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Posted: 07.02.02 @ 1:20 p.m.
Bush Building Houses: What's Up?


Something strange appeared in the middle of the "war on terrorism" and homeland security preparations. George Bush proposes to spend $200 million a year in subsidies to Fannie Mae and Freddie Mac to help 400,000 families with the down payment and closing costs on a home and to provide tax credits to encourage home builders to build homes for 200,000 low- and moderate-income families, all by 2010. This plan, targeted to minority home buyers, is designed to increase the number of homeowners to 5.5 million by that time.

Urban policy has traditionally been a favorite whipping post for Republicans as attested to by the dismal record of Jack Kemp as secretary of Housing and Urban Development during the first Bush administration. Despite the various programs for micro-enterprise, capitalizing housing and others, his boss paid scant attention to him, although Kemp won over some skeptics because of his earnestness.

The point here is politics and it usually is that during a campaign year. To begin with, Bush's popularity has fallen from the high of 88 percent last September after 9/11 to 75 percent now, signs that his job-approval rating is loosing some steam as the elections come into view. And even conservatives in his own party feel that he is spending his declining political capital mostly on the war, not their domestic agenda and as such, clouding their chances for election if he doesn't have any coattails. Some conservatives also have opposed some of his initiatives dealing with global warming, FBI surveillance, immigration and other issues connected with domestic security.

So, Bush has gone on the offensive with some handholding. He has promised grumbling House Republicans that he will hit the campaign trail and raise $20-$30 million for their campaigns and support their issues, such as making tax cuts permanent, preventing cloning, aiding religious charities and others. Nevertheless, throwing in the domestic issue of housing is a surprise because that is not on the conservative list.

What's going here is the plan of Karl Rove, Bush political strategist, to reach out to Blacks by co-opting some traditional Democratic issues such as housing. Rove apparently lost a computer disc in Layafette Square, an area near the White House, which contained an analysis and a plan for the Fall national campaign goals. A look at the plan, completed on June 4 by Rove and Kenneth Mehlman, another White House political affairs official, is revealing.

This secret document anticipates the Democrats' campaign attack on Bush's domestic record and retaliates by promoting his "compassionate agenda-Education, Welfare, Faith…." Also, it would "mobilize GOP base, reach out to Hispanics, unions and African Americans." The plan also intends to "grow" the Hispanic constituency and "improve" the African American support for Republican candidates. It also suggests that the sentiments expressed by Charles Rangel, ranking Black Democrat on the Ways and Means Committee, should be opposed. Rangel called Clinton, "the last elected president of the United States" and said, "it is our job to say that we're not getting over Florida."

In response, George Bush has pulled out his track shoes and started campaigning on housing and others issues. For example, he made the housing theme the central issue of his regular Saturday radio address recently and launched the idea for his housing program in an Atlanta inner city neighborhood. This focus on domestic strategy is consistent with other actions, such as going to Florida to support his the reelection campaign of his brother, Gov. Jeb Bush, by announcing a plan to buy back $235 million inoffshore oil and gas drilling leases on the Florida coastline. He also went to Iowa to announce the popular $190 billion farm support measure, and he imposed tariffs of 30 percent on imported steel, an action popular in West Virginia and Pennsylvania.

In all of those states, there are critical elections. And if you look at the line of states in the South-from Virginia, to North and South Carolina and Georgia-Blacks could be the pivotal vote for Republican victories. Republicans have always had a marginal Black vote strategy and this could help.

By the way, I didn't see an emphasis on housing in the priorities rolled out by Senate Democrats a few weeks ago, so this proposal is also competitive if it gets much play.

Regardless of its political intent, with White home ownership at 72 percent and Black home ownership at 48 percent, it's a good thing if it comes to pass. Just watch what is behind it and don't go for the whole nine yards.

Ron Walters is Distinguished Leadership Scholar, Professor of government and Politics at the University of Maryland and author of six books, the latest: African American Leadership.

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