The Department of Housing and Community Development released that Maryland will be allocated $5,428,249 for FY23 from the Housing Trust Fund.
Earlier this week the U.S. Department of Housing and Urban Development (HUD) allocated $382 million nationally through the nation’s Housing Trust Fund, with Maryland receiving $5,428,249. The Housing Trust Fund (HTF) is an affordable housing production program that complements existing Federal, state and local efforts to increase and preserve the supply of decent, safe, and sanitary affordable housing for extremely low- and very low-income households, including families experiencing homelessness.
HTF is a formula-based program for States and U.S. Territories. By law, each state is allocated a minimum of $3 million. State affordable housing planners will use these funds for the following eligible activities:
- Real property acquisition
- Site improvements and development hard costs
- Related soft costs
- Financing costs
- Relocation assistance
- Operating cost assistance for rental housing (up to 30% of each grant)
- Reasonable administrative and planning costs.
The Housing Trust Fund is being capitalized through contributions made by Fannie Mae and Freddie Mac. In December 2014, the Federal Housing Finance Agency (FHFA) directed these Government Sponsored Enterprises (GSEs) to begin setting aside and allocating funds to the Housing Trust Fund. The Housing Trust Fund helps to strengthen and broaden the Federal housing safety net for people in need by increasing production of, and access to, affordable housing for the nation’s most vulnerable populations. One hundred percent of funds must be used for extremely low-income families. This targeting ensures the priority of this program is helping those with the greatest needs.
FY23 Allocation Highlights:
- Maryland will receive $5,428,249.
- California will receive the most at $62,249,056.
- Arkansas, Mississippi, & South Dakota are tied for last among the states at $3,000,537.
- Guam will receive $157,107.