Evening star., 1938-11-13
Realtors Ask j. ).
For Sharp Curb on
Housing Activities
Contend SIum Projects
Endoneer Economic
Structure
BY JAMES Y. NEWTON,
Real Estate Editor of The Star

MILWAUKEE, Wis. Nov. 12.-
Charging that Government entry
into housing fields through slum-
clearance programs is endangering
the entire economic structure of the
country. the National Association of
Real Estate Boards today called on
the Federal Government to curtail
sharply activities of the United
States Housing Authority.
Delegates to the associations con-
vention, which closed here today,
ignored the arguments of Nathan
Straus, public housing administrator
that projects being built by the
authority are not competing with
private enterprise by declaring the
Governments slum clearance pro-
gram is seeking to serve persons OF
an income level who can be well
taken care Of by private builders
Should the Government continue its
slum-clearance work public housing
projects should be provided with
only minimum facilities necessary
for health, safety and public morals,
rather than more elaborate struc-
lures and accommodate tions," the
realtors said. Such developments
would not appeal to those who can
afford to buy or rent from private
Arms and would lesson competition
with private initiative"
Threat to Tax System Seen.
One resolution adopted by the
convention stated that the associa-
ton seriously questions the wisdom
and effectiveness of the current
slum- clearance program. It charged
that 1t Is not proper function of
Government directly to build and
own housing developments, becom-
ing, in effect, landlord to it's people.
The present housing program. the
association continued. threatens the
whole economics and taxation sys-
tenn and will retard, instead of pro-
mote. the objectives desired.
The association argued that Con-
gress amend the United States Hous-
ing Act so that projects built under
it will pay regular taxes which would
be assessed against like develop
ment privately owned. The policy
practiced by the Federal Govern
ment requiring complete tax exemp-
ton for its developments, offering
in lieu of municipal taxes small
percentage of gross revenues, is un-
fair the resolution reads. This dis
eliminates in favor of a small group
of citizens, and against the mass of
people who are carrying their own
tax burdens it contends.
Minor Changes Suggested.
High praise for the work spon-
sored by the Federal Housing Ad-
ministration was given by the asso-
citation. A few minor changes were
suggested in the National Housing
Act, and the realtors urged Congress
to renew that section of the act
which encourages repairs and mod
ernization of residential and COM
mercial buildings. This portion OF
the act would become ineffecti
this year unless renewed again.
Officials of the Home Owners
Loan Corp. were congratulated for
honest and efficient management OF
the huge lending agency. The asso-
ciation, however, urged Congress not
to make the proposed ~ per cent
reduction in interest rates on H. O.
L. c. mortgages. Such action would
disturb the whole mortgage market
and unfairly discriminate against
owners whose homes are financed
through private capital, it said.
The Washington Real Estate
Boards delegation of Is was active
in all phases of convention work.
Headed by L. T. Gravatte, they were
preparing tonight to return to the
Capital.