The U.S. Consumer Product Safety Commission (CPSC) and the U.S. Department of Housing and Urban Development (HUD) released updated remediation guidance that requires homeowners to replace all problem drywall; smoke and carbon monoxide alarms; electrical distribution components, including receptacles, switches and circuit breakers, but not necessarily wiring; and fusible-type fire sprinkler heads. CPSC began its investigation into problem drywall in early 2009. The agency reports that it has since received 3,905 reports from residents of 42 states and the District of Columbia, American Samoa and Puerto Rico who believe their health symptoms or the corrosion of certain metal components in their homes are related to problem drywall. Based on information provided by CPSC, the Internal Revenue Service (IRS) allows certain taxpayers whose homes meet the CPSC's problem drywall identification criteria to treat as a casualty loss damages from drywall that emits corrosive gas, and provides a "safe harbor" formula for determining the amount of the loss. Additional findings from the investigation are available at www.DrywallResponse.gov.

Michigan State Housing Development Authority (MSHDA) is the first state housing finance agency to implement a pilot program designed to reduce regulatory burdens on affordable housing developers. MSHDA, HUD and U.S. Department of Agriculture Rural Development officials approved in September the agencies' first memorandum of understanding (MOU) to call for the three to align subsidy layering review requirements. MSHDA has worked with USDA-RD and HUD since April to align the often burdensome program requirements of different federal affordable rental housing programs. When developers are awarded funds from multiple sources, they become subject to multiple subsidy layering reviews, which can cause delays and add expenses to projects that are preparing to start construction. The new alignment initiative is expected to increase communication among agencies, streamline the funding application process and implement timelines to ensure expediency of reviews. See the September 2011 Novogradac Journal of Tax Credits for more information about the agencies' rental program alignment efforts.

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The National Affordable Housing Management Association (NAHMA) announced that it will accept entries for the 2011 Communities of Quality (COQ) Awards through November 11. COQ awards recognize property management companies that provide a high quality of safe, affordable multifamily rental housing. In its 19th year, the competition will include five categories: exemplary family development, exemplary development for the elderly, exemplary development for residents with special needs, exemplary development for single room occupancy housing, and outstanding turnaround of a troubled property. NAHMA said it will notify winners in January and present the awards in March at its 2012 winter meeting in Washington, D.C. Entry materials and more details are available at www.nahma.org.

HUD awarded more than $28 million to 84 fair housing organizations and other not-for-profit agencies to assist people who believe they have been victims of housing discrimination. The grants are funded through HUD's Fair Housing Initiatives Program (FHIP) and will be used to investigate discrimination allegations and fund work to promote equal housing opportunities. HUD awarded $17.5 million in private enforcement initiative grants, $4.6 million in education and outreach initiative grants and $5.9 million fair housing organization initiative grants.

Texas is one of six states selected to share in a $1.9 million U.S. Department of Health and Human Services grant. The Real Choice System Grant helps state health departments expand partnerships with their respective state housing agencies and develop long-term strategies to provide permanent and affordable rental housing for person with disabilities. The Texas Department of Housing and Community Affairs (TDHCA) and the Department of Aging and Disability Services will receive $330,000, which they will use to create an online information clearinghouse that ties existing and future affordable housing units with available services, and also to fund a statewide partnership academy that will help service and housing providers link their programs.

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