Homelessness, transitional housing, low-income housing and affordable housing are obviously big problems in the state of Arizona. Currently, the Arizona House is considering a mixed bag of bills that tackle different parts of the housing problem.
Today’s video focuses on SB1471 which provides a creative funding mechanism to put up to $10 million per year in the Housing Trust Fund for homeless youth and families. There are no federal HUD funds for this population.
SB1471 sets up a process for the state of Arizona to collect capital gains taxes on sales of Arizona property owned by out of state individuals. Apparently, compliance with capital gains taxes owed by out-of-state investors is less than 30%. This bill is projected to make around $8 million of year and could go higher. If more than $10 million is collected, the excess goes into the general fund.
We heard SB1471 in Ways and Means this week, and several other housing bills related to the seriously mentally ill (SB1336), AHCCCS members, youth (SB1539), widows and the elderly (SB1383), and other vulnerable populations (SB1098) passed out of the House Health and Human Services Committee unanimously. (I am on both of these committees.)
Why is there so much need? Because the Republicans have repeatedly swept the Housing Trust Fund since the dark reign of the Tea Party began in 2011.
All of the housing bills passed out of the Senate and out of the House committees. Will they make it into law? I hope so. (There is one caveat to this hopeful housing post. A housing tax credit bill, which passed out of House Ways and Means but died, has been revived in the Senate as a striker. Affordable housing tax credit bills sound good but cost the state tens of millions of dollars over time. Direct help to people is easier and more cost effective.)
Are we done? No.
Instead of a scatter shot approach of random bills to tackle housing and homelessness, what we need is a comprehensive approach, with adequate funding to make a difference.
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