[Congressional Record Volume 151, Number 142 (Tuesday, November 1, 2005)]
[Extensions of Remarks]
[Page E2231]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]


               FEDERAL HOUSING FINANCE REFORM ACT OF 2005

                                 ______
                                 

                               speech of

                        HON. NYDIA M. VELAZQUEZ

                              of new york

                    in the house of representatives

                      Wednesday, October 26, 2005

       The House in Committee of the Whole House on the State of 
     the Union had under consideration the bill (H.R. 1461) to 
     reform the regulation of certain housing-related Government-
     sponsored enterprises, and for other purposes:
  Ms. VELAZQUEZ. Mr. Chairman, I rise today to register my opposition 
to H.R. 1461 the Federal Housing Finance Reform Act, due to recently 
add provisions that restrict non-profit organizations from receiving 
affordable housing funds if they engage in nonpartisan voter 
registration activities.
  On May 25, 2005, the Financial Services Committee reported the GSE 
bill with strong bipartisan support. I supported moving the bill 
because it took necessary steps toward expanding homeownership for 
American families.
  However, in an effort to bring the bill to the floor, Republicans 
altered the language that created an affordable housing trust fund. 
Under the Republican language, controversial limitations were included 
to restrict the receipt of the funds by nonprofit organizations. 
Specifically, the language prohibits nonprofit organizations, including 
religious groups, from applying for and receiving grants if they engage 
in, or maintain an affiliation with any organization that engages in, 
nonpartisan voter registration within the 12 months preceding the 
application or during the duration of the grant.
  This restrictive language has never been debated by the Financial 
Services Committee, despite the fact that its implications warrant 
careful study. For instance, the provisions raise significant 
constitutional questions because they place restrictions on the First 
Amendment right to affiliate. They also directly contradict current 
voter registration laws by discouraging civic participation in the 
democratic process.
  Moreover, I am extremely concerned that this language will exempt 
qualified non-profit groups from providing much needed affordable 
housing services across the country. The Financial Services Committee 
had taken great strides in this bill to increase homeownership through 
the creation of an affordable housing trust fund. Yet, this language 
throws our bipartisan efforts aside, the impact of which will be felt 
by the low income, elderly and disabled.
  As the Federal Housing Finance Reform Act moves forward through the 
legislative process, I hope that the Senate and conference committee 
recognize the harmful effects of these restrictions on non-profit 
organizations and remove the language that jeopardizes our democratic 
form of government.

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