[Congressional Record (Bound Edition), Volume 154 (2008), Part 6]
[House]
[Pages 7864-7866]
[From the U.S. Government Publishing Office, www.gpo.gov]




 FACILITATING PRESERVATION OF CERTAIN AFFORDABLE HOUSING DWELLING UNITS

  Mr. MEEKS of New York. Madam Speaker, I move to suspend the rules and 
pass the bill (H.R. 5937) to facilitate the preservation of certain 
affordable housing dwelling units.
  The Clerk read the title of the bill.
  The text of the bill is as follows:

                               H.R. 5937

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

     SECTION 1. PRESERVATION OF CERTAIN AFFORDABLE HOUSING 
                   DWELLING UNITS.

       (a) Conversion of HUD Contracts.--Notwithstanding any other 
     provision of law, the Secretary of Housing and Urban 
     Development may, at the request of the owner of the 
     multifamily housing project to which Section 8 Project Number 
     NY 913 VO 0018 and RAP Contract Number 012035NIRAP are 
     subject, convert such contracts to a contract for project-
     based rental assistance under section 8 of the United States 
     Housing Act of 1937 (42 U.S.C. 1437f).
       (b) Initial Renewal.--
       (1) Eligibility.--At the request of the owner made no later 
     than 90 days prior to a conversion, the Secretary may, to the 
     extent sufficient amounts are made available in appropriation 
     Acts and notwithstanding any other law, treat the 
     contemplated resulting contract as if such contract were 
     eligible for initial renewal under section 524(a) of the 
     Multifamily Assisted Housing Reform and Affordability Act of 
     1997 (42 U.S.C. 1437f note).
       (2) Request.--A request by the owner pursuant to paragraph 
     (1) shall be upon such terms and conditions as the Secretary 
     may require.
       (c) Resulting Contract.--The resulting contract shall--
       (1) be subject to section 524(a) of MAHRA (42 U.S.C. 1437f 
     note);
       (2) be considered for all purposes a contract that has been 
     renewed under section 524(a) of MAHRA (42 U.S.C. 1437f note) 
     for a term not to exceed 20 years;
       (3) be subsequently renewable at the request of the owner, 
     under any renewal option for which the project is eligible 
     under MAHRA (42 U.S.C. 1437f note);
       (4) contain provisions limiting distributions, as the 
     Secretary determines appropriate, not to exceed 10 percent of 
     the initial investment of the owner;
       (5) be subject to the availability of sufficient amounts in 
     appropriation Acts; and
       (6) be subject to such other terms and conditions as the 
     Secretary considers appropriate.
       (d) Income Targeting.--The owner shall be deemed to be in 
     compliance with all income-targeting requirements under the 
     United States Housing Act of 1937 by serving low-income 
     families, as such term is defined in the section 3(b)(2) of 
     such Act (42 U.S.C. 1437a(b)(2)).
       (e) Tenant Eligibility.--Notwithstanding any other 
     provision of law, each family residing in an assisted 
     dwelling unit on the date of the conversion under this 
     section, subject to the resulting contract under subsection 
     (a), shall be considered to meet the applicable requirements 
     for income eligibility and occupancy.
       (f) Definitions.--As used in this section--
       (1) the term ``assisted dwelling unit'' means the dwelling 
     units that, on the date of the conversion under this section, 
     were subject to Section 8 Project Number NY 913 VO 0018 or 
     RAP Contract Number 012035NIRAP;
       (2) the term ``conversion'' means the action under which 
     Section 8 Project Number NY 913 VO 0018 and RAP Contract 
     Number 012035NIRAP become a contract for project-based rental 
     assistance under section 8 of the United States Housing Act 
     of 1937 (42 U.S.C. 1437f) pursuant to subsection (a);
       (3) the term ``MAHRA'' means the Multifamily Assisted 
     Housing Reform and Affordability Act of 1997 (42 U.S.C. 1437f 
     note);
       (4) the term ``owner'' means Starrett City Associates or 
     any successor owner of the multifamily housing project to 
     which Section 8 Project Number NY 913 VO 0018 and RAP 
     Contract Number 012035NIRAP are subject;
       (5) the term ``resulting contract'' means the new contract 
     after a conversion of Section 8 Project Number NY 913 VO 0018 
     and RAP Contract Number 012035NIRAP to a contract for 
     project-based rental assistance under section 8 of the United 
     States Housing Act of 1937 (42 U.S.C. 1437f) pursuant to 
     subsection (a); and
       (6) the term ``Secretary'' means the Secretary of Housing 
     and Urban Development.

  The SPEAKER pro tempore. Pursuant to the rule, the gentleman from New 
York (Mr. Meeks) and the gentleman from Delaware (Mr. Castle) each will 
control 20 minutes.
  The Chair recognizes the gentleman from New York.


                             General Leave

  Mr. MEEKS of New York. Madam 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 New York?
  There was no objection.
  Mr. MEEKS of New York. Madam Speaker, I yield myself 2 minutes.
  Access to affordable housing is one of the most serious challenges 
facing our Nation today. Working families are experiencing the most 
trying economic downturn in nearly 25 years. Rising costs in food, 
household necessities, utilities, along with stagnating wages and daily 
increases in the price of gasoline are wreaking havoc upon the lives of 
hardworking American men and women.
  The precipitous increases in mortgage delinquencies and foreclosures 
have caused record numbers of Americans to lose their homes. This 
crisis has been exacerbated by the unprecedented numbers of people 
being wait-listed for public housing which has grown significantly.
  The lack of affordable housing impacts every region of this Nation. 
My colleagues and I have been fighting to ensure access to affordable 
housing in New York and throughout the country. Among my chief 
responsibilities to the constituents of New York's Sixth Congressional 
District is to work to help provide affordable housing.
  For those reasons, my friend, Congressman Ed Towns, along with my 
friends and colleagues, Representatives Peter King, Barney Frank, 
Maxine Waters and Nydia Velazquez introduced H.R. 5937 which will 
facilitate the preservation of affordable housing units.
  Madam Speaker, at this time I reserve the balance of my time.
  Mr. CASTLE. Madam Speaker, I yield myself 4 minutes.
  Madam Speaker, today I rise in support of H.R. 5937, a bill to 
preserve the affordability of the Starrett City development, the 
largest federally subsidized housing project in the country. This bill 
is a bipartisan effort with our colleagues from the New York delegation 
in the House, as well as Senator Schumer, to maintain affordable 
housing in one of the most unaffordable cities, New York City.
  The current owners of Starrett City intend to sell the project. This 
legislation will ensure that Starrett City remains an affordable 
housing resource for Brooklyn residents when the sale is completed. 
H.R. 5937 allows HUD, per the request of the project's private owners, 
to convert the project's section 8 and rental assistance payments 
contract into project-based section 8 contracts. All existing tenants 
receiving housing assistance under the existing contracts will remain 
eligible for assistance under the new project-based section 8 
contracts. If this bill is enacted, 5,881 affordable housing units will 
be preserved for 14,000 residents.
  This bill will not result in any additional cost to the Federal 
Government. In fact, by preserving existing housing, this bill could 
result in cost savings. The owners of Starrett City are in favor of 
this legislation, in addition to the State of New York and the 
residents of Starrett City.
  I urge my colleagues to join me in support of this important piece of 
legislation.
  I reserve the balance of my time.
  Mr. MEEKS of New York. Madam Speaker, at this time I would like to 
yield 5 minutes to my dear friend and colleague and the author of this 
critically important bill, the Honorable Congressman Ed Towns, who has 
been a leader during his tenure in Congress on providing access to 
affordable housing.

[[Page 7865]]


  Mr. TOWNS. Madam Speaker, I thank my friend for yielding time to me, 
and I appreciate his help on this bill. I think it is an important 
piece of legislation.
  I also thank Congresswoman Nydia Velazquez. I guess I better also 
thank the chairman of the committee, Barney Frank, who also worked very 
hard on this, and the chairperson of the committee, Maxine Waters, on 
their assistance in getting us to this point.
  Access to affordable housing is a serious problem across America, 
particularly with the weakening economy and rising gas, utility and 
food costs.
  With a rise in mortgage foreclosures leading to people losing their 
homes and unprecedented waiting lists for public housing--and the list 
gets longer and longer and longer--the ability to find affordable 
housing is crucial. Every time I go back to my district, this is the 
subject that comes up: What can we do about finding an affordable 
apartment?
  Along with my colleagues in New York, I have been working to ensure 
access to affordable housing throughout my tenure in the United States 
Congress. But as neighborhoods developed, residents have been priced 
out of their homes and neighborhoods. And more and more, this is a cry 
coming from across the land.
  For these reasons, along with my colleagues Congressman King, 
Congressman Frank, Congresswoman Waters, and Congresswoman Velazquez, 
we introduced H.R. 5937 which will facilitate the preservation of 
affordable housing units.
  This bill will convert HUD contracts into a new 20-year housing 
assistance payment contract under the Multifamily Housing Restructuring 
and Affordability Act of 1997. Conversion of these HUD contracts will 
allow purchasers of certain affordable housing developments to secure 
the long-term financing necessary to purchase the property.
  By making these properties affordable to the owners, they can in turn 
keep the housing affordable for the tenants. I hope that you will join 
us today in voting ``yes'' on H.R. 5937 to help preserve affordable 
housing.
  And let me just say to my good friends throughout this body that 
there is no additional cost. I think what we are doing here is being 
creative and making it possible that people who are having difficulty 
will be able to have apartments. I think that during this difficult 
time of foreclosures and the problems we are having, I think this 
legislation is crucial. I want to thank my colleagues for supporting 
this.
  Mr. CASTLE. Madam Speaker, at this time I yield back the balance of 
my time and urge support from all Members for this legislation.
  Mr. MEEKS of New York. Madam Speaker, I yield 3 minutes to the 
gentlewoman from New York (Ms. Velazquez) who is a member of this 
committee and the chairwoman of the Small Business Committee.
  Ms. VELAZQUEZ. Madam Speaker, let me first commend Chairman Frank, 
Chairwoman Waters, Mr. Towns, and Mr. King for their leadership in 
moving this necessary legislation forward.
  I proudly support H.R. 5937 because it addresses the need for 
affordable housing for thousands of families in Brooklyn. Across our 
country, low and moderate-income working families are increasingly 
finding adequate housing to be out of reach. No place is this disparity 
more apparent than in New York City where one out of every four 
families spends over 50 percent of their income on rent. New Yorkers in 
many ways face the most difficult housing market.
  Starrett City is the largest federally subsidized rental complex in 
the country with 5,800 units and 14,000 residents. Eliminating these 
units will leave thousands of families stranded and set a dangerous 
precedent.
  H.R. 5937 represents an agreement between government agencies and the 
owners of Starrett City to keep the development affordable. This is a 
carefully crafted deal that ensures the long-term vibrancy of a 
Brooklyn institution.
  Starrett City is a strong, hardworking community. The restaurant 
workers, hotel employees, and seniors who live there are part of 
Brooklyn's very fabric. If New York loses Starrett City, we all lose a 
unique chance to preserve this valuable community and set a precedent 
for generations to come.
  Starrett City is the symptom of a much larger problem in New York 
City and across our Nation. We have an affordability problem that 
requires immediate action. Today, we are taking a step in the right 
direction. By saving one Brooklyn development, we lay the groundwork 
for affordable housing preservation in the future.
  I urge a ``yes'' vote on this legislation.
  Mr. MEEKS of New York. Madam Speaker, I now yield 3 minutes to the 
gentlelady from the great State of New York who is also the Chair of 
the House Subcommittee on Financial Institutions, the Honorable Carolyn 
Maloney.
  Mrs. MALONEY of New York. I thank the gentleman for yielding, and 
thank him for his leadership on this important legislation and for the 
city of New York in general.
  Madam Speaker, I rise in strong support of this legislation that will 
help preserve affordable housing units. I commend my colleagues from 
Brooklyn, Congressman Towns and Congresswoman Velazquez, for their 
leadership in drafting this legislation, and I thank my colleagues on 
the Committee on Financial Services, especially Congresswoman Waters 
who is Chair of the Subcommittee on Housing, and also Chairman Frank 
for bringing this important bill to the floor today.

                              {time}  1745

  When passed, this legislation would authorize the Secretary of 
Housing and Urban Development, upon the request of the owner of a 
multi-family housing project, to convert their contract to a section 8, 
project-based rental assistance contract. This would have an immediate 
impact on Starrett City, the Starrett City housing complex in Brooklyn, 
New York, which is currently serving 14,000 New Yorkers in affordable 
housing units.
  Starrett City is the largest affordable housing complex in our 
country, and this legislation is innovative, it is helpful, it is 
collaborative, and it is bipartisan. And I thank my colleague, Mr. 
Castle, for his leadership on the other side of the aisle.
  Starrett City was opened in 1974, and recently there have been 
efforts to sell the complex and potentially leave these affordable 
housing units and have them sold and re-priced to reflect the current 
market value. By selling these units, you would put at risk affordable 
housing for all of the 14,000 residents that are living there. It would 
endanger their ability to continue as residents living in Starrett 
City, and I would say, I don't know where they would go. In New York 
City there is such a housing crisis and we have no affordable housing 
left. This legislation would help preserve these affordable units for 
at least the next 20 years.
  All of us know that we are facing foreclosures across this country. 
We are talking about programs to have grants, to have negotiations, to 
have support, to keep people in their homes. We have before us today 
creative legislation that the owner supports, that the city supports, 
and hopefully this Congress supports, that could save 14,000 homes for 
New Yorkers and keep them in affordable housing.
  I congratulate my colleague, Mr. Towns, and everyone else who has 
worked so hard to make this happen.
  I urge all of my colleagues to support this tremendously important 
legislation that will keep people in their homes, affordable homes.
  Mr. MEEKS of New York. Madam Speaker, I am now happy to yield 3 
minutes to a new Member of the Congress who says that she is in her 
sophomore year in her freshman term, the Honorable Yvette Clarke.
  Ms. CLARKE. Madam Speaker, to the manager of this bill, Congressman 
Meeks, and to the sponsors of this bill, my colleagues, Congressman 
Towns, Congressman Frank, Congressman King, Congresswoman Velazquez, 
and Congresswoman Waters, I want to say thank you so much for having 
the vision and the foresight to work across

[[Page 7866]]

the aisle to do a great service to not only the people of the city of 
New York, but to this Nation.
  Starrett City is the last bastion of federally subsidized housing 
developments of this nature in this Nation. And as we look at the 
challenge that it faces today, we are looking at a crisis head-on for 
affordable housing around this Nation.
  Our willingness to come together in the 11th hour to put a remedy in 
place speaks to our resilience and our ability to address challenges 
that we face in the 21st century. And as these concerns grow greater 
and greater and the housing crisis gets more and more in depth, with 
millions of moderate and low income families in peril's way, today's 
legislation, H.R. 5937, says that this Congress is willing to stand up 
and do something, and that we've been sent here to solve the problems 
that our communities are facing today.
  I want to congratulate Congressman Castle for standing forward today 
in a bipartisan way. It may seem to some that this is just a piece of 
legislation that will impact New York, but when we stand up for New 
York and Starrett City and Spring Creek, we're standing up for all 
Americans who are facing such peril.
  Mr. MEEKS of New York. Madam Speaker, I yield myself as much time as 
I may consume.
  Let me just say, in conclusion, Madam Speaker, that what this bill 
does, and what we're talking about around the Nation, in a time of 
economic crisis, at a time when people are wondering, many, how they 
could afford or what kind of apartments or homes they can afford, this 
bill is trying to assure that all Americans can indeed have a decent 
roof over their head, that all Americans will understand and have the 
opportunity to really live the American dream. And that's what makes us 
such a great country.
  And by this Congress stepping up to the plate, as it is, making sure 
that those who may not have as much money as others, but yet still can 
live in this great country, and can live in a facility such as Starrett 
City, which is clean, decent, affordable housing, says that we care 
about all of our people throughout these United States of America.
  And so I think it was ingenious, by the authors of this bill, led by 
Mr. Towns, along with Mr. King, in a bipartisan manner say that we're 
going to speak up and we're going to stand up, both Democrats and 
Republicans, that we're going to stand on the interests of making sure 
that there's affordable housing for those who need it. And that's what 
this bill does.
  Madam Speaker, I yield back the balance of my time.
  The SPEAKER pro tempore. The question is on the motion offered by the 
gentleman from New York (Mr. Meeks) that the House suspend the rules 
and pass the bill, H.R. 5937.
  The question was taken.
  The SPEAKER pro tempore. In the opinion of the Chair, two-thirds 
being in the affirmative, the ayes have it.
  Mr. CULBERSON. Madam Speaker, I object to the vote on the ground that 
a quorum is not present and make the point of order that a quorum is 
not present.
  The SPEAKER pro tempore. Pursuant to clause 8 of rule XX and the 
Chair's prior announcement, further proceedings on this motion will be 
postponed.
  The point of no quorum is considered withdrawn.

                          ____________________