HUD SECRETARY ANNOUNCES NEARLY $24 MILLION TO THE NEW YORK CITY HOUSING AUTHORITY TO PROTECT RENTAL ASSISTANCE VOUCHERS

NEW YORK - U.S. Housing and Urban Development Secretary Shaun Donovan announced today that the New York City Housing Authority (NYCHA) is among nearly 600 public housing agencies that will receive additional funding to support families currently participating in HUD's Housing Choice Voucher Program. NYCHA will receive nearly $24 million that will allow the agency to continue supporting approximately 2,500 families.

"This added funding will help NYCHA and housing agencies across the country," said Donovan at the Minister's Luncheon for the National Action Network 2010 Convention today. "This additional funding will help NYCHA continue to provide affordable housing for New Yorkers in need."

The funding announced today is part of a $150 million set-aside from HUD's 2010 budget that will give public housing agencies additional funding that will help them support existing vouchers. Last February HUD issued a notice informing public housing agencies that they could apply for this funding under the following four categories:

Category (1): to adjust the allocations for agencies that experienced a significant increase in renewal costs of rental assistance resulting from unforeseen circumstances or from families moving to higher cost areas

Category (2): for adjustment for agencies with voucher leasing rates at the end of 2009 that exceed the average leasing for federal fiscal year 2009 12-month period used to establish the allocation;

Category (3): for adjustments for the costs associated with Veterans Affairs Supportive Housing (VASH) vouchers; and

Category (4): for vouchers that were not in use during the Federal fiscal year 12- month period in order to be available to meet a commitment for project-based voucher assistance.

HUD reviewed approximately 1,000 submissions from agencies across the U.S. and awarded funding based on HUD's categories. Housing agencies that applied for funding will receive notifications of application status today. The Housing Choice Voucher Program is HUD's largest rental assistance program, with an $18,184,200,000 budget for 2010. The program supports approximately 2.1 million families through rental assistance payments that make housing more affordable.

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