U.S. Senator Daniel K. Akaka (D-Hawaii) today introduced legislation to permanently authorize the Native American Veteran Housing Loan Program.

In 1992, Senator Akaka authored legislation that established a five-year pilot program of direct home loans to assist Native American veterans who reside on trust lands. The program was extended for four years in 1997. This program, administered by the Department of Veterans Affairs (VA), provides direct loans to Native American veterans to build or purchase homes on trust lands. Prior to the program, Native American veterans who resided on trust lands were unable to qualify for VA home loan benefits.

The VA has worked to create a program that addresses the needs of hundreds of different tribal entities, and has successfully entered into agreements to provide direct VA loans to members of 59 tribes and Pacific Island groups. Negotiations continue with other tribes. Since the program's inception, 233 Native American veterans have been able to achieve home ownership, and none of the loans approved by the VA have been foreclosed. Approximately 200 loans originated in Hawaii for Native Hawaiian veterans residing on Hawaiian homelands and veterans residing in American Samoa and Saipan.

The authority to issue new loans under the program will end on December 31, 2001. "Ending this successful program would be devastating to a number of Native American veterans who would like to take advantage of a benefit provided all other veterans," Akaka warned. "Without this program, it would be incredibly difficult for Native Americans living on trust lands to obtain home loan financing.

"Permanent authorization of this program will ensure that Native American veterans are provided equal access to services and benefits available to other veterans."