Tennessee: AIDS Housing Formula Works Against Memphis

According to a new report from the Government Accountability Office (GAO), metro Memphis would have received much more money from Housing Opportunities for People with AIDS if a more accurate funding formula were in use. HOPWA awards most funding based on an area's cumulative number of AIDS cases, not the current number of residents with AIDS. Had its 2004 allocation been based on current AIDS patients, Memphis would have received an additional $224,808 in housing assistance.

"Because the HOPWA funding formula includes deceased persons, the distribution does not reflect the current distribution of people living with AIDS," the GAO report said, adding that Tennessee would benefit by the calculation of benefits based on the count of HIV patients, not just those with an AIDS diagnosis.

The use of cumulative figures means that cities affected earlier by AIDS are eligible for more funding. In 2004, Memphis topped the list of emerging communities after CDC calculated it had 1,588 AIDS cases in the previous five years.

Brian Sullivan, a spokesperson for the US Department of Housing and Urban Development, said the Bush administration's proposed 2007 budget addresses the problems with the funding formula. The city's Division of Housing and Community Development administers the federal funds.

The basic housing assistance grant for Memphis was $920,000 in 2004, and the city was awarded competitive grants totaling $1.2 million. In the current fiscal year, Memphis received $1.9 million for AIDS housing assistance and is seeking more through a competitive grant. Nashville-Davidson County received $737,000.

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