Community Housing Development Organizations
(CHDO)
Nonprofit organizations can play key roles in
the improvement of their
communities. One special type of nonprofit group, called a Community
Housing Development Organization (CHDO), is particularly suited
to
address affordable housing needs at the local level.
CHDO's undertake this effort through the HOME
Investment Partnerships
Program. HOME is a federally funded housing program created in 1990
as
part of the Cranston-Gonzalez National Affordable Housing Act. The
HOME program is intended to create partnerships among federal, state
and
local governments and those in the for-profit and nonprofit sectors
who
build, own manage, finance and support low-income housing.
Funds are allocated to states and local governments
on a needs-based
formula. To encourage nonprofit organizations to participate, at
least 15% of HOME funds must be set aside for CHDO's
The New Mexico Mortgage Finance Authority (MFA)
has been designated
to administer the HOME program - including its involvement with
CHDO's
for the State of New Mexico, except in the cities of Albuquerque
and Las
Cruces. HOME funds primarily are allocated for rental development,
tax
credits, rental incentives and for other uses deemed necessary by
MFA.
