CUOMO ANNOUNCES MORE THAN $21.5 MILLION IN HUD HOUSING AND COMMUNITY DEVELOPMENT FUNDS FOR MINNEAPOLIS

WASHINGTON - Housing and Urban Development Secretary Andrew Cuomo today announced more than $21.5 million to fund critical housing and community development efforts in Minneapolis. Cuomo announced the approval of Minneapolis' Fiscal Year 1998 Consolidated Plan in a telephone news conference with Mayor Sharon Sayles Belton.

"These funds will go toward community-based solutions to the housing and economic development challenges Minneapolis faces," Cuomo said. "We are funding a comprehensive strategy for the creation of jobs and affordable housing, efforts to aid the homeless and persons with AIDS and to strengthen communities through homeownership."

Under the Consolidated Plan, Minneapolis will receive $16.8 million in Community Development Block Grant (CDBG) funds; $3.4 million under the HOME Investment Partnership(HOME) program; $674,000 in Emergency Shelter Grants for homeless programs and $640,000 in funding under the Housing Opportunity for Persons with AIDS (HOPWA) program.

Among the housing and community development efforts to be funded by the City this year are: the construction, renovation, and rehabilitation of single-family and multi-family homes; the renovation of the House of Charity, a transitional housing and chemical dependency halfway house; the renovation of two buildings of Turning Point, a transitional housing facility for women and children; and completion of Gracehouse II and Agape Dos, adult foster care facilities for persons with AIDS.

Senator Paul Wellstone said: "The CDBG program has been a success because it provides federal support for local initiatives that work. The strength of the CDBG program is in its flexibility; it allows for maximum innovation on the local level, while providing the vital federal support. We must continue to provide federal support for the innovative solutions devised by local leaders in our urban areas. These funds to Minneapolis signifies our commitment to reinvest in the economic vitality of our cities, to rebuild the infrastructure of our cities and to reinvest in the lives of the people who live in our cities. We must reinvest in our urban areas."

Congressman Martin Olav Sabo said: "I am pleased that HUD Secretary Andrew Cuomo is announcing today the annual consolidated plan award to the City of Minneapolis. The $21.5 million award, consisting of Community Development Block Grant (CDBG) funds, HOME Program funds, Emergency Shelter Grant (ESG) funds and Housing Opportunities for Persons with AIDS (HOPWA), is the essence of progress that local government working with the federal government can make toward meeting housing needs for those less fortunate in our community."

Minneapolis Mayor Sharon Sayles Belton said: "On behalf of the citizens of Minneapolis, I want to thank HUD for this multi-million dollar grant. These funds will touch over 116,000 Minneapolis residents. Specifically, this grant will support the new Lake Street YWCA Urban Sports Center, the Harriet Tubman Center and other shelters, early childhood education, homeownership for low- and moderate-income families, and the development of the Camden Clinic, among other projects."

The Consolidated Planning process, developed by Secretary Cuomo when he served as Assistant Secretary for Community Planning and Development, is a bottom-up process which ensures that citizens have strong input into the creation of comprehensive, community-based housing and economic development plans. The streamlined process gives communities maximum local flexibility while reducing burdensome regulatory requirements. Local HUD staff are empowered to work closely with communities to customize Consolidated Plans and help them realize their housing and economic development goals.