Box 15, Folder 3, Document 9

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%, U.S. DEPARTMENT OF HOUSING

% AND URBAN DEVELOPMENT
WASHINGTON D.C. 20410

HUD-No. 69-0555 FOR RELEASE AFTER:
Phone (202) 755-7327 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, Pennsylvania.

The balance 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 Assistant Secretary Floyd H. Hyde, who administers the
Model Cities Program, made the following statement in connection
with today's action.

"The Model Cities program proposed by the City, as revised
during the past several months by the City, represents a broad,
comprehensive five-year attack on the physical, social and
economic problems of the Model Cities area. The contract tender
announced today is limited to a portion of Philadelphia's total
first year reservation because of several problems which must still
be resolved by the City. A number of projects proposed to be
initiated during the first action year are not yet ready for fund-
ing, because of reliance by the City on the carrying out
of these projects by corporations not yet formed.

"In the near future, the City is expected to recast its
approach and also to develop a higher level of coordination with
respect to the use of funds from Federal sources other than
Model Cities and State, local and private funding sources. Once
these improvements are made, the City will be able to receive
further Model Cities grants for the remainder of its outstanding
reservation. The changes which the City has recently made in
the direction of strengthening the administration of its Model
Cities program are encouraging and give promise of continuing
improvement.






HUD-No. 69- 0555> 24 =

"Today's action by Secretary Romney 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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