OBAMA ADMINISTRATION ANNOUNCES $8 MILLION TO FUND HOUSING FOR VERY LOW-INCOME SENIORS AND PERSONS WITH DISABILITIES IN MAINE

BANGOR - More very low-income senior citizens and persons with disabilities in Maine will have access to affordable supportive housing thanks to $7,971,300 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 and persons with disabilities.

The grant funding awarded under HUD's Sections 202 and 811 Supportive Housing programs will kick start
construction or major rehabilitation for more than 170 housing developments in 42 different states and Puerto Rico.
In Maine, more than 44 elderly households and persons with disabilities will be affordably housed with access to needed services. A detailed summary of Maine grants can be found below.

"The Obama Administration is committed to helping our senior citizens and persons with disabilities find a decent, affordable place to live that is close to needed healthcare services and transportation," said William Burney, HUD Maine Field Office Director. "Recent bipartisan changes to these two supportive housing programs 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 Frank Melville Supportive Housing Investment Act and 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 and disabled individuals to access the housing they need even more quickly.  

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.

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 or 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.

MAINE GRANTS

Section 202 - Supportive Housing for the Elderly

Project Location: Waterville, ME
Non-Profit Sponsor: Diocesan Bureau of Housing, Inc.
Capital Advance: $3,102,000
Three-year rental subsidy: $250,200
Number of units: 20
Project Description: The Diocesan Bureau of Housing has successfully created elderly housing where neighborhood parishes once existed (Roncalli Apts. in Augusta, Maine). DBH will be doing so once again with 20 units of affordable elderly housing in Waterville, Maine to be known as St. Francis Apartments. The property, which once served the community as a Catholic Church will now serve the community as housing for the elderly.

Project Location: Waterville, ME
Non-Profit Sponsor: Diocesan Bureau of Housing, Inc.
Capital Advance: $3,245,500
Three-year rental subsidy: $250,200
Number of units: 20
Project Description: Phase 2 of the St. Francis Apartments will provide an additional 20 units to the 20 units funded under Phase 1. The sponsor, Diocesan Bureau of Housing, will be creating affordable elderly housing on the site of
the former St. Francis Church in Waterville, Maine. Where the Catholic Church once provided comfort to the neighborhood, the housing project will now provide comfort to the elderly. It is anticipated the sponsor will combine the 2 phases into one, 40 unit project on the St. Francis site.

Section 811 - Supportive Housing for Persons with Disabilities

Project Location: Lewiston, ME
Non-Profit Sponsor: John F. Murphy Homes, Inc.
Capital Advance: $536,500
Three-year rental subsidy: $25,200
Number of units: 2
Project Description: This project will be a two-person group home for the developmentally disabled located in Lewiston, Maine. Its design and location will help to foster independent living and provide its residents work and education opportunities, as well as integration into the community. The building design will be barrier-free and encourage aging in place. John F. Murphy Homes has a successful history of building housing for persons with disabilities and has several HUD projects.

Project Location: Mechanic Falls, ME
Non-Profit Sponsor: John F. Murphy Homes, Inc.
Capital Advance: $536,500
Three-year rental subsidy: $25,200
Number of units: 2
Project Description: This project will be a two-person group home for the developmentally disabled. Its design and location will help to foster independent living and provide its residents work and education opportunities, as well as integration into the community. The building design will be barrier-free and encourage aging in place. John F. Murphy Homes has a successful history of building housing for persons with disabilities and has several HUD projects.

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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 http://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.