The city of Boston has been approved to receive $4.23 million from the U.S. Department of Housing and Urban Development (HUD) as part of the federal Neighborhood Stabilization Program (NSP), according to Mayor Thomas M. Menino.

The program was approved by Congress last July with the passage of the Economic and Housing Recovery Act of 2008. The mayor said the city expects to apply for a matching grant of approximately $4 million from the state’s allocation of these funds through the Department of Housing and Community Development (DHCD) in the coming months.

Boston was allocated the funds last September, conditioned on the creation and subsequent HUD approval of a plan to spend the award in accordance with Congressional intent. 

The Bay State was also awarded a total of $43 million for distribution among local communities as part of the $3.92 billion legislation that will deliver Community Development Block Grant (CDBG) funds to state and local governments for foreclosure relief.

"Although Boston is a lot better off than many cities around the country as far as foreclosures go, some of our neighborhoods have been badly affected," Mayor Menino said. "These funds will compliment the city’s existing efforts to restore vacant properties, and will support homebuyers who will invest in these communities by buying and renovating these homes."