Update to this post. The program did not receive funding in the last minute approval of the budget on December 13, 2023. The program will not be funded in 2024. We expect the popular program will again be considered in the 2025 budget negotiations in June of the coming year. Though this is disappointing there is still hope that future funding can continue this program.
The current budget stale mate in Pennsylvania has claimed another casualty putting a hold on the popular Whole Home Repairs Program. The program was established last year with $125 million in federal pandemic aid and was the largest state investment of its kind in years.
Counties have begun taking applications but overwhelming demand has left hundreds of people unable to get help. Another $50 million for the program was included in the state budget approved in August, but the money remains in limbo until state lawmakers can agree on additional legislation to disperse the fuunds.
The program offers income-eligible homeowners grants to address problems like leaking roofs, unsafe electrical wiring, and broken furnaces. The funding can also be used to make properties more energy-efficient, or accessible for people with disabilities, as well as for construction-related workforce training.
Under state law, counties can award grants as high as $50,000, more than is available through many existing home repair programs. But many counties have chosen to cap the grants at around half that amount to avoid prevailing wage requirements that administrators say would create major obstacles for small contractors.
The program was also intended to help preserve the supply of affordable rental housing by offering loans to landlords who own no more than five properties. Most counties, however, have chosen not to do so, wary of a requirement that they monitor the rents charged for 15 years after awarding the funding.
With ongoing labor shortages in the construction industry, some counties are having difficulty finding contractors to do the work.
Pennsylvania has some of the oldest housing stock in the U.S. Almost 60% of homes in the commonwealth were built before 1970, according to a recent state report that found the number of uninhabitable vacant units was rising. The state’s aging housing stock “poses special risks to seniors and the disabled,” the report found.
The new program aims to address unsafe living conditions, allow older people to stay in their homes longer, and lower utility bills — often a major burden for low-income families — by making houses more energy-efficient. The program also targets long-standing labor shortages in the construction industry by providing funding for job training and workforce development.
While some local governments already offered home repair grants through a patchwork of existing, smaller programs, county officials said the new state funding was especially welcome after the pandemic strained residents’ finances and inflation drove up the cost of repairs.
Many counties have been flooded with applications. WSG will continue to monitor this program as part of our Housing focus.
