In a calculated move to widen the safety net for those struggling with housing costs, the Houston Housing Authority has decided to tighten its purse strings on voucher payments. The authority announced Tuesday that it would lower the maximum rent covered by its housing vouchers, bringing it in line with 100% of what the U.S. Department of Housing and Urban Development (HUD) designates as fair market rent, down from the previous 130%. The change, which was reported by the Houston Chronicle, is set to stretch the program's budget further and potentially help more families, but not without raising concerns among landlords and voucher recipients.
The decision follows a voucher issuance halt earlier this year when the authority's president, David Northern, cited budget constraints in a letter to Mayor John Whitmire. Payments have been exceeding the authority's financial capacity and depleting HUD-held reserves, Northern detailed. By lowering the payment standard to equal HUD's fair market rent values, the housing authority aims to make the most of its budget while currently utilizing only 96% of its available vouchers.
However, some individuals connected to the housing voucher system have expressed worry over the implications of this adjustment. Since many families rely on these vouchers to bridge the gap between their household income and rent, Ericka Bowman, founder of Project 8, voiced her concern, particularly for those living in areas with better schools and lower exposure to environmental hazards. On the other hand, Alyson Griffin, a mortgage loan officer, acknowledged that in many cases, the fair market rent does suffice. Still, she highlighted the discrepancies in various neighborhoods, noting that the figures might not be accurate enough for all household sizes, she told the Houston Chronicle.
Amidst the housing voucher recalibration, Houston City Council cast its vote to support 17 new affordable housing proposals, vying for state tax credits crucial to the development of fair-priced homes. The council’s endorsement, a critical stepping stone for these proposals, received a unanimous thumbs up – allowing them now to compete for the state's 9% Housing Tax Credit Program, Houston Public Media reported. With a total of 34 applications initially received, the figure was trimmed down by the Housing and Community Development Department (HCD) to the 17 proposals now in the running.
These proposed developments are spread across the city excluding the more affluent areas of District C, and G, and factor in various aspects such as transportation options and access to high-performing schools. The state will make the final call on projects receiving tax credits by late summer. Mayor John Whitmire has pledged to spread affordable housing citywide, affirming an ambitious plan to elevate Houston to the most affordable housing big city in America.
