WASHINGTON, D.C. — U.S. Department of Housing and Urban Development (HUD) Secretary Marcia L. Fudge announced the allocation of nearly $5 billion in American Rescue Plan funds, including $42,538,435 to Iowa, to help communities across the country create affordable housing and services for people experiencing or at risk of experiencing homelessness. Secretary Fudge made the announcement during a Zoom call with U.S. Senator Sherrod Brown (OH), Michigan Governor Gretchen Whitmer, and Birmingham, Alabama Mayor Randall Woodfin.
The supplemental funding is allocated through the HOME Investment Partnerships Program to 651 grantees, including states, insular areas, and local governments. Click here for a full list.
“Homelessness in the United States was increasing even before COVID-19, and we know the pandemic has only made the crisis worse,” said Secretary Marcia L. Fudge. “HUD’s swift allocation of this $5 billion in American Rescue Plan funding reflects our commitment to addressing homelessness as a priority. With this strong funding, communities across the country will have the resources needed to give homes to the people who have had to endure the COVID-19 pandemic without one.”
“America was facing an affordable housing and homelessness crisis long before COVID-19. We passed the American Rescue Plan to get help to communities around the country – including $200 million for Ohio’s state and local governments – to ensure a roof over families’ heads during this pandemic and into the future,” said Senator Sherrod Brown. “I’ll continue working with Secretary Fudge and the Biden Administration to get that funding out to communities, and to build on these efforts in the American Jobs Plan.”
“The American Rescue Plan’s critical investment will help hundreds of thousands of Americans find home,” said Governor Gretchen Whitmer. “This $5 billion commitment will have a tangible impact on fellow Americans and Michiganders experiencing housing insecurity, and I am proud of the Biden Administration’s efforts to address homelessness as we continue to build back better.”
“The COVID-19 pandemic has only worsened our nation’s homelessness crisis but with this assistance comes new hope,” said Mayor Randall Woodfin. “It will represent a new start for so many families after such a challenging year, especially minority families who were hit so disproportionately hard by the pandemic. We’re grateful that these funds will help pave the way for a new generation of minority homeowners.”
The $4.925 billion in HOME-ARP funding gives states the flexibility to best meet the needs of people experiencing or at risk of experiencing homelessness, including through development of affordable housing, tenant-based rental assistance, supportive services, and acquisition and development of non-congregate shelter units. Funds must be spent by 2030.
The nearly $5 billion in HOME-ARP funding is the first of two homelessness-related funding opportunities from the American Rescue Plan that HUD will release. In the coming weeks, HUD will announce the allocation of funding for emergency vouchers for people experiencing and at-risk of homelessness.
While the nearly $5 billion in HOME-ARP funding will deliver near-term relief to people experiencing or at-risk of experiencing homelessness, President Biden’s American Jobs Plan would build on this relief with additional robust funding to bring the United States closer to ending homelessness and housing instability.