Breaking News
Get Actionable Insights with InvestingPro+: Start 7 Day FREE Trial Register here
Investing Pro 0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

State, local govts disburse $2.3 billion in Aug. rental aid -Treasury

EconomySep 24, 2021 06:16AM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters. FILE PHOTO: Signage is seen at the United States Department of the Treasury headquarters in Washington, D.C., U.S., August 29, 2020. REUTERS/Andrew Kelly/File Photo

By David Lawder

WASHINGTON (Reuters) - State and local governments disbursed over $2.3 billion in Emergency Rental Assistance Program funds in August, up from $1.7 billion in July, the U.S. Treasury said on Friday, well behind the pace needed to keep up with mounting evictions after a moratorium expired.

The Treasury Department said total disbursements under the program aimed at keeping families struggling through the coronavirus pandemic in their homes reached $7.7 billion this year, out of $46.5 billion approved by Congress in December and March.

Funds from the program assisted 420,600 households in August, compared with 364,600 in July and bringing the year-to-date total to 1.4 million.

The rental assistance program relies on state and local agencies to administer the funds and verify the eligibility of tenants and landlords. The program has been slow to launch amid a lack of initial infrastructure and staff to distribute aid, onerous documentation requirements and political resistance in some jurisdictions.

Treasury has sought to speed up the availability of rental aid funds, urging communities to adopt practices developed by higher-performing cities and states and follow the department's guidelines for minimizing documentation.

Deputy U.S. Treasury Secretary Wally Adeyemo on Friday sent a letter notifying state and local governments that on Sept. 30, Treasury will begin the process to reallocate some funds from communities that fail to meet a certain disbursement ratio.

But the reallocation process will be gradual, with an initial determination of expenditure data on Oct. 15, and reallocations finalized in the spring of 2022, Adeyemo said.

Jurisdictions that have obligated at least 65% of their initial round of funding stand to receive more reallocated funds, Adeyemo said.

"Reallocation as required by the statute is an important step to ensure that resources are available in areas with the greatest needs and the highest capacity to deliver these resources," Adeyemo said in the letter.

U.S. Treasury officials told reporters on a conference call that they hoped to be able to keep reallocated funds within the same state where they were originally allocated.

At the current pace of disbursements, the Treasury estimates that the program would disburse some $16.5 billion in payments for all of 2021, aiding some 3 million households and 60% of households at the highest risk of eviction.

A U.S. Treasury official said that with more communities adopting best practices, it may be possible to increase disbursements closer to $20 billion for all of 2021. The rental assistance program runs through September 2025.

State, local govts disburse $2.3 billion in Aug. rental aid -Treasury
 

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:  

  •            Enrich the conversation, don’t trash it.

  •           Stay focused and on track. Only post material that’s relevant to the topic being discussed. 

  •           Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.

  • Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
  • NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
  • Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
  • Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
Comments (1)
Trevor Roberts
LimitUp Sep 24, 2021 12:00PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Put it on my tab. ThxUncle Sam
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
or
Sign up with Email