Gov.

Rick Snyder announces $75 million in federal funding to fight blight

in 12 cities
Michigan plan earns U.S. Department of Treasury approval
Friday, Oct. 10, 2014
LANSING, Mich. Gov. Rick Snyder today announced that Michigans plan to combat blight in 12
cities ranging from Southeast Michigan to the Upper Peninsula with $75 million in federal funding
has been approved by the U.S. Department of Treasury.
The plan, created by the Michigan State Housing Development Authority (MSHDA) and approved by
its board, will help Detroit, Ecorse, Highland Park, River Rouge, Inkster and Hamtramck in Wayne
County, as well as Adrian, Ironwood, Jackson, Lansing, Muskegon Heights and Port Huron.
This latest achievement follows the 2013 kickoff of the largest residential blight removal effort in
state history, when Snyder announced the first U.S. Treasury-approved program in the nation. It
allowed MSHDA to use $100 million of its Hardest Hit Fund allocation for blight elimination in Detroit,
Flint, Saginaw, Grand Rapids and Pontiac.
Michigan blight elimination strategy has become a national model, Snyder said. For too long,
blight has driven down property values and stifled growth in some of our communities. This
additional funding will expand the positive efforts already taking root in cities across our state, and
we appreciate the support of our federal partners. This allows us to lay the groundwork for future
economic success and make Michigan an even better place to live, work and play.
"This federal, state and local partnership demonstrates a commitment to revitalizing our cities and to
addressing the damaging effects caused by vacant and blighted properties, said U.S. Treasury
Deputy Secretary Sarah Bloom Raskin. Removing blighted properties is an important step in
stabilizing neighborhoods, and we look forward to continuing our efforts to assist hardest hit
communities around the nation.
The eligible cities for the Hardest Hit Funds were selected by MSHDA based on an evaluation
system that included residential housing vacancy rates.
MSHDA is scheduling meetings with the selected cities this month to discuss the process for
submitting strategic blight remediation plans, designating at-risk areas within city limits, estimating
project costs and establishing a timeline for the work to proceed, among other considerations.
Abandoned and blighted homes create significant safety concerns for citizens and businesses,
depress home values and strain community resources, MSHDA Acting-Executive Director Wayne
Workman said. Expanding this program will further stem the tide of foreclosures, stabilize property
values and help revitalize these cities block by block.
Michigans new $75 million anti-blight effort comes from the $498 million the state was allocated in
2010 as part of the Hardest Hit Fund Program, designed to help homeowners in states hardest hit by
the housing crisis.
Through July 1, more than 22,000 Michigan families have received assistance since MSHDA
launched the Step Forward Michigan program to help homeowners avoid foreclosure, stabilize
Michigans housing market and improve the states economy.
MSHDA estimates that all of its remaining Step Forward Michigan funds may be allocated by June
2016
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