HUD ANNOUNCES $148.7 MILLION FOR AFFORDABLE HOUSING AND COMMUNITY DEVELOPMENT IN NORTHERN CALIFORNIA
HUD to support a variety of local housing and development programs

SAN FRANCISCO - U.S. Housing and Urban Development Secretary Alphonso Jackson today announced California will receive $148,749,828 million to promote a variety of community development and affordable housing programs. HUD funding will also provide downpayment assistance to first-time homebuyers and assist individuals and families who might otherwise be living on the streets. Jackson also announced grants to provide real housing solutions for individuals with HIV/AIDS.

"This funding helps breathe new life into neighborhoods," said Jackson. "By helping communities to improve their infrastructure or assisting families to purchase their first home, HUD is helping improve neighborhoods from the
ground up."

The funding announced today includes:

• $6.7 Million for Contra Costa County
• $15.4 Million for Oakland
• $39.1 Million for San Francisco
• $15.8 Million for San Jose
• $4.7 Million for Santa Clara County

Since 1974, HUD's Community Development Block Grant (CDBG) Program has received approximately $120 billion for 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 the grants, although
CDBG is also an important catalyst for job growth and business opportunities. In 2006, communities reported that CDBG provided housing assistance to 179,385 households, assisted in the creation or retention of more than 55,000 jobs. CDBG funds are distributed to grantees 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 780,000 affordable housing units, including over 329,000 for new homebuyers. In
addition, over 164,000 tenants have received direct rental assistance.

The American Dream Downpayment Initiative (ADDI) helps first-time homebuyers with the biggest hurdles to homeownership: downpayment and closing costs. The program 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 assisted home purchase. Since the program's inception, ADDI has assisted nearly 24,000 households to purchase their first home. Information about this programis available on HUD's website.

Emergency Shelter Grants (ESG) help local communities to meet the basic shelter needs of homeless individuals and families. These grants also provide transitional housing and a variety of support services designed to move the homeless away from a life on the street toward permanent housing. This block grant program, along with more than
$1 billion HUD grants awarded by competition, helps thousands of local homeless assistance programs to help those who would otherwise call the streets their home.

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.

A complete listing of all California communities announced today follows. Some communities received grant awards earlier in the year and are not included here.

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HUD is the nation's housing agency committed to increasing homeownership, particularly among minorities;
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 as well as enforces the nation's fair housing laws. More information about HUD and its programs is available on the Internet and espanol.hud.gov.