HUD ANNOUNCES MORE THAN $11 MILLION TO CREATE HOUSING FOR VERY LOW-INCOME ELDERLY IN NEW HAMPSHIRE

It will soon be easier for low-income senior citizens to find affordable housing in New Hampshire thanks to $11 million in federal funding announced today by the U.S. Department of Housing and Urban Development. The funding is part
of $650 million awarded nationwide that will provide non-profit developers interest-free capital advances to produce accessible housing, offer rental assistance, and provide supportive services for the elderly and persons with
disabilities through HUD's Section 202 and Section 811 grant programs.

"These grants will help thousands of our nation's very low-income elderly and persons with disabilities find decent housing that they can afford," said HUD Secretary Steve Preston. "Neither group should ever have to worry about being able to find a safe place to live."

In New Hampshire, three grants were awarded under the Section 202 program:

• SNHS Management Corporation was awarded $5.5 million to create 34 units in Manchester
• CAP, Belknap-Merrimack Counties was awarded two grants totaling $5.5 million for a 34-unit project in
  Newbury

HUD's Section 202 Program expands the supply of affordable housing with supportive services for the elderly. It provides very low-income persons 62-years and older with the opportunity to live independently in an environment that provides the services they need. In addition to funding the construction, acquisition, and rehabilitation of multifamily developments, HUD's Section 202 program subsidizes the rents of senior citizens so they can limit their housing costs to only pay 30 percent of their incomes.

HUD's Section 811 Program provides affordable housing opportunities for people with disabilities.

HUD provides the Section 202 and Section 811 funds to non-profit organizations in two forms:

• Capital Advances. This is funding that covers the cost of developing, acquiring, or rehabilitating the development.
  
  
• Project Rental Assistance Contract (PRAC). This is funding that goes to each development to cover the difference between the residents' contributions toward rent and the HUD-approved cost of operating the project.

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Note to reporters: For specific information on a project, please contact the grantee. For information on HUD's Section 202 program, or other HUD services and programs, please contact Kristine Foye at (617) 994-8218 or via email.

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, and enforces the nation's fair housing laws. More information about HUD and its programs is available on the Internet
and espanol.hud.gov