Vol. 6 Issue No. 48 • December 7, 2001
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by Sheila Crowley, President
POINT OF VIEW
NATIONAL LOW INCOME
HOUSING COALITION / LIHIS
MEMO MEMBERS
The Weekly Newsletter of the National Low Income Housing Coalition
TO
(See Point of View on p. 5)
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1012 Fourteenth Street, NW, Suite 610 • Washington, DC 20005 • Tel: 202/662-1530 • fax: 202/393-1973 • e-mail: memo@nlihc.org • http://www.nlihc.org
Capitol Hill
(See HUD on p. 5)
HUD
(See Capitol Hill on p. 2)
OTAG and ITAG Funding Remains in Jeopardy
The Senate's Department of Defense FY02 appropriations bill became the unlikely
vehicle for the funding to restart the OTAG and ITAG grant programs.
OTAG (Outreach and Training Assistance Grant) and ITAG (Intermediary Technical
Assistance Grant) funds support the work of about 40 non-profits and
tenant groups in project-based Section 8 properties that are at risk of discontinuing
their project-based subsidies or are going through the Mark-to-Market process.
As reported previously in Memo, due to funding errors by the Office of
Multifamily Housing Assistance Restructuring (OMHAR), these funds have been
frozen retroactively, forcing recipients to scale back or discontinue their work
and lay off staff.
The provision in the DOD appropriations bill would provide a total of $20 million,
$2 million of which would come from the salaries of the Office of the General
Counsel (OGC) and the Office of Multifamily Assistance Restructuring, in recognition
of their compliance responsibilities. Of the $20 million, up to $10 million can
be used for new technical assistance obligations; the remainder would be used to
cover past OTAG and ITAG obligations and to fund audits by the Inspector
General of technical assistance obligated under the program over the past four
years. If audits reveal improper use of the funds, those funds will be recaptured
and the organization would be prohibited from receiving funds for four years.
The conference report states, but does not specify, concerns about the way the
recipients may have used the technical assistance funds - although attention
was brought to this funding originally only because of a technical breach of the
Attorney Gets Key Job in Fair Housing Office
With no public announcement, Washington lawyer Kenneth L. Marcus has been
appointed General Deputy Assistant Secretary of HUD for Fair Housing and
Equal Opportunity. The top job in the Fair Housing and Equal Opportunity office,
Assistant Secretary, remains unfilled.
Mr. Marcus, who was with the firm of Cooper, Carvin & Rosenthal (since renamed
Cooper & Kirk), along with the Washington-based Center for Individual Rights
made headlines when they successfully sued HUD officials for investigating
Berkeley, CA, residents, beginning late in 1993. The three residents had opposed
conversion of a motel in their neighborhood to housing for homeless people.
After an advocate for the conversion complained to HUD about the opponents'
tactics, HUD investigated whether the opponents had violated the Fair Housing
Act. A flurry of litigation ensued, concluding with a federal appeals court deci-
I
once did an internship at the Virginia
Commission on Children And Youth,
an agency of the state government
created to study and advocate for the
needs of Virginia's children. I was assigned
to serve as staff to the "Virginia
School Age Parent Committee." Anxious
to be considered a competent addition to
the work of the agency, I was chagrined
that I did not know what the School Age
Parent Committee did. A literal interpretation
seemed to be that it studied the problems
of parents whose children were in
school, but that was nebulous and overly
broad. So I had to ask my supervisor just
what the subject matter of the committee's
work was.
It turned out that "school age parents"
was the latest euphemism for unwed mothers,
a term that had fallen out of favor as
too pejorative. Never mind that some unwed
mothers were older than school age
or that some parents who were still in
school were married. It had been determined
that the committee's proposals
would be more palatable to the legislature
and the public at large with a cosmetic
makeover of its name. It was not a term
that caught on, mostly because it was so
vague as to not have any meaning at all.
I am reminded of this experience when low
income housing advocates and providers
debate about what we should call the
housing we work on. "Low income" has
been rejected in favor of affordable. But
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Trust Fund Update
Capitol Hill
(cont'd from p. 1)
Another Senator Signs On
Senator Tim Johnson (D-SD) this week became the19th
co-sponsor of S. 1248, the Trust Fund legislation in
the Senate. In the House, Representatives Nick Rahall
(D-WV) and Joe Baca (D-CA) signed on to H.R. 2349,
bringing the total number of co-sponsors to 120 from
31 states.
On the endorsement front, the United Way of America
has joined the Campaign and will work to solicit endorsements
from its members around the country. And
thanks to a field push by the National Association of
Community Action Agencies and several other groups,
the number of endorsements jumped by more than 100
this week to pass 1,700!
If your Senators or Representative have not yet signed
on, now is an ideal time to schedule in-district meetings
with them or their staff. Call their local offices to
see when they are expected to be in your area, then fax
your request for a meeting to the office.
Please continue to check the Campaign's website at
www.nhtf.org for Campaign news and current lists of
endorsers and cosponsors.
Anti-Deficiency Act on the part of OMHAR and the
subsequent freeze on funding, rather than any concerns
about the use of the funds by the nonprofits
and tenant organizations.
It appears that the corrective language for OTAGs and
ITAGs, because it is part of technical corrections in
the DOD appropriations bill, will survive the larger
battle over the Democrats' attempts to include the
"homeland security" spending package in the same
bill. If not, advocates and others seeking to solve this
crisis will likely look again at the Labor-HHS appropriations
bill, as that bill includes the reauthorization
of OMHAR and the Mark-to-Market program.
The effort in the House to provide this funding generally
was given a boost by a letter from six senior members
of the Housing Financial Services Committee to
the Chairman and Ranking Member of the Appropriations
Committee. Urging that the money HUD owes
the grant recipients be paid promptly and pledging to
pursue the investigation, the Representatives said that
"these innocents should not be punished for bureaucratic
problems not of their making." Those signing
the letter were Committee Chairman Michael G. Oxley
(R-OH) and Representatives John J. LaFalce (D-NY),
Marge Roukema (R-NJ), Barney Frank (D-MA), Sue
W. Kelley (R-NY), and Luis V. Gutierrez (D-IL).
HUD Inspector General-Designate
Appears Before Senate Committee
On December 6, the nominee for the currently unfilled
post of Inspector General at the HUD appeared before
the Senate Committee on Banking, Housing, and
Urban Affairs. Kenneth Donohue, a security expert
who has served both the public and private sectors in
law enforcement and investigation for over 30 years,
pledged to members of the committee that if confirmed,
he would investigate waste, fraud, and abuse aggres-
sively.
The committee chair, Sen. Paul Sarbanes (D-MD), concurred
that an aggressive approach would be crucial
to recover and maintain the integrity of both HUD
and the Office of the Inspector General. The General
Accounting Office has designated HUD as a "high-
risk" department, with management and systems problems
that hamper detection and prevention of waste,
fraud, and abuse.
IG designee Donohue maintained that his dedication
and experience, along with his close relationships with
several of the other current Inspector Generals, would
help him to achieve visible and measurable results
that make the best possible use of taxpayer dollars.
Members of the committee expressed their confidence
in Donohue's capacity to command what would be a
very difficult but long-overdue process of reform in
the IG's office and at HUD overall. The committee
scheduled a vote on the nomination for Tuesday,
December 11.
Martinez to Testify
HUD Secretary Mel Martinez is the only scheduled
witness at a Senate Banking, Housing, and Urban
Affairs Committee hearing on "Housing and Community
Development Needs in America" at 10 a.m. Thurs-
day, December 13, in Room 538 of the Dirksen Senate
Office Building.
Save the Date!
The National Low Income Housing Coalition's annual
Housing Policy Conference will be held on Monday,
April 29, 2002, at the Loews L'Enfant Plaza Hotel in
Washington, DC. Lobby Day and the 2002 Leadership
Reception are scheduled for Tuesday, April 30.
Mark your calendars now!
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Update from the Field
Santa Clara County Housing Trust
Makes a Difference in Silicon Valley
The Housing Trust of Santa Clara County, CA, held a
briefing last month to announce the significant impact
it has already had on the affordable housing crisis in
Silicon Valley. In just 120 days of existence this innovative
fund already has assisted more than 50 projects.
The Housing Trust of Santa Clara County seeks to
help more than 5,000 low and moderate income individuals
and families in the Silicon Valley area. This
region faces one of the nation's most severe affordable
housing shortages. According to Out of Reach
2001 , Santa Clara County was the fourth least affordable
county in America, with a housing wage of $30.62
for a two-bedroom apartment at Fair Market Rent.
The Housing Trust of Santa Clara County was founded
in 1997 by the Santa Clara County Collaborative on
Housing and Homelessness, the Community Foundation
Silicon Valley, and the Silicon Valley Manufacturing
Group, which represents 190 high-tech employers
and 275,000 jobs. This unique partnership of local government,
philanthropic organizations, and corporate
groups has raised more than $20 million for the Housing
Trust in the past two years.
More than two-thirds of the Housing Trust'sfunds
came from the private sector. Adobe, AMD, Applied
Materials, Cisco Systems, Hewlett-Packard, and Knight
Ridder/San Jose Mercury News each donated $1 million.
Hundreds of individuals made contributions as
well, some as small as $10. The county government
and the cities in Santa Clara also contributed to the
fund.
Tony Ridder, Chairman and CEO of the Knight Ridder
newspaper publishing company and Co-Chair of the
Housing Trust said, "Employers all over the Valley will
tell you that keeping quality employees is critical to
maintaining their economic edge, but the lack of affordable
housing nearly always results in recruitment
and retention issues."
The Housing Trust has a three-tiered approach to relieving
the affordable crisis. Trust fund dollars provide
gap financing to affordable housing developers
so they can undertake multifamily rental projects. At
least 25% of the units in these developments must be
affordable to those earning less than 50% of the area
median income. The Housing Trust makes loans to
first time homebuyers, helping them make down payments
and cover closing costs. It also supports homeless
shelters, transitional homes, and other providers
of immediate housing assistance.
In its first 120 days the Housing Trust has made more
than 45 loans to first time homebuyers. These loans
helped leverage almost $15 million in new home sales.
The Housing Trust also loaned $1.78 million as gap
financing for developers, which will leverage $127.3
million and build 513 affordable homes. And another
$1.1 million has gone toward developing 217 units for
the homeless.
"Dozens of Silicon Valley families will be in their own
homes for the holidays, thanks to the many contributions
to the Housing Trust," said Carl Guardino, President
and CEO of the Silicon Valley Manufacturing
Group. "Next steps including building more affordable
home communities with Housing Trust loans, and
then to get several hundred more families into those
homes in 2002."
Chris Block, Executive Director of the Housing Trust,
said, "As a result of the incredible support of the community,
the Housing Trust has been able to make a
significant impact on the affordable housing crisis in
its first 120 days."
For more information, contact Chris Block at the Housing
Trust offices in San Jose, 408-297-0222.
Fact of the Week
Homeless Women
in Los Angeles
In a survey of more than 400 female residents of
the Skid Row/Central City East area of downtown
Los Angeles, the percentage who:
Had a source of income
82.5%
Had been victims of domestic violence 58.5%
Had been victims of sexual assault 51.0%
Were victims of child abuse
35.2%
Had been affected by mental illness 40.5%
Source: Downtown Women's Needs Assessment:
Findings and Recommendations . Downtown
Women's Action Coalition, October 2001. On the
web: www.shelterpartnership.org.
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Resources
The Brookings Institution's Center on Urban and Metropolitan
Policy released a research report titled "Rewarding
Work: The Impact of the Earned Income Tax
Credit in Greater Chicago" in November. The research,
by Alan Berube and Benjamin Forman, used IRS zip
code-level data for 1998 on the total number of income
filers, the number of filers with certain tax items, and
total amounts for those items for tax year 1998. Findings
reveal that in 1998, nearly 60% of the Chicago
region's $737 million in EITC refunds (or $430 million)
was earned by families living in the city of Chicago,
which is inhabited by 33% of the region's population.
About one-quarter of all taxpayers living in the city
received an EITC in 1998.
The report also notes that if the state of Illinois transformed
the state-level EITC into a refundable tax credit,
at 20% of the federal credit, nearly $150 million would
be provided to lower-income neighborhoods throughout
the Chicago region and the burden of state income
taxes for hundreds of thousands of poor Illinois families
would be relieved. The report can be found online
at www.brookings.edu.
Partnerships Between Faith-Based
Organizations and Community
Action Agencies
The National Association of Community Action Agencies
(NACAA) released a report in November titled
"Community Action Agencies and Faith-Based Organizations:
A Legacy of Productive Partnerships." The
report reveals the results of a nationwide survey of
members of community action agencies (CAAs) on
the scope and characteristics of the CAA-FBO rela-
tionships.
Findings indicate an extensively interwoven relationship
between CAAs and FBOs, from FBO participation
on CAA boards and committees and as a source
of volunteers and funds for CAAs to CAA-FBO contract
and referral arrangements that are reciprocal. Survey
results are discussed in the broader context of the
faith-based initiative of the new Administration, where
there are potential conflicts that could jeopardize the
working relationships between the two types of organizations.
A main finding of the report is that a faith-
based initiative must create the opportunities and incentives
for CAAs and FBOs to work together, rather
than create unnecessary competition between them.
The report can be found online at www.nacaa.org.
Women's Needs Assessment
The Downtown Women's Action Coalition released a
report in October titled "Downtown Women's Needs
Assessment: Findings and Recommendations. " The
report identifies the current needs and characteristics
of women living in the Skid Row/Central City East area
of downtown Los Angeles, ascertained through interviews
with more than 400 women residents, both homeless
and housed. The goal of the project was to assist
the downtown community in designing housing and
service programs and to increase resources for
women's programs.
According to the report, the most pressing need for
women in that area is emergency housing, followed by
affordable housing and medical care. A majority of the
women interviewed (63.8%) reported that any new
emergency, transitional, or permanent housing in Los
Angeles should be located outside of downtown.
The report, which includes specific policy recommendations,
can be found online at www.shelter
partnership.org.
Give to NLIHC Online!
As the holidays get under way, please remember
NLIHC in your holiday giving. You can now make
donations online at www.giveforchange.com. Enter
"National Low Income Housing Coalition" in
the search box to bring up a link to our page. Enter
your donation amount at the bottom right. Then
confirm your donation and either log in or register
to complete the payment. Gifts to NLIHC support
our research and public education programs.
Thank you in advance for your gift!
Tell Your Friends!
NLIHC membership is the best way to stay informed
about affordable housing issues, keep in touch with
advocates around the country, and support NLIHC's
work. Membership information is available on our
website at www.nlihc.org/, or by fax, mail, or e-mail.
Just e-mail us at membership@nlihc.org or call 202-
662-1530 to request membership materials to distribute
at meetings and conferences.
EITC in Chicago
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sion in favor of the Berkeley residents who had been
investigated by HUD. The appeals court concluded
that the residents'opposition to the project was protected
by the First Amendment to the Constitution and
that the HUD officials had chilled their exercise of their
rights.
One reason the case was memorable was that the plaintiffs
sued five HUD employees, including staff investigators,
as individuals, seeking damages. After the Appeals
Court decision in 2000, the case was settled and
HUD agreed to make any payments on behalf of the
employees. Mr. Marcus reportedly will be supervising
some of the career HUD employees whom he sued.
The suit also named Elizabeth Julian, who was Assistant
Secretary before leaving Washington in 1997, in
her capacity as a HUD official. Earlier she had held the
same post that Mr. Marcus now occupies.
Money Penalties for Multifamily and
Section 8 Program Violations
Under Docket No. FR-4399-F-02, HUD has published
notice of a final rule to implement sections 561 and 562
of the Multifamily Assisted Housing Reform and
Affordability Act of 1997. These sections concern
HUD's ability to impose civil money penalties to enhance
enforcement against multifamily mortgagors and
Section 8 owners that violate program requirements.
Section 561 expands the list of parties and violations
subject to civil money penalties related to multifamily
properties. Section 562 authorizes HUD to impose civil
money penalties for violations of Section 8 project-
based housing assistance payments contracts. Of particular
interest to tenants and tenant advocates, the
notice announces clarification under the final rule that
an owner's failure to respect tenants' right to organize
is subject to the penalties. Tenants and tenant advocates
had sought such a clarification for some time.
All notices are available at www.hudclips.org.
HUD Budget Chart Is Available
A updated edition of the Coalition's HUD budget chart
for selected programs, showing final appropriations
for the current fiscal year in comparison to the two
previous years, is available on our website,
www.nlihc.org We will fax the chart to any member
who cannot download it from the site. Call 202-662-
1530, ext. 230, or send an email message to
membership@nlihc.org. Be sure to include your fax
number.
HUD
(cont'd from p. 1)
now that the public has caught on that affordable is
somehow related to low income people, we are casting
about for a new term. I have long thought that "affordable"
lacked clarity as a descriptor of housing for low
income people. Everyone, regardless of income, needs
affordable housing, that is, housing they can afford.
So the literal meaning is synonymous with all housing.
The new term that is gaining popularity is "workforce
housing," presumably as opposed to housing for nonworkers.
Except for disabled people and retired people
and the idle rich, who is not included? Workforce housing
is housing for anyone who works for a living. This
term is just as hazy as affordable and has the added
disadvantage of slipping into the old deserving-undeserving
debate.
The best way to describe anything is the most accurate
way. It may not be pithy and will not win any PR
awards, but "housing that low income people can afford"
is what we are talking about. Let's err on the side
of clarity and avoid adopting new nomenclature that
just creates more confusion. Besides, sooner or later,
whatever term we use will take on pejorative meaning,
and we will just have to reinvent ourselves again. So
we are better off simply saying what we mean in the
first place.
Point of View (cont'd from p. 1)
NLIHC Staff
Sheila Crowley, President, x 224
Derek Farias, Intern, x 317
Nancy Ferris, Communications Director, x 230
Melissa Higuchi, Membership Associate, x 227
Harry Lawson, Resident Participation Project
Manager, x 243
Chris Monroe, Intern, x 317
Khara Norris, Executive Assistant, x 224
Lily Phillip-Quashie, Intern, x 245
Irene Basloe Saraf, Legislative Director, x 242
Kim Schaffer, Field Director, x 223
Michelle Goodwin Thompson, Office Manager,
x 234
Jennifer Twombly, Research Director, x 237
Emily Williams, Intern, x 314
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Bills at a Glance
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(See Bills at a Glance on p. 7)
Affordable Housing Preservation
H.R. 425. State matching grants to preserve federally
assisted affordable housing. Introduced by Rep. Nadler
(D-NY), 3/6/01. Referred to subcommittee.
H.R. 2589. Reauthorization of the Office of Multifamily
Housing Assistance Restructuring (OMHAR). Introduced
by Rep. Roukema (R-NJ), 7/23/01. Passed the
House by voice vote and placed on Senate calendar.
H.R. 2890. Reauthorization of OMHAR. Introduced by
Rep. Roukema (R-NJ) by request, 9/14/01. Referred to
subcommittee.
H.R. 3061. Appropriations for Labor-HHS-Education,
including provisions of H.R. 2589 for OMHAR reauthorization.
Introduced by Rep. Regula (R-OH), 10/9/
01. Passed both houses and referred to conference
committee.
S. 1254. Reauthorization of OMHAR. Introduced by
Sen. Sarbanes (D-MD), 7/26/01. Passed out of committee
and placed on Senate calendar.
S. 1365. State and local matching grants to preserve
federally assisted affordable housing. Introduced by
Sen. Jeffords (R-VT), 8/3/01. Referred to committee.
S. 1457. Reauthorization of OMHAR. Introduced by
Sen. Sarbanes (D-MD) by request, 9/24/01. Referred
to committee.
Affordable Housing Production
H.R. 2349. National Affordable Housing Trust Fund.
Introduced by Reps. Sanders (I-VT), Lee (D-CA),
McHugh (R-NY), 6/27/01. Referred to subcommittee.
S. 652. Development of low income rental housing in
rural areas. Introduced by Sen. Edwards (D-NC), 3/29/
01. Referred to committee.
S. 1248. National Affordable Housing Trust Fund. Introduced
by Sen. Kerry (D-MA), 7/25/01. Referred to
committee.
Appropriations
H.R. 2620 and S. 1216. Appropriations for Departments
of Veterans Affairs and Housing and Urban Development.
Introduced by Rep. Walsh (R-NY), 7/25/01; Sen.
Mikulski (D-MD), 7/20/2001. Signed into law by the
President.
Brownfields
H.R. 2064. Brownfields redevelopment incentives. Introduced
by Rep. Quinn (R-NY), 5/5/01. Referred to
subcommittee.
H.R. 2941. The Brownfields Redevelopment Enhancement
Act. Introduced by Rep. Miller (R-CA), 9/21/01.
Referred to subcommittee.
H.R. 3170. Tax incentives for brownfields cleanup.
Introduced by Rep. Andrews (D-NJ), 10/25/01. Referred
to committee.
S. 1078 and S. 1079. Redevelopment of brownfields
sites. Introduced by Sen. Levin (D-MI), 6/21/01. Both
bills referred to committee.
Co-op Loan Benefits
S.1203. Housing loan benefits for purchase of residential
cooperative apartment units. Introduced by Sen.
Schumer (D-NY), 7/19/01. Referred to committee.
CDBG
H.R. 1191. Increased CDBG funds targeted to low-income
people and neighborhoods. Introduced by Rep.
Meek (D-FL), 3/22/01. Referred to subcommittee.
Earned Income Tax Credit
H.R. 593. Inclusion of Temporary Assistance for Needy
Families benefits in the EITC. Introduced by Rep. Mink
(D-HI), 2/13/01. Referred to committee.
H.R. 922. Expanded eligibility for EITC through lower
qualifying age. Introduced by Rep. Mink (D-HI), 3/7/
01. Referred to committee.
H.R. 1652. Disqualification of low income individuals
without children from EITC eligibility. Introduced by
Rep. Collins (R-GA), 5/1/01. Referred to committee.
S. 8. Increased Earned Income Tax Credit (EITC) and
minimum wage. Introduced by Sen. Daschle (D-SD), 1/
22/01. Referred to committee.
S. 1641. To improve efficiency of EITC application process.
Introduced by Sen. Sessions (R-AL), 11/6/01.
Referred to committee.
Empowerment and Enterprise Communities
H.R. 2637. Correction of inequities in second round of
empowerment zones and enterprise communities. Introduced
by Rep. LoBiondo (R-NJ), 7/25/01. Referred
to subcommittee.
Federal Housing Enterprises Oversight
H.R. 1409. Comprehensive overhaul of Fannie Mae and
Freddie Mac, with transfer of oversight to Federal Reserve
Board. Introduced by Rep. Baker (R-LA), 4/4/01.
Subcommittee hearings held.
FHA-Insured Hospitals
H.R. 2395 and S. 1128. Grants from FHA surplus to
prevent default and fund conversion of FHA-insured
hospitals. Introduced by Rep. LaFalce (D-NY), 6/28/
01; Sen. Clinton (D-NY), 6/28/01. Referred to subcommittee
(H.R. 2395); referred to committee (S. 1128).
FHA Surplus
H.R. 1481. Use of FHA surplus to prevent suspension
of FHA insurance programs. Introduced by Rep.
LaFalce (D-NY), 4/4/2001. Referred to subcommittee.
S. 607. Rebates of FHA mortgage insurance premiums
with FHA surplus above 3% capital ratio. Introduced
by Sen. Allard (R-CO), 3/23/01. Referred to committee.
Home-Buying Initiatives
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Bills at a Glance
(cont'd from p. 6)
(See Bills at a Glance on p. 8)
H.R. 858. Simplified down payment requirements on
FHA insurance for single-family homebuyers. Introduced
by Rep. LaFalce (D-NY), 3/5/01. Referred to sub-
committee.
H.R. 859. Reduced down payments for first-time
homebuyers purchasing FHA insured homes. Introduced
by Rep. LaFalce (D-NY), 3/5/01. Referred to sub-
committee.
H.R. 1221. Expanded eligibility for HUD's Officer Next
Door and Teacher Next Door initiatives. Introduced by
Rep. Baca (D-CA), 3/27/01. Referred to subcommittee.
H.R. 1773. Tax credit of 10 percent (limited to $6,500)
for first-time homebuyers. Introduced by Rep. English
(R-PA), 5/9/01. Referred to committee.
H.R. 2022. Allows first-time homebuyers to borrow from
individual retirement accounts. Introduced by Rep.
LaFalce (D-NY), 5/25/01. Referred to committee.
H.R. 2033. Promotion of low income home ownership.
Introduced by Rep. Roybal-Allard (D-CA), 5/25/01.
Referred to committee.
H.R. 2308. Retirement plan investment in homes by
parents and grandparents of first-time homebuyers.
Introduced by Rep. Watkins (R-OK), 6/25/01. Referred
to committee.
H.R. 3191. Reduced down-payment and purchase price
on homes for teachers, police officers, firefighters, and
rescue personnel. Introduced by Rep. Roukema (R-
NJ), 10/31/01. Referred to subcommittee.
H.R. 3358. Provides mortgage assistance to firefighters.
Introduced by Rep. Pascrell (D-NJ), 11/28/01. Referred
to committee.
S. 1081. Tax credit for development of housing for low-
to-moderate income homeownership. Introduced by
Sen. Torricelli (D-NJ), 6/21/01. Referred to committee.
S. 1396. Income tax credit to first-time homebuyers on
the purchase of a principal residence. Introduced by
Sen. Conrad (D-ND), 9/4/01. Referred to committee.
Housing Impact Analysis
H.R. 2753. Required housing impact analysis of new
Federal agency rules having an economic impact of
$100 million or more. Introduced by Rep. Green (R-
WI), 8/2/01. Referred to subcommittee.
Low Income Employment Opportunities
H.R. 2243. Improved employment access for low income
people, including with public housing authorities.
Introduced by Rep. Velazquez (D-NY), 6/19/01.
Referred to subcommittee.
S.1173. Extended work opportunity credit to the employment
of any adult food stamp recipient. Introduced
by Sen. Bayh (D-IN), 6/12/01. Referred to committee.
Low Income Housing Tax Credit
H.R. 951 and S. 677. Allows Low Income Housing Tax
Credit buildings to serve higher income people. Introduced
by Rep. Houghton (R-NY), 3/8/01; Sen. Hatch
(R-UT), 4/2/01. Referred to committee.
H.R. 2539. Repeals low income housing tax credit disqualification
for moderate rehabilitation projects. Introduced
by Rep. Watkins (R-OK), 7/17/01. Referred to
committee.
H.R. 3000. Allows a business tax credit for the development
of housing for sale to low- and moderate-income
people. Introduced by Rep. Shows (D-MS), 10/
2/01. Referred to committee.
H.R. 3324. Clarifies the eligibility of certain expenses
for Low Income Housing Tax Credit. Introduced by
Rep. Johnson (R-CT), 11/16/01. Referred to committee.
S. 1554. Increased low-income housing credit for property
located immediately adjacent to qualified census
tracts. Introduced by Sen. Cleland (D-GA), 10/16/01.
Referred to committee.
Minimum Wage
H.R. 222. Increase in minimum wage by $1 (to $6.15)
over two years. Introduced by Rep. Traficant (D-OH),
1/3/01. Referred to subcommittee.
H.R. 665, S. 277, and S. 964. Three identical bills to
increase minimum wage by $1.50 (to $6.65) by January
2003. Introduced by Rep. Bonior (D-MI), 2/14/01; Sen.
Kennedy (D-MA), 3/7/01; Sen. Kennedy (D-MA), 5/
25/01. Referred to subcommittee (H.R. 665); referred to
committee (S. 277); read second time and placed on
Senate calendar (S. 964).
H.R. 2111. Increase in minimum wage by $1 (to $6.15)
by April 2002, with tax cut for small businesses. Introduced
by Rep. Quinn (R-NY), 6/7/01. Referred to sub-
committee.
H.R. 2812. Increase in minimum wage to $8.15 by January
2003, with annual cost-of-living adjustments. Introduced
by Rep. Sanders (I-VT), 8/2/01. Referred to
subcommittee.
Mortgage Limits and Lending
H.R. 1629. Increase in FHA multifamily mortgage limits
by 25%. Introduced by Rep. Roukema (R-NJ), 4/26/01.
Referred to subcommittee.
H.R. 2796. Allows credit unions to become members of
a Federal Home Loan Bank. Introduced by Rep. Ney
(R-OH), 8/2/01. Referred to subcommittee.
H.R. 3206 and S. 1620. Promote single-family lending by
allowing Ginnie Mae to guarantee securities backed by
conventional mortgages above an 85% loan-to-value
ratio. Introduced by Rep. Roukema (R-NJ), 11/1/01; Sen.
Allard (R-CO), 11/1/01. Referred to committee.
H.R. 3722. Expansion of eligibility for moratorium on
foreclosure of FHA single-family loans of borrowers
affected by the events of September 11, 2001. Introduced
by Rep. Bobby Rush (D-IL), 11/13/01. Referred
to subcommittee.
S. 1163. Increased mortgage loan limits under National
MEMO
MEMBERS
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1012 Fourteenth Street, NW, Suite 610 • Washington, DC 20005 • Tel: 202/662-1530 • fax: 202/393-1973 • e-mail: memo@nlihc.org • http://www.nlihc.org
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Bills at a Glance
(cont'd from p. 7)
Native American Housing
S.1210. Reauthorization of the Native American Housing
Assistance and Self-Determination Act of 1996.
Introduced by Sen. Campbell (R-CO), 7/20/01. Referred
to committee.
Other Tax Issues
H.R. 2338. Refundable tax credit on rent payments over
30% of income. Introduced by Rep. Engel (D-NY), 6/
27/01. Referred to committee.
H.R. 2999. Limits the implementation of certain tax cuts
until domestic priorities, including housing, are met.
Introduced by Rep. Schakowsky (D-IL), 10/2/01. Referred
to committee.
H.R. 3100. Expansion of renewal communities in relation
to Community Renewal Tax Relief Act of 2000.
Introduced by Rep. LaFalce (D-NY), 10/11/01. Referred
to committee.
S. 1740. Expands areas designated as renewal communities
based on 2000 census data. Introduced by Sen.
Schumer (D-NY), 11/28/01. Referred to committee.
Predatory Lending
H.R. 1051. Expanded consumer protections in high-
cost lending. Introduced by Rep. LaFalce (D-NY), 3/
15/01. Referred to subcommittee.
H.R. 2531. Expanded disclosure requirements in mortgage
lending and increased consumer protection in
high-cost lending. Introduced by Rep. Schakowsky
(D-IL), 7/17/01. Referred to subcommittee.
Public Housing
H.R. 2493. Repeal of community service requirements
for public housing residents. Introduced by Rep.
Rangel (D-NY), 7/12/01. Referred to subcommittee.
Small Public Housing Authority Act
H.R. 1960. Exempting small public housing authorities
from producing annual public housing agency plan.
Introduced by Rep. Bereuter (R-NE), 5/23/01. Referred
to subcommittee.
Supportive and Veterans Housing
S. 1522. Supporting community-based group homes
for young mothers and their children. Introduced by
Sen. Conrad (D-ND), 10/10/01. Referred to committee.
S. 739 and HR 2716. Providing additional vouchers for
eligible veterans and accompanying services from the
Veterans Administration. Introduced by Rep. Christo-
Housing Act for multifamily housing mortgage insurance.
Introduced by Sen. Corzine (D-NJ), 7/11/01. Referred
to committee.
S. 1195. Authority of HUD to terminate mortgagee origination
approval for poorly performing mortgages. Introduced
by Sen. Sarbanes (D-MD), 7/18/01. Referred
to committee.
pher Smith (R-NJ), 8/2/01; Sen. Paul Wellstone (D-MN),
4/6/01. Both bills have passed in their houses of origin
and been referred to the other house.
About NLIHC : Established in 1974, the National
Low Income Housing Coalition/LIHIS is dedicated
solely to ending America's affordable
housing crisis. NLIHC educates, organizes, and
advocates to ensure decent, affordable housing
within healthy neighborhoods for everyone.
NLIHC provides up-to-date information, formulates
policy, and educates the public on housing
needs and the strategies for solutions.
National Low Income Housing Coalition
Memo to Members
December 7, 2001
Vol. 6, No. 48
NLIHC has the following internship opportunities for
the 2002 Spring and Summer semesters:
•Legislative Intern. Will participate in the lob-
bying efforts for the National Housing Trust
Fund Campaign and track and report on housing
legislation.
•Field Intern. Will lead the grassroots organizing
efforts for the National Housing Trust
Fund Campaign in 2-3 states.
•Communications Intern. Will assist with
NLIHC's work with the media and with pub-
lications.
Job descriptions can be found on the NLIHC website
at www.nlihc.org/about/internships.htm. We seek students
passionate about social justice issues, with excellent
writing and interpersonal skills. Interested students
should send a resume and cover letter to: Internship
Coordinator, National Low Income Housing Coalition,
1012 14th Street NW, Suite 610, Washington DC
20005 or to info@nlihc.org
Deadlines: Spring semester, December 14, 2001 ; Summer
semester, April 5, 2002.
Internship Applications
Due December 14
The NIMBY Report
on the continuing struggle
for inclusive communities
National Low Income Housing Coalition
December 2001
Georgia
Justice Department Sues City for
Blocking Use of Low Income
Housing Tax Credits
The U.S. Department of Justice has filed suit in
federal court against the City of Pooler, GA, after its
City Council effectively vetoed the use of Low Income
Housing Tax Credits (LIHTC) to build 68 units of senior
housing in 34 duplex buildings. The suit, filed November
13, alleges that "the City opposed the construction
of Harbor Pointe Apartments because it feared the
proposed development would attract black residents
from the City of Savannah," in violation of the Fair
Housing Act.
The underlying dispute began in April 2000 when
Jerry Braden, a real estate developer who has built a
number of LIHTC senior complexes around the state,
secured an option on a parcel of land in Pooler and
proposed to build Harbor Pointe Apartments. The City
denied a variance request for Braden's original design,
and Braden then configured the development into duplexes.
Existing zoning would have made that a "by
right" use, without the need for a variance or other zoning
relief.
As a precondition to getting LIHTC financing, the
Georgia Department of Community Affairs (DCA)—
like tax-credit agencies in most other states—requires
a letter of "non-opposition" from the local government
where the housing is to be built. The City's Planning
and Zoning Board had unanimously recommended approval,
but the City Council voted on June 5, 2000, to
oppose the project and notified DCA. As a consequence,
the suit alleges, "Braden was not awarded tax credits
in the 2000 LIHTC competition and Harbor Pointe
Apartments was not constructed."
At the heart of the suit is the allegation that Pooler,
which is 88% white, seeks to prevent the influx of people
from Savannah, which is 38% white. Located just 12
(Continued on Page 2)
miles from Savannah, Pooler is the fastest-growing section
of Chatham County.
Pooler has until mid-January to file an answer to
the suit, and the city attorney has indicated that the city
will take that entire time before responding. In the meantime,
the Savannah Morning News has been filled with
articles and commentaries. In fact, the paper's website
has a community message board on which community
comment is preserved. (See www.savannahnow.com/
ubb/Forum1/HTML/000445.html ). Some of the commentary
is explicitly racist in tone.
Diane Houk, Special Litigation Counsel for the
Department of Justice, says the Department is interested
in referrals of similar cases in which local government
opposition to LIHTC financing results in a loss
of housing opportunities.
For more information: Diane Houk, Special Litigation
Counsel, Department of Justice, tel. 202-514-4713.
Florida
Community Opposition May Nix
Bond Financing for Project
Citing concerns about safety and school crowding,
opponents in New Port Richey, FL, are attempting
to derail the development of a proposed 216-unit affordable
housing complex. River Crossing Apartments
would serve people earning 60% of area median income.
Because the project would be funded by state-
issued, tax-exempt bonds, the Florida Housing Finance
Corporation (FHFC) required a public hearing to be
held. Nearly 300 people appeared at the hearing on
November 29, and nearly all spoke in opposition.
Surrounding Pasco County is 97% white, but advocates
do not suggest that race is a factor in the opposition.
Rather, it appears to be based on class bias
The NIMBY Report • Page 2 • December 2001
(Continued from Page 1)
(Continued on Page 3)
against poor people. Local news reporting and political
rhetoric have picked up on this theme. For instance,
when word of the proposed development leaked out,
local residents began a phone call and e-mail campaign
designed to turn elected officials against the project.
Beyond the typical allegations that the new housing
would reduce property values and increase crime, opponents
suggested that it would "dump more students"
into the local elementary school. Pasco County Commissioner
Steve Simon suggested his county would
become a place for Pinellas and Hillsborough Counties
to dump their poor. Barely disguising his contempt for
poor people who might live at River Crossing, Simon
told the Tampa Tribune , "What we're doing is creating
receptacles for people to come in from other coun-
ties."
Responding quickly to his constituents, state Rep.
Mike Fasano wrote to FHFC opposing the apartments.
"While I look forward to and encourage growth in our
community, I am concerned about the proposed use of
this particular location," he wrote. "I believe there are
more suitable sites in our county that the developers
should look at." Of course, Fasano did not suggest
which sites those might be, nor did he offer any assistance
in locating to an alternate site.
CED Construction, the developer of River Crossing,
says the New Port Richey site is a good location
for affordable housing, in that it is near good roads,
shopping, and schools. Scott Culp, the executive vice
president of CED Construction, the company that
wants to build River Crossing Apartments, said affordable
housing should be near good roads, shopping and
schools, which the location has. He also said the property
is zoned for more residential units than River
Crossing is proposing, so more students and more traffic
will be an issue no matter who builds near the inter-
section.
For more information: Scott Culp, CED Construction,
tel. 407-741-8600
Minnesota
St. Paul Proposes Moratorium on
Development of Housing for
People with Disabilities
As The NIMBY Report went to press, the St.
Paul (MN) City Council was considering a 12-month
moratorium on all new applications for residential facilities
offering services to residents. Resolution 01-1259
proposes a complete moratorium on issuance of permits
for construction of "boarding care homes, boarding
house, emergency housing facility, housing for the
elderly, overnight shelter, rooming house, all community
residential facilities whether licensed correctional,
licensed human service or health department licensed
and transitional housing facilities, as well as any community
integrated living arrangement intended to promote
independence and economic self-sufficiency in
daily living." An accompanying draft ordinance would
allow the City Council to extend the moratorium for up
to 30 months, or until completion of a Planning Commission
study and resulting amendments to the City's
comprehensive plan and zoning code.
HUD and the Minnesota Housing Finance Agency
recently announced the availability of funding for supportive
housing and other programs. As a result, the
proposed ordinance "has the potential to delay hundreds
of new units and several major projects currently being
sited in St. Paul," according to Jonathan Farmer of the
Minnesota Supportive Housing Consortium.
While the draft ordinance does not explicitly say
that it targets people with disabilities, even a cursory
analysis of the kinds of housing that would be affected
by a moratorium indicates that most residents would
have disabilities as defined by federal and state fair
housing laws.
This disparate impact on people with disabilities
likely violates the federal Fair Housing Amendments
Act. In a similar case involving Steubenville, OH, a federal
court struck down a one-year moratorium on the
establishment of adult care facilities. The court in the
Steubenville case said the moratorium was motivated
by irrational fear about people with disabilities, not unlike
that experienced by victims of racism.
Advocates are hoping the St. Paul City Council
will find a less drastic way to examine the effect of
supportive housing and similar housing models on the
City's comprehensive plan and zoning ordinance.
For more information: Jonathan Farmer, Minnesota
Supportive Housing Consortium,tel. 612-721-3700, ext.
117; Michael Allen, Bazelon Center for Mental Health
Law, tel. 202-467-5730, ext. 17, or michaela
@bazelon.org.
The NIMBY Report • Page 3 • December 2001
NIMBY - Not In My Back Yard - has become
the symbol for neighborhoods to exclude certain
people because they are homeless, poor, disabled,
or because of their race or ethnicity.
The NIMBY Report supports inclusive communities
by sharing news of the NIMBY syndrome
and efforts to overcome it. It is published by the
National Low Income Housing Coalition, in collaboration
with the Building Better Communities
Network, and is distributed monthly as a supplement
to NLIHC's Memo to Members . Bi-annual
issue reports provide in-depth analysis on specific
subjects.
Resources You Can Use
New Website Promoting Housing Opportunity
: The Public Interest Law Office of Rochester has
established the Community Choice website, at http://
www.housingchoice.org/ . The site provides an overview
of community efforts to "affirmatively further fair
housing," a history of local fair housing efforts, a list of
private sector initiatives, a recent news feature, and a
discussion forum. For more information: Public Interest
Law Office of Rochester, tel.716-454-4060.
Disability Council Report Criticizes HUD
Fair Housing Enforcement : On November 6, the
National Council on Disability (NCD) issued a 304-page
report analyzing HUD's enforcement of the Fair Housing
Act and Section 504 of the Rehabilitation Act of
1973. The report, which covers Fiscal Years 1988
through 2000, finds that HUD takes nearly 500 days to
investigate complaints of discrimination and that the
public has lost confidence in the agency's ability to enforce
civil rights laws. Full text of the report, titled Reconstructing
Fair Housing, is available at http://
www.ncd.gov/newsroom/publications/fairhousing.html.
For more information: Mark Quigley, Communications
Director, National Council on Disability, tel. 202-272-
2004.
Building Better Communities Network Revitalizes
Its Website : Effective December 7, the
Building Better Communities Network (BBCN)
launches the revised version of its website at
www.bettercommuniti es.org . BBCN is a 2-year-old
non-profit organization devoted to finding collaborative
approaches to overcome community opposition to affordable
housing and community-based human services.
The new site contains an abundance of tools related to
legal rights, community building, and conflict resolution.
In addition, the site has a recent news feature and a
compendium of experts available to provide technical
assistance to providers and advocates who encounter
community opposition.
SHARE YOUR STORY
Each month, The NIMBY Report highlights
instances of community opposition to affordable
housing and community-based services, plus innovative
ways to respond to such opposition. We
also publish short opinion pieces and listings of
useful resources. We welcome readers' suggestions
about situations and resources that warrant
attention.
Mail your suggestions to Nancy Ferris, Communications
Director, National Low Income
Housing Coalition, 1012 14th St. NW, Suite 610,
Washington, DC 20005. Fax them to her at 202-
393-1973. Or email them to nancy@nlihc.org
About The NIMBY Report
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