WASHINGTON, DC – In an effort to help revitalize 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 a total of
$10,615,796 in federal aid from several programs, including $7,425,199 from the
Community Development Block Grant (CDBG) program, $1,606,658 from the Home
Investment Partnership (HOME) program, $583,215 from the Emergency Shelter Grant
(ESG) program, and $1,000,724 from the Housing Opportunities for Persons With AIDS
(HOPWA) program. Each program is administered by the U.S. Department of Housing and
Urban Development (HUD).

“When these federal funds are leveraged with local resources, Providence, Cranston,
and Pawtucket will be able to strengthen infrastructure and help businesses boost
economic development,” said Senator Reed, the Ranking Member of the Appropriations
Subcommittee on Transportation, Housing and Urban Development, and Related Agencies
(THUD), which appropriates these funds, and a senior member of the Banking
Committee, which has jurisdiction over CDBG, HOME, ESG, and HOPWA. “I’m proud to
help deliver these funds and I look forward to working with our cities and towns to
help them address their most pressing needs, enhance their neighborhoods, and boost
Rhode Island’s economy.”

Senator Reed also noted that under President Trump’s proposed FY 2018 budget, CDBG
and HOME are completely eliminated, and funding for ESG and HOPWA funds are below FY
2017 levels. However, through his partnership with Senator Susan Collins (R-ME),
the Chairman of the THUD subcommittee, Senator Reed worked to protect funding for
the programs in the FY 2018 Senate Transportation, Housing and Urban Development and
Related Agencies bill.

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 improving streetscapes and sidewalks and supporting
small businesses, to removing blight and assisting with infrastructure projects.
Several Rhode Island cities will split over $7 million from this round of CDBG
funding, including: Cranston ($1,011,456), Pawtucket ($1,732,661), and Providence
($4,681,082).

HOME is the largest federal block grant to state and local governments designed
exclusively to expand the supply of quality, affordable housing for working
families. Providence will receive $1,199,134 in HOME funds, while Pawtucket will
receive $407,524.

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 $427,127 in ESG funds, while Pawtucket will receive
$156,088.

Providence will also receive $1,000,724 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.