Barb Lickness wrote/asked:

> Is Mr. Luce asking if whether or not NRP funds were
> spent on low income people?  Is he is making these
> recommendations based on current statistical
> information? If so, I would beg him to share this
> information with us.

Here are some of the stats, gleaned from independent evaluations of NRP
(available on the NRP web site), keeping in mind two things (1) allocations
for housing rehab and preservation was by far the greatest expenditure of
NRP funds, with park improvements, playground upgrades and other general
neighborly improvements that Barb talks about making up a much smaller
fraction of expenditures; and (2) data concerning the beneficiaries of NRP
funds were generally hard to come but was available in the neighborhoods
using the Center for Energy and Environment as a home assistance program
administrator. Those stats are:

1.   Home assistance programs (of various sorts) were not generally targeted
to people with high degrees of need, with very few recipients below 30
percent of median income and only 1/5 of folks below 50 percent of median.
2.     A majority of neighborhoods provided home assistance funds to people
who had incomes in excess of the median income of households in the
neighborhood, some two or three times the median.
3.    Twenty-seven percent of all NRP funds through September 2000 were
spent on home improvement loan/grant programs.
4.  Only 0.6% of home improvement loan/grant program funds were provided to
nonhomesteading owners (i.e., landlords, who obviously rent to tenants, who
make up 44 percent of the Minneapolis population).
5.  Eighty-eight percent of all recipients of home improvement loan/grant
programs were white, while the city's non-white population decreased from
78% to 65% from 1990 to 2000.

> At any rate, there is a broad spectrum of ways to
> spend NRP funds that benefit low income people. The
> investment in parks and schools that have happened
> have benefited children of low income families.

I'm not challenging this.  These expenditures are certainly well worth it to
many neighborhoods and benefit rich and poor alike, though they make up a
much smaller percentage of NRP expenditures than on housing.  Neighborhoods
could meet their 52.5% housing expenditure requirement AND a new requirement
of spending that benefits low income residents by building more readily
affordable housing.  We're not saying NRP should get rid of its success in
engaging spending on parks and playgrounds, but that it and its
participating neighborhoods must target dollars more precisely to directly
benefit low-income residents.

> NRP was never designed to be a social service delivery
> program. In fact, the legislation is very narrow in
> this area and in many cases discourages it. However,
> NRP was always able to help neighborhoods who were
> creative in designing programs or projects that fit
> within the legal uses for NRP funds.

Actually, state law mandates that "the social needs of neighborhood
residents, particularly lower income residents, must be addressed to provide
a safe and healthy environment for neighborhood residents, provide for the
self-sufficiency of families, and increase the economic and social stability
of neighborhoods." For the most part, neighborhoods have ignored the
language of "particularly lower income residents" and that's what were
calling attention to and demanding change.

Gregory Luce
Project 504/Phillips


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