Funding for the IHBG program has remained steady. The APR that HUD currently uses to track the use of grant  funds does not collect data on activities that are not unit-based (directly  involving housing units built, acquired, or rehabilitated). However, HUD is  revising its reporting to track more activities. Tribes Have Used IHBG Funds to Build, Acquire, and Rehabilitate Affordable Housing and to Provide Other Types of Housing Assistance

In recent years, Native American tribes and TDHEs receiving IHBG funds  under NAHASDA have used the funds to build, acquire, and rehabilitate  affordable housing units and to provide other types of housing assistance,  such as tenant-based rental assistance, housing counseling, and  downpayment assistance to eligible tribal members. In fiscal year 2008, 102 out of 359 grantees received grants of less than  $250,000 to maintain existing housing, develop new housing, and pursue  other eligible activities under NAHASDA (see fig. One other small grantee we interviewed also had developed new  housing, but not with IHBG funds. HUD data supports this assessment. Tribes View NAHASDA as Effective at Addressing Their Affordable Housing Needs and as an Improvement over the HUD Programs It Replaced

Based on our survey of and interviews with NAHASDA grantees, most  grantees view NAHASDA as an effective low-income housing program, and  a primary reason was NAHASDA’s recognition of tribal self-determination. We found that survey  respondents viewed NAHASDA as very effective at improving housing  conditions and increasing access to affordable rental housing and  homeownership, but less effective at developing housing finance  mechanisms and increasing economic development on Indian lands (see  fig. Almost Half of the Grantees We Surveyed Use IHBG Funds for Infrastructure Development, but HUD Does Not Collect Grantees’ Plans or Monitor Their Investments in Housing-Related Infrastructure

Of the 232 NAHASDA grantees responding to our survey, 70 percent  viewed investment in housing-related infrastructure—such as connecting a  home to a local water supply—as a great housing need, but slightly less  than half indicated that they use IHBG funds to develop infrastructure (see  fig. Housing-related infrastructure development is an affordable housing  activity under NAHASDA. However, according to IHS officials,  HUD can access IHS’s sanitation deficiency database pursuant to a 2007  memorandum of understanding that specifically authorizes data sharing  between IHS, HUD, and other agencies. As a result,  additional opportunities exist for HUD to collect such information, which  would allow it to track grantees’ efforts to address a key need in their  communities and would broaden the scope of accomplishment data that  HUD can report to Congress. If  HUD were to obtain this data and share it with grantees, the data could  help tribes identify any unmet sanitation needs that they might include in  their reporting and address with their NAHASDA grants. GAO staff who made major contributions to this report are  listed in Appendix V.

Appendix I: Scope and Methodology

Our objectives were to evaluate (1) how Native American Housing  Assistance and Self-Determination Act of 1996 (NAHASDA) program funds  have allowed Native American tribes to address their affordable housing  needs; (2) how, if at all, NAHASDA has improved the process of providing  Native American tribes with access to federal funds to meet their  affordable housing needs; and (3) the extent to which NAHASDA funding  has contributed to infrastructure improvements in Native American  communities.
Why GAO Did This Study

The Native American Housing Assistance and Self-Determination Act of 1996 (NAHASDA) changed how the Department of Housing and Urban Development (HUD) provides housing assistance to Native Americans. Congress created NAHASDA to recognize self-determination for tribes in addressing their low-income housing needs. In NAHASDA's 2008 reauthorization, Congress asked GAO to assess the program's effectiveness. This report discusses (1) how tribes have used NAHASDA funds, (2) how NAHASDA has improved the process of providing tribes with funds for housing, and (3) the extent to which NAHASDA has contributed to infrastructure improvements in tribal communities. GAO analyzed agency documentation, surveyed all tribes receiving grants in fiscal year 2008, conducted site visits with select tribes, and interviewed officials at HUD and other agencies.

What GAO Found

Native American tribes have used NAHASDA block grant funds to develop new housing and to provide other types of housing assistance to eligible members, but fewer small grantees have developed new housing. Out of 359 grantees in fiscal year 2008, 102 received less than $250,000, with 22 of those reporting that they had developed new housing over the life of their participation in the program. Smaller grantees often provide tenant-based rental assistance and other such services to members, but HUD neither tracks activities that are not unit-based (units built, acquired, or rehabilitated) nor reports those activities to Congress. However, HUD is revising its reporting to track more activities, which should help efforts to assess the impact of NAHASDA. Most grantees that we surveyed and interviewed view NAHASDA as effective, largely because it emphasizes tribal self-determination. Grantees feel the program has helped to improve housing conditions and increase access to affordable housing, but they reported that developing housing finance mechanisms and increasing economic development remain as challenges. Housing-related infrastructure development is an affordable housing activity under NAHASDA, but HUD does not collect grantees' infrastructure plans or measure their infrastructure investments. Indian Health Service (IHS) data show an acute need for sanitation-related infrastructure in Indian housing, and 85 percent of grantees responding to our survey reported that developing infrastructure, such as providing homes with access to drinking water, was a continuing need. According to IHS officials, HUD can access IHS data on sanitation deficiencies under a 2007 memorandum of understanding between the agencies. HUD could use this data to track grantees' efforts to address a key need in their communities and broaden the scope of accomplishment data it reports to Congress. This data could also help grantees identify any unmet sanitation needs they might address with their NAHASDA grants.