Study Shows Affordable Housing Funding Inconsistent; Community Groups Respond

A street view of an apartment building.

Photo courtesy of Alexey Topolyanskiy/unsplash.com

D.C. government funding for affordable housing fell more than 90% in real terms between 1990 and 2000, says a new report from the D.C. Fiscal Policy Institute, and local affordable housing advocates are asking the city to do something about it and do it now. 

 The Institute’s report, entitles “Trend in Funding for Affordable Housing in the District of Columbia,” says that many affordable housing initiatives were eliminated or reduced during this ten-year period. Cuts included elimination of the Tenant Assistance Program, which provided rental assistance to 3,000 low-income households. In addition, the Home Purchase Assistance Program, which helps lower-income residents buy their first time, was reduced significantly and remains much smaller today than in 1990. 

There is hope, however, and funding for some programs has been on the rise in the last few years. Since 2002, the city has revived the Housing Production Trust Fund, which should stand at $56 million by 2006. Advocates applaud this renewed effort, but note that it is still less than it was before. Also the Trust Fund can only be used in limited ways. 

The Institute’s report explains that the Trust Fund cannot be used to provide rental subsidies that help make housing affordable to the lowest-income residents. In addition, the Trust Fund also cannot be sued to provide down payment and closing costs assistance. 

A graph displaying the local budget for housing services from 1990-2005
Archive photo

While noting the limitations of the Trust Fund, the Fiscal Policy Institute’s report also points out the benefits of the program when it comes to affordable housing in D.C. 

“The Housing Production Trust Fund is a flexible fund that can be used to provide grants or loans to support the production or rehabilitation of affordable housing,” the report says. And because Trust Fund monies must be supplemented by private financing, every dollar spent from the Trust Fund brings as many as $7 in other funding sources, according to the fiscal policy institute. 

Meanwhile, a Northwest Washington community group is tackling the affordable housing problem head on. Under the leadership of Alverta Munlyn, the Northwest Once Council, Inc., which represents an “up and coming” or gentrifying area just northwest of Union Station downtown, has been meeting with city officials about the need to help people stay in their homes – or at least be assured that they will have a roof over their heads – as redevelopment surges. 

“The D.C. government seems to be saying to us they will work with us by I’m not sure how committed they are,” says Munlyn. “They are saying the right things but so far the talk has produced nothing that is concrete and acceptable to the community.” 

As a first step, Munlyn had identified a need to count the actual number45 of families living in this part of the city. “D.C. says there are only 500 families living here, but we count 1,500 families,” she said. The D.C. government agreed to conduct by a non-local group that does not know the city. 

To gain more support for her fight for affordable housing, Munlyn has also sent a letter to a number of church pastors asking for help. She wrote that “It is our hope to plan the redevelopment to allow the community its rightful place in determining how, when, what, and where they want changes at a cost they can afford. We need the help of all residents, churches, businesses, and institutions to make this a successful project.” 


Issues |DC Budget|Housing


Region |Washington DC

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