HUD Archives: News Releases


HUD No. 03-128IL
Lemar Wooley
(202) 708-0685
For Release
Thursday
November 20, 2003

BUSH ADMINISTRATION ANNOUNCES MORE THAN $740 MILLION TO HELP VERY LOW-INCOME ELDERLY AND PEOPLE WITH DISABILITIES
Eight Illinois Projects Funded for 336 Units

WASHINGTON - Housing and Urban Development Secretary Mel Martinez today announced that more than $740
million in housing assistance grants will be awarded this year to help the nation's very low-income elderly and
people with disabilities. The grants include $593 million for the elderly and $146 million for people with disabilities.

"This Administration is committed to making sure our senior citizens and people with disabilities have opportunities
for decent, safe and affordable places to live," Martinez said. "The money that we awarded today will go a long
way toward achieving that goal."

Section 202 Grants (funding to assist very low-income elderly)

In addition to funding the construction and rehabilitation of projects to create apartments, HUD grants will subsidize rents for five years so that residents will pay only 30 percent of their adjusted incomes as rent.

To be eligible for the assistance a household must be classified as "very low-income," which means an income less than 50 percent of the area median. Nationally, this means an income for a one-person household of less than $19,775 a year.

HUD provides two forms of Section 202 funds to non-profit groups:

  • Capital advances. This money covers the cost of developing the housing. It does not need to be
    repaid if the housing is available for occupancy by very low-income seniors for at least 40 years.

  • Project rental assistance. This money covers the difference between the resident's contribution
    toward rent and the cost of operating the project.

Funding for Supportive Housing for very low-income elderly in Illinois includes:

Project Location: Chicago, IL
Non-Profit Sponsor: Catholic Charities of the Archdiocese of Chicago
Capital Advance: $8,460,700
Five-year rental subsidy: $1,508,500
Number of units: 87
Project Description: This courtyard shaped building is a 3-story, 4-story and 5-story structure designed in context with a traditional Chicago courtyard apartment building. The structure's presence will blend with the surrounding neighborhood. A rooftop garden will be available to residents. It will be located on the roof of the 4th story and will be accessed from the 5th floor. Masonry, stone detailing and building setbacks on the exterior will bring added character to the facades. The development will be part of the North Center Senior Campus.
 
Project Location: Chicago, IL
Non-Profit Sponsor: Holiness is the Way Gospel Temple
Co-Sponsor: Trinity Village Nonprofit Hsg Corp
Capital Advance: $5,238,400
Five-year rental subsidy: $929,500
Number of units: 54
Project Description: The proposed development will be a 7-story, 2 elevator building, consisting of 53 one-bedroom units for elderly persons and a two-bedroom unit for a resident manager. It will be modest but tastefully designed to blend with the current community housing stock yet at the same time it will enhance the beauty of the area. There will be outdoor leisure space and parking, all in a beautifully landscaped setting. Fourteen of the units will be designed for handicapped accessibility, including open front kitchen counters for the wheelchair bound.
 
Project Location: Decatur, IL
Non-Profit Sponsor: Lutheran Social Services of Illinois
Capital Advance: $5,062,600
Five-year rental subsidy: $1,035,000
Number of units: 60
Project Description: The development consists of a three-story building with 59 one-bedroom independent living units for elderly residents and one two-bedroom unit for the resident manager. The units will have adjustable height shelving, lever handles and individual heating/cooling controls. Each unit will be designed for wheelchair adaptability and three units will be set aside for wheelchair accessibility. The design will accommodate the changing needs of the residents over the next 10 - 20 years.
 
Project Location: Northlake, IL
Non-Profit Sponsor: Catholic Charities of the Archdiocese of Chicago
Capital Advance: $7,102,500
Five-year rental subsidy: $1,263,000
Number of units: 73
Project Description: The development will consist of 73 units, 72 one-bedroom units for the elderly and a two-bedroom unit for the resident manager. The community space will consist of a congregate dining room with kitchen, senior center equipped to accommodate a variety of social and recreational activities, a patio, garden area, lounge, craft room and laundry room. The space will be fully accessible so that persons in wheelchairs will be able to be as independent as possible. The building will be within walking distance of a park, restaurants and a grocery store.

Section 811 Grants (funding to assist very low-income people with disabilities)

This housing, most of which will be newly constructed, typically is small apartment buildings, group homes for three
to four people per home, or condominium units. Residents will pay 30 percent of their adjusted income for rent and
the federal government will pay the rest.

The grants are awarded under HUD's Section 811 program, which provides housing for households with one or more very low-income individuals, at least one of whom is at least 18 years old and has a disability, such as a physical
or developmental disability or chronic mental illness. The term "person with disabilities" also includes two or more people with disabilities living together, and one or more persons with disabilities living with one or more live-in attendants. The program allows persons with disabilities to live independently in their communities by increasing
the supply of rental housing with the availability of supportive services.

To be classified as "very low-income," a household income cannot exceed 50 percent of the area median income. However, most households that receive Section 811 assistance have an income less than 30 percent of the area median. Generally, this means that a one-person household will have an annual income of about $11,865.

HUD provides the Section 811 funds to non-profits in two forms:

  • Capital advances. This is money that covers the cost of developing the housing. It does not need
    to be repaid as long as the housing is available for at least 40 years for occupancy by very low-income
    people with disabilities.

  • Project rental assistance. This is money that goes to each non-profit group to cover the difference
    between the residents' contributions toward rent and the cost of operating the project.

Funding for Supportive Housing for persons with disabilities in Illinois includes:

Project Location: Cairo, IL
Non-Profit Sponsor: Delta Center Inc
Capital Advance: $802,000
Five-year rental subsidy: $175,500
Number of units: 10
Project Description: This development will have 10 independent living units for persons with chronic mental illness. There will be 8 one-bedroom units and 2 two-bedroom units in a one-story structure. Each unit will have a full kitchen, dining area, living room, entry with a closet, bathroom with a tub/shower unit and bedroom(s) with a full closet. Each unit is designed for wheelchair adaptability and one unit will be set aside for wheelchair accessibility. Each unit will have adjustable height shelving, lever handles and heating/cooling controls.
 
Project Location: Crete, IL
Non-Profit Sponsor: New Hope Trust Fund Inc
Capital Advance: $1,123,400
Five-year rental subsidy: $210,500
Number of units: 12
Project Description: This development will consist of two 6-person group homes for persons with developmental disabilities. The sites are located on quiet residential streets, yet are accessible to shopping and recreational activities. The downtown area of Crete has several stores and restaurants and provides a comfortable atmosphere for walking and window shopping. Other downtown amenities available include a bowling alley, health club, beauty salon, video rental and grocery store. A PACE van will be available to the residents for transportation.
 
Project Location: Kewanee, IL
Non-Profit Sponsor: Bridgeway Inc
Capital Advance: $1,162,100
Five-year rental subsidy: $281,000
Number of units: 16
Project Description: This project will consist of two buildings for persons with chronic mental illness - one will be a 6-person group home and the other will be a 10 unit independent living project. The group home will have 6 bedrooms, a full kitchen, living and dining rooms, entry with closet, and 3 full baths. The independent living project will be a one-story building with 10 one-bedroom units. Each unit will have a full kitchen, dining area, living room, entry with closet, full bathroom and full closet. Both buildings will have wheelchair accessibility.
 
Project Location: Waukegan, IL
Non-Profit Sponsor: Accessible Space, Inc
Co-Sponsor: Over the Rainbow Assoc
Capital Advance: $3,243,900
Five-year rental subsidy: $403,500
Number of units: 24
Project Description: This barrier free project will consist of one newly constructed 3-story building with a centrally located elevator for ease of resident access. The building will be constructed to serve as an independent living project for 23 persons with disabilities and one manager's unit. Virtually all aspects of this building's products, appliances, equipment and hardware have been reviewed to insure maximum usability by persons with various physical limitations. All apartments will be designed to be flexible and adaptable to specific resident needs.

HUD is the nation's housing agency committed to increasing homeownership, particularly among minorities, creating affordable housing opportunities for low income Americans, 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.

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Content Archived: April 11, 2011