Neighborhood Stabilization Program2(NSP2)Website Notice

The American Recovery and Reinvestment Act of 2009 (ARRA) was signed into law on February 17, 2009.

On May 4, 2009 HUD issued two Notices of Funding Availability (NOFAs) for the second round of NSP program funding, appropriated by the Recovery Act. Under the American Recovery and Reinvestment Act (the Recovery Act), Congress appropriated 1.93 Billion Dollars in competitive funding though the Department of Housing and Urban Development (HUD) for the Neighborhood Stabilization Program 2, known as NSP2 for grants to eligible states, local governments, and non-profit organizations including Public Housing Authorities. 

The Neighborhood Stabilization Program provides resources to assist communities to address the negative impact of foreclosed and abandoned vacant properties.  The NSP1 funding round (through HUD) targets resources to communities designated as high need by the federal agency, and requires communities to clearly demonstrate a comprehensive plan and experience able to produce measurable positive impact to areas hardest hit by foreclosures. The purpose of the NSP2 program is to stabilize communities that have suffered from foreclosures and abandonment through the purchase and redevelopment of foreclosed and abandoned homes and residential properties.  NSP2 is authorized by the Housing and Economic Recovery Act, Public Law 110-289 (HERA), as amended by the Title XII of Division A of the Recovery Act.

ESLHA is posting this notice of its intent to submit a grant application for NSP2 grant funds from HUD. ESLHA welcomes public comments on its plan. The application deadline to apply for NSP2 funding is July 17, 2009.

Target Geography: City of East St. Louis

Program Goal: Request $10,862,500 for the rehabilitation/rebuild (blighted structures) as defined by NSP2 of a minimum of 100 (single-family homes) affordable housing units.

Neighborhood Stabilization: ESLHA will work with the City of East St. Louis, neighborhood groups and other community groups to stabilize neighborhoods that have been negatively impacted by ESLHA condemned and abandoned properties.

Collaboration: ESLHA will seek ways to collaborate with a number of area agencies to develop plans/programs for a comprehensive neighborhood stabilization program.

Comments and questions regarding ESLHA’s NSP2 plan should be directed to Kathy Doss, Quality Control Specialist, (618) 646-7211 or email kdoss@eslha.org. The deadline for comments on the plan is July 13, 2009.

More information regarding the NSP2 program NOFA, eligible uses and its requirements can be obtained from the Department of Housing and Urban Developments website www.hud.gov/nsp Neighborhood Stabilization Program Grants.