Levin, Stabenow announce $500,000 to assist neighborhoods struck by foreclosures
WASHINGTON, D.C., August 27, 2009: U.S. Sens. Carl Levin and Debbie Stabenow, both D-Mich., announced $500,000 in funding for distressed Michigan communities to address areas with large numbers of foreclosures.
The funding is part of $5.5 million being provided by the U.S. Department of Housing and Urban Development through its Neighborhood Stabilization Program to help local communities purchase, rehabilitate and resell foreclosed properties in especially hard-hit neighborhoods.
The Neighborhood Stabilization Program was initially established in 2008 for the purpose of stabilizing communities that have suffered from foreclosures and abandonment, through the purchase and redevelopment of foreclosed and abandoned homes and residential properties.
The grant money can be used to purchase and rehabilitate foreclosed properties, as well as offer down payment and closing cost assistance to low- and moderate-income homebuyers or create land banks to assemble, temporarily manage and dispose of vacant land for the purpose of stabilization neighborhoods.
Also, more than $1.8 million for emergency food and shelter
Levin and Stabenow further announced that three Michigan counties and the city of Detroit would receive $1,836,727 in Emergency Food and Shelter funds from the Federal Emergency Management Agency (FEMA).
Macomb County, Oakland County, Wayne County and the city of Detroit will all receive funds as part of $2,650,774 being distributed this month.
The Emergency Food and Shelter National Board Program (EFSP) is a federal program administered by FEMA. It is tasked with supporting ongoing efforts to provide shelter, food and supportive services for the nation’s hungry, homeless and others in economic crisis. Program funds can be used to provide food, lodging, assistance with transportation costs and other assistance to the target community.
The funds are part of a reallocation from previously unexpended or returned funds. Ten county and municipal agencies across the country requested the additional funding from the Emergency Food and Shelter National Board. The funds, 70 percent of which are going to Michigan, were allocated on a per capita basis by the board.
The funds will be disbursed as follows: Macomb County, $472,747; Oakland County, $400,000; Wayne County, $363,980, and Detroit, $600,000.