BUSH ADMINISTRATION AWARDS $838,451 TO BOOST ECONOMIC DEVELOPMENT AND JOB GROWTH IN FOUR RURAL MONTANA COMMUNITIES
Funds will help produce affordable housing in rural Montana

HELENA, MT - Housing and Urban Development Secretary Alphonso Jackson today announced $838,451 in grants
to help four rural communities in Montana 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.

In addition, these grants are expected to generate $526,720 from other public and private sources to further
promote economic development and employment.

"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 Montana to produce affordable housing and jobs where they're needed most."

The funding announced today will benefit:

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 micro enterprises 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.

###