$55.9 million still available in the state’s program for rent and utility assistance
LEXINGTON / LOUISVILLE, Ky. (March 8, 2022) – On Tuesday, Gov. Andy Beshear announced that he is directing an additional $38.7 million to Lexington and Louisville to provide assistance with rent and utilities to more Kentuckians financially harmed by the pandemic.
Using federal funds from the commonwealth’s program, the Governor presented Lexington Mayor Linda Gorton with a check for $11.7 million and Louisville Mayor Greg Fischer with a check for $27 million to aid the cities’ programs.
The Governor said the federal funding formula gave Lexington and Louisville, which have their own eviction relief programs, fewer funds than anticipated. In June 2021, the Governor granted each mayor’s request to allocate additional funds to keep their local programs going.
“Once again, we are showing that Team Kentucky spirit by working with leaders in Lexington and Louisville to help Kentuckians who continue to be negatively impacted by the pandemic,” Gov. Beshear said. “Whether it is the loss of income due to a family member’s death or continued medical bill hardships brought on by COVID, we owe it to those harmed by the pandemic to help them in this unprecedented time of need.”
Under the federal emergency rental assistance program that passed Congress in late December 2020, the cities of Lexington and Louisville applied for direct funding from the federal government for their own local rent and utility assistance programs. Lexington received about $9.6 million and Louisville received about $22.8 million for their programs. Now, Lexington has received $23.4 million and Louisville has received $54 million from the state program as well. These funds must be spent by Sept. 30, 2022.
“Two years ago today, Lexington experienced its first case of COVID-19 involving a Fayette County resident,” Mayor Gorton said. “Since then, the pandemic has touched every corner of our community. Thanks to Gov. Beshear for helping our city. These funds have been essential, allowing us to keep people in their homes. These funds have gone to people who are truly low income – 88% of those who have received rent assistance have had incomes lower than 50% of our area’s median income.”
“We are grateful to Gov. Beshear and Team Kentucky for providing these additional dollars that will allow us to fund the eviction prevention relief applications currently in our pipeline,” Mayor Fischer said. “These programs have been successful because of great partnerships between Louisville Metro, the state, the court system and our local nonprofits, which worked tirelessly alongside the staffs at the Office of Housing and Community Development and the Office of Resilience and Community Services, to provide a lifeline for many of our residents.”
Mayor Fischer added that the city continues to look ahead at longer-term solutions to Louisville’s eviction crisis, including further efforts to expand the city’s affordable housing options.
“More affordable housing means fewer people living beyond their means and fewer evictions. It is critical that we continue to invest in the creation and preservation of affordable housing, as well as explore other avenues to expand affordable housing in our city such as establishing a statewide affordable housing credit,” he said.
Kentuckians can apply for assistance in Fayette County by visiting covid19renterhelp.org. To apply in Jefferson County, visit stopmyeviction.org.
Healthy at Home Eviction Relief Fund
The commonwealth received an allocation of $264 million in federal funds for the emergency rental assistance program. With this, the Beshear administration launched the Team Kentucky Healthy at Home Eviction Relief Fund (HHERF), in partnership with Kentucky Housing Corporation and, working with partners, has paid out $119.7 million in rent and utility assistance to 25,789 Kentucky households. This is an average of $4,639 per household. This includes $108 million in rental assistance and $12.8 million in utility assistance.
The Governor encouraged eligible tenants and landlords across Kentucky to apply for the remaining $55.9 million available for rent and utility assistance. Find out more about the fund at teamkyhherf.ky.gov.
The National Low Income Housing Coalition recently named Kentucky a champion of innovation for its rent and utility assistance program and its success with simplifying the application process for many Kentuckians. The coalition encouraged other states to follow Kentucky’s lead, providing more renters the assistance they need to rebound from COVID.
Team Kentucky Homeowner Assistance Fund
Last month, Gov. Beshear also announced that, thanks to $85.4 million in federal American Rescue Plan Act funds, the commonwealth launched the Team Kentucky Homeowner Assistance Fund. Qualified homeowners can visit teamkyhaf.ky.gov to apply for up to $35,000 in assistance to help with delinquent mortgage payments, property taxes, homeowner’s and/or flood insurance, homeowners’ association fees and utility costs.
If approved, the funds will be paid as a grant directly to mortgage servicers, utility companies, county property tax administrators, insurance agencies or homeowners associations.
“Throughout this pandemic, we have turned over every stone to find ways to help Kentuckians and keeping them in their homes has been a priority, and throughout this program, we have been asked about aid for homeowners impacted by COVID-19,” Gov. Beshear said. “We are thankful for these funds to help ensure each family has their home to help them recover.”
To further help all Kentuckians combat rising prices due to inflation brought on by the global pandemic, Gov. Beshear recently announced that he is providing immediate vehicle property tax relief and proposed a temporary 1% drop in the state sales tax.
Under the Governor’s proposal, Kentuckians would see tax relief of approximately $1.2 billion, of which $873 million is directly related to sales tax savings and $340 million is from the reduction in vehicle property taxes. To read the full release, click here.
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