Housing Programs in the United States - Report Example

Order 117874 Housing Housing could be defined as the way of living of a group of people and the structure serving the purpose of dwelling for a person or family and also a structure that serves as a primarily shelter for a group of people living together (House). In the United States, there are many major affordable housing/home creation programs. Here are two of such programs discussed below. They are Community Development Block Grant Program -- CDBG and the HOME Investment Partnership Program. Let us first take the Community Development Block Grant Program into account and look into its features. The CDBG is directed by the US Department of Housing and Urban Development -- HUD. Through this program the central government offers grants to different cities to undertake housing development activities. But the objectives that are put forth by the city must meet the eligibility criteria of CDBG. The primary focus of the CDBG program is on the development of urban communities to acquire good housing facilities and suitable living environment particularly for individuals with low or very low income. It is that at least 70% of the city’s CDBG expenditure must be advantageous for the low income residents. It has many advantageous features like providing aid in the prevention of elimination of slums and also meets other community requirements which pose an immediate and serious threat to the welfare of the community. There are applicable laws, which include the Civil Rights Laws, Environmental Review, Labor Standards, etc, have to follow in carrying out the various activities being funded through the CDBG Program (Community Development Block Grant Program) The program acquires its advantages by providing eligible metropolitan cities and urban countries with annual grants which can be used for neighborhood revitalization, affordable housing, to increase economic opportunities and also extend community facilities and services. This program has also an advantage of benefiting the low and moderate income people. The issues of precedence for this program are decided by the City Council, which helps in allowing the local governments to respond to the needs immediately within their community. The current priorities also include a revitalizing the eligible, offering services to the low and moderate income persons, and also enhancing the public facilities offered to American with Disability Act -- ADA compliance and also finally offering affordable housing to all low and moderate income citizens of the state. The Community Development Block Grant is also assisted with the funds that are raised from other sources which encourages the program (Community Development Block Grant) The CDBG program, which began in 1974, is advantageous because it is designed in such a way that it helps and allows all communities to develop affordable housing and neighborhood revitalization and particularly it aims at helping the low and moderate income persons. In 2005 the CDBG program was the principle source of national community development week which was held on 28 March to 3 April which had its theme as “Communities on the Rise”. For more than 10 years the congress has been the funding party for the CDBG program at not less than $ 4 billion dollars each year. The goal of the program in this current year 2006 is to encourage those who benefit from revenue for lower-income neighborhoods and communities throughout the country. During the last four years and particularly in this year which is the year following the 30 the anniversary of the CDBG program, there is proof of a systematic hold and attack on the housing urban development’s programs and also on the CDBG program (CDBG: The National Perspective) This Community Development Block Grant Program being the central government’s most notable and importantly followed program for promoting community revitalization in the entire country. The CDBG offers annual grants on a formula basis to the Anoka County. Thus the main national objectives of the CDBG program are: benefiting the low and moderate income persons, aid or grants for the elimination and prevention of developing slums or blight, and lastly to satisfy the other community development requirements that pose a serious and immediate threat on the welfare and health of the various communities in the nation. The funds and grants from the CDBG are used widely for community all development activities that relate to neighborhood revitalization, economic progress and enhanced community facilities and services. The other activities that are also funded from the dollars of the CDBG are not only limited to acquiring of real property, the construction and acquiring of public works, code enforcement, reconstruction as well as rehabilitation of residential and nonresidential properties, ownership of a home assistance and micro enterprise assistance. Also many public services that address issues like childcare, physical and mental health, as well as drug addiction, crime prevention, employment, education and flair housing counseling do take funds provided by the Community Development Block Grant Program --CDBG Program. (CDBG Program) The second affordable housing production program that is analyzed here is the Home Investment Partnership Program HOME. The core purpose of this HOME program is to help the communities enhance their facilities like good, safe, sanitary and affordable housing. This program involves a primary attention to the housing for low income families. The Maricopa County and the cities of Scottsdale, Glendale, Mesa, Chandler, and Tempe went into a Consortium in 1991 on receiving and administering central HOME Program funds. This Consortium was future joined by the City of Peoria in 1993 and the Town of Gilbert in 1998. This Consortium agreed in a cooperative aspect to take on housing assistance activities which were allowed under HUD HOME Program regulations. On the total allocation for the funds for HOME program, the members in the Consortium collect a 15% amount set aside for the specific types of nonprofit organizations known as Community Housing Development Organizations -- CHDO’s. (Home Investment Partnership Program (HOME)) CHDO’s apply straight to the Consortium for funding. From the balance of the funds the local governments receive their share for the expenses raised on locally designated projects. The Maricopa Home Consortium, as a participant attains a prorate share of the Consortium entitlement. For FY 2004/2005 the amount which is available to the city under the Home program is about $1,239,255. The funds raised from the HOME Programs are used for the acquiring of units for single family reconstruction/substantial rehabilitation, permanent rental housing, as well as new construction of multifamily rental units, eligible CHDO operation, and also includes costs for administration. (Home Investment Partnership Program (HOME)) This Home Investment Partnership Program for the creation of affordable housing is also a HUD housing grant program, which is locally designed to enhance the supply of a safe and affordable housing for low as well as very low income families. The Home Investment Partnership Program HOME works in the aim of providing loans and grants to all local jurisdictions that could be used for the purpose of implementing locally designed housing programs. This in general involves the construction of partnerships that exists between the government and the nonprofit organizations to enforce the home ownership and rental housing projects. (Home Investment Partnerships (HOME) Program) The HOME funds to the state are provided by HUD, where in turn the funds are distributed to the neighboring island countries. An example of the agency using the HOME program is the Kauai County Housing Agency which uses this program locally as per the HUD regulations -- 24 CFR 92. Thus the advantages and the objective of the Home Investment Partnership Program HOME is to enhance the housing prospects for: low and very low income families with the major attention focused to help them in home ownership, and also home ownership opportunities for the first-time home-purchasers, self-help home ownership projects, rehabilitation of rental housing and finally transitional housing for special needs and groups. On the eyes of affordable housing programs, this is an advantageous program as it helps to strengthen several important values relating to community (Home Investment Partnerships (HOME) Program) The HOME program is an enormous federal block grant to the state and other local governments and is designed specifically to establish the creation of affordable housing for low income households. Every year the program sets aside approximately $2 billion among the states and hundreds of other localities throughout the nation. The HOME program was designed keeping in mind the support that it is and will be providing to emphasize many major and significant values and principles of the communities development. The reasons that this program could be said as a very attractive and advantageous are because of its flexibility. (Community Planning and Development: HOME Investment Partnerships Program) The flexibility of this HOME program allows the people and the communities to design and implement strategies adapted to their own need and priorities. This HOME program also helps in expanding and strengthening the partnerships among all the levels of government and private sectors which in turn helps in the development of affordable housing. There are also technical assistance activities rendered by the HOME program that are set aside for qualified community based nonprofit housing groups and build the ability and enhance the capacity of the partners. The requirement of the HOME programs is that the participating jurisdictions -- PJs match 25 cents of every dollar in the funds of the program which assemble the community resources in sustaining affordable housing (Community Planning and Development: HOME Investment Partnerships Program) The funds from the HOME are annual grants to the participating jurisdictions. The HOME investment trust funds are established by HUD for each grantee. The flexibility of the program allows the local and state governments to use HOME grants, loan facilities or other forms of credit or rental assistance. (Community Planning and Development: HOME Investment Partnerships Program) The above two affordable housing programs are under operation among other housing programs in the United States. Hence the reasons for choosing the Community Development Grant Program and the Home Investment Partnership Program for discussion are due to the advantages and the many facilities that are provided by them. The special aspects and advantages of these two affordable housing programs are discussed separately in detail as given above. The aspect of helping the low and very low income families by Community Development Block Grant Program and also the different flexibilities of the HOME Program which allow people to select their own needs and priorities on housing made it more attractive to select these two programs for discussion in this paper. References CDBG Program. Retrieved from http://www.co.anoka.mn.us/v1_departments/div-governmental-services/dept-community-dev/cdbg/index.asp Accessed 23 March, 2006 CDBG: The National Perspective. Retrieved from http://www.ci.vancouver.wa.us/upload/contents/623/2005forWebCommunityDevelopmentNewsletter.pdf Accessed 23 March, 2006 Community Development Block Grant Program. Retrieved from http://www.ci.santee.ca.us/dhr/cdbg.htm Accessed 23 March, 2006 Community Development Block Grant. Retrieved from http://www.ci.vancouver.wa.us/cdbg.asp?menuid=10461&submenuid=18584 Accessed 23 March, 2006 Community planning and Development: HOME Investment Partnerships Program. Retrieved from http://www.hud.gov/offices/cpd/affordablehousing/programs/home/ Accessed 24 March, 2006 Home Investment Partnership Program (HOME). Retrieved from http://www.cityofmesa.org/comrev/home.asp Accessed 24 March, 2006 Home Investment Partnerships (HOME) Program. Retrieved from http://www.kauai.gov/Default.aspx?tabid=141 Accessed 24 March, 2006 House. Retrieved from http://www.answers.com/topic/house Accessed 23 March, 2006 Read More