PART III COMPARATIVE ANALYSIS OF PRINCIPAL PROVISIONS OF STATE LEGISLATION RELATING 10 Four States Arkansas, Florida, Illinois, and Tennessee-have passed legislation " designating local housing authorities as the local public body to engage in urban redevelopment activities.12 The Illinois statute merely amends the eminent domain section of the Housing Authorities Act by providing that the power of eminent domain shall apply not only to improved or unimproved property which may be acquired for or as incident to the development or operation of a project or projects, but also to any improved or unimproved property the acquisition of which is necessary or appropriate for the rehabilitation or redevelopment of any blighted or slum area. defining such an area, the statute states that it must be "an area of not less in the aggregate than 2 acres which has been designated by municipal ordinance or by the authority as an integrated project for rehabilitation or redevelopment." In The amendment further provides that a housing authority "shall have power to hold or use any such property for uses authorized by this act, or to sell, lease, or exchange such property as is not required for such uses by the authority." The statutes of Arkansas, Florida, and Tennessee are identical in providing that General powers. Any housing authority now or hereafter established pursuant to the State housing laws may carry out redevelopment projects (1) to acquire blighted areas; (2) to acquire other real property for the purpose of removing, preventing, or reducing blight, blighting factors or the causes of blight, and where the acquisition of the area is necessary to carry out a redevelopment plan; (3) to clear any areas acquired and install, construct, or reconstruct streets, utilities, and site improvements essential to the preparation of sites for uses in accordance with redevelopment plans; (4) to sell or lease land so acquired for uses in connection with the redevelopment plan; or (5) to accomplish a combination of the foregoing to carry out a redevelopment plan. In undertaking such redevelopment projects, a housing authority shall have all the rights, powers, privileges, and immunities that such authority has under the State housing laws relating to slum clearance and housing projects for persons of low income (including, without limiting the generality of the foregoing, the power to make and execute contracts, to issue debentures and give security therefor, to acquire real property by eminent domain or purchase, and to do any and all things necessary to carry out projects) in the same manner as though all provisions of the State housing laws applicable to slum clearance and housing projects were applicable to redevelopment projects undertaken under these statutes; provided, that nothing contained in the housing laws shall be constructed as limiting the general power of an authority, in the event of a default by a purchaser or lessee of land in a redevelopment area, to acquire property and operate it free from restrictions with respect to tenant selection and operation for profit. Redevelopment plan. No redevelopment project shall be initiated until the governing body in which areas to be redeveloped are situated has approved a redevelopment plan which provides an outline for the development or redevelopment of the area and is sufficiently complete (1) to indicate its relationship to definite local objectives as to appropriate land uses and improved traffic, transportation, public services, recreational and community facilities, and other public improvements; (2) to indicate proposed land uses and building requirements; and (3) to indicate the method for the temporary relocation of persons living in such areas; and also the method of providing (unless already available) decent, safe, and sanitary dwellings substantially equal in number to the number of substandard dwellings to be cleared from the area, at rents within the financial reach of the income groups displaced from such substandard dwellings. Re-use value of land.-Land in a redevelopment project may be made available by a housing authority for use by private enterprise or public agencies at its reuse value, which represents the value (whether expressed in terms of rental or capital price) at which the authority determines such land should be made available in 10 Since the statutes in this part relate to public-housing authorities, they should be read in connection with the State housing enabling acts under or by which such authorities are created. 11 Arkansas: Act No. 212 of 1945; Florida: Ch. 23077, Florida Statutes of 1945; Illinois: Senate bill No. 204, Laws of 1945; and Tennessee: Public Acts of 1945, ch. 114. 1 See, also, the statutes of Connecticut, Illinois, and Wisconsin referred to in pt. II which also authorize public-housing authorities, among other public bodies and agencies, to undertake redevelopment projects under the scheme there set forth. H order that it may be developed or redeveloped for the purposes specified in the redevelopment plan. Control of land use.-To assure that land will be used in accordance with the redevelopment plan, housing authorities, upon its sale or lease, shall obligate purchasers or lessees (1) to use the land for the purpose designated in the redevelopment plan; (2) to begin redevelopment within a time fixed by the authorities as reasonable; and (3) to comply with such other conditions as are necessary to carry out the purposes of the redevelopment statutes. Any such obligations shall be covenants and conditions running with the land where the authorities so stipulate. Cooperation by State public bodies.-State public bodies shall have the same rights and powers to cooperate with and assist housing authorities with respect to redevelopment projects that they have pursuant to State housing cooperation laws for the purpose of assisting in the development or administration of slum clearance and housing projects. Federal financial assistance.-Housing authorities may borrow money or accept contributions from the Federal Government to assist in undertaking redevelopment projects, and may do any and all things necessary or desirable to secure such financial aid, including obligating themselves to convey to the Federal Government the project upon the occurrance of a substantial default under any contract for annual contributions. Investments.-Bonds or other obligations issued by housing authorities in connection with redevelopment projects shall be legal investments to the same extent and for the same persons, institutions, associations, corporations, and other bodies and officers as bonds issued pursuant to the State housing laws in connection with the development of slum clearance or housing projects. The pattern of the statutes of these States varies to the extent that while the Arkansas statute is silent: Taxation. The statutes of Florida and Tennessee provide that any property leased to private individuals or corporations shall have the same tax status as if it were privately owned. Advisory boards.-The statutes of Florida and Tennessee provide that for the purpose of coordinating redevelopment activities and undertakings with the needs and undertakings of other local organizations and groups, housing authorities may establish advisory boards to represent the general public and consumers of housing; general business interests; real-estate, building, and home interests; labor; official planning body; church and welfare groups; or any part or combination of these groups. Under the Florida statute, housing authorities are authorized to perform redevelopment functions only in municipalities having a population of not less than 60,000. EXECUTIVE ORDER No. 9070 CONSOLIDATING THE HOUSING AGENCIES AND FUNCTIONS OF THE GOVERNMENT INTO THE NATIONAL HOUSING AGENCY By virtue of the authority vested in me by Title I of the First War Powers Act, 1941, approved December 18, 1941 (Public Law 354, 77th Congress), and as President of the United States, it is hereby ordered as follows. 1. The following agencies, functions, duties, and powers are consolidated into a National Housing Agency and shall be administered as hereinafter provided under the direction and supervision of a National Housing Administrator. (a) The Federal Housing Administration and its functions, powers, and duties, including those of the Administrator thereof. (b) All functions, powers, and duties of the Federal Home Loan Bank Board and of its members. (c) The Home Owners' Loan Corporation and the functions, powers, and duties of its Board of Directors. (d) The Federal Savings and Loan Insurance Corporation and the functions, powers, and duties of its Board of Trustees. (e) The United States Housing Authority and its functions, powers, and duties, including those of the Administrator thereof. (f) All functions, powers, and duties relating to defense housing of (1) the Federal Works Administrator under the act of October 14, 1940, entitled "An Act to expedite the provision of housing in connection with national defense, and for other purposes," as amended, and under acts making appropriations to carry out the purposes of said act, (2) the War Department and the Navy Department with respect to housing units for persons (with families) engaged in national defense activities (except housing units located on military or naval reservations, posts, or bases) under Title IV of the Naval Appropriation Act for the fiscal year 1941, and (3) any agencies heretofore designated (including the Federal Works Agency and the Farm Security Administration) to provide temporary shelter in defense areas under the Urgent Deficiency Appropriation Act, 1941, and the Additional Urgent Deficiency Appropriation Act, 1941, and the Third Supplemental National Defense Appropriation Act, 1942. (g) All functions, powers, and duties of the Farm Security Administration relating to such housing projects as such Administration determines are for families not deriving their principal income from operating or working upon a farm. (h) The Defense Homes Corporation and its functions, powers, and duties, including those of its officers and Board of Directors. (i) All functions, powers, and duties of the Federal Loan Administrator, the Federal Works Administrator, and the head of any department or other agency relating to the administration or supervision of the agencies, functions, powers, and duties transferred hereunder. (j) All functions, powers, and duties of the Division of Defense Housing Coordination established by Executive Order No. 8632 of January 11, 1941, and of the Coordinator of Defense Housing: Provided, That such Division and such Coordinator shall continue to exercise such functions, powers, and duties until the appointment or designation of the National Housing Administrator. (k) All powers, rights, privileges, duties, and functions transferred to the Federal Works Administrator by Executive Order No. 8186 of June 29, 1939: Provided, That with respect to any functions, powers, and duties enumerated in subparagraphs (f) and (g) above, any agency now engaged in the construction or management of any project shall continue such activities on behalf of the National Housing Agency until such time as the National Housing Administrator shall determine that it is expedient for the Federal Public Housing Authority, herein provided for, to discharge such functions, powers, and duties with respect to such project through its own facilities. 2. The National Housing Administrator shall be appointed by the President, by and with the advice and consent of the Senate, and shall receive a salary of $12,000 a year unless the Congress shall otherwise provide. Pending such appointment, an existing officer of the Government designated by the President shall act as National Housing Administrator. 3. There shall be three main constituent units in the National Housing Agency. Each such unit shall be administered by a commissioner acting under the direction and supervision of the National Housing Administrator. The unit administering the Federal Housing Administration and its functions, powers, and duties shall be known as the Federal Housing Administration, and the Federal Housing Administrator shall serve as Federal Housing Commissioner. The unit administering the functions, powers, and duties of the Federal Home Loan Bank Board and its members shall be known as the Federal Home Loan Bank Administration and the Chairman of the Federal Home Loan Bank Board shall serve as Federal Home Loan Bank Commissioner. The United States Housing Authority and its functions, powers, and duties shall be administered as the Federal Public Housing Authority, one of the main constituent units, and the Administrator of the United States Housing Authority shall serve as Federal Public Housing Commissioner. The agencies, functions, powers, and duties enumerated in subparagraphs (c), (d), and (k) of paragraph 1 shall be administered in the Federal Home Loan Bank Administration, and those enumerated in subparagraphs (f) and (g) shall be administered in the Federal Public Housing Authority. The agency, functions, powers, and duties enumerated in subparagraph (h) of paragraph 1 shall also be administered by the Federal Public Housing Commissioner. The Administrator of the National Housing Agency may centralize in the office of the National Housing Administrator such budget, personnel, legal, procurement, research, planning, or other administrative services or functions common to the said constituent units as he may determine. 4. The capital stock of the Defense Homes Corporation shall be transferred from the Federal Loan Administrator to the National Housing Administrator, and the Federal Loan Administrator and the Defense Homes Corporation shall take all necessary action to effectuate such transfer and carry out the purposes hereof. 5. The Central Housing Committee is hereby abolished, and all of its assets, contracts, property (including office equipment and records), and unexpended balances of funds available for its use are hereby transferred to the National Housing Agency. 6. All assets, contracts, and property (including office equipment and records) of any agency hereby consolidated, and all assets, contracts, and property (including office equipment and records) which other agencies, including departments, have been using primarily in the administration of any function, power, or duty hereby consolidated or transferred, are hereby transferred, respectively, with such agency, function, power, or duty. 7. Except as provided in paragraph 8, hereof, (1) all personnel of any agency hereby consolidated, and (2) all personnel of other agencies, including departments, who have been engaged primarily in the administration of any function, power, or duty hereby consolidated or transferred and who within thirty days after the appointment or designation of the National Housing Administrator are jointly certified for transfer by said Administrator and the head of the department or agency to which such personnel is attached, shall be transferred, respectively, with such agency, functions, power or duty; but any personnel transferred with functions, powers, or duties pursuant to this paragraph who are found by the National Housing Administrator to be in excess of the personnel necessary for the administration of such functions, powers, and duties shall be retransferred under existing law to other positions in the Government or separated from the service. 8. The following personnel are not transferred hereunder: (1) The Directors and Officers of the Defense Homes Corporation, (2) the members of the Federal Home Loan Bank Board other than the Chairman, (3) the Directors of the Home Owners' Loan Corporation, and (4) the Trustees of the Federal Savings and Loan Insurance Corporation. The offices of the foregoing personnel excepted from transfer by this paragraph (except in the case of the Defense Homes Corporation) are hereby vacated for the duration of this order: Provided, That the offices of the members of the Federal Home Loan Bank Board shall not be vacated until sixty days from the date of this order. The personnel of the Division of Defense Housing Coordination and of the Central Housing Committee are not transferred hereunder, except that the National Housing Administrator, within 60 days after his appointment or designation, may take over such of this personnel as are needed. During such period, all personnel of such Division and of such Committee may be retained by them in connection with the winding up of their affairs. 9. So much of the unexpended balances of appropriations, authorizations, allocations, or other funds (not otherwise transferred hereunder) available for the use of any agency to the exercise of any function, power, or duty consolidated by this order, or for the use of the head of any department or agency in the exercise of any such function, power, or duty, as the Director of the Bureau of the Budget shall determine (with the approval of the President), shall be transferred, respectively, to the National Housing Agency or the main constituent unit therein concerned, for its use in connection with the exercise of the functions, powers, or duties, respectively, to be administered by it hereunder. In determining the amount to be transferred, the Director of the Bureau of the Budget may include an amount to provide for the liquidation of obligations incurred against such appropriations, authorizations, allocations, or other funds prior to transfer. 10. All housing now owned by the United States and located on a military or naval reservation, post, or base is hereby transferred to the jurisdiction of the War or Navy Department, respectively, having jurisdiction of such reservation post, or base: Provided, That with respect to all housing developed by the War or Navy Department under Title II of Public, 671, approved June 28, 1940, the Federal Public Housing Authority shall take all necessary steps to transfer such jurisdiction and carry out the purpose hereof, including the transfer of title to the United States and including repayment (out of any funds available therefor) of the cost of such housing for reimbursement of the Bond Account from which funds were transferred to pay such costs. 11. The Director of the Bureau of the Budget shall allocate to the National Housing Agency, from appropriations, authorizations, allocations, or other funds available for the administrative expenses of the Federal Loan Agency and the Federal Works Agency (relating to the administration of the agencies and functions transferred there from hereunder) and of the agencies and functions, powers, and duties consolidated hereunder, such sums, and in such proportions, as he may find necessary for the administrative expenses of the National Housing Agency. None of the agencies established or consolidated hereunder shall incur any obligations for administrative expenses except pursuant to appropriations, allocations, or other authorizations of funds specifically available now or hereafter for administrative expenses. 12. The National Housing Administrator may appoint necessary personnel and make necessary expenditures to carry out the functions, powers, and duties of the National Housing Agency. The Administrator and the Commissioners hereunder may delegate their respective functions, powers, and duties to such agencies, officials, or personnel as they may designate, respectively. Until the appointment or designation of a National Housing Administrator, the Commissioners respectively shall exercise such of the functions, powers, and duties of the National Housing Administrator as relate to the agencies, functions, powers, and duties to be administered by such Commissioners, respectively. 13. Nothing herein shall impair or affect any outstanding obligations or contracts of any agency consolidated hereunder or of the United States of America (including its pledge of faith to the payment of all annual contributions now or hereafter contracted for pursuant to the United States Housing Act, as amended), or of any insurance funds created under the National Housing Act. 14. All orders, rules, regulations, permits, or other privileges made, issued or granted by or in respect of any agency, function, power, or duty consolidated hereunder shall continue in effect to the same extent as if such consolidation had not occurred until modified, superseded, or repealed, except that the regulations of January 11, 1941, relating to defense housing coordination shall hereby be revoked upon the appointment or designation of the National Housing Administrator. 15. All unexpended balances of appropriations, authorizations, allocations, or other funds transferred under this order shall be used only for the respective purposes and in the administration of the respective functions for which such funds were made available. 16. Transfers of avilable funds under this order shall include funds available for the fiscal year ending June 30, 1943. 17. This order shall become effective as of the date hereof and shall be in force and effect so long as Title I of the First War Powers Act, 1941, remains in force. FRANKLIN D. ROOSEVELT. THE WHITE HOUSE, February 24, 1942. TABLE XIV-D.-NHA's role in home financing (1- to 4-family nonfarm residential * Represents necessary additional advances to existing borrowers, and mortgages taken back on repossessed "operties sold. Loans made by Federal home loan bank members insured by FHA. Sources: Federal Housing Administration and Federal Home Loan Bank Administration. Data on ederal home loan bank members relate to savings and loan association membership. National Housing Agency, Office of the Administrator, Housing Finance Division. Dec. 30, 1944. |