Discretionary Spending
Function 600 - Income Security
Increase Payments by Tenants in Federally Assisted Housing
CBO periodically issues a compendium of policy options (called Options for Reducing the Deficit) covering a broad range of issues, as well as separate reports that include options for changing federal tax and spending policies in particular areas. This option appears in one of those publications. The options are derived from many sources and reflect a range of possibilities. For each option, CBO presents an estimate of its effects on the budget but makes no recommendations. Inclusion or exclusion of any particular option does not imply an endorsement or rejection by CBO.
| Billions of dollars | 2015 | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2015-2019 | 2015-2024 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Change in Spending | |||||||||||||
| Budget authority | 0 | -0.5 | -1.0 | -1.6 | -2.2 | -2.8 | -2.9 | -3.0 | -3.1 | -3.1 | -5.3 | -20.3 | |
| Outlays | 0 | -0.3 | -0.8 | -1.3 | -1.9 | -2.5 | -2.9 | -2.9 | -3.0 | -3.1 | -4.3 | -18.8 | |
Note: This option would take effect in October 2015. Estimates are relative to CBO’s August 2014 baseline projections.
Generally, low-income tenants who receive federal rental assistance must pay 30 percent of their gross family income (after certain adjustments) for rent; the federal government pays the difference between that amount and the maximum allowable rent. Under this option, tenants’ rental contributions would gradually increase from 30 percent of adjusted gross family income to 35 percent over the period from fiscal years 2016 through 2020 and then remain at the higher rate.