HUD ANNOUNCES FUNDING TO HELP DEVELOP HOUSING FOR VERY LOW-INCOME ELDERLY
Diocesan Bureau of Housing receives $350,000 for project in Augusta

The Department of Housing and Urban Development announced that the Diocesan Bureau of Housing has received a $350,000 grant to provide predevelopment funding for an elderly housing project in Augusta.

The funding is part of more than $20 million awarded nationwide to 104 sponsors of Section 202 elderly housing projects. The funds will assist these agencies in bringing their projects from the award of a Section 202 grant to
initial closing within the allotted 18 months.

Awarded competitively, the HUD Section 202 grants help to expand the supply of affordable housing with supportive services for the elderly. The grants fund developments that provide very low-income elderly with options that allow them to live independently but in an environment that provides support activities such as cleaning, cooking, transportation, etc.

"The Department is aware of the complexities of developing Section 202 projects and understands that a lack of predevelopment funding may be a contributing factor in many instances where project sponsors are not able to
move their approved projects forward within the required timeframe," said John C. Weicher, HUD's assistant
secretary for housing.

The Section 202 Demonstration Planning Grant Program will provide upfront funds for such predevelopment activities as architectural and engineering work, site control, and other expenses related to the development of the projects prior to initial closing. Without the grant funding such costs would not be reimbursable until closing or would have
to come from other funding sources.

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.

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NOTE: For information on the specific project, please contact the Diocesan Bureau of Housing; for information on the HUD Section 202 program or other HUD programs, please contact Kristine Foye at (617) 994-8218.