The Weekly Wrap: Biden Suggests 5% Rent Cap for Federally-Funded Homes but Punts to Congress

Welcome back to The Weekly Wrap, our Friday roundup of stories that explain the problems oppressing people in cities and elevate the solutions that bring us closer to economic, environmental and social justice.

Have news, resources or events that you think should be included in this newsletter? Let us know. We’re reachable at: wrapped@nextcity.org.

Biden Administration Backs 5% Rent Cap for Federally-Backed Apartments

The Biden Administration has proposed restricting tax breaks for large owners of federally subsidized housing that raise rents by more than 5% a year. The administration cited research showing that six large real estate companies experienced outsized profit growth and pointed out that some are implicated in the DOJ’s price-fixing case against the company RealPage.

While advocates have argued the Biden administration could make these changes through executive action, the administration is asking Congress to pass it as legislation. “President Biden has recently and repeatedly called for rent caps — it’s time for him to deliver a universal cap in all properties with federal financing. This is an action the president can take immediately, in coordination with [the Federal Housing Finance Agency (FHFA)],” Tara Raghuveer, of the KC Tenant Union and Tenant Union Federation said in a statement. The Biden administration also announced a plan to build 15,000 affordable housing units in Nevada. Additionally, it shared FHFA’s new rules for landlords of properties with mortgages backed by Fannie Mae and Freddie Mac, which require a 30-day notice before a rent increase and lease expiration and a 5-day grace period before late fees.

LA County Approves “Right to Counsel” Attorneys

The Los Angeles County Board of Supervisors voted to provide free attorneys to low-income tenants in eviction proceedings, LAist reports. The program would only be in effect in the 125 unincorporated communities in the county and the board would need to approve the program again on January 1, 2025, before it is enacted. The program would cover tenants who make 80% of the area median income or less, which comes out to $77,700 for an individual. The program will cost $24.5 million to launch and will be paid for with pandemic relief funds.

Baltimore Leaders Opposed to ‘Baby Bond’ Ballot Measure

Baltimore’s mayor and city council are trying to stop a ballot measure that would let voters decide whether new parents can receive a $1,000 cash payment when their child is born, the Associated Press reports. Organizers gathered 10,000 signatures for the proposal to qualify for the ballot via a charter amendment, but the city’s electeds filed a lawsuit on Thursday saying the measure would “usurp” lawmakers’ ability to create legislation, a power granted to them by voters. The ballot measure is the work of Maryland Child Alliance, a group of teachers and former teachers who seek to reduce Baltimore’s child poverty.

University of California Leaders May Ban Encampments This Fall

The University of California Regents have signaled they will ban encampments on campus following last spring’s protests against Israel’s genocide in Gaza, LA Times reports. UC President Micheal V. Drake is under pressure from lawmakers, who voted to withhold $25 million until he delivers a report on how he will handle encampments in the fall. While one encampment at UCLA last spring was overrun by a mob of pro-Israel protestors who attacked students, hurling fireworks and deploying pepper spray at them, other encampments were resolved quietly. At UC Riverside, the administration agreed to review how the university’s endowment is invested.

FEMA To Relocate Historic Black Town in North Carolina

The town of Princeville, North Carolina, the earliest community built by formerly enslaved people, will be relocated to 53 acres of nearby land through funding from the Federal Emergency Management Agency, Grist reports. The town currently sits in a floodplain and faced devastating flooding in 1999 and 2016, both of which caused many residents to leave. FEMA will provide $11 million in funding to build out stormwater infrastructure in its new location. There is also funding for 50 subsidized apartments, and town leaders are hoping developers will also build single-family homes for some of the town’s existing 1,200 residents.

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Curated by Deonna Anderson

MORE NEWS

• This program in Louisiana aims to reduce recidivism rates for rural residents. The Current

• A reporter wrote about the history of deputy gangs with the Los Angeles Sheriff’s Department. Then the department started surveilling her. LA Public Press

• A Baltimore Medicaid-housing program led to “fewer trips to emergency rooms and fewer hospital admissions for enrolled individuals with chronic conditions.” Now Maryland wants to expand it. The Baltimore Banner

• Also… I’m looking forward to listening to “United States of Amnesia,” an upcoming podcast mini-series hosted by scholar and founding critical race theorist Kimberlé Crenshaw. Listen to the trailer here.

RESOURCES & OPPORTUNITIES

• The final round of grants ($607 million) under the Biden administration’s pilot program to reconnect neighborhoods split by highways and other transportation infrastructure is now available. SmartCities Dive reports that states, local governments, metropolitan planning organizations, tribal governments and nonprofit organizations are eligible to apply by Sept. 30, 2024. Access the app here.

• The Center for Creative Land Recycling and Groundwork USA just released Advancing Equity in Land Reuse Planning and Visioning: A Practical Guide to Engaging and Activating Community Voices. The guide is meant “to help practitioners maximize the potential community benefit of their land revitalization projects by effectively engaging community members and centering equity in their process.”

• The Social Fabric Project at the Aspen Institute has created Weave, an interactive map showing how your neighborhood rates and compares when it comes to social trust. Access the map here.

EVENTS

• July 25 at 2 p.m. Eastern: HUD’s Office of Policy Development & Research will host a hybrid PD&R Quarterly Update on source of income discrimination and laws. Register here.

• July 30 at 2 p.m. Eastern: The Housing Solutions Lab at the NYU Furman Center and the Climate + Community Project will host a webinar about how localities can harness Inflation Reduction Act (IRA) funds to address the linked housing and climate crises. Register here.

• September 12 at 1 p.m. Eastern: The Center for Creative Land Recycling and Groundwork USA are hosting a 90-minute workshop to share how to effectively use their guide (linked above) and discover practical steps to embed environmental justice principles in every phase of the land reuse process. Register here.