Almost two years ago the Congress and the President agreed to sequester ten percent of funding for most Federal programs as a temporary solution to the Federal FY2013 budget impasse. This included the HUD Housing Choice Voucher Program (HCVP) (also known historically as "Section 8"). This program provides rental supports to low- and moderate-income individuals and families throughout the country; the amount of support depends principally upon individual/family income and regional payment standards reflecting "Fair Market Rent". As elsewhere, in Amherst the loss of Federal funding has forced the program administrator, the Amherst Housing Authority, to seriously consider reducing the housing subsidies. For many families a lower subsidy could lead to severe consequences including the loss of present housing, loss of vouchers, and possible homelessness. Neither the families, which also face reductions in SNAP and Head start benefits nor the Amherst Housing Authority (AHA) have other sources of funding to address the gap created by the Federal budget cuts. The Amherst Housing Authority estimates a projected deficit of $154,000 for 2014 for the HCVP. However, there is uncertainty about exactly how large the gap in funding is both because HUD has yet to commit to specific funding for the program and because there is uncertainty about the actual program costs throughout the year. Nonetheless, the Housing and Sheltering Committee thinks it is critical that the process of establishing a commitment by the Town to supporting this program be initiated now, with the understanding that updated estimates of the deficit will be developed as better information becomes available. In the event that AHA requires less than $154,000, the balance will be retained in the CPA Fund.