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SR-106-017-02 (2) '. . . /0.8 OCT 2 8 1980 24,1980 10(# - O/?-O"2- Santa Monica, California. October TO: Mayor and City Council FqOM: Members of the Housing Commission SUBJECT: Endorsement Request for FaIr Housing Legislation Senate Bill 5506 will come before the Senate sometime in early November. This Bill would amend the existing fair housing laws to extend fair housing protection to the physically handicapped, and establish an ad~inistrative hearing procedure for violations of the law. It is expected that several weakening amendMents to the Bill will be introduced. One of these proposes to delete the ad~inistrative remedies. Another proposed amendment to 5506 would require that a discriMination victim prove that the dis- criminator intentionally discriminated. It is recomMended that City Council authorize the Housing Commission to send mailgrams to appropriate members of the Senate urging the passage of 5506 without amendment. Prepared by. Nancy McFarland N~1 5 h /0-8 OCT 2 8 1980 -* -~ '" (0~5 ((~; CURRENT DEVELOPMENTS . The conference wIll be held at the Sheraton National Hotel. ColumbIa PIke and Washmgton Blvd. Arlmgton, VirginIa 22204 RegistratIOn can be phoned In to 703-521-1900. or requested by mad A block of rooms has been reserved for semmar regJstrants through August 20 After that rooms WIll be avatlable on a space-avallable basIs only To register for thIS conference, or to obtam more mforma- tlOn. call Debra Hyde. Conference Coordmator at 202-466-8592 Alternatl\;ely. wnte to Ms Hyde at IPED, 1800 M Street, ]'; W , SUIte 400-South, Washmgton, D C 20036 PEOPLE IN THE NEWS CAROL Y'\i WILLlA~lS. formerlv an executIve assistant to HeD General Deputy AssIstant. Secretary for Housmg CL YDE T J \ICHENRY, has been named actmg deputy assistant secretary for mterprogram and areawIde concerns In the OffIce of CommuUlty Plannmg and Development Wllhams. who IS expected to fIll the posItIOn permanently, Will oversee the offIces WhIch handle the SectIOn 701 program areawIde housmg opportumty plans, regIOnal hous- mg mobility. the secretary's dlscretJonary fund and en- vIronmental qual1ty lssues * * . JOH" D MC'lEES, a veteran federal housmg program admmlstrator who has been servmg as a housmg consultant smce hIS retirement. wIll return to HUD as deputy aSSIstant secretary for smgle famIly housmg He replaces ~IIL TO\; J FR4.1\"CIS, who left the post m June Mc~ees began hiS hous- 109 career With the :'\atlOnal Housmg ~gency m 1946 and held vanous posts at HUD. mcludmg that of acting deputy . 179 assistant secretary for smgle famlly housmg, before retlr- mg .. . * WILLIAM J POPEJOY w1l1 Jom the Dmted Savmgs ASSOCIatIOn of Houston as preSIdent PopeJoy, formerly preSIdent of the Federal Home Loan ~ortgage CorporatIon, reSigned as preSIdent of Ameflcan Savmgs and Loan ASSOCiatIOn and Its parent company. First Charter FmancIal Corp of Beverly Hills, CalIf, m July .. .. * JOH\; LANGE has been elected chairman of the board of the FoundatIOn for CooperatIve Housmg Lange IS a former preSIdent of the :'Jatwnal ASSOCIatIOn of Housmg and Redevelopment OffICIals CNAHRO) KARL FALK was reelected VIce chaIrman, and CHARLES DEAl'! was elected preSIdent The foundatIon and ItS subSidIary. FCH Inter- national fnc wIII contmue to operate as nonprofit entIties to promote the development of low- and moderate-mcome housmg m the Vmted States and overseas A former sub- sldlary. FCH Services. Inc , IS now operatmg as an mdepen- dent entity under the ov,nershlp of Its preSident. JEFFREY Co SPR4.GE'\S, and semor vice preSIdent. TERRY F. SPRAGE::\S lk** :\lAR Y C CLt:TE has been appomted director of legIslative serVices for the NatIOnal ASSOCiatIOn of Housmg and Redevelopment OffiCials Clute. who had been a com- mumty and economIC development program offIcer at N"AHRO. replaces WILLIAM WITTE, who left the XAHRO leglslatlve post to become an e'l:ecutlve assistant to BUD ASSIstant Secretary for Housmg LA\\'RE1'IICE B SIMO"iS * * * G9J CONGRESS SENATE PANEL RESTORES ADMINISTRATIVE ENFORCEMENT TO FAIR HOUSING MEASURE Admmlstrauve procedures for handhng faIr housmg cases were restored to a Senate bill to amend the 1968 Fair Hous- Ing Act (5 5061 dunng Senate JudiCIary CommIttee con- SIderatIOn of the measure July 30 The commIttee voted unammously to report the bll!. c1ear- mg the way for Senate floor actIOn The House voted June 12 to approve ItS. versIOn of amendments to the Fair Housmg Act (H R 5200}. which also creates admlOlstratlve fair housmg enforcement procedures 'We're gomg to pass thIS bill thIS vear." a Senate aIde told HDR. predICtIng that Congress wlli send a blll to PreSIdent Carter lor hiS signature belore adJournmg Jl1 October After the Senate acts. a compromIse versIOn must be worked out m conference and approved by the House and Senate The procedure establishIng Independent administrative law Judges to hear cases brought under the faIr housmg law was restored to the Senate bIll by a 10 to 6 \'ote on an amend- ment offered by Sens Birch Bayh i D-IndJ and Howell Hefhn rD-Ala) 8-480 Fair Housmg ReView CommiSSion The Bayh-Befhn amendment allows HUD to brmg actIOn on faIr housmg complamts before admllllstratlve law Judges appOinted by a Fair Housmg ReView CommiSSIOn The commISSIOn would conSIst of three members appOlnted by the preSIdent H would appomt and employ the ad- mInistrative law Judges The commISSion would have the power to renew the Judges' deCISIOns on request and could modify or remand the deCISIons for further actIOn As In the origInal bIll. the Judge could order relIef and compensatIOn to nctlms of prohibited dlscflmlllatlOn and Impose CIVil penalties up to $10.000 DeciSIOns of the admlmstrauve law Judge could be appeal- ed to the appropnate federal appeals court. but only on the baSIS of the record of the ongmal proceedmg The Bayh-Hefhn procedure differs from a SImilar ad- ministrative enforcement mechamsm mcluded m the ongmaI bill by provldmg that the commiSSIOn, and not HUD, WIll ap- pomt and employ the admmlstratlve law Judges The ongmal admmlstratlVe procedure was deleted m ac- tIOn by the Senate subcommittee on the ConstitutIOn In June The subcommittee adopted an amendment offered by Sen Copyrlghl <C 19BO by The Bureau of NatIonal Affairs Inc (j091 5939.aO.$Ov50 ~~ 180 . DennIs DeConcInI (D-Arlzl WhICh pro\:lded Instead for faIr hOUSIng cases to be handled In expedIted proceedIngs before magistrates appOInted by the appropnate federal court 4.ppeals could be made on a de nOl'O baSIS before a Jury In federal dIstrict courts Concern About HUD Role The BaYh-Heflm amendment whIch re-establIshed the ad- mmlstrative procedure addressed the concerns of DeCOnCInI and others that admlnlstratwe law Judges aPPoInted by HUD mIght be bIased and that the ongmal procedure In effect made HL'D the prosecutor and Judge for faIr hOUSing cases The change, however. dId not satisfy DeConCInI and other opponents of admInIstratIVe enforcement DeConclnI argued agamst the Bayh-Heflm amendment. saYing. "It creates an additIonal federal bureacracy. but prOVIdes no sIgnIfIcant advantage over the magIstrate prOVISIOn ., Opponents of the amendment argued that the Judges stIll may be bIased m favor of HUD and that the amendment dId not- pro\'lde the nght to an appeal de novo before a Jury Bayh and other supporters of the change saId the ad- mInistratIve system was sImpler and less costly than the magIstrate procedure In the versIOn of the amendments passed by the House. the admlnlstratl\'e law Judges would be appomted by the Depart- ment of Justice Other Amendments Other amendments adopted or rejected by the JudIciary CommIttee m a poll of Its members follOWIng the vote to report the bill Include ~ -\n amendment offered by Sen Ornn G Hatch lR-Vtah) ....hleh would reqUIre that the mtent to dISCriminate be shown In order to prove a VIolatIOn of the act Rejected ~ -\ slmllar amendment br Hatch which would reqUIre that the mtent to dlscnmmate be shown In order to stnke do\~n local land use and zonIng laws as Illegally dIS- cnmmatory Rejected ~ -\ Hatch amendment whIch would alloy, appraIsers to conSIder all factors relevant to estlmatmg a property's ..alue prOVIded that such factors not be used m an intentionally diSCrImInatory way Adopted ~ \ change sought by Hefhn whIch would speCIfy, contrary to court decIslors that only dIrect VIctIms of dlscrlmmatIOn ma\ ~f;'f;'k rehet under the 'admInistratIve prOVISIOns of act .\dopted ~ -\ Hatch amendment which would prOVIde for con- greSSIOnal veto power over HFD regulahons to Implement the act Rejected ~ -\n amendment sponsored by Sen Strom Thurmond i R-SC I "hICh would lmllt purntlve damages whIch could be a~sessed In fair hOUSIng cases to $1. 000 Rejected · " change ad\'ocated by Sen Howard 1\-1 !'vletzenbaum r D-OhlO I \\hlch would restore a prO\'ISIOn 10 the ongInal bIll prohIbItIng dIsCrimInatIOn In property appraIsals Rejected (J flJ I'{I( hqrfJ1md on the jOlr lzousmg amendments, 'E'(' ( /[rrCllr /)('n>!fJpments, Fal 7, pp 579, 878. 1077, 1 fll ~ FP ) -15) HOUSI N.EVELOPMENT REPORTER mg from the recess for the DemocratIc natIonal convention Mc\lurray saId he beheves the House WIll pass the bIll and a compromIse between Its verSIOn and the Senate bIll (S 2(19) can be worked out before the end of the fiscal year September 30 r For 1)((( kgmund on the House and "'('/111 rr lilli- ~ee ClIrrelll Dererop>1l€"!ts. \'01 7. pp J() J6 )037 )O.J-I 1072. \o! ii, pp 44 1i9 93) Both House and Senate HVD appropriatIOns subcom- mittees plan to walt untIL a conference report IS approved before conSIderIng the 1981 fundmg levels for aSSisted hous- Ing Industry and congressIOnal sources have expressed con- cern that thiS may not happen until after the start of the ne'v fIscal Year. forCIng enactment of a contlOuIng resolutIOn to proVide housmg funds I\Jeanwhlle, '\"atIOnal ASSOCIatIOn of Home BUIlders presI- dent MerrIll Butler blasted the House leadershIp for post- ponIng action on the housmg blll . The failure of House leaders to schedule a floor vote on the relatively noncontroversIal housmg bIll IS dIsgraceful and reflects their callous attItude to the plIght of the housmg mdustry that was brought to the brInk of dIsaster by the government's mIsgUIded and reckless economic polICIes," Butler saId DespIte a rebound In home sales and productIOn. Butler saId the upturn has been concentrated III certam areas and that a national reco\'ery IS stIli a long way off He called on the House to pass the bill ImmedIately SENATE APPROVES BLOCK GRANT PROGRAM FOR ENERGY CONSERVATION The Senate has approved a measure sett10g up an energy conservatIOn block grant program SImIlar to the commumty development block grant program The energy block grant program IS part of the Energy :\oIanagement Partnership Act (S 12801, which passed the Senate on July 25 <\llocatIOn of funds to states would be based on populatIOn and need factors, mclud10g the extent of poverty m the states. the extent of housmg overcrowdIng. and the age of hOUSIng Wlthm states. fundIng would be broken down mto three categones metropolitan CItIes and urban countIes In metropobtan areas, umts of local government wlthm metropohtan areas (other than metropolItan CItIes and ur- ban countIes l. and umts of local governments In non- metropolItan areas The Department of Energy (DOE), In consultatIon WIth Ht:D. would admInIster the grants Metropohtan CItIes and urban counties would be entItled to fundmg, and grants would be awarded to other commUllitles on a competitIve baSIS A consortIum of small CItIes wlthm a county could also apply for an entItlement grant If the consortIUm represents a popula tIon of at least 200, 000 AppbcatIons for grants must contam a commumtyenergy conservatIon strategy Governors are asked to comment on the applIcatIOns. and applIcatIons for grants would have to be sent concurrently to the state government Hun and DOE would set up an mteragency task force to APPROPRIATIONS BillS FORCE HOUSE permIt DOE to take full advantage of HUD's capaCIty to TO DELAY ACTION ON HOUSING AUTHORIZATION delIver aSSIstance dIrectly to local governments 4. full schedule of approprIatIOns bIlls has kept the House The act would also consol1date applIcatIons for eXIstIng ot RepresentatIves from takmg up the blll (H R 7262) energy conservatIon programs for states. IncludIng the authorIzmg federal hOUSIng and commumty development energy extenSIon servIce and the low-mcome weatherIzatIon programs through fIscal 1981 program The mtent IS to reduce the admlmstratlve cost of The leadership IS InsIstIng on movIng as many ap- these programs propnatlOns bIlls as pOSSible We Just got caught 10 that To apply for fmanclal assIstance under the consohdated bind. saId Gerald R McMurray. staff dIrector of the House appltcatlOns procedure. states would have to submIt state hOUSIng subcommittee McMurray saId he expected the energy plans Plans must deSCrIbe state energy supply and House to act on the bIll the week of August 18, after return- demand and energy and renewable resource goals A 8-4-80 COPYright'" 1980 by The Bureau of National Affairs lnc 0091-5939'80'SOO 50 , . '\ (a l ..~ .0<: -~ . 1I~;'7!;,:71o /oB . OCT 2 8 1980 \\Testside Fair Housing Council 10835 Santa ),1omca Bhd . ..203. Lo:, Angeles. CA 90025 0; SUPPORT OPEN HOUSING l.x"t;J;~ f D'"" 10' BL.A"'ICrlE ROSLOFF .8 -.Jr..: ._..~ Dirt t lr )".1 P"lSJ!,.i("' f ..CT~ Ci RAN, I.,. n<c;,:,'!1 1"1.....:'1' CL.ARK [R""E FE_TOP\; OO~CTH'I' THO"''''!> Stl ,e,:;' oor;rOTH'f PERPY TnLIS',;,."rrl" A"I,..E FPOEHLlCI-I FI'>E:> YA UTNE R ~Je r. D... r~ -} r re B. JQ,J SAlle". E!ER~AN BL YCr:.. aOYLE scor,50"'[PSOCK CA:l;(h...E FOx. SY..V,A CiEISE.......AN C~~"'- GIESBEI=IG A.;:;l>iE Y HA RR'S AP'lO'f MEYER JA:!{i[ WATSON ELEA"<OR REI,,!!',' WHITE \e"'j;..I('7 !...l1o' ""'AI>JORlE SCH....ARTZ H- 1','1';;'- tit nl~'}1 r ,. In(' lJu-3rJ DR CHA;:t:"'ES Z WILSON October 9, 1980 Nancy McFarland CDBG Coordinator 1865 Main St. Santa Monica, CA 90401 Dear Nancy: Here is the brief SUll:.lnary of the history of the federal. fair ho~sing laws which Cheryl Rhoden requested at the september 25 Housing commission meeting. 5506 did not come up for a vote before the Senate's October recess. Proponents of the bill are hoping it w~ll be brought up when the Senate returns in Nov~ber. Consequently, a mail- gram in support of 8506 from the Housing Commission would still be in order. ~ Sincerely, ~~ Schelly ~n en Housing ~~~elor/Attorney Santa Monica Fair Housing Program SKJ/ml '\3 ,0 . 10 of \ ,..nO \ . \ \, ,JI ?J /08 OCT 2 8 1980~ . (213) 475.9671 SUPPORT OPEN HOUSING \\estside Fair Housing Council 10835 Santa Monica Blvd., .203, Los Angeles, CA 90025 Fair Ho~sing ~nendments of 1979 This legislation would amend the existing federal fair ho~s~~g laws. The two wajor changes which would occur are extention of fair housing protections to the physically handi- capped and establishment of an acrministrative hearing pro- cec~re for violations of the law. The legislation has passed the House of Representatives (HR5200), and a campanian bill is now before the Senate (5506) anc should come to ehe floor when the Senate returns after the ~ovember election. h~en the bill C08es to the floor, several Senators plan to introduce weakening ~en~ents. Senator Thurmond is expected ~o introduce amendwents ~hich would delete L~e administrative ~e7e~ies. Under the prese~t federal fair housing laws anyone ~ho is discr~inated agqinst must go through the time-consuming anc expensive process qf filing a law suit. Under the terms of , s506, a discrimination vict~ could file a complaint with HUD anc an a~.inistrative hearing would be held. If either party (the victim or the realtor) were dissatisfied with the hearing's outcamet he or she co~ld appeal to a court of law. Thus, such aa~~nistrative hearincs would make enforcement of the law much ~ore viable. ~ ~~o~~er set of weakening ~endMents are expected to be introduced by Senator Hatch. These amendments would require that a discrim- ination victLu prove L~at the discriminator intentionally dis- cririnated. Long-stand~ng legal precedents currently hold that establishing a discriroinatory effect is sufficient to establish unfair housing practices. For example, in challenging redlining it is unnecessary to prove that a lending institution established L,is practice for the purpose of discriminating against Blacks; ~t is sufficient to prove that the practice has the effect of discr~inating against Blacks.