Any emergency cuts to affordable housing or homelessness programs in Massachusetts by Gov. Deval Patrick will cost the commonwealth money, not save it, according to a local affordable housing advocacy group.
In a letter sent to Jay Gonzalez, the secretary designee of the state’s executive office of administration and finance, Building Blocks Coalition outlined its fears of further cuts in affordable housing.
The letter, obtained by Banker & Tradesman, said further cuts will raise costs in homeless shelters, healthcare, and public education, as children living in homeless shelters must be bussed to their original school district.
According to the letter, the commonwealth spent $150.9 million on individual and group shelters in fiscal 2009, and $140.8 million on all affordable housing and homelessness prevention programs.
"We spend more money on shelters than we do on housing, and we need to break that habit," said Sean Caron, the director of public policy at the Citizens Housing and Planning Association (CHAPA). "It seems like when times get tough, things trend in the opposite direction."
Caron said the reduction in funding for rental assistance vouchers directly affects the number of stays in shelters. In the current fiscal 2010 budget, before any emergency cuts from Patrick, Caron said the $32.5 million program is underfunded by $2.5 million and between 485 and 700 households earning an average of $11,000 a year will be taken off the program.
"Governor Patrick has made affordable housing a top priority and has invested significant capital funds in improving out housing stock," said Cyndi Roy, a spokesperson for the state’s executive office of administration and finance. "Additionally, the administration has made significant policy changes to combat homelessness and will continue to work to help those who need permanent homes."
Mixed with rising unemployment and a lack of new affordable housing inventory, Caron said the outlook is not good for struggling families or ballooning homeless shelter costs.
"People are projecting rents to go up next year," he said. "That’s sort of the perfect storm."
