WASHINGTON, DC – In an effort to give more Rhode Islanders access to safe and affordable housing, U.S. Senator Jack Reed (D-RI), a member of the Banking Committee, which oversees federal housing policy, today announced that the state will receive a total of $10,466,846 in federal funding from the U.S. Department of Housing and Urban Development (HUD).
“This federal funding will help revitalize neighborhoods throughout Rhode Island and provide more seniors and working families with access to safe and affordable housing. This federal infusion of $10.4 million can be used for a variety of housing needs, from helping first-time homebuyers with down payments and closing costs to rehabilitating homes in downtown areas,” said Reed, who is also a member of the Appropriations Committee, which provides all federal spending on HUD programs. “Hard working families deserve a shot at the American dream, and that’s why I will keep working to provide Rhode Island with a flexible source of funding for a host of economic development and community enhancement activities.”
The funds are provided through four different HUD programs:
- The Community Development Block Grant Program (CDBG) – $5,156,870
- Home Investment Partnership Program (HOME) – $4,920,821
- Emergency Shelter Grant Program (ESG) – $350,005
- American Dream Downpayment Initiative (ADDI) – $39,150
The Community Development Block Grants program provides annual grants to states and local governments 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.
The HOME program helps to expand the supply of decent, affordable housing to low- and very low-income families by providing grants to states and local governments to fund housing programs that meet local needs and priorities.
The Emergency Shelter Grants program provides annual grants to state, local, and private entities to improve the quality and number of emergency homeless shelters.
The American Dream Downpayment Initiative is a new program under HOME that will promote homeownership opportunities by providing necessary resources for downpayment and closing cost assistance to low-income and minority households.
Senator Reed has been a strong supporter of these housing assistance programs. He also authored several key provisions in the Foreclosure Prevention Act of 2008, which the U.S. Senate is soon expected to take up and pass to help stem the tide of foreclosures across the country and prevent future housing crises.