Ask the Scholar

Document scope · 1 page
doc
Scholar
Ask about this object, its catalog metadata, its source description, or the page inventory. For page-specific OCR and visual context, open one of the page chats.

Scholar Source Context

Document identity
localId
54979551
label
[Low Income Housing Credit] [4]
core
doc
dtoType
document
pageCount
1
Source metadata
Source extras
naId
54979551
levelOfDescription
fileUnit
otherTitles
42-t-4212804-20140224F-009-007-2017
recordType
description
ocrSource
nara-archive
Single page context
seq
1
pageIndex
0
type
document
mediaId
366a648ee17f9d5f
ocrText
FOIA Number: 2014-0224-F FOIA MARKER This is not a textual record. This is used as an administrative marker by the William J. Clinton Presidential Library Staff. Collection/Record Group: Clinton Presidential Records Subgroup/Office of Origin: National Economic Council Series/Staff Member: Gene Sperling Subseries: OA/ID Number: 10089 FolderID: Folder Title: [Low Income Housing Credit] [4] Stack: Row: Section: Shelf: Position: S 17 4 6 3 iSC LOCAL INITIATIVES SUPPORT CORPORATION 1825 K STREET, N.W., SUITE 1100, WASHINGTON, D.C. 20006 TEL: (202) 785-2908 FAX: (202) 835-8931 November 15, 1995 Mr. Gene Sperling Deputy Assistant to the President The White House 1600 Pennsylvania Avenue, N.W. 2nd Floor, West Wing Washington, DC 20500 Dear Mr. Sperling: Attached is a letter to President Clinton requesting his support of the Low Income Housing Tax Credit (Housing Credit). As you know, despite widespread support, the Conference Committee has called for a December 1997 sunset of the Housing Credit. The sunset would disable the program in the coming two years, and ultimately result in repeal, because the Congress will be hard pressed to find funds to continue the program in 1997. As you will see from the attached letter, the Housing Credit is an immensely important tool for the production of low-income housing and it embodies the effective public/private partnerships which the Administration so enthusiastically promotes. The resounding support which the Housing Credit has generated is a testament to its success across party lines, among investors, the media and local development organizations. We continue to do all that we can to avoid the sunset. I urge you to do everything possible to keep this tremendously successful program on the President's short list of priorities in the upcoming negotiations on the budget package. I hope and trust that we can continue to count on your leadership. Sincerely, 65- Hope ave Cater Patricia A. Foley well- - Memeed Senior Vice President, External Affairs this one: your bodyys upon ISC LOCAL INITIATIVES SUPPORT CORPORATION 733 THIRD AVENUE, 8TH FL., NEW YORK, NY 10017 TEL: (212) 455-9822 FAX: (212) 682-5199 PAUL S. GROGAN, PRESIDENT November 15, 1995 The Honorable William Clinton President of the United States of America The White House 1600 Pennsylvania Avenue, N.W. Washington, DC 20500 Dear Mr. President: I am writing you with a sense of urgency to ask your assistance in preserving the Low Income Housing Tax Credit (LIHTC), the nation's primary means of attracting capital to affordable housing development. As a result of your strong leadership efforts in 1993, the LIHTC was made a permanent part of the tax system. Since that time, the program has matured into a tremendously successful means of providing housing to lower income families and revitalizing urban neighborhoods. Now, however, the Housing Credit is under serious threat; the budget bill making its way through Congress would terminate this highly successful program at the end of 1997. On behalf of the Local Initiatives Support Corporation, and the millions of Americans in need of quality, affordable housing, I ask that you make preservation of a permanent LIHTC one of your top priorities as you negotiate a budget package with Congress after your veto. The Housing Credit helps finance virtually every new apartment built for low-income renters in the United States, and is responsible for the construction of about a quarter of all multi- family construction nationwide. Since its creation in 1987, it has produced 750,000 units of housing and 114,000 units last year alone. In addition, it anchors economic growth in depressed communities, generating 90,000 jobs, $2.8 billion in wages and salaries and $1.3 billion in tax revenues each year. At LISC alone, in the last two years we have raised over $600 million for low-income housing through the credit, which exceeds the amount we raised in the previous five years before permanency. An outstanding advantage of the program is that it directs private sector capital to economically depressed areas; funding that would be impossible without the encouragement of the federal government. I am enclosing materials that highlight the widespread support for the program -- support of federal, state and local government officials from all parts of the political spectrum, the news media, community based organizations and investors. The speed and facility with which we have been able to mobilize forces on behalf of the credit during the recent debate in Congress is testament to the program's success. The enclosures include letters of support from members of Congress (including three-quarters of all Senators), the National Governors Association, the Republican Governors Association (which accompanied letters from 26 governors opposing the sunset), a sampling of media support, and a copy of a letter of support signed last week by over 1300 non-profit and for-profit organizations nationwide. Because of the tremendous success of the Housing Credit, we have been able to generate very strong support for this program across the nation and in Congress. For that reason, we cannot understand why Congress would take this action to terminate the program. As you sit down with Congressional leaders in the weeks ahead to negotiate a budget agreement, we ask that you maintain your long-standing commitment to affordable housing and work hard to preserve the Housing Credit. Sincerely, Dane Paul S. Grogan JACK METCALF COMMITTEE ON RESOURCES 2D DISTRICT, WASHINGTON SUBCOMMITTEES FISHERIES, WILDLIFE AND OCEANS COMMITTEE ON BANKING AND NATIVE AMERICAN AND INSULAR AFFAIRS FINANCIAL SERVICES SUBCOMMITTEES Congress of the United States COMMITTEE ON SMALL BUSINESS FINANCIAL INSTITUTIONS AND house of Representatives SUBCOMMITTEE ON TAX AND FINANCE CONSUMER CREDIT DOMESTIC AND INTERNATIONAL MONETARY POLICY Washington, DC 20515-4702 October 30, 1995 The Honorable Newt Gingrich Speaker of the House H232 Capitol Washington, D.C. 20515 Dear Speaker Gingrich: We are writing to express our concerns regarding the elimination of the permanent status of the Low- Income Housing Tax Credit (LIHTC) in the Reconciliation bill and the possibility of sunsetting this program at the end of 1997. Since its inception in 1986, the LIHTC has been successful at attracting private investment for affordable rental housing. Both nonprofit and for-profit developers compete for these credits to construct or renovate affordable housing for low income individuals. According to the National Association of Home Builders, this program creates approximately 90,000 jobs a year, resulting in $2.8 billion in wages and $1.3 billion in tax revenue. The LIHTC is a decentralized program administered by states according to their specific housing needs. The LIHTC is successful because it is a market driven program, free of interference from Washington. Investors exercise strict business discipline over the operation and development of this housing. As you know, building housing requires a great amount of time. A developer or builder needs adequate time to obtain the appropriate forms and meet building codes before constructing or renovating a unit. Ending LIHTC permanent status would make it difficult for state and local governments, investors and developers to make appropriate long-term planning decisions. Consequently, this would hinder the effectiveness of this program and reduce the number of participants willing to invest in, and build affordable housing. We would like an opportunity to review all tax credits next year. However, we see no reason why we can't achieve this task while maintaining the permanent status of LIHTC. Once the GAO reports its recommendations, we can make administrative changes to safeguard this program. We are asking you to please restore the permanent status of the Low-Income Housing Tax Credit. This credit is a form of a tax block grant which provides state and local governments with the resources to meet housing needs. The Low-Income Housing Tax Credit is a valuable program and critical in providing affordable housing for our citizens. Sincerely, CC: Reconciliation Conferees Jack Metcalf WASHINGTON OFFICE EVERETT OFFICE BELLINGHAM OFFICE 507 CANNON BUILDING 2930 WE TMORE AVENUE, #901 322 No. COMMERCIAL #203 WASHINGTON DC 20515 EVERETT. WA 98201 BELLINGHAM. WA 98225 (202) 225-2605 (206) 252-3188 (360) 733-4500 (800) 562-1385 PRINTED ON RECYCLED PAPER Dong Bautz Clestopher Shays Collis Smith Join W abh Siee Barritt Mill in Cashe Son key Dich Chayler Frank A.LeBwids Wike Cropo JDSx tru Calmet Allen Chenowith Beng ng the hutiz snewkilly Her May Ranhma Pitr Blute J.Melang tephen Hom Jim longlay Pete King Charles H. Jaylor JomDains Party Ben Gilman Hal Rogers Philenglish They Bahlert Neil aberoombie Earl 7. Hilliard andrea Seastrand BrattitA Sommy Bour Hannl Cable Luis V.Inting WR Kaugh math John Lewis Marcy Reed Muhar L.Bm Ed Whitfuld William Clay Ron BayFroul Ton Lantos Ed Markey Bant Shunch Mark Joley LF Payme De Brander France Mascara Cardy Jate Very Ry Well for Knowlenbay Jan Farr Carrie P. Meek BarbaraB. Kannolly Bobby Had Done Banet Zar Tim Holden Buy frither R TM. Miming In trucy Day Z Room Dichs J Baiac SiJohson PatWill Jane Evans Bruce Vento Jun Obeartar Rosa L. Danna Spene Jahur Pite Putsh Jack Ruim gembompy. Ga Leuis John T.Doolittle Ed Bryant Dave Holes mink nike New Forber Jay Drihey no Ano Cho. T.Conady Dane Camp Low Income Housing Tax Credit Members signing Mr. Mecalf's letter to Speaker Gingrich Member Member Republicans 1. Mr. Lazio 40. Mr. Longley (ME) 2. Mr. Young (AK) 41. Mr. Bilbray 3. Ms. Johnson (CT) 42. Mr. Tate 4. Mr. McCrery 43. Ms. Morella 5. Mr. Nethercutt 44. Mr. Cunningham 6. Mr. English 45. Mr. Gilman 7. Mr. Camp 46. Mr. Forbes 8. Mr. Chrysler 47. Mr. Bartlett (MD) 9. Mr. Baker (LA) 48. Mr. Heineman (NC) 10. Mr. Fox 49. Ms. Seastrand 11. Mr. LoBiondo 50. Mr. Shays 12. Mr. Smith (NJ) 51. Mr. Upton 13. Mr. Bereuter 52. Mr. Rogers 14. Mr. Calvert 53. Mr. Boehlert 15. Ms. Roukema 54. Mr. Bachus 16. Ms. Chenoweth 55. Mr. Quinn 17. Mr. Ney 56. Mr. Funderburk 18. Mr. Hayworth 57. Mr. Flanagan 19. Mr. Klug 58. Mr. Colbe 20. Mr. Torkildsen 59. Mr. Lewis (KY) 21. Ms. Kelly 60. Mr. Moorhead 22. Mr. Blute 61. Mr. Doolittle 23. Mr. Hoke 62. Mr. Hobson 24. Mr. Whitfield 63. Mr. Bryant 25. Mr. Foley 64. Mr. Diaz-Balart 26. Mr. Bunn 65. Mr. Dickey 27. Mr. Walsh 66. Mr. Ehlers 28. Mr. Barrett (NE) 67. Mr. Canady 29. Mr. Salmon 68. Mr. Bonilla 30. Mr. Taylor (NC) 69. Mr. White 31. Mr. Castle 70. Mr. Crapo 32. Mr. Bono 33. Mr. King 34. Mr. Jones (NC) 35. Mr. Horn 36. Mr. Weller 37. Mr. Bateman 38. Mr. Davis 39. Mr. Knollenberg Member Member Democrats 1. Mr. Matsui 43. Mr. Deutsch 2. Ms. Kennelly 44. Mr. Gutierrez 3. Mr. Barrett (WI) 45. Mr. Torricelli 4. Mr. Luther 46. Mr. Conyers 5. Mr. Holden 6. Mr. Pomeroy 7. Mr. Baldacci 8. Mr. Berman 9. Mr. Rush 10. Ms. Lofgren 11. Mr. Fattah 12. Ms. Meek (FL) 13. Mr. DeFazio 14. Mr. Oberstar 15. Mr. Evans 16. Mr. Johnson (SD) 17. Mr. Dicks 18. Mr. Costello 19. Mr. Williams 20. Mr. Bentsen 21. Mr. Barcia 22. Mr. Vento 23. Mr. Minge 24. Ms. DeLauro 25. Mr. Lantos 26. Mr. Frank (MA) 27. Mr. Wyden 28. Mr. Menedez (NJ) 29. Mr. Stupak 30. Mr. Frost 31. Mr. Meehan 32. Mr. Clay (MO) 33. Mr. Markey 34. Mr. Lewis (GA) 35. Mr. Reed 36. Mr. L.F. Payne 37. Mr. Farr 38. Mr. Mascara 39. Mr. Browder 40. Mr. Mfume 41. Mr. Abercrombie 42. Mr. Hilliard 7.0.8 BOB GRAHAM FLORIDA United States Senate WASHINGTON. DC 20510-0903 October 5, 1995 The Honorable William V. Roth, Jr. Chairman Senate Committee On Finance Washington, D.C. 20510 Dear Senator Roth: We are writing to express cur opposition to the decision by the House Ways and Means Committee to sunset the Low Income Housing Tax Credit (LIHTC) program at the end of 1997. The LIHTC has been extremely successful since its enactment as part of the Tax Reform Act of 1966. Today, the LIHTC is one of the primary government tools for attracting private investment in affordable rental housing. Nearly one in four apartments constructed use the LIHTC as part of its financing package. The National Association of Home Builders estimates that the construction activity associated with the program creates about 90,000 jobs each year, paying $2.8 billion in wages and generating $1.3 billion in tax revenues. The LIHTC works well because it supports a public-private partnership approach to affordable housing production. The states administer the program according to their housing needs and their partners bring investments, management discipline, and development expertise. For many nonprofit housing developers, the tax credit provides critical access to much-needed equity. Since the program began, the LIHTC program has mobilized more than $12 billion in private investment in affordable housing. As the Senate Finance Committee proceeds to work on tax legislation this month, we urge you to do everything you can to ensure that the legislation does not include any provisions that would and the Low Income Housing Tax Credit. Sincerely, PaulSaclann 40.29 5.170 October 5, 1995 5 Patrick Leahy Max Boucus Card Balars a. MehnShi Day Rahyelle Vafin Chuck Roll Paul Willstone Box Tom Harbi Heib Kohl Chin Dr.Sl Milling John Breams Amy You 1. Kahay Care Levin John Slenn Burbars Buse Party Munay J bill Jron Dale Banyan 3 5'115M 12:29 5.8/8 October 5, 1995 Pit Holling ClaiPa Pel Karmedy Jun Bezum Upwaykeid REPUBLICAN GOVERNORS ASSOCIATION Vow AMERICA'S,CHAJORITY September 27, 1995 The Honorable William V. Roth. Jr. Chairman Finance Committee United States Senate Washington, D.C. 20510 Dear Bill: You know how much we share the balanced budget goal. However, we strongly urge you not to sacrifice the Low Income Housing Tax Credit - our states' most effective tool for providing affordable housing to our low income families. We urge you to sustain the Tax Credit's permanence in the Senate Finance Committee's budget Reconciliation Bill, and to insist on its inclusion in the conference with the House. To accept the House Ways and Means Committee's Tax Credit sunset is to accept the Tax Credit's repeal. Since Congress created it in 1986, the Tax Credit has generated more than 730,000 new apartments nationwide, more than 110,000 each year at current rates. The Tax Credit currently accounts for one out of every four new apartments constructed nationwide and virtually every one of the new apartments built for low income renters. It is a key element in the recovering real estate industry. Sunsetting the Tax Credit will profoundly disrupt an industry that has just come into maturity as a result of the credit's permanency. Permanence for the Tax Credit has attracted high quality developers into low income apartment construction and has increased the amount of equity generated by each Tax Credit dollar invested in such apartments. Sunset sends the message to investors that Congress has given up on the program - despite its overwhehning success. The very threat of sunset may have already begun to undermine investor confidence that the Tax Credit will continue to be a reliable way to earn a fair return and help families in need. 310 FIRST STREET. SOUTHEAST WASHINGTON, D.C. 20003 (202)863-8587 FAX (202)863-8659 Paid for by the Republican Governors Association The Tax Credit is by no means "corporate welfare" and was not particularly designed for corporate investors at all. Corporations had not been major low income housing investors and accounted for only about 20 percent of Tax Credit use until recent years. Individuals' investments accounted for about 80 to 100 percent of the Tax Credit until then. Corporate Tax Credit investment has increased because the passive loss limitations in the 1986 Tax Reform Act strictly limit individual taxpayer Tax Credit investments. Nonprofit syndicators, such as The Enterprise Foundation and Local Initiatives Support Corporation, originally pioneered increased corporate investment in nonprofit projects, as individual investment dried up. We urge you on behalf of our nation's lower income families to preserve the permanent status of the Low Income Housing Tax Credit Sincerely, MichaelD. hearth Jola Engler Engl Michael O. Leavitt Governor of Utah Governor of Michigan Chairman Vice Chairman NATIONAL Tommy is Thompson Ravmond Scheppach" Governor e: Wisconsin Executive GOVERNORS Chairman ASSOCIATION Hairet Mates Bon Milier North Capitol Street Governor of Nevada Washington. DC 20001-1512 Vice Chairman Telephone 202 024-5300 September 27, 1995 Honorable William V. Roth Jr. Honorable Daniel Patrick Moynihan Chairman Ranking Member Committee on Finance Committee on Finance United States Senate United States Senate SD-219 Dirksen Senate Office Building SD-203 Hart Senate Office Building Washington, D.C. 20510 Washington. D.C. 20510 Dear Mr. Chairman and Senator Moynihan: We are writing to seek your support for maintaining the permanent Low Income Housing Tax Credit (LIHTC). As you develop the Senate Finance Committee's reconciliation legislation, we urge you not to change this valuable program which has assisted states in financing the construction of 800.000 decent, affordable apartments for Americans whose family incomes are lower than 60 percent of the area median. The LIHTC reduces the taxes of any corporation which invests in affordable housing that otherwise would not be built. It is a good example of leveraging limited public resources with private money for an important public good. As the attached policy statement of the National Governors' Association points out. Governors expressly support the tax credit and have asked the federal government to promote public- private partnerships to increase the construction of affordable housing. The permanent LIHTC is one of the best examples of a public-private partnership and a federal-state partnership. This tax credit is the only incentive the federal government makes available to invest in affordable apartment construction and rehabilitation. The loss of permanency in the program will significantly weaken the effectiveness of the tax credit as corporations will be unable to plan future investments, leaving states with fewer options for developing financing packages for affordable housing projects. We urge you both in the Senate Finance Committee and in Conference Committee to insist that this year's Reconciliation process not interrupt this successful and efficient affordable housing program. Sincerely, Bot Millia Governor ommy Thompson Governor Bob Miller Chairman Vice Chairman National Governors' Association National Governors' Association July M Miller ller Committee on Economic Development and Commerce October 31, 1995 The Honorable Bill Archer Chairman, Ways and Means Committee U.S. House of Representatives Washington, DC 20515 Dear Mr. Chairman: We are representatives of 1,300 nonprofit and for-profit housing and community development organizations, state and local governments, lenders, low income tenants, disability organizations, planning organizations, and real estate trade organizations writing to urge you to oppose any attempt to weaken or eliminate the Low Income Housing Tax Credit. The Housing Credit, enacted in 1986, has been tremendously successful across the nation providing affordable housing and revitalizing urban neighborhoods and rural communities where it is most needed. The Housing Credit currently accounts for about 25 per cent of all multifamily housing constructed in the U.S. and virtually all of the affordable rental housing. From 1987 - 1994, the Housing Credit produced 750,000 housing units nationwide and currently produces over 100,000 per year. The program is widely celebrated as a model federal program free of bureaucratic control and has enjoyed broad bipartisan support. Legislation to make the Housing Credit permanent -- which Congress finally enacted in 1993- was co-sponsored by 86 Senators and 332 Representatives. They supported the program because it is decentralized and is administered by state and certain local housing finance agencies and unfettered by the kind of federal interference that has so burdened other programs. It is also market oriented, depending on private investor capital rather than direct government subsidies. As a result, it has imposed extremely beneficial market discipline that makes the housing fundamentally sound for the long term. The Housing Credit encourages partnerships between corporations, state and local governments and affordable housing providers which have successfully transformed a number of declining neighborhoods and rural communities across the country. The Housing Credit has been used to finance housing that brings stability to the lives of community residents and has provided an anchor for further economic growth, private investment and jobs. Each year the Credit generates 90,000 jobs, $2.8 billion in wages and salaries and $1.3 billion in tax revenues. We urge you to ensure that the Housing Credit remains a permanent part of the tax code. A sunset would surely sign the death warrant for the program and devastate efforts to meet the housing needs of America's low-income families. Thank you for your help with this issue. Sincerely, The Honorable Bill Archer Page 2 Alabama Alabama Council of Rural and Affordable Housing, Tuscaloosa, AL Alabama Council on Human Relations, Inc., AL City of Bessemer AL, Quitman Mitchell, Mayor City of Birmingham, AL, Richard Arrington, Jr., Mayor City of Huntsville, AL, Steve Hettinger Mayor City of Tuscaloosa, AL, Alvin P. Dupont, Mayor Sisters of St. Joseph of Pineapple Alabama, Pineapple, AL Alaska Asa carsarmint Tribal Council, Mt. Village, AK City of Juneau, AK, Dennis Egan, Mayor Kuigpagmiut, Inc./Kuigpagmiut CDC, Mt. Village, AK Marshall Traditional Council, AK University of Alaska Southeast, Ketchikan Campus, Ketchikan, AK Yupiit of Andreafski, AK Arizona Arizona Planning Association, Phoenix, AZ Chicanos Por La Causa Self-Help, Nogales, AZ City of Peoria, AZ, Ken C. Forgia, Mayor Comite De Bienestar, Inc., San Luis, AZ Mercy Housing Arizona, Phoenix, AZ Primavera Foundation, Inc., Tucson, AZ Arkansas Arkansas Association of Community Development Corporation, Inc., AR City of North Little Rock, AR Patrick H. Hays, Mayor Delta CDC, AR Delta Research Education & Development Fund, AR Pulaski County Community Services, AR Sandflat-Glendale Neighborhood Development Corporation, Texarkana, AR University of Arkansas at Pine Bluff, AR California 1010 Development Corporation, Los Angeles, CA A Community of Friends, Los Angeles, CA Amador-Tuolumne Community Action Agency, Jackson, CA Arter & Hadden, Los Angeles, CA Asian American Drug Abuse Program, CA Asian Neighborhood Design, San Francisco, CA Assisted Housing Management Association Pacific Southwest, Costa Mesa, CA Atlantic Community Economic Development Corp., Long Beach, CA The Honorable Bill Archer Page 3 Bank of America, Walnut Creek, CA Bayview CDC, San Diego, CA Berkeley Oakland Support Services, Berkeley, CA Bridge Housing Corporation, San Francisco, CA Burbank Housing Development Corporation, CA Burbank Housing Development Corporation, Santa Rosa, CA Calexico Community Action Council, Calexico, CA California Affordable Housing Advocates, CA California Center For Housing Priorities, CA California Coalition For Rural Housing, CA California Coalition For Special Needs Housing, CA California Community Reinvestment Corporation, Pasadena, CA California Housing Partnership Corporation, CA California Mutual Housing Association, CA California Rural Legal Assistance Foundation, CA California-Nevada Community Action Association, CA Catholic Charities Housing Development Corporation, Oakland, CA Charo Community Development Corporation, Los Angeles, CA Christian Church Homes of Northern California, CA City and County of San Francisco, CA, City of Alhambra, CA, Mark R. Paulson, Mayor City of Anaheim, CA, Tom Daly, Mayor City of Baldwin Park, CA, Fidel Vargas, Mayor City of Bell Gardens, CA, Maria Chacon, Mayor City of Berkeley, CA, Shirley Dean, Mayor City of Brea, CA, Bev Perry, Mayor City of Campbell, CA, Donald R. Burr Mayor City of Carlsbad, CA City of Cathedral City, CA, David W. Berry, Mayor City of Culver City, CA, Steven Gourley, Mayor City of El Centro, CA, Gene P. Brister Mayor City of El Monte, CA, Patricia A. Wallach, Mayor City of Escondido, CA, Sid Hollins, Mayor City of Fontana, CA, David R. Eshleman, Mayor City of Fremont, CA, Gus Morrison, Mayor City of Gardena, CA, Donald Dear Mayor City of Glendale, CA, Richard M. Reyes, Mayor City of Hayward, CA, Roberta Cooper Mayor City of Lakewood, CA, Wayne E. Poercy, Mayor City of Lipland, CA, Robert R. Nolan, Mayor City of Modesto, CA, Richard A. Lang, Mayor City of Monteray Park, CA, Rita Valenzuela, Mayor City of Napa, CA, Ed Solomon, Mayor The Honorable Bill Archer Page 4 City of Newark, CA, David W. Smith, Mayor City of Oakland, CA City of Oakland Office of Housing and Neighborhood Development, Oakland, CA City of Oceanside, CA, Dick Lyon, Mayor City of Palmdale CA, James C. Ledford, Jr., Mayor City of Palo Alto, CA, Joe Simitian, Mayor City of Redding, CA, David Kehoe, Mayor City of Redding Housing, Redding, CA City of Richmond, CA, Rosemary M. Corbin, Mayor City of San Buenaventura, CA, Tom Buford, Mayor City of San Francisco, CA, Frank M. Jordan, Mayor City of San Jose, CA, Susan Hammer Mayor City of San Luis Obispo, CA, Allen K. Settle, Mayor City of Santa Ana, CA, Miguel Pulido, Mayor City of Santa Barbara, CA, Harriet Miller Mayor City of Santa Cruz, CA, Katherine Beiers, Mayor City of Santa Monica, CA, Paul Rosenstei, Mayor City of South Gate, CA, Albert Robles, Mayor City of Stanton, CA, Harry M. Dotson, Mayor City of Stockton, CA, Joan Darrah, Mayor City of West Covina, CA, Steve Herfert, Mayor City of West Hollywood, CA, John Heilman, Mayor Coachella Valley Housing Coalition, Indio, CA Community Asset Builders, San Francisco, CA Community Economics, Inc., Oakland, CA Community Housing Assistance Program, Inc., Orange, CA Community Housing Opportunities Corporation, Davis, CA Concerned Citizens of South Central, Los Angeles, CA Consumer Credit Counseling Service of Inland Empire, Riverside, CA Contra Costa County Community Services Department, CA Contra Costa County Office of Education, Richmond, CA Corridor Economic Development Corporation, Los Angeles, CA Curry Temple Community Development, Compton, CA Devine and Geng, Inc., San Francisco, CA Dignity Housing West, Inc., Oakland, CA Dunbar Economic Development Corporation, Los Angeles, CA East Bay Asian Local Development Corporation, Oakland, CA East Bay Habitat for Humanity, Oakland, CA East Bay Housing Organizations, Oakland, CA Ecumenical Association for Housing, San Rafael, CA Eden Housing, Inc., Hayward, CA El Pueblo Community Development Corporation, Los Angeles, CA Emergency Services Network, Oakland, CA The Honorable Bill Archer Page 5 Esperanza Community Housing Corporation, Los Angeles, CA Esperanza Housing & Community Development Corporation, Solana Beach, CA Fair Housing Council of Riverside County, Inc., CA Fair Housing Council of San Bernadino County, Inc., San Bernadino, CA First Interstate Bank of California First San Jose Housing, CA Fresno County Economic Opportunities Commission, Fresno, CA Greater Bethany Economic Development Corporation, Los Angeles, CA Greater Richmond CDC, Richmond, CA H. O. P. E. America, Pacoima, CA HAND, Napa, CA Hillview Mental Health Center, Lake View, California, Hollywood Community Housing Corporation, Hollywood, CA Housing & Development Consultants, Inc., Bakersfield, CA Housing California, CA Housing Conservation & Development Corporation, San Francisco, CA Human Options, Inc., South Laguna, CA Innovative Housing, Inc., San Rafael, CA Kaufman and Broad Multi-Housing Group Inc., Los Angeles, CA Korean Youth & Community Center, Inc., Los Angeles, CA Lake County Community Development Department, Lakeport, CA Latin American Civic Association, San Fernando, CA Laurin Associates, Citrus Heights, CA Los Angeles Coalition to End Homelessness, CA Los Angeles Community Design Center, Los Angeles, CA Many Mansions, Thousands Oaks, CA Marin Housing Council, San Rafael, CA Mercy Charities Housing California, San Francisco, CA Mid-Penisula Housing Coalition, Redwood City, CA Mid-Peninsula Housing Coalition, San Francisco, CA Mission Housing Development Corporation, San Francisco, CA Napa Valley Family Homes, Napa, CA National Partnership Investments Corporation, Beverly Hills, CA Neighborhood Empowerment & Economic Development, Inc., North Hills, CA Neighborhood House Association, San Diego, CA NHP, Inc., Los Angeles, CA Non-Profit Housing Association of Northern California, CA North County Housing Foundation, Escondido, CA Northern California Land Trust, CA Oakland Community Housing, Inc., Oakland, CA OCCUR, Berkeley, CA Oldtimers Foundation, Fontana, CA Pacific Asian Consortium in Employment, CA The Honorable Bill Archer Page 6 Palo Alto Housing Corporation, Palo, Alto, CA People's Self-Help Housing Corporation, San Luis Obispo, CA Project New Hope, Los Angeles, CA Providence House, Oakland, CA Public Law Center, Santa Ana, CA Pyatok Associates, Oakland, CA Related Equity Corporation, Irvine, CA Resources for Community Development, Berkeley, CA Rubicon Programs, Inc., Richmond, CA Rural Area Non-Profit Community Housing Organization, Del Mar, CA Rural California Housing Corporation, CA Rural Community Assistance Corporation, Sacramento, CA San Diego Community Housing Development Corporation, San Diego, CA Santa Cruz Community Housing Corporation, Santa Cruz, CA Self-Help Enterprises, Visalia, CA Shelter, Inc. of Contra Costa, Concord, CA Sister of the Holy Name CA Province Justice and Peace Committee, San Francisco, CA SK Management Company, Los Angeles, CA Skid Row Housing Trust, Los Angeles, CA Soledad Local Development Corporation, Soledad, CA South County Housing, Gilroy, CA Southern California Association for Non-Profit Housing, Los Angeles, CA Sun America, Inc., CA Sutro & Company, Inc., Los Angeles, CA The City of Stockton, CA The Related Companies of CA, Irvine, CA Ujamaa Res. Corporation, San Francisco, CA Venice Community Housing Corporation, Venice, CA Vermont Clauson Economic Development Corporation, Los Angeles, CA Ward Economic Development Corporation, Los Angeles, CA Colorado Allied Housing, Inc., CO Archdiocesan Housing Commission, Denver, CO Assisted Housing Management Association, Parker, CO Board of Otero County, CO City of Arvada, Arvada, CO City of Fort Collins, CO, Ann Azari, Mayor City of Loveland, CO, Ray Emerson, Mayor Denver Office of Planning and Community Development, Denver, CO Fort Collins Development Corporation, Fort Collins, CO Hadley Mendel Management Company, Denver, CO Hope Communities Inc., Denver, Colorado The Honorable Bill Archer Page 7 Hudson Real Estate, Denver, CO Larimer County Community Land Consortium, CO Mendel Allison Construction Company, Denver, CO Mercy Housing Inc., Denver, CO MJT Properties, Denver, CO TRAC-The Resource Assistance Center, Fort Collins, CO Connecticut ACF, Inc., Hamden, CT Action Housing, Inc., Norwalk, CT Becker and Becker Associates, Inc., New Canaan, CT Bridgeport Neighborhood Fund, Bridgeport, CT Bristol Community Organization, Inc., Bristol, CT Broad Park Development Corporation, Hartford, CT Central Connecticut Coast YMCA, Bridgeport, CT City of Danbury, CT, Gene F. Eriquez, Mayor City of Fairfield, CT, Paul Audley, Mayor City of Hartford, CT, Michael P. Peters, Mayor City of Naugatuck, CT, William C. Rado, Sr., Mayor City of New Britain, CT, Linda A. Blogoslawski, Mayor City of New Haven, CT, John DeStefano, Jr., Mayor City of West Haven, CT, H. Richard Borer Jr., Mayor Co-op Initiatives, Inc., Hartford, CT Co-Opportunity, Hartford, CT Co-op Initiatives, Hartford, CT Community Economic Development Fund, Bridgeport, CT Community Mental Health Affiliates, Inc., Bristol, CT Connecticut AIDS Residence Coalition, CT Connecticut Housing Coalition, CT Connecticut Housing Investment Fund, Hartford, CT Department of Economic and Community Development, Hartford, CT El Hogar Del Futuro, Inc., Hartford, CT Family Services Woodfield, Bridgeport, CT Farmington Affordable Housing Committee, Farmington, CT Housing Development Fund of Lower Fairfield County, Stamford, CT Human Services Council of Mid-Fairfield, Norwalk, CT McDillon Holdings, Inc., Bridgeport, CT Metro Realty Advisors, Farmington, CT My Sisters' Place, Hartford, CT Northeastern Connecticut CDC & Rural Homes, Ltd., Danielson, CT Nuestra Casa Del Pueblo, Bridgeport, CT Real Estate Solutions, Hartford, CT Ruth G. Price & Associates, Fairfield, CT The Honorable Bill Archer Page 8 St. Luke's Community Services, Stamford, CT Stamford Neighborhood Housing Services, Inc., Stamford, CT The Community Builders, Inc., New Haven, CT The Connection Fund, Inc., Middletown, CT United Services, Inc., Danville, CT Urban Initiatives, Stamford, CT Vision Housing, Inc., Hebron, CT Wentworth Properties, Inc., Darien, CT Delaware City of Wilmington, DE, James Sills, Jr., Mayor Interfaith Housing Delaware Inc., Wilmington, DE Ministry of Caring Job Placement Center, Wilmington, DE Washington, DC (includes national organizations) AFL-CIO Housing Investment Trust, Washington, DC AIDS Action Council, Washington, DC Alliance to End Childhood Lead Poisoning, Washington, DC American Association of Homes & Services for the Aging, Washington, DC American Friends Service Committee-Community Relations Division, Washington, DC American Institute of Architects, Washington, DC American Network of Community Options and Resources, Washington, DC American Planning Association, Washington, DC American Seniors Housing Association, Washington, DC Anacostia Economic Development Corporation, Washington, DC Association of Local Housing Finance Agencies, Washington, DC B'Nai B'Rith, Washington, DC Bazalon Center for Mental Health Law, Washington, DC CASH PLUS, Washington, DC Catholic Charities USA, Washington, DC Center for Community Change, Washington, DC Church Women United, Washington, DC Commission on Social Action of Reformed Judaism, Washington, DC Community Partnership for the Prevention of Homelessness, Washington, DC Community Preservation & Development Corporation, Washington, DC Consortium for Citizens with Disabilities Housing Task Force, Washington, DC Consumers Union, Washington, DC Council for Affordable Rural Housing, Washington, DC Council of Large Public Housing Authorities, Washington, DC Council of State Community Development Agencies, Washington, DC Housing Investment Trust, Washington, DC Housing Opportunities for Women, Washington, DC Institute of Real Estate Management, Washington, DC The Honorable Bill Archer Page 9 Jubilee Housing Inc., Washington, District of Columbia Latino Civil Rights Task Force, Washington, DC Latino Economic Development Corporation, Washington, DC Local Initiatives Support Corporation, Washington, DC Lutheran Office for Governmental Affairs, ELCA, Washington, DC National Apartment Association, Washington, DC National Assisted Housing Management Association, Washington, DC National Association of Affordable Housing Lenders, Washington, DC National Association of Community Development Loan Funds, Washington, DC National Association of Counties, Washington, DC National Association of Developmental Disabilities Council, Washington, DC National Association of Housing Cooperatives, Washington, DC National Association of Housing Redevelopment Organizations, Washington, DC National Association of Protection and Advocacy Systems, Washington, DC National Association of Realtors, Washington, DC National Coalition for the Homeless, Washington, DC National Community Development Association, Washington, DC National Community Mental Health Care Council, Washington, DC National Congress for Community Economic Development, Washington, DC National Cooperative Bank, Washington, DC National Cooperative Business Association, Washington, DC National Council of Senior Citizens, Washington, DC National Council of State Housing Agencies, Washington, DC National Housing & Rehabilitation Association, Washington, DC National Housing Conference, Washington, DC National Housing Law Project, Washington, DC National Housing Partnership, Washington, DC National Housing Trust, Washington, DC National League of Cities, Washington, DC National Low Income Housing Coalition, Washington, DC National Multi Housing Association, Washington, DC National Neighborhood Coalition, Washington, DC National Puerto Rican Coalition, Washington, DC National Rural Housing Coalition, Washington, DC National Trust for Historic Preservation, Washington, DC National Urban League, Inc., Washington, DC NETWORK: A National Catholic Social Justice Lobby, Washington, DC North Capitol Neighborhood Development, Washington, DC Paralyzed Veterans of America, Washington, DC SEEDCO, Washington, DC Simon Publications, Washington, DC The Enterprise Foundation, Washington, DC THE ARC, Washington, DC The Honorable Bill Archer Page 10 U.S. Conference of Mayors, Washington, DC United Way of America, Washington, DC Urban Ventures, Washington, DC Women & Poverty Project, Washington, DC Women Work/Network for Women's Employment, Washington, DC Florida Advanced Housing Corporation, Miami, FL Affordable Housing Solutions for Florida, Inc., FL Board of Monroe County, FL Central Florida Community Development Corporation, FL City of Boca Raton, FL, Carol Hanson, Mayor City of Boynton Beach, FL, Gerald Taylor Mayor City of Cape Coral, FL, Ralph G. Butler Mayor City of Clearwater FL, Rita Garvey, Mayor City of Daytona Beach, FL, Paul A. Carpenella, Mayor City of Hialeah, FL, Raul L. Martinez, Mayor City of Hollywood, FL, Mara Giulianti, Mayor City of Miami, FL, Stephen P. Clark, Mayor City of Pompano Beach, FL, Emma Lou Olson, Mayor City of St. Petersburg, FL, David J. Fischer Mayor City of Tallahassee, FL, Scott Maddox, Mayor City of Tampa, FL, Dick Greco, Mayor City of West Palm Beach, FL, Nancy Graham, Mayor Community Equity Investments, Inc., Pensacola, FL Dade Employment and Economic Development Corp. Inc. (DEEDC), Miami, FL Denihan & Associates, Pembroke Pines, FL East Little Havana Community Development Corporation, Miami, FL First Union National Bank - Florida, Jacksonville, FL Florida Housing Coalition, FL Greater Miami Neighborhoods, Miami, FL Homes In Partnership Inc., Apopka, FL Lee County Employment & Economic Development Corporation, FL Lee Davis NDC, Tampa, FL Little Haiti Housing Association, Inc., Miami, FL Madison County Community Development, Edwardsville, FL Metro - Dade County, Miami, FL Metro-Miami Action Plan, Miami, FL Miami Beach CDC Miami Beach, FL Miami Beach Development Corporation, Miami Beach, FL Miami Housing's Community Development Corporation, Miami, FL Orange County Housing Finance Authority, Orlando, FL Orlando Department of Housing & Community Development, Orlando, FL The Honorable Bill Archer Page 11 Planning & Development Department, City of Orlando, FL USF Area Community Civic Association, Tampa, FL William R. Rough & Company, St. Petersburg, FL Georgia Atlanta Neighborhood Development Partnership, Atlanta, GA Atlanta Task Force for the Homeless, Atlanta, GA Board of Chatham County, GA Board of DeKalb County, GA Board of Fulton County, GA Board of Newton County, GA City of East Point, GA, Patsy Jo Hilliard, Mayor Cobb Housing Inc., Marietta, GA, Georgia Coalition to End Homelessness, GA Georgia Planning Association, Stone Mountain, GA Housing Authority of the County of DeKalb, Decatur, GA Reynoldstown Revitalization Corporation, Atlanta, GA SE Regional Council of NAHRO, GA Wholistic Institute, Atlanta, GA Hawaii Affordable Housing Corporation of Maui County, Wailuku, HI Board of Kauai County, HI Board of the County and City of Honolulu, HI City of Hilo, HI, Stephen Yamashiro, Mayor County of Hawaii, HI County of Maui, Linda Crock, Mayor, HI, Honolulu Community Action Program, Honolulu, HI Idaho Boise Neighborhood Housing Services Inc., Boise, ID Family Assistance in Transitional Housing, Idaho Falls, ID Idaho Housing Coalition, ID Illinois Bethel New Life, Chicago, IL Center for Neighborhood Technology, Chicago, IL City of Anderson, IL, J. Mark Lawler Mayor City of Chicago, IL, Richard M. Daley, Mayor City of Evanston, IL, Lorraine H. Morton, Mayor City of Highland Park, IL, Raymond J. Geraci, Mayor City of North Chicago, IL, Bobby E. Thompson, Mayor City of Oak Park, IL, Lawrence Christmas, Mayor The Honorable Bill Archer Page 12 City of Rockford, IL, Charles E. Box, Mayor Cook County Planning and Development Commission, Chicago, IL Corver Community Action Agency, Galesburg, IL County of Lake, Community Development Department, Waukegan, IL County of Lake, Department of Planning, Waukegan, IL Greater Roseland Community Development Corporation, Chicago, IL Lawndale Christian Development Corporation, Chicago, IL Metropolitan Housing Development Corporation, Chicago, IL New Cities CDC, Harvey, IL North River Housing Development Corporation, Chicago, IL Rock River Valley Peace Action, Rock Falls, IL Rockford Neighborhood Redevelopment, Rockford, IL Rural Rental Housing Association of Illinois, Springfield, IL South Suburban Action Conference, Hazel Crest, IL Southern Illinois Coalition for the Homeless, Inc., IL Southwest Chicago Development Commission, Chicago, IL St. Edmund's Redevelopment Corporation, Chicago, IL Travelers & Immigrants Aid, Chicago, IL ZION Development Corporation, Rockford, IL Indiana BOS CDC, Indianapolis, IN CA$H PLUS, South Bend, IN CICOA The Access Network, IN City of East Chicago, IN, Robert A. Patrick, Mayor City of Elkhart, IN, James P. Perron, Mayor City of Fort Wayne, IN, Paul Helmke, Mayor City of Gary, IN, Thomas V. Barnes, Mayor City of Hammond, IN, Duane W. Dedelow, Jr., Mayor City of Lafayette, IN, James F. Riehle, Mayor City of New Albany, IN, Douglas B. England, Mayor City of Shelbyville, IN, Robert W. Williams, Mayor City of South Bend, IN, Joe Kernan, Mayor Concord Community Development Corporation, Indianapolis, IN Eastside Community Investments, Indianapolis, IN Hayes Realty Inc., Evansville, IN Housing Futures Institute, Muncie, IN Housing Partnerships, Inc., Columbus, IN Indiana Association for Community Economic Development, IN Indiana Coalition on Housing & Homeless Issues, IN Indiana Coalition on Housing and Homeless Issues, IN Indiana Economic Development Academy, IN KB Parrish & Company, CPA, Indianapolis, IN The Honorable Bill Archer Page 13 King Park Area Development Corporation, Indianapolis, IN Martin Luther King Community Development Association, Indianapolis, IN NDC Douglas Properties, Inc., Hammond, IN Northwest Indiana Habitat for Humanity, Inc, IN Pathfinder Services, Inc., Huntington, IN Sisters of Providence Motherhouse Peace & Justice Group, St.-Mary-of-the-Woods, IN South Bend Heritage Foundation, South Bend, IN Southeast Neighborhood Development, Indianapolis, IN Iowa Home-In-Stead, Inc., Osecola, IA Iowa Department of Economic Development, Des Moines, IA Iowa Institute for Low-Income Housing, IA Metro Area Housing Program, Cedar Rapids, IA Mid City Vision Coalition, Inc., Des Moines, IA Muscatine's Center for Strategic Action, Muscatine, IA South Central Iowa Development Corporation, IA South Central Iowa Revolving Loan Fund, Inc., IA Kansas Barker Neighborhood Association, Lawrence, KS Big Brothers/Big Sisters of Douglas County, Lawrence, KS City of Manhattan, KS, Edith L. Stunkel, Mayor Housing & Credit Counseling Inc., Topeka, Kansas Housing & Credit Counseling, Inc., Topeka, KS Independence Inc., Lawrence, KS Kaw Valley Chapter Older Women's League & Douglas County Advocacy Council on Aging's Joint Housing Committee, Lawrence, Kansas Lawrence Job Service, Lawrence, KS Mennonite Housing Rehab Services, Wichita, KS The City of Lawrence, KS Topeka Housing Partnership, Inc., Topeka, KS Wichita Indochinese Center Inc., Wichita, KS Kentucky City of Covington, KY, Denny Bowman, Mayor Family Resources, Inc., Winchester, KY Federation of Appalachian Housing Enterprises, Inc., KY Mountain Association for CED, Berea, KY Office of Peace and Justice of the Sisters of Divine Providence, Melbourne, KY Louisiana City of Alexandria, LA, Edward G. Randolph, Jr., Mayor The Honorable Bill Archer Page 14 City of Monroe, LA, Robert E. Powell, Mayor City of New Orleans, LA, Marc Morial, Mayor City of Shreveport, LA, Robert W. "Bo" Williams, Mayor E. Hunter & Associates, New Orleans, LA Mid City Redevelopment Alliance, Baton Rouge, LA Ronald L. Brignac & Associates, New Orleans, LA Rural Rental Housing Association of Louisiana, LA Southern Research and Development Corporation, New Iberia, LA Starthrowers, Franklin, LA Xavier Triangle NDC, New Orleans, LA Maine Coastal Enterprises, Inc. Wiscasset, ME Freeport Housing Trust, Inc., Freeport, ME Maryland City of Baltimore, MD, Kurt L. Schmoke, Mayor City of Rockville, MD, James F. Coyle, Mayor Community Housing Associates Inc., Baltimore, MD Development Training Institute, Baltimore, MD Devlin, Inc., Oakland, MD Ferris Baker Watts, Inc., Baltimore, MD Garrett County Community Action Committee, Inc., Oakland, MD Garrettland, Inc., Oakland, MD Homes for America, Annapolis, MD Interfaith Housing Development Corporation of the Maryland Eastern Shore, Denton, MD McAuley Institute, Silver Spring, MD Neighborhood Rental Services of Baltimore, Inc., Baltimore, MD Sandtown Habitat for Humanity Inc., Baltimore, MD Southwest Visions Inc., Baltimore, MD St. Luke's House, Inc., Chevy Chase, MD Tri Churches Housing, Inc., Baltimore, MD Tri-County Community Development Corporation, Hughesville, MD Victory Housing, Inc., Rockville, MD The Housing Counseling Clearinghouse, Gaithersburg, MD Massachusetts Acre Triangle Community Development Corporation, Lowell, MA AIDS Housing Corporation, Boston, MA Berkshire Housing Development Corporation, Pittsfield, MA Boston Aging Concerns - Young and Old United, Boston, MA Chelsea Neighborhood Housing Service, Chelsea, MA City of Beverly, MA, William F. Scanlon, Jr., Mayor The Honorable Bill Archer Page 15 City of Boston, MA, Thomas M. Menino, Mayor City of Chicopee, MA, Joseph J. Chessey, Jr., Mayor City of Everett, MA, John R. McCarthy, Mayor City of Haverhill, MA, James Rurak, Mayor City of Lynn, MA, Patrick J. McManus, Mayor City of Springfield, MA, Robert T. Markel, Mayor Coalition for a Better Acre, Lowell, MA Community Teamwork, Inc., Lowell, MA Housing Assistance Corporation, Hyannis, MA Jamaica Plain Neighborhood Development Corporation, Jamaica Plain, MA Just-A-Start Corporation, Cambridge, MA Lena Park Community Housing, Dorchester, MA Massachusetts Association of CDCs, Boston, MA Salem Harbor CDC, Salem, MA South Shore Housing Development Corporation, Kingston, MA Urban Edge, Roxbury, MA Worcester Common Ground, Worcester, MA Michigan Cass Corridor Neighborhood Development Corporation, Detroit, MI Christian Outreach Rehabilitation & Development, Benton Harbor, MI Church of the Messiah Housing Corporation, Detroit, MI City of Detroit, MI, Dennis W. Archer Mayor City of Inkster, MI, Edward Bivens, Jr., Mayor City of Lansing, MI, David C. Hollister Mayor City of Livonia, MI, Robert D. Bennett, Mayor City of Oak Park, MI, Gerald Naftaly, Mayor City of Pontiac, MI, Elick Shorter Mayor City of Portage, MI, Donald E. Overlander Mayor Cooperative Services, Inc., MI Core City Neighborhoods, Detroit, MI Court Street Village Non-Profit Housing Corporation, Flint, MI Detroit Neighborhood Housing Services, Detroit, MI Detroit Shoreway Community Development Organization, MI Emmanuel Community House, Detroit, MI First of America, Grand Rapids, MI Flint Community Development Corporation, Flint, MI Flint Neighborhood Improvement and Preservation Project, Inc., Flint, MI Grandmont Rosedale Development Corporation, Detroit, MI Great Lakes Bancorp, Ann Arbor, MI Housing Corporation, Detroit, MI Housing Resources, Inc., Kalamazoo, MI Hubbard Farms Community Group, Detroit, MI The Honorable Bill Archer Page 16 Human Development Commission, Caro, MI Human Resources Opportunities, Fowlarville, MI Independent Management Services, Detroit, MI Islandview Village Development Corporation, Detroit, MI Joy of Jesus, Detroit, MI Kalamazoo County Human Development, MI Kalamazoo Neighborhood Housing Services, Kalamazoo, MI Kalamazoo Valley Habitat for Humanity, MI Mexicantown Commercial Development, Detroit, MI Michigan Housing Council, MI New Hope Community Development Non-Profit Housing Corporation, Detroit, MI New Hope Non Profit Housing Corporation, Detroit, MI Northwest Detroit Neighborhood Development, Inc., Detroit, MI Pax Christi Michigan, Sylvan Lake, MI Peace and National Priorities Center, Sylvan Lake, MI Portage Community Outreach Center, Portagve, MI REACH, Inc., Detroit, MI Redeemer Community Development Corporation, Detroit, MI Saint Ignatius Non Profit Housing Corporation, Detroit, MI Southwest Alliance for Neighborhood, Detroit, MI Southwest Detroit Business Association, Detroit, MI U-SNAP-BAC, Detroit, MI United Streets Networking & Planning: Building A Community, Detroit, MI V.I.S.I.O.N., Inc., Detroit, MI VanCasCap, Lawrence, MI Warren/Conner Development Corporation, Detroit, MI Washington Heights Committee for Change, Battle Creek, MI West Detroit Inter-Faith Community Organization, Detroit, MI William T. Dobson, Ann Arbor, MI Minnesota American Indian Housing Corporation, Minneapolis, MN Anoka County Community Action Program, Inc., Blaine, MN Becker County HRA, Detroit Lakes, MN Board of Olmsted County, MN Board of Polk County, MN Central Minnesota Housing Partnership, MN City of Eden Prairie, MN, Jean Harris, Mayor City of Hastings, MN, City of Minneapolis, MN, Sharon Sayles Belton, Mayor City of Richfield, MN, Martin J. Kirsch, Mayor Dakota County HRA Rosemount, MN Dayton's Bluff Neighborhood Housing Services, St. Paul, MN The Honorable Bill Archer Page 17 Duluth Community Action Program, Duluth, MN Farmers & Merchants State Bank, New York Mills, MN Farmers State Bank, Waubun, MN First National Bank, Monahga, MN Frogtown Action Alliance, St. Paul, MN Holy Redeemer Church, Marshall, MN Housing Initiatives, St. Paul, MN Justice & Service Team, St. Joseph, MN Koochiching-Itasca Action Council, Grand Rapids, MN Lyndale Neighborhood Development Corporation, Minneapolis, MN Mahoney, Ulbrich, Christiansen & Russ, P.A., Minneapolis, MN Midwest Minnesota Community Development Corporation, Detroit Lakes, MN Minneapolis Community Development Agency, Minneapolis, MN Minnesota Community Action Association, MN Minnesota Housing Partnership, MN Minnesota's Community Development Corporation, MN MNCARH, Taylors Falls, MN Neighborhood Development Center, Inc., St. Paul, MN Northeast Metro Coalition for Affordable Housing, White Bear Lake, MN Northstar CDC, Duluth, MN Northwoods Bank of Minnesota, Park Rapids, MN Norwest Bank Minnesota, Minneapolis, MN Office for Social Justice, St. Paul, MN Overcoming Poverty Together, Mankato, MN Perham State Bank, Perham, MN Political Advocates of Affordable Housing Dakota Co., Lakeville, MN Project for Pride in Living, Inc., Minneapolis, MN Rochester/Olmsted Community Housing Partnership, Rochester, MN St. Paul Coalition For Community Development, St. Paul, MN Tri-County Action Programs, Inc., St. Cloud, MN Washington County HRA, St. Paul, MN Western Initiatives for Neighborhood Development, St Paul, MN Whittier Alliance, Minneapolis, MN Wilden NIP, St. Paul, MN Mississippi American Planning Association, Mississippi Chapter, MS Big River Housing Development Corporation, Marks, MS City of Natchez, MS, Larry L. Brown, Mayor City of Tupelo, MS, Jack L. Marshall, Mayor Friends of the Children of Mississippi, Jackson, MS Intervest Corporation, Jackson, MS Jackson Metro Housing Partnership, Jackson, MS The Honorable Bill Archer Page 18 Quitman County Development Organization, Inc., Marks, MS Rural Rental Housing Association of Mississippi, Jackson, MS United Management Systems, Macon, MS Missouri Blue Hills Homes Corporation, Kansas City, MO City of Independence, MO, Rondell F. Stewart, Mayor City of Kansas City, MO, Emanuel Cleaver II, Mayor City of St. Charles, MO, Robert L. Moeller Mayor City of St. Joseph, MO, Larry R. Stobbs, Mayor City of St. Louis, MO, Freeman R. Bosley, Jr., Mayor City of University City, MO, Janet Majerus, Mayor Community Builders-Kansas City, Kansas City, MO Community Development Corporation-Kansas City, Kansas City, MO Hamilton Heights Neighborhood Organization Inc., St. Louis, MO Historic Northeast Restoration Corporation, Kansas City, MO Midtown Community Development Corporation, Kansas City, MO Old Northeast, Inc., Kansas City, MO Regional Housing Alliance, St. Louis, MO Sisters of Charity of Leavenworth, Kansas City, MO St. Louis Association of Community Organization (SLACO), St. Louis, MO The Kitchen, Inc., Springfield, MO Twelfth Street Heritage Development Corporation, Kansas City, MO Montana Board of McCone County, MT City of Butte, MT, Jack Lynch, Mayor Nebraska City of Grand Island, NE, Ken Gnadt, Mayor City of Lincoln, NE, Mike Johanns, Mayor Kennebec Valley Community Action Program, Waterville, NE Nu-Style Development, Omaha, NE Platte Valley Community Development Initiative, Scottsbluff, NE Nevada Affordable Housing Resource Center of Southern Nevada, NV American Federal Savings, Las Vegas, NV Blackthorn Company, Las Vegas, NV Catholic Charities of Southern Nevada, Las Vegas, NV City of Las Vegas, NV, Jan Laverty Jones, Mayor Nevada Community Reinvestment Corporation, Las Vegas, NV Nevada Fair Housing, NV The Honorable Bill Archer Page 19 Nevada HAND, NV Nevada Homes for Youth, Las Vegas, NV Omaha Economic Development Corporation, Omaha, NV S.H.A.R.E., Las Vegas, NV Salvation Army, Las Vegas, NV Saxton Incorporated, Las Vegas, NV Southern Nevada Housing Corporation, Las Vegas, NV The Blackthorn Company, Las Vegas, NV The Shade Tree, Las Vegas, NV United Way of Southern Nevada, NV Womens Development Center, Las Vegas, NV New Hampshire Board of Hillsborough County, NH Community Economic Development Program/ New Hampshire College, Manchester, NH Laconia Area Community Land Trust, Laconia, NH New Jersey Affordable Housing Network of New Jersey, NJ Board of Camden County, NJ Catholic Community Services Housing Corporation, Newark, NJ City of Bayonne, NJ, Leonard P. Kiczek, Mayor City of Bridgewater NJ, James T. Dowden, Mayor City of East Orange, NJ, Cardell Cooper Mayor City of Edison, NJ, George A. Spadoro, Mayor City of Jersey City, NJ, Bret Schundler Mayor City of Newark, NJ, Sharpe James, Mayor City of Patterson, NJ, William J. Pascrell, Jr., Mayor City of Trenton, NJ, Douglas H. Palmer Mayor City of Vineland, NJ, Joseph Romano, Mayor City of West New York, NJ, Albio Sires, Mayor Community Access Unlimited, Inc., Elizabeth, NJ Donald Jackson Neighborhood Corporation, Newark, NJ Enterprise Foundation Newark, Newark, New Jersey Essex County Division of Housing & Community Development, Cedar Grove, NJ Felician Sisters, Lodi, NJ La Casa De Don Pedro, Newark, NJ O.C.E.A.N., Inc., Toms River, NJ St. James Community Development Corporation, Newark, NJ St. Joseph's Carpenter Society, Camden, NJ St. Paul's CDC, Paterson, NJ St. James Community Development Corp., Newark, NJ The Honorable Bill Archer Page 20 New Mexico City of Roswell, NM, Thomas E. Jennings, Mayor City of Santa Fe, NM, Debbie Jaramillo, Mayor Los Alamos Housing Partnership Inc, Los Alamos, NM Rural Housing, Inc., NM Siste Del Norte CDC, Ombudo, NM New York ABCCD, Brooklyn, NY Abyssinian Development Corporation, New York, NY Access Development Fund, New York, NY Addicts Rehabilitation Center, New York, NY Albany Housing Coalition, Inc., Albany, NY Alfred Housing Committee, Inc., Alfred, NY American Planning Association Upstate, New York Chapter, NY Aquinas Housing Corp., Bronx, NY Argus Community Inc., Bronx, NY Arker Companies, Woodmere, NY Asian Americans for Equality, Inc., New York, NY B.U.I.L.D., Bronx, NY Banana Kelly Community Improvement Association, Bronx, NY Battery Park City Authority, New York, NY Black United Fund of New York, New York, NY Broadway Housing Development Fund Company, New York, NY Bronx Shepherds Restoration Corporation, NY Brooklyn Neighborhood Improvement Association, Brooklyn, NY Builders for the Family and Youth Inc., Brooklyn, NY Capitol Hill Improvement Corporation, Albany, NY Caroll Gardens Association, Inc., Brooklyn, NY Carroll Garden Assoc., Inc., Brooklyn, NY Catherine McAuley Housing, Rochester, NY Cayuga Development, Auburn, NY Central Islip Civic Council, Inc., Central Islip, NY Citizens Alliance, Inc., Buffalo, NY City of Albany, NY, Gerald D. Jennings, Mayor City of Auburn, NY, Guy Thomas Cosentino, Mayor City of Binghamton, NY, Richard A. Bucci, Mayor City of Buffalo, NY, Anthony Masiello, Mayor City of Hempstead, NY, James A. Garner Mayor City of Rochester NY, William A. Johnson, Jr., Mayor City of Rockville Centre, NY, Eugene J. Murray, Mayor City of Syracuse, NY, Roy A. Bernardi, Mayor Clinton Housing Development Co., New York, NY The Honorable Bill Archer Page 21 Clinton Housing Development Company, New York, NY Coalition for Affordable Transitional Community Housing, Burnsville, NY Columbia Hall HDFC, New York, NY Committee for the Heights Inwood Homeless, New York, NY Common Ground Community, New York, NY Community Access, Inc., New York, NY Community Service Society of New York, NY Community Training & Resources Center, New York, NY Corporation for Supportive Housing, New York, NY Cortland Housing Assistance Council, Inc., Cortland, NY Cowanus Canal Community Development Corporation, Brooklyn, NY Cypress Hills Local Development Corporation, Brooklyn, NY East New York Urban Youth Corporations, Brooklyn, NY Ecumenical Community Development Organization, New York, NY Ecumenical Community Development Organization, Riverside, NY El Barrio Operation Fightback, New York, NY Ellicott District Community Development, Inc., Buffalo, NY Erasmus Neighborhood Federation, Brooklyn, NY FEGS, New York, NY Fifth Avenue Committee, Inc., Brooklyn, NY Fordham Bedford Housing Corporation, Bronx, NY Franciscan Sisters of the Atonement, New York, NY Gema Hall LP, New York, NY Greater Sheepshead Bay Development Corporation, Brooklyn, NY Harlem Restoration Project, Inc., New York, NY Harlem Congregations for Community Improvement, Inc., NY Harlem Restoration Project, Inc., NY Health Industry Resource Enterprises Inc., New York, NY Hill & Vale Affordable Housing, Inc., Schenectady, NY Housing 2000 LP, New York, NY Housing 2000, New York, NY Housing Partnership, Elmsford, NY Housing Visions Unlimited, Inc., Syracuse, NY Hudson River Housing, Inc., Poughkeepsie, NY Human Development Services of Port Chester, Inc., Port Chester, NY Institute for the Puerto Rican/Hispanic Elderly, New York, NY Kenmore Mercy Hospital, Kenmore, NY Lackawanna Housing Development Corporation, Lackawanna, NY Local Development Corporation of Crown Heights Housing Projects, Brooklyn, NY Long Island Housing Partnership, Hauppause, NY Longwood Historic District Community Association Inc., Bronx, NY Lower East Side Coalition Housing Development, Inc., New York, NY Lower West Side Development Corporation, Buffalo, NY The Honorable Bill Archer Page 22 Manhattan Valley Development Corporation, NY MBD Community Housing Corporation, Bronx, NY Measaruey Russell & Company CPAs, Hempstead, NY Met Council, New York, NY Metro Realty Advisors, New York, NY Metropolitan NY Coordinating Council on Jewish Poverty, New York, NY Midwood Development Corporation, Brooklyn, NY Morrisania Revitalization, Bronx, New York Mount Hope Housing Co. Inc., Bronx, NY Mount Vernon United Tenants, Mount Vernon, NY MTFA Support House Residence, New York, NY Multi-County Community Development Corporation, Highland, NY Nassau County OHIA, NY National Bank and Trust Company, Norwich, NY Neighborhood Coalition for Shelter Inc., New York, NY Neighborhood Housing of Rochester, Rochester, NY Neighborhood Housing Services of New York City, Inc., New York, NY Neighborhood Initiatives Development Corporation, Bronx, NY Neighborhood Preservation Coalition of New York State, Inc., NY Neighbors of Watertown, Inc., Watertown, NY New Directions in Community Revitalization, Inc., Bronx, NY New Urban Association, Inc., New York, NY New York State Coalition for the Homeless, Buffalo, NY New York State Department of Social Services, Albany, NY New York State Office of Mental Retardation and Developmental Disabilities, Albany, NY New York State Tenants and Neighbors Coalition, Albany, NY Northeast Brooklyn Housing Department, Brooklyn, NY Northeast Development, Inc., Rochester, NY Northern Manhattan Improvement Corp., New York, NY Northern Manhattan Improvement Corporation, New York, NY Northfield Community LDC, Staten Island, NY Old First Ward Community Association, Inc., Buffalo, NY Peoples Mutual Housing, New York, NY Phase: Piggy Back, Inc., Harlem, NY Phipps Houses, New York, NY Polish Community Center of Buffalo, Buffalo, NY PRATT Planning & Architecture Cooperative, Brooklyn, NY Project Return Foundation Inc., New York, NY Pueblo Nuevo HDH Inc., New York City, NY Queens Community Civic Organization, Flushing, NY Rockaway Development & Revitalization Corporation, Far Rockaway, NY Rockland Community Development Council, Inc., Monsey, NY Rural Opportunities, Inc., Rochester, NY The Honorable Bill Archer Page 23 Rural Ulster Preservation Company, Kingston, NY Ryer Avenue Housing DFC San Miquel Residence, Bronx, NY S.E.E.D.S., New York, NY Saccardi & Schiff Inc., White Plains, NY Saint Nicholas NPC, Brooklyn, NY SEBCO, Bronx, NY SEDS Development Corporation, New York City, NY Senior Housing Resource Corporation, Staten Island, NY Settlement Housing Fund Inc., New York, NY Sheldrake Organization, Hempstead, NY Simeon Service Foundation Inc., Bronx, NY Sisters of Charity of St. Vincent de Paul of New York, Bronx, NY Sisters of Mercy of the Americas- Justice Coordinating Team, Brookland, NY Southern Brooklyn Community Organization, Brooklyn, NY Spanish Action League, Syracuse, NY SRO Providers Group, New York, NY St. Joseph's Housing Corporation, Albany, NY St. Marks Housing Development, Brooklyn, NY St. Nicholas Neighborhood Preservation Corp., Brooklyn, NY Syracuse United Neighbors, Inc., Syracuse, NY The Community Preservation Corporation, New York, NY The Jericho Project, New York, NY The Urban Group, Bronx, NY Thorpe Family Residence, Bronx, NY Time of Jubilee, Inc., Syracuse, NY Troy Architectural Program, Inc, Troy Rehabilitation & Improvement Program, Inc., Troy, NY Turning Point, H.D.F.C., New York, NY Turning Point HDFC, Bronx, NY Two Plus Four Construction Company, East Syracuse, NY United Jewish Council of the East Side, Inc., New York, NY University Neighborhood Housing Program, Bronx, NY Urban Partnership, New York, NY Urban Pathways, New York, NY VIP Community Services, Bronx, NY Volunteers of America Greater New York, NY Washingtonville Housing Alliance, Namaroneck, NY West Harlem Community Organization Inc., New York, NY West Harlem Group Assistance, Inc., New York, NY West Side Federation for Senior Housing, Inc., New York, NY West Side Federation, New York, NY Westhab in Yonkers, Inc., Yonkers, NY Westhab, Inc., Elmsford, NY The Honorable Bill Archer Page 24 North Carolina Bennet College CDC, Greensboro, NC City of Asheville, NC, Russell Martin, Mayor City of Concord, NC, George W. Liles, Mayor City of Durham, NC, Sylvia Kerckhoff, Mayor City of Greensboro, NC, Carolyn S. Allen, Mayor City of Jacksonville, NC, M.C. (Joe) Choate, Mayor City of Wilmington, NC, Don Betz, Mayor Community Developers of Beaufort-Hyde, Belhaven, NC Downtown Housing Improvement Corporation, Raleigh, NC Greater Greensboro Housing Foundation Inc., Greensboro, NC Hayti Development Corporation, Durham, NC Housing Authority of the City of Asheville, Asheville, NC Metropolitan Low Income Housing Community Development Corp., Inc., Washington, NC MNCACDC, Raleigh, NC Nations Bank, Charlotte, NC North Carolina Community Development Initiative, NC North Carolina Rural Economic Development Center, NC Northwestern Regional Housing Authority, Boone, NC Rocky Mount/Edgecombe CDC, Rocky Mount, NC North Dakota City of Grand Forks, ND, Michael Polovitz, Mayor North Dakota Council for Rural Housing & Development, ND Ohio Avondale Redevelopment Corporation, Cincinnati, OH Bellaire Puritas Development Corporation, Cleveland, OH Board of Cuyahoga County, OH Board of Summit County, OH City of Akron, OH, Donald L. Plusquellic, Mayor City of Chillocothe, OH, Joseph P. Sulzer Mayor City of Cleveland, OH, Michael R. White, Mayor City of Fairborn, OH, Lynn E. Wolaver Mayor City of Garfield Heights, OH, Thomas J. Longo, Mayor City of Kettering, OH, Richard Hartmann, Mayor City of Lima, OH, David Berger Mayor City of Lorain, OH, Alex M. Olejko, Mayor City of Mansfield, OH, Lydia Reid, Mayor City of Newark, OH, Frank Stare, Mayor City of Strongsville, OH, Walter F. Ehrnfelt, Mayor City of University Heights, OH, Beryl E. Rothschild, Mayor City of Warensville Heights, OH, Raymond J. Grabow, Mayor The Honorable Bill Archer Page 25 Cleveland Housing Network, Inc., Cleveland, OH Cleveland Neighborhood Development Corporation, OH Coalition on Homelessness & Housing in Ohio, OH Corporation for Ohio Appalachian Development, Athens, OH East Akron Neighborhood Development Corporation, Akron, OH Fairfield Homes, Inc., Fairfield, OH Friends of Shaker Square, Cleveland, OH Glenville Development Corporation, Cleveland, OH Hallmark Management Associates, Cleveland, OH Historic Warehouse District Development Corporation, Cleveland, OH James L. Klear, Inc., Dayton, OH Kamm's Corners Development Corporation, Cleveland, OH Miles Ahead, Inc., Cleveland, OH Mischler Nurre & Waite CPAs, Dayton, OH Neighborhoods In Partnership, Toledo, OH Neighbors Organized for Action in Housing, Inc., Cleveland, OH New England Assisted Housing Management Association, Columbus, OH NH-Tech Housing Services, Columbus, OH Northeast Shores Development Corporation, Cleveland, OH Ohio Capital Corporation for Housing, Columbus, OH Ohio Department of Development, OH Portage Area Development Corporation, Ravenna, OH Ross County Community Action, Chillicothe, OH Simmit County, Akron, OH Sisters of Mercy Housing, Cincinnati, OH Slavic Village Broadway Development, Cleveland, OH South Lorain Community Development Corporation, OH Toledo Olde Towne Community Organization, Toledo, OH Transitional Housing Inc., Cleveland, OH Union Miles Development Corporation, Cleveland, OH Walnut Hills Redevelopment Foundation, Cincinnati, OH Westown Community Development Corporation, Cleveland, OH Bellaire Puritas Development Corporation, Cleveland, OH Oklahoma Little Dixie Community Action Agency, Inc., Hugo, OK Oregon Board of Lane County, OR Catholic Charities of Portland, Portland, OR CDC of Josephine County, OR Central City Concern, Portland, OR Citizens Committed to Community, Portland, OR The Honorable Bill Archer Page 26 City of Beaverton, OR Rob Drake, Mayor City of Corvallis, OR Helen M. Berg, Mayor City of Medford, OR Jerry Lausman, Mayor City of Portland, OR Vera Katz, Mayor Clackamas County Community Development Department, OR Clackamas County Department of Human Services, Clackamas, OR Community Action Agency of Yamhill County, McMinnville, OR Community Action Team, Inc., St. Helena, OR Downtown Community Housing, Inc., Portland, OR Famannka Housing Development Corporation, Woodbarn, OR Farmworker Housing Development Corp., Woodburn, OR HOST Development, Portland, OR Housing Authority of Clackamas County, Oregon City, OR Housing Development Center, Portland, OR Housing for People, Inc., Hood River, OR Human Solutions, Inc., Portland, OR Innovative Housing, Portland, OR Jubilee Fellowship Ministries, Portland, OR Linn County Affordable Housing, Lebanon, OR Low Income Housing Native Americans of Portland, Portland, OR Marion County, Salem, OR Metro CDC, Portland, OR Neighborhood Economic Development Corporation, Eugene, OR Neighborhood Partnership Find, Portland, OR Northeast Community Development Corporation, Portland, OR Northeast Housing Alternatives, Milauke, OR Northwest Housing Alternatives, Milauke, OR Oregon Community Action Team, OR Oregon Housing Now!, OR Oregon Office of Mental Health Services, OR Oregon Rural Housing Coalition, OR Portland Community Reinvestment Initiatives, Inc., Portland, OR Portland Development Commission, Portland, OR Portland Housing Center, Portland, OR Portland Housing Center, Portland, OR Portsmouth Community Redevelopment Corp., Portland, OR PSU Business Outreach, Portland, OR Reach CDC, Portland, OR REACH Community Development, Portland, OR Rose C.D.C., Portland, OR Sabin Community Development Corp., Portland, OR Sabin Community Development Corporation, Portland, OR Saint Vincent de Paul Society/Housing Programs, Eugene, OR The Honorable Bill Archer Page 27 SoCo Development, Klamath Falls, OR The Neighborhood Partnership Fund, Portland, OR The Neighborhood Partnership Fund, Portland, OR The Planning Group, Portland, OR Tualatin Jauey Housing Partners, Portland, OR Umpqua CDC, Roseburg, OR Pennsylvania Allegheny County Residential Finance Authority, Pittsburgh, PA Alliance For Better Housing, Kennett Square, PA Board of Chester County, PA Board of Dauphin County, PA Board of Lancaster County, PA Board of Monroe County, PA City of Chester PA, Barbara Bohannan-Sheppard, Mayor City of Erie, PA, Joyce A. Savocchio, Mayor City of Harrisburg, PA, Stephen R. Reed, Mayor City of Philadelphia, PA, Edward G. Rendell, Mayor City of Pittsburgh, PA, Tom Murphy, Mayor City of York, PA, Charles H. Robertson, Mayor Community Action Committee of the LV, Bethlehem, PA Community Human Services Corporation, Pittsburgh, PA Community Ventures, Philadelphia, PA Duquesne Business Advisory Corporation, Duquesne, PA Housing Consortium for Disabled Individuals, Philadelphia, PA Housing Development Corporation, Lancaster, PA Hunting Park C.D.C., Philadelphia, PA Interfaith Housing Development Corporation of Bucks County, Bristol, PA Jefferson Manor CDC, Philadelphia, PA Kensington Area Revitalization Project, Philadelphia, PA Lancaster Housing Opportunity Partnership, Lancaster, PA Mon Valley Initiative, Homestead, PA Monessen Community Development Corporation, Monessen, PA Northern Cambria Community Development Corporation, Barnesboro, PA Office of Human Relations, Archdiocese of Philadelphia, Philadelphia, PA Peace & Justice Ministry of Our Lady of Mt. Carmel Church, Doylestown, PA Pennsylvania Federation of CDCs, PA Philadelphia Neighborhood Housing Services, Inc., Philadelphia, PA Pittsburg Area Religion & Race, Pittsburg, PA Project H.O.M.E., Philadelphia, PA Sisters Place, Pittsburgh, PA St. Joseph's Church Parish Community, Wilkes-Barre, PA St. Mary's Church of the Immaculate Conception, Wilkes-Barre, PA The Honorable Bill Archer Page 28 Susquehanna Valley Development Group, Inc., Turbotville, PA The West Philadelphia Partnership CDC Philadelphia, PA Town of Bloomsburg, PA Urban Redevelopment Authority of Pittsburgh, PA Warrior Run Development Corporation, Turbotville, PA Yoder Builders, Inc., Turbotville, PA York County Planning Commission, York, PA Puerto Rico Asociacion de Puertoriquena en Marcha, San Huan PR City of Abuada, PR Julio C. Roman, Mayor City of Humacao, PR Julio Cesar Lopez Gerena, Mayor City of Juana Diaz, PR Santiago Martinez-Irizarry, Mayor City of San Juan, PR Hector Luis Acevedo, Mayor Desarollos Metalarte, Inc., Coamo, PR Rhode Island Church Community Housing Corporation, Newport, RI City of Pawtucket, RI, Robert E. Metivier Mayor City of Providence, RI, Vincent A. Cianci, Jr., Mayor Housing Network of Rhode Island, Providence, RI Omni Development Corporation, Providence, RI Smith Hill Community Development Corp., Providence, RI South Carolina Baskerville Ministries, Pawleys Islands, SC Board of Richland County, SC Bownman Low Rental Housing Co., Inc., Bowman, SC City of Charleston, SC, Joseph P. Riley, Jr., Mayor City of Rock Hill, SC, Elizabeth D. Rhea, Mayor Clark Estates of Columbia, Columbia, SC Nehemiah Corporation, Evansville, SC St. Vincent de Paul Society- Holy Trinity Catholic Church, Orangeburg, SC The N.E.W. Fund, Charleston, SC South Dakota Development For The Disabled, Rapid City, SD Midwest Assisted Housing Management Association, Sioux Falls, SD Mills Development Company, Inc., Sioux Falls, SD Mill Property Management, Inc., Sioux Falls, SD NESDCAP, Sisseton, SD The Honorable Bill Archer Page 29 Tennessee Affordable Housing of Nashville Inc., Nashville, TN Board of Shelby County, TN City of Memphis Division of Housing & Community Development, Memphis, TN City of Nashville, TN, Philip N. Bredesen, Mayor Knox County. The Development Corporation, Knoxville, TN Network for Community Economic Development, Nashville, TN Resource Foundation, Nashville, TN Scott-Morgan Community Development Corporation, Robbins, TN United Way of the Mid-South, Memphis, TN Texas AIDS Services of Dallas, Texas, TX American Agape Foundation, Inc., San Antonio, TX Assisted Housing Management Association of East Texas, TX Board of Fort Bend County, TX Catholic Charities, Diocese of Fort Worth, Inc., Fort Worth, TX Centro Para Desarollo De La Vivienda, Dallas, TX City of Austin, TX, Bruce Todd, Mayor City of Beaumont, TX, David Moore, Mayor City of Forest Hill, TX, Esterlene Griffin, Mayor City of Galveston, TX, Barbara Crews, Mayor City of Laredo, TX, Saul N. Ramirez, Jr., Mayor City of San Antonio, TX, William E. Thornton, Mayor City of Waco, TX, J. Robert Sheehy, Sr., Mayor Colonias Del Valle, Inc, Pharr, TX Community Enrichment Center, Inc., Fort Worth, TX Cornerstone Housing Corporation, Dallas, TX Domicile Property Management, Inc., San Antonio, TX East Austin Economic Development Corporation, Austin, TX Fifth Ward Community Redevelopment Corporation, Houston, TX Fort Worth Housing Authority, Fort Worth, TX Freedmen's Town, Houston, TX Greater Park Place CDC, Houston, TX GREENarc Corporation, Dallas, TX Harlingen Community Development Corporation, Harlingen, TX Housing Opportunities of Fort Worth, Forth Worth, TX Houston Chinatown Community Development Corporation, Houston, TX LaSalle Equity Group, Inc., Dallas, TX League of United Latin American Citizens District XV, San Antonio, TX New Community Builders Inc., San Antonio, TX Oak Cliff Development Corporation, Dallas, TX Our Casa Resident Council Inc., San Antonio, TX The Honorable Bill Archer Page 30 Panhandle Community Service, Amarillo, TX San Antonio Housing Authority, TX Southeast Texas Housing Finance Corporation, Pasadena, TX Sunnyside-UP, Inc., Houston, TX Tarrant County ACCESS for the Homeless, Fort Worth, TX Tenth Street Historic CDC, Dallas, TX Texas Alliance for Human Needs, TX Texas Housing Finance Corporation, TX The Laredo National Bank, Laredo, TX The Peace Housing Corporation, Dallas, TX U. U. Housing Assistance Corporation, San Antonio, TX Visitation House, San Antonio, TX YWCA of Fort Worth & Tarrant Co., Fort Worth, TX Utah Board of Fort Bend County, UT Board of Davis County, UT City of Logan, UT, Darla D. Clark, Mayor City of Salt Lake City, UT, Deedee Corradini, Mayor Park City Municipal Corporation, Park City, UT Virginia Accomack-Northampton Housing and Redevelopment Corporation, VA Accomack-Northampton Planning District Commission, VA Accomack-Northampton Regional Housing Authority, VA American Planning Association, Virginia Chapter, VA Blue Ridge Independent Living Center, Inc., Roanoke, VA Board of Accomak County, VA Board of Bath County, VA Board of Prince George County, VA Central Virginia Independent Living Center, Richmond, VA Church Hill Neighborhood, Inc., Richmond, VA City of Alexandria, VA, Patricia S. Ticer Mayor City of Chesapeake, VA, William E. Ward, Mayor City of Norfolk, VA, Paul Fraim, Mayor City of Richmond, VA, Leonidas B. Young, II, Mayor City of Spokane, WA, Jack Geraghty, Mayor ElderHomes Corporation, Richmond, VA Fairfax Housing Counseling Services, Inc., Springfield, VA Interfaith Housing Corporation, Richmond, VA Junction Center for Independent Living, Big Stone Gap, VA National Association of State Directors on Developmental Disabilities Services, Alexandria, VA The Honorable Bill Archer Page 31 Newland Samaritan Inn, Inc. and Miriam's House Inc., Lynchburg, VA Reston Interfaith, Reston, VA Richmond Better Housing Coalition, Richmond, VA Richmond Better Housing Corporation, Richmond, VA Richmond Neighborhood Housing Services, Richmond, VA Roanoke Redevelopment and Housing Authority, Roanoke, VA Southside Community Development & Housing Corporation, Richmond, VA SRO Housing of Richmond, Richmond, VA Vermont Burlington Community Land Trust, VT City of Burlington, VT, Peter Clavelle, Mayor Northern Community Investment Corporation, St. Johnsbury, VT Washington Board of King County, WA Capital Hill Housing Improvement Program, Seattle, WA Central Area Development Corporation, Seattle, WA City of Auburn, WA, Charles A. Booth, Mayor City of Everett, WA, Edward D. Hansen, Mayor City of Seattle, WA, Norman B. Rice, Mayor City of Tacoma, WA, Harold G. Moss, Mayor Common Ground, Seattle, WA Community Action Center, Pullman, WA Department of Community Services, Vancouver, WA Eastside Mental Health, Bellevue, WA Grandview Residents Council, Everett, WA Harbor Churches Community Outreach, Hoguiam, WA Housing Resources Group-Seattle, Seattle, WA Inland Empire Residential Resources, Spokane, WA Martin Luther King Ecumenical Center, Tacoma, WA Minority Executive Directors Coalition of King County, WA Northeastern Washington Rural Resources, WA Sisters of the Holy Name, Spokane, WA SouthEast Effective Development, Seattle, WA The Compass Center, Seattle, WA United Indians of All Tribes Federation, WA Urban Enterprise Center, Seattle, WA Washington Council for Affordable and Rural Housing, Bellevue, WA Wisconsin Ain Dah Ing, Inc., Shell Lake, WI Almena Business Development Corporation, Almena, WI The Honorable Bill Archer Page 32 Almena Commercial Club, Almena, WI Amery Land Development Associates, Almena, WI Bank of Turtle Lake, Turtle Lake, WI Cathedral Peace & Social Justice Group, Superior, WI Central Wisconsin Community Action Council, WI City of Madison, WI, Paul R. Soglin, Mayor City of Racine, WI, James M. Smith, Mayor City of Shell Lake, WI City of Wausau, WI, John D. Hess, Mayor Franciscan Sisters of Perpetual Adoration, La Crosse, WI Grandmothers for Peace Northland Chapter, Superior, WI Impact Seven, Almena, WI Northwest Wisconsin Community Services, Inc., Superior, WI Shell Lake Area Industrial Development Corporation, Shell Lake, WI The Alexander Company, Inc., Madison, WI Village of Almena, WI Western Wisconsin Development Corporation, WI Wisconsin Conference of Churches, WI Wisconsin Division of Housing, Madison, WI Wisconsin Housing Ministry Partnership, WI Wisconsin Partnership for Housing Development, WI West Virginia City of Wheeling, WV, John W. Lipphardt, Mayor Clay Mountain Housing Inc., Clay Mountain, WV Mental Health Association in Monongalia County, Morgantown, WV S.A.F.E., Inc., Welch, WV Wyoming City of Cheyenne, WY, Leo A. Pando, Mayor City of Douglas, WY The Washington Times WASHINGTON, D.C., THURSDAY, NOVEMBER 9, 1995 JOHN DANFORTH an Republicans shed the keep the tax credits only if the hous- the Housing Credit generates eral Democrats like then-Senate C bad rap that we don't care Housing ing performs in the open market as 90,000 jobs, $2.8 billion in wages Majority Leader George Mitchell about low income people promised, so that housing is built to and salaries, and $1.3 billion in tax and Rep. Charles Rangel of Harlem and communities? Not if we last, on time and on budget, and is revenues each year. to conservative Republicans like abandon the few social programs that reflect core Republican val- tax credits well maintained and operated effi- Moreovor, the Housing Credit now-Speaker Newt Gingrich and ciently. As a policy tool, the Hous- has shown us how real partner- Sen. Jesse Helms. The Republican ues, are proven successes and enjoy ing Credit has been incredibly effi- ships among community residents, Governors Association calls the broad support. That's why it makes cient; the typical house costs only the private sector, and government Housing Credit "a key element in no sense that the House Ways and Means Committee has targeted for where it $1,333 in tax credits per year for 30 at all levels can really work. One the recovering real estate industry years of service, and about 86 per- nonprofit organization, the Local and the most effective tool we have elimination the low-income Hous- cent of that amount actually goes to Initiatives Support Corp., has to see the housing needs of lower ing Tax Credit. build the housing. That's because raised more than a billion dollars in income renters." Jack Kemp has I helped create the Housing Credit in 1986 when Republicans counts investors must compete for a limit- investment for low income com- said he wouldn't be Jack Kemp if he ed number of state-designated munity sponsored housing from didn't support the Housing Credit. last controlled the Senate and developments. such prominent and sophisticated So why is the House Ways and Ronald Reagan was president. It But the Housing Credit pro- companies as the Bank of America, Means Committee proposing to end was the only significant new tax duces more than just housing. It Fannie Mae, Freddie Mac, and War- the Housing Credit? The committee incentive established under the multifamily housing construction, has become a primary federal ren Buffett's Berkshire Hathaway. cites a single, unsubstantiated landmark Tax Reform Act, and a and virtually all affordable rental resource for rebuilding distressed A respected business leadership charge that some taxpayers may dramatic contrast to previous hous- housing development, to the Hous- inner cities. Nonprofit self-help group, the Committee for Econom- inappropriately be claiming the ing programs that were poorly tar- ing Credit. Because it is flexible groups, called community devel- ic Development, recommends that Housing Credit, and has asked the geted, too expensive, plagued by and deployed by the states in con- opment corporations, have artful- the Housing Credit should be General Accounting Office to inves- the worst kind or federal bureau- sultation with local communities, ly used the Housing Credit to expanded, in part because it "cre- tigate. But the GAO has barely even cracy, divorced from the discipline the Housing Credit works well in a revive moribund neighborhoods ates a connection of mutual interest begun its inquiry, let alone con- of the marketplace, and rigidly wide range of urban, rural and sub- and a sense of community pride between investors and inner-city cluded that the program is flawed indifferent to local needs and pri- urban areas, and has built and reha- and hope, with remarkable results communities." That kind of corpo- beyond repair. That kind of justice orities. bilitated not just traditional apart- from South Central Los Angeles to rate-community collaboration is is straight out of Alice in Wonder- The Housing Credit has indeed ments, but also single family the part of the South Bronx where sorely needed at a time of rising land; sentence first, trial later. been different. It is run by the states homes, townhouses, and even sin- Colin Powell grew up amid pover- social fragmentation and pes- Instead of killing the Housing much like a block grant, not by the gle-room occupancy hotels for the ty. In my own home state, the simism about our ability to solve Credit, we should celebrate it as a Department of Housing and Urban homeless. Kansas City Neighborhood America's most intractable prob- leading example of a too rare breed: Development. Without federal Another strength is the Housing Alliance uses credit-financed hous- lems. a social program that really works. bureaucratic shackles, the Housing Credit's ability to mobilize entre- ing to bring stability to the lives of The Housing Credit proves that Credit got off to the fastest start of preneurial capitalism for public inner-city single parents, enabling history, and has been running hard in private investment, none of N ot surprisingly, so succcess- Republican values can generate any housing program in American benefit. It has attracted $12 billion them to get jobs, escape from wel- ful a program has attracted policy that is both effective and fare dependency, and even become broad bipartisan support. By compassionate. ever since. It has produced 750,000 which would have flowed to low homeowners. Such housing also the time the Housing Credit was housing units since 1987, and income housing otherwise. The pri- anchors further economic growth made a permanent part of the tax 114,000 units last year alone. The vate investors have brought rigor- in depressed and blighted areas, code in 1993, it had drawn co-spon- John Danforth is a former Repub- National Association of Home ous business discipline to the attracting additional private sorship from 86 senators and 332 lican member of the U.S. Senate Builders attributes almost half of all process. Investors can claim and investment and jobs. Nationwide, representatives, ranging from lib- from Missouri. The Washington Post THURSDAY, OCTOBER 19, 1995 3 V Met Successful Housing Credit Program for Poor in Peril By Guy Gugliotta Archer in July asked the General signed by the Republicans extolled the Washington Post Staff Writer Accounting Office to see whether the credit as a "crucial program" that had IRS adequately was monitoring the been "tremendously successful." t is a program the GOP should housing credit for fraud. He suggested The letter to Senate Finance Com- love-a federal tax incentive ad- in his letter that "the lack of a solid mittee Chairman Sen. William V. Roth ministered by the states that us- compliance program could cost taxpay- Jr. (R-Del.) also noted the credit ful- es private capital to benefit local ers as much as $600 million a year." filled GOP ideals because it was "a de- communities. The program's goal is Archer's office said the panel in- centralized program, administered by to produce rental housing for poor tended to examine the report and hold states according to their specific hous- people, and by almost any measure it hearings next year, with a view toward ing needs, free of interference from has been wildly successful. relenting on this year's decision. Still, Washington." It is successful, the let- Since its inception in 1986, the Low a spokesman acknowledged, the com- ter continued, "because it is market- Income Housing Tax Credit has been mittee has computed the savings for driven." There is little doubt, the let- used by private investors to build or seven years as if the program were ter said, "that a sunset of this program renovate nearly 740,000 housing units dead as of Dec. 31, 1997. is tantamount to killing it." nationwide. In 1995 it will help con- The housing credit grants a 10-year Without agreement by the Senate struct about 110,000 units, well over tax credit to corporations and individu- and House, the ultimate fate of the 90 percent of new low-income hous- als who invest in housing designed to housing credit will be decided when ing. serve families with incomes below 60 the two chambers meet in conference On Sept. 19, however, the House percent of the area median. on reconciliation bills. Ways and Means Committee on a par- Until now the federal government Low-income housing advocates are ty-line vote, approved a proposal by has allocated about $300 million in heartened by the Senate support, par- Committee Chairman Bill Archer (R- credits to the states each year. This ticularly since the housing credit "dis- Tex.) to terminate the housing credit money has enabled housing providers plays a lot of the attributes that the by the end of 1997. to leverage about $12 billion in direct new [Republican] majority would want The measure will be included in the private investment. to see," said Paul Grogan, president of House version of the reconciliation bill In the Senate, reconciliation so far the non-profit Local Initiatives Support destined for floor debate next week. has left the housing credit untouched Corp., which uses the credit to pro- "Sunsetting" the tax credit is expected and 44 senators, among them 14 Re mote partnerships between business to save the federal government $3.5 publicans, have registered dismay a and community housing providers. billion over the next seven years. the House action. A Sept. 27 letter "But we're scared to death." The New York Times SUNDAY, SEPTEMBER 24, 1995 Some See a Neighborhood's Slow Rebirth Stunted by Politics By FRANCIS X. CLINES WASHINGTON, Sept. 22 - A mere "The people doing mile north of the Capitol, up in the Shaw neighborhood's poverty ghetto, the Rev. Jim Dickerson wonders away with these aloud about politicians' enviable power to find certainty in fresh hy- programs have perbole. "They're locked in an ideological never been here.' battle that's out of touch with the reality down here on the streets," said Mr. Dickerson, a local pastor as apartments a year, more than 90 steeped in the intricate problems of percent of the nation's new low-in- the poor as any downtown profes- come housing. sional is in the arcana of special- "Amazing," said Mr. Dickerson, interest lobbying. speaking not of the program's re- Mr. Dickerson, whose scorn of sults but of the fact that it has just welfare dependence is visceral, been threatened in the dramatic started organizing the poor 35 years swoop of general cutbacks. in pro- ago as a Christian minister, when grams for the poor that is moving the cliché was "the war on poverty" rapidly through both houses of Con- and politicians backed it big. Now, gress. The housing tax credit and a still in the same rough neighborhood, companion program that requires he has survived long enough to see banks to take part in urban renewal the latest Congress delivering on the by extending mortgage loans in low- "Gingrich revolution" of multiple income neighborhoods are on the cutbacks for the poor. It disheartens budget-cutting block. In their vulner- him not for the motive so much as ability, they are largely overlooked the lawmakers' scant Interest in ac- in the more melodramatic debate tually looking into the good effects of over unwed mothers on welfare and the old, suddenly dying social strat- the passion to end traditional Fed- egy. eral guarantees of minimal help to "The people doing away with the poor. these programs have never been "The politicians have never seen here, never seen the work the money the people positively affected by this, has done," said Mr. Dickerson, the community transformed," Mr. standing in the lobby of the Whitelaw Dickerson continued, his voice echo- Hotel, an exemplar of the Shaw ing in the restored lobby of the neighborhood's slow, steady attempt Whitelaw, a landmark in the city's to rise from the ashes of the 1968 black history. "If they did, they urban riots. could not in any good conscience The Whitelaw was built by pioneer take this away." black entrepreneurs at the turn of Like community development pro- the century and gutted by poverty fessionals in poor neighborhoods and drugs, crime and fire in the across the United States, from large modern crisis of the citles. But it renewed swaths of the South Bronx stands handsomely renewed now to Shaw's wobbly resurrection here, and occupied for the last three years Mr. Dickerson was speaking in open by 35 welfare-free, working-poor despair at the notion that the low- families. Their arrival upward was Income housing tax credit program made possible through a Federal has few defenders, either in Con- community development program gress or in the embattled Federal that allows tax credits to private- bureaucracy, since it is rooted too sector developers in building 110,000 locally, too undramatically. Stephen Crowley/The New York Times A Federal program that encourages the develop- the last three years, 35 welfare-free, working-poor ment of low-income housing faces elimination as families have lived at the Whitelaw Hotel, a Wash- part of Congressional budget-cutting proposals. For ington, D.C., building renovated under the program. "The poor are going to get a huge era of overly generous Federal tax "This program is the engine that has pay cut this year, and its going to shelters open to large-scale corrup- allowed a great deal of neighborhood come in a variety of forms," noted tion. They want to "sunset" the pro- stabilization to occur." Paul S. Grogan, president of the Lo- gram with a tentative closing two Up in Shaw, Mr. Dickerson is des- cal Initiatives Support Coalition, an. years hence, a device community perately Inviting any and all law- intermediary group that helps chan- development professionals say makers to come and see the White-! nel expertise and resources to non- might help the new Congress find law before voting the sunset of the profit community development budget savings on paper but would sponsors in impoverished areas. instantly freeze construction of all program. No one is more opposed to the dependency system than the "But we don't have enough good new low-income housing in the na- families in the Whitelaw," he said, programs to part with this one; tion. that's the insanity of it," he said, "The change will be dramatic and expressing wonder at how sweeping and indiscriminate politicians can be describing the move against devel- it will be stark," said Mr. Grogan, opers' housing tax credit as an act of drawing a contrast with welfare cut- in delivering on promises of change. "carnage." backs whose effects might prove "They're Isolated," he said of Critics in Congress insist the cred- less discernible than a sudden stop In those politicians. "They're encapsu- it program is a hangover from the low-income housing construction. lated." Chicago Tribune FOUNDED JUNE 10. 1847 JACK FULLER, Publisher HOWARD A. TYNER, Editor N. DON WYCLIFE, Editorial Page Editor ANN MARIE LIPINSKI, Managing Editor/News OWEN YOUNGMAN, Managing Editor/Features F. RICHARD CICCONE. Associate Editor Real Estate SUNDAY, NOVEMBER 5, 1995 But these figures only tell half the story. Will housing Because the credits are often used to completely make over radically run-down apartment buildings that drag down city blocks and entire communities, they have incentive get become essential to efforts at neighbor- hood turnaround as well The program has been such a success just credit? that in 1993 Congress made it permanent, meaning that it didn't have to come up for periodic review. But budget-slashing House Republicans have voted to "sunset" By J. Linn Allen the program at the end of 1997, meaning TRIBUNE STAFF WRITER it would have to be reauthorized at that time. rom Uptown to the West Side, The provision is in the House budget F from Woodlawn to Edgewater, bill that has gone to a House-Senate community groups continually conference to be reconciled with the point to one federal program as Senate budget bill, which doesn't include crucial to revitalizing neighbor- the "sunsetting" language. The joint hoods plagued by abandoned or blighted budget bill, expected around Thanksgiv- buildings that, besides being eyesores, ing, also faces a possible veto from often are a magnet for drug pushers, President Clinton. gangs and prostitutes. Whatever happens, the prospect or an The program is the low-income housing interruption of the credits has chilled tax credit, a mechanism that allows cor- community groups who have come to porations and individuals to get 10 years depend on the program. of tax credits when they invest in low- "We take the worst building in an area income housing. and renovate it and gut rehab it," said The credits, which are administered by Jean Butzen, director of Lakefront SRO, states and big cities, are available for which specializes in providing housing for units that must be kept at restricted rents the homeless. for a minimum of 15 years. Tenant She pointed to the 5000 block of Win- income limits are set at varying levels throp Avenue in Uptown as a haunt of below the median for a given area. prostitutes and pushers and the site of Since they were introduced in 1987 the frequent violence before the group credits have constituted virtually the only rehabbed three buildings with 300 housing federal program supporting low-income units on the block. housing, generating about 750,000 housing "Due in large part to our efforts, an units around the country since then. entire block was completely turned Nearly 23,000 units have been developed around," she said. through credits allocated through the Credits provided a third of the capital Illinois Housing Development Author- and helped leverage the rest, Butzen said. ity-some of those in Chicago-and "If there were no tax credits, Lakefront another 10,000 through the Chicago SRO wouldn't exist," she said. "We would Department of Housing. never develop another unit of housing." The importance of these additions is The Rev. Richard Tolliver, rector of St. underlined when it is taken into account Edmund's Church at 6105 S. Michigan that about 69,000 housing units were lost Ave., in the South Side's Washington Park in the city from 1987 through 1991, neighborhood, said the area around the according to the U.S. Census Bureau. church was "basically a wasteland" characterized by vacant lots and boarded- up buildings when he arrived in 1989. Congregants who had moved out returned only on Sundays. With tax credits he has been able, Some private developers also starting in 1992, to renovate five buildings make a specialty of working with with 68 units for a total of $8.2 million the credits. and has submitted an application to rehab "It's one of the few programs 67 more units next year. out there for housing that has The renovations, done through the St. worked extremely well to accom- Edmund's Redevelopment Corp., have plish its goals," said Bruce created a "palpable sense of hope" in the Abrams, president of LR Develop- community, he said. ment, which redevelops both Tolliver said one woman who lost her affordable and top-end multifam- property insurance because she lived next ily housing. to an abandoned building had it restored He said his company rehabbed when the group pledged the building two of the worst buildings on the would be renovated, and the woman North Side, including one on began to fix up her property. Ridge Avenue near Senn High The landlady of an apartment building School in which 50 or 60 tenants, also began to do repairs after St. mostly drug dealers, had to be Edmund's worked on another empty evicted. building next to hers. "It wouldn't have been done if "She felt her investment was restored not for credits," he said. in her own property," Tolliver said. Abrams said the problem of He said using conventional financing sunsetting the program in 1997, even if it is reauthorized, is that for the projects-in the unlikely developers won't be able to plan event it could be obtained for rav- ahead and hire or keep on experi- aged buildings in ravaged neigh- borhoods-would drive up costs enced staff to work on what are SQ high that rents would have to almost always very complicated be raised beyond the means of projects-especially from a finan- local residents. Maximum cial standpoint. monthly rents for 4-bedroom The backers of sunsetting say apartments in the buildings he there have been reports of fraud has revived are in the mid-$500s, and abuse in the program and the he said. best way to keep an eye on irregu- "If tax credits were not avail- larities is to force its reauthoriza- able we couldn't do this," he said. tion every few years. "In Chicago it's the only way to One draft study by the Internal redevelop inner-city neighbor- Revenue Service, which is respon- hoods. If it closed down you sible for checking up on the $3 would watch further deteriora- billion in credits claimed each tion." year, said improperly claimed He added that St. Edmund's credits could total $600 million a Redevelopment Corp. would go year. That estimate, however, has out of business, which would been attacked by advocates of the probably mean that even those program as "fantasy" based on buildings already rehabbed would scanty and inaccurate research. deteriorate again, because their Occasionally cases of fraud or management would have to be abuse have been documented. A turned over to a private firm that probe of the Chicago Department would take a less personal inter- of Housing in the late 1980s est in them. showed credits were given where About 30 percent of the credits they weren't needed and for non- go directly to non-profit develop- low-income projects. ers such as St. Edmund's and Rep. Bill Archer (R.-Texas), Lakefront SRO, and a big chunk chairman of the House Ways and goes to private developers work- Means Committee, where the sun- ing with local non-profit groups. setting provision originated, has This feature of the program is requested a report be made by the important in two ways. For one General Accounting Office on pos- thing, the development is often sible irregularities. done by people who have a long- A spokesman for Archer said term stake in the neighborhood bringing the program up for and are involved with other com- review again would allow the munity development activities GAO report to be assessed and that can be dovetailed with hous- ing renovation and management. For another, community residents often get important work experi- ence doing the projects. St.Edmunds Square I 25 Photo for the Tribune by Karen Kring Rev. Richard Tolliver, in front of one of the project his church has rehabbed using low-income housing tax credits. "In Chicago, it's the only way to redevelop inner-city neighborhoods," he said. could in itself have a "chilling One small, single-family devel- effect" on fraud and abuse. opment of houses costing about But beneficiaries of the pro- $150,000 has been built near the gram fear disruptions like those University of Chicago campus, that occurred in the early 1990s, which includes a strip along when reauthorization got snagged Woodlawn's border with Hyde in political squabbling, throwing Park, and they are selling well, financing into turmoil, choking Knight said. off development and creating "But it wouldn't have been built costly delays. The program was if we couldn't have rehabbed the made permanent to avoid repeat- multifamily building sitting ing those problems. across the street or across the Abrams said it would be more alley," he added. "Those buyers appropriate to investigate cases of have the choice to move to the abuse but increase the level of suburbs rather than on a block credits, because they go along that's blighted." with the Republican policy of Those homes and others being transferring control to state and built in the Kenwood-Oakland local hands and letting private neighborhood north of Hyde Park and non-profit developers do the are seen as crucial to the long- work rather than having the gov- term preservation of Hyde Park ernment provide housing. itself-perhaps the city's most One of the neighborhoods in solid, prosperous, integrated which credits have been used neighborhood. extensively has been South Side "These neighborhoods north Woodlawn, where hundreds of and south of Hyde Park have suf- units have been renovated fered through 40 years of disin- through the Woodlawn Preserva- vestment, and are being recreated tion Investment Corp., a non- as economically integrated neigh- profit group. borhoods," said Jonathan Klein- Victor Knight, chairman, said bard, University of Chicago vice Woodlawn has lost more than half president for community affairs. its population and much of its "It's a sea change in urban life," housing stock in the last 20 years, he said, "and up until now, it but the vacant lots that remain couldn't have gone forward with- can't be used for new housing out tax credits, because no one until the existing apartment build- will invest next to a blighted ings are fixed up. building." THE NEW YORK TIMES, SUNDAY, OCTOBER 22, 1995 PERSPECTIVES The Ax Is Poised on Low-Income Housing Efforts In New York City, loss of tax-credit financing would be a sharp blow. By ALAN S. OSER NTO the great kettle of alphabet soup in which the designations of New York City housing programs swim, the Giuliani ad- ministration, early on, ladled the letters N.E.P. They stand for Neighborhood Entrepre- neurs Program. The idea behind this new program was that about half the occupied tax-foreclosed housing units that remain un- der centralized city management would be rehabilitated at city expense and put in the hands of small local businesspeople to own ând manage over a 10-year period. t Potentially about 3,000 buildings with 28,000 low-rent apartments in Harlem, Bed- ford-Stuyvesant, the South Bronx and other locations with large low-income populations could go in this direction. So far new owners have been chosen for 110 buildings with about 1,000 apartments. Closings, and subse- quent rehabilitations with tenants in place, are imminent. The new owners have al- feady started acting as building managers. It has not been a universally popular ap- proach to rehabilitation in housing circles, but Deborah C. Wright, the commissioner of the Department of Housing Preservation and Development, is gratified. "The tenants Photographs by Don Hogan Charles/The New York Times are ecstatic about having a live person to call about building problems," she said, as if answering those who worry that low-income tenants will be poorly served by private owners. The critics should more appropriately invest in low-income housing. Each state worry about the future of housing produc- gets an annual allocation of credits - $1.25 tion for low-income tenants at all. The per capita. New York State's allocation for Neighborhood Entrepreneurs Program is 1995 is $22.6 million, which commits the Fed- merely one of several approaches to re- eral Government to forgoing $226 million in habilitating blighted tax-foreclosed prop- taxes over 10 years. erty. An increasing number of them depend New York State has been able to generate on the Federal tax credit for low-income 30,000 units in about 700 new and substan- housing, currently threatened in Congress. tially rehabilitated developments under this Under a tax bill passed by the House of Rep- program since it began in 1987, the state's resentatives, it would be phased out over Division of Housing and Community Re- (wo years. newal says. Of that total, 19,000 units are in In New York City, the uses to which the New York City. Federal program has been put extend even According to Joseph Holland, commis- to new construction in strong market areas sioner of housing and community develop- such as the West Side of Manhattan. It has ment, the loss of the tax credit would be a become an ingredient in attracting the equi- devastating blow to efforts to provide af- ty that developers apply to mixed-income fordable housing. It is being used increas- rentals that receive tax-exempt bond fi- ingly to finance these efforts, he said. nancing. In these "80-20" projects 20 per- cent of the tenants must be low-income - that is, household income must be below 50 T HE Federal program began in 1987 and New York State has received $208 mil- percent of the median income in the area. In lion in allocable credit through 1995. most locations, market rents are still not Cumulatively, the Federal Government has high enough to attract either equity or debt thus committed itself to forgoing $2 billion financing without public assistance, special- in taxes to assist the production of low-in- ists in housing finance say. come housing in the state. But for the most part It has been used Under the tax-credit program, the city flexibly in low-income neighborhoods, either hopes to rehabil:tate and divest itself of an to supply the equity needed to generate con- average of 2,500 housing units a year over struction or to finance operating costs or so- the next 10 years, Ms. Wright said. That Mark S. Alexander, director of Hope Community cial services for tenants. Its flexibility has would enable it to use Federal community been one of its charms in the housing world. Inc., a nonprofit community-based housing or- From the standpoint of housing producers, development grants for housing production ganization, which will run walk-ups being rebuilt there is a minimum of bureaucracy in- Instead of housing management, an ineffi- volved in putting the money to work. cient use of Federal money. on East 104th Street, including No. 164, above, It also has the effect of giving the private "Without the tax credits we're out of busi- and No. 157, with scaffolding, left. Use of the Fed- sector a stake in the longterm viability of ness," Commissioner Wright said. eral tax-credit program will keep rents low. housing and neighborhoods, and corporate The Neighborhood Entrepreneurs Pro- America a stake in improving conditions in gram shows the use of the money as an op- poor urban areas. Since the tax benefit can erating subsidy. The city will pay for the re- be lost if the housing fails, investors exer- habilitation from capital funds, at an antici- cise oversight of operations for many years pated per-unit cost averaging $60,000. The through intermediaries like the Local Initia- building would pay neither debt service nor tives Support Corporation (LISC), the En- taxes, but tenants' income is so low that terprise Foundation, two nonprofit syndica- their rent cannot even cover operating ex- tors, and The Related Companies. penses. These are calculated at $5,400 a year Another effect of the tax credit system in ($450 a month), compared with rental in- New York City is that it has propped up come averaging $226 a month. The tax-cred- property values in the private sector. Non- it subsidy makes up the difference. profit developers with a state funding com- Without the credits, new construction for mitment have been able to pay prices for old lower-income tenants also would wind down. Manhattan hotels, for example, that the pri- In Brooklyn, the St. Nicholas Neighborhood vate market would not pay. Without subsi- Preservation Corporation has produced dies, prices would fall to a level where a pri- about 1,200 units of housing in the Williams- vate entrepreneur would eventually buy. Under the tax credit program, corpora- tions and other large investors can in effect earn a 15 percent return, through savings on burg and Greenpoint sections of Brooklyn over the last 12 years. Currently it is a part- ner of Los Suros, another nonprofit develop- er, in a 48-unit new-construction project at Throop Avenue and Whipple Street in Brooklyn. "Everything we've done in the last four or five years requires tax-credit financing," said Michael Rochford, director of the St. Nicholas corporation. In this case, a third of equity required for construction will get tax credits from the state for syndication; the rest comes from a state-city capital pool. Sparrow Construction is doing the construc- tion on a turnkey basis, that is, upon comple- tion title will be taken by a company formed by the sponsors. The tenancy will be half low-income work- ing people and half "homeless" - many probably consisting of families displaced by site consolidation for new-home construc- tion on former Pfizer Corporation land near- by. In East Harlem, Hope Community Inc., a nonprofit community-based housing organi- zation, is using the program with state mon- ey to rehabilitate three buildings on East 104th Street. "We bought the buildings a few years ago from a private owner and we've held them till we could find the right pro- gram to finance the work," said Mark S. AI- exander, director of Hope Community. And in Riverdale, Jeffrey E. Levine, a builder and contractor based in Douglaston, L.I., is relying on tax-credit financing to build a mixed-income 170-unit 18-story building on land he has assembled on the east side of the Henry Hudson Parkway south of Johnson Avenue. "If it were a straight market-rate project I wouldn't be able to get the financing for it," he said. A12 TUESDAY. OCTOBER 31. 1995 THE WASHINGTON The Washington Post AN INDEPENDENT NEWSPAPER Two Bad Ideas HE ENORMOUS budget-balancing bills T true that revenues would go up. But organized that the House and Senate passed last labor, the Clinton administration and such groups week each contain some corporate tax as the American Academy of Actuaries have increases. Two in the House version of the bill warned that the soundness of a significant num- are bad ideas and ought to be dropped in the ber of pension funds could well be threatened in conference that now begins. the process. They note that the value of pension One would make it easier for corporations to fund assets are volatile; they go up when the remove supposedly excess funds from their pen- stock and other securities markets are strong but sion reserves and use the money for other can just as easily turn down again. It's hard to purposes. Though it would result in some in- know exactly where to draw the danger line in a creased tax payments, it is less a tax increase than a benefit that corporations actively matter such as this, but it's easy to know on sought-and that critics say would leave' the which side to err. The Senate last Friday wisely decided to err on the side of caution and knocked affected pension funds in weakened condition. The other would phase out a low-income hous- a similar pension provision out of its bill by a vote ing tax credit meant to induce corporations to of 94 to 5. invest in such housing in return for somewhat The phase-out of the housing credit was never lower taxes. Again, it is hardly the corporations in the Senate bill. The credit is one of the few that would be the primary losers were it to remaining devices for adding to the stock of disappear. low-income housing in the country. The subsi- Republicans have pointed to the corporate tax dized housing programs on the spending side of increases-they prefer to call them adjustments the budget are being cut back, if not shut down, or reforms-as evidence that theirs is an even- even as the need for such housing continues to handed budget in which they squeeze their own grow. traditional constituencies and not just those of The credit is probably not the most efficient the other side. But "corporate tax increases," the way to produce the housing, but it has been a principal burdens of which would likely fall on steady source of added supply at relatively mod- retired workers and lower-income renters, prove est cost, and it would seem to be the perfect nothing of the kind. Current law imposes a prohibitive penalty in Republican program in that the housing would be addition to the corporate income tax on with- provided mainly through private initiative. drawais of supposedly excess amounts from pen- The House bill would use the proceeds from sion funds unless the money is used to help pay both these corporate "tax increases" mainly to retiree health benefits. The House bill would finance the extension of other corporate tax greatly reduce the penalty and in effect ease the breaks. For the corporate sector as a whole, definition of excess while permitting withdrawals they're a wash, while in social terms they would for any purpose an employer wished. leave the budget more lopsided, not less. On Billions would likely be withdrawn, and since these two issues, present law should be pre- the withdrawals would still be subject to tax, it's served. Chicago Tribune FOUNDED JUNE 10, 1847 JACK FULLER. Publisher HOWARD A. TYNER, Editor N. DON WYCLIFF, Editorial Page Editor ANN MARIE LIPINSKI, Managing Editor/News OWEN YOUNGMAN, Managing Editor/Features R. BRUCE DOLD, Deputy Editorial Page Editor F. RICHARD CICCONE, Associate Editor 20 Section 1 Saturday; September 23, 1995 Save the housing tax credit As populist catch-phrases go, few expressions get other federal housing program comes close to that the adrenaline pumping as much as "corporate wel- level of efficiency. fare." Moreover, the credit actually produces a net gain in Americans tend to distrust bigness, and a lot of tax revenues if one counts the payroll taxes of the taxpayers are prepared to believe that huge, faceless construction workers and the property taxes that the corporations are somehow getting the better of the new housing generates for local governments. cloutless under the federal tax system. The paranoia was recently stoked by U.S. Labor Secretary Robert Little wonder, then, that rock-ribbed Republicans Reich, who pushed the "corporate welfare" button in such as Illinois' Gov. Jim Edgar are firing off letters challenging Republicans to spread evenly the pain of to Rep. Archer reminding him that: (1) the housing balancing the federal budget. tax credit has been a huge success in their states, and Now comes someone who should know better-Rep. (2) by recruiting the private sector to tackle the Bill Archer (R-Texas), the pro-business chairman of affordable housing problem, the credit deserves to be the House Ways and Means Committee-with an even made the centerpiece of any GOP housing plan, not more cynical spin on the expression. He wants to discarded like some big-government holdover of a éliminate as "corporate welfare" a select few tax Democratic past. breaks that were designed to achieve socially desir- Rep. Archer is said to be irked that his predecessor able ends, among them the low-income housing tax as Ways and Means chairman, former Illinois Con- credit. gressman Dan Rostenkowski, once favored the hous- A product of the tax reform of 1986, the credit has ing credit over the Texan's favorite corporate tax become the keystone of the complex formula by which incentive, the credit for scientific research and devel- low-rent housing is financed and built. It allows cor- opment. porations and/or private investors with a federal tax But the chairmanship of one of Washington's most liability to lessen their tax bills by investing in the powerful congressional committees is no place for construction or rehabilitation of privately owned "payback" politics. Nor is the low-income housing tax housing for the poor. Since its inception the tax credit credit an example of "corporate welfare." The tax has spurred the production of 750,000 housing units at credit is an example of a program that works, and as an average annual per-unit cost of only $1,333. No such, it ought to be retained. ARTHUR ocus SULZRERGER JR., Publisher MAX FRANKEL. Executive Editor JOSEPH LELYVELD. Managing Editor Assistant Managing Editors SOMA COLDEN BEHR DAVID R JONES GERALD M. BOYD CAROLYN LEE WARREN HOGE JACK ROSENTHAL The New York Times ALLAN M SIEGAL HOWELL RAINES, Editorial Page Editor PHILIP M. BOFFEY. Deputy Editoria! Page Editor Founded in 1851 ADOLPH S. OCHS, Publisher 1896-1935 RUSSELL T. LEWIS. President and General Manager ARTHUR HAYS SULZBERGER. Publisher 1935-1961 JOHN M. ORRJEN, Executive V.P., Deputy Gcn. Mgr. ORVIL E. DRYFOOS, Publisher 1961-1963 WILLIAM L. POLLAK, Executive V.P., Sales ARTHUR OCHS SULZBERGER, Publisher 1963-1992 RICHARD H. GILMAN, Senior V.P., Operations PENELOPE MUSE ABERNATHY. V.P., Planning RAYMOND E. DOUGLAS, V.P., Systems and Technology KAREN A. MESSINEO. V.P., Chief Financial Officer DONNA C. MIELE. V.P., Human Resources JOSEPH M. MULLEN, VP., Production CHARLES E. SHELTON, V.P., Circulation EDITORIALS/LETTERS THURSDAY, SEPTEMBER 21, 1995 G.O.P. Attack on Low-Income Housing The Republican leadership has found a new provide money to nonprofit groups for construction way to pummel the poor: Cut programs that benefit or rehabilitation of low-income housing. them in the name of eliminating "corporate wel- The credit, which will cost the Treasury about fare." Embarrassed by accusations that the party's $3 billion a year at its peak, has led to construction budget victimized the disadvantaged, Representa- of more than 100,000 housing units a year, or more tive Bill Archer, chairman of the House tax-writing than 90 percent of all low-income housing built in the committee, pledged to go after corporations as well. country. The credit has financed about 4,000 housing So his committee passed a closing of tax loopholes units in New York State a year, 1,000 of them in New that, he says, subsidize rich corporations. York City. Entire blocks of the South Bronx and His list of loopholes does include needless hand- other blighted neighborhoods have been taken back outs to poultry farms and Hollywood studios. But it from addicts and gangs with money provided also includes a subsidy that has created most of the through the tax credit. country's low-cost housing in recent years. Mr. For a Congress that refuses to help urban Archer would eliminate the low-income-housing tax ghettos directly, the tax credit is the only urban credit, a provision first passed in 1986. The credit policy around. Yet Mr. Archer gallingly says the goes to investors - mostly corporations - that credit is a needless giveaway to corporations. Cl'ca Titune FOUNDED JUNE 10. 1847 JACK FULLER, Publisher HOWARD A. TYNER, Editor N. DON WYCLIFF, Editorial Page Editor ANN MARIE LIPINSKI, Managing Editor/News OWEN YOUNGMAN, Managing Editor/Features F. RICHARD CICCONE, Associate Editor Wednesday, September 20, 1995 many upper-income earners would pay less and the income gap between rich and poor children would grow, according to an analysis by the Center on Budget and Policy Priorities. Sen. Don Nickles (R-Okla.) noted in introducing Clarence Page the bill that it differed from the House version only in one respect: It would not be limited to families with incomes of no more than $250,000. As a result, the poorest 40 percent of American children, most of whom live in families that are not on welfare. would receive only 3.4 percent of the benefit from the credit and the poorest third of children-who number 24 million-would receive no credit at all. according to Robert Greenstein, the center's director and head of President Carter's poverty programs. Congress turns On the other hand. the 40 percent of children in the uppermost income brackets would receive 65 percent of the benefits, he said, and about a third a blind eye of the benefits would go to the richest fifth. But the tinkering with the EITC is modest compared to the execution conservative Republicans are trying to schedule for the Low to nation's needy Income Housing Tax Credit. Successful efforts by last year's Democrat-dominated Congress to make it a permanent budget line item may all be for naught. ASHINGTON-Washington's war on Instead of giving housing contractors a handout, W the poor and powerless proceeded the housing credit provides incentives for builders apace. to-do what they like to do, which is build houses, Is that too harsh? You be the judge. for people they otherwise would not be able to Take a look at some of the programs afford to build for. Congress has put on the chopping block while Since it began in 1987, it has provided an most of the nation's attention has been diverted by incentive for bankers and builders to build debates over Medicare, bilingual education, something other than high-priced condominiums immigration, school prayer and flag burning. and town houses for high-income yuppies. Take a look at three of the popular programs Last year the tax credit was responsible for more conservative Republicans have targeted for than 90 percent of the new low-to-moderate income elimination: the Earned Income Tax Credit, the housing built. Law Income Housing Tax Credit and the It produced an estimated $12 billion in private Community Relations Service in the civil rights investment, including 114,000 units in 1994 that division of the Justice Department. generated more than 98,000 jobs, $3.1 billion in Few Americans walk around with the words wages and $1.5 billion in tax revenues. "Earned Income Tax Credit" on the tips of their Then there is the Community Relations Service tongues, yet about 35 percent of all Americans of the Justice Department, a tiny 120-person, $10 benefit from this tax break because of low income. million agency that has helped defuse racial Enacted in 1975, it provides a tax credit of 7 to 40 tensions in towns across the country ever since its cents on every dollar earned for those who have an creation by the 1964 Civil Rights Act. It is curious that conservatives would go after income low enough to qualify this agency at this time, unless it is simply another Designed to give incentives for adults with step in rolling back the civil rights gains of the children to work instead of relying on welfare, 1960s. both liberals and supply-side conservatives like it. Roger Wilkins, a history professor at Virginia's A Republican president, Gerald Ford, enacted it George Mason University who headed the agency and two others, Ronald Reagan and George Bush, in the mid-1960s, called it "foolish to eliminate expanded it in 1986 and 1990. So did President CRS, which is one of the few [agencies] in the Chriton in 1993. federal government that really understands police- Under the 1996 benefit schedule, the credit would community relations, at a time when the extent of the voters will fix that next year. lift about 4.5 million Americans above the poverty police malfeasance and excess from Mark line, according to the Urban Institute. Fuhrman to New Orleans to Philadelphia to New Leaders of the new Republican Congress have York City is really becoming apparent." proposed a child tax credit to make up the If any of these agencies or programs is not difference. But under Republican proposals to This Congress has its priorities reversed. Maybe answer: Fix it, don't nix it. working as well as it should, there is a proper Powell has been talking about lately? Could be. for "K Street lobbyists" that retired Gen. Colin corporations. Is this the sort of "corporate welfare research-and-development subsidies for private housing tax credit want to channel its funds to Instead of reducing the deficit, critics of the reduce the EITC, expand Individual Retirement Accounts and enact a $500 child tax credit, millions of low-income families would pay more taxes, Chicago Tribune FOUNDED JUNE 10, 1847 JACK FULLER, Publisher HOWARD A. TYNER, Editor N. DON WYCLIFE Editonal Page Editor ANN MARIE LIPINSKI, Managing Editor/News OWEN YOUNGMAN, Managing Editor/Features R. BRUCE DOLD. Deputy Editorial Page Editor F. RICHARD CICCONE, Associate Editor 30 Section 1 Thursday, September 21. 1995 A myopic assault on a tax credit Tired of Democratic charges that they're pandering dren. goes only to people who work and requires no to Corporate America and balancing the budget on government bureaucracy beyond the Internal Reve- the backs of the poor, House Republicans tried to find nue Service. it has received strong bipartisan support some political cover Tuesday by voting to end billions over the years as an efficient way of targeting aid to of dollars in business tax breaks. the poor and encouraging work and family formation. "Every American who pays taxes, everyone who Yet Republicans now contend that the program is lives in Peoria asks. 'Why don't the big boys give to America's fastest-growing entitlement and is beset deficit reduction?" said House Budget Chairman with fraud by taxpayers who falsely claim dependents John Kasich of Ohio. "Well, they're going to give." to qualify. Corporations should contribute, but this smoke- screen is so flimsy and transparent as to be damaging Rather than simply curb the abuse, House Republi- rather than helpful to the GOP. cans would slash spending by lowering the maximum As part of the Republican pledge to balance the Income levels for eligibility, eliminating benefits for budget and provide $245 billion of tax cuts. the House childless workers and requiring Social Security and ways and Means Committee passed a package of other outside income to be reported. measures aimed at raising nearly $39 billion in new As a result, the Treasury estimates 9 million house- revenue over seven years. holds would receive reduced payments, 4 million Most of that-about $23 billion-will come out of workers without children would be dropped and the pockets of the working poor because of cuts in the another million families declared ineligible because of Earned-Income Tax Credit. the lower income cutoff. Proposed cuts by Senate First proposed by President Nixon, enacted under Republicans go even deeper. President Ford and expanded by Presidents Reagan, A $30 billion increase in corporate taxes isn't Bush and Clinton, the earned-income credit supple- chump change, but it's minuscule when compared ments the incomes of full-time breadwinners whose with the total Republican spending cuts in Medicaid, wages still fall only near or below the poverty level welfare and other programs for the poor. There's no Because the credit is greater for families with chil- cover here. and the folks in Peoria will know it Chicago Tribune FOUNDED JUNE 10. 184: JACK FULLER, Publisher HOWARD A. TYNER. Editor N. DON WYCLIFE Editoral Page Editor Avv MAP.LE LIPINSEL Managing Editor/News OWIN YOUNGMAN, Managing Editor:Features F. RICHARD CICCONE. Associate Editor Thursday. September 21, 1005 Chicago THURSDAY SEPTEMBER 21, 1995 Despite Edgar's support, housing tax credit in peril By Flynn McRoberts day marking the start of the lat- TRIBUNE STAFF WRITER est such project-a $35 million. 20-story apartment buüding for TP seems an unlikely target in seniors under construction on a Congress controlled by Re- the Near North Side. publicans: a tax credit used by corporations that is the darling "Without the tax credit, they of some of the nation's most wouldn't have been able to do prominent GOP governors, in. this project probably," Edgar cluding Jim Edgar of Illinois. said after a ground-breaking ceremony for Maple Pointe. But in the name of budget-cut- which will get the largest tax ting. a key House committee this credit allocation in the history week passed a proposal to elimi- of the Illinois Housing Develop- nate the low-income housing tax ment Authority. credit. which for nearly a dec- ade has been the chief tool for Edgar and Mayor Richard building affordable rental hous- Daley joined other big-city ing in America. mayors and governors last week The credit has helped finance in an effort to persuade the more than 90 percent of the af- House Ways and Means Com- fordable apartments built in the mittee to dump the provision. U.S. since it became available in Edgar wrote to U.S. Rep. Phil 1987, including nearly 30,000 Cranc (R-III.) and hailed the units in Illinois. "market-oriented" tax credit as Edgar led a ceremony Wednes- SEE HOUSINC, PACE 7 "a program that has many core The IRS says it can't yet esti- Republican principles." with "little mate the amount of improper or no involvement of the federal claims. To find out just how much bureaucracy." abuse is in the program. Archer Their persuasion didn't work. has commissioned the General Ac- On a 22-15 party-line vote Tues- counting Office to study it and re- day, the committee proposed end- port back next year. ing the program after 1997. The credit offers corporations Believing the battle is lost in the and individuals a dollar-for-dollar House. the tax credit's backers are reduction in federal tax liability hoping support from Edgar and for 10 years. other Republican governors will Chicago community develop- help them stop the proposal in the ment corporations have been Senate. among the nation's most active in Edgar was less effusive in his using it to develop affordable praise ot the program on Wednes- housing day, noting that Ways and Means From 1987 through 1994, the Chi- Committee Chairman Bill Archer cago-based National Equity Fund (R-Texas) has alleged there is tax- has invested $54.6 million through credit fraud in 20 states. But he the tax credits to help build 1,400 said Illinois' program is clean. units across the city. ,"They can look is Illinois and The city Department of Housing see that you can make this pro- has awarded nearly $34 million in gram work," Edgar said. "And tax credits through 1995, assisting hopefuliv vou reform the program. about 1,000 units a year of low you don't eliminate it." and moderate-income housing. Created under the 1986 Tax Re- - The tax credit has been fun- form Act, the tax credit has be- damental in our efforts to turn the come popular with corporations neighborhood around," said Rev. as a way to invest in poor Richard Tolliver, whose SL. neighborhoods and not lose Edmund's Redevelopment Corp. money. has used the credit to rehab 68 Nationwide, the program helps units on the South Side. The create more than 100,000 afforda- group has acquired 67 more units. ble apartments 1 year. Though Without tax credits, "we're sizable, that still barely makes up stuck with those buildings." Tol- for !ow-rent buildings that are de- liver said. "And they will remain molished, abandoned or converted boarded up." to market-rate use. experts say. Brenner predicted that "this But critics of the program con- credit will not go away" and that tend that it has been misused. it-will simply be modified with Archer believes the credit "does GAO recommendations. not benefit the people it's sup- "But affordable-housing advo- posed to, mainly the poor. And cates see little chance of restoring there's too much fraud and abuse money for the credit if the current in the program," said Scott Bren- bill is passed ner, a spokesman for the House Charles Edson, counsel for the Ways and Means Committee. Affordable Housing Tax Credit Coalition. put it this way: "There will not be money there [even] if the GAO found that the program is run by angels." RAYMOND A. JANSEN Publisher, President and C.E.O. Newsday ANTHONY MARRO, Editor STEVEN L. ISENBERG, Deputy Publisher DONALD FORST, New York Editor JAMES M. KLURFELD, Editor of Editorial Pages EDITORIALS ROBERT F. BRANDT, Managing Editor CAROL R. RICHARDS, Deputy Editor of Editorial Pages HOWARD SCHNEIDER, Managing Editor September 26, 1995 Rescue the Urban Investment Law, Sen. D'Amato Tomorrow the Senate Banking Committee why not give the banks a break along the way? part of their neighborhood "reinvestment." - run by Alfonse D'Amato (R-N.Y.) - is Answer: Because decent, hard-working No sale. D'Amato needs to play the hero scheduled to consider legislation that could neighborhoods citywide - like Jamaica, and rescue this vital program. gut the Community Reinvestment Act. This is Queens - will suffer. A redrawn law would Meanwhile, in other acts of irresponsibility, the law that requires banks to lend money to allow banks to lend in the deep-rug districts the House Ways and Means Committee has all communities equally - rich or poor, white and to downplay their obligation to folks of voted to let the low-income housing tax credit or black. Cutbacks in government funds have more modest means. Everyone agrees that die at the end of 1997. This program gives a tax already made urban life tough enough. So the the current act inflicts too much paperwork credit to businesses that ante up money for blow landed all the harder when the House on lenders. That should be corrected. But nonprofit organizations so they can construct voted earlier to let private lenders off the hook Washington must keep pressure on banks to low-income housing. In the city, it has gener- when it comes to community reinvestment. lend money in the less-fancy neighborhoods. ated 170 projects and 8,200 new homes since Well, at least the House is consistent. If it's Opponents say the proposed revisions would 1987. It's a keeper. Finance Committee sena- relieving the public sector of its civic duties, let banks count activities like luncheons as tors, please note: the tax credit needs CPR. 2M THE HERALD, SUNDAY, SEPTEMBER 17, 1995 The Miami Herald JOHN S. KNIGHT (1894-1981) JAMES L KNIGHT (1909-1991) DAVID LAWRENCE JR. Publisher and Chairman JOE NATOLI JIM HAMPTON - DOUGLAS C. CLIFTON President Editor Executive Editor MARTHA MUSGROVE and TONY PROSCIO SAUNDRA KEYES Associate Editors Managing Editor Great program - let's kill it o here's a federal S Here's the problem program that pro- HOUSING FUNDS FACE AX in a nutshell: When a duces 120,000 program isn't a big, new apartments for An economical, needed, bureaucratic extrava- poor families every un-bureaucratic program ganza, when politi- year, with virtually no bureaucracy. It relies creates housing for poor cians don't get to take all the credit for what it almost entirely on the people. So why is it in achieves, when there private sector. And it gets more than $11 trouble year after year? are no armies of gov- emment employees to worth of housing for sing its praises in Con- every government dollar that it spends. gress, the program is sure to be endan- Should be a hit in Washington, no? gered. The politicians evidently don't Better yet: The program brings an get it. And frequently, what they don't above-average share of these dollars into understand, they kill. Florida. It builds some 7,000 housing There may also, admittedly, be some- units a year here, at a federal cost of just thing more sinister at work here. While $4,500 for each new apartment. And the House considers "zeroing out" the remember: These are apartments that housing tax credit, the Senate is taking must, by law, be rented to poor families the same approach to the Community at affordable rates. In a state where such Reinvestment Act. That's the 1977 law housing is scarce and the low-income that requires banks to lend fairly population is growing, this is vital stuff. throughout their communities. The act Ought to be popular in Florida, right? doesn't impose harsh penalties on Well, maybe not. Tomorrow the banks. In fact, it's usually loosely House Ways and Means Committee - enforced. But it gives lenders some where Rep. E. Clay Shaw, R-Fort Lau- incentive, at least, for treating all their derdale, is an influential member - potential customers fairly. may take the first steps toward abolish- So why would the Senate including ing the program. Not trimming it, as Banking Committee member Sen. Con- everything must be trimmed these days, nie Mack of Florida want to kill it? but wiping it out. Zero. Gone. Paul Grogan, head of a national non- Must've been some scandal, you profit community development group, might suspect. Or maybe the committee darkly replies: "It's as if Congress has has an idea for doing the job more eco- declared war on neighborhoods. nomically? Nope. As happens nearly Surely that's too strong. There cer- every year, this simple, cost-effective tainly must be a more benign explana- program landed on the chopping block tion. Just now, though, we're at a loss for because few politicians understand it. what that explanation could be. INDIANAPOLIS STAR September 23, 1995 100,000 jobs created Wrong for Indiana Tax credits The House Ways and Means Rep. Rick Lazio, R-N.Y Committee, which Archer, chairman of the Subcommittee, chairs, adopted the bill this, on Housing and Community. week by a 21-15 party-line Opportunity wrote Archert- don't need vote. In the politically expedient "The program. in fact, is a. name of cutting "corporate wel- great example of incentives - fare" Archer would cut a very: long term incentives - that fixing efficient program of high pri-, work." It's "an irreplaceable vate investment that has step for families leaving public helped create more than three- and federally-assisted housing. quarters of a million low-in- to self-sufficiency and home JAMES come apartments in nine years. ownership." PATTERSON Since It was signed into law The New York Times editori- by President Reagan in 1986. alized Thursday: "The Republi- housing tax credits have been a can leadership has found a new, A small breath of life boon for builders. The program way to pummel the poor: Cut filled small town Indiana has produced almost half of all programs that benefit them in Friday. and in essence; rental housing and virtually all the name of eliminating 'corpo- small town America. low-income housing built in the rate welfare.' In Perrysville, a shrinking last decade. Moreover. it gener- "This is a wrong idea at the hamlet of 243 people in Vermil- ates nearly 100,000 jobs and wrong time." stated Lt. Gov. lion County. ground was broken, $3.1 billion in construction Frank O'Bannon, chairman of on a project which when com- wages annually. IHFA. "The tax credit program. pleted will help revive a small- In Indiana alone, where the has been positive for our state. piece of deflating rural Ameri- program is administered by the We cannot balance the budget ca, and save a bit of dignity Indiana Housing Finance Au- on the backs of those Ameri- along with it. Constructors will thority. the credits have been cans who are children. poor, or, begin converting a former grade used to build more than 15,000 elderly. This is wrong for Indi- school into 25 low income, one-> apartments for Hoosiers and at- ana and wrong for America." bedroom apartments for the el- tracted $201,320,000 in tax "We can provide housing to derly. credit equity investment. seniors in the area without tax, By selling Low Income Hous- Beside the fact that Con- credits," says L. Michael Booe, ing Tax Credits to private, gress. including two-thirds of housing and development direc- (mainly corporate) investors, Republican legislators. voted to tor for Community Action COV₂ mixed with other private and make Low Income Housing Tax ering a six-county area Includ- public funding sources, quali- Credits permanent just three ing Perrysville, "but not fied seniors will be able to rent. years ago, Archer and cohorts affordable housing." A chorus one of the apartments for only would be wise to heed the grow of Amens echo all the way from $239 per month. The rules say, ing groundswell against cutting. Vermillion County. apartments developed with tax the credits - much from with credits must go to those whose in the GOP. incomes are 60 percent of the "Although corporations are area median or less. significant investors In the taxis Unfortunately, Low Income credits the LIHTC is not Housing Tax Credits and the 'corporate welfare,' " the Re- $3.5 billion in annual tax reve publican Governor's Associa nue the federal government tion wrote House Speaker Newt sacrifices for them may be Gingrich. "Corporations are the eliminated. As part of a bill. principal Investors because the aimed at raising $38 billion, General Limitations on Credits Rep. Bill Archer. R-Texas, has in the 1986 Tax Act has effect offered housing credits for the tively knocked individual Inves- chopping block. tors out of the Tax Credit mar ket Providence Business News September 25, 1995 Low income tax credits may be victim of budget cuts By Brett Davey welfare, said Rep. Patrick Kennedy, who pointed out that two-thirds of the Republi- Staff Writer cans in the House supported the program when it was given permanent status by It looked like any other groundbreaking Congress in 1993. ceremony: a gathering of neighbors, non- "They're looking at it as corporate wel- profit coalitions, bankers and politicians. fare, but I don't think that is what most There were speeches given, photographs people would say," Kennedy said. "When taken, and plaques handed out. one sees the tangible results the program They were all there under a tent in the yields, it's hard to paint it as part of the Constitution Hill problem with the tax neighborhood in code." Woonsocket to ap- 'When the chairman of Since the program plaud the beginning of was created, Rhode construction on a $4.5 The Ways and Means Island has received million housing de- $8.3 million in tax velopment. The en- Committe is the one credits which have thusiasm of the group talking about it, the raised $41 million in was tempered, how- equity investment, ever, by concern for a threat is very real.' which leveraged tax credit program $117.5 million in total which helped finance -Richard Godfrey investment. the project. Barbara Fields is "Very disconcert- state director of Local ing news," U.S. Rep. Initiatives Support Jack Reed said to Richard Godfrey, execu- Corp. (LISC). The organization's National tive director of Rhode Island Housing Mort- Equity Fund (NEF) uses the Low Income gage and Finance Corp., before the cer- Housing Tax Credit program to garner cor- emony started. porate support for affordable housing. Fields Reed was referring to the threatened said it will be difficult to replace the funds Low Income Housing Tax Credit program, that come from the low-income tax credits which has helped finance construction or and the incentive the program gives to rehabilitation of almost 2,500 units of af- corporations. fordable housing in Rhode Island. The pro- "The low-income housing tax credit is gram, created by the Tax Reform Act of the major vehicle used to get private indus- 1986, reduces the tax liability for corpora- try involved in housing for low-to-moder- tions that invest in low-income housing ate income people," Fields said. "It's the projects. way we've gotten them to invest in Rhode Rep. Bill Archer (R-Texas), chairman of Island." the House Ways and Means Committee, has Fields said that money can also be used the tax credit program in the sights of his to leverage further capital for such projects. budget cutting ax. Archer included a repeal Denise Altay, NEF national underwrit- of the program in budget reconciliation leg- ing manager, said since 1986 when the islation that was scheduled to be debated in legislation was introduced, more than Congress last week. A vote could come as 700,000 units of affordable housing have early as this week. been built with financing from the tax credit. "This could definitely threaten further "These credits are like gold," she said. projects," said Godfrey. "When the chair- "Corporations make a good return on them. man of the Ways and Means Committee is If they didn't, they'd go somewhere else." the one talking about it, the threat is very The threat to the program, said Altay, is real." "very real, given the current political cli- "We need to do more of this, not less," mate and need to balance the budget. II said Reed. wasn't a move that was expected by any. Providence Business News state Low-Income Housing Tax Credit Facts (1987-1994) The federal government annually allocates tax credits to the states in the amount of $1.25 per resident. Rhode Island received about $1.2 million in 1995. Rhode Island Total tax credits allocated $8.3 million Total equity raised $41 million Total financing leveraged $117.5 million Total number of apartments 2,476 Avg. household income of residents $12,000 Nationally Number of units 700,000 Total tax credits allocated $2.2 billion Total equity raised $12 billion DAILY NEWS 450 W. 33d St. New York, N.Y. 10001 September 27, 1995 Bank on it An important law that has sparked investment in poor neigh- borhoods for 18 years goes on the Senate chopping block today. It must be spared. In some areas of the city. the Community Reinvestment Act is all that stands between a thriving neighborhood and a slum. En- acted in 1977, it encourages banks to invest in low-income areas. But the Senate Banking Committee, chaired by New York's AI Amato, is set to vote on a bill that would gut it by exempting most banks from compliance and barring community groups from challenging expansion plans on the basis of CRA scores. That would be disastrous for New York. The law doesn't force banks to make risky loans, only to lend in areas avoided because of the residents' race or income. Banks with low ratings can be blocked from merging or acquiring other banks. Using the CRA as a wedge, for example, orre activist group - Community on the Move - has won commitments for $90 mil- lion in new loans for the South Bronx and upper Manhattan and forced the opening of several new bank branches. But if the act dies, organizations like Local Initiatives Sup- port Corporation could not help rebuild Harlem. Businesses like South Bronx' Delicioso Coco, which grew from one push- cart to nearly 200 through a Chemical Bank loan, might go bust. Critics who say the CRA holds banks hostage to communities forget that the banks are supposed to serve those communities. Without CRA, there would be less incentive for them to do so. THE KANSAS CITY STAR METROPOLITAN EDITION TUESDAY, September 19, 1995 Don't 'sunset' this program It's a mystery why the low-income housing Archer has also directed the General tax credit always seems to be on life-support in Accounting Office to do a study examining, Washington. Over the last seven years, the among other things, whether developers are program helped finance about 730,000 units of playing games with the system by charging full low-income affordable housing. Every dollar in market rents for units subsidized by the credit, credit attracts about three dollars from the or milking the program by charging private sector. Projects are built - and urban inappropriate fees. A study along those lines neighborhoods redeveloped - with a minimum would be worthwhile, and if problems exist, the of involvement by federal bureaucrats. program can be fine-tuned. But that's hardly a Unfortunately, House Ways and Means justification for "sunsetting" the credit. Do the Chairman Bill Archer wants the low-income study, but keep the program permanent. housing tax credit lumped with a variety of By and large, this has been a successful other credit programs, which would subject the program, and state and local officials know it. LIHTC to review on a regular basis. In other In fact, the Republican Governors Association words, he would end its permanent status and has written to Archer, begging him not to make make it temporary. Unless reauthorized beyond the LIHTC temporary. 1997, it would die. In a joint letter to House Speaker Newt Since all investment decisions require Gingrich, Govs. Mike Leavitt of Utah and John planning, this move threatens to reduce the Engler of Michigan wrote that "The credit amount of capital available for affordable is a key element in the recovering real estate housing projects even if the tax credit survives industry and the most effective tool we have to regular reauthorization fights. Given the serve the housing needs of lower-income vagaries of Washington, a tax credit with renters. They're right. Archer's gambit should temporary status is a program at risk. be seen as a non-starter. A16 Thursday, September 21, 1995 *6/7 MICHAEL E. WALLER Publisher DAVID S. BARRETT The Hartford Courant Editor Established 1764 JOHN J. ZAKARIAN THE OLDEST CONTINUOUSLY PUBLISHED Editorial Page Editor NEWSPAPER IN AMERICA CLIFFORD L. TEUTSCH, Managing Editor ELISSA PAPIRNO, Reader Representative EDITORIALS Housing credits T he House Ways and Means Committee began voting this week on proposals to cut what's some- times called corporate welfare in the tax code. On the list: the Low Income Housing Tax Credit, which last year helped produce 1,000 new or renovated housing units in Connecticut. Many corporate tax credits should indeed be targets for economizing. But this is one credit that budget-cutters have gotten in their cross hairs erroneously. As its name implies, the program gives com- panies a tax break for investing in low-income housing. Congress had approved the break annu- ally since 1986. In 1993, the cut was made a per- manent part of the tax code. Businesses began planning on housing investments: Corporate par- ticipation soared to $6.5 million in Connecticut alone. Hartford Democrat Barbara B. Kennelly and New Britain Republican Nancy L. Johnson are both on the Ways and Means Committee. They ought to team up to be sure this incentive for pub- lic-spirited investment remains a permanent part of the tax law. Sunday Newsday SUNDAY, OCT. 1, 1995 $1.50 NASSAU INSIDE LONG ISLAND: AFFORDABLE HOUSING Tax Credit Program in Jeopardy By Deborah Barfield STAPP WEITER T HE DEVELOPERS knew they would come up short when they sought traditional financing for an affordable bousing complex for senior citizens in Port Washington. So, in a move rarely used on Long Island, they turned to the Clorox Co. to pick up the slack, enticing the Fortune 500 company with the promise of $6 mil- lion in federal tax credits over a 10-year period. "When we looked to finance, we knew all levels of government were suffering cutbacks in bousing dol- lars," said Sydalle Knepper, whose development com- pany eventually built the 68-unit Landmark on Main Street. "We had to fill a gap. So we turned to tax credits, which we knew were effective." That $12.3-million project opens in November, but Knepper and other Long Island housing advocates worry they may not have tax credits to June investors for future projects. Last week, a House congressional committee ap- proved a measure that threatens to change, or even eliminate, federal low-income housing tax credits. The House is expected to vote soon on a package that includes the measure. Under the program, for every dollar a company in- vests, it gets money back in credits, which it later applies against its federal taxes. Local developers say they already struggle with less government aid, and lowing the Incentive of tax cred- its could stifle efforts to build desperately needed Neesday/MchaelE. Ath affordable housing. The Rev. Charles Vegeley, right, is president of Landmark on Main Street Housing Development Fund Corp., a "We're just starting to use them," said Jim Morgo, group set up to preserve the Port Washington school building. The building will have 59 units for senior citizens. president of the Long Island Housing Partnership A12 Thursday September 28. 1995 THE ATLANTA CONSTITUTION DENNIS BERRY, Publisher RON MARTIN, Editor JOHN C. MELLOTT CYNTHIA TUCKER JOHN WALTER General Manager Editorial Page Editor Managing Editor JAMES M. COX. Chairman. 1950-57 JAMES M. COX. JR. Chairman. 1957-74 Tax break for do-gooders Can it be that House Ways and Means Chair- recognized to be the most cost-effective of the man Bill Archer (R-Texas) is-trying to portray federal government's housing schemes. It is himself as a foe of federal handouts to busi- credited with creating 90,000 jobs per year, ness? That's as much of a stretch as Sylvester generating $2.8 billion in wages and $1.3 bil- Stallone doing King Lear. lion in tax revenue. Archer, an unabashed Not all tax breaks stimu- champion of the well-off, late economic activity and undoubtedly recognizes the serve an immensely useful political danger in gutting social purpose; this one does. programs for the needy It is do-goodism with an without requiring a wee sac- absolute minimum of rifice by the affluent. In any bureaucracy and a maxi- event, last month he made a mum of private initiative, solemn oath, hallelujah, to local control and financial whack away at corporate safeguards. welfare. A coterie of conservative Oh, he deprived some Republican governors of Hollywood studios and urbanized states implored chicken ranchers of their tax Archer not to kill the pro- breaks. But he also stuck it gram. George Pataki of New to a group that didn't York said it was a model for deserve this fate - develop- federal-state relationships. ers and investors who build John Engler said it accounts or rehabilitate housing for Special for four-fifths of apartments low-income renters. O'Hern House in Atlanta was built in Michigan. Jim Edgar This is no minor matter. transformed from a factory of Illinois said it was built on Archer would dismantle a into apartments, thanks to the a foundation of core Repub- program that creates 100,000 low-income housing tax credit. lican principles. All to no affordable dwellings each avail. year, a construction pace that barely keeps up It is up to the Senate, once again, to clean up with housing stock lost to demolition, decay a mess perpetrated in the House. A budget rec- and natural disaster. That's 90 percent of all onciliation bill slated for Senate action contains new low-income housing in the United-States. a provision similar to the Ways and Means' Atlanta participation in the program is gain- elimination of the low-income housing tax ing momentum. More than 300 low-income credit. The provision must be defeated and rental units have been built here in the past then removed in the Senate-House conference. four years under its auspices. Direct federal funding to build low-income So why kill this tax credit, the heart of the housing already has been cut drastically, and program? The fact is, there is no explanation now this private approach is gravely threat- that makes sense. The program costs the U.S. ened. Does Archer honestly think volunteer Treasury $3.5 billion per year in tax credits groups with limited resources - such as Habi- that developers, lending institutions and non- tat for Humanity, which built 4,900 houses profit consortiums use to leverage additional nationally last year - can fill the enormous private funds for low-cost housing. It is widely void he intends to create? Several hundred low income housing units have been A10 Wednesday. September 27. 1995 = South Bend Tribune C constructed in South Bend as a result of the tax credit program. Two recent apartment complexes in South Bend, the Central High Apartments and the Stephenson Mill apartment project, both include low income units that look just like the other, full-price units. The days when public housing had to look different from private housing are over, or at least they have been. Support for retaining the credit has been bipartisan. South Bend Tribune Michigan Gov. John Engler, representing his own state as well as the Republican Governors Association, has im- plored Speaker of the House Newt Gingrich not to let the 225 West Colfax Avenue South Bend, Indiana 46626 tax credit law expire. Indiana Lt. Gov. Frank O'Bannon, Locally owned since 1872 who serves as chairman of the Indiana Housing Finance Authority, has also been a strong supporter of the tax EDITORIAL BOARD credit. "This (allowing the tax credit law to expire) is a wrong idea at the wrong time," said O'Bannon. JAMES WENSITS TOOD F. SCHURZ In one of two letters he sent to Gingrich, Engler noted GAYLE DANTZLER Associate Editor Editor and Publisher Associate Editor that Michigan has made great strides in reforming wel- fare, adding that the tax credit has been an important part of a statewide strategy to help low income families Save low-income afford decent housing. Engler estimated that the credit is responsible for creating 22,000 new rental units in Michi- gan since 1986 and anticipated that it will generate new housing tax credit units at the rate of 4,000 a year if the credit is retained. Criticism likening the tax credit to "corporate welfare" The proposal being pushed in Congress to eliminate the is nonsense. While the credit uses tax cuts as an incentive Federal Low Income Housing Tax Credit at the end of for investment, it does not subsidize businesses for expen- 1997 as part of the budget-balancing effort is short-sighted ditures they would make even if there were no tax credit. and foolish. Ira Peppercorn, executive director of the Indiana Hous- Since its creation by President Reagan in 1986, the low ing Finance Authority, met recently with public officials income tax credit has been instrumental in the creation of from around the state who were attending the Indiana As- hundreds of thousands of low-income housing units, most sociation of Cities and Towns meeting, which was held in of which blend seamlessly into their communities without South Bend. creating public housing ghettoes. Peppercorn believes that public housing projects of the The high-rise public housing units of the past, like Chi- past didn't work because they alienated and "ghetto-ized" cago's Cabrini-Green, became urban nightmares and blue- those who lived in them. He's right. prints of what not to do when it comes to public housing. The Federal Low Income Tax Credit program has The low income housing tax credit program allows worked well and can work well in the future if Congress private business to purchase federal tax credits at favor- looks before it leaps into another round of budget-cutting able prices. The money paid for the credits can then be rhetoric. Saving where savings can be made without un- used by private developers for housing projects, of which a dermining valuable programs that work - a rare federal percentage of the units must be allocated for low-income commodity - makes sense. Slashing blindly in the dark tenants. does not. THE BUSINESS JOURNAL OCTOBER 7, 1995 FOCUS Real Estate & Development LISC helping to make central city housing projects feasible OCTOBER 7, 1995 By Robert Mullins eas, federal tax credits are offered to Proponents of a housing project under bridge the gap between what a project construction in Milwankee's central costs 10 develop and what it will be BUSINESS JOURNAL city struggled for months to get finan- worth 0111 the market once it's finished cial backing. The Beanehamp Townbonses are just The problem. it seemed, was that the such an example. devi depment of 24 townhouses was too "It cests $95,000 to build a unit and small 11 project for most investors to it's worth $50,000 the day you're done buy the federal tax credits available to because the appraiser says, in that loca- make the investment financially viable. non, that's what it's worth," 1c said Then along came the Local Initiatives "How do you bradge the ga) between Support Corp. (LISC). which helps 95 and 50?" Williams asked. make such investments possible, not Tax credits are the answer, be said. because of the financial return, but be- For the amount of money donors con- cause of their value to the community. tribute through NEF to projects such as 'It's not the deal," said John Beauchamp, they get 10 deduct about Williams. LISC's Milwankee program half of the Lands from their federal in- director. "It's the relationship." come taxes Grough use of the credits Thanks 10 the New York City-based The filx credits bridge the gap be- LISC. which operates in 30 U.S. cities, tween what the developer of the hous- ground was broken Sept. 2? for the ing project has to pay on the mortgage ESH carelramp Townhouses near and the rents the development Can rea- North 11th Street and West Meinecke sonably generate from low-income ten- Avenue. ants. It is the first project LISC has helped The Beauchamp Townhouses deal was make possible in Milwaukee, but it will John Williams "The (LISC) concept Is that you get a neighborhood to the level where n has the put together with the help of LISC and not be the last, Williams said. services II should have to be viable." NEF after several "aborted efforts" to He said by meeting with local com- make i: 80 locally. said 1. Allen Stokes. munity development groups. LISC is able,' Williams said. port for development efforts. vice president of Inner City Redevelop- going to find out what the needs of the Having nn n consulting firm in Mil- A LISC subsidiary, the National Equi- ment Corp., Milwaukce. community are and help fulfill those waukee that served nonprof organiza- ly Fund (NEF), makes the actual finan- The Inner City Redevelopment Corp. needs. However, LISC does not just tions doing similar projects, Williams cial investments in deve opment pri- is the local community development or- help build buildings. had the local experience LISC was jec.s. NEF, with fices in St. Paul, ganlzation which received help from In other-cities, Williams said, LISC looking for when it lapped him in June Minu. and Chicago, buys federal tax LISC to get the Beauchamp project off has helped the development of light 1995 to run its Milwaukee office. credits offered on various low income the ground. manufacturing firms, retail develop- LISC is a 15-year-old organization housing projects - such as Beauchamp "They are able to do a lot in providing ments. job creation efforts, day care created by the Ford Foundation, New on behalf of various investors that the resources for futting a deal logether centers and social service programs. York City, to support local community contribut: to the fund. with the financing," Stokes said of "The (LISC) concept is that you get a development efforts. Williams said it Because housing projects in central LISC. They had the resources to do it acighberhood to the level where it has helps, not just with grant dollars, but cities are not as financially Increative as as well as the knowledge and the exper- hc services it should save to be vi- with technical expertise and other sup- those in more prosperous suburban ar- tise." OCTOBER 7. 1995 THE BUSINESS JOURNAL FOCUS Real Estate & Development Stokes said the development group body wants a house or can afford it," he had trouble finding investors in said. Central city homes being sold even before they'r built Beanchamp just in Milwaukee because Stokes said that whether B housing de- there is a relatively small pool of cor- velopment is rental or owner-occupied, OCTOBER By Robert Mullins Rles said the day of that first show- porations that have been willing to in- "they need 10 be safe and uffordable As construction commences 00 the ing, about 300 people showed up and vest in tax credit projects. and decent housing (units)." 7, J.S. Deauchamp Townhouses, work SCYCN lots were subsequently sold. LISC. on the other hind, is a nation- Housing developments such as on another central city housing de- "The models were supposed to wide organization with financial re- Beauchamp do more than just improve velopment moves forward. stimulate buying, but even without sources to match. Williams said in IS the city's housing stock, they stimulate 1995 Two model homes are nearing com- the models they certainly have years, the group has invested $1 i bil- still more development, said Leo Ries, pletion in the CityHomes subdivi- served their purpose," said Michael hon in projects in 30 cities. director of housing and neighbor THE BUSINESS JOURNAL sion, a joint public-private partner- Hatch, 1 Milwaukee attorney in- With there kind of resources 10 bring development for the city of Milwai kee. ship designed 10 create BCW housing volved in the project. to redevelopment efforts, Milwaukee "The goal IS to stimulate investment stock in Milwaukee that is decent, Hatch heads the real estate depart- can find los of projects for LISC to do, and calalyze reinvestment in that neigh modern, safe and affordable. ment at Poley & Lardner, a Milwau- said Michael Hatch, a Milwaukee real borkood," Rics said. To see new Forty to 50 single-family homes are kee law firm which is a co-sponsor estate attomey buildings going up gives people new to be built in an men of vacant lots of the Milwaukee Neighborhood Re- "There's no doubt that LISC will have confidence in that neighborhood." bounded by West Walnut, West newal Foundation, a corporate fund an increas ngly important role to play LISC is expected IC stimulate more Vine, North 20th and North 22nd drive to help raise money for the in developments in this city." said redevelopment activity in Milwaukee streets. housing project. Harch, who serves 00 a local advisory after the Beauchamp Townhouses are Before the model homes were fin. Already, he said, $230,000 has heard to L.SC. completed, Williams said. ished, tuyers were lining up. been raised to help bridge the gap The Beauchamp Townhouse project is Although it has no specific projects in 'II is exceeding our expectations is between what the homes will be sold a good first effort. Hatch said. mind, he said it is going to do a needs just about every way," said Lco Ries, for, which is about $73,000 and Generally, development experts be- assessment of several community de- director of housing and neighbor- what it actually costs to build them, lieve the key to restoring rundown ur- velopinent organizations in Milwaukee hood development in Nilwaukee's estimated to be about $100,000. ban housing stock is to create more to see what projects are most important Department cf City Development. "Everybody's feeling pretty good owner-occupied housing. for LISC to pursue. Before the first home was built, about it,' Hatch said. Rental properties terd to gel neglect- Which is good news for Milwaukee's Ries said. CityHomes promoters The city of Milwaukee established al by the r absentee landlords, while central city housing stock. creeted fl tell on the Aug a tax incremental finance district 10 owner-occupied properties con't deteri- tell prospective buyers about the fund infrastructure development in orate as much homes and the low-rate financing the subdivision such as streets, land- Hatch said that although the available 10 tuy them. scaping and sewer and water service. Beanchamp Townhouses will be rental From a $2 million Wisconsin Hous- The subdivision is part of a larger properties they will have several things ing and Economic Development AH- redovelopment effort in an area going for them over other emal prop- therity fund. mortgages are being is- bounded by Walnet Street, North crties. seed at a 4 percent interest rate for 30th Street, West North Avenue and "Townhouses are different than multi- the homes. North Fond du Lac Avenue. fam ly apartment developments," Hatch said. "They are closer to home style and it's easier for people 10 take pride in thein." The 1,300-square-foot townhouses will feature three bedrooms, one-and-a- half bathrooms, a full basement, a de- lacked garage, and full appliances. TOTAL P.03 They also will be professionally man- aged by Cgden & Co., Milwankee. Properly managed and maintained. u rental housing development such as Beauchamp will serve Milwaukee well, Stokes said. "We need a combination of rental and ownership housing because not every. N THE NEWS & OBSERVER SUNDAY, OCTOBER 8, 1995 31A Don't tear down the housing credit By A_ ROBERT KUCAB state pay more than they can afford for RALEIGH rent 30 percent or more of their gross n the effort to streamline govern- income. That does not leave much for I ment at all levels, the federal food, health care, child care, transporta- Low-Income Housing Tax Credit tion and other necessities. Program stands out as a model. Growing communities - including Through incentives to private Raleigh and Wake County - need afford- investors, it has produced 730,000 afford- able rental housing for young families, able rental units for lower-wage, working for low-wage workers, for disabled per- families, including 15,800 in North Caroli- sons and others with special needs; and na - and 2,776 in Wake County. for elderly persons who require support- The housing was produced by private ive services. investment, using federal assistance as a With the LIHC providing an incentive. catalyst, allowing local decisions and for private investment, Raleigh is enjoy-: keeping ownership and management in ing successful low-income developments private hands. Bureau- that would be hard to distinguish from POINT cracy is minimal: the market-rate housing. Two examples are program is adminis- Tryon Grove Apartments for families, off tered by a handful of OF VIEW Tryon Road and Murphy School Apart- staff at the U.S. ments for the elderly, the adaptive reuse Department of Trea- of an historic downtown school. sury and by state Suburban communities like Cary, housing finance agencies, most of which, Wake Forest and Apex have also gained like North Carolina Housing Finance new rental housing, and as a result can Agency, are self-supporting. offer more choice to low-income families. So why is the Low-Income Housing In Durham, the LIHC helped finance Tax Credit (LIHC) sud- denly on the chopping block - at risk, not of being trimmed, but of being climinated alto- gether? That is a question for House Ways and Means Committee Chairman Bill Archer, R-Texas, who in mid-September intro- duced a surprise proposal to "mmset" the LIHC in 1997, a back-door way of killing It altogeth- er And - thankfully - it is also a question for the Senate Finance Commit- tee, which begins finalizing the tax provi- sions of Its own budget bill this week The Preiss-Steele Place; a nationally recog- first step in keeping the LIHC's much- nized apartment community that needed housing production is to ensure provides elderty persons with services that the Senate Finance Committee for continued independent living. leaves the program intact in its own bud- Although Archer's Ways and Means get package. Committee voted along straight party Two reasons were given by Rep. lines, the Low-Income Housing Tax Archer for the "sunset" One (mistaken- Credit Program is not a partican issue. ly) lumps the LIHC with "corporate The program was designed 10 years ago tuelfare" mmisione in he in the hu the Senate Finance CommittAA under er. And - thankfully - it is also a question for the Senate Finance Commit- tee, which begins finalizing the tax provi- sions of its own budget bill this week. The Preiss-Steele Place, a nationally recog- first step in keeping the LIHC's much- nized apartment community that needed housing production is to ensure provides elderty persons with services that the Senate Finance Committee for continued independent living leaves the program intact in its own bud- Although Archer's Ways and Means get package. Committee voted along straight party Two reasons were given by Rep. lines, the Low-Income Housing Tax Archer for the "sunset" One (mistaken- Credit Program is not a partisan issue. ly) lumps the LIHC with "corporate The program was designed 10 years ago welfare" provisions to be cut in the by the Senate Finance Committee under House's deficit reduction package. The Sen. Bob Dole, R-Kan. After years of sun- other argues that suspending the LIHC set and renewal, it was made permanent will allow Congress and the General in 1993 under legislation developed by a Accounting Office to review scattered Democrat-dominated House Ways and cases of abuse. Means Committee. Its current and vocal The LIHC is not corporate welfare." supporters include the Republican Gov- Unlike tax deductions for depreciation or ernors Association. North Carolina's entertainment, for example; it does not congressional delegation, both Democ- give a benefit for investments that busi- rats and Republicans, supported nesses make in their own interest. The "permanency" in 1993. LIHC provides an incentive to invest for It would be a mistake to reverse the the public good. in housing that could not decision in 1995. other wise be produced and rented at Permanency has made the LIHC oper- such low rates. ate more efficiently, allowing developers As for possible abuses, of course they and investors to count on it in planning should be investigated, and the program their work It has drawn producers of should be changed if modifications are high quality housing into the production indicated The process of review and of high quality affordable housing. refinement has been almost continuous In the House, parliamentary rules will during the 10-year life to the LIHC- make it virtually impossible to remove without requiring a suspension that, in the LIHC sunset provision when the bud. the present budget. climate, will make it get bill goes to the full House for a vote. all but tmpossible to reinstate any pro- The first step to save the program is to gram after A sunset make sure that the Senate budget has no such provision That will open the wuy for North Carolina needs the LIHC. Some the House-Senate conference committee 200,000 low-income households in our to restore the LIHC when it irons out the differences between the two budget pack- ages. A. Robert Kucab is executive director Every person who understands the of the N.C. Housing Finance Agency, a importance of affordable housing/should supporting agency created by the make sure that our North Carolina sena- General Assembly. He is also chairman tors and representatives hear of their of the state's Housing Policy and Coordi- support for the Low-Income Housing Tax nation Council Credit Program. TULSA WORLD 91st Year - No. 21 Tulsa, Oklahoma, Wednesday, October 4, 1995 Entire Contents 1995 World Publishing Company Lawmaker Backs Effort For Housing Program By Wesley Brown Treitman will set aside most of munity. them for low-income people, and World Staff Writer "I was really impressed with rents will be kept lower than the the quality of the communities. I average market rate in Tulsa visited one complex that was five A Tulsa state representative If his proposal is accepted by years old, and it look like it was said tax-credit apartment devel- the Oklahoma Housing Finance (brand-new)," Hastings said of a opments he saw in Yakima, Agency, Treitman is to receive development for senior citizens. Wash., made him believe that $1.07 million in federal tax cred- "A complex like this in our com- Tulsa can create a low-income its each year for 10 years, II the munity will help low-income el- housing program that works for property continues to meet state derly people live out the rest of everyone. requirements. their lives in dignity." State Rep. Chris Hastings, R. "His development is something The Oklahoma Housing Fi- Tulsa. spent the weekend visiting that without question is a benefit nance Agency is scheduled to several apartment complexes. to the surrounding arba, the com- meet Thursday in Oktahoma City funded with the federal tax cred- munity, and the tenants." Has- to decide which developers will its, and built by Neil Treitman. tings said of the Washington receive the $3 million in tax cred- president of Community Develop- apartments. "I think this can be it available for 1995. ment Services. kind of a road map for the city (of Although state housing officials Hastings said he came away Tulsa) to follow." haven't released any information impressed. The apartments are Hastings also said, "The criti- yet. several sources said Treit- similar to plans for Woodland cal thing is that I see man who is man's application will be one of Manor Apartments, a 240-unit concerned about Tulsa's future the winners. complex Treitman wants to build and is willing to work with us. In August, Hastings and two at 8600 E. 61st St. for low-Income This is not going to be a 61st and Tulsa lawyers wrote a plan that people over age 55. Peoria." they hoped would settle a contro- Treitman spent most of last Hastings and Gov. Frank Keat- versy over several low-income week in Tulsa visiting with citi- ing have pointed to that area of apartment complexes proposed zens. business people, and city of- south Tulsa as an example of for south Tulsa, and to be funded ficials. seeking support. poorly planned and maintained with tax credits. "I am real pleased about going low-income housing. The finance agency's rules at up there," Hastings said. "We def- Hastings had been critical this low cities to write ordinances initely (now) agree with Treitman summer of absentee out-of-state that give them more flexibility in that you can treat non-market developers. deciding where to locate tax- rate apartments differently than Hastings said he met with more credit developments. market rate." than 50 residents of Treitman's Hastings wanted a city ordi- Under the terms of his proposal apartments. the city manager of nance that would have required: to build the Tulsa apartments, Yakima, and people in the com- See Housing on News 10 Continued from developers to safety and security. equiph conform to city zoning and planning laws. follow certain long-term mainte- nance rules and not cause harm to the Wpshile good, morals, wel- fare or of the community. Quietly, soine city and planning officials have expressed concerns themesome sections of Hastings' plan would have violated federal Valr beasing laws. The Pawtucket Times -- Sept. 30, 1995 Federal tax credits program has changed lives, restored housing Lisa Daignault is working her way through college the hard way. A divorced mother, she's doing it on her own while bringing up five kids. The last place she lived had railroad Guest Commentary tracks running through the backyard. The bathtub was in her bedroom and the toilet sat in a closet. That was the best she could do By Richard H. with fIve kids and tuition bills. Well, not any Godfrey Jr. more. Earlier this year they moved into an apartment we financed in Lincoln. The rent is low, so Lisa and the kids can squeak by. Best credits finance the construction of 240 apart- of all, she says, the apartment is handicapped ments creating 260 jobs generating $5 million accessible. making life easier for her develop- in real estate, sales and payroll taxes The mentally disabled son Adam. Lincoln development appropriately is called Rhode Island Housing is able to finance Project Renew, for it involved the complete low-cost apartments like Lisa's because of a rehabilitation of six rundown tenement build- federal program that encourages private cor- ings. The renovations included new windows, porations to invest in affordable housing. kitchens, baths, flooring and heating and elec- Here's how the Low Income Housing Tax trical systems. Our financing also bailed out Credit Program works. Rhode Island annually Rhode Island taxpayers by recycling property receives $1.2 million in tax credits, which we held by DEPCO. Lastly, it gave new hope to then allocate to developers of affordable hous- Lisa Daignault and the 33 other families that ing. They then sell the tax credits to private call Project Renew home. investors, usually corporations, like Citizens, Next year Lisa will graduate from the Com- Fleet, CVS and Pawtucket's own Hasbro. munity College of Rhode Island with a degree Since 1988 the sale of Low Income Housing in accounting. Like most of our tenants, she Tax Credits has raised $41 million here in only needs a helping hand. The average stay Rhode Island. Developers have used that equi- in one of these apartments is just two years. ty to attract an additional $117 million in By then residents have found a new job, re- other financing. That's nearly $160 million in covered from illness or, like Lisa, earned a construction and other economic activity. Now degree and are ready to move on. If the Low tax credits are under attack in Washington. Income Housing Tax Credit Program dies, our Last week. the House Ways and Means Com- efforts to help people like Lisa and cities like mittee voted to kill the program. That would Central Falls will, too. But there is hope. be too bad, because the program does a lot of The program's last best chance lays with good. one of our own. Rhode Island's John Chafee is Over the past few weeks your newspaper a senior member of the Senate Finance Com- has reported on the renaissance that is occur- mittee, which has jurisdiction over tax credits. ring in Central Falls with the Centennial A vote on the future of the program is ex- Houses and Cogswell Homes projects. Last pected next week. Local groups like REACH year The Times told readers about the renova- and the Blackstone Valley Community Action tion of the former Sacred Heart School and Program know Senator Chafee as a long-time Convent in Pawtucket and the apartments in friend of housing. That's why they're spending Lincoln where the Daignault family lives. In a lot of their time giving Chafee the informa- the case of those projects, developers used $4.5 tion he needs to protect tax credits. Even Lisa million from the sale of tax credits to raise an wrote Washington. She said she had to for all additional $10.3 million in financing. That's the other Lisa Daignaults who haven't found $14.8 million flowing into Central Falls, Lin- their way home yet. coin and Pawtucket. The program invigorates our economy, (Richard H. Godfrey Jr. is executive director boisters local tax rolls and creates much of the Rhode Island Housing and Mortgage needed housing. In an average year, tax Finance Corportion.) Support low-income housing tax credit By Richard Godfrey Lisa Daignault is working her way through college the hard way. A divorced mother. she's doing it on her own while bringing up five kids. The The Woonsocket Call - Sept. 30, 1995 last piace she lived had railroad tracks running through the back yard. The bathtub was in her bedroom and the toilet sat in a closet. That was the best she could do with five kids and tuition bills. Well. not anymore. Earlier this year they moved into an apartment we financed in Lincoln. The rent is low. so Lisa and the kids can squeak by. Best of all. she says. the apartment is handicapped accessible. making life easier for her developmentally disabled son Adam. The Rhode Island Housing and Mortgage Finance Corp. (RIHMFC) is able to finance low-cost apartments like Lisa's because of a federal program that encourages private corporations to invest in affordable housing. Here's how the Low Income Housing Tax Credit program works. Rhode Island annually receives $1.2 million in tax credits. which we then allocate to developers of affordable housing. They then sell the tax credits to private investors. usually corporations like Citizens, Fleet. Hasbro and Woonsocket's own CVS. Since 1988 the sale of Low Income Housing Tax Credits has raised $41 million here in Rhode Island. Developers have used that equity to attract an additional $117 million in other financing. That's nearly $160 million in construction and other economic activity. Now tax credits are under attack in Washington, D.C. Last week the House Ways and Means Committee voted to kill the program. That would be too bad, because the program does a lot of good. The Call has been reporting on the renaissance that is occurring on Constitution Hill. In May, The Call wrote about the renovation of the Hanora-Lippitt Mill Apartments. Last fall the paper told readers about the apartments in Lincoln where the Daignault family lives. In the case of those three projects, developers used $3.4 million from the saie of tax credits to raise an additional $7.9 million in financing. That's $11.3 million flowing into Lincoln and Woonsocket. The program invigorates our economy, bolsters local tax rolls and creates much-needed housing. In an average year, tax credits finance the construction of 240 apartments, creating 260 jobs generating $5 million in real estate, sales and payroll taxes. The Lincoln development appropriately is called Project Renew, for it involved the complete rehabilitation of six rundown tenement buildings. The renovations included new windows, kitchens. baths, flooring, and heating and electrical systems. Our financing also bailed out Rhode Island taxpayers by recycling property held by the Depositors Economic Protection Corp. (DEPCO). Lastly, it gave new hope to Lisa Daignault and the 33 other families that call Project Renew home. Next year Lisa will` graduate from the Community College of Rhode Island with a degree in accounting. Like most of our tenants. she only needs a helping hand. The average stay in one of these apartments is just two years. By then residents have found a new job, recovered from illness or, like Lisa, earned a degree and are ready to move on. If the Low Income Housing Tax Credit program dies. our efforts to help people like Lisa Daignault and neighborhoods like Constitution Hill will. too. But there is hope. The program's last best chance lays with one of our own. Rhode Island's John Chafee is a senior member of the Senate Finance Committee, which has jurisdiction over tax credits. A vote on the future of the program is expected next week. Local groups like the Woonsocket Neighborhood Development Corp. and the Blackstone Valley Community Action Program know Sen. Chafee as a longtime friend of housing. That's why they're spending a lot of their time giving Chafee the information be needs to protect tax credits. Even Lisa wrote Washington. She said she had to for all the other Lisa Daignaults who haven't found their way home yet. Richar: Godfrey is executive director of the Rhode Island Housing and Mortaine Finance Corn. THE BLADE: TOLEDO, OHIO MONDAY, OCTOBER 9, 1995 Housing agencies push for tax credit BY EDDIE B. ALLEN, JR. BLAUE WRITER 6 You can't pull off a project like Toledo For many people, wall-to-wall Homes-without the Low Income Housing carpeting. attached single-car ga rages, and three-bedroom homes Tax Credit, and the reason it works is bring to mind Toledo's submite. But with help from a federal law because it's market-driven. , called Low-Income Housing Tax Credit, nr LIHTC. the vision will Aaron Laramore become a reality for 50 central-city ensentive director of Organized Heighbore eXcellence families by the end of 1926. Ground will be broken for the 50- Institutions participate in the tax Aaron Laramore. executive direc- unit Toledo Homos in the next sev- credit. program. The tax credit. is tor of Organized Neighbors Yielding eral weeks at a lot on Collingwood granted to recipients for 10 years eXcellence, the community develop- Boulevard near Dorr Street and based 8 the cost of housing devel- ment corporation overseeing the To- next to Warren A.M.E. Charch: opment and the number of low- leido Homes project, agreed. But while local community devel- income units produced. "Toledo's central city hasn't soon opment corporations push for pro- The program, which became law significant new construction bousing jects like Toledo Homes, many Led- in 1993, was proposed for elimina- to over two decades," be said. eral government officials want to tion recently by the House Ways and scrap the LIHTC. Means Committee, but has received "You can't pull off a project like Toledo Homes without the Low Ln- "It's budget time for the whole support from Governor Volnovich, country, SO low-income housing is the National Governors Association, come Housing Tax Credit, and the and the Republican Governors Asso- reason it works is because it's mar- being swept up in the budget de- bate," said Hugh Grafe, Tnledo pro- cistion. ket-driven," Mr. Laramore said. gram director for the Local Initia- Taledo. Homes will cost $4.5 tnil- Neighborhood residents ontside tives Support Corp., & national Lion, of which 13 million will come low-income housing. areas should development organization. from the tax credit funds, Mr. Grafe also support-the tax. credit if they "The as credit was being-called said: Museum Place, in complex mm- support local economic develop- corporate welfare," Mr. Grafe not- der renovation on Monroe Street ment, Mr. Laramore said. ed. "But there in bipartisan support near. Collingwood; has also been al- "we want to have a strong down- throughout the country, based on the lotted a $1.5 million tax credit to town, and we can't have a strong fact that it is a good way to encour- help with its projected $6.8 million downtown if the neighborhoods that age private investment in pruducing cost, be said. surround it wither and often die," he affordable housing for low and-mod- Museum Place illustrates that the said. erate-income people." law can be used for historic preser- Howard Cross, commissioner of As the Senate Finance Committee vation as well as urban or rural housing for the Toledo department staff meets this week to draft bud- development, Mr. Grate added. of neighborboods, said the LIHTC get bills dealing with the low-to- "At the very time you're starting was used in namerous projects in come busing tax credit, the Toledo to ace the biggest increase for af- the city last year. office of LISC is trying to generate fordable housing development in the "It matters 4 great deal," said support for the law amous local city's history, If you pull the plag on Mr. Cross. "It's hard to understand businesses and developers. [the LIHTC] right now, it would all why the Congress is looking at this Nearly 50 Toledo businesses and become- uncertain," be said. is a negative way." CHICAGO SUN-TIMES, SUNDAY, OCTOBER 1. 1995 35 Commentary EDITORIALS Panel Wields Wild Ax At. Housing Tax Credit Under the guise of cutting corporate welfare, Congress is threatening to kill à program that is anything but. The Low-Income Housing Tax Credit would be rescinded at the end of 1997 under a plan already approved by the House Ways and Means Committee. It isn't clear which way the Senate will vote. The tax credit, first approved in 1986, has helped create nearly 800,000 rental units for more than 2.4 million poor people nationwide; the construction created 90,000 jobs. In 1994, the credit helped create 4,158 affordable housing units in Illinois alone. Advocates for the poor and home builders alike agree: Without the tax credit, most low-income housing would not be built. Developers Simply could not afford to build housing and rent it at a price poor people could pay. Yet the need is greater than ever. For every low-income housing unit built under the program, another unit is lost to gentrification, disrepair or some other affliction. Congress is rewriting our social policy. Entitlements are becom- ing block grants. Government work is being privatized. Account- ability is king. For all those reasons, the Low-Income Housing Tax Credit should be saved. It is a flexible block grant program that encourages private sector involvement, punishes those who don't perform and doesn't cost taxpayers a penny until there are results. In short, the program is everything Congress says it wants, and it's everything taxpayers are willing to support. The San Diego Union-Cribune Saturday, September 23, 1995 Keep the housing credits They encourage much-needed construction here is no question that feder- year, or more than 90 percent of all T al spending must be reduced, affordable housing built in this country. and this newspaper applauds At least $40 million has been distribut- the efforts of the Republican- ed by the California Tax Credit Alloca- controlled Congress to do so. tion Committee each year since 1987 to The $52 billion tax bill passed out of the build such housing. San Diego County House Ways and Means Committee late has received $12 million annually for Tuesday represents a start at reaching housing under this program. Local Ini- a balanced federal budget in seven tiatives Support Corporation (LISC), years. one of several agencies working to help Recently, in an attempt to spread the distribute funds from the state agency, necessary sacrifices to achieve this end has pumped $16 million into 512 units a bit more fairly, committee chairman for lower-income families since 1991. Bill Archer, R-Texas, announced the These units, renting for $290 to $640 closing of certain corporate tax loop- per month, provide decent housing for holes. Fine. Few would argue that tax individuals and families making no more advantages for companies engaging in than 60 percent of the area's $42,000 complex -stock buy-back deals with annual median income. other companies or movie studio film Everyone must help in the very nec- depreciation write-offs should not be essary effort to balance the federal curtailed. But eliminating the $3.5 bil- budget. But working people who other- lion credit for corporations investing in wise can't afford a decent place to live affordable housing? and raise their families should not This credit has led to construction of bear a disproportionate share of the more than 100,000 housing units a responsibility.