Box 5, Folder 10, Document 58

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Box 5, Folder 10, Document 58

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DRAFT ( ro



the City of Atlanta submitted its

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application for a Metiwimeatres grant under the PSL, Ce,
ARMA AI [Np rehny Kict of fPEe . The application was developed

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by the HUD guidelines for these purposes entitled

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fell flihien Ape . The total cost of the Atlanta program'
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was estimated for planning purposes at EDO, LIO.00.

opr tS /fb UD announced the selection of Atlanta
along with £& other cities as tle initial recipienfjof

Model Neighborhood Program grants. However, Atlanta unlike





many of the other Ls" cities received less than complete
direct Federal funding for this program, Atlanta's program as
determined by HUD was to receive $152,000 in direct Model
Neighborhood Program grant funds (80/20 monies) with additional
Federal monies to be made available through the CRP and 701
programs ioisinedlle Z / 07O. ve ‘ The latter are matched
on a 1/3:2/3 basis.

In addition, monies were also made available to Atlanta
through the EDA program totalling $100, 000 but this was completely
earmarked for economic planning purposes,

On the surface this was an impressive outlay of Federal

funds and appeared satisfactory at the time; even mor& go with
va

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the overtures made by HUD to the internal operating procedures
to be worked out by HUD among its allied agencies relative to
"'cooperation'', ''special processing and handling of materials
pretaining to this program", etc. We, therefore, accepted this
offer of Federal financial assistance in the spirit of innovative
planning and financing on the part of HUD and proceeded to make
known our intentions of retaining the original size and scope of the
local program without alteration,

Obviously, such a new Federal program is fraught with

difficulties in attempting*to make it operational, Staffing
arrangements alone

axrrangerentixsaisng at the local level are momumental to say

nothing of the work elements to be undertaken, Being that as it may,

HUD has since the inception of the program promulgated certain

technical memoranda which provide a further detailing of

"required'' work elements, Meanwhile, our staff has struggled

along attempting to work out the necessary applications and obtain
el

the additional Federal monies under thedé@ inancial

arrangement,



AS, (768

the City submitted its 701 ffpplication
for Model Neighborhood Program planning purposes - its status

at present is still ''under going review'' by HUD. aniekastory
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fapplication for CRP grant funds for Model Neighborhood Program
planning purposes is pending submission to HUD. Combined, each
has caused the City to spend an undue amount of time and effort in
attempting to utilize this unique method of financing the Model
Neighborhood Program in Atlanta. Unfortunately, each application
has had to be written to conform to the specifications of the reviewing
agency of HUD thereby restricting and restraining maximum benefit
to the Model Neighborhood Program, Neither of these applications
provide us with the total flexibility and wherewithal needed by the
City to undertake those work elements of the Model Neighborhood
Program required by HUD ina satisfactory, proper and expeditious
manner,

It is our understanding that there are supplementary Model
Neighborhood Program grant funds available, and additionally, HUD
is currently in the process of selecting its second round Model
Neighborhood Program grant recipients, We feel that HUD would
best do well to reconsider full, complete and direct Federal
funding of those on-going Model Neighborhood Programs prior to
expanding this sort of malaise. With laborious and time consuming
procedures necessary for obtaining CRP and 701 grant funds for

Model Neighborhood Program planning purposes; with indications
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that the HUD agencies are not cooperating with each other; with

a
no guarantee that the process’ of applications has been given the

\

highest priority other than the normal procedure; with the inequitable
Loce( ‘matching requirements we have suffered under; we, therefore,

appeal to HUD to reconsider our current financial arrangements

relative to the preparation and undertaking of the Atlanta Model

Neighborhood Program,

The City of Atlanta requests that HUD reserve and

appropriate $150, 000 in Model Neighborhood Program grant funds

in lieu of the 701 and CRP Federal grant funds to be used for

planning purposes in the Atlanta Model Neighborhood Program.

This additional $150, 000 in Federal grant funds would bring our

base Model Neighborhood Program grant up from $152, 000 to

$302,000. The formidable obstacles we have faced to date and those

that remain will be substantially reduced by favorable action on this

matter on the part of HUD. We respectfully request that this appeal

be given your immediate and sincere consideration in order that

sufficient funds might be made available for us to do a competent

job and to improve the possibilities of achieving the goals of Model

Neighborhood planning in Atlanta,

Sincerely yours,

Ivan Allen, Jr,

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