July 15, 2004
BUSH ADMINISTRATION ANNOUNCES MORE THAN $8 MILLION TO
STIMULATE ECONOMIC DEVELOPMENT AND HOUSING IN THREE OREGON COMMUNITIES
HUD grants targeted to lower income persons in Clackamas County, Corvallis, and Salem
PORTLAND, OR � Clackamas County, the Cities of Corvallis and Salem will receive more than $8 million in federal funding from the Department of Housing and Urban Development to stimulate their local economy, produce affordable housing, provide downpayment assistance, and help homeless individuals and families. HUD Secretary Alphonso Jackson said the funding represents another investment in improving the living conditions for Oregon's lower income families.
Clackamas County will receive $3,988,664; the City of Corvallis,
$1,131,310; and the City of Salem, $2,890,885.
(See chart below for details.)
"This Administration is committed to promoting economic development and job growth, increasing the supply of affordable housing, and helping our most vulnerable neighbors," said Housing and Urban Development Secretary Alphonso Jackson. "These funds will serve as a catalyst for low-income families trying to cross the threshold into homeownership and reinforces our commitment to rebuilding entire communities."
For the past 30 years, HUD's Community Development Block Grant (CDBG) Program has awarded over $100 billion to state and local governments to target their own community development priorities. CDBG is one of HUD's oldest and most popular programs. The rehabilitation of affordable housing has traditionally been the largest single use 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, income levels, poverty rates and the 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 committed to produce nearly 785,000 affordable housing units, including almost 300,000 for new homebuyers purchasing their first home. In addition, over 100,000 tenants have received direct rental assistance.
American Dream Downpayment Initiative (ADDI) grants are being awarded for the first time through HUD's HOME program. Under this new initiative, signed into law by President Bush in December 2003, eligible low-income families buying their first home can qualify for downpayment and closing cost assistance of up to $10,000 or six percent of a home's purchase price, whichever is greater. Local communities will design their own downpayment assistance programs but ADDI is anticipated to create thousands of new first-time homeowners each year.
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, in concert with more than $1 billion HUD awards by competition, helps thousands of local homeless assistance programs to help those who would otherwise call the streets their home.
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.