WASHINGTON- U.S. Senator Jack Reed (D-RI) expressed outrage today at the Administrations continued insistence on eliminating the successful Community Development Block Grant (CDBG) program as part of a plan to consolidate several economic and community development programs. The Bush Administration has proposed cutting CDBG funding and transferring the program to the Department of Commerce, which has limited experience in community development, housing and supportive services. The Administration is abandoning local communities in Rhode Island and across the country, Reed, the ranking member of the Senate Housing Subcommittee, stated. Community Development Block Grants have been overwhelmingly successful in revitalizing neighborhoods and spurring economic development. I cannot understand why President Bush is deserting our local communities, but I will fight to protect them. Last week Reed wrote a letter signed by 52 of his Senate colleagues to the Chairman and Ranking Member of the Senate Budget Committee urging the Committee to reject the Presidents proposals. Several projects in Rhode Island have benefited from CDBG funding including 17 Gordon Avenue in South Providence, the West Elmwood Housing Development Corporation, the North End Housing Rehabilitation program in Westerly, the East Providence Waterfront Redevelopment and Newport Heights.The 17 Gordon Avenue project rehabilitated an existing, vacant and deteriorating industrial building in South Providence. The building was renovated using environmentally-friendly "green" technology into 24,000 square feet of office/light manufacturing business use. The project was funded with approximately $250,000 CDBG funds, which also helped leverage a million dollar EDA grant. This economic development project has proven to be a catalyst in the revitalization of its South Providence Neighborhood as renewed interest in developing vacant adjacent projects is also occurring. More information on the project can be found at: http://www.17gordonavenue.com/.The West Elmwood Housing Development Corporation is a private not-for-profit community based organization that promotes the development of a healthy, sustainable community in the West End of Providence through cultivating and enabling home ownership. Using $350,000 in CDBG funds the West Elmwood Housing Development Corporation built and renovated affordable homes giving families who would otherwise be unable to achieve the American dream the chance to own their own home. More information on the project can be found at: http://www.westelmwood.org. Newport Heights received $90,000 in CDBG funding for rehabilitation of infrastructure adjacent to the Tonomy Hill, which is being redeveloped by Trinity Financial. More information on the project can be found at: http://new.cityofnewport.com/dept/plan/grant/cdbgactivities.html.Westerly used $115,000 of the $255,500 in CDBG funding the town received in fiscal year 2004 for the North End Housing Rehabilitation project. The funds were awarded to rehabilitate residential homes in the predominately low- and moderate- income North End neighborhood. The project was done in conjunction of Rhode Island Housing to develop affordable housing in Westerly. The East Providence waterfront redevelopment of the former Ocean State Steel Manufacturing Company also received almost $4 million in Community Development funds that the President is threatening to eliminate. East Providence is revitalizing a 27-acre brownfield site by demolishing the former steel mill, remediating brownfield contamination and constructing townhouse and condominium units and retail and office space.In 2004, the CDBG program marked its 30th Anniversary. One of the most effective Federal domestic programs to revitalize neighborhoods, CDBG provides vital funding to more than 1,000 communities and all 50 states to spur economic development, to provide affordable housing needs and to undertake other community development activities that benefit low and moderate-income individuals. For fiscal year 2005 Rhode Island will receive $19,164,880, including $1.1 million or Cranston, $1.5 million for Woonsocket $2.3 million for Pawtucket and $6.4 million for Providence. East Providence will receive $889,000 Warwick will get and $979,000.