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wlm4 at cornell.edu (Will
04-21-1995, 10:53 AM
The Institute for Community Economics (ICE) has developed five principles that the federal government should use to determine funding of community development. ICE stresses that federal funding should recognize, foster and support the diversity of emerging and established groups which demonstrated abilities to implement or support effective programs at the community level.

I. Empower Local Communities.
Federal funding should further the key premise of community-based development - empowering low-income individuals and the organizations that represent and assist them - by supporting diverse community-based development strategies and organizations in a balanced way at the local, state, regional, and national levels.

2. Build Strong Local Organizations.
Federal funding should provide support directly to local community-based organizations to build their capacity and reduce their dependence on other institutions, as well as to intermediaries and technical assistance providers that work with local community-based organizations. It should permit and encourage local community-based organizations to choose among competent technical and financial assistance providers on the basis of their own needs and preferences, to negotiate independently with the private sector for financing and to control their own financial futures.

3. Maximum Impact.
Established community-based development organizations, intermediaries, and technical assistance providers are limited by inadequate funding and new and emerging ones face even scarcer resources. Utilizing and building the capacity of the diverse network of experienced and emerging community-based development support organizations with track records in Their areas of expertise and accountability to the communities where they work will maximize the impact of federal funding.

4. Diversity.
Federal funding should encourage and support a broad definition of community-based development including:

* affordable housing
* business development, retention, and expansion
* economic development
* non-profit service delivery (including child care, and social and health services)
* employment, including job development and training
* community planning
* community organizing, advocacy, coalition building, and constituency building
* leadership identification and development
* staff development and training
* organizational development, management, and planning
* financial services to low-income people

Federal funding should assist a diversity of approaches for meeting needs particular to community economic, social, physical, and other factors, including rural areas, women, ethnic minorities, racial minorities, special needs populations, and others.

5. Open Funding Process.
Federal funding should be open to all organizations capable of meeting relevant and reasonable performance and leveraging criteria. As a rule, no more than 20 percent of funding under any one program should go to any one organization.

Discretionary funding for special demonstration projects can be useful in the short term to address unmet needs and foster innovative initiatives so long as eligibility criteria, application procedures, and other aspects are consistent with these overall principles.



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