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Testimony of

march 9, 2000

The American Legion appreciates the opportunity to submit its views for the record on the status of public and private sector initiatives to end homelessness among veterans.

The American Legion’s views on public sector attempts to assist homeless veterans are well documented in the records of numerous other Congressional hearings. Therefore, while we will not dwell on that subject, we must, nonetheless, again voice our concern over the past reluctance of Congress to fund one federal program that has a proven track record of assisting homeless veterans in breaking the cycle of homelessness.

Like most other groups that work with homeless veterans and/or who advocate for them, The American Legion firmly believes that the key to ending homelessness among veterans lies in assisting those veterans in becoming job ready and then in assisting them in finding suitable employment. Unfortunately, very few homeless veterans’ programs offer an employment component. As a result, veterans all too often remain homeless when a small investment in their futures would provide the hand up necessary for them to once again become productive members of society.

Title IV (c) of the Job Training Partnership Act (JTPA), which is operated by the Department of Labor (DoL), does place homeless, unemployed veterans in jobs. However, another DoL program, the Homeless Veterans Reintegration Project (HVRP), is the only federally funded program that is focused strictly on preparing homeless veterans for employment and on successfully placing them in jobs.

Through HVRP, grants are awarded to community-based organizations and private sector contractors that assist homeless, unemployed veterans in finding and sustaining employment. During FY ’99, DoL statistics indicate that the average cost per placement was between $900.00 and $1500.00. In view of the fact that placements under HVRP are approximately 25 percent of what they cost under JTPA, this is a very cost-effective program.

In order to find suitable employment, homeless veterans must overcome significant and real barriers. These barriers often include such things as not having the training needed to compete for certain jobs; not having the proper clothing for a job interview; or not having the tools to ply their trade. HVRP addresses these types of issues

and helps homeless, underemployed veterans get off welfare rolls and onto tax rolls.

In other words, HVRP is not a handout, but rather, it is an investment in the veteran and an investment in this country’s economy. Considering the average cost per placement, Uncle Sam generally recoups his investment within a year.

Since its inception, HVRP has been authorized $10 million per year. However, between FY 1992 and FY 1999 it never received an appropriation of more than $5 million. Furthermore, during two of those years, the program received no funding at all. During the past two fiscal years, HVRP received a mere $3 million per year.

HVRP received a significant increase in funding for this fiscal year—slightly over $9 million—and we understand that the President has requested $15 million for FY 2001. The American Legion urges Congress not to allow any slippage in next year’s funding for HVRP. With proper funding, HVRP can begin to reach its full potential of being a cost effective tool for ending homelessness among veterans.

With respect to private sector initiatives, The American Legion is proud to report that many of our Posts, American Legion Auxiliary Units and Sons of The American Legion Squadrons are conducting a wide variety of homeless veterans’ projects and programs. Although we just used the words "many" and "wide variety," we are not trying to be vague. The truth is that we simply do not know the true extent of our organizations’ efforts to assist homeless veterans and their families.

All too often American Legion Posts, Units and Squadrons do not report their efforts on behalf of homeless veterans to our National Headquarters. That is because they do not feel that their projects and programs are special or noteworthy. They believe they are just doing what they should do to assist homeless veterans in making a successful transition back into mainstream society.

An example of that occurred in 1992 when, quite by accident, our National Headquarters staff learned of a veterans home in Gallatin, Tennessee that was owned and operated by the John T. Alexander American Legion Post 17.

The Post, which is located in a renovated building that was formerly a movie theater, raised enough money through its weekly Bingo games to purchase a piece of property directly across the street from it. That property, which consisted of a dilapidated "no-tell" motel and a diner, cost the Post $87,000. Post 17 then invested $78,000 in renovating the two buildings. They are now known as the Stars and Stripes Diner and the Sumner County Veterans Home.

The diner was the first to be renovated. When it was completed it was opened to the public. The Stars and Stripes Diner, which is self-sustaining, charges the home’s residents a minimal amount for meals.

Today the Sumner County Veterans Home provides housing for 40 formerly homeless veterans, as well as disabled and elderly veterans who have nowhere else to go. While there are some differences in the size and layout of the rooms, all are furnished and have private baths. They also are equipped with color TVs, microwaves, refrigerators and telephones. The rent from the residents pays for the utilities, furniture usage, a weekly cleaning service and cable TV fees. Residents pay for their own telephone service.

It is also worth mentioning that while the members of Post 17 considered applying for a grant from the Department of Housing and Urban Development (HUD) they ultimately chose to finance the project without federal dollars. As one Legionnaire noted, "Federal money comes with federal strings attached."

Another American Legion initiative eventually became known as the Cypress Street Project. It quickly received national attention and has served as a basis for many similar projects in the Pittsburgh area and throughout the country.

In the late 1980s, a social worker at the Highland Drive VA Medical Center in Pittsburgh saw the need for transitional housing for homeless veterans who had completed inpatient treatment and had no place to go after discharge. That insight, and subsequent discussions with the leadership of the Pennsylvania American Legion, led to a unique partnership between the Legion and the medical center.

In 1988 The American Legion of Pennsylvania formed the American Legion Housing for Homeless Veterans Corporation. Once established, the corporation purchased four town houses on Cypress Street in Pittsburgh. Those houses had been repossessed by the VA who in turned sold them to the corporation at a discount price.

The concept of the Cypress Street Project is very simple—provide a safe, clean, stable environment for the resident as he/she completes schooling, job training and becomes adequately self sufficient to seek permanent housing in the surrounding community.

Each resident is expected to take part in cleaning the house, cooking and maintaining the jointly used facilities. They are also responsible for keeping their own assigned area clean and for doing their own laundry. The corporation maintains the buildings and the medical center is responsible for placing veterans in the homes, and for providing medical, psychological, financial and spiritual counseling.

Since its humble beginnings with the Cypress Street Project, the Pennsylvania American Legion’s Housing for Homeless Veterans Corporation has continued to grow, expand and to build on its strong relationship with the Highland Drive Medical Center. In 1995, the corporation purchased another home in Allegheny County. With the help of local veterans and others, the corporation was the first group to place a female veteran and her three children in transitional housing. She has since obtained a college degree and has purchased her own home. That same year the corporation expanded its operation to the Philadelphia area. Through the support of Legion members, the corporation signed a lease/purchase agreement contract with HUD for a three bedroom home in Philadelphia. Its residents are serviced by the Philadelphia VA Medical Center.

The corporation’s newest addition is a home it purchased in 1998 in Ephrata, Pennsylvania. The house still needs many repairs, furnishings and a lot of hard work. But corporation members are confident that with the continued support of Legionnaires, civic organizations and other interested parties, the home will quickly take shape once work begins. When completed, it will provide stable transitional housing for five veterans in the central Pennsylvania area.

Again, The American Legion appreciates having this opportunity to share its views on public and private sector initiatives to assist homeless veterans and their families. We respectfully request that this statement be made a part of the permanent record of this hearing.

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