Washington, DC - Congressman Maurice Hinchey (D-NY) today announced the release of nearly $2 million in federal economic recovery funds for Binghamton ($624,800), Ithaca ($218,743), Middletown ($153,945), Newburgh ($225,632), Orange County ($466,115) and Poughkeepsie ($274,499). The funds will be used to target community development initiatives aimed at low to middle-income families. The funding comes from the American Recovery and Reinvestment Act of 2009, which Hinchey actively supported and helped pass earlier this year. 

"At a time when so many families in New York and across the country are facing extremely difficult financial circumstances, these Community Development Block Grants will provide important housing and job opportunities to those who need them most and also contribute to positive economic activity in upstate New York," Hinchey said. "I'm very pleased that the economic recovery funds we approved earlier this year in Washington are starting to make their way back up to New York in an effective manner."

The U.S. Department of Housing and Urban Development (HUD) is administering the funding through its Community Development Block Grant (CDBG) program, which provides funding to communities across the country that then provide help to local individuals and families.  CDBG grants are used to address low-income housing needs and create economic opportunities at the local level.

The Recovery Act includes $13.61 billion for projects and programs administered by HUD, nearly 75 percent of which was allocated to state and local recipients only eight days after President Obama signed the Act into law.  The CDBG funding was among the 75 percent that was allocated during that time.  Now, as grant recipients’ spending plans are approved, HUD is officially making these funds available to spend.  The remaining 25 percent of HUD Recovery Act funding is being awarded through a competitive process.