Brief Description: Expanding programs eligible for housing assistance grants and loans.

Sponsors: Senators Berkey, Schmidt, Keiser, Roach, Kohl-Welles, Oke, Pridemore, Fairley, Kline, Shin and McAuliffe.

Hearing Date: 3/22/05

Staff: Robyn Dupuis (786-7166).

Background:

The Housing Trust Fund was created by the legislature in 1987 for the purpose of establishing a continuously renewable resource to help Washington communities meet the basic housing needs of low-income and special needs populations.

Today, according to the Department of Community, Trade and Economic Development (DCTED), more than 405,000 low-income Washington households pay a disproportionate share of their incomes for housing. These households have incomes below 80 percent of the area's median income and spend more than 30 percent of their income on housing costs.

The Housing Trust Fund, administered by the DCTED, provides financial assistance in the form of grants and loans to eligible local governments, housing authorities, non-profit organizations, and federally recognized Indian tribes within our state. The projects and activities of applicants are given preference for financial assistance eligibility on the basis of 13 statutory criteria, as follows:

• degree to which the grant or loan will cause other funds to be leveraged;
• level of commitment from other programs to provide support services, if focusing on a special needs project;
• recipient contributions to the total project cost;
• ownership, management, and other project-related responsibilities are encouraged;
• low-income or special needs group are high likely to be served for at least 25 years;
• applicant has a demonstrated the ability, stability, and resources to complete the project;
• project demonstrates serving the greatest need;
• persons and families with the lowest incomes are served;
• project serves a special needs population that is under statutory mandate to develop community housing;
• proximity and access to local employment centers.

Summary of Bill:

Criteria for applications to be given preference for funding by the Housing Trust Fund is expanded to include applicant projects that provide employment and training opportunities in Washington state certified apprenticeship programs.

Appropriation: None.

Fiscal Note: Not requested.

Effective Date: The bill takes effect 90 days after adjournment of session in which bill is passed.