[Congressional Record Volume 151, Number 159 (Tuesday, December 13, 2005)]
[Senate]
[Page S13505]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Mr. ALLARD (for himself and Mr. Enzi):
  S. 2088. A bill to assist low-income families, displaced from their 
residences in the States of Alabama, Louisiana, and Mississippi as a 
result of Hurricane Katrina, by establishing within the Department of 
Housing and Urban Development a homesteading initiative that offers 
displaced low-income families the opportunity to purchase a home owned 
by the Federal Government, and for other purposes; to the Committee on 
Banking, Housing, and Urban Affairs.
  Mr. ALLARD. Mr. President, I rise to introduce the Hurricane Katrina 
Recovery Homesteading Act of 2005. Modeled on the United States' 19th 
century homesteading initiatives and similar urban programs in the 
1970s, this legislation will help us begin to rebuild the Gulf Coast 
areas destroyed by the hurricane and flooding, providing a fresh start 
for families victimized by this tragedy.
  The new urban homesteading proposal will serve several purposes. 
First, it is an initial step towards rebuilding and revitalizing the 
hurricane ravaged Gulf Coast. While we have spent recent months 
appropriately focusing on rescue and clean up, we must now examine the 
long term need to rebuild and revitalize.
  Second, the new urban homestead initiative will be one way to begin 
to address the housing needs of those displaced by Hurricane Katrina. 
But I want to make it clear that this program is not being introduced 
as the sole answer to all of the housing problems faced by hurricane 
victims. Getting all of those individuals back on their feet will 
require multiple efforts on a significant scale. This is one component 
of a comprehensive response to the housing needs of the Gulf Coast 
region. I believe the initiative is a very good start.
  Third, the Hurricane Katrina Recovery Homesteading Act is a 
productive way of dealing with government owned properties. Through the 
Federal Housing Administration (FHA), Veterans' Administration (VA), 
and other programs, the Federal Government holds title to thousands of 
properties in the Gulf Coast region. Vacant government owned properties 
have the potential to be a blight on their neighborhoods, diminishing 
property values and acting as a magnet for crime and vandalism. 
Following Hurricane Katrina, vacant properties can also present health 
and safety dangers. Unless the properties are rebuilt and have families 
living in them, they will likely be a significant drag on the efforts 
to rebuild the region. The homesteading initiative will address the 
health and safety concerns and further the revitalization effort while 
putting the property to productive use.
  I would like to briefly describe how the initiative will work. I am 
pleased that it is based on a Federal-local partnership, as well as a 
partnership between government, non-profits, and the private-sector. 
HUD will identify potential government owned property for transfer 
without cost to units of local government. The local government would 
establish an equitable procedure for selecting low income families 
affected by the hurricane for participation. HUD and the local 
government would work with partners, such as Habitat for Humanity, 
mortgage lenders, and others, to help the new urban homesteaders find 
resources to construct their new homes.
  Participating families must agree to occupy the property for five 
years as their principal residence, to bring the property up to health 
and safety codes within one year, and to build a house to applicable 
code standards within three years. They must also agree to periodic 
compliance inspections. In exchange, the family would receive title to 
the property.
  I would like to thank President Bush, Department of Housing and Urban 
Development Secretary Alphonso Jackson, and House sponsor 
Representative Jindal for working with me on this effort. I look 
forward to continuing to work with them, long with the rest of my 
colleagues, to enact the Hurricane Katrina Recovery Homesteading Act of 
2005.
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