Federal Housing Act of 1954 is adopted in Washington, D.C.

Signed by President Dwight Eisenhower, the law increases funds for rehabilitation and construction of low income housing for those displaced by slum clearance and urban renewal and for construction of public housing in those two areas. It permits 10% of the federal grants to be used for nonresidential projects and expands the concept of urban redevelopment to urban renewal in areas where the government does not acquire all of the property in order to promote increased participation by the private sector.