July 23, 2009
HUD ANNOUNCES $9.78 MILLION FOR AFFORDABLE HOUSING AND COMMUNITY DEVELOPMENT IN BIRMINGHAM
BIRMINGHAM, AL - U.S. Housing and Urban Development Secretary Shaun Donovan today announced the City of Birmingham will receive more than $9.78 million to support community development and produce more affordable housing. HUD's annual funding will also provide downpayment assistance to first-time homebuyers; help individuals
and families who might otherwise be living on the streets; and offer real housing solutions for individuals with HIV/AIDS.
"This funding represents HUD's continuing investment in helping our local partners improve their communities," said Donovan. "If we hope to lay the groundwork for sustainable growth and prosperity in the future, it's critical that we help state and local communities to make the needed improvements and to produce more affordable housing."
The funding announced today includes:
|in Community Development Block Grant (CDBG) funds;|
|in HOME Investment Partnerships (HOME) funding;|
|in Emergency Shelter Grant (ESG); and|
|for Housing Opportunities for Persons with AIDS (HOPWA).|
Since 1974, HUD's Community Development Block Grant (CDBG) Program has provided approximately $124 billion to state and local governments to target their own community development priorities. The rehabilitation of affordable housing and the improvement of public facilities have traditionally been the largest uses of CDBG although the
program is also an important catalyst for job growth and business opportunities. Annual CDBG funds are distributed
to communities according to a statutory formula based on a community's population, poverty, and age of its housing stock, and extent of overcrowded housing.
HOME (HOME Investment Partnerships Program) is the largest federal block grant to state and local governments designed exclusively to produce affordable housing for low-income families. Since 1992, more than 600 communities have completed more than 900,000 affordable housing units, including 383,000 for new homebuyers. In addition, 209,000 tenants have received direct rental assistance.
The American Dream Downpayment Initiative (ADDI) was created to assist low-income first-time homebuyers in purchasing single-family homes by providing funds for downpayment, closing costs, and rehabilitation carried out in conjunction with the home's purchase. Since the program's inception, ADDI has assisted more than 32,000 families
to purchase their first home.
Emergency Shelter Grants (ESG) provides homeless persons with basic shelter and essential supportive services.
It can assist with the operational costs of the shelter facility, and for the administration of the grant. ESG also provides short-term homeless prevention assistance to persons at imminent risk of losing their own housing due to eviction, foreclosure, or utility shutoffs.
HUD's Housing Opportunities for Persons with AIDS (HOPWA) grants are distributed to states and cities based on the number of AIDS cases reported to the Centers for Disease Control and Prevention. The grants provide resources for operating community residences and providing rental assistance and support services to individuals with HIV/AIDS
and their families. In addition, the HOPWA program also helps many communities develop strategic AIDS housing
plans and fill in gaps in local systems of care. A stable home environment is a critical component for low-income persons managing complex drug therapies and potential side effects from their treatments.
###HUD is the nation's housing agency committed to sustaining homeownership; creating affordable housing opportunities for low-income Americans; and supporting the homeless, elderly, people with disabilities and people living with AIDS. The Department also promotes economic and community development and enforces the nation's fair housing laws. More information about HUD and its programs is available on the Internet and espanol.hud.gov.