NEW YORK, NY July 10, 2009 —Starting today the city will be able to start spending $74-million in federal stimulus funds to combat homelessness. The money is badly needed, as the city prepares to deal with an annual surge in homeless families during the summer. WNYC's Cindy Rodriguez reports:

REPORTER: Right now, there are 8,100 families staying in city shelters - that's about 800 more than a year ago. The numbers have been growing since October, with monthly increases as high as 40 percent.

More than fifty million dollars of the new stimulus funds will go to 13 homeless prevention programs across the city. These programs offer mediation to poor families often living with relatives in overcrowded homes. They also provide short term help with paying the rent and electric bill and provide referrals to legal advocates who can help a family fight an eviction.

The rest of the money will be used to get the homeless out of shelters and into apartments more quickly by paying their rent and speeding up casework. The city estimates the entire $74 million will serve about 25,000 households. For WNYC, I'm Cindy Rodriguez.