[Congressional Record (Bound Edition), Volume 145 (1999), Part 16]
[Extensions of Remarks]
[Pages 23651-23652]
[From the U.S. Government Publishing Office, www.gpo.gov]



PRESERVING AFFORDABLE HOUSING FOR SENIOR CITIZENS AND FAMILIES INTO THE 
                            21ST CENTURY ACT

                                 ______
                                 

                               speech of

                         HON. MICHAEL P. FORBES

                              of new york

                    in the house of representatives

                       Monday, September 27, 1999

  Mr. FORBES. Mr. Speaker, I strongly support H.R. 202 and urge its 
adoption. The House Committee on Banking and Financial Services has 
incorporated three other worthy bills into H.R. 202. Together, this 
bipartisan legislation assures affordable housing and needed services 
for low-and-moderate income senior citizens. This bill will provide a 
continuum of care to our seniors by making certain that our seniors can 
afford to live independently in their own homes, and continue to 
preserve their dignity and self-sufficiency by obtaining services in an 
assisted living facility as an alternate to nursing home care.
  Like other areas around our country, Suffolk County, NY is plagued 
with high property taxes and very expensive real estate prices. Even 
middle class senior citizens run out of money and the ability to afford 
to live on their own, in an assisted living facility, or in a nursing 
home. In some of our towns, such as Riverhead, Long Island, 25% of our 
citizens are senior citizens. Some senior citizens are only able to 
live in their apartments because of the assistance provided through 
Section 8 vouchers. Others need the supportive services provided by an 
assisted living facility, but these services are not always available. 
Although assisting living facilities are being constructed every day, 
more are needed.
  Today, I would like to focus on some particularly important aspects 
of this bill that will help to address this problem in eastern Long 
Island and everywhere else in our country.
  As contracts with the federal government expire in increasing 
numbers, landlords can ``opt-out'' of the Section 8 voucher program 
that makes housing more affordable for low-income residents, 
particularly elderly and disabled individuals. Through its ``mark-up-
to-market'' initiative, HUD recently began to offer increased rents for 
below market projects

[[Page 23652]]

whose market rents are between 110% and 150% of Fair Market Rent. This 
encourages owners not to ``opt-out'' of the Section 8 program. H.R. 202 
expands HUD's ``mark-up-to-market'' initiative, facilitating even more 
owners to remain in the program. Even where owners do ``opt-out,'' 
however, HUD will be able to provide ``enhanced vouchers'' so that 
seniors who have been living independently in their homes for years can 
remain there. The expansion of the mark-up-to-market initiative and 
these enhanced vouchers are critical to keeping our seniors from having 
to face relocation or loss of their housing.
  The Section 202 program also provides capital to nonprofit 
organizations to finance construction and rehabilitation for rental 
housing with supportive services for the low-income elderly. It also 
provides rent subsidies for sponsors of projects to help make these 
assisted-living facilities affordable. The Section 811 program provides 
capital and subsidies for similar housing programs for disabled 
individuals. H.R. 202 allows refinancing or canceling of this debt for 
certain older facilities. If the project sponsor accepts these new 
financial terms, it must put at least 50% of that savings into 
increasing supportive services, rehabilitation, modernization, or 
retrofitting of structures for the elderly. Through this innovative 
process, this bill will help to create more assisted living facilities 
for our elderly and disabled individuals in all of our communities.
  Mr. Speaker, as the newest Member of the House Committee on Banking 
and Financial Services, I am proud of this bill and urge its passage.

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