[Congressional Record (Bound Edition), Volume 150 (2004), Part 1]
[House]
[Pages 925-926]
[From the U.S. Government Publishing Office, www.gpo.gov]




           ENERGY EFFICIENT HOUSING TECHNICAL CORRECTION ACT

  Mr. SHAYS. Mr. Speaker, I move to suspend the rules and pass the bill 
(H.R. 3724) to amend section 220 of the National Housing Act to make a 
technical correction to restore allowable increases in the maximum 
mortgage limits for FHA-insured mortgages for multifamily housing 
projects to cover increased costs of installing a solar energy system 
or residential energy conservation measures.
  The Clerk read as follows:

                               H.R. 3724

       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 ``Energy Efficient Housing 
     Technical Correction Act''.

     SEC. 2. TECHNICAL CORRECTION.

       Section 220(d)(3)(B)(iii)(V) of the National Housing Act 
     (12 U.S.C. 1715k(d)(3)(B)(iii)(V)) is amended by striking 
     ``with respect to rehabilitation projects involving not more 
     than five family units,''.

  The SPEAKER pro tempore. Pursuant to the rule, the gentleman from 
Connecticut (Mr. Shays) and the gentlewoman from New York (Mrs. 
Maloney) each will control 20 minutes.
  The Chair recognizes the gentleman from Connecticut (Mr. Shays).


                             General Leave

  Mr. SHAYS. Mr. Speaker, I ask unanimous consent that all Members may 
have 5 legislative days within which to revise and extend their remarks 
on this legislation, and to insert extraneous material thereon.
  The SPEAKER pro tempore. Is there objection to the request of the 
gentleman from Connecticut?
  There was no objection.
  Mr. SHAYS. Mr. Speaker, I yield myself such time as I may consume.
  I would like to thank the gentleman from Ohio (Chairman Oxley), the 
gentleman from Ohio (Chairman Ney), and the gentleman from 
Massachusetts (Mr. Frank), and the gentlewoman from California (Ms. 
Waters), the ranking members, for agreeing to bring our bill to the 
floor so expeditiously. I also would like to thank my friend the 
gentlewoman from New York (Mrs. Maloney) and my friend, the gentleman 
from Connecticut (Mr. Simmons) for joining me in introducing this 
legislation.
  Mr. Speaker, during the 107th Congress, we passed the FHA Downpayment 
Simplification Act, which streamlined the downpayment process and 
increased the base mortgage amount limits for FHA-insured loans. By 
increasing access to these loans, Congress helped make the dream of 
owning a home a reality for many first-time homebuyers.
  In passing this legislation, however, we made a seemingly inadvertent 
change to the law regarding what kind of residential projects qualify 
for increased loan payments. We restricted the projects that are 
eligible for increased loan limits to those which contain less than 
five units and take steps to improve energy efficiency.
  Before the FHA Downpayment Simplification Act, this provision read 
that increased loan limits could be granted to projects that contained 
less than 5 units or are taking steps to improve energy efficiency. The 
net effect is large projects that want to employ energy-efficient 
measures are not eliminated from receiving FHA mortgage insurance.
  The need for additional high-quality, affordable housing cannot be 
overstated. Our bill will correct the mistake and restore FHA mortgage 
insurance for large residential projects that are also energy 
efficient.
  This is win-win legislation that will help stimulate construction of 
more responsibly built, affordable housing units, create jobs, and 
encourage investment, and it obviously is also environmentally 
responsible.
  Again, I would like to thank my colleagues for bringing this bill to 
the floor so quickly, and I encourage its swift passage.
  Mr. Speaker, I reserve the balance of my time.
  Mrs. MALONEY. Mr. Speaker, I yield myself such time as I may consume.
  Mr. Speaker, today I join my colleague and cosponsor of this bill, 
the gentleman from Connecticut (Mr. Shays), in support of the Energy 
Efficient Housing Technical Correction Act.
  This legislation will provide incentives for builders to include 
environmentally friendly additions to multi-family housing 
developments, by making projects eligible for 20 percent more FHA 
mortgage insurance. This is a noncontroversial, technical fix that 
corrects an oversight in the legislation enacted in the 107th Congress. 
This legislation is also included in the comprehensive energy bill 
where it received bipartisan, bicameral support.
  Enactment of H.R. 3724 will allow increases in the maximum mortgage 
limits for FHA insurance for multi-family housing projects that choose 
to install solar energy systems or residential energy conservation 
measures. Currently, housing projects with five or fewer units are 
permitted FHA insurance in amounts up to 20 percent higher than the 
standard limit for the purpose of making environmental improvements. 
This legislation on the floor today allows multi-family developments 
with more than five units to be eligible for

[[Page 926]]

this same higher FHA coverage for environmental improvements. Higher 
FHA coverage was allowed for environmental improvements for multi-
family housing prior to the 107th Congress when it was inadvertently 
deleted.

                              {time}  1615

  It only makes sense that projects with more than five units, where 
the environmental benefits are greater, should be eligible for the 
extra FHA insurance.
  My colleagues who work on housing and environmental issues know that 
including solar energy systems and conservation measures can add 
significant building costs. This legislation will provide an important 
incentive for builders to make these additional investments that 
benefit their residents and communities as a whole.
  It is my hope that this legislation will become law as soon as 
possible so that its benefits can begin to flow into the community. 
Whether Members represent urban, suburban or rural districts, I am 
certain that the benefits of this legislation will potentially be felt 
by many of our constituents.
  Finally I want to thank the leadership of the committee, the 
gentleman from Ohio (Mr. Oxley) and the gentleman from Massachusetts 
(Mr. Frank) and also my colleague and friend, the gentleman from 
Connecticut (Mr. Shays) for his work on this issue. It is my pleasure 
to work on many important environmental causes with him. And I 
appreciate his dedication to clean air, clean water, and conservation.
  Mr. Speaker, I rise in strong support of this legislation and urge a 
yes vote from my colleagues.
  Mr. Speaker, I yield back the balance of my time.
  Mr. SHAYS. Mr. Speaker, I yield myself such time as I may consume.
  Mr. Speaker, I would again like to thank the gentlewoman from New 
York (Mrs. Maloney). We have worked on a number of issues together and 
it is always done very professionally. I am always proud to be by her 
side on legislation, and this is one example. I again thank our 
leadership on both sides of the aisle. I urge passage of this bill.
  Mr. Speaker, I yield back the balance of my time.
  The SPEAKER pro tempore (Mr. Gilchrest). The question is on the 
motion offered by the gentleman from Connecticut (Mr. Shays) that the 
House suspend the rules and pass the bill, H.R. 3724.
  The question was taken; and (two-thirds having voted in favor 
thereof) the rules were suspended and the bill was passed.
  A motion to reconsider was laid on the table.

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