White House and HUD announce a round of $100 million in housing subsidies
The U.S. Department of Housing and Urban Development (HUD) on Wednesday announced the availability of $100 million in new, competitive grants aimed at addressing bureaucratic barriers to new home construction while lowering the cost of renting or purchasing a home.
“Through HUD’s Pathways to Removal Obstacles to Housing (PRO Housing) program, communities across the country are eligible to apply for funding to remove barriers to local housing production,” HUD said in a announcement of competitive financing.
In addition to HUD’s own announcement, the White House brought a “fact sheet” to describe the inclusion of PRO Housing in the Biden-Harris Administration’s Housing Supply Action Plan. The White House is also working to address the root causes of affordability issues facing both homebuyers and renters.
“This funding is intended to reduce red tape and ensure we urgently build more homes, especially affordable housing, because people need help now,” HUD Acting Secretary Adrianne Todman said in a statement. “The Biden-Harris Administration has made it a priority to reduce housing costs by increasing our nation’s housing supply, and our partnerships with local communities are critical to achieving this goal.”
The PRO Housing initiative aims to address barriers to housing construction, including restrictive land use policies that typically occur at the local level. It is also intended to “facilitate the construction of new homes and repairs to existing homes and reduce energy costs,” with grants going to local governments, states, metropolitan planning organizations (MPOs) and multi-jurisdictional entities. Individual grants will range from $1 million to $7 million, HUD explained.
HUD initially announced its plans for PRO Housing funds in June, with Vice President Kamala Harris telling reporters about issues the administration hoped to address through the program.
In that announcement, HUD identified some common themes. These include “the high cost of land and development, the lack of available units, underutilized vacant land and properties, the aging housing stock, inadequate infrastructure, displacement pressures, risks from climate-induced extreme weather or environmental hazards, high energy costs and outdated grounds. policies and processes for use and consent.”
The deadline for this round of funding applications is October 15, 2024.
