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122869 1 (1983-10-31)

handle is hein.gao/gaobacxvx0001 and id is 1 raw text is: UNITED STATES GENERAL ACCOUNTING OFFICE REGIONAL OFFICE SUITE 300-0, 2420 W. 26TH AVENUE DENVER, COLORADO 80211 OCTOBER 31, 1983 The Honorable Scott M. Matheson Office of the Governor State of Utah Salt Lake City, Utah 84114 122869 Dear Governor Matheson: Subject: Utah's Early Implementation of the Small Cities Community Development Block Grant Program Enclosed is our final report which describes Utah's deci- sionmaking process in implementing the Small Cities Community Development Block Grant Program as authorized by the Omnibus Budget Reconciliation Act of 1981. It also provides a comparison of 1982 State-funded activities and populations targeted with those of the Department of Housing and Urban Development (HUD) in 1981 and provides local communities' and others' perceptions of the success of Utah's program. Utah was one of seven States we visited to provide the Congress with up-to-date information on States' progress in implementing their Small Cities Program. We previously sent you a copy of our overall report to the Congress, States Are Making Good Progress in Implementing the Small Cities Community Development Block Grant Program (GAO/RCED-83-186, Sept. 8, 1983), which incorporated the results of our work in seven States. The enclosed report details the results of our review in Utah. Essentially, we found that HUD and Utah clearly differed in the types of projects they funded. HUD favored larger projects that emphasized economic development aimed at neighborhood revitalization and housing rehabilitation where benefits were clearly targeted to low- and moderate-income persons. Utah favored small public facility projects, such as improving fire- fighting facilities, which benefited the community as a whole. On the basis of project application data, the expected percentage of beneficiaries who were low- and moderate-income persons declined 12 percentage points (from 71 to 59) when compared with HUD's previous program. This decrease may be due to the shift in the types of projects funded under each program. Although public facility projects may also serve high percentages of low- and moderate-income persons, these projects are more difficult to target because they often provide area-wide benefits. (See enc. III.) (384807)

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