[Durham INC] BREAKING: Treasury Confirms Communities Can Use ARPA Funds to Address Vacancy
bonita green
nitab48 at gmail.com
Fri Jan 7 18:44:57 EST 2022
Community Progress applauds Treasury for adopting our
recommendations.
*Community Progress Hails the American Rescue Plan Act Final Rule Issued by
Treasury Recognizing That Addressing Vacancy and Abandonment Makes
Communities Stronger, Healthier, and More Equitable *
*The Final Rule provides important clarifications and expanded
definitions that will enable local leaders to confidently fund ARPA
recovery programs that include rehabilitation, demolition, deconstruction,
greening, and maintenance.*
FOR IMMEDIATE RELEASE – WASHINGTON, D.C. – January 7, 2022 – The *Center
for Community Progress (Community Progress)*, America’s leading resource on
issues of vacant, abandoned, and deteriorated properties, applauds the *U.S.
Treasury Department*’s *Final Rule*
<https://default.salsalabs.org/Tb5b6ebc6-6902-4323-a0d8-d338c0b96569/b228ed96-57f6-498c-89ae-5b4e94c810fe>
on the *American Rescue Plan Act (ARPA) State and Local Fiscal Recovery
Fund (SLFRF)*. In response to nearly a thousand public comments,
yesterday’s Final Rule adopts and amends Treasury’s May 2021 Interim Final
Rule
<https://default.salsalabs.org/T993fe6bc-d6fd-4789-80f4-b897f7ffb7a3/b228ed96-57f6-498c-89ae-5b4e94c810fe>
to clarify that ARPA funds may be used by communities to address vacant,
abandoned, and deteriorated properties in multiple ways. This $350 billion
ARPA recovery package passed in March 2021 provides state, Tribal,
territorial, county, and municipal governments flexible resources to
respond to the pandemic and rebuild impacted communities.
“We thank the Treasury Department’s Office of Recovery Programs for
listening to, considering, and adopting the recommendations submitted by
Community Progress and our engaged local government and land bank
stakeholders,” said *Dr. Akilah Watkins*, President and CEO of Community
Progress. “As we set forth in our July 9, 2021 public comment letter
<https://default.salsalabs.org/T05649f2c-1aee-4d25-9b76-863810d025c9/b228ed96-57f6-498c-89ae-5b4e94c810fe>,
‘the rehabilitation of blighted structures, demolition of unsafe, vacant,
and abandoned properties, and greening and maintenance of vacant lots
addresses not only negative economic consequences of the COVID-19 health
crisis, but also addresses public health, promotes public safety, mitigates
community violence, supports healthy living environments, and strengthens
neighborhoods conducive to mental and physical wellness.’ We are encouraged
that the Final Rule recognizes these and other strategies to address vacant
and abandoned properties and keep vulnerable homeowners stably housed are
critical tools to making struggling communities stronger, healthier, and
more equitable.”
*Vacant or Abandoned Properties*
The Final Rule explicitly authorizes services to address vacant or
abandoned properties as eligible ARPA SLFRF expenditures in areas
disproportionately impacted by the COVID-19 health and economic crisis,
stating, “Treasury agrees with commenters that high rates of vacant or
abandoned properties in a neighborhood may exacerbate public health
disparities . . . As such, certain services for vacant or abandoned
properties are eligible to address the public health and negative economic
impacts of the pandemic on disproportionately impacted households or
communities.”
*Eligible activities include costs related to rehabilitation, renovation,
and securing of vacant or abandoned properties; remediation of
environmental hazards; demolition or deconstruction of vacant or abandoned
buildings; greening of vacant lots; conversion of properties to affordable
housing,* *and more*. For a full list of eligible activities, see the Final
Rule here
<https://default.salsalabs.org/T3fcfb181-9b3d-4dd7-ba21-5984df527dc8/b228ed96-57f6-498c-89ae-5b4e94c810fe>.
The Final Rule goes into detailed analysis of the positive health and
economic benefits of greening vacant spaces and demolishing or
deconstructing unsafe structures, and stipulates that the above activities
should be used in ways that benefit existing residents and businesses.
“The Final Rule says ‘we’ve heard your concerns, we’re listening to the
research, and we agree that addressing vacant and abandoned properties is
critical to the long term health and economic stability of residents, small
businesses, and communities as a whole,’” said *Payton Heins*, Community
Progress’ Director of Michigan Initiatives, who has worked extensively with
state and local leaders in Michigan as they have deliberated about how to
allocate their ARPA SLFRF allocations to improve their communities.
“Treasury has given state and local government leaders, as well as land
banks and local nonprofits serving as eligible subrecipients, the
reassurance they need to use this once-in-a-lifetime resource to invest in
the tools we know work and will have a lasting positive impact on our
communities.”
Municipal, county, and state leaders that have been awaiting the
announcement of a Final Rule should now be able to confidently proceed with
plans to address vacant and abandoned residential, commercial, and
industrial properties in disproportionately impacted communities. Community
Progress urges stakeholders and local leaders to review the Final Rule in
detail to better understand the compliance requirements for these
activities.
Other initial highlights from the Final Rule relevant to Community
Progress’ stakeholders include:
*Property Tax Assistance to Avoid Tax Foreclosure*
Community Progress is also encouraged by the Final Rule’s clarification
that financial assistance to households impacted by the COVID-19 crisis may
include not only rent, mortgage, or utility payments, but also payments for
homeowners to cover delinquent property taxes. Given the relationship
between property tax foreclosure, displacement, and vacancy, ARPA SLFRF
recipients that deploy funds to provide delinquent property tax relief
payments will further strengthen their communities, protect vulnerable
homeowners struggling to pay bills, and provide their local governments
with much-needed property tax revenue.
*Expanded Definitions of “Impacted” and “Disproportionately Impacted”*
Treasury’s Final Rule details the circumstances under which a recipient
government may designate certain geographies or households as “impacted” or
“disproportionately impacted” by the health or negative economic
consequences of the pandemic. Certain activities in the Interim Final Rule,
such as the development of affordable housing, were categorized as
presumptively eligible in low-income Qualified Census Tracts and Tribal
governments. The Final Rule adds territorial governments to this list of
areas and emphasizes that recipients may also designate other areas or
households beyond these geographies as “disproportionately impacted”
classes. Community Progress urges stakeholders to review the standards set
forth by Treasury for designating additional “impacted” and
“disproportionately impacted” classes in detail to determine how ARPA SLFRF
funds can best serve these areas and populations.
The Final Rule contains numerous other clarifications, enumerated eligible
uses, and expanded definitions, which Community Progress will endeavor to
break down in a forthcoming blog post located in our ARPA Resource Center
<https://default.salsalabs.org/T7281d7c3-70fd-4675-b86f-c0257f8a3ea1/b228ed96-57f6-498c-89ae-5b4e94c810fe>.
For interviews or more information on Community Progress, email
melkin at communityprogress.org
<https://default.salsalabs.org/Td50bb3e2-7216-4489-9f19-047886ba127a/b228ed96-57f6-498c-89ae-5b4e94c810fe>
or call (877) 542-4842, ext. 153.
###
*About the Center for Community Progress*
Founded in 2010, the Center for Community Progress is the national leader
for building strong, equitable communities where vacant, abandoned, and
deteriorated properties are transformed into assets for neighbors and
neighborhoods. Today, Community Progress has affected change in more than
48 states and seven countries through leadership education and
collaborative systems, policy, and practice reforms. Simply, we work to
transform “Vacant Spaces into Vibrant Places.” For more information, visit
communityprogress.org
<https://default.salsalabs.org/Tddb80a97-5f9b-44ec-92d6-458a41aee655/b228ed96-57f6-498c-89ae-5b4e94c810fe>.
*Center for Community Progress*
111 E. Court St.
<https://www.google.com/maps/search/111+E.+Court+St.+Suite+2C?entry=gmail&source=g>
Suite 2C
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-1 | Flint, Michigan 48502
(877) 542-4842
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--
be a kind human
Bonita Green
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