The funding will be available through HUD’s Continuum of Care program
HUD Announces $175M Funding Opportunity for Rental Construction, Renovation
The U.S. Department of Housing and Urban Development (HUD) on Monday announced a new $175 million notice of funding opportunity (NOFO) under its Continuum of Care (CoC) program, which will go toward the development of new rental housing units with “supportive services for people experiencing homelessness,” the department explained.
This particular funding opportunity is designed to impact communities with demographic and size variations by setting aside $65 million for CoCs that are “located in states with populations of fewer than 2.5 million people,” the announcement said. Applications for this NOFO are due Nov. 21, 2024.
“Simply put, we need to build more housing and we need to repair the housing we have,” HUD acting secretary Adrianne Todman said in a statement. “This new funding is a focused investment in housing for people experiencing homelessness, particularly given the increased number of Americans sleeping on our streets.”
The NOFO is expected to support Permanent Supportive Housing (PSH), a type of non-limited rental housing that includes support services for disabled people experiencing homelessness to allow for more independent living. It is designed to address both the immediate impacts of homelessness as well as risk factors that contribute to it, HUD explained.
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“When we have a safe, stable place to call home, we’re able to focus on our health, our families, and our communities. For our neighbors experiencing homelessness, especially those living with disabilities, this funding will provide access to affordable housing and lifesaving services,” Marion McFadden, HUD’s principal deputy assistant secretary for community planning and development, said in a statement.
“The CoCBuilds competition further advances the administration’s commitment to boosting housing supply and ensuring homelessness is rare, brief, and non-recurring,” she added.
HUD encourages existing CoCs to use awarded funds for construction, acquisition or rehabilitation of additional PSH units with other funding sources, so that the amount of housing can be “maximized” to “meet the needs of individuals and families experiencing homelessness,” HUD said.
“In addition to funding the creation of new units, up to 20% of each award may be used for other eligible CoC Program activities associated with PSH projects including supportive services and operating costs — costs which are renewable,“ HUD explained
Additionally, the NOFO offers incentives for the funding of projects in partnership with both Indian tribes and Tribally Designated Housing Entities. More information on this NOFO and the CoC program can be found on HUD’s website.
Source: Housingwire
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