Government Relations « Events »

Events

Reed, Five Banks Unveil $1.4 Million in Funding for Affordable Housing Projects in Southcentral Pennsylvania

In the Atrium of Harrisburg's City Hall, Mayor Stephen R. Reed and five area banks — Citizens Bank of Pennsylvania, CommunityBanks, Farmers & Merchants Trust Company, Fulton Bank and Sovereign Bank — presented $1.4 million in Affordable Housing Program grants to help fund housing projects in the Harrisburg area.

"The grants [will] provide affordable shelter for a broad range of community stakeholders in need of both affordable housing and social services assistance," said Mayor Reed. "These grants not only place a roof over the heads of our most vulnerable citizens, but also allow them to better address their personal needs and become more active members of the community.

"Nearly half of the $1.4 million goes directly to two significant projects in our city that will provide safe shelter for the homeless as well as a stronger stock of housing sponsored by Habitat for Humanity," the mayor continued. "In all, 70 new units of housing will be built for the homeless and first-time homebuyers, part of the ever-increasing revitalization of our city."

Funding will help create a total of 170 units of affordable housing for low- and very-low-income individuals, including victims of domestic abuse, the physically disabled, mentally impaired and individuals who are recovering from alcohol and drug addiction.

The grants were approved during the latest funding round conducted by FHLBank Pittsburgh, which provides grants and low-cost funding for affordable housing and community development to the members of its private cooperative, including the five local banks. Since 1990, the Bank has awarded more than $118 million in AHP funds, creating approximately 21,000 units of affordable housing for purchase or rental.

The mayor also presented a Special Citation from the City of Harrisburg to Craig Kauffman, president and CEO of Pennsylvania State Bank, winner of FHLBank's annual Pillars of the Community Award for outstanding community service during 2005.

The following funding grants were presented:

• $500,000 for 65 rental housing units at Susquehanna Harbor Safe Haven in Downtown Harrisburg, which will redevelop blighted property, relocate an overnight shelter, provide safe housing for the homeless and enhance the safety of city neighborhoods. Member: Citizens Bank of Pennsylvania.
  
  
• $100,000 for five new homes at Habitat for Humanity's Development Project One in Harrisburg's South Allison Hill area, targeting very-low- to moderate-income homebuyers. Member: Sovereign Bank.
  
  
• $90,000 for Single Room Occupancy for the Homeless in East Pennsboro Township to transform a former church and parsonage into six single-room affordable rental units for very-low-income homeless individuals in Cumberland County. Member: CommunityBanks.
  
  
• $315,000 for 45 lease-purchase townhomes — nine two-bedroom, 23 three-bedroom and 13 four-bedroom units — serving low-income homebuyers in Chambersburg Borough. Member: Farmers & Merchants Trust Company.
  
  
• $400,000 for 50 townhomes within the Lancaster Homeownership Choice Program on vacant, condemned or blighted properties along Palm, South Plum and South Duke streets and Juniata Avenue. Member: Fulton Bank.