July 13, 2007
Native American Economic Development and Infrastructure for Housing Act of 2007 introduced in the House
The Native American Economic Development and Infrastructure for Housing Act of 2007 (HR 3002), was introduced on Wednesday, July 11, 2007, by Rep. Steve Pearce (R-NM-2) in the House of Representatives. Co-sponsors of the proposed bill include Rep. Barney Frank (D-MA-4), Rep. Dale Kildee (D-MI-5), Rep. Dan Boren (D-OK-2), and Rep. Rick Renzi (R-AZ-1).
This legislation seeks to allow the Secretary of Housing and Urban Development to guarantee and make commitments to guarantee notes and obligations issued by Indian tribes or tribally designated housing entities for the purpose of financing. The legislation has been referred to the Committee of Financial Services.
Essentially, this would give access to guarantee programs, currently in use by non-tribal communities, to Indian communities through mechanisms similar to Community Development Block Grant programs. Private lending institutions will be encouraged to lend for economic development initiatives through the guarantee.
Key points:
- Applicant must demonstrate that 70% of any proposed project will go to “low-income Indian families on Indian reservations and other Indian areas”
- The guarantee covers 95% of the unpaid principal and interest due on the notes or obligations
- Aggregate fiscal year limitation is not to exceed $200,000,000 for each fiscal years 2008 – 2012
