February 14, 2024

HUD: $130 Million Announced to Empower HUD-Assisted Families Towards Financial Stability and Savings

Grant funding enables coaching, training, and savings accounts to build assets and economic independence for vulnerable communities.

Today, the U.S. Department of Housing and Urban Development (HUD) announced over $128 million to 835 Public Housing Agencies (PHAs) and Project Based Rental Assistance (PBRA) owners for the 2023 Renewal and New Family Self Sufficiency (FSS) Program grants. HUD’s Principal Deputy Assistant Secretary for Public and Indian Housing, Richard Monocchio, made the announcement in Chicago, highlighting HUD and the Biden-Harris Administration’s continued efforts to support families by providing financial resources to achieve economic independence.

“Financial literacy, job training and educational opportunities are some of the resources the FSS program connects HUD-assisted families to so that they have the chance to find employment and build assets,” said HUD Secretary Marcia L. Fudge. “HUD remains committed to working with our local partners to empower residents and promote economic justice for all Americans.”

The FSS program is a voluntary initiative offered to families in HUD-assisted housing. Participants receive coaching, referrals to services, and establish a family escrow savings account. FSS Program Coordinators provide coaching and develop local strategies to connect participating families with public and private resources. These resources aim to increase their earned income and financial empowerment, reduce or eliminate the need for welfare assistance, and facilitate progress toward economic independence and self-sufficiency.

“Regardless of how much money one might make, where they live, whether or not they receive assistance, every person in this country deserves to have the sense of security for their families that comes with consistent saving,” said Principal Deputy Assistant Secretary Richard Monocchio. “We are thrilled to offer the benefits of the FSS program to more participants than ever before.”

The FSS program is the nation’s largest asset-building program for low-income families, funding over 1,450 coordinators next year, who will serve over 69,000 residents in public, voucher, and multifamily housing. In 2015, Congress authorized PBRA owners to run FSS programs. Last year was the first year that PBRA owners were allowed to apply for funding. Between last year and this year, HUD has funded 91 new PBRA FSS programs.

Unequal access to savings, negative or invisible credit history, and low relative engagement in mainstream banking are national problems that especially impact renters and contribute to the racial wealth gap. This leaves renters with a minimal safety net to draw from in times of unemployment or unanticipated expenses such as car repair or medical emergencies. The FSS program helps to keep the unexpected from becoming larger financial problems through savings and support.

A list of the FSS awards can be viewed here for the new awards and the renewal awards.

This post was originally published here.