The Washington Post reports that the U.S. Department of Housing and Urban Development (HUD) foreclosure aid program may be providing Montgomery, Prince George’s, and Baltimore counties with additional funds this fall. Launched in 2008 under the Bush administration, the Neighborhood Stabilization Program distributed a total of $4 billion to various states, each receiving a base allotment of $19.6 million for HUD-approved projects. Those localities in greater need were provided with additional funding. Over the course of 18 months the funds were to be used to provide localities with the resources to buy and redeveloped foreclosed properties. In a statement released on Tuesday, HUD Secretary Shaun Donovan stated that,
“We will not know how much money will be recaptured because the deadline is not here yet,” Donovan said. But he highlighted Prince George’s as a likely candidate for reallocated funds.”
The Washington Post continues:
“A HUD spokesperson said Montgomery and Baltimore counties also are likely to benefit when the $3 million to $6 million is redirected.
The Washington region was awarded a total of $104 million through the program in 2008: $46.4 million to Maryland, $45.7 million to Virginia and $2.8 million to the District.
Prince George’s was granted the biggest chunk: $10.9 million. Other big recipients in Maryland were Baltimore, with $4.1 million, and Baltimore County, with $2.6 million. In Virginia, Prince William County was eligible to tap into $4.1 million and Fairfax County, $2.8 million.”
Those funds that have not been utilized by the deadline will be redirected to other localities.