HUD ENTITLEMENT GRANTS
FY 2011-2012
Overview
The City of Roanoke receives new funds annually from the U.S. Department of Housing and Urban Development (HUD) in three grants: Community Development Block Grant (CDBG), HOME Investment Partnerships (HOME) and Emergency Shelter Grant (ESG). Roanoke is an entitlement community under the HUD programs. This means that HUD funds are allocated to the City every year using a formula based on population, income levels, and other factors. The total level of funding is determined by how much Congress appropriates for the entire nation.
CDBG
CDBG is a grant from HUD to the City of Roanoke that can be used for activities ranging from housing to economic development and from job training to construction projects. CDBG funds have been allocated to the City of Roanoke since 1975. For the 2011-2012 program year, the City has received $1,310,303 in new CDBG funds. With carry-over and program income, a total of about $2.3 million is available. CDBG funds are primarily intended to benefit low- and moderate-income persons and areas, though a limited amount can also be used for reducing slums and blight. The amount of funds that can be used for administration, planning and human services is also limited. These annual CDBG funds are separate from $500,675 CDBG funds being allocated to the City under the American Recovery and Reinvestment Act of 2009 (the "Stimulus").
HOME
The HOME program is exclusively for housing to benefit those of low or moderate income, including rehabilitation, new construction, homeownership assistance and improvements to rental housing. The City has been receiving HOME funds since 1992. For the 2011-2012 program year, the City has received $491,860 in new HOME funds. Including carry-over and program income, total HOME funds of $1.0 million are available. HOME funds require a 12.5% match. At least 15% of each annual HOME grant must be invested in qualifying projects conducted by Community Housing Development Organizations (“CHDOs”). Habitat for Humanity and Total Action Against Poverty are the City’s only certified CHDOs.
ESG
ESG funds provide for activities that assist homeless individuals and families. This grant is designed to improve the quality of existing emergency and transitional shelters for the homeless, assist with the costs of operating shelters, provide essential social services to homeless persons and help prevent homelessness. For the 2011-2012 program year, the City has received $81,671 in new ESG funds. ESG funds require a dollar-for-dollar match. These annual ESG funds are separate from $766,017 ESG funds being allocated to the City for Homelessness Prevention and Rapid Rehousing under the American Recovery and Reinvestment Act of 2009 (the"Stimulus").
FOR FURTHER INFORMATION, CONTACT:
Keith Holland, HUD Community Resources Division, 853-6404