DED issues call for proposals for rental housing projects using CDBG disaster funding


JEFFERSON CITY, MO – September 25, 2009 – (RealEstateRama) — The Missouri Department of Economic Development is requesting proposals for Community Development Block Grant (CDBG) funding in areas of the state affected by weather related disasters during 2008. Only proposals for affordable rental housing projects may be submitted in this application process.

The funding was approved by Congress with the passage of the Consolidated Security, Disaster Assistance, and Continuing Appropriations Act of 2009 (Public Law 110-329), which appropriated $6.5 billion in CDBG funds for expenses related to disaster relief, long-term recovery, and restoration of infrastructure, housing and economic revitalization in areas affected by hurricanes, flooding and other natural disasters that occurred during 2008 and for which a presidential disaster declaration was issued. Missouri was allocated $92,605,490 of which $10,372,631 must be used for affordable rental housing.

All projects funded must meet one of the following CDBG national objectives:

• Low-to-moderate income (LMI) benefit: at least 51 percent of the persons benefitting from the project must be of LMI status, which is defined as incomes at or below 80 percent of the county median household income. This may be met through area 51 percent benefit, housing, job creation/retention, or limited clientele.

• Slum and blight removal

• Urgent threat to health and safety

Eligible applicants may propose any CDBG eligible activity. By federal law, these supplemental CDBG disaster funds cannot be used as the required match for any other federal funding.

Eligible applicants are units of local government (cities and counties) located in an area receiving a presidential disaster declaration in 2008. Areas not included in at least one of these are not eligible for this funding.

DED may accept applications for these funds directly from entitlement communities within the declared counties.

Proposals for this supplemental funding must be submitted to DED and postmarked no later than Nov. 6.

For proposal guidelines and additional information, please visit the Division of Business and Community Services website at or contact Andy Papen at (573) 751-3600.

Contact: John Fougere (573) 522-5058

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