Coral Gables Historical Archive
The Coral Gables Times
Thursday, April 12, 1962, page 17 (of 31)
The page
The text of this pageRead by computer from the scan, so some words may be wrong. The page picture is the original.
Here's How Federal Funds Could Help in Our Slum Cleanup Plan
By MAURICE LABELLE Times Reporter Federal funds — the stuff once green in your pockets and mine — are available in two ways for slum clearance. One is under Title 220 of the National Housing Act, the other is Title 221. Use of Title 220 funds in Coral Gables has virtually been ruled out by general opposition to multi-story apartment dwellings which this act is designed to provide. But Title 221 could provide the answer to the City's urban renewal or slum problem. This provision is aimed specifically at aiding persons displaced by urban renewal programs. It provides low-cost, long-term, easy to obtain federally insured loans for persons wishing to own their own homes or other dwellings up to four families. Loans of up to 40 years at 51⁄4 per cent and initial service charges and fees of approximately $200 provided to displaced persons. A home with a $6,000 acquisition cost, for instance, would cost the new owner $31.45 a month at 51⁄4 per cent on a 40-year loan. At 51⁄2 per cent, monthly payments would increase to $32.34. A $10,000 home would run $52.97 a month at 51⁄2 per cent and $34.64 at 51⁄2 per cent. Monthly payments include interest, principal, mortgage insurance premium, fire and other property insurance, taxes and special assessments and possibly other miscellaneous items. Most of the shack dwellers surveyed by The Times could well afford this type of housing since they are paying $50 to $92 monthly rent. The only catch — their credit must be good.
Desegregation Gets Into Renewal Scene
Urban renewal is a subject tinged with emotion. A committee of the City of Coral Gables originally dubbed the "Urban Renewal Committee" later was renamed the "Committee of 33" because of the undesirable connotation placed on urban renewal (Federal aid). The job of the committee was to come up with an ordinance to clear up slum conditions in Coral Gables. Later, the committee, came up with a three-part ordinance requiring upkeep of property, rehabilitation of sub-standard housing and urban renewal. Urban renewal struck out. Rehabilitation became the word. It would do what urban renewal would have done. That the program has fallen short of the mark is evidenced in the recent moves by the City to seek a better way to get rid of slums. This followed a series of articles in The Times depicting Coral Gables slums nearly two years later. A housing authority is in the works to solve the knotty problem. One solution has already been ruled out by a unanimous expression by the City Commission: It does not want federal funds. What is the stigma attached to Federal money? Basically, it is the question of desegregation and state's rights. Opponents cite recent court decisions for their fear. "There cannot be racial discrimination," said an FHA spokesman of "Title 220 and 221" funds for urban renewal. But, the spokesman added, the same thing would have applied to a recent proposal for a 13-story high rise apartment on Biltmore Way. Any person of any race, color or creed could have requested an apartment in that building and could not legally have been turned down, the FHA spokesman said. This is completely divorced from the fact that a "Title 206" FHA loan was involved, he pointed out. How is that so? The Supreme Court of the United States has struck down all discrimination on housing. "Everybody is talking about a dead horse," said the FHA official. Whether spelled out in black and white," he said, "discrimination is not permitted. The last barrier — deed restrictions stating that property may not be sold to certain persons — has been overturned by the courts leaving no legal way to discriminate. An attempt two years ago to remove a family on Como Street not considered Caucasian met with an opinion from City Attorney Ted Semple that there was no legal way to force them out. How then to obtain funds for urban renewal? The City Commission hopes to obtain private local funds.