HUD APPROVES CONFEDERATED TRIBES OF COOS, LOWER UMPQUA & SIUSLAW "INDIAN AREA" EXPANSION
Action increases homeownership opportunities for Native Americans throughout Oregon

PORTLAND - The U.S. Department of Housing and Urban Development today approved the request of the Confederated Tribes of Coos, Lower Umpqua and Siuslaw to expand its "Indian area" to include the entire State of Oregon. This approval allows all members of federally recognized tribes wider use of a HUD guaranteed home loan program that will help Native Americans in Oregon become homeowners.

"The Section 184 guaranteed loan program has already helped thousands of Indian families across the nation
purchase or rehabilitate their existing homes," said HUD Portland Field Office Director Tom Cusack. "This expansion
is not limited to members of the Confederated Tribes of Coos, Lower Umpqua and Siuslaw. It will increase the number of Native American homeowners outside reservation boundaries by enabling any member of a federally recognized
tribe to use this loan program to purchase a home in Oregon."

"We are proud to help sponsor home ownership for our Tribal members as well as all Native Americans living
throughout Oregon," said Ron Brainard, Tribal Council Chair.

The Confederated Tribes of Coos, Lower Umpqua and Siuslaw join a growing number of tribes across the country designating wider regions as "Indian areas" thereby expanding use of the Section 184 Loan Guarantee program. Allowing the expansion of tribal Indian areas provides greater opportunity for banks and other lenders to make mortgage loans to Native Americans. Prior to today's announcement, the Section 184 program was limited to
western Oregon counties, with the exception of Clatsop, Columbia, and Josephine; and Umatilla and Union counties.

The 2000 Census shows that approximately 85,000 people in Oregon are American Indian or Alaskan Native alone
or in combination with another race.

The Section 184 program has several advantages over HUD's FHA program � a lower downpayment requirement and higher loan limits (up to 150 percent of the FHA limit for the area) � which make the loan program very attractive. Loans are not limited to low income borrowers. Because the mortgage is 100 percent guaranteed by HUD, lenders apply more flexible underwriting criteria. Private sector lenders can make mortgage loans to eligible Native American families, tribes, and tribal housing entities. The program can also be used to rehabilitate existing homes, build new homes, and refinance higher interest rate loans.

The Section 184 program has increased volume by 240 percent from 2003 to 2004; from 271 loans and $27.2 million
to 622 loans and $64 million. HUD anticipates insuring more than $100 million in volume in fiscal year 2005 and $200 million in fiscal year 2006.

HUD's Section 184 Loan Guarantee program, created in 1992, was established to address the lack of mortgage
lending for Native Americans and give Native American families the opportunity to purchase their own homes on reservation or trust lands.

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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