Host Todd Allyn

By:  Armstrong Williams HUD’s Secretary finally speaks on the record April 17, 2008 In his first on camera interview the out going Secretary of Housing and Urban Development, Alphonso Jackson was candid and reflective as he officially departs his post Friday, April 18.  As we talked about an array of housing and market place issues, the Secretary was clearly amused by a recent Post story blaming him for the housing and mortgage crisis facing this country.  The reasoning for his amusement is that HUD only has responsibility for 8% of the housing market and they are low and middle income families.  “The Federal Reserve, Fannie Mae, Freddie Mac, Treasury all impact the current state of the housing crisis”.  “Let’s not forget that Wall Street securitized the loans and sold them to foreign countries as mortgage back securities.”   “When we arrived at HUD the computer systems didn’t interact internally with different divisions within HUD.  Today we have paired this down to less than 100 and they all are interactive.  For the first time in the history of this country Black Americans and Latinos are over 50 percent of home owners.  92% of homeowners who have made prime or sub prime loans are in good shape.  We’re looking at about 8% of the population in financial crisis because of the sub prime market.  Those not reading the fine print of the loan are now realizing that they have adjustable rates that are coming due with their interest rates soaring..”   Coaches similar to Secretary Jackson are in tough positions.  The team wins and the credit goes to the “star player.” Not the coach of course, but the home-run hitter, perfect shooter, or lightning-fast running back.  However, if the team loses, it’s the coach that’s often attributed blame.  Washington is no different.  When the housing market is playing well, its coach/secretary Alphonso Jackson received hardly any recognition for his execution strategies that increased home ownership among an often neglected segment of our country.  But when the game got tough the blame undeservingly fell on the Secretary’s head. Now, Alphonso Jackson is a tough ole fella, and he’s been in this business long enough to know you often take more licks than you give. When asked how he has grown over the years in the job.  “Armstrong I used to shoot from the hip and say things that would get me broiled into controversy.  Now I’m more cautious and thoughtful in the things I say in public and private”.  I came to this job with much anger and realized that anger was destroying and rendering me less effective.” When I buried the anger and the angst I became a better Secretary and human being to all of those around me.”  While the Secretary has certainly evolved into this job, it doesn’t excuse the recent Washington Post above the fold front page Sunday coverage of his tenure as housing Secretary, which was mean spirited and way out of bounds.  Although the Post dedicated quite a few column inches to criticisms of Secretary Jackson’s term, they failed to include even one mention of the success that happened in the years leading up to the unfortunate but inevitable housing situation.  I’ve written about that before, so no need to rehash it now. But these accomplishments are noteworthy, and since the Post won’t print them, I will.   For example, during Jackson’s tenure at HUD from 2005-2006 the number of the chronically homeless decreased by nearly 12 percent – that’s a first, by the way.  This decrease did not come at an easy time either.  Need I remind you that in August 2005, hundreds of thousands of homes were destroyed by a hurricane known as Katrina?  But these statistics don’t help paint the ineffective picture the Post wanted to portray, so they simply didn’t print the information.   Further, Jackson personally led the push to help 130,000+ homeowners refinance their loans to make homeownership more affordable.  And in case the media or America has forgotten, that is the goal of his department – more realizing the American dream.  Specifically, HUD is dedicated to increasing ownership among minorities which Secretary Jackson has done by significant measure – 3.5 million more since 2002. Most importantly, HUD has finally been taken off of the Government Accountability’s “High-Risk” list where it resided for the past 13 years.  Still however, the media gives no credit for the previously mentioned accomplishments, but all the blame for the recent housing contraction.  When Secretary Jackson’s initiatives led the nation towards its housing goals, he surely deserved coach of the year; but critics call foul once and the secretary’s vast, sometimes even record-breaking accomplishments are somehow passed over. It is true that sometimes his often shoot-from-the-hip remarks have gotten him into controversial waters and have alienated him from many of his would be allies.  The inspector's general's investigation into favoritism of Mr. Jackson and other allegations will be vetted through the legal process and we await their judgment.  In the meantime, this secretary's accomplishments should be acknowledged and given their just credit. www.armstrongwilliams.com

If you would like to voice a respectful opinion or respond to a Reader Comment, please Click HERE.

FEBN is a Multi Media Enterprise designed to approach the myriad of financial and political issues that affect our communities as well as people around the world.  FEBN presents current, controversial and essential in a concise and informative manner. The basis of the shows will focus on current events, and how to apply basic economics in today's financially turbulent world. The network is designed to inform, entertain, and empower listeners.

Professor Todd Allyn, with co-host, Professor W. Paul Borkowski,  can be heard weekly

HEARD ON