Waters secures $32.8 million to stablize L.A. neighborhoods
Areas hit by housing foreclosures targeted
Washington, DC – Congresswoman Maxine Waters (CA-35) announced Monday that the U.S. Department of Housing and Urban Development (HUD) has approved a plan from the City of Los Angeles to help homeowners and stabilize neighborhoods suffering from the effects of high foreclosure rates and declining home values. Los Angeles will receive $32.8 million in funds from the Neighborhood Stabilization Program (NSP) to help acquire and redevelop foreclosed properties in targeted neighborhoods.
As Congress developed our response to the subprime mortgage crisis and took steps to strengthen the housing market, I emphasized the importance of neighborhood stabilization. I have seen the consequences of clusters of foreclosed properties driving down home values, increasing crime and adding to blight in affected neighborhoods, so I fought hard to make sure the legislation we passed included neighborhood stabilization funding. I have spoken with Mercedes Marquez, General Manager of the Los Angeles Housing Department, and I believe she has developed an excellent plan for utilizing NSP funds to help our communities, said Congresswoman Waters, who chairs the Financial Services Subcommittee on Housing and Community Opportunity.
Congresswoman Waters worked with leaders in Congress to secure neighborhood stabilization funding for Los Angeles and other communities. She introduced the Neighborhood Stabilization Act (H.R. 5818) last year to authorize a federal grant and loan program to help cities, counties and states purchase, rehabilitate and resell or rent foreclosed homes and in turn create rental and ownership opportunities for low- and moderate-income families.