HUD No.10-266

FOR RELEASE

Shantae Goodloe

Wednesday

202) 708-0685

December 8, 2010

HUD to Investigate Allegations that 22 Banks and Mortgage Lenders Discriminate Against African American and Latino Loan Seekers

WASHINGTON – The U.S. Department of Housing and Urban Development announced today that it is launching multiple investigations into the practices of certain mortgage lenders to determine if their home loan policies illegally deny qualified African American and Latino borrowers access to credit.

The investigations are in response to 22 complaints the National Community Reinvestment Coalition (NCRC) filed with HUD alleging that the loan activities of the mortgage originators showed that their home lending practices deny FHA- insured loans to African Americans and Latinos with credit scores as high as 640. Federal Housing Administration (FHA) guidelines allow mortgages to borrowers with credit scores above 580, provided the borrowers have down payments equaling 3.5 percent of the loan amount, or above 500, provided the borrowers have down payments equaling 10 percent of the loan amount.

HUD TO INVESTIGATE ALLEGATIONS THAT 22 BANKS AND MORTGAGE LENDERS DISCRIMINATE AGAINST AFRICAN AMERICAN AND LATINO LOAN SEEKERS

WASHINGTON – The U.S. Department of Housing and Urban Development announced today that it is launching multiple investigations into the practices of certain mortgage lenders to determine if their home loan policies illegally deny qualified African American and Latino borrowers access to credit.

WASHINGTON - The U.S. Department of Housing and Urban Development (HUD) today announced a commitment to insure a mortgage loan to the Effingham County Hospital Authority in Springfield, Georgia. The $31 million loan is made possible through the Federal Housing Administration's (FHA) Section 242 Hospital Mortgage Insurance Program.

WASHINGTON - The U.S. Department of Housing and Urban Development (HUD) today announced a commitment to insure a mortgage loan to the Coquille Valley Hospital District in Coquille, Oregon. The $22 million loan is made possible through the Federal Housing Administration's (FHA) Section 242 Hospital Mortgage Insurance Program.
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HUD APPROVES $22 MILLION FINANCING PLAN TO REPLACE CRITICAL ACCESS HOSPITAL IN COQUILLE, OREGON

WASHINGTON – The U.S. Department of Housing and Urban Development (HUD) today announced a commitment to insure a mortgage loan to the Coquille Valley Hospital District in Coquille, Oregon. The $22 million loan is made possible through the Federal Housing Administration’s (FHA) Section 242 Hospital Mortgage Insurance Program.

The existing hospital was constructed in 1969 and was designed primarily for inpatient care. Though there have been various building additions and improvements in subsequent years, it is no longer suitable for the hospital’s growing outpatient volume.

WASHINGTON - The San Francisco Housing Authority (SFHA) will reinstate a Native American family's rental assistance under a voluntary agreement with the U.S. Department of Housing and Urban Development (HUD) that settles allegations that SFHA employees said they did not work with Indian tribes and refused to accept the family's tribal documents.

HUD AND SAN FRANCISCO HOUSING AUTHORITY AGREEMENT INCREASES HOUSING OPPORTUNITIES FOR NATIVE AMERICANS 
Housing Authority will accept tribal documents to resolve discrimination complaint

WASHINGTON – The San Francisco Housing Authority (SFHA) will reinstate a Native American family’s rental assistance under a voluntary agreement with the U.S. Department of Housing and Urban Development (HUD) that settles allegations that　SFHA employees said they did not work with Indian tribes and refused to accept the family’s tribal documents.

HUD Charges Iowa Landlords with Sexual Harassment of Women Tenant
Property manager engaged in sex-for-rent harassment

WASHINGTON – October 7, 2010 (BaltimoreHUDHomes.com) The U.S. Department of Housing and Urban Development (HUD) today announced that it is charging Waterloo, Iowa, apartment complex Elders, Inc., employee Michael Nieman, and J.S. Property Management L.C. with housing discrimination for allegedly harassing female tenants through repeated unwanted sexual comments and advances. HUD alleges that property manager Nieman requested sexual favors in exchange for rent or other housing benefits.

The Fair Housing Act prohibits housing discrimination based on race, sex, color, national origin, disability, religion and familial status, including the sexual harassment of tenants.

HUD ANNOUNCES MORE HELP FOR STRUGGLING HOMEOWNERS IN MARYLAND

BALTIMORE (BaltimoreHUDHomes.com) The U.S. Department of Housing and Urban Development today announced today that it will provide nearly $40 million to help struggling homeowners in Maryland stay in their homes. Funded through HUD's new Emergency Homeowners Loan Program (EHLP), Maryland families experiencing unemployment or a reduction in income can receive a zero-percent loan to help them pay their mortgage. HUD Assistant Secretary for Housing/Federal Housing Commissioner David H. Stevens made the announcement at the 2010 Governor's Conference on Housing and Sustainable Communities in Baltimore.

WASHINGTON - As part of the Obama Administration's continuing effort to provide quality housing counseling to the nation's homeowners, buyers and renters; the U.S. Department of Housing and Urban Development today announced the availability of more than $5.1 million in grants for housing counseling training. HUD's goal is to fund eligible organizations to deliver training in the full spectrum of counseling services. HUD Secretary Shaun Donovan made the announcement while meeting with borrowers and homeowners receiving counseling at an event in Oakland, California.
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HUD PROVIDES RENTAL ASSISTANCE TO 4,300 PERSONS WITH DISABILITIES

WASHINGTON – U.S. Housing and Urban Development (HUD) Secretary Shaun Donovan announced today that thousands of non-elderly Americans with disabilities will receive housing assistance to enable them to access affordable housing.  Public housing authorities across the U.S. will distribute approximately 4,300 rental assistance vouchers to this population.  

HUD is awarding nearly $33 million to fund these vouchers through its Rental Assistance for Non-Elderly Persons with Disabilities Program.  For a local breakdown of the rental vouchers announced today, see attached chart.

The grants announced today are part of the $40 million HUD made available last April to help public housing authorities across the country fund rental vouchers for non-elderly persons with disabilities.  PHAs could apply for funding under the following categories: 

HUD CHARGES NEW YORK LANDLORD WITH DISCRIMINATING AGAINST A TENANT WITH DISABILITIES 
First-come, first-served parking policy discriminates against tenants with disabilities

WASHINGTON – The U.S. Department of Housing and Urban Development (HUD) today announced that it is charging Heatherwood-Norwich Gate LLC, the owner and manager of an apartment complex in East Norwich, New York, with violating the Fair Housing Act for allegedly denying a resident with disabilities an accessible parking space he requested. HUD’s charge also alleges that the complex refused to modify its first-come, first-served parking policy to accommodate the resident’s request.

The Fair Housing Act makes it unlawful to refuse to make reasonable accommodations when they are needed to afford persons with disabilities the opportunity to use and enjoy their homes.

“Housing providers have a legal obligation to modify their policies and practices for persons with disabilities,” stated John Trasviña, Assistant Secretary for Fair Housing and Equal Opportunity. “HUD will vigorously enforce legal protections that help ensure that persons with disabilities have full access to their homes.”

HUD APPROVES $33.1 MILLION FINANCING PLAN TO REPLACE CRITICAL ACCESS HOSPITAL IN DILLON, MONTANA

WASHINGTON - The U.S. Department of Housing and Urban Development (HUD) today announced a commitment to insure a mortgage loan to Barrett Hospital Development Corporation to replace the existing Barrett Hospital & Healthcare facility in Dillon, Montana. The $33.1 million loan is made possible through the Federal Housing Administration's (FHA) Section 242 Hospital Mortgage Insurance Program.

The existing hospital building was constructed in 1971 and remodeled in 1992 to accommodate outpatient growth and service changes. It has been well maintained but has numerous infrastructure problems with space limitations.

The new 72,000 square foot replacement facility will be an 18-bed Critical Access Hospital located on a 10-acre site near the existing campus and close to the interstate. Like the existing facility, it will continue to provide an array of inpatient and outpatient services to a population of approximately 12,000 people in its primary and secondary service areas.

HUD AWARDS $250,000 TO PUBLIC HOUSING AUTHORITY IN BALTIMORE, MARYLAND TO SUPPORT EMERGENCY, SAFETY AND SECURITY NEEDS IN PUBLIC HOUSING

BALTIMORE (BaltimoreHUDHones.com) The U.S. Department of Housing and Urban Development announced today that it is awarding $250,000 to the Housing Authority of Baltimore City that will be used to address emergency, safety and security needs at their public housing. This includes measures necessary to fight crime and drug related activities.

HUD AWARDS $7.4 MILLION TO 10 HISTORICALLY BLACK COLLEGES AND UNIVERSITIES

WASHINGTON – U.S. Housing and Urban Development Secretary Shaun Donovan today awarded $7.4 million to 10 historically black colleges and universities to help revitalize neighborhoods, promote affordable housing and stimulate economic development in their communities. The funding announced today is provided through HUD's Historically Black Colleges and Universities (HBCU) Program. Donovan made the announcement to the Congressional Black Caucus' Annual Legislative Conference in Washington.

NEW ORLEANS - In the five years since Hurricane Katrina struck the Gulf coast, the New Orleans metropolitan area lost 75,000 housing units or nearly 13 percent of its housing stock. In addition, the median monthly cost of housing rose by nearly 33 percent, from $662 in 2004 to $882 in 2009. These are among the key findings of a new housing survey presented today by the U.S. Department of Housing and Urban Development.
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WASHINGTON - The U.S. Department of Housing and Urban Development (HUD) announced today that it will modify a planned approach to its financial systems modernization effort and focus on a single core financial system.
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HUD AWARDS $312 MILLION IN DISASTER RECOVERY GRANTS TO HELP STATES REDUCE DAMAGES FROM FUTURE DISASTERS
Disaster Recovery Enhancement Fund to support buyouts, relocations, home improvements

WASHINGTON, DC - August 27, 2010 - (Baltimorehudhoes.com) U.S. Housing and Urban Development (HUD) Secretary Shaun Donovan today awarded nearly $312 million to 13 states to invest in efforts to reduce the human, physical, and economic toll of future disasters. The grants announced today are provided through HUD's Disaster Recovery Enhancement Fund (DREF) and are intended to encourage states to undertake activities and long-term strategies that focus on reducing damages from future natural disasters.

HUD ANNOUNCES $189 MILLION AVAILABLE TO REVITALIZE COMMUNITIES
Obama Administration prioritizes early childhood education, community supports with $124 million in HOPE VI awards and $65 million in Choice Neighborhoods pilot grants

Baltimore HUD homes, August 26, 2010 – The U.S. Department of Housing and Urban Development announced today that it is making $189 million in grants available to transform public and assisted housing and to revitalize communities. Appearing in today’s Federal Register are the Notices of Funding Availability, the federal application, for two revitalization initiatives: The Choice Neighborhoods FY 2010 and the HOPE VI FY 2010. Both applications can be accessed at www.grants.gov.

WASHINGTON - U.S. Housing and Urban Development (HUD) Secretary Shaun Donovan today awarded nearly $312 million to 13 states to invest in efforts to reduce the human, physical, and economic toll of future disasters. The grants announced today are provided through HUD's Disaster Recovery Enhancement Fund (DREF) and are intended to encourage states to undertake activities and long-term strategies that focus on reducing damages from future natural disasters.
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