$2 billion is the baseline for State housing investments in 2023, leading nonprofits say
Pictured: Pastor Elijah McDavid, Fellowship Missionary Baptist Church, Minneapolis.
Leading nonprofit housing organizations have a clear message for state legislators: if you want to get serious about improving Minnesotans lives, start with home. Dozens of organizations and advocates called for $2 billion or more for affordable housing in 2023 and to put housing on the ballot in 2024, kicking off the coordinated effort at a rally in the Capitol Rotunda on January 11.
“We all agree: the desperate need for affordable housing is holding Minnesota back,” notes an invitation from the ‘Start With Home’ rally host organizations, including Beacon. “With an unprecedented budget surplus and a trifecta at the Capitol, now is the time to address the housing crisis that’s at the root of so many challenges Minnesotans face. Now is the time to Start With Home!”
Host organizations included Beacon Interfaith Housing Collaborative, Bring it Home, Minnesota, Habitat for Humanity of Minnesota, Metropolitan Consortium of Community Developers (MCCD), and Minnesota Housing Partnership (MHP). More than 65 other organizations have signed on to the call to prioritize housing investments in the state budget.
“Minnesotans are facing unprecedented challenges in all aspects of their lives because we are drastically underinvesting in the basic need of housing,” said Anne Mavity, Executive Director of Minnesota Housing Partnership. “The solid, quality foundation of a home is essential for families and children to thrive. To improve the lives of Minnesotans, everyone – families, workers, seniors, veterans – must have access to homes they can afford.”
Pictured: Sedia Omar, New American Development Center
Hundreds of thousands of Minnesotans face increasing pressure on their budgets and overall well-being due to challenges with housing.
Advocates are calling for an array of responses, including increasing homeownership – especially among Black, Indigenous, and families of color – preserving naturally-occurring affordable housing, cash appropriations and bonding for new construction, statewide down payment and rental assistance for low-income households, and creating a permanent revenue stream dedicated to housing.
The shared goal is to increase the amount of state funding dedicated to home. Home is the cornerstone investment to any other funding for areas such as health, education, employment, and economic development to succeed.
Pictured right: Jim Bargmann, Bring it Home, Minnesota
“Right now, we only spend less than one-half of one percent of the state budget on housing,” said Lee Blons, CEO / President of Beacon Interfaith Housing Collaborative. “So if we want our state to be a success story for our kids and grandkids, we have to get serious about meeting the scale of the need with right-sized investments in home. If we want to end child poverty, we have to start with home. If we want to attract and maintain the workforce that keeps Minnesota moving forward, we have to fully fund Bring it Home, Minnesota rent support. If we want to help seniors on a fixed income who are being driven out of their homes by enormous pressure on their budgets, pass Bring it Home, Minnesota. It is a cornerstone to ensuring our public investments in education, healthcare, and workforce are working and creating the maximum impact.”
Bring it Home, Minnesota rent support was listed as a top priority for the DFL caucus. The legislation would ensure 220,000 households with low incomes – in every county of the state – would receive assistance to help them afford to stay in their home.
Part of the call for $2 billion in funding through the 2023 budget is a desire to make homeownership more accessible and to keep units that are currently affordable from being pushed out of reach.
“Minnesota is home to one of the nation’s largest racial gaps in homeownership between white and Black households and affordable homeownership is the key to building generational wealth and breaking the cycle of poverty,” said Habitat for Humanity of Minnesota President & CEO Cristen Incitti. “In today’s environment, more and more low-income families and households of color are locked out of owning a home affordably.”
An average of 49% of Minnesotans experiencing homelessness are Black or Indigenous, and 47% of Minnesota’s 500,000 cost-burdened renters (those paying more than 30% of their income toward home) are people of color.
“Investing the state’s resources in affordable homeownership has a positive return for families, communities, and our economy,” said Incitti.
“It is important to prioritize affordability and encourage preserving the older, existing housing stock that is our naturally occurring affordable housing (NOAH) while also meeting current market needs through new construction,” said Gunnar Carlson, Community Engagement Manager with Riverton Community Housing, part of MCCD. “Preserving existing housing will increase affordability in the rental market. This will allow for a higher quality of life as well as provide opportunity for those who wish to become future homeowners to remain in the region.”
That higher quality of life – and the intersection that affordable housing has on educational, health, and economic outcomes – is the goal of the coordinated effort to prioritize housing.
“We need to invest in housing this year and for years to come – because our future starts at home,” said Mavity.
Pictured: State Representative Michael Howard.
State Representative Michael Howard (DFL – 51A), is the new Chair of the House Housing Finance and Policy Committee. He pointed to the impact of housing on every aspect of life in Minnesota and the need to go big this session. “Whether we are talking about ending racial disparities, improving educational outcomes for our kids or creating economic security for Minnesota families, everything starts with home,” he said. “In this build-or-break moment it’s time we finally make bold investments to address our housing crisis. That means building more affordable homes, preserving affordable homes, preventing evictions, and directly making housing more affordable through state-based assistance for renters and homeowners. We have the power to dream big and make Minnesota a place where everyone has access to a safe, stable, and affordable place they call home. We are ready to get to work.”
The ‘Start With Home’ rally will occurred on Wednesday, January 11 at the State Capitol Rotunda. Speakers included people impacted by the lack of affordable housing investment across the state, Governor Tim Walz, Lieutenant Governor Peggy Flanagan, Minnesota Housing Commissioner Jennifer Ho, Senate Majority Leader Kari Dziedzic, Speaker of the House Melissa Hortman, Senator Lindsey Port, Representative Michael Howard, and Hennepin County Commissioner Irene Fernando.
Follow Bring it Home, Minnesota on social media:
