Bill To Create $10M Affordable Housing Fund

HARRISBURG, PA - A bill to authorize, if not actually pay for, a $10 million a year Affordable Housing Trust Fund could be on its way from the state House of Representatives to the Senate as early as next week. "No one in Pennsylvania should not have a home, a roof over their head," Rep. Peter J. Daley, D-Fayette and Washington counties, and Majority Chairman of the Pa. House Commerce Committee, said Tuesday morning.

He made the comment at the close of a committee hearing at which 30-some witnesses and supporters encouraged the legislators to enact House Bill 2600, a bill that would create the fund. The money would be used to attract funds available from the federal government, but which require a contribution from the state. Finally, the money would be used to help people such as the family of Sharon Cruz, formerly of Gettysburg, who, with her husband and four children, was evicted from their Natural Spring Mobile Home Park home a year ago, to make room for a commercial development.

Now the family lives in New Oxford, in a home provided by Gettysburg-based Pa Interfaith Community Programs Inc. "We had to cut a hole between two two-bedroom transitional housing units," said Edward Jenkins, deputy director of PICP. ""If we hadn't intervened, the family would have been displaced — mother one place, father in another."

PICP owns 13 transitional housing units for families currently homeless, They may stay up to 18 months, with a six month extension under some circumstances. "They have a voucher but they can't find anything that's affordable," Jenkins said. The "voucher" allows the family to pay 30 percent of their household income to rent and utilities. In a household with $10,000 income, 30 percent is about $250 a month available for rent and utilities. The federal Housing and Urban Development would pay the rest.

But there are other limits established by HUD. The $250 contribution from the family would go toward a $600 rent, "that's probably a one bedroom," Jenkins said. A two-bedroom home would rent for at least $800, and a larger home is well beyond the reach of families such as that of Sharon and Marco Cruz.

Cumberland County Housing and Redevelopment Authority Executive Director Christopher Gulotta told the Commerce Committee Tuesday that "housing authorities have not received new money for funding and vouchers since 2000." Especially in need are disabled and the working poor, the latter whom Gulatta described as earning "close to or at the minimum wage."

"In Pennsylvania, we are doing our job with one hand tied behind our back," he said, reiterating a statement made by several other witnesses, that 38 other states have housing trust funds such as the one in House Bill 2600. "It's like you have no adjustment of income over eight years," Jenkins said following the hearing, adding that to adjust for increased costs, "you end up cutting services."

The money also would be an economic stimulus to the communities, Jenkins noted. The Adams County Housing Authority has built or renovated the 13 transitional units currently available, and is in the final approval stages that will lead to a 250-home development, mixed ownership and rentals, on Biglerville road.

He pointed out the money that will make the project possible will pay carpenters and well drillers, buy concrete and asphalt and other supplies from stores such as Lowe's and Home Depot. The housing problem is exacerbated by families doing fairly well, until an earner has an illness that causes job loss. Their need is temporary, but still they go on a waiting list for assistance. "The get to the top (of the waiting list) in maybe 10 months, and guess what," Jenkins said. "They don't need it anymore." But what they lost in that 10 months cannot be returned.

In addition, new people are entering the housing market, but not earning enough money to qualify for most of the homes being built. Jenkins pointed out they graduate from high school or Harrisburg Area Community College and need someplace to live. "With that, more people are coming to us for services, or they go to United Way, because they can't find anything affordable," he said. "Abut 1,200 kids graduate (high school in Adams County) every year," he said. "If only 10 percent stay in the area, that's 100 units of housing we need."

"This is our moment and now we're going to change Pennsylvania," Daley promised as he closed the hearing. "Hopefully, we'll vote this out of committee this afternoon." He said it could be discussed by the full House and voted on next week, then sent to the Senate.