Washington Update - 10/06/2006 (Plain Text Version)

View Graphical Version | Subscribe to NAHB Publications | E-mail Our Editor
NAHB Home Page | Browse Other NAHB e-Newsletters | Search Back Issues

House Passes Bill Giving Property Owners Day in Court

Shortly before adjourning to campaign for the November elections, House lawmakers on Sept. 29 passed H.R. 4772, the “Private Property Rights Implementation Act of 2006,” by a margin of 231 to 181. Long championed by NAHB, the bipartisan measure would ensure that all property owners can have their day in federal court if their Fifth Amendment rights are violated. At NAHB’s urging, House Majority Leader John Boehner (R-OH) acted quickly to bring this bill to the House floor for an up or down vote. Boehner resuscitated the bill after it suffered a setback on Sept. 26 when it was considered under the House suspension calendar. Though the measure secured a solid bipartisan 234-to-172 margin, it fell short of the two-thirds majority support needed for passage under suspension of the rules.

Prior to each of last week’s votes, NAHB sent a letter to every House member urging passage of H.R. 4772 and stating that the association considered this bill as a key vote because of its significance to the housing industry. In addition, NAHB Executive Vice President and CEO Jerry Howard conducted several interviews with the media on this issue, including The Washington Post, Congressional Quarterly and the National Journal’s CongressDaily.

For years, NAHB’s Legal Action Network has been working with members of Congress to show why it is important to enact judicial reform legislation to allow takings claims to be heard in federal court in a timely manner. And while House passage represents a significant step forward, companion legislation has not yet been introduced in the Senate.

NAHB is currently in discussions with the Senate Judiciary Committee and is encouraging the panel to move the bill forward when Congress returns after the elections. However, it remains very unlikely that this legislation will be considered by the Senate in November because Congress will only be in session for a limited period and the nation’s mayors are placing intense political pressure on lawmakers to reject the bill. Moreover, the measure would likely be subject to a Senate filibuster, and the bill does not currently have the support of 60 Senators to block a filibuster. Nevertheless, NAHB will vigorously pursue all available avenues to move the bill forward. To view the legislation, click here and type the bill number in the center screen box. For more information, e-mail J.P. Delmore or call him at 800-368-5242, x8412.

Senate Approves “Secure Fence Act”

The Senate last week approved House-passed bill H.R. 6061, the “Secure Fence Act,” which would authorize the construction of 700 miles of fencing along the southern border. President Bush is expected to sign the measure into law shortly.

Additionally, NAHB has learned that the Immigration and Customs Enforcement (ICE) division of the Department of Homeland Security has been tasked by the Administration to create immigration-specific "enforcement units" by October 2006. ICE has indicated that these efforts are focused on putting the necessary infrastructure in place to "go after egregious, bad-actor employers." Under the plan, DHS and ICE will be collaborating with other criminal enforcement agencies of the U.S. government—such as the FBI and local law enforcement—to coordinate efforts to target and prosecute bad-actor employers.

The creation of enforcement units is part of a new aggressive plan to again increase worksite raids and criminal investigations. ICE is also encouraging field agents to pursue, whenever possible, criminal enforcement actions during these raids in accordance with the existing harboring statute against employers. NAHB will continue to monitor developments on the enforcement front, and we continue to encourage all builders to notify us of any inappropriate behaviors exhibited by ICE investigators. Additionally, NAHB is urging all members to contact their legal counsel to ensure that their employment practices comply with all applicable laws. Builders should keep accurate employment records, especially with respect to I-9 forms. In the event of an ICE I-9 audit or raid, members should immediately contact legal counsel. For more information, e-mail Jenna Morgan Hamilton or call her at 800-368-5242, x8407. [return to top]

A Victory for Multifamily Builders

In a victory for multifamily builders, the Department of Housing and Urban Development on Sept. 29 notified NAHB that it was canceling its plans to increase the Federal Housing Authority (FHA) mortgage insurance premiums (MIP). FHA Commissioner Brian Montgomery said the premiums will stay at their current levels. NAHB staff has lobbied aggressively over the past several months to retain the status quo. Had the premium hikes been implemented as planned on Oct. 1, HUD's proposal would have significantly increased the mortgage insurance premiums that multifamily developers would be required to pay for several key FHA programs, including the Section 221(d)(4) program, which would have jumped from 45 basis points to 77 basis points. For more information, e-mail Scott Meyer or call him at 800-368-5242, x8144. [return to top]

House Approves HOPE VI, Bill on FHA Multifamily Limits

Adding positive momentum to NAHB’s housing advocacy efforts, the House on Sept. 27 approved three bills that would renew public housing construction and make multifamily housing more affordable. These bills include:

H.R. 5347, the Hope VI Reauthorization Act of 2006. HOPE VI has been used by communities across the nation to tear down blighted public housing projects that exist in isolation from the greater community, and replace them with safe, affordable, high-quality mixed-income developments that promote homeownership opportunities and provide affordable rental housing. Opposition from both the Administration and conservative members in the House reduced the five year reauthorization to a single year.
H.R. 5503, the FHA Multifamily Loan Limit Adjustment Act of 2006. Sponsored by Rep. Gary Miller (R-CA), the measure would provide the HUD secretary with more leeway to raise FHA multifamily mortgage limits in urban and other high-cost areas — where the need for affordable rental housing is particularly critical. The bill is necessary because FHA limits are inadequate to accommodate new construction in a number of major metropolitan areas — including Boston, New York, Chicago, Los Angeles and San Francisco — where construction costs are significantly higher than in other areas of the country. H.R. 5503 would permit HUD to increase the FHA loan limits for apartment buildings in high-cost areas by up to 170% (from the current 140%). The HUD secretary would also be able to increase the base loan limits by up to 215% on a case-by-case basis
H.R. 6116, the Mark-to-Market Extension Act of 2006. Approved by a vote of 416-1, the measure would reauthorize the mark-to-market program through the end of the 2011 fiscal year. The bill would lower the cost to the federal government of renewing Sec. 8 contracts by restructuring mortgages and lowering rents. It also extends from three to five years the period during which a community-approved non-profit may purchase mark-to-market property after the closing; expands eligibility to disaster-damaged properties and erases any question of the eligibility of properties damaged by Hurricanes Katrina, Rita or Wilma or other natural disasters.

While none of these bills has yet to pass the full Senate, NAHB is counting on this positive momentum to aid our advocacy efforts for final passage during the expected "lame-duck" legislative session in November and December of this year. NAHB will continue to lobby the Senate Banking Committee to pass these, and other priority housing bills before the close of the 109the Congress. To view the bills, click here and type each bill number in the box in the center screen. For more information, e-mail Scott Meyer or call him at 800-368-5242, x8407. [return to top]

Appropriations Bills Await Congressional Action

The House and Senate made minimal progress last week on fiscal 2007 appropriations measures. Both chambers approved final conference reports for the Defense and Homeland Security appropriations bills just prior to recessing for the October campaign season. There are 10 additional appropriations bills still awaiting action, including the Transportation, Treasury, Housing and Urban Development (T-THUD) and Labor, Health and Human Services, and Education (Labor) bills. The remaining fiscal 2007 appropriations bills will not be considered until Congress returns for a “lame duck” session after the November elections. Lawmakers have attached a continuing resolution (CR) to the fiscal 2007 Defense Appropriations bill to keep the government fully funded through Nov. 17. It is anticipated that Congress will need to pass an additional CR in November, because lawmakers are not expected to complete the remaining appropriations bills before December. For more information, e-mail Jenna Morgan Hamilton or call her at 800-368-5242, x8407. [return to top]