[Congressional Record Volume 142, Number 46 (Friday, March 29, 1996)]
[Extensions of Remarks]
[Page E507]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




 NATIVE AMERICAN HOUSING ASSISTANCE AND SELF-DETERMINATION ACT OF 1996

                                 ______


                            HON. RICK LAZIO

                              of new york

                    in the house of representatives

                         Friday, March 29, 1996

  Mr. LAZIO of New York. Mr. Speaker, I am very proud to come to this 
floor today to introduce the Native American Housing Assistance and 
Self-Determination Act of 1996.
  This is the most important piece of legislation this body has ever 
considered with regard to Indian housing. This bill heralds a new era 
in the relations between Congress and Indian tribes, one marked by 
mutual respect, consensus, and accountability on all sides.
  Indian communities suffer from some of the worst housing conditions 
in the country, a situation we will no longer tolerate. New 
partnerships between the Federal and tribal governments and the private 
sector will give local Indian communities the tools they need--and have 
been asking for--to build a better life for themselves and their 
members.
  Indian housing programs began in the early 1960's as a result of 
memorandums between the Public Housing Administration, the predecessor 
to the Department of Housing and Urban Development, and the Department 
of Interior. Housing on Indian reservations was considered just a 
derivation of public housing, the same as you would find in Seattle, or 
Miami, or in the town of Isilp, N.Y. Indian housing is not public 
housing. This bill recognizes that fact and creates a single, flexible 
block grant to tribes or their tribally designated housing entity to 
provide housing assistance.
  Because of the unique government-to-government relationship between 
Indian tribes and the American Government, as well as the value of 
having local communities solve local problems. Indian housing 
authorities should have greater flexibility in providing assistance to 
their members.
  Tribal governments and housing authorities should also have the 
ability and responsibility to strategically plan their own communities' 
development, focusing on the long-term health of the community and the 
results of their work, not over burdened by excessive regulation. 
Providing the maximum amount of flexibility in the use of housing 
dollars, within strict accountability standards, is not only a further 
affirmation of the self-determination of tribes, it allows for 
innovation and local problem-solving capabilities that are crucial to 
the success of any community-based strategy.
  Involving private markets and private real estate entities must be a 
part of a successful strategy to improve economic conditions in Indian 
country. Simply put, we need more bang for our buck if we hope to 
address the needs of Indian communities in a meaningful way.
  The formula-driven block grant allows us to implement a new 
affordable housing loan guarantee, based on the very successful section 
108 loan guarantee for Community Development Block Grant funds. Under 
this new model, tribes can borrow capital from existing financial 
organizations and markets to expand the number of new units that can be 
constructed. This helps alleviate the serious need for new housing 
units in Indian country and at the same time lets private capital and 
investors take up the slack where Federal funding cannot, decreasing 
the dependence on direct subsidies.
  While discussion and debate are underway on other legislative 
initiatives such as NAFSO, the Native American Financial Services 
Organization, we can take steps now to ensure public dollars going to 
tribes for housing can be used to leverage private dollars.
  The bill also lengthens leases on trust-held land to 40 years. While 
it may not seem important, it is crucial to the secondary mortgage 
market to have lease terms long enough to support a 30-year mortgage. 
This kind of involvement by the private sector--supporting 
homeownership--is precisely the kind of efforts this Congress must 
support and it's one of the reasons this bill is so important to Indian 
country. Fannie Mae is just beginning to become involved in Indian 
country through the purchase of section 184 loans; Freddie Mac is 
poised to do the same. I believe this provision will give them added 
incentive to increase their presence in Indian communities.
  I would like to thank my colleagues, Mr. Bereuter, the distinguished 
vice-chairman of the Housing Subcommittee, my good friend Mr. Hayworth, 
and our colleague from the other side of the aisle, Mr. Johnson of 
South Dakota. Their efforts are much appreciated and I look forward to 
their continued input on this bill.
  Mr. Speaker, this is only the beginning. As the bill moves forward, 
we expect to receive even more input from people who benefit from and 
run housing programs and, most importantly, to consult with tribal 
leaders. I am confident that the administration and the other body will 
support this bill and I look forward to working with them to make sure 
we can have the best possible legislation.

                          ____________________