Letter to the Hon. Senator Brian Schatz and the Hon. Senator Susan Collins - Menendez Joins Rosen, Colleagues in Urging Appropriators to Provide Robust Funding for Neighborworks America to Address Housing Crisis

Letter

Dear Chairman Schatz and Ranking Member Collins:

As you consider the Fiscal Year 2022 Transportation, Housing and Urban Development, and Related Agencies (THUD) Appropriations Act, we write to ask that you provide at least $185 million for the Neighborhood Reinvestment Corporation, commonly known as NeighborWorks America. With the nation's affordable housing crisis continuing to worsen, coupled with the effects of the COVID-19 pandemic, now is the time to increase our investment in ensuring that Americans have access to reasonably-priced, quality housing options.

As a Congressionally-chartered, national nonprofit, NeighborWorks helps create opportunities for Americans to live in affordable and safe homes by providing community development organizations in all fifty states with financial resources and counseling services. In 2020, NeighborWorks created and maintained 43,800 jobs, repaired 76,200 homes, and empowered 23,400 new homeowners. That same year, NeighborWorks provided 149,200 families with vital housing and counseling services that helped prospective homebuyers and renters make informed housing decisions. Providing consumers access to this kind of accurate, comprehensive information throughout the home-buying process can help protect our nation from another mortgage crisis. This has all come at a relatively low cost -- NeighborWorks has demonstrated the ability to attract private sector investments to its affordable housing projects, leveraging $59 in private capital for every $1 appropriated to the program.

Additionally, as the effects of the COVID-19 pandemic and the nation's affordable housing crisis extend from urban centers to our rural communities, NeighborWorks' Rural Initiative is specifically dedicated to delivering a range of services to rural communities in America that face unique challenges when it comes to creating affordable homeownership and rental opportunities. With approximately 20percent of our nation's population living in rural communities, NeighborWorks' financial services, technical assistance, leadership development, and training for community-based development are critical to empowering rural homeownership and rental opportunities.

Last year, Congress passed with broad bipartisan support a Fiscal Year 2021 appropriations package, increasing Neighborworks funding by more than $7 million above the Fiscal Year 2020 enacted level. Given the program's demonstrated record of success in increasing access to affordable housing and continued bipartisan support in Congress, we request that you provide at least $185 million in funding. With additional funding, NeighborWorks will be able to increase grants to network community-development organizations, leverage additional investments from private sources, and create opportunities for more Americans to live in affordable homes.

As the COVID-19 pandemic ravages communities and the affordable housing crisis continues to affect an increasing number of Americans nationwide, we ask that you work with us to invest in our communities and our constituents by requesting robust funding for Neighborworks.

Thank you for your consideration of this request.

Source