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HUD No. 16-068
Brian Sullivan
(202) 708-0685
FOR RELEASE
Wednesday
May 4, 2016
 

HUD ALLOCATES $174 MILLION THROUGH NEW HOUSING TRUST FUND
First-ever allocations to help States produce affordable housing
 

WASHINGTON – For the first time ever, the U.S. Department of Housing and Urban Development (HUD) today allocated nearly $174 million through the nation’s Housing Trust Fund (see list of state allocations below). The Housing Trust Fund is a new affordable housing production program that will complement existing Federal, state and local efforts to increase and preserve the supply of decent, safe, and sanitary affordable housing for extremely low- and very low-income households, including families experiencing homelessness.

“Today, we offer another tool to help states confront a growing affordable rental housing crisis in this country,” said HUD Secretary Julián Castro. “The Housing Trust Fund will be an enduring resource designed to producing more housing that is affordable to our most vulnerable neighbors.”

“In today’s housing market, many Americans who work hard still can’t afford their rents. Affordable housing helps workers live closer to their jobs and spend more time with their families. A healthy housing market is key to vibrant communities and future economic growth, and these federal funds will help states expand the supply of affordable homes and strengthen our communities,” said Senator Jack Reed (Rhode Island), who wrote the 2008 law establishing the National Housing Trust Fund. “I commend HUD for making these funds available and helping states take a tailored, cost-effective approach to increasing the supply of affordable housing.”

Diane Yentel, President and Chief Executive Officer of the National Low Income Housing Coalition, added, “Today is a historic day for millions of Americans who struggle to find affordable housing. We applaud Secretary Castro for his leadership in paving the way to make the National Housing Trust Fund a reality. We look forward to working with the administration and our state partners as we put these dollars to work building affordable homes for the lowest income people.”

Eight years after it was authorized by the Housing and Economic Recovery Act of 2008 (HERA), the Housing Trust Fund is only now being capitalized through contributions made by Fannie Mae and Freddie Mac. In December 2014, the Federal Housing Finance Agency (FHFA) directed these Government Sponsored Enterprises (GSEs) to begin setting aside and allocating funds to the Housing Trust. In January of 2015, HUD issued interim rules to guide states on how to implement their Housing Trust Funds. 

By law, each state is allocated a minimum of $3 million. State affordable housing planners will use these funds for the following eligible activities:

  • Real property acquisition
  • Site improvements and development hard costs
  • Related soft costs
  • Demolition
  • Financing costs
  • Relocation assistance
  • Operating cost assistance for rental housing (up to 30% of each grant)
  • Reasonable administrative and planning costs

Watch a comprehensive overview of the Housing Trust Fund: 

  

 

FY 2016 Housing Trust Fund Allocation Amounts

STATE

FY 2016 Allocation

Alabama

 $            3,000,000

Alaska

 $            3,000,000

Arizona

 $            3,000,000

Arkansas

 $            3,000,000

California

 $          10,128,143

Colorado

 $            3,000,000

Connecticut

 $            3,000,000

Delaware

 $            3,000,000

District of Columbia

 $            3,000,000

Florida

 $            4,598,821

Georgia

 $            3,314,612

Hawaii

 $            3,000,000

Idaho

 $            3,000,000

Illinois

 $            4,302,012

Indiana

 $            3,000,000

Iowa

 $            3,000,000

Kansas

 $            3,000,000

Kentucky

 $            3,000,000

Louisiana

 $            3,000,000

Maine

 $            3,000,000

Maryland

 $            3,000,000

Massachusetts

 $            3,419,569

Michigan

 $            3,522,622

Minnesota

 $            3,000,000

Mississippi

 $            3,000,000

Missouri

 $            3,000,000

Montana

 $            3,000,000

Nebraska

 $            3,000,000

Nevada

 $            3,000,000

New Hampshire

 $            3,000,000

New Jersey

 $            3,733,566

New Mexico

 $            3,000,000

New York

 $            7,013,963

North Carolina

 $            3,280,235

North Dakota

 $            3,000,000

Ohio

 $            3,740,578

Oklahoma

 $            3,000,000

Oregon

 $            3,000,000

Pennsylvania

 $            3,862,285

Rhode Island

 $            3,000,000

South Carolina

 $            3,000,000

South Dakota

 $            3,000,000

Tennessee

 $            3,000,000

Texas

 $            4,778,364

Utah

 $            3,000,000

Vermont

 $            3,000,000

Virginia

 $            3,139,830

Washington

 $            3,243,721

West Virginia

 $            3,000,000

Wisconsin

 $            3,004,558

Wyoming

 $            3,000,000

American Samoa

 $                 12,321

Guam

 $                 77,609

N. Mariana Islands

 $                 35,735

Puerto Rico

 $               326,054

Virgin Islands

 $                 56,562

TOTAL

 $        173,591,160


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