Box 5, Folder 1, Document 27

Box 5, Folder 1, Document 27

CITY OF ATLANTA. Wes

CITY HALL ATLANTA, GA. 30303
Tel, 522-4463 Area Code 404

DEPARTMENT OF PLANNING
COLLIER B. GLADIN, Director

September I], 1969

Mr. Cecil A. Alexander, Chairman
Housing Resources Committee a.
Finch, Alexander, Barnes, Rothschild /

and Paschal]
44 Broad Street ae
Atlanta, Georgia Wa

Dear Cecil:

We are delighted to have the support of the Housing Resources Committee
in attempting to include "highly critical areas, such as Plunkettown and Lightning,
in the 1970 NDP application for execution purposes".

As you will recall, we attempted to include these two areas in the 1969 NDP
application. However, they failed to be included due to lack of local financing. We
are making the same attempt again this year to include these two areas in the 1970
NDP application. As yet, we still do not know whether local financing wil! enable us
to include them.

Relative to the last Whereas clause and item d (last paragraph of the Resolution),
this is not a matter to be taken up with HUD. Under NDP this procedure of "pooling"
miscellaneously derived local non-cash credits is, in fact; permissible and encouraged
by HUD. Nonetheless, the Director of Finance took the position last year, and it is
presumed he will do so again this year, that each area included in the NDP application
should be self-supporting and be supported by a five-year financing plan. Let's assume,
for example, that there were a surplus of local non-cash grants-in-aid in Bedford Pine
under NDP in 1969 and 1970 and further, it was decided to use this surplus to finance
and include new areas (such as Plunkettown and Lightning) in the 1970 NDP application.
Further, let's assume that Bedford-Pine in 1971, 1972 and 1973 had need of using these
surplus credits it had generated in prior years. The point being that by using al! surplus
credits there would be no reserve for future years and the city would face a cash deficit
in 1973, 1974 and 1975 in financing Bedford-Pine; also, possibly a cash deficit in
financing the new areas added in 1969 and 1970.
Mr. Cecil A. Alexander -2- September II, 1969

While we share the concern that highly critical areas need to be included in
annual NDP applications, financial stability and financial restraints do play a
major role. The answer to this dilemma is one on which the Planning Department
and the Finance Department concur and have recommended to a recent joint meeting
of the Planning and Development Committee and the Finance Committee on this
very matter. This city must make an annual, fixed appropriation of cash for NDP and
Urban Renewal purposes, which sum can be counted on and used to finance future

NDP applications and to get on with this matter of working in highly critical areas
instead of just talking about them.

Sincerely,

Carn

Collier B. Gladin
Planning Director

CBG/jp

Copy to - Mayor Ivan Allen
Dan Sweat