Lead-Safe and Healthy Homes Financing Demonstration

This Notice of Funding Opportunity (NOFO) announces up to $10 million to support a National Fund Manager (NFM) to design and manage a Lead-Safe and Healthy Homes Financing Demonstration (the Fund). The Fund will be a national platform to pool public and private capital to accelerate the reduction of residential lead exposure, particularly childhood lead poisoning, and improve housing-related health conditions in low-income communities ("lead-safe and healthy homes activities").While HUD and EPA programs have addressed lead and other environmental hazards in many homes, progress remains slow relative to the scale of need. For example, since 1993, HUD has remediated lead hazards in over 230,000 low-income housing units, but tens of millions of U.S. households continue to face risk from lead and additional residential environmental stressors. Expanding access to private capital alongside public funding is critical to increasing the pace and scale of remediation.Traditional home repair financing remains difficult to access due to strict underwriting, high denial rates, and lender risk concerns, leaving many older homes in disrepair. The Fund will build upon successful local models that combine public and private resources and expand this approach nationally by aggregating capital and supporting local financing programs.The NFM will be responsible for leveraging the initial $10 million in public funds to raise private capital investments, structuring financing mechanisms, and providing technical assistance to support the Fund's operations. The NFM will also be responsible for the distribution of the funds through eligible activities by using no more than $1 million of the federal award for administrative activities, while deploying the remaining capital through loans, grants, and other financial products that flow to state, regional, and local governments and nonprofit organizations selected by the NFM. The NFM will select and enter into agreements with organizations,...