THE TRAGEDY OF HURRICANE DEVASTATION SHINES A BRIGHT LIGHT
ON THE IMPORTANCE OF QUALITY, AFFORDABLE HOUSING

By Carol Galante, Hunter Johnson, Linda Mandolini and Dianne Spaulding

The world has watched as the richest nation on earth, whether through bureaucratic bungling or shamefully lousy planning, let the poor and disenfranchised suffer in the wake of Katrina, and to a lesser extent, Rita. While there is plenty of blame to spread around from local governments to Washington, D.C., there may be an opportunity to turn this tragedy, and the failure of decades of government policy and lack of infrastructure, into a call for a renewed and reinvigorated effort to eliminate poverty and provide investment in housing, neighborhoods, communities, and ultimately, our people.

As sad as it is, the tragedy has shined a bright light on the issues of poverty, racism and lack of quality housing for many of America’s lower income citizens. And there are other related pressing social issues that should be at the top of the agenda for decision makers and the American public, including the performance of our schools, urban sprawl, transportation gridlock, the continued strength of the economy, and health care for families and children.

Among all the news stories, editorials, and scathing letters and speeches on the Katrina and Rita tragedies, largely hidden from view is how the availability of quality, affordable housing – or lack thereof – has such enormous impacts on our society and the very essence of democracy itself. To wit:

• Affordable housing is smart growth and helps reverse curb sprawl.
• The housing crisis is bad for business and threatens the continued growth of the nation’s economy.
• There is a powerful impact on the performance of our schools created by the lack of decent affordable housing.
• The housing crisis exacts a great toll on the health and well being of families.
• The lack of affordable housing limits the ability of the working poor to move up the economic ladder.
• The housing crisis contributes to the continuing problem of homelessness. Stability in life starts with tenure in a quality, affordable home.

The hurricanes dramatically uncovered problems in one ravaged region, but if we open our eyes a little wider, we will see that the social and economic problems created by lack of affordable housing exist throughout the United States. This is especially true in many growing areas such as Southern California where the cost of both rental and for-sale housing is beyond the financial reach of a large portion of our population.

As a society, we continue to think of quality housing in nice neighborhoods as a privilege, something that should be available only for those who can participate in the "ownership society." Shifts in federal housing policy reflect this misguided notion, failing to recognize the fundamental importance of having a decent, safe, affordable roof over one's head. This means apartments as well as single family homes.

Few of us are fortunate enough to have been born into sufficient wealth that our first is a single-family home. In high-cost areas such as San Francisco, Orange County and San Diego, most residents wait until they are in their 30s and even 40s to achieve the American Dream--if they achieve it at all. If we in California -– state government, county and local governments, public institutions, private industry -- don't begin to initiate badly needed relief for renters in the form of more affordable rent, it will be virtually impossible for renters to save enough money to buy a home and share in the cherished American Dream.

But there are discouraging signs that affordable housing is not a priority. The President's tax advisory group has unfortunately recommended the elimination of the tax credit-- used to create rental homes -- along with other critically important incentives for housing. This very credit has been used to create thousands of affordable apartments in California and beyond. California housing advocates believe that cutting the credit is a dangerous step. They are urging the federal government to consider a broad system of financial and other tools that meet the housing needs of all Americans, including expanding systems such as the tax credit that encourage more private sector engagement and positive economic growth.

Here in California, the affordable housing horizon is becoming increasingly dim, primarily because the funds from Prop. 46, which raised $2.1 billion to finance affordable housing in both the for-sale and rental markets, has about a year to go before it runs out of money. When that’s gone, there will not be any dollars at the state level to fund affordable housing, or any kind of housing for that matter. County and local governments certainly will not be able to pick up the tab since they continue to struggle to fix their roads and pay for adequate police and fire protection.

We as a state and nation need to place more emphasis and substantive action -– not just lip service -- on programs such as federal tax credits and Prop. 46 that promote long-term affordability. Also critical is for government and its agencies to cultivate more active collaboration with strong entrepreneurial nonprofit enterprises in partnerships with public and private sector entities . . . partnerships that have demonstrated remarkable success.

Those who have been left homeless by tragic natural disasters, and those who struggle daily to pay for a roof over their family’s heads, should not have to suffer more because of insensitive government policies and/or bureaucratic mismanagement that are entirely preventable with vision, determination, and a strong dose of caring. We must act now.

( Carol Galante is president and CEO of BRIDGE Housing Corporation, the largest non-profit producer of affordable homes in California. BRIDGE focuses on mixed income and mixed use developments in the highest cost markets in the state and has built 11,000 homes and apartments for working families. Hunter Johnson is president and CEO of LINC Housing Corporation, which has a statewide portfolio of 45 communities with nearly 6,000 units occupied by limited-income families and senior citizens. LINC builds and preserves affordable housing in central urban core and inner cities, suburbs and rural communities. Linda Mandolini is Executive Director of Eden Housing, one of the oldest non-profit housing developers in Northern California with almost 5,000 units of affordable housing produced during its tenure. Dianne Spaulding is Executive Director of the Non-Profit Housing Association of Northern California (NPH). Since 1979 NPH has worked to advance affordable housing as the foundation for thriving individuals, families and neighborhoods. As the collective voice of over 600 member organizations and individuals who support, build, finance and operate affordable housing, NPH promotes the proven methods of the non-profit sector and focuses government policy on housing solutions. www.nonprofithousing.org.)

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