Thanks to the hard work and diligence of homeless advocates, many services and supports for people experiencing homelessness were protected at base funding in the final state budget for 2012-2013. The contributions of many advocates helped maintain the focus on vulnerable households during a long legislative session where a wide range of new restrictions and deep cuts were on the table. While no new funding was added to help serve homeless populations, there are several positives we can all celebrate: maintaining Minnesota's early opt-in to Medicaid expansion; a ruling during the state shutdown that many homeless programs qualified as "essential" services or "core functions of government;" the participation of various agencies, consumers, and individuals in advocacy last session which displayed the collective strength and will to promote the health and well-being of people experiencing homelessness in our state.
*Biennial budget figures are approximate and may include both base and one-time funding. Numbers are based on special session 2011 legislative budget documents.
Two state programs providing housing and services to long-term homeless Minnesotans sustained cuts in the 2012-2013 state budget. Appropriations for the Housing Trust Fund (HTF), which supplies rental assistance and affordable housing development, decreased from $21.1 million in 2010-2011 to $19.1 million for the next biennium--reflecting a $2 million loss in one-time funding. The Long-Term Homeless Supportive Services Fund (LTHSSF) also took a substantial hit. Appropriations for the LTHSSF dropped from $12.8 million in the last biennium to $10.5 million in the next; $3 million in one-time funding was not renewed, but $700,000 in new one-time funding was added to the base. Funding for the HTF and LTHSSF was reduced by 9.5% and 18%, respectively, from the last biennial budget.
Both the HTF and LTHSSF are essential to providing housing and services for participants in the Regional Projects to End Long-Term Homelessness. Hearth Connection and its provider partners are working together to minimize the impact of these cuts on programs and the people being served. Hearth Connection staff will be meeting with partnering agencies in each region to work towards balancing final budgets. We aim to preserve capacity as much as possible, and further changes as a result of the budgeting process will be strategic and equitable to all partners in the region.
While the loss of one-time funding from the HTF and LTHSSF is significant, the regional projects will continue to advance efforts to end long-term homelessness for families and individuals across the state. Service teams, community stakeholders, and other partners are doing vital work to support vulnerable households in stability and recovery, and this biennial budget will not interrupt the pursuit of our long-term goals.
Additional links for the 2012-2013 budget:
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"The State of the Supportive Housing Industry" Report Released
The Corporation for Supportive Housing (CSH) recently released a report outlining current trends, innovations, and future prospects in the supportive housing industry. This is the second year CSH has released "The State of the Supportive Housing Industry" report, which is based on results from a survey conducted annually in March.
While the report highlighted the cost-effectiveness, need, and hope for supportive housing, the impact of the recession and budget crises on resources is evident. "These are the best and worst of times for the supportive housing industry," the report states, pointing to a growing recognition of the importance of supportive housing programs amidst stagnant or declining budgets. Some of the findings include:
- Housing First is the most common supportive housing "innovation" currently being implemented (almost ½ of respondents). As for innovations anticipated in the future, the largest response was for leveraging Medicaid, followed by the integration of supportive housing funding, production, and medical services.
- Not surprisingly, affordable housing was identified as the top priority to meet target populations' unmet needs. Employment support and job training ranked second for unmet needs.
- The "physical environment" of supportive housing in respondents' communities received the highest comparative rating; "access to housing and services" in communities was rated lowest.
Please click here to see more insights from the report.
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New Videos Highlight Successes of Supportive Housing Practices 
A new video created by TIME captures the story of Housing First. Related to the 100K Homes initiative, the video titled "Why 'Housing First' Saves Homeless Lives and Public Money," discusses the emergence and adoption of the Housing First concept. While Housing First was conceived in New York, the model is being used across the country and is rapidly gaining popularity as a cost-effective practice.
Philip Mangano, who led the US Interagency Council on Homelessness from 2002-2009 and helped bring Housing First into national policy, is featured in the video, saying, "Once I understood that this worked, that it was evidence-based and cost-effective, that became the innovation that we attached to the policy...We literally changed the verb of homelessness after 20 years, 2 decades of managing homelessness-the intent became ending the disgrace of homelessness." Please click here to view the video; it's a great story demonstrating the effectiveness of supportive housing and Housing First/Harm Reduction models that could be useful for future advocacy efforts.
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A Minneapolis program was highlighted in a new short video released by the Corporation for Supportive Housing. The FUSE program (Frequent User Service Enhancement) in Hennepin County began in 2007 with a goal to reduce recidivism through permanent supportive housing, and the video showcases their progress thus far in achieving it. CSH's Returning Home Initiative, which provided start-up funding and evaluation for FUSE, resulted in 39% fewer days in county jail and 43% fewer nights in shelter. Commissioner Gail Dorfman is featured on the video saying the project is a "win-win for our community...It's good for taxpayers, it's good for our community as a whole." Partners in the FUSE initiative include St. Stephen's Human Services, Hennepin County, and Heading Home Hennepin.