Box 15, Folder 5, Document 38

TE Ee SS EEL ie EL Pe a) Te ee ee

August 26, 1968

Mr. Johnny C. Johnson
Executive Director

Model Neighborhood Program
673 Capitol Avenue, S. W.
Atlanta, Georgia

Dear Johnny:

On Tuesday, August 20th, the Model Neighborhood Program's
Executive Board approved a $6,000 grant to Model Neighbor-
hood, Inc. for the purpose of that corporation's performance
of certain services in the Model Neighborhood Program area.

Model Neighborhood, Inc., as you know, is a neighborhood
development corporation located in the Model Neighborhood
Program area. For the past several months the corporation
has been operating on a day-to-day basis because of its lack
of financial resources. The Corporation has now completely
exhausted its resources and in desperation has asked the
Model Neighborhood Program for assistance.

This letter seeks your approval of our recommendation to
appropriate $250.00 of our contract funds to Model Neighbor-
hood, Inc, under item 1.1 of our contract, which reads as
follows:

1,1 The Consultant shall develop programs to bring together
local and nearby sources of private capital;

1.1.1 Investigate the feasibility of establishing a
development corporation with broad local
participation;




SPST 2 a SA PE A ea Sa Te

Mr. Johnny C. Johnson
August 26, 1968

1.1.2 Encourage interest from outside sources of
capital in investigating in study area
developments.

We have discussed on previous occasions the importance of a
neighborhood development corporation carrying out economic
development programs within the area. At this point, the
corporation is an important and significant part of the
Program's Economic Development Component.

A subsistence contribution at this time would allow it to
continue in operation until other funding mechanisms are
formally approved.

With best wishes,

ld T. Horton

al
ec: ~ Mr. Dan Sweat, City of Atlanta
Mr. Scott Rutherford, EDA

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