[Congressional Record Volume 140, Number 79 (Tuesday, June 21, 1994)]
[House]
[Page H]
From the Congressional Record Online through the Government Printing Office [www.gpo.gov]


[Congressional Record: June 21, 1994]
From the Congressional Record Online via GPO Access [wais.access.gpo.gov]

 
     SUPPLEMENTAL APPROPRIATIONS, DEPARTMENT OF HOUSING AND URBAN 
                           DEVELOPMENT, 1994

  Mr. STOKES. Mr. Speaker, pursuant to the order of the House of 
Friday, June 7, 1994, I call up the bill (H.R. 4568) making 
supplemental appropriations for the Department of Housing and Urban 
Development for the fiscal year ending September 30, 1994, and for 
other purposes, and ask for its immediate consideration.
  The Clerk read the title of the bill.
  The text of the bill, H.R. 4568, is as follows:

                               H.R. 4568

       Be it enacted by the Senate and House of Representatives of 
     the United States of America in Congress assembled, That the 
     following sums are appropriated, out of any money in the 
     Treasury not otherwise appropriated, to provide supplemental 
     appropriations for the Department of Housing and Urban 
     Development for the fiscal year ending September 30, 1994, 
     and for other purposes, namely:

              DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

                     Federal Housing Administration


             FHA--MUTUAL MORTGAGE INSURANCE PROGRAM ACCOUNT

       During fiscal year 1994, additional commitments to 
     guarantee loans to carry out section 203(b) of the National 
     Housing Act, as amended, shall not exceed an additional loan 
     principal of $35,000,000,000.


             FHA--GENERAL AND SPECIAL RISK PROGRAM ACCOUNT

       For an additional amount for the cost of guaranteed loans, 
     not to exceed $18,080,000, as authorized by the National 
     Housing Act, as amended (12 U.S.C. 1715z-3(b) and 1735c(f)), 
     of which $8,080,000, shall become available upon enactment: 
     Provided, That such costs, including the cost of modifying 
     loans, shall be as defined in section 502 of the 
     Congressional Budget Act of 1974: Provided further, That 
     notwithstanding any limitation for fiscal year 1994 in 
     section 531(b) of the National Housing Act, these funds are 
     available to subsidize total loan principal, any part of 
     which is to be guaranteed, not to exceed $3,000,000,000: 
     Provided further, That during fiscal year 1994, the Secretary 
     shall sell without recourse assigned mortgage notes having an 
     unpaid principal balance of up to $180,000,000, which notes 
     were originally insured under section 221(g)(4) or title X of 
     the National Housing Act: Provided further, That of the 
     amount appropriated herein, an amount equal to the lesser of 
     $10,000,000 or the excess of the net proceeds from the sale 
     of mortgage notes above $88,900,000 shall become available 
     only after such sale has been completed.

                Government National Mortgage Association


Guarantees of mortgage-backed securities loan guarantee program account

       During fiscal year 1994, additional commitments to issue 
     guarantees to carry out section 306 of the National Housing 
     Act, as amended (12 U.S.C. 1721(g)), shall not exceed 
     $55,000,000,000.

  The SPEAKER pro tempore. Pursuant to the order of the House of 
Friday, June 17, 1994, the gentleman from Ohio [Mr. Stokes] will be 
recognized for 30 minutes, and the gentleman from Pennsylvania [Mr. 
McDade] will be recognized for 30 minutes.
  The Chair recognizes the gentleman from Ohio [Mr. Stokes].
  (Mr. STOKES asked and was given permission to revise and extend his 
remarks.)
  Mr. STOKES. Mr. Speaker, I yield myself such time as I may consume.
  Mr. Speaker, I rise in support of H.R. 4568, the FHA-Ginnie Mae 
supplemental appropriations bill. H.R. 4568 is a single purpose 
supplemental appropriations bill that would provide increased housing 
loan commitment authority for the Department of Housing and Urban 
Development.
  On June 6, the administration requested that the current 1994 
limitations on FHA and Ginnie Mae guaranteed loans be increased. 
Specifically, the following requests were submitted.
  The administration requested that the FHA-mutual mortgage insurance 
limitation on guaranteed loans be increased by $35 billion--from $84.6 
billion in the 1994 Appropriations Act to $119.6 billion.
  The request also proposed that the FHA-general and special risk 
insurance limitation on guaranteed loans be increased by $3 billion--
from $15.4 billion to $18.4 billion.
  An increase in the appropriation subsidy for the FHA-general and 
special risk fund of $18,080,000 is also proposed. Of this amount, 
$8,080,000 is offset by additional receipts from an expansion in the 
condominium mortgage insurance program. The balance of $10 million is 
contingent upon the sale of mortgage notes at a greater than estimated 
value to the Government.
  Finally, the administration requests an increase in the commitment 
authority for the Ginnie Mae mortgage-backed securities program of $55 
billion--from $130 billion provided in the 1994 Appropriations Act to 
$185 billion.
  Lower interest rates and a high level of mortgage refinancing in the 
first part of fiscal year 1994 caused more loans to be guaranteed than 
had been anticipated. Mortgage interest rates have risen recently and 
the volume of loan guarantees for the FHA and Ginnie Mae programs have 
fallen off a little. Still, the department estimates the loan 
limitations for both FHA and Ginnie Mae will be exhausted by mid-July--
if not before.
  As presently scheduled, the 4th of July recess does not end until 
mid-July. To avoid any disruption to the housing market and the economy 
because the FHA could not guarantee any more housing loans, the 
committee is recommending that the requested increases to the loan 
limitations for both the FHA and Ginnie Mae be sent to the President 
prior to the beginning of the 4th of July recess.
  I urge Members to vote for H.R. 4568.
  Mr. Speaker, I reserve the balance of my time.
  Mr. McDADE. Mr. Speaker, I yield myself such time as I may consume.
  (Mr. McDADE asked and was given permission to revise and extend his 
remarks.)

                              {time}  1520

  Mr. McDADE. Mr. Speaker, I rise to join my distinguished friend from 
Ohio, the chairman of the Subcommittee on VA, HUD and Independent 
Agencies, and the ranking minority member, the gentleman from 
California [Mr. Lewis], who does such an outstanding job, in urging 
support for this supplemental. I know of no controversy, and we ought 
to mark down this day as a red-letter day, because this bill has no 
cost to the Federal Government.
  As all of my colleagues know, the FHA and GNMA Mortgage Insurance and 
Loan Guarantee Programs pay for themselves. They are the main 
mechanisms by which we achieve low down payment housing for first-time 
buyers, middle-income people and lower-income people in this great 
country who want to realize the American dream of home ownership.
  There is a third program, the General and Special Risk Program 
account, in here, which has a minimal cost but it is offset to 
everybody's satisfaction. There is no argument or dispute about it.
  I take one moment of caution just to say that there is a HUD audit 
out there that the inspector general has commissioned with Price 
Waterhouse, and it continues to outline problems in the financial and 
accounting management at the Department of Housing in a general way, 
not related to this bill, Mr. Speaker, but related to HUD in its 
general management. And all Members need to take an interest in it, in 
that the long-term success of all housing programs depends on these 
management problems being addressed.
  I urge adoption of this bill.
  Mr. Speaker, I urge the adoption of the bill, and I reserve the 
balance of my time.
  Mr. STOKES. Mr. Speaker, I yield 5 minutes to the distinguished 
gentleman from Texas [Mr. Gonzalez], chairman of the Committee on 
Banking, Finance and Urban Affairs.
  (Mr. GONZALEZ asked and was given permission to revise and extend his 
remarks.)
  Mr. GONZALEZ. Mr. Speaker, I want to announce that I certainly will 
not think of using 5 minutes. It is not necessary in order to say the 
essential thing that ought to be here, and that is that I join the 
chairman and the ranking member of the Appropriations subcommittee in 
this very efficient and rather quick response to a need in raising 
these levels on guarantees. The FHA has even, according to Price 
Waterhouse's own report to us, the subcommittee, authorizing 
subcommittee, has turned around and its capital standards are such that 
they exceed what we mandated in the 1990 Comprehensive Housing 
Reauthorization Act, in excess of 1.35 percent.
  And they reach 1.44. And within reasonable time, if they keep on 
doing the business they are doing, again, bringing FHA where it has 
been, it should be 2 percent.
  So I want to compliment the gentleman from Ohio [Mr. Stokes] again, 
and the members of the subcommittee, for responding quickly in order to 
ensure that the FHA is able to do the business and continue their 
guarantee program.
  Mrs. ROUKEMA. Mr. Speaker, will the gentleman yield?
  Mr. GONZALEZ. I yield to the gentlewoman from New Jersey.
  (Mrs. ROUKEMA asked and was given permission to revise and extend her 
remarks.)
  Mrs. ROUKEMA. Mr. Speaker, I would certainly like to associate myself 
with the remarks of the chairman of the Subcommittee on Housing and 
Community Development and rise also in support of this provision. I 
believe it is well thought out and certainly it has the support of the 
committee on both sides, bipartisan support.
  Mr. GONZALEZ. Mr. Speaker, I want to recognize the gentlewoman from 
New Jersey [Mrs. Roukema] and her tremendous contribution to the 
authorizing committee and also say that heretofore where we have had 
these difficulties in reaching authorization legislation in prompt and 
sufficient time before appropriation that never have we had the 
cooperation from the appropriation level as we have had from the 
gentleman from Ohio [Mr. Stokes]. I am very grateful. Again, I 
reiterate my profound thanks to the gentlewoman from New Jersey for her 
great contributions to the housing and urban development laws of our 
country.
  Mrs. ROUKEMA. Mr. Speaker, I thank the gentleman.
  Mr. Speaker, I rise in support of H.R. 4568, the HUD supplemental 
appropriations for fiscal year 1994.
  On June 6, due to a high demand for FHA loans and refinancings, which 
were a direct result of the current low mortgage rate interest 
environment, the administration submitted a request for supplemental 
Federal home mortgage loan and guarantee commitment authority for the 
FHA.
  The request would increase fiscal year 1994 loan guarantee authority 
for the FHA Mutual Mortgage Insurance Program [MMI] by an additional 
$35 billion. It would also provide an additional $3 billion for loan 
guarantees for the general and special risk insurance programs.
  The Ginnie Mae commitment guarantee authority for principal and 
interest payments on mortgage-backed securities issued by Ginnie Mae 
would be increased by $55 billion.
  Both of these measures are necessary to allow the FHA and Ginnie Mae 
to provide homeownership opportunities for thousands of American 
families who are seeking to share in the American dream of 
homeownership.
  Generally, Mr. Chairman, these extensions are considered within the 
context of an authorization bill, but because these current loan 
commitment levels are about to be reached, and it is uncertain how long 
an authorization bill would take, it is appropriate to address these 
issues in this legislation.
  I want to acknowledge the cooperation of Chairman Stokes and Ranking 
Member Lewis of the VA, HUD, and Independent Agencies Appropriation 
Subcommittee and Chairman Obey and Ranking Member McDade for their 
continued willingness to recognize the role of the authorization 
committee and to consult with us as we move these initiatives through 
the legislative process.
  I urge the Members to support this legislation.
  Mr. STOKES. Mr. Speaker, I have no further requests for time, and I 
yield back the balance of my time.
  Mr. McDADE. Mr. Speaker, I yield back the balance of my time.
  Mr. FAWELL. Mr. Chairman, as cochairman of the Porkbusters Coalition, 
I rise to commend the Appropriations Committee for reporting such a 
``clean'' bill. Often the Porkbusters cite unauthorized projects in the 
13 appropriations bills that pass the House and Senate. The last 
supplemental appropriations bill, making appropriations for the 
California earthquake, contained several unauthorized projects. But, 
Mr. Chairman, the bill we see before us today is a clean bill and does 
not contain a single unauthorized project.
  I commend Mr. Obey and the Appropriations Committee on this 
accomplishment. There are no waivers of House rules necessary for this 
bill. There would be no justification for a closed rule. The 
Porkbusters and I are hopeful for more appropriations bills that adhere 
to this standard.
  The SPEAKER pro tempore (Mr. Clement). Pursuant to the order of the 
House of Friday, June 17, 1994, the previous question is ordered.
  The question is on the engrossment and third reading of the bill.
  The bill was ordered to be engrossed and read a third time, and was 
read the third time.
  The SPEAKER pro tempore. The question is on the passage of the bill.
  The question was taken; and the Speaker pro tempore announced that 
the ayes appeared to have it.
  Mr. STOKES. Mr. Speaker, I object to the vote on the ground that a 
quorum is not present and make the point of order that a quorum is not 
present.
  The SPEAKER pro tempore. Evidently a quorum is not present.
  The Sergeant at Arms will notify absent Members.
  The vote was taken by electronic device, and there were--yeas 410, 
nays 9, not voting 15, as follows:

                             [Roll No. 259]

                               YEAS--410

     Abercrombie
     Ackerman
     Allard
     Andrews (ME)
     Andrews (NJ)
     Andrews (TX)
     Applegate
     Archer
     Armey
     Bacchus (FL)
     Bachus (AL)
     Baesler
     Baker (CA)
     Baker (LA)
     Ballenger
     Barca
     Barcia
     Barlow
     Barrett (NE)
     Barrett (WI)
     Bartlett
     Barton
     Bateman
     Becerra
     Beilenson
     Bentley
     Bereuter
     Berman
     Bevill
     Bilbray
     Bilirakis
     Bishop
     Blackwell
     Bliley
     Blute
     Boehlert
     Boehner
     Bonilla
     Bonior
     Borski
     Boucher
     Brewster
     Brooks
     Browder
     Brown (CA)
     Brown (FL)
     Brown (OH)
     Bryant
     Bunning
     Buyer
     Byrne
     Callahan
     Calvert
     Camp
     Canady
     Cantwell
     Cardin
     Castle
     Chapman
     Clay
     Clayton
     Clement
     Clinger
     Clyburn
     Coleman
     Collins (GA)
     Collins (IL)
     Collins (MI)
     Combest
     Condit
     Conyers
     Cooper
     Coppersmith
     Costello
     Cox
     Coyne
     Cramer
     Crapo
     Cunningham
     Danner
     Darden
     de la Garza
     Deal
     DeLauro
     DeLay
     Dellums
     Derrick
     Deutsch
     Diaz-Balart
     Dickey
     Dicks
     Dixon
     Dooley
     Doolittle
     Dornan
     Dreier
     Duncan
     Dunn
     Durbin
     Edwards (CA)
     Edwards (TX)
     Ehlers
     Emerson
     Engel
     English
     Eshoo
     Evans
     Everett
     Ewing
     Farr
     Fawell
     Fazio
     Fields (LA)
     Fields (TX)
     Filner
     Fingerhut
     Fish
     Flake
     Foglietta
     Ford (TN)
     Fowler
     Frank (MA)
     Franks (CT)
     Franks (NJ)
     Furse
     Gallegly
     Gallo
     Gejdenson
     Gephardt
     Geren
     Gibbons
     Gilchrest
     Gillmor
     Gilman
     Gingrich
     Glickman
     Gonzalez
     Goodlatte
     Goodling
     Gordon
     Grams
     Grandy
     Green
     Gunderson
     Gutierrez
     Hall (OH)
     Hall (TX)
     Hamburg
     Hamilton
     Hancock
     Hansen
     Harman
     Hastert
     Hastings
     Hayes
     Hefley
     Hefner
     Herger
     Hilliard
     Hinchey
     Hoagland
     Hobson
     Hochbrueckner
     Hoekstra
     Hoke
     Holden
     Horn
     Houghton
     Hoyer
     Huffington
     Hughes
     Hunter
     Hutchinson
     Hutto
     Hyde
     Inglis
     Inhofe
     Inslee
     Istook
     Jacobs
     Jefferson
     Johnson (CT)
     Johnson (GA)
     Johnson (SD)
     Johnson, E.B.
     Johnson, Sam
     Johnston
     Kanjorski
     Kaptur
     Kasich
     Kennedy
     Kennelly
     Kildee
     Kim
     King
     Kingston
     Kleczka
     Klein
     Klink
     Klug
     Knollenberg
     Kolbe
     Kopetski
     Kreidler
     Kyl
     LaFalce
     Lambert
     Lancaster
     Lantos
     LaRocco
     Laughlin
     Lazio
     Leach
     Lehman
     Levin
     Levy
     Lewis (CA)
     Lewis (GA)
     Lewis (KY)
     Lightfoot
     Linder
     Lipinski
     Livingston
     Long
     Lowey
     Lucas
     Machtley
     Maloney
     Mann
     Manton
     Manzullo
     Margolies-Mezvinsky
     Markey
     Martinez
     Matsui
     Mazzoli
     McCandless
     McCloskey
     McCollum
     McCrery
     McCurdy
     McDade
     McDermott
     McHale
     McHugh
     McInnis
     McKeon
     McKinney
     McMillan
     McNulty
     Meehan
     Meek
     Menendez
     Meyers
     Mfume
     Mica
     Michel
     Miller (CA)
     Minge
     Mink
     Moakley
     Molinari
     Mollohan
     Montgomery
     Moorhead
     Moran
     Morella
     Murphy
     Murtha
     Myers
     Nadler
     Neal (MA)
     Neal (NC)
     Nussle
     Oberstar
     Olver
     Ortiz
     Orton
     Owens
     Oxley
     Packard
     Pallone
     Parker
     Pastor
     Paxon
     Payne (NJ)
     Payne (VA)
     Pelosi
     Penny
     Peterson (FL)
     Peterson (MN)
     Petri
     Pickett
     Pombo
     Pomeroy
     Porter
     Portman
     Poshard
     Price (NC)
     Pryce (OH)
     Quillen
     Quinn
     Rahall
     Ramstad
     Rangel
     Ravenel
     Reed
     Regula
     Reynolds
     Richardson
     Ridge
     Roberts
     Roemer
     Rogers
     Rohrabacher
     Ros-Lehtinen
     Rose
     Rostenkowski
     Roth
     Roukema
     Rowland
     Roybal-Allard
     Royce
     Rush
     Sabo
     Sanders
     Sangmeister
     Santorum
     Sarpalius
     Sawyer
     Saxton
     Schaefer
     Schenk
     Schiff
     Schroeder
     Schumer
     Scott
     Sensenbrenner
     Serrano
     Shaw
     Shays
     Shepherd
     Shuster
     Sisisky
     Skaggs
     Skeen
     Skelton
     Slaughter
     Smith (IA)
     Smith (MI)
     Smith (NJ)
     Smith (OR)
     Smith (TX)
     Snowe
     Spence
     Spratt
     Stark
     Stearns
     Stenholm
     Stokes
     Strickland
     Studds
     Stupak
     Sundquist
     Swett
     Swift
     Synar
     Talent
     Tanner
     Tauzin
     Taylor (MS)
     Taylor (NC)
     Tejeda
     Thomas (CA)
     Thomas (WY)
     Thompson
     Thornton
     Thurman
     Torkildsen
     Torres
     Torricelli
     Towns
     Traficant
     Tucker
     Unsoeld
     Upton
     Velazquez
     Vento
     Visclosky
     Volkmer
     Vucanovich
     Walsh
     Waters
     Watt
     Waxman
     Weldon
     Wheat
     Whitten
     Williams
     Wilson
     Wise
     Wolf
     Woolsey
     Wyden
     Wynn
     Yates
     Young (AK)
     Young (FL)
     Zeliff
     Zimmer

                                NAYS--9

     Burton
     Coble
     Crane
     Gekas
     Goss
     Lewis (FL)
     Miller (FL)
     Stump
     Walker

                             NOT VOTING--15

     Carr
     DeFazio
     Dingell
     Ford (MI)
     Frost
     Greenwood
     Lloyd
     Mineta
     Obey
     Pickle
     Sharp
     Slattery
     Solomon
     Valentine
     Washington

                              {time}  1548

  So the bill was passed.
  The result of the vote was announced as above recorded.
  The motion to reconsider was laid on the table.

                          ____________________