The city of Austin has announced the indefinite closure of its rental assistance portal, a decision that will prevent individuals seeking help with their rent from applying for city support. Initially scheduled to open on April 1, the city will now redirect its resources towards eviction settlements, leaving many families without crucial assistance.
Officials have indicated that this program’s termination will impact hundreds of families who rely on these funds to avoid eviction. The changes come in the wake of budget cuts following the defeat of Proposition Q last November. Originally, the city had allocated $4 million for both rental assistance and eviction prevention, but the budget has since been reduced to $3 million, which is now solely designated for eviction settlements.
Susan Watkins, the city’s housing division manager, noted that the funding will primarily support individuals facing eviction, including those needing help to pay back rent. “This shift is kind of a return to what we know is something very important for residents that are facing eviction,” said Watkins, emphasizing the city’s commitment to maintaining essential services despite financial constraints.
Rosa Murillo, CEO of El Buen Samaritano, an organization that helps distribute rental assistance funds, expressed her shock at the program’s termination. With approximately 180 families currently receiving aid out of 2,000 monthly applicants, Murillo stressed that the ongoing need for assistance remains unmet. “We weren’t even serving 10% of the need,” she remarked, urging residents to reach out for help as alternative resources are available.
Murillo cautioned that the cuts to social services would have broader implications beyond financial hardship. “By cutting the infrastructure of social services in this community, what ends up happening is you see more pressure and impact on the emergency services,” she explained. The ripple effects of financial strain can also exacerbate mental health issues, a concern she believes the city may not fully consider in its decision-making process.
In the previous fiscal year, the city allocated $3.6 million for the rental assistance program, which benefited numerous households. Watkins confirmed that the final disbursement from this budget will occur in early March.
The announcement of the program’s closure has drawn criticism from members of the Austin City Council. Council Member Vanessa Fuentes, a staunch advocate for the rental assistance initiative, expressed disappointment, highlighting the impact on vulnerable families. Just days before the announcement, she had referred a resident to the program. “Its closure blindsided us,” Fuentes stated. “Shutting down a lifeline for so many struggling families is disappointing, alarming, and only further highlights the urgency of our affordability crisis.”
Council Member Ryan Alter echoed these sentiments, describing the decision as disheartening but recognizing the need to refocus limited financial resources. “We are going to have to figure out how to continue to support these families so they don’t end up falling into homelessness, which becomes more expensive for the public to help them,” he noted.
Austin’s rental assistance program was introduced in response to the financial hardships brought on by the COVID-19 pandemic, which left many unable to meet their rent and other essential bills. Since June 2021, the city has distributed over $16 million to more than 3,100 households, providing support not only for rent but also for eviction settlements and related moving costs.
Those in need of assistance can find additional resources through Speak Up Austin.
