Rental Vouchers

February 9, 2006

The Honorable Cory Atkins
State House, Room 472
Boston, MA 02133

Dear Representative Atkins:

As the House begins to formulate its FY 2007 budget, the members of United Disability Housing Partnership would like to take this opportunity to comment on two line items: the Alternative Housing Voucher Program (Line Item 7004-9030) and the Tenancy Preservation Program (Line Item 7004-3045).

In House 2, Governor Romney’s proposed budget for Fiscal Year 2007, the administration requested level funding of $3 million for the Alternative Housing Voucher Program (AHVP). Although we are pleased that the Governor is preserving the funding increase for AHVP that the legislature appropriated last spring, United Housing is seeking a funding increase of $1 million for AHVP, for a total funding level of $4 million for FY 2007.

AHVP is a rental assistance program targeted toward low income and homeless individuals with disabilities. As you know, Massachusetts has some of the highest housing costs in the nation. For persons living with severe disabilities, it is often almost impossible to afford fair market rent on an apartment without some sort of rental assistance. Currently, the demand for rental assistance far outstrips the supply of available AHVP vouchers. A funding increase in the AHVP line item (7004-9030) will help to address this problem.

Recently, the Department of Housing and Community Development (DHCD) and the Romney Administration have made technical changes in AHVP that will improve the administration of this program:

  1. At DHCD’s recommendation, Governor Romney has proposed increasing the administration fee for AHVP from $25 per voucher to $32.50.
     
    United Housing fully supports this change. However, if not accompanied by a funding increase, this fee increase will necessitate a reduction in the number of vouchers issued.
     
  2. DHCD has increased the rent level for AHVP vouchers to Section 8 levels – an increase of approximately $330 per voucher.
     
    When the funding level of AHVP was reduced in FY 2002, the rent levels were rolled back to 2000 levels and have not been increased until this fiscal year. As a result, as rental costs in Massachusetts have increased over the past several years, AHVP has failed to keep pace.
     

    United Housing supports this increase of the AHVP rent level, as it is more realistically based on actual rental costs in the Commonwealth. Again, however, without a corresponding overall funding increase to the program, DHCD’s ability to issue the number of vouchers needed will be drastically restricted.

AHVP is an important tool to help address the issue of homelessness among persons with disabilities in the Commonwealth. Increasing funding for the program to $4 million in FY 2007 will restore AHVP to its original funding level in 1995, fund technical changes that will improve the ability of local housing authorities to issue vouchers, and allow DHCD to increase the number of vouchers that are available to be used.

Additionally, United Housing members strongly support Governor Romney’s initiative to create a Tenancy Preservation Program (Line Item 7004-3045). This program provides neutral arbitration for individuals with disabilities and families with an individual living with a disability who are at risk of eviction. For the past several years, a similar program has been run privately with great success. Providing the $1 million that Governor has requested will allow it to be expanded and for it to reach far more individuals and families at risk for eviction.

Thank you again for your consideration on these important issues.

Sincerely,

The Undersigned Members of United Disability Housing Partnership

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