BUSH ADMINISTRATION ANNOUNCES MORE THAN $2 MILLION TO HELP PEOPLE WITH DISABILITIES IN JOPLIN AND SPRINGFIELD

KANSAS CITY, KS - Housing and Urban Development Secretary Mel Martinez today announced more than $2 million
in housing assistance grants to Ozark Center in Joplin and Burrell, Inc. in Springfield to help people with disabilities. Nationally, the grants include $593 million for very low-income 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."

Ozark Center in Joplin will receive $1,026,600 to provide 15 units that will help people with disabilities live more independently and successfully in their community. A significant component of this project involves education, skills training and employment. Community space will be provided for recreational activities and development of social and other independent living skills.

Burrell, Inc. in Springfield will receive $1,098,900 to provide 14 one-bedroom units for persons with chronic mental illness. The development will meet a need for independent living by providing safe, affordable housing in a supportive environment. For those individuals living with their families, this type of supportive setting provides an important
step in living independently.

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.

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