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A Housing Rescue Plan That Includes Low Income Americans
Chairman Rangel and Subcommittee Chairman McDermott Praise Passage of Housing Bill
Rep. Jim McDermott (D-WA)
July 23, 2008

Passage of the American Housing Rescue & Foreclosure Prevention Act (H.R. 3221) today was hailed as major victory for the American people by Ways and Means Chairman Charles Rangel and Income Security and Family Support Subcommittee Chairman Jim McDermott (D-WA), who fought to ensure that the comprehensive housing legislation included provisions to help low-income and vulnerable Americans to secure access to affordable housing. 

The provisions were passed out of the Ways and Means Committee in a separate bill in May, and the Democratic leaders worked throughout the legislative process to keep attention focused on assisting low income and vulnerable Americans as the comprehensive housing legislation took final form. 

“Today we are fulfilling our promise to help folks access and maintain safe, affordable housing during hard economic times,” said Chairman Rangel.  “The provisions we included in the American Rescue & Foreclosure will provide states and cities with incentives to ensure that low-income housing options remain available to those who need it most.”

“We made sure that this housing rescue plan included a lifeline to disadvantaged and vulnerable Americans who have been forgotten, ignored or under-served by Congress in the past,” Rep. McDermott said.  “I commend Chairman Rangel for leading the Ways and Means Committee and House colleagues on both sides of the aisle to produce a housing rescue plan that meets the unique housing needs and circumstances of the working poor, and other vulnerable Americans.”

The legislation passed today increases the allocation of federal tax credits and expands the authority of states to issue tax exempt bonds to help finance affordable housing. The American Housing Rescue & Foreclosure Prevention Act also contains provisions authored by Chairman Rangel and Subcommittee Chairman McDermott.  They are:

Language to ensure that federal assistance that helps vulnerable populations, like the elderly, the sick, and veterans, does not reduce the value of the federal tax credits used to finance affordable rental housing.  

Consideration of whether an affordable housing development employs technology and practices to improve its energy efficiency when federal tax credits are allocated to affordable housing developments. 

Language to ensure that students who were formerly in foster care are not precluded from renting affordable housing financed by federal tax credits.        

Subcommittee Chairman McDermott said: “Today we lived up to our responsibility to govern on behalf of all the people.”

Chairman Rangel said:  “With the President’s announcement that he will sign this legislation, we can say with certainty that today we are meeting the needs of the American people and we will provide relief to million of Americans struggling to keep their jobs and their homes during the current economic downturn.”