The shortage of affordable homes is a crisis being held in check by an increasingly leaky dam. Which, with money just set aside, is a crucial question that Honolulu leaders have not yet tackled.

That's a fair description of the challenge now before the city government with the accumulation of its first $4 million or so in a new affordable housing fund.

Because of the charter amendment voters passed in the last election, 1 percent of property tax revenues is being evenly divided between two new funds: one for affordable-housing programs and one for land conservation initiatives.

Addressing only the first issue for the present, it's clear that Honolulu, which has no housing agency, needs a sensible housing policy nonetheless.

The housing agency was dissolved about a decade ago, and scandals surrounding the controversial 'Ewa Villages project hastened its demise. There was also the rationale that the city wanted to get out of the business of building and managing affordable homes, and nobody disputes the wisdom of that.

Unfortunately, with the closure of the housing agency, staff with skills in critical demand also dispersed. That has made the efficient use of housing funds for existing projects much more difficult.

This vacuum should be filled. Leadership is needed to devise strategies for using the new fund as well as the existing resources available for housing. Money has been budgeted to hire a housing liaison, and hiring an experienced industry leader to take the reins of this planning process, with adequate staff support, would be a logical first step.

This team, while small, should be equipped to provide the leadership needed to make the best use of federal block grant money — about $9 million every year — as well as tap the city's bonding authority to help finance its initiatives.

Once that structure is in place, a strategic plan is needed for using the new fund. Here are some suggestions: