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HUD TO PLAY KEY ROLE IN ADMINISTRATION'S BROWNFIELD CLEAN UP EFFORT

WASHINGTON -The Department of Housing and Urban Development will play an important role in the expanded environmental cleanup and redevelopment efforts announced by President Bush today. The President visited the Millennium Corporate Center in Conshohocken, Pennsylvania to sign bipartisan legislation effectively doubling the Administration's budget to revitalize old Brownfields and create new jobs in these distressed urban communities.

Bush's budget request includes $25 million in funding for HUD's Brownfields Economic Development Initiative (BEDI). By combining grants with a low-cost guaranteed loan program, HUD helps state and local governments to convert abandoned or underutilized industrial sites into useful housing, commercial and industrial developments.

"Thousands of communities throughout America will have a brighter economic future because of the legislation signed today," said Martinez. "HUD will work hand in hand with the Environmental Protection Agency to ensure neighborhoods have the greatest access to this funding, to protect the environment and to revitalize these communities."

In addition, HUD's Community Development Block Grant (CDBG) Program provides $4.3 billion to States and local governments to fund a variety of economic and community development activities, including revitalizing Brownfields sites.

Through HUD's BEDI Program, communities are experiencing environmental redevelopment, increased job creation and an enhanced tax base. Since 1998, HUD has made an investment of $78 million in BEDI grants and $392 million in companion Section 108 loan guarantees in 66 communities. These funds have leveraged another $4.5 billion in public and private funds.

For example, HUD awarded a $2 million BEDI grant for environmental remediation of the industrial site in Conshohocken Borough along the Schuylkill River development. A companion $3 million Section 108 Loan Guarantee will assist in the redevelopment of a 570,000 square foot e-commerce office building and 500,000 square foot residential complex. The project will facilitate the investment of over $60 million in the construction renovation of buildings on the site.

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