2016 Supplemental Budget 1.0 – Our Analysis

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The Housing Alliance Policy and Advocacy Team

Governor Jay Inslee introduced his 2016 Supplemental Budget Proposal on December 17, 2015. The release of the Governor’s budget signifies the beginning of the state’s supplemental budget development process and sets the tone for the upcoming legislative session. We are pleased to report that the Governor’s proposal protects vital homelessness safety net programs and makes a number of positive, targeted investments to expand access to affordable housing. 

Before delving into the budget details—here is a quick refresher of our state’s budget process. Washington’s budget operates on a two-year, biennial calendar. On odd years, such as 2015, the legislature passes a full biennial budget. On even years, like 2016, the legislature passes a smaller supplemental budget that amends the larger budget to reflect the changing needs within our state, such as natural disasters, caseload changes, and emerging issues in our economy and local communities.

The Governor’s Supplemental Operating Budget proposes $2.8 million in new housing services, and his Supplemental Capital Budget proposal includes $11.5 million in new affordable housing investments (scroll to bottom of post for details). In addition to housing investments, the Governor’s budget also appropriates new funding for our state’s mental health system and modest investments for other community needs.

Affordable housing, homelessness, and other important community programs were protected and received modest investments because the Governor opted to close four tax-loopholes to raise revenue. We applaud the Governor’s leadership in examining and closing tax-loopholes. We urge the legislature to build upon these loophole closures and raise additional new revenue so our state has adequate resources to ensure all people have access to safe, healthy, and affordable homes. Check out the Washington State Budget & Policy Center’s blog post for a more in-depth analysis of the tax-loophole closures in the Governor’s proposal.

The Governor took an important step forward by introducing a supplemental budget proposal that protects our homelessness safety net and makes a number of targeted investments to expand access to affordable housing. Thus, we encourage you contact Governor Inslee to thank him for his continued commitment to expanding access to safe, healthy, and affordable homes.   
Here’s how you can contact Governor Jay Inslee: 

Last of all, we hope you can join us in Olympia on February 2, 2016 for our annual Housing and Homelessness Advocacy Day! This is a great opportunity to meet directly with your lawmakers during the legislative session and share why funding affordable housing and homeless programs is a priority for you. 

Governor’s Supplemental Budget Summary

Operating Budget Homelessness Safety Net Appropriations 

Governor Inslee’s Operating Budget proposal includes $2.8 million in new housing service investments and protects critical homelessness safety net programs. 

  • $2,800,000 is for supportive housing services and short-term rental assistance for people leaving or at risk of needing inpatient behavioral health services. Services will be delivered through four new housing and recovery services teams modeled after the Housing and Recovery Through Peer Services (HARPS) Program
  • Aged, Blind, and Disabled (ABD) Program is protected—no cuts and no additional investments were made. ABD helps permanently disabled adults and elderly immigrants meet their basic needs by providing modest cash assistance. 
  • Housing and Essential Needs (HEN) is protected—no cuts and no additional investments were made. HEN provides rental and utility assistance to adults with temporary disabilities while they are recovering. 
  • Medical Care Services (MCS) is protected—no cuts and no additional investments were made. MCS provides health coverage to people who receive financial support through the Aged, Blind, and Disabled program but are unable to receive Medicaid health coverage. 
  • SSI Facilitation Services are protected—no cuts and no additional investments were made. These services assist permanently disabled adults reach economic security by applying for federal SSI benefits. 
  • Temporary Assistance for Needy Families (TANF) is protected—no cuts and no additional investments were made. TANF helps low-income families with children meet their basic needs through a modest cash grant and services. 

Capital Budget Affordable Housing Appropriations

Governor Inslee’s Capital Budget proposal includes $11.5 million in new affordable housing investments. This allocation represents a significant percentage of the overall Capital Budget and includes the following appropriations:

  • $5,000,000 is for the Weatherization Matchmaker Program to help make low-income homes more energy efficient.
  • $2,500,000 is for the Housing Trust Fund Portfolio Preservation Program to preserve existing housing trust fund projects operated by local housing authorities and serving very low-income and homeless households. 
  • $1,500,000 is for rapid housing improvements to bring private market rental homes into compliance with established housing standards in order to improve access to housing for families using rental assistance programs. Property owners will be required to maintain the unit for housing choice voucher recipients for an appropriate period of time after repairs are completed. 
  • $1,275,000 is for a rapid housing acquisition demonstration to develop congregate small unit dwellings or convert single-family homes into multi-family homes. 
  • $1,000,000 is for the Housing Trust Fund to build affordable senior housing. 
  • $125,000 is to create a landlord mitigation fund available to landlords who have rented to tenants with housing choice vouchers and whose rental units are in a jurisdiction that prohibits denying tenancy based solely on the applicant's source of income. 
  • $100,000 is for a study of housing opportunities for veterans experiencing homelessness and the conversion of units to provide permanent supportive housing for geriatric veterans with psychiatric disorders.

 


 

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