HUD OFFERS $15 MILLION IN GRANTS TO KEEP FAMILIES TOGETHER
Additional $5 million awarded to 11 housing authorities across U.S.

SPOKANE, WASHINGTON - The U.S. Department of Housing and Urban Development announced today that it is making $14.6 million in grants available to help local housing authorities across the country reunite thousands of children with their parents. The children are either in foster care orthere is a threat of being placed in the foster care system. Local housing authorities must apply for the money by December 3, 2009. Additionally, 11 public housing authorities will receive $5.4 million immediately. To read the full text of the funding notice announced today, visit HUD's website.

HUD Deputy Secretary Ron Sims announced the available funding at Housing Washington 2009, the 16th Annual Affordable Housing Conference in Spokane.

"It's fitting that I announce these available grants to unite families here in Spokane, since I feel like I'm among family," said Sims, himself a Spokane native. "Earlier this week, President Obama proclaimed Family Day on September 28th to emphasize the positive impact a loving, caring family has on children. Building strong, engaging families must first begin with a stable home. This funding will provide families the opportunity to safe, decent affordable housing for them and their children."

This funding, that will support approximately 1,940 vouchers, will be available to public housing authorities through HUD's Family Unification Program (FUP), which provides rental assistance to families whose lack of adequate housing is a primary cause of parents being separated or near-separated from their children. In addition this funding is used to help provide stable housing for young adults (ages 18-21) who have aged-out of the foster care system. These vouchers, like HUD's Housing Choice Vouchers, allow a family to rent housing from a private landlord and generally pay 30 percent of the family's monthly adjusted gross income towards rent and utilities.

The total 2009 funding is $20 million and, in addition to the $14.6 million in grants for housing authorities to apply for, 11 housing agencies will receive $5.4 million immediately. These agencies submitted qualified applications for 2008 funding, but were not awarded grants because all available funding was expended. Specific instructions in the 2008 funding notice guaranteed that approvable applications would receive money if funding was made available in 2009.

According to statistics from the National Center for Housing and Child Welfare (NCHCW), an affordable housing/child welfare advocacy group, keeping children in foster care is an expensive alternative to affordable housing. On average, it costs more than $48,000 annually per family when children enter foster care. By contrast, housing and services to keep a family together costs approximately $15,000 annually. Supportive services for FUP families and youth are provided by agencies funded through the U.S. Department of Health and Human Services. A $20 million investment in FUP vouchers saves more than $134 million in foster care costs.

Housing authorities that are awarded vouchers work closely with local public welfare agencies to identify youth at risk of homelessness and families for whom the lack of adequate housing is a primary reason the family's children are in, or must be placed in, foster care.

PHAs Awarded 2009 FUP NOFA Funds Today:

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HUD's mission is to create strong, sustainable, inclusive communities and quality affordable homes for all. HUD is working to strengthen the housing market to bolster the economy and protect consumers; meet the need for quality affordable rental homes: utilize housing as a platform for improving quality of life; build inclusive and sustainable communities free from discrimination; and transform the way HUD does business. More information about HUD and its programs is available on the Internet at www.hud.gov and espanol.hud.gov. You can also follow HUD on twitter @HUDnews, on facebook at www.facebook.com/HUD, or sign up for news alerts on HUD's News Listserv.