SUPPORT FOR CDBG AND HOME FUNDING

WHEREAS, CDBG and HOME are the workhorses at the local level; providing vital funding and control to communities to address local needs in the areas of economic development, decent housing, and vital public services.

WHEREAS, nearly 1,200 communities rely on CDBG as a direct source of annual funding.

WHEREAS, an estimated 7,250 local governments nationally have access to CDBG funds; reaching rural, urban, and suburban areas.

WHEREAS, over 600 communities rely on HOME as a direct annual source of funding.

WHEREAS, an estimated 3,000 local governments nationally have access to HOME funds.

WHEREAS, both programs have been sharply cut in the last two years: CDBG by nearly $1 billion and HOME by over $800 million.

WHEREAS, the communities eligible to receive CDBG and HOME funding continue to increase as does the unmet need for these programs at the local level.

WHEREAS, both programs generate other resources and add to the local economy.

WHEREAS, every $1.00 of CDBG funding invested in a project another $3.55 is leveraged from other sources.

WHEREAS, since its inception in 1974, CDBG has leveraged nearly $400 billion in other resources for community development and affordable housing.

WHEREAS, for every $1.00 of HOME another $4.00 is leveraged.

WHEREAS, since its inception, the HOME program has leveraged over $88 billion in other funds for affordable housing.

WHEREAS, over the last decade, CDBG economic activities have directly created or retained more than 334,000 permanent jobs and sustained an additional 861,000 jobs. 

WHEREAS, in the last decade, CDBG has rehabilitated more than 1.426 million homes for low- and moderate-income homeowners and renters.

WHEREAS, CDBG-funded  infrastructure projects have affected the lives of more than 49.8 million Americans by providing a suitable living environment that includes sanitary water and sewer systems, safe streets and transit-ways, improved drainage systems, and other improvements that support our communities and help grow local economies.

WHEREAS, HOME funding has assisted local communities in completing over one million units of affordable housing nationwide, including:

• The completion of over 400,000 affordable rental units

• The rehabilitation of over 200,000 owner-occupied homes

• The completion of over 400,000 units for new homebuyers

• Provided direct rental assistance to over 250,000 persons

• In the last five years, of households occupying HOME-assisted rental units, at least 47% were extremely low income (at or below 30% of area median income) and another 38% very low-income (income less than 50% of area median income but greater than 30%)

• $1.6 billion in HOME funds will create or preserve approximately 28,600 jobs

NOW, THEREFORE BE IT RESOLVED that The United States Conference of Mayors calls upon Congress to support our recommendation of $3.3 billion for CDBG formula grants and $1.6 billion for HOME formula grants in FY13 to help communities nationwide continue to provide vital programs and services to low-income persons.

THEREFORE BE IT ALSO RESOLVED that cities have been charged with the cost associated with the ongoing administration of the CDBG and HOME programs. We, therefore, request congress to continue funding administrative costs at the historic level of 20%.