Letter: Housing Trust Fund boost would help WNC, state

North Carolina is a growing state. We consistently rank among the top of the states in the nation in terms of people moving here. And it is not hard to see why. Our state is beautiful, with great schools and universities. We have new companies making announcements seemingly every day about expansions into North Carolina. You may have moved here from another state yourself or know someone who has. But with any growth, there comes growing pains, and we are no exception to that, particularly when it comes to housing.

North Carolina needs more houses and more affordable houses. Homeownership is a pillar of the American dream. You work hard, save money and purchase a home. That builds generational wealth and gives you a feeling of accomplishment. But it is too hard to afford a home for many people across our state. And our government needs to do much more than we already are to help make homeownership a reality for North Carolinians.

North Carolina created the N.C. Housing Trust Fund nearly 40 years ago. The program is administered by the N.C. Housing Finance Agency. The program helps fund all sorts of housing: homeownership, rental, supportive housing, rehabilitation and more. Unfortunately, the N.C. Housing Trust Fund has not received enough attention from lawmakers in recent years.

During the Great Recession, North Carolina, like most of the country, had to make difficult decisions about how to allocate a strained state budget. Certain programs like the Housing Trust Fund took a hit. Higher levels of funding were considered by bipartisan leaders in the years prior to the recession, but they failed to materialize, and once the housing market collapsed in 2008, so too, did the funding for the Housing Trust Fund.

In 2007, $22 million was allocated. That amount dropped during the recession and has never recovered. The current recurring appropriation for the Housing Trust Fund is $7.7 million. To help move us forward on this important issue, I filed House Bill 1025, legislation that would increase that recurring appropriation up to $10 million per year. It will take much more to radically improve housing affordability in North Carolina, but I am focused on how we can make incremental improvements that become law.

Western North Carolinians are seeing the impact of high housing costs every day. I see it with friends and family, just as I am sure you do. This is an opportunity for the state to leverage funds in a way that benefits entire communities, not just in urban areas, but across the state. By some estimates, our region will need some 20,000 affordable housing units just for low-income folks. Nearly half of households are already cost-burdened today with regard to housing. This issue strikes to the core of our region, and that is why I am focused on addressing it.

I know that housing affordability is a topic that transcends political parties, not to mention race, gender and religious beliefs. Housing costs are high for everyone, especially those of us who are trying to achieve that American dream of buying that first home. This investment will pay dividends for North Carolinians across the state, and the N.C. Housing Trust Fund is a shining example of how public policy can help our state.

Former Republican Gov. Pat McCrory’s administration called the N.C. Housing Trust Fund “one of the greatest returns on investment of any state money spent.” I believe there is still a bipartisan appetite to enact good public policy that benefits all North Carolinians, and this bill is a starting point for what can be much more.

— Rep. Caleb Rudow
N.C. House District 116
Asheville