BUSH ADMINISTRATION AWARDS $526,087 TO BOOST ECONOMIC DEVELOPMENT AND HOUSING IN RURAL ARKANSAS
Lake Village, Arkadelphia, Ft. Smith and Blythville Receive Grants

LITTLE ROCK, AR - Housing and Urban Development Secretary Alphonso Jackson today announced $526,087 in
grants to help four rural communities in Arkansas to stimulate their local economies, produce more affordable housing and boost job growth. The funding is provided through HUD's Rural Housing and Economic Development Program.

"This investment in rural America demonstrates that this Administration's commitment to our nation's heartland is strong," said Jackson. "These grants will help rural communities across Arkansas produce affordable housing and jobs where they're needed most."

The funding announced today will benefit:

The Chicot Housing Assistance Corporation in Lake Village will use its $125,000 Rural Housing and Economic Development Capacity Building Grant to assist the organization in the development of a sustainable single-family
home program dedicated to increasing homeownership opportunities in the Delta for low income residents.

South Arkansas Community Development in Arkadelphia will use its $150,000 Rural Housing and Economic Development Capacity Building Grant to develop homeownership programs. The are partnering with the U.S. Department of Agriculture, and the Arkansas Development Finance Authority.

The Crawford-Sebastian Community Development Council, Inc.in Ft. Smith will use its $150,000 Rural Housing and Economic Development Capacity Building Grant to begin a financial fitness education program.

The Mississippi County Arkansas E.O.C in Blytheville will use its $101,087 Rural Housing Economic Development Capacity Building Grant to develop a fee-based single-family housing development model for the construction of affordable homes in several Delta Counties. Their partners are The Federal Home Loan Bank of Dallas and the U.S. Department of Agriculture's Rural Development Office.

Rural Housing and Economic Development grants help pay for land acquisition, new home construction, housing demolition, infrastructure improvements and construction training. Other possible uses include homeownership and financial counseling; financial assistance to homeowners, businesses and developers; creating microenterprises and small business incubators; and, establishing lines of credit or revolving loan pools to benefit the local business community.

Rural non-profit organizations, federally recognized Native American tribes, community development corporations
and state agencies will administer these grants. The funding will help 105 rural communities to build and improve affordable housing, create jobs and generate community and economic development.

Rural communities will use this funding as seed money to pay the start-up costs for housing or economic
development projects. These grants will also help organizations to hire and train their staffs, develop strategic plans and acquire office space and other needed facilities.

HUD is the nation's housing agency committed to increasing homeownership, particularly among minorities, creating affordable housing opportunities for low-income Americans, supporting the homeless, elderly, people with disabilities and people living with AIDS. The Department also promotes economic and community development as well as
enforces the nation's fair housing laws. More information about HUD and its programs is available on the Internet and espanol.hud.gov.

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