Stories of housing struggles shared as state readies plans for $1 billion in support

Aug. 5—ROCHESTER — Olmsted County Housing and Redevelopment Authority's resident commissioner might need to step down from the board due to a lack of available affordable housing.

"After about 20 Rochester-area housing inquiries, because I can't find what I need here, I feel I need to move my search to another county," said Tania Rhiger, who fills the HRA board seat designated for a resident using federal housing assistance.

If she ends up moving outside the county, the mother of two will need to step down from the local HRA role.

Rhiger became officially homeless in June after receiving a 30-day notice at her Byron rental home. Since then, she she's been staying with a friend and said approximately 90% of the landlords she's contacted won't accept her U.S. Department of Housing and Urban Development voucher, which covers rent costs beyond 30% of her income.

In a tight housing market, she said she has found one potential rental, which required a $555 application deposit. The upfront cost means she can't afford to apply for other local housing, spurring a search beyond county borders.

"I have already lost hope," she told a group of more than 100 people gathered Saturday at Christ United Methodist Church to talk about housing challenges and potential answers in $1 billion in housing support approved by the Minnesota Legislature.

"We are working to make Minnesota the best state for people to find safe, affordable and accessible housing," Sen. Liz Boldon told the crowd gathered by Isaiah, an advocacy group that pushed for added housing support.

The Rochester DFLer, who serves as vice chairwoman of the Minnesota Senate Housing Committee, was joined by Senate Housing Chairwoman Lindsey Port, DFL-Burnsville, and House Housing Committee Chairman Mike Howard, DFL-Richfield.

While the two-hour forum pointed to potential changes on the horizon, Howard said it's just a start.

"We've taken a step forward, and we need to keep moving forward," he said.

Existing and past challenges were highlighted throughout the forum.

Marie Harp, a Rochester medical interpreter and part-time student, outlined her struggles to find housing as someone who lives with severe chronic pain, fatigue and other symptoms.

"My work history is spotty," she said. "There are days and weeks and months at a time when I am physically unable to work."

As a result, she struggled to find housing this spring without the ability to show a solid two months of steady income. Added to that, related medical debt hampers her credit score.

"Time and time again, even for the most affordable housing, I couldn't even apply, because I could not meet their requirements for credit and income," she said. "This process was terrifying."

Harp said she was able to find an apartment that meets her needs, but continues to face stress with the knowledge that she might need to conduct another search in the future.

Dennis Siggers also cited uncertainty in his housing future, pointing to his criminal history as a barrier when it comes to applying for an apartment, despite having a job and seeking a new direction in life.

He said felons seeking housing are often left with limited housing options that can put them at risk, either of returning to criminal activity or becoming a victim of it.

"I want to live in a nice environment and not have to worry about watching my back when I walk out the door," he said.

Port said the state's $1 billion in housing investment seeks to address some of the concerns voiced Saturday, from providing new avenues for state housing assistance to increasing available funds for building new housing and renovating existing housing.

With spending planned over a two-year period, details are still emerging about some of the programs as others will build on existing efforts.

The bill will increase metro-area sales taxes by 0.25% to generate an estimated $353 million every two years for localized rental assistance similar to federal HUD vouchers, also known as Section 8, but it also sets aside $46 million for statewide vouchers.

Locally, Olmsted County Housing Director Dave Dunn said that could mean 75 to 150 vouchers in a county where only 15% of eligible families are able to access the federal Section 8 support.

"When you talk about the need for housing assistance, it's huge here," he said. "If you think about it, if only 15% of people who qualified for food assistance or medical assistance were the only ones to receive it, it would be a crisis situation.

"That's where we are at with housing."

Howard said the planned 5,000 vouchers statewide is only a first step, since an estimated 200,000 Minnesotans are eligible to receive the support.

In addition to helping with rent payments, the state housing legislation is investing in efforts aimed at creating more homeowners.

It provides $150 million for down-payment assistance statewide, which is expected to help 5,000 first-generation homeowners.

Rochester resident Catherine Fisher said that could help her as she continues to struggle with rent increases after being able to end her family's homelessness with the help of Family Promise Rochester four years ago.

While she no longer sleeps in her van or is separated from her children for extended periods, she said the instability of rental housing continues to cause stress.

"My next step is I'm searching for a house that I can call my own, a home for my kids to grow up in and pass on to them when they get older and maybe pass on to their kids," she said.

Howard said the ability to create new generational wealth is the goal behind the down-payment assistance efforts, especially among families that have faced racial barriers to homeownership in the past.

New single-family homes, as well as rental and senior housing, are expected to be constructed with $200 million in housing infrastructure funding, while other programs will provide investment in mobile home parks and renovations of older housing so it can remain affordable.

Other funding will target homelessness prevention, as well as services for those who end up without shelter.

Port said she's hopeful that this year's legislation is just a start for the state.

"This should be the new normal for how we look at investing in housing," she said.