San Diego Housing Commission Proposes Rent Hike for Voucher Users

UPDATE: San Diego residents relying on rental vouchers could face significant rent increases starting late next year. The San Diego Housing Commission is considering a proposal that would raise the portion of income families contribute to their rent from as low as 24% to an alarming 40% amid a deepening budget crisis.

JUST ANNOUNCED: The Housing Commission, led by President and CEO Lisa Jones, will present the proposal to the agency’s Board of Commissioners this Friday, with a public hearing set for November 17. A critical vote on the measure is expected on December 11, which could dramatically impact approximately 17,000 households in San Diego that depend on these vouchers for housing.

The current system allows low-income families to pay a flat fee for rent. For example, a household with one working adult pays around $400 monthly, while families with two able-bodied adults contribute $650. Under the new proposal, those amounts would soar to $580 and $1,155, respectively. Moreover, a new category for families with three or more working adults would require a staggering $1,735 monthly contribution.

These changes come as the cost of rental assistance has skyrocketed from an average of $876 per month per household in 2020 to nearly $1,500 today. The agency warns that its reserves could be depleted by 2027, potentially leading to the removal of 1,700 households from the voucher program, impacting an estimated 6,000 people, many of whom are children.

The proposed increase in payments raises urgent concerns, especially as inflation and rising living costs threaten to displace low-income families. The San Diego Housing Commission aims to alleviate these burdens by assisting voucher recipients with job searches and training, and offering options for delaying increases for those facing hardships.

While the new plan could have devastating consequences for many, certain groups, including the elderly and disabled, are expected to remain exempt from these hikes. Additionally, the Veterans Affairs Supportive Housing program (VASH) recipients will not be affected.

If the Board of Commissioners approves the changes in December, the proposal will still need the green light from the U.S. Department of Housing and Urban Development, which could come as early as February or March 2024. Rent increases could then take effect within 6 to 9 months, potentially hitting families as soon as November 2026.

This urgent development underscores the critical need for affordable housing solutions in San Diego amid escalating economic pressures. As families brace for potentially life-altering financial decisions, the community watches closely for the upcoming board vote.