The federal Stimulus Package is a complicated policy that is rolling out in phases. Read an overview and analysis of the phases here.
Phase I and II
Phase I and II of the Stimulus Package focus on immediate COVID-19 response and do not provide support that will impact work on redevelopment or problem properties directly. Indirectly, appropriations made for unemployment benefits and paid sick time may increase the ability of individuals to keep and maintain their commercial and residential properties during this time of crisis.
Phase III of the Stimulus Package provides a number of supports that will likely impact work on redevelopment and problem properties in a number of ways:
$5 Billion in Community Development Block Grant funds to local governments.
This funding comes through the Department of Housing and Urban Development (HUD) and includes funding for HUD to continue administering these grants. Because CDBG funding is generally fairly flexible, local governments can use this money to stabilize neighborhoods and provide housing in a variety of ways that might work best for their communities. This funding increase will be routed through the existing process for allocating CDBG funding and while no time frame has been announced on when they will become available, some applicants have already received funding.
What this means: Local governments which are already accessing CDBG funding may find that there are more funds available to apply for. Local governments which have been investigating applying for CDBG funds may find that now is a good time to do so.
$1.5 billion in Economic Development Administration (EDA) grants.
EDA grants can be used to “support other locally-identified priorities for economic recovery.” In the past, qualified applicants have thought creatively about what these priorities might be and utilized this funding to address brownfield remediation, building rehab and reuse, and downtown redevelopment.
These grants may also offer an opportunity to leverage additional funding. Based on the impact of prior funding packages, EDA estimates leveraging an additional $20 billion in local and private investment and supporting more than 100,000 American jobs.
Funds are expected to be available to qualified applicants by April 30th, 2020. Specific application and qualification details are still in the works. For more information or support in applying for these grants, please contact: Tracy Rowan at email@example.com.
What this means: Those who are already accessing EDA grants may want to reach out to the EDA for more information on whether their project would qualify for additional funding. We will keep you updated as more information becomes available about who will be eligible, what the timeline will look like, and how to apply.
Are you working on implementing these or other policy solutions related to redevelopment, housing, and problem properties? We want to hear more about the work you’re doing and help you share important information.
Please contact Policy Coordinator Taylor Bennett at firstname.lastname@example.org.
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