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HUDNEWS U . S . DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT WASH I NGTON D . C . 20410 HUD-No. 6 9- 0555 Phone (202) 755-7327 FOR RELEASE AFTER: 2:00 P.M., Monday June 30, 1969 MODEL CITIES CONTRACT TENDERED TO PHILADELPHIA, PENNSYLVANIA Secretary George Romney,of the U.S. Department of Housing and Urban Development,today announced the tender of a $3,296,638 Model Cities contract to Philadelphia, Penns y lvania. The b a l a nc e of the outstanding reservation of $25,113,000 of Model Cities funds for the City of Philadelphia was being continued into the next fiscal year, Secretary Romney said. HUD Assist a nt Secretary Floyd H. Hyde , who administers the Model Cities Program, made the following stat ement in connection with today' s ac tion. "The Model Cities program proposed by the City, a s revised during the past several months b y the City , repre sents a broad, comprehensive five-year attack on the phy sical, socia l and economic problems of the Mod el Cities area . The contract t e nder a nnounced to day i s limited to a portion of Philadelphia's t o t a l first y ear reservati on bec a u se o f several proble ms which must sti ll b e resol v ed by t h e City. A numb er of projects proposed to be initiated during the first a ction year are not y et ready for funding, because of reliance by the City on the carrying out of these proj ects by corporat ions not yet formed. "In the near f uture , the City is expected to recast its approach and a lso to d evelop a higher leve l of coordination with respect to the us e of funds from Federal sour ces other than Model Cities and State, loca l a nd private f unding sources. Once these improvements are made , the City will be able to receive further Model Cities grants for the remainder of i ts o utstanding reservation. The changes which the City has recently made in the direction of strengthening the administration of its Mode l Citie s program are encouraging and give promise of continuing improvement. more - �HUD-No. 69- 0555 -, - 2 - "Today's action by Secretary Romne y will permit the City to initiate several projects immediately and also provides funds for the continued administration of the Philadelphia Model Cities program, including the necessary replanning efforts. The grant approved today likewise gives financial support to Philadelphia's citizen participation structure at its current operating level."

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