OBAMA ADMINISTRATION ANNOUNCES $10.8 MILLION TO FUND HOUSING FOR VERY LOW-INCOME SENIORS IN DELAWARE

WASHINGTON - Thousands more very low-income senior citizens in Delaware will have access to affordable
supportive housing thanks to $10.8 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 the elderly.

The grant funding awarded under HUD's Sections 202 program will kick start construction or major rehabilitation for more than 170 housing developments in 42 different states and Puerto Rico. In Delaware, more than 61 elderly households and persons with disabilities will be affordably housed with access to needed services. A detailed
summary of the Delaware grants is attached to this release.

"The Obama Administration is committed to helping our senior citizens 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 this 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."

Enacted early this year with strong bipartisan support, the Section 202 Supportive Housing for the Elderly Act provided needed enhancements and reforms to both programs. 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 elderly individuals to access the housing they need even more quickly.

"As our seniors live out their golden years, it's important that we provide affordable housing and the supportive services they need to improve their quality of life," said HUD Regional Administrator Jane C.W. Vincent. "The Section 202 grants help to ensure that senior citizens can live independently or with assistance."

Section 202 Capital Advances will provide $545 million nationwide to 97 projects in 42 States and Puerto. In addition to funding the construction, acquisition, and rehabilitation of multifamily developments, HUD's Section 202 program
will also provide $54 million in rental assistance so that residents only pay 30 percent of their adjusted incomes. Section 202 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.

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 202 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.

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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.

Delaware

Section 202 - Supportive Housing for the Elderly

Project Location: Wilmington, DE
Non-Profit Sponsor: The Ministry of Caring Inc
Capital Advance: $4,219,200
Three-year rental subsidy: $389,100
Number of units: 26

Project Description: The Funds will be used to construct a three story building of (25) one-bedroom units. Supportive services will be provided by a shared Service Coordinator. The building is located on a bus route near the central business district making social, recreational, commercial and health facilities accessible. The project has access to a wheelchair-accessible van. The energy efficiency of the building will be attained through insulation, windows, ENERGY STAR appliances, plumbing and electric systems. The project envisions 4% tax credits and Housing Development Funds from the Delaware State Housing Authority.

Section 202 - Supportive Housing for the Elderly

Project Location: Wilmington, DE
Non-Profit Sponsor: Ingleside Ho, Inc
Capital Advance: $5,679,700
Three-year rental subsidy: $544,500
Number of units: 35

Project Description: The Funds will be used to renovate an existing Historic structure with 6 units and construct an additional 29 one bedroom affordable rental housing units for very low-income seniors on the existing structure. A Service Coordinator is being provided on-site to help frail elderly residents. The site is served via a bus route and van service. Amenities include a meeting room, sundry shop and foyer in the existing Mansion and construction of a multi-purpose room, kitchenette, and community room. Construction meets Green Building standards. Tax Credits are proposed.