Back in March, A whopping $2 trillion stimulus bill was passed in order to provide a much needed financial relief to businesses and everyday Americans.
In total nearly $12 billion were allocated for the department of Housing and Urban Development in order to serve the housing needs of the community during the crises.
Out of the total sum, $5 billion will be allocated to the Community Development Block Grants which will allow cities and states to combat the market disruptions of COVID-19 in the housing market by providing emergency rental assistance and serving the needs of the homeless community.
It also grants the right of the Housing and Urban Development (HUD) Secretary to waive any necessary requirement aside from those related to labor standards, non-discrimination, and fair housing in order to expedite the use of funds to combat the spread of the pandemic.
Homeless Community Aid
Another $4 billion will be allocated for the Emergency Solutions Grants in order to
provide eviction prevention measures, housing counseling, and rental deposit assistance to help secure roof’s over people’s heads in the midst of the coronavirus pandemic.
Evictions and Foreclosures
This provision establishes a moratorium on foreclosures and for all federally-backed mortgages for 60 days beginning on March 18. However, it can also be pushed back for another 30 days followed by an additional 60 days on the request of the borrower.
The provision not only secures homeowners but tenants as well. The moratorium also applies to tenant evictions in homes covered by federal mortgages, including all federally subsidized apartments.
Homeowner and Tenant Assistance
There is an additional $1.25 billion for the Housing Choice Voucher program in an effort to maintain day to day operations in public housing agencies and ensure that the needs of tenants are being met. The money will be used largely toservice the flood of new voucher applications.
The Final Breakdown
The remaining balance of the bill will be allocated for miscellaneous purposes such as housing for tribal nations, Housing for Persons with AIDS, Section 202 Elderly Housing, and Section 811 Housing for Persons with Disabilities.
Such a large expansion in housing grants was necessary in order to ensure that these public agencies tasked with the duty of securing proper housing for those in need operate smoothly with a large wave of new applicants expected due to the COVID 19 pandemic. The top priority of these government agencies is to guarantee that the needs of the public are fulfilled in a time of dire need such as the present.