The American Recovery and Reinvestment Act
Message from Commissioner Deborah VanAmerongen
I am very proud to have been appointed by Governor Paterson to serve on the New York State Economic Recovery and Reinvestment Cabinet. In the coming months, we will endeavor to revitalize the state's economy and rebuild our infrastructure with important economic development projects financed through the federal American Recovery and Reinvestment Act (ARRA).
Thanks to the advocacy of the Governor and the entire Congressional delegation, the Federal stimulus package includes billions of dollars for important housing and community development and renewal programs. Governor Paterson was the first Governor in the nation to suggest that the ARRA include funding for shovel-ready housing projects as a way to create jobs and revitalize local economies.
An important housing program in the ARRA is the Tax Credit Assistance Program (TCAP) which will kick-start projects that have received Low Income Housing Tax Credits, but have been stalled by the economic downturn.
While tax credits have traditionally been the most effective and reliable source of equity for the developers of affordable housing, the collapse of the credit and housing markets has had a devastating effect on their value, creating funding gaps that have stalled many projects.
To address this critical problem, the stimulus package includes $2.25 billion in TCAP funding. New York's share, which will be administered by DHCR, is about $253 million.
The stimulus package also includes $1 billion nationwide for the Community Development Block Grant program. These funds are targeted to community and economic development projects including housing and services for those hit hardest by tough economic times. DHCR will administer approximately $13 million of this total, and about $90 million will be distributed directly from the Federal government to municipalities in the State;
The Recover and Reinvestment Act also includes $5 billion nationwide for the Weatherization Assistance Program, which helps income-eligible families and individuals by improving the energy-efficiency of their homes. The improvements range from weatherstripping and caulking to the replacement of heating systems or appliances with highly efficient Energy Star rated units.
DHCR will receive approximately $394 million of this total. We will be using these resources to strengthen our existing network of weatherization service providers and help them to increase their capacity and ability to help low-income New Yorkers. These funds will also help increase training opportunities and expand our traditional network of weatherization subgrantees.
There are also funds in the Stimulus package for housing programs that are not administered by DHCR. Those funds include:
$2 billion nationally for the Neighborhood Stabilization Program to redevelop abandoned and foreclosed homes. These funds will be available on a competitive basis from the federal department of Housing and Urban Development. States and local governments will both have an opportunity to apply for these funds.
$1.5 billion nation-wide for homeless prevention activities. Using the Emergency Shelter Grant formula, this will bring a total of $142 million for the state and local governments. New York State's program, which is administered by the Office of Temporary Disabilities and Assistance (OTDA) will receive approximately $29.8 million;
$4 billion for much-needed capital repairs to public housing across the nation, and $2 billion for the country's Section 8 project-based rental assistance program, with $250 million of that amount going toward energy retrofitting and green housing. These funds will be administered by the federal Department of Housing and Urban Development and will greatly benefit both public and assisted housing in New York State.
Additional information on the stimulus package can be found on the Governor's website and on the federal ARRA website.
Additional information on the Environmental Review Record is available here on the DHCR website.
Last updated on 04/10/09