Duncan Faircloth: “I rise today to speak about HUD's attempts over the past few years to regulate property insurance under the Fair Housing…”

“I rise today to speak about HUD's attempts over the past few years to regulate property insurance under the Fair Housing Act. Let me state for the record that I am committed to strict enforcement of the Fair Housing Act and its prohibitions against discrimination in housing. The Fair Housing Act is one of the basic tenets of our country's civil rights laws. Where outright discrimination in housing is found, enforcement must be swift and strong. However, my concerns stem from two issues. First, HUD lacks the authority to regulate property insurance. Second, regulation of property insurance is already being done by the States. The Fair Housing Act makes it unlawful 'to discriminate against any person in the terms, conditions, or privileges of sale or rental of a home . . . Because of race.' The language goes on to refer to the services provided by mortgage bankers and real estate brokers. Nowhere in the language does the act refer to property insurance. The Fair Housing Act does not specifically relate to the business of insurance. Courts have held that Congress never intended the Fair Housing Act to apply to insurance. HUD is clearly overstepping its authority by pursuing any regulation in this area.”