HUD AWARDS $3.6 MILLION TO 31 HOUSING AUTHORITIES IN ALASKA, IDAHO, OREGON & WASHINGTON TO HELP LOW-INCOME FAMILIES ENTER THE WORKFORCE

SEATTLE, WASHINGTON - U.S. Housing and Urban Development Secretary Shaun Donovan announced today that 31 public housing agencies in Alaska, Idaho, Oregon and Washington will receive $3,598,297 to hire more than 60 coordinators who will link low-income families to education and job training that can put them into the workforce and on the path to economic self-sufficiency.

These 31 Northwest agencies are among the almost 600 announced today as receiving some $54 million in Housing Choice Voucher Family Self Sufficiency grants. The HCV/FSS grants enable public housing agencies to work with welfare agencies, schools, businesses, and other local partners to develop a comprehensive program to help individuals already participating in HUD's Housing Choice Voucher rental assistance program to increase or gain marketable skills that to obtain jobs that pay a living wage.

"This program is absolutely critical in today's economy," said HUD Secretary Donovan. "The research demonstrates that this program works. When families are given the tools they need to move beyond the voucher program, they do. Ultimately, they become self-sufficient and more vouchers become available for other families, some who have been waiting for long periods to receive housing assistance. For America to win the future we need a trained and skilled workforce."

"Most families prefer independence to dependence," said HUD Northwest Regional Administrator Mary McBride, "and HUD wants to help them get there. This program is an important, effective tool in helping attain self-sufficiency."

The 31 Northwest housing authorities receiving awards today are:

The funding allows local housing authorities to hire coordinators (or caseworkers) to link adults in the Housing Choice Voucher program to local organizations that provide job training, childcare, counseling, transportation and job placement.

Participants in the HCV/FSS program sign a contract that requires the head of the household to get a job and the family will no longer receive welfare assistance at the end of the five-year term. As the family's income rises, a portion of that increased income is deposited in an interest-bearing escrow account. If the family completes its FSS contract, the family receives the escrow funds that it can use for any purpose, including paying educational expenses, starting a business or paying back debts.

The Family Self Sufficiency (FSS) Program is a long-standing resource for increasing economic security and self-sufficiency among HCV participants. A new report just issued by HUD evaluated the effectiveness of the FSS
Program. Conducted from 2005 to 2009, HUD's study shows the financial benefits are substantial for participants who remain and complete the program. This study is the second of a three-part series by HUD that evaluate the effects
of the FSS program. The first study found individuals who participated in the FSS program fared better financially
than those who did not enroll in the program. HUD's Office of Policy Development and Research (PD&R) will launch the third and final installment to complete this series this year.

PD&R will also launch two additional studies this year about the FSS program. The first study will examine whether FSS participants who were still enrolled when the Prospective Study ended went on to graduate from the FSS
program and whether they met their goals for financial self-sufficiency. The second will study the effectiveness of
the FSS program nationally. This will be the first national study of the FSS program as part of HUD's Transformation Initiative, which was created in 2010 to encourage more transparency and accountability within the agency.

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