The Gianforte Admin Is Sending Nearly $100 Million Back to the Feds That Was Supposed to Go to Montana’s Emergency Rental Assistance
FOR IMMEDIATE RELEASE
Thursday, September 29, 2022
CONTACT
hadley@montanademocrats.org
Helena, MT – At this month’s ARPA Economic Stabilization Commission, Gianforte’s administration revealed that of the $350 million in Emergency Rental Assistance that Montana received from the American Rescue Plan Act of 2021, the state has failed to distribute almost a third of that. Over $98 million in Rental Assistance is being clawed back by the federal government because Montana failed to disperse the funds to those who needed the help.
This money is being clawed back while Montanans in all four corners of the state struggle to keep up with rising rents. According to the state’s annual Labor Day Report, Montana home prices increased by 44% and newly advertised rents grew 20% in the two years ending with Q1 of 2022. Private sector hourly wages, on the other hand, only rose 8.5%.
The Governor seems unmoved by the housing crisis in the state. Not only is he letting almost $100 million in federal rental assistance leave the state, he is also sitting on a nearly $2 billion dollar budget surplus – funds that, according to a plan released by the Montana House and Senate Democrats, is more than enough to make real progress on solving the housing crisis.
The Democrats called for investing $500 million to drastically increase the supply of housing by providing low- and no-interest loans to developers and nonprofits building homes that working families can afford.
To protect homeowners who are struggling to afford skyrocketing property tax valuations, the Democrats recommend investing $250 million in property tax relief, including immediate relief through a one-time property tax refund targeted to actual working folks, not millionaires, as well as ongoing protection against future unaffordable tax hikes.
“Montana is facing a housing crisis and we have the money and the political know-how to address it,” says Sheila Hogan, executive director of the Montana Democratic Party. “Governor Gianforte owes an explanation to the thousands of Montanans who are struggling to find and afford housing – why did he give these critical resources back?”
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