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Joel John Roberts

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Who Should Win This Country's Housing Lottery?

Posted: 07/14/2012 12:22 pm

Placing people in those coveted, and quite limited, permanent supportive housing units across America is a bit like desperately trying to win that golden ticket in the movie Willy Wonka and the Chocolate Factory. Millions of people are in need of affordable housing, and only a handful of apartments are subsidized by the government.

If you are homeless, the odds of accessing an affordable apartment with support services are probably worse than winning a money lottery. Of course, some cities, like Los Angeles, set aside rental vouchers for people who are homeless, but with 50,000 Angelenos homeless the vouchers are never enough.

So how should society prioritize who gets a coveted subsidized housing unit?

The demand is high since moving into one of these units is really like winning the Super Lotto. If you're lucky enough to win a golden housing ticket, you receive subsidized rent for life. That could be around $1,000 per month, depending on your actual rent and your limited income. (You are typically mandated to pay 30 percent of your income toward rent, and you obviously can't rent some outrageously expensive loft.)

That $1,000 per month subsidy could end up costing the federal government almost a quarter of million dollars within a span of twenty years. Definitely an expensive winning ticket.

So who should get one?

Most of the time, priority is based on timing. Housing vouchers are allocated to a jurisdiction, or an affordable housing facility is built, and whoever is lucky enough to get on the list first earns the right to subsidized rent for a lifetime.

But with this system the most hurting people -- for example, sick people who are homeless or elderly folks with limited physical capacity -- are typically unable to respond quickly enough to make the list. The most functional and qualified people usually win the right to move in.

This is like entering a hospital emergency room, and the people who see the doctor first are those who can write the best essay on why they need help. Not real practical.

Other times, a list is put together, usually tens of thousands of people sign up, and then a simple lottery is performed. Priority is based on luck. If your name is pulled out of the hat, you get your lifetime rent paid. Again, if this were an emergency room, the doctor would place everyone's name in a hat and treat the lucky ones whose names are pulled. Sort of stupid.

There are other ways to figure out who gets affordable housing.

There is the priority of economics. Let's prioritize those people who cost society the most. These are the people who are treated by emergency services, assisted in mental health clinics, and flow in and out of the jail system. It is cheaper to house them at $1,000 per month, than the status quo of keeping people on the streets using expensive emergency services for free.

But what if these people are dead-beat dads, ex-convicts, or simply people who don't want to work and just want to party on the streets? Do they deserve subsidized affordable housing? Some people in Los Angeles have been debating this priority.

How about the political priority of housing people? House those people on the streets who cause the most complaints. Business owners or neighborhood groups would call their local political leader, screaming to get them off the streets even if it means giving these nuisance-causing people a housing voucher. In other words, the squeaky people get the oil, or in this case the housing unit.

In our emergency room analogy it would mean the people who scream the loudest in the waiting room get treated first. (Those who have throat cancer or strep throat would certainly be in trouble.)

There is, however, a better way to prioritize people for those coveted subsidized housing units. Instead of prioritizing people based on timing, luck, economics, or politics, we should give priority to the most hurting people on the streets.

The 100K Homes movement is the leading national advocate for this approach. They say housing priority should be based on vulnerability, people who are most likely to die on the streets because of disability, health, and number of years on the streets.

Permanent supportive housing has become the mantra for ending homelessness in America. But if we place in these units the people most able to navigate the highly bureaucratic acceptance procedures, or we use priorities like timing, luck, economics, or politics, then this movement will do little to end homelessness.

Prioritizing based on the most hurting people, who otherwise could very well die on the streets, just makes sense. If I had to walk into an emergency room, I would hope the doctor would use a similar priority system.

 
 
 

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Placing people in those coveted, and quite limited, permanent supportive housing units across America is a bit like desperately trying to win that golden ticket in the movie Willy Wonka and the Chocol...
Placing people in those coveted, and quite limited, permanent supportive housing units across America is a bit like desperately trying to win that golden ticket in the movie Willy Wonka and the Chocol...
 
 
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09:40 AM on 07/16/2012
What does obama have to do with the discussion? One poster said that women and children should come before this man and dog. I do not agree. The man and dog is just as much in need. If you believe in fairness, it should be first in line recieves.
However now there is the public sentiment kids come before even people who have paid into programs. This encourages more people to have them and come here for handouts. I do not think this is fair to others.
But of course, the fairness agenda is not really about being fair.
10:46 PM on 07/15/2012
I think you've confused subsidized housing with supportive housing. Obviously there's not enough affordable housing, market-rate or subsidized, but supportive housing is meant for people who are either high resource users or disabled and needing monitoring to prevent them from ending up back on the streets. In Portland, Oregon we ran a vulnerability index -- those homeless who scored highest on variables such as physical or mental disability and age were housed first.

Disabled people dependent on SSI cannot afford ANY private housing in my city; we demolished our SRO hotels, building pricey condos in their place.

Section 8 is an income-based federal subsidy taking years to get even after one is on the waiting list, which only takes new applicants every few years. My own housing subsidy, "Shelter Plus," is available only to the chronically homeless. I qualified after 18 months living in my car and a tent, during most of which I worked full-time yet could not afford the cheapest apartment in town on the minimum-wage survival jobs I took after becoming disabled.

On one hand, yes, it does feel like I've won a "Golden Ticket." On the other, without the subsidy, I'd still be in the car. And living in extreme poverty for the rest of my life as a disabled person unable to afford mental health care even with Medicare is nothing to envy...
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Crisdean Wulver
We've got our priorities screwed up.
09:52 PM on 07/15/2012
I've been thinking about this for at least twenty years.

Wages keep going down. Car prices keep going up. Rents keep going up. It's getting harder and harder to be poor. Car companies need to be making lower-priced, bottom of the line cars. And builders need to be building more low-income housing.

At this rate, everyone will be homeless one day. And since we all have too much stuff to put in a grocery cart, it'll end up in some warehouse after people have to sell it to pay their bills. And then all our stuff will have a place to stay, but we won't.
04:43 PM on 07/15/2012
As long as the basis for local government income is property taxes, as long as real estate tax breaks are given proportional to housing valuation, and as long as the real estate industry is coddled, it will be difficult to keep housing valuation in line with actual income. There are dozens of agencies or industries trying to pump up valuation and nothing out there to counterbalance that irresistible force. As a result, labor costs in cities invariably rise to uncompetitive levels trying to keep up with housing costs, and themselves then fuel further irrational cost escalation.

Come on, this is not rocket science. Housing is a basic necessity. It's been demonstrated over and over, most people don't know how to realistically evaluate future earnings and financial needs. And they will overspend on housing. The real estate industry benefits when people overspend. And so-called financial advisors exacerbate the problem because they advise people using overly optimistic planning formulas.

There needs to be some sort of tax break or other incentive given to people who pay less for housing. For example, a better tax break will be given to people who pay less than a certain percentage of their income on housing. People who spend more money investing in business or supporting business directly from money not spent on housing should be rewarded. Yet the current tax code penalizes them, encouraging overspending in housing.
03:15 PM on 07/15/2012
"subsidized rent for a lifetime"

Should not be an element of a free society.
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HUFFPOST SUPER USER
Martha Fair
Professional RepubliBilly Factchecker
11:41 PM on 07/15/2012
but people starving and people homeless should? i'm sorry but, I'm talking about basic here.....like a roof, a bed, and a meal should be standard and if you can't afford to offer them that..then you are part of the problem. Ask yourself what would you do for your own family if they were down and out (and this includes even those that would take advantage of your charity) and then decide which would be deserving and which would not? Otherwise legalize abortion and at the very least birth control, or call yourselves a hypocrite.
01:56 AM on 07/16/2012
Charity can take care of the deserving. The lazy and incompetent can exercise their freedom to starve.
03:08 PM on 07/15/2012
Yep the man and dog if they were first in line deserve a place first. Isnt that what fairness is all about, or does it only suit your obama, propaganda, criteria of it?
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HUFFPOST SUPER USER
Martha Fair
Professional RepubliBilly Factchecker
11:42 PM on 07/15/2012
What does Obama have to do with this discussion...just wondering?
04:44 AM on 07/16/2012
Huh?
02:53 PM on 07/15/2012
I do not think we should put priorities on need. So what if somene has kids and someone else does not. Does that mesn they should die first? Too many have them and come here just to have them.
PhantomShadow
Think what you want about me. You will anyway.
10:57 AM on 07/15/2012
Are you saying that a person on the street deserves subsidized housing more than a single mother with three children not on the street?

That doesn't seem very fair.
10:10 AM on 07/15/2012
Why cant I post here? Not working right is bs
10:10 AM on 07/15/2012
Why cant I post here?
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captaincrawley
If Canada is socialist, then so am I.
04:28 AM on 07/15/2012
Sorry, pal. That's the American Way. Set aside a few opportunities (never enough to solve the problem, of course), and then pretend that the few who are lucky enough to "win" are morally, physically, mentally, and in every other way superior to everybody else. The winners are happy (and know they are better and deserved to win), while the losers blame, not the system, but themselves. Yes, this is always The Sacred, Uncriticizable, American Way
11:20 PM on 07/14/2012
i will agree with everything, but would add that getting housings is more abotu having a good well conected housing case manager and being luckily enough to be hooked up with a shelter/ homeless provider who has an in to ne housing units.
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HUFFPOST SUPER USER
deerinmw
I don't mean to rock the boat, but ...
08:42 PM on 07/14/2012
You write: "If you're lucky enough to win a golden housing ticket, you receive subsidized rent for life."

That simple is just not true. Those who qualify for subsudized housing have to verify their income annually. If they make more money, they pay more (based on 35% of their income); If they make less, they pay less rent. If they should make more money and reach a certain threshhold of annual income , they become ineligible and must move to market rent housing.

Perhaps some people stay their whole lives but obviously most do not or else no unit would become available again - and they clearly do. In fact most do, within a short period of time, once people get back on their feet, have received training etc. You erroneously perpetuate the permanent welfare citizen as too common ~ when it is at most temporary for many. In fact, families generally can only receive welfare money for two years (for their lifetimes) so even having subsudized housing is only a help for so long.

One thing you absolutely failed to mention - while writing of the severe shortage of housing for the poor and disabled, is the millions of HUD owned homes all around the country, now sitting vacant and decaying.

HUD owns these homes, and HUD runs the subsidized housing program. How come no one can put 2 + 2 together?
07:15 PM on 07/14/2012
"But with this system the most hurting people -- for example, sick people who are homeless or elderly folks with limited physical capacity -- are typically unable to respond quickly enough to make the list. The most functional and qualified people usually win the right to move in."
Were are the single/married parents trying to raise children?There is homeless parents with children in this world not to mention the rising number of the above 18 crowd that is homeless.Protect our future protect our children.
06:05 PM on 07/14/2012
I wish somebody would pay for my housing. And my food and health care and heat and cell phone and and and.....
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Pavane
I pick my battles and walk from the rest.
12:37 AM on 07/15/2012
Yeah, because being desperately poor is so much fun.