House Endorses Bill to Overhaul Public Housing

In what both parties call the most significant public housing reform since the system was created, the House passed legislation Tuesday intended to desegregate America’s 1.2 million public housing units, attract more working families and change the projects’ image as a magnet for poverty, crimes and drugs.

Local housing officials could offer more apartments to families with incomes of up to $40,000 in some cases. Supporters said the legislation also would remove disincentives to marry and work by delaying rent increases for two years for tenants who find jobs.

The measure, part of a $93.2-billion bill funding veterans, housing and environmental programs for fiscal 1999, passed, 409 to 15, and went to the Senate.

The Clinton administration had opposed the measure, but endorsed it after negotiations resulted in changes. “The outcome is the most significant and progressive housing and urban development policy of the last 20 years,” Housing Secretary Andrew Cuomo said.

“This bill completely overhauls America’s indefensible current public housing system, emphasizing quality, personal responsibility, institutional accountability and continuous improvement,” House Speaker Newt Gingrich (R-Ga.) said.

Cuomo said an effort to bring more families with higher incomes, generally white families, into the poorest housing projects and move the poorest applicants into projects with higher average incomes also would give more racial balance to projects that now are virtually all black, all white or all Latino.

The legislation also would require residents who are not working to perform volunteer work, for instance, tutoring or maintenance. The work requirement would not apply to the elderly, disabled or students.

Housing authorities would have more authority to expel criminals and fight drug activity and gangs.

Another provision unrelated to public housing would raise the limit on FHA-insured mortgages to a range of $109,000 to $197,000, making more middle-class buyers eligible for FHA-backed loans.