BUSH ADMINISTRATION ANNOUNCES MORE THAN $23 MILLION TO HELP VERY LOW-INCOME ELDERLY AND PEOPLE WITH DISABILITIES IN TEXAS
Austin, Georgetown, Houston, La Porte, Odessa, Orange and Tyler Awarded Grants

WASHINGTON D.C - Thousands of additional senior citizens and people with disabilities in Arkansas will soon be able
to find affordable housing, thanks to more than $633 million in housing assistance announced today by the U.S. Department of Housing and Urban Development. HUD Secretary Alphonso Jackson today. Grantees in Texas received
a total of $23,815,400 (A list of individual grantees and amounts follows).

"These grants will help the nation's very low-income elderly and people with disabilities find decent housing that they can afford," said Jackson. "Neither group should ever have to worry about being able to find a safe place to live."

Section 202 Grants ($511.9 million nationwide to assist very low-income elderly).

HUD's Section 202 grants program helps expand the supply of affordable housing with supportive services for the elderly. It provides very low-income elderly with options that allow them to live independently but in an environment that provides support activities such as cleaning, cooking, and transportation.

In addition to funding the construction and rehabilitation of projects to create apartments, HUD Section 202 grants will subsidize rents for three years so that residents will pay only 30 percent of their adjusted incomes as rent.

To be eligible for the assistance a household must be classified as "very low-income," which means an income less than 50 percent of the area median. Nationally, based on 50 percent of the national median family income with an applicable adjustment for household size, a one-person household would need to have an income equal to or less
than $20,850 a year.

Section 811 Grants ($121.3 million nationwide to assist very low-income people with disabilities).

This housing, most of which will be newly constructed, typically is small apartment buildings, group homes for three
to four people per home, or condominium units. Residents will pay 30 percent of their adjusted income for rent and
the federal government will pay the rest.

The grants are awarded under HUD's Section 811 program, which provides housing for households with one or more very low-income individuals, at least one of whom is at least 18 years old and has a disability, such as a physical or developmental disability or chronic mental illness. The term "person with disabilities" also includes two or more people with disabilities living together, and one or more persons with disabilities living with one or more live-in attendants. The program allows persons with disabilities to live independently in their communities by increasing the supply of rental housing with the availability of supportive services.

To be classified as "very low-income," a household income cannot exceed 50 percent of the area median income. However, most households that receive Section 811 assistance have an income less than 30 percent of the area median. Generally, this means that a one-person household will have an annual income of about $12,550.

HUD provides the Section 202 and Section 811 funds to non-profits in two forms:

• Capital advances. This is money that covers the cost of developing the housing. It does not need to be
  repaid as long as the housing is available for at least 40 years for occupancy by very low-income seniors
  (under Section 202) or very low-income people with disabilities (under Section 811).
  
  
• Project rental assistance. This is money that goes to each non-profit group to cover the difference
  between the residents' contributions toward rent and the cost of operating the project.

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.

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Section 202 - Supportive Housing for the Elderly

Project Location:  Georgetown, TX
Non-Profit Sponsor:  United Methodist Church Wesleyan Home
Capital Advance:  $1,753,000
Three-year rental subsidy:  $200,400
Number of units:  23
Project Description: Through mixed financing, the Sponsor will rehabilitate a dormitory-style retirement home into a 51-unit independent living facility. Twenty-three of the project's 51 units will be Section 202 units, while the other
28 will be tax credit units. To enable the very low-income elderly residents to age in place, visitability and universal design standards will be incorporated. A community room will be utilized for a variety of social, educational and recreational activities. To promote energy efficiency, Energy-Star products will be utilized.

Project Location:  Houston, TX
Non-Profit Sponsor:  Pilgrim Senior Citizens Housing Development
Capital Advance:  $4,666,400
Three-year rental subsidy:  $565,500
Number of units:  60
Project Description: The funds will be used to construct 60 one-bedroom units for very low-income elderly persons. The three-story building will include an elevator with a gated secured entrance. The property is located on the
public transit system bus route. Although shopping and other conveniences are in close proximity of the site, transportation services will be available to transport residents to shopping centers, medical facilities, and activity programs outside the area.

Project Location:  La Porte, TX
Non-Profit Sponsor:  Methodist Retirement Communities
Capital Advance:  $4,744,100
Three-year rental subsidy:  $575,100
Number of units:  61
Project Description: The funds will be used to construct 61 one-bedroom units for very low-income elderly persons. The new project will be located at 1111 Bayshore Drive, La Porte, Texas. The single three-story building will include an elevator, an office, maintenance, amenity spaces and community spaces. The site is within convenient walking distance of shopping centers, employment opportunities, businesses, community services, churches, hospitals,
parks, and restaurants. Each unit will be designed with a kitchen/dining area, living area, bath and a bedroom.

Project Location:  Odessa, TX
Non-Profit Sponsor:  Christian Church Homes of Northern CA
Capital Advance:  $2,162,100
Three-year rental subsidy:  $274,500
Number of units:  30
Project Description: The funds will be used to construct 30 one-bedroom units for very low-income elderly persons. The residents will receive the supportive services necessary to allow them to live as independently as possible.
Goods and services such as homemaker, transportation, congregate meals and home-delivered meals will also be available for eligible residents to purchase. An onsite Service Coordinator's office will offer a private, comfortable space in which residents can share their concerns and needs in addition to acquiring other services and counseling.

Project Location:  Tyler, TX
Non-Profit Sponsor:  NE Texas Disciples Homes, Inc.
Capital Advance:  $4,036,300
Three-year rental subsidy:  $474,600
Number of units:  51
Project Description: The funds will be used to construct 50 one-bedroom units and a two-bedroom resident
manager's unit. The project will benefit very low-income elderly citizens by expanding the supply of affordable housing. It will provide a range of services tailored to meet the special needs of the residents. Meal services, transportation, case management counseling, home health/visiting nurse care, homemaker/companion, legal, exercise/therapy, social and recreational activities are only a few of the services to be provided on an as needed basis.

Section 811 - Supportive Housing for Persons with Disabilities

Project Location:  Austin, TX
Non-Profit Sponsor:  UCP of TX Inc
Capital Advance:  $713,600
Three-year rental subsidy:  $87,300
Number of units:  10
Project Description: The Sponsor will use the funds to purchase 10 one-bedroom condominiums for very low-income persons with disabilities. The condominiums will be a part of a larger 90-unit development that features interior courtyards with lush landscaping. The open plan of the units will accommodate people with mobility impairments and enable them to live independently. The property is within walking distance of a grocery store, restaurant, and a nearby bus stop. All of the appliances will be Energy-Star rated for energy efficiency.

Project Location:  Houston, TX
Non-Profit Sponsor:  UCP of Greater Houston, Inc
Capital Advance:  $573,700
Three-year rental subsidy:  $47,400
Number of units:  5
Project Description: The funds will be used to rehabilitate five three-bedroom homes for five very low-income
families in which one family member aged 18 years or older has a physical disability. This independent living project
will be located on scattered sites and will therefore be integrated in the community. Each three-bedroom home will
be made fully accessible and will have Energy Star rated appliances.

Project Location:  Houston, TX
Non-Profit Sponsor:  UCP of Greater Houston, Inc
Capital Advance:  $1,130,300
Three-year rental subsidy:  $132,000
Number of units:  15
Project Description: The funds will be used to construct fourteen one-bedroom units for very low-income persons
with physical disabilities and a two-bedroom unit for the resident manager. Energy efficiency will be incorporated into the design and construction of this independent living project. The apartments will be accessible for persons with disabilities and will allow residents to live as independently as possible.

Project Location:  Orange, TX
Non-Profit Sponsor:  Plan of South East Texas
Capital Advance:  $1,502,000
Three-year rental  subsidy: $179,100
Number of units:  20
Project Description: The funds will be used to construct 19 one-bedroom units for very low-income persons with chronic mental illness and a two-bedroom unit for the resident manager. This independent living project will be
located on a site that is near recreational facilities, stores and services. The cottage style apartments will be accessible for persons with disabilities and will allow residents to live as independently as possible.