Summary of W.gner Housing Bill

Washington.-One of the important measures enacted by Congress before adjournment rvas the Wagner Housing Bill, much changed and limited by amendments. As passed, the bill represents "a sincere effort to restrict public housing to slum clearance projects, avoid competition with private housing industry and to force economy in design and construction of public housing." The law will be directed by a single Administrator rvho will have an Advisory Board of nine. As the Administrator is placed in the Department of the Interior, the U. S. Housing Authority r,r'ill be essentially a PWA Housing Division.

State and local agencies are eligible to borrow up to 90 per cent of the cost of slum clearance and housing projects at the going Federal rate of interest plus one-half of 1 per cent.

The Housing Authority may enter into contracts with local agencies to make annual contributions to the latter in fixed amount for not to exceed 60 years, at interest rates not exceeding the going Federal rate of interest plus 1 per cent. Contributions rna\r not exceed $5,000,000 the first year, with additional $7,500,000 in the second and third years, the total not to exceed $20,000,000 a year.

As an alternative to annual contributions the Authority may make capital grants of not to exceed 25 per cent of the cost of the project, and an additional grant of 15 per cent from relief funds in the form of payments to labor40 per cent in all. State or local governments must contribute at least 20 per cent of Federal grants or annual contributions in the form of cash, land, facilities, or tax exemption or remission.

Costs, excluding iand, old buildings, etc., must not exceed $4699 a unit or $1000 a room in cities of less than 500,000 population, and must not exceed $5000 a unit or $1250 a room in larger cities.

The family income of occupants of projects must not exceed five times the rental of the unit, except that for families of three or more minor dependents the income shall not exceed six times the rental.

An equal number of slum dwelling units must be closed, cleared, repaired or improved as a condition to grants or annual contributions. In the matter of financing, authority is granted to issue bonds aggregating $500,000,000, but not more than 10 per cent of commitments may be expended in any one state. Labor is protected by a provision requiring the payment of prevailing wages; and the use of materials of domestic origin is insisted upon.