Special Message to the Congress Recommending Extension of Rent Controls.

To the Congress of the United States:

Public Law 548 of the 79th Congress provides:

"On or before April 1, 1947, the President shall report to the Congress what, if any, commodities or classes of commodities, including housing accommodations, are in such critically short supply as to necessitate, in his judgment, the continuance of the powers granted by this Act as to them after June 30, 1947, together with his recommendations as to established departments or agencies of the Government (other than the Office of Price Administration) which should be charged with the administration of such powers."

On November 12, 1946, price controls were eliminated on all commodities except sugar, sugar solutions derived from sugar cane or sugar beets, corn syrup and corn sugar, blended syrups, and rough and milled rice. Since the Sugar Control Extension Act of 1947 has become law, it is unnecessary for me to repeat the views I have already expressed with respect to the subject matter of that Act.

Despite the rapid upswing in residential construction during 1946 the Nation is still faced with a critical housing shortage. Dwelling accommodations, particularly rental units, are still radically out of balance with demand. In 88 cities surveyed by the Bureau of Labor Statistics and the Bureau of the Census during 1946, vacancies in rental units were virtually non-existent. The vacancy rates in habitable accommodations for these titles ranged from zero to a maximum of one per cent with an average well below one-half of one per cent. Proper protection of millions of our American families requires that effective rent and eviction control be extended beyond June 30, 1947, for a further period of one year, and I so recommend.

As for the agency of the Government to administer rent controls, it was my original recommendation that the Office of Temporary Controls be assigned this responsibility. However, recent legislation requires the liquidation of that agency, and a bill now under consideration by the Senate would transfer these functions to the Housing Expediter. I raise no objection to this proposal.

HARRY S. TRUMAN