Federal Housing Administration

“ In some communities, decent, safe and sanitary housing is nearly impossible to find within the economic means of those being displaced. Therefore, the Federal-Aid Highway Act of 1970 authorized, as part of the cost of highway construction, the inclusion of the construction of existing housing to serve as replacement housing. Through this “last resort housing,” the highway agency could release a tied-up project by rehabilitating or constructing homes or apartments for the displaced persons. Thus, no person would be required to move from his dwelling unless replacement housing was available. ”

“ Accordingly, it is the policy of my Administration that the Federal Government shall work with communities to end housing discrimination, to provide redress to those who have experienced housing discrimination, to eliminate racial bias and other forms of discrimination in all stages of home-buying and renting, to lift barriers that restrict housing and neighborhood choice, to promote diverse and inclusive communities, to ensure sufficient physically accessible housing, and to secure equal access to housing opportunity for all. ”

“ Homelessness is not a short-term emergency. It demands longer term, broader solutions-an array of services to meet the different needs of people who find themselves on the streets. Toward this end, my Administration is proposing a new rent structure for publicly assisted housing, and we are expanding on innovative ways to create a new partnership between cities and the Federal Government to provide those in need with critical social services and permanent housing. ”

“ I have been disappointed, maybe I am wrong, and I will ask you and I will make it clear that this is not conclusive, but the people who work for me have told me that in the rural area, the 515 housing program which is the assisted housing that, frankly, neither one of you has done as much there as it seems to me should be done, like almost nothing. And we are running into an increasing problem here in rural subsidized housing, we have got rural housing that was built under Federal loans, assisted housing, it is going to expire and we are going to lose a lot of housing. ”

“ The word 'dwelling' in common parlance means a permanent residence. A person can of course take up permanent residence even in a motel or hotel. But those who come for a night or so have not chosen it as a settled abode. Yet the idea of permanency pervades the concept of 'dwelling.' That was the construction given to § 608 by FHA in 1947 when it issued its book Planning Rental Housing Projects. 'Housing' was there interpreted to mean 'dwelling quarters for families-quarters which offer complete facilities for family life.' There again the quality of permanency is implicit. ”

“ The purpose of the Act, its administrative construction, and the meaning which a later Congress ascribed to it all point to the conclusion that the housing business to be benefited by FHA insurance did not include rental to transients.
If the question be less clear and free from doubt than we think, it is still one that lies in the periphery where vested rights do not attach. ”

“ I am familiar, of course, with the program that the Federal Home Loan Banks have and that we oversee at the Federal Housing Finance Board. I am less familiar, of course, with the housing goal scenario that is appropriate to Fannie and Freddie. But it is certainly an issue that I think Congress should look at, whether or not a separate model is still appropriate. But again——
Ms. WATERS. What do you think?
Mr. KORSMO.——in my role as regulator, it is difficult for me to make an assessment because I am not that familiar with how the housing goals operate. ”

“ The housing credit is now perhaps the most important Federal incentive for the development of rental housing for low-income people. And it is truly impossible to imagine such success without Fannie Mae and Freddie Mac's early and sustained participation.
On the third issue: In 1992, the GSE legislation requires the GSEs to dedicate substantial portions of their business to serving low-income people and communities. The Administration has proposed expanding HUD's ability to establish and enforce the GSE affordable housing goals. ”

“ Our administration is already encouraging certain low-income public housing residents to own and manage their own dwellings. It's time that all public housing residents have that opportunity of ownership.
The Federal Government can help create a new atmosphere of freedom. But States and localities, many of which enjoy surpluses from the recovery, must not permit their tax and regulatory policies to stand as barriers to growth. ”

“ It is true that FHA felt it had the authority to approve rental schedules for transients. It gave such approval in a dozen or more instances where it felt the public interest required it. We need not stop to inquire whether FHA had that authority. [5] We have said enough to indicate that no right or privilege to rent to transients is expressly included in the Act nor fairly implied. The contemporaneous construction of the Act by the agency entrusted with its administration is squarely to the contrary. ”

“ In the administration of any Federal low-rent-housing project pending sale or lease, the Authority shall fix the rentals at the amounts necessary to pay all management, operation, and maintenance costs, together with payments, if any, in lieu of taxes, plus such additional amounts as the Authority shall determine are consistent with maintaining the low-rent character of such project. ”

“ Replacement housing payments to owners averaged, nationally, $4,755 and to tenants $1,137. The moving cost payments and replacement housing payments were supplementary to the payments made for the property taken under the “fair market value” concept and represent the expanding concept of preventing, to the extent possible, hardships upon the individuals who are relocated because of the construction of a highway. ”

“ We agree with Chairman Baker and other members of the committee that HUD should retain this responsibility. We are not aware of any evidence that HUD has failed to exercise approval authority appropriately. We see no advantage to shifting approval authority to a new safety and soundness regulator.
After all, HUD is the only federal agency with expertise in housing finance and a mission to advance affordable housing and only HUD has the benefit of more than a decade of experience evaluating new GSE housing programs. ”

“ Now, the council, and I personally I must say, intend in no way to criticize, and it hasn't happened here today, the dedicated personnel at OFHEO or the Federal Housing Finance Board.
I find them to be professional, ethical, dedicated, knowledgeable individuals. They have not had the statutory authority to do their jobs. The Housing Policy Council and the Roundtable believes that under these new proposals they will have an opportunity to do a world-class job. ”

“ The Congress set up the United States Housing Authority to help finance large-scale slum clearance and provide low rent housing for the low income groups in our cities. And by improving the Federal Housing Act, the Congress made it easier for private capital to build modest homes and low rental dwellings. ”

“ The cost of moving personal property, locating substitute housing, making adjustments to new quarters, utility deposits and fees, damages to property moved, higher rental payments, etc., were not a part of fair market value and often worked an extreme hardship on those whose property was being acquired or who were forced to move from rental premises. ”

“ HUD's expertise in this area is critical. Under the Administration's proposal the Department would receive additional powers to enforce compliance with the housing goals.
There is a broad agreement that the current regulatory structure for the GSEs is not operating as effectively as it should. The Office of Federal Housing Enterprise Oversight is underfunded, understaffed and unable to fully oversee the operations of these sophisticated enterprises. ”

“ Of the total number of people displaced in fiscal year 1975, 44 percent were owners and 56 percent were tenants. Of the 21,162 people displaced, 24 percent were minorities. About 70 percent of the residential units acquired represented housing over $6,000 in value or renting for over $60 per month.
The motorist’s viewpoint was one of the design factors in the planning and construction of Junipero Serra Freeway in San Bruno, California. A long range landscaping program was carefully planned for the entire route. ”

“ The Fair Housing Act Amendments of 1980 passed the House of Representatives by an overwhelming bipartisan majority only to die in the Senate at the close of the 96th Congress. The leaders of both parties have pledged to make the enactment of fair housing legislation a top priority of the incoming Congress. The need is pressing and a strengthened federal enforcement effort must be the primary method of resolution. ”

“ The purposes of this title are— (1) to encourage State and local governments to further identify and remove regulatory barriers to affordable housing (including barriers that are excessive, unnecessary, duplicative, or exclusionary) that significantly increase housing costs and limit the supply of affordable housing; and (2) to strengthen the connection between Federal housing assistance and State and local efforts to identify and eliminate regulatory barriers. Sec. 1203. Definition of Regulatory Barriers to Affordable Housing. ”

“ To establish a national housing objective and the policy to be followed in the attainment thereof, to provide Federal aid to assist slum-clearance projects and low-rent public housing projects initiated by local agencies, to provide for financial assistance
by the Secretary of Agriculture for farm housing, and for other purposes.
Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, SECTION 1. SHORT TITLE. This Act may be cited as the ``Housing Act of 1949 ́ ́. ”

“ In order to encourage the conclusion of common agreements and to prevent abuses in the field of rents and housing, the Confederation shall be empowered to decree provisions having generally binding effect with regard to certain obligations in basic contracts and other measures commonly agreed between lessors and lessees, or organizations representing similar interests. ”

“ Access to quality housing is about more than having a roof over your head—it is the foundation for achieving better educational, employment, and health outcomes, as well as one of the most important ways that families build wealth that they can pass along across the generations. The Fair Housing Act was created at a time when Federal and State policies held that dream at arm’s length from far too many Black, Brown, Native, and Asian American families through the insidious practices of redlining and lending discrimination. ”

“ But we urge Congress and HUD not to proceed with any affordable housing goal revisions without seeking the advice and assistance of a wide range of housing organizations, as it always has in the past. ”

“ Several of those affiliates are now at various stages in creating community housing development organizations, the next step in solving housing problems for low-income and African-American households in their cities. ”

“ Any contract for loans, annual contributions, capital grants, sale, or lease pursuant to this Act shall contain a provision requiring that the wages or fees prevailing in the locality, as determined or adopted (subsequent to a determination under applicable State or local law) by the Authority, shall be paid to all architects, technical engineers, draftsmen, technicians, laborers, and mechanics employed in the development or administration of the low-rent housing or slum-clearance project involved ”

“ So that is what we, many of us on our side, will be trying to do as we proceed, to make sure that whatever the final arrangements are, the housing function is not only protected, but enhanced, and that both the ability and the obligation of these two entities to help us with affordable housing is strengthened. ”

“ The problem of providing low-cost housing for our wage-earners, particularly in urban areas, continues to be a major concern of this Administration. The Home Financing Commission, the People’s Homesite and Housing Corporation and the National Urban Planning Commission should coordinate their efforts behind a bold long-range housing program for the masses. We must encourage the participation of private enterprise in this essential program. The Social Security System should embark on a low cost housing project for the benefit of its members. ”