Recovery Act Funding For Affordable Housing Tops $4B

Posted by Orb Staff on December 22, 2009 No Comments
Categories : Residential Mortgage

The American Recovery and Reinvestment Act has now provided more than $4 billion in funding to spur the development of affordable housing, the Treasury Department revealed Tuesday.

To date, 50 state and territorial housing authorities have received payments in lieu of tax credits to stimulate the construction and completion of affordable-housing projects, including awards in this round made to Arizona, Delaware, Georgia, Hawaii, Indiana, Michigan, Minnesota, New Mexico, Ohio, Pennsylvania, and Utah, with Texas being a first-time recipient.

‘The Recovery Act has created innovative partnerships between federal and state governments to provide a much-needed boost to local economies,’ says Treasury Deputy Secretary Neal Wolin. ‘By uniting with state housing authorities, Treasury has made available more than $4 billion to jump-start housing development in communities around the country. That investment has already resulted in hundreds of new construction jobs and new housing units for families in need of affordable alternatives.’

In May, the Treasury Department launched a program under section 1602 of the Recovery Act to provide payments in lieu of tax credits to state housing agencies to jump-start the development or renovation of qualified affordable housing for families across the country. Upon receiving notice of these allocations, state housing authorities manage a competitive process to disburse funds to qualified developers. This is an ongoing program open to additional state applications.

A complete list of the program funds that have been awarded to states can be found on the Treasury's Web site.

SOURCE: Treasury Department

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