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Plan for Homeless Veterans Project Stalled

Updated: Wednesday, August 27 2014, 05:58 PM CDT

DANVILLE -- A housing project in Danville aimed at helping homeless veterans is in jeopardy after being denied vouchers from the US Department of Housing and Urban Development.

Mercy Housing with the help of Veterans Affairs and Housing Authority submitted an application to HUD in the spring for 65 rental assistance vouchers.

Those vouchers would be used by the veteran for a smaller rent payment supplemented by HUD.

Organizers of the project say they were denied the vouchers because HUD determined there was greater need elsewhere.

A mercy spokesperson says, "It's important to remember that all the financing is already in place except for the rental assistance. It's a 17 million dollar project will provide jobs and income in Danville that's well-needed in Danville."

She adds that this is just another case of downstate Illinois needs being pushed aside for for urban area needs.

Project leaders are hopeful they will be able to break ground in October but that will not happen without this final piece of funding.

The local housing authority is assisting the VA and Mercy in finding alternative funding.

Project leaders are urging voters to contact their local representatives to put the pressure on HUD to fund the project.

Plan for Homeless Veterans Project Stalled

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