BUSH ADMINISTRATION ANNOUNCES $23.5 MILLION TO STIMULATE ECONOMIC DEVELOPMENT AND HOUSING IN COLORADO
HUD grants targeted to lower income persons and families in need

DENVER - The State of Colorado will receive more than $23.5 million in funding from the Department of Housing and Urban Development to stimulate the State's economy, produce more affordable housing, help the homeless, and
assist families and individuals with HIV/AIDS. In making today's funding announcement with Governor Bill Owens,
HUD Assistant Secretary Michael Liu said the funding represents another investment in improving the living
conditions for Colorado's lower income families.

"This Administration is committed to promoting economic development and job growth, increasing the supply of affordable housing, and helping our most vulnerable neighbors," said Liu. "These funds will serve as a catalyst for
low-income families trying to cross the threshold into homeownership and demonstrate our commitment to the
future of this great state."

The funding announced today includes:

• $13,008,803 in Community Development Block Grant (CDBG) funds;
• $9,286,536 in Home Investment Partnerships (HOME) funding;
• $920,523 in Emergency Shelter Grant (ESG); and,
• $366,000 for Housing Opportunities for Persons with AIDS (HOPWA).

For the past 30 years, HUD's Community Development Block Grant (CDBG) Program has awarded over $100 billion to state and local governments to target their own community development priorities. CDBG is one of HUD's oldest and most popular programs. The rehabilitation of affordable housing has traditionally been the largest single use of the grants although CDBG is also an important catalyst for job growth and business opportunities. CDBG funds are distributed by formula around the country based on a community's population, income levels, poverty rates and the age of its housing stock.

HOME (HOME Investment Partnerships Program) is the largest federal block grant to state and local governments designed exclusively to produce affordable housing for low-income families. Since 1992, more than 600 communities have committed to produce nearly 785,000 affordable housing units, including almost 300,000 for new homebuyers purchasing their first home. In addition, over 100,000 tenants have received direct rental assistance.

Emergency Shelter Grants (ESG) help local communities to meet the basic shelter needs of homeless individuals
and families. These grants also provide transitional housing and a variety of support services designed to move the homeless away from a life on the street toward permanent housing. This block grant program, in concert with more than $1 billion HUD awards by competition, helps thousands of local homeless assistance programs to help those
who would otherwise call the streets their home.

HUD's Housing Opportunities for Persons with AIDS (HOPWA) grants are distributed based on the number of AIDS cases reported to the Centers for Disease Control and Prevention. The grants provide rental assistance and
support services to individuals with HIV/AIDS and their families. In addition, the HOPWA program also helps many communities develop strategic AIDS housing plans and fill in gaps in local systems of care. A stable home
environment is a critical component for low-income persons managing complex drug therapies and potential side effects from their treatments.

HUD is the nation's housing agency committed to increasing homeownership, particularly among minorities; creating affordable housing opportunities for low-income Americans; and 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.

###