Resources Announced for Communities Hard-Hit by Foreclosure Crisis

CAPITAL HEIGHTS, MD March 19) – Governor Martin O’Malley today announced the allocation of more than $18.9 million through Maryland’s Neighborhood Conservation Initiative (NCI) to help local jurisdictions stabilize communities hardest hit by the foreclosure and subprime lending crisis.

“These strategic investments will not only create jobs while we rebuild our physical infrastructure, but they will help stabilize neighborhoods as we rebuild our economic infrastructure as well,” said Governor O’Malley. “Our communities have come under attack by subprime lending and surging foreclosures. These neighborhood stabilization funds are specifically targeted to areas heavily impacted by this crisis, and will be complemented by the infrastructure projects funded by the Obama Recovery and Reinvestment plan.”

“Governor O’Malley and I are proud of the progress we’ve made in Prince George’s County – test scores are up, crime is down and as a community we’re fighting back against foreclosure. We need to protect that progress, especially during difficult times, and that’s why we continue to invest in Maryland’s and Prince George’s strong communities,” Lt. Governor Brown said. “With a new partner in the White House, we are confident that we will do more than just survive these tough days, we will thrive for years to come.”

The Neighborhood Conservation Initiative is just one of many efforts that incorporate Smart, Green & Growing components. Smart, Green & Growing is a multi-agency, statewide initiative launched by Governor Martin O’Malley to help Maryland achieve a more sustainable future by linking community revitalization, transportation improvements, economic development, smart growth and environmental restoration efforts.

The $18.9 million in grants will be distributed to local jurisdictions by the Department of Housing and Community Development (DHCD) and will be used in targeted Neighborhood Conservation Areas identified by the jurisdictions of having the greatest need. In November, it was announced that more than $19.6 million that will be distributed directly to Baltimore City and Baltimore, Montgomery and Prince George’s counties by the U.S. Department of Housing and Urban Development through the federal Neighborhood Stabilization Program. The funding was authorized last fall by Congress through the Housing and Recovery Act of 2008.

It is anticipated that the state and local funds combined will create more than 500 units of workforce housing as well as assist more than 1,000 new homebuyers with their downpayment.

“New rental housing units and new homeownership opportunities will help hardworking families throughout Maryland,” said Raymond Skinner, Maryland Secretary of Housing and Community Development. “Maryland continues to be a national leader in finding sustainable strategies in response to a crisis that still hits far too many families throughout our state.”