"(g) The Administrator shall require in connection with any urban renewal project

"(1) with respect to which a contract for capital grants is executed under this title, and

"(2) which involves the redevelopment of any part of an urban renewal area for commercial or industrial purposes,

that business concerns which are displaced from such urban renewal area be granted, insofar as practicable, a priority of opportunity to purchase or lease commercial or industrial facilities provided in connection with such redevelopment."

[S. 3824, 85th Cong., 2d sess.]

A BILL To clarify section 106 (f) of the Housing Act of 1949 with respect to the making of relocation payments for displacements caused by programs of voluntary repair and rehabilitation in connection with urban renewal projects

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That section 106 (f) of the Housing Act of 1949 is amended by striking out in paragraph (2) "resulting from their displacement by" and inserting in lieu thereof the following: "arising from their displacement as a result of undertakings and activities of the agency, or as a result of a program of voluntary repair and rehabilitation, in connection with."

[S. 3855, 85th Cong., 2d sess.]

A BILL To amend title IV of the Housing Act of 1950 (college housing) with respect to the definition of "educational institution"

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That section 404 (b) of the Housing Act of 1950 is amended by striking out clause (3) and inserting in lieu thereof the following: "(3) any corporation (no part of the net earnings of which inures to the benefit of any private shareholder or individual) (A) established for the sole purpose of providing housing or other educational facilities for students or students and faculty of any institution included in clause (1) of this subsection without regard to their membership in or affiliation with any social, fraternal, or honorary society or organization, and (B) upon dissolution of which all title to any property purchased or built from the proceeds of any loan secured under this title will pass to such institution,".

[S. 3871, 85th Cong., 2d sess.]

A BILL To encourage the construction of multifamily rental housing to provide living accommodations for essential civilian personnel employed in connection with an installation of the armed services

Be it enacted by the Senate and House of Repreesntatives of the United States of America in Congress assembled, That title VIII of the National Housing Act is amended by adding at the end thereof a new section as follows:

"SEC. 810. (a) Notwithstanding any other provision of this title, the Commissioner may insure and make commitments to insure any mortgage under this section which meets the eligibility requirements hereinafter set forth.

"(b) No mortgage shall be insured under this section unless the Secretary of Defense or his designee shall have certified to the Commissioner that (1) the housing which is covered by the insured mortgage is necessary in the interest of national defense in order to provide adequate housing for essential civilian personnel employed in connection with an installation of one of the armed services of the United States, (2) there is no present intention to curtail substantially the number of such personnel assigned or to be assigned to the installation, (3) adequate housing is not available for such personnel at reasonable rentals within reasonable commuting distance of such installation, and (4) the mortgaged property will not so far as can be reasonably foreseen substantially curtail occupancy in any existing housing in the vicinity of the installation if such housing is covered by mortgages insured under this Act. Any such certificate issued by the Secretary of Defense or his designee shall be conclusive evidence to the Commissioner of the eligibility of the mortgage for insurance in accordance with the requirements of this subsection.

"(c) The Commissioner may accept any mortgage for insurance under this section without regard to any requirement in any other section of this Act that the property or project be economically sound.

"(d) The Commissioner shall require each project covered by a mortgage insured under this section to be held for rental until such time as he is advised by the Secretary of Defense or his designee that the housing may be released from such rental condition. Priority in the rental of dwelling units covered by a mortgage insured under this section shall be required and given to essential civilian employees of the armed services and employees of contractors for the armed services as evidenced by certification issued by the Secretary of Defense or his designee. Such certificate shall be conclusive evidence to the Commissioner of the employment status of the person requiring housing and of such person's need for the housing.

"(e) The Commissioner is authorized to insure mortgages under this section (including advances on such mortgages during construction) which cover property held by (1) Federal or State instrumentalities, municipal corporate instrumentalities of one or more States, or limited dividend or redevelopment or housing corporations restricted by Federal or State laws or regulations of State banking or insurance departments as to rents, charges, capital structure, rate of return or methods of operation, or (2) private corporations, associations, cooperative societies, or trusts. Any such mortgagor shall, under the termination of all obligations of the Commissioner under such insurance, be regulated or restricted as to rents, charges, capital structure, rate of return, and methods of operation to such extent and in such manner as to provide reasonable rentals to tenants and a reasonable return on the investment. In determining reasonable rentals in the case of any project, the Commissioner shall consult with the Secretary of Defense or his designee. The Commissioner may make such contracts with, and acquire for not to exceed $100 such stock or interest in, any such corporations, association, cooperative society, or trust as he may deem necessary to render effective such restriction or regulation. Such stock or interest shall be paid for out of the Armed Services Housing Mortgage Insurance Fund, and shall be redeemed by the corporation, association, cooperative society, or trust at par upon the termination of all obligations of the Commissioner under the insurance.

"(f) To be eligible for insurance under this section, a mortgage on any property or project shall involve a principal obligation in an amount (1) not to exceed $12,500,000 or, if executed by a mortgagor coming within the provisions of subsection (e) (1) of this section, not to exceed $50,000,000, and (2) not to exceed, for such part of such property or project as may be attributable to dwelling use, $2,250 per room (or $8,100 per family unit if the number of rooms in such property or project is less than four per family unit), and not to exceed 90 per centum of the estimated value of the property or project when the proposed physical improvements are completed: Provided, That as to projects which consist of elevator-type structures and to compensate for the higher costs incident to the construction of elevator-type structures of sound standards of construction and design, the Commissioner may, in his discretion, increase the aforesaid dollar amount limitations per room or per family unit (as may be applicable to the particluar case) within the following limits: (i) $2,250 per room to not to exceed $2,700; (ii) $8,100 per family unit to not to exceed $8,400; except that the Commissioner may, by regulation, increase any of the foregoing dollar amount limitations by not to exceed $1,000 per room without regard to the number of rooms being less than four, or four or more, in any geographical area where he finds that cost levels so require.

"(g) Any mortgage insured under this section shall provide for complete amortization by periodic payments within such terms as the Commissioner may prescribe but not to exceed the maximum term applicable to mortgages under section 207 of this Act and shall bear interest (exclusive of premium charges for insurance) at not to exceed 4 per centum per annum of the amount of the principal obligation outstanding at any one time. The Commissioner may consent to the release of a part or parts of the mortgaged property from the lien of the mortgage upon such terms and conditions as he may prescribe and the mortgage may provide for such release. Property covered by a mortgage insured under this section may include eight or more family units and may include such commercial and community facilities as the Commissioner deems adequate to serve the occupants.

"(h) The provisions of subsections (d), (e), (g), (h), (i), (j), (k), (1), (m), (n), and (p) of section 207 of this title shall be applicable to mortgages insured under this section: Provided, That wherever the words 'Housing Fund,' or 'Housing Insurance Fund' appear in section 207, all such references shall refer to the Armed Services Housing Mortgage Insurance Fund with respect to mortgages insured under this section.

"(i) The provisions of sections 801, 802, 803 (c), 803 (i), 803 (j), 804, and 807, and the provisions of section 803 (a) relating to the aggregate amount of all mortgages insured and the expiration date of the Commissioner's authority to insure under this title, shall be applicable to mortgages insured under this section.

"(j) If the Commissioner determines that the insurance of mortgages on any housing of the type described in this section is not an acceptable risk, he may require the Secretary of Defense to guarantee the Armed Services Housing Mortgage Fund from loss with respect to mortgages insured pursuant to this section. There are hereby authorized to be appropriated such sums as may be necessary to provide for payment to meet losses arising from such guaranty."

SEC. 2. (a) Section 808 of the National Housing Act is amended by striking out "The" and inserting in lieu thereof the following: "Except in the case of mortgages insured under section 810, the."

(b) Section 227 (a) of such Act is amended by striking out "803" and inserting in lieu thereof "803 or 810."

SEC. 3. Section 305 (f) of the National Housing Act is amended by inserting "or 810" after "809."

[S. 3885, 85th Cong., 2d sess.]

A BILL To increase by $400,000.000 the borrowing authority of the Housing and Home Finance Agency for college housing loans

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That section 401 (d) of the Housing Act of 1950, as amended, is amended by striking out "$925,000,000" and inserting in lieu thereof "$1,325,000,000."

[S. J. Res. 153, 85th Cong., 2d sess.]

JOINT RESOLUTION To amend section 101 (b) of the Housing Act of 1949 with respect to the utilization of local public agencies established by the States to operate on a statewide basis as a solution to community development or redevelopment problems in smaller communities

Whereas smaller communities throughout the Nation suffer from slum and urban blight in the same proportion as larger communities; and

Whereas only a small percentage of communities under twenty-five thousand population have commenced slum clearance or urban renewal projects; and

Whereas the cost of establishing and maintaining a local public agency, as required by law, to direct community development and redevelopment is not proportionate to the size of the community involved and in smaller communities such cost is usually prohibitive; and

Whereas smaller communities should be allowed to enjoy the benefits of the Federal urban renewal program and should not be denied such benefits because of the relatively high cost of establishing and maintaining a local public agency; and

Whereas State officials have expressed a desire to create State agencies to direct community development and redevelopment activity in behalf of smaller communities within their jurisdiction: Now, therefore, be it

Resolved by the Senate and House of Representatives of the United States of America in Congress assembled, That section 101 (b) of the Housing Act of 1949, as amended, is amended by adding at the end thereof a new sentence as follows: "The Administrator shall particularly encourage the utilization of local public agencies established by the States to operate on a statewide basis in behalf of smaller communities within the State, whenever that arrangement provides an effective solution to community development or redevelopment problems in such communities, and is approved by resolution or ordinance of the governing bodies of the effected communities."

[S. J. Res. 171, 85th Cong., 2d sess.]

JOINT RESOLUTION To amend section 217 of the National Housing Act

Resolved by the Senate and House of Representatives of the United States of America in Congress assembled, That section 217 of the National Housing Act is amended by striking out "$3,000,000,000" and inserting in lieu thereof "$7,000,000,000".

[COMMITTEE PRINT]

[S., 85th Cong., 2d sess.]

A BILL To extend and amend laws relating to the provision and improvement of housing and the renewal of urban communities, and for other purposes

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That this Act may be cited as the "Housing and Urban Renewal Act of 1958."

TITLE I-FHA MORTGAGE INSURANCE

SEC. 101. Section 207 of the National Housing Act is amended

(1) by striking out the following parenthetical phrases in subsection (b): "(except provisions relating to housing for elderly persons)", and "(except with respect to housing designed for elderly persons, with occupancy preference therefor, as provided in the paragraph following paragraph (3) of subsection (c))";

(2) by striking out in paragraph (3) of subsection (c)—

(i) "$2,250" in both places where it appears therein and inserting in lieu thereof "$2,500";

(ii) "$8,100" in both places where it appears therein and inserting in lieu thereof "$9,000";

(iii) "$2,700" and inserting in lieu thereof "$3,000";

(iv) "$8,400" and inserting in lieu thereof "$9,400"; and

(v) "$1,000" and inserting in lieu thereof "$1,250";

(3) by striking out in subsection (c) the unnumbered paragraph following paragraph (3); and

(4) by striking out in both places where it appears in subsection (f) "section 210 and section 213" and inserting in lieu thereof the following: "sections 210, 213, and 229".

SEC. 102. Subsection (d) (3) (B) of section 220 of the National Housing Act is amended to read as follows:

"(B) (i) not exceed $12,500,000, or, if executed by a mortgagor coming within the provisions of paragraph (2) (B) of this subsection (d), not exceed $50,000,000; and

"(ii) not exceed (in the case of a property or project approved for mortgage insurance prior to the beginning of construction) the Commissioner's estimate of the replacement cost of the property or project when the proposed improvements are completed (the replacement cost may include the land, the proposed improvements, utilities within the boundaries of the land, architect's fees, taxes, interest during construction, and other miscellaneous charges incident to construction and approved by the Commissioner, but shall not include any allowance for builder's and sponsor's profit and risk;

"(iii) not exceed 90 per centum of the Commissioner's estimate of the value of the property or project when the proposed improvements are completed if the proceeds of the mortgage are to be used for the repair or rehabilitation of a property or project; and

"(iv) not exceed, for such part of such property or project as may be attributable to dwelling use, $2,500 per room (or $9,000 per family unit if the number of rooms in such property or project is less than four per family unit): Provided, That the Commissioner may, in his discretion, increase the dollar amount limitation of $2,500 per room to not to exceed $3,000 per room, and the dollar amount limitation of $9,000 per family unit to not to exceed

$9,400 per family unit, as the case may be, to compensate for the higher costs incident to the construction of elevator-type structures: And provided further, That the Commissioner may, in his discretion, increase any of the foregoing dollar amount limitations by not to exceed $1,250 per room without regard to the number of rooms being less than four, or four or more, in any geographical area where he finds that cost levels so require."

SEC. 103. (a) (1) The first paragraph of section 221 (a) of the National Housing Act is amended to read as follows:

"This section is designed to supplement systems of mortgage insurance under other provisions of the National Housing Act in order to assist (1) in relocating families from urban renewal areas, (2) in relocating families to be displaced as the result of governmental action in a community respecting which (A) the Housing and Home Finance Administrator has made the certification to the Commissioner provided for by subsection 101 (c) of the Housing Act of 1949, as amended, or (B) there is being carried out a project covered by a Federal aid contract executed, or prior approval granted, by the Housing and Home Finance Administrator under title I of the Housing Act of 1949, as amended, before the effective date of the Housing Act of 1954, or (C) there is being carried out an urban renewal project assisted under section 111 of the Housing Act of 1949, as amended, and (3) in relocating families residing in the environs of a community described in clause (2) which are to be displaced as the result of governmental action."

(2) The second paragraph of section 221 (a) of such Act is amended—

(A) by inserting before the colon preceding the first proviso a comma and the following: “and in the environs of such communities as provided in clause (3) above";

(B) by striking out "in any such community" in the second proviso and inserting in lieu thereof "in or near any such community";

(C) by striking out "(1)" in the third proviso and inserting in lieu thereof "(2) (A)"; and

(D) by striking out "(1)", "(2)", and "(3)", wherever they appear in the last proviso, and inserting in lieu thereof respectively "(2) (A)", "(2) (B)", and "(2) (C)”.

(3) Section 101 (c) of the Housing Act of 1949 is amended by striking out "if the mortgaged property is in a community referred to in clause (2) of section 221 (a) of said Act", and inserting in lieu thereof "if the mortgaged property is in an area described in clause (3) of section 221 (a) of said Act, or in a community referred to in clause (2) (B) of said section".

(4) Section 101 (c) of such Act is further amended by striking out "in a community" in clause (iii) of the last proviso.

(b) Section 221 of the National Housing Act is further amended—

(1) by striking out "$9,000" and "$10,000" wherever they appear in paragraphs (2) and (3) of subsection (d) and inserting in lieu thereof "$10,000" and "$12,000", respectively;

(2) by striking out of paragraph (3) of subsection (d) "not in excess of the Commissioner's estimate of the value of the property or project when constructed or repaired and rehabilitated, for use as rental accommodations for ten or more families eligible for occupancy as provided in this section;" and inserting in lieu thereof "not in excess of (1) in the case of new construction, the amount which the Commissioner estimates will be the replacement cost of the property or project when the proposed improvements are completed (the replacement cost of the property or project may include the land, the proposed physical improvements, utilities within the boundaries of the property or project, architect's fees, taxes, and interest during construction, and other miscellaneous charges incident to construction and approved by the Commissioner), or (2) in the case of repair and rehabilitation, the Commissioner's estimate of the value of the property when the proposed repair and rehabilitation is completed: Provided, That such property or project, when constructed, or repaired and rehabilitated, shall be for use as rental accomodations for ten or more families eligible for occupancy as provided in this section;"

(3) by inserting the following new paragraph (4) in subsection (d) and renumbering the present paragraph (4) of subsection (d) as paragraph (5) :