Economic Recovery Plan funds for Housing and Homelessness

by Richard W. Brown on January 15, 2009 · Comments

in Advocacy Network, Ending Homelessness

House Appropriations Committee lists funding list
Action Still Needed for funds end homelessness

Leaders of the U.S. House of Representatives released a draft of their proposed economic recovery legislation. The proposal includes $1.5 billion for homelessness prevention and re-housing, $15 billion for other housing programs, and billions more for poverty, infrastructure, and other needs as part of an $825 billion economic recovery package. The prevention and re-housing funding would be distributed through HUD’s Emergency Shelter Grants program, but would be used for short-term rental assistance, housing location, and housing stabilization services.

Housing and homelessness advocates including the Advocacy Network are also seeking funding for additional housing vouchers and for housing production through the National Housing Trust Fund, but those are not included in the proposal. If we are to end homelessness and avoid an unmanageable increase in number of homeless persons in New Jersey, join with the Advocacy Network in contacting our House members this week and ask your Representatives to sign the letter supporting these funds being circulated by Rep. Moore of Wisconsin! Click here for details.

A list of some of the housing and poverty-related provisions is below.

The Senate will introduce a proposal in the coming days, and Congress will try to complete legislation by mid-February. Click here for our post on action needed today to secure this additional funding.

Homeless Assistance Grants: $1.5 billion for the Emergency Shelter Grant program to provide short- term rental assistance, housing relocation, and stabilization services for families during the economic crisis. Funds are distributed by formula.

Emergency Food and Shelter: $200 million to help local community organizations provide food, shelter, and support services to the nation’s hungry, homeless, and people in economic crisis, including one-month utility payments to prevent service cut-offs and one-month rent or mortgage assistance to prevent evictions or help people leave shelters. Funds are distributed by formula based on unemployment and poverty rates.

Education for Homeless Children and Youth: $66 million for formula grants to states to provide services to homeless children, including meals and transportation. High unemployment and home foreclosures have created an influx of homeless kids.

Energy Efficiency Housing Retrofits: $2.5 billion for a new program to upgrade HUD-sponsored low-income housing to increase energy efficiency, including new insulation, windows, and furnaces. Funds will be competitively awarded.

Public Housing Capital Fund: $5 billion for building repair and modernization, including critical safety repairs. Every dollar of Capital Fund expenditures produces $2.12 in economic return. $4 billion of the funds will be distributed to public housing authorities through the existing formula and $1 billion will be awarded through a competitive process for projects that improve energy efficiency.

HOME Investment Partnerships: $1.5 billion to help local communities build and rehabilitate low-income housing using green technologies. Thousands of ready-to-go housing projects have been stalled by the credit crunch. Funds are distributed by formula.

Native American Housing Block Grants: $500 million to rehabilitate and improve energy efficiency at some of the over 42,000 housing units maintained by Native American housing programs. Half of the funding will be distributed by formula and half will be competitively awarded to projects that can be started quickly.

Neighborhood Stabilization: $4.2 billion to help communities purchase and rehabilitate foreclosed, vacant properties in order to create more affordable housing and reduce neighborhood blight.

Rural Housing Insurance Fund: $500 million to support $22 billion in direct loans and loan guarantees to help rural families and individuals buy homes during the credit crunch. Last year, these programs received $13.4 billion more in applications than they could fund.

Self-Help and Assisted Homeownership Program: $10 million for rural, high-need areas to undertake projects using sustainable and energy-efficient building and rehabilitation practices. Funds will be awarded by competition to projects that can begin quickly.

Lead Paint: $100 million for competitive grants to local governments and nonprofit organizations to remove lead-based paint hazards in low-income housing.

Rural Community Facilities: $200 million to support $1.2 billion in grants and loans to rural areas for critical community facilities, such as for healthcare, education, fire and rescue, day care, community centers, and libraries. There are over $1.2 billion in applications pending.

Community Services Block Grant: $1 billion for grants to local communities to support employment, food, housing, and healthcare efforts serving those hardest hit by the recession. Community action agencies have seen dramatic increases in requests for their assistance due to rising unemployment, housing foreclosures, and high food and fuel prices.

Community Development Block Grants: $1 billion for community and economic development projects, including housing and services for those hit hard by tough economic times.

Temporary Assistance for Needy Families: $2.5 billion for block grants to help States deal with the surge in families needing help during the recession and to prevent them from cutting work programs and services for abused and neglected children.

Low-Income Home Energy Assistance: $1 billion to help low-income families pay for home heating and cooling.

Troop Housing: $1.2 billion for new construction and $154 million for renovations to improve housing for our troops.

To view the full list click here.

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