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NC Habitat for Humanity Impacted by Budget

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Tuesday, June 5, 2012   

DURHAM, N.C. - Cuts to federal programs loom large over North Carolina's Habitat for Humanity chapters. In his proposed budget this year, President Obama did not recommend funding for the Self-Help Homeownership Opportunity Program (SHOP) that helps nonprofits such as Habitat purchase property and develop infrastructure for affordable housing.

Phillip Azar, the associate director of HFH Homes in Durham, says the program is a good one.

"It is a way where Habitat and HUD and the government can partner which does involve ownership, empowerment, private-sector involvement."

Statewide SHOP funds have built more than 1,000 houses, relieving the burden on local and state agencies which have had their budgets cut at the state level. The federal program is built around the Habitat model and involves potential homeowners in the construction of their homes.

Chris Ptomey, the director of Federal Relations for Habitat for Humanity International, says choosing to eliminate SHOP funding will end up costing society in the long run.

"We only serve families that aren't being served by other programs. We're talking about a group of people who either will not be served or will have to turn to other government programs."

Ptomey says the President's reasoning in eliminating SHOP funding is that purchasing property and developing infrastructure is covered under another federal program, but Ptomey says that program, called HOME, does not often fund self-help housing programs.

Habitat says SHOP funding isn't the only issue. The HUD Section 4 program's funding was cut by 30 percent last year. The HFH Goldboro chapter received money four years ago to expand and went from a staff of one to 12 full-time employees.

Executive director Ti'Eshia Moore says the money and staff helps them begin projects.

"We would take 10 steps back in the nature of wanting to save money. We can support the construction part, but the land is hard to come by."

Statewide Section 4 funds have built almost 500 houses since 2006.

Reporting for this story by North Carolina News Connection in association with Media in the Public Interest. Media in the Public Interest is funded in part by Z. Smith Reynolds Foundation.


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