$3.3 Million in Recovery Act Funding Announced for Memphis Re-Housing Programs

$3.3 Million in Recovery Act Funding Announced for Memphis Re-Housing Programs

Washington, DC – July 13, 2009 – (RealEstateRama) – Congressman Steve Cohen (TN-9) today announced that Memphis will receive $3,329,685 from the U.S. Department of Housing and Urban Development (HUD) to help re-house families who fall into homelessness, or prevent them from becoming homeless in the first place.  The funding is provided through the American Recovery and Reinvestment Act (ARRA) to help persons and families facing a sudden financial crisis that could lead to homelessness. 

“Memphis is one of the hardest hit cities in the nation as a result of the foreclosure crisis and these funds are going to make a real difference for those families facing the devastating prospect of losing the roof over their heads and having to live in a shelter — or worse, living on the streets,” Congressman Cohen said. “These federal funds are the textbook example of how the ARRA is reinvesting in our communities and helping struggling families to recover from this economic crisis.  I was proud to vote for these funds and will continue to do all that I can to make sure that our district gets crucial ARRA money sooner, rather than later.” 

“This is money that will not only spare families the hardships of homelessness, but will save taxpayers significant money in the long run,” said U.S. Housing and Urban Development Secretary Shaun Donovan.  “Often times, a little bit of financial assistance can make all the difference between a stable home and being forced to live in a shelter or on the streets.”

HUD’s new Homeless Prevention and Rapid Re-housing Program (HPRP) provides a total of $1.5 billion for communities nationwide to provide short- and medium-term rental assistance and services to either prevent individuals and families from becoming homeless or help those who are experiencing homelessness to be quickly re-housed and stabilized.

Grants provided under HPRP are not intended to provide long-term support for individuals and families, nor will they afford mortgage assistance to homeowners facing foreclosure.   Rather, HPRP offers a variety of short- and medium-term financial assistance to those who would otherwise become homeless, many due to sudden economic crisis.  This can include short-term rental assistance (up to three months), medium-term rental assistance (up to 18 months), security deposits, utility deposits, utility payments, moving cost assistance, and hotel vouchers.  Payments will not be made directly to households, but only to third parties, such as landlords or utility companies.

HPRP also provides assistance to rapidly re-house persons who are homeless and likely to remain stably housed, whether subsidized or unsubsidized, once the HPRP assistance concludes. 

Today’s federal funding award is included on a new Recovery Funding map that Congressman Cohen unveiled last week on his website – http://cohen.house.gov

Steven Broderick
Communications Director
Congressman Steve Cohen (TN-9)
1005 Longworth House Office Building
Washington, DC 20515
Direct: 202-226-7916
Main: 202-225-3265

<!– document.write( ” ); //–>

Previous articleCohen Chairs Hearing on Federal Efforts to Help Homeowners Avoid Foreclosure
Next articleHUD announces $46 million for affordable housing and community development in Tennessee