|HUD No. 11-CO-811-001
November 16, 2011
OBAMA ADMINISTRATION ANNOUNCES $2.54 MILLION TO FUND HOUSING FOR VERY LOW-INCOME PERSONS WITH DISABILITIES IN COLORADO
DENVER - More very low-income persons with disabilities in Colorado will have access to affordable supportive housing thanks to $2.54 million in housing assistance announced today by the U.S. Department of Housing and Urban Development (HUD). These grants will help non-profit organizations produce accessible housing, offer rental assistance, and facilitate supportive services for persons with disabilities.
The grant funding awarded under HUD's Section 811 Supportive Housing programs will kick start construction or major rehabilitation for more than 170 housing developments in 42 different states and Puerto Rico.
"The Obama Administration is committed to helping our persons with disabilities find a decent, affordable place to live that is close to needed healthcare services and transportation," said HUD Secretary Shaun Donovan. "Recent bipartisan changes to the supportive housing program will allow us to better serve some of our more vulnerable populations who would otherwise be struggling to find a safe and decent home of their own."
HUD Regional Administrator Rick M. Garcia said, "Today's vital funding will provide affordable housing to persons with disabilities with access to needed services in Broomfield and Steamboat Springs, Colo."
Regional Administrator Garcia said, "Imagine! will receive $633,700 for Capital Advance and $68,100 for a three-year rental subsidy. Imagine! plans to construct a six-bedroom Group Home for very low-income persons with developmental disabilities, plus a room for a resident manager. The Home will be constructed using Enterprise Green Communities standards and built near services, such as medical offices, shopping areas, and public transportation."
"In Steamboat Springs, Horizons Specialized services, Inc. will construct an eight-unit independent living project for very low-income persons with developmental disabilities," said Regional Administrator Garcia. "The Capital Funding Advance totals $1,272,700 and the three-year rental subsidy is $79,500. The project, located in a resort community, is located near medical offices, shopping and public transportation. Trained staff will be available to assist the residents on a daily basis with the goal of enabling the persons with disabilities to live as independently as possible."
Enacted early this year with strong bipartisan support, the Frank Melville Supportive Housing Investment Act
provided needed enhancements and reforms the program. Nonprofit grant recipients will now receive federal assistance that is better leveraged and better connected to state and local health care investments, allowing
greater numbers of vulnerable disabled individuals to access the housing they need even more quickly.
Section 811 Capital Advances will provide $137 million nationwide to assist very low-income persons with disabilities through 92 projects in 35 states. An additional $12.6 million will be available for project rental assistance contracts. Most of the housing supported through the Section 811 Program will be newly constructed, typically small apartment buildings, group homes for three to four persons, or condominium units that are integrated into the larger community. Residents will pay 30 percent of their adjusted income for rent and the federal government will pay the rest.
HUD's Section 811 program provides housing for households with one or more very low-income individuals with a disability. Under this program at least one person must be 18 years or older and have a physical or developmental disability or chronic mental illness. The program provides persons with disabilities the opportunity to live
independently in their communities by increasing the supply of rental housing with the availability of supportive services.
HUD provides these 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 Contracts. This is funding that goes to each development to cover the
difference between the residents' contributions toward rent and the cost of operating the project.
Residents must be "very low income" with household incomes less than 50 percent of their median for that
area. However, most households that receive Section 811 assistance earn less than 30 percent of the median for their area. Generally, this means that a one-person household will have an annual income of about $13,500.
HUD's 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. You can also follow HUD on twitter @HUDnews, on facebook at www.facebook.com/HUD, or sign up for news alerts on HUD's News Listserv.