The Neighborhood Stabilization Program (NSP), which was authorized in the federal Housing and Economic Recovery Act of 2008, allocates $178 million to be distributed among Texas cities, counties, and nonprofits to redevelop abandoned and foreclosed properties that have become sources of blight. Of this amount, the U.S. Department of Housing and Urban Development (HUD) has directly allocated $76 million to the Texas cities and counties determined to be in most need of funds, and has allocated the remaining $102 million to the state to be distributed according to a HUD-approved action plan that was created by the Texas Department of Housing and Community Affairs (TDHCA). Under the approved plan, cities from certain counties are eligible to receive NSP funds either through the pre-determined direct allocation or through the competitive grant process.

For more information on the allocation of NSP funds in Texas, please visit TDHCA’s website at

TML member cities may use the material herein for any purpose.
No other person or entity may reproduce, duplicate, or distribute any part of this document without the written authorization of the
Texas Municipal League.

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