With federal money running out, the Baker administration announced that it is closing several pandemic-era emergency rental aid program to new applicants.

The administration said it told renters, landlords, regional agencies, and “other stakeholders” Tuesday about the decision to stop accepting new applications for the Emergency Rental Assistance Program, or ERAP, the Subsidized Housing Emergency Rental Assistance (SHERA) program and the ERAP-Enhanced HomeBASE program “on or around” April 15, the administration said.

“This decision is based on the remaining balance of available federal funding,” the administration said in a statement, adding that it expects to spend the remaining federal eviction aid before June 30.

Massachusetts received around $800 million in federal money to help renters who lost their jobs in the pandemic pay back rent and avoid evictions, and paired that with $171 in state funds.

According to an interactive dashboard published by the Baker administration, the state has so far distributed $575 million in rental aid to 71,027 households since mid-2020. Most of that assistance came in the form of ERAP aid. In February alone, the state sent out $60.3 million in ERAP payments, out of $64.7 million in total rental aid, to 20,242 households out of the 22,961 Massachusetts households helped by COVID-era rental aid programs.

The amount of ERAP aid sent out has increased every month since the program was created, the dashboard shows, despite changes to the program put in place in January that capped benefits at 18 months’ rent and $2,500 for utilities. Advocates had criticized the changes at the time, but Baker administration officials said they were necessary to stretch federal dollars further.

The largest shares of ERAP aid has been distributed in Boston ($91.7 million) and Springfield ($36.1 million). Most of the money has been distributed as rental assistance before a case makes it to court, with the average household receiving $8,838.

The program has been a “godsend” for small property owners, said MassLandlords Executive Director Doug Quattrochi, but noted that many renters likely still haven’t received aid due to an overly-complex application process that was reformed last fall. Quattrochi’s organization is suing the state for data related to the problem.

The state’s pre-pandemic, last-ditch homelessness prevention program, called Residential Assistance for Families in Transition or RAFT, will continue in operation. Gov. Charlie Baker has proposed giving the program an additional $60 million to fund it through the end of the fiscal year as part of a supplemental budget bill filed last month, and $80 million for fiscal year 2023, which begins July 1. That budget proposal would raise RAFT’s maximum benefit cap to $7,000 per year, which the Baker administration says would let the program help around 15,000 people per year.

Pre-pandemic, RAFT had a budget of roughly $20 million per year and served only around 5,000 to 6,000 families.

“There is a clear need for more funding,” Citizens Housing and Planning Association CEO Rachel Heller said in an email, who praised the governor for also including an extension to existing eviction protections in his supplemental budget bill. “Until the Legislature passes a supplemental budget, there is no more funding available. The state has spent every federal dollar. Even with the funding provided by the House, the state program’s rules are more constraining than the federal program. To get people the help they need, the best case scenario would be for the State Legislature to fund our state program while following the federal guidance.  Second best is to get funding in place immediately through the state’s program to ensure people have access to emergency rental assistance. These programs are working. While we work to get more affordable homes built, we need these programs funded to reflect the great need that exists.

Baker: No New Applicants for Federal COVID Rental Aid

by James Sanna time to read: 2 min
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