HUD ANNOUNCES $10 MILLION FOR AFFORDABLE HOUSING AND COMMUNITY DEVELOPMENT IN SOUTH DAKOTA

SIOUX FALLS, SD - U.S. Housing and Urban Development Secretary Alphonso Jackson recently announced the State of South Dakota will receive more than $10 million to support community development and produce more affordable housing. HUD's annual funding will also provide downpayment assistance to first-time homebuyers, and assist individuals and families who might otherwise be living on the streets.

"This funding will help South Dakota improve its neighborhoods and affordable housing stock," said Jackson. "By
helping communities to improve their infrastructure or assisting families to purchase their first home, HUD is helping improve neighborhoods from the ground up."

The funding announced includes:

• $   6,530,307 in Community Development Block Grant (CDBG) funds;
• $   3,432,605 in HOME Investment Partnerships (HOME) funding;
• $       27,887 in American Dream Downpayment assistance; and
• $      347,692 in Emergency Shelter Grant (ESG).
• $10,338,491 TOTAL

Since 1974, HUD's Community Development Block Grant (CDBG) Program has provided more than $120 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, 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 more than 834,000 affordable housing units, including 352,000 for new homebuyers.  In addition, 186,000 tenants have received direct rental assistance.

The American Dream Downpayment Initiative (ADDI) helps first-time homebuyers with the biggest hurdles 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
nearly 29,000 families to purchase their first home. 

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.

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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
and espanol.hud.gov.