On July 30, 2008 Congress enacted the Housing Economic Recovery Act (HERA) of 2008 in response to the national foreclosure crisis. HERA provides $3.92 billion in emergency Community Redevelopment Block Grant funds under the newly-created Neighborhood Stabilization Program designed to assist states and local governments in the redevelopment of abandoned and foreclosed homes. As part of the Neighborhood Stabilization Program, the Los Angeles Urban County received $16,847,672 for targeting assistance to the areas with the greatest need.

Based on this strategy, the Community Development Commission of the County of Los Angeles developed two programs that will assist those communities hardest hit. The HERO Program will make financing available to low, moderate and middle-income families or individuals looking to purchase a foreclosed home but are unable to qualify without financial assistance. The ISRP will make financing available to qualified nonprofit and for-profit developers looking to acquire or acquire and rehabilitate foreclosed 1-4 unit properties and rent them to households earning no more than 50% of the area median income for a period of 55 years.

To see the L.A. Urban County NSP Action Plan, please go to:
http://www.lacdc.org/CDCWebsite/CDBG/PlansReports.aspx?id=2610

To read the Federal HERA regulations, and see a list of other eligible jurisdictions that may have NSP funds, please go to:
http://edocket.access.gpo.gov/2008/E8-23476.htm