State of Illinois Neighborhood Stabilization Program

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State of IllinoisNeighborhood Stabilization
Program

• Illinois Department of Human Services
• March 2009

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Housing Economic Recovery Act of 2008 (HERA)
Overview

• Passed by Congress in July 2008
• Included 3.9B Neighborhood Stabilization Fund
• Objectives To stabilize communities affected by
  the foreclosure crisis by assisting with
  redevelopment of abandoned and foreclosed homes.
• Requirement 18 month obligation period 4 years
  to complete project

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State of Illinois Allocation

• HUD allocated funds to all 50 states
• State of Illinois
• NSP entitlement communities 120M
• State allocation 53M
• Total to State 173M

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State Partner Agencies

• Lead Administering Agency
• Illinois Department of Human Services
• Partner Agencies
• Illinois Housing Development Authority
• Illinois Department of Commerce and Economic
  Opportunity

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Overall Goals

• Stabilize areas hardest hit by foreclosures
  property abandonment
• Target resources towards households earning 50
  AMI or less
• Increase community based housing options for DHS
  populations
• Ensure complete obligation of funds within 18
  month timeframe

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Guiding Principles

• Direct NSP funds to Comprehensive Housing Plan
  other initiatives
• Target innovation in Long Term Care Rebalancing
  supportive housing initiatives
• Encourage partnerships within among communities
  for greatest impact

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Guiding Principles, cont.

• Encourage
• Diverse integrated communities
• Use of private public resources
• Green technology, accessibility, adaptability,
  other innovative designs
• Participation by women minority owned businesses

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Plan Objectives

• Flexibility Allow applicants to pursue any
  eligible activity as defined by HUD
• Statewide application Geographic Areas of Need
• Non-Entitlement Areas no direct NSP allocation
• CDBG Entitlement Area no direct NSP allocation
• CDBG Entitlement Area NSP Grantee

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Eligible Activities

• Purchase Rehabilitation of abandoned or
  foreclosed homes and residential properties for
  sale or for rent
• Financing mechanisms
• Demolition of blighted structures
• Land banking of foreclosed property
• Redevelopment of vacant or abandoned property

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Eligible Applicants

• Units of local government (municipalities,
  counties, etc)
• Housing Authorities
• Non-profit developers and organizations
• For-profit developers

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Evaluation Criteria

• Address area of greatest need
• Readiness to proceed
• Capacity to complete project
• Community impact
• Target households under 50 AMI
• Target priority populations

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Priority Populations

• Goal Use up to 40 NSP funds to households
  earning 50 AMI or less
• Includes States priority special needs
  populations
• Housing objectives
• Accessible for-sale and rental units
• Permanent Supportive Housing

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Technical Assistance

• Corporation for Supportive Housing Supportive
  Housing Providers Association
• Permanent Supportive Housing
• Development TA
• Illinois Assistive Technology Program
• Homeownership opportunities for individuals with
  disabilities
• Illinois Black Chamber of Commerce
• BEP vendor assistance

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Next Steps Timeline

• Request for Proposals posted
• Applicant Conferences
• Application Submission Date
• Application Review period
• Approval Notification

• March 4
• Mar 9 - 17
• May 4
• Thru June
• Early-Mid July

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Questions?

• NSP Website http//www.dhs.state.il.us/nsp
• DHS Contacts
• Kirstin Williams, NSP Project Manager
• Kirstin.Williams_at_illinois.gov
• 312-793-4980
• Dean Martinez
• Special Advisor to the Secretary for NSP
• Dean.Martinez_at_illinois.gov
• IHDA Contact
• Vanessa Hill
• Vanhill_at_ihda.org
• 312-836-7423