HUD SECRETARY DONOVAN ANNOUNCES ALMOST $25 MILLION FOR COMMUNITY DEVELOPMENT AND PUBLIC IMPROVEMENTS IN NEW JERSEY

NEW YORK - Attending the New Jersey Governor's Conference in Atlantic City today, U.S. Housing and Urban Development Secretary Shaun Donovan took the occasion to announce that the State of New Jersey will receive $24,596,700 to support community development, affordable housing and public projects. (Attached is a list of
funding to specific communities, which includes the City of Elizabeth, Ocean City, Passaic and Gloucester counties
and the State of New Jersey.)

"This funding represents HUD's continuing investment in helping our local partners improve their communities," said Donovan. "If we hope to lay the groundwork for sustainable growth and prosperity in the future, it's critical that we help state and local communities to make the needed improvements and to produce more affordable housing."

The total funding announced today includes:

Since 1974, HUD's Community Development Block Grant (CDBG) Program has provided approximately $124 billion to state and local governments to target their own community development priorities. The rehabilitation of affordable housing and the improvement of public facilities have traditionally been the largest uses of CDBG, although the program is also an important catalyst for job growth and business opportunities. Annual CDBG funds are distributed
to communities according to a statutory formula based on a community's population, poverty, and age of its housing stock.

HOME (HOME Investment Partnerships Program) is the largest federal block grant to state and local governments designed exclusively to produce affordable housing for low-income families. Since 1992, more than 600 communities have completed more than 900,000 affordable housing units, including 383,000 for new homebuyers. In addition, 209,000 tenants have received direct rental aid.

Emergency Shelter Grants (ESG) provides homeless persons with basic shelter and essential supportive services.
It can assist with the operational costs of the shelter facility, and for the administration of the grant. ESG also provides short-term homeless prevention assistance to persons at imminent risk of losing their own housing due to eviction, foreclosure, or utility shutoffs.

HUD's Housing Opportunities for Persons with AIDS (HOPWA) grants are distributed to states and cities based on the number of AIDS cases reported to the Centers for Disease Control and Prevention. The grants provide resources for operating community residences and providing rental assistance and support services to individuals with HIV/AIDS
and their families. In addition, the HOPWA program also helps many communities develop strategic AIDS housing
plans and fill in gaps in local systems of care. A stable home environment is a critical component for low-income persons managing complex drug therapies and potential side effects from their treatments.

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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 at www.hud.gov and espanol.hud.gov.

State of New Jersey

CDBG   $7,086,011 Funds will be distributed to non-entitlement communities for Emergency Housing Repair and Housing Rehabilitation programs, Public Facilities, and Innovative Development (for activities which do not fall under one of the other categories).

HOME   $7,728,460 The State will fund the following activities: substantial rehabilitation, new construction, and tenant-based rental assistance and operating grants for Community Housing Development Organizations (CHDOs). Eligible applicants for HOME funds are municipalities, nonprofit and for-profit developers.

ESG   $1,599,036 Funds may be used to implement renovation, major rehabilitation, or conversion of buildings for
use as emergency shelter and transitional housing for the homeless, construction of new transitional housing for the homeless, purchase of equipment, furnishings, and vans that will provide direct benefits to the shelter's residents.
All units of government or private, nonprofit organizations throughout New Jersey may apply for funding.

HOPWA   $1,109,696 The New Jersey Department of Health and Senior Services (NJDHSS) is the recognized
HOPWA grantee. The New Jersey Department of Community Affairs (NJDCA) has been designated as the project sponsor and administers the HOPWA-funded programs on behalf of the NJDHSS. In 2009, the State of New Jersey utilized its HOPWA monies to fund tenant-based rental assistance programs in Atlantic, Cape May, Cumberland, Mercer, Salem, and Warren Counties.

City of Elizabeth

CDBG   $2,083,270 The City funds a number of Public Services, including Community Access Unlimited to assist low/moderate income residents with disabilities who are either under employed or unemployed, with job training, development, placement and coaching; Urban League for comprehensive housing counseling services for
low/moderate income persons; YM-YWHA for transportation for low/moderate income seniors and latch-key children; Central Jersey Legal Services for low income tenants to prevent homelessness; Literacy Volunteers of Union County, Inc. to provide training materials; and other services for low and moderate income persons. Public Facilities and Improvements include providing/improving pocket parks; and, replacing a boiler in a facility where public services are provided.

HOME   $1,510,695 Funds will be provided for Rental Housing Programs (new construction), Homebuyer Program (down payment, closing cost and repair assistance for homebuyers), and Community Housing Development Organizations (CHDOs).

ESG   $90,009 Funds will be provided to non-profits to be used for homeless prevention for the elderly and/or developmentally disabled, and for families; operating costs for transitional housing facility, and to provide essential services for homeless families.

Passaic County

CDBG   $874,892 Funds will be provided for Public Facilities and Improvements, including storm drainage improvements, construction of sidewalks in parts of various communities, handicapped accessibility improvements to the community/senior center in Haledon Borough, historic preservation for the library in Pompton Lakes, and replacement of septic system at a shelter for victims of domestic violence. Funds for Public Service will be used for bus transportation for medical visits, and to allow senior citizens to travel to retail shops in Bloomingdale, Pompton Lakes, Wanaque, and West Milford.

Gloucester County

CDBG   $1,417,649 Funds will be provided for Housing rehabilitation assistance to retain existing housing stock for both owner and renter, and for a wide range of public services, especially for the disabled, youth, parent development, and child care services. Funds for Public Facilities/infrastructure improvements will be used to leverage local funding to improve facilities for seniors, youth, local neighborhoods, parks and recreational facilities, street, water, sewer, and drainage.

HOME   $795,143 Funds will be provided for Development of special needs housing, such as utilizing Community Housing Development Organizations (CHDOs) and nonprofit organizations to develop housing facilities for the
homeless and supportive housing units for persons with special needs. Funds will also be used for down payment
and closing cost assistance for low and moderate-income homebuyers.

Ocean City

CDBG   $301,839 Funds will be used for Community-wide removal of architectural barriers to improve public
facilities, sidewalks, and boardwalk access ramps between the end of the streets and boardwalks leading to public beaches.