CUOMO ANNOUNCES $17.7 MILLION IN HUD AID FOR HOUSING ELDERLY AND DISABLED IN MASSACHUSETTS AND $595.6 MILLION NATIONWIDE

In Massachusetts, the HUD assistance will create: 156 apartment units for the elderly and 26 rental units for people with disabilities. It will also provide rental subsidies to residents of the housing for five years.

Nationwide, Cuomo said HUD is awarding $595.6 million to non-profits in 45 states, the District of Columbia and Puerto Rico this week under the Section 202 Program for senior citizens and the Section 811 program for people with disabilities. The 202 program is awarding $501.3 million of the money and the 811 program is awarding $94.3 million.

On a national level, the HUD assistance will create: 6,006 apartment units for the elderly and 1,169 rental units for people with disabilities. It will provide rental subsidies for the units for five years.

"The men and women who spent decades working hard to build 20th Century America should not be left without a place in live in 21st Century America," Cuomo said. "People challenged by disabilities should not face the added challenge of keeping a roof over their heads."

"America will not turn its back on older Americans and people with disabilities struggling to get by on very low incomes," Cuomo said. "Without HUD assistance, many of these Americans simply could not make it. They would be forced to live in slums, or doubled and tripled up with relatives in overcrowded housing, or sent to nursing homes or other institutions at greater taxpayer expense, or even forced into homelessness in the most extreme cases."

The HUD aid is designed to provide housing for people 62 and older and adults with disabilities who have incomes below 50 percent of the area median. Nationally, 50 percent of median income amounts to less than $8,000 a year.

Residents pay 30 percent of their income in rent, and HUD subsidies pay the remaining funds needed to operate the housing.

HUD provides funds to the non-profits in two forms:

• Capital advances. This is money that covers the cost of developing the housing. It does not need to be repaid as long as the housing is available for occupancy by very low-income elderly or people with disabilities for at least 40 years.

• Project rental assistance. This goes to each non-profit to cover the difference between the resident's contribution toward rent and the cost of operating the project.

Congressman Joe Kennedy said: "Secretary Cuomo has been a champion in the fight to provide affordable housing for senior citizens and low-income families. Today's announcement, coming at a time when rents are rising and the market is tighter than ever, is another sign of the commitment of Secretary Cuomo and the Clinton Administration to affordable housing policies that help all Americans."

Boston Mayor Thomas M. Menino said: "The redevelopment of the Michaelangelo School as elderly housing has been a priority of my Administration. I am delighted that HUD has selected this project for funding. I look forward to seeing this building brought back to life for much-needed housing for our senior citizens."

Here is a breakdown of the HUD assistance in Massachusetts:

SECTION 202 -- ELDERLY HOUSING

	
	Project location: Peabody, MA    
	Non-profit sponsor: American Hellenic Educational Progressive
        Association National Housing in Indianapolis, IN             
	Capital advance:  $3,895,500        
	Five-year rental subsidy:  $912,500      
	Number units and project description: A three-story 48 unit
        structure will be built on Central Street in Peabody.
                 
	Project location: Vineyard Haven, MA
	Non-profit sponsor: Island Elderly Housing in Vineyard Haven, MA
	Capital advance: $750,700
	Five-year rental subsidy: $190,500
	Number units and project description: Ten one-bedroom units
        will be built for very low-income elderly.
	Project location: Oak Bluffs, MA
	Non-profit sponsor: Island Elderly Housing in Vineyard Haven, MA
	Capital advance: $1,351,200
	Five-year rental subsidy: $312,500
	Number units and project description: Eighteen one-bedroom units
        will be built for very low-income elderly.
	Project location: Boston, MA
	Non-profit sponsor: ABCD, Inc. in Boston, MA
	Capital Advance: $5,523,900
	Five-year rental subsidy: $1,349,500
	Number units and project description: 71 units will be developed
        to serve low income elderly residents in the North End of 
        Boston, and the North End Community Center will coordinate 
        supportive services for residents.
	Project location: Nantucket Town, MA
	Non-profit sponsor: Nantucket Community Services in Nantucket, MA
        Capital Advance: $675,600
	Five-year rental subsidy: $171,000
	Number units and project description: 9 units will be built 
        adjacent to an existing Farmer's Home Section 515 elderly project.
	
	SECTION 811 -- HOUSING FOR PEOPLE WITH DISABILITIES
	Project location: Brewster, MA
	Non-profit sponsor: Residential Rehab Centers, Inc. in Brewster, MA
	Capital advance:  $285,700
	Five-year rental subsidy:  $57,000
	Number units and project description: Project will serve three
        individuals in three separate units with Prader-Willi syndrome.
	Project location: Springfield, MA
	Non-profit sponsor: Mental Health Assn. of Greater Springfield
	Capital Advance: $295,600
	Five-year rental subsidy: $76,500
	Number units and project description: A four-person group home
        will be developed for individuals with mental illness.
	Project location: Fall River, MA
	Non-profit sponsor:  People, Inc. in Fall River, MA
	Capital Advance: $305,700
	Five-year rental subsidy: $76,000
	Number units and project description: A four-person group home
        will be rehabilitated for individuals with mental retardation.	
	
	Project location: Merrimac, MA
	Non-profit sponsor: Turning Point, Inc. in Newburyport, MA
	Capital Advance: $352,200
	Five-year rental subsidy: $95,000
	Number units and project description: An existing single family
        home will be developed into a 5-unit residence for individuals 
        with mental retardation
	Project location: Reading, MA
	Non-profit sponsor: East Middlesex Association
        for Retarded Citizens in Wakefield, MA
	Capital Advance: $330,500
	Five-year rental subsidy: $76,000
	Number units and project description: An existing
        single family home will be renovated into a 4 unit 
        fully accessible group home.
	Project location: Natick, MA
	Non-profit sponsor: Advocates, Inc. in Framingham, MA
	Capital Advance: $465,400
	Five-year rental subsidy: $114,000
	Number units and project description: This project will 
        produce 6 rehabilitated, one bedroom, condominium 
        units for individuals with physical limitations and 
        developmental disabilities.