Tags: Govt Homelessness Program May Run Out of Money

Huffington Post: Govt Homelessness Program May Run Out of Money

Thursday, 03 Feb 2011 12:41 PM

Homelessness is on the rise in the U.S. thanks to the housing bust and the recession, but a federal program helping such unfortunates might be out on the street itself, according to the Huffington Post.

The National Law Center on Homelessness and Poverty reports that a homelessness prevention and re-housing program funded by 2009 stimulus money needs a shot of cash to meet rising demand.

Instead of getting it, the program may be cut from the new federal budget.

It used $1.5 billion in stimulus money to help keep people in their apartments by subsidizing rents and was never meant to be permanent anyway.

"The program was basically created fairly quickly, and the idea was to put some cash into the hands of the service providers in communities who are there when people knock on the door and say, 'I'm about to be evicted,'" says Sheila Crowley, president and CEO of the National Low Income Housing Coalition.

"It's a program that was seen as a one-shot deal in response to what, in 2009, people hoped was a short-term crisis. Here we are two years later, and unemployment is still high, and foreclosures continue, so it's sort of the story of what happens when you do programs like that."

The worst recession since the Great Depression is ending, although many Americans are still feeling the pain from high foreclosure and unemployment rates.

The housing market, some say, will improve if unemployment rates fall from their current levels of 9.4 percent in December.

"Home sales are going to struggle, but they will follow employment," says David Crowe, chief economist for the National Association of Home Builders, according to the Associated Press.

"That's clearly the trigger: A better employment market giving people the comfort that they can go forward with a major purchase like a home."

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Homelessness is on the rise in the U.S. thanks to the housing bust and the recession, but a federal program helping such unfortunates might be out on the street itself, according to the Huffington Post. TheNational Law Center on Homelessness and Poverty reports that a...
Govt Homelessness Program May Run Out of Money
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2011-41-03
Thursday, 03 Feb 2011 12:41 PM
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