42 USC 11408 - Rural housing stability grant program

U.S Code last checked for updates: Apr 30, 2026

§ 11408.

Rural housing stability grant program

(a)

Establishment

The Secretary of Housing and Urban Development shall establish and carry out a rural housing stability grant program. In carrying out the program, the Secretary may award grants to eligible organizations in lieu of grants under part C in order to pay for the Federal share of the cost of—

(1)

rehousing or improving the housing situations of individuals and families who are homeless or in the worst housing situations in the geographic area;

(2)

stabilizing the housing of individuals and families who are in imminent danger of losing housing; and

(3)

improving the ability of the lowest-income residents of the community to afford stable housing.

(b)

Use of funds

(1)

In general

An eligible organization may use a grant awarded under subsection (a) to provide, in rural areas—

(A)

rent, mortgage, or utility assistance after 2 months of nonpayment in order to prevent eviction, foreclosure, or loss of utility service;

(B)

security deposits, rent for the first month of residence at a new location, and relocation assistance;

(C)

short-term emergency lodging in motels or shelters, either directly or through vouchers;

(D)

construction of new housing units to provide transitional or permanent housing to homeless individuals and families and individuals and families at risk of homelessness;

(E)

acquisition or rehabilitation of a structure to provide supportive services or to provide transitional or permanent housing, other than emergency shelter, to homeless individuals and families and individuals and families at risk of homelessness;

(F)

leasing of property, or portions of property, not owned by the recipient or project sponsor involved, for use in providing transitional or permanent housing to homeless individuals and families and individuals and families at risk of homelessness, or providing supportive services to such homeless and at-risk individuals and families;

(G)

provision of rental assistance to provide transitional or permanent housing to homeless individuals and families and individuals and families at risk of homelessness, such rental assistance may include tenant-based or project-based rental assistance;

(H)

payment of operating costs for housing units assisted under this subchapter;

(I)

rehabilitation and repairs such as insulation, window repair, door repair, roof repair, and repairs that are necessary to make premises habitable;

(J)

development of comprehensive and coordinated support services that use and supplement, as needed, community networks of services, including—

(i)

outreach services to reach eligible recipients;

(ii)

case management;

(iii)

housing counseling;

(iv)

budgeting;

(v)

job training and placement;

(vi)

primary health care;

(vii)

mental health services;

(viii)

substance abuse treatment;

(ix)

child care;

(x)

transportation;

(xi)

emergency food and clothing;

(xii)

family violence services;

(xiii)

education services;

(xiv)

moving services;

(xv)

entitlement assistance; and

(xvi)

referrals to veterans services and legal services; and

(K)

costs associated with making use of Federal inventory property programs to house homeless families, including the program established under subchapter V of this chapter and the Single Family Property Disposition Program established pursuant to section 1710(g) of title 12.

(2)

Capacity building activities

(c)

Award of grants

(1)

Communities with populations of less than 10,000

(A)

Set aside

(B)

Priority within set aside

(2)

Communities without significant Federal assistance

(3)

State limit

(d)

Application

In order to be eligible to receive a grant under subsection (a), an organization shall submit an application to the Secretary at such time, in such manner, and containing such information as the Secretary may require. The application shall include, at a minimum—

(1)

a description of the target population and geographic area to be served;

(2)

a description of the types of assistance to be provided;

(3)

an assurance that the assistance to be provided is closely related to the identified needs of the target population;

(4)

a description of the existing assistance available to the target population, including Federal, State, and local programs, and a description of the manner in which the organization will coordinate with and expand existing assistance or provide assistance not available in the immediate area;

(5)

an agreement by the organization that the organization will collect data on the projects conducted by the organization, including assistance provided, number and characteristics of persons served, and causes of homelessness for persons served;

(6)

a description of how individuals and families who are homeless or who have the lowest incomes in the community will be involved by the organization through employment, volunteer services, and otherwise, in providing, operating, and rehabilitating housing assisted under this section and in providing services assisted under this section and services for occupants of housing assisted under this section;

(7)

a description of consultations that took place within the community to ascertain the most important uses for funding under this section, including the involvement of potential beneficiaries of the project; and

(8)

a description of the extent and nature of homelessness and of the worst housing situations in the community.

(e)

Eligible organizations

(f)

Matching funding

(1)

In general

(2)

Limitations on in-kind match

(3)

Countable activities

The contributions required under paragraph (1) may consist of—

(A)

funding for any eligible activity described under subsection (b); and

(B)

subject to paragraph (2), in-kind provision of services of any eligible activity described under subsection (b).

(g)

Selection criteria

The Secretary shall establish criteria for selecting recipients of grants under subsection (a), including—

(1)

the participation of potential beneficiaries of the project in assessing the need for, and importance of, the project in the community;

(2)

the degree to which the project addresses the most harmful housing situations present in the community;

(3)

the degree of collaboration with others in the community to meet the goals described in subsection (a);

(4)

the performance of the organization in improving housing situations, taking account of the severity of barriers of individuals and families served by the organization;

(5)

for organizations that have previously received funding under this section, the extent of improvement in homelessness and the worst housing situations in the community since such funding began;

(6)

the need for such funds, as determined by the formula established under section 11386a(b)(2) of this title; and

(7)

any other relevant criteria as determined by the Secretary.

(h)

Evaluation

(1)

In general

Not later than 18 months after funding is first made available pursuant to the amendments made by title IV of the Homeless Emergency Assistance and Rapid Transition to Housing Act of 2009, the Secretary shall conduct an evaluation of the program to—

(A)

determine the effectiveness of the program in meeting the goals described in subsection (a) in the area served; and

(B)

determine the types of assistance needed to meet the goals described in subsection (a) in rural areas.

(2)

Report

(i)

Technical assistance

(j)

Termination of assistance

(k)

Definitions

For purposes of this section:

(1)

Program

(2)

Rural area; rural community

The terms “rural area” and “rural community” mean—

(A)

any area or community, respectively, no part of which is within an area designated as a standard metropolitan statistical area by the Office of Management and Budget;

(B)

any area or community, respectively, that is—

(i)

within an area designated as a metropolitan statistical area or considered as part of a metropolitan statistical area; and

(ii)

located in a county where at least 75 percent of the population is rural; or

(C)

any area or community, respectively, located in a State that has population density of less than 30 persons per square mile (as reported in the most recent decennial census), and of which at least 1.25 percent of the total acreage of such State is under Federal jurisdiction, provided that no metropolitan city (as such term is defined in

(3)

Secretary

(l)

Program funding

(1)

In general

(2)

Availability

(m)

Determination of funding source

(Pub. L. 100–77, title IV, § 491, as added Pub. L. 102–550, title XIV, § 1408, Oct. 28, 1992, 106 Stat. 4035; amended Pub. L. 104–330, title V, § 506(a)(10), Oct. 26, 1996, 110 Stat. 4045; Pub. L. 111–22, div. B, title IV, § 1401(2), May 20, 2009, 123 Stat. 1696.)

cite as: 42 USC 11408