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110th Congress                                                   Report
                        HOUSE OF REPRESENTATIVES
 2d Session                                                     110-621

======================================================================

 
 PROVIDING FOR CONSIDERATION OF THE BILL (H.R. 5818) TO AUTHORIZE THE 
 SECRETARY OF HOUSING AND URBAN DEVELOPMENT TO MAKE LOANS TO STATES TO 
  ACQUIRE FORECLOSED HOUSING AND TO MAKE GRANTS TO STATES FOR RELATED 
                                 COSTS

                                _______
                                

 May 6, 2008.--Referred to the House Calendar and ordered to be printed

                                _______
                                

    Ms. Castor, from the Committee on Rules, submitted the following

                              R E P O R T

                      [To accompany H. Res. 1174]

    The Committee on Rules, having had under consideration 
House Resolution 1174, by a record vote of 9-4, report the same 
to the House with the recommendation that the resolution be 
adopted.

                SUMMARY OF PROVISIONS OF THE RESOLUTION

    The resolution provides for consideration of H.R. 5818, the 
Neighborhood Stabilization Act of 2008, under a structured 
rule. The rule provides one hour of general debate equally 
divided and controlled by the chairman and ranking minority 
member of the Committee on Financial Services. The rule waives 
all points of order against consideration of the bill except 
clauses 9 and 10 of rule XXI. The rule provides that the 
amendment in the nature of a substitute recommended by the 
Committee on Financial Services now printed in the bill shall 
be considered as an original bill for the purpose of amendment 
and shall be considered as read. The rule waives all points of 
order against the amendment in the nature of a substitute 
except for clause 10 of rule XXI. This waiver does not affect 
the point of order available under clause 9 of rule XXI 
(regarding earmark disclosure).
    The rule makes in order only those amendments printed in 
this report. The amendments made in order may be offered only 
in the order printed in this report, may be offered only by a 
Member designated in this report, shall be considered as read, 
shall be debatable for the time specified in this report 
equally divided and controlled by the proponent and an 
opponent, shall not be subject to amendment, and shall not be 
subject to a demand for a division of the question in the House 
or in the Committee of the Whole. All points of order against 
the amendments except for clauses 9 and 10 of rule XXI are 
waived. The rule provides one motion to recommit with or 
without instructions. The rule further provides that after a 
motion that the Committee rise has been rejected on a 
legislative day, the Chair may entertain another such motion on 
that day only if offered by the chairman of the Committee on 
Financial Services or the Majority Leader or a designee and 
provides that after a motion to strike out the enacting words 
of the bill (as described in clause 9 of rule XVIII) has been 
rejected, the Chair may not entertain another such motion 
during further consideration of the bill. The rule provides 
that, notwithstanding the operation of the previous question, 
the Chair may postpone further consideration of the bill to a 
time designated by the Speaker.

                         EXPLANATION OF WAIVERS

    Although the rule waives all points of order against 
consideration of the bill (except for clauses 9 and 10 of rule 
XXI) and waives all points of order against the amendment in 
the nature of a substitute (except clause 10 of rule XXI), the 
Committee is not aware of any points of order. The waivers of 
all points of order are prophylactic.

                            COMMITTEE VOTES

    The results of each record vote on an amendment or motion 
to report, together with the names of those voting for and 
against, are printed below:

Rules Committee record vote No. 474

    Date: May 6, 2008.
    Measure: H.R. 5818.
    Motion by: Mr. Dreier.
    Summary of motion: To grant an open rule.
    Results: Defeated 4-8.
    Vote by Members: McGovern--Nay; Hastings (FL)--Nay; 
Matsui--Nay; Cardoza--Nay; Welch--Nay; Castor--Nay; Sutton--
Nay; Dreier--Yea; Diaz-Balart--Yea; Hastings (WA)--Yea; 
Sessions--Yea; Slaughter--Nay.

Rules Committee record vote No. 475

    Date: May 6, 2008.
    Measure: H.R. 5818.
    Motion by: Mr. Dreier.
    Summary of motion: To strike section 2 of the rule.
    Results: Defeated 4-8.
    Vote by Members: McGovern--Nay; Hastings (FL)--Nay; 
Matsui--Nay; Cardoza--Nay; Welch--Nay; Castor--Nay; Sutton--
Nay; Dreier--Yea; Diaz-Balart--Yea; Hastings (WA)--Yea; 
Sessions--Yea; Slaughter--Nay.

Rules Committee record vote No. 476

    Date: May 6, 2008.
    Measure: H.R. 5818.
    Motion by: Mr. Dreier.
    Summary of motion: To make in order and provide appropriate 
waivers for an amendment by Rep. Hensarling (TX), #11, which 
would require that states provide a dollar-for-dollar match for 
all funds that they receive under the bill in the form of 
grants.
    Results: Defeated 4-9.
    Vote by Members: McGovern--Nay; Hastings (FL)--Nay; 
Matsui--Nay; Cardoza--Nay; Welch--Nay; Castor--Nay; Arcuri--
Nay; Sutton--Nay; Dreier--Yea; Diaz-Balart--Yea; Hastings 
(WA)--Yea; Sessions--Yea; Slaughter--Nay.

Rules Committee record vote No. 477

    Date: May 6, 2008.
    Measure: H.R. 5818.
    Motion by: Mr. Diaz-Balart.
    Summary of motion: To make in order and provide appropriate 
waivers for an amendment by Rep. Price, Tom (GA), #5, which 
requires offsets for all new spending.
    Results: Defeated 4-9.
    Vote by Members: McGovern--Nay; Hastings (FL)--Nay; 
Matsui--Nay; Cardoza--Nay; Welch--Nay; Castor--Nay; Arcuri--
Nay; Sutton--Nay; Dreier--Yea; Diaz-Balart--Yea; Hastings 
(WA)--Yea; Sessions--Yea; Slaughter--Nay.

Rules Committee record vote No. 478

    Date: May 6, 2008.
    Measure: H.R. 5818.
    Motion by: Mr. Hastings (WA).
    Summary of motion: To make in order and provide appropriate 
waivers for an amendment by Rep. Flake (AZ), #8, which would 
prohibit loan and grant programs created by this act from being 
used for congressional earmarks.
    Results: Defeated 4-9.
    Vote by Members: McGovern--Nay; Hastings (FL)--Nay; 
Matsui--Nay; Cardoza--Nay; Welch--Nay; Castor--Nay; Arcuri--
Nay; Sutton--Nay; Dreier--Yea; Diaz-Balart--Yea; Hastings 
(WA)--Yea; Sessions--Yea; Slaughter--Nay.

Rules Committee record vote No. 479

    Date: May 6, 2008.
    Measure: H.R. 5818.
    Motion by: Mr. Sessions.
    Summary of motion: To make in order and provide appropriate 
waivers for an amendment by Rep. Brown-Waite (FL), #16, which 
prohibits the use of funds for the purchase of property owned 
by individuals not lawfully present in the United States. It 
also prohibits any foreclosed housing or dwelling unit 
purchased with funds under this bill from being used by 
individuals not lawfully present in the United States. The 
amendment further clarifies that acceptable forms of 
identification only include a Social Security card with a photo 
ID, Real ID Act identification, a US passport, or USCIS photo 
ID Card.
    Results: Defeated 4-9.
    Vote by Members: McGovern--Nay; Hastings (FL)--Nay; 
Matsui--Nay; Cardoza--Nay; Welch--Nay; Castor--Nay; Arcuri--
Nay; Sutton--Nay; Dreier--Yea; Diaz-Balart--Yea; Hastings 
(WA)--Yea; Sessions--Yea; Slaughter--Nay.

Rules Committee record vote No. 480

    Date: May 6, 2008.
    Measure: H.R. 5818.
    Motion by: Mr. McGovern.
    Summary of motion: To report the rule.
    Results: Adopted 9-4.
    Vote by Members: McGovern--Yea; Hastings (FL)--Yea; 
Matsui--Yea; Cardoza--Yea; Welch--Yea; Castor--Yea; Arcuri--
Yea; Sutton--Yea; Dreier--Nay; Diaz-Balart--Nay; Hastings 
(WA)--Nay; Sessions--Nay; Slaughter--Yea.

                  SUMMARY OF AMENDMENTS MADE IN ORDER

    (Summaries derived from information provided by sponsors.)

    1. Waters (CA)/Frank (MA): The amendment provides for 
direct allocations to qualified metropolitan cities and 
qualified urban counties, makes the definition of operating 
expenses consistent with other HUD programs, and caps purchase 
price under the loan program at the current appraised value of 
the foreclosed property. (10 minutes)
    2. Capito (WV): The amendment directs the funds to be 
administered through the Office of Community Planning and 
Development of the Department of Housing and Urban Development 
rather than directing the Secretary to create a new program 
within the Department. (10 minutes)
    3. Mahoney (FL): The amendment clarifies that nothing in 
this Act shall affect the right to bear arms under the Second 
Amendment to the Constitution of the United States. (10 
minutes)
    4. Hensarling (TX): The amendment would strike all 
references in the bill to providing grants to states, but leave 
the underlying loan program intact. Money from the grant 
portion of the bill ($7.5 billion) would be re-directed to the 
loan portion (for a total of $15 billion in loans). (10 
minutes)
    5. Kucinich (OH): The amendment modifies the purposes of 
the legislation to emphasize the increasing rates of vacant and 
abandoned properties, and changes the state-to-local 
jurisdiction funding formula to ensure that up-to-date vacancy 
statistics are used to allocate the funds. (10 minutes)
    6. McCotter (MI): The amendment directs States using 
federal loans and grants for housing rehabilitation to give 
priority to veterans, members of the Armed Forces on active 
duty, members of the National Guard or Armed Forces reserves, 
school teachers, and emergency responders when reselling the 
rehabilitated property. (10 minutes)
    7. Altmire (PA): The amendment clarifies that illegal 
immigrants shall be ineligible for financial assistance under 
the bill. (10 minutes)

                    TEXT OF AMENDMENTS MADE IN ORDER

 1. An Amendment To Be Offered by Representative Waters of California, 
               or Her Designee, Debatable for 10 Minutes

  Page 3, line 10, after ``STATES'' insert ``, METROPOLITAN 
CITIES, AND URBAN COUNTIES''.
  Page 3, line 13, after ``States'' insert ``and under 
subsections (f) and (g) of section 5 to qualified metropolitan 
cities and qualified urban counties, respectively,''.
  Page 3, line 15, after ``States'' insert ``, qualified 
metropolitan cities, and qualified urban counties''.
  Page 3, line 19, after ``State'' insert ``, metropolitan 
city, or urban county''.
  Page 3, line 20, after ``State'' insert ``, metropolitan 
city, or urban county''.
  Strike ``A State'' in line 23 on page 3 and all that follows 
through page 4, line 2.
  Page 12, line 16, strike ``, such State'' and insert ``the 
Secretary''.
  Page 13, line 4, strike ``A State may'' and insert ``The 
Secretary shall''.
  Page 13, line 23, strike ``A State may'' and insert ``The 
Secretary shall''.
  Page 14, line 4, strike ``a State'' and insert ``the 
Secretary''.
  Page 16, lines 18 and 19, strike ``or, upon its election''.
  Page 16, line 19, strike ``or'' and insert ``, and a''.
  Page 19, line 24, strike ``costs of'' and insert ``expenses 
incurred operating housing assisted under this Act with respect 
to the administration, maintenance, repair, security, 
utilities, fuel, furnishings, equipment,''.
  Strike line 23 on page 32 and all that follows through page 
33, line 2, and insert the following:

                          (i) in the case of single family 
                        housing, that does not exceed the 
                        lesser of--
                                  (I) 110 percent of the 
                                average purchase price for 
                                single family housing in the 
                                area in which the housing is 
                                located, as determined by the 
                                Secretary; or
                                  (II) the current appraised 
                                value of the property;
                        except that in the case of any such 
                        housing that has an appraised value 
                        that is less than 110 percent of the 
                        average purchase price for single 
                        family housing in the area in which the 
                        housing is located, an allocation 
                        recipient may appeal such appraisal to 
                        the Secretary and the Secretary may 
                        determine that the average purchase 
                        price shall operate as the cap on the 
                        purchase price; and
                              ----------                              


    2. An Amendment To Be Offered by Representative Capito of West 
          Virginia, or Her Designee, Debatable for 10 Minutes

    Page 3, line 16, after the period insert the following: 
``The program under this Act shall be administered through the 
Office of Community Planning and Development of the Department 
of Housing and Urban Development or any successor office 
responsible for administering the community development block 
grant program under title I of the Housing and Community 
Development Act of 1974 (42 U.S.C. 5301 et seq.).''.
                              ----------                              


3. An Amendment To Be Offered by Representative Mahoney of Florida, or 
                 His Designee, Debatable for 10 Minutes

  Page 36, after line 2, insert the following:

SEC. 15. PROTECTION OF RIGHT TO BEAR ARMS.

  Nothing in this Act shall affect the right to bear arms under 
the Second Amendment to the Constitution of the United States.
  Page 36, line 3, strike ``15'' and insert ``16''.
                              ----------                              


4. An Amendment To Be Offered by Representative Hensarling of Texas, or 
                 His Designee, Debatable for 10 Minutes

  Page 2, line 10, strike ``and grant''.
  Page 3, line 1, strike ``and grants''.
  Page 3, line 10, strike ``AND GRANTS''.
  Page 3, line 13, strike ``make grants under section 5(a) to 
qualified States and''.
  Page 3, lines 18 and 19, strike ``make a grant under this Act 
only to a State, and may''.
  Page 4, line 25, strike ``grant and''.
  Page 5, line 3, strike ``grant and''.
  Page 5, line 7, strike ``grant or''.
  Page 6, line 8, strike ``grant and''.
  Page 6, lines 21 and 22, strike ``grant amounts, and for''.
  Page 7, line 1, strike ``grant or''.
  Strike line 22 on page 8 and all that follows through page 9, 
line 2.
  Page 9, line 9, strike ``Grant Amounts and''.
  Page 9, line 11, strike ``grant amount or''.
  Page 9, lines 12 and 13, strike ``foreclosure grant share''.
  Page 9, line 13, strike ``or''.
  Page 9, lines 13 and 14, strike ``, respectively,''.
  Page 9, line 20, strike ``grant amount or''.
  Page 9, line 22, strike ``foreclosure grant share or''.
  Page 9, line 23, strike ``, respectively,'' and ``the grant 
amount or''.
  Page 9, line 25, strike ``foreclosure grant share or''.
  Page 10, line 1, strike ``, respectively,''.
  Page 10, line 2, strike ``grant amounts or''.
  Page 10, line 6, strike ``grant amounts or''.
  Page 10, line 9, strike ``grant amount or''.
  Page 10, line 11, strike ``grant amount or''.
  Page 10, line 13, strike ``foreclosure grant share or''.
  Page 10, line 14, strike ``, respectively''.
  Page 10, line 16, strike ``grant or''.
  Page 10, line 18, strike ``or grants''.
  Strike line 23 on page 10 and all that follows through page 
11, line 10.
  Page 12, line 3, strike ``grant and''.
  Page 12, strike lines 5 through 7.
  Page 12, line 14, strike ``grant amounts and''.
  Page 12, lines 17 and 18, strike ``such grant amounts and''.
  Page 12, line 19, strike ``grant amounts and''.
  Page 12, line 20, strike ``, respectively,''.
  Page 13, line 8, strike ``grant amounts and''.
  Page 13, lines 11 and 12, strike ``grant amounts and''.
  Page 13, line 13, strike ``grant amounts and''.
  Page 13, line 14, strike ``, respectively,''.
  Page 14, lines 1 and 2, strike ``grant and''.
  Page 14, line 5, strike ``grant and''.
  Page 14, line 8, strike ``grant and''.
  Page 14, line 12, strike ``grant amounts and''.
  Page 14, line 17, strike ``grant amounts and''.
  Page 17, strike lines 21 through 25.
  Strike line 18 on page 19 and all that follows through page 
21, line 24.
  Page 22, line 2, strike ``grant or''.
  Strike line 12 on page 22 and all that follows through page 
24, line 4.
  Page 24, line 6, strike ``grant or''.
  Page 24, lines 7 and 8, strike ``grant and''.
  Page 24, line 23, strike ``or grant''.
  Page 24, line 25, strike ``or grant''.
  Page 27, line 13, strike ``grant or''.
  Page 27, line 19, strike ``or grant''.
  Page 28, lines 12 and 13, strike ``receives a grant under 
this Act or''.
  Page 28, lines 15 and 16, strike ``obligation of such grant 
amounts and''.
  Page 28, line 20, strike ``obligate all such grant amounts 
and''.
  Page 28, lines 24 and 25, strike ``outlay all such grant 
amounts and''.
  Page 30, line 3, strike ``a grant or'' and insert ``an''.
  Page 30, line 13, strike ``grant or''.
  Page 30, lines 14 and 15, strike ``grant or''.
  Page 30, line 19, strike ``grant or''.
  Page 35, strike lines 8 through 10.
  Page 35, line 21, strike ``$7,500,000,000'' and insert 
``$15,000,000,000''.
                              ----------                              


 5. An Amendment To Be Offered by Representative Kucinich of Ohio, or 
                 His Designee, Debatable for 10 Minutes

  Page 2, line 13, strike ``purchase and rehabilitate'' and 
insert ``preserve the equity and ensure the safety of the 
neighbors of homes made vacant by the predatory lending and 
foreclosure crises, to prevent and reduce the incidence of such 
vacancies through various means, including purchasing and 
rehabilitating''.
  Page 3, line 3, before the semicolon insert ``, and largest 
increases in the rate of vacant and abandoned single family 
homes''.
  Page 4, line 17, strike ``foreclosures'' and insert 
``vacancies, according to the number of census tracts, as 
determined by the Secretary, to have large increases in the 
rate of vacancy during the past eight quarters and significant 
levels of loans determined to be at risk of foreclosure,''.
                              ----------                              


 6. An Amendment To Be Offered by Representative McCotter of Michigan, 
               or His Designee, Debatable for 10 Minutes

  Page 6, after line 2, insert the following:
          (8) notwithstanding any other preferences established 
        or authorized under this subsection, provide first 
        priority, in use of amounts from grants or loans under 
        this Act for rehabilitating housing, for providing 
        housing for veterans, members of the Armed Forces on 
        active duty, members of the National Guard or Armed 
        Forces reserves, school teachers, and emergency 
        responders;
  Page 6, line 3, strike ``(8)'' and insert ``(9)''.
  Page 6, line 8, strike ``(9)'' and insert ``(10)''.
  Page 6, line 13, strike ``(10)'' and insert ``(11)''.
  Page 6, line 21, strike ``(11)'' and insert ``(12)''.
  Page 7, line 1, strike ``(12)'' and insert ``(13)''.
                              ----------                              


      7. An Amendment To Be Offered by Representative Altmire of 
        Pennsylvania, or His Designee, Debatable for 10 Minutes

  Page 36, after line 2, insert the following new section:

SEC. 15. INELIGIBLITY OF ILLEGAL ALIENS FOR ASSISTANCE.

  Aliens who are not lawfully present in the United States 
shall be ineligible for financial assistance under this Act, as 
provided and defined by section 214 of the Housing and 
Community Development Act of 1980 (42 U.S.C. 1436a). Nothing in 
this Act shall be construed to alter the restrictions or 
definitions in such section 214.
  Page 36, line 3, strike ``15'' and insert ``16''.