| Covid-19 | Sep 15, 2020

HUD Awards Nearly $2 Billion in CARES Act Relief Funds, Focusing on Communities with Higher Risk of Eviction

HUD announced nearly $2 billion in CARES Act supplemental Community Development Block Grant (CDBG) program awards for states and localities. This is the third and final distribution of the $5 billion authorized by the CARES Act to help communities combat the coronavirus and alleviate economic hardship. HUD indicates that the methodology used to inform the latest distribution targets households facing higher risk of eviction. Specifically, the methodology prioritizes:

– Communities with high rates of individuals in industries with high job loss in states with high unemployment;

– Communities with high rates of businesses in industries with high job loss in states with high unemployment; and

– Concentrations of those most at risk for transmission and risk of eviction, with higher amounts for states with high rates of coronavirus.

Citing the August 8 Executive Order by the Trump Administration, “Fighting the Spread of COVID-19 by Providing Assistance to Renters and Homeowners,” HUD indicated that the funds may be used to provide rental assistance or other aid to individuals who are experiencing financial hardship related to the COVID-19 pandemic and are at risk of being evicted.HUD also announced the full-year allocations for the Office of Community Building and Development’s (CPD) formula programs which includes CARES Act supplemental funding as well as non-supplemental funding.