[Congressional Record Volume 151, Number 152 (Wednesday, November 16, 2005)]
[Senate]
[Page S12956]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Ms. MURKOWSKI:
  S. 2024. A bill to raise the minimum State allocation under section 
217(b)(2) of the Cranston-Gonzalez National Affordable Housing Act; to 
the Committee on Banking, Housing, and Urban Affairs.
  Ms. MURKOWSKI. Mr. President, I rise to introduce a bill that will 
increase the minimum funding level for low population States for the 
U.S. Department of Housing and Urban Development's HOME Investment 
Partnerships Program.
  This program was created when the Cranston-Gonzalez National 
Affordable Housing bill was signed into law in 1990. Funds were first 
appropriated for this program in 1992. HOME program funds are disbursed 
to State and local governments for the purpose of assisting with the 
expansion of housing for low-income families. These governmental 
entities have a great deal of flexibility when using these funds to 
implement the program's purpose.
  When this program was created, a minimum funding level of $3 million 
was created for States that would normally receive a small amount of 
HOME funds under the allocation formula, which is based on a State's 
population, among other parameters. Five States--Alaska, Delaware, 
Nevada, Hawaii, and North Dakota--received this level of funding for 
this program in fiscal year 2005. Bearing in mind inflation between 
1992--when this program was first funded--and 2005, a $3 million 
allocation in 1992 dollars decreased in value to $2,215,235 in 2005.
  This is unacceptable. My State is one of the most expensive areas in 
the country to develop housing, especially when one takes into account 
the cost to transport building materials to extremely remote areas of 
my State.
  This legislation increases the minimum State funding level for the 
HOME program to $5 million. Based on fiscal year 2005 allocations for 
this program, eight States received less than $5 million. Those States 
are: Alaska, Delaware, Nevada, Hawaii, Montana, North Dakota, Utah, and 
Wyoming. My proposed increase in funding would be offset by an overall 
decrease in allocations to other States. If a $5 million minimum 
funding level had been in place in fiscal year 2005, the other 42 
States would only have experienced an overall decrease of less than $13 
million. Bearing in mind that the amount appropriated in fiscal year 
2005 for this program is $1.865 billion, such a decrease in funds seems 
reasonable considering no changes have been made to the minimum State 
funding level since the HOME program was first funded in 1992.
  In addition, the congressionally appointed, bipartisan Millennium 
Housing Commission recommended increasing the minimum State funding 
level for the HOME program to $5 million in their May 30, 2002, report 
to Congress.
  It is imperative that we address this important issue so that we can 
address the housing needs of a greater amount of low-income families in 
low-population States.
  I ask unanimous consent that the text of the bill be printed in the 
Record.
  There being no objection, the bill was ordered to be printed in the 
Record, as follows:

                                S. 2024

       Be it enacted by the Senate and House of Representatives of 
     the United States of America in Congress assembled,

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Small State HOME Program 
     Equity Act of 2005''.

     SEC. 2. ALLOCATION OF RESOURCES.

       Section 217(b)(2)(A) of the Cranston-Gonzalez National 
     Affordable Housing Act (42 U.S.C. 12747(b)(2)(A)) is amended 
     by striking ``$3,000,000'' each place it occurs and inserting 
     ``$5,000,000''.
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