Box 18, Folder 11, Document 41

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oe cy EE SLE Mt oS A Seay

April 21, 1967


To: Mr.Dan E. Sweat, Jr.
Director of Governmental Liaison

From; Malcolm D. Jones
Supervisor of Inspection Services

Pursuant to our brief discussion this morning, the following is
a concise list of major problems currently being encountered in
the low-cost housing program (for more detail see copy of my
letter of April 12 to Cecil Alexander).

1. Difficulty for developers to find land suitably zoned
and at prices which make low-cost housing development
economically feasible.

2. NAACP objection to sites proposed in areas which they
consider occupied predominately by Negroes.

3. Support of the NAACP position by the Intergroup Relations
Section of the Regional Office of HUD, with apparently the
backing of HUD at the Washingtonllevel.

4. FHA reluctance to approve locations which they consider
might offer competition to development of Rockdale; also
constant and extreme conservatism against over building
in any area until each development is actually tested as
to marketability; plus the overflow effect of the difficulty
explained in 2 and 3 above, although no directive to that
effect appears to have yet actually reached the local FHA

Mr. Sweat
Page Two
April 21, 1967

Neighborhood resistance by home owners, peuceethy't to
apartments going anywhere near them.

Reluctance of the Board of Aldermen to rezone suitable
areas because of neighborhood objections.

Reluctance of the Planning Department to recommend
rezoning of necessary areas because of inconsistency with
previously adopted plans in most areas.

Difficulty in keeping developers interested in view of the
combination of the above listed problems.

Slowness of non-profit groups to sponsor projects (a
mandatory provision of the 221 d (3) low-interest rate

Malcolm D. Jones
Supervisor of Inspection Services

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