The U.S. Department of Housing and Urban Development (HUD) has recently announced the allocation of $5.6 billion in funding for grants to support affordable housing, community development, and homeless assistance programs. The grants will be awarded to 1,200 communities across the United States through more than 2,400 grants, including states, urban counties, insular areas, the District of Columbia, Puerto Rico, and local organizations.
HUD Secretary Marcia L. Fudge emphasized that viable communities must promote integrated approaches to develop decent housing, and suitable living environments, and expand economic opportunities for the most vulnerable. These funds provide communities with the opportunity to address their unique needs by prioritizing what matters most to their residents and allowing them to own their investments in community development through federal resources.
The grants are distributed through several HUD programs, including the Community Development Block Grants (CDBG), HOME Investment Partnerships Program (HOME), Housing Opportunities for Persons With HIV/AIDS (HOPWA), Emergency Solutions Grants (ESG), and the Recovery Housing Program (RHP).
Community Development Block Grants (CDBG)
The CDBG program provides annual grants on a formula basis to states, cities, counties, and insular areas to develop stronger, more resilient communities. The program aims to provide decent housing and a suitable living environment and to expand economic opportunities for low- and moderate-income people. In 2022, the program helped over 60,000 families with housing activities, 46,000 individuals with job creation or retention, 83,500 people experiencing homelessness with improvements to homelessness facilities, over 5.3 million people with public services, and over 39 million people with public improvements.
HOME Investment Partnerships Program (HOME)
The HOME program is the primary federal tool of states and local governments to produce affordable rental and owner-occupied housing for low-income families. HOME funds a wide range of activities, including building, buying, and rehabilitating affordable housing for rent or homeownership, or providing direct rental assistance to low-income people. HOME projects leverage non-federal funds, including tax credits for affordable rental housing. In 2022, the program helped create over 15,000 units of housing, and nearly 17,000 households were assisted with tenant-based rental assistance through the HOME program.
Housing Opportunities for Persons With HIV/AIDS (HOPWA)
The HOPWA program provides stable and permanent housing assistance and supportive services to low-income people living with Human Immunodeficiency Virus (HIV). Over 100,000 households receive HOPWA housing assistance and/or supportive services annually. HUD will allocate $499 million to 130 qualifying cities and eligible states to connect people with HIV/AIDS to housing and support.
Emergency Solutions Grants (ESG)
The ESG program provides funds for homeless shelters, assists in the operation of local shelters, and funds related to social service and homeless prevention programs. Recipients enable people to quickly regain stability in permanent housing after experiencing a housing crisis and/or homelessness. ESG funds may be used for street outreach, emergency shelter, homelessness prevention, and rapid re-housing assistance. Annually, ESG connects over 350,000 people to the emergency shelter as they transition to permanent housing. HUD will allocate $290 million to 359 states and localities to address homelessness.
Recovery Housing Program (RHP)
The RHP program allows states and the District of Columbia to provide stable, transitional housing for individuals in recovery from a substance use disorder. HUD will allocate $30 million to 23 states and the District of Columbia to support recovery from substance use disorder.
