On February 25, 2021, the U.S. Department of Housing and Urban Development (HUD) announced $5.5 billion in funding to local programs throughout the country that provide affordable housing, community revitalization and economic opportunity, and support to individuals and families experiencing homelessness.
As documented in the 2020 book, RECONOMICS: The Path To Resilient Prosperity, affordable housing is often the crucial component of community and (especially) downtown revitalization programs.
“These core programs provide our local partners the funding they need to provide homes and vital services to some of our neighbors in need,” said Acting Secretary Matt Ammon.
The new grants are provided through the following HUD programs:
- $3.4 billion — The Community Development Block Grant Program (CDBG) provides annual grants on a formula basis to states, cities, and counties to develop viable urban communities by providing decent housing and a suitable living environment, and by expanding economic opportunities, principally for low- and moderate-income persons;
- $1.3 billion — The HOME Investment Partnerships Program (HOME) provides funding to states and localities that communities use – often in partnership with local nonprofit groups – to fund a wide range of activities including building, buying, and/or rehabilitating affordable housing for rent or homeownership or providing direct rental assistance to low-income people;
- $387 million — The Housing Opportunities for Persons with AIDS (HOPWA) grants provides rental housing assistance for persons living with HIV/AIDS and their families;
- $290 million — Emergency Solutions Grants (ESG) provides funds for homeless shelters, assists in the operation of local shelters and funds related social service and homeless prevention programs; and
- $25 Million—The Recovery Housing Program (RHP) allows states and the District of Columbia to provide stable, transitional housing for individuals in recovery from a substance-use disorder.
“This funding comes at a critical time for our country, when these bedrock programs have never been more important,” said James Arthur Jemison, Principal Deputy Assistant Secretary for Community Planning and Development.
Combined, ESG, HOWPA, CDBG, HOME and RHP programs will provide critically needed funding to thousands of local programs in all 50 states, the District of Columbia, Puerto Rico, Guam, U.S. Virgin Islands, American Samoa, and Northern Mariana Islands.