$2.5M to Help Newtonians Pay their RentThe economic fall-out and corresponding job loss from the pandemic is hitting Massachusetts households hard, especially those cost-burdened households who pay more than 30% of their income toward monthly housing costs.The Federal Reserve Bank of Boston estimates 36% of renters in New England are at risk of not being able to make their rent payment because of lost jobs and decreased incomes from the COVID-19 crisis.
Given our expensive housing costs, Newton rental households, especially those with low to moderate incomes, may be enduring an especially difficult period now.Our housing team here in Newton’s Planning and Development Department has been working hard and has found a way to help those households hardest hit with rent relief on a short-term basis.Following guidance from the Massachusetts Housing Partnership and along with the support of several City Councilors and members of the Community Preservation Committee, we are looking to utilize $2 million in Community Preservation Act funding (approximately one-sixth of the CPC’s $12 million unbudgeted resource funding) and $500,000 in federal Community Development Block Grant (CDBG) funds to establish an emergency rental housing program. It will assist income-eligible Newton households impacted financially by COVID-19 by providing a portion of their monthly rent for up to a three-month period.A presentation of the Emergency Housing Relief package is scheduled for a special joint meeting of the Community Preservation Committee and the Planning and Development Board on Monday, May 4 at 7:00 p.m.
I will let you know when the application form is available.
Som questions being asked:
Does the assistance go to the renters or the landlord’s?
Have the landlord’s been pulled into the loop to see what assistance they can contribute?
Why not wait on the update until there’s actually a policy on the table to present?
That question is very interesting… should the payment go directly to the landlord?
Perhaps to the landlord if they own no more than 2 unit? How do you ensure the money is used for rent?
I think it’s important to announce that this is in the works, and is also important to make clear that it’s not yet ready. For those who need this, it’s important to know that it’s on the way. And if this weren’t announced then people would be screaming “why isn’t Newton doing anything to help renters?”
Our community must find ways to ensure that renters can stay in their homes. Beacon Hill has wisely put a 4-month moratorium on evictions. Those who have the means are opening their pocketbooks for local charities.
But is the Community Preservation Fund an appropriate or even lawful source of money for private rental subsidies? Whom does this really benefit, the renters or the landlords? Are renters the only residents who deserve such help? What about homeowners who can’t afford their property taxes?
The Community Preservation law, M.G.L. Chapter 44B, states that the fund is for: “creation, preservation, rehabilitation, and restoration” in four areas: open space, historic resources, recreational land, and community housing. The law defines “community preservation” as “acquisition, creation, and preservation” of open space, historic resources, or community housing.
Put aside for a moment our desire to keep people in their homes. That is not the question. The question is: does a 3-month rental subsidy fit the definition of “creation, preservation, rehabilitation, or restoration” of community housing? No, it does not. It neither creates nor preserves nor rehabilitates nor restores any property. It leaves no property or legacy for the community.
Community Preservation funds are sacred. Their purpose is to connect the past, present, and future, not to solve a terrible but temporary crisis. The government promised us that these funds would be reserved for long-lasting gifts to future generations. Permanent affordable housing qualifies as such a gift. A 3-month subsidy to private landlords does not.
We live in trying times. We must help each other, as we are doing. We should discuss ways to help distressed renters and homeowners. But that does not justify raiding a fund that is morally and legally reserved for perpetual, physical acquisitions and improvements to our community.
“Following guidance from the Massachusetts Housing Partnership and along with the support of several City Councilors and members of the Community Preservation Committee…”
Which Councilors and which members of the CPC?
Monday April 2 2020 City Council docket – item #227-20 Request for creation of rental assistance program during COVID-19 using CPC funds
“Councilors Humphrey, Albright, Kalis, Ryan, Lipof, Downs, Greenberg, Bowman, Grossman, Kelley, Crossley, and Wright asking the Community Preservation Committee and Planning Department to develop a rental assistance program for Newton citizens unable to pay rent during the COVID-19 emergency using Community Preservation funds of other funding programs under city control, using guidelines developed by the Massachusetts Housing Partnership and/or other appropriate guidelines.”
https://www.mhp.net/news/2020/guidance-on-setting-up-an-emergency-rental-assistance-program
CHAPA/MHP also hosted a 90 minute information session for officials and advocates across the greater Boston region last week. This is something being done all over the state, not just here. It takes a while to set up and we want people to know that help is on the way but it’s a long process and we don’t have the details yet. Fortunately, the eviction moratoriums signed into law at the state level buys us some time not just during the crisis but also afterward so that we can get some folks the assistance they will need to cover the rent they weren’t able to pay during the crisis.
I hope that helps address the questions in the post and comments above. There are 12 councilors on board I gave the full list (that I’m aware of) above, not just the initial list from the first docket appearance. There might be others I hadn’t yet seen listed.
I serve on the Community Preservation Committee. On Monday, May 4th, at 7pm, our committee and the Newton Planning Board will be holding a joint public hearing on Mayor Fuller’s proposal. The hearing will be held on the Zoom platform, and anyone may view or participate.
The meeting agenda, with information on how to participate, is here: http://www.newtonma.gov/civicax/filebank/documents/103221
The full proposal is here: http://www.newtonma.gov/civicax/filebank/documents/103229
Some hard questions:
Should only residents who have live in newton for at least x years be considered? Is it fair that someone who just moved to newton a month ago to be considered?
I assume mortgage assistance is only avail if your bank has denied payment deferral AND you have no outstanding home equity loans. Else newton is indirectly paying for someones new car, vacation etc via the home equity loan
Will race be considered?are some races preffered over others. Should it only be income considered?
Should preference be given to teachers, police and firefighters? If they meet income requirements