Join us for a Virtual Policy Briefing on Friday, May 17th at 10:00am to learn more about the state of housing policy in PA, HAP’s legislative priorities, the state budget, and advocacy efforts.
Our Budget Priorities
- Raising the cap on the PHARE program remains our top budgetary ask in 2024. With the cap currently at $60 million, we are seeking to increase the cap to $100 million.
- Funding Whole Home Repairs with $50 million in state funding.
- $20 million for new homelessness assistance program grants modeled after successful local programs.
HAP’s homelessness prevention proposal aims to duplicate successful local programs.
In the face of rising rents and the corresponding increase in housing insecurity, HAP has identified several county programs reporting outsized results in preventing eviction and homelessness. We are proposing state investment to help continue and duplicate homeless assistance programs that utilize legal aid, direct assistance, mediation, and resource navigation.
Successful eviction prevention programs in Pennsylvania help restore the landlord tenant relationship and get both sides working together. Assistance organizations are working with tenants and landlords resulting in landlords withdrawing or settling eviction cases at significantly higher rates or engaging in landlord tenant mediation. In four counties the percentage of cases withdrawn or settled by the landlord has on average increased by 25% with one community experiencing increases as high as 50%. Targeted landlord-tenant mediation programs are resulting in 85 -98% of mediations ending with a successful agreement between both parties.
Specifically, we are seeking a state appropriation of $20 million as a pilot investment to make grants to communities positioned to duplicate successful programs. Each local program will be required to present a plan that includes direct assistance, dispute settlement, and resource navigation. Each program will make a report to the agency and collectively report to the General Assembly.
Bills Introduced to Limit Access to Eviction Records
Open eviction records prevent tenants from obtaining safe, affordable housing due to the automatic screening process removing any rental applicant with an eviction filing. Prior financial hardship should not be a permanent obstacle to obtaining a basic human need. Each year, about 20,000 Pennsylvania renters acquire eviction records without ever being evicted—their cases are withdrawn, settled, dismissed, or found for the defendant.
Bills have been introduced to correct this injustice and de-facto punitive measure against tenants facing hardship.
HB 1769 (Reps Smith-Wade-El, Fiedler, Harris, Krajewski) would place all eviction filings under an order of limited access until the tenant loses their case in court. When the court finds for the plaintiff, the eviction record would become accessible. After 7 years, all eviction filings would be placed under an order of limited access. The bill was referred to the House Judiciary Committee on March 25th.
SB 1137 (Sen. Saval, Costa, Schwank) is the Senate companion bill to HB 1769 and was referred to the Senate Judiciary Committee.
Zoning Reform Legislation Introduced in House and Senate
Three bills have been introduced to broadly reform land use in the Commonwealth, providing for increased density / multifamily development where it was previously limited by local zoning ordinances.
SB 1126 (Sen. John DiSanto) would grant the automatic right to use manufactured housing and accessory dwelling units in single-family zoning districts. For municipalities with larger populations, medium-density housing will also be permitted by right. The legislation will also ensure onerous minimum lot sizes and parking space requirements don’t interfere with housing affordability. This bill was referred to the Senate Urban Affairs and Housing Committee on April 5, 2024.
HB 2045 (Rep. Siegel) would permit duplex, triplex, and quadplex developments where zoning is for single family homes. The bill was referred to House Local Government on February 20th.
HB1976 would permit multifamily housing to be developed on land zoned commercial. The bill was referred to House Local Government on March 18th.
Senate Urban Affairs and Housing Committee Advances Blight Bills
On Wednesday, April 10th, the Pennsylvania Senate Urban Affairs and Housing Committee, chaired by Senator Frank Farry, approved two bills aimed at fighting blight.
HB 1207—Rep. Freeman: Would permit a municipality of any size to establish a land bank.
HB 775—Rep. Tim Twardzik— Establishes the “Vacant Property Registration Act” that allows communities to create and maintain a vacant property registration, which is a blight fighting, smart growth tool used to stabilize and re-develop communities.
This month, we highlight two new developments
To see all the legislation that we are prioritizing and tracking, visit https://housingalliancepa.org/policy-agenda/
Homelessness Prevention Initiative
Homelessness and eviction prevention demand more attention from state lawmakers as rental rates continue to climb and more families experience housing instability in the absence of pandemic era assistance. According to the US Government Accountability Office, a $100 increase in median rent is associated with a 9% increase in the estimated homelessness rate.
The Housing Alliance has identified several homelessness prevention programs throughout the Commonwealth with outsized positive outcomes. HAP is seeking to demonstrate the effectiveness of these programs both in terms of stabilizing families and future, generational cost savings in terms of social services and education outcomes.
Specifically, our proposal will require each applicant to present a plan that includes landlord / tenant mediation, expanded legal representation, and / or direct assistance. Each program will make a report to the agency and collectively report to the General Assembly.
Zoning Reform Legislation Introduced
Additional legislation has been introduced in the Pennsylvania House of Representatives to address the shortage of affordable housing through zoning reforms.
HB 2045: This legislation would revise the Municipalities Planning Code to require cities, boroughs, towns and townships with more than 5,000 in population to permit the use of duplex, triplex and fourplex housing in areas currently zoned for single-family residences only. This would increase the number of multi-family residential units available in Pennsylvania.
HB 1976: This legislation would revise zoning laws to allow multi-family housing and mixed-use development in urban areas zoned for office, retail and parking with existing water and sewer systems.
These bills have been referred to the House Local Government Committee.
State Senator John DiSanto is expected to soon introduce legislation to address zoning reforms. The proposal is expected to grant the automatic right to use manufactured housing and accessory dwelling units in single-family zoning districts. For municipalities with larger populations, medium-density housing will also be permitted by right. The legislation will also ensure onerous minimum lot sizes and parking space requirements don’t interfere with housing affordability.
When this work is centered around the unique perspectives and experiences of residents, it is transformational and can spark positive change at all levels – the individual level, the community level, and the systems level. This past July, HDC celebrated the first-year anniversary of our Resident Advisory Council, where residents, from ages 23 to 79 from across our three-state footprint, access learning opportunities, provide input and feedback on organizational decision-making, and connect with HDC’s Board of Directors. All council meetings were held virtually, but council members wanted to meet each other in person to celebrate their first year together. We were disappointed to learn that the youngest member at 23 years of age, who also is paraplegic, declined to attend the event and informed us he would not serve a second year on council.
He shared that he was unable to attend the celebration because it would be his first day at college, and that he would no longer serve on Council because he wanted to give college his all. Via text, he asked us to share these words with his fellow council members:
“Thank you for everything. If it wasn’t for the resident council, I don’t think I ever would’ve been brave enough to try college. Tell everyone I wish them a great year ahead. You all made me feel like I am an important person again.”
-Renee S, Umbrella Works Apartments, Lancaster, PA
Thanks to Dana Hanchin, President and CEO, HDC Mid-Atlantic, for sharing this powerful story and words that reminds us that engaging people with lived experience matters to their overall sense of themselves.
Governor Shapiro Proposes Budget that Invests in Housing
On Tuesday, February 9th, Governor Josh Shapiro presented his 2024-25 State Budget proposal to the General Assembly which includes historic investments in housing, home repair, homeless assistance, and eviction prevention.
The proposed budget includes:
- Increasing the PHARE program funding cap to $100 million by 2027-28, with $10 million per year increases
- $50 million for the Whole Home Repairs Program
- $10 million for the Homeless Assistance Program
- $5 million for legal representation in eviction proceedings
- $5 million to local governments for rapid response to emergency housing situations
PHARE
For the first time in the history of the Pennsylvania Housing and Rehabilitation Enhancement Fund (PHARE) a Governor has formally proposed increasing the funding cap on the program. This is a testament to PHARE’s popularity and effectiveness in addressing a variety of housing needs across the Commonwealth. The Housing Alliance and our partners have worked directly with the Governor’s staff to ensure that PHARE would emerge as one of the Shapiro Administration’s housing priorities.
As we have previously reported, a PHARE cap increase to $100 million has been advanced in both the House and Senate this session. Over the next few months, it will be critical to keep PHARE in our conversations with legislators.
Whole Home Repair
The Governor has also asked for $50 million for the Whole Home Repairs program. Now armed with real world evidence of good work and high demand for the program, we have everything needed for meaningful conversations with legislators to ask for their support for Whole Home Repairs funding. The Housing Alliance is working with Whole Home Repairs administrators to meet with legislators concerning their local programs to build support for additional funding and minor legislative changes
Eviction Prevention
In 2024, the Housing Alliance is seeking additional funding for the Homeless Assistance Program (HAP) run by the Pennsylvania Department of Human Services (DHS) and flexibility for those resources to be used for eviction diversion and prevention programs including landlord-tenant mediation, rental assistance, and legal representation.
The Governor’s proposed budget includes an additional $10 million for Homeless Assistance, $5 million for legal representation in eviction proceedings, and $5 million to local governments for rapid response to emergency housing needs.
These represent tremendous investments, and we are working to see these initiatives included in the final budget.
What’s Next
In the coming weeks, both House and Senate Appropriations Committees will hold budget hearings with most state departments and agencies to examine the proposed spending plan.
The Housing Alliance will be working with advocates and partners to gain legislative support for all the above proposed housing investments.
With Pennsylvania now the only state in the nation with a divided government, we have challenges before us; however, the short supply of housing and the plight of renters has been elevated in a way that we’ve never seen before.
We have never treated housing as a partisan issue, but rather a problem that requires everyone’s attention and expertise to properly address.
Sealing Eviction Records
Many renters who have never been evicted carry eviction filing records. While eviction filings are civil matters, they bar potential tenants from housing in the same way that criminal records can prevent former offenders from obtaining employment.
Eviction filings are permanently recorded and reported to landlords regardless of the outcome of the case. Even when a case is withdrawn, dismissed, or settled outside of court, the eviction filing is permanent with no legal remedy available to seal it.
Tenants with eviction filings are often forced to pay higher rents, settle for housing that is less safe, or they are simply automatically screened from consideration by future landlords.
In keeping with the standards set by Pennsylvania’s Clean Slate legislation which limits access to certain criminal histories, as well as credit reporting which drops bankruptcy filings after seven years, the Housing Alliance is seeking to enact a remedy to limit access to eviction filing records.
State Representative Smith-Wade-El and State Senator Nikil Saval are drafting legislation that would place an Order of Limited Access on eviction filings until a tenant loses their case in court. If the court decides for the landlord, an eviction record would remain open for several years until it is ultimately placed under a permanent Order of Limited Access, providing a second chance for tenants.
The Housing Alliance is working to engage legislators in all four caucuses to support the proposal.
On Thursday, February 15th, beginning at 1:00p.m. the Senate Democratic Policy Committee will hold a public hearing on this issue at the Wilkinsburg Municipal Building in Pittsburgh.
On Tuesday, Governor Josh Shapiro delivered his 2024-25 State Budget proposal to the General Assembly which includes historic investments in housing, home repair, homeless assistance, and eviction prevention.
The proposed budget includes:
- Increasing the PHARE program funding cap to $100 million by 2027-28, with $10 million per year increases
- $50 million for the Whole Home Repair Program
- $10 million for the Homeless Assistance Program
- $5 million for legal representation in eviction proceedings
- $5 million to local governments for rapid response to emergency housing situations
In the coming weeks, both House and Senate Appropriations Committees will hold budget hearings with most state departments and agencies to examine the proposed spending plan.
The Housing Alliance will be working with advocates and legislators to enact these funding proposals in the final 2024-25 state budget which is due on June 30th.
What the State Legislature Will Be Facing This Year: The Big Picture
In this month’s legislative update, the Housing Alliance’s Aaron Zappia gives us the overall context and political environment in which our state legislature is likely to operate this year, potentially impacting our policy priorities.
The new year is off to a typical slow start in the state legislature, especially with neither the House or Senate scheduled for a full week of session until March.
2024 is the second year of the current 2023-24 legislative session. All bills not passed by the end of this calendar year will need to be re-introduced to start the process over again in 2025.
With the new year, the General Assembly begins working towards a state budget that is due June 30th—even though that deadline is often well overridden. The first landmark on the budget odyssey is the Governor’s budget address which typically happens the first week of February. In 2023, we were delighted that Governor Shapiro addressed housing needs in his inaugural budget proposal. While we do not know if or how housing issues will be handled by the Shapiro Administration in 2024, the Shapiro team has been holding regional listening sessions to take policy recommendations from those on the front lines.
Here is what we know about 2024:
- Education funding is likely to dominate budget negotiations as usual.
- Democratic legislators are expected to continue to propose billions in additional state funding for public education, acting on a mandate from the Pennsylvania Commonwealth Court ruling that found inequality in how public education is funded.
- If education funding is to significantly increase, Republican lawmakers will likely expect an investment in a School Choice Voucher pilot program. $100MM was proposed in 2023. This largely contributed to the delayed finalized budget in 2023.
- Pennsylvania now officially has the only divided legislature in the nation with a Democratic controlled House and Republican controlled Senate.
- Pennsylvania remains a key battleground state in this year’s Presidential election, and most of the General Assembly is up for reelection.
What does it all mean?
2024 is likely to be a noisy year, full of partisan political rhetoric and campaign distractions.
In order to continue the progress we’ve made so far in funding PHARE, Whole Home Repairs, blight policy, and eviction prevention, housing advocates are going to have to cut through the noise and remind lawmakers that we are still experiencing a housing crisis. As always, this happens through local engagement—people reaching out personally to their State Senate and House members asking for an audience to discuss housing policy.
The Housing Alliance is here to guide and arm advocates with the tools necessary to avoid the chaos and deliver our message to state lawmakers.
Status of Increasing Funding for PHARE
The Housing Alliance will continue to seek an increase to the PHARE funding cap from $60MM to $100MM over a three-year period.
In addition to two free standing bills in the House and Senate, PHARE was amended into HB1219—an omnibus Tax Code bill that was passed by the PA House last fall. The legislation still awaits consideration in the Senate, and should it move forward, we will work to retain the language to increase PHARE.
While the General Assembly is not required to approve a tax code measure each session, it is typically done along with the budget enabling legislation or as session concludes in the fall.
It is always helpful to talk to legislators about the importance of PHARE in your community.