[Congressional Record Volume 144, Number 29 (Tuesday, March 17, 1998)]
[Extensions of Remarks]
[Page E388]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]


                 FANNIE MAE--TRILLION DOLLAR COMMITMENT

                                 ______
                                 

                         HON. MARTIN OLAV SABO

                              of minnesota

                    in the house of representatives

                        Tuesday, March 17, 1998

  Mr. SABO. Mr. Speaker, this week, Fannie Mae celebrates the fourth 
anniversary of its Trillion Dollar Commitment. I rise before you today 
to congratulate Fannie Mae CEO Jim Johnson and all of Fannie Mae's 
employees and local partners on the tremendous impact they have had on 
expanding home ownership opportunities in Minnesota and the nation.
  Since March 1994, Fannie Mae has helped 5.6 million families through 
this targeted effort. Sixty-eight percent of Fannie Mae's business 
served families most in need--minorities, new immigrants, residents of 
central cities and underserved areas, first-time home buyers and people 
with special housing needs.
  I have seen firsthand the impact of this commitment in Minneapolis 
and the Twin Cities metropolitan area. Fannie Mae's Minnesota 
Partnership Office piloted a highly successful low downpayment 
mortgage, known as the ``Minnesota Flex,'' which is now offered in many 
communities nationwide. This mortgage product helps first-time 
homebuyers overcome one of the major obstacles to homeownership--saving 
for a downpayment. Last year, Fannie Maie also launched a rehab effort 
in Northeast Minneapolis, which is helping to revitalize that 
community.
  Nationally, Fannie Mae is transforming the housing finance system by 
removing barriers to homeownership and increasing the supply of 
affordable housing. In short, Fannie Mae's commitment is making a 
tangible impact on communities and improving the quality of life for 
homebuyers as well as renters.
  I commend Fannie Mae and its local partners on a job well done and 
wish them further success in expanding home ownership and affordable 
housing opportunities in the coming years. I would also like to read 
the attached letter from the Mayor of Minneapolis in support of Fannie 
Mae's efforts.

                                              Office of the Mayor,
                                   Minneapolis, MN, March 4, 1998.
     Mr. James A. Johnson,
     Chairman, Fannie Mae,
     Washington, DC.
       Dear Jim: I want to extend my sincere congratulations to 
     you and all of Fannie Mae on your upcoming fourth anniversary 
     of the Trillion Dollar Commitment. It has been delightful to 
     partner with Fannie Mae as you strive to reach your goal of 
     serving the housing needs of underserved populations.
       The City of Minneapolis has benefited from Fannie Mae's 
     commitment in many ways. The work of the Partnership Office 
     in finding creative solutions for our community's needs has 
     been a critical component for our housing programs.
       The new townhouse River Station development project would 
     not have moved forward without Fannie Mae's American 
     Communities Fund. Homeownership opportunities will be 
     available for 360 families in Minneapolis' riverfront area.
       The Section 8 homeownership demonstration project secured 
     HUD approval once Fannie Mae committed $4 million as an 
     underwriting experiment to fund the mortgages.
       Northeast Minneapolis received special funding under your 
     innovative HomeStyle rehab initiative. The entire City is 
     benefiting from your outreach efforts through HomeStyle.
       By credit enhancing and purchasing our mortgage revenue 
     bonds, first-time homebuyers achieved lower interest rates.
       Your new Neighborhood Partners initiative in the Phillips, 
     Powderhorn, and Central neighborhoods will be a huge boost to 
     revitalizing these underserved areas.
       I look forward to continuing our partnership as we explore 
     ways to help even more Minneapolis residents achieve 
     homeownership and affordable housing.
           Sincerely,

                                         Sharon Sayles Belton,

                                       Mayor, City of Minneapolis.

     

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