Testimony Before the Senate Environment and Energy, and the Assembly Environment and Solid Waste Committees Regarding Progress on Hurricane Sandy Recovery Efforts
Staci Berger, Executive Director, August 14, 2013
Good morning and thank you for the opportunity to testify today. My name is Staci Berger, and I am the Executive Director of the Housing & Community Development Network of NJ, the statewide association of more than 250 community development corporations, individuals and other organizations that support the creation of homes and economic opportunities for low- and moderate-income New Jerseyans.
Like so many natural disasters, Hurricane Sandy disproportionately impacted low-income households and communities. 40% of households in NJ that registered with the Federal Emergency Management Agency (FEMA) for assistance have incomes below $30,000 per year. The proportion of low-income households is particularly high among renters, with two-thirds of the renters registered for FEMA qualifying as low-income.Thousands of families are still displaced from their homes entirely, and many former homeowners now have to rent. The already competitive rental market in this region simply does not have an adequate supply of affordable units.
This need has grown with the devastation caused by Hurricane Sandy to homes where lower income renters and homeowners lived. According to the National Low Income Housing Coalition's Out of Reach 2013 report, New Jersey is the fourth most expensive state in the nation to live in. Sandy exacerbated the dire need for affordable rental homes. We need to rebuild New Jersey’s economy for everyone.
Unfortunately, the Christie Administration requested LESS CDBG-DR money for renters than what was actually needed. The State’s original request to HUD would have allowed only 25 percent of the funds to be used to address rental housing needs. While the plan was changed to require the state to use a third of the allocation towards rental housing needs, it is still much less than what we know was needed. We urge you to help ensure that second round Plan Amendments for additional CDBG-DR funding will be used to redress the remaining unmet housing needs of working families, seniors, people with disabilities and other lower income New Jersey residents. We need to be sure that when we rebuild, we do so in a smart and resilient way, so that the next time there is a storm like this – and there will be a next time – we are not right back here having the same conversation.
In order to ensure the next tranche of money is properly allocated, the state should make public its most recent data on the total post-storm housing, economic and infrastructure needs and directly compare this data with the remaining unmet housing needs, at the census tract level. The Christie Administration should hold public hearings as well as public comment periods prior to submission of the draft second round Plan Amendments so the Plan has the most informed and representative input possible.
We are concerned that some key issues have not been effectively addressed to date and urge that they are addressed in the next round. First and foremost, we need much more effective outreach to help people who lost their homes, both renters and homeowners, as well as business so that Sandy victims can learn about the programs and resources that can help them.
I have not seen one billboard or one television ad that tells people how they can be Stronger than the Storm. How about an 800 number or even directing folks to 211? Additionally, a portion of New Jersey’s pending CDBG allocation should be used to increase the number of housing counselors who work with community based organizations to work with people to secure those resources. Our members have HUD certified and trained counselors, experts in helping people navigate programs and services, already located in the affected communities. These folks are on the front lines of dealing with housing needs – they are exceptionally well - positioned to help people in their communities get the assistance they need. Additional CDBG-DR or other funding should make available for local municipalities to hire temporary inspectors to conduct building plan approvals and construction inspections to address the high volume anticipated over the next few years. Alternately, the state could meet this pressing need by adopting temporary rules authorizing that plan approvals and inspections be done by qualified, licensed design professionals.
Finally, the state should do more to address the housing crisis which was laid bare by Sandy. The Christie Administration should create a significant pool of funding ($500 million) to support a variety of affordable and mixed income housing developments, both rental and for sale. The current programs, although well-intentioned, are still inadequate to address the dire need for homes in Sandy-impacted areas and the surrounding communities where people are looking for homes they can afford.
In addition to best using federal funds, there is a lot that NJ can do address the housing needs of Sandy victims. NJ can again use its NJ Affordable Housing Trust Fund to rehabilitate and build new homes that are affordable. This was done with every state budget until this administration took office. Thousands of low income families, seniors and people with disabilities are without affordable homes because money collected in this trust fund is NOT being used to create more homes. This is a program that helped address the needs of urban communities and underserved populations as well as rural and suburban communities.
Similarly, Governor Christie is trying to take $160 million in Municipal Housing Trust Funds from towns that are trying to address the needs for affordable homes in their town. $80 million of these funds are based in the nine hardest hit Sandy counties. The Governor promised after that storm that he would help the families and businesses that were harmed. Why would we use those funds for something other than the same effort, to which so many New Jerseyans have given blood, sweat, tears and their own money to help rebuild? Perhaps he has forgotten his promise, but we have not.
Finally, we also want you to help ensure that Public Trust Doctrine which makes public access to the waterfront a right for all New Jerseyans is enforced. Unfortunately, Governor Christie’s recent policies have curtailed public access regulations and made it more difficult for residents to reach our shoreline. From the beaches along the Jersey Shore to the Hackensack River, and all along the coastline in between, it is becoming harder for folks to reach the water’s edge. As billions of dollars, not just from Garden State taxpayers but from around the nation, are pumped in to our state, we ought to be trying to implementing policies that expand opportunity for all of our state’s residents to access our rebuilt and replenished coastline. Money for restoration and recovery should be conditioned on public access. That way, when we restore the Shore, and the Ironbound, and parts of Bergen County, we do it for everyone. Thank you.