Erie County Times

Gov. Tom Wolf (D-PA) announced a new round of funds totaling $48.4 million for 245 housing and community development initiatives in 67 counties.

According to a June 9 release, the funding will be used in a number of ways. There will be 249 units rehabilitated and preserved through 4% tax credit projects; 71 new single family homes created; 419 new homebuyers will receive down payments and closing cost assistance; more than 12,000 families or households will receive housing counseling and education; 74 housing units created or rehabilitated for those in danger of being homeless; 5,289 affordable housing units to be preserved or rehabilitated; 449 new, affordable housing units to be created; and more than 12,600 households in danger of being homeless to be assisted.

“This program ensures that communities are able to preserve existing housing and create new housing, so all Pennsylvanians have access to affordable, safe housing statewide,” said Wolf. “This funding will ensure that the money is applied where the need is greatest and can accomplish the most good.” 

The funds are coming through the Pennsylvania Housing Affordability and Rehabilitation Enhancement (PHARE) fund through the Pennsylvania Housing Finance Agency. Funding comes from two different sources. One is through a portion of impact fees collected from natural gas companies that is addressing the housing shortage due to drilling. Funding also comes through part of the realty transfer tax.

The PHFA staff reports that at least 69% of the $48.4 million allocated will be used to help households making less than 50% of the area’s median income.

The PHFA was signed into legislation in 1972. It has generated more than $15.9 billion in funding for 186,412 single family home mortgage loans, as well as funding construction of 138,000 rental units and distributing $191 million to local housing initiatives. It has saved 50,520 families from having their homes foreclosed upon.

“When you look at different local organizations and their use of PHARE funding, what’s most impressive is their variety of applications to address housing needs,” said PHFA Executive Director and CEO Robin Wiessmann. “Every community has different housing priorities, and PHARE gives them the flexibility to target the money to where it can be most effective.” 

According to the governor’s release, the agency’s goal is to provide affordable homeownership and rental housing options for older adults, low- and moderate-income families, people with special housing needs through mortgage programs and investments. It is also designed to promote economic development.

For a list of proposals that are receiving PHARE funding, log onto www.phfa.org/legislation/act105.aspx.