# Plain Language Summary: Strategy and Investment in Rural Housing Preservation Act of 2021

This bill is designed to help keep affordable rental housing available in rural areas. Many rural apartment buildings and housing complexes were built decades ago with government loans that are now reaching the end of their terms. When these loans mature, property owners often sell to developers who convert the buildings to market-rate housing or abandon them entirely, forcing out low-income residents who can no longer afford the rent. This bill creates a comprehensive program to prevent that from happening.

The core of the bill establishes a new preservation program that gives the Department of Agriculture tools to restructure maturing loans so properties can stay affordable. When a loan is about to mature, the government can reduce or eliminate interest payments, defer payments, reduce the debt owed, or provide other financial help to keep the property viable. In exchange, owners must agree to keep the housing affordable and maintain it in good condition. The bill also allows the government to renew rental assistance contracts for up to 20 years, ensuring tenants continue receiving help with their rent. If restructuring isn't possible, tenants get 18 months' notice and can transfer their rental assistance to another rural housing project, protecting them from sudden displacement.

The bill includes important protections for residents. Tenants must receive written notice at least two years before a loan matures, explaining what might happen and how to protect their housing rights. These notices must be in plain English and translated into other languages where needed. The bill also funds technical assistance to help nonprofits and housing agencies acquire properties at risk of losing affordability, and it authorizes $200 million annually from 2022 through 2026 for the preservation program itself, plus $50 million for improving the Agriculture Department's technology systems for managing rural housing.

Finally, the bill requires the Agriculture Department to create a comprehensive plan for preserving rural rental housing and establishes an advisory committee with representatives from property owners, nonprofits, tenant advocates, and financial institutions to oversee the effort and make recommendations to Congress.

Strategy and Investment in Rural Housing Preservation Act of 2021

Axne, Cynthia

Strategy and Investment in Rural Housing Preservation Act of 2021 This bill provides assistance to rural, multifamily rental-housing projects and tenants. Specifically, the Department of Agriculture (USDA) must implement a program for the preservation and revitalization of such housing projects that are financed with USDA loans. As part of this program, USDA may restructure existing housing loans by reducing or eliminating interest and deferring loan payments. When offering to restructure such a loan, USDA must also offer to renew a property owner's contract for rental assistance payments for a term of 20 years, provided that the property owner agrees to maintain the property as decent, safe, and sanitary housing for the full term of the contract. USDA must annually provide written notice explaining the options to restructure such loans to certain property owners. Additionally, USDA may provide technical assistance grants to qualified nonprofit organizations and public housing agencies to help borrowers acquire multifamily rental-housing properties in areas where there is a risk of loss of affordable housing. Further, USDA may provide rural housing vouchers for low-income households (including those not receiving rental assistance) residing in certain properties financed with or insured by USDA loans. The bill also extends existing housing protections for victims of domestic violence, dating violence, sexual assault, and stalking to victims who receive rural housing voucher assistance. These protections include protections against denial or termination of assistance or eviction.