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DENVER—The U.S. Department of Housing and Urban Development is awarding $2.5 million in Indian Housing Block Grant allocations to two tribes in Colorado for work on affordable housing.

The Southern Ute Housing Authority in Ignacio will receive about $1.16 million and the Ute Mountain Housing Authority in Towaoc will receive about $1.3 million.

The money announced Wednesday is part of about $404 million the department is allocating to nearly 300 tribes in 27 states.

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