The Urban Development Act of 1970 is a landmark federal legislation in the United States that introduced vital housing and community development programs. This Act was instrumental in initiating the Federal Experimental Housing Allowance Program (EHAP) and the establishment of Community Development Corporations (CDCs). These entities aimed to bolster urban development, improve housing affordability, and empower local communities.
Historical Context and Background
Preceding Conditions
Before the enactment of the Urban Development Act of 1970, urban areas in the United States were grappling with significant issues of housing shortages, urban decay, and segregated communities. The socio-economic challenges of the 1960s underscored the need for comprehensive federal intervention.
Legislative Developments
The Urban Development Act of 1970 was a response to these challenges. It was introduced at a time when there was a growing recognition of the need for federal support in urban planning and development. The Act built on earlier efforts like the Housing Act of 1949 and the National Housing Act.
Key Provisions of the Act
Federal Experimental Housing Allowance Program (EHAP)
The EHAP was designed to test the feasibility and effectiveness of housing allowances for low-income families. It provided subsidies to help families pay their rent, thereby increasing housing affordability.
Community Development Corporations (CDCs)
CDCs were established to promote economic development and improve living conditions in underserved urban areas. These non-profit organizations were tasked with a range of activities, from developing affordable housing to providing job training and social services.
Impact and Legacy
Immediate Effects
The immediate impact of the Urban Development Act of 1970 was the provision of much-needed financial support for urban housing projects. The EHAP, in particular, helped numerous low-income families afford decent housing.
Long-Term Implications
Over the years, the Act has had a lasting impact on urban development policy. It laid the groundwork for subsequent housing programs and initiatives aimed at addressing urban challenges. CDCs continue to play a crucial role in community development efforts across the country.
Comparison with Other Legislation
Housing Act of 1949
While the Housing Act of 1949 focused on providing public housing and urban renewal, the Urban Development Act of 1970 introduced more innovative and flexible solutions like the EHAP and CDCs.
National Housing Act
The National Housing Act, passed in 1934, established the Federal Housing Administration (FHA) and focused primarily on home financing and mortgage insurance, contrasting with the Urban Development Act’s comprehensive approach to community empowerment.
Related Terms
- Housing Voucher: A subsidy provided to low-income families to help them afford housing in the private market.
- Urban Renewal: A program aimed at redeveloping urban areas, often involving the clearance of slums and the construction of new housing.
- Federal Housing Administration (FHA): A government agency created to improve housing standards and conditions, provide an adequate home financing system, and stabilize the mortgage market.
FAQs
What was the main goal of the Urban Development Act of 1970?
How did the EHAP function?
What role do Community Development Corporations play today?
References
- “Urban Development Act of 1970.” United States Congress. https://www.congress.gov/bill/91st-congress/house-bill/1946.
- “Historical Context of Urban Legislation.” U.S. Department of Housing and Urban Development. https://www.hud.gov/historicalbackground.
- “Community Development Corporations Overview.” National Community Reinvestment Coalition. https://www.ncrc.org/cdc-overview.
Summary
The Urban Development Act of 1970 was a pivotal legislation aimed at addressing urban housing challenges and promoting community development. By introducing programs like the EHAP and establishing CDCs, the Act provided innovative solutions that have had a lasting impact on urban policy and development in the United States.
