COMMITTEE ON BANKING, HOUSING, UNITED STATES SENATE TO ACCOMPANY S. 1149 TOGETHER WITH ADDITIONAL VIEWS MAY 15 (legislative day, APRIL 9), 1979.-Ordered to be printed ★(Star Print) U.S. GOVERNMENT PRINTING OFFICE WASHINGTON: 1979 COMMITTEE ON BANKING, HOUSING, AND URBAN AFFAIRS WILLIAM PROXMIRE, Wisconsin, Chairman HARRISON A. WILLIAMS, JR., New Jersey JAKE GARN, Utah ALAN CRANSTON, California JOHN TOWER, Texas JOHN HEINZ, Pennsylvania WILLIAM L. ARMSTRONG, Colorado KENNETH A. MCLEAN, Staff Director SUBCOMMITTEE ON HOUSING AND URBAN AFFAIRS WILLIAM PROXMIRE, Wisconsin JAKE GARN, Utah ALBERT C. EISENBERG, Staff Director JESSELIE E. BARLOW, Professional Staff Member (II) CONTENTS Page Increase in section 235 mortgage limits in revitalization areas. Research authorization___ Additional views concerning spending levels, Senators Garn, Tower, Lugar, (III) MAY 15 (legislative day, APRIL 9), 1979.-Ordered to be printed Mr. WILLIAMS, from the Committee on Banking, Housing, and Urban Affairs, submitted the following REPORT together with ADDITIONAL VIEWS [To accompany S. 1149] The Committee on Banking, Housing, and Urban Affairs, having considered the same, reports favorably a committee bill (S. 1149) to amend and extend certain Federal housing and community development programs, and for other purposes, and recommends that the bill do pass. HISTORY OF THE LEGISLATION The Subcommittee on Housing and Urban Affairs held a series of hearings on housing and community development authorizations and on related proposals. Subcommittee hearings were held on the administration's housing authorization legislation (S. 745); on legislation for a new graduated payment mortgage program (S. 740); and on proposals to amend the Interstate Land Sales Full Disclosure Act (S. 896, and S. 1972). Field hearings were held in Clifton, N.J., on legislative proposals to amend the Section 202 Elderly and Handicapped Housing Programs (S. 593); and hearings were also held on the role of the Davis-Bacon Act in Federal housing programs (S. 301). Witnesses at these hearings included Members of Congress, the Secretary of Housing and Urban Development, the Secretary of Labor, other administration officials, State and local officials; representatives of the construction, real estate, and mortgage finance industries; and representatives of housing, consumer and labor, and public interest groups. (1020) Markup for this legislation was held by the full Banking, Housing, and Urban Affairs Committee on May 8 and 9, 1979. SUMMARY AND HIGHLIGHTS The major provisions of this bill, by title, include the following: TITLE I-COMMUNITY AND NEIGHBORHOOD DEVELOPMENT AND CONSERVATION Anu authorization for the section 312 rehabilitation loan program of $130 million for fiscal year 1980. An authorization of $40 million for the section 701 comprehensive planning assistance program for fiscal year 1980. An increase in the fiscal 1980 authorization for the urban development action grant program from $400 million to $675 million. A provision allowing up to 20 percent of UDAG authorization to be used in specific sections of communities now ineligible for UDAG, if these sections meet existing UDAG criteria. (See p. 4.) An authorization of $12 million for fiscal year 1980 for the National Neighborhood Reinvestment Corporation. TITLE II-HOUSING ASSISTANCE PROGRAMS An authorization of $1,286,155,000 in contract authority for the section 8 and public housing programs sufficient to reserve 300,000 units of assisted housing in fiscal 1980. An authorization of $741.5 million for public housing operating subsidies in fiscal 1980. An authorization of $82 million for the troubled multifamily projects program. A change in the ceiling on eligibility for section 8 assisted housing from 80 percent to 70 percent of median income, and provisions to assure maintenance of low income character of section 8 projects. TITLE III- -PROGRAM AMENDMENTS AND EXTENSIONS Creation of a new graduated payment mortgage program allowing lower down payments and providing more alternatives for repayment graduations. Across-the-board increases in FHA single-family, multi-family housing mortgage limits, and mobile homes loan limitations and terms. An increase in the high cost area adjustment for multi-family homes from 50 percent to 75 percent. Creation of a temporary mortgage assistance program as an alternative to the existing assignment program to provide assistance to homeowners in default on FHA mortgages. An amendment to the section 235 mortgage interest subsidy program allowing a 25 percent increase in mortgage limits in areas undergoing revitalization in order to relieve the effects of displacement. For section 202 elderly housing, authorizes $520 million in new borrowing authority for fiscal year 1980, $950 million in 1981, and $975 million for 1982, and makes other program improvements. |