Lynn set to receive $1 million in HUD recovery funds

LYNN – Lynn was selected Wednesday by the U.S. Department of Housing and Urban Development (HUD) to receive $1 million in federal economic recovery funds to prevent homelessness and rapidly re-house those without shelter.The funding, part of $300 million awarded nationwide, will rapidly re-house families who fall into homelessness, or prevent families from becoming homeless in the first place, said HUD Secretary Shaun Donovan. The American Recovery and Reinvestment Act of 2009 provided the funds. Lynn was among eight Massachusetts communities to receive an award. In all, Massachusetts received $27.3 million. Of that, Lynn received $1,033,392.”HUD is moving quickly to ensure that Recovery Act investments can be put to work helping those who are in desperate need during these challenging times,” said Donovan.”Today, we are proud to announce that all of the Homelessness Prevention and Rapid Re-Housing funds made available through the Recovery Act are in the hands of those on the front lines of helping families and individuals confronting homelessness. I am thrilled that in just over six months we have made $10 billion available for states and communities to spend, creating jobs and helping families impacted by the tough economic times,” Donovan said.It was the second time in just one week that Lynn’s needy received financial assistance totaling over $1 million. The United Way pledged a like amount in aid Tuesday to establish the Financial Stability Center at 270 Union St. and form an umbrella group of more than a dozen of the city’s non-profits.The Recovery Act provides $1.5 billion to fund HUD’s new Homeless Prevention and Rapid Re-housing Program (HPRP). These grants offer communities a resource to provide short- and medium-term rental assistance and services to prevent individuals and families from becoming homeless or to quickly re-house those who are experiencing homelessness.HUD announced the first round of grants under this program on July 9 to more than 400 communities, totaling $1.2 billion. Wednesday’s announcement brings the total awarded amount of HPRP funds to 100 percent, or $1.5 billion.The other communities to receive awards Wednesday were: Brockton, $610,110; Fall River,$1.2 million; Lawrence, $710,503; Lowell, $979,048; New Bedford, $1.2 million; Somerville, $1.1 million; and Worcester, $1.9 million, according to HUD spokeswoman Kristine Foye.Foye noted that the grants are not intended to provide long-term support for individuals and families, nor will they afford mortgage assistance to homeowners facing foreclosure. Rather, the funds offer a variety of short- and medium-term financial assistance to those who would otherwise become homeless, many due to sudden economic crisis. This can include short-term rental assistance of up to three months, medium-term rental assistance of up to 18 months, security deposits, utility deposits and utility payments, moving cost assistance, and hotel vouchers. Payments will not be made directly to households, but only to third parties, such as landlords or utility companies.