Construction Ahead: TDOT “road repair” season underway

This monthly column is prepared by TDOT Commissioner Gerald Nicely.

Last month, the Tennessee Department of Transportation let the first projects funded by the American Recovery and Reinvestment Act of 2009 to contract. In May and June, more than a hundred other projects will move into the construction phase, bringing valuable transportation improvements and jobs to communities across the state. This means that a large majority of Tennesseans, no matter where they live, will find themselves traveling through a work zone in the near future. [Read more]

HUD neigborhood stabilization funds coming to Tennessee

HUD has approved $731Million for neighborhood stabilization programs for 48 states and local communities. Funding targets neighborhoods hard-hit by foreclosure

WASHINGTON – U.S. Housing and Urban Development Secretary Shaun Donovan today approved nearly $731 million in funding for 48 States and local communities seeking to recover from the effects of high foreclosures and declining home values. Funded under HUD’s Neighborhood Stabilization Program (NSP), these plans will target emergency assistance to particular neighborhoods by acquiring and redeveloping foreclosed properties that might otherwise become sources of abandonment and blight (see attached chart).

The neighborhood stabilization plans approved today include a $145 million plan submitted by the State of California, a program President Barack Obama recognized during a town hall meeting today in Los Angeles.

These are Tennessee’s allocations:

Tennessee	Knoxville		$ 2,735,980
	Tennessee State Program		$ 49,360,421

State and local governments can use their neighborhood stabilization grants to acquire land and property; to demolish or rehabilitate abandoned properties; and/or to offer downpayment and closing cost assistance to low- to moderate-income homebuyers (household incomes not exceed 120 percent of area median income). In addition, these grantees can create “land banks” to assemble, temporarily manage, and dispose of vacant land for the purpose of stabilizing neighborhoods and encouraging re-use or redevelopment of urban property.

HUD’s Neighborhood Stabilization Program was created under the Housing and Economic Recovery Act of 2008 and provides nearly $4 billion to every State and certain local communities experiencing particularly high foreclosure problems and risk of property abandonment. The program permits these State and local governments to purchase foreclosed homes at a discount and to rehabilitate or redevelop them in order to respond to rising foreclosures and falling home values.

In addition, the American Recovery and Reinvestment Act of 2009 makes available another $2 billion of NSP funding to State, local governments, non-profit entities, or consortia of non-profit entities for similar anti-blight and stabilization efforts. HUD will issue a funding notice with application requirements no later than May 3, 2009. Applicants will prepare an application and, for programmatic funding, complete citizen participation before submitting to HUD. HUD will review applications and make awards shortly thereafter.

The NSP Program also seeks to prevent future foreclosures by requiring housing counseling for families receiving homebuyer assistance. In addition, the Agency seeks to protect future homebuyers by requiring States and local grantees to ensure that new homebuyers under this program obtain a mortgage loan from a lender who agrees to comply with sound lending practices.

About HUD: HUD is the nation’s housing agency committed to sustaining homeownership; creating affordable housing opportunities for low-income Americans; and supporting the homeless, elderly, people with disabilities and people living with AIDS. The Department also promotes economic and community development and enforces the nation’s fair housing laws. More information about HUD and its programs is available on the Internet at www.hud.gov and espanol.hud.gov.