The Housing and Economic Recovery Act (HERA) of 2008 was passed by the U.S. Congress and signed by the President on July 30, 2008. The legislation contained $3.92 billion in Neighborhood Stabilization Program (NSP) funding.
On September 29, 2008, the City of Dayton was awarded a special allocation of $5,582,902 in Community Development Block Grant (CDBG) funds to be used for foreclosed and abandoned properties in the City as part of the NSP. You may view the Notice in the Federal register at 
nspnotice.pdf. You may view the First Quarterly NSP expenditures Report 
here.
Eligible uses of the NSP funds includes:
- Establish temporary land banks of abandoned or foreclosed properties to facilitate redevelopment;
- Demolish blighted structures;
- Purchase foreclosed or abandoned parcels
- Redevelop vacant, abandoned or foreclosed properties; and
- Offer purchase and redevelopment assistance to income-eligible buyers of foreclosed or abandoned properties.
Because of the urgency of the foreclosure problem, the Congress has required that all funds must be obligated within 18 months and expended within 48 months. In order to receive the grant allocation, the Department of Planning & Community Development must develop and publish an Amendment (Substantial Amendment) to the existing annual Action Plan, and its Amendment, and solicit public discussion of, and comment on, the proposed Substantial Amendment. You may view the Draft Substantial Amendment here.
A public meeting to discuss the Draft Action Plan Amendment before the Community & Neighborhood Development Advisory Board (CNDAB) was held on November 10, 2008. CNDAB members and City staff discussed the Draft Amendment and heard public comment on the same. The final Substantial Amendment was transmitted to HUD on November 26, 2008.
The City of Dayton applied to the State of Ohio for additional NSP funding in February of 2009. You may view those Ohio NSP pages here.