July 8, 2009
Madison County, Illinois is facing a desperate need for increased mental health services, particularly for its low-income population. The National Development Council has been working with the County to obtain financing for the replacement / expansion of a mental health services facility serving approximately 2600 residents of Northern Madison County annually that will help address this need. NDC wrote an application and advocated for a HUD Section 108 Loan Guarantee for the project, which was approved in May 2009, marking the first use of the program in Madison County. In addition, NDC, which is using a portion of its Federal New Markets Tax Credits (NMTC) allocation for the project, applied for and received an allocation of the State’s NMTC for the facility. Together, the state NMTC and HUD 108 loan will bring approximately $2.8 million of gap financing to the project, allowing it to move to closing. The project will also be one of the first uses of the brand new Illinois NMTC program, which accepted its first application in April 2009.