About the program:
The program, officially named Capacity Building for Community Development and Affordable Housing is a federal grant authorized by Section 4 of the HUD Demonstration Act of 1993.
Habitat for Humanity has participated in the Capacity Building program since 1998.
What the funds are used for:
Funds from the program enable community development corporations and community housing development organizations to hire additional staff members who will expand their efforts to provide affordable housing for low-income families.
Any Capacity Building funds awarded to Habitat for Humanity International are used to hire first-time, high-impact staff for Habitat affiliates across the United States and its territories. Affiliates must undergo a competitive application process through Habitat for Humanity International.
About the application process:
Congress determines the amount of funds appropriated for the program every year; they are not renewed automatically. Four national intermediary organizations — Enterprise Community Partners, Habitat for Humanity International, Local Initiatives Support Corporation, and YouthBuild USA — apply for these funds on a competitive basis.
As part of the application process, the affiliates must develop a three-year plan and make a commitment to increase housing units by at least 15 percent during that time. The selected affiliates receive their awards on a diminishing basis so they can fully fund the staff member’s position at the end of the grant term.