Affordable Housing, Announcements, Community Development, State News, Supportive Housing

Housing Highlights from the Governor's Budget Proposal


Governor Malloy’s FY13 Budget proposal, released on February 8, reinterated the commitments he made to affordable and supportive housing during his February 1st press conference.  The budget proposed by the Governor includes the state’s largest investment in housing in more than two decades, with significant new funding for the preservation, rehabilitation and creation of affordable and supportive housing.

Last year, Governor Malloy added $100 million in new capital funding for affordable housing ($50 million in FY12 and $50 million in FY13) and $30 million in capital funding to develop 150 new units of supportive housing units coupled with an annualized $2.6 million for operating and support services. In a February 1 press conference, the Governor outlined his Affordable Housing Initiative. The elements of the Affordable Housing Initiative are incorporated in his budget proposal and include the following:

  • Significant new funding for public housing revitalization. 
    The proposed budget authorizes $30 million in bonding in FY 13 as start of ten year commitment of $300 million to preserve and upgrade state public housing.  Funding is supported with an annualized $1.5 million ($750,000 beginning in January 2013) for 150 new RAPs to provide an adequate ongoing revenue stream.
  • Additional funding for affordable housing. 
    The proposed budget adds $20 million to the $50 million already authorized in the biennial budget – bringing the total available funding for affordable housing in FY13 to $70 million. 
  • New funding for elderly congregate housing. 
    The propoosed budget adds $12.5 million in capital funding for the state’s elderly congregate housing program which would support the development of about 50 new units of elderly congregate housing, with $405,000 for ongoing congregate operating subsidies.  
  • Additional funding for supportive housing. 
    The proposed budget contains an annualized $1.5 million ($750,000 beginning in January 2013) to support an additional 150 RAPs for scattered site supportive housing. It is expected that support services will be provided through a federal CMS Innovations grant.  
  • Reorganization and coordination of the state’s housing functions. 
    The proposed budget combines state housing functions in a new State Office of Housing within DECD to provide leadership and facilitate coordination.  State-funded DSS programs and nine staff to transfer are the Rental Assistance Program, Residences for Persons with AIDS, Emergency Shelters for Homeless, Domestic Violence Shelters, Transitional Living, Special Projects for Homeless Shelters, Housing Mediation and Rent Bank, and Security Deposit Guarantees.  Also, the DCF rental assistance subsidies portion of the Supportive Housing for Families program and the Elderly Renters Program from OPM will transfer with one staff.  DECD will receive two new positions.
  • Legislative changes to the HOMEConnecticut program. 
    Proposed legislative changes to the Incentive Housing Zones program will facilitate OPM’s ability to manage limited funds and ensure that funding is targeted to those municipalities that are taking steps to develop affordable housing for their residents.

The governor’s full budget is available here.
For more information about the Governor’s proposed investments in housing, read our related article on the 2/1 press conference announcing the Administration’s Affordable Housing Initiative. 


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