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The Honolulu Advertiser
Posted on: Wednesday, May 7, 2003

City spends HUD money by deadline

By Treena Shapiro
Advertiser City Hall Writer

The city successfully spent $4 million in federal money, two days before the May 2 deadline to spend it or return it to the U.S. Department of Housing and Urban Development.

Some members of the City Council had feared that the city would lose part of its $13 million in community block development grants from HUD because some organizations that had been awarded the grants were unable to spend the money by the deadline.

However, spokeswoman Carol Costa said the city was able to find a use for all the grant money, which is awarded to agencies that can revitalize low- to moderate-income communities. The grants can be used for programs that expand affordable housing or economic opportunities, or those that improve facilities and services.

In addition to grants awarded to nonprofit agencies, some of the city's $13 million allocation will be used for projects required by the Americans with Disabilities Act.