DCA awards $500,000 in Federal Funding for Affordable
Housing Project in Egg Harbor City

Federal Money to Leverage Total of $3 Million for Downtown Revitalization


TRENTON - New Jersey Department of Community Affairs (DCA) Acting Commissioner Charles A. Richman today announced Egg Harbor City will receive $500,000 in federal funding from the American Recovery and Reinvestment Act (ARRA) of 2009. The funding will be used to construct a mixed-use affordable housing building as part of the city's larger downtown redevelopment effort.

"This project will help Egg Harbor City's downtown revitalization move forward and bring quality affordable housing to the community," Governor Corzine said. "It is also creating 45 jobs that will contribute to the local and state economy."

Egg Harbor City will use the $500,000 to leverage $2.5 million in other funding. The money will be used to reconstruct three properties in its downtown redevelopment area into sixteen affordable housing units for senior citizens and street level retail space. The project is the second phase of the city's downtown revitalization effort and fits within the context of the redevelopment plan. As a result of this phase, 45 jobs will be created in the construction and retail sectors.

"This is a prime example of how New Jersey is effectively distributing federal recovery funding in an effort to get people back to work," said Acting Commissioner Richman. "The Department of Community Affairs is happy to have played a role in getting Egg Harbor City federal funds to begin this shovel-ready project."

Egg Harbor City will receive the funding through the Small Cities Community Development Block Grant (CDBG) Program. The grants must be used for community development activities that principally benefit persons of low and moderate income; prevent or eliminate slums and blight; and/or meet urgent community development needs for which no other resources are available. The funds can be used for public facilities, community revitalization, housing rehabilitation and development projects that leverage private investments. 

Egg Harbor City is one of five small cities in New Jersey to receive federal recovery dollars. The other municipalities and their funding amounts include:

  • City of Burlington, $400,000

  • Cape May City, $271,912

  • Commercial Township, $316,537

  • Lower Township, $262,288

Aside from the 45 jobs to be created in Egg Harbor City, the federal funding will lead to an additional 79 jobs in the other communities. The DCA selected these cities because they have public improvement projects that can be bid out within 120 days of receiving the federal funds.

For more information on the Small Cities Community Development Block Grant, please log on to http://www.nj.gov/dca/divisions/dhcr/offices/cdbg.html.


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