The pilot program to help individuals in recovery from a substance use disorder become stably housed (recovery housing program), was authorized under section 8071 of the support for patients and…

The Department of Commerce North Carolina, through its Fiscal Management Division, received a $1,166,440 Formula Grant from the U.S. Department of Housing and Urban Development (HUD) under the Community Development Block Grant (CDBG) program (CFDA 14.228). The grant award will fund activities to provide stable, temporary housing for individuals in recovery from a substance use disorder, as authorized under Section 8071 of the SUPPORT for Patients and Communities Act. Eligible activities include public facility improvements, real property acquisition, and leasing/renting to support recovery housing initiatives. The grant has a performance period from December 10, 2024 to September 1, 2031. As a state-level recipient, the Department of Commerce North Carolina will oversee the implementation of the CDBG-funded recovery housing program across the state.

Activities

The use of RHP funds is limited to the following eligible activities: • public facilities and improvements. RHP funds may be used for activities under 24 CFR 570.201(c) or section 105(a)(2) of the HCD act (42 U.S.C. 5305(a)(2)) only for the purpose of providing stable, temporary housing for individuals in recovery from a substance use disorder in accordance with section 8071 and this notice. • acquisition of real property. RHP funds may be used for acquisition under 24 CFR 570.201(a) or section 105(a)(1) of the HCD act (42 U.S.C. 5305(a)(1)) for the purpose of providing stable, temporary housing to persons in recovery from a substance use disorder. For example, a nonprofit could purchase a residential property for the purpose of providing stable, temporary housing for individuals in recovery from a substance use disorder in accordance with section 8071 and this notice. • lease, rent, and utilities. HUD is waiving and modifying 42 U.S.C. 5305(a)(8), 24 CFR 570.207(b)(4), 24 CFR 570.201(e), and 24 CFR 570.482(c)(2) to the extent necessary to permit RHP funds to be used to make payments for lease, rent, utilities, and associated costs (e.g., fees), for the purpose of providing stable, temporary housing, on behalf of an individual in recovery from a substance use disorder in accordance with section 8071 and this notice. Under this waiver and alternative requirement, such payments are not limited to 15 percent of the RHP grant, and individual may be assisted for up to 2 years or until the assisted individual find permanent housing, whichever is earlier. These payments may not be made directly to an individual. These payments may not have been previously paid from other sources; and the payments must result in either a new service and/or a quantifiable increase in the level of an existing service above that which has been provided in the 12 calendar months prior to approval of the RHP action plan. For example, a subrecipient currently operating a recovery group home may use RHP funds to rent an additional house and increase the number of persons served. In which case, the rent and utility costs of the additional house may be paid with RHP funds; however, the rent and utilities of the original house would not be an eligible cost under the RHP program. In this example, an individual may only stay in the temporary housing assisted by RHP for a period of up to 2 years or until the individual finds permanent housing, whichever is earlier. • rehabilitation and reconstruction of single-unit residential. RHP funds may be used for rehabilitation or reconstruction of publicly- or privately-owned single-unit residential buildings and improvements eligible under 24 CFR 570.202(a)(1) or section 105(a)(4) of the HCD act (42 U.S.C. 5305(a)(4)) for the purpose of providing stable, temporary housing for individuals in recovery from a substance use disorder in accordance with section 8071 and this notice. • rehabilitation and reconstruction of multi-unit residential. RHP funds may be used for rehabilitation or reconstruction of publicly- or privately-owned buildings and improvements with two or more permanent residential units that otherwise comply with 24 CFR 570.202(a) and section 105(a)(4) of the HCD act (42 U.S.C. 5305(a)(4)) for the purpose of providing stable, temporary housing for individuals in recovery from a substance use disorder in accordance with section 8071 and this notice. • rehabilitation and reconstruction of public housing. RHP funds may be used for rehabilitation or reconstruction of buildings and improvements owned and operated by a public housing authority to the extent eligible under 24 CFR 570.202(a)(2) and section 105(a)(4) of the HCD act (42 U.S.C. 5305(a)(4)), for the purpose of providing stable, temporary housing for individuals in recovery from a substance use disorder in accordance with section 8071 and this notice. • disposition of real property. RHP funds may be used for disposition through sale, lease, or donat

Expected outcomes

RHP has two required outcomes grantees must report: (1) number of individuals assisted with RHP activities; and (2) number of assisted individuals that transition to permanent housing. Grantees can consider tracking and reporting additional measures.

Intended beneficiaries

RHP is intended to support individuals in recovery onto a path to self-sufficiency. By providing stable housing to support recovery, RHP aims to support efforts for independent living. More specifically, RHP provides funds to develop or maintain housing for individuals. RHP funds are allocated according to a separate provision and funding formula from the housing and community development act funding formula that does not include every state.

Subrecipient activities

The subrecipient activities are unknown at the time of award.