959      22,450      23,569
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Mandatory:

            Spending authority from
                offsetting collections:
    69.00     Offsetting collections (cash).       1,273       1,664       1,119
    69.00     Offsetting collections (cash).         889         177           4
    69.10     Change in uncollected customer
                payments from Federal
                sources (unexpired).........         -61
                                               ---------   ---------  ----------
    69.90     Spending authority from
                offsetting collections
                (total mandatory)...........       2,101       1,841       1,123
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..        -260        -199        -199
    74.00 Change in uncollected customer
            payments from Federal sources
            (unexpired).....................          61
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..        -199        -199        -199
    ----------------------------------------------------------------------------

        Offsets:
          Against gross budget authority and outlays:

            Offsetting collections (cash)
                from:
    88.00     Federal sources --negative
                subsidy from new business...        -881        -164          -4
    88.00     Federal sources--downward
                reestimates.................        -103        -554
    88.00     Federal sources--loan
                modification................          -9         -13
    88.20     Interest on Federal securities      -1,169      -1,110      -1,119
                                               ---------   ---------  ----------
    88.90     Total, offsetting collections
                (cash)......................      -2,162      -1,841      -1,123
          Against gross budget authority only:

    88.95   Change in uncollected customer
              payments from Federal sources
              (unexpired)...................          61
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................
    90.00 Outlays...........................      -2,162      -1,841      -1,123
    ----------------------------------------------------------------------------

        Memorandum (non-add) entries:
    92.01 Total investments, start of year:
            Federal securities: Par value...      22,642      22,030      21,433
    92.02 Total investments, end of year:
            Federal securities: Net.........      22,030      21,433      20,804
    ---------------------------------------------------------------------------

                     Summary of Budget Authority and Outlays

                            (in millions of dollars)

                                         2006 actual  2007 est.   2008 est.
    Enacted/requested:
      Budget Authority............
      Outlays.....................         -2,162         -1,841          -1,123
    Legislative proposal, not subject to
        PAYGO:
      Budget Authority............
      Outlays.....................                                          -676

    Total:
      Budget Authority............
      Outlays.....................         -2,162         -1,841          -1,799

        In 2002, a new Capital Reserve account was established for the
    Mutual Mortgage Insurance Fund. Financial reserves, including
    securities, of the MMI Fund were transferred from the liquidating
    account to the new Capital Reserve account. In 2003, this new mandatory
    account started earning interest on Treasury investments, collecting
    negative subsidy and downward reestimates from the Financing account,
    and paying upward reestimates. The Liquidating account will now only
    reflect cashflows related to pre-1992 books of business.

                                 Balance Sheet (in millions of dollars)

    -----------------------------------------------------------------------------------------------
    Identification code 86-0236-0-
    1-371

    2005 actual

    2006 actual

    -----------------------------------------------------------------------------------------------
        ASSETS:
          Federal assets:

    1101

    Fund balances with Treasury

    728

    90

            Investments in US securities:
    1102

    Treasury securities, net

    22,481

    21,807

    1106

    Receivables, net

    362

    775

    1999

    Total assets

    23,571

    22,672

        LIABILITIES:
    2101

    Federal liabilities: Accounts payable

    2,292

    1,330

    2999

    Total liabilities

    2,292

    1,330

        NET POSITION:
    3300

    Cumulative results of operations

    21,279

    21,342

    3999

    Total net position

    21,279

    21,342

    4999

    Total liabilities and net position

    23,571

    22,672

    -----------------------------------------------------------------------------------------------

    [[Page 533]]

              FHA--Mutual Mortgage Insurance Capital Reserve Account

                  (Legislative proposal, not subject to PAYGO)

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0236-2-1-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Budgetary resources available for obligation:
    22.00 New budget authority (gross)......                                 676
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........                                 676
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Mandatory:

            Spending authority from
                offsetting collections:
    69.00     Offsetting collections (cash).
    69.00     Offsetting collections (cash).                                 676
                                               ---------   ---------  ----------
    69.90     Spending authority from
                offsetting collections
                (total mandatory)...........                                 676
    ----------------------------------------------------------------------------

        Offsets:
          Against gross budget authority and outlays:

            Offsetting collections (cash)
                from:
    88.00     Federal sources --negative
                subsidy from new business...                                -676
    88.00     Federal sources--downward
                reestimates.................
    88.00     Federal sources--loan
                modification................
                                               ---------   ---------  ----------
    88.90     Total, offsetting collections
                (cash)......................                                -676
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................
    90.00 Outlays...........................                                -676
    ----------------------------------------------------------------------------

        Memorandum (non-add) entries:
    92.01 Total investments, start of year:
            Federal securities: Par value...
    92.02 Total investments, end of year:
            Federal securities: Net.........                                 846
    ---------------------------------------------------------------------------

          FHA--Mutual Mortgage and Cooperative Housing Insurance Funds
                               Liquidating Account

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4070-0-3-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    01.03 Acquisition of real properties....          64          37          24
    01.07 Capitalized expenses..............           2           9           6
    01.08 Loss mitigation activities........           4           2           2
                                               ---------   ---------  ----------
    01.91   Total capital investment........          70          48          32
    02.02 Other Operation expenses..........          14          14          14
                                               ---------   ---------  ----------
    10.00   Total new obligations...........          84          62          46
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........          38          47          21
    22.00 New budget authority (gross)......          49          36          24
    22.10 Resources available from
            recoveries of prior year
            obligations.....................          44
    22.22 Unobligated balance transferred
            from other accounts.............                                   4
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......         131          83          49
    23.95 Total new obligations.............         -84         -62         -46
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........          47          21           3
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Mandatory:

    69.00   Spending authority from
              offsetting collections:
              Offsetting collections (cash).          49          36          24
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..         266         232         227
    73.10 Total new obligations.............          84          62          46
    73.20 Total outlays (gross).............         -74         -67         -46
    73.45 Recoveries of prior year
            obligations.....................         -44
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..         232         227         227
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.97 Outlays from new mandatory
            authority.......................          49          36          24
    86.98 Outlays from mandatory balances...          25          31          22
                                               ---------   ---------  ----------
    87.00   Total outlays (gross)...........          74          67          46
    ----------------------------------------------------------------------------

        Offsets:
          Against gross budget authority and outlays:

            Offsetting collections (cash)
                from:
    88.40     Fees and premiums.............          -2          -2          -2
    88.40     Recoveries on defaulted
                mortgages...................         -47         -34         -22
    88.40     Other.........................
                                               ---------   ---------  ----------
    88.90     Total, offsetting collections
                (cash)......................         -49         -36         -24
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................
    90.00 Outlays...........................          25          31          22
    ---------------------------------------------------------------------------

                   Status of Direct Loans (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4070-0-3-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Cumulative balance of direct loans
                    outstanding:
    1210  Outstanding, start of year........           3           3           2
    1264  Write-offs for default: Other
            adjustments, net................                      -1          -1
                                               ---------   ---------  ----------
    1290    Outstanding, end of year........           3           2           1
    ---------------------------------------------------------------------------

                 Status of Guaranteed Loans (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4070-0-3-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Cumulative balance of guaranteed loans
                    outstanding:
    2210  Outstanding, start of year........      16,074      12,773      10,517
    2251  Repayments and prepayments........      -3,237      -2,219      -1,912
    2262  Adjustments: Terminations for
            default that result in
            acquisition of property.........         -64         -37         -24
                                               ---------   ---------  ----------
    2290    Outstanding, end of year........      12,773      10,517       8,581
    ----------------------------------------------------------------------------

        Memorandum:
    2299  Guaranteed amount of guaranteed
            loans outstanding, end of year..      12,773      10,517       8,581
    ----------------------------------------------------------------------------

        Addendum:
          Cumulative balance of defaulted guaranteed
              loans that result in loans receivable:

    2310    Outstanding, start of year......           8           7
    2331    Disbursements for guaranteed
              loan claims...................           2           2           1
    2361    Write-offs of loans receivable..                      -9          -1
    2364    Other adjustments, net..........          -3
                                               ---------   ---------  ----------
    2390      Outstanding, end of year......           7
    ---------------------------------------------------------------------------

        The Federal Housing Administration Fund currently consists of four
    separate insurance funds.

        In order to present more clearly the operations of the various
    funds, FHA's budget transactions are separated into two major business
    segments. The basic single-family insurance programs in the Mutual
    Mortgage Insurance (MMI) fund and the multifamily Cooperative Management
    Housing Insurance (CMHI) funds form one segment. All other multifamily
    and other specialized insurance programs in the General Insurance and
    Special Risk Insurance funds (GI/SRI) form the other segment.

        The Federal Credit Reform Act of 1990 creates a structure of three
    accounts for existing credit program. For each of the FHA business
    segments (MMI/CMHI and GI/SRI) there is a liquidating account, which
    records the revenues and costs associated with loan insurance committed
    prior to October 1, 1991, a financing account which records the revenues
    and costs associated with commitments to insure loans made after
    September 30, 1991, and, a program account which records the
    transactions associated with the program subsidy costs, if any, and the
    costs of administering the program.

        This liquidating account records, for this program, all cash flows
    to and from the Government resulting from MMI/CMHI loans insured prior
    to 1992 and is shown on a cash basis. All new activity in this program
    in 1992 and thereafter (in

    [[Page 534]]

    cluding modifications of loans insured in any year) is recorded in the
    corresponding program (86-0183) and financing (86-4587 and 86-4242)
    accounts.

        In 2002, a new MMI capital reserve account was established to
    maintain reserves required by statute that were previously deposited in
    the liquidating account.

        The program activity in the ``Program Highlights'' table shown below
    reflects only the activity in the MMI/CMHI liquidating and financing
    accounts. The GI/SRI program activity can be found with the GI/SRI
    liquidating account (86-4072).

                               PROGRAM HIGHLIGHTS

                            (in millions of dollars)

                                         2006 actual  2007 est.   2008 est.
    Mortgage insurance written (in
        fiscal year):
      Amount (in millions of dollars)...     $51,783     $44,418     $81,996
    Units...............................     408,435     344,326     679,220
                                        ====================================
    Insurance maintenance: Outstanding
        balance of insurance in force,
        end of year:
      Mortgage insurance (in millions of
        dollars)........................    $317,249    $314,889    $349,306
                                        ====================================

        Financial condition.--The following tables reflect the revenues,
    expenses and financial condition of the MMI/CMHI liquidating funds based
    on Generally Accepted Accounting Principles.

                                 Balance Sheet (in millions of dollars)

    -----------------------------------------------------------------------------------------------
    Identification code 86-4070-0-
    3-371

    2005 actual

    2006 actual

    -----------------------------------------------------------------------------------------------
        ASSETS:
    1101

    Federal assets: Fund balances with Treasury

    304

    279

    1206

    Non-Federal assets: Receivables, net

    24

    21

    1601

    Direct loans, gross

    3

    1701

    Defaulted guaranteed loans, gross

    8

    7

    1703

    Allowance for estimated uncollectible loans and interest (-)

    -3

    -3

    1704

    Defaulted guaranteed loans and interest receivable, net

    5

    4

    1706

    Foreclosed property

    16

    6

    1799

    Value of assets related to loan guarantees

    21

    10

    1901

    Other Federal assets: Other assets

    4

    6

    1999

    Total assets

    353

    319

        LIABILITIES:
          Non-Federal liabilities:

    2201

    Accounts payable

    227

    196

    2204

    Liabilities for loan guarantees

    53

    51

    2207

    Unearned revenue and advances, and other

    113

    35

    2999

    Total liabilities

    393

    282

        NET POSITION:
    3300

    Cumulative results of operations

    -40

    37

    3999

    Total net position

    -40

    37

    4999

    Total liabilities and net position

    353

    319

    -----------------------------------------------------------------------------------------------

                   Object Classification (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4070-0-3-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Direct obligations:
    25.2  Other services....................          14          14          14
    32.0  Land and structures...............          66          46          30
    42.0  Insurance claims and indemnities..           4           2           2
                                               ---------   ---------  ----------
    99.9    Total new obligations...........          84          62          46
    ---------------------------------------------------------------------------

                     General and Special Risk Program Account

                         (including transfers of funds)

         For the cost of guaranteed loans, as authorized by sections 238 and
    519 of the National Housing Act (12 U.S.C. 1715z-3 and 1735c), including
    the cost of loan guarantee modifications, as that term is defined in
    section 502 of the Congressional Budget Act of 1974, as amended,
    $8,600,000, to remain available until expended: Provided, That
    commitments to guarantee loans shall not exceed $35,000,000,000 in total
    loan principal, any part of which is to be guaranteed.
         Gross obligations for the principal amount of direct loans, as
    authorized by sections 204(g), 207(l), 238, and 519(a) of the National
    Housing Act, shall not exceed $50,000,000, of which not to exceed
    $30,000,000 shall be for bridge financing in connection with the sale of
    multifamily real properties owned by the Secretary and formerly insured
    under such Act; and of which not to exceed $20,000,000 shall be for
    loans to nonprofit and governmental entities in connection with the sale
    of single-family real properties owned by the Secretary and formerly
    insured under such Act.
         In addition, for administrative expenses necessary to carry out the
    guaranteed and direct loan programs, $229,086,000, of which $209,286,000
    shall be transferred to the appropriation for ``Salaries and Expenses'';
    and of which $19,800,000 shall be transferred to the appropriation for
    ``Office of Inspector General''.
         In addition, for administrative contract expenses necessary to
    carry out the guaranteed and direct loan programs, $78,111,000, of which
    $15,692,000 shall be transferred to the Working Capital Fund: Provided,
    That to the extent guaranteed loan commitments exceed $8,426,000,000 on
    or before April 1, 2008, an additional $1,980 for administrative
    contract expenses shall be available for each $1,000,000 in additional
    guaranteed loan commitments over $8,426,000,000 (including a pro rata
    amount for any increment below $1,000,000), but in no case shall funds
    made available by this proviso exceed $14,400,000.

        Note.--A regular 2007 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. 109-289, Division B, as
    amended). The amounts included for 2007 in this budget reflect the
    levels provided by the continuing resolution.

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0200-0-1-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    00.02 Guaranteed loan subsidy...........           3           5          14
    00.07 Reestimate of credit subsidy......         303         107
    00.08 Interest on reestimates of loan
            guarantee subsidy...............          58           2
    00.09 Administrative expenses, salaries
            & expenses transfer.............         229         229         229
    00.10 Administrative contract expenses..          75          71          71
                                               ---------   ---------  ----------
    10.00   Total new obligations...........         668         414         314
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........          51          57          63
    22.00 New budget authority (gross)......         678         420         316
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......         729         477         379
    23.95 Total new obligations.............        -668        -414        -314
    23.98 Unobligated balance expiring or
            withdrawn.......................          -4
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........          57          63          65
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.00   Appropriation...................         320         311         316
    40.35   Appropriation permanently
              reduced.......................          -3
                                               ---------   ---------  ----------
    43.00     Appropriation (total
                discretionary)..............         317         311         316
          Mandatory:

    60.00   Appropriation...................         361         109
                                               ---------   ---------  ----------
    70.00   Total new budget authority
              (gross).......................         678         420         316
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..          99         101          97
    73.10 Total new obligations.............         668         414         314
    73.20 Total outlays (gross).............        -652        -418        -325
    73.40 Adjustments in expired accounts
            (net)...........................         -14
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..         101          97          86
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.90 Outlays from new discretionary
            authority.......................         251         293         299
    86.93 Outlays from discretionary
            balances........................          40          16          26
    86.97 Outlays from new mandatory
            authority.......................         361         109
                                               ---------   ---------  ----------
    87.00   Total outlays (gross)...........         652         418         325
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................         678         420         316

    [[Page 535]]

    90.00 Outlays...........................         652         418         325
    ---------------------------------------------------------------------------

                     Summary of Budget Authority and Outlays

                            (in millions of dollars)

                                         2006 actual  2007 est.   2008 est.
    Enacted/requested:
      Budget Authority............            678            420             316
      Outlays.....................            652            418             325
    Legislative proposal, not subject to
        PAYGO:
      Budget Authority............
      Outlays.....................                                            -8

    Total:
      Budget Authority............            678            420             316
      Outlays.....................            652            418             317

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

    ----------------------------------------------------------------------------
    Identification code 86-0200-0-1-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Guaranteed loan levels supportable by subsidy
                    budget authority:
    215001Apartments NC/SC..................         615         707         785
    215002221d3 NP/Coop owned apts..........          23          51         102
    215003Tax Credits NC....................         867         928       1,091
    215005Apartments Refinance..............       2,566       2,441       2,374
    215006241a Supplemental Loans for Apts..           4           4           6
    215007Operating Loss Loans for Apts
            (plus 232)......................           1           2           3
    215008HFA Risk Sharing..................         140         149         156
    215009GSE Risk Sharing..................           9           9          11
    215010FHA Full Insurance for Health Care
            Facilities (plus 241/232).......         303         312         339
    215011Health Care Refinances............       1,450       2,180       3,069
    215012Hospitals.........................         943         900         900
    215013Other Rental (incl 207(mph), 220,
            231)............................         119         130         324
    215014Section 234: Condominiums.........       3,161       3,224       3,419
    215015Section 203(k): Rehabilitation
            Mortgages.......................         406         421         446
    215016Home Equity Conversion Mortgages..      17,994       8,939
    215017Title 1 Property Improvement......          57          43          59
    215018Title 1 Manufactured Housing......          44          59          43
    215022Standby Authority.................                  14,501      21,873
                                               ---------   ---------  ----------
    215999Total loan guarantee levels.......      28,702      35,000      35,000
        Guaranteed loan subsidy (in percent):
    232001Apartments NC/SC..................       -0.18       -0.61       -2.02
    232002221d3 NP/Coop owned apts..........        9.74        6.31        5.67
    232003Tax Credits NC....................       -3.54       -2.78       -3.20
    232005Apartments Refinance..............       -1.84       -1.63       -4.09
    232006241a Supplemental Loans for Apts..        5.43        3.93        2.99
    232007Operating Loss Loans for Apts
            (plus 232)......................       15.89       17.34       15.43
    232008HFA Risk Sharing..................       -0.67       -0.68       -1.25
    232009GSE Risk Sharing..................       -0.83       -0.89       -1.42
    232010FHA Full Insurance for Health Care
            Facilities (plus 241/232).......       -0.76       -2.42       -0.68
    232011Health Care Refinances............       -1.26       -0.91       -1.58
    232012Hospitals.........................       -1.76       -1.83       -2.66
    232013Other Rental (incl 207(mph), 220,
            231)............................       -0.73       -1.56       -1.82
    232014Section 234: Condominiums.........       -2.19       -1.49       -0.88
    232015Section 203(k): Rehabilitation
            Mortgages.......................       -1.12        0.31        1.89
    232016Home Equity Conversion Mortgages..       -1.74       -2.82        0.00
    232017Title 1 Property Improvement......        1.79        0.97        0.52
    232018Title 1 Manufactured Housing......        1.10        0.83        0.13
                                               ---------   ---------  ----------
    232999Weighted average subsidy rate.....       -1.74       -2.01       -1.94
        Guaranteed loan subsidy budget authority:
    233001Apartments NC/SC..................          -1          -4         -16
    233002221d3 NP/Coop owned apts..........           2           3           6
    233003Tax Credits NC....................         -30         -25         -35
    233005Apartments Refinance..............         -45         -40        -107
    233007Operating Loss Loans for Apts
            (plus 232)......................                                   1
    233008HFA Risk Sharing..................          -1          -1          -2
    233010FHA Full Insurance for Health Care
            Facilities (plus 241/232).......          -3         -10          -2
    233011Health Care Refinances............         -22         -20         -48
    233012Hospitals.........................         -17         -16         -24
    233013Other Rental (incl 207(mph), 220,
            231)............................          -1          -2          -6
    233014Section 234: Condominiums.........         -69         -48         -30
    233015Section 203(k): Rehabilitation
            Mortgages.......................          -5           1           8
    233016Home Equity Conversion Mortgages..        -313        -252
    233017Title 1 Property Improvement......           1
    233018Title 1 Manufactured Housing......                       1
                                               ---------   ---------  ----------
    233999Total subsidy budget authority....        -504        -413        -255
        Guaranteed loan subsidy outlays:
    234001Apartments NC/SC..................          -1          -3         -16
    234002221d3 NP/Coop owned apts..........           1           3           5
    234003Tax Credits NC....................         -30         -20         -35
    234005Apartments Refinance..............         -47         -30        -107
    234006241a Supplemental Loans for Apts..                                   1
    234008HFA Risk Sharing..................          -1          -1          -2
    234010FHA Full Insurance for Health Care
            Facilities (plus 241/232).......          -1         -10          -2
    234011Health Care Refinances............         -21         -17         -48
    234012Hospitals.........................          -7         -22         -24
    234013Other Rental (incl 207(mph), 220,
            231)............................          -1          -2          -6
    234014Section 234: Condominiums.........         -69         -48         -30
    234015Section 203(k): Rehabilitation
            Mortgages.......................          -5           1           8
    234016Home Equity Conversion Mortgages..        -313        -252
    234017Title 1 Property Improvement......           1
    234018Title 1 Manufactured Housing......           1           1
                                               ---------   ---------  ----------
    234999Total subsidy outlays.............        -493        -400        -256
        Guaranteed loan upward reestimates:
    235024General and Special Risk..........         361         109
                                               ---------   ---------  ----------
    235999Total upward reestimate budget
            authority.......................         361         109
        Guaranteed loan downward reestimates:
    237024General and Special Risk..........        -180      -1,746
                                               ---------   ---------  ----------
    237999Total downward reestimate subsidy
            budget authority................        -180      -1,746
    ----------------------------------------------------------------------------

        Administrative expense data:
    3510  Budget authority..................         297         308         300
    3580  Outlays from balances.............          40          12          17
    3590  General and Special Risk..........         248         292         285
    ---------------------------------------------------------------------------

        This account includes budget authority for insurance programs
    requiring positive credit subsidies, as well as for salaries and
    expenses and other administrative costs for all General and Special Risk
    Insurance Fund programs.

        As required by the Federal Credit Reform Act of 1990, this account
    records, for the single family, multifamily, hospital, and Title I
    insurance programs of FHA's General Insurance and Special Risk Insurance
    Funds, the subsidy costs associated with the loan guarantees committed
    or direct loans obligated in 1992 and thereafter (including
    modifications of loan guarantees or direct loans that resulted from
    obligations or commitments in any year), as well as administrative
    expenses of these programs. The subsidy amounts are estimated on a
    present value basis; the administrative expenses are accounted for on a
    cash basis.

        The Budget proposes to increase the FHA multifamily loan limit to
    account for geographic differences in construction costs and implements
    a modest administrative premium for multifamily loan guarantees to help
    offset taxpayer costs for loans to certain developments. The
    administrative premium will only apply to the 221d4 new construction/
    substantial rehabilitation program and the apartment refinancing
    program. The Budget also proposes a consolidation of FHA single-family
    programs under the Mutual Mortgage Insurance fund, which would shift
    several programs currently financed through this account, as reflected
    in separate schedules in this section.

                   Object Classification (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0200-0-1-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Direct obligations:
    25.1  Advisory and assistance services..          64          60          60
    25.2  Other services....................          11          11          11
    25.3  Other purchases of goods and
            services from Government
            accounts........................         229         229         229
    41.0  Grants, subsidies, and
            contributions...................         364         114          14
                                               ---------   ---------  ----------
    99.9    Total new obligations...........         668         414         314
    ---------------------------------------------------------------------------

                  FHA--General and Special Risk Program Account

                  (Legislative proposal, not subject to PAYGO)

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0200-2-1-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    00.02 Guaranteed loan subsidy...........                                  -8
                                               ---------   ---------  ----------

    [[Page 536]]

    10.00   Total new obligations (object
              class 41.0)...................                                  -8
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    23.95 Total new obligations.............                                   8
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........                                   8
    ----------------------------------------------------------------------------

        Change in obligated balances:
    73.10 Total new obligations.............                                  -8
    73.20 Total outlays (gross).............                                   8
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.93 Outlays from discretionary
            balances........................                                  -8
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................
    90.00 Outlays...........................                                  -8
    ---------------------------------------------------------------------------

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

    ----------------------------------------------------------------------------
    Identification code 86-0200-2-1-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Guaranteed loan levels supportable by subsidy
                    budget authority:
    215001Apartments NC/SC..................                                  63
    215005Apartments Refinance..............                                 189
    215014Section 234: Condominiums.........                              -3,419
    215015Section 203(k): Rehabilitation
            Mortgages.......................                                -446
    215022Standby Authority.................                               3,613
        Guaranteed loan subsidy (in percent):
    232014Section 234: Condominiums.........                                0.88
    232015Section 203(k): Rehabilitation
            Mortgages.......................                               -1.89
                                               ---------   ---------  ----------
    232999Weighted average subsidy rate.....                               -0.60
        Guaranteed loan subsidy budget authority:
    233001Apartments NC/SC..................                                  -1
    233005Apartments Refinance..............                                  -8
    233014Section 234: Condominiums.........                                  30
    233015Section 203(k): Rehabilitation
            Mortgages.......................                                  -8
                                               ---------   ---------  ----------
    233999Total subsidy budget authority....                                  13
        Guaranteed loan subsidy outlays:
    234001Apartments NC/SC..................                                  -1
    234005Apartments Refinance..............                                  -8
    234014Section 234: Condominiums.........                                  30
    234015Section 203(k): Rehabilitation
            Mortgages.......................                                  -8
                                               ---------   ---------  ----------
    234999Total subsidy outlays.............                                  13
    ---------------------------------------------------------------------------

         FHA--General and Special Risk Guaranteed Loan Financing Account

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4077-0-3-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Capital investment, claims and other
    00.01 Default claims....................         803       1,128       1,517
    00.02 Interest paid to Treasury.........         101          60          60
    00.03 Other capital investments and
            operating expenses..............          67          62          52
    00.09 Asset sale negative subsidy
            payment to the receipt account..           2
    00.14 Contract Costs....................          13          15          15
                                               ---------   ---------  ----------
    00.91   Direct Program by Activities--
              Subtotal (1 level)............         986       1,265       1,644
    08.01 Payment of negative subsidy to
            receipt account.................         507         408         267
    08.02 Downward subsidy rate reestimate..         118       1,360
    08.04 Interest on subsidy rate
            reestimates.....................          62         386
    08.05 Payment of Subsidy to receipt
            account for savings.............                      86          87
                                               ---------   ---------  ----------
    08.91   Direct Program by Activities--
              Subtotal (1 level)............         687       2,240         354
                                               ---------   ---------  ----------
    10.00   Total new obligations...........       1,673       3,505       1,998
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........       2,496       2,713         844
    22.00 New financing authority (gross)...       1,935       1,636       1,270
    22.10 Resources available from
            recoveries of prior year
            obligations.....................           5
    22.60 Portion applied to repay debt.....         -50
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......       4,386       4,349       2,114
    23.95 Total new obligations.............      -1,673      -3,505      -1,998
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........       2,713         844         116
    ----------------------------------------------------------------------------

        New financing authority (gross), detail:
          Mandatory:

    67.10   Authority to borrow.............         350         486         400
            Spending authority from
                offsetting collections:
    69.00     Offsetting collections (cash).       2,020       1,368       1,088
    69.10     Change in uncollected customer
                payments from Federal
                sources (unexpired).........         -45
    69.47     Portion applied to repay debt.        -390        -218        -218
                                               ---------   ---------  ----------
    69.90     Spending authority from
                offsetting collections
                (total mandatory)...........       1,585       1,150         870
                                               ---------   ---------  ----------
    70.00   Total new financing authority
              (gross).......................       1,935       1,636       1,270
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..         131         210         260
    73.10 Total new obligations.............       1,673       3,505       1,998
    73.20 Total financing disbursements
            (gross).........................      -1,634      -3,455      -1,801
    73.45 Recoveries of prior year
            obligations.....................          -5
    74.00 Change in uncollected customer
            payments from Federal sources
            (unexpired).....................          45
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..         210         260         457
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    87.00 Total financing disbursements
            (gross).........................       1,634       3,455       1,801
    ----------------------------------------------------------------------------

        Offsets:
          Against gross financing authority and
              financing disbursements:

            Offsetting collections (cash)
                from:
    88.00     Payments from program account.          -3          -5         -14
    88.00     Gross Proceeds from sale of
                mortgage notes (liquidating)          -2
    88.00     Subsidy reestimate from
                program account.............        -361        -109
    88.00     Federal Resources -Other......
    88.00     Payment from Liquidating Acct
                from legislative savings....                     -18         -18
    88.25     Interest on uninvested funds..        -187        -187        -187
    88.40     Fees and premiums.............        -839        -636        -453
    88.40     Recoveries on defaulted
                mortgages...................        -189          -4         -67
    88.40     Title I recoveries............         -17          -1          -1
    88.40     Single family property
                recoveries..................        -158        -336        -299
    88.40     Gross Proceeds from Mortgage
                Note Sales..................        -242         -46         -22
    88.40     Multifamily property
                recoveries..................                      -1          -2
    88.40     Non-Federal Resources-other...         -22         -25         -25
                                               ---------   ---------  ----------
    88.90     Total, offsetting collections
                (cash)......................      -2,020      -1,368      -1,088
          Against gross financing authority only:

    88.95   Change in receivables from
              program accounts..............          45
    ----------------------------------------------------------------------------

        Net financing authority and financing
            disbursements:
    89.00 Financing authority...............         -40         268         182
    90.00 Financing disbursements...........        -386       2,087         713
    ---------------------------------------------------------------------------

                 Status of Guaranteed Loans (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4077-0-3-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Position with respect to appropriations act
                    limitation on commitments:
    2111  Limitation on guaranteed loans
            made by private lenders.........      35,000      35,000      35,000
    2142  Uncommitted loan guarantee
            limitation......................      -6,298     -14,501     -21,873
                                               ---------   ---------  ----------
    2150    Total guaranteed loan
              commitments...................      28,702      20,499      13,127
    2199  Guaranteed amount of guaranteed
            loan commitments................      28,702      20,499      13,127
    ----------------------------------------------------------------------------

        Cumulative balance of guaranteed loans
                    outstanding:
    2210  Outstanding, start of year........      81,274      91,180      93,420
    2231  Disbursements of new guaranteed
            loans...........................      27,840      20,499      13,127
    2251  Repayments and prepayments........     -17,131     -17,131     -15,137
          Adjustments:

    2261    Terminations for default that
              result in loans receivable....        -557        -876      -1,220

    [[Page 537]]

    2262    Terminations for default that
              result in acquisition of
              property......................        -240        -249        -293
    2263    Terminations for default that
              result in claim payments......          -6          -3          -4
                                               ---------   ---------  ----------
    2290    Outstanding, end of year........      91,180      93,420      89,893
    ----------------------------------------------------------------------------

        Memorandum:
    2299  Guaranteed amount of guaranteed
            loans outstanding, end of year..      91,180      93,420      89,893
    ----------------------------------------------------------------------------

        Addendum:
          Cumulative balance of defaulted guaranteed
              loans that result in loans receivable:

    2310    Outstanding, start of year......         655         577       1,376
    2331    Disbursements for guaranteed
              loan claims...................         557         876       1,220
    2351    Repayments of loans receivable..        -403         -56         -94
    2361    Write-offs of loans receivable..        -232         -21         -19
                                               ---------   ---------  ----------
    2390      Outstanding, end of year......         577       1,376       2,483
    ---------------------------------------------------------------------------

        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 thereafter
    (including modifications of loan guarantees that resulted from
    commitments in any year) for FHA's General and Special Risk Insurance
    Fund programs. 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 86-4077-0-
    3-371

    2005 actual

    2006 actual

    -----------------------------------------------------------------------------------------------
        ASSETS:
          Federal assets:

    1101

    Fund balances with Treasury

    2,628

    2,924

            Investments in US securities:
    1106

    Receivables, net

    228

    109

          Non-Federal assets:

    1201

    Investments in non-Federal securities, net

    6

    2

    1206

    Receivables, net

    13

    10

          Net value of assets related to
              post-1991 acquired defaulted
              guaranteed loans receivable:

    1501

    Defaulted guaranteed loans receivable, gross

    655

    576

    1502

    Interest receivable

    60

    48

    1504

    Foreclosed property

    387

    350

    1505

    Allowance for subsidy cost

    -655

    -633

    1599

    Net value of assets related to defaulted guaranteed loan

    447

    341

    1901

    Other Federal assets: Other assets

    92

    23

    1999

    Total assets

    3,414

    3,409

        LIABILITIES:
          Federal liabilities:

    2101

    Accounts payable Intragovernmental

    297

    1,809

    2103

    Debt

    1,310

    1,230

    2105

    Other Federal Liabilities

    8

          Non-Federal liabilities:

    2201

    Accounts payable

    49

    21

    2202

    Interest payable

    15

    12

    2203

    Non Federal Debt

    48

    33

    2204

    Liabilities for loan guarantees

    1,564

    156

    2207

    Other

    131

    140

    2999

    Total liabilities

    3,414

    3,409

    4999

    Total liabilities and net position

    3,414

    3,409

    -----------------------------------------------------------------------------------------------

         FHA--General and Special Risk Guaranteed Loan Financing Account

                  (Legislative proposal, not subject to PAYGO)

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4077-2-3-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Capital investment, claims and other
    08.01 Payment of negative subsidy to
            receipt account.................                                 -21
                                               ---------   ---------  ----------
    10.00   Total new obligations...........                                 -21
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    22.00 New financing authority (gross)...                                  -8
    23.95 Total new obligations.............                                  21
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........                                  13
    ----------------------------------------------------------------------------

        New financing authority (gross), detail:
          Mandatory:

    69.00   Spending authority from
              offsetting collections:
              Offsetting collections (cash).                                  -8
    ----------------------------------------------------------------------------

        Change in obligated balances:
    73.10 Total new obligations.............                                 -21
    73.20 Total financing disbursements
            (gross).........................                                  21
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    87.00 Total financing disbursements
            (gross).........................                                 -21
    ----------------------------------------------------------------------------

        Offsets:
          Against gross financing authority and
              financing disbursements:

            Offsetting collections (cash)
                from:
    88.00     Payments from program account.                                   8
    88.00     Gross Proceeds from sale of
                mortgage notes (liquidating)
    88.00     Subsidy reestimate from
                program account.............
    88.00     Federal Resources -Other......
    88.00     Payment from Liquidating Acct
                from legislative savings....
                                               ---------   ---------  ----------
    88.90     Total, offsetting collections
                (cash)......................                                   8
    ----------------------------------------------------------------------------

        Net financing authority and financing
            disbursements:
    89.00 Financing authority...............
    90.00 Financing disbursements...........                                 -13
    ---------------------------------------------------------------------------

                 Status of Guaranteed Loans (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4077-2-3-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Position with respect to appropriations act
                    limitation on commitments:
    2111  Limitation on guaranteed loans
            made by private lenders.........
    2142  Uncommitted loan guarantee
            limitation......................                              -3,613
                                               ---------   ---------  ----------
    2150    Total guaranteed loan
              commitments...................                              -3,613
    2199  Guaranteed amount of guaranteed
            loan commitments................                              -3,613
    ----------------------------------------------------------------------------

        Cumulative balance of guaranteed loans
                    outstanding:
    2210  Outstanding, start of year........
    2231  Disbursements of new guaranteed
            loans...........................                              -3,613
    2251  Repayments and prepayments........
                                               ---------   ---------  ----------
    2290    Outstanding, end of year........                              -3,613
    ----------------------------------------------------------------------------

        Memorandum:
    2299  Guaranteed amount of guaranteed
            loans outstanding, end of year..                              -3,613
    ---------------------------------------------------------------------------

           FHA--General and Special Risk Direct Loan Financing Account

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4105-0-3-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    00.01 Direct loans......................                       1           1
                                               ---------   ---------  ----------
    10.00   Total new obligations...........                       1           1
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    22.00 New financing authority (gross)...                       1           1
    23.95 Total new obligations.............                      -1          -1
    ----------------------------------------------------------------------------

        New financing authority (gross), detail:
          Mandatory:

    67.10   Authority to borrow.............           1           1           1
            Spending authority from
                offsetting collections:

    [[Page 538]]

    69.00     Offsetting collections (cash).                       1           1
    69.47     Portion applied to repay debt.          -1          -1          -1
                                               ---------   ---------  ----------
    69.90     Spending authority from
                offsetting collections
                (total mandatory)...........          -1
                                               ---------   ---------  ----------
    70.00   Total new financing authority
              (gross).......................                       1           1
    ----------------------------------------------------------------------------

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

        Outlays (gross), detail:
    87.00 Total financing disbursements
            (gross).........................                       1           1
    ----------------------------------------------------------------------------

        Offsets:
          Against gross financing authority and
              financing disbursements:

            Offsetting collections (cash)
                from:
    88.40     Interest received on loans....
    88.40     Repayment of Principal........                      -1          -1
                                               ---------   ---------  ----------
    88.90     Total, offsetting collections
                (cash)......................                      -1          -1
    ----------------------------------------------------------------------------

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

                   Status of Direct Loans (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4105-0-3-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Position with respect to appropriations act
                    limitation on obligations:
    1111  Limitation on direct loans........          50          50          50
    1142  Unobligated direct loan limitation
            (-).............................         -50         -49         -49
                                               ---------   ---------  ----------
    1150    Total direct loan obligations...                       1           1
    ----------------------------------------------------------------------------

        Cumulative balance of direct loans
                    outstanding:
    1210  Outstanding, start of year........           2           2           2
    1231  Disbursements: Direct loan
            disbursements...................                       1           1
    1251  Repayments: Repayments and
            prepayments.....................                      -1          -1
                                               ---------   ---------  ----------
    1290    Outstanding, end of year........           2           2           2
    ---------------------------------------------------------------------------

        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 direct loans obligated in 1992 and thereafter (including
    loan modifications) for FHA's General Insurance and Special Risk
    Insurance Fund programs. 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.

        This schedule includes two direct loan programs. One provides bridge
    loan financing to facilitate the disposition of multifamily housing
    owned by the Department to non-profit organizations who agree to
    preserve it as affordable rental or cooperative housing. The second is a
    single-family direct loan program for purchase money mortgages, as
    discussed in the preceding section for the Mutual Mortgage Insurance
    Fund.

               FHA--Loan Guarantee Recovery Fund--Financing Account

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4106-0-3-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........           3           3           4
    22.00 New financing authority (gross)...                       1           1
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......           3           4           5
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........           3           4           5
    ----------------------------------------------------------------------------

        New financing authority (gross), detail:
          Mandatory:

    69.00   Spending authority from
              offsetting collections:
              Offsetting collections (cash).                       1           1
    ----------------------------------------------------------------------------

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

        Outlays (gross), detail:
    87.00 Total financing disbursements
            (gross).........................                       1           1
    ----------------------------------------------------------------------------

        Offsets:
          Against gross financing authority and
              financing disbursements:

    88.25   Offsetting collections (cash)
              from: Interest on uninvested
              funds.........................                      -1          -1
    ----------------------------------------------------------------------------

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

                 Status of Guaranteed Loans (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4106-0-3-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Position with respect to appropriations act
                    limitation on commitments:
    2111  Limitation on guaranteed loans
            made by private lenders.........
    2121  Limitation available from carry-
            forward.........................           2           2           2
    2143  Uncommitted limitation carried
            forward.........................          -2          -2          -2
                                               ---------   ---------  ----------
    2150    Total guaranteed loan
              commitments...................
    2199  Guaranteed amount of guaranteed
            loan commitments................
    ----------------------------------------------------------------------------

        Cumulative balance of guaranteed loans
                    outstanding:
    2210  Outstanding, start of year........           4           4           3
    2231  Disbursements of new guaranteed
            loans...........................
    2251  Repayments and prepayments........                      -1          -1
                                               ---------   ---------  ----------
    2290    Outstanding, end of year........           4           3           2
    ----------------------------------------------------------------------------

        Memorandum:
    2299  Guaranteed amount of guaranteed
            loans outstanding, end of year..           4           3           2
    ---------------------------------------------------------------------------

        Section 4 of the Church Arson Prevention Act of 1996 (P.L. 104-155),
    entitled ``Loan Guarantee Recovery Fund,'' authorizes the Secretary of
    Housing and Urban Development to guarantee loans made by financial
    institutions to assist certain nonprofit organizations that were damaged
    as a result of acts of arson or terrorism. One loan has been made since
    2004.

                                 Balance Sheet (in millions of dollars)

    -----------------------------------------------------------------------------------------------
    Identification code 86-4106-0-
    3-371

    2005 actual

    2006 actual

    -----------------------------------------------------------------------------------------------
        ASSETS:
    1101

    Federal assets: Fund balances with Treasury

    3

    3

    1999

    Total assets

    3

    3

        LIABILITIES:
    2204

    Non-Federal liabilities: Liabilities for loan guarantees

    3

    3

    2999

    Total liabilities

    3

    3

    4999

    Total liabilities and net position

    3

    3

    -----------------------------------------------------------------------------------------------

    [[Page 539]]

        FHA--General and Special Risk Insurance Funds Liquidating Account

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4072-0-3-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
          Operating expenses

    00.02   Interest on debentures..........          10          15          15
    00.03   Other operating costs...........                       3           3
    00.06   PAE & 3rd party restructuring
              fees..........................          36          21          12
                                               ---------   ---------  ----------
    00.91     Total operating expenses......          46          39          30
          Capital investment: Claims and other

    01.01   Acquisition of defaulted Title I
              notes.........................           1           1           1
    01.02   Assignment of mortgages.........          52         202         181
    01.03   Debenture Claims................           2
    01.04   Mark-To-Market Restructures.....         175         206          67
    01.05   Acquisition of real properties..           1           2           2
    01.10   Capitalized Expenses............           1          55          55
    01.11   Escrow Advances.................         137         100         100
    01.12   Upfront Grants..................          40
    01.13   Other...........................                      10          10
    01.14   M&M Contract....................           2           3           3
    01.16   Payment to the Financing
              Account-Asset Sale............           2
                                               ---------   ---------  ----------
    01.91     Total capital investment......         413         579         419
                                               ---------   ---------  ----------
    10.00   Total new obligations...........         459         618         449
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........          35         160
    22.00 New budget authority (gross)......         624         718         549
    22.10 Resources available from
            recoveries of prior year
            obligations.....................          28
    22.40 Capital transfer to general fund..         -35        -160
    22.60 Portion applied to repay debt.....         -33        -100        -100
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......         619         618         449
    23.95 Total new obligations.............        -459        -618        -449
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........         160
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Mandatory:

    60.00   Appropriation...................         183         413         201
    67.10   Authority to borrow.............           9         100         100
            Spending authority from
                offsetting collections:
    69.00     Offsetting collections (cash).         426         205         248
    69.10     Change in uncollected customer
                payments from Federal
                sources (unexpired).........           6
                                               ---------   ---------  ----------
    69.90     Spending authority from
                offsetting collections
                (total mandatory)...........         432         205         248
                                               ---------   ---------  ----------
    70.00   Total new budget authority
              (gross).......................         624         718         549
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..         607         558         635
    73.10 Total new obligations.............         459         618         449
    73.20 Total outlays (gross).............        -474        -541        -512
    73.45 Recoveries of prior year
            obligations.....................         -28
    74.00 Change in uncollected customer
            payments from Federal sources
            (unexpired).....................          -6
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..         558         635         572
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.97 Outlays from new mandatory
            authority.......................           1         200          98
    86.98 Outlays from mandatory balances...         473         341         414
                                               ---------   ---------  ----------
    87.00   Total outlays (gross)...........         474         541         512
    ----------------------------------------------------------------------------

        Offsets:
          Against gross budget authority and outlays:

            Offsetting collections (cash)
                from:
    88.40     Fees and premiums.............         -74         -73        -118
    88.40     Proceeds from sale of real
                property....................         -22         -20         -20
    88.40     Proceeds from sale of mortgage
                notes.......................          -6         -10         -10
    88.40     Recoveries on defaulted
                mortgages...................        -283         -47         -45
    88.40     Interest, dividends and
                revenue.....................         -40         -50         -50
    88.40     Other collections.............          -1          -5          -5
                                               ---------   ---------  ----------
    88.90     Total, offsetting collections
                (cash)......................        -426        -205        -248
          Against gross budget authority only:

    88.95   Change in uncollected customer
              payments from Federal sources
              (unexpired)...................          -6
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................         192         513         301
    90.00 Outlays...........................          48         336         264
    ----------------------------------------------------------------------------

        Memorandum (non-add) entries:
    92.01 Total investments, start of year:
            Federal securities: Par value...           4           6           6
    92.02 Total investments, end of year:
            Federal securities: Par value...           6           6           6
    ---------------------------------------------------------------------------

                   Status of Direct Loans (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4072-0-3-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Cumulative balance of direct loans
                    outstanding:
    1210  Outstanding, start of year........          15
    1251  Repayments: Repayments and
            prepayments.....................         -15
                                               ---------   ---------  ----------
    1290    Outstanding, end of year........
    ---------------------------------------------------------------------------

                 Status of Guaranteed Loans (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4072-0-3-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Cumulative balance of guaranteed loans
                    outstanding:
    2210  Outstanding, start of year........       8,457       6,475       5,726
    2251  Repayments and prepayments........      -1,751        -342        -303
          Adjustments:

    2261    Terminations for default that
              result in loans receivable....        -230        -405        -249
    2262    Terminations for default that
              result in acquisition of
              property......................          -1          -2          -1
                                               ---------   ---------  ----------
    2290    Outstanding, end of year........       6,475       5,726       5,173
    ----------------------------------------------------------------------------

        Memorandum:
    2299  Guaranteed amount of guaranteed
            loans outstanding, end of year..       6,475       5,366       4,811
    ----------------------------------------------------------------------------

        Addendum:
          Cumulative balance of defaulted guaranteed
              loans that result in loans receivable:

    2310    Outstanding, start of year......       2,983       2,988       3,360
    2331    Disbursements for guaranteed
              loan claims...................         230         409         249
    2351    Repayments of loans receivable..        -181         -33         -35
    2361    Write-offs of loans receivable..         -44          -4          -3
    2364    Other adjustments, net..........
                                               ---------   ---------  ----------
    2390      Outstanding, end of year......       2,988       3,360       3,571
    ---------------------------------------------------------------------------

        The General Insurance fund provides insurance for a large number of
    specialized mortgage insurance programs, including insurance of loans
    for property improvements, cooperatives, condominiums, nursing homes,
    rental housing and nonprofit hospitals.

        The Special Risk Insurance fund provides insurance on behalf of
    mortgagors who otherwise would not be eligible for mortgage insurance.
    In addition, the fund provides insurance on mortgages covering
    experimental housing where strict adherence to State or local building
    regulations is not observed.

        As required by the Federal Credit Reform Act of 1990, this account
    records, for this program, all cash flows to and from the Government
    resulting from loan guarantees committed and direct loans obligated
    prior to 1992. This account is shown on a cash basis. New insurance and
    direct loan activity in 1992 and thereafter in the GI/SRI programs are
    recorded in corresponding program (86-0200) and financing (86-4077 and
    86-4105) accounts.

         The Budget proposes to extend restructuring authorities under the
    Multifamily Assisted Housing Reform and Affordability Act of 1997 to the
    end of fiscal year 2011.

        Financial Condition.--The following tables reflect the revenues,
    expenses, and financial condition of the GI/SRI Liquidating Account
    based on Generally Accepted Accounting Principles.

    [[Page 540]]

                                 Balance Sheet (in millions of dollars)

    -----------------------------------------------------------------------------------------------
    Identification code 86-4072-0-
    3-371

    2005 actual

    2006 actual

    -----------------------------------------------------------------------------------------------
        ASSETS:
          Federal assets:

    1101

    Fund balances with Treasury

    638

    712

            Investments in US securities:
    1102

    Treasury securities, par

    4

    5

          Non-Federal assets:

    1201

    Investments in non-Federal securities, net

    3

    3

    1206

    Receivables, net

    59

    95

    1601

    Direct loans, gross

    15

    1699

    Value of assets related to direct loans

    15

    1701

    Defaulted guaranteed loans, gross

    2,983

    2,988

    1702

    Interest receivable

    143

    138

    1703

    Allowance for estimated uncollectible loans and interest (-)

    -851

    -823

    1704

    Defaulted guaranteed loans and interest receivable, net

    2,275

    2,303

    1706

    Foreclosed property

    8

    8

    1799

    Value of assets related to loan guarantees

    2,283

    2,311

    1901

    Other Federal assets: Other assets

    -12

    2

    1999

    Total assets

    2,990

    3,128

        LIABILITIES:
    2105

    Federal liabilities: Other Liabilities

    47

          Non-Federal liabilities:

    2201

    Accounts payable

    26

    15

    2202

    Interest payable

    14

    12

    2203

    Debt

    82

    62

    2204

    Liabilities for loan guarantees

    1,164

    447

    2207

    Unearned revenue and advances

    21

    292

    2999

    Total liabilities

    1,354

    828

        NET POSITION:
    3100

    Appropriated capital

    1,683

    765

    3300

    Cumulative results of operations

    -47

    1,535

    3999

    Total net position

    1,636

    2,300

    4999

    Total liabilities and net position

    2,990

    3,128

    -----------------------------------------------------------------------------------------------

                   Object Classification (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4072-0-3-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Direct obligations:
    25.2  Other services....................          38          37          28
    32.0  Land and structures...............          42          57          57
    33.0  Investments and loans.............         367         509         349
    43.0  Interest and dividends............          10          15          15
    44.0  Repayments to financing account...           2
                                               ---------   ---------  ----------
    99.9    Total new obligations...........         459         618         449
    ---------------------------------------------------------------------------

         Housing for the Elderly or Handicapped Fund Liquidating Account

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4115-0-3-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    00.02 Maintenance security and
            collateral......................           1          15          15
    01.01 Operating expenses: Interest on
            borrowings......................           5
                                               ---------   ---------  ----------
    10.00   Total new obligations...........           6          15          15
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........           2          73
    22.00 New budget authority (gross)......       1,515       1,200       1,200
    22.40 Capital transfer to general fund..      -1,199      -1,258      -1,185
    22.60 Portion applied to repay debt.....        -239
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......          79          15          15
    23.95 Total new obligations.............          -6         -15         -15
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........          73
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Mandatory:

    69.00   Spending authority from
              offsetting collections:
              Offsetting collections (cash).       1,515       1,200       1,200
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..          49           4           4
    73.10 Total new obligations.............           6          15          15
    73.20 Total outlays (gross).............         -51         -15         -15
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..           4           4           4
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.97 Outlays from new mandatory
            authority.......................          51          15          15
    ----------------------------------------------------------------------------

        Offsets:
          Against gross budget authority and outlays:

    88.40   Offsetting collections (cash)
              from: Non-Federal sources.....      -1,515      -1,200      -1,200
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................
    90.00 Outlays...........................      -1,464      -1,185      -1,185
    ---------------------------------------------------------------------------

                   Status of Direct Loans (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4115-0-3-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Cumulative balance of direct loans
                    outstanding:
    1210  Outstanding, start of year........       6,502       5,520       4,720
    1231  Disbursements: Direct loan
            disbursements...................
    1251  Repayments: Repayments and
            prepayments.....................        -984        -800        -750
    1264  Write-offs for default: Other
            adjustments, net................           2
                                               ---------   ---------  ----------
    1290    Outstanding, end of year........       5,520       4,720       3,970
    ---------------------------------------------------------------------------

        Note.--Amounts for direct loan obligations reflect reservations of
    section 202 funds. Loan obligations shown under the program and
    financing schedule reflect loans that have reached the initial closing
    stage of processing.

        The Housing for the Elderly or Handicapped Fund was established
    pursuant to section 202 of the Housing Act of 1959, as amended. The fund
    provided direct loans to nonprofit organizations building and managing
    housing projects for lower income persons who are elderly or disabled.

        Projects included an assured range of necessary services for the
    occupants of such projects. In addition, the section 8 lower income
    housing assistance payments program has been used in conjunction with
    the section 202 program. Applications under the two programs have been
    processed simultaneously.

        The data included in these schedules represent direct loan
    activities funded under the Housing for the Elderly or Handicapped Loan
    Fund. Further, activities in support of the needs of the elderly and
    disabled have been carried out under a grant program funded in the 1991
    Appropriations Act (P.L. 101-507) and authorized in the National
    Affordable Housing Act (P.L. 101-625).

        After April 1, 1992, all projects for which there were
    administrative reservations converted to the capital advance assistance
    program.

        The program and financing schedule for this account summarizes the
    Federal government's obligations for this loan program.

        Financing.--Repayments and interest income from loans continue to be
    available to pay for commitments of the fund.

                                 Balance Sheet (in millions of dollars)

    -----------------------------------------------------------------------------------------------
    Identification code 86-4115-0-
    3-371

    2005 actual

    2006 actual

    -----------------------------------------------------------------------------------------------
        ASSETS:
    1101

    Federal assets: Fund balances with Treasury

    51

    76

    1206

    Non-Federal assets: Interest Receivable: Public

    62

    1601

    Direct loans, gross

    6,502

    5,520

    1602

    Interest receivable

    70

    1603

    Allowance for estimated uncollectible loans and interest (-)

    -19

    -22

    1604

    Direct loans and interest receivable, net

    6,553

    5,498

    1606

    Acquired Real Property

    7

    1

    1699

    Value of assets related to direct loans

    6,560

    5,499

    [[Page 541]]

    1999

    Total assets

    6,611

    5,637

        LIABILITIES:
          Federal liabilities:

    2102

    Interest payable

    46

    2103

    Debt

    239

    2207

    Non-Federal liabilities: Other

    19

    28

    2999

    Total liabilities

    304

    28

        NET POSITION:
    3100

    Unexpended Appropriations

    18

    17

    3300

    Revolving Fund: Cumulative results of operations

    6,289

    5,592

    3999

    Total net position

    6,307

    5,609

    4999

    Total liabilities and net position

    6,611

    5,637

    -----------------------------------------------------------------------------------------------

                   Object Classification (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4115-0-3-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Direct obligations:
    32.0  Land and structures...............           1          15          15
    43.0  Interest and dividends............           5
                                               ---------   ---------  ----------
    99.9    Total new obligations...........           6          15          15
    ---------------------------------------------------------------------------

                                   Trust Funds

                       Manufactured Housing Fees Trust Fund

              Special and Trust Fund Receipts (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-8119-0-7-376      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
    01.00 Balance, start of year............
                                               ---------   ---------  ----------
    01.99 Balance, start of year............
        Receipts:
    02.00 Mobile home inspection and
            monitoring fees, Manufactured
            housing fee trust fund..........           9          10          16
                                               ---------   ---------  ----------
    04.00 Total: Balances and collections...           9          10          16
        Appropriations:
    05.00 Manufactured housing fees trust
            fund............................          -9         -10         -16
                                               ---------   ---------  ----------
    07.99 Balance, end of year..............
    ---------------------------------------------------------------------------

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-8119-0-7-376      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    00.01 Transfer to salaries and expenses.           1           2           2
    00.02 Other program costs...............           9          11          14
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 25.2)...................          10          13          16
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........           4           3
    22.00 New budget authority (gross)......           9          10          16
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......          13          13          16
    23.95 Total new obligations.............         -10         -13         -16
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........           3
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.26   Appropriation (trust fund)......           9          10          16
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..           1           2           3
    73.10 Total new obligations.............          10          13          16
    73.20 Total outlays (gross).............          -9         -12         -16
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..           2           3           3
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.90 Outlays from new discretionary
            authority.......................           5           8          13
    86.93 Outlays from discretionary
            balances........................           4           4           3
                                               ---------   ---------  ----------
    87.00   Total outlays (gross)...........           9          12          16
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................           9          10          16
    90.00 Outlays...........................           9          12          16
    ---------------------------------------------------------------------------

        The National Manufactured Housing Construction and Safety Standards
    Act of 1974, as amended by the Manufactured Housing Improvement Act of
    2000, authorizes development and enforcement of appropriate standards
    for the construction, design, and performance of manufactured homes to
    assure their quality, durability, affordability, and safety. All
    manufactured homes produced since the standards took effect on June 15,
    1976 must comply with Federal construction and safety standards. The
    States are actively encouraged to participate in the program under
    compliance plans approved by HUD. New program requirements mandated by
    the Manufactured Housing Improvement Act of 2000 include procurement of
    an Administering Organization, formation of a Consensus Committee to
    recommend revisions to and interpretations of the manufactured housing
    standards, development and implementation of standards for installation
    of manufactured housing, and development and implementation of a dispute
    resolution program.

        Fees are charged to the manufacturers for each manufactured home
    transportable section produced and to any dispute resolution and
    installation program participant. These fees will be used to fund the
    costs of all authorized activities necessary for the consensus
    committee, HUD, and its agents to carry out all aspects of the
    manufactured housing legislation. Fees are deposited in a trust fund
    administered by the Department, and a portion of the fee receipts are
    transferred to the salaries and expenses account to defray the direct
    administrative expenses of the program.

        The Manufactured Housing Improvement Act of 2000 created a
    Manufactured Housing Fees Trust Fund and made spending subject to
    appropriations. This account provides spending for activities formerly
    funded under Manufactured Home Inspection and Monitoring.

                    GOVERNMENT NATIONAL MORTGAGE ASSOCIATION

        The Housing and Urban Development Act of 1968 authorized the
    Government National Mortgage Association (Ginnie Mae) to guarantee the
    timely payment of principal and interest on privately issued securities
    that are backed by pools of FHA, Veterans Affairs (VA) and Rural Housing
    Service mortgages. The Ginnie Mae guarantee gives lenders access to the
    capital markets for funds to originate new loans. New FHA and VA loans
    are currently pooled into Ginnie Mae securities.

        Financing.--Ginnie Mae issuers are assessed commitment, guarantee
    and other fees to cover costs incurred by Ginnie Mae and to fund a
    reserve against possible future payments under the guarantee.

                                  Federal Funds

     Guarantees of Mortgage-Backed Securities Loan Guarantee Program Account

                          (including transfer of funds)

         New commitments to issue guarantees to carry out the purposes of
    section 306 of the National Housing Act, as amended (12 U.S.C. 1721(g)),
    shall not exceed $100,000,000,000, to remain available until September
    30, 2009.
         For administrative and contract expenses necessary to carry out the
    guaranteed mortgage-backed securities program, $54,000,000, to be
    derived from the GNMA guarantees of mortgage-backed securities
    guaranteed loan receipt account, of which not to exceed $54,000,000,
    shall be transferred to the appropriation for ``Salaries and Expenses'':
    Provided, That to the extent new guarantees of mortgage-backed
    securities exceed $43,000,000,000 on or before April 1, 2008, an
    additional $1,000 for administrative contract expenses shall be
    available for each $1,000,000 in additional guaranteed loan commitments
    (including a

    [[Page 542]]

    pro rata amount for any amount below $1,000,000), but in no case shall
    funds made available by this proviso exceed $14,000,000.

        Note.--A regular 2007 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. 109-289, Division B, as
    amended). The amounts included for 2007 in this budget reflect the
    levels provided by the continuing resolution.

              Special and Trust Fund Receipts (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0186-0-1-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
    01.00 Balance, start of year............       2,685       2,851       3,021
                                               ---------   ---------  ----------
    01.99 Balance, start of year............       2,685       2,851       3,021
        Receipts:
    02.20 GNMA-guarantees of mortgage backed
            securities guarantee loans,
            Negative subsidies..............         177         181         163
    02.21 GNMA-guarantees of mortgage backed
            securities guarantee loans,
            Negative subsidies--legislative
            proposal subject to PAYGO.......                                  46
                                               ---------   ---------  ----------
    02.99   Total receipts and collections..         177         181         209
                                               ---------   ---------  ----------
    04.00 Total: Balances and collections...       2,862       3,032       3,230
        Appropriations:
    05.00 Guarantees of mortgage-backed
            securities loan guarantee
            program account.................         -11         -11         -11
    05.01 Guarantees of mortgage-backed
            securities loan guarantee
            program account--legislative
            proposal not subject to PAYGO...                                 -43
                                               ---------   ---------  ----------
    05.99   Total appropriations............         -11         -11         -54
                                               ---------   ---------  ----------
    07.99 Balance, end of year..............       2,851       3,021       3,176
    ---------------------------------------------------------------------------

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0186-0-1-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    00.09 Administrative expenses, salaries
            and expenses....................          11          11          11
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 25.3)...................          11          11          11
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    22.00 New budget authority (gross)......          11          11          11
    23.95 Total new obligations.............         -11         -11         -11
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.20   Appropriation (special fund)....          11          11          11
    ----------------------------------------------------------------------------

        Change in obligated balances:
    73.10 Total new obligations.............          11          11          11
    73.20 Total outlays (gross).............         -11         -11         -11
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.90 Outlays from new discretionary
            authority.......................          11          11          11
    ----------------------------------------------------------------------------

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

                     Summary of Budget Authority and Outlays

                            (in millions of dollars)

                                         2006 actual  2007 est.   2008 est.
    Enacted/requested:
      Budget Authority............             11             11              11
      Outlays.....................             11             11              11
    Legislative proposal, not subject to
        PAYGO:
      Budget Authority............                                            43
      Outlays.....................                                            43

    Total:
      Budget Authority............             11             11              54
      Outlays.....................             11             11              54

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

    ----------------------------------------------------------------------------
    Identification code 86-0186-0-1-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Guaranteed loan levels supportable by subsidy
                    budget authority:
    215001Ginne Mae mortgage-backed
            securities......................      81,739      86,000      77,400
                                               ---------   ---------  ----------
    215999Total loan guarantee levels.......      81,739      86,000      77,400
        Guaranteed loan subsidy (in percent):
    232001Ginne Mae mortgage-backed
            securities......................       -0.23       -0.21       -0.21
                                               ---------   ---------  ----------
    232999Weighted average subsidy rate.....       -0.23       -0.21       -0.21
        Guaranteed loan subsidy budget authority:
    233001Ginne Mae mortgage-backed
            securities......................        -188        -181        -163
                                               ---------   ---------  ----------
    233999Total subsidy budget authority....        -188        -181        -163
        Guaranteed loan subsidy outlays:
    234001Ginne Mae mortgage-backed
            securities......................        -188        -181        -163
                                               ---------   ---------  ----------
    234999Total subsidy outlays.............        -188        -181        -163
    ----------------------------------------------------------------------------

        Administrative expense data:
    3510  Budget authority..................          11          11          11
    3590  Outlays from new authority........          11          11          11
    ---------------------------------------------------------------------------

        As required by the Federal Credit Reform Act of 1990, this account
    records the administrative expenses of this program. The administrative
    expenses are estimated on a cash basis.

     Guarantees of Mortgage-Backed Securities Loan Guarantee Program Account

                  (Legislative proposal, not subject to PAYGO)

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0186-2-1-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    00.09 Administrative expenses, salaries
            and expenses....................                                  43
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 25.3)...................                                  43
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    22.00 New budget authority (gross)......                                  43
    23.95 Total new obligations.............                                 -43
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.20   Appropriation (special fund)....                                  43
    ----------------------------------------------------------------------------

        Change in obligated balances:
    73.10 Total new obligations.............                                  43
    73.20 Total outlays (gross).............                                 -43
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.90 Outlays from new discretionary
            authority.......................                                  43
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................                                  43
    90.00 Outlays...........................                                  43
    ---------------------------------------------------------------------------

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

    ----------------------------------------------------------------------------
    Identification code 86-0186-2-1-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Administrative expense data:
    3510  Budget authority..................                                  43
    3590  Outlays from new authority........                                  43
    ---------------------------------------------------------------------------

        The Budget proposes to consolidate all administrative spending of
    the Government National Mortgage Association (GNMA) under this account.
    This will result in better oversight of spending, allow for more
    transparent analysis of spending and differentiate between
    administrative and credit transactions. As a result, spending will
    increase in this account and decrease in the GNMA Liquidating Account
    with no net effect on discretionary spending.

    [[Page 543]]

     Guarantees of mortgage-backed securities loan guarantee program account

                    (Legislative proposal, subject to PAYGO)

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

    ----------------------------------------------------------------------------
    Identification code 86-0186-4-1-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Guaranteed loan subsidy (in percent):
    232001Ginne Mae mortgage-backed
            securities......................                               -0.06
                                               ---------   ---------  ----------
    232999Weighted average subsidy rate.....                               -0.06
        Guaranteed loan subsidy budget authority:
    233001Ginne Mae mortgage-backed
            securities......................                                 -46
                                               ---------   ---------  ----------
    233999Total subsidy budget authority....                                 -46
        Guaranteed loan subsidy outlays:
    234001Ginne Mae mortgage-backed
            securities......................                                 -46
                                               ---------   ---------  ----------
    234999Total subsidy outlays.............                                 -46
    ---------------------------------------------------------------------------

         The Budget proposes to charge a six basis point upfront premium to
    cover the total cost of administrating GNMA. Legislation to authorize
    the premium will be transmitted early in 2007.

            Guarantees of Mortgage-Backed Securities Financing Account

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4240-0-3-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    00.03 Advances and other................          29          37          45
    00.04 Operating expenses................          14          15          15
                                               ---------   ---------  ----------
    00.91   Direct Program by Activities--
              Subtotal (1 level)............          43          52          60
    08.01 Payment to receipt account for
            negative subsidy................         177         181         163
                                               ---------   ---------  ----------
    10.00   Total new obligations...........         220         233         223
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........         965       1,142       1,302
    22.00 New financing authority (gross)...         397         393         396
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......       1,362       1,535       1,698
    23.95 Total new obligations.............        -220        -233        -223
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........       1,142       1,302       1,475
    ----------------------------------------------------------------------------

        New financing authority (gross), detail:
          Mandatory:

    69.00   Spending authority from
              offsetting collections:
              Offsetting collections (cash).         397         393         396
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..          51          53          60
    73.10 Total new obligations.............         220         233         223
    73.20 Total financing disbursements
            (gross).........................        -218        -226        -211
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..          53          60          72
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    87.00 Total financing disbursements
            (gross).........................         218         226         211
    ----------------------------------------------------------------------------

        Offsets:
          Against gross financing authority and
              financing disbursements:

            Offsetting collections (cash)
                from:
    88.25     Interest on uninvested funds..         -60         -63         -65
    88.40     Guarantee Fees................        -269        -256        -254
    88.40     Commitment and other fees.....         -23         -17         -18
    88.40     Multiclass fees...............         -13         -16         -17
    88.40     Repayment of advances.........         -25         -33         -34
    88.40     Servicing Fees................          -2          -2          -2
    88.40     Repayment on Mortgages........          -5          -6          -6
                                               ---------   ---------  ----------
    88.90     Total, offsetting collections
                (cash)......................        -397        -393        -396
    ----------------------------------------------------------------------------

        Net financing authority and financing
            disbursements:
    89.00 Financing authority...............
    90.00 Financing disbursements...........        -178        -167        -185
    ---------------------------------------------------------------------------

                 Status of Guaranteed Loans (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4240-0-3-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Position with respect to appropriations act
                    limitation on commitments:
    2111  Limitation on guaranteed loans
            made by private lenders.........     200,000     100,000     100,000
    2121  Limitation available from carry-
            forward.........................     178,467     200,000     100,000
    2142  Uncommitted loan guarantee
            limitation......................     -96,773    -114,000     -22,600
    2143  Uncommitted limitation carried
            forward.........................    -200,000    -100,000    -100,000
                                               ---------   ---------  ----------
    2150    Total guaranteed loan
              commitments...................      81,694      86,000      77,400
    2199  Guaranteed amount of guaranteed
            loan commitments................      81,694      86,000      77,400
    ----------------------------------------------------------------------------

        Cumulative balance of guaranteed loans
                    outstanding:
    2210  Outstanding, start of year........     412,304     409,908     414,312
    2231  Disbursements of new guaranteed
            loans...........................      81,694      86,000      73,882
    2251  Repayments and prepayments........     -84,090     -81,596     -77,349
                                               ---------   ---------  ----------
    2290    Outstanding, end of year........     409,908     414,312     410,845
    ----------------------------------------------------------------------------

        Memorandum:
    2299  Guaranteed amount of guaranteed
            loans outstanding, end of year..     409,908     414,312     410,845
    ---------------------------------------------------------------------------

                                 Balance Sheet (in millions of dollars)

    -----------------------------------------------------------------------------------------------
    Identification code 86-4240-0-
    3-371

    2005 actual

    2006 actual

    -----------------------------------------------------------------------------------------------
        ASSETS:
    1101

    Federal assets: Fund balances with Treasury

    1,016

    1,195

    1206

    Non-Federal assets: Receivables, net

    29

    26

          Net value of assets related to
              post-1991 direct loans
              receivable:

    1401

    Direct loans receivable, gross

    34

    1405

    Allowance for subsidy cost (-)

    -12

    1499

    Net present value of assets related to direct loans

    22

    1803

    Other Federal assets: Property, plant and equipment, net

    382

    363

    1999

    Total assets

    1,427

    1,606

        LIABILITIES:
          Non-Federal liabilities:

    2201

    Accounts payable

    92

    77

    2207

    Other

    353

    393

    2999

    Total liabilities

    445

    470

        NET POSITION:
    3300

    Cumulative results of operations

    982

    1,136

    3999

    Total net position

    982

    1,136

    4999

    Total liabilities and net position

    1,427

    1,606

    -----------------------------------------------------------------------------------------------

            Guarantees of Mortgage-Backed Securities Financing Account

                    (Legislative proposal, subject to PAYGO)

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4240-4-3-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    08.01 Payment to receipt account for
            negative subsidy................                                  46
                                               ---------   ---------  ----------
    10.00   Total new obligations...........                                  46
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    22.00 New financing authority (gross)...                                  46
    23.95 Total new obligations.............                                 -46
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........
    ----------------------------------------------------------------------------

        New financing authority (gross), detail:
          Mandatory:

    69.00   Spending authority from
              offsetting collections:
              Offsetting collections (cash).                                  46
    ----------------------------------------------------------------------------

        Change in obligated balances:
    73.10 Total new obligations.............                                  46
    73.20 Total financing disbursements
            (gross).........................                                 -46
                                               ---------   ---------  ----------

    [[Page 544]]

    74.40   Obligated balance, end of year..
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    87.00 Total financing disbursements
            (gross).........................                                  46
    ----------------------------------------------------------------------------

        Offsets:
          Against gross financing authority and
              financing disbursements:

    88.40   Offsetting collections (cash)
              from: Guarantee Fees..........                                 -46
    ----------------------------------------------------------------------------

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

           Guarantees of Mortgage-Backed Securities Liquidating Account

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4238-0-3-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    00.01 Administrative contract expenses..          41          43          43
          Operating expenses

    00.03   Servicing expenses..............           2           3           3
                                               ---------   ---------  ----------
    00.91     Total operating expenses......          43          46          46
          Capital investment

    01.01   Advances of guaranty payments...           3          30          30
                                               ---------   ---------  ----------
    10.00   Total new obligations...........          46          76          76
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........       7,919       8,365       8,833
    22.00 New budget authority (gross)......         492         544         549
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......       8,411       8,909       9,382
    23.95 Total new obligations.............         -46         -76         -76
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........       8,365       8,833       9,306
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Mandatory:

    60.00   Appropriation...................                      43          43
    69.00   Spending authority from
              offsetting collections:
              Offsetting collections (cash).         492         501         506
                                               ---------   ---------  ----------
    70.00   Total new budget authority
              (gross).......................         492         544         549
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..          -8         -21        -111
    73.10 Total new obligations.............          46          76          76
    73.20 Total outlays (gross).............         -59        -166        -129
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..         -21        -111        -164
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.97 Outlays from new mandatory
            authority.......................          46          86          86
    86.98 Outlays from mandatory balances...          13          80          43
                                               ---------   ---------  ----------
    87.00   Total outlays (gross)...........          59         166         129
    ----------------------------------------------------------------------------

        Offsets:
          Against gross budget authority and outlays:

            Offsetting collections (cash)
                from:
    88.20     Interest on Federal securities        -488        -493        -498
    88.40     Repayments of guaranteed
                payments....................          -6          -6          -6
    88.40     Servicing income..............
    88.40     Repayments on mortgages.......           2          -2          -2
                                               ---------   ---------  ----------
    88.90     Total, offsetting collections
                (cash)......................        -492        -501        -506
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................                      43          43
    90.00 Outlays...........................        -433        -335        -377
    ----------------------------------------------------------------------------

        Memorandum (non-add) entries:
    92.01 Total investments, start of year:
            Federal securities: Par value...       7,949       8,386       8,721
    92.02 Total investments, end of year:
            Federal securities: Par value...       8,386       8,721       9,070
    ---------------------------------------------------------------------------

                     Summary of Budget Authority and Outlays

                            (in millions of dollars)

                                         2006 actual  2007 est.   2008 est.
    Enacted/requested:
      Budget Authority............                            43              43
      Outlays.....................           -433           -335            -377
    Legislative proposal, not subject to
        PAYGO:
      Budget Authority............                                           -43
      Outlays.....................                                           -43

    Total:
      Budget Authority............                            43
      Outlays.....................           -433           -335            -420

                   Status of Direct Loans (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4238-0-3-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Cumulative balance of direct loans
                    outstanding:
    1210  Outstanding, start of year........          10           7           7
    1232  Disbursements: Purchase of loans
            assets from the public..........           3          30          30
    1252  Repayments: Proceeds from loan
            asset sales to the public or
            discounted......................          -2          -6          -6
    1263  Write-offs for default: Direct
            loans...........................          -4         -24         -20
                                               ---------   ---------  ----------
    1290    Outstanding, end of year........           7           7          11
    ---------------------------------------------------------------------------

                 Status of Guaranteed Loans (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4238-0-3-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Cumulative balance of guaranteed loans
                    outstanding:
    2210  Outstanding, start of year........          82          67          53
    2251  Repayments and prepayments........         -15         -14         -14
                                               ---------   ---------  ----------
    2290    Outstanding, end of year........          67          53          39
    ----------------------------------------------------------------------------

        Memorandum:
    2299  Guaranteed amount of guaranteed
            loans outstanding, end of year..          67          53          39
    ---------------------------------------------------------------------------

                                 Balance Sheet (in millions of dollars)

    -----------------------------------------------------------------------------------------------
    Identification code 86-4238-0-
    3-371

    2005 actual

    2006 actual

    -----------------------------------------------------------------------------------------------
        ASSETS:
          Federal assets:

            Investments in US securities:
    1102

    Treasury securities, par

    7,921

    8,358

    1106

    Receivables, net

    50

    56

    1206

    Non-Federal assets: Receivables, net

    11

    10

    1601

    Direct loans, gross

    10

    8

    1603

    Allowance for estimated uncollectible loans and interest (-)

    -9

    -7

    1699

    Value of assets related to direct loans

    1

    1

    1999

    Total assets

    7,983

    8,425

        LIABILITIES:
          Non-Federal liabilities:

    2201

    Accounts payable

    42

    35

    2207

    Other

    509

    509

    2999

    Total liabilities

    551

    544

        NET POSITION:
    3300

    Cumulative results of operations

    7,432

    7,881

    3999

    Total net position

    7,432

    7,881

    4999

    Total liabilities and net position

    7,983

    8,425

    -----------------------------------------------------------------------------------------------

                   Object Classification (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4238-0-3-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Direct obligations:
    25.2  Other services....................          43          46          46
    33.0  Investments and loans.............           3          30          30
                                               ---------   ---------  ----------

    [[Page 545]]

    99.9    Total new obligations...........          46          76          76
    ---------------------------------------------------------------------------

          Guarantees of Mortgage-Backed Securities Liquidating Account

                  (Legislative proposal, not subject to PAYGO)

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4238-2-3-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    00.01 Administrative contract expenses..                                 -43
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 25.2)...................                                 -43
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    22.00 New budget authority (gross)......                                 -43
    23.95 Total new obligations.............                                  43
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.00   Appropriation...................                                 -43
    ----------------------------------------------------------------------------

        Change in obligated balances:
    73.10 Total new obligations.............                                 -43
    73.20 Total outlays (gross).............                                  43
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.90 Outlays from new discretionary
            authority.......................                                 -43
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................                                 -43
    90.00 Outlays...........................                                 -43
    ---------------------------------------------------------------------------

                         POLICY DEVELOPMENT AND RESEARCH

                                  Federal Funds

                             Research and Technology

         For contracts, grants, and necessary expenses of programs of
    research and studies relating to housing and urban problems, not
    otherwise provided for, as authorized by title V of the Housing and
    Urban Development Act of 1970, as amended (12 U.S.C. 1701z-1 et seq.),
    including carrying out the functions of the Secretary under section
    1(a)(1)(i) of Reorganization Plan No. 2 of 1968, $65,040,000, to remain
    available until September 30, 2009: Provided, That of the funds made
    available under this heading, $25,340,000 is for grants pursuant to
    section 107 of the Housing and Community Development Act of 1974 (the
    ``1974 Act''), as amended, as follows: $2,825,000 to support Alaska
    Native serving institutions and Native Hawaiian serving institutions as
    defined under the Higher Education Act (the ``HEA''), as amended (20
    U.S.C. 1059(d)), of which up to $100,000 may be used for technical
    assistance; $2,449,000 for tribal colleges and universities as defined
    under the HEA (20 U.S.C. 1059(c)), to build, expand, renovate, and equip
    their facilities and to expand the role of the colleges into the
    community through the provision of needed services such as health
    programs, job training and economic development activities, of which up
    to $100,000 may be used for technical assistance; $8,476,000 for the
    Historically Black Colleges and Universities program as authorized in
    section 107(b)(3) of the 1974 Act, of which up to $990,000 may be used
    for technical assistance; $5,650,000 for Hispanic serving institutions
    as defined under the HEA (20 U.S.C. 1101(a)), of which up to $100,000
    may be used for technical assistance; and $5,940,000 for the Community
    Outreach Partnership Center Program as authorized in section
    107(a)(1)(I) of the 1974 Act, of which up to $500,000 may be used for
    technical assistance, training, and a program information clearinghouse:
    Provided further, That activities for the Partnership for Advancing
    Technology in Housing Initiative shall be administered by the Office of
    Policy Development and Research.

        Note.--A regular 2007 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. 109-289, Division B, as
    amended). The amounts included for 2007 in this budget reflect the
    levels provided by the continuing resolution.

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0108-0-1-451      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    00.01 Housing Research..................          29          22          40
    00.02 PATH..............................           3           6
    00.03 National Research Council.........           1
    00.04 University Programs...............                      31          25
                                               ---------   ---------  ----------
    10.00   Total new obligations...........          33          59          65
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........           4          26
    22.00 New budget authority (gross)......          55          33          65
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......          59          59          65
    23.95 Total new obligations.............         -33         -59         -65
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........          26
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.00   Appropriation...................          56          33          65
    40.35   Appropriation permanently
              reduced.......................          -1
                                               ---------   ---------  ----------
    43.00     Appropriation (total
                discretionary)..............          55          33          65
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..          34          25          41
    73.10 Total new obligations.............          33          59          65
    73.20 Total outlays (gross).............         -41         -43         -52
    73.40 Adjustments in expired accounts
            (net)...........................          -1
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..          25          41          54
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.90 Outlays from new discretionary
            authority.......................          20          13          26
    86.93 Outlays from discretionary
            balances........................          21          30          26
                                               ---------   ---------  ----------
    87.00   Total outlays (gross)...........          41          43          52
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................          55          33          65
    90.00 Outlays...........................          41          43          52
    ---------------------------------------------------------------------------

        The Housing and Urban Development Act of 1970 directs the Secretary
    to undertake programs of research, studies, testing, and demonstrations
    related to the HUD mission. These functions are carried out internally
    and through contracts with industry, nonprofit research organizations,
    and educational institutions, and through agreements with State and
    local governments and other Federal agencies.

        In 2008, the research program includes funds for program evaluations
    and for work related to the removal of barriers to affordable housing.
    National housing surveys will continue in 2008. Set-aside funds are not
    requested for the Partnership for Advancing Technology (PATH) program in
    2008, but PATH will remain an eligible activity under the Research and
    Technology account and will be administered by the Office of Policy
    Development and Research. Research and evaluation activities will
    support the Department in carrying out its responsibilities under the
    Government Performance and Results Act.

        As in 2006 and 2007, the University Partnership Programs will be
    funded from the Research and Technology account. These grants, pursuant
    to Section 107 of the Housing and Community Development Act of 1974,
    were funded prior to 2006 under the Community Development Block Grant
    account. These programs were and will continue to be administered by the
    Office of Policy Development and Research. The University Partnership
    Programs provide grants to colleges and universities to help form
    partnerships with the communities in which they are located, with
    resources used for various development and revitalization activities.
    The University Partnership Programs include the following: Alaska Native
    and Native Hawaiian Serving Institutions program, Tribal Colleges and
    University program, Historically Black Colleges

    [[Page 546]]

    and Universities program, Community Outreach Partnerships program, and
    the Hispanic Serving Institutions program.

                   Object Classification (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0108-0-1-451      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Direct obligations:
    25.2  Other services....................          31          32          36
    41.0  Grants, subsidies, and
            contributions...................           2          27          29
                                               ---------   ---------  ----------
    99.9    Total new obligations...........          33          59          65
    ---------------------------------------------------------------------------

                       FAIR HOUSING AND EQUAL OPPORTUNITY

                                  Federal Funds

                             Fair Housing Activities

         For contracts, grants, and other assistance, not otherwise provided
    for, as authorized by title VIII of the Civil Rights Act of 1968, as
    amended by the Fair Housing Amendments Act of 1988, and section 561 of
    the Housing and Community Development Act of 1987, as amended,
    $45,000,000, to remain available until September 30, 2009, of which
    $20,180,000 shall be to carry out activities pursuant to such section
    561: Provided, That notwithstanding 31 U.S.C. 3302, the Secretary may
    assess and collect fees to cover the costs of the Fair Housing Training
    Academy, and may use such funds to provide such training: Provided
    further, That no funds made available under this heading shall be used
    to lobby the executive or legislative branches of the Federal Government
    in connection with a specific contract, grant or loan.

        Note.--A regular 2007 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. 109-289, Division B, as
    amended). The amounts included for 2007 in this budget reflect the
    levels provided by the continuing resolution.

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0144-0-1-751      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    00.01 Fair housing assistance...........          30          26          26
    00.02 Fair housing initiatives..........          20          21          20
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 41.0)...................          50          47          46
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........          10           7           5
    22.00 New budget authority (gross)......          46          45          45
    22.10 Resources available from
            recoveries of prior year
            obligations.....................           1
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......          57          52          50
    23.95 Total new obligations.............         -50         -47         -46
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........           7           5           4
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.00   Appropriation...................          46          45          45
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..          61          62          63
    73.10 Total new obligations.............          50          47          46
    73.20 Total outlays (gross).............         -47         -46         -45
    73.40 Adjustments in expired accounts
            (net)...........................          -1
    73.45 Recoveries of prior year
            obligations.....................          -1
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..          62          63          64
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.90 Outlays from new discretionary
            authority.......................           4           3           3
    86.93 Outlays from discretionary
            balances........................          43          43          42
                                               ---------   ---------  ----------
    87.00   Total outlays (gross)...........          47          46          45
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................          46          45          45
    90.00 Outlays...........................          47          46          45
    ---------------------------------------------------------------------------

        The Budget proposes $45 million for fair housing activities to
    support efforts to end housing discrimination. Of the amount requested,
    $24.8 million is for the Fair Housing Assistance Program (FHAP) and
    $20.2 million is for the Fair Housing Initiatives Program (FHIP).

        The Fair Housing Assistance Program (FHAP), authorized by Title VIII
    of the Civil Rights Act of 1968 as amended, provides funding to State
    and local agencies to assure prompt and effective processing of Title
    VIII (Civil Rights Act of 1968) complaints. The funding requested for
    FHAP will support fair housing enforcement by funding State and local
    fair housing organizations to meet the needs of currently underserved
    populations. It will also address the persistent high rate of
    discrimination against minorities as identified by HUD's 2000 Housing
    Discrimination Study. It is estimated that in 2008 there will be two new
    State and local agencies with laws equivalent to the Fair Housing Act,
    increasing the total number to 111 agencies.

        The Fair Housing Initiatives Program (FHIP), authorized by the
    Housing and Community Development Act of 1987, as amended by the Housing
    and Community Development Act of 1992, provides funding to States and
    local governments, and public and private non-profit organizations that
    carry out programs to prevent or eliminate discriminatory housing
    practices. FHIP also provides funding to programs or activities designed
    to enforce the rights granted by title VIII of the Civil Rights Act of
    1968, or substantially equivalent State and local fair housing laws. In
    addition, FHIP supports funding for education and outreach programs
    designed to inform the public concerning rights and obligations under
    these laws.

                 OFFICE OF LEAD HAZARD CONTROL AND HEALTHY HOMES

                                  Federal Funds

                              Lead Hazard Reduction

         For the Lead Hazard Reduction Program, as authorized by section
    1011 of the Residential Lead-Based Paint Hazard Reduction Act of 1992,
    $116,000,000, to remain available until September 30, 2009, of which no
    less than $8,800,000 shall be for the Healthy Homes Initiative, pursuant
    to sections 501 and 502 of the Housing and Urban Development Act of 1970
    that shall include research, studies, testing, and demonstration
    efforts, including education and outreach concerning lead-based paint
    poisoning and other housing-related diseases and hazards: Provided, That
    of the unobligated balances remaining under this heading due to
    undersubscription under competitive Notices of Funding Availability, not
    to exceed $10,000,000 may be used for Operation Lead Elimination Action
    Program (LEAP) and the Lead Hazard Demonstration Program, combined:
    Provided further, That any remaining unobligated balances may be used
    under this heading. Provided further, That for purposes of environmental
    review, pursuant to the National Environmental Policy Act of 1969 (42
    U.S.C. 4321 et seq.) and other provisions of law that further the
    purposes of such Act, a grant under the Healthy Homes Initiative, LEAP,
    or the Lead Technical Studies program under this heading or under prior
    appropriations Acts for such purposes under this heading, shall be
    considered to be funds for a special project for purposes of section
    305(c) of the Multifamily Housing Property Disposition Reform Act of
    1994.

        Note.--A regular 2007 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. 109-289, Division B, as
    amended). The amounts included for 2007 in this budget reflect the
    levels provided by the continuing resolution.

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0174-0-1-451      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    00.01 Lead abatement....................         155         175         175
                                               ---------   ---------  ----------
    10.00   Total new obligations (object
              class 41.0)...................         155         175         175
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........         159         150         125

    [[Page 547]]

    22.00 New budget authority (gross)......         150         150         116
    22.10 Resources available from
            recoveries of prior year
            obligations.....................           2
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......         311         300         241
    23.95 Total new obligations.............        -155        -175        -175
    23.98 Unobligated balance expiring or
            withdrawn.......................          -6
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........         150         125          66
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.00   Appropriation...................         152         150         116
    40.35   Appropriation permanently
              reduced.......................          -2
                                               ---------   ---------  ----------
    43.00     Appropriation (total
                discretionary)..............         150         150         116
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..         313         342         376
    73.10 Total new obligations.............         155         175         175
    73.20 Total outlays (gross).............        -120        -141        -154
    73.40 Adjustments in expired accounts
            (net)...........................          -4
    73.45 Recoveries of prior year
            obligations.....................          -2
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..         342         376         397
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.90 Outlays from new discretionary
            authority.......................                       3           2
    86.93 Outlays from discretionary
            balances........................         120         138         152
                                               ---------   ---------  ----------
    87.00   Total outlays (gross)...........         120         141         154
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................         150         150         116
    90.00 Outlays...........................         120         141         154
    ---------------------------------------------------------------------------

        Title X of the Housing and Community Development Act of 1992 (Public
    Law 102-550), known as the Residential Lead-Based Paint Hazard Reduction
    Act, authorized the Secretary to establish the Lead-Based Paint Hazard
    Control Grant Program. The primary purpose of the program is to reduce
    the exposure of young children to lead-based paint and other
    environmental hazards in their homes.

        The program is a major part of a 10-year strategy to eliminate lead
    poisoning in children. The 2008 Budget includes $92.6 million for HUD's
    Lead Hazard Control Program competitive grants and $2.8 million for
    operation LEAP. The Technical Support Program is funded at $8.8 million
    and the Healthy Homes Initiative is funded at $11.8 million. Operation
    LEAP funds will be used to leverage other private and public sector
    resources for the lead hazard control program. The budget includes a
    provision that would allow the transfer of unobligated balances from
    undersubscribed competitive programs to other competitive programs
    experiencing oversubscription.

        The Lead Hazard Control Grant Program provides grants of $1 million
    to $2.5 million to State and local governments and Indian tribes for
    control of lead-based paint hazards in low-income rental and owner-
    occupied housing. The grants are also designed to stimulate the
    development of a housing maintenance and rehabilitation workforce
    trained in lead-safe work practices and a certified hazard evaluation
    and control industry. In awarding grants, HUD promotes the use of new,
    low-cost approaches to hazard control that can be replicated across the
    nation. Newly-established programmatic efficiency measures, such as
    mitigation cost estimates, will help HUD determine best practices and
    maximize resources.

        The Healthy Homes Initiative will enable the Department to assess
    and control housing-related hazards that contribute to childhood
    diseases and injuries. The initiative will demonstrate and evaluate
    methods for controlling two or more housing-related diseases through a
    single intervention. A public education/outreach effort designed to
    enable the public to prevent children's exposure to hazards will also be
    conducted through a competitive grant process.

        The Office of Healthy Homes and Lead Hazard Control will continue
    its Technical Support program, which will include public education;
    technical assistance for State and local agencies, private property
    owners, HUD programs and field offices and professional organizations;
    quality control to ensure that the evaluation and control of lead-based
    paint hazards is done properly in HUD-assisted housing; and development
    of standards, technical guidance, regulations and improved testing and
    hazard control methods.

                          MANAGEMENT AND ADMINISTRATION

                                  Federal Funds

                              Salaries and Expenses

                          (including transfer of funds)

         For necessary administrative and non-administrative expenses of the
    Department of Housing and Urban Development, not otherwise provided for,
    including purchase of uniforms, or allowances therefore, as authorized
    by 5 U.S.C. 5901-5902; hire of passenger motor vehicles; services as
    authorized by 5 U.S.C. 3109; and not to exceed $25,000 for official
    reception and representation expenses, $1,222,000,000, of which
    $556,776,000 shall be provided from the various funds of the Federal
    Housing Administration, $10,700,000 shall be provided from funds of the
    Government National Mortgage Association, $148,500 shall be provided by
    transfer from the ``Native American housing block grants'' account,
    $247,500 shall be provided by transfer from the ``Indian housing loan
    guarantee fund program'' account, and $34,650 shall be transferred from
    the ``Native Hawaiian housing loan guarantee fund'' account: Provided,
    That up to $15,000,000 may be transferred to the Working Capital Fund:
    Provided further, That no official or employee of the Department shall
    be designated as an allotment holder unless the Office of the Chief
    Financial Officer (OCFO) has determined that such allotment holder has
    implemented an adequate system of funds control and has received
    training in funds control procedures and directives: Provided further,
    That the Chief Financial Officer shall establish positive control of and
    maintain adequate systems of accounting for appropriations and other
    available funds as required by 31 U.S.C. 1514: Provided further, That
    for purposes of funds control and determining whether a violation exists
    under the Anti-Deficiency Act (31 U.S.C. 1341 et seq.), the point of
    obligation shall be the executed agreement or contract, except with
    respect to insurance and guarantee programs, certain types of salaries
    and expenses funding, and incremental funding that is authorized under
    an executed agreement or contract, and shall be designated in the
    approved funds control plan: Provided further, That the Chief Financial
    Officer shall: (1) appoint qualified personnel to conduct investigations
    of potential or actual violations; (2) establish minimum training
    requirements and other qualifications for personnel that may be
    appointed to conduct investigations; (3) establish guidelines and
    timeframes for the conduct and completion of investigations; (4)
    prescribe the content, format and other requirements for the submission
    of final reports on violations; and (5) prescribe such additional
    policies and procedures as may be required for conducting investigations
    of, and administering, processing, and reporting on, potential and
    actual violations of the Anti-Deficiency Act and all other statutes and
    regulations governing the obligation and expenditure of funds made
    available in this or any other Act.

        Note.--A regular 2007 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. 109-289, Division B, as
    amended). The amounts included for 2007 in this budget reflect the
    levels provided by the continuing resolution.

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0143-0-1-999      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Direct program:
    00.01 Housing, mortgage credit,
            regulatory and energy
            conservation....................         255         225         278
    00.02 Community planning and development
            programs........................          46          46          53
    00.03 Equal opportunity and research
            programs........................          46          48          56
    00.04 Departmental management, legal and
            audit services..................          51          64          64
    00.05 Field direction and administration         172         120         203
    09.01 Reimbursable program..............         568         568         568
                                               ---------   ---------  ----------
    09.99 Total reimbursable program........         568         568         568
                                               ---------   ---------  ----------
    10.00 Total new obligations.............       1,138       1,071       1,222
    ----------------------------------------------------------------------------

    [[Page 548]]

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........                      10
    22.00 New budget authority (gross)......       1,158       1,061       1,222
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......       1,158       1,071       1,222
    23.95 Total new obligations.............      -1,138      -1,071      -1,222
    23.98 Unobligated balance expiring or
            withdrawn.......................         -10
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........          10
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.00   Appropriation...................         579         493         654
    40.35   Appropriation permanently
              reduced.......................          -6
    42.00   Transferred from other accounts.          12
                                               ---------   ---------  ----------
    43.00     Appropriation (total
                discretionary)..............         585         493         654
    58.00   Spending authority from
              offsetting collections:
              Offsetting collections (cash).         573         568         568
                                               ---------   ---------  ----------
    70.00   Total new budget authority
              (gross).......................       1,158       1,061       1,222
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..         116         138         120
    73.10 Total new obligations.............       1,138       1,071       1,222
    73.20 Total outlays (gross).............      -1,108      -1,089      -1,190
    73.40 Adjustments in expired accounts
            (net)...........................          -8
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..         138         120         152
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.90 Outlays from new discretionary
            authority.......................         992         948       1,072
    86.93 Outlays from discretionary
            balances........................         116         141         118
                                               ---------   ---------  ----------
    87.00   Total outlays (gross)...........       1,108       1,089       1,190
    ----------------------------------------------------------------------------

        Offsets:
          Against gross budget authority and outlays:

    88.00   Offsetting collections (cash)
              from: Federal sources.........        -573        -568        -568
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................         585         493         654
    90.00 Outlays...........................         535         521         622
    ---------------------------------------------------------------------------

        This appropriation finances salaries and related costs associated
    with administering the programs of the Department of Housing and Urban
    Development, including: housing and mortgage credit programs; community
    planning and development programs; equal opportunity, research,
    regulatory and insurance programs; departmental management, overhead and
    other non-personnel expenses; legal services; and, field direction and
    administration.

                   Object Classification (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0143-0-1-999      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
          Direct obligations:

            Personnel compensation:
    11.1      Full-time permanent...........         356         338         392
    11.3      Other than full-time permanent           4           4           6
    11.5      Other personnel compensation..           7           8           9
                                               ---------   ---------  ----------
    11.9      Total personnel compensation..         367         350         407
    12.1    Civilian personnel benefits.....          92          80         122
    21.0    Travel and transportation of
              persons.......................           8           6          10
    23.1    Rental payments to GSA..........          52          40          55
    23.3    Communications, utilities, and
              miscellaneous charges.........          14           8          13
    24.0    Printing and reproduction.......           2           2           2
    25.1    Advisory and assistance services          25           8          31
    25.2    Other services..................           1           1           3
    25.4    Operation and maintenance of
              facilities....................           4           3           3
    25.7    Operation and maintenance of
              equipment.....................                       1           2
    26.0    Supplies and materials..........           2           2           2
    31.0    Equipment.......................           2           1           3
    42.0    Insurance claims and indemnities                       1           1
                                               ---------   ---------  ----------
    99.0      Direct obligations............         569         503         654
    99.0  Reimbursable obligations..........         569         568         568
                                               ---------   ---------  ----------
    99.9    Total new obligations...........       1,138       1,071       1,222
    ---------------------------------------------------------------------------

                                 Employment Summary

    ----------------------------------------------------------------------------
    Identification code 86-0143-0-1-999      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Direct:
    1001  Civilian full-time equivalent
            employment......................       4,247       4,027       4,281
        Reimbursable:
    2001  Civilian full-time equivalent
            employment......................       4,207       3,991       4,319
    ---------------------------------------------------------------------------

                           Office of Inspector General

                          (including transfer of funds)

         For necessary expenses of the Office of Inspector General in
    carrying out the Inspector General Act of 1978, as amended,
    $112,000,000, of which $23,760,000 shall be provided by transfer from
    the various funds of the Federal Housing Administration.

        Note.--A regular 2007 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. 109-289, Division B, as
    amended). The amounts included for 2007 in this budget reflect the
    levels provided by the continuing resolution.

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0189-0-1-451      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    00.01 Direct program....................          82          83          90
    09.01 Reimbursable program..............          24          24          24
                                               ---------   ---------  ----------
    10.00   Total new obligations...........         106         107         114
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........                       8           6
    22.00 New budget authority (gross)......         114         105         112
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......         114         113         118
    23.95 Total new obligations.............        -106        -107        -114
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........           8           6           4
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.00   Appropriation...................          82          81          88
    40.35   Appropriation permanently
              reduced.......................          -1
    42.00   Transferred from other accounts.           9
                                               ---------   ---------  ----------
    43.00     Appropriation (total
                discretionary)..............          90          81          88
    58.00   Spending authority from
              offsetting collections:
              Offsetting collections (cash).          24          24          24
                                               ---------   ---------  ----------
    70.00   Total new budget authority
              (gross).......................         114         105         112
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..          16          15          19
    73.10 Total new obligations.............         106         107         114
    73.20 Total outlays (gross).............        -107        -103        -113
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..          15          19          20
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.90 Outlays from new discretionary
            authority.......................          95          86          92
    86.93 Outlays from discretionary
            balances........................          12          17          21
                                               ---------   ---------  ----------
    87.00   Total outlays (gross)...........         107         103         113
    ----------------------------------------------------------------------------

        Offsets:
          Against gross budget authority and outlays:

    88.00   Offsetting collections (cash)
              from: Federal sources.........         -24         -24         -24
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................          90          81          88
    90.00 Outlays...........................          83          79          89
    ---------------------------------------------------------------------------

        This appropriation provides agency wide audit and investigative
    functions to identify and correct management and

    [[Page 549]]

    administrative deficiencies that create conditions for existing or
    potential instances of fraud, waste and mismanagement. The audit
    function provides internal audit and contract audit. Internal audits
    review and evaluate all facets of agency operations. The investigative
    function provides for the detection and investigation of improper and
    illegal activities involving programs, personnel, and operations.

                   Object Classification (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-0189-0-1-451      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
          Direct obligations:

            Personnel compensation:
    11.1      Full-time permanent...........          45          45          49
    11.5      Other personnel compensation..           4           4           4
                                               ---------   ---------  ----------
    11.9      Total personnel compensation..          49          49          53
    12.1    Civilian personnel benefits.....          11          11          11
    21.0    Travel and transportation of
              persons.......................           3           4           5
    23.1    Rental payments to GSA..........           6           6           6
    25.1    Advisory and assistance services          12          12          14
    25.2    Other services..................           1           1           1
                                               ---------   ---------  ----------
    99.0      Direct obligations............          82          83          90
    99.0  Reimbursable obligations..........          24          24          24
                                               ---------   ---------  ----------
    99.9    Total new obligations...........         106         107         114
    ---------------------------------------------------------------------------

                                 Employment Summary

    ----------------------------------------------------------------------------
    Identification code 86-0189-0-1-451      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Direct:
    1001  Civilian full-time equivalent
            employment......................         498         488         508
        Reimbursable:
    2001  Civilian full-time equivalent
            employment......................         148         145         142
    ---------------------------------------------------------------------------

                                  GSE Regulation

                    (Legislative proposal, subject to PAYGO)

        Government-sponsored enterprise (GSE) regulation. Upon enactment of
    the Budget proposal for a strengthened regulator for GSEs, the cost of
    HUD's responsibilities under the Federal Housing Enterprise Safety and
    Soundness Act of 1992, and amendments as proposed, would be assessed on
    Fannie Mae and Freddie Mac. These responsibilities include the
    establishment and enforcement of affordable housing goals for the GSEs,
    ensuring GSE compliance with fair housing laws, and providing
    consultation to the safety and soundness regulator on the GSEs' new
    activities.

                  Office of Federal Housing Enterprise Oversight

                              salaries and expenses

                          (including transfer of funds)

              Special and Trust Fund Receipts (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-5272-0-2-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
    01.00 Balance, start of year............
                                               ---------   ---------  ----------
    01.99 Balance, start of year............
        Receipts:
    02.00 Office of Federal Housing
            Enterprise Oversight............          60          60          66
    02.01 Office of Federal Housing
            Enterprise Oversight--
            legislative proposal not subject
            to PAYGO........................                                 -66
                                               ---------   ---------  ----------
    02.99   Total receipts and collections..          60          60
                                               ---------   ---------  ----------
    04.00 Total: Balances and collections...          60          60
        Appropriations:
    05.00 Office of Federal Housing
            Enterprise Oversight............         -60         -60         -66
    05.01 Office of Federal Housing
            Enterprise Oversight--
            legislative proposal not subject
            to PAYGO........................                                  66
                                               ---------   ---------  ----------
    05.99   Total appropriations............         -60         -60
                                               ---------   ---------  ----------
    07.99 Balance, end of year..............
    ---------------------------------------------------------------------------

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-5272-0-2-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    00.01 Direct program....................          61          60          66
                                               ---------   ---------  ----------
    10.00   Total new obligations...........          61          60          66
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    22.00 New budget authority (gross)......          60          60          66
    22.10 Resources available from
            recoveries of prior year
            obligations.....................           1
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......          61          60          66
    23.95 Total new obligations.............         -61         -60         -66
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.20   Appropriation (special fund)....          60          60          66
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..          24          22          22
    73.10 Total new obligations.............          61          60          66
    73.20 Total outlays (gross).............         -62         -60         -64
    73.45 Recoveries of prior year
            obligations.....................          -1
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..          22          22          24
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.90 Outlays from new discretionary
            authority.......................          44          52          56
    86.93 Outlays from discretionary
            balances........................          18           8           8
                                               ---------   ---------  ----------
    87.00   Total outlays (gross)...........          62          60          64
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................          60          60          66
    90.00 Outlays...........................          62          60          64
    ---------------------------------------------------------------------------

                     Summary of Budget Authority and Outlays

                            (in millions of dollars)

                                         2006 actual  2007 est.   2008 est.
    Enacted/requested:
      Budget Authority............             60             60              66
      Outlays.....................             62             60              64
    Legislative proposal, not subject to
        PAYGO:
      Budget Authority............                                           -66
      Outlays.....................                                           -56

    Total:
      Budget Authority............             60             60
      Outlays.....................             62             60               8

        The Office of Federal Housing Enterprise Oversight (OFHEO) was
    authorized in the Federal Housing Enterprise Safety and Soundness Act of
    1992. OFHEO was established in 1992 to regulate the financial safety and
    soundness of two housing Government-sponsored enterprises (GSEs)--Fannie
    Mae and Freddie Mac. OFHEO is required to ensure that the GSEs meet
    capital standards, and to conduct onsite annual examinations at the GSEs
    for the purpose for ensuring their financial safety and soundness.

                   Object Classification (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-5272-0-2-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Direct obligations:
    11.1  Personnel compensation: Personnel
            Compensation....................          28          31          36
    12.1  Civilian personnel benefits.......           7           9          10
    21.0  Travel and transportation of
            persons.........................                       1           1
    23.2  Rental payments to others.........           1           1           1
    23.3  Communications, utilities, and
            miscellaneous charges...........           1           1           1
    25.2  Other services....................          17          12          13
    31.0  Equipment.........................           5           4           3
                                               ---------   ---------  ----------
    99.0    Direct obligations..............          59          59          65
    99.5  Below reporting threshold.........           2           1           1
                                               ---------   ---------  ----------
    99.9    Total new obligations...........          61          60          66
    ---------------------------------------------------------------------------

    [[Page 550]]

                                 Employment Summary

    ----------------------------------------------------------------------------
    Identification code 86-5272-0-2-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Direct:
    1001  Civilian full-time equivalent
            employment......................         225         229         259
    ---------------------------------------------------------------------------

                  Office of Federal Housing Enterprise Oversight

                  (Legislative proposal, not subject to PAYGO)

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-5272-2-2-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    00.01 Direct program....................                                 -66
                                               ---------   ---------  ----------
    10.00   Total new obligations...........                                 -66
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    22.00 New budget authority (gross)......                                 -66
    23.95 Total new obligations.............                                  66
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.20   Appropriation (special fund)....                                 -66
    ----------------------------------------------------------------------------

        Change in obligated balances:
    73.10 Total new obligations.............                                 -66
    73.20 Total outlays (gross).............                                  56
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..                                 -10
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.90 Outlays from new discretionary
            authority.......................                                 -56
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................                                 -66
    90.00 Outlays...........................                                 -56
    ---------------------------------------------------------------------------

        The Budget proposes a new strengthened housing GSE regulator as an
    independent agency. All OFHEO resources would be transferred to it. The
    Administration continues to support direct funding of these activities
    with mandatory assessments on Fannie Mae and Freddie Mac.

                   Object Classification (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-5272-2-2-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Direct obligations:
    11.1  Personnel compensation: Personnel
            Compensation....................                                 -36
    12.1  Civilian personnel benefits.......                                 -10
    21.0  Travel and transportation of
            persons.........................                                  -1
    23.2  Rental payments to others.........                                  -1
    23.3  Communications, utilities, and
            miscellaneous charges...........                                  -1
    25.2  Other services....................                                 -13
    31.0  Equipment.........................                                  -3
                                               ---------   ---------  ----------
    99.0    Direct obligations..............                                 -65
    99.5  Below reporting threshold.........                                  -1
                                               ---------   ---------  ----------
    99.9    Total new obligations...........                                 -66
    ---------------------------------------------------------------------------

                                 Employment Summary

    ----------------------------------------------------------------------------
    Identification code 86-5272-2-2-371      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Direct:
    1001  Civilian full-time equivalent
            employment......................                                -259
    ---------------------------------------------------------------------------

                               Working Capital Fund

         For additional capital for the Working Capital Fund (42 U.S.C.
    3535) for the development of, modifications to, and infrastructure for
    Department-wide information technology systems, for the continuing
    operation and maintenance of both Department-wide and program-specific
    information systems, and for program-related development activities,
    $220,000,000, to remain available until September 30, 2009: Provided,
    That any amounts transferred to this Fund under this Act shall remain
    available until expended: Provided further, That any amounts transferred
    to this Fund from amounts appropriated by previously enacted
    appropriations Acts or from within this Act may be used only for the
    purposes specified under this Fund.

        Note.--A regular 2007 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. 109-289, Division B, as
    amended). The amounts included for 2007 in this budget reflect the
    levels provided by the continuing resolution.

                   Program and Financing (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4586-0-4-451      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Obligations by program activity:
    00.01 Direct program activity...........         199         185         220
    09.01 Reimbursable program..............          58          65          80
                                               ---------   ---------  ----------
    10.00   Total new obligations...........         257         250         300
    ----------------------------------------------------------------------------

        Budgetary resources available for obligation:
    21.40 Unobligated balance carried
            forward, start of year..........          21          41          53
    22.00 New budget authority (gross)......         259         250         300
    22.10 Resources available from
            recoveries of prior year
            obligations.....................          19          12          12
                                               ---------   ---------  ----------
    23.90   Total budgetary resources
              available for obligation......         299         303         365
    23.95 Total new obligations.............        -257        -250        -300
    23.98 Unobligated balance expiring or
            withdrawn.......................          -1
                                               ---------   ---------  ----------
    24.40   Unobligated balance carried
              forward, end of year..........          41          53          65
    ----------------------------------------------------------------------------

        New budget authority (gross), detail:
          Discretionary:

    40.00   Appropriation...................         197         181         220
    40.35   Appropriation permanently
              reduced.......................          -2
    42.00   Transferred from other accounts.           6
                                               ---------   ---------  ----------
    43.00     Appropriation (total
                discretionary)..............         201         181         220
            Spending authority from
                offsetting collections:
    58.00     Offsetting collections (cash).          51          69          80
    58.10     Change in uncollected customer
                payments from Federal
                sources (unexpired).........           7
                                               ---------   ---------  ----------
    58.90     Spending authority from
                offsetting collections
                (total discretionary).......          58          69          80
                                               ---------   ---------  ----------
    70.00   Total new budget authority
              (gross).......................         259         250         300
    ----------------------------------------------------------------------------

        Change in obligated balances:
    72.40 Obligated balance, start of year..         257         191         119
    73.10 Total new obligations.............         257         250         300
    73.20 Total outlays (gross).............        -297        -310        -342
    73.45 Recoveries of prior year
            obligations.....................         -19         -12         -12
    74.00 Change in uncollected customer
            payments from Federal sources
            (unexpired).....................          -7
                                               ---------   ---------  ----------
    74.40   Obligated balance, end of year..         191         119          65
    ----------------------------------------------------------------------------

        Outlays (gross), detail:
    86.90 Outlays from new discretionary
            authority.......................         118         174         209
    86.93 Outlays from discretionary
            balances........................         179         136         133
                                               ---------   ---------  ----------
    87.00   Total outlays (gross)...........         297         310         342
    ----------------------------------------------------------------------------

        Offsets:
          Against gross budget authority and outlays:

    88.00   Offsetting collections (cash)
              from: Federal sources.........         -51         -69         -80
          Against gross budget authority only:

    88.95   Change in uncollected customer
              payments from Federal sources
              (unexpired)...................          -7
    ----------------------------------------------------------------------------

        Net budget authority and outlays:
    89.00 Budget authority..................         201         181         220
    90.00 Outlays...........................         246         241         262
    ---------------------------------------------------------------------------

        The Working Capital Fund (WCF), authorized by the Department of
    Housing and Urban Development Act of 1965, finances the core business
    functions of the Department. The WCF provides funding for the operation,
    maintenance, and modernization of IT systems in support of disaster
    relief, FHA Mortgage Insurance, housing assistance, Departmental grants

    [[Page 551]]

    programs, and key financial and general operations. The Budget requests
    a direct appropriation of $220 million for IT business operations,
    infrastructure, and 280 personnel. An additional $80 million in program
    transfers are also requested to develop, modify, and enhance systems
    that benefit specific programs.

                   Object Classification (in millions of dollars)

    ----------------------------------------------------------------------------
    Identification code 86-4586-0-4-451      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
          Direct obligations:

    11.1    Personnel compensation: Full-
              time permanent................          30          33          33
    12.1    Civilian personnel benefits.....           8           9           9
    21.0    Travel and transportation of
              persons.......................           1           2           2
    23.3    Communications, utilities, and
              miscellaneous charges.........           1           5           5
    25.1    Advisory and assistance services         152         125         160
    26.0    Supplies and materials..........           5           1           1
    31.0    Equipment.......................           2          10          10
                                               ---------   ---------  ----------
    99.0      Direct obligations............         199         185         220
          Reimbursable obligations:

    25.1    Advisory and assistance services          58          65          80
                                               ---------   ---------  ----------
    99.0  Reimbursable obligations..........          58          65          80
                                               ---------   ---------  ----------
    99.9    Total new obligations...........         257         250         300
    ---------------------------------------------------------------------------

                                 Employment Summary

    ----------------------------------------------------------------------------
    Identification code 86-4586-0-4-451      2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
        Direct:
    1001  Civilian full-time equivalent
            employment......................         307         314         280
    ---------------------------------------------------------------------------

                         GENERAL FUND RECEIPT ACCOUNTS

                               (in millions of dollars)

    ----------------------------------------------------------------------------
                                             2006 actual   2007 est.   2008 est.
    ----------------------------------------------------------------------------
    Offsetting receipts from the public:
      86-143500  General fund proprietary
        interest receipts, not otherwise
        classified..........................                       2           2
      86-246900  Government-sponsored
        enterprises oversight fee...........                                   6
      86-271910  FHA-general and special
        risk, Negative subsidies............         497         483         354
    Legislative proposal, not subject to
     PAYGO..................................                                 -21
      86-271930  FHA-general and special
        risk, Downward reestimates of
        subsidies...........................         180       1,746
      86-274330  Indian housing loan
        guarantees, Downward reestimates of
        subsidies...........................           1           1
      86-276230  Title VI indian loan
        guarantee downward reestimate.......           2           7
      86-277330  Community development loan
        guarantees, Downward reestimates....           6           5
      86-322000  All other general fund
        proprietary receipts including
        budget cleating accounts............           1          18          18
    General Fund Offsetting receipts from
     the public.............................         687       2,262         359
    ----------------------------------------------------------------------------

    Intragovernmental payments:.............
      86-388510  Undistributed
        intragovernmental payments..........           9           7           7
                                               ---------   ---------  ----------
    General Fund Intragovernmental payments.           9           7           7
    ---------------------------------------------------------------------------

                            Administrative Provisions

        Sec. 301.  Fifty percent of the amounts of budget authority, or in
    lieu thereof 50 percent of the cash amounts associated with such budget
    authority, that are recaptured from projects described in section
    1012(a) of the Stewart B. McKinney Homeless Assistance Amendments Act of
    1988 (42 U.S.C. 1437 note) shall be cancelled, or in the case of cash,
    shall be remitted to the Treasury, and such amounts of budget authority
    or cash recaptured and not cancelled or remitted to the Treasury shall
    be used by State housing finance agencies or local governments or local
    housing agencies with projects approved by the Secretary of Housing and
    Urban Development for which settlement occurred after January 1, 1992,
    in accordance with such section. Notwithstanding the previous sentence,
    the Secretary may award up to 15 percent of the budget authority or cash
    recaptured and not cancelled or remitted to the Treasury to provide
    project owners with incentives to refinance their project at a lower
    interest rate.
        Sec. 302.  None of the amounts made available under this Act may be
    used during fiscal year 2008 to investigate or prosecute under the Fair
    Housing Act any otherwise lawful activity engaged in by one or more
    persons, including the filing or maintaining of a non-frivolous legal
    action, that is engaged in solely for the purpose of achieving or
    preventing action by a Government official or entity, or a court of
    competent jurisdiction.
        Sec. 303. (a) Notwithstanding section 854(c)(1)(A) of the AIDS
    Housing Opportunity Act (42 U.S.C. 12903(c)(1)(A)), from any amounts
    made available under this title for fiscal year 2008 that are allocated
    under such section, the Secretary of Housing and Urban Development shall
    allocate and make a grant, in the amount determined under subsection
    (b), for any State that--
            (1) received an allocation in a prior fiscal year under clause
        (ii) of such section; and
            (2) is not otherwise eligible for an allocation for fiscal year
        2008 under such clause (ii) because the areas in the State outside
        of the metropolitan statistical areas that qualify under clause (i)
        in fiscal year 2008 do not have the number of cases of acquired
        immunodeficiency syndrome (AIDS) required under such clause.
        (b) The amount of the allocation and grant for any State described
    in subsection (a) shall be an amount based on the cumulative number of
    AIDS cases in the areas of that State that are outside of metropolitan
    statistical areas that qualify under clause (i) of such section
    854(c)(1)(A) in fiscal year 2008, in proportion to AIDS cases among
    cities and States that qualify under clauses (i) and (ii) of such
    section and States deemed eligible under subsection (a).
        (c) Notwithstanding any other provision of law, the amount allocated
    for fiscal year 2008 under section 854(c) of the AIDS Housing
    Opportunity Act (42 U.S.C. 12903(c)), to the City of New York, New York,
    on behalf of the New York-Wayne-White Plains, New York-New Jersey
    Metropolitan Division (hereafter ``metropolitan division'') of the New
    York-Newark-Edison, NY-NJ-PA Metropolitan Statistical Area, shall be
    adjusted by the Secretary of Housing and Urban Development by: (1)
    allocating to the City of Jersey City, New Jersey, the proportion of the
    metropolitan area's or division's amount that is based on the number of
    cases of AIDS reported in the portion of the metropolitan area or
    division that is located in Hudson County, New Jersey, and adjusting for
    the proportion of the metropolitan division's high incidence bonus if
    this area in New Jersey also has a higher than average per capita
    incidence of AIDS; and (2) allocating to the City of Paterson, New
    Jersey, the proportion of the metropolitan area's or division's amount
    that is based on the number of cases of AIDS reported in the portion of
    the metropolitan area or division that is located in Bergen County and
    Passaic County, New Jersey, and adjusting for the proportion of the
    metropolitan division's high incidence bonus if this area in New Jersey
    also has a higher than average per capita incidence of AIDS. The
    recipient cities shall use amounts allocated under this subsection to
    carry out eligible activities under section 855 of the AIDS Housing
    Opportunity Act (42 U.S.C. 12904) in their respective portions of the
    metropolitan division that is located in New Jersey.
        (d) Notwithstanding any other provision of law, the amount allocated
    for fiscal year 2008 under section 854(c) of the AIDS Housing
    Opportunity Act (42 U.S.C. 12903(c)) to areas with a higher than average
    per capita incidence of AIDS, shall be adjusted by the Secretary on the
    basis of area incidence reported over a three year period.
        Sec. 304. (a) During fiscal year 2008, in the provision of rental
    assistance under section 8(o) of the United States Housing Act of 1937
    (42 U.S.C. 1437f(o)) in connection with a program to demonstrate the
    economy and effectiveness of providing such assistance for use in
    assisted living facilities that is carried out in the counties of the
    State of Michigan notwithstanding paragraphs (3) and (18)(B)(iii) of
    such section 8(o), a family residing in an assisted living facility in
    any such county, on behalf of which a public housing agency provides
    assistance pursuant to section 8(o)(18) of such Act, may be required, at
    the time the family initially receives such assistance, to pay rent in
    an amount exceeding 40 percent of the monthly adjusted income of the
    family by such a percentage or amount as the Secretary of Housing and
    Urban Development determines to be appropriate.
        Sec. 305.  Except as explicitly provided in law, any grant,
    cooperative agreement or other assistance made pursuant to title III of
    this Act shall be made on a competitive basis and in accordance with

    [[Page 552]]

    section 102 of the Department of Housing and Urban Development Reform
    Act of 1989.
        Sec. 306.  Corporations and agencies of the Department of Housing
    and Urban Development which are subject to the Government Corporation
    Control Act, as amended, are hereby authorized to make such
    expenditures, within the limits of funds and borrowing authority
    available to each such corporation or agency and in accordance with law,
    and to make such contracts and commitments without regard to fiscal year
    limitations as provided by section 104 of such Act as may be necessary
    in carrying out the programs set forth in the budget for 2008 for such
    corporation or agency except as hereinafter provided: Provided, That
    collections of these corporations and agencies may be used for new loan
    or mortgage purchase commitments only to the extent expressly provided
    for in this Act (unless such loans are in support of other forms of
    assistance provided for in this or prior appropriations Acts), except
    that this proviso shall not apply to the mortgage insurance or guaranty
    operations of these corporations, or where loans or mortgage purchases
    are necessary to protect the financial interest of the United States
    Government.
        Sec. 307. (a) Notwithstanding any other provision of law, the amount
    allocated for fiscal year 2008 under section 854(c) of the AIDS Housing
    Opportunity Act (42 U.S.C. 12903(c)), to the City of Wilmington,
    Delaware, on behalf of the Wilmington, Delaware-Maryland-New Jersey
    Metropolitan Division (hereafter ``metropolitan division''), shall be
    adjusted by the Secretary of Housing and Urban Development by allocating
    to the State of New Jersey the proportion of the metropolitan division's
    amount that is based on the number of cases of AIDS reported in the
    portion of the metropolitan division that is located in New Jersey, and
    adjusting for the proportion of the metropolitan division's high
    incidence bonus if this area in New Jersey also has a higher than
    average per capita incidence of AIDS. The State of New Jersey shall use
    amounts allocated to the State under this subsection to carry out
    eligible activities under section 855 of the AIDS Housing Opportunity
    Act (42 U.S.C. 12904) in the portion of the metropolitan division that
    is located in New Jersey.
        (b) Notwithstanding any other provision of law, the Secretary of
    Housing and Urban Development shall allocate to Wake County, North
    Carolina, the amounts that otherwise would be allocated for fiscal year
    2008 under section 854(c) of the AIDS Housing Opportunity Act (42 U.S.C.
    12903(c)) to the City of Raleigh, North Carolina, on behalf of the
    Raleigh-Cary, North Carolina Metropolitan Statistical Area. Any amounts
    allocated to Wake County shall be used to carry out eligible activities
    under section 855 of such Act (42 U.S.C. 12904) within such metropolitan
    statistical area.
        (c) Notwithstanding section 854(c) of the AIDS Housing Opportunity
    Act (42 U.S.C. 12903(c)), the Secretary of Housing and Urban Development
    may adjust the allocation of the amounts that otherwise would be
    allocated for fiscal year 2007 under section 854(c) of such Act, upon
    the written request of an applicant, in conjunction with the State(s),
    for a formula allocation on behalf of a metropolitan statistical area,
    to designate the State or States in which the metropolitan statistical
    area is located as the eligible grantee(s) of the allocation. In the
    case that a metropolitan statistical area involves more than one State,
    such amounts allocated to each State shall be in proportion to the
    number of cases of AIDS reported in the portion of the metropolitan
    statistical area located in that State. Any amounts allocated to a State
    under this section shall be used to carry out eligible activities within
    the portion of the metropolitan statistical area located in that State.
        Sec. 308. Incremental vouchers previously made available under the
    heading ``Housing Certificate Fund'' or renewed under the heading,
    ``Tenant-Based Rental Assistance,'' for non-elderly disabled families
    shall, to the extent practicable, continue to be provided to non-elderly
    disabled families upon turnover.
        Sec. 309.  A public housing agency or such other entity that
    administers Federal housing assistance in the States of Alaska, Iowa,
    and Mississippi shall not be required to include a resident of public
    housing or a recipient of assistance provided under section 8 of the
    United States Housing Act of 1937 on the board of directors or a similar
    governing board of such agency or entity as required under section
    (2)(b) of such Act. Each public housing agency or other entity that
    administers Federal housing assistance under section 8 in the States of
    Alaska, Iowa and Mississippi shall establish an advisory board of not
    less than 6 residents of public housing or recipients of section 8
    assistance to provide advice and comment to the public housing agency or
    other administering entity on issues related to public housing and
    section 8. Such advisory board shall meet not less than quarterly.
        Sec. 310.  Incremental vouchers previously made available under the
    heading, ``Housing Certificate Fund'' or renewed under the heading,
    ``Tenant-Based Rental Assistance'', for family unification shall, to the
    extent practicable, continue to be provided for family unification.
        Sec. 311. (a) No assistance shall be provided under section 8 of the
    United States Housing Act of 1937 (42 U.S.C. 1437f) to any individual
    who--
            (1) is enrolled as a student at an institution of higher
        education (as defined under section 102 of the Higher Education Act
        of 1965 (20 U.S.C. 1002));
            (2) is under 24 years of age;
            (3) is not a veteran;
            (4) is unmarried;
            (5) does not have a dependent child;
            (6) is not a person with disabilities, as such term is defined
        in section 3(b)(3)(E) of the United States Housing Act of 1937(42
        U.S.C. 1437a(b)(3)(E)) and was not receiving assistanceunder such
        section 8 as of November 30, 2005; and
            (7) is not otherwise individually eligible, or has parents who,
        individually or jointly, are not eligible, to receive assistance
        under section 8 of the United States Housing Act of 1937 (42 U.S.C.
        1437f).
        (b) For purposes of determining the eligibility of a person to
    receive assistance under section 8 of the United States Housing Act of
    1937 (42 U.S.C. 1437f), any financial assistance (in excess of amounts
    received for tuition) that an individual receives under the Higher
    Education Act of 1965 (20 U.S.C. 1001 et seq.), from private sources, or
    an institution of higher education (as defined under the Higher
    Education Act of 1965 (20 U.S.C. 1002)), shall be considered income to
    that individual, except for a person over the age of 23 with dependent
    children.
        Sec. 312.  Section 1 of the National Housing Act (12 U.S.C. 1702) is
    amended in the fifth sentence by striking ``Except with respect to
    titleIII`` and inserting ``Except with respect to the Federal National
    Mortgage Association''.
        Sec. 313. Activities authorized under subtites A and D of title V of
    the Departments of Veterans Affairs and Housing and Urban Development,
    and Independent Agencies Appropriations Act, 1998, may continue through
    the end of the fiscal year 2011.