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093916 1 (1973-02-02)

handle is hein.gao/gaobacxie0001 and id is 1 raw text is: UNITED STATES GENERAL ACCOUNTING OFFICE lcou WASHINGTON, D.C. 20548 RESOURCES AND ECONOM4 IC FEB8a o DEVELOPMENT DIVISION lIllIilIllll111IlII llf lif ~I I llllh l II! LM093916 Dear Mr. Hyde: The General Accounting Office has examined into certain aspects of the Neighborhood Development Program (NDP) administered by the Depart- ment of Housing and Urban Development (HUD). Our review was primarily directed at ascertaining whether the designated NDP areas would be renewed more rapidly than under conventional urban renewal--an important objective of NDP. Our review included NDPs in nine cities located in two HUD regions. According to HUD, the elimination of the problems experienced with planner's blight in the regular urban renewal program was one signifi- cant advantage to be gained under NDP. In this connection, during the 1972 HUD Appropriation Hearings, Part II, House of Representatives, the HUD Under Secretary said that one of the significant objectives of NDP is to avoid planner's blight. He said: That is a significant objective. It is to avoid what has come to be known as 'planner's blight', where a very large project area is identified with the expectation that it will receive renewal treatment over a period of 7 or 8 years. As a consequence of its having been identified for renewal treat- ment, the existing businesses and homeowners and apartment owners simply give up on maintenance and repairs and let the property run down, with the result that frequently more renewal is required than would have been required if you proceeded in bite-sized chunks that could be accomplished within a shorter period. Planner's blight, which was described by HUD as the dead hand of urban renewal, may result in the need for substantially increased renewal assistance in an area which at the outset was considered to need only minimal assistance. Buildings originally susceptible to rehabilitation may later require clearance. In our opinion, the prospect for early renewal of designated NDP areas in six of the nine cities included in our review is doubtful, pri- marily because (1) the designated NDP areas were too large and the activities too complex to afford rapid renewal, and (2) shortages of local

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