WASHINGTON, DC -- In an effort to help strengthen local neighborhoods and support economic development and affordable housing programs throughout the state, U.S. Senator Jack Reed today announced that Rhode Island will receive $29,826,863 in new federal aid from several federal housing and community development programs.

Reed, a senior member of the Appropriations Committee, secured the funds in the fiscal year 2022 Consolidated Appropriations law. 

Rhode Island’s allocations include: $16,238,214 in Community Development Block Grant (CDBG) funds; $6,835,575 from the Home Investment Partnerships (HOME) program; $2,982,433 from the Housing Trust Fund; $1,441,906 from the Emergency Solutions Grant (ESG) program; $1,360,735 from the Housing Opportunities for Persons With AIDS (HOPWA) program; and $968,000 through the Recovery Housing Program (RHP).

The federal investments are administered by the U.S. Department of Housing and Urban Development (HUD), which Senator Reed oversees as both an authorizer on the U.S. Senate Committee on Banking, Housing, and Urban Affairs, and as an appropriator on the Appropriations Subcommittee on Transportation, Housing and Urban Development (THUD).

“This federal funding will help strengthen neighborhoods, advance opportunities for local economic development, and ensure more Rhode Islanders have a decent place to live.  It will help cities and towns move forward with capital improvement projects that can spur economic growth and development.  I’m pleased to deliver these federal funds to help improve public infrastructure and upgrade community assets.  From increasing affordable housing opportunities, to repairing roads and extending sidewalks, to enhancing parks and clean water infrastructure, these funds will help revitalize neighborhoods and enhance economic development.  With Rhode Island experiencing an alarming affordable housing supply shortage, this critical funding will also bring millions to our state to help preserve and build more affordable housing,” said Senator Reed.

CDBG provides local communities with a flexible source of federal funding to address a wide range of neighborhood development needs.  The funds may be used for capital-improvement projects or distributed to non-profit organizations to increase housing, supportive service, and job opportunities.  Eligible communities may also apply to the state, which annually allocates the federal CDBG funds through a competitive process.  CDBG funds may also be used to address a variety of needs from revitalizing distressed areas by removing blight and assisting with infrastructure projects.

Several Rhode Island cities will split over $16.2 million from this round of CDBG funding, including:

  • Cranston: $1,054,155
  • East Providence: $749,023
  • Pawtucket: $1,754,625
  • Providence: $5,195,718
  • Warwick: $929,758
  • Woonsocket: $1,127,790
  • Rhode Island statewide: $5,427,175
  • TOTAL: $16,238,214

HOME is a major federal block grant program providing funding to state and local governments to expand and preserve the supply of quality, affordable housing for working families.  Providence will receive $1,784,160 in HOME funds, while Pawtucket will receive $615,933, Woonsocket will receive $438,340, and a pot of funds for communities across the state will total $3,997,142.

Senator Reed created the national Housing Trust Fund (HTF) in the Housing and Economic Recovery Act of 2008.  The HTF is an affordable housing production and preservation program.  Under the law, the housing government sponsored entities (GSEs) Fannie Mae and Freddie Mac are required to contribute annually to the HTF.

ESG provides annual grants to state and local governments, as well as private entities, to upgrade and expand emergency homeless shelters.  In this round of funding, Providence will receive $454,961 in ESG funds, Pawtucket will receive $158,117, Woonsocket will receive $108,508, and communities across the state will share an additional $720,320.

Providence will also receive $1,360,735 in HOPWA funds, which help communities and nonprofit organizations offer housing assistance and related supportive services to low-income individuals who have been diagnosed with HIV/AIDS.

To help more effectively combat the opioid crisis and ensure people with substance abuse disorders can access safe housing, Rhode Island will also receive $968,000 in Recovery Housing Program (RHP) funds.  Senator Reed backed this program as part of the Substance Use-Disorder Prevention that Promotes Opioid Recovery and Treatment (SUPPORT) for Patients and Communities Act.  This federal funding will help Rhode Island provide stable, temporary housing to individuals in recovery from a substance use disorder.  

On a national level, in the fiscal year 2022 Consolidated Appropriations law, Senator Reed helped provide $3.3 billion for the CDBG program; $1.5 billion for the HOME program; and $3.2 billion for homeless assistance programs to build on and improve HUD’s delivery of housing and supportive services for people currently experiencing or at risk of homelessness.