Home Investment Partnerships Program

To expand the supply of affordable housing, particularly rental housing, for low and very low income Americans; to strengthen the abilities of State and local governments to design and implement strategies for achieving adequate supplies of decent,

Individuals can not apply for these funds; they are distributed by formula to states and local governments.

States, cities, urban counties, and consortia (of contiguous units of general local governments with a binding agreement) are eligible to receive formula allocations; funds are also set aside for grants to Insular Areas.

For rental housing, at least 90 percent of HOME funds must benefit low and very low income families at 60 percent of the area median income; the remaining ten percent must benefit families below 80 percent of the area median. Assistance to homeowners and homebuyers must be to families below 80 percent of the area median.

For use by participating jurisdictions or Insular Areas for housing rehabilitation, tenant-based rental assistance, assistance to homebuyers, acquisition of housing and new construction of housing. Funding may also be used for other necessary and reasonable activities related to the development of non-luxury housing, such as site acquisition, site improvements, demolition and relocation. Ten percent of a participating jurisdiction's allocation may be used for administrative costs. Funds may not be used for public housing modernization, matching funds for other Federal programs, reserve accounts or operating subsidies for rental housing, Annual Contributions Contracts, or activities under the Low Income Housing Preservation Act except for priority purchasers. the American Rescue Plan Act of 2021 provides an additional $4.925 billion to be allocated by the HOME formula to meet the needs of those homeless or at risk of homelessness, the development of affordable housing, tenant based rental assistance, supportive services and acquisition and development of non-congregate shelter units. 15 percent of these funds may be used for administrative costs.

HOME grants must be used in accordance with 24 CFR part 92

Grant funds are drawn down from the U. S. Treasury based upon individual project development progress. The HOME program uses an electronic fund transfer disbursement and information system. Once drawn down, funds must be expended within fifteen days. All funds must be expended within 5 years.

The participating jurisdictions must follow 24CFR Part 91 in order to receive the HOME formula grants.

The grantee's Consolidated Plan and Annual Action Plan are reviewed according to the criteria set forth in 24 CFR 91.

The responsible HUD Field Office notifies grantees of the formula awards. HUD prepares the grant agreement for formula applicants.

HUD will review for completeness and consistency with the purposes of the Act, within 45 days of receipt from a jurisdiction.

Every fifth year, localities submit a Consolidated Plan. Each year jurisdictions must submit an action plan and certifications.

Formula allocations may not be appealed.