October 7, 1974

Marion Delany
3779 Mission Street
San Francisco, California 94110

Dear Mr. Delany:

The President has asked us to answer your letter of August 18 describing
a proposed health center for arthritis patients. The Division of
Regional Medical Programs, Health Resources Administration, is presently
conducting a national arthritis program to expand the delivery of high
quality arthritis care. The program hag been funded for one year,
however, and will end next June.

Your letter suggests that your project relates to devolopment of a
profit making facility. We are not aware of any Public Health Service
(PHS) agency which grants funds for such purposes. PHS grant support
is provided to licensed and accreditéd nonprofit institutions for
activities approved by local health planning agencies.

Site and facility support such as you are seeking should be sought
through local financial institutions. It may be helfful to obtain
guidance through the Conmerce Department and the Small Business
Administration. The California offices of these agencies are located
at the Regional Office Federal Building, 450 Golden Gate Avenue,

San Francisco, California 94102 (Telephone: 415/556~7234) .

We appreciate your concern for the needs of arthritis patients.

Singérely yours,
Ue

A Si gethl —~

\ Herbert B. Pahl, Ph.D.
\ “ Reting Director
Division of Regional Medical Programs