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92D CONGRESS 1ST SESSION

S. 2058

IN THE SENATE OF THE UNITED STATES

JUNE 14, 1971

Mr. HUGHES (for himself and Mr. HUMPHREY) introduced the following bill; which was read twice and referred to the Committee on Banking, Housing and Urban Affairs

A BILL

To assist in community development, with particular reference to

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small communities.

Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 3 That this Act may be cited as the "Small Community Devel4 opment Act of 1971".

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FINDINGS AND DECLARATIONS OF PURPOSE

The Congress hereby finds that many of the problems of 7 the Nation's large metropolitan centers have their roots in, 8 and are directly related to, the lack of full developmment op9 portunity in the small communities of the Nation which have 10 development potential.

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The Congress further finds that the critical lack of com

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1 munity facilities and services as well as the absence of poten2 tial revenue sources to provide for such facilities and services 3 in small communities and regional units contributes to the 4 lack of full opportunity for the citizens of such communities. The Congress further finds that there is an urgent need

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6 for the exterior rehabilitation, restoration, and beautification 7 of business districts in small communities to facilitate the 8 overall development of small communities which have de9 velopment potential.

10 The Congress further declares that this is a matter of 11 serious national concern, and that there exists in the public 12 and private sectors of the economy the resources and capa13 bilities necessary to meet the community development needs 14 of all the Nation's communities.

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It is the purpose of this Act to provide, with a minimum 16 of administrative burden on small communities, for the sound 17 and orderly development of small communities by more 18 effectively assisting small communities in meeting their needs 19 for essential community facilities and services, and an attrac20 tive business district, in order to create an atmosphere which 21 makes a community a pleasant and stimulating place to live 22 and work in.

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TITLE I-MULTIPURPOSE COMMUNITY

FACILITIES

SEC. 101. It is the purpose of this title to assist small

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1 communities, and regional units created for the purpose of 2 consolidating their services, in construction or rehabilitation 3 of multipurpose community facilities which serve a variety 4 of essential public service functions, including health, recre5 ation, library, public safety, and local government.

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SEC. 102. The Secretary of Housing and Urban Develop7 ment (hereinafter referred to as the "Secretary") is author8 ized to provide assistance as specified in section 104 to any 9 small community or regional arrangement in the United 10 States to aid it in the construction or rehabilitation of a 11 multipurpose community facility.

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SEC. 103. As used in this title

(1) The term "small community" means any commu14 nity, municipality, town, or village which has a population 15 of less than fifteen thousand according to the most recent 16 decennial census, and is not part of a metropolitan area. 17 (2) The term "regional unit" means any grouping of 18 counties, communities, municipalities, towns, or villages for 19 the purpose of consolidating their public service functions. (3) The term "metropolitan area" means a standard 21 metropolitan statistical area, as established by the Office of 22 Management and Budget, subject, however, to such modifi23 cations or extensions as the Secretary deems to be appropri

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24 ate for the purpose of this title.

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(4) The term "community facility", with respect to any

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1 small community or regional arrangement, means a structure 2 or related group of structures which is designed to provide 3 and includes accommodations and facilities for all or substan4 tially all of the officers, employees, and agencies, or the gov5 ernment, and which may also include either or both of the 6 following:

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(A) Accommodations for a central police station or fire station, or both.

(B) Accommodations for health, recreational, or

library uses, or any combination thereof.

SEC. 104. (a) In providing assistance to any small 12 community or regional arrangement to aid in the construc13 tion or rehabilitation of a multipurpose community facility as 14 described in section 103 of this title, the Secretary (subject 15 to subsection (b)) shall

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(1) guarantee the repayment in full by such small community or regional arrangement of any sum borrowed from any source to finance the cost of such construction; and

(2) make an annual grant to such small community or regional arrangement (under a contract entered into

at the time of the guaranty) in the full amount of the

interest due each year on the sums so borrowed.

(b) If the multipurpose community center to be con

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1 structed or rehabilitated by any small community or regional 2 arrangement with assistance under this title includes accom

3 modations described in paragraph (4) (B) of section 103, 4 the Secretary shall

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(1) determine the excess of

(A) the cost of the facility as so constructed or

rehabilitated, over

(B) the estimated cost of the facility as it would be constructed without such accommodations;

(2) make a grant to such small community or regional arrangement in an amount equal to two-thirds of such excess; and

(3) guarantee the repayment in full by such small community or regional arrangement of any sums borrowed from any source to finance the remainder of the cost of construction with annual grants in the full amount

of the interest due each year on the sums so borrowed as provided in subsection (a) (2).

19 SEC. 105. (a) Guarantees under this title, and any pay20 ments pursuant thereto, shall be made upon such terms and 21 conditions, in such manner and form, and in accordance with 22 such procedures as the Secretary may determine to be reason23 able and prescribe in regulations. No fee or other charge shall 24 be imposed for any guarantee under this title.

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