HUD Urges Use of ESG and CDBG Funds to Provide Rental Assistance
From: Michal Machnowski <mmachnowski@nahma.org>
Sent: Tuesday, September 8, 2020 3:18 PM
To: Michal Machnowski <mmachnowski@nahma.org>
Cc: Larry Keys <lkeys@nahma.org>
Subject: NAHMA HUD Update: HUD Urges Use of ESG and CDBG Funds to Provide Rental Assistance
Dear NAHMA Members,
The Department of Housing and Urban Development has issued an announcement reminding all grantees-states, cities, communities, and nonprofits-who received Emergency Solutions Grants (ESG) or Community Development Block Grant (CDBG) funds that they may use these funds to provide rental assistance or other aid to individuals experiencing financial hardship because of the pandemic and are at risk of being evicted, consistent with applicable laws, regulations, and guidance.
HUD will continue to provide technical assistance to grant recipients to prevent evictions and keep people in their homes throughout the duration of the COVID-19 pandemic. Towards this effort, HUD has provided a toolkit for landlords and Public Housing Authorities, extended its Single-Family eviction and foreclosure moratorium for FHA insured Single-Family homes, promoted the Department’s Housing Counselor services, and issued guidance for lenders. For more information, please see the announcement below:
UD No. 20-141
HUD Public Affairs
(202) 708-0685
FOR RELEASE
Friday
September 4, 2020
HUD URGES LOCALITIES TO PREVENT EVICTIONS BY USING GRANT FUNDS
Rental assistance to prevent evictions is an allowable use of the $7 billion in HUD CARES Act funds
WASHINGTON - Consistent with President Trump’s Executive Order “Fighting the Spread of COVID-19 by Providing Assistance to Renters and Homeowners”, the U.S. Department of Housing and Urban Development (HUD) has reiterated the Trump Administration’s commitment to minimize displacement and evictions resulting from the COVID-19 global pandemic national emergency. HUD is reminding all grantees-states, cities, communities, and nonprofits-who received Emergency Solutions Grants (ESG) or Community Development Block Grant (CDBG) funds that they may use these funds to provide rental assistance or other aid to individuals experiencing financial hardship because of the pandemic and are at risk of being evicted, consistent with applicable laws, regulations, and guidance.
“From day one of this pandemic, the Administration has done everything in our power to ensure that the American people have a roof over their heads during these trying times,” said Secretary Carson. “Thanks to President Trump’s leadership we have secured the necessary resources and mechanisms to efficiently and effectively combat this virus.”
HUD continues to provide technical assistance to grant recipients to prevent evictions and keep people in their homes throughout the duration of the COVID-19 pandemic. Since the outbreak of COVID-19, the Department provided virtual office hours for grantees to ensure relief funds are being used quickly and efficiently. HUD has issued a toolkit for landlords and Public Housing Authorities so they can work with their tenants during this difficult financial time. Additionally, HUD has extended its Single-Family eviction and foreclosure moratorium for FHA insured Single-Family homes three times, has promoted the Department’s Housing Counselor services, and issued guidance for lenders.
Homelessness service providers and Public Housing Authorities across the Nation have jumped into action to assist those they serve during this unprecedented time. Read more about their stories featured in HUD's Neighbors Helping Neighbors campaign, here. For more information on HUD's response to the novel coronavirus pandemic and the actions the Department has taken, please visit HUD.gov/coronavirus.
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