Summary: In 1992, the National Commission on Severely Distressed Public Housing reported that about six percent of the nation's public housing could be considered severely distressed and that traditional methods of revitalizing this housing had been ineffective. In response, Congress created the HOPE VI program to address the following three conditions common to severely distressed areas: (1) physically deteriorated buildings, (2) residents living in despair and needing high levels of social and support services, and (3) economically and socially distressed surrounding communities. Of the $1.58 billion appropriated by Congress for the HOPE VI program for fiscal years 1993-1995, the Department of Housing and Urban Development (HUD) had awarded $1.54 billion for capital improvements and community and support services as of September 30, 1996. Congress also earmarked $5 million for HUD to provide technical support to housing authorities. HUD has identified several innovative approaches used by HOPE VI grantees to implement their projects, including Cleveland's concept of centralizing social services and Milwaukee's street layout to reduce density and enhance neighborhood security. HUD is conducting a phased 10-year evaluation of the program; in August 1996, it completed a baseline study of 15 HOPE VI activities and plans 5-year and 10-year followup evaluations of these activities.
