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Housing Action Alert
Say “NO" to the Governor's Proposed Sweep of the Rental Housing Support Program
Background: The Rental Housing Support Program was a part of the It Takes A Home to Raise a Child Campaign supported by the Catholic Conference of Illinois. The legislation passed in 2005, creating a new $10 state recording fee to fund a program to provide rental subsidies to help extremely low-income households afford rent.
Prior to the legislation passing, the Governor's Office and Management and Budget put in writing that significant unspent balances would not be swept from the fund during the start-up time for the program. The program will not be fully operational until early 2008 when funds will be distributed statewide.
In the fiscal year 2008 proposed budget, $9.4 million is slated to be transferred out of the Rental Housing Support Program Fund. This is 36% of the expected $26 million in revenues expected to be generated by the fee in the coming year. This amount seems excessive to be considered an administrative charge. It is nearly three times last year's charge of $3.2 million.
"Sweeps", transfers of money from dedicated funds to the General Revenue Fund, have been a common practice in recent years as a short-term means to help balance budget deficits.
Catholic Social Teaching:
We are challenged to give special consideration to the needs of the poor and safe, affordable housing for the poor has long been supported the US Bishops. More than 1,700 families will NOT be able to access affordable housing if the proposed sweeps are allowed to pass.
Action Needed:
Use the link below and ask Governor Blagojevich to stand by his commitment to allow for fund balances during the start-up time of the Rental Housing Support Program and not sweep $9.4 million from the fund.
Deadline for responding: Please take action by May 1, 2007.
Information for the action alert is from a Housing Matters alert at HousingMatters.net/alertlist.asp.
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