FY 2001 Formula Allocations for CDBG, HOME, HOPWA and ESG

HUD’s FY 2001 Appropriations Act (P.L. 106-377) was enacted in October 2000. In December 2000, Congress enacted a Consolidated Appropriations Act (P.L. 106-554) which requires an across-the-board rescission of 0.22% (less than one-fourth of one percent) of all discretionary budget authority enacted for FY 2001. All HUD programs will be impacted, including the formula allocations for CDBG, HOME, HOPWA, and ESG.

With a few exceptions, the attached list shows the amounts that will be available this year. The amounts shown include each jurisdiction’s share of the FY 2001 appropriation, plus their share of the reallocation of any funds recaptured from prior years. Any metropolitan city that is in joint grant agreements with an urban county does not appear in the list; their allocation has been added to the allocation of the parent urban county.

Four grantees have entered into agreements with CPD to repay HOME funds. The amounts that are to be returned will be deducted from the amounts shown in the attached list. The grantees are:

• Atlanta, GA $300,000
  
• Garden Grove, CA $250,000
  
• Riverside County, CA $100,000
  
• Kentucky State Program $37,000

Money is being retained from the State of New York’s CDBG allocation for previous commitments made for the Canal Corridor projects. The amount being retained is being determined and will be deducted from the allocation amount shown in the attached list.

There are 5 communities that are getting $1,000 or $2,000 more HOME money after the rescission reduction than they got before. This occurs because of rounding allocations to the nearest $1,000. The communities getting a rounding based HOME increase are: Surry County, NC; Bryan, Wichita Falls, and Brazoria County, TX; and Kenosha, WI.

Again due to rounding adjustments, the ESG allocations to the states of Delaware and Rhode Island will be $1,000 higher after the rescission adjustment.

The CDBG allocation for the State of Hawaii is shown as zero in the attached report. The allocation for the HUD administered small cities program in Hawaii is distributed among the three counties that participate in the program. These places and their allocations are shown on the last page of the report along with the insular areas.

Any questions about the allocation amounts may be directed to Marge Siegel or Bob Meehan.

We are reworking the allocation files and documentation to reflect the amounts in the attached table. It will take about a week for Systems Development and Evaluation Division staff to get this to the Budget Division and from there it will be sent to the HUD Accounting Division. Please contact your desk offiers should you have any questions about the status of this effort.

(See attached file: ESG_ HOPWA_ CDBG_ HOME FY2001 After Rescission Adjustment)