LC receives money for Housing and Community Development - KPLC 7 News, Lake Charles, Louisiana

LC receives money for Housing and Community Development

The following is a News Release from the U.S. Department of Housing and Urban Development:

U.S. Housing and Urban Development Secretary Shaun Donovan today announced the cities of Lake Charles, Lafayette, and St. Tammany Parish will receive at total of $4,398,166 to support community development and produce more affordable housing. 

The FY2011 Continuing Resolution significantly reduced overall funding for the CDBG and HOME programs compared to last year.  The nation's CDBG funding was reduced by more than $600 million, or approximately 16.5 percent, while the HOME program funding was reduced by more than $200 million, or approximately 11.7 percent. 

"This year's block grant funding requires tough choices that we would not have made in better circumstances," Donovan said.  "As we work under the challenges of our nation's deficit, we must also understand that these programs are absolutely essential in promoting community development, producing affordable housing, helping our homeless and even supporting long-term disaster recovery."

The funding announced today includes:

  • $3,260,370 in Community Development Block Grant (CDBG) funds;
  • $1,137,796 in HOME Investment Partnerships (HOME) funding;
  • $4,398,166 TOTAL – See below for funding breakdown

Since 1974, HUD's Community Development Block Grant (CDBG) Program has provided approximately $132 billion to state and local governments to target their own community development priorities.  The rehabilitation of affordable housing and the improvement of public facilities have traditionally been the largest uses of CDBG although the program is also an important catalyst for job growth and business opportunities.  Annual CDBG funds are distributed to communities according to a statutory formula based on a community's population, poverty, and age of its housing stock, and extent of overcrowded housing.  

HOME (HOME Investment Partnerships Program is the largest federal block grant to state and local governments designed exclusively to produce affordable housing for low-income families.  Since 1992, more than 600 communities have completed nearly 950,000 affordable housing units, including 403,000 for new home buyers.  In addition, 224,000 tenants have received direct rental assistance.

HUD is instituting several important program priorities in the upcoming year.  First, the Department's consolidated planning process will be enhanced.  Largely unchanged since the mid-1990s, the ‘Con Plan' will be simplified by integrating HUD's technology systems and eliminating the need to prepare a separate annual performance report.  Second, HUD's Office of Community Planning and Development is moving rapidly to implement its unified OneCPD technical assistance process which is particularly important as many local governments continue to struggle with budgetary pressures resulting from the economic downturn.  Finally, HUD is again urging grantees to consider the needs of returning veterans and their families in the design and administration of these formula programs. 

LAFAYETTE

CDBG

1,479,842

 

HOME

698,297

LAKE CHARLES

CDBG

781,945

 

HOME

439,499

ST. TAMMANY PARISH

CDBG

998,583

Total

 

$4,398,166

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