HUD AWARDS $1.4 MILLION TO NEW YORK CITY TO COMBAT CHRONIC HOMELESSNESS
New York City one of 11 cities receiving grants through new pilot program

NEW YORK, NY - Chronically homeless individuals who find themselves living on New York City streets struggling with alcoholism will now find a permanent home because of over $1.4 million in funding announced today by Housing and Urban Development Assistant Secretary Pamela Patenaude. The funding, awarded to two New York City-based homeless providers, is part of $10 million award HUD is providing to a dozen pilot programs in 11 cities around the country. The new program, called Housing for People Who Are Homeless and Addicted To Alcohol, is a special pilot initiative designed to provide housing while also treating chronic alcoholism.

The funding announced today will provide two years of housing support to new programs designed by two of New
York City's most innovative and effective homeless providers: Project Renewal and Common Ground. Both will use
the funding to lease permanent housing and assist clients find available housing. Common Ground received $808,886 and Project Renewal received $637,560. Together they are expected to house over 70 chronically homeless individuals.

"This investment will help prevent chronically homeless individuals from experiencing the continuous cycle of incarceration, emergency room visits, and short-term shelter habitation," said Patenaude."This program
demonstrates HUD's compassionate commitment to our nation's most vulnerable citizens and represents an
important step toward achieving President Bush's goal of ending chronic homelessness in America."

Patenaude joined Mary Ellen Hombs, Deputy Director of the U.S. Interagency Council on Homelessness (ICH), Sean Moss, HUD Regional Director for New York and New Jersey, and Linda Gibbs, Commissioner of the New York City Department of Homeless Services during a downtown news conference at one of Project Renewal's emergency shelters.

"These HUD grants compliment and advance the strategies laid out in Mayor Bloomberg's five-year action plan to
end chronic homelessness," noted DHS Commissioner Linda Gibbs. "By targeting resources to address the root
causes and solutions to homelessness, this program will help chronically homeless individuals finally leave the
streets. We are thankful for HUD's continued investment in programs such as this one, and for their partnership in
our shared goal of ending chronic homelessness."

HUD and ICH worked closely to design this new demonstration program that targets individuals living on the streets
for at least 365 days over the last five years and who also have a long-term addiction to alcohol. This initiative is supported by research that suggests as many as 150,000 persons experiencing chronic homelessness also often
suffer from addiction to alcohol and tend to have the highest utilization of public facilities and services.

The following communities are receiving grants under HUD's new Housing for People Who Are Homeless and Addicted To Alcohol program (see attached list):

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