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WASHINGTON - The Department of Housing and Urban Development announced today it will give two New York City housing agencies $15 million in emergency assistance to help defer extraordinary costs incurred after last month's terrorist attacks on the World Trade Center.

The New York City Housing Authority (NYCHA) will receive $10 million and the New York City Department of Housing Preservation & Development (HPD) will receive $5 million to assist in overall recovery efforts, such as the rental of office space, the replacement of office furniture, telecommunications systems and computer equipment, and to pay overtime salaries.

"After the tragedy, NYCHA and HPD continued to provide much needed services to the families of NYC during this time of crisis," said HUD Secretary Mel Martinez. "HUD's emergency funding will enable them to continue this outstanding work."

NYCHA's administrative office building located at 90 Church St. - across the street from the World Trade Center - closed on September 11 and has not been occupied since the attack. NYCHA's 2,000 displaced employees from this site were relocated to other NYCHA offices or temporary space.

HPD suffered loss of its electrical and telecommunications systems, and operated on back-up generators. Because of its location in lower Manhattan, HPD's headquarters had essentially become an emergency relief center several days after the attack. Fireman, police and volunteers literally lived in the building - eating, resting and sleeping there.

Martinez also said HUD recognizes the need is far greater than this initial assistance and the department will work with these organizations as they do their best to continue operations.

Since the attacks, HUD has provided similar relief for affected individuals. For example, Martinez encouraged the lending industry to delay any foreclosure action against those impacted by the events of September 11th. In addition, HUD and the Department of Defense reminded mortgage lenders that recently activated National Guardsmen and Reservists who own their own homes are eligible for an interest rate of no more than six percent during their period of activation.

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