HUD AWARDS $2,900,000 IN GRANTS TO PROMOTE AFFORDABLE HOUSING AND ECONOMIC DEVELOPMENT IN MONTANA'S RURAL COMMUNITIES
Grants for rural and tribal communities to address housing, poverty and jobs

HELENA - U.S. Department of Housing and Urban Development Deputy Assistant Secretary for Economic Development Valerie Piper announced in Pablo today the award of $2,900,000 to three tribal communities in Montana to address distressed housing conditions and concentrated poverty. HUD Secretary Shaun Donovan said the grants from HUD's new Rural Innovation Fund promote an "entrepreneurial approach" to affordable housing and economic development in rural areas (see list of Montana service area grants below).

"Rural America is vast and diverse, and different communities face different challenges and opportunities," said Donovan. "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."

"These grants will bring much-needed jobs to Indian Country right away and bring the American dream of homeownership to Montana families. And improving the infrastructure and housing on Montana's reservations will help us attract even more jobs in the future by adding to the quality of life that makes Montana such a great place to do business," Montana's Senior U.S. Senator Max Baucus said.

HUD Regional Administrator Rick Garcia said the Chippewa Cree Tribe will use their award to construct a water storage and delivery system which will provide potable water and fire suppression to the community (justice center, health clinic and approximately 200 homes). This project will result in the creation of 21 jobs. Additionally, the Northern Cheyenne Tribal Housing Authority will use their grant to rehabilitate 21 houses, raising their standards for safety, energy efficiency, and accessibility. These efforts will result in a 10 percent reduction in substandard housing for the community. Finally, the Salish & Kootenai Housing Authority (SKHA) will purchase foreclosed properties that can then be re-sold at more affordable prices. The funding will also provide homebuyer education, credit counseling, financial assistance and affordable housing options.

"We are very pleased to be awarded the Rural Innovation Fund grant and it will be used to meet a very critical need for more affordable housing for the members of the Confederated Salish and Kootenai Tribes. Also, the funds will help the CS&KT tribal credit program with the purchase and renovation of foreclosed properties that they hold title to. SKHA looks forward to working with HUD with this grant opportunity to assist with more affordable housing," commented SKHA Executive Director Jason Adams.

HUD's new Rural Innovation Fund offers grants of up to $2 million to support innovative housing and economic development activities in 19 states throughout the country. HUD received 307 applications from 48 states for over $236 million, almost 10 times the amount available. 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 the following 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. Montana received one comprehensive grant.
  
  
• Single Purpose Grants - 31 Single Purpose grants nationwide, for more targeted initiatives, which
  typically focus primarily on either housing or economic development. The maximum award amount was
  $300,000 for this category. Montana received two single purpose grants.

Highlights of the Awards nationwide include:

• 19 states are represented among the service areas, including Montana.
  
  
• 27 awardees - over half - are tribes or tribal affiliates nationwide. Tribal organizations were competitive
  in all categories under the NOFA.
  
  
• 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 178 construction jobs and 460 permanent jobs nationwide.
  
  
• Grantees have proposed to leverage over $18 million in other funds for their respective projects.

FY 2010 Rural Innovation Fund Awards for Montana:

Northern Cheyenne Tribal Housing Authority (NCTHA) in Lame Deer, MT will receive a Rural Innovation Fund
Single Purpose grant in the amount $300,000 to rehabilitate 21 houses, bringing them up to NCTHA standards for safety, energy efficiency, and accessibility. These efforts will result in a 10 percent reduction in substandard housing for the community. The project will create two jobs and provide on-the-job training. In addition to improving the safety and comfort of low-income tribal members, the rehabilitated homes will increase in value, allowing homeowners more flexibility to leverage equity. Leveraging for this project is $465,904.

Contact Person: Mr. Lafe Haugen
Grantee Address: P.O. Box 327, Lame Deer, MT 59043-0327
Telephone Number: (406) 477-6419
Email Address: lafehaugen@gmail.com

The Salish & Kootenai Housing Authority (SKHA) in Pablo, Montana will receive a Rural Innovation Fund Single Purpose grant in the amount of $300,000 for a homeownership assistance project on the Flathead Indian Reservation, home of the Confederated Salish & Kootenai Tribes. SKHA will purchase foreclosed properties that can then be re-sold at prices the program participants can afford. The project will also provide homebuyer education, credit counseling, financial assistance and affordable housing options. Leveraging for this project is $205,471.

Contact Person: Mr. Jason Adams
Grantee Address: P.O. Box 38, Pablo, MT 59855-0038
Telephone Number: (406) 675-4491
Email Address: jadams@skha.org

Chippewa Cree Tribe in Box Elder, Montana will receive a Rural Innovation Fund Comprehensive grant in the amount of $2,000,000 to construct a water storage and delivery system which will provide potable water and fire suppression to the community (justice center, health clinic and approximately 200 homes). This project will result in the creation of 21 jobs. Leveraging for this project is $1,349,944.

Contact Person: Ms. Kimberly Traversie
Grantee Address: 96 Clinic Road, Box Elder, MT 59521-0000
Telephone Number: (406) 395-5705
Email Address: ktraversie@homtmail.com

Walking Shield, Inc. in Lake Forest, California will receive a Rural Innovation Fund Single Purpose grant in the
amount of $300,000 for an affordable housing and economic development project on the Rocky Boy Indian reservation in Montana. The innovative housing and community development project will locate and redirect surplus military houses on the Malmstrom Air Force Base to this underserved, rural American Indian community that has a shortage of affordable housing. This project also includes infrastructure improvements and healthcare activities. The project will result in the relocation of 75 homes, the creation of 15 new jobs, the construction of 3 miles of roads and healthcare support for approximately 1,500 individuals. Walking Shield will partner with the Chippewa Cree Housing Authority and Malmstrom Air Force Base.

Contact Person: Dr. John Castillo
Grantee Address: 22622 Lambert Street, Suite 303, Lake Forest, CA 92630-1609
Telephone Number: (949) 639-0472
Email Address: jcastillo@walkingshield.org

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