The public housing capital fund program (CFP) was created by an amendment to the 1937 act by the quality housing and work responsibility act (QHWRA) in 1998 (adding section 9(D) to the 1937 act…

The Department of Housing and Urban Development Public and Indian Housing Office awarded $244,791 to the City of Lomita under the Public Housing Capital Fund (CFDA 14.872) on April 1, 2026, for public housing modernization, infrastructure improvements, and preventative maintenance activities. Performance runs through March 31, 2030, with work performed in Lomita, California 90717.

The Public Housing Capital Fund provides formula-based grants to public housing agencies for capital and management activities serving low-income residents. Eligible uses include public housing development, modernization, management improvements, and financing activities as described in 24 CFR Part 905. The City of Lomita, operating as a Public Housing Agency, received this capital fund allocation based on formula calculations derived from characteristics of its public housing inventory, including unit counts and property age. The award carries no application requirement; instead, the city maintains inventory data in HUD's Information Management System and submits annual certifications to support formula allocation.

This is a formula grant, the assistance type under which HUD announces capital fund awards to approximately 2,770 public housing agencies nationwide within 60 days of annual consolidated appropriations bill enactment. Award amounts may be appealed within 45 days if the recipient believes HUD made errors in formula data; obligation deadlines may be extended if the extension request precedes the deadline, though expenditure deadlines cannot be extended. The award is subject to 2 CFR 200 requirements and is audited in conjunction with the city's regular HUD audit of public housing operations.

Activities

The phas receive federal funds from the U.S. Department of housing and urban development (HUD) to administer the public housing fund. Public housing capital funds may only be used for activities that are described as eligible activities in 24 CFR 905.200 and are either specified in an approved 5-year action plan or approved by HUD for emergency work or work needed because of a non-presidentially declared natural disaster. Public housing development, modernization, and financing are the major activities to be performed. Development is activities and related costs that add to (or significantly reconfigure) public housing units in a PHA's inventory, including construction and acquisition of additional public housing units, with or without rehabilitation, and any-and-all undertakings necessary for planning, design, financing, land acquisition, demolition, construction, or equipment of public housing units, and related buildings, facilities, and/or appurtenances (i.e., non-dwelling facilities/spaces). Development also includes any mixed-finance modernization, all relevant modernization uses (other than management improvements), financing uses, and development of non-dwelling space where such space is needed to administer, and is of direct benefit to a public housing project (i.e. housing developed, acquired, or assisted by a PHA under the 1937 act, and the improvement of any such housing), including the residents. Financing debt and financing costs (e.g., origination fees, interest) incurred by a PHA for development or modernization of public housing projects, including mixed-finance development, the capital fund financing program (CFFP), and any other use authorized under section 30 of the 1937 act. Modernization includes all eligible activities except for development and financing. Physical work is a major activity and is work that is done on the physical structures, site, and grounds of a public housing property or structure. Major physical activities include demolition, reconfiguration, emergency activities, energy efficiency, non-routine maintenance, planned code compliance, and vacancy reduction. The measurable outcome of this grant is that HUD will be able to track the amount of dollars spent on improvements to the structures, units, common areas, utilities, and other eligible activities.

Expected outcomes

The expected outcomes for public housing capital funds of approximately $3.2 billion will be put into the development, modernization, and financing of nearly 1 million public housing units across all 50 states and territories. The public housing units are updated to be decent, safe, sanitary and to comply with federal housing standards. Phas can also use a portion of the capital funding for management improvements or operating activities including safety and security costs.

Intended beneficiaries

The intended beneficiaries for public housing capital funds are the low-income public housing residents.

Subrecipient activities

The recipient does not intend to subaward funds.