PROVIDENCE – Gov. Daniel J. McKee and the R.I. Housing and Mortgage Finance Corp. announced Friday the availability of more than $60 million in funding to support building and preserving affordable housing across the state.
Funding for the program will come from a variety of sources, including both federal and state programs, for the construction and preservation of affordable housing, as well as operating costs.
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The R.I. Office of Housing and Community Development’s Housing Resources Commission approved guidelines on March 7 for making affordable housing production funds available under two separate funding sources: the Rhode Island Rebounds program and the state’s Housing Production Fund.
R.I. Housing in partnership with the Housing Resources Commission has issued a request for proposals to developers and entities seeking participation in the program. Submissions are due by 4 p.m. on April 22.
The available funding for the projects includes: $19 million from Building Homes Rhode Island (housing bonds); $15 million from R.I. Rebounds (American Rescue Plan Act funds); $20 million from the state’s Housing Production Fund, $10 million of which will be for operating support and $10 million for the production of affordable housing; $3.5 million from the Capital Magnet Fund; and $3 million from the Preservation Loan Fund.
“The McKee-Matos administration has made housing one of our top priorities and we are thrilled to be able to offer over $60 million in funding to support the creation and preservation of affordable homes,” McKee said. “These funds represent an exciting opportunity to make the kinds of long-term and strategic investments in housing that will advance our housing goals and move Rhode Island forward.”
“It is well known that Rhode Island needs to build more affordable housing units,” said Lt. Gov. Sabina Matos. “Historically, one of the biggest obstacles with accomplishing this has been the cumbersome financing application process that stalls, and in some cases, deters development.”
Matos said a consolidated RFP process using a variety of funding sources “sends a clear message to developers and our community. Gov. McKee and I are committed to addressing our housing crisis.”
House Speaker K. Joseph Shekarchi and Senate President Dominick J. Ruggerio said jointly that Rhode Island “desperately needs more available housing. This infusion of $60 million in funding will help so many Rhode Islanders obtain good homes they can afford.”
Newly appointed Deputy Secretary of Housing Josh Saal said the state’s RFP is “an unprecedented effort to make available a combination of funding for much-needed affordable housing, including for the creation and operation of units for extremely low-income households experiencing homelessness, as well as other special needs populations.”
Carol Ventura, executive director of R.I. Housing, said that developing affordable housing is challenging, as it requires assembling an array of funding sources to support both the development and operation of the housing.
“Traditionally, for- and nonprofit developers would apply for each of these funding sources separately, and often at different times of the year,” she said. “With the release of this consolidated RFP, developers can review and select from the full scope of funding available and build their capital stacks.”
Information about the RFP, the funding sources and the affordable housing program can be found at the R.I. Housing website.
Cassius Shuman is a PBN staff writer. Contact him at Shuman@PBN.com. You may also follow him on Twitter @CassiusShuman.
