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Available Community Benefit Programs

Community Development Block Grants (CDBG)

This program, operated in Kent and Sussex Counties only, provides funding for a variety of activities (rehabilitation, demolition and Housing Code enforcement) to maintain or improve existing housing, and for the provision of infrastructure in support of housing development for low- and moderate-income persons.

Each year, Kent and Sussex County and local municipalities within these counties apply to DSHA for a portion of this federal grant money. DSHA administers the funds to these governmental entities, which in turn use the money to help repair substandard housing and make infrastructure improvements in needy areas of each county. Municipalities can request sewer and water system improvements, street repairs, street lights and other infrastructure improvements that support low- and moderate-income housing development.

Application Information

Make sure you (the borrower) meet all borrower requirements.
Please review other information below. Download and review the provided program documents for further application instructions and forms.

Eligibility

Local and county governments in Kent and Sussex Counties are eligible to apply. Both counties are eligible to receive Community Development Block Grant funds and administer them within their counties, and also on behalf of local governments.
Local governments may also be eligible to receive awards directly.

Grant Administration

Towns, municipalities and local and county governments are eligible to apply, receive funds and administer them locally as grants to homeowners.

Individuals interested in applying for funds should contact their local municipality directly.

Community Development Block Grants – Recovery Housing Program (CDBG – RHP)

DSHA will be seeking input from stakeholders on the DRAFT Recovery Housing Program (RHP) Action Plan that is to be submitted to the US Department of Housing and Urban Development (HUD). The State of Delaware, DSHA’s, 2020/2021 Recovery Housing Program Action Plan will guide the use of approximately $1,022,000 of the first allocation and $1,227,551 of the second allocation in RHP funding received by the State HUD’s Community Development Block Grant Program (CDBG) for the period July 1, 2021 through September 1, 2027. DSHA received a third and fourth allocation in the amount of $1,357,066 and $1,382,343 respectively. These funds are administered by the DSHA who administers the State’s CDBG funding. These funds will be administered by DSHA who administers the State’s CDBG funding. DSHA will hold a public interest meeting on the RHP program on June 13, 2023. The links to the presentation are below.

Application Information

[Deadline: August 11, 2023] Applications are now being accepted for potential partners for DSHA’s first Recovery Housing projects and RHP Action Plan. Applicants must submit one bound and indexed-paper copy and one electronic copy USB thumb drive. The paper copy must be bound in a three-ring binder in an indexed format, with a table of contents and organized in the following manner:

  • Table of Contents;
  • Application, Part I RHP (Signed copy);
  • Application, Part II RHP Cash Flow Pro Forma; and
  • Application, Part III RHP Exhibit Checklist (Narratives and support documentation).
    The electronic copy may be in the form of a USB thumb drive and should follow the same organizational format as the paper copy described above.

Community Development Block Grants – Coronavirus (CDBG – CV)

The CARES Act made available $5 billion in Community Development Block Grant Coronavirus (CDBG-CV) funds. Of this amount, the U.S Department of Housing (HUD) is immediately allocating $2 billion based on the fiscal year 2020 CDBG formula. The remaining $3 billion shall be allocated based on needs using best available data, in the following tranches: $1 billion shall be allocated to States and insular areas within 45 days of enactment of the Cares Act, and $2 billion shall be distributed to states and local governments at the discretion of the Secretary. Up to $10 million will be set aside for technical assistance. Given the immediate needs faced by our communities, the HUD has announced that DSHA has been awarded three allocation of funds.

  • CV 1 – $1,471,924
  • CV 2 – $3,228,336
  • CV 3 – $1,880,190

The CARES Act adds additional flexibility for both the CDBG-CV grant and, in some cases, for the annual FY2020 CDBG grants in these unprecedented times. Therefore, DSHA has amended the CDBG FY19 and FY20 guidelines to include the new eligible public service activities and will be opening applications from local units of government and eligible public service providers soon.

For CV-1 funding, DSHA is required to set aside a portion of its grant for use by nonentitlement units of general local government (Kent and Sussex Counties). The nonentitlement set aside must be no less than an amount equal to the state’s first CDBG-CV allocation and may be from any portion of the state’s additional CDBG-CV allocation. This limitation is imposed for consistency with the CDBG-CV formulas, which include a direct allocation to entitlement areas and to states on behalf of nonentitlement areas to prevent, prepare for, and respond to coronavirus. The nonentitlement set aside fulfills the intent reflected by the formula to address needs in urban and rural areas, while giving states the flexibility to determine how to expend each allocation as it is made based on needs within its jurisdiction.to only accept applications from non-entitlement county governments through a competitive process. This limitation is an effort to address needs impacting the entire county. The nonentitilements have agreed to assign either CDBG or CDBG-CV1 back to DSHA to directly administer on their behalf the hotel/motel voucher program with the Division of State Service Centers. The remaining balance of the CV1 grant will be distributed to Kent and Sussex Counties to allocate to eligible public service non-profit entities.

For CV-2 and CV-3 funding, DSHA will be administering the funding directly to entitlements, nonentitlements, and/or public service non-profit agencies.

DSHA held a public hearing on October 27, 2020 to discuss the third amendment to the FY19 Annual Action Plan and discuss all of the CDBG CV allocations and eligible public service activities. Immediately following, a meeting was held to discuss the CDBG CV2 and CV3 funding round.

Emergency Solutions Grants Program (ESG)

The Emergency Solutions Grants Program (ESG) is authorized by the Homeless Emergency and Rapid Transition to Housing Act of 2009 (HEARTH Act). The grant is available to units of general local government or private nonprofit organizations. The ESG is designed to help improve the quality of existing emergency shelters for the homeless, to make available additional emergency shelters, to help meet the costs of operating emergency shelters and to provide certain essential social services to homeless individuals, so that these persons have access not only to safe and sanitary shelter . The program is also intended to reduce the increase of homelessness through the funding of preventative programs and rapid rehousing activities.

Eligibility

For the State of Delaware ESG, eligible applicants are: 1) Units of general local government located in Kent and Sussex Counties and 2) Private nonprofit organizations located in Kent and Sussex Counties.

Emergency Solutions Grants Program – Coronavirus (ESG – CV)

The CARES Act made available an additional $4 billion in supplemental funding to the ESG (ESG-CV) Program for eligible activities in response to the coronavirus outbreak. HUD encourages approaches that prioritize the unique needs for persons experiencing homelessness. The Delaware State Housing Authority (DSHA), has two allocations of ESG-CV funds – an appropriation of $807,114 and a second allocation of $1,527,664 based on the U.S. Department of Housing and Urban Development (HUD) federal fiscal year 2020 formula distribution. DSHA’s priority for the use of these ESG-CV funds will be to assist homeless providers and communities to prepare for, prevent the spread of, and respond to the coronavirus. DSHA will use the ESG-CV CARES funding to support applicants who will work to end or prevent homelessness quickly and as efficiently as possible for all vulnerable populations.

Home4Good

The Delaware State Housing Authority (DSHA) and the Federal Home Loan Bank of Pittsburgh (FHLBank Pittsburgh) have established a partnership to provide grants to selected nonprofit organizations to support initiatives in Delaware that lead to stable housing for individuals and families who are homeless or determined to be at-risk of homelessness. As a result of this collaboration, activities previously supported by the Housing Development Fund (HDF) Housing Support grants will now be funded through Home4Good.

DSHA and FHLBank Pittsburgh have contributed a combined total of $1.2 million to the Home4Good grant program $575,000 from DSHA; and $500,000 from FHLBank Pittsburgh.

Established Set-Asides and Available Grant Funding
  • Rapid Re-Housing up to $300,000
  • Homelessness Prevention & Diversion up to $550,000
  • Innovation up to $225,000
    NOTE: There is no limit in the amount of funding requests; however, approved funding amounts may be different than the funding request depending on the total number of applications approved for funding, and an applicant’s past performance history. Notwithstanding the foregoing, FHLBank and DSHA reserve the right to redistribute the allocations so that the total amount of awards will not exceed $1,075,000
Eligible Program Activities

Rapid Re-Housing

Programs that assist individuals and families that meet the definition of “literally homeless” solve the challenges to obtaining permanent housing in a rapid manner. Individuals and families are referred to Rapid Re-Housing provider agencies by Delaware’s Centralized Intake system or third-party referral. Individuals and families who lack a fixed, regular, and adequate nighttime residence, meaning:

  • Current primary nighttime residence is a public or private place not meant for human habitation;
  • Currently living in a publicly- or privately-operated shelter designated to provide temporary living arrangements (including congregate shelters, transitional housing, and hotels and motels paid for by charitable organizations or by federal, state and local government programs); or
  • Currently exiting an institution where they have resided for ninety (90) days or less and who resided in an emergency shelter or place not meant for human habitation immediately before entering that institution

Homelessness Prevention & Diversion

  • Prevention Programs that assist individuals and families at imminent risk of losing housing. Prevention provides a one-time payment of rental assistance or utility assistance directly related to the prevention of homelessness to eligible individuals and families who are in danger of eviction. These programs are designed to stabilize individuals and families in their existing homes.
  • Diversion programs prevent homelessness for people seeking shelter due to eviction by providing them rental assistance as a last attempt in staying in their homes or helping them identify immediate alternate housing arrangements and, if necessary, connecting them with services and financial assistance to help them return to permanent housing. Diversion is targeted to households as they are seeking shelter – at the “front door” of the shelter system.

Innovation

Programs that provide innovative solutions in addressing homelessness by making the delivery of services more efficient or effective, specifically:

  • Community Housing Services;
  • Street Outreach; and
  • Re-Entry Assistance
Eligibility

Rapid Re-Housing

501(c)(3) nonprofit organizations with existing Rapid Re-Housing programs with the assistance of Home4Good grant funding or other funding sources.

Homelessness Diversion

501(c)(3) nonprofit organizations currently operating Homelessness Diversion programs with the assistance of Home4Good grant funding or other funding sources.
Homelessness Prevention
501(c)(3) nonprofit organizations currently operating Homelessness Prevention programs with the assistance of Home4Good grant funding or other funding sources.

Innovation

  • Street Outreach
    • 501(c)(3) nonprofit organizations experienced with administering state and/or federal sources that provide street outreach services and crisis intervention for the immediate needs of the homeless in unsheltered locations
  • Community Housing Services
    • 501(c)(3) nonprofit organizations experienced with administering state and/or federal sources that provide case management and coordination of services to homeless individuals and families that currently reside in emergency shelters.
  • Re-Entry Assistance
    • 501(c)(3) nonprofit organizations experienced with administering state and/or federal sources that provide direct client assistance through short-term rental assistance, utility, and security deposits for people exiting correctional institutions within six months post-release.
Related Information

Please download and review the documents below to learn more about the Home4Good grant program including eligibility requirements, information regarding pre-application meeting requirements for specific applicants, scoring criteria, and to access application materials.

Housing Opportunities for Persons with AIDS (HOPWA)

The Delaware HIV Consortium (DHIVC) receives HOPWA (Housing Opportunities for Persons with AIDS) funds through the Delaware State Housing Authority to provide rental assistance to people living with HIV/AIDS in Kent and Sussex counties, and their families, through a voucher program. The goal of the Consortium’s HOPWA program is to address the extensive HIV/AIDS housing gap by providing long term housing opportunities, while utilizing those supportive services already funded by the Ryan White Care Act, Title II. This rental subsidy program augments the existing Ryan White supportive services and also provides a continuum of care for people living with HIV/AIDS.

Neighborhood Assistance Act (NAA)

The Neighborhood Assistance Act (NAA) Program encourages businesses and individuals who have a Delaware state tax liability to invest in programs serving impoverished neighborhoods or serving low- and moderate-income families. In exchange for a qualified contribution, the NAA program provides state tax credits equal to 50% of the investment. Each year a maximum of $1,000,000 in tax credits is available statewide. The maximum tax credit available to any taxpayer is $50,000 annually and $100,000 over a three-year period. Example: A $100,000 contribution qualifies for $50,000 in Delaware Tax Credits.

Availability of Tax Credits

NAA donor applications will be accepted via the NAA web portal exclusively and uploaded by the qualified non-profit. Please contact DSHA for accessibility to the NAA web portal.

Non-profit Eligibility Requirements & Application Instructions
  • Organizations must be designated as 501(c)(3) organizations by the Internal Revenue Service and document that they provide neighborhood assistance in an impoverished area, or provide neighborhood assistance for low- and moderate-income families. This includes Community Development Corporations or Community-Based Development Organizations.
  • Non-profits may be considered eligible if the assistance meets the NAA Program definition of a qualified purpose, including any of the following:
    • Community Services
    • Crime Prevention
    • Economic Development
    • Education
    • Affordable Housing
    • Job Training
  • Download and review the provided program documents for further application instructions and forms.
  • Please note: the Division of Revenue has determined that transfers from traditional Individual Retirement Accounts (IRAs) directly to NAA non-profits are not considered eligible for the NAA tax credit. Traditional IRA accounts are tax deferred and not taxable until the account holder withdraws funds or takes a distribution. By rolling over these funds from a non-taxed account directly to a NAA non-profit, these funds are not taxable therefore are not eligible for an NAA tax credit. The alternative would be the withdraw of funds from the IRA account and a check sent directly from the donor to the selected non-profit.
Taxpayers Eligibility Requirements & Application Instructions
  • The NAA Tax Credit is available to any individual or business paying income tax in Delaware and whose contribution is made to an approved NAA non-profit organization.
  • Contributor must meet the minimum contribution amounts
    • Business: $10,000
    • Individuals: $2,500
  • Maximum contribution cannot exceed $100,000 per tax year. ($50,000 maximum credit).
  • The maximum amount of contributions by any taxpayer in a 3-year period is $200,000. ($100,000 in NAA tax credits over a 3-year period).
  • If there is a non-profit organization that you would like to contribute to, please review the list of Approved Neighborhood Assistance Act (NAA) Programs and contact the qualified non-profit for further information.
  • Applications are reviewed by DSHA and credits are awarded on a first-come, first-served basis until the maximum $1,000,000 in credits have been allocated for the fiscal year.

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