2008 U.S. federal legislative priorities

Habitat for Humanity International works with legislators and housing regulators to increase support for affordable homeownership and for the elimination of poverty housing. Throughout the year, HFHI monitors public policy issues related to housing, community development and international development, and advocates policy choices that expand access to decent, affordable housing worldwide.

Increase U.S. affordable housing production and preservation
Congress should refine existing federal affordable housing production and preservation tools and consider creating new ones. Initiatives supported by HFHI:

• The creation of a national affordable housing trust fund has long been supported by HFHI. In 2007, the House of Representatives passed trust fund legislation that included an HFHI-supported amendment that broadened communities’ access to the fund and allowed local jurisdictions the flexibility to use a small amount of trust fund dollars to support low-income homeownership. Trust fund legislation has been introduced and awaits consideration in the Senate.

• The creation of a homeownership development tax credit is another means of creating new resources for affordable housing production and preservation that has long been supported by HFHI. The main obstacle continues to be heavy competition from other congressional tax relief priorities, most notably, the alternative minimum tax (AMT).

Maintain federal resources supporting the work of Habitat affiliates
HFHI supports federal appropriations that contribute to the effectiveness and capacity of local Habitat affiliates across the country.

• Corporation for National and Community Service (CNCS)—Funding supports volunteer service programs currently partnering with Habitat, including AmeriCorps*State/National, AmeriCorps*VISTA, AmeriCorps*NCCC and Senior Corps. CNCS volunteers have played a central role in Habitat’s hurricane recovery efforts on the Gulf Coast.

• Community Development Block Grant (CDBG)—Funding for grants to states, cities, and counties for a wide range of economic development activities, including affordable housing development.

• Self-Help Homeownership Opportunity (SHOP) Program—HFHI competes with other nonprofit community development organizations for funding to purchase land and provide infrastructure for the construction of homes for low-income families.

• Section 4 Capacity Building—HFHI uses HUD section 4 capacity building funds to assist affiliates in increasing their housing production through technical assistance, training, and the hiring of high-impact staff.

• HOME Program—HFHI affiliates work with local jurisdictions across the country to access HOME funding for predevelopment, land acquisition, construction, and rehabilitation costs.

Improve federal housing oversight
When federal housing programs or regulatory schemes fail to achieve their intended purposes, Congress should act to improve their performance.

• Subprime Mortgage Crisis—HFHI supports Congress’ use of its oversight authority to investigate sources of and solutions to instability in the mortgage markets. HFHI also strongly supports expanding financial literacy and homeownership counseling programs that teach consumers responsible borrowing practices.

• Government-Sponsored Enterprises (GSE) Affordable Housing Mission—HFHI supports regulatory reform proposals that highlight the affordable housing missions of Fannie Mae, Freddie Mac, and the Federal Home Loan Bank (FHLB). Congress should ensure that GSE reform legislation accomplishes the following three goals:

o Creation of a new GSE affordable housing fund;

o Enhancement of the GSE affordable housing goals;

o Preservation of GSE flexibility to offer innovative products and underwriting techniques.

Improve the security of land tenure globally
HFHI supports efforts to leverage U.S. international development programs to improve the security of land tenure.

• The Global Resources and Opportunities for Women to Thrive (GROWTH) Act would make women’s economic opportunity a priority in US foreign assistance programs and eliminate barriers to women’s full participation in their national economies by improving and protecting their property rights, helping them start and grow their own businesses, and ensuring their full access to employment markets and to the benefits of international trade agreements.

Pursue international poverty reduction initiatives
HFHI also supports creative initiatives addressing the conditions that give rise to poverty and improving the federal government’s delivery of poverty-focused development assistance.

• Increase U.S. Poverty-Focused Development Assistance

In 2007, HFHI staff in area and national offices around the world identified the following priorities for the second session of the 110th Congress:

o Housing microfinance,

o Secure tenure/land titling, and

o Slum upgrading.

While not appearing as line items in the US budget, these priorities receive support through US poverty-focused development assistance accounts. HFHI supports significantly increasing funding for poverty-focused development assistance and elevating these shelter-related issues as a priority focus for development programs. HFHI also continues to support funding for the President’s Emergency Plan for AIDS Relief (PEPFAR), which directly supports HFHI’s work with orphans and vulnerable children in Africa.

• The Millennium Challenge Corporation (MCC) awards US foreign assistance to nations that rule justly, invest in their people, and encourage economic freedom. Selected countries identify their own development objectives and formalize planned uses of development assistance in public compacts with the MCC. Congress should maintain the MCC so that compacts can be fully implemented and the effectiveness of the approach can be fairly evaluated. Since its inception, MCC is one of a very few US development assistance programs that has worked to address shelter-related issues.

• The Global Poverty Act would require the federal government to develop a comprehensive global poverty reduction strategy and to report to Congress annually on its status and effectiveness. The Global Poverty Act passed the House in 2007 and now awaits Senate consideration.