B4 • Friday, February 24, 2023
THE GARDEN ISLAND
thegardenisland.com
Oregon proposes $200M for housing Much of the money would fund a $130M homelessness and housing budget ask from Gov.Tina Kotek Claire Rush ASSOCIATED PRESS PORTLAND, Ore. — Democratic lawmakers in Oregon have proposed a $200 million spending package to tackle homelessness and housing as the state struggles to build more homes and move a growing number of people off the streets. “Affordable housing has to be our number one goal,” Democratic state Rep. Maxine Dexter said during a news conference on Wednesday. “That’s really where the root cause of homelessness is coming from.” Much of the money would fund the $130 million housing and homelessness budget request that Gov. Tina Kotek, upon taking office last month, urged lawmakers to allocate as soon as possible. The funds would create 600 shelter beds and go toward housing more than 1,000 people currently without shelter, among other things. Kotek’s budget request was paired with an executive order that declared a homelessness state of emergency in parts of the state — mostly near big cities, where the number of people living
presented the package Wednesday as bipartisan, naming two Republican colleagues who worked with them on certain measures. While those Republicans acknowledged the crossaisle collaboration, they said more work still needs to be done. “I don’t feel that it’s time to take a victory lap on this issue because the bill doesn’t go far enough to accelerate production in the short term to reach the Governor’s annual production goal — not to mention it’s not a finalized package,” said Republican state Sen. Dick Anderson in an emailed statement. The package still has to work its way through committees. Democratic lawmakers said they hope to pass it by mid-March. Oregon has grappled for years with interconnected afGENE J. PUSKAR / ASSOCIATED PRESS FILE fordable housing and homeIn this aerial photo, tents housing people experiencing homelessness are set up on a vacant parking lot in lessness crises. It is short Portland, Ore., on Dec. 8, 2020. 140,000 housing units, analysts and agencies have estiOregon live in rural areas, ac- pand homeless services for outside has increased by mated, and federal data deforestation, officials more than 50 percent since youth and increase rental as- across the state, including shows its homeless populacording to the latest 2022 2017. While largely welGov. Kotek, are hoping it will tion has increased by 22 perfederal point-in-time count. sistance for tenants facing speed up housing construc- cent since 2020. “As a legislator represent- eviction notices. comed by advocates, the exIt would also aim to boost tion and create jobs in rural ••• ecutive order was criticized ing parts of rural and coastal by some lawmakers because Oregon, it’s important to me affordable housing construc- areas hit hard by the decline Claire Rush is a corps memit excluded many rural areas. that we make sure our state’s tion by changing land-use of logging. ber for the Associated Press/ In an apparent bid to adresponse to homelessness Kotek has set a new hous- Report for America Staterules and investing $20 milreached the 25 rural coundress that criticism, the lion in the factory producing construction target of house News Initiative. Report package unveiled Wednes36,000 units per year — an for America is a nonprofit naties and the hundreds of tion of modular homes, 80 percent increase over cur- tional service program that notably those built with day provides $27 million for small cities and towns in homeless services in 25 rural those parts of Oregon,” said mass timber. places journalists in local rent production — in an efDemocratic state Rep. David While environmentalists counties. newsrooms to report on unfort to address the state’s Gomberg. say the mass timber indusAbout 4,000 of the nearly housing shortage. dercovered issues. Follow The package would ex18,000 homeless people in Democratic lawmakers Claire on Twitter. try could lead to increased
U.S. average mortgage rates jumps to highest level since November ASSOCIATED PRESS The average long-term U.S. mortgage rate jumped this week to its highest level since November, more grim news for a housing market that’s been in decline for a year. Mortgage buyer Freddie Mac reported Thursday that the average on the benchmark 30-year rate rose to 6.5 percent from 6.32 percent last week. The average rate a year ago was 3.89 percent. The average long-term rate reached a two-decade high of 7.08 percent in the fall as the Federal Reserve continued to raise its key lending rate in a bid to cool the economy and quash persistent, four-decade high inflation. At its first meeting of 2023 earlier this month, the Fed raised its benchmark lending rate by another 25 basis points, its eighth increase in less than a year. That pushed the central bank’s key rate to a range of 4.5 percent to 4.75 percent, its highest level in 15 years. Fed Chair Jerome Powell noted at the time that some measures of inflation have eased, but appeared to suggest that he foresees two additional quarter-point rate hikes this year. Minutes from that meeting released Wednesday mostly corroborated that view, but a series of strong economic reports in recent weeks has some analysts forecasting more than two rate increases this year, to a range of 5.25 percent to 5.5 percent. The rate for a 15-year mortgage, popular with those refinancing their homes, climbed this week to 5.76 percent from 5.51 percent last week. It was 3.14 percent one year ago.