Housing Counseling Process Evaluation and Design of ... - HUD User

their primary or secondary funding source. 29 The large share of agencies reporting HUD as a primary
or secondary source of funding may seem at odds with the fact that HUD funding only accounts for
14 percent of the aggregate counseling budget. But as will be discussed more in the next section of
this chapter, HUD grants are fairly small on average compared to other funding sources, so despite
being a common source of funding these grants do not account for a large share of funding. Given
the small size of HUD grants, these grants are also a more important source of funding for small
agencies. Among agencies with annual counseling budgets under $100,000, 54 percent rely on HUD
as a primary or secondary source of funding, compared to only 35 percent of agencies with annual
counseling budgets of $100,000 or more.
Exhibit 5-5.
Share of Agencies Reporting Specific Sources of Funding
HUD Counseling Funds
44%
27%
Financial Institution
Other Private Sector
State Government
18%
18%
18%
17%
13%
23%
Local Government
CDBG Program
Foundation
Client Fees
Other Federal Sources
13%
15%
9%
5%
14%
13%
11%
16%
18%
6%
Agency's Own Funds
HOME Program
Fannie Mae, Freddie Mac, or FHLB
11%
7%
2% 8%
7%
7%
Primary or Secondary
Tertiary or Lesser
Intermediary's Own Funds
5%
4%
Public Housing Authority 3% 4%
0% 10% 20% 30% 40% 50% 60% 70% 80%
Source: Abt Associates survey of HUD-approved counseling agencies.
Note: Based on survey responses of 1,016 agencies.
29
There is the potential for some bias in the estimate of the importance of HUD funding as HUD-funded
agencies may have been more likely to respond to a HUD-sponsored survey. However, there does not
appear to be any significant bias in our results as the share of agencies with HUD funding is similar to the
proportion identified in HUD’s 9902 data for all HUD-approved agencies.
64
Chapter 5. Sources of Agency Funding and Costs of Providing Service