[Congressional Record Volume 171, Number 45 (Tuesday, March 11, 2025)]
[Senate]
[Pages S1666-S1667]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Mr. REED (for himself and Mrs. Britt):
  S. 970. A bill to establish a pilot program to improve the family 
self-sufficiency program, and for other purposes; to the Committee on 
Banking, Housing, and Urban Affairs.
  Mr. REED. Mr. President, today I am reintroducing the Helping More 
Families Save Act with Senator Britt. This bipartisan legislation would 
help more families in HUD-assisted housing build savings and improve 
their financial security by creating a pilot program for Family Self-
Sufficiency, FSS, universal escrow accounts.
  The FSS Program was established under the National Affordable Housing 
Act of 1990 to help low-income families boost savings and improve their 
professional, educational, and financial

[[Page S1667]]

standing. In 2018, I worked with then-Senator Roy Blunt to expand the 
program to cover more households. Today, millions of public housing 
residents, Housing Choice Voucher Program participants, and residents 
of project-based rental assistance, PBRA, housing are eligible for FSS.
  FSS provides two key tools for its participants. First, households 
work with FSS coordinators to develop long-term financial, 
professional, or educational goals. FSS coordinators also help connect 
participants with resources, training, and employment opportunities. 
Second, the program encourages FSS families to save by providing them 
with an interest-bearing escrow account. Participants who increase 
their incomes deposit a portion of their additional earnings into their 
escrow account instead of paying higher rent, as is typically required 
under federally subsidized housing programs. Upon graduation from the 
Program, families can use their escrowed savings to pay for job-related 
expenses, move to private market housing, buy a home, or save for the 
future.
  After more than 30 years, FSS has become a proven financial 
independence program. For example, in 2022, 34 percent of FSS graduates 
no longer needed Federal rental assistance within 1 year of leaving 
FSS, and nearly 10 percent of graduates were ultimately able to 
purchase their own home. On average, FSS participants with escrow 
savings graduated from the program with approximately $10,000 in their 
accounts. This is no small sum, and it helps HUD-assisted families 
strengthen their financial stability and move towards greater economic 
independence.
  Despite the program's success and broad eligibility, program 
participation was effectively capped at about 70,000 enrollees in 2022 
simply due to a lack of Federal funding for the required FSS 
coordinators.
  The Helping More Families Save Act would help more Americans access 
the program by creating a new universal escrow pilot. Under the bill, 
public housing agencies, PHAs, and PBRA property owners could offer 
5,000 additional households escrow accounts identical to those under 
the current FSS Program without having to wait for an FSS coordinator 
to be funded by the Federal Government. PHA and PBRA property owners 
would not be required to offer coordinator services to these new 
participants, although we expect many will work to offer counseling and 
support on their own or with outside partners. Moreover, we expect that 
this pilot will show that those enrolled in the program will be 
successful and make financially sound decisions.
  Our pilot program would help more low-income families improve their 
financial security, achieve economic independence, and possibly even 
purchase their own homes, all with minimal cost to the Federal 
Government.
  This is a commonsense, bipartisan proposal that would help more 
Americans pull themselves out of poverty. It is a win for families, the 
Federal budget, and our economy. I thank Senator Britt for coleading 
this legislation and Compass Working Capital and LISC for their 
support. I urge our colleagues to cosponsor the Helping More Families 
Save Act and support its passage.

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