PUBLIC HOUSING ACTIVITY IN JEOPARDY BECAUSE OF HOLD-BACK OF FEDERAL FUNDS 1- Hon. SAM J. ERVIN, NATIONAL CONSUMERS LEAGUE, Chairman, Subcommittee on Separation of Powers, Committee on the Judiciary, U.S. Senate, Washington, D.C. DEAR SENATOR ERVIN: The National Consumers League wishes to commend your Committee for holding these hearings on the Separation of Powers, and would like to go on record in opposition to the action of the OMB in freezing funds for urban renewal, low-rent public housing, model cities, and water and sewer programs. If the OMB is allowed to emasculate programs authorized by the Congress by withholding funds which Congress has appropriated for those programs, it appears that the Congress itself is being emasculated. We understand that the Anti-Deficiency Act permits some limited control of funds, but surely the intent of the Act was not to permit the OMB to destroy or alter priorities established by the Congress. The $1.325 billion withheld from the HUD appropriations bill completely negated the action of the Congress, arrived at by well established regular procedure. The programs which were thus shortchanged are badly needed, as the record of the hearings on these programs will clearly establish. OMB has withheld other funds of equal significance. We urge the Congress to resist this usurpation of their powers. Sincerely yours, Hon. SAM J. ERVIN, SARAH H. NEWMAN, NATIONAL HOUSING CONFERENCE, INC., Chairman, Subcommittee on Separation of Powers of the Committee on the DEAR SENATOR ERVIN: The National Housing Conference has been most interested in the very significant hearings held by your Subcommittee on Separation of Powers Committee on the Judiciary of the U.S. Senate. The National Housing Conference is the principal national citizens organization dedicated to the support of housing and community development programs. Our organization is deeply concerned by the arbitrary action of the Administration in impounding funds appropriated by the Congress for this fiscal year for urgently needed housing and community development programs. Specifically, I refer to the following: $200 million in appropriated funds for urban renewal for this fiscal year. This action was taken not withstanding the existence of a backlog of over $3 billion in pending urban renewal applications from communities throughout the country. The withholding of available annual contribution authority for low-rent public housing in the amount of $192 million. This action has brought the undertaking of urgently needed low-rent housing substantially to a halt for this fiscal year and is also imperiling the solvency of a number of local housing authorities around the country. The withholding of $584 million in appropriated model cities funds. The withholding of $200 million of appropriated Federal funds for water and sewer grants in this fiscal year, notwithstanding the urgent needs for such facilities in the interest of the environment. Of equal concern to our organization is the failure of the Administration to request appropriations for the large sums authorized by Congress but not funded for urban renewal, model cities supplementary grants, interest subsidies for housing lower income families under Sections 235 and 236, rent supplements for housing for low-income families, and water and sewer grants. In our opinion, all of these actions by the Administration are thwarting the intent and the will of the Congress as expressed in enacted legislation. We will greatly appreciate you placing this letter in the records of your hearings. Sincerely, NATHANIEL S. KEITH, NATIONAL LABOR RELATIONS BOARD, Washington, D.C., March 14, 1969. Senator SAM J. ERVIN, Jr., Chairman, Subcommittee on Separation of Powers, Washington, D.C. DEAR MR. CHAIRMAN: This is in reply to your request of February 5, 1969 for information on appropriation reserves established by this Agency, at the request of the Bureau of the Budget on behalf of the President. Attached is a table showing an analysis of reserves established through the apportionment process in fiscal years 1945-1968. The table relates the reserves to the Agency's initial and final appropriations. Comments are added to supply as much information as possible; although our records do not, in a number of cases, clearly indicate the basis for the reserve established. Generally speaking, the reserves shown were ordered established by the Bureau under the Anti-Deficiency Act or voluntarily set up by the Agency as a management tool to provide orderly expenditure of funds or as an aid to identify savings when they existed. Our review indicates that these approaches were more prevalent in the 1940's and 1950's than has been the case in the 1960's. Insofar as we can determine, from our limited records, there were no instances of impoundment of funds for the purpose of affecting this Agency's case processing programs. There were, as indicated on the attached table, (1) instances of impoundment of funds related to general reductions stemming from Congressional action, and (2) fund reserves for the purpose of administrative control of savings and expenditures. Sincerely yours, FRANK W. MCCULLOCH, Chairman. ANALYSIS OF RESERVES IN RELATIONS TO APPROPRIATIONS, FISCAL YEARS 1945-68 375.0 900.0 Reserve apparently established by Agency. Do. Bureau directed establishment of reserve of $48,000 for penalty mail needs. Agency added to reserve funds which could not be used to carry out program. Bureau directed establishment of reserve. Later released funds for operating needs. 50.0 Appropriations reduction resulted from fund restrictions by Congress. Bureau directed reserve. Total NLRB appropriation during year was $8,662,200. Reduced $3 70,500 by action of Congress. Reserve established by agency. 300.0 Bureau directed establishment of initial reserve. Agency added to reserve. 25.0 Agency reserve. Funds were used later to help meet pay increase cost. Supplemental was also required. 1 The subsequent reserve total represents the last apportionment action. This was, in many cases, followed by 1 of funds for operating purposes as indicated in the comments. 60-337-71-34 |