Our take on: Hands off housing

December 1, 2011 | Orlando Sentinel

Almost 20 years ago, Florida legislators increased a tax on real-estate transactions to create a trust fund that would finance state and local affordable-housing initiatives. They did so at the urging of a coalition of business groups, local governments and advocates for the poor and elderly.

But in recent years, legislators have been raiding those dollars to plug holes in the state budget. They’ve plundered at least $700 million from the fund since 2008.

Defenders of this fiscal faithlessness have argued that a glut of vacant homes and falling prices created by the real-estate crash in Florida make affordable-housing programs unnecessary. But many of the vacant homes need major repairs to be livable; and even with lower prices, many families still need help with mortgages before they can move in.

The trust-fund dollars that legislators have been pilfering can be used for both purposes. Next year, the fund is expected to take in almost $117 million.

The same coalition that initially backed the tax hike figures that if legislators let the money be spent for its intended purpose, it would create almost 9,000 jobs and pump nearly $900 million into the state’s economy. It would give the hard-hit construction industry a shot in the arm, aid struggling families and help stabilize the housing market by reducing the glut.

If legislators are sincere about creating jobs and reviving the state’s economy, they’ll keep their hands off the affordable-housing trust fund next year.