BUSH ADMINISTRATION ANNOUNCES MORE THAN $740 MILLION TO HELP VERY LOW-INCOME ELDERLY AND PEOPLE WITH DISABILITIES
Fourteen North Carolina Communities To Benefit From Grants

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. In his statement, Secretary Martinez announced that fourteen North Carolina communities are to benefit from this assistance. (See attached listing.)

"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.
  

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.

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.

###

Note to editors: View a detailed state-by-state breakdown of individual grant summaries.

NORTH CAROLINA

Section 202 - Supportive Housing for the Elderly

Project Location: Ahoskie, NC
Non-Profit Sponsor: Metropolitan Low Income Hsg & CDC, Inc.
Co-Sponsor: Wactor Temple AME Zion Church, Inc.
Capital Advance: $1,049,800
Five-year rental subsidy: $173,500
Number of units: 12
Project Description:
This project will consist of 12 one-bedroom units of housing for the elderly in the town of Ahoskie, North Carolina.
The site is located adjacent to the existing Wactor Gardens, Phase I and within walking distance of shopping and medical facilities. Each unit will be wired for the internet. The community space will include multi-purpose meeting room, a library/computer center, an office, a separate entry laundry area and a front porch/patio.

Project Location: Clinton, NC
Non-Profit Sponsor: National Church Residences
Capital Advance: $3,552,000
Five-year rental subsidy: $592,500
Number of units: 42
Project Description:
This project will consist of 41 one-bedroom units of housing for the very low-income elderly and a two-bedroom
unit for a resident manager in the town of Clinton, North Carolina. The site is located within a very short distance
of drug stores, banks, grocery stores and medical facilities. National Church Residences has area service providers who will provide a wide variety of services and programs. Community space will include an activity room and
laundry.

Project Location: Conover, NC
Non-Profit Sponsor: North Carolina Housing Foundation Inc
Co-Sponsor: YMCA of Catawba Co.
Capital Advance: $3,499,500
Five-year rental subsidy: $578,000
Number of units: 40
Project Description:
This project will consist of 40 one-bedroom units of housing for the elderly in the town of Conover, North Carolina. The residents will have access to the facilities, activities, and programs offered by the YMCA, located across the street. The site is located within walking distance of a shopping center which includes a grocery store and other residential support facilities. A Service Coordinator will be hired to assist the residents in accessing community-
based services more efficiently and effectively.

Project Location: King, NC
Non-Profit Sponsor: Christian Village, Inc.
Capital Advance: $1,979,400
Five-year rental subsidy: $332,500
Number of units: 23
Project Description:
This project will consist of 23 units of housing for the elderly in the Town of King, NC. The project will be surrounded by a large residential area and is within a very short distance of grocery stores, drug stores, restaurants, and other support facilities. A Service Coordinator will be hired to assist the residents in accessing community-based services more efficiently and effectively. Community space will be included in the design of the project.

Project Location: Kings Mountain, NC
Non-Profit Sponsor: 1st Presbytery of the ARP Church
Capital Advance: $3,674,500
Five-year rental subsidy: $607,000
Number of units: 42
Project Description:
This project will consist of 42 units of housing for the elderly in the Town of King's Mountain, NC. In addition to
single family residences, there are several residential support facilities within several blocks of the project, such as grocery store, drug store, and the Senior Center. A Service Coordinator will be hired to assist the residents in accessing community-based services more efficiently and effectively. Community space will contain a multi-purpose room with a kitchen, lounge/library area, and office space.

Project Location: Roanoke Rapids, NC
Non-Profit Sponsor: John H. Wellons Foundation, Inc.
Co-Sponsor: Choanoke Area Development Assoc. of NC, Inc.
Capital Advance: $3,674,500
Five-year rental subsidy: $607,000
Number of units: 42
Project Description:
This project will consist of 42 one-bedroom units of housing for the elderly in the town of Roanoke Rapids, North Carolina. The site is located within a very short distance of drug stores, grocery stores, a mall, and medical
facilities. A Service Coordinator will be hired to assist the residents in accessing community-based services more efficiently and effectively. Community space will contain a laundry and manager's office.

Section 811 - Supportive Housing for Persons with Disabilities

Project Location: Asheboro, NC
Non-Profit Sponsor: Mental Health Assoc. in NC, Inc.
Co-Sponsor: NC Mental Health Consumers Organization
Capital Advance: $860,600
Five-year rental subsidy: $144,500
Number of units: 10
Project Description:
The funds will create newly constructed apartments for 10 persons disabled with chronic mental illness. The project will consist of five duplex units with one duplex containing common space, laundry and office. These apartments will greatly expand the availability of these unit types in the continuum of housing choices for persons with disabilities
in Randolph County.

Project Location: Charlotte, NC
Non-Profit Sponsor: Mental Health Assoc. in NC, Inc.
Co-Sponsor: NC Mental Health Consumers Organization
Capital Advance: $455,400
Five-year rental subsidy: $72,500
Number of units: 5
Project Description:
The funds will be used to purchase 5 units in two condominium developments and make them available to very low-income persons who are disabled by chronic mental illness. Mental Heath Association in North Carolina has 5 apartment complexes and 5 group homes in the City of Charlotte.

Project Location: Dunn, NC
Non-Profit Sponsor: The ARC of Harnett County
Co-Sponsor: ARC/Housing Development Services, Inc
Capital Advance: $410,500
Five-year rental subsidy: $87,000
Number of units: 6
Project Description:
The funds will be used to construct a six-person group home for very low-income persons with developmental disabilities. This will be the third Section 811 group home in Harnett County and the first for the city of Dunn and
will be accessible to many amenities and services in the community.

Project Location: Durham, NC
Non-Profit Sponsor: AIDS Community Residence Assoc, Inc.
Capital Advance: $410,500
Five-year rental subsidy: $87,000
Number of units: 6
Project Description:
The proposed project is a six-person group home for persons with physical and other disabilities caused by the HIV virus. This project will replace a home that has been in use since 1984 and will be accessible to many amenities
and services in the community.

Project Location: Fayetteville, NC
Non-Profit Sponsor: Abilities of Florida Inc
Capital Advance: $1,469,100
Five-year rental subsidy: $202,500
Number of units: 14
Project Description:
Funds will be provided to develop 14 condominium units for persons with physical disabilities including persons with mobility impairments, spinal cord and brain injuries, quadriplegia, and epilepsy. It will be the first Section 811
housing for this population in the City of Fayetteville.

Project Location: Kannapolis, NC
Non-Profit Sponsor: Mental Health Assoc. in NC, Inc.
Co-Sponsor: NC Mental Health Consumers Organization
Capital Advance: $392,600
Five-year rental subsidy: $87,000
Number of units: 6
Project Description:
The funds will create a newly constructed six-bedroom group home for persons with chronic mental illness in a residential neighborhood in Kannapolis allowing the home to be fully integrated into the community. The proposed group home will provide accommodations to persons returning to the community from state hospitals or who need housing with the availability of supportive services less restrictive than in institutional settings.

Project Location: Raleigh, NC
Non-Profit Sponsor: CASA
Capital Advance: $1,305,100
Five-year rental subsidy: $202,500
Number of units: 15
Project Description:
The proposed project will be a two-story building consisting of 14 apartments and 1 manager's unit for persons with chronic mental illness. The complex will feature a secure central entrance which can be monitored by the manager whose office is adjacent to the entrance. The project will be accessible to many amenities and services in the community.

Project Location: Wilson, NC
Non-Profit Sponsor: Mental Health Assoc. in NC, Inc.
Co-Sponsor: NC Mental Health Consumers Organization
Capital Advance: $1,233,800
Five-year rental subsidy: $202,500
Number of units: 15
Project Description:
This project will be the second independent living project in the City of Wilson consisting of 14 apartment units for persons with chronic mental illness and 1 manager's unit. It will be located on the eastern side of the city which
will promote greater housing opportunities for minority persons with disabilities.