Expanding Affordable Housing

ver the past few years, I have emphasized three basic ideas—community, opportunity and responsibility—that I believe are at the heart of a more dynamic and prosperous America. The priorities of the Department of Housing and Urban Development, from making sure that hardworking Americans realize the dream of home ownership, to addressing the tragedy of homelessness, are outstanding examples of how our government can empower people and institutions.”

—President Bill Clinton

President Clinton recognizes that Americans’ homes are central to their lives.  He is working to increase housing opportunities for all Americans, make homes and communities safer and more secure, and reinvent the Department of Housing and Urban Development (HUD) to meet America’s housing and community development needs. The Clinton Administration is implementing the most far-reaching changes in public housing in decades—demolishing the worst housing developments, cracking down on bad management, rewarding residents who work, and combatting crime.

He is transforming public housing by:

	Helping increase the nation’s home ownership rate to its highest level in 15 years.
	Entering into an unprecedented partnership with more than 50 key public- and private-sector organizations to form a National Home Ownership Strategy. Coupled with a stable economy and low interest rates, this initiative is working to help 8 million more families become homeowners by the year 2000.
	Revamping the Federal Housing Authority (FHA) to meet the needs of today’s consumers—through streamlining and consolidating services and automating functions using the latest technologies. FHA is also providing home purchase loans for low-income and minority home buyers at more than twice the rate of conventional home purchase loan insurers.
	Working to reduce barriers to home ownership caused by unlawful discrimination. To date, HUD has signed 70 “Best Practices” agreements with key lenders that are resulting in more fair lending practices and expanded opportunities for low-income and minority families.
	Fulfilling his promise to permanently extend the Low-Income Housing Tax Credit, spurring the private development of low-income housing and helping to build more than 120,000 homes each year.
	Launching an innovative public-private partnership initiative to encourage pension funds to invest in the production and rehabilitation of affordable multi-family housing. These partnerships will create 3,500 units of affordable housing for working families and the elderly.
	Improving the HOME Program to increase significantly housing and rental assistance to families. In fiscal years 1994 and 1995, the Administration provided approximately 127,000 families with housing assistance through the HOME program and over 19,000 families with HOME tenant-based rental assistance.
	Continuing to expand rental assistance for a record number of renter households who struggle to pay over 50% of their very low incomes toward rent and utilities. This assistance is critical for states and localities in helping families make the transition from welfare to work.
	Strengthening and extending the Home Equity Conversion Mortgage, which allows seniors to use the equity in their homes to meet financial needs without having to sell their homes.
	Tearing down 30,000 units of the worst public housing and replacing them with townhome-style developments to help renew our neighborhoods. HUD has awarded $1.44 billion in grants to spur economic development and change the shape of 85 public-housing developments nationwide.
	Cracking down on bad management in public housing by taking over the most troubled public-housing authorities and forming innovative partnerships with local and state officials.
	Changing admission rules and rent calculations to reward working families and increase opportunity and responsibility. The Administration is helping to make public housing a springboard to further opportunities and a safe place to live through: Campus for Learners initiative to transform public-housing developments into centers for living and learning. Aggressive implementation of the “One-Strike-and-You’re-Out” policy that helps prevent drug dealers and violent offenders from terrorizing public-housing residents. Operation Safe Home, under which federal law enforcement agencies are working with local police and public housing residents and managers to increase the arrest and conviction of violent and drug-related suspects. This initiative has resulted in the arrest of thousands of criminals and the confiscation of hundreds of assault weapons—and $3 million worth of drugs.
	Proposing a restructuring of HUD to respond to local needs to help people improve their own lives. This would consolidate HUD’s 60 programs into three flexible performance-based funds, giving mayors and governors the flexibility to develop housing and community investment strategies, continue the transformation of public housing, provide portable vouchers to residents of the worst developments, and turn HUD into a “community-first” agency by relocating and empowering local personnel.
	Making homeless assistance a top priority and doubling funding since 1993. In 1995 HUD awarded $900 million to over 800 transitional and permanent housing programs nationwide to help homeless individuals and families move from the streets to permanent housing. As a result of these efforts, HUD’s homeless programs are serving 300,000 individuals, a 14-fold increase since 1993.

Building on Our Progress

The Clinton Administration is continuing to create stronger neighborhoods and cities. The Administration is working to increase access to housing and provide more affordable housing for all Americans by:

	Continuing efforts to expand home ownership for all Americans.
	Continuing working to build affordable homes and revitalize neighborhoods.
	Continuing aggressive efforts to transform public housing.
	Expanding the Campus for Learners initiative to build education and technology linkages in public housing.
	Continuing to expand opportunities for choice through tenant-based assistance for residents of public and assisted housing.

Meeting Our Challenges Protecting Our Values

Paid for by Clinton/Gore ’96 General Committee, Inc.