October 7 , 2004

On behalf of Governor Jennifer M. Granholm, officials from the Michigan State Housing Development Authority (MSHDA) joined state and local leaders today to present a $100,000 grant to the City of Saginaw as part of the state’s Cool Cities pilot program. Saginaw’s redevelopment project is one of 20 recently chosen to receive funding. The program, designed to foster the development of vibrant, attractive cities and urban centers, is part of the Governor’s overall economic development strategy for Michigan.

“Our state’s greatest economic successes have often gone hand-in-hand with the creative and productive power of our cities,” Granholm said. “Although government cannot create cool, these grants will bolster local efforts to create more inviting downtown centers that will attract investment and job creation.”

The catalyst grant will be used to redevelop two currently vacant buildings into first-floor commercial and second-floor residential uses. The two buildings are the former Aubry Cleaners building and the Federal Avenue Building.

“The Cool Cities initiative has made me look at the River Corridor in a new light,” said Economic Development Specialist Tom Miller. “I buy my produce at the farmer's market, I walk to Wally's Old Fashioned Sandwich Shop for lunch, on Saturday nights my friends and I head to old town to mingle with all the SVSU students and other recent college grads. Is Saginaw Cool? If you have to ask, you're just not trying.”

Additional projects designated to receive Cool Cities funding are in Alpena, Bay City, Detroit, Ferndale, Flint, Grand Rapids, Jackson, Kalamazoo, Marquette, Portland, Port Huron, Saugatuck, Sault Ste. Marie, Traverse City, Warren, and Ypsilanti. Detailed information about each project is available at www.coolcities.com.

Each grant recipient will receive a catalyst grant of up to $100,000, as well as access to a resource toolbox that includes access to more than 75 of the state’s community improvement grants, loans and assistance programs. These resources and the catalyst grants leverage millions of existing dollars that can now be strategically directed to revitalization projects that offer the best opportunity for success.

" Selecting the final 20 projects was difficult because there were so many high-quality applications submitted,” said David Hollister, director of the Department of Labor and Economic Growth (DLEG). “The reaction to the program has been extremely positive and we hope to continue the momentum to help more Michigan communities in their quest for cool.”

One hundred and fifty-one project applications from 112 Michigan cities were submitted for the pilot program. A multi-agency team reviewed each project, looking for those that demonstrated close partnerships with existing community organizations and the private sector and offered plans for creating large-scale neighborhood or community improvement.

Teams associated with projects not designated as part of this pilot program are eligible to attend an educational and training session in Lansing in August. They will meet with representatives from the DLEG, the Michigan State Housing Development Authority (MSHDA), and the 14 participating state departments to discuss how they can improve their applications for the next round of grants and determine what other resources might be available to them.

“The Cool Cities initiative is an excellent example of what can happen when state agencies and local governments and development organizations cooperate,” said Acting Executive Director Rick L. Laber. “We are pleased to be among the many organizations contributing toward the success of this innovative program.”

The Michigan State Housing Development Authority is a quasi-state agency that provides financial and technical assistance through public and private partnerships to create and preserve decent, affordable housing for low- and moderate-income Michigan residents. The Authority's loans and operating expenses are financed through the sale of tax-exempt and taxable bonds and notes to private investors, not from state tax revenues. For more information on MSHDA initiatives and programs, visit the Web site at www.michigan.gov/mshda.

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