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Courtney Statement On State Testing Program For Crumbling Foundations

January 23, 2017
Press Release

WASHINGTON, D.C.—Today, Congressman Joe Courtney (CT-02) released the following statement after an announcement by Governor Malloy that the State of Connecticut will allocate $6 million in funding to address crumbling home foundations, including $1 million in federal housing funding:

“I am pleased that today Governor Malloy has announced promising new steps that the State of Connecticut is taking to address the increasingly urgent problem of crumbling home foundations in northcentral Connecticut,” said Courtney. “As my office determined last August, federal assistance is available immediately through the Department of Housing and Urban Devolvement Small Cities CDBG and HOME block grant programs, and I’m glad that the Governor indicated today that these funding sources will be used. Nothing could fall more squarely within the mission of CDBG to promote community development than stopping this threat to northcentral Connecticut’s housing market. I encourage the General Assembly to support these efforts and continue to investigate the potential use of  additional money that is available through HUD. This is a good first step, but much more work will need to be done in order to get a handle on the urgent issue of crumbling foundation which is threatening local families, our communities and the region’s economy.”

In August, Courtney’s office received confirmation from the federal Department of Housing and Urban Development (HUD) that federal housing funds could be used to address crumbling foundations. Since that time, he has encouraged state officials and local leaders to pursue this funding as one part of a larger effort to respond to this urgent issue.

Click here for Congressman Courtney’s September announcement on the information provided by HUD

Click here for HUD’s letter

In 2016, Connecticut received about $12.2 million in Small Cities CDBG funds and $6.5 million in HOME funds not otherwise allocated to larger cities. The funds are used in a wide variety of housing and development projects throughout the state, with their distribution determined by the Connecticut Department of Housing and the Office of Policy and Management (OPM) in consultation with the Connecticut General Assembly.

The Small Cities CDBG program is also known as the ‘State Administered CDBG’ because the funds are awarded to state governments and then apportioned to municipalities based on a formula set by the administering state agency. In Connecticut, the funds are awarded to DOH and are distributed according to a consolidated plan which the agency has established.

The HOME Program makes grants to state and local governments to assist with implanting with strategies designed to increase homeownership and affordable housing for lower income Americans. Government entities that receive funding through the program may use it for a variety of purposes including housing rehabilitation, rental assistance, and assistance to buyers.