HUD AWARDS $600,000 TO PROMOTE AFFORDABLE HOUSING AND ECONOMIC DEVELOPMENT IN TWO LOUISIANA RURAL COMMUNITIES
Rural Innovation Grants to Belle Chasse, Ferriday community development organizations will create jobs, build housing, stimulate economy

NEW ORLEANS - At an event at the Pilgrim Rest Community Development Agency in Belle Chasse, HUD New Orleans Field Office Director Dan Carmon today awarded a total of $600,000 to two Louisiana community development organizations, one in Belle Chasse, and one in Ferriday, to address distressed housing conditions and concentrated poverty. HUD Secretary Shaun Donovan said the competitive grants from HUD's new Rural Innovation Fund promote
an "entrepreneurial approach" to affordable housing and economic development in rural areas.

"Rural America is vast and diverse, and different communities face different challenges and opportunities," said Mr. Carmon. "Because there is no 'one-size-fits-all' approach to strengthening rural communities, this funding provides flexible resources to address either housing or economic development needs, or both. This is especially important for communities that may have more limited access to resources because of their distant locations. These are catalytic projects that will have an impact on their communities for generations to come."

Macon Ridge Community Development Corporation in Ferriday, Louisiana, will use its $300,000 Rural Innovation Fund Single Purpose grant to encourage retail growth and create construction jobs as part of the Louisiana Delta
Rural Innovation Program. The program will construct ten new, single-family houses in the first 24 months and will stimulate entrepreneurship by utilizing disadvantaged start-up subcontractors. The program will also support a revolving loan fund and homebuyer education program to increase homeownership to low- and moderate-income families in the Lower Mississippi Delta Region. Fifty jobs will be created and retained through this program. Partners include the Louisiana Housing and Community Development Corporation and LISC. The contact at Macon Ridge is
Lloyd Spillers, (318) 757-2361.

Pilgrim Rest Community Development Agency in Belle Chasse, Louisiana, will use its $300,000 Rural Innovation Fund Single Purpose Grant to build a rental housing development for low-to-moderate income residents in Port Sulphur, Plaquemines Parish. The development will be environmentally friendly, energy efficient and will promote the use of green products, adhering to the Enterprise Green Communities' "Healthy Living Environment." The project will create 10 construction jobs. Leveraging for this project is $176,000. The contact at Pilgrim Rest is Ronald Singleton, (504) 394-1123.

HUD's new Rural Innovation Fund offers grants of up to $2 million to support innovative housing and economic development activities. Eligible applicants were federally recognized Indian tribes, state housing finance agencies (HFAs), state community development agencies, local rural non-profit organizations, community development corporations, or consortia of these groups. Grantees can use their grant funding to support a variety of housing and economic development activities including construction, preparation of plans, land acquisition, demolition, homeownership counseling, and financial assistance.

HUD awarded Rural Innovation Fund grants in three categories nationwide:

• Comprehensive Grants - 7 Comprehensive grants nationwide, in which grantees have examined the social, housing and economic needs and resources of their target areas and made proposals that address these needs through activities that will have sustained benefit and resources after HUD assistance is used. The maximum grant amount was $2,000,000 for this category.
  
  
• Single Purpose Grants (The Louisiana grants fall in this category) - 31 Single Purpose grants nationwide, for more targeted initiatives, which typically focus primarily on either housing or economic development.
  
  
• Economic Development and Entrepreneurship for Federally Recognized Tribes - 8 Indian Economic Development and Entrepreneurship grants nationwide, awarded from $5 million set aside for applications for federally recognized Indian tribes
  
  

Highlights of the Awards include:

• 19 states are represented among the service areas, including Louisiana.
  
  
• 27 awardees (58%) are tribes or tribal affiliates. Tribal organizations were competitive in all categories under the NOFA and were recommended to receive 53% of total funding.
  
  
• 789 housing units are proposed for low income beneficiaries nationwide.
  
  
• 655 total jobs will be created through activities assisted by the grants nationwide. Jobs include 187 construction jobs and 460 permanent jobs nationwide.
  
  
• Grantees propose leveraging more than $18 million in other funds for their respective projects.
  
  

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HUD's mission is to create strong, sustainable, inclusive communities and quality affordable homes for all. HUD is working to strengthen the housing market to bolster the economy and protect consumers; meet the need for quality affordable rental homes: utilize housing as a platform for improving quality of life; build inclusive and sustainable communities free from discrimination; and; transform the way HUD does business. More information about HUD and its programs is available on the Internet at www.hud.gov and espanol.hud.gov. You can also follow HUD on twitter @HUDnews or on facebook at www.facebook.com/HUD.