Georgia awarded $50 million in HUD neighborhood improvement funding

By Ernie Suggs and Michelle E. Shaw

The Atlanta Journal-Constitution

The refurbishment of Georgia’s neighborhoods continued Wednesday when the U.S. Department of Housing and Urban Development awarded more than $50 million in federal grants statewide, including more than $20 million to metro Atlanta, to renovate or finish homes in depressed communities.

“Now we have to roll up our sleeves a little higher,” said James Shelby, Atlanta’s planning and community development commissioner. “There are a lot of great neighborhoods in Atlanta, and a lot of great neighborhoods [elsewhere], that need assistance.”

Not everyone, however, was a supporter of the HUD Neighborhood Stabilization Program. Brian Williamson, assistant commissioner for community development for Georgia, said several counties, Cherokee and Fayette among them, had opted out of the program because of the government oversight involved.

Carol Chandler, Fayette County Board of Commissioners executive assistant, said her county initially made plans to apply for funds but abandoned the idea.

“There were so many strings attached and so many requirements that we felt that we would not be getting enough in return with what we would put out,” Chandler said of the cumbersome application process.

Yet on Wednesday, Shelby stood on a porch belonging to Rick and Yazmin Laupus, whose Violet Street home in Peoplestown was completed with previous NSP money. Edward Jennings Jr., HUD regional director, announced the latest grant at a morning ceremony in front of the Laupus’ home.

The money was part of a $1 billion nationwide allocation, which represented a third round of funding through the NSP. Fifteen Georgia municipalities qualified for assistance to buy and rehab foreclosed homes and sell them to local residents. Federal stimulus funding was involved before, but not this time, with the third round of grant money provided by the Dodd-Frank Wall Street Reform and Consumer Protection Act.

Jennings said more than 100,000 families would be impacted by grants, which were dispersed in the following manner: $18.7 million to statewide communities, $5.2 million to DeKalb County, $4.9 million to Atlanta, $3.7 million to Clayton County and $3 million to Fulton County. Gwinnett and Cobb counties will each get more than $2 million. Anyone can purchase one of these revitalized homes, but must occupy it and can’t rent it out or use it for investment purposes.

The $50 million, while welcomed, was considerably less than the state received a few years ago during the first round of funding. In that round, when $4 billion was available, the state was given $150 million, with Atlanta getting $12 million.

“Jobs have been created, families have been restored and neighborhoods are looking up,” said Congressman Hank Johnson (D-GA), who attended the announcement with Atlanta Mayor Kasim Reed and Clayton County Commission Chairman Eldrin Bell. “This is more money coming in to support Main Street, and the people who live on Main Street.”

The $2 million awarded to Gwinnett County will help purchase and rehab approximately 30 homes, said Bill Kingsbury, that county’s NSP director. Gwinnett, which purchased 71 homes with its initial allotment, is using the money to enhance low-income housing as well as unfinished neighborhoods.

“Our approach has been broad but focused,” Kingsbury said. “We’ve also targeted homes throughout different communities to help improve them as a whole.”

Deanna Benson, Cobb NSP real-estate specialist, said that county has purchased 40 homes and sold 23 with the money allotted in the first round of funding. She said the $2.4 million recently awarded would “definitely help keep the program running.”

On Violet Street, the Laupus’ two-story home was one of 143 properties acquired by Atlanta using NSP funds, and there were clear signs of progress, with new construction springing up all around the couple’s residence.

“This is where we were supposed to be,” Rick Laupus said. “Having a church right across the street from us. The sounds of the trains off at a distance. There is something reassuring about that.”

Where is the money going?

Atlanta -- $4,906,758

Augusta-Richmond County -- $1,161,297

Carroll County -- $1,190,390

Clayton County -- $3,796,167

Cobb County -- $2,415,784

Columbus-Muscogee County -- $1,128,174

DeKalb County -- $5,233,105

Douglas County -- $1,628,471

Fulton County -- $3,094,885

State Of Georgia -- $18,679,977

Gwinnett County -- $2,065,581

Henry County -- $1,217,736

Macon -- $1,503,897

Paulding County -- $1,372,214

Savannah -- $1,027,553