[Congressional Record Volume 142, Number 110 (Wednesday, July 24, 1996)]
[Extensions of Remarks]
[Page E1354]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




           SMALL COMMUNITIES CDBG MULTIPURPOSE FACILITIES ACT

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                          HON. BILL RICHARDSON

                             of new mexico

                    in the house of representatives

                        Wednesday, July 24, 1996

  Mr. RICHARDSON. Mr. Speaker, today, I am pleased to introduce 
legislation that will enable small towns across our Nation to fully 
benefit from the Community Development Block Grant Program available 
through the Department of Housing and Urban Development.
  My bill would amend the community development block grant regulations 
to allow municipal employees in towns of 5,000 or less population to 
use not more than 25 percent of the square footage in facilities 
purchased, constructed or renovated with CDBG funds.
  I am introducing this legislation after learning of a problem in the 
village of Grady, a small community in eastern New Mexico. Strapped for 
adequate office space, municipal employees sought and received what 
they thought was appropriate Government approval to move into a small 
space in a facility built with CDBG funds. But lo and behold, once the 
move took place, a further examination of Government regulations 
revealed that the village is prohibited by law from occupying any space 
in a building built with CDBG funds. The financially strapped village 
is now stuck with a $13,500 expense to remain in the building.
  A small town has a severely limited tax base. It cannot afford to 
construct separate buildings for every essential service offered its 
residents. It cannot afford to purchase duplicate office equipment and 
supplies nor to pay insurance, utilities and maintenance expenses on 
several buildings.
  Citizens who are hired for municipal jobs in small communities, such 
as clerks, policemen, firemen, and emergency medical service employees, 
must often share job responsibilities. Not only is it not economically 
feasible, but it is very difficult for these employees to work from 
separate buildings in terms of job communication and coordination.
  Small towns must provide vital services to their residents. To do so 
efficiently, municipal employees must be able to conduct business in 
decent, affordable, and convenient facilities. We must give our small 
communities special consideration and enable them to make the best use 
of limited funding resources. A multi-purpose use of facilities 
purchased, built or renovated with community development block grants 
is the only answer.

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