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"Illinois needs the continued support of these important federal
programs to meet our affordable housing needs and to continue
community and economic development efforts around the state," the
governor wrote. "Strong support from the federal government is vital
for Illinois to meet the affordable housing needs of its low and
moderate-income families and seniors. Illinois is committed to
continued investment in quality, affordable housing, but we need
continued federal investment." Under the president's proposed
budget for fiscal 2007, Illinois would receive $24 million in funds
for the Community Development Block Grant. That's a 35 percent cut
from fiscal 2004.
The grant funds help businesses employ low-income residents,
allow for senior citizens to receive assistance in rehabbing their
homes to increase safety and energy efficiency, create or repair
water and sewer systems, and help families afford home repairs.
The proposed reductions would also cut in half the funding for
the Section 811 program and would cut funding to the Section 202
program by more than 25 percent, hurting the state's efforts to
provide affordable housing for seniors and people with disabilities,
which could force many of these citizens to live in institutions
instead of being able to live independently.
"CDBG funds are integral to making sure that Illinois' elderly
and working families can continue to live in their homes, remain in
their communities, and that their homes remain safe and affordable,"
said Kelly King Dibble, executive director of the Illinois Housing
Development Authority. "These funds help repair roofs when they are
in disrepair, help weatherize homes to keep families warm in the
winter, and help with other rehab programs that are fundamental to
providing safe, decent and affordable homes to the people of
Illinois."
A copy of the governor's letter follows:
Dear President
Bush,
I am writing today
[to] urge you to restore the cuts to housing and community
development programs proposed in your FY 2007 budget. I am
particularly concerned about the proposed cuts to the Community
Development Block Grant (CDBG) program and the targeted housing
programs that serve senior citizens and people with disabilities.
The proposed cuts will significantly reduce community and economic
development programs in smaller Illinois communities. They will also
slow our efforts to help seniors and people with disabilities find
affordable housing in their community instead of an institution. The
federal government has been our principal partner in providing
housing and community development funds and programs. Illinois needs
the continued support of these important federal programs to meet
our affordable housing needs and to continue community and economic
development efforts around the state.
[to top of second column]
 |
 The State of
Illinois has prioritized their CDBG funds to provide communities
with needed funds to create or repair water and sewer systems,
repair single-family homes, provide businesses with low interest
loans to help them employ low-income residents, and help senior
citizens get assistance to rehab their homes in order to increase
safety and energy efficiency. In FY 2004, Illinois received almost
$38 million in CDBG funds. Under the proposed FY2007 budget,
Illinois will receive $24 million, a 35% cut.
A recent CDBG loan
to the City of Columbia in a rural area of southwestern Illinois
demonstrates the importance of this program. Columbia used the loan
to provide an access road and a sewer main for the St. Elizabeth's
Urgent Care Facility. With the nearest hospital being almost 20
miles away, the new $5 million Urgent Care Facility will provide
essential health services and create 45 jobs for community
residents.
Illinois cannot
meet the affordable housing needs of its families, senior citizens
and people with disabilities alone. Our low-income residents depend
on housing provided by local communities and by affordable housing
developers. The Section 811 program for people with disabilities and
the Section 202 program for senior citizens provide new housing with
coordinated rental assistance to allow the very lowest income
residents [to] have the housing they need. The proposed reductions
of 50% to the Section 811 program and 26% to the Section 202 program
will slow our efforts to provide affordable housing in community
settings to help senior citizens and people with disabilities avoid
institutions.
Two recent Section
811 projects in Galesburg, a town of 33,000 people in northwestern
Illinois, illustrate the value of this program. In September a local
organization for the mentally ill opened these projects, which
consist of a 6-bedroom group home and a 10-unit apartment complex.
The housing filled quickly and now there is a 12 person waiting
list. The owner, Bridgeway, Inc., targets residents in nursing homes
and state hospitals to give them an opportunity to live more
independently in the community.
Strong support from
the federal government is vital for Illinois to meet the affordable
housing needs of its low and moderate-income families and seniors.
Illinois is committed to continued investment in quality, affordable
housingbut we need continued federal investment. Please restore
funding for these critical housing and community development
programs.
Sincerely,
Rod R. Blagojevich
Governor
cc: Secretary
Alphonso Jackson, U. S. Department of Housing and Urban Development
[News release from the governor's
office] |
