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Philadelphia Housing Trust Fund
Oversight Board Meetings:
All meetings will be held at 10 a.m. in Conversation Hall, 201 City Hall. Meetings are held on the second Friday of each month as follow:
2008 Schedule |
January 12 |
April 13 |
July 13 |
October 12 |
February 9 |
May 11 |
August 10 |
November 9 |
March 9 |
June 8 |
September 14 |
December 14 |
Factsheet
Objective
Philadelphia is faced with escalating demands for affordable and accessible housing. Many homeowners, particularly seniors, need basic home repairs. Almost 130,000 Philadelphia households have an annual income below $20,000 and pay more than they can afford on housing. More than 31,000 households are living in overcrowded conditions, and the demand for affordable housing exceeds the supply by at least 60,000 homes. Our neighborhoods need assistance to begin or continue their revitalization.
At the same time, the City is experiencing regular reductions in community development resources from the federal government. The welfare and safety of our residents demand we identify new sources of revenue for affordable-housing activities.
A Housing Trust Fund is a dedicated funding source set aside for the housing needs of a community. Housing Trust Funds build affordable housing, repair homes and help families become first-time homeowners. The first Housing Trust Funds were established in the late 1970s. Currently, there are more than 350 Housing Trust Funds across the country, including 53 in Pennsylvania, raising a total of more than $750 million a year.
Description
The Philadelphia Housing Trust Fund will:
- serve the housing needs of Philadelphians with annual incomes ranging from very low ($20,000 or less for a household of four) to moderate ($78,000 for a household of four);
- create and preserve affordable rental and sales housing;
- increase the number of accessible and visitable housing units;
- revitalize neighborhoods by building houses, fixing up vacant buildings and repairing owner-occupied homes;
- help prevent homelessness by providing emergency assistance for rent and mortgage arrearages, security deposits and utility bills;
- build on vacant land cleared for redevelopment, forming mixed-income communities and strengthening property values; and
- leverage additional funds from both private and public sources (Low-Income Housing Tax Credits, PennHOMES, Federal Home Loan Bank programs, Homeownership Choice Program).
Statistics
The Philadelphia Housing Trust Fund will:
- increase housing production in Philadelphia by creating about 275 additional
homes each year;
- assist more than 900 homeowners per year with home repairs; and
- prevent nearly 1,000 families each year from becoming homeless.
Funding
The Philadelphia Housing Trust Fund will be supported by:
- $1.5 million in NTI bond fund proceeds as capital, authorized by City Council in June 2004;
- a surcharge on document recording fees in Philadelphia, expected to raise at least $10 million per year; and
- additional funding sources to be identified.
Legislation
Three legal documents are required to establish the Philadelphia Housing Trust Fund:
- An amendment to State Act 137 to allow the City to create a Housing Trust Fund. Philadelphia is currently excluded from this legislation.
- An ordinance of Philadelphia City Council to create a Housing Trust Fund and ask the Mayor to establish an Oversight Board. The ordinance defines broad categories for the expenditure of funds for various affordable-housing activities.
- An Executive Order of the Mayor to establish an Oversight Board and detail how the trust funds will be spent. Funding is limited to nonprofit organizations or joint ventures in which a nonprofit is a partner.
Administration
The Philadelphia Office of Housing and Community Development (OHCD) will administer the Philadelphia Housing Trust Fund. A Trust Fund Oversight Board will study the housing funding needs of Philadelphia, make recommendations to OHCD about types of projects and programs to be funded and additional funding sources, and issue annual reports on that year’s use of the Housing Trust Fund. The Mayor will appoint the board’s members who will include four representatives of community development corporations and the housing advocate community and City officials: the Director of the Office of Housing and Community Development, the Executive Director of the Redevelopment Authority and the Chair of City Council’s Committee on Housing, Neighborhood Development and the Homeless.
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