Neighborhood Partnerships

Throughout the state of Oregon, Neighborhood Partnerships works to create opportunity for low and moderate income families through the Individual Development Account (IDA) Initiative. The IDA Initiative is a matched savings program that helps hard working Oregonians build economic security by teaching savings habits that help them purchase a first home, start or expand a small business, or pursue higher education. Federal policies that facilitate and encourage savings are essential for supporting the important asset building work that’s happening here in Oregon.

We moved a step closer to that goal last night.

President Barack Obama mentioned expanding matched savings accounts in last night’s State of the Union address . His proposal aligns with the Savings for American Families’ Future Act (H.R. 1961), which would extend retirement savings incentives to more than 50 million Americans by improving and strengthening the existing federal Saver’s Credit.

President Obama’s proposal couldn’t come at a better time. Today only half of American households (52%) have a retirement savings plan, and if you look at households of lower income workers, you’ll see that low income workers are much less likely to save for retirement than their higher income counterparts. Social Security is the sole source of income for one in five Americans age 65 and older. For one in three seniors, Social Security represents almost all of their retirement income (more than 90%).

Savings for American Families’ Future Act will enhance the effectiveness of the Saver’s Credit by:

• Making the Saver’s Credit refundable. The current credit only applies to families with a federal income tax liability. One in three (35%) households do not pay federal income tax in a given year because their incomes are too low. While these families pay plenty of taxes, federal law only recognizes federal income tax when providing a Saver’s Credit match.
• Providing a flat 50% match on qualified contributions up to $500 for an individual or $1,000 for a couple. The proposal also calls for annual increases of $100 for single filers and $200 increases for joint filers through 2020.
• Increasing the income eligibility requirement to $65,000 for joint filers, $48,750 for head of household, and $32,500 for single filers.
• Automatically depositing matching contributions into a designated retirement account.

Oregon Representative Earl Blumenauer has shown leadership on this issue and has co-sponsored the Savings for American Families’ Future Act. You can also find out more about this issue from CFED.

Efforts are underway at the national level to fund the National Housing Trust Fund.  The House of Representatives recently passed the “Jobs for Main Street Act” (HR 2847) which would provide $1 billion for the National Housing Trust Fund, as well as $65 million for project-based housing voucher programs.  However, whether these funds will be included in the Senate version of the bill is still unclear.

A National Housing Trust Fund (NHTF) would provide significant benefit to Oregon.  As the bill stands currently, the bill would provide $15 million to Oregon per $1 billion allocated to the trust fund.  These funds would be used to provide housing to those at the lowest incomes – 30% of area median income or lower.   We here in Oregon know that housing gives people an opportunity to build better lives, and we believe that funding the NHTF would provide much needed resources to Oregon.

We want to thank our Senators, especially Senator Jeff Merkley, who recently initiated a letter to President Obama asking that $1 billion for the National Housing Trust Fund be included in the President’s budget that he will submit to Congress on February 1. Senator Merkley has asked fellow Senators to sign the letter with him. Senator Wyden of Oregon has signed on as well.

Other efforts are moving forward to ensure the Senate provides funding for the National Housing Trust Fund, including a letter by Senator Jack Reed (D-RI) which asks fellow Senators to request that the Senate also provide $1 billion for the NHTF and $65 million in housing vouchers.  Read the letter here.

Want to help? Be sure to contact Senator Merkley and thank him for his work to date to make funding for the NHTF a reality. You can also ask whether Senator Merkley is planning to sign onto the letter from Senator Reed.  Senator Wyden has already signed on to this letter.

Want to learn more? Check out the Center for Community Change website or listen to the audio of a call hosted on Tuesday, 1/19/2010 by the National Low Income Housing Coalition in which their President, Sheila Crowley brings us up to date on the latest news.

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Bridges to Housing’s Regional Steering Committee met in December 2009 to recommend funding awards for the four metro area counties that are part of this groundbreaking effort to re-design services and housing for high need homeless families.  Because of the demonstrated impact of the program, the four participating counties have shown remarkable dedication and commitment to the Bridges to Housing approach.  As private funding for the program tapers off, counties are working to ensure that the program remains part of the continuum of services that assists the homeless in their communities.

The Regional Steering Committee and the Neighborhood Partnerships Board approved the following grants:

Clackamas County will serve an additional seven families in Phase III of Bridges to Housing.  Case management services will be provided by Clackamas County Social Services and families will be placed in scattered site, private market rental units throughout Clackamas County.  Clackamas County Social Services received $121,973 for their project, of which $13,473 will be used to provide rent subsidies for Bridges to Housing families.

Clark County will serve an additional thirty clients in this next phase of Bridges to Housing. Case management services will be provided by Share, and families will be placed in housing provided by Vancouver Housing Authority.  Share is receiving $205,337 for their project, of which $100,837 will be used to provide rent subsidies for Bridges to Housing families.

Multnomah County will have 139 units of housing for Bridges to Housing families available in 2010-2011.  Services for this housing will be provided by Human Solutions, Impact Northwest, Central City Concern and El Programa Hispano.  From Bridges to Housing, these agencies will receive $232,500 to serve families.  Housing is provided by a variety of agencies.  In order to help housing providers meet uncompensated costs associated with serving this difficult-to-house population, Multnomah County is receiving $167,272 for housing costs.

Washington County will serve fifteen new families in Phase III of Bridges to Housing.  Case management services will be provided by Community Action of Washington County.  Families will be placed in housing provided by Community Partners for Affordable Housing, Bienestar, and Washington County Housing Authority.  Community Action is receiving $144,918 for their project, of which $40,418 will be used to provide rent subsidies for Bridges to Housing families.

We’re all looking forward to the next evaluation report on this remarkable collaborative effort. It will be available in March of 2010. Previous evaluation reports and more about the program can be found here.