Grants awarded for Vt. housing, community projects

The U.S. and Vermont flags flying side by side in Bridgewater, Vt. (Gareth Henderson Photo)

Local housing and community projects in Vermont are receiving support from a new round of federal grants. 

On Thursday, Gov. Phil Scott announced recipients of $2.22 million in Community Development Block Grant (CDBG) funding through the Vermont Community Development Program (VCDP). This federal money will support six projects throughout Vermont, including three mixed income housing developments, planning for Americans with Disabilities Act (ADA) accessibility improvements and the revitalization of community facilities.

In this week’s announcement, Scott called the CDBG program an “essential resource for Vermont.” 

“Bringing together public and private partners, the program makes a big difference in our redevelopment and revitalization efforts throughout all corners of the state,” he said.

These funds provide federal funding to help local communities address priority projects that primarily benefit individuals of low or moderate income, according to state officials. Supported projects include planning and implementation of housing, economic development, public infrastructure, and community facilities such as childcare and senior centers. The funding announced this week goes to projects in Randolph, Pittsford, Arlington, South Burlington and Highgate. 

“The program has been a crucial funding source for 40 years in Vermont,” said Josh Hanford, the state’s commissioner of housing and community development, in the state’s announcement. “CDBG funding invests in local community development projects which expand low-income families’ access to opportunity in Vermont."

In a joint statement, U.S. Sen. Patrick Leahy (D), U.S. Sen. Bernie Sanders (I), and U.S. Rep. Peter Welch (D) spoke about the funding’s broad impact over the decades: 

“Vermont has long benefited from Community Development Block Grant awards, which transform communities by creating opportunities for Vermonters and helping to drive our local economies.”

This year, recipients include the City of South Burlington and Ascend Housing Allies, who were jointly awarded $1 million to develop 94 units of new mixed-income apartments in two separate 47-unit buildings. 

“The Community Development Block Grant award from VCDP will allow Summit Properties, in partnership with subgrantee Ascend Housing, to move forward with one of the State of Vermont’s most ambitious affordable housing projects to date,” said Tom Getz, chief executive officer of Summit Properties, in a statement. “Especially in today’s construction environment, affordable housing requires leadership and support from the State of Vermont, its partner agencies, and local municipalities. VCDP’s and the City of South Burlington’s support for this project puts that leadership on full display and will make an impact on more than 100 people seeking an affordable housing option to live and work in Chittenden County.”

The following six Vermont projects are supported by the program’s funds for fiscal year 2022: 

• Town of Arlington for community revitalization and gathering space.

• Town of Highgate to explore development of a mixed-use property and library.

• Town of Pittsford to explore development of community programming space.

• Town of Randolph for affordable rental housing.

• City of South Burlington for mixed income housing.

• City of Vergennes to plan for ADA renovations of the Vergennes Opera House.

For details on these CDBG awardees and projects, click here.

Editor’s Note: The information in this post is from a news release by the Office of Vermont Governor Phil Scott.

New program to help with overdue housing payments

A view of Wyman Lane in Woodstock, Vt. (Gareth Henderson File Photo)

A new statewide program is offering grants of up to $30,000 towards a variety of overdue housing payments.

Homeowner Assistance Program (HAP), which will help Vermont homeowners facing pandemic hardships, is now accepting applications. The program, funded by $50 million from the federal American Rescue Plan Act (ARPA), will provide grants of up to $30,000 per household to cover overdue mortgage payments, utility bills, property taxes, and property association charges.

The HAP is being managed through the Vermont Housing Finance Agency (VHFA) and is expected to run for multiple years to help reduce the long-term risk of foreclosure and home loss.

“As we move forward in our recovery, my administration is making housing a top priority,” said Gov. Phil Scott in a Monday announcement. “In addition to supporting those experiencing homelessness and building new housing stock, we must also work to keep Vermonters in their homes, to stabilize neighborhoods and preserve the health of our communities. This program offers another tool to help accomplish this.”

Passed as a part of ARPA, this program was supported by Senator Patrick Leahy (D-Vt.), Senator Bernie Sanders (I-Vt.) and Congressman Peter Welch (D-Vt.). In a joint statement, the Vermont Delegation said: “As foreclosure moratoriums and forbearance agreements end, many Vermonters are facing an uncertain future. These funds will help homeowners harmed by the pandemic get caught up on their bills and move forward.”

Earlier in the pandemic, VHFA organized the Mortgage Assistance Program, which assisted nearly 900 households with a total of $10 million in mortgage and property tax assistance. The additional federal ARPA funding allows the HAP to offer expanded criteria to support homeowners who do not have a mortgage or who have a reverse mortgage, state officials said, and it will also cover utility bills and homeowner and condominium association fees, to help even more households facing financial challenges.

The program is available to any Vermont homeowner who meets the eligibility criteria, and is not just for VHFA mortgage borrowers. The program is available to Vermont homeowners for expenses related to their primary home, who meet income limits, and who are behind on their bills due to a financial hardship associated with the coronavirus pandemic after Jan. 21, 2020.

“Since the HAP funding is provided as a one-time-only grant, we highly encourage homeowners to talk with a local HUD-approved housing counselor prior to applying,” remarked Eric Hoffman, VHFA’s manager of homeownership business development. “Their free counseling services can help applicants make sure they are taking advantage of all the loss-mitigation tools that may be available to them.”

More information and application materials are available at vermonthap.vhfa.org. The website is available in several languages and includes information about how applicants can access additional translation and application assistance. A Homeowner Assistance Program information hotline is open 9 a.m. – 4 p.m., Monday through Friday, at 833-221-4208.

— Gareth Henderson

New Vt. program aims to expand housing stock

The winter landscape as seen from River Road in Woodstock, Vt. (Gareth Henderson File Photo)

Vermont has launched a new program meant to increase housing units throughout the state. This effort comes amid an ongoing housing shortage in Vermont — an issue which has been emphasized by local and state officials during the pandemic. 

Announced this week, the Vermont Housing Improvement Program (VHIP) is designed to bring housing units back online by investing in existing, but under-utilized structures, the announcement said. VHIP builds upon past rental rehabilitation pilot programs that used modest public investment to revitalize housing in Vermont’s downtown areas, while helping renters and property owners who are most in need of assistance, according to the state.

The program, funded using federal American Rescue Plan Act (ARPA) funds, will invest a total of $5 million into the state’s aging housing stock. VHIP will provide grants of up to $30,000 per unit with a 20% funding match required to bring code non-compliant units back into habitability. This round of grants is dedicated to units serving renters who are exiting homelessness, officials said.

“In addition to building new housing, VHIP will be critical for bringing housing that has fallen into disrepair back online, helping to provide more housing for the workforce, lifting people out of homelessness, and aiding in the transformational change we are seeking to create stronger communities,” said Gov. Phil Scott in a Wednesday statement.

Scott joined the Vermont Department of Housing and Community Development and other statewide partners in launching the program. 

“Throughout the course of the pandemic many businesses received financial assistance, but one of the populations that has been overlooked is the mom-and-pop landlords across the state,” said Josh Hanford, the state’s commissioner of housing and community development. “We designed this program for the long run with the success of the landlord and the tenant in mind. With this program, you are creating permanent housing and improving neighborhoods.”

Shaun Gilpin, director of the state government’s housing division, said a major goal is to address the needs of the most vulnerable Vermonters.

“We have been working with Vermont’s five homeownership centers to create a new program that is based on successful models and improves upon past efforts to bring more housing on-line,” Gilpin said. 

VHIP partners include Champlain Housing Trust, Rural Edge, Downstreet Housing and Community Development, Windham and Windsor Housing Trust, and Neighborworks of Western Vermont.

For more information, click here.

— Gareth Henderson

Governor’s new order focuses on housing, food assistance

A view of the mountains around Woodstock, Vermont. (Gareth Henderson Photo)

A day after Vermont lifted its pandemic restrictions, the state is looking to transition key housing and food programs into the future as well. 

Early last year, the state expanded its general housing assistance program and loosened requirements to provide emergency housing for low-income Vermonters during the pandemic, some of whom would otherwise be at risk of homelessness. This included an expanded motel voucher program. Today, the state is currently housing 2,295 people in 1,631 hotel and motel rooms across the state. As hospitality businesses reopen, capacity is dwindling for that program.

On Tuesday, Gov. Phil Scott signed an executive order meant to sustain housing and food assistance for these families and individuals. Human Services Secretary Mike Smith said the order allows the state to draw on FEMA funding to support non-congregate housing, and the Department of Children and Families (DCF) can continue to provide the maximum benefit under 3SquaresVT, the federal Supplemental Nutrition Assistance Program in Vermont. 

As of June 1, the state has implemented new eligibility rules for the emergency housing program which are stricter than the pre-pandemic requirements. That has meant far less participation in the program over the past couple of weeks. The new rules apply to new applicants now, but these requirements will expand to everyone in the program as of July 1. After that date, the state expects that two-thirds of people currently getting assistance will meet the new criteria and be able to stay in their current housing for an additional 84 days.

“Households with children and people with disabilities may be able to have their emergency housing extended past 84 days, depending on their circumstances,” Smith said at a press conference. 

Households ineligible for continued housing as of July 1 may be eligible for an essential payment of $2,500 to help with expenses, Smith added. DCF has other programs which can help, and there is financial assistance of up to $8,000 (for eligible costs) for households transitioning into more permanent housing. 

“We are doing everything possible to assist Vermonters and allow a smooth transition into more permanent housing and support services that will meet their long-term needs,” Smith said. 

In fiscal-year 2021, the state expects to spend a total of $80 million on housing assistance, which will go down to $38 million in fiscal-year 2022. That’s still far above the pre-pandemic annual expenditure for housing aid of $5 million to $7 million.

Smith applauded the governor and the Legislature for working to include substantial funding in the new state budget for building more housing. 

“In the future, the best solution to homelessness is permanent housing,” Smith said. 

Smith wrapped up his remarks by recognizing the work done on Vermont’s vaccination program, which helped the state surpass 80% of eligible people vaccinated this week. He said it was impossible to thank everyone who has helped with this effort, but he noted that the level of dedication and sacrifice — many workers and volunteers spending countless hours away from their own families — remains a great inspiration and got Vermont to this point of progress.

“Our state may be small, but we are mighty, and I thank you all,” Smith said. 

— Gareth Henderson

Housing aid programs launch this week

Money for housing has been one of the greatest needs during the pandemic, and starting this week, $30 million in funding will become available to help Vermonters in need. 

On Monday, the Vermont State Housing Authority (VSHA) and Vermont Housing Finance Agency (VHFA) will start accepting applications for two new assistance programs announced by Gov. Phil Scott on Friday. The money is part of relief funding approved by lawmakers and backed by federal aid.

The $30 million total includes $25 million for rental assistance and $5 million for mortgage assistance to lower-income households, to be administered by VSHA and VHFA, respectively. 

In his Friday remarks, Gov. Phil Scott acknowledged these grants won’t address all of the needs impacted groups are facing in the pandemic. 

“But we’ll continue to look for ways to support them, so they can survive this once-in-a-century crisis,” Scott said. 

Richard Williams, VSHA’s executive director, outlined the financial hardships involved for renters, which have been a long-standing struggle.

“Even prior to COVID-19, over half of the renters in Vermont — about 36,000 households — have housing costs that consume more than 30 percent of their income,” he said Friday, adding, “One quarter of Vermont renters spend more than half of their income on housing.” The new funding is designed to help keep Vermont renters in their homes and avoid homelessness during the crisis, Williams added.

Grants through this new rental housing stabilization program are available to renters, landlords and families experiencing homelessness, he noted. As well as past-due rent, the funding can also cover first and last month rent payments and security deposits. Applications will be processed on a first-come, first-serve basis.  

Maura Collins, executive director of VHFA, spoke about the mortgage assistance program. She emphasized that it’s available to anyone who meets the criteria, not just VHFA clients. This funding will pay for up to three months of mortgage payments for low-income households. Applications will be taken from July 13 through Aug. 31, but that period may shorten if funds run out. 

The program is limited to Vermont households with incomes in the last 90 days of $15,000. For homes in Chittenden County, that limit is $18,000. Other requirements include that the applicant must have missed at least two monthly mortgage payments; the loan must have been in force before March 1; and the home must be the applicant’s primary residence. 

The governor also pointed out that this funding is just a portion of the housing-related assistance approved by the Legislature, which totals $85 million. Other funding will be highlighted at future press conferences. 

“It’s critical we keep moving forward, so we can recover as a state and nation, and recovery starts with everyone having a safe and secure place to call home,” Scott said. 

More information on these programs is available at accd.vermont.gov through the Agency of Commerce and Community Development.

— Gareth Henderson