included urban, rural, black, white, Hispanic, and Native American organizations.

In 1979 the Foundation joined with several corporations to establish the Local Initiatives Support Corporation (lisc) to support a "second generation" of cdcs. Recognizing the rapid formation of literally hundreds of newer and less sophisticated community organizations, lisc decided to help groups in their early years move to a more sophisticated stage of development by giving them technical assistance, seed money for projects, and administrative support. lisc was launched in 1979 with a $4.75 million Foundation grant, matched by corporate donors. Since its inception, lisc has generated more than $100 million from foundations, corporations, insurance companies, banks, and other lenders. The funds have been used for neighborhood revitalization and housing development in disadvantaged communities.

Parallel to the Foundation's cdc program were two other initiatives intended to address housing problems in declining communities—the Neighborhood Housing Services (nhs) program and Tenant Management Corporations (tmcs). nhs aimed both to stimulate reinvestment in neighborhoods that banks had "red-lined," that is, marked as too risky for loans or other investment, and to promote a systematic enforcement of building codes. In 1972 the Foundation granted funds to the parent Neighborhood Housing Services for replication in five other cities. By 1980 the federal government's Neighborhood Reinvestment Corporation had endorsed the nhs model and begun to provide direct federal support to introduce it in various communities.

Tenant Management Corporations (tmcs) were first supported in 1972 through a grant to the Tenant Affairs Board in St. Louis, Missouri. By putting tenants in charge of managing their own housing projects, tmcs expected to improve the operations of public housing and to prevent them from becoming high-rise slums, as happened in the Pruitt-Igoe project in St. Louis. Between 1972 and 1979 the Foundation granted $1.7 million for Tenant Management Corporations. Encouraged by this experience, hud and the Foundation later embarked on a national demonstration in six cities, under the direction of the Manpower Demonstration Research Corporation.