Evening star., 1937-11-20

cent of the total cost, repayable over
a period not to exceed so years at the
going Federal rate of interest plus
one-half Of l per cent.
A loan may be accompanied by
annual contributions. In this case
the loan cannot exceed 90 per cent
of the cost and the annual contribu-
tons must be used for payment Of
interest or principal on the loan.
Capital grants may not exceed 25
per cent of the total cost OF any pro-
ject. although an additional Is per
cent grant for labor may be authorized
by the President. When capital
grant is made the local authority must
contribute cash, land, services, or tax
exemption amounting 10 20 per cent
Of the cost.
THE determination as to whether or
not particular city should have
housing project of any or all types
contemplated by the act is within the
discretion of the city itself 1t doesn't
have to promote a housing project.
The United States Housing Authority
will not attempt to influence local
officials in what is primarily local
problem. The authority comes into
the picture only when the city's au-
thorized housing agency applies for
Federal aid or when Washington off,
clals are invited to advise municipal
authorities. There will be no attempt
made to infringe on local rights.
After application is made for Gov
ernment assistance the United States
Housing Authority will exercise its
prerogatives as a fiscal agent of Gov
ernment funds and as the responsible
agency to effectuate the provisions OF
the Wagner-Steagall Act. The author
ity will ask to be shown that the prof.
ect contemplated is meritorlous within
the meaning of the law, that the city
Is able and ready to assume its share
of the financial burden that If it is
a low-rent housing project that the
constructions costs will be reasonable
enough to insure the feasibility of low
rents, that the project will be able
to carry itself. that construction
standards are adequate and that liv-
ing conditions will be satisfactory.
The law demands, first of all. ameli-
ora ton of social conditions. Its in
tent is to eliminate sub-standard
housing and furnish decent living
quarters for slum dwellers. No ap-
proval will be granted any local pro-
iect unless there is guarantee that
the persons dehouSed by slum clear
ance or other development will be oc-
commodated elsewhere in modern,
habitab BILE homes.
In the Interpretation OF this Stipula-
ton officials Of the new Housing Au-
thority demonstrate practically and
reasonableness at variance with the
theories advanced and practiced by
officials of former Federal low-cost
housing agencies.
Under the new setup conditions of
slum dwellers will be improved, within
reason. They will be furnished ade-
quate, decent housing-within reason.
They will be assured modern con-
veniences in we'll constructed homes;
they will have air and sunlight, run
ming water and indoor toilets, heat.
But they will not be given the super
fluous costly frills required in low
cost housing projects undertaken by
other Government agencies in the
past few years. Air conditioning,
cross-ventilation, landscaping and the
innumerable similar luxuries to be
found only in the most modern or
expensive private homes-and which
were demanded by Resettlement and