Friday, May 16, 2003

Hope VI program gets new lease on life

Congressman David Scott voted in the Housing Subcommittee of Financial Services last week to pass legislation that would reauthorize the HOPE VI program.

The successful program, which replaces traditional public housing with mixed-income affordable housing, has been targeted in the President's budget for elimination despite its success.

The reauthorizing legislation, H.R. 1614, passed the Housing subcommittee by a voice vote. H.R. 1614 extends the authorization of the HOPE VI program for fiscal years 2004 and 2005 and expands the list of criteria for awarding grants under the program.

These new criteria are designed to address the criticisms of major tenant displacement, and expand the pool of public housing authorities eligible to receive HOPE VI grants to include small public housing authorities. In hearings last month on HOPE VI, Congressman Scott expressed several concerns about the FY 2004 HUD budget, particularly the proposed elimination of the HOPE VI funding.

He directly pleaded with HUD Secretary Mel Martinez to work with Congress to improve the HOPE IV program rather than moving to eliminate it entirely.

"I am very pleased that this committee has voted to continue HOPE VI," Congressman Scott said. "This program has been very successful in my Atlanta area district and across the nation in improving not only public housing but the greater communities surrounding such housing."

With neighborhood revitalization as the cornerstone of its strategy, since 1994 the Atlanta Housing Authority has reduced its workforce by more than 53 percent; increased the number of families it serves by 17 percent; privatized the management of 100 percent of its real estate; and leveraged $184 million of federal grants (including three HOPE VI grants totaling $113 million) into $2.5 billion of local economic activity.

The Atlanta model of mixed-income community development is a proven, sustainable neighborhood strategy that has begun to eliminate institutional poverty. "This is the first step to protecting HOPE VI from elimination. It is a proven success in not only improving public housing but creating jobs and we must save it," said Scott.