Proposed Renter Support Bill May Divert Some Funds to Developers

"Despite a host of compromises over what to prioritize, Portland City Council has yet to decide how to allocate $21 million in funding generated by the city's Rental Services Office. After a handful of amendments, a resolution initially intended to allocate funds toward rent stabilization and homelessness prevention morphed into a proposal that could instead see millions funneled to Prosper Portland-the city's economic development agency."

"First proposed in early December, the "Slow the Inflow" resolution was intended to address immediate needs of people who are at risk of homelessness. That's because in Multnomah County, nearly 1,600 people became homeless in November-the latest data available-with nearly 1,200 of those engaging with homeless services for the first time. At the same time, 1,300 people exited homelessness that month-with 420 moving into permanent housing."

"Coming out of the Housing and Homelessness Committee, the resolution was predominantly focused on sending direct aid to people facing homelessness, including rent assistance, housing vouchers, and rapid rehousing programs. With the new amendment Council passed January 28, over a quarter of the total $21 million dollars could instead funnel into the city's economic development corporation Prosper Portland-a contentious facet of the legislation."

Portland City Council has not decided how to allocate $21 million in unspent Rental Services Office funds identified by a PHB audit covering 2021–2024. The original Slow the Inflow resolution aimed to provide immediate rent stabilization, rent assistance, housing vouchers, and rapid rehousing to people at risk of homelessness. Recent amendments could redirect more than a quarter of the funds to Prosper Portland, the city's economic development corporation. Multnomah County recorded nearly 1,600 new instances of homelessness in November while 1,300 people exited homelessness that month, including 420 into permanent housing. A final council vote did not occur.

Read at Portland Mercury