Massachusetts Governor Charlie Baker (R) signed a $43.3 billion state budget for FY2020 on July 31. The final budget significantly expands investments in affordable homes to help families thrive and build vibrant communities. Citizens’ Housing and Planning Association (CHAPA), an NLIHC state partner, successfully advocated for a robust affordable housing budget with increased funding for many key Massachusetts housing programs.
The affordable housing crisis in Massachusetts is severe. In order to afford a modest, two-bedroom apartment at fair market rent, full-time workers need to earn $33.81 per hour. They need to earn $24.71 per hour for a modest one-bedroom renal. Despite recently raising the state minimum wage, that wage is less than half of what is needed to afford a modest two-bedroom apartment in the state. Massachusetts is the third least affordable state for renters in the U.S.
To address the state’s affordable housing crisis, the governor signed a final budget that increases or maintains spending levels for almost all of CHAPA's budget priorities. He did not veto or propose amendments to any of the strong affordable housing, homelessness prevention, and community development funding provisions included in the legislature’s budget, championed by Speaker Robert DeLeo (D), Senate President Karen Spilka (D), Representative Aaron Michlewitz (D), and Senator Michael Rodrigues (D).
In total, the final budget includes $23.4 million more for CHAPA’s budget priorities than in FY19. Among the programs receiving significant increases are the Massachusetts Rental Voucher Program (MRVP), the Alternative Housing Voucher Program (AHVP) for persons with disabilities, and the Public Housing program.
The budget provides $116 million for MRVP, including a $6 million appropriation carried over from FY19. The budget also raises the rent standards for new housing vouchers to current Fair Market Rents, which were last updated in 2005. This change will increase the opportunities for families with vouchers find affordable homes.
The Alternative Housing Voucher Program (AHVP) has $8 million in funding for FY20. This level of funding will help create nearly 200 new vouchers for persons with disabilities who need affordable, accessible homes.
The budget also provides a 10% increase in funding for public housing, the first significant increase in such funding in a decade. This increase will help better support the more than 45,000 households living in state-assisted public housing in Massachusetts.
CHAPA coordinated its state budget advocacy through its Building Blocks Coalition. This group of affordable housing organizations and advocates worked throughout the budget process to set shared budget priorities and to speak with a united voice to legislators and policy makers on the resources needed to help address Massachusetts’ shortage of affordable housing.
“At a time when the affordable housing crisis in Massachusetts continues to reach new heights, leaving more families at risk of homelessness,” said CHAPA CEO Rachel Heller, “CHAPA thanks the governor and the legislature for demonstrating their commitment to addressing this crisis.”
For more information on the final FY20 Massachusetts state budget and CHAPA, contact Eric Shupin, CHAPA director of public policy, at: [email protected]