|WY 10-08 MF 202
July 12, 2010
OBAMA ADMINISTRATION ANNOUNCES MORE THAN $2.2 MILLION TO HELP WYOMING’S VERY LOW-INCOME ELDERLY
CASPER - Senior citizens in Wyoming will soon be able to find additional affordable housing, thanks to $2,262,000 in housing assistance announced today by the U.S. Department of Housing and Urban Development (HUD). The funding will provide interest-free capital advances to non-profit developers so they can produce accessible housing, offer rental assistance, and provide supportive services for the elderly.
Nationwide, more than $550 million in grants were announced today - provided through HUDs Section 202 and Section 811 Supporting Housing programs that will fund 169 projects in 46 states.
In Sheridan, Wyoming, Supportive Housing for the Elderly is awarded to Volunteers of America. The Capital Advance is $2,130,900 and a three-year rental subsidy totals $131,100 for 16 units. The funds will be used to build an elderly living project consisting of 15 one-bedroom units and one two-bedroom unit for low-income elderly residents and one two-bedroom unit for a resident manager. The housing site is located near shopping, medical services and other amenities. The Sheridan Minibus Service is available to transport residents at minimal or no cost.
The Obama Administration is committed to making sure our senior citizens and persons with disabilities have opportunities to live in decent, affordable homes, said HUD Secretary Shaun Donovan. Neither of these groups should ever have to worry about being able to find a safe place to live.
Section 202 Capital Advance ($454.5 million nationwide to assist very low-income elderly)
HUDs Section 202 Capital Advance Program expands the supply of affordable housing with supportive services for
the elderly. It provides very low-income elderly persons 62 years of age or older with the opportunity to live independently in an environment that provides support services to frail elderly resident.
In addition to funding the construction, acquisition, and rehabilitation of multifamily developments, HUDs Section 202 program also provides Project Rental Assistance Contract (PRAC) funds to subsidize the rents so that residents only pay 30 percent of their adjusted incomes.
To be eligible for the assistance a household must be classified as very low- income, which means an income less
than 50 percent of the area median. Nationally, based on 50 percent of the national median family income with an applicable adjustment for household size, a one-person household would need to have an income equal to or less
than $22,400 a year.
HUD provides the Section 202 funds to non-profit organizations in two forms:
- Capital Advances. This is funding that covers the cost of developing, acquiring, or rehabilitating the development. Repayment is not required as long as the housing remains available for occupancy by very low-income elderly persons for at least 40 years for (under Section 202) or very low-income persons with disabilities (under Section 811).
- Project Rental Assistance Contract (PRAC). This is funding that goes to each development to cover the difference between the residents contributions toward rent and the HUD-approved cost of operating the project.
HUDs mission is to create strong, sustainable, inclusive communities and quality affordable homes for all. HUD is working to strengthen the housing market to bolster the economy and protect consumers; meet the need for quality affordable rental homes: utilize housing as a platform for improving quality of life; build inclusive and sustainable communities free from discrimination; and transform the way HUD does business. More information about HUD and its programs is available on the Internet at www.hud.gov and espanol.hud.gov.