FOR IMMEDIATE RELEASE
Wednesday, January 4, 2005

Isakson, Chambliss Announce $14.5 Million in HUD Funding for Georgia
Funds Will Help with Housing Needs of Elderly, Disabled and Low-Income Families  

WASHINGTON – U.S. Senators Johnny Isakson (R-Ga.) and Saxby Chambliss (R-Ga.) today announced that Georgia will receive $14,596,200 in funding to meet housing needs and expand economic opportunities for the elderly, disabled and low-income families.

The funding will be distributed by the U.S. Department of Housing and Urban Development and will be used to construct new housing .

The program also provides project rental assistance, which covers the difference between the HUD-approved operating costs of the project and the tenants’ contribution toward rent.

“I am pleased to announce this funding, which will help Georgia in aiding those who need it most,” said Isakson.                                                       

“These important programs fund a wide range of community initiatives, such as housing and rehabilitation, support services, public improvements and economic development projects in communities throughout Georgia and across the nation,” said Chambliss.  “ I will continue to work with my colleagues in support of the programs that mean so much to so many Georgia communities.”

The money will be distributed to the following organizations:

• Mercy Housing Southeast, Inc., of Decatur, Ga. , will receive a capital advance of $5,390,100 and a five-year rental subsidy of $931,500.  The funds will be used to construct 65 one-bedroom units for very low-income elderly persons and one two-bedroom unit for a resident manager. DeKalb County has agreed to provide funding for an additional market-rate apartment.

• Broadway Towers, Inc. , of Lawrenceville, Ga. ,will receive a capital advance of $3,418,900 and a five-year rental subsidy of $602,000.  The funds will be used to construct 42 one-bedroom units for very low-income elderly persons.

• Housing Development Corp. of Macon & Taylor, of Reynold s , Ga. , will receive a capital advance of $2,194,500 and a five-year rental subsidy of $387,000.  The funds will be used to construct 27 one-bedroom units for very low-income elderly persons and one two-bedroom unit for a resident manager.

• Cobb ARC, Inc., of Austell, Ga. will receive a capital advance of $325,100 and a five-year rental subsidy of $57,500.  The funds will be used to construct a four-bedroom group home for very low-income persons with physical or developmental disabilities. The site is surrounded by single-family homes in an established neighborhood and is in close proximity to services such as shopping, pharmacy, medical, and public transportation.

• Volunteers of America Southeast, Inc. of Lafayette, Ga. , will receive a capital advance of $778,000 and a five-year rental subsidy of $129,000.  The funds will be used to construct nine one-bedroom units for very low-income persons with chronic mental illness and one one-bedroom unit for a resident manager.

• Cobb ARC, Inc. will receive a capital advance of $325,100 and a five-year rental subsidy or $57,500.  The funds will be used to construct a four-bedroom group home for very low-income persons with physical or developmental disabilities.

HUD provides interest-free capital advances to private, nonprofit sponsors to finance the development of supportive housing for the elderly. The capital advance does not have to be repaid as long as the project serves very low-income elderly persons for 40 years. The available program funds for a fiscal year are allocated to HUD’s local offices according to factors established by the Department.

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