7 20 10383 https://ivanallen.iac.gatech.edu/mayoral-records/traditional/files/original/f8bd63b609205620d9ddab205680045d.pdf 3d5f7fdc71d5ba45137acd398442d6e0 Scripto Transcription A written representation of a document. , I ·I I I i A 'DRAFT PROPOSAL THE PURPOSES AND WORK PROGRAJ.'1 OF THE TASK FORCE ON THE CITIES Summary Statement It is recorrrrnended that the concept and criteria underlying Federal urban policy move fro m program to floo: and that the Task Force use its time an~ equity to mark this historical divide and to begin detailing what it means and by what policies and procedures it might be expressed. Background The l a st generation of Federal activity in urban affairs has deve loped along two line s tha t l ead to growing frustration in a pluralistic society of increa sing mas s and priva te initiativ e : (1) the notion tha t for every urban problem the re should be a sp e cific program which is to b e executed pr incipa lly t hrough a public bur e aucracy ; (2) the d ef inition of urb an prob l em s and polici es in s ta tic (mainly ge ograph i c ) t erms. This ur ba n wor ld is two uni verse s ap ar t fro m the kind of ana l ysi s on wh ich th e econom ic polici es of the U. S . during this s a~e period h ave be en conc eived and e na ct ed. Th e l a tter have derived f r om dynami c ana l ysis expr e ssed in terms o f na tional a ggregat e s. Th i s econo;-nic mod e l ha s h ad at least s ome s embl a nce of internal consi stency , and lev e r s 0• �2 I have been designed which make it possible to effect changes in national economi c behavior at relevant scale. The urban model has not even the pre tense of int erna l consistency, and with its tiny levers exerts a force on urban development so small that even its local effects are barely visible. What is worse, it involves such a massive input of politica l and admi.nistrative t a l ent that the nation's energies and equities are dissipat~d. Despite some lingering prejudice, it is becoming evident to many of us that the simple multiplication of pre sent efforts and redoubling of budg ets will not produce e quiva l ent r esults. In the us e of the existing urban model, we have alre ady r ea ched the point of dimi nishing returns: Ten times the pr e sent urban r enewa l, we lfa r e and other programs will more like ly produc e ten time s the pre s eni frustr a tions r a ther than some multiple of the desired urban outcome . To s ay that the pr e s ent urb an model h as been inadequate is not to s ay th at th e more dy nam ic mode l o f na tiona l e conomi c policy h as been idea l. From many points o f view -- not l eas t the urb a n -- the na tiona l ec onomic model h a s pr oduc ed s ome indi ffe r ent and some times disastT.ous res ults. For one , i t h a s b een ti ed to a singl e-entry bookkeeping of na tiona l b e nef it: a t a lly o f Gross Nationa l Produ ce whi ch r eg i sters pr esumed social ga ins wi t hout of f s e tting measures of soci a l cost. More impor tant, the r e cord er s and eng ineers of a ggrega t e economi c change h ave omitt e d any cons id eration of area - except f or an occas i onal bow to economic r eg ions wh e n a stray member of the peer group or a dr a~a tic accid ent of history (like the TVA) have made it resp e cta bl e . �3 In an age of urban concentration, the failure to include area as one dimension of national economic policy has been folly. And ' i with the prospect of peace being declared, and urban development becoming the object of increas ed public and private spending, the need for a major policy shift is all the more urgent. Consider four examples: 1. The flmv of effective consumer demand into areas of "social deficit" - Bedford-Stuyvesant; North Philadelphia, the ghettoes of our metropolitan areas; the abandoning small towns of the Jersey Pines, the Appalachian chain, etc. In these areas -it is b e coming painfully obvious that pres ent public pro gr ams (renewal; ,ve lfare ; job training and deve lo pment) are not producing much of an effe ctive dema nd, and that until there is such a d er.iand, there won't b e induc ed an adequ a te economic b ase . Thus the growing cry for the nega tive income t ax , the guarant eed minimum income , the fa mily allowanc e , and the "welfare dollar" (of Lloyd's Bank Revi ew , ca. Octob er 1966 ) wh ich giv e s the poor a choic e of expenditures among essential s e rvi ces . The Task Force wi ll not h ave to inv ent propos a ls of this sort; but we can ( a ) sh ow h ow th ey f it int o a more dynamic urb an model; (b) do b ad ly-nee ded di gg ing into the ir pr obable e ff ec ts , relative advantages, and adm inistra tiv e feasibility. �, 4 2. deficit. The flow of investment and enterprise into areas of social Public programs of renewal, housing, and economic opportunity have had discouragingly weak leverage in stimulating the economic development of ghettoed and other declining corrnnunities. that tax policy offers a more promising lead: It may be declaring areas of socia l deficit elig ible sites for Fede ral, st a te and local tax incentive s of various sorts for spe cifi e d kinds o f inv e stment and enterpris e . The proposal is not new; but again, the Task Force can develop its rationa le and explore its fe a sibility. 3. The f low of nat iona l t ax r e sourc e s to sta t e s and mun ic ipa l iti e s, (and to othe r qua si-public instrumentaliti e s for corrnnunity action). The r eadi es t exampl e is the He ller Pl an, which -- along with othe r proposa ls like the sha r ed-t ax -- ba dly n eeds r e sha ping to f it a d e cl a r ed schedul e o f urb an needs and r eforms. It seems cl ear the pre s ent structure of Fede r a l gr ants pr oduce s a flow of r ev enu e s to th e l e sser jurisd ic t i on s which i s too sma ll, too c a t egoric a l, to o i ncoher ent , and too much i n t he c ontro l of s pe cia li z ed t e chn ici ans . It a l so conc entrate s on the a rt of grant sman s hip r a t he r tha n on per formanc e ; and it exa cts sma ll change s i n b ehav i or fro m t h e bur eau c r ac i e s ra ther than ma j or ch ange s and c onc ess ions fr om gov ernors and l eg is l a tur e s , mayor s and c ounci l s ( e.g . , to b e e li g ibl e for a ma jor b lock gra nt from the ~d er ai governme nt, a Sta t e mi ght b e aske d to expand and r esh a pe it s own r ev enue s y s t em , and mak e some f undament a l changes i n i ts admini stra t i v e structure and procedur e s ) . �5 The Task Force might declare for an increased flm~ of Federal revenues to the States and local governments through more generalized I I grants, and begin to detail some of the more promising ways, means and conditions. (And now that the "growth sector" of central citi e s se ems to be public and non-profit in character (education, health, government, etc.), we might explore the possibility of expanding in lien payments to those municipalities as a major reve,nue source.) 4. The flow of nationa l resources into housing in de cl a r ed areas. This flow has been too sma ll, too erratic, and off the geogyaphical targets of need. The Task Force mi ght review in the persp e ctive of thirty years the efficacy of curr ent devic e s and (e.g. FHA 1 s) conventional wisdom: subsidies; etc. mortgage insuranc e ; below-ma rket-int er es t-rate s; There may be more powe rful levers than these, with more consist e nt effects and ge og raphical accuracy. There are othe r flows to c ons ider: most important, th e flm~s of people to and within the country I s met ropolitan areas, wi th a sp e cial eye to the forces, inc ent ive s, etc ., which sti mu l a t e and shape thos e flows. For example, a low airline fare from Puerto Rico to oth er metropolitan area s than New York might have l essened "The Puerto Rican problem". . � Text A resource consisting primarily of words for reading. Examples include books, letters, dissertations, poems, newspapers, articles, archives of mailing lists. Note that facsimiles or images of texts are still of the genre Text. Text Any textual data included in the document | A DRAFT PROPOSAL THE PURPOSES AND WORK PROGRAM OF THE TASK FORCE ON THE CITIES Summary Statement It is recommended that the concept and criteria underlying Federal urban policy move from program to flow: and that the Task Force use its time and equity to mark this historical divide and te begin detailing what it means and by what policies and procedures it might be expressed. Background The last generation of Federal activity in urban affairs has developed along two lines that lead to growing frustration in a pluralistic society of increasing mass and private initiative: (1) the notion that for every urban problem there should be a specific program which is to be executed principally through a public bureaucracy;: (2) the definition of urban problems and policies in static (mainly geographic) terms. x This urban world is two universes apart from the kind of suaipats on which the economic policies of the U.S. during this same period have been conceived and enacted. The latter have derived from dynamic analysis expressed in terms of national aggregates. This economic model has had at least some semblance of internal consistency, and levers have been designed which make it possible to effect changes in national economic behavior at relevant scale. The urban model has not even the pretense of internal consistency, and with its tiny levers exerts a force on urban development so small that even its local effects are barely visible. What is worse, it involves such a massive input of political and administrative talent that the nation's energies and equities are dissipated. Despite some lingering prejudice, it is becoming evident to many of us that the simple multiplication of present efforts and redoubling of budgets will not produce equivalent results. In the use of the existing urban model, we have already reached the point of diminishing returns. Ten times the present urban renewal, welfare and other programs will more likely produce ten times the present frustrations rather than some multiple of the desired urban outcome. To say that the present urban model has been inadequate is not to say that the more dynamic model of national economic policy has been ideal. From many points of view -- not least the urban -- the national economic model has produced some indifferent and sometimes disastrous results. For one, it has been tied to a single-entry bookkeeping of - national benefit; a tally of Gross National Produce which registers presumed social gains without offsetting measures of social cost. More important, the recorders and engineers of aggregate economic change have omitted any consideration of area - except for an cccasional bow to economic regions when a stray member of the peer group or a dramatic accident of history (like the TVA) have made it respectable. In an age of urban concentration, the failure to include area as one dimension of national economic policy has been folly. And with the prospect of peace being declared, and urban development becoming the object of increased public and private spending, the need for a major policy shift is all the more urgent. Consider four examples: 1. The flow of effective consumer demand into areas of "social deficit" - Bedford-Stuyvesant; North Philadelphia, the ghettoes of our metropolitan areas; the abandoning small towns of the Jersey Pines, the Appalachian chain, etc. In these areas it is becoming painfully obvious that present public programs (renewal; welfare; job training and development) are not producing much of an effective demand, and that until there is such a demand, there won't be induced an adequate economic base. Thus the growing cry for the negative income tax, the guaranteed minimum income, the family allowance, and the "welfare dollar" (of Lloyd's Bank Review, ca. October 1966) which gives the poor a chaice of expenditures among essential services. The Task Force will not have to invent proposals of this sort; 4 but we can (a) show how they fit into a more dynamic urban model; (b) do badly-needed digging into their probable effects, relative advantages, and administrative feasibility. 2. The flow of investment and enterprise into areas of social deficit. Public programs of renewal, housing, and economic opportunity have had discouragingly weak leverage in stimulating thé economic development of ghettoed and other declining communities. It may be that tax policy offers a more promising lead: declaring areas of social deficit eligible sites for Federal, state and local tax incentives of various sorts for specified kinds of investment and enterprise. The proposal is not new; but again, the Task Force can develop its rationale and explore its feasibility. 3. The flow of national tax resources to states and municipalities, (and to other quasi-public instrumentalities for community action). The readiest example is the Heller Plan, which -- along with other proposals like the shared-tax -- badly needs reshaping to fit a declared schedule of urban needs and reforms. It seems clear the present structure of Federal grants produces a flow of revenues to the lesser jurisdictions which is too small, £60 categorical, too incoherent, and too much in the control of specialized technicians. It also pipsedewated: on the art of grantsmanship rather than on performances; and it exacts small changes in behavior from the bureaucracies rather than major changes and concessions from governors and legislatures, mayors and councils (e.g., to be eligible for a major block grant from the Federal government, a State might be asked to expand and reshape its own revenue system, and make some fundamental changes in its administrative structure and procedures). The Task Force might declare for an increased flow of Federal revenues to the States and local governments through more generalized grants, and begin to detail some of the more promising ways, means and conditions. (And now that the "growth sector" of central cities seems to be public and non-profit in character (education, health, government, etc.), we might explore the possibility of expanding in lien payments to those municipalities as a major revenue source.) 4. The flow of national resources into housing in declared areas. This flow has been too small, too erratic, and off the geographical targets of need. The Task Force might review in the perspective of thirty years the efficacy of current devices and (e.g. FHA's) conventional wisdom: mortgage insurance; below-market-interest-rates;3 subsidies; etc. There may be more powerful levers than these, with more consistent effects and geographical accuracy. There are other flows to consider: most important, the flows of people to and within the eouatania metropolitan areas, with a special eye to the forces, incentives, etc., which stimulate and shape those | flows. For example, a low airline fare from Puerto Rico to other metropolitan areas than New York might have lessened "The Puerto Rican problem".  Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Title A name given to the resource Box 22, Folder 2, Document 21 Box 22 Box 22 Folder 2 Folder topic: Confidential Task Force (Task Force on Cities) | 1966-1967 https://ivanallen.iac.gatech.edu/mayoral-records/traditional/files/original/8ddb38b829e34852145e6bfe19653533.pdf ac977063d3dd3398b4daa24d339934ba Scripto Transcription A written representation of a document. 3/8/67 DRA}= FOR DISCUSSION Staff paper on ~-,.o del Cities The discussion which follows treats those problems and conflicts which are li-ely to arise in the implementation of the Model Cities program. Most of them are built into the inte govenunental system in which bdel Cities will operate without t he administrative instnnnents to co ect or direct them. By i mplicat ion, the questions raised in this pape_ are suggestive of conceptual diff icul ties with the Model Cities approach, and not of the effectiveness of those charged with its administration. The Model Cities prog~am is considered by many to be the most useful instnu nt yet put int e hands of American cities by the Federal goverrunent. This program tests several notions: one is that a multitude of catego ical aids can be tied together in a single package and their i mpact maximized in a slum neighborhood; al'lother being that a handful of Americal'l cities can make imaginative and effective use of supplemental fu1ds. Model Cities represents an attractive departure from past Federal efforts in sol ving urbal'l problems but it cannot be expected to overcome t he barriers that those previous effor ts have helped to erect. Consider the perspective of a well-intentioned mayor. A relatively small carrot has been he ld out by t he Federal government, which can be taken and eaten if the mayor can do some things which t he Feder al government cannot: coordinat e and maximize t he impact of a rultitude of cat egorical aids. He must correct a -s ituation in whi ch semi- autonomous bureaucracies make decisions about resource allocat i on·, of t en with the r • -· , �2 a1a and comfort of thei F d -ral counterpartso He must o;::,erate with a b wilde.ing maze of state channeled programs whichv through rigidity and reg essiv id fonnulaeP eL ctivcly discriminat .ere _re ot e aga~nst his city. easoi s \vhy few cities can b expected to come up .·ith app_ications wlich, in factp meet the rigorous standards of the guidelmes o Fi st, few cities h ve the talent: person.riel who combine sop: is:icated app eciation o the g antsman' s game with great p_ogrammatic i rri.aginat ion ao not exist be e_:pected to come the city ov ~Tl la ge numbers. p wit. an application that will, favor one area of all oth rs, someth.:.ng very unattractive to men who mus t stm d fo _ el ction i.ri all neighborhoo So notice t· ~re t hey do exist they will In additionp on very s .o t e mayor may have to alter p iorities which have already been set and to which his city 1s corrun ·ttedo This is especial:y true where ur an renewal activity has avoided hard core slum eighborhoods wh ich now must be incorporated into a comprehensive rene.,ral effort. Then there is the obvious problem of having to compete for one of seventy slots for which the fiscal rewards are not great. Given constraints oft: is nature, it is not surprising that cities would not involve all the important cowmunity-,~ide agencies and citizens' groups in preparing the initial application as required in the guidelines. There is not time (3-1/2 months between issuance of the guidelines and final application date) and there is not the staff to deal with suggestions and complaintso The city might also wonder how HUD and other Federal agencies are to review a large nur.iber of applications in a very short time and realistically evaluate ,t he thoroughness and comprehensiveness of �3 eac: • T e incentives may be, the efore, on "wi nging it" like the college stude t w.10 stuc y at substitutes reputation , s avvy P and testmanship for d:i.ligen- xam time. T e costs of not involving mai7.y elements of t he community planning of t e initial appl · cation are substantial. 1n. t1 e Such a process would be an efficient and effective mean!; of ed 1cating t he comrr.i.mi ty P cr:!a::ing ari awar ness and gaining acceptance of s ignific ant inno .1at i ons in l )cal government . Even wh n the planners are favorab l y dispc!: :: J ·:o t his approach it is doubtful that they wi\ l have the time or sta :f support to institute it. In a real s ensep the w2yor ' s troub-e begins when his city 1s selected as a model. He must conduct complex negotiations with alrr.ost as many agenc ies as th re are catego i cal a ids in his application and hope they will 11 fund h i m at r oughly t he s am time. If truly innovat ive , he must secure the unlikeliest kinds of changes from the unlikeliest agenc ies in ' .is city and at the state and Federal level 9 e. g. ~ the welfare system, educational establishment, mortgage bankersg etc. He may have to convince unsympathet ic l egislators t hat legislati ve revisions of sweeping import should be made -- he may even ask for additional funds. a great dea We are asking of a c lass of political animal who seeks always to avoid or resol ve conflict. None of this is t o say t hat t he Federal administr ators of th-=s program will have an ea sy t ime. The gr eatest obs tacle is t he dependence on the categorica l grant progr ams of other Federal agencies for ~:upport arid funding .' Spec ifically: �4 a. In this p_ogram H i ch e hasizes flexibility, c ities must cl:oose amongst categorical prog ams Hhich more often than not hare rigid s tancl,~r s O confus · ng jurisdictional relations a.i7.d mysterious r drr{u~.i stra -~i ve To play a us ful om.sbudsrnan role for the cities vis ··a vis prrcticc:s . tr~ -!::.e 0 other Federal agencies, HUD rust persuade under-ftmd.ed l:· :rograrn adm_;_,'1is'· rs.to s to make subst2..r1tial allocat · ns t o other t.hol1 tra ·!~ · ic,na l recipie.. ts. deally t_ese agencies would also review Model Cities applications and be able to synch onize the grant approvals with those of HUD. b. Many relevant categorical prog ams, especially m HEW P are acirninistered thro gh state governrnents with an impressive variety of pl211s regulations, capacities, standards and fiscal strength. It is difficult to i~2gine that n cessary evis · ons in these arrangements can be e_fected in time to assist model neighbor oods. It is equally difficult to envis·on HUD, two levels removed from the source of difficulty, paying a too direct role in effecting such changes. c. Urban renewal is probably disproportionately attractive to citie s planning model neighbo_hood programs . For one thing there is 250 IP.illion dollars in ear-rnarked funds which may be used by these cities and t he ir use is controlled by the same agency administering Mode l Cities . If other programs are to be more competitivep then ear-marked moneys ITU.lSt be secured and simple administrative arr3Ilgcrnents substituted to attract ~·b del City planners to them. The 1odel Cities approach is an introduction to "consumer al location of resources. 11 This mzans that each city is allotted money with which ·• ,', �5 to "buy" prog · lS in the combination that it sees will have t ,e greate5t in;pact on the problems of that city. The change t o consumer aEocatio:1 is a radical one and the prob lems cannot be lll1 ere stimated. ___ F derally-designed progran s, the c ity i s asked t o accepting __ ,,. . . ..._,,. . In~;tead of prep., re a.n op .i mal mix of programs based on the effectiveness of a t,ernat iv,: sy_.t :mt.s. The fi st atterr:pt at t his approach is understandably imperfect b eca.use,: a. cities still must choose Lorn among exi st ing programs in · combinations w ich are largely pre - detennined by funding levels and ju_isdictio al rights; b. p emiu~s are still attached t o particular programs by favorable matching ratios; c. the discretionary supplemental moneys are small in relation to the total outlay involved thereby limiting new· programs indicated by systematic analys is. The 1odel Cities program will make its great contribution by demonst_ati.Tlg t hat the flexibility needed for experimentation is not provided by a one-shot grant Federal money, no matter how large it is or how few stri.Tl.gs are attached. If the applicat ions are prepared with diligence~ the Federal government will have a central catalogue of the obstacles that it must deal with before real innovation can be achieved. This catalogue would be a systematic vote by seventy cities indicating wher e Federal legislation~ admin·strative r egulations and inter-agency operat ions are t o be revised to be made more relevant to the needs of America~ cities. ,.. ... , The Federal goven1ment should be preparing itsel f for �6 i.11:plementing a hos t of change s that 1-·Jill be suggested by Model Citie s applica1 t s. This may require a new institutionalized capacity in l-IUD~ HI::.lv, Labor and other agenc ies operating urban-related programs • . •, r • .•, � Text A resource consisting primarily of words for reading. Examples include books, letters, dissertations, poems, newspapers, articles, archives of mailing lists. Note that facsimiles or images of texts are still of the genre Text. Text Any textual data included in the document 3/8/67 DRAFT FOR DISCUSSION Staff paper on Model Cities The discussion which follows treats those problems and conflicts which are likely to arise in the implementation of the Model Cities program. Most of them are built into the intergovernmental system in which Model Cities will operate without the administrative instruments to correct or direct them. By implication, the questions raised in this paper are suggestive of conceptual difficulties with the Model Cities approach, and not of the effectiveness of those charged with its administration. | The Model Cities program is considered by many to be the most useful instrument yet put in the hands of American cities by the Federal government. This program tests several notions: one is that a multitude of categorical aids can be tied together in a single package and their impact maximized in a slum neighborhood; another being that a handful of American cities can make imaginative and effective use of supplemental funds. Model Cities represents an attractive departure from past Federal efforts in solving urban problems but it cannot be expected to overcome the barriers that those previous efforts have helped to erect. Consider the perspective of a well-intentioned mayor. A relatively small carrot has been held out by the Federal government, which can be taken and eaten if the mayor can do some things which the Federal govern- ment cannot: coordinate and maximize the impact of a miltitude of categorical aids. He must correct a situation in which semi-autonomous bureaucracies make decisions about resource allocation, often with the é BS aid and comfort of their Federal coumterparts. He must operate with a bewildering maze of state channeled programs which, through rigidity and recressive aid formulae, effectively discriminate against his city. There are other reasons why few cities can be expected to come up With applications which, in fact, meet the rigorous standards of the guidelines, First, few cities have the talent: personnel who combine sophisticated appreciation of the grantsman's game with great programmatic imagination do not exist in large numbers. Where they do exist they will be expected to come up with an application that will. favor one area of the city over all others, something very unattractive to men who must stand for election in all neighborhoods. In addition, on very short notice the mayor may have to alter priorities which have already been set and to which his city is committed. This is especially true where urban renewal activity has avoided hard core slum neighborhoods which now must be incorporated into a comprehensive renewal effort. Then there is the obvious problem of having to compete for one of seventy slots for which the fiscal rewards are not great. Given constraints of this nature, it is not surprising that cities would not involve all the important community-wide agencies and citizens’ groups in preparing the initial application as required in the guidelines. Theré is not time (3-1/2 months between issuance of the guidelines and final application date) and there is not the staff to deal with suggestions and complaints, The city might also wonder how HUD and other Federal agencies are to review a large number of applications in a very short time and realistically evaluate the thoroughness and comprehensiveness of each, The incentives may be, therefore, on “winging it" like the college student who substitutes reputation, savvy, and testmanship for diligent study at exam time. The costs of not involving many elements of the community in the planning of the initial application are substantial. Such a process would be an efficient and effective means of educating the community, creating an awareness and gaining acceptance of significant innovations in local government. Even when the planners are favorably disposed to this approach it is doubtful that they will have the time or stafi support to institute it. In a real sense, the mayor's trouble begins when his city is selected as a model. He must conduct complex negotiations with almost as many agencies as there are categorical aids in his application and hope they will all fund him at roughly the same time. If truly innovative, he must secure the unlikeliest kinds of changes from the unlikeliest agencies in his city and at the state and Federal level, e.g., the welfare system, educational establishment, mortgage bankers, etc. He may have to convince unsympathetic legislators that legislative revisions of sweeping import should be made -- he may even ask for additional fimds. We are asking a great deal of a class of political animal who seeks always to avoid or resolve conflict. None of this is to say that the Federal administrators of this program will have an easy time. The greatest obstacle is the dependence on the categorical grant programs of other Federal agencies for support and funding. Specifically: ey. 4 gram which emphasizes flexibility, cities must o a. In this pro choosé amongst categorical programs which more often than not have rigid standards, confusing jurisdictional relations and mysterious administrative practices. To play a useful omsbudsman role for the cities vis-a-vis these other Federal agencies, HUD must persuade under-funded program administrators to make substantial allocations to other than traditional recipients. Ideally these agencies would also review Model Cities applications and be able to synchronize the grant approvals with those of HUD. b. Many relevant categorical programs, especially in HEW, are administered through state governments with an impressive variety of plans, regulations, capacities, standards and fiscal strength. It is difficult to imagine that necessary revisions in these arrangements can be effected in time to assist model neighborhoods, It is equally difficult to envision HUD, two levels removed from the source of difficulty, playing a too direct role in effecting such changes. c. Urban renewal is probably disproportionately attractive to cities planning model neighborhood programs. For one thing there is 250 million dollars in ear-marked funds which may be used by these cities and their use is controlled by the same agency administering Model Cities. If other programs are to be more competitive, then ear-marked moneys must be secured and simple administrative arrangements substituted to attract Model City planners to them. The Model Cities approach is an introduction to "consumer allocation of resources." This means that each city is allotted money with which to “buy programs in the combination that it sees will have the sreatest impact on the problems of that city. The change to consumer allocation is a radical one and the problems cannot be underestimated. Instead of accepting Federally-designed programs, the city is asked to prepare an optimal mix of programs based on the effectiveness of alternativ: systons. The first attempt at this approach is understandably imperfect because: a. Cities still must choose from among existing programs in’ combinations which are largely pre-determined by funding levels and jurisdictional rights; b. premiums are still attached to particular programs by favorable matching ratios; c. the discretionary supplemental moneys are small in relation to the total outlay involved thereby limiting new programs indicated by systematic analysis. The Model Cities program will make its great contribution by demonstrating that the flexibility needed for experimentation is not provided by a one-shot grant Federal money, no matter how large it is or how few strings are attached. If the applications are prepared with diligence, the Federal government will have a central catalogue of the obstacles that it must deai with before real innovation can be achieved. This catalogue would be a systematic vote by seventy cities indicating where Federal legislation, administrative regulations and inter-agency operations are to be revised to be made more relevant to the needs of American cities. The Federal government should be preparing itself for ety 6 implementing a host of changes that will be suggested by Model Cities n applicants. This may require a new institutionalized capacity in HUD, HEW, Labor and other agencies operating urban-related programs,  Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Title A name given to the resource Box 22, Folder 2, Document 20 Box 22 Box 22 Folder 2 Folder topic: Confidential Task Force (Task Force on Cities) | 1966-1967 https://ivanallen.iac.gatech.edu/mayoral-records/traditional/files/original/67eec9357835ad3025fba36d27eaa82e.pdf fb12beb6ba26c9af6843050c77f541ec Scripto Transcription A written representation of a document. , 3/8/67 A Proposal for Task Force Agenda Part I The staff of the Task Force has spent most of the past three weeks attempting to outline future areas for investigation. Our f~_ints of departure have been based on Task - Force discussions concerning the nature and location of urban ghettos; the definition and measurement of. social deficit areas; the prospects for significant improvement in ghetto job opportunities; the possibility of moving from programs to "flows" (as defined in the Ylvisaker paper); and more focused research in such areas a s housing and welfare programs. These discussions, you will recall, were at a high level of generality and implied further decisions about which areas should be given intensive study- studies which hopefully would produce policy recorrnnendations for the President. In recent Task Force discussions and in interviews with a number of government of~icials another, more general theme has emerged to compete and, in a sense, out-flank the development of Task Force thinking on the above issues. It appears clear that this group believes that the time· has come for a sharp break with previous Federal policy-making and prograunning directed towards urban problems. * The need for a new "laundry list" of marginal adjustments and categorical .aid programs is rejected. , It is In fairness we might concede the Federal government has .only recent ly b egun to look at....~ts role as solving urban problems as opposed to providing welfare 'payments, more' housing etc. The fact that Feds feel this way now is of course a mamor advance. The fact that they increasingly a r e being held respon sible for what happens in urban areas provides some assurance of the potential significance of our work. �2 felt , instead, th a t th e Pr e sid e nt mu s t a lt e r or g o outsid e t h e presen t f r amework (or even create a new framework) for d~cision-making about urb an problems to seek ways and means for achieving national goals in urban areas. The task force believes that present. activity and predict able future activity can be reshaped and criticized productively, but it also is convinced that such an approach offers faint promise as a source of significant innovation in solving urban problems. Ind eed, the Task Force might go a step further and argue that the whole range of ex isting Federal programs and institutions primarily des~gned to solve urban problems have had a relatively minor impact on human and phy s ical development in American cities. This judgment (however qualified) is supported by the foll owi ng -admittedly over-simplified -- reasoning: 1) While the range and size of Federal activity has increased rapidly and while the institutions specifically charged with urban responsibility have multiplied and grown, general economic, social and physical trends have not altered significantly in any large city. 2) It s eems therefore reasonable to assume th at the forces shaping thes e t r ends a r e far more meaningful in affecting the quality of urban 1 i f e than i s th e sum total of Federal· programs focused on "urban ne eds". 3) It appe ar s equa lly r ea s onable to conclude tha t the i nstitut i ons , mechanisms, and dolla rs now available for dev e l opi ng u r ban po licy • ,'I / at the Federal level ar e inad equa s~ ' or misori ent ed in t erms of understanding and confronting some of the most important questions in urban ' areas"·:· : �3 The implications of all this for the Task Force include the following: 1) further infusions of Federal assistance through present or predictable grant-in-aid programs offer little hope of significantly altering major urban trends; therefore the Task Force should not corrnnit a major portion of its limited resources to seeking new devices for such increases. Such devices, as well as adjustments in present devices, should have a place in Task Force recommendations only insofar as they spring from the kind of agenda ·suggested below. 2) The search for more effective levers for influencing urban trends is severely handicapped by the sorts of Federal apparatus and information available for dealing with urban problems. (E.g. see attached paper on social deficits.) 3) The Task Force could most profitably allocate its time to assembling some of the major social and economic questions relevant to ur ban problems; indicating what kinds of institutions and/or devices for policy formulation are in existence or might be created to deal with such questions. (It is even possible that the Task Force might "solve" a question or two and have a basis for more specific _policy recommendations.) Questions might be modeled on the following: 1) One obvious goal for Federal policy . is increasing income and, thus, ~ . .~ J consumer demand in the ghetto. ,..,,, ' ... ~I / �4 (a) Where in the Federal establishment (in HUD?). Is there a means for sorting out the various policy alternatives which might be pursued to achieve this goal (e.g. negative income tax, family allowance, jobs for the poor, etc.). The answer to such a question would include surveying existing sc atte red research and recorrnnendations on the several alternatives and determining whether a basis exists already (though undiscovered) for packaging a Federal approach to fulfilling this goal. If this is so, we migh t recommend some method of pulling together urban-oriented pol icy-making on this questions. If, as is more likely the case, there is no sum total of effort which exhausts the alternative approach e s to this problem our recommendations would include the need for same. In short, the approach involves posing fundamental questions, determining if a solution is now available, and if not, what is needed to begin us down the road towards one. One Task Force goal then becomes - at the most general level not simply to look for the "real" levers in this urban game (we have neither staff, nor time, nor expertise t~ do a thorough job here) but rath er to look for ways of elevating and . refining the level and nature of urban policy-making. • ·, J . ··. ·,.·V I /· �5 It should not be difficult to start this process by agre e ing on an initial list of questions. We already have some. 1) How can we increase consumer demand in the central city? 2) Have we systematically located and defined urban ghettos? 3) Wh a t is needed to create the capacity to calculate social defec t s in urba n areas? 4) Whe re in the Federal establishment is work going forward on the possibilities to altering the flow of entreprenurial activity to increase the share of central city. 5) etc. ' ·. _.: v ,. •·.,I I V �6 ?ar t II The Task Force, it appears, is close to agreement on another s e t of concerns which can be approached by more traditional methods, and presumably would produce more traditional recommendations. 1) Cha nges in Federal assistance systems The Task Force is justified in looking at such proposals as t ax sha ring, combining grant-in-aid programs etc., in terms o f the ir r el a tive impace on cities. It is clear that with a sma ll i nput of staff resources we can contribute a city vie'W' to th i s di a logue . 2) Inc rea s i ng the flow and consistency of investment into lo'W'-income housing in urban areas. For wha t ever re ason there seems to be a "nea ter" problem. We h ave cons i derab le expertis e among Task Force members thems elv e s and shou ld be abl e to a ssembl e a set o f recormnenda tions in th i s area. I n add i t ion, wh il e there are manpower, education and other Task f orces, our i s the only one which 'Wi ll - if it choose s - look a t housing this year . 3) Mode l cit ies (a) This program repres ents, i n a sense, the l atest in Wa shing t on approa che s to urban pr oblems. We mus t confr ont and ev en judge it if we are t o justify a ma j or break with current approache s . ·. :U .' �If 7 (b) This program also represents the latest Federal response to the "ghetto" problem. Given the political, social and moral imperatives for doing something now about urban ghettos, the Task Force should make some attempt to review and evaluate the early directions of model cities. (c) This program also represents the boldest approach to altering the system of Federal assistance and therefore is related directly to item (1) above. . . ,; · ; t ,; ' � Text A resource consisting primarily of words for reading. Examples include books, letters, dissertations, poems, newspapers, articles, archives of mailing lists. Note that facsimiles or images of texts are still of the genre Text. Text Any textual data included in the document 3/8/67 A Proposal for Task Force Agenda Part I The staff of the Task Force has spent most of the past three weeks attempting to outline future areas for investigation. Our points of departure have been based on Task: Force discussions concerning the mature and location of urban ghettos; the definition and measurement of. social deficit areas; the prospects for significant improvement in ghetto job opportunities; the possibility of moving from programs to "flows" (as defined in the Ylvisaker paper); and more focused research in such areas as housing and welfare programs. These discussions, you will recall, were at a high level of generality and implied further decisions about which areas should be given intensive study- studies which hopefully would produce policy recommendations for the President. In recent Task Force discussions and in interviews with a number of government officials another, more general theme has emerged to compete and, in a sense, out-flank the development of Task Force thinking on the above issues. It appears clear that this group believes that the time has come for P sharp break with previous Federal policy-making and programming . * directed towards urban problems. The need for a new "laundry list" of marginal adjustments and categorical aid programs is rejected. It is * In fairmess we might concede the Federal government has only recently begun to look at its role as solving urban problems as opposed to providing welfare payments, more’ housing ete. The fact that Feds feel this way now is of course a mamor advance. The fact that they increasingly are being held responsible for what happens in urban areas provides some assurance of the potential significance of our work. Felt, instead, that the President must alter or go outside the present framework (or even create a new framework) for decision-making about urban problems to seek ways and means for achieving national goals in urban areas. The task force believes that present activity and predictable future activity can be reshaped and criticized productively, but it also is convinced that such an approach offers faint promise as a source of significant innovation in solving urban problems. Indeed, the Task Force might go a step further and argue that the whole range of existing Federal programs and institutions primarily designed to solve urban problems have had a relatively minor impact on human and physical development in American cities. This judgment (however qualified) is supported by the following -- admittedly over-simplified -- reasoning: 1) While the range and size of Federal activity has increased rapidly and while the institutions specifically charged with urban responsibility have multiplied and grown, general economic, social and physical trends have not altered significantly in any large city. 2) It seems therefore reasonable to assume that the forces shaping these trends are far more meaningful in affecting the quality of urban life than is the sum total of Federal programs focused on "urban needs". 3) It appears equally reasonable to conclude that the institutions, mechanisms, and dollars now available for developing urban policy at the Federal level are snadaguare’ of misoriented in terms of understanding and confronting some of the most important questions in urban areas. ' fst The implications of all this for the Task Force include the following: 1) 2) 3) 1) Further infusions of Federal assistance through present or predictable grant-in-aid programs offer little hope of significantly altering major urban trends; therefore the Task Force should not commit a major portion of its limited resources to seeking new devices for such increases. Such devices, as well as adjustments in present devices, should have a place in Task Force recommendations only insofar as they spring from the kind of agenda suggested below. The search for more effective levers for influencing urban trends is severely handicapped by the sorts of Federal apparatus and information available for dealing with urban problems. (E.g. see attached paper on social deficits.) The Task Force could most profitably allocate its time to assembling some of the major social and economic questions relevant to urban problems; indicating what kinds of institutions and/or devices for policy formulation are in existence or might be created to deal with such questions. (It is even possible that the Task Force might "solve" a question or two and have a basis for more specific policy recommendations.) Questions might be modeled on the following: One obvious goal for Federal policy,is increasing income and, thus, | vil consumer demand in the ghetto. (a) Where in the Federal establishment (in HUD?). Is there a means for sorting out the various policy alternatives which might be pursued to achieve this goal (e.g. negative income tax, family allowance, jobs for the poor, etc.). The answer to such a question would include surveying existing scattered research and recommendations on the several alternatives and determining whether a basis exists already (though undiscovered) for packaging a Federal approach to fulfilling this goal. If this is so, we might recommend some method of pulling together urban-oriented policy-making on this questions. If, as is more likely the case, there is no sum total of effort which exhausts the alternative approaches to this problem our recommendations would include the need for same. In short, the approach involves posing fundamental questions, determining if a solution is now available, and if not, what is needed to begin us down the road towards one. One Task Force goal then becomes - at the most general level - not simply to look for the "real" levers in this urban game (we have neither staff, nor time, nor expertise to do a thorough job here) but rather to look for ways of elevating and.refining the level and nature of urban policy-making. It should not be difficult to start this process by agreeing on an initial list of questions. We already have some. 1) 2) 3) 4) 5) How can we increase consumer demand in the central city? Have we systematically located and defined urban ghettos? What is needed to create the capacity to calculate social defects in urban areas? Where in the Federal establishment is work going forward on the possibilities to altering the flow of entreprenurial activity to increase the share of central city. etc. The Task Force, it appears, is close to agreement on another set of concerns which can be approached by more traditional methods, and presumably would produce more traditional recommendations. 1) 2) 3) Changes in Federal assistance systems The Task Force is justified in looking at such proposals as tax sharing, combining grant-in-aid programs etc., in terms of their relative impace on cities. It is clear that with a small input of staff resources we can contribute a city view to this dialogue. Increasing the flow and consistency of investment into low-income housing in urban areas. For whatever reason there seems to be a "neater" problem. We have considerable expertise among Task Force members themselves and should be able to assemble a set of recommendations in this area. In addition, while there are manpower, education and other Task forces, our is the only one which will - if it chooses - look at housing this year. Model cities (a) This program represents, in a sense, the latest in Washington approaches to urban problems. We must confront and even judge it if we are to justify a major break with current approaches. wit (b) (ec) This program also represents the latest Federal response to the "ghetto" problem. Given the political, social and moral imperatives for doing something now about urban ghettos, the Task Force should make some attempt to review and evaluate the early directions of model cities. This program also represents the boldest approach to altering the system of Federal assistance and therefore is related directly to item (1) above.  Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Title A name given to the resource Box 22, Folder 2, Document 19 Box 22 Box 22 Folder 2 Folder topic: Confidential Task Force (Task Force on Cities) | 1966-1967 https://ivanallen.iac.gatech.edu/mayoral-records/traditional/files/original/8656c0e971932b38da7bca85c08840bd.pdf 5f99f89f2af8e6a7ec01239f344e1a98 Scripto Transcription A written representation of a document. CCMMENTS ON THE AGENDA Part I of the attached is an attempt to determine the condition for a breakthrough in Federal policy-making on urban problems. priority. The Task Force may wish to assign it top Even if this is the case, I believe that ~art II should remain in the agenda. Agenda setting is, in a sense, a process of allocation of scarce resources (Task Force and staff time). The attached agenda represents a rough estimate of all that can be taken on in the time remaining. Changes and/or additions will be , in effect, substitutions and should be based on altering the implicit priorities in the present agenda. Ri char d .~\ I . ,• 'I ' • .1 V ,I .Ji c. Leone � Text A resource consisting primarily of words for reading. Examples include books, letters, dissertations, poems, newspapers, articles, archives of mailing lists. Note that facsimiles or images of texts are still of the genre Text. Text Any textual data included in the document COMMENTS ON THE AGENDA Part I of the attached is an attempt to determine the condition for a breakthrough in Federal policy-making on _ urban problems. The Task Force may wish to assign it top priority. Even if this is the case, I believe that Part II should remain in the agenda. Agenda setting is, in a sense, a process of allocation of scarce resources (Task Force and staff time). The attached agenda represents a rough estimate of all that can be taken on in the time remaining. Changes and/or additions will -be, in effect, substitutions and should be based on altering the implicit priorities in the present agenda. Richard C. Leone  Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Title A name given to the resource Box 22, Folder 2, Document 18 Box 22 Box 22 Folder 2 Folder topic: Confidential Task Force (Task Force on Cities) | 1966-1967 https://ivanallen.iac.gatech.edu/mayoral-records/traditional/files/original/04202b9ab401837e01e1157ad85b3c25.pdf bdc39e2066849d71ce39f627dce831d9 Scripto Transcription A written representation of a document. THE NATION.AL PREPARED BY CHICAGO • NEW YORK • WASHINGTON, D.C. • DALLAS • ST. LOUIS • OMAHA LOS ANGELES • SAN FRANCISCO • MINNEAPOLIS-ST. PAUL VOL. 21 - No. 11 MARCH 1967 $20.00 PER YEAR "TREND, TREND, WHICH WAY'S THE TREND?" That's the absorbing question which is being debated vigorously by the business and investment communities as the economy feels its way cautiously into 1967. The difficulties of a definitive answer to the question first stated above lie in the apparent contradictions contained in the business· and financial news as it unfolds day after day. For example: the rally in the stock and bond markets in the month of January seemed to be saying that the doubts and uncertainties of the year-end were really unfounded; that . 1967 was going to be another strong year after all. And yet there was a nagging persistence to bearish bulletins about business itself. Automobile production was down 18% in January and 21.5% in the first half of February . Steel-making thus far in 1967 is off last year's pace, with mills currently operating at only 70% of capacity. Durable goods orders in January were down 5 . 1% from last year and business inventories were disturbingly high . Through it all the war in Viet Nam keeps requiring more and more money: President AJohnson's messages to the Congress point up the urgency of expanding the 9perimeters of the Great Society; unemployment in January held at the low level of 3.7% of the labor market (with many cities still below the "point-of-shortage"); and wages are continuing their trend of the past six months. Although the rally in the bond and stock markets faltered in mid-February and bad news once again seemed to capture the spotlight of the public's attention, we have certainly not turned bearish. We still see no recession in the offing (by our definition) and we still would put 1967 in the "plus" column as a whole. BASICALLY, OUR FORECASTING FOCUS IS ON CONSUMERS. During most of the year 1966, financial and capital factors were in bad trend. The stock markets were sagging, the money markets were demoralized and the whole real estate sector of the eco·nomy was dispirited. Yet consumers were more numerous, more prosperous and more fully employed. And business was good indeed! In spite of the anomalous developments thus far in 1967, con~umers are in better basic condition than they were a year ago! In most metropolitan areas, employment in this January was better than last year's. In all such areas, the average income of consumers is higher than it was at this time last year. And it is moving still higher! It is true that about October 1, 1966, the chilling winds of doubt blew over the consumers of the U.S. with the result that their willingness to spend (not their capacity to spend) was momentarily curbed. While they waited to experience a resurgence of their buying enthusiasm, they increased their savings. In other words, they rested their buying oars and took advantage of the biggest inventory of their own goods in the history of the American family. But they did not chan e their fundamental habits! As spring comes --- and if their incomes hold we think they will --- they'll get right back into the spending stream to take ~dvantage of the higher living standards which are within their grasp. And once they do that, we'll forget about the dwindling profits in the last quarter of 1966 and the first of 1967. COPYRIGHT 1967 • Real Estate Research Corporation • 73 West Monroe, Chicago, Ill inois 60603 • Reproduction in whole or part prohibited . �PAGE 2 _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ ___.._ ~.at MARKET LETTER REAL ESTATE ACTIVITY NOT ONLY FAILED TO TURN AROUND in the first month of 1967, but i t s lipped f urther into the doldrums which had marked the last months of 1966. One of the reasons that the year-to-year comparisons with the first month of 1966 look so bad is that --- if you remember accurately --- last year started out impressively on the strong side, at least in the major· activity factors of local real estate markets, with sales, mortgage lending and new construction well ahead of the previous year, in most areas. Here is how these activity factors performed in the latest month for which complete national figures are available (January 1967): Real Estate Sales Off a little less than they were in December, sales for the nation were down 14.7% in January, with the following regional comparison with the same month last year: Region Northeast - - Great Lakes - South - Central Prairie Pacific West - Percent Change - - - and - - - - - - - - - - - - - - - - - - Mountain - - - - - - - - - - - 8.0 15 . 7 6.2 18.4 20.1 The reasons for the slow selling pace were not much changed from those which have prevailed in the past few months. The sharp drop in new home construction and completion was a major factor. Normally the sale of a new house results in from two to five sales of other dwelling units as occupants play a game of "musical chairs" in the upgrading process. No new houses; no occ~pancy shifts down the line. In addition, the promise of lower mortgage money rates (given wide publicity, especially since October) has caused many prospective Selected NATIONAL Economic Indicators buyers of existing houses to wait for better terms. VALUE OF DOLLAR (1939 = 100) 41. 54¢ INDICATOR PRICES: Wholesale Prices Building Costs Farm Product Prices Consumer Prices Dow Jones lndl's (as of· 2/23) PRODUCTION, EMPLOYMENT, INCOME: Total Production Manufacturing Persons Employed Persons Unemployed Construction Employment lr.dividual Income Wages MONETARY FACTORS: Interest Rates Currency in Circulation Government Debt Checks Cashed (Dollars) Value of Dollar ·Data latost available for each fador. % CHANGE FROM A YEAR AGO 1.5 4.2 2.7 3.3 -11.0 - - 4.8 4.6 0.3 0.5 0.2 8.4 2.6 14.4 0.6 2.1 15.4 - 1.2 % CHANGE FROM A MONTH AGO 0 .3 o.o 1.2 - o.o - 0.4 - 0.7 0.7 0.1 0.3 0.2 0.9 1.1 1.6 0.1 0.1 4.6 o.o On the income property side, the rapid drop in money rates acted to lower realistic capit alization rates faster than prospective buyers could adjust their sights. Moreover, improved market conditions in most space markets (especiall y in the Northeast, Great Lakes and South regions) caused potential sellers to scent higher occupancies and rentals --- thus causing them to firm their ideas of value. Fina lly, a rapidly rising stock market p roved a lure to speculators looking fo r a f as t return on investment. We look for unfavor able y ear-to-ye ar comparisons in t h e sa l es marke t s to continue for the fi r s t q u a rt e r of this year, after whi c h we e xpe ct me a s urable improvement. Mortgage Lending The n a tiona l d e cline s ince last year in mor tg a ge lend i ng for the late st month �THE REAL ESTATE FORECAST AUTHORITY _ _ _ _ _ _ _ _ _ _ _ _ _ _ PAGE 3 (January) was 33.5% in the number of total dollar volume of those loans. tinued to improve, the actual volume highly selective and cautious nature mortgage loans closed and 42.4% in the While mortgage money conditions conof lending was still low, due to the of lenders returning to the markets. Here are the regional comparisons between the mortgage business in the latest month and that of the same month of 1966: Northeast Great Lakes - South - Central Prairie Pacific West - Number of Loans Percent Change Dollar Volume Percent Change Region - - - and - - - - - - - - - - - - Mountain - - - - - - - - - - 50.1 43 . 1 0.4 40.6 46 . 8 - - - - - - 29.6 26.7 22.3 29 . 7 42.1 It is obvious from the above statistics that, through the month of January at least, the improvement in mortgage money conditions was largely theoretical and technical rather than actual --- as far as real estate lenders and borrowers were concerned. As noted above, the drop of interest rates in the basic money markets during the month of January was a little less than remarkable. However, at the end of that month and all during February, these trends were reversed. Yields on treasury bills, municipals and corporates were up steadily, week-by-week in February. This yo-yo action of money rates in the first eight weeks of 1967 was not reflected in the mortgage money rate situation. Reason: the supply-demand ratio in the mortgage money markets did not parallel that in the basic money markets. Here were the differences: 1. The savings flow into real estate-oriented institutions was greatly improved over a year ago. On the other hand, mortgage demand (in the kind of loans scared lenders now consider acceptable) was disappointing. As a result, on balance, there was more money than there were loans. 2. In the basic money markets, demand held high and supply was not meaningfully improved. Money lenders found that they had underpriced their commodity and took a second look at their potentials. We see no particular "threat" in the February developments to the long-term tr e nd of mortgage money. 1967 will continue to score improvements in this se ct o r . New Construction One o f the mu ch-touted "bullish" factors cited by those who are optimistic about 1 967 is t he belief that the ailing home-building industry will stage a come b ack i n t he year. So- called building stocks have shown outstanding str e n g th on t h e n ation's stock markets as speculators have hungrily snapped th e m up in an t i c i patio n of higher sales and earnings. These se ntime nts hav e not only been encouraged by the statistics of housing construction in t h e past three months (January housing starts were at a s e asona lly adjus t ed a nnual rate of 1 , 243,000 units --- up 14.6% from De c e mbe r and up a whopping 47% from last October' s postwar low), but by the longe r range pros p e c ts f or a d ramati c incr ease in t h e number of young married coupl e s starting i n 1 968 . �PAGE 4 _ _ _ _ __ _ _ _ _ _ _ _ _ _ _ _ _ _ tk 1/4Uo,u,( MARKET LET.YER Certainly (as this Letter has pointed out for several months), the residential markets in most local areas have gained strength in virtually all local areas --- and are postured for a burst of new supply in many. In our opinion, the high expectations of the building industry (like those which have pushed savings and loan stocks skyward since last fall) tend to exaggerate the actual prospects for building profits --- either on the part of the developer or the materials manufacturer . The reason: the costs of money, materials, labor and land are such that development profits must await a higher general rental market to encourage and support a meaningfully higher volume of new construction. The real profits are to be made in the purchase of good, sound, welllocated and well-designed existing property which will experience sharply enhanced earning power before a new building boom can get started. THE BIGGEST REAL ESTATE PROFITS IN THE PAST FIVE MONTHS· have been made in real es t a t e s t ock s. Our read ers wi ll rememb er t h at we se t up a Real Estate Stock Index in October of 1965. On that date we assigned the figure of 100.0 to the prices of these securities which prevailed on October 1, 1965. Here is the record of those values, monthly, since that date: Month 1965 1966 1967 January - - - - - - February - - - - - - - - March - - - - - - - - - - April - - - - - May - - - - - - - - - - - - - June - - - - - - - July - - - - - - - - August - - - - September - - - - - October - - - - - - - - - November - - - - - - December - - - - - Even if these real estate stocks had owner would have done better than if on the big board. - - - 106.9 101.5 110.l 101.4 - 108.3 - 96 . 6 95.1 93 . 3 83 .4 - 79.7 100.0 75.2 106.9 80.8 105.1 84.4 been purchased - on October 1, 1965, their he had bought the Dow Jones Industrials REAL ESTATE TRENDS AT A GLANCE % CHANGE fROM A YEAR AGO fACTOR NATIONAL REAL EST A TE SALES (Number of Transactions) MORTGAGE LENDING {Number of Loans Closed) (Dollar Volume) TOTAL BUILDING (Dollar Volume) RESIDENTIAL {NEW) {No. of Projects Started) (Dollar Volume) NON°RESIDENTIAL {NEW) {Dollar Volume) MARRIAGES EVICTIO NS NORTH EAST REGION I GREAT LAKES REGION 11 SOUTH REGION Ill PRAIRIE MOUNTAIN REGION IV PACIFIC WES·T REGION V 17.2 14.0 18.1 9.6 14.8 21.6 33.9 38.0 33.1 42.6 28.4 34.7 19.7 15.9 31.9 46.8 42.1 42.6 7.3 11.4 35.0 24.3 22 . 9 26.1 35.2 45.5 37.2 20.3 43.6 47.6 19.7 28.2 44 . 2 55.1 48 . 3 60 . 0 10.0 7. 7 1.8 15.0 3. 7 8.8 102.5 6.9 0.9 25.8 11. 7 1.1 9 .8 12.8 40 . 7 9.4 3.5 o.o Fi gures are based upo n extension to Nnti0nal and Regional Leve l s of act ual rates for QUARTER ending January 31, 1967 . �THE REAL ·ESTATE FORECAST AUTHORITY _ __ _ __ _ _ _ _ _ _ _ _ PAGE 5 SPECIAL RESEARCH REPORT A LOOK AT THE "MODEL CITIES" PROGRAM Last year, Congress passed legislation authorizing a new urban program to be administered by the Department of Housing and Urban Development (known as HUD). Originally known as the "Demonstration Cities Program," it was recently renamed the "Model Cities Program" to placate Congressmen who feared their constituents would think the bill encouraged civil rights marches and other "demonstrations!" Since this program may have important impacts upon big-city real estate markets, we will explore certain key aspects of it in this month's Special Research Report. The Model Cities Program was originally devised to counteract the following undesirable tendencies which had appeared in the Federal government's attempts to aid cities, especially large central cities: h 1. An enormous number of Federal programs were being administered by many different Federal --- and city --- departments without much coordination. A recent Office of Economic Opportunity manual lists over 250 Federal aid programs, most of which are applicable in cities ,. 2. Funds passed out under these programs tended to be widely dispersed over the urban landscape. Instead of really trying to upgrade a small area by focusing a whole battery of urban renewal, health, antidelinquency, manpower training, education and other programs on it, the Federal government was scattering its shots too broadly . Hence each slum received too little assistance to counteract the forces "naturally" dominant there. 3. Each program assisted with Federal funds tended to be the same in all parts of a city, and often all over the country, both because one set of Federal rules governed it and because big-city bureaucracies wanted to adopt "uniform and equal" policies in all neighborhoods. As a result, specific programs were often badly adapted to the peculiar needs of non-typica l neighborhoods, especially low-income ghettos. 4. A great deal of urban renewal assistance was designed not so much to eliminate blight or improve the living conditions of low-income re sidents, but to bolster the sagging economies of big-city downtown business districts. Thus the wealthy were the biggest beneficiaries, and the poor were merely shifted from one slum to another. These complex maladies demanded a complex remedy --- and that is just what the Model Cities Program is designed to produce. In fact , the Guidelines describing how t o apply for a gran t to plan (but not e xecute ) this program are over 50 pages long. Henc e we can only mention their most salient features here, before a n a l yz i ng some of their major implications. Part ic i pation in the program by any given city involves three stages. The pr e - application stage lasts unti l an application for a planning grant is completed a nd approved by HUD . No Fede r al financing is available for filling out an a pplica ti o n . Yet it is so complex that many cities have spent months at it and only four h ave formally filed applications (as of February 25, 1967). HUD is like l y t o disapprove of almost everyone's application at first until it is adjus t e d t o r easonable conformance with the many criteria described below. After HUD a ppr o v a l is obtained, the planning stage begins. This can last from si x to twe l ve mo nths, a n d can be financed up to 80% by HUD g rants (though the total a utho r ized to HUD for such planning is only $24 mil lion over two years). Fi n ally, for those few cities receiving final approval, the e x ecution stage a rr ives . In thi s s t age , each city will apply for normal Federal aid for specific �PAGE 6 _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ __ fk "1t,attu4t MARKET LETTER programs in the Model can get an additional otherwise have to put the Model Cities Area assistance. City Area (such as 2/3 financing for urban renewal), and "block grant" for up to 80% of the local share it would up. This bonus can be used for additional activities in which would otherwise not be eligible for Federal The myriad specific criteria which Model City plans must meet include the following major ones summarized from HUD's Program Guide: 1. The program must be comprehensive. Specifically, it should contain the following components: physical improvement, housing, transportation, education, manpower and economic development, recreation and cultural, crime reduction, health and social services and public assistance. 2. The program should provide for administrative machinery at the local level to carry out all its aspects on a consolidated and coordinated basis. Preferably, this means direct linkage to the mayor or other chief executive. 3. It should make a substantial impact on the physical, economic and social problems in the model neighborhood area. 4. It should remove or arrest blight and decay in the selected area or areas of the city. 5. It should be of sufficient magnitude to contribute to the sound development of the entire city. 6. It should make marked progress in reducing social and educational disadvantages, ill health, underemployment and lack of social services necessary to se·rve the poor and disadvantaged of the area. 7. It should provide for widespread citizen participation. 8. It should provide maximum opportunities for employing residents of the area in all phases of the program and enlarged opportunities for work and training~ 9. It should contribute to a well-balanced city with a substantial increase in the supply of standard housing of low and moderate cost. 10. It should contribute to a well-balanced city with maximum opportunities in the choice of housing accommodations for all citizens of all income levels. 11. It should contribute to a well-balanced city with adequate public facilities, commercial facilities a dequate to service the residential ar eas , and ease of access between residential areas and centers of employment. 12. I t should provide for a comprehensive plan for the r elocation of individuals, families, business concerns and nonprofit organizations. In addition, eac h program should requir e re-examination of local laws, be consis tent with comprehensive metropolitan-wide planning, be initiated within a short period of time (under five years), embody high standards of urban design , maintain historic sites, make maximum use of new technology, use cost- benefit analysis, conform to civil rights requir ements , encourage maximum private enterprise, not reduce previous local spending in the Model City area , and be backed by adequate local resources. �THE REAL ESTATE FORECAST AUTHORITY _ _ _ _ _ _ _ _ _ _ __ __ PAGE 7 In setting out this extraordinarily ambitious set of requirements, HUD is like a bachelor stating he will only marry a girl with Jacqueline Kennedy's poise, Jayne Mansfield's figure, Grace Kelly's face, Elizabeth Taylor's allure and Barbara Hutton's money! In fact, he would be fortunate to get any one of these charms, as HUD will be fortunate to get even a majority of its requirements actually met by any given city. Although each individual criterion seems justified, the group taken together constitute too radical a departure from present urban government practice to be fully achieved in any single city. Specifically, we believe that HUD's program will encounter five major obstacles and will have to compromise with them in many cases. These are as follows: 1. All three of the major objectives of the Model Cities Program --coordination, innovation and specific adaptation of programs to ghetto areas --- run counter to well-entrenched bureaucratic tendencies in city governments. City --- and Federal --- departments used to carrying out their own functions without much checking with each other will resist intimate cooperation in planning their programs. Moreover, innovation requires changing established behavior patterns, and few things are more difficult for large bureaucracies. Finally, the development of new programs tailored to the needs of ghetto residents, and different from programs in the rest of the city, will run counter to tendencies toward "equal treatment" and "uniformity" long established in some city departments. All three of these frictions will probably be greatest regarding bigcity schools. Many school boards are relatively free from direct political control by city governments; hence it will be hard for mayors to get them to change their ways to fit these criteria. Yet schools are the most important single public institution in almost all ghettos. They alone have the potential power to make up for many of the home deficiencies suffered by children from deprived families. He nce if they are not effectively integrated into the Model Cities Program in a city, and given part of its bonus "block grants," it cannot really achieve its major goals. So one of the key tactics for any city trying to make this program work must be convincing school authorities of the need to create new programs specifically designed for ghetto areas, including programs which use school buildings for many kinds of non-educational activities (such as recreation, social service distribution and adult vocational training) . 2. Concentration of leadership efforts on one Model City neighborhood will be necessary to make this program work; yet this contradicts the fundam e ntal "Law of Over-Dispersion" sacred to politicians. The desire to garn widespread political support naturally leads elected officials t o spread the benefits of any program to all areas under their jurisdiction, even though this causes a loss of the economic benefits of concentration. Hence city politicians will be sensitive to the charge of focusing too much attention on the Model City neighborhood, especially since it will be a low-tax-paying ghetto area. So they may provide only h alf - hearted leadership in support of such concentration. 3. Ev e n if local a r eas succeed in establishing coordination among th eir own city departments and related agencies, there is no guarantee that Fe d e r al age n cies will similarly cooperate in Washington. For example, whe n a city as k s for a grant from the Department of Health, Education and We l f ar e t hat is u r gently needed for its Model City Program, it may find itse l f at th e e nd of the long " normal processing line" along with a ll oth e r r equ ests, i ncludi n g those in no way associated with Model Citi es . �PAGE S_ _ _ __ _ __ _ _ _ _ _ _ _ _ _ _ fk ?tat«,,uzl MARKET LETT ER 4. In large cities, it will be impossible to simultaneously meet the two criteria of significant impact on the city as a whole and intensive impact in the Model City neighborhood . If an area is large enough to be a significant slice of the entire city, it will be too big for this program to effect intensively, since total Model City funds are quite limited. 5. The housing requirement in the Guidelines is ambiguous. At one point, it says that. the program must provide "a substantial increase in ·t11e supply of standard housing of low and moderate cost . " But in the next sentence, it says "The program should add to the overall supply of low and moderate-income housing, not decrease it . " The latter requirement is virtrially impossible, since any clearance of substandard and deteriorated units, or reduction in overcrowding, will cause a decline in total supply of low-income housing. Even building new public housing will probably not increase this total supply, though it could easily increase the standard supply . In spite of these drawbacks, the Model Cities Program is ' definitely a worthwhile experiment which could have significant long-run benefits if it is truly conceived of as a means of demonstrating techniques which will later be applied on a much larger scale . Specifically, it may create an incentive for at least some cities to do enough innovating, coordinating, concentrating and adapting of programs to particular needs to give local governments a "shot in the arm." But eventually this tiny shot must be followed by much larger appropriations than those as yet made for Model Cities if the lessons learned are to ·have any truly sizeable impact upon U.S . urban problems. (The Special Research Report series on Change in Modern Society will be continued in a later issue . ) - NO QUOTATION W ITHOUT PERMISSION - � Text A resource consisting primarily of words for reading. Examples include books, letters, dissertations, poems, newspapers, articles, archives of mailing lists. Note that facsimiles or images of texts are still of the genre Text. Text Any textual data included in the document THE NATIONAL PREPARED BY JAMES C. DOWNS, JR. Editor and Publisher Author ANTHONY DOWNS CHICAGO * NEW YORK * WASHINGTON, D.C. * DALLAS « ST. LOUIS * OMAHA Special Research Reports LOS ANGELES * SAN FRANCISCO * MINNEAPOLIS-ST. PAUL VOL. 21 —No. 11 $20.00 PER YEAR MARCH 1967 That's the absorbing question which is being debated vigorously by the business and investment communities as the economy feels its way cautiously into 1967. The difficulties of a definitive answer to the question first stated above lie in the apparent contradictions contained in the business and financial news as it unfolds day after day. For example: the rally in the stock and bond markets in the month of January seemed to be saying that the doubts and uncertainties of the year-end were really unfounded; that.1967 was going to be another strong year after all. And yet there was a nagging persistence to bearish bulletins about business itself. Automobile production was down 18% in January and 21.5% in the first half of February. Steel-making thus far in 1967 is off last year's pace, with mills currently operating at only 70% of capacity. Durable goods orders in January were down 5.1% from last year and business inventories were disturbingly high. Through it all the war_in Viet Nam keeps requiring more and more money: President Johnson's messages to the Congress point up the urgency of expanding the perimeters of the Great Society; unemployment in January held at the low level of 3.7% of the labor market (with many cities still below the "point-of-shortage") ; and wages are continuing their trend of the past six months. Although the rally in the bond and stock markets faltered in mid-February and bad news once again seemed to capture the spotlight of the public's attention, we have certainly not turned bearish. We still see no recession in the offing (by our definition) and we still would put 1967 in the "plus" column as a whole. , During most of the year 1966, financial and capital factors were in bad trend. The stock markets were sagging, the money markets were demoralized and the whole real estate sector of the economy was dispirited. Yet consumers were more numerous, more prosperous and more fully employed. And business was good indeed: In spite of the anomalous developments thus far in 1967, consumers are in better basic condition than they were a year ago: In most metropolitan areas, employment in this January was better than last year's. In all such areas, the average income of consumers is higher than it was at this time last year. And it is moving still higher! It is true that about’October 1, 1966, the chilling winds of doubt blew over the consumers of the U.S. with the result that their willingness to spend (not their capacity to spend) was momentarily curbed. While they waited to experience a resurgence of their buying enthusiasm, they increased their savings. In other words, they rested their buying oars and took advantage of the biggest inventory of their own goods in the history of the American family. But they did not change their fundamental habits! As spring comes --~- and if their incomes hold (we think they will) --- they'll get right back into the spending stream to take dvantage of the higher living standards which are within their grasp. And once they do that, we'll forget about the dwindling profits in the last quarter of 1966 and the first of 1967. e COPYRIGHT 1967 © Real Estate Research Corporation @ 73 West Monroe, Chicago, Illinois 60603 © Reproduction in whole or part prohibited. PAGE 2 the National MARKET LETTER REAL ESTATE ACTIVITY NOT ONLY FAILED TO TURN AROUND in the first month of 1967, but it slipped further into the doldrums which had marked the last months of 1966. One of the reasons that the year-to-year comparisons with the first month of 1966 look so bad is that --- if you remember accurately --- last year started out impressively on the strong side, at least in the major activity factors of local real estate markets, with sales, mortgage lending and new construction well ahead of the previous year, in most areas. Here is how these activity factors performed in the latest month for which complete national figures are available (January 1967): Real Estate Sales Off a little less than they were in December, sales for the nation were down 14.7% in January, with the following regional compar teas with the same month last year: Region Percent Change Northeast ------ +--+ +++ -°- 8.0 Great Lakes - =- - Ss -s © == = 5s 2s ss =< == Lad REAR oS CS ea Se te me ee a ese alee, ae | 6.2 Central Prairie and Mountain - -------- . 18.4 Pacific West ------2f fff fff 20.01 The reasons for the slow selling pace were not much changed from those which have prevailed in the past few months. The sharp drop in new home construction and completion was a major factor. Normally the sale of a new house results in from two to five sales of other dwelling units as occupants play a game of "musical chairs" in the upgrading process. No new houses; no occupancy shifts down the line. In addition, the promise of lower mortgage money rates (given wide publicity, especially since Selected NATIONAL Economic Indicators October) has caused many prospective = buyers of existing houses to wait for [VALUE OF DOLLAR (1939 = 100) 41.54¢ better terms. INDICATOR HOM A On On the income property side, the rapid drop in money rates acted to lower PRICES: realistic capitalization rates faster Wholesale Prices 1.5 0.3 than prospective buyers could adjust Building Costs 4.2 0.0 their sights. Moreover, improved Feat Eroci, Sree = Boe = a5 market conditions in most space markets onsumer Frices e . j i Dow Jones IndI’s (ds of 2/23) |-11.0|= 0.4 (especially in the Northeast, Great Lakes and South regions) caused poten- PRODUCTION, EMPLOYMENT, tial sellers to scent higher occupan- INCOME: cies and rentals --- thus causing them Total Production ae = hs to firm their ideas of value. Finally, Menvfocyrisg be 0.3 = a a rapidly rising stock market proved a hata Ueto 0.5 7 Res lure to speculators looking for a fast Construction Employment a, . 2 0.2 return on investment. Individual Income Wages Ee ae We look for unfavorable year-to-year 7 SSA: tat comparisons in the sales markets to emt ee 1a 4 1.6 continue for the first quarter of this ee ; = Sry bays year, after which we expect measurable Currency in Circulation 0.6 O.1 J ‘ Government Debt oT = D7 smprovement . Checks Cashed (Dollars) 15.4 4.6 2 Value of Dollar =t.2 0.0 Mortgage Lending Dats latest available for each factor. The national decline since last year in mortgage lending for the latest month THE REAL ESTATE FORECAST AUTHORITY PAGE 3 (January) was 33.5% in the number of mortgage loans closed and 42.4% in the total dollar volume of those loans. While mortgage money conditions con- tinued to improve, the actual volume of lending was still low, due to the highly selective and cautious nature of lenders returning to the markets. Here are the regional comparisons between the mortgage business in the latest month and that of the same month of 1966: Dollar Volume Number of Loans Region Percent Change Percent Change Northeast -------f-ffrccoc s0.1--+-+-+-- 29.6 Great Lakes - ------effef-e-o 43.l1---+e-+-- 2608 South - -----+--ff+f2f-+-77 0.4------ 22.3 Central Prairie and Mountain - - - 40.6 ----+-+- 29.7 Pacific West ----=---+ reece 46.8 ------ 42.1 It is obvious from the above statistics that, through the month of January at least, the improvement in mortgage money conditions was largely theoretical and technical rather than actual --- as far as real estate lenders and borrowers were concerned. As noted above, the drop of interest rates in the basic money markets during the month of January was a little less than remarkable. However, at the end of that month and all during February, these trends were reversed. Yields on treasury bills, municipals and corporates were up steadily, week-by-week in February. This yo-yo action of money rates in the first eight weeks of 1967 was not reflected in the mortgage money rate situation. Reason: the supply-demand ratio in the mortgage money markets did not parallel that in the basic money markets. Here were the differences: 1. The savings flow into real estate-oriented institutions was greatly improved over a year ago. On the other hand, mortgage demand (in the kind of loans scared lenders now consider acceptable) was disappointing. As a result, on balance, there was more money than there were loans. 2. In the basic money markets, demand held high and supply was not meaningfully improved. Money lenders found that they had under- priced their commodity and took a second look at their potentials. We see no particular "threat" in the February developments to the long-term trend of mortgage money. 1967 will continue to score improvements in this sector. New Construction One of the much-touted "bullish" factors cited by those who are optimistic about 1967 is the belief that the ailing home-building industry will stage a comeback in the year. So-called building stocks have shown outstanding strength on the nation's stock markets as speculators have hungrily snapped them up in anticipation of higher sales and earnings. These sentiments have not only been encouraged by the statistics of housing construction in the past three months (January housing starts were at a seasonally adjusted annual rate of 1,243,000 units --- up 14.6% from December and up a whopping 47% from last October's postwar low), but by the longer range prospects for a dramatic increase in the number of young married couples starting in 1968. PAGE 4 the Mational MARKET LETTER Certainly (as this Letter has pointed out for several months), the residential markets in most local areas have gained strength in virtually all local areas --- and are postured for a burst of new supply in many. In our opinion, the high expectations of the building industry (like those which have pushed savings and loan stocks skyward since last fall) tend to exaggerate the actual prospects for building profits --- either on the part of the developer or the materials manufacturer. The reason: the costs of money, materials, labor and land are such that development profits must await a higher general rental market to encourage and support a meaningfully higher volume of new construction. The real profits are to be made in the purchase of good, sound, well- located and well-designed existing property which will experience sharply enhanced earning power before a new building boom can get started. THE BIGGEST REAL ESTATE PROFITS IN THE PAST FIVE MONTHS: have been made in real estate stocks. Our readers will remember that we set up a Real Estate Stock Index in October of 1965. On that date we assigned the figure of 100.0 to the prices of these securities which prevailed on October 1, 1965. Here is the record of those values, monthly, since that date: Month 1965 1966 1967 January ~---- cc ttt rt 106.9 101.5 February --c fcr rt 7 tT cfr 110.1 March = --- ffs 57 77-7 C? 101.4 Aprigiie scsi SereS She? TS See ee 108.3 May ----c fcc trtcrtr ttc cco 96.6 June -=s=]|= 2s, 5-2. 2 Pk eee eo 95.1 II yos) =o S505 SSeS Seer Sar Ss 93.3 AUugUSt, = == = =p" =) =e ee 83.4 September - ----- tr trr rr 77 CDeut October = =|=---f-ftfrF-7+ 100.0 75.2 November’ .<.2.6.20=-S\5,)> Si53> == 106.9 80.8 December -------+c 77777 105.1 84.4 Even if these real estate stocks had been purchased on October 1, 1965, their owner would have done better than if he had bought the Dow Jones Industrials on the big board. *% CHANGE FROM A YEAR AGO - FACTOR PRAI warionar | NQEORT | SHECTONS | scSiow'in | MOUNTAIN | MEET REAL ESTATE SALES (Number of Transactions) 17.2 14,0 13.1 9.6 14.8 21.6 MORTGAGE LENDING (Number of Loans Closed) 33.9 33.1 28.4 19.7 31.9 42.1 (Dollar Volume) 38.0 42.6 34,7 15,9 46.8 42.6 TOTAL BUILDING (Dollar Volume) Tes 11.4 35.0 24.3 22.9 Zo) RESIDENTIAL (NEW) (No. of Projects Started) eke a7 ee 43.6 19.7 44,2 48.3 (Dollar Volume) 45.5 20.0 47.6 28.2 ee 60.0 NON-RESIDENTIAL (NEW) (Dollar Volume) 10.0 15.0 102.5 25.8 9,8 40.7 MARRIAGES 7.7 3.7 6.9 | 11.7 12.8 9.4 EVICTIONS 1.8 8.8 0.9 Lak 0.0 ca ae *Figures are based upon extension to National and Regional Levels of actual rates for QUARTER ending January 31, 1967. THE REAL ESTATE FORECAST AUTHORITY PAGE 5 SPECIAL RESEARCH REPORT A LOOK AT THE "MODEL CITIES" PROGRAM Last year, Congress passed legislation authorizing a new urban program to be administered by the Department of Housing and Urban Development (known as HUD). Originally known as the "Demonstration Cities Program," it was recently renamed the "Model Cities Program" to placate Congressmen who feared their constituents would think the bill encouraged civil rights marches and other "demonstrations!" Since this program may have important impacts upon big-city real estate markets, we will explore certain key aspects of it in this month's Special Research Report. The Model Cities Program was originally devised to counteract the following undesirable tendencies which had appeared in the Federal government's attempts to aid cities, especially large central cities: - 1. An enormous number of Federal programs were being administered by many different Federal --- and city --- departments without much coordina- tion. A recent Office of Economic Opportunity manual lists over 250 Federal aid programs, most of which are applicable in cities. 2. Funds passed out under these programs tended to be widely dispersed over the urban landscape. Instead of really trying to upgrade a small area by focusing a whole battery of urban renewal, health, anti- delinquency, manpower training, education and other programs on it, the Federal government was scattering its shots too broadly. Hence each slum received too little assistance to counteract the forces "naturally" dominant there. 3. Each program assisted with Federal funds tended to be the same in all parts of a city, and often all over the country, both because one set of Federal rules governed it and because big-city bureaucracies wanted to adopt “uniform and equal" policies in all neighborhoods. As a result, specific programs were often badly adapted to the peculiar needs of non-typical neighborhoods, especially low-income ghettos. 4. A great deal of urban renewal assistance was designed not so much to eliminate blight or improve the living conditions of low-income residents, but _ to bolster the sagging economies of big-city downtown business districts. Thus the wealthy were the biggest beneficiaries, and the poor were merely shifted from one slum to another. These complex maladies demanded a complex remedy --- and that is just what the Model Cities Program is designed to produce. In fact, the Guidelines describing how to apply for a grant to plan (but not execute) this program are over 50 pages long. Hence we can only mention their most salient features here, before analyzing some of their major implications. Participation in the program by any given city involves three stages. The pre-application stage lasts until an application for a planning grant is completed and approved by HUD. No Federal financing is available for filling out an application. Yet it is so complex that many cities have spent months at it and only four have formally filed applications (as of February 25, 1967). HUD is likely to disapprove of almost everyone's application at first until it is adjusted to reasonable conformance with the many criteria described below. After HUD approval is obtained, the planning stage begins. This can last from six to twelve months, and can be financed up to 80% by HUD grants (though the total authorized to HUD for such planning is only $24 million over two years). Finally, for those few cities receiving final approval, the execution stage arrives. In this stage, each city will apply for normal Federal aid for specific PAGE 6 the National MARKET LETTER programs in the Model City Area (such as 2/3 financing for urban renewal), and can get an additional "block grant" for up to 80% of the local share it would otherwise have to put up. This bonus can be used for additional activities in the Model Cities Area which would otherwise not be eligible for Federal assistance. The myriad specific criteria which Model City plans must meet include the following major ones summarized from HUD's Program Guide: 1. The program must be comprehensive. Specifically, it should contain the following components: physical improvement, housing, transporta- tion, education, manpower and economic development, recreation and cultural, crime reduction, health and social services and public assistance, 2. The program should provide for administrative machinery at the local level to carry out all its aspects on a consolidated and coordinated basis. Preferably, this means direct linkage to the mayor or other chief executive. 3. It should make a substantial impact on the physical, economic and social problems in the model neighborhood area. 4. It should remove or arrest blight and decay in the selected area or areas of the city. 5. It should be of sufficient magnitude to contribute to the sound development of the entire city. 6. It should make marked progress in reducing social and educational disadvantages, ill health, underemployment and lack of social services necessary to serve the poor and disadvantaged of the area. 7. #It should provide for widespread citizen participation. 8. It should provide maximum opportunities for employing residents of the area in all phases of the program and enlarged opportunities for work and training. 9. It should contribute to a well-balanced city with a substantial increase in the supply of standard housing of low and moderate cost. 10. It should contribute to a well-balanced city with maximum opportunities in the choice of housing accommodations for all citizens of all income levels. ll. It should contribute to a well-balanced city with adequate public facilities, commercial facilities adequate to service the residential areas, and ease of access between residential areas and centers of employment. 12. It should provide for a comprehensive plan for the relocation of individuals, families, business concerns and nonprofit organizations. In addition, each program should require re-examination of local laws, be consistent with comprehensive metropolitan-wide planning, be initiated within a short period of time (under five years), embody high standards of urban design, maintain historic sites, make maximum use of new technology, use cost-benefit analysis, conform to civil rights requirements, encourage maximum private enterprise, not reduce previous local spending in the Model City area, and be backed by adequate local resources. THE REAL ESTATE FORECAST AUTHORITY PAGE 7 In setting out this extraordinarily ambitious set of requirements, HUD is like a bachelor stating he will only marry a girl with Jacqueline Kennedy's poise, Jayne Mansfield's figure, Grace Kelly's face, Elizabeth Taylor's allure and Barbara Hutton's money! In fact, he would be fortunate to get any one of these charms, as HUD will be fortunate to get even a majority of its requirements actually met by any given city. Although each individual criterion seems justified, the group taken together constitute too radical a departure from present urban government practice to be fully achieved in any single city. Specifically, we believe that HUD's program will encounter five major obstacles and will have to compromise with them in many cases. These are as follows: 1. <All three of the major objectives of the Model Cities Program --- coordination, innovation and specific adaptation of programs to ghetto areas --- run counter to well-entrenched bureaucratic tendencies in city governments. City --- and Federal --- departments used to carrying out their own functions without much checking with each other will resist intimate cooperation in planning their programs. Moreover, innovation requires changing established behavior patterns, and few things are more difficult for large bureaucracies. Finally, the development of new programs tailored to the needs of ghetto residents, and different from programs in the rest of the city, will run counter to tendencies toward “equal treatment" and "uniformity" long established in some city departments, All three of these frictions will probably be greatest regarding big- city schools. Many school boards are relatively free from direct political control by city governments; hence it will be hard for mayors to get them to change their ways to fit these criteria. Yet schools are the most important single public institution in almost all ghettos. They alone have the potential power to make up for many of the home deficiencies suffered by children from deprived families. Hence if they are not effectively integrated into the Model Cities Program in a city, and given part of its bonus "block grants," it cannot really achieve its major goals. So one of the key tactics for any city trying to make this program work must be convincing school authorities of the need to create new programs specifically designed for ghetto areas, including programs which use school buildings for many kinds of non-educational activities (such as recreation, social service distribution and adult vocational training). 2. Concentration of leadership efforts on one Model City neighborhood will be necessary to make this program work; yet this contradicts the fundamental "Law of Over-Dispersion" sacred to politicians. The desire to gain widespread political support naturally leads elected officials to spread the benefits of any program to all areas under their juris- diction, even though this causes a loss of the economic benefits of concentration, Hence city politicians will be sensitive to the charge of focusing too much attention on the Model City neighborhood, especially since it will be a low-tax-paying ghetto area. So they may provide only half-hearted leadership in support of such concentration, Even if local areas succeed in establishing coordination among their own city departments and related agencies, there is no guarantee that Federal agencies will similarly cooperate in n_ Washington. For example, when a city asks for a grant from the Department of Health, Education and Welfare that is urgently needed for its Model City Program, it may find itself at the end of the long "normal processing line" along with a11 other requests, including those in no way associated with Model Cities. PAGE 8 the National MARKET LETTER 4. In large cities, it will be impossible to simultaneously meet the two @ criteria of significant impact on the city as a whole and intensive impact in the Model City neighborhood. If an area is large enough to be a significant slice of the entire city, it will be too big for this program to effect intensively, since total Model City funds are quite limited. 5. The housing requirement in the Guidelines is ambiguous. At one point, it says that the program must provide "a substantial increase in the supply of standard housing of low and moderate cost."' But in the next sentence, it says "The program should add to the overall supply of low and moderate-income housing, not decrease it." The latter requirement is virtually impossible, since any clearance of sub- standard and deteriorated units, or reduction in overcrowding, will cause a decline in total supply of low-income housing. Even building new public housing will probably not increase this total supply, though it could easily increase the standard supply. In spite of these drawbacks, the Model Cities Program is definitely a worth- while experiment which could have significant long-run benefits --- if it is truly conceived of as a means of demonstrating techniques which will later be applied on a much larger scale. Specifically, it may create an incentive for at least some cities to do enough innovating, coordinating, concentrating and adapting of programs to particular needs to give local governments a "shot in the arm." But eventually this tiny shot must be followed by much larger appropriations than those as yet made for Model Cities if the lessons learned are to have any truly sizeable impact upon U.S. urban problems. (The Special Research Report series on Change in Modern Society will be Ge continued in a later issue.) NO QUOTATION WITHOUT PERMISSION  Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Title A name given to the resource Box 22, Folder 2, Document 17 Box 22 Box 22 Folder 2 Folder topic: Confidential Task Force (Task Force on Cities) | 1966-1967 https://ivanallen.iac.gatech.edu/mayoral-records/traditional/files/original/7627eaca69958d3e49ee848bdde1773a.pdf 931583cffab938b739ea4d6b42d7a7a4 Scripto Transcription A written representation of a document. I DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT Reprinted from Federal Register - 31 F. R. p 8781-85 June 24, 1966 Title 24-HOUSING AND:HOUSING CREDIT Subtitle A-Office of the Secretary, Department of Housing an~ Urban Development PART 0-STANDARDS OF CONDUCT Pun,uant to and in accordance with sections 201 through 209 of Title 18 of ~he United States Code, Executive Orqer 11222 of May 8, 1965 (30 F.R. 6469), and Title 5, Chapter I, Part 735 of the Code of Federal Regulations, Part O is a dded to Subtitle A of Title 24 of the Code of Federal Regulations, reading as follows: Subpart A-Ger. •nt Provisions 0 Sec. Purpose. Definitions. Interpretation and advisory service. 0 .735-104 Notification to employees and special Government employees. 0.735-105 Remedial action. 0.735-106 Interest of employee's or special Government employee's relatives. 0 .735-101 0 .735-102 0.735-103 Subpart Ii-Conduct and Responsibilities of Employees !l.735-201 Basic principle. o·.'735- 202 Gifts, enterta.!nment, a nd favors. Outsid e activity. Financial Interests. Personal real esta te tra n sactions. Use of Inside information. Intermediaries and product recommendations. 0.735-208 Membership In organization.~. 0.735-209 Use of Government property. 0 .735-210 Indeb tedness. 0.735- 211 Gambllng, betting, and lotteries. 0.735-212 Gener al conduct; and conduct prejudicial to the Government. 0.736- 203 0 .735-204 0.735-205 0.735-206 0.735-207 Subpart C-Conducl and Responsibilities of Special Government Employees 0.735-301 Use of Government employment.' 0.735-302 Use of Inside information. 0 .735-303 Coercion. 0 .735-304 Gifts, entertainment, and favors. 0.735-305 Applicability of other provisions. Subpart D-Miscellaneous Statutory Provisions 0.735-401 Applicable statutory provisions. Subpc:rt E-Statements of Employment and Financial Interests 0 .735- 501 Submission of statements. 0 .735-502 Supplementary statements. 0.735-503 I nformation not known by em- ployees. Information prohibited. Review of statements. Confidentiality of statements. Effect or employee's statements on other requirements. 0.735-5-08 Specifl'C provisions !or special Government employees. Appendix-List of Positions Subject to Subpart E. 0.735-504 0 .735- 505 0.735-506 0 .735- 507 this part. He ~hall be responsible for coordinating the Department's counseling> services and for assuring that counseling and interpretations on questions Subpart A-Gener~I Provisions of conflicts of interest and other matters § 0.735-101 Purpose. covered by this part are available to desThe maintenance of unusually high ignated depnty counselors. He may standards of honesty, integrity, impar- form ad hoc committees to evaluate the tiality, and conduct by Government em- effe<;JJveness of the standards, or to conployees and special Government em- sider any new or unusual question arisployees is essential to assure the proper ing from their application. performance of the Government busi,oess and the maintenance of public . confi(b) Dep_yty fOUns~lors. Such de~tY dence. The avoidance of misconduct and conflicts of interest on the -part of counselors as, maY; be requj.red . shall be Government employees and special Gov- design!\ted to gi;ve llj_\,lthoritative advice ernment employees through informed andNUidance to current ang, prospective judgment is indispensable to the main- employees and special Goverrwient emtenance of these standards. To accord ployees on questions of confl,icts of-interwith these concepts, this part sets forth est and on other matters covered by .this the Department's regulations prescrib- part. ing standards of conduct and responsibilities, and governing statements of Notification to employees employment ahd financial interests for § 0.735-104 attd . special Gove~ment employees. employees and special Government The provisions of this part and all reemployees. visions thereof shall be brought to the § 0.735-102 Definitions. attention of and made available to: (a) Each employee and special Gov(a) "Department" means the Department of Housing and Urban Develop- ernment employee at the time of issuance and at least annually thereafter ; ment. .. (b) Each new employee and special (b) "Employee" means an officer or employee of the Department, but does Government employee at the time of em· not include a special Government em- ployment. ployee. (c) "Special Government employee" means an officer or employee of the De- § 0.735-105 Remedial action. partment appointed to serve with or A violat·on of this part by an employee without compensation, for not more than or special Government employee may be 130 consecutve days during any period of cause !or remedial or disciplinary action. 365 days, ori a full-time, part-time, or Such action may include, but is not limintermittent basis, and who is retained, ited to: design ated, appointed, or employed as a (a) Changes in assigned duties; special Government employee under the (b) Divestment by the employee or provisions of section 202 of Title 18 of special Government employee of his conthe United States Code. flicting interest; (d) "Person" means an individual, a (c) Disciplinary action, including corporation, a company, an association, separation, which may be in addition to a firm, a partnership, a society, a joint any penalty prescribed by law; or stock company, or a ny other organiza(d) Disqualification for a particular tion or institution. assignment. (e) "outside employment" · means all gainful employment other than the per- Remedial action, whether disciplinary or formance.. of official duties. It includes, otherwise, shall be effected in accordance but is not limited to, working for another with any applicable laws, Executive oremployer, the management or operation ders, and regulations. of a private business for profit <including personally owned businesses, partnerships, corporations, and other business § 0. 735-106 Interests of employee's or special Government employee's relaentities), and other self-employment. AUTHORITY: The provisions of this Part O issued under E.O. 11222 of May 8, 1965, 39 F .R. 6469, 3 CFR, 1965 Supp.; 5 CFR 785.10.f. tives. § 0. 735- 103 service, Interpretation and advisory (a) Department counselor. The General Counsel is design ated ·counselor for the Department and shall serve as the Department's designee to the Civil Service Commission on matters covered b:v For the purposes of this part, the int erest of a spouse, minor child, or a blood relative who is a full-time resident of an employee's or special Government employee's immediate household is considered to be an interest of the employee or - ~ J l l l ( I M ! l l ~ ~ e• . 4.ifi..,,.;11 .. �Subpart 8 -,-C'QRd\Jct and Responsibil.,i_ties of Employees § ~35- 201' Basic'principle. (a) Each e'i'nployee must realize that the --Government's basic and controlling purpose in employing him is the public interest, rather than his private or personal interest, and that he can never have a right of tenure that transcends the public good. He can properly be a Government employee only as long as it remains in the public ,interest for him to be one. Public trust and confidence in the integrity of the Government are para.mount. (b) (1) This basic principle applies with special force and effect in the Department of Housing and Urban Development, which deals directly with important segments of the public, and whose success depends upon public trust and confidence in its actions. The official actions of the Department often··have a direct bearing upon the financial and other interests of individuals, firms, and institutions with which it does business. Furthermore, the effective accomplishnient"oftnebepartmeWs ~sion is "si.gnifioa.ntly dependent u'pon a pubt\c image that engenders confidence in the Department's integrity. Accordingly, the avoidance of any involvement that tends to damage that image is a responsibility of exceptional importance for all employees who participate in or influence official operating determinations that affect the interests of those with whom the Department does business. (2) If there is knowledge of an employee's involvement in or association with circumstances reasonably construed to reduce public confidence in the acts or determinations of the Department, such knowledge may be sufficient cause for the initiation of action adverse to the employee. Employees, therefore, are alerted to the gravity with -which the Department will view. any such involvement, especially if it has to do with conflicts of interest or the compromise of integrity-whether real or only appar.ent. § 0.735-202 Gifts, entertain ment, and f avors. (a) Except as provided in paragraph (b) of this section, an employee shall not solicit or accept, directly or indirectly, any gift, -gratuity, favor, entertainment, loan, cir any other thing of monetary value, from a person who: (1) Has, or is seeking to obtain, cont r actual or other business or finan cial rela tions with the Department ; (2) Conducts operations or activities tha t a re regula ted by the Denartment: or (3) Has interests t h at m ay be substantially affect ed by the performance or nonperformance of the employee's official duty. (b) The prohibitions of p a ragraph (a ) of t his section do not apply t o: (1 ) The acceptance of customary business services fr om banks or other financial institutions if such services are obt ained under terms and conditions available to the general public; <2) Obvious family or personal relationships, such as those· between the employee __aµd his _parents, children, or spouse;· when the "circunistances make it clear that it i~ those relationships rather than , the busmess of the persons concerned which are the motivating factors; (3) The acceptance of food and refreshments of nominal value on infrequent occasions in the ordinary course of a luncheon or dinner meeting or other meeting or on an inspection tour where an employee may properly be in attendance; (4) The acceptance of unsolicited advertising or promotional. material, such as pens, pencils, note pads, calendars, and other items of nominal intrinsic value. (c) An employee_ shall avoid any action, whether or not specifically prohibited by the regulations in this part, which might result in, or create the appearance of: <1) Using public office for private gain; (2) Giving preferential treatment to any person; (3) Impeding Government efficiency or economy; (4) Losing complete independence or impartiality; or (5) Making a Government decision outside official channels. (d) An employee sha.11 not solicit contributions from another employee for a gift, or make a donation as a gift, when such gift is for an employee in a superior official position. An employee in a superior official position shall not accept a gift presented as a contribution from employees receiving less salary than himself. (e) An employee shall not accept a gift, present, decoration, or uther thing from a foreign government unless authorized by law. · § 0.73 5-20 3 Outs ide activity. (a ) An employee shall not engage in outside employment or other outside activity not compatible with the full a n d proper discharge of his duties and responsibilities as an employee of the Depar tment. Incompatible activities in clude but are not limited to: (1 ) Acceptan ce of a fee, compensa tion, gift, p a ym ent of expense, or any other thing of m onetary value in circumsta n ces in which acceptance may result in, or create t he appea ra nce of, a conflict of interest; <2) Employment which tends to impair his men tal or physical capacit y to perform h is official duties a nd responsibilities in a n acceptable manner ; (3) Activities that may be construed by t he p ublic to be t he official a cts of the Department; ' (4) Activities that establish relationships or propert y interests that may result in a conflict between his private inWl(e.s~ !l,nd ~ offici!l,l quti~I !qd,_t;J ,i-,t 2 1 -~ ~~::l!fuii>loyine~t taa.t,.rnr,y involve--'he · use of _information secured as a resuJ.t. · of employment in the Department to the detriment of the Department or the I public interest, or that may give prefer · ential treatment to any person , corpora.tiori, public agerfcy, or group. (b) An employee shall not receive a ny salary or anything of monetary value from a private source as compensa tion for his services- to the Government (18 U.S.C. 209). (c) Full- ti.me employees and par t time employees with a regularly scheduled tour of duty must obtain the prior approval of a designated personnel officer before engaging in outside employment in the following categories: -(1) Employment related to or similar to the substantive programs conducted · by any part of ·the Department. This includes but is n ot limited to the broad · fields of real estate, mortgage lending, property insurance, construction, construction financing, and land and real estate planning. (2 ) Employment tn the same professional field as t hat of t he individual's official position. (3 ) Employment with any person, . firm, or other private orga nization having business eit h er directly or indirectly with the Depe,rtment. (4) Employment by S tate, local, or other governmental body. (d) No f ull-time employee or parttime employee with a regularly'scheduled tour of duty shall maintain a publicly listed place of business without the prior approval of a designated personnel officer. (e) Except for employees subject to the r equirements of Subpart E of this part, approvals r equired by paragraphs (c ) a nd (d ) of this section shall be request ed on F orm HUD-843, Request f or Auth orization to Engage in Outside Employment and / or Statement of Fin ancial Interests. All . pertinent facts regardin g t h e proposed employment, such as the name of the employer, the n ature of the work to be performed, and the · amount of t ime involved, shall be set forth . (f) (1 ) Employees are encouraged to engage in teaching, lecturing, and writing thm 1s n ot prohibited by law, Executive order, or this part. However, an employee shall n ot, either for or without compensation, engage in teaching, lecturing, or writing that is dependent on -information obtained as a result of his employment by the Department, except when that information has been made available to the general public or will be made available on request, or when the Secretary or his designee gives written authorization for the use of nonpublic information on the basi...; that the use is in the public · interest. <2) An employee may use his name and title in connect\on with articles for publication which b'ear upon his work in the Department only if he obtains the approval of a designated personnel officer. �(g) This section does not preclude an employee from: (1) Accepting bona fide reimbursem<.int, unless prohibited by law, for actual expenses for travel and such other necessary subsistence as is compatible with this part for which no Government p ayment or reimbursement is made. However, an employee may not be reimbursed, and payment may not be made on his behalf, for excessi\Te personal living expenses, gifts, entertainment or other personal benefits. (2) Participating in the affairs of or accepting an award for a meritorious public contribution or achievement given by a charitable, religious, professional, social, fraternal, nonprofit educational and recreational, public service, or civic organization. (3) Participating in the activities of National ·or State political parties not proscribed by law. § O. 735-204 Financial interests. (a) An employee shall not : (1) Have a direct or indirect financial interest that conflicts, or appears to conflict, with his official duties and responsibilities. (2) Engage in, dfreetly or indirectly, a financial transaction as a result of, or prima.r ily· relying on, information ob~ taihed tgrpugh .bl~ emplo~ent by the Dep,11.rtment. (3) Acquire se~:urtties issued by thE: Feder&) National Mortgage Association. <4) Acquire ownership of. stock . or other interest in a rental project financed with an FHA insured mortgage as long as the insura.nce is in force. (5) Acquire ownership of FHA debentures or certifl.cates:of claim. (6) Acquire interest in a cooperative or condominium housing project financed under the National Housing Act if the interest is not for obtaining a home for himself or his family. <7) · Be an' officer or · director of any organization which is an FHA approved mortgagee or lending institution or which services mortgages or other securities for the Department. An employee may hold stock or shares in such organizations provided his official duties are such that the holding will not create or tend to create a conflict of interest. The prohi-bitions of this paragraph do not apply to Federal Credit Unions that have been approved as Title I lending institutions. (8) Participate directly or indirectly in any real estate activities for speculative purposes as distinguished from bona fl.de investment purposes. <b, This section does not preclude an employee from having a financial interest or engaging in financial transactions to the same extent as a private citizen not employed by the Department so long as it is not prohibited by law, Executive Order 11222, or this part. § 0. 735-205 actions. Personal real estate ll·ans- (a) Because the OP.erations of the Department are directly· related to individual real estate transactions, all Department employees must exerci~_the utmost care ,iJ:l the. handlµ11r..of~tmMr.Jeuons,l real estate activitits ...."E~i:>19'.$7~ rtful therefore .rewrt ,to a desighated ,tiersonnel offl,cer-the' folloWl,ng tiJ>es ~ tifrs~na.1 re~l esta~ transaction§ (~ the ~l'.,811Sac-· ti6I} involves FHA md.ttga'ge l n$.Urapce, the · report shall be fl.led at the tline the application for such insurance is fl.led~ other types of transactions shall" be:re.: ported at the time of cons~a,J;iah of the-transaction) : (1) Any purchase or sale of real property 1n which an employee has ari interest. ·c2) Any Title I property improvement loa~ obtained by the employee or in which he h as a financial ihter'est. In such case the employee must report 'the name of the lending institutlon and ·a description of .t he im_grovements being financed. (3). Any interest in a cooper.a,tive or condominium- housing "project financed under the National Housing. Act if jt involves a home for himself or.Jtls".family. (b) a ddition to ~he repor:ting:_ re-: quirements of paragrap)'l. Ca) of Uus, see"!{ t ion, employees shall , report ;all ·reru estate holdings other than those held person al residences. Cc) Except for employees subject to the requirements of SubPQrt E of 'this part, reports required 'tl\'V paragraphs (a) and (b) of this section shall be fl.led on Form HUD-843, Request for Authorization to Engage in Outside Employment and/or Statement of Financial Interests. In (b).rAn;emplqtee may~ designated to serve as, a liaison fepreseht4tiv1:. of the De,par.tment to a non-Federa1 or private organization provided ·that: 0) Th'e activity ·relates 'to the work M the Department. . (2) The employee does not participate by vote in the policy determinations of the organ~tion. (3) The Department Is in no way bound by any vote or action taken by the organization. §'°O. 735-209 Use of Government prop. erty. An employee shall not directly or In- directly use, or allow the use of Department property of any kind, including property leased to the Department, for other than officially approved activities. An employee has a positive duty to protect and conserve Govern,ment property, including equipment, supplies, and other property entrusted or issued to him. § 0.735-210 ·Indebtedness. An' employee shall pay each just finan- cial. obligation in a proper and ,timely m anner , especially one imposed by law, such as Federal, State, and local t axes. For the purpose of this section, "just financial obligation" means one acknowledged by the employee or reduced to judgment by a court, and "in a proper a nd timely manner" means in a manner which the Department determines does not, under the circumstances, reflect adveraly..loll> tmt, C]pvernmenff as his- amS 0.di'35.:..206 Use of idlide. irdormation. }Noyar. 1J:rotthe event· of a dispute. be• Excl!pt as provided _tp §"0 .,n5..:203 (f}, t;Jv.een aru employee anll. an aJ.!Egled credino employee shall giv~ pr 'use jnside· in- tor, this sootion ckles · riot · require · the formatio~ acquired by means of his posi~ Department to determine the l'Widity or tion to advance any private interest, the-. amount of the disputed debt.' particularly the priv·a te interests of himself, his family, associates, or friends. ·§ 0.'135:-211 Gambling, belting, and lotteries. For the purpose· of this section "inside information" means information ob- . An employee shall not participate, tained under Government authority but while on Government -owned or leased which has not become part of the body o! property or while on duty for the Departpublic information. ment, in any gambling activity includ§ ·o .735-207 Intermediaries and product ing the operation of a gambling device, in conducting a lottery or pool, in a game recommendations. for money or property, or in selling or No employee shall recommend or sug- purchasing a number slip or ticket. gest the use of any particular or identified nongovernmental intermediary to § 0.735-212 General conduct; and condeal with the Department nor shall he duct prejudicial to the Government, recommend any device or product tested Ca) Each employee shall conduct himby or for, or used by, the Department, self in a manner that facilitates the ef- , except as required by his official duties. fective accomplishment of the work of § O. 735-208 Membership in organiza- the Department, observing at all times tions. the requirements of courtesy, considera(a) An employee may not, in his offi- tion. and promptness in dealing with the cial capacity as an officer or employee of public and with persons or firms having the Department, serve as a member of business with the Department; Cb) An employee shall not engage in a non-Federal or private organization except where express statutory authority criminal, infamous, dishonest, Immoral, exists, or statutory language n-ecessarily or notoriously disgraceful conduct, or implies such authority. -However, 'an other conduct prejudicial to the Governemployee may serve in an individual ca- ment. pacity as a member of a non-Federal or Subpart C--Conduct and Responsibilprivate organization, provided that: ities of Special Government Em(1) His membership does not violate the restrictions noted in § 0.735-203; and ployees (2) His official title or organization connection 1s not shown on any listing § O. 735-301 Use of Government employment. or presented in a.ny activity of the orgaA special Government employee shall nizatior1 in such a manner as to im.,ply tQAt 9e Ii actin& In, h~ offlci~ capa.city. not use his Government employmeo.li!M as 3 �a purpose that is, or gives the appearance of being, motivated by the desire for private gain for himself or another person, particularly one with whom he has family, business, or financial ties. § 0. 735-302 . Use of inside information. (a) A special Government employee shall not use inside information obtained as a result of his Government employment for private gain for himself or another person either by direct action on his part or by counsel, recommendation, or suggestion to another person, particularly one with whom he has family, business, or financial ties. For the purpose of this section, "inside information" means information obtained under Government authority which has not become part of the body of public information. (b) Special Government employees may teach, lecture, or write in a manner consistent with the provisions of § 0.735203(!). § 0. 735-303 Coercion. A special Government employee shall not use his Government employment to coerce, or give the appearance of coercing, a person to provide financial benefit to himself or another person, particularly one with whom he h as family, business, or financial ties. § 0. 735-304 Gifts, entertainment, and favors. (a ) Except as provided in paragraph (b) of this section, a special Government empfoyee;-w hile so employed or in- connection with his employment, .shall not receive or solicit from a person having 'business with the Department anything of monetary value as a gift, gratuity, loan, entertainment, or favor for himself or another person, particularly one with whom he has family, business, · or financial ties. (b) The exceptions of § 0.735- 202(b), which are applicable to employees, are also applicable to special Government employees. § 0. 735-305 Applicability of o ther provisions. and conflicts of interest, as appropriate to the employees concerned. (c) The prohibition against lobbying with appropriated funds (18 U.S.C. 1913). (d) The prohibitions against disloyalty and striking (5 U.S.C. 118p, 118r). (e) The prohibition against the employment of a member of a Communist organization (50 U.S.C. 784). (f) The prohibitions against (1) the disclosure of classified information (18 U.S.C. 798, 50 U.S .C. 783); and (2) the disclosure of confidential information (18 u.s.c. 1905). (g) The provision relating to the habitual use of intoxicants to excess (5 u.s.c 640). Ch) The prohibition against the mis).lSe of a Ooverriment vehicle (5 u.s.c. 78(c)). m The prohibition against the misuse of the franking privilege (18 U.S.C. 1719). (j) The prohibition against the use of deceit in an examination or personnel action in connection with Government employment (5 U.S.C. 637). (k) The prohibition against fraud or false statements in a Government matter (18 u .s.c. 1001). (l) The prohibition against mutilating or destroying a public record (18 u.s.c. 2071). ' (m) The prohibition against counterfeiting and forging transportation requests 08 U.S.C. 508). (n) The prohibitions against (1) embezzlement of Government money or property (18 U.S.C. 641); (2) falling to account for public money (18 U.S.C. 643); and (3) ·embezzlement of the money or. property of another person in the possession of an emplo~ee by reason of his employment (18 U.S.C. 654). (o) The prohibition- against unauthorized use of documents relating to claims from or by the Government (18 U.S.C. 285). (p) The prohibition against proscribed political activities-The Hatch Act (5 U.S.C. 1181), and 18 U.S .C. 602, 603, 607, and 608. (a) Each special Government employe1 is subject to the provisions of Subpart E-Statements of Employ§§ 0.735-201, 0.735-208 through 0.735-212, ment and Fina ncial Interests and 0.735-508. (b) Each special Government em- § 0.735-501 Submission of statements. ployee shall acquaint himself with each (a) Not later than 90 days after the statute listed in Subpart D of this part. effective date of this part, each employee occupying a position designated in the Appendix shall submit to the reviewing Subpart D-Miscellaneous Statutory official specified in § 0.735-505, Form Provisions HUD-844, Statement of Employment and § 0.735-40_ 1 Applicable statutory provi- Financial Interests. (b) Each employee who enters on duty sions. after the effective date of this part in a Each employee shall acquaint himself position designated in the Appendix shall with each statute that relates to his ethical and other conduct as an employee submit to the reviewing official specified of ·t he Department and of the Govern- in § 0.735-505 a statement not later than ment. The attention of each employee 30 days after his entrance on duty or is directed to the following statutory 90 days after the effective date of this part, whichever is later. provisions: (c) Additions to, deletions from, and Ca) House Concurrent Resolution 175, 85th Congress, 2d Session, 72 Stat. Bl2, other amendments of the list of positions the "Code of Ethics for Government in the Appendix may be made from time to time as necessary to carry out the Service". '(b) Chapter 11 of Title 18, United purpcse of the law, Executive Order States Code, relating to bribery, gra.ft, 11222, and Part 735 of the Civil Service 4 Commission Regulations (5 CFR •Part 735). Such amendments are effective upon actual notification to the incumbents. The amended Ii.st shall be supmitted at least annually for publicatidn in the FEDERAL REGISTER. § 0.735-502 Supplementary statements. (a) Changes in, or additions to, the information contained in an employee's statement shall be repcrted to the appropriate reviewing official in a supplementary statement at the end of the quarter in which the change occurs. Interim memoranda reports shall be filed if required to meet the prior approval provisions of § 0.735-203 (c) and (d). or the requirements of § 0.735-205(a) concerning the timely reporting of real estate transactions. Financial interests or employment acquired during a quarter, but dispcsed of or terminated before the end of such quarter, shall constitute changes or additions to be repcrted at the end of such quarter. ·Q uarters end March 31, June 30, September 30, and December 31. If there are no changes or additions in a quarter, a negative report is not required. However, for the purpcse of annual review, a supplementary statement, negative or otherwi&.e, is required as of June 30 of each year. (b) A supplementary statement shall be submitted on Form HUD-844, and shall be designated "Supplem entary;'. A supplementary statement shall furnish all information required by an initial statement and by appropriate notation, shall indicate any changes. in, or a dditions to the information set out in the employee's initial statement or la.st supplementary statement. § 0.735-503 Information not known by e mployees. If any information required to be in- cluded on a statement or supplementary statement, including holdings placed in trust, is not known to the employee but is known to another person, the employee shall request that other person to submit infonnation in his behalf. § 0.735-50 4 Information prohibited. This subpart does not require an employee to 1'eport information relating to his connection with, or interest in, a professional society or a charitable, religious, social, fraternal, r ecreational, public service, civic, or political organization or a similar organization not conducted as a business enterprise. For the purpose of this section, educational and other institutions doing research and development or related work involving grants of money from or contracts with the Government are deemed "business enterprises" and a.re required to be included in an employee's statement. § 0.735-505 Review of statements. (a) Employees reporting directly to the Secretary shall submit their statements directly to the Secretary for review; employees reporting directly to the Under Secretary shall submit their statements directly to the Under Secretary for review. (b) Employees reporting directly to A(lsistant Secretaries shall submit their �I statements directly , to ~he · appropr1~e Assist.ant Secretary for revie-yl'; em,pJoyjes r eporting directly to the General ~ou·~ ei shall sut>mit their statements directJy W th~ general Counsel for review. · (c ) Employees not included, "in .p aragraph (a ) .or (b) of this section shall submit· their _statements directly to the appropriate Deputy Counselor. (d ) When a statement submitted under paragraph (b) or (c) of this section, or information from other sources, indicates a conflict between the interest of an employee and the performance of his official duties, and when the conflict or appearance of conflict cannot be resolved by the r eviewing official, he shall report the information concer ning t he conflict or appearance of conflict to the Secretary through the Counselor. The employee concerned shall be given an opportunity to explain the: conflict· or appearance of conflict before · any required remedial action is initiated. (c) The Secretary or his designee may waive the provisions of this sectioo in the case of a special Government employee who is not a consultant or an expert when it is determined that the duties'. of the position held by the special Gov~mment employee are of a nature and at such level of responsibility that the submission of a statement is not necessary to protect the integrity of the Government. For the purpose of this-parag1&p~ "81G!'s'tllt:ant..,, and '"expert" have the melmings given those terms by Chapter -~04 pf'the Federal Personnel Manual. This part was approved by the· Civil Service Commission on May 17; 1966. Effective date. This part shall be effective as of June 24, 1966. § 0. 735-506 ments. Officers a nd employees in the following positions are subject to the provis!,Pns of Subpart E of this p art : (a ) Employees p aid a t a level of the Federal Executive Sa lary Schedule est ablished by the Federal Executive Sa l ary Act of 1964, aa amended, except the Secretary,_who is subj ect to sep arate reporting requirements under section 401 of Executive Order 11222; (b) Employees in grade GS-16 or a bove of t he G enera l Schedule established by the Classiftc;:a tlon Act of 1949, rui amended, Of in com parable or high er p ositions not s ubject to t h at Act; and (c ) Employees in the followtng positions: Confide ntiality of - 81.!lte- After the review process has been completed, the statements submitted under § 0. 735-505 shall be promptly forwarded to the personnel office having custol of the employee's official personnel file . The statements shall be held In onfidence and retained, in) 1i.Iilitecl accef;S files.:· Information from a sfaU!ment may n ot be disclosed exc~t as t~e Secretary or his designee , or the c ivlr Service Commission may determine for good cause shown. · § 0.735-507 Effect of employee's statements on other requirements. The statements and supplementary statements required of employees are in addition to, and not in substitution for, or in derogation of, any similar requirement imposed by law, order, or regulation. The submission of a statement or supplementary statement by an employee does not permit him or any other per son to participate in a matter in which h is or the other person's participation is prohibited by law, order or regulation. § 0 :735-508 Specific provis ions for special Government employees. (a) Except as provided in p~ragraph (c) of this section, each special G overnment employee shall submit to, the reviewing official specified in § 0.735-505, Form HUD-844-A, Statement of Employment and Financial Interests, qot later than the time of his employment. He shall keep his statement current throughout his employment with the Department by the submission of supplementary sta-tem,ents. Cb) The provisions of §§ 0.735-503, 0.735-504, 0.735-506, and 0.735--=001 are applicable to a special GovemmJlht employee who is required to file a statement. ROBERT C. WEAVER, Secretary of Housing and Urban Development. APPENDIX-LIST OF POSITION S SUBJECT TO SUBPART E OFFICE OF T HE SECRETARY Deputy Director, Northwest Operations·. Regional Counsel. Chief, Rea l Estate Disposition, Division of Urba n Renewal. CJiiet, Rea l Esta t e Acquisition, Division of Urba n Renewal. ASSISTANT SECRETARY FOR MORTGAGE CREDIT A:i,JD F EDERAL HOUSING COM MISSIONER Federal Hou si n g Admi n is tration Departmental: Director of Complia nce Coordina tion. Director of Examination a nd Audit. Director, Audit Division. Director, Division of Genera l Services. Deputy . Director, DI vision of General Services. Chief, Procurement a nd Property Section, Division of Genera l Services. Director, Community Disposition Staff. Deputy Director, Community Disposition Staff . Fleid -Office Director, Community Disposition Staff. Seici: . Multifa mily Housing Representf!ti~. Director, Insuring Office. Deputy Director, .Insuring Office. Assistant Director (Chief of Opera tions)-. Chief Underwriter. Sta te Director (New York). Assistant State Dlrec:tor. F ederal N_aticmal M ortgage Association Departmental : Vice President. Loan Ma n a ger. Secretary- Treasurer. Controller. Director of Exa mina tion a nd Audit. Field : Agency Ma n ager. Assista nt Agency Man a ger. ASS I S TANT SECRETARY FOR METROPOLIT AN DE VELOPMENT Departmental: Departmental: _ Administrative Assistant ~ tl;le ~ Director, Urban Planning Assistance Dlrector, Low-Jnc~q,,11ow1n11, Dffi'fl!ltt'a-· Bra nch, Office of Pla nning Standards and tlon Staff, Office 9! ptog:r,m Polfcy. Coordina tion. Director , Dlvisic:q at Research DevelopDirector, Division of Aca d emic Facilities, ment, Office of Program Policy. Office of T echnica l Services. ' 'Director, Eq'Ual Opportunity Standard s a nd La nd and Facilities Development Adm,...ils Regulations Staff . t ration: Deputy Director, Compliance Divis ion. Director, Division of Senior Citizens HoueField Sup ervisory I n vestigators, Complia n ce lng. Division. Director, Division of Public F acilities Director, Audit D ivision, Office of AdminisGrants. tration. Direc t or, Division of Public Fac111tles Deputy .Director, Audit Division, Office of Loans. Administration. Dlr.ector, Division of Land Development. Field Supervisory Auditors, Audit Division, Director, Division of College Housing. Office of Adm).nistratlon. Director, Fin ance Standard s Sta ff . 'D irector, n t'illslon of F inan ce and Accounts, Deputy Director, Finance Stand ards Staff . Office of Admlnishation. · Urban Tra n spor t ation Admlnlst ra tlon : Dep uty Director, Division of F ina n ce and Positions a t GS-15 . Accounts, Office of Ad ministration. Director, Division of Gen eral Services, Office URBAN REN E WAL ADM INISTRATION of Admlnls.tratlon. Departm en tal : Director, Property Managemen t and ProDirector , Demonstr ation P rogra m Branch . curement Branch, Division of Gener a l ServDeput y Assistan t Comm issioner , Reh a biliices, Office of Administration. t a tion a nd Codes. Field: PUBLIC HOUSING ADMIN I S TRATION Deputy, Regional Administrator. , Reglonai Director of Administration. D ep artmen tal : Director, Division of Communit y F ac111tles. Director , Office Ser vices Branch . Deputy Director, Division of Commu nity Financin g Officer. FacU!tles/ .l"!eld : Director, Division of Urban Renewal. Regional Director. DeRuty_ Director, Division of Urban Re[F .R. Doc. 66---6930; F iled , J une 23, 1966; newat, 8 :48 a .m .J Director, Northwest Opera tlons . 5 U. S. GOVERNMENT PRINTING OFF ICE : 1966 0-223-092 � Text A resource consisting primarily of words for reading. Examples include books, letters, dissertations, poems, newspapers, articles, archives of mailing lists. Note that facsimiles or images of texts are still of the genre Text. Text Any textual data included in the document DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT Reprinted from Federal Register - 31 F.R. p 8781-85 June 24, Title 24—HOUSING AND HOUSING CREDIT Subtitle A—Office of the Secretary, Department of Housing and Urban Development PART O—STANDARDS OF CONDUCT Pursuant to and in accordance with sections 201 through 209 of Title 18 of the United States Code, Executive Order 11222 of May 8, 1965 (30 F.R. 6469), and Title 5, Chapter I, Part 735 of the Code of Federal Regulations, Part 0 is added to Subtitle A of Title 24 of the Code of Federal Regulations, reading as follows: Subpart A—Ger=rol Provisions Purpose. Definitions. Interpretation and advisory serv- ice. Notification to employees and special Government employees. Remedial action. Interest of employee's or special Government employee's rela- tives. Subpart B—Conduct and Responsibilities of Employees Basic principle. Gifts, entertainment, and favors. Outside activity. Financial interests. Personal real estate transactions. Use of inside information. Intermediaries and product rec- ommendations. Membership in organizations. Use of Government property. Indebtedness. Gambling, betting, and lotteries. General conduct; and conduct prejudicial to the Government, Subpart C—Conduct and Responsibilities of _ Special Government Employees 0.725-301 Use of Government employment. 0.735-302 Use of inside information. 0.735-303 Coercion, 0.735-304 Gifts, entertainment, and favors. 0.735-305 Applicability of other provisions. Sec, 0.735-101 0.735-102 0.735-103 0.735-104 0.735-105 0.735-106 0.735—201 0.735-202 0.785-203 0.735-204 0.735-205 0.735-206 0.735-207 0.735-208 0.735—-209 0.735—210 0.735—-211 0.735-212 Subpart D—Miscellaneous Statutory Provisions 0.735-401 Applicable statutory provisions. Subpart E—Statements of Employment and Financial Interests Submission of statements, Supplementary statements. Information not known by em- ployees. Information prohibited. Review of statements. Confidentiality of statements, Effect of employee’s statements on other requirements. Specific provisions for special Government employees. Appendiz—List of Positions Subject to Subpart E. 0.735501 0.735—502 0.735-503 0.735-504 0.735-505 0.735—506 0.735-507 0.735-508 1966 Avurnoniry: The provisions of this Part 0 issued under E.O. 11222 of May 8, 1965, 39 F.R. 6469, 3 CFR, 1965 Supp.; 5 CFR 735. 10%, Subpart A—General Provisions § 0.735-101 Purpose. The maintenance of unusually high standards of honesty, integrity, impar- tiality, and conduct by Government em- ployees and special Government em- ployees is essential to assure the proper performance of the Government business and the maintenance of public confi- dence. The avoidance of misconduct and conflicts of interest on the part of Government employees and special Gov- ernment employees through informed judgment is indispensable to the main- tenance of these standards. To accord with these concepts, this part sets forth the Department’s regulations prescrib- ing standards of conduct and responsi- bilities, and governing statements of employment and financial interests for employees and special Government employees. § 0.735-102 Definitions. (a) “Department” means the Depart- ment of Housing and Urban Develop- ment. (b) “Employee” means an officer or employee of the Department, but does not include a special Government em- ployee. (ec) “Special Government employee” means an officer or employee of the De- partment appointed to serve with or without compensation, for not more than 130 consecutve days during any period of 365 days, on a full-time, part-time, or intermittent basis, and who is retained, designated, appointed, or employed as a special Government employee under the provisions of section 202 of Title 18 of the United States Code. (d) “Person” means an individual, a corporation, a company, an association, a firm, a partnership, a society, a joint stock company, or any other organiza- tion or institution. (e) “Outside employment” means all gainful employment other than the per- formance. of official duties. It includes, but is not limited to, working for another employer, the management or operation of a private business for profit (includ- ing personally owned businesses, partner- ships, corporations, and other business entities), and other self-employment. § 0.735-103 Interpretation and advisory service. (a) Department counselor. The Gen- eral Counsel is designated Counselor for the Department and shall serve as the Department's designee to the Civil Serv- ice Commission on matters covered by this part. He shall be responsible for coordinating the Department’s counsel- ing services and for assuring that coun- seling and interpretations on questions of conflicts of interest and other matters covered by this part are available to des- ignated deputy counselors. He may form ad hoc committees to evaluate the effectiveness of the standards, or to con- sider any new or unusual question aris- ing from their application. (b) Depyty counselors. Such depyty counselors as,may be required. shall be designated to give authoritative advice and guidance to current and prospective employees and special Government em- ployees on questions of conflicts of-inter- est ey on other matters covered by this part. § 0.735-104 Notification to employees atid. special Government employees. The provisions of this part and all re- visions thereof shall be brought to the attention of and made available to: (a) Each employee and special Gov- ernment employee at the time of issu- ance and at least annually thereafter; (b) Each new employee and special Government employee at the time of em- ployment. § 0.735-105 Remedial action. A violation of this part by an employee or special Government employee may be cause for remedial or disciplinary action. Such action may include, but is not lim- ited to: (a) Changes in assigned duties; (b) Divestment by the employee or special Government employee of his con- flicting interest; (c) Disciplinary action, including separation, which may be in addition to any penalty prescribed by law; or (d) Disqualification for a particular assignment. Remedial action, whether disciplinary or otherwise, shall be effected in accordance with any applicable laws, Executive or- ders, and regulations. § 0.735-106 Interests of employee's or special Government employee’s rela- tives. For the purposes of this part, the in- terest of a spouse, minor child, or a blood relative who is a full-time resident of an employee's or special Government em- Dloyee’s immediate household is consid- ered to be an interest of the employee or eminence rane tamplopecs . Gili « Subpart B—Copduct and Responsibil- ities of Employees § 6735-201 Basie‘principle. (a) Each employee must realize that the--Government’s basic and controlling purpose in employing him is the public interest, rather than his private or per- sonal interest, and that he can never have a right of tenure that transcends the public good. He can properly be a Government employee only as long as it remains in the public interest for him to be one. Public trust and confidence in the integrity of the Government are paramount. (b) (1) This basic principle applies with special force and effect in the De- partment of Housing and Urban Develop- ment, which deals directly with impor- tant segments of the public, and whose success depends upon public trust and confidence in its actions. The official actions of the Department often-have a direct bearing upon the financial and other interests of individuals, firms, and institutions with which it does business. Furthermore, the effective accomplish- mient of the Department’s mNsion is sig- nificantly dependefit upon a public image that engenders confidence in the Depart- ment’s integrity. Accordingly, the avoid- ance of any involvement that tends to damage that image is a responsibility of exceptional importance for all employees who participate in or influence official operating determinations that affect the interests of those with whom the Depart- ment does business. (2) If there is knowledge of an em- ployee’s involvement in or association with circumstances reasonably construed to reduce public confidence in the acts or determinations of the Department, such knowledge may be sufficient cause for the initiation of action adverse to the employee. Employees, therefore, are alerted to the gravity with avhich the Department will view. any such involve- ment, especially if it has to do with con- flicts of interest or the compromise of integrity—whether real or only apparent. § 0.735-202 Gifts, entertainment, and favors. (a) Except as provided in paragraph (b) of this section, an employee shall not solicit or accept, directly or indirectly, any gift, gratuity, favor, entertainment, loan, or any other thing of monetary value, from a person who: (1) Has, or is seeking to obtain, con- tractual or other business or financial relations with the Department; _ (2) Conducts operations or activities that are regulated by the Department: or (3) Has interests that may be substan- tially affected by the performance or nonperformance of the employee's official duty. (b) The prohibitions of paragraph (a) of this section do not apply to: (1) The acceptance of customary busi- ness services from banks or other finan- cial institutions if such services are ob- tained under terms and conditions avail- able to the general public; (2) Obvious family or personal rela- tionships, such as those between the em- ployee. and his parents, children, or spouse, when the circumstances make it clear that it is those relationships rather than:the business of the persons con- cerned which are the motivating factors; (3) The acceptance of food and re- freshments of nominal value on infre- quent occasions in the ordinary course of a luncheon or dinner meeting or other meeting or on an inspection tour where an employee may properly be in attend- | ance; (4) The acceptance of unsolicited ad- vertising or promotional material, such as pens, pencils, note pads, calendars, and other items of nominal intrinsic value. (c) An employee shall avoid any action, whether or not specifically pro- hibited by the regulations in this part, which might result in, or create the ap- pearance of: (1) Using public office for private gain; (2) Giving preferential treatment to any person; (3) Impeding Government efficiency or economy; (4) Losing complete independence or impartiality; or (5) Making sa Government decision outside official channels. (d) An employee shall not solicit con- tributions from another employee for a gift, or make a donation as a gift, when such gift is for an employee in a superior official position. An employee in a su- perior official position shall not accept a gift presented as a contribution from employees receiving less salary than himself. Ce) An employee shall not accept a gift, present, decoration, or other thing from a foreign government unless au- thorized by law. § 0.735-203 Outside activity. (a) An employee shall not engage in outside employment or other outside ac- tivity not compatible with the full and proper discharge of his duties and re- sponsibilities as an employee of the De- partment. Incompatible activities in- clude but are not limited to: (1) Acceptance of a fee, compensa- tion, gift, payment of expense, or any other thing of monetary value in circum- stances in which acceptance may result in, or create the appearance of, a con- flict of interest; (2) Employment which tends to im- pair his mental or physical capacity to perform his official duties and responsi- bilities in an acceptable manner; (3) Activities that may be construed by the public to be the official acts of the Department; vi (4) Activities that establish relation- ships or property interests that may re- sult in a confilct between his private in- texests and his official duties; ang. ia 4t 2 , GS im ployment that,may involve he use of information secured as a resuli. of employment in the Department to the detriment of the Department or the public interest, or that may give prefer- ' ential treatment to any person, corpora- -tion, public agericy, or group. (b) An employee shall not receive any salary or anything of monetary value from a private source as compensation for his services to the Government (18 U.S.C. 209). : , (ce) Full-time employees and part- time employees with a regularly sched- uled tour of duty must obtain the prior approval of a designated personnel officer before engaging in outside employment in the following categories: ‘(1) Employment related to or similar to the substantive programs conducted ‘by any part of the Department. This includes but is not limited to the broad fields of real estate, mortgage lending, property insurance, construction, con- struction financing, and land and real estate planning. (2) Employment in the same profes- sional field as that of the individual’s official position. (3) Employment with any person, .firm, or other private organization hav- ing business either directly or indirectly with the Department. (4) Employment by State, local, or other governmental body. (a) No full-time employee or part- time employee with a regularly'scheduled tour of duty shall maintain a publicly listed place of business without the prior approval of a designated personnel officer. (e) Except for employees subject to the requirements of Subpart E of this part, approvals required by paragraphs (ec) and (d) of this section shall be requested on Form HUD-—843, Request for Authorization to Engage in Outside Employment and/or Statement of Fi- nancial Interests. All .pertinent facts regarding the proposed employment, such as the name of the employer, the nature of the work to be performed, and the amount of time involved, shall be set forth. (f) (1) Employees are encouraged to engage in teaching, lecturing, and writ- ing that is not prohibited by law, Ex- ecutive order, or this part. However, an employee shall not, either for or without compensation, engage in teach- ing, lecturing, or writing that is depend- ent on.information obtained as a result of his employment by the Department, except when that information has been made available to the general public or will be made available on request, or when the Secretary or his designee gives written authorization for the use of non- public information on the basis that the use is in the public interest. (2) An employee may use his name and title in connection with articles for publication which bear upon his work in the Department only if he obtains the approval of a designated personnel officer. (g) This section does not preclude an employee from: (1) Accepting bona fide reimburse- ment, unless prohibited by law, for actual expenses for travel and such other necessary subsistence as is compatible with this part for which no Government payment or reimbursement is made. However, an employee may not be re- imbursed, and payment may not be made on his behalf, for excessive personal living expenses, gifts, entertainment or other personal benefits. (2) Participating in the affairs of or accepting an award for a meritorious public contribution or achievement given by a charitable, religious, professional, social, fraternal, nonprofit educational and recreational, public service, or civic organization. (3) Participating in the activities of National or State political parties not proscribed by law. § 0.735-—204 Financial interests. (a) An employee shall not: (1) Have a direct or indirect financial interest that conflicts, or appears to conflict, with his official duties and re- sponsibilities. (2) Engage in, direetly or indirectly, 2, financial transaction as a result of, or primarily relying on, information ob- tained through his. employment by the Department. (3) Acquire securities issued by the Federal National Mortgage Association. (4) Acquire ownership of. stéck or other interest in a rental project financed with an FHA insured mortgage as long as the insurance is in force. (5) Acquire ownership of FHA deben- tures or certificates:of claim. (6) Acquire interest in a cooperative or condominium housing project fi- nanced under the National Housing Act if the interest is not for obtaining a home for himself or his family. (7) Be an’ officer or director of any organization which is an FHA approved mortgagee or lending institution or which services mortgages or other securities for the Department. An employee may hold stock or shares in such organizations provided his official duties are such that the holding will not create or tend to create a conflict of interest. The prohi- bitions of this paragraph do not apply to Federal Credit Unions that have been approved as Title I lending institutions. (8) Participate directly or indirectly in any real estate activities for speculative purposes as distinguished from bona fide investment purposes. (b) This section does not preclude an employee from having a financial inter- est or engaging in financial transactions to the same extent as a private citizen not employed by the Department so long as it is not prohibited by law, Executive Order 11222, or this part. § 0.735-205 Personal real estate trans- actions, (a) Because the operations of the De- partment are directly related to individ- ual real estate transactions, all Depart- ment employees must exercige the utmost care in the. handling ef ‘Wey Dersonal real estate activitits.“* teh therefore report to a designated nel officer the following types df Sera a real estate transactions (if the transaé- tidn involves FHA mdrtgage ingtrance, the'report shall be filéd at the tine the application for such insurance is filed; other types of transactions Shall be re- ported at the time of corisummation of the transaction) : (1) Any purchase or sale of real prop- erty in which an employee has an interest. (2) Any Title I property improvement loan obtained by the employee or in which he has a financial interest. In such case the employee must report the name of the lending institution and a description of the improvements being financed. (3). Any interest in a cooperative or condominium housing project financed under the National Housing. Act if it involves a home for himself orhis family. (b) In addition to the reporting. re- quirements of paragraph (a) of this sees tion, employees shall. report jall rea} estate holdings other than those held as personal residences. (c) Except for employees subject to the requirements of Subpart E of this part, reports required by paragraphs (a) and (b) ‘of this section shall be filed on Form HUD-843, Request for Authori- zation to Engage in Outside Employment and/or Statement of Fmancial Interests. § 0:735-206 Use of intide informwnation. “ Excépt as provided ip §°0.735-203(f), no employee shall give or’‘use inside in- formation acquired by means of his posia tien to advance any private interest, particularly the private interests of him- self, his family, associates, or friends. For the purpose of this section “inside information” means information ob- tained under Government authority but which has not become part of the body of public information. § 0.735-207 Intermediaries and product recommendations, No employee shall recommend or sug- gest the use of any particular or identi- fied nongovernmental intermediary to deal with the Department nor shall he recommend any device or product tested by or for, or used by, the Department, except as required by his official duties. § 0.735-208 Membership in organiza- lions. (a) An employee may not, in his offi- cial capacity as an officer or employee of the Department, serve as a member of a non-Federal or private organization except where express statutory authority exists, or statutory language necessarily implies such authority. However, ‘an employee may serve in an individual ca- pacity as a member of a non-Federal or private organization, provided that: (1) His membership does not violate the restrictions noted in § 0.735-203; and (2) His official title or organization connection is not shown on any listing or presented in any activity of the orga- nization in such a manner as to imply taat he is acting in, his official capacity, (b), -An.emplqyee may be designated to serve as a liaison representative of the Department to a non-Federal or private organization provided that: (1) The activity relates to the work 6f the Department. ; (2) The employee does not participate by vote in the policy determinations of the organization. (3) The Department is in no way bound by any vote or action takén by the organization. § 0.735-209 Use of Government prop- erty. An employee shall not directly or in- directly use, or allow the use of Depart- ment property of any kind, including property leased to the Department, for other than officially approved activities. An employee has a positive duty to pro- tect and conserve Government property, including equipment, supplies, and other property entrusted or issued to him, § 0.735-210 ‘Indebtedness. An employee shall pay each just finan- cial obligation in a proper and timely manner, especially one imposed by law, such as Federal, State, and local taxes. For the purpose of this section, “just fi- nancial obligation’’ means one acknowl- edged by the employee or reduced to judgment by a court, and “in a proper and timely manner” means in a manner which the Department determines does not, under the circumstances, reflect ad- verselyiom tha.@overnment as his. an- Pioyer. fInhthe event of a dispute be- tween amemptoyee and an alleged credi- tor, this seetion dpes. not require the Department to determine the walidity or the. amount of the disputed dabt. § 0.735-211 Gambling, betting, and lot- teries. An employee shall not participate, while on Government-owned or leased property or while on duty for the Depart- ment, in any gambling activity includ- ing the operation of a gambling device, in conducting a lottery or pool, in a game for money or property, or in selling or purchasing a number slip or ticket. § 0.735-212 General conduct; and con- duct prejudicial to the Government, (a) Each employee shall conduct him- self in a manner that facilitates the ef-, fective accomplishment of the work of the Department, observing at all times the requirements of courtesy, considera- tion, and promptness in dealing with the public and with persons or firms having business with the Department; (b) An employee shall not engage in criminal, infamous, dishonest, immoral, or notoriously disgraceful conduct, or gener conduct prejudicial to the Govern- ment, Subpart C—Conduct and Responsibil- ities of Special Government Em- ployees § 0.735301 ployment. A special Government employee shall not use his Government employmensise® Use of Covernment em- a@ purpose that is, or gives the appear- ance of being, motivated by the desire for private gain for himself or another per- son, particularly one with whom he has family, business, or financial ties. § 0.735-302 Use of inside information. (a) A special Government employee shall not use inside information obtained as a result of his Government employ- ment for private gain for himself or another person either by direct action on his part or by counsel, recommendation, or suggestion to another person, particu- larly one with whom he has family, busi- ness, or financial ties. For the purpose of this section, “inside information” means information obtained under Gov- ernment authority which has not become part of the body of public information. (b) Special Government employees may teach, lecture, or write in a manner cons sient with the provisions of § 0.735- 203(f). § 0.735-303 Coercion. A special Government employee shall not use his Government employment to coerce, or give the appearance of coercing, a person to provide financial benefit to himself or another person, particularly one with whom he has family, business, or financial ties. § 0.735-304 Gifts, entertainment, and favors. (a) Except as provided in paragraph (b) of this section, a special Government employee, while so employed or in con- nection with his employment, shall not receive or solicit from a person having ‘business with the Department anything of monetary value as a gift, gratuity, loan, entertainment, or favor for himself or another person, particularly one with whom he has family, business, or financial ties. (b) The exceptions of § 0.735-202(b), which are applicable to employees, are also applicable to special Government employees. § 0.735-305 Applicability of other pro- visions. (a) Each special Government em- ploye? is subject to the provisions of §§ 0.735-201, 0.735—-208 through 0.735—212, and 0.735-508. (b) Each special Government em- ployee shall acquaint himself with each statute listed in Subpart D of this part. Subpart D—Miscellaneous Statutory Provisions § 0.735-401 Applicable statutory provi- sions. Each employee shall acquaint himself with each statute that relates to his ethical and other conduct as an employee of the Department and of the Govern- ment. The attention of each employee is directed to the following statutory provisions: (a) House Concurrent Resolution 175, 85th Congress, 2d Session, 72 Stat. B12, the “Code of Ethics for Government Service”. (b) Chapter 11 of Title 18, United States Code, relating to bribery, graft, and conflicts of interest, as appropriate to the employees concerned. (c) The prohibition against lobbying with appropriated funds (18 U.S.C. 1913). (d) The prohibitions against disloyal- ty and striking (5 U.S.C. 118p, 118r). (e) The prohibition against the em- ployment of a member of a Communist organization (50 U.S.C. 784). ({) The prohibitions against (1) the disclosure of classified information (18 U.S.C. 798, 50 U.S.C. 783); and (2) the disclosure of confidential information (18 U.S.C. 1905). (¢) The provision relating to the habitual use of intoxicants to excess (5 U.S.C 640). (h) The prohibition against the mis- use of a Government vehicle (5 U.S.C. T8(c)). (i) The prohibition against the mis- use of the franking privilege (18 U.S.C. 1719). (j) The prohibition against the use of deceit in an examination or personnel action in connection with Government employment (5 U.S.C. 637). (k) The prohibition against fraud or false statements in a Government matter (18 U.S.C. 1001). (1) The prohibition against mutilat- ing or destroying a public record (18 U.S.C. 2071). ‘ (m) The prohibition against counter- feiting and forging transportation re- quests (18 U.S.C. 508). (n) The prohibitions against (1) em- bezzlement of Government money or property (18 U.S.C. 641); (2) failing to account for public money (18 U.S.C. 643); and (3) embezzlement of the money or, property of another person in the possession of an employee by reason of his employment (18 U.S.C. 654). (o) The prohibition against unauthor- ized use of documents relating to claims from or by the Government (18 U.S.C. 285). (p) The prohibition against pro- scribed political activities—The Hatch Act (5 U.S.C. 118i), and 18 U.S.C. 602, 603, 607, and 608. Subpart E—Staftements of Employ- ment and Financial Interests § 0.735-501 Submission of statements, (a) Not later than 90 days after the effective date of this part, each employee occupying a position designated in the Appendix shall submit to the reviewing official specified in § 0.735-505, Form HUD-844, Statement of Employment and Financial Interests. (b) Each employee who enters on duty after the effective date of this part in a position designated in the Appendix shall submit to the reviewing official specified in § 0.735-505 a statement not later than 30 days after his entrance on duty or 90 days after the effective date of this part, whichever is later. (ec) Additions to, deletions from, and other amendments of the list of positions in the Appendix may be made from time to time as necessary to carry out the purpose of the law, Executive Order 11222, and Part 735 of the Civil Service 4 Commission Regulations (5 CFR Part 735). Such amendments are effective upon actual notification to the incum- bents. The amended list shall be sub- mitted at least annually for publication in the FEDERAL REGISTER. § 0.735-502 Supplementary statements. (a) Changes in, or additions to, the information contained in an employee’s statement shall be reported to the appro- priate reviewing official in a supplemen- tary statement at the end of the quarter in which the change occurs. Interim memoranda reports shall be filed if re- quired to meet the prior approval provi- sions of § 0.735-203 (c) and (d), or the requirements of § 0.735-205(a) concern- ing the timely reporting of real estate transactions. Financial interests or em- ployment acquired during a quarter, but disposed of or terminated before the end of such quarter, shall constitute changes or additions to be reported at the end of such quarter. Quarters end March 31, June 30, September 30, and December 31. If there are no changes or additions in a quarter, a negative report is not re- quired. However, for the purpose of annual review, a supplementary state- ment, negative or otherwise, is required as of June 30 of each year. (b) A supplementary statement shall be submitted on Form HUD~—844, and shall be designated “Supplementary”. A supplementary statement shall fur- nish all information required by an initial statement and by appropriate notation, shall indicate any changes. in, or addi- tions to the information set out in the employee's initial statement or last sup- plementary statement. § 0.735-503 Information not known by employees. If any information required to be in- cluded on a statement or supplementary statement, including holdings placed in trust, is not known to the employee but is known to another person, the em- ployee shall request that other person to submit information in his behalf. § 0.735-504 Information prohibited. This subpart does not require an em- ployee to report information relating to his connection with, or interest in, a professional society or a charitable, reli- gious, social, fraternal, recreational, pub- lic service, civic, or political organization or a similar organization not conducted as a business enterprise. For the pur- pose of this section, educational and other institutions doing research and de- velopment or related work involving grants of money from or contracts with the Government are deemed “business enterprises” and are required to be in- cluded in an employee's statement. § 0.735-505 Review of statements. (a) Employees reporting directly to the Secretary shall submit their state- ments directly to the Secretary for re- view; employees reporting directly to the Under Secretary shall submit their statements directly to the Under Secre- tary for review. (b) Employees reporting directly to Assistant Secretaries shall submit their statements directly to the apenoprge Assistant Secretary for review; employges reporting directly to the General Counse shall submit their statements directly the General Counsel for revigw. — (c) Employees not included, in para- graph (a) or (b) of this section shall submit their statements directly to the appropriate Deputy Counselor. (d) When a statement submitted un- der paragraph (b) or (c) of this section, or information from other sources, indi- cates a conflict between the interest of an employee and the performance of his official duties, and when the conflict or appearance of conflict cannot be resolved by the reviewing official, he shall report the information concerning the conflict or appearance of conflict to the Secre- tary through the Counselor. The em- ployee concerned shall be given an op- portunity to explain the conflict or appearance of conflict before amy re- quired remedial action is initiated. § 0.735-506 Confidentiality of. state- ments. After the review process has been com- pleted, the statements submitted under § 0.735-505 shall be promptly forwarded to the personnel office having eusony, of the employee's official personnel /file. The statements shall be held in ¢on- fidente and rétained: in? limited access files. Information from a statement may not be disclosed except as the Secre- tary or his designee, or the Civil Service Commission may determine for good cause shown. § 0.735-507 Effect of employee's state- ments on other requirements. The statements and supplementary statements reauired of employees are in addition to, and not in substitution for, or in derogation of, any similar reauire- ment imposed by law, order, or regula- tion. The submission of a statement or supplementary statement by an employee does not permit him or any other person to participate in a matter in which his or the other person's participation is prohibited by law, order or regulation. § 0:735—-508 Specific provisions for spe- cial Government employees. (a) Except as provided in paragraph (c) of this section, each special Govern- ment employee shall submit to: the re- viewing official specified in § 0.735-505, Form HUD-844-A, Statement of Employ- ment and Financial Interésts, not later than the time of his employment. He shall keep his statement current through- out his employment with the Department by the peas of supplementary ents. (b) The provisions of §§ 0.735—503, 0.735-504, 0.735-506, and 0.735-507 are applicable to a special Government ém- ployee who is reauired to file a statement. (c) The Secretary or his designee may waive the provisions of this section in the case of a special Government employee who is not a consultant or an expert when it is determined that the dutieg of the position held by the special Govérnment employee are of a nature and at such level of responsibility that the submis- sion of a statement is not necessary to protect the integrity of the Government. For the purpose of this-paragrapi® “én sultant” and “expert” have the meanings given those terms by Chapter 304 of the Federal Personnel Manual. This part was approved by the Civil Service Commission on May 17, 1966. Effective date. This part shall be effective as of June 24, 1966. RoserT C. WEAVER, Secretary of Housing and Urban Development. APPENDIX—LIsT oF PosITIons SUBJECT TO Suppart E Officers and employees in the following positions are subject to the provisions of Subpart E of this part: (a) Employees paid at a level of the Federal Executive Salary Schedule established by the Federal Executive Salary Act of 1964, as amended, except the Secretary, who is sub- ject to separate reporting requirements under section 401 of Executive Order 11222; (b) Employees in grade GS-16 or above of the General Schedule established by the Classification Act of 1949, ag amended, or in comparable or higher positions not subject to that Act; and (c) Employees in the following positions: OFFICE OF THE SECRETARY Departmental: Administrative Assistant te the Seoretary. Director, Low-Incomg Mowing Demepetta- tion Staff, Office 9f Program Poljcy. Director, Division of Research Dévelop- ment, Office of Program Policy. Director, Equal Opportunity Standards and Regulations Staff. Deputy Director, Compliance Division, Field Supervisory Investigators, Compliance Division. Director, Audit Division, Office of Adminis- tration. Deputy Director, Audit Division, Office of Administration. Field Supervisory Auditors, Audit Division, Office of Administration. Director, Division of Finance and Accotints, Office of Administration. Deputy Director, Division of Finance and Accounts, Office of Administration. Director, Division of General Services, Office of Administration. Director, Property Management and Pro- curement Branch, Division of General Serv- ices, Office of Administration. Field: Deputy Regional Administrator, , Regional Director of Administration. Director, Division of Community Facilities. Deputy Director, Division of Community Facilitiesi Director, Division of Urban Renewal. Deputy. Director, Division of Urban Re- newal, Director, Northwest Operations. Deputy Director, Northwest Operations. Regional Counsel. Chief, Real Estate Disposition, Division of Urban Renewal. Chief, Real Estate Acquisition, Division of Urban Renewal. ASSISTANT SECRETARY FOR MORTGAGE CREDIT AND FEDERAL HOUSING COMMISSIONER Federal Housing Administration Departmental: Director of Compliance Coordination. Director of Examination and Audit. Director, Audit Division. Director, Division of General Services. Deputy .Director, Division of General Services. Chief, Procurement and Property Section, Division of General Services. Director, Community Disposition Staff. é Deputy Director, Community Disposition taf. Field Office Director, Community Disposi- tion Staff. Bield: : Multifamily Housing Representatiyp. Director, Insuring Office. Deputy Director, Insuring Office. Assistant Director (Chief of Operations). Chief Underwriter. State Director (New York). Assistant State Director. Federal National Mortgage Association Departmental: Vice President. Loan Manager. Secretary-Treasurer. Controller. Director of Examination and Audit. Field: Agency Manager. Assistant Agency Manager. ASSISTANT SECRETARY FOR METROPOLITAN DEVELOPMENT Departmental: Director, Urban Planning Assistance Branch, Office of Planning Standards and Coordination. Director, Division of Academic Faci"ties, Office of Technical Services. Land and Facilities Development Admuuais- tration: Director, Division of Senior Citizens Hous- ing. Director, Division of Public Facilities Grants. Director, Division of Public Facilities Loans, Director, Division of Land Development. Director, Division of College Housing. Director, Finance Standards Staff. Deputy Director, Finance Standards Staff. Urban Transportation Administration: Positions at GS-15. URBAN RENEWAL ADMINISTRATION Departmental: Director, Demonstration Program Branch. Deputy Assistant Commissioner, Rehabili- tation and Codes. PUBLIC HOUSING ADMINISTRATION Departmental: Director, Office Services Branch. Financing Officer. Field: Regional Director. {F.R. Doc. 66-6930; Filed, June 23, 1966; 8:48 a.m.] U.S. GOVERNMENT PRINTING OFFICE : 1966 0—223-092  Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Title A name given to the resource Box 22, Folder 2, Document 16 Box 22 Box 22 Folder 2 Folder topic: Confidential Task Force (Task Force on Cities) | 1966-1967 https://ivanallen.iac.gatech.edu/mayoral-records/traditional/files/original/c705c3230a81905211f1d5f4aa1dc6a3.pdf 41c78ed2bd76d5da19a174ecc59b669b Scripto Transcription A written representation of a document. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT 66-77 June 27, 1966 STAND.ARDS OF CONDUCT Several days ago you Standards of Conduct Reg ister on June 24, It is important that become familiar with received summary informat i on on the Department's revi sed regulatj_ons. The ret;ulatj_ons were published in the Federal and are reproduced in the i r ent i rety in the att achment. each employee carefully read all of the re5ulat ions and them. Informat i on concernj_ng reporting procedures and ot her i:mplementine; i nst ructions, i ncluding the designation of Deputy Counselors, will be issued shortly. In the meantime employees should give particular attent i on to the provisions of Sections 0.735-203 through 0,735-205, and be prepared t o file a report on any outside employment or other outside activity that requires author i zat i on, or financ i al or other :Lnterest that i s subject to disclosure. Unless you are occupy i ng a position subject to the provi si ons . of Subpart E of the regul at i ons, a report will be required upon rece i pt of implement i ng instructions if you - are engaged i n any outside employment or other outside act j_v i ty that i s subject to the prior approval provisions of Sect j_on o. 735-203( c) and (d), and such act i vity has not been reported previ ously. - have any unreported financial or other interests that are subject to the disclosure requi rements of Secti on O. 735-205(a). Employees subject to Subpart E will be given special i nstructions concerning t he f iling of the statements of employment and financ i al j_nterests required by o. 735-501. If an employee ( i nclud i ng an e mployee subject to Subpart E) is engag ed i n any outside employment or other outside act i vity or has a financial or othe r i.nterest that now i.s prohi bited by Sect j_ ons 0,735-203(a ) and (b) and 0,735-204(aY, and he cannot or doe s not termi nate such act i vi ty or interest by August 1, 1966, a report on or before that date i s required, desc r ibing the steps that he ha s taken t o conf orm with the referenced ·sections. The attent i on of all employee s i s called to Sect i on 0.735-106, whic h provide s that t he i nter e st of a spouse, minor child, or a blood relative who is a fulltime re sident of an employee's i mmed i ate househol d i s c ons id ered to be an i nterest of t he employee . Attachment � Text A resource consisting primarily of words for reading. Examples include books, letters, dissertations, poems, newspapers, articles, archives of mailing lists. Note that facsimiles or images of texts are still of the genre Text. Text Any textual data included in the document Se staff BULLETIN DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT 66-77 June 27, 1966 STANDARDS OF CONDUCT Several days ago you received summary information on the Department's revised Standards of Conduct regulations. The regulations were published in the Federal Register on June 2, and are reproduced in their entirety in the attachment. % is important that each employee carefully read all of the regulations and become familiar with them. Information concerning reporting procedures and other implementing instructions, including the designation of Deputy Counselors, will be issued shortly. In the meantime employees should give particular attention to the provisions of Sections 0.735-203 through 0.735-205, and be prepared to file a report on any outside employment or other outside activity that requires authorization, or financial or other interest that is subject to disclosure. Unless you are occupying a position subject to the provisions of Subpart E of the regulations, a report will be required upon receipt of implementing instructions if you - - are engaged in any outside employment or other outside activity that is subject to the prior approval provisions of Section 0.735-203(c) and (d), and such activity has not been reported previously. - have any unreported financial or other interests that are subject to the disclosure requirements of Section 0.735-205(a). Employees subject to Subpart E will be given special instructions concerning the filing of the statements of employment and financial interests required by 0.735-501. If an employee (including an employee subject to Subpart E) is engaged in any outside employment or other outside activity or has a financial or other . interest that now is prohibited by Sections 0.735-203(a) and (b) and 0.735-20hk(a), and he cannot or does not terminate such activity or interest by August 1, 1966, a report on or before that date is required, describing the steps that he has taken to conform with the referenced ‘sections. The attention of all employees is called to Section 0.735-106, which provides that the interest of a spouse, minor child, or a blood relative who is a full- time resident of an employee's immediate household is considered to be an interest of the employee. Attachment  Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Title A name given to the resource Box 22, Folder 2, Document 15 Box 22 Box 22 Folder 2 Folder topic: Confidential Task Force (Task Force on Cities) | 1966-1967 https://ivanallen.iac.gatech.edu/mayoral-records/traditional/files/original/5dcde257b5d8ee7c70ee506c9a0983a9.pdf bd1b80f0192fc7afff8e437fb408c906 Scripto Transcription A written representation of a document. ATLANTA , GEORGIA PH ON E JA. 2•4463 Ivan All e n , Jr. , Mayo r JtJaJr l~ v{ &~ q-,,,;, ir <'1tRw--- lt N/I . ([J~ ~ lf--AL_ � Text A resource consisting primarily of words for reading. Examples include books, letters, dissertations, poems, newspapers, articles, archives of mailing lists. Note that facsimiles or images of texts are still of the genre Text. Text Any textual data included in the document ATLANTA,GEORGIA  Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Title A name given to the resource Box 22, Folder 2, Document 14 Box 22 Box 22 Folder 2 Folder topic: Confidential Task Force (Task Force on Cities) | 1966-1967 https://ivanallen.iac.gatech.edu/mayoral-records/traditional/files/original/91fc4a2e9ccf574c0f4a86a23a066b88.pdf 47910c8d2c89efefc0f47a9ea833788c Scripto Transcription A written representation of a document. ATLANTA,GEORGIA PHONE JA. 2•4463 Ivan All en , Jr. , Mayor Bttadd lo.di, f tJ/4 j)~u-z 4ri � Text A resource consisting primarily of words for reading. Examples include books, letters, dissertations, poems, newspapers, articles, archives of mailing lists. Note that facsimiles or images of texts are still of the genre Text. Text Any textual data included in the document ATLANTA, GEORGIA “Bal tach 7 the Pf Veuf Custad feb, Pu. Ubyas bo Ed (2€b Py ub Shera Uap NC Osh, Dorn  Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Title A name given to the resource Box 22, Folder 2, Document 13 Box 22 Box 22 Folder 2 Folder topic: Confidential Task Force (Task Force on Cities) | 1966-1967 https://ivanallen.iac.gatech.edu/mayoral-records/traditional/files/original/b253e2ab38c8ed7d610d4fc628b45146.pdf ce47ff409c08576da4ba952183a7f57b Scripto Transcription A written representation of a document. ATLANTA,GEORGIA P H ONE JA. 2 . 4 4 63 ___- - ~ Ivan All en , Jr. , Mayor ~if l f~C:4,"/J0"' 1~ &,;,~?_ ~ I c~l~:.JJ ~ -_::-_- C&: i,rA r ~~ f R~ ~ /71{ I ~,'~;--/ - ----- -- ~ � Text A resource consisting primarily of words for reading. Examples include books, letters, dissertations, poems, newspapers, articles, archives of mailing lists. Note that facsimiles or images of texts are still of the genre Text. Text Any textual data included in the document ATLANTA, GEORGIA PHONE JA. 24463  Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Title A name given to the resource Box 22, Folder 2, Document 12 Box 22 Box 22 Folder 2 Folder topic: Confidential Task Force (Task Force on Cities) | 1966-1967 https://ivanallen.iac.gatech.edu/mayoral-records/traditional/files/original/e49e0a667d9a3b0f7cc0a42b6972fe85.pdf 4f4e6acf6314928fa5dd703138e8b730 Scripto Transcription A written representation of a document. ATLANTA,GEORGIA PHONE JA . 2•4463 l vao ~ M a y o, Jck/"4: ~ ~ � Text A resource consisting primarily of words for reading. Examples include books, letters, dissertations, poems, newspapers, articles, archives of mailing lists. Note that facsimiles or images of texts are still of the genre Text. Text Any textual data included in the document a a ATLANTA,GEORGIA Ivan Allen, Jr., Mayor dia Fy Uartid Seba vZ hiv i ag Pee Dec fs Choe fon 61 ~— a  Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Title A name given to the resource Box 22, Folder 2, Document 11 Box 22 Box 22 Folder 2 Folder topic: Confidential Task Force (Task Force on Cities) | 1966-1967 https://ivanallen.iac.gatech.edu/mayoral-records/traditional/files/original/26cdec2ac5c5b50f3bb87591c9bc0967.pdf a695150859bec7a98d2be323cd7dffc8 Scripto Transcription A written representation of a document. -I ~4/,.,. ~ I~ ~,l J" 'ti. ..... L/~~ - t~IJI 3 ~ (,;II ~ � Text A resource consisting primarily of words for reading. Examples include books, letters, dissertations, poems, newspapers, articles, archives of mailing lists. Note that facsimiles or images of texts are still of the genre Text. Text Any textual data included in the document  Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Title A name given to the resource Box 22, Folder 2, Document 10 Box 22 Box 22 Folder 2 Folder topic: Confidential Task Force (Task Force on Cities) | 1966-1967 https://ivanallen.iac.gatech.edu/mayoral-records/traditional/files/original/8eaa5e0df2155227abab40c5f25f4721.pdf 5d84bc362b6b73e790524657de8364d1 Scripto Transcription A written representation of a document. ATLANTA,GEORGIA PHONE JA . 2•44 6 3 Iva n All e n, Jr., Mayor l@p/ f ouJ. /1/kA, Ja/-o,; YIv, ~lr/2Rn · { ?itv, ~ /4/1. 1/et,1. t/tJ 12/L P/11-1-11 / ¥f -2,t/ld 31~ � Text A resource consisting primarily of words for reading. Examples include books, letters, dissertations, poems, newspapers, articles, archives of mailing lists. Note that facsimiles or images of texts are still of the genre Text. Text Any textual data included in the document ATLANTA, GEORGIA PHONE JA. 2-4463 Ivan Allen, Jr., Mayor Fore d Zi UA ne ae WW wu V/s usAlZen (War Ou lapy Neon Yuu rel é IY p2n / -~Z2¢69 Sr AU (aul fut thy Wh bey fru  Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Title A name given to the resource Box 22, Folder 2, Document 9 Box 22 Box 22 Folder 2 Folder topic: Confidential Task Force (Task Force on Cities) | 1966-1967 https://ivanallen.iac.gatech.edu/mayoral-records/traditional/files/original/cd218e5b525ee97a2b0b2a424b6fe30a.pdf d665d096d435432c6c67371f702eda11 Scripto Transcription A written representation of a document. UP" EST OC 25 66 - AP V8 PD - ,ae Affllo, 1¥.689 FAX WASHINGTON DC 25 2P EDT MCINOMBU IYM ALLEK, MAYOR · ATLA tEETING BEQtHS 91 f5 AM lNSTEM) Of" 10I 00 AM. FRID4Y~ OC-TOBE:/;; _. AS PIEYIOUSLY S.CHOUU.O 'f!Y' NR. QAITHD AND -- Mtt.- TlfISAKEtf -- ARDEE ANES ~-=,.k - ·~ {~?)~ - l} J. ,, vp_ -') / ,--"' 4 1 I -f/lA.i, t,(,, )1,/rv ;,143.215.248.55=-~' .1-'J ' <- '"" t\.., -~fJ 6 '"_ - "' k'-'..-" d. JJ/,# iU--rC(f/J , r ~ u Ivy)<-~-33,r.3 - / MRS DRLttMOND PJ 839P WIRE AM -. 1 270 ( 1- 5 1 ) · ---·- -- --····· --- ... .. . . ·-· - --, ...... . ..... ·--- ·. .... -· . ---~--- --· ··- -- � Text A resource consisting primarily of words for reading. Examples include books, letters, dissertations, poems, newspapers, articles, archives of mailing lists. Note that facsimiles or images of texts are still of the genre Text. Text Any textual data included in the document  Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Title A name given to the resource Box 22, Folder 2, Document 8 Box 22 Box 22 Folder 2 Folder topic: Confidential Task Force (Task Force on Cities) | 1966-1967 https://ivanallen.iac.gatech.edu/mayoral-records/traditional/files/original/93ccff60a32ea9a8148c643d740e0dc4.pdf 264a026f760a4554fb65df15d52329cb Scripto Transcription A written representation of a document. HUD-28 DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT (11 -65) TRANSMITTAL SLIP NAME ROUTE TO: ROOM 1. BUILDI NG Mr. Allen 2. 3. 4. 5. 6. 0 Action D As requl)8ted 0 Sunlmne D Approval D Signalnrc D Your information 0 Prepare reply for signature of REMARKS: Attached is the travel voucher for your trip to Washington 10/28 . Please sign, retain your carbon and return the origi nal t o me. Also att ached is a per diem claim s heet on which you may record any time devoted to this assignment duri ng the period 11/6- 19. I hope the personne 1 d ocument s arrived on schedu=e. FROM (Name) Mary Re Carlsen . FPI- LK- 3-22-66- 9M P ads-6007 I DATE 11/11 � Text A resource consisting primarily of words for reading. Examples include books, letters, dissertations, poems, newspapers, articles, archives of mailing lists. Note that facsimiles or images of texts are still of the genre Text. Text Any textual data included in the document DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT HUD-28 (11-65) TRANSMITTAL SLIP ROUTE TO: NAME ROOM BUILDING iL Mr, Allen 2. 3. 4. 5. 6. | Action (i) As requested (ma Surname UJ Approval O Signature CJ Your information LJ Prepare reply for signature of REMARKS: Attached is the travel voucher for your trip to Washington 10/28. Please sign, retain your carbon and return the original to mee Also attached is a per diem claim sheet on which you may record any time devoted to this assignment during the period 11/6-19. I hope the personnel documents arrived on schedu] FROM (Name) Mary Ro Carlsen DATE ley elt Leo T FPI--LK—3-22-66—9M Pads—6007  Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Title A name given to the resource Box 22, Folder 2, Document 7 Box 22 Box 22 Folder 2 Folder topic: Confidential Task Force (Task Force on Cities) | 1966-1967 https://ivanallen.iac.gatech.edu/mayoral-records/traditional/files/original/abc65bc8ce92774c58a4c66d5b359fe1.pdf bd3a9f8100fa3602291f9c217da93c11 Scripto Transcription A written representation of a document. FROM To: ArDEE AMES Members of Task Force For your infonnation there are further clippings on the UDC proposal. 1/9/67 � Text A resource consisting primarily of words for reading. Examples include books, letters, dissertations, poems, newspapers, articles, archives of mailing lists. Note that facsimiles or images of texts are still of the genre Text. Text Any textual data included in the document FROM To: ArDEE AMES Members of Task Force For your information there are further clippings on the UDC proposal. 1/9/67  Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Title A name given to the resource Box 22, Folder 2, Document 6 Box 22 Box 22 Folder 2 Folder topic: Confidential Task Force (Task Force on Cities) | 1966-1967 https://ivanallen.iac.gatech.edu/mayoral-records/traditional/files/original/a0ec4cfb49c1e58d314c95366c083306.pdf c56d71a79af572efd50470e7908ce7bd Scripto Transcription A written representation of a document. ~ '----CJ L-/ -- )-- f / - ! 7 - ;;z r ~- - I G � Text A resource consisting primarily of words for reading. Examples include books, letters, dissertations, poems, newspapers, articles, archives of mailing lists. Note that facsimiles or images of texts are still of the genre Text. Text Any textual data included in the document  Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Title A name given to the resource Box 22, Folder 2, Document 5 Box 22 Box 22 Folder 2 Folder topic: Confidential Task Force (Task Force on Cities) | 1966-1967 https://ivanallen.iac.gatech.edu/mayoral-records/traditional/files/original/f97321b2bf49235c9b4ff88bca712599.pdf 23215926b586db070f1ba7271ee483df Scripto Transcription A written representation of a document. @l f l b d ~ ~ ~ y#-- ATLANTA,GEORGOA ~ PSO,S ,s, M m (j))»-Ivan All en , -1))/tq Jr. , Mayor ~ J- I /VJ) PleM/~ 4t4n ~ ?tu I h;tiuc/a/4 (t4~ ~ !Ud4 hd/ Jt/V I /?/; - 1-t(}~ I � Text A resource consisting primarily of words for reading. Examples include books, letters, dissertations, poems, newspapers, articles, archives of mailing lists. Note that facsimiles or images of texts are still of the genre Text. Text Any textual data included in the document  Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Title A name given to the resource Box 22, Folder 2, Document 4 Box 22 Box 22 Folder 2 Folder topic: Confidential Task Force (Task Force on Cities) | 1966-1967 https://ivanallen.iac.gatech.edu/mayoral-records/traditional/files/original/1d328d9139a84131639e99c8f8dc6f69.pdf 457538e7c7ef63fa8200451568f72cb9 Scripto Transcription A written representation of a document. TELEPHONE MESSAGE / To _ _~-~ l'-"-'/:~ _ 1_·)___ /__- ___f _ _ _~Q '--__,._-y"'--"___ ~'---) '-J - N a m e - - - - - - - - - - - - -I -\ +---Telephone No._ _ _ _ _ _ _ _ _ _ _ _ _ _ __ D D D D D Wants you to call Returned your call Left the following message: Is here to s ee you Came by to see you ¼ [y,_c1L; ../ ~ 7 J 1 ·_ 1 ( I Da te :_ __ __ _ _ __ _ Time _ __ _ _ _ a. m. / p. m. By---- - - -- - - - - - - - - - -- - - -F0RM 25•5 � Text A resource consisting primarily of words for reading. Examples include books, letters, dissertations, poems, newspapers, articles, archives of mailing lists. Note that facsimiles or images of texts are still of the genre Text. Text Any textual data included in the document Office of the’ Mayor TELEPHONE MESSAGE / To et BL 3k Name + L| a nd ~ Telephone No. [_] Wants you to call [_] Is here to see you [_] Returned your call [_] Came by to see you [_] Left the following message: 2 4p Bec’ / f Date: Time By a.m. /p.m. FORM 25-5  Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Title A name given to the resource Box 22, Folder 2, Document 3 Box 22 Box 22 Folder 2 Folder topic: Confidential Task Force (Task Force on Cities) | 1966-1967 https://ivanallen.iac.gatech.edu/mayoral-records/traditional/files/original/7731650ffcbc9158cc30b1af006dc989.pdf 8ecb8355c96a07b0c922e12fd916a371 Scripto Transcription A written representation of a document. _UNION . ' IE 1'A008" COVT PP VUX TK[ Rlff ROUSE V.ASKINGTOff DC 3 NJT ROKOP.ABLE lV'Ml ALt.EN, MAYOR OF A1'LAHTA l! DON'T !lVR. ATLANTA '" PLEASJ: CORFIR.M YOUR ATTENDAl'fCt AT TAS?: FORCE MaTlll~S ON 'ff.BRUARY 9 l 10. dJtsTS VILL JNCLJ.n}E FRAlllt RtCSSMAN N'V c;ARTH. KAN<:UM __ AS VELL ltS REPR.ESDITATiffS Of T1I'£' COUNCIL ECOIIOMlC ADVISERS AND OTHl:R AC:DfCIES. MI:EnHc 'l:IEC:tlfS te-ioo A.N., Ollf TJn:JRS!>AT JWOK 47•, IlffilAtl TUAT'f ROOMJ Aft» AT ~ ~ ·ntot\T ROOPI • A.M.-; .,, .. R.tCH.ARD C LEONt. ~9._ & 10 •' -., ... 1270 _.,_ . { 1- 5 1) ..; .. . . ·~ .. . ... � Text A resource consisting primarily of words for reading. Examples include books, letters, dissertations, poems, newspapers, articles, archives of mailing lists. Note that facsimiles or images of texts are still of the genre Text. Text Any textual data included in the document  Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Title A name given to the resource Box 22, Folder 2, Document 2 Box 22 Box 22 Folder 2 Folder topic: Confidential Task Force (Task Force on Cities) | 1966-1967