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11. I think we voqueront for greater cooperation is

le to many places they simply are not talking to Hy it was boung or coordinate. Only when a crisis es Tilm preting toother,

MI SMAN 10.10. Tank you very much.

MMos providing. I will now yield to the ranki wms of the committee, the distinguished gentleman

Mi Wall
Mi Wanne Thuk you.

MI Macus laoreninly want to join in welcoming you Il whommittee today. While I came in a little bit late, Juliana che mi by reading your testimony and I Il me thumpit

Ilula alabile the point that you have made, by In heising allowance program and the nat Ihon man, is one that is substantiallo correct. There is no I won't learli understand what the administr

And while there is a hiatus that is quite har Hunde puerum for low income people.

Ihan millell the epmmitment that rour own orgar human, men det er in the housing field i

half of the Parliame group and mii t'Am Hll phone with it. So I am sur AND *******??, * papper der ernest, and

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vania and I hope you will continue and build on it. I am sure the 0

people are grateful for all your advice, dedication, and hard work. sen

Governor, it is a policy of this committee to make everybody feel at

home and we would like you and your associates to feel relaxed; lean o the ranking rour living room.

hack as though you are looking at one of your favorite programs in crentleman free

If you wish to speak extemporaneously, you may do so. If you wish to put your statement in the record in full, that may be done. Governor,

hefore you start, I would like you to introduce your associates for the coming rou here

record. Ele bit late, as por cony and I unders STATEMENT OF HON. MILTON J. SHAPP, GOVERNOR OF THE STATE

OF PENNSYLVANIA; ACCOMPANIED BY WILLIAM WILCOX, made by pins

SECRETARY, PENNSYLVANIA DEPARTMENT OF COMMUNITY d the nature of

AFFAIRS; AND RICHARD W. LINCOLN, SPECIAL ASSISTANT, Times ont monstration

NATIONAL GOVERNORS' CONFERENCE
Governor Suapp. There are two associates with me today. One is the
Secretary of the Community Affairs of the Commonwealth of Penn-
ylvania, Bill Wilcox, and the other associate is Richard Lincoln, who
is with the National Governors' Conference. Some of my remarks are
my personal remarks and the official remarks of the State, and some of
ir remarks are jointly shared by the National Governors Conference,
and I would assume by almost all of the other Governors in the country.

I greatly appreciate your comments, and I appreciate also the opportunity of appearing before this subcommittee to express my views 0:1 this very important subject of housing, because unless we have detent housing for all of our citizens we are not really fulfilling the greatness that we could have here in America.

I appreciate the opportunity to appear before you today to testify on H.R. 10036, the proposed Housing and Urban Development Act of 1973. The need for comprehensive legislation in this area is crucial, and I commend this subcommittee for moving ahead with consideration of this proposal.

The events occurring since the national administration's cruel, abrupt, and unjustified imposition of the moratorium on federally subsidized housing programs last January have shown beyond a doubt that it is up to Congress to take the initiative in developing programs to house our low- and moderate-income citizens.

This is so because the Nixon administration, in my view, has shown itself to be completely incapable of addressing a domestic priority as rital as all others: Decent housing for all Americans. Mr. Chairman, before I offer my comments on H.R. 10036, I would like to make some brief comments on the administration's proposals. The President, as I mentioned a moment ago, imposed a moratorium in federally assisted housing programs in January, contending that

existing programs hadn't worked and that new approaches were needed. The administration assured the Nation that, if it would only wait patiently for a few months, all the problems of housing our low-and moderate-income families would be solved.

I might note here that we in Pennsylvania were not content to "wait.* The Commonwealth of Pennsylvania initiated a suit in Federal court last spring, contending that the moratorium was an illegal

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14-233 0.74 - pt. 1 - 35

[graphic]
[blocks in formation]

A BILL TO ESTABLISH A PROGRAM OF COMMUNITY DEVEL-
OPMENT AND HOUSING BLOCK GRANTS, TO CONSOLIDATI
SIMPLIFY, AND IMPROVE LAWS RELATING TO HOUSING
AND URBAN DEVELOPMENT ACTIVITIES, AND FOR OTHER

PURPOSES

H.R. 7277
A BILL TO PROVIDE FEDERAL REVENUES TO STATE AND
LOCAL GOVERNMENTS AND AFFORD THEM DISCRETION IN
CARRYING OUT COMMUNITY DEVELOPMENT ACTIVITIES

H.R. 10688
A BILL TO SIMPLIFY LAWS RELATING TO HOUSING AND

HOUSING ASSISTANCE

H.R. 10689
A BILL TO PROVIDE FOR THE GUARANTEE OF PRIVATE

MORTGAGE INSURANCE

PART 1

OCTOBER 9, 10, 11, 12, 16, AND 17, 1973

Printed for the use of the Committee on Banking and Currency

U.S. GOVERNMENT PRINTING OFFICE

WASHINGTON : 1978

24-038 0

B344 1973 € ptil

COMMITTEE ON BANKING AND CURRENCY

WRIGHT PATMAN, Texas, Chairman
WILLIAM A. BARRETT, Pennsylvania WILLIAM B. WIDNALL, New Jersey
LEONOR K. (MRS. JOHN B.) SULLIVAN, ALBERT W. JOHNSON, Pennsylvania
Missouri

J. WILLIAM STANTON, Ohio
HENRY S. REUSS, Wisconsin

BEN B. BLACKBURN, Georgia THOMAS L. ASHLEY, Ohio

GARRY BROWN, Michigan WILLIAM S. MOORHEAD, Pennsylvania LAWRENCE G. WILLIAMS, Pennsylvania ROBERT G. STEPHENS, JR., Georgia

CHALMERS P. WYLIE, Ohio FERNAND J. ST GERMAIN, Rhode Island MARGARET M. HECKLER, Massachusetts HENRY B. GONZALEZ, Texas

PHILIP M. CRANE, Illinois JOSEPH G. MINISH, New Jersey

JOHN H. ROUSSELOT, California RICHARD T. HANNA, California

STEWART B. MCKINNEY, Connecticut TOM S. GETTYS, South Carolina

BILL FRENZEL, Minnesota FRANK ANNUNZIO, Illinois

ANGELO D. RONCALLO, New York THOMAS M. REES, California

JOHN B. CONLAN, Arizona JAMES M. HANLEY, New York

CLAIR W. BURGENER, California
FRANK J. BRASCO, New York

MATTHEW J. RINALDO, New Jersey
EDWARD I. KOCH, New York
WILLIAM R. COTTER, Connecticut
PARREN J. MITCHELL, Maryland
WALTER E. FAUNTROY, District of Columbia
ANDREW YOUNG, Georgia
JOHN JOSEPH MOAKLEY, Massachusetts
FORTNEY H. (PETE) STARK, JR., California
LIND (MRS. HALE) BOGGS, Louisiana

PAUL NELSON, Clerk and Staff Director
CURTIS A. PRINS, Chief In vestigator

BENET D. GELLMAN, Counsel
JOSEPH C. LEWIS, Professional Staff Member

DAVIS Couch, Counsel
ORMAN S. FINK, Minority Staff Direclor

SUBCOMMITTEE ON HOUSING

WILLIAM A. BARRETT, Pennsylvania, Chairman
LEONOR K. (MRS. JOHN B.) SULLIVAN, WILLIAM B, WIDNALL, New Jersey
Missouri

GARRY BROWN, Michigan
THOMAS L. ASHLEY, Ohio

J. WILLIAM STANTON, Ohio
WILLIAM S. MOORHEAD, Pennsylvania BEN B. BLACKBURN, Georgia
ROBERT G. STEPHENS, JR., Georgia MARGARET M. HECKLER, Massachusetts
FERNAND J. ST GERMAIN, Rhode Island JOHN H. ROUSSELOT, California
HENRY B. GONZALEZ, Texas
HENRY S. REUSS, Wisconsin
RICHARD T. HANNA, California

GERALD R. MCMURRAY, Staff Director

GEORGE GROSS, Counsel
BENJAMIN B. MCKEEVER, Counsel

RAYMOND K. JAMES, Counsel
ANTHONY VALANZANO, Minority Counsel

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