honoluluadvertiser.com

Sponsored by:

Comment, blog & share photos

Log in | Become a member
The Honolulu Advertiser
Posted on: Tuesday, December 19, 2006

Time running out in state's housing crisis

StoryChat: Comment on this story

Josephine Lopez, 8, carries the trash from the family homeless tent at Kea'au Beach Park in this photograph taken in August. The state's failure to expand the inventory of affordable housing units has contributed to homelessness.

JEFF WIDENER | The Honolulu Advertiser

spacer spacer

With the population explosion on our beaches, we are witnessing today what happens when state lawmakers tap dance instead of tackling the issue of affordable housing and homelessness.

The chronic housing needs of our poorer citizens were swept to one side and allowed to languish — and in the interim, they multiplied. Ignoring a problem has never produced resolution, but this appears to have been our gameplan, nonetheless. Who will answer to taxpayers on this one?

As reported by Rob Perez in Sunday's Advertiser, about $212 million has been raided from funds intended to support the creation of affordable housing over the past decade. This diversion has far less to do with a conscious decision based on economic policy than with simple pragmatics. Robbing Peter to pay Paul is a tempting short-term tactic when lawmakers are juggling several competing demands on public money. But it's clearly poor policy in the long term, because playing catch-up inevitably costs more. And that's just the fiscal cost. There's also a high social cost that has been paid here.

Hawai'i is at the low ebb of a housing cycle familiar to watchers of the marketplace. Homes are in short supply and rents are higher than ever, but developers have no interest in building affordable units because construction costs are high and they need a better return on their investment.

And although construction costs were lower a few years back when the economy was still sagging, the housing market was much looser and affordability was less of a burning issue.

Last session, the Legislature and administration moved to address homelessness, but the effort was still remedial — and not nearly enough to regain all the ground lost. The gap continues to widen. For example: Every vacancy in subsidized public housing that wasn't filled because we're behind in repair work meant one more family couldn't take advantage of lower rents. And that's one more family that may resort to living on our beaches because they can't afford their market housing costs.

Gov. Linda Lingle yesterday proposed a biennial budget that allots $128 million in additional affordable housing funds. That includes $13 million for shelters and services, doubling what's in the current budget. There's also $40 million in general obligation bonds for major repairs.

The numbers sound encouraging, but the Legislature must give this issue a critical and thorough review to determine whether it's enough to make a meaningful dent in the housing deficit.

State government has lost its enthusiasm for becoming landlords of housing projects, turning over some of its housing stock to private nonprofits that can understandably manage the properties more efficiently.

This is probably the most sensible strategy. But there needs to be better incentives in place to ensure that tenants' needs are promptly met and vacancies are filled as quickly as possible. The state needs to consider ways to provide the land and a streamlined permitting process to help support housing nonprofits with this enterprise.

In addition, the state's newly reorganized housing agency, the Hawai'i Public Housing Authority, must immediately eliminate whatever barriers prevent the timely placement of new tenants in empty units. In some subsidized housing developments, units have sat vacant for seven years. Given our housing crisis, such a staggering delay is unconscionable.

What possible excuse can the state cite for such delays?

There is none. No acceptable reason exists for allowing so many families to live in cars or on our beaches. The fact that they do is evidence of widespread failure to meet the state's needs.

And that failure is downright shameful.