RICHMOND, Va. — Richmond has temporarily halted its housing assistance grant program to strengthen administration and improve efficiency, the city announced Wednesday.
The RVA Stay Gap Grant Program, which launched in early 2025, provides one-time payments of $1,200 to low-income residents at risk of falling behind on rent or mortgage payments. The city has not specified how long the pause will last.
The program has had significant problems since its launch. Last month, a Richmond woman told CBS 6 she experienced lengthy delays trying to receive assistance. She applied for the grant in June and was told the initial application would be processed within eight weeks, but didn't receive approval until early December.
According to information Finance Director Letitia Shelton presented to city council in October, applications opened in January. However, as of late September, the city had disbursed only slightly over $20,000 in grants from the total $3.9 million in available funding.
Richmond's Chief Administrative Officer Odie Donald II outlined several program issues in a memo on Wednesday, including limited staffing, incomplete submissions and manual processing constraints. The program is jointly managed by the Department of Finance and the Department of Social Services.
"The Gap Grant program is both appropriate and needed, but many issues exist because delivering this type of service is not a core function of Finance," Donald's memo reads.
“The core mission of the program, to provide critical housing stability support for residents in need, will remain unchanged,” said Director of Finance Letitia Shelton in statement. “This pause allows us to improve how the program operates so we can better serve applicants and ensure funds are reaching those who need them most.”
The city will continue processing applications received on or before December 31. Residents who submitted applications before that date do not need to take additional action, and qualifying applicants will continue receiving payments.
CBS 6 is committed to sharing community voices on this important topic. Email your thoughts to the CBS 6 Newsroom.
📲: CONNECT WITH US
Blue Sky | Facebook | Instagram | X | Threads | TikTok | YouTube
