Why we need the NC Housing Trust Fund

Housing Trust Funds often don’t get the respect they deserve. It’s easy for someone to take them for granted, especially if one isn’t looking for housing or emergency shelter. However, affordable housing is something that improves the lives of so many people all over North Carolina. We need to more closely examine what families really need to have healthy, safe, and affordable housing. It’s especially important to do so during this time of economic recession and discussions of drastic budget cuts.

In North Carolina, legislators are in the midst of deciding how or if the Housing Trust Fund should be funded. Now’s the perfect time to take action and help them understand what a fully funded Housing Trust Fund could do for our state. I’ve heard several questions about the Housing Trust Fund, I think the answers make a clear case for why we need it to be fully funded.

Who benefits from the NC Housing Trust Fund?

The NC Housing Trust Fund provides funding for a wide range of projects and services throughout the state. All of the money allocated to the NC Housing Trust Fund goes into bricks and mortar for the projects, the North Carolina Housing Finance Agency absorbs all of the administrative costs.

The NC Housing Trust Fund provides the vital funding that so many programs need, such as: domestic violence shelters, affordable apartments for seniors, group homes for developmentally disabled youths, and transitional housing programs for the homeless. Not to mention transitional housing programs for veterans, or housing for children in foster care.

To sum up, the elderly, youth, women and children, veterans, and persons with disabilities all benefit from housing programs funded by the NC Housing Trust fund. It makes a strong impact in every community.

Why is a housing trust fund important for our state?

Right now, North Carolina has a shortage of 328,000 rental homes and apartments with incomes below 50% (and 30%) of local median income.

544,000 families in North Carolina pay more than they can afford for their rent, a 13% increase from 2000.

12,160 North Carolinians are homeless.

The Trust Fund has created 14,500 jobs

In North Carolina, the Housing Trust Fund is the only state appropriated funding source for providing permanent housing for homeless families, the elderly, or persons with disabilities. It allows seniors or persons with disabilities to continue living in their own homes through rehab and modification.

The Trust Fund needs a substantial, recurring appropriation in order to maintain its progress and continue helping families in need.

Why should we fund the NC Housing Trust Fund now?

The funding for the North Carolina’s Housing Trust fund has been volatile since its creation in 1987. It’s ranged anywhere from $20 million to $0.

This fluctuation in funding has made it difficult for affordable housing developers to have dependable funding sources. It often takes several years to plan a housing development. Local governments become hesitant to commit their municipalities’ limited resources when the Housing Trust Fund fluctuates so widely from year to year. That’s why we should take advantage of the opportunity legislators in NC have to create a dedicated revenue source in North Carolina. This would provide a way for communities to have a reliable source of funding they can count on every year.

Also, the Housing Trust Fund Study Commission, which recommended the creation of the Housing Trust Fund back in 1987, has favored creating or finding a dedicated revenue source for the Trust Fund especially one that is related to the real estate industry.

Who supports a Housing Trust Fund?

There is a broad coalition of organization that support the Housing Trust Fund. Click here to see a full list.

How can I help create a Trust Fund in North Carolina?

Call or email your state Senator today and urge him or her to support SB 462 and the NC Housing Trust Fund. You can find your legislator here. Here’s a link to a factsheet about the Housing Trust fund for some talking points. Together, we can make a great difference for families in North Carolina!