tional capital to finance installment sales, the further lengthening of title I maturities would create greater pressure on retailers to expand their terms. Selling on longer terms is a simple matter of needing additional capital. For example, it requires $65,000 in capital to sustain a rate of $10,000 in monthly time sales on 12-month terms, assuming no delinquencies. If the average terms are stretched to 18 months the capital need jumps to $95,000. For 24 months it becomes $125,000; and for 36 months it is $185,000. Mind you, these capital requirements are to support an annual installment sales volume of only $120,000, and do not take into account the other basic working capital needs for inventory, plant, and equipment, etc. Finally, the National Retail Furniture Association recommends against making the home improvement lending authority permanent. Periodic renewal requires congressional review. In a field which has so recently been the subject of wide abuse, and which seems unavoidably to create temptations and opportunities for sharpsters to cheat the public, it would seem a most salutary course to continue to require periodic renewal by Congress. Also, as a matter of philosophy, we submit that it is inadvisable to assume that there will always be a need for Government stimulation of initiative through insuring against loss. It is to be hoped that as private enterprise continues to grow and learn more about the phenomenon of long-term installment and mortgage credit, it will eventually outgrow the need for such Government programs. (The following letter and statement were submitted for the record by Hon. Alfred D. Sieminski:) BERTHOLD S. POLLAK HOSPITAL FOR CHEST DISEASES, Hon. ALFRED D. SIEMINSKI, DEAR CONGRESSMAN: I wish to express my support for the proposed amendment to Federal public housing legislation to benefit single citizens. Among the patients and expatients of this hospital are many persons who are single and have no families with whom they can live. They are in need of decent housing in order to protect their future health. At the present time many of them are forced to live in substandard housing since this is the best they can obtain with limited finances. I sincerely feel that the proposed change in the law would be of great benefit to these people and to the whole community. DEAR SIR: In your deliberations on matters relating to the public housing laws, I entreat you to consider the advisability of recommending an amendment to the regulation which now specifies that "only families composed of two or more persons related by blood, marriage, or adoption" may be admitted for occupancy in public housing projects. I respectfully urge that your committee recommend amendment to permit public housing occupancy of single elderly persons who, in most cases, are in the low economic category for which public housing is primarily designed. As mayor of Jersey City, I am also director of the department of public affairs and responsible for the administration of the largest municipal hospital in the State. There is a geriatrics ward in our medical center where we have the infirm and the ambulatory alike. Just recently when I visited this ward, an old woman said to me: "Mayor, a furnished room put me in your hospital." Such an accusation, unexpected as it was, merited further discussion. The woman's story was this. Her husband was dead and her two children, both married and living out-ofState, were unable to do any more for her than to send some money "now and then," as she put it. After her husband died, the woman couldn't keep up with the rent on their modest apartment. She was evicted. She applied for residency in a Federal housing development, was denied because of the Federal regulation prohibiting single occupancy. She was forced to sell her household furnishings and took residence in the furnished room. She admitted that living in a furnished room depressed her greatly. She brooded, took sick and wound up in the medical center. That's her simply told story, not offered by me an an indictment against furnished rooms anywhere but cited merely as one example of the problem of housing for our senior citizens. In most cases, as you undoubtedly know, the elderly exist on small pensions, social security, slim savings accounts and sporadic doles from their children who may mean well but who also have financial problems of their own. With their low income, the elderly couple-man and wife are hard put to pay today's high rentals for decent living accommodations and are grateful to find shelter in Federal housing projects. Such shelter is denied to the elderly widow or widower, alone but certainly not bereft of the dignity that is inherent in the maintenance of one's own household. On one hand, the majority of single elderly persons simply cannot afford to pay apartment rents in privately owned dwellings. On the other hand, they are denied admittance to public housing because of the restrictions imposed by Federal regulation. These unfortunates who are faced with lonely existences in furnished rooms or possible institutionalization although they would be physically able to maintain a modest home of their own, I would term with all sympathy and yet utmost candor, "elderly housing orphans." These senior orphans must be helped. I submit these excerpts from report No. 1 of the Subcommittee on Housing of the Committee on Banking and Currency of the 84th Congress of the United States in its second session. The report states: "There is statistical evidence galore to emphasize the problem resulting from the disparity between the cost of housing and the ability of many older people to pay for it. For this reason the problem cannot be solved in our judgment without some form of Government subsidy." As the subcommittee report also points out in view of the increased life span of our citizens. "It is indeed an inconsistent philosophy which on the one hand acclaims the medical, social and economic advances which have contributed to increasing longevity and at the same time callously disregards the concomitant problems which many older persons will inevitably face." The subcommittee report also states: "Sociologists familiar with problems of the aged have made it abundantly clear that this bracket of our population does not want to be institutionalized but would prefer to live in independent quarters as long as possible. The subcommittee is thoroughly convinced from the record that some public housing is necessary to provide adequate dwellings for elderly citizens who fall at the bottom of the income scale." The present public housing law specifies that only "families composed of two or more persons related by blood, marriage or adoption" may be admitted for occupancy in public-housing projects. It will be noted that if a family is reduced to a single person by reason of death or marriage, that person cannot be evicted under the law. Accordingly, many housing projects are in the unique situation where many persons reside in Federal-aided public housing alone, while single persons are denied admission at initial occupancy. Needless to say, this condition causes confusion in the minds of many persons but the law itself, in my opinion, imposes a hardship on many otherwise qualified single citizens who, in most cases, are in the economic category for which public housing was primarily built. To cite an example of availability: Jersey City's welfare department figures show that there are 385 single elderly qualified persons for public housing. In the county of Hudson, the welfare director, Joseph Michalski, reports at least 900 cases of the same type of eligibles. Both welfare agencies indicate that a definite advantage would result in the housing of their clients in public housing. Jersey City Housing Authority statistics indicate that the average rent collected for a welfare client is $27 per month including utilities and refrigeration. The amounts that these welfare agencies pay to private landlords in sometimes substandard housing units far surpasses the $27 figure. In addition, items such as ice, coal, and utilities must also be provided for. In view of these factors, there was executed by Joseph S. Waters, executive director, and Conrad J. Vuocolo, tenant relations director, both of the Jersey City Housing Authority, a survey on this single elderly person occupancy problem in the housing authorities of four States-New York, New Jersey, Connecticut, and Pennsylvania. Housing authorities in these States were asked the following questions: 1. Does the authority receive many requests from old persons, residing alone, for dwelling units? 2. Does the authority have information as to the number of persons who would be eligible and interested in low-income housing? 3. Does the authority believe that changing the law permitting single elderly persons at initial occupancy if otherwise qualified will mutually benefit the community and the applicants? The results of this survey are quite interesting and revealing. In New Jersey, of 22 housing authorities responding, only 1 (in Orange) answered "No" to question 3 which asked if the authority favored amending the Federal regulation prohibiting single elderly qualified persons to become residents in public housing. A total of 21 authorities from every major city in the State were overwhelmingly in favor of legislation which would permit those "elderly housing orphans" residency in these projects. In view of this survey, copies of which will be made available to your committee, and in view of the other factors which I have discussed, I am urging that this committee recommend the adoption of amendatory legislation which will solve this housing problem for so many single elderly eligible persons in the low income strata. The amendatory legislation should permit the consideration of a single elderly person over the age of 60, if otherwise qualified, the right of occupancy in Federal public housing projects. I urge this action of you mindful of the words of Benjamin Disraeli, "Let us hope that the heritage of old age is not despair." Thank you very much for your kind consideration. BERNARD J. BERRY, Mayor. FEBRUARY 23, 1956. MAYOR'S REPORT ON SURVEY TO DETERMINE NEED FOR AMENDING FEDERAL PUBLIC HOUSING LEGISLATION TO BENEFIT SINGLE ELDERLY SENIOR CITIZENS PREFACE The present public housing law specifies that only "families composed of two or more persons related by blood, marriage, or adoption” may be admitted for occupancy in public housing projects. It will be noted that if a family is reduced to a single person by reason of death or marriage that person cannot be evicted under the law. Accordingly, many housing projects are in the unique situation where many persons reside in Federal-aided public housing alone, while single persons are denied admission at initial occupancy. Needless to say, this condition causes confusion in the minds of many persons, but the law itself, in my opinion, imposes a hardship on many otherwise qualified single citizens who, in most cases, are in the economic category for which public housing was primarily built. Nationwide concern has been expressed for the future of our single citizens and there has been much discussion throughout our country over their plight with regards to employment and housing. In Jersey City approximately 35,000 persons or 12 percent of the entire population is over 60 years of age (according to the 1950 United States census). Social-security officials estimate that this figure will rise to approximately 17 percent by 1960 based on population trends and longevity tables. I feel it reasonable to assume that this same situation will be paralleled by most other communities in our country. Concern over this problem, particularly in the field of housing, has led me to cause an investigation by the city welfare department and by the Hudson County Welfare Board. Vincent McDermott, acting director of the Jersey City Welfare Department, reports 385 single elderly persons on its rolls who would be interested in and qualified for public housing. The Hudson County Welfare Board, through Mr. Joseph J. Michalski, director, reports approximately 900 cases of persons residing alone in the old-age bracket and another 400 persons in the disabled category who would be eligible for public housing if the law were amended. Both welfare agencies indicate that a definite advantage would result in the housing of their clients in public housing. Jersey City Housing Authority statistics indicate that the average rent collected for a welfare client is $27 per month including utilities and refrigeration. The amounts that these welfare agencies pay to private landlords in someimes substandard housing units far surprasses the $27 figure. In addition items such as ice, coal, and utilities must also be provided for. In view of these factors, there was executed by Joseph S. Waters, executive director, and Conrad J. Vuocolo, tenant relations director, both of the Jersey City Housing Authority, a survey on this single elderly persons occupancy problem in the housing authorities of four States-New York, New Jersey, Connecticut, and Pennsylvania. Housing authorities in these States were asked the following questions: 1. Does the authority receive many requests from old persons, residing alone, for dwelling units? 2. Does the authority have information as to the number of persons who would be eligible and interested in low-income housing? 3. Does the authority believe that changing the law permitting single elderly persons at initial occupancy if otherwise qualified will mutually benefit the community and the applicants? Since I feel the results of this survey in which housing officials almost unanimously indicated the need for amendments to the Federal law in favor of our single elderly citizens would be of great interest to all who are concerned with this problem, I am appending a tabulation of the survey as part of this report. I personally feel it is inhuman to ignore the plight of these elderly citizens any longer and urge enactment of legislation which would help them gain admission to suitable housing in their twilight years. BERNARD J. BERRY, SURVEY OF HOUSING AUTHORITIES IN NEW JERSEY, NEW YORK, CONNECTICUT, PENNSYLVANIA CONCERNING PROBLEM OF SINGLE ELDERLY PUBLIC HOUSING OCCUPANCY Survey conducted by Joseph S. Waters, executive director; Conrad J. Vuocolo, tenant relations director, Jersey City Housing Authority Question 1. Does authority receive request from single elderly persons for dwelling units? Question 2. Does authority have information on number of such persons who would be eligible and interested? Question 3. Is authority in favor of amending the law? NOTE. In many cases where the answer is "No" to the first question authority officials have pointed out that they have received few applications because of the general knowledge in the community that single elderly persons are ineligible under present laws. PERTINENT COMMENTS CONTAINED IN HOUSING AUTHORITY RESPONSES New Jersey "I believe very strongly that changing the law permitting single elderly persons into low-rent housing projects, if qualified, will be of mutual benefit to the community and to applicants. *** Provisions should be made for the elderly person to be separate and apart from the other tenants."-Guy A. DeMuro, executive director, Passaic Housing Authority. "We do have a number of separate elderly persons as tenants who are residual members of two-person-families on admittance *** definitely a need for providing housing elderly single persons of low income.”—John E. Schulz, executive director, Long Branch Housing Authority. "Single elderly persons would probably rate minimum rents and our percentage of such would preclude any further admittance."-L. G. Stratton, executive director, Beverly Housing Authority. |