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DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT WASHINGTON, D. C. 20410 OFFICE OF THE ASSISTANT SECRETARY FOR MODEL CITIES AND GOVERNMENTAL RELATIONS IN REPL Y REFER TO : . /' JUN 1 1 1969 ' ·Jr . 30303 D r Mayor Allen: tn hi pr se confer c of April 28, 1969, Secret ry Rt>mn y d th followu t t nt: 10% popul tion r st:rict1ou on th t n ighborhoods 'Will be dropped • • • • [T)h1 • • • doe not · n that th progr will b panded cit wide within ch city. Its purpo will r in that of foeuai re ourc on p rticul rly poor nd bli ht i hborhooda, b t loc l offic ls will be iv gr t r 1 titud in dr wing progr boundari that confoni to loc 1 cot\ditio ," HTh tar siv n wid ly diff rin int r- round th country. uld U.k to ap nd In bit on th �2 Any addition to the model neighborhood must still meet all statutory requirements. The additional area must be a blighted one. The program for the expanded area must meet all the statutory criteria, including the requirement that the program achieve a substantial impact on the neighborhood's problems. No additional supplemental funds will be available for the expanded areas. For most first round cities, this means that new projects or extended projects in the new areas would depend on funds from other than Model Cities supplement 1 grant funds. All cities may find it difficult to assure the program impact requir d by the tatute if the model neighborhood is greatly expanded unless substantial additional resources are available. In most situations, howev r, as CDA's develop their capabilities to plan, coordinate, and evaluate the program in their first target area, much benefit could be derived from expanding these activities of the CDA to those resources and programs presently going into poverty areas of the city other than the present model neighborhood. Thi expanding role of the CDA a the program continues would enable the cities to be in a position to better utilize additional r ources in the future as they may become vailable. Any requ st for area expansion should set forth the reasons therefor and demonstr te that the city has th capacity to administer the progr in th expanded reas in accordance with the foregoing consider tions. Very truly yours, ~a~~cJFloyd H. Hyde �