Mr. FRANTZ. Plus the supplemental, $24 million, which the committee has not acted on yet. Mr. EVINS. That is $299 million in total? Mr. FRANTZ. Yes, sir. Mr. EVINS. So beyond that you are asking for $59 million more for contract payments next year. How many more units have been brought in under public housing? Mr. HUMMEL. We have a proposal for 65,000 additional. Secretary WEAVER. No, no. How many units came in during 1968? Mr. HUMMEL. You mean how many came in for actual authorization? Mr. EvINS. Mr. Hummel, your total appropriation for contracts for public housing in the current year of 1968 goes about $300 million. Next year you are asking for $358 million. What I am trying to arrive at, in summary fashion, is how much increase for next year is there to justify this $58 million increase? Secretary WEAVER. How many units did we get under contract in 1968? Mr. HUMMEL. The $58 million takes care of those that are already under contract. Mr. EVINS. I understand, but the $300 million takes care of them, too. Mr. HUMMEL. The previous number, yes, but the $58 million is for those that were added. Secretary WEAVER. That is what he wants to find out, how many of them are there? Mr. Chairman, I understand it is 58,000. Mr. EVINS. 58,000 additional units? Secretary WEAVER. Yes. Mr. FRANTZ. Units completed during this year. ALASKA HOUSING Mr. EvINS. This new program of $1 million for housing in Alaska is in the present authorization, but it has not been funded. Secretary WEAVER. That is right. Last year we did not have a plan. We have now worked with Alaska, the State housing people, and we have a plan this year which we are ready to work out with them. COLLEGE HOUSING AND HOUSING FOR THE ELDERLY Mr. EVINS. The budget also includes continuation, with funds to be provided through participation sales, of programs for college housing loans and loans for housing for the elderly and handicapped. The elderly and handicapped in addition to the college housing loans are to be funded through the participation sales device? Secretary WEAVER. Yes. Mr. EVINS. $300 million for college housing, and you propose $85 million for the elderly and handicapped? Secretary WEAVER. Yes. That is about the same level as this year. It is the same level. METROPOLITAN DEVELOPMENT PROGRAMS, URBAN PLANNING ASSISTANCE Mr. EVINS. Another major area is the metropolitan development programs. You are asking for an increase from $45 to $55 million in the appropriation for grants to assist comprehensive urban planning generally from small town to metropolitan area to statewide. What are your plans? Mr. HAAR. We hope to fund some of the increasing backlog for the smaller cities that are now running about 3 to 1 in terms of the funds that are available, and in addition, to provide some additional aid to the States and to provide for the new rural district planning groups when they are authorized under the proposed legislation. Mr. EVINS. Part of the $10 million increase is for a new authorization which has not been passed. Mr. HAAR. Yes. About $3 million of it is for district planning; another $2,500,000 is for urban systems engineering which is authorized but for which a separate sublimitation is being proposed in the legislation. AREAWIDE DEVELOPMENT GRANTS Mr. EVINS. You also refer in the next paragraph to an additional $10 million for title II of the Demonstrations and Metropolitan Development Act of 1966 for comprehensive planning on an area wide basis. Is this currently authorized? Secretary WEAVER. Yes. Mr. EvINS. Is it in addition to the $10 million increase which you testified to earlier? Secretary WEAVER. No, sir. This is the funding of a program that has already been authorized. It was authorized in the 1966 act, and the pending legislation would extend the authorization for appropriations. Mr. EVINS. This is to provide for bonus grants to the planners? Secretary WEAVER. No; not to the planners, but bonus grants to projects which are being carried out on an area wide basis. If you have an areawide system and you have an areawide program to carry it out, then we would give the bonus grants. Mr. EVINS. We are going to go over this in summary fashion; that is, your new proposals and your continuing programs. Mr. Haar, your first $10 million increase for urban planning grants you testified some of it was for unauthorized programs. Some of it is for new programs. Mr. FRANTZ. A small part of the 701 appropriation would be used for community development district planning which is proposed in the new legislation. Secretary WEAVER. But it is not in here, is it? Mr. FRANTZ. Yes, $3 million is. Mr. FRANTZ. Yes, sir. Mr. EvINS. $3 million of the $10 million increase has not been authorized? (The following was subsequently submitted to clarify the foregoing exchange:) Of the $55 million requested for fiscal year 1969 for urban planning assistance grants, $16,162,000 requires authorization through further legislation. This authorization is included in the proposed Housing and Urban Development Act of 1968 now pending before the Congress. The proposed legislation would also authorize grants to community development districts. Assistant Secretary Haar was referring to the fact that if such grants are authorized, and if sufficient funds are authorized and appropriated, a small portion of the 1969 program (estimated at not more than $3 million) may be applied to this new activity. Mr. HAAR. The second $10 million increase is not for planning assistance. It is title II-areawide development grants which has already been authorized in the legislation we are seeking to continue the authorization, but this is for the appropriation. This is a return of the savings on particular projects which are done according to a plan. We are redistributing, as it were, the efficiencies, the economies, the savings back to the localities. Mr. EVINS. You gave supplementary grants to stimulate a project and move it forward, where there is a lack of funds to complete the project; is that correct? Mr. HAAR. It is used for that purpose and to encourage them doing it on an area wide scale, so you get an overall lower unit cost. OPEN SPACE LAND PROGRAMS Mr. EVINS. You are requesting an appropriation of $85 million for an expanded program for preservation of open space land. How much was appropriated for open space land programs last year? Mr. HAAR. About $75 million. Mr. EVINS. $75 million? Mr. HAAR. Yes, sir. Mr. EVINS. $75 million last year, and you are requesting $85 million or a $10 million increase. Mr. HAAR. Yes, sir. It is not quite that much. It was $77,500,000 last year and it is $85 million this year. Mr. FRANTZ. $75 million appropriated, and $2,500,000 carried over. Mr. EVINS. You had a total of $77,500,000? Mr. FRANTZ. Yes. Mr. EVINS. You had $75 million appropriated for last year and you had some carryover, which made it $77,500,000. Mr. FRANTZ. Yes, sir. Mr. EVINS. Has the $75 million plus the carryover been committed or do you have some funds left? Mr. HAAR. We have some funds available as of the present timeMr. EVINS. Supply it for the record. Mr. HAAR. All right. (The information follows:) OPEN SPACE LAND PROGRAMS-FUNDS AVAILABLE As of February 29, 1968, funds available under the open space land programs total $31.7 million. It is clear that these funds will be used by the end of the fiscal year, inasmuch as the Department now is reviewing applications on hand totaling $113 million. WATER AND SEWER FACILITIES GRANTS Mr. EVINS. You are asking for $150 million, Mr. Haar, to assist in the provision of basic water and sewer facilities. Somebody said you had a big backlog over there. You could use all this money next year, and more too, couldn't you? Secretary WEAVER. Yes, sir. Mr. EVINS. Where did I get the impression that you had a $6 billion backlog? Secretary WEAVER. I don't know what the total request has been because they come to four or five different departments. This is a multibillion-dollar program in this area, however. Mr. EVINS. How much have you been funding by way of water and sewerage grants on an annual basis? Secretary WEAVER. $165 million appropriation last year. Mr. EVINS. $165 million last year? Secretary WEAVER. Yes, sir. Mr. JONAS. That was the lowest it had been for several years. It had been running $200 million a year, hasn't it? Mr. HAAR. NO; $100 million a year for the first 2 years. Mr. JONAS. $100 million? The authorization was for $200 million. Mr. JONAS. You still are not up to your authorization? URBAN TRANSPORTATION PROGRAMS Mr. EVINS. You are asking for an advance appropriation of $230 million for fiscal 1970 to encourage and improve urban transportation. $190 million of this will have to be authorized as of this time. Tell us again how you propose to work this transfer between HUD and DOT. Secretary WEAVER. If and when the reorganization plan gets passed Mr. EvINS. It was not rejected. Secretary WEAVER. If the plan becomes effective before the appropriation bill is enacted, a part of this appropriation could be redirected to DOT. If the transfer comes after the appropriation act, the funds would have to be transferred from HUD to DOT because in the interim, we are the only department which can ask for anything for this. Mr. JONAS. When is the time, now, to reject that plan? Secretary WEAVER. A resolution hasn't been introduced yet. Mr. FRANTZ. My recollection, Mr. Jonas, is that the date is around the 6th of May. Mr. JONAS. It goes into effect unless there is an affirmative rejection? Mr. FRANTZ. Not exactly, sir. Under the plan, as written, it goes into effect after 60 days or July 1st, whichever is later. So if it isn't rejected, it will become effective on July 1st. Mr. EVINS. The plan has been transmited to the Congress. Mr. FRANTZ. Yes, but the 60 days runs out before July 1st. Mr. JONAS. We will have this bill through the House before then. Mr. EVINS. $190 million of this $230 million requested needs to be authorized. Secretary WEAVER. Yes, as provided for in the proposed housing bill. Mr. EVINS. $40 million has been authorized and not funded. PUBLIC FACILITY LOANS Mr. EVINS. You propose to continue, without appropriated funds, the program of loans for public facilities, primarily for the benefit of small communities which have difficulty obtaining funds in the private market. To what are you referring here? Secretary WEAVER. This is handled by us. This is the public facility loan program for smaller communities, for public buildings of various types, and public improvements of various types. Mr. EVINS. Is the program one for the city hall; anything that they need, you can make a loan? Secretary WEAVER. Yes. This is where they cannot get the funds in the private market at a reasonable rate. Mr. EVINS. You state it is without appropriated funds. Tell us how you financed it without appropriated funds? Mr. HAAR. $600 million is authorized as a Treasury borrowing authorization. We draw down the necessary amounts each year. We propose a program level of $40 million for 1969. Mr. EVINS. $600 million has been authorized as a line of credit from the Treasury. It is available for loans for public facilities on a drawdown basis through the Treasury? Mr. HAAR. Yes, sir. Mr. EVINS. How much of this $600 million has been used and how much is left? Mr. FRANTZ. At the end of fiscal 1967 there was a little under $400 million of that authority used. Mr. EVINS. You have about $200 million left? Mr. FRANTZ. Over $200 million. Mr. EVINS. You have plenty of funds to draw down from? Mr. FRANTZ. Right. Mr. EVINS. This is done through HUD and not the Farmers Home Administration? Mr. FRANTZ. That is right. DEMONSTRATION AND INTERGOVERNMENTAL RELATIONS Mr. EVINS. Next are the programs under the direction of the Assistant Secretary for Demonstrations and Intergovernmental Relations. These deals with the model cities programs and the development of new and improved methods of coordination and cooperation between Federal, State, and local agencies. What are your new methods? URBAN INFORMATION AND TECHNICAL ASSISTANCE Mr. TAYLOR. The States are now coming in with plans for use of the funds made available to assist them. I will be able to give you in detail examples of what they are proposing. We have a backlog of applications on hand, or an expected demand that the States have talked to us about, of roughly double the appropriated amount. We |