HUD AWARDS NEW YORK CITY $355 MILLION FOR AFFORDABLE HOUSING AND COMMUNITY DEVELOPMENT

NEW YORK - Housing and Urban Development Secretary Alphonso Jackson today announced that New York City will receive $355,304,910 to promote a variety of community development and affordable housing programs. HUD funding will also provide downpayment assistance to first-time homebuyers and assist individuals and families who might otherwise be living on the streets. Jackson also announced grants to provide real housing solutions for individuals
with HIV/AIDS.

"This funding will help build better communities from the ground up," said Jackson. "Whether it's assisting
communities to improve their infrastructure or helping first-time homebuyers to realize their 'American Dream,' HUD
is helping neighborhoods become better places to live and work."

The funding announced today includes:

• $178,008,585 in Community Development Block Grant (CDBG) funds;
• $111,971,510 in HOME Investment Partnerships (HOME) funding;
• $544,149 in American Dream Downpayment assistance;
• $7,969,489 in Emergency Shelter Grant (ESG); and,
• $56,811,177 for Housing Opportunities for Persons with AIDS (HOPWA).

Since 1974, HUD's Community Development Block Grant (CDBG) Program has awarded approximately $120 billion to state and local governments to target their own community development priorities. CDBG is one of HUD's oldest and most flexible and popular programs. The rehabilitation of affordable housing and construction of public facilities and improvements have traditionally been the largest uses of the grants, although CDBG is also an important catalyst
for job growth and business opportunities. CDBG funds are distributed by formula around the country based on a community's population, poverty, the age of its housing stock, and extent of overcrowded housing.

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 almost 834,000 affordable housing units, including over 352,000 for new homebuyers. In addition, over 186,000 tenants have received direct rental assistance.

The American Dream Downpayment Initiative (ADDI) helps first-time homebuyers with the biggest hurdle to homeownership: downpayment and closing costs. The program was created to assist low-income first-time homebuyers in purchasing single-family homes by providing funds for downpayment, closing costs, and rehabilitation carried out in conjunction with the assisted home purchase. Since the program's inception, ADDI has assisted over 29,000 households to purchase their first home. Information about this program is available at www.hud.gov/offices/cpd/affordablehousing/programs/home/addi/index.cfm

Emergency Shelter Grants (ESG) help local communities to meet the basic shelter needs of homeless individuals and families. These grants also provide transitional housing and a variety of support services designed to move the homeless away from a life on the street toward permanent housing. This block grant program, along with more than
$1 billion HUD grants awarded by competition, helps thousands of local homeless assistance programs to help those who would otherwise call the streets their home.

HUD's Housing Opportunities for Persons with AIDS (HOPWA) grants are distributed based on the number of AIDS
cases reported to the Centers for Disease Control and Prevention. The grants provide 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 as well as enforces the nation's fair housing laws. More information about HUD and its programs is available on the Internet and espanol.hud.gov.