The House Financial Services Committee convened hearings toexamine the federal government's response to the housing needs ofpeople along the Gulf Coast who lost homes after the 2005hurricanes. Beyond Crowley, a number of witnesses testified beforethe committee.

Crowley noted that at least 70% of the 300,000 homes that wereseverely damaged or destroyed by Katrina were affordable tolow-income families. The red tape associated with many of theprograms, such as FEMA's rental assistance program, caused a greatdeal of confusion and wrongly terminated many of the recipientslast year, she said.

Crowley offered a number of suggestions for the agenciesincluding a comprehensive review of all households whose temporaryhousing assistance was terminated. Congress, she also advised,should enact GSE regulatory reform legislation that includes anAffordable Housing Fund that for the first two years would directresources to states where the housing supply has been affected bythe Gulf Coast hurricanes.