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HUD No. 99-155
Further Information:For Release
In the Washington, DC area: 202/708-0685Thursday
Or contact your local HUD officeAugust 19, 1999

CUOMO ANNOUNCES $193.1 MILLION IN FEDERAL AID TO UPSTATE NEW YORK AS CANAL CORRIDOR TOUR ENDS; CAPITAL DISTRICT GETS $22 MILLION AND HUDSON VALLEY GETS $18.2 MILLION

GREEN ISLAND, NY -- Housing Secretary Andrew Cuomo dropped anchor on his cross state tour of the Canal Corridor region of New York today by announcing $193.1 million in federal aid for upstate communities, including $21.6 million in new aid for the Capitol District and $18.2 for the Hudson Valley region. The Secretary sees the infusion of federal dollars to the Canal Corridor as "priming the economic pump for private sector investment in upstate New York."

"We could not have had a better time enjoying the beauty and history of New York," said Cuomo, who made the trip with his wife, Kerry Kennedy Cuomo and their twin daughters Cara and Mariah. "Upstate New York is unparalleled in its scenery, its cultural attractions, and its abundance of waterways. By funding the visions of communities across the state, we have made what was once a dream an economic reality across New York."

Cuomo began the trip with Secretary of Agriculture, Dan Glickman. USDA has been a vital partner in federal revitalization efforts in New York. HUD and USDA have formed a unique partnership that combines urban and rural assistance.

Senator Charles Schumer promised to support the federal cooperation that has been evident throughout Secretary Cuomo's trip.

"I am delighted by HUD and USDA's announcement of more than $193 million for the revitalization and redevelopment of the Canal Corridor and upstate New York," said Senator Charles Schumer. "We all recognize the enormous potential of the Canal Region, and I am pleased to see steps being taken to help our rural communities prosper. I look forward to continuing to work with Secretaries Cuomo and Glickman to ensure the economic health of New York State."

This afternoon on Green Island, Cuomo was joined by Congressman Michael McNulty to announce federal assistance for Capital District communities. In addition, Secretary Cuomo announced HUD entitlement grants for housing and community development programs in Troy, Schenectady, Colonie and Saratoga Springs.

Cuomo and Green Island Mayor John McNulty also "charged the line", a ceremonial switching-on of the new HUD-funded water line going to the Center Island which will make possible the "Rivers Edge Project," a planned residential-retail development.

"Urban and rural communities can all capitalize on their shared relationship to New York's waterways," said Congressman McNulty. "The Canal Corridor Initiative exemplifies the willingness by many to realize the potential of one of our greatest assets--our waterways--in creating jobs and spurring meaningful economic growth. I commend Andrew Cuomo for his leadership in this effort."

Mayor McNulty, father of Congressman McNulty, said "The revitalization of our urban communities is not easy but Secretary Cuomo understands the problems we are facing. More importantly he has demonstrated an ability to help solve those problems by forming public private partnerships that spark economic development and provide employment opportunities for everyone."

Congressman John E. Sweeney was also upbeat about the federal attention being paid to the region.

"This is encouraging news for our region," the Congressman said. "As we continue to provide the necessary financial incentives to improve local communities, we provide the hope that creates new vision. Communities along the canal and elsewhere in upstate New York are the cornerstone of our economy and good things happening at this level benefit the entire region."

The Secretary began the day boating on the Mohawk River with Congressman Sherwood L. Boehlert and Little Falls Mayor G. Craig Hebert and then traveled to Little Falls where they announced $16.7 million in federal aid for the Mohawk Valley region.

The Secretary's five day Canal Corridor tour began in Buffalo on Sunday where Cuomo and Agriculture Secretary Dan Glickman, along with their families boated on Lake Erie. Monday saw them riding bikes along the Canal in Pittsford, outside of Rochester, before visiting Palmyra and Geneva. On Tuesday, Cuomo visited historic landmarks in Seneca Falls and a winery in Romulus before attending a civic reception in Ithaca. On Wednesday, Cuomo started the day fishing on Skaneateles Lake with Congressman James Walsh followed by a trip to Fulton with Congressman John McHugh for a waterfront dedication ceremony.

Cuomo made a series of federal aid announcements for small cities and Canal Corridor areas awarding $31.1 million in federal aid Sunday for Western New York; $38.5 million on Monday for the Rochester area; $25.4 million on Tuesday for Seneca Falls and Ithaca; and $41.2 million for the Central New York area on Wednesday.

This week's joint federal funding of $193.1 million builds on more than $200 million in HUD assistance provided through the Canal Corridor Initiative in the past two years. The initiative puts federal resources to work as part of a long-term and coordinated commitment to revitalize communities along the Canal Corridor and elsewhere in upstate New York. The locally driven program seeks to turn the Canal Corridor into a major tourism destination that will spark tourism and economic opportunity across upstate.

HUD, the Department of Agriculture, the National Park Service, local communities and businesses are working in partnership to drive the initiative. Federal assistance has gone to more than 200 projects along the 524-mile Canal System. The Park Service has already noted a 30% increase in tourism activity since the initiative began.

The Initiative complements the New York State Canal Revitalization Program, both in its details and overall goals. It is based on a careful review of existing state and local plans for the region, including the landmark New York State Recreationway Plan, completed in 1995. As a result, it provides a template for close cooperation between federal, state and local governments in revitalizing the Canal Corridor.

HUD and USDA today announced $13.9 million in small cities, Canal Corridor, and rural development aid to seven counties in the Capital District region:

COUNTY TOTAL
Albany $1.8 million
Montgomery $2.3 million
Rensselaer $1.4 million
Saratoga $2.3 million
Schenectady $2.3 million
Warren $1.7 million
Washington $2.1 million

Secretary Cuomo also announced $8.1 million in HUD entitlement grants for housing and community development programs. Following is a breakdown of the assistance:

TROY: $2.5 million total including $2.4 million in Community Development Block Grant funds and $88,000 in Emergency Shelter grants funds for homeless people.

SCHENECTADY: $4.7 million total including $3.173 million in Community Development Block Grant funds; $1.4 million under the HOME Investment Partnership program; and $113,000 in Emergency Shelter Grant funds for programs for homeless people.

COLONIE: $455,000 in Community Development Block Grant funds.

SARATOGA SPRINGS: $448,000 in Community Development Block Grant funds.

HUD and USDA announced a total of $18.2 million in small cities, Canal Corridor, and rural development aid for seven counties in the Hudson Valley region:

COUNTY TOTAL
Columbia $2.3million
Greene $1.6million
Delaware $3.1million
Sullivan $3.7million
Ulster $4.7million
Orange $2.4million
Rockland $400,000

COMMENTS FROM HUDSON VALLEY CONGRESSMEN

Congressman Ben Gilman - "I join my colleagues in applauding Secretary Cuomo and the Department of Housing and Urban Development for recognizing the needs of our communities in New York. As a supporter of the Small Cities Program since first coming to Congress, I am gratified that the program is relevant to the needs of the new millennium, and am proud that our local officials possess the expertise to successfully apply through this highly competitive program."

Congressman Maurice Hinchey - "Our smaller communities have been at the center of economic and cultural growth throughout New York's history. Through targeted federal investments and partnerships with the private sector, the cities along our canal and rivers will play a vital role in our future. Revitalized communities can once again provide the engine for job growth and economic development in New York State."

COMMUNITY DESCRIPTION JOBS TO BE CREATED GRANT AMOUNT LEVERAGE TOTAL COUNTY
COHOES The City of Cohoes will use its $400,000 HUD economic development grant to install sewer &water service that will enable a $11.3 million residential & commercial development project located on Van Schaick Island. This project will create 28 jobs for low and moderate income persons and stimulate $11 million in private investment. 28 $400,000 $11,340,000 $11,740,000 ALBANY
GREEN ISLAND The Village will use a $400,000 economic development grant to construct a road to the site of a vacant plant. The project will create 65 jobs. Other public funding for the project includes $140,000 from the Village and $50,000 from Albany County. Green Island Industries will invest $20 million in private funds in conjunction with Ford Motor Company. 65 $400,000 $20,190,000 $20,590,000 ALBANY
ALBANY COUNTY Albany County will use its $600,000 economic development grant to fund two priority initiatives. The County will allocate $400,000 of the grant toward development of the Gateway Commons, a commercial office project in Albany. It will create 200 jobs in telemarketing. 50 jobs will be reserved for welfare to work participants. Gateway Commons is located in a Federal Enterprise Community area and will leverage $8,500,000 in private and local funds. The Co. will also loan $200,000 in Small Cities CDBG funding to Gansevoort Partners as part of a $1,302,125 industrial park expansion in Albany that will create 30 jobs for low to moderate income persons. 230 $600,000 $9,802,125 $10,402,125 ALBANY
ST. JOHNSVILLE St. Johnsville will use its $400,000 Small Cities grant to assist with the extension of a natural gas pipeline from the Town of Manheim to the Polyolefins, Inc. plant. The activity will enable the business to expand operations at a development cost of $4.1 million and create 23 job opportunities for low and moderate income individuals. 23 $400,000 $4,100,000 $4,500,000 MONTGOMERY
FONDA Fonda will use $400,000 in HUD funds to replace its deteriorated sewer collector line on a mile-long segment of Main Street. This project will serve the entire Village, including 383 residential and 117 commercial and industrial users. The sewer project will be coordinated with a street-replacement project that is to be financed with $140,000 in local funds. $400,000 $140,000 $540,000 MONTGOMERY
SCHAGHTICOKE The Village of Schaghticoke will replace various components of their water system, including a pump house and well. The Village will also install new water transmission and distribution lines. Using $85,000 of Village funds, the water storage tank will be cleaned and repaired to complete the project. The project will serve the entire Village, consisting of 286 households. $396,000 $85,000 $481,000 RENSSELAER
HOOSICK FALLS The Village of Hoosick Falls will fund a property rehabilitation program with a $400,000 housing grant. The program will address 24 units of substandard housing occupied by low and moderate income households in the River Street Phase 2 Target Area. CDBG assistance in grants for homeowners and loans for rental property owners will be provided. $400,000 RENSSELAER
RENSSELAER COUNTY The County of Rensselaer will use a $400,000 economic development grant to finance equipment and software purchases for Networks, Inc., located in North Greenbush. The project will create 60 full time jobs. Networks is contributing $1,400,000 in private capital to complete the expansion. 60 $400,000 $1,394,775 $1,794,775 RENSSELAER
HADLEY The Town of Hadley will provide an opportunity for 12 families to become the owners of newly constructed homes, using a $285,000 HUD grant. CDBG funds will enable the purchase of 12 lots and construction of a road in a new subdivision. $720,000 in financing will be provided from private sources. $285,000 $720,000 $1,005,000 SARATOGA
MECHANICVILLE Mechanicville will use $400,000 of Small Cities CDBG funds to rehab 43 dwelling units. Low and moderate income owner occupants will receive grant assistance for a variety of improvements. These funds will provide continued HUD support for the tornado-damaged city. $400,000 SARATOGA
GLENVILLE Glenville will loan $400,000 in CDBG funds for site preparation at the Lock #9 Marina and RV Park as part of a $1.3 million recreational development project. The new park and marina project will create 30 jobs for low and moderate income persons. The developers will provide $850,000 in private financing. 30 $400,000 $855,000 $1,255,000 SCHENECTADY
LAKE GEORGE Lake George will use a $400,000 HUD grant to improve the water system in the Diamond Point Water District. The project will eliminate threats to the health and safety of 57 households. Local contributions total $83,000. $400,000 $83,350.00 $483,350 WARREN
WARREN COUNTY Warren Co. will use $446,000 of Small Cities CDBG dollars to create a Business Loan/Training Program, to grow jobs locally, creating employment opportunities for low and moderate income persons. 61 $446,000 WARREN
FORT EDWARD The Village of Fort Edward will use a $400,000 HUD housing grant to rehabilitate 27 substandard housing units occupied by low to moderate income households within the Depot target area. It will provide grants to homeowners and a combination of grants and low interest loans to rental property owners. $400,000 $70,000 $470,000 WASHINGTON
CAMBRIDGE Cambridge will use a $229,790 grant to replace a closed stormwater system and make drainage improvements that will control water overflow along Academy St. The new system will eliminate long-standing drainage problems for 71 low and moderate income occupied homes. $229,790 WASHINGTON
WHITEHALL Whitehall will use its $377,000 HUD grant to undertake a property rehabilitation program, provide grants for owner-occupied properties and a matching grant for an 8-unit investor rental property. 31 units of substandard housing occupied by low and moderate income households will be improved, and $20,000 dollars in local funds will be invested. $377,000 $20,000 $397,000 WASHINGTON
GRANVILLE The Village of Granville's property rehabilitation program will address 26 units of substandard housing occupied by low and moderate income households with a $400,000 CDBG grant. Grant and loan assistance will be provided for owner-occupied and rental-occupied properties. $400,000 WASHINGTON
COMMUNITY DESCRIPTION JOBS TO BE CREATED GRANT AMOUNT LEVERAGE TOTAL COUNTY
COLUMBIA COUNTY Columbia Co. will use its $300,000 HUD economic development grant to continue funding over the next two years its microenterprise business program to create and support existing and start-up small businesses. HUD funding will be used for marketing and outreach, training and business counseling. It is expected that 200 jobs will be created and that $300,000 of private funds will be invested over the next two years. The program serves the entire County. 200 $300,000.00 $300,000.00 $600,000.00 COLUMBIA
HUDSON Hudson's $400,000 HUD grant will be used by Altco Development to adapt a warehouse for commercial use and combination work/live cottage industry spaces. The project will create 24 new full time positions. Leveraging includes a $30,000 property donation from the City and over $675,000 in private investment. 24 $400,000.00 $706,504.00 $1,106,504.00 COLUMBIA
COLUMBIA COUNTY Columbia Co. will loan $299,908 in CDBG funds to Consolidated Fabricators as part of a $694,067 manufacturing modernization project in New Lebanon. The modernization will create 35 jobs, 33 of which will be reserved for low and moderate income persons. Consolidated Fabricators will invest $400,000 in resources to complete the project. 35 $299,908.00 $400,000.00 $699,908.00 COLUMBIA
ANDES The Town of Andes will use $400,000 in CDBG funding to rehabilitate 21 homes. Recipients will receive grants to make necessary housing repairs that threaten the residents' health and safety. The program leverages of $100,000 in private funding. $400,000.00 $100,000.00 $500,000.00 DELAWARE
DELAWARE COUNTY Delaware County will use $600,000 in CDBG grant funds to extend sewer and water service from the Village of Deposit to Indian Country, Inc. and Norbord Industries. This will allow the two companies to expand their employment bases and create 130 new jobs. Leveraged funds consist of $420,000 in local funds, and in excess of $4,000,000 in expansion investment from Indian Country and Norbord Industries. 130 $600,000.00 $4,420,000.00 $5,020,000.00 DELAWARE
GREENE COUNTY Greene Co. will use a $320,000 economic development grant to provide financing to Stiefel Research in Oak Hill for new lab equipment. The project will create 15 new full-time job opportunities. Leverage includes $300,000 in private investment. 15 $320,000.00 $300,000.00 $620,000.00 GREENE
ATHENS Athens' $400,000 housing rehabilitation program will assist low and moderate income owners and renters. CDBG assistance will be made available in the form of grants for eligible improvements. This program will rehabilitate 30 units of housing and will leverage approximately $16,500 in private funds. $400,000.00 $16,500.00 $416,500.00 GREENE
PORT JERVIS. Port Jervis will use a $400,000 CDBG grant to provide an economic development loan to Amberfields, Inc. This is a family-owned and operated manufacturing business which will create 20 jobs for low and moderate income persons. The company designs, produces and packages promotional displays, brochures, cartons, catalogs, and specialty items. The project involves the acquisition and renovation of the existing building and will leverage $280,000 in private investments. 20 $400,000.00 $279,700.00 $679,700.00 ORANGE
NEW SQUARE New Square will use a $400,000 HUD grant to construct a Mother and Child Convalescent Center in the Refuah Health Center. The Convalescent Center, which will provide 25 beds and post-partum care for high-risk mothers and babies. The project is expected to benefit about 650 households per year and will stimulate $235,000 in private and local investment. 0 $400,000.00 $235,000.00 $635,000.00 ROCKLAND
MONTICELLO Monticello will use $348,500 in HUD funds to improve its sewage collection and water distribution system in the Hay Street and Dillon Road areas. The project includes replacement of sanitary sewer lines, water mains and the installation of fire hydrants. Twenty-nine households will directly benefit from these improvements. Virtually all of these households are occupied by low and moderate income persons. 0 $348,500.00 $0.00 $348,500.00 SULLIVAN
BETHEL The Town of Bethel will use its $400,000 CDBG award to fund a housing rehabilitation program in the Smallwood/Briscoe target areas. Funds will be used to rehabilitate 30 substandard housing units that are occupied by low and moderate income residents. 0 $400,000.00 $0.00 $400,000.00 SULLIVAN
MAMAKATING Mamakating will use its $400,000 HUD grant to take on a housing rehabilitation program in the Highview target area. CDBG funds will enable rehabilitation of 40 substandard homes that are occupied by low and moderate income households. The project will stimulate $60,000 in private and local investment. 0 $400,000.00 $60,000.00 $460,000.00 SULLIVAN
ROCKLAND The Town of Rockland will use a $400,000 HUD grant to install new sewer mains in the hamlet of Roscoe. Improvements will benefit 132 persons, the majority of whom are low and moderate income. 0 $400,000.00 $0.00 $400,000.00 SULLIVAN
CALLICOON Callicoon will use its $400,000 HUD grant to replace water mains in the Hamlet of Youngsville. The project will remedy problems with frozen lines and main breaks. Water quality will be improved and health hazards eliminated. The project will benefit 56 households containing 135 residents, of which over 60% are of low and moderate income. 0 $400,000.00 $0.00 $400,000.00 SULLIVAN
FALLSBURG Fallsburg will use its $265,000 HUD grant to replace a deteriorated sewer main. Improvements will eliminate a groundwater infiltration problem that is overwhelming the South Fallsburg area. This project will benefit 2,115 residents in South Fallsburg. 0 $265,000.00 $0.00 $265,000.00 SULLIVAN
LIBERTY Liberty will use its $400,000 HUD grant to replace a clay tile sewer main that has been in use for more than a century. The age and condition of the sewer main and its potential for failure poses a serious public health concern. The project will benefit an area containing 145 residents, the majority of which are low to moderate income. 0 $400,000.00 $0.00 $400,000.00 SULLIVAN
SULLIVAN COUNTY Sullivan Co. will use it $300,000 HUD grant to provide seed capital for start-up businesses that will locate along the main streets in the County's hamlets and villages. CDBG assistance will create 60 new, full-time jobs of which 54 will be available to low and moderate income persons. A micro-enterprise loan program will provide loans of up to $50,000 to entrepreneurs who wish to establish or expand micro-enterprises. The new Main Street Revolving Loan Fund will provide loans of up to $100,000 to establish or expand main street businesses. Both loan programs will complement and support the Main Street Redevelopment Center. 60 $300,000.00 $1,279,600.00 $1,579,600.00 SULLIVAN
WOODRIDGE The Village of Woodridge will use its $235,000 HUD grant to undertake replacement of sewer mains in the targeted areas of Mountaindale Road and Highland Avenue. The project will elminate public health hazards and benefit 164 persons. 0 $235,000.00 $0.00 $235,000.00 SULLIVAN
KINGSTON The City of Kingston will use an award of $400,000 as companion financing to complete the funding of a $4.8 million housing rehabilitation activity. The project includes the rehabilitation and preservation of 120 affordable housing units. In addition, 25 units will be made accessible for handicapped occupancy. Through its Public Housing Development Fund, HUD will invest another $1.9 million in the project inaddition to local contributions of $1.8 million from non-profit and private souces. $400,000.00 $4,800,000.00 $5,200,000.00 ULSTER
NEW PALTZ The Village of New Paltz will use a $375,955 HUD grant to improve its water distribution system. The project will benefit the entire Village of 5,257, the majority of which are of low and moderate income. 0 $375,955.00 $0.00 $375,955.00 ULSTER
ULSTER The Town of Ulster will use its $400,000 HUD grant to install storm sewers in the Glenerie Neighborhood. This project will reduce property damage caused by flooding, improve the effectiveness of private septic systems and reduce well water contamination, thereby eliminating urgent threats to public health and safety. The project will benefit 62 households, a majority of which are occupied by persons of low and moderate income. 0 $400,000.00 $0.00 $400,000.00 ULSTER
SHANDAKEN The Town of Shandaken will use $400,000 of CDBG funds to acquire and rehabilitate a private water system that does not comply with health codes. The new Pine Hill Water District will provide safe water to 140 households. The project will stimulate $690,000 in private and local investment. 0 $400,000.00 $691,000.00 $1,091,000.00 ULSTER

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