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Housing Briefs
April 15, 2004
House Ways & Means Budget Increases Funds for Public Housing & Level Funds Rental Voucher Program
On Wednesday, the House Committee on Ways and Means released its budget proposal for FY 2005. It includes $73.7 million for the Department of Housing and Community Development, approximately $3.6 million more than the Governor's budget that was released in January. This represents an increase of approximately $7 million from FY 2004.
Two top CHAPA priorities, public housing and the Massachusetts Rental Voucher Program, are the largest beneficiaries. The House Ways and Means Committee budget increases public housing operating subsidies by $5 million (from $25 million to $30 million), the same as the Governor's budget. However, the committee's proposal would eliminate the public housing rent escrow program that the Governor had revived and fully funded at $500,000.
The Massachusetts Rental Voucher Program would see an increase of $1.5 million from its FY 2004 appropriation. The Governor's budget cut MRVP by $2.5 million. In the Housing Services line item (includes Housing Consumer Education Centers), the committee's proposal would add an additional $400,000 to the account, for a total of $821,925 and earmark $400,000 for the Housing Consumer Education Centers.
The Ways and Means Committee has proposed an outside section that would implement monthly minimum rents for public housing residents. The monthly minimum rent would be $50 per household rather than the $50 per bedroom contained in the Governor's budget. The proposal includes language that would require housing authorities to grant exemptions in cases of "severe financial hardship."
The House will debate the budget during the week of April 26. The Senate Committee on Ways and Means is expected to release its budget in early May.
Key DHCD Programs:
| Line Item |
Program |
Gov. FY 05 |
House W&M |
| 7004-0000 |
Development Coord. Council |
$240,000 |
$240,000 |
| 7004-0099 |
DHCD Administration |
$6,741,726 |
$6,315,188 |
| 7004-3036 |
Housing Services |
$541,000 |
$821,925 |
| 7004-4314 |
Service Coordinators |
$490,401 |
$490,401 |
| 7004-9004 |
Public Housing Rent Escrow |
$500,000 |
$-0- |
| 7004-9005 |
Public Hsng Operating Subsidies |
$30,271,292 |
$30,271,292 |
| 7004-9024 |
Mass. Rental Voucher Program |
$20,106,829 |
$24,283,345 |
| 7004-9030 |
AHVP |
$2,300,000 |
$2,300,000 |
| 7004-9033 |
Mental Health Rental Subsidies |
$2,000,000 |
$2,000,000 |
| 7004-9201 |
Interest Subsidies for Private Dev |
$5,500,000 |
$5,500,000 |
| 7004-9315 |
Federal LIHTC |
$1,500,000 |
$1,500,000 |
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