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Housing subsidies for poor face new threat

By Heather Cottin

If the Bush administration has its way, millions of people will face homelessness very soon.

Congress is set to vote on sweeping changes in the program known as Section 8. Since its New Deal beginning in 1937, the program has provided assistance to poor people who cannot afford rent.

The first in the current wave of cuts in federal housing assistance occurred under the Clinton administration. The attack on Section 8 is the result of pressure from reactionaries intent on what they call "starving the beast." This means destroying government social programs by cutting funds, which are then handed over to the rich and the military.

In right-wing circles, within bourgeois-endowed organizations like the Heritage Foundation, the Manhattan Institute and the American Enterprise Institute, paid intellectuals generate propaganda campaigns to argue for these cuts. They have successfully and cynically decimated the welfare system, health and educational programs for poor children. They have slashed food stamps and Medicaid. Elders, orphans and the disabled face a reactionary full-court press against Social Security.

As a result of the worldwide capitalist crisis, attacks on the gains of poor people and workers have been unrelenting. The next goal is to eliminate the Section 8 voucher program that provides housing for the elderly, disabled and the poor. Section 8 helps over 2 million people afford rental housing. It provides up to 30 percent of rent money for people who have faced the precipitous rise of rental prices in the past 25 years.

Even as it stands, the Section 8 program is insufficient for current housing needs. Housing assistance has declined dramatically since the Section 8 voucher program was initiated 30 years ago.

During the Ford administration over 400,000 Section 8 annual vouchers were granted. President George W. Bush's 2003 budget request calls for cutting this to 34,000, according to the National Coalition for the Homeless.

In February Bush released his 2005 budget, which contains a Section 8 cut of 40 percent over the next five years. This would result in a loss of 250,000 vouchers immediately.

The Congressional Budget Office has estimated that by 2009, were these cuts to go through, $4.6 billion will have been taken from poor people who need housing assistance. The cuts will fall disproportionately upon people of color. The Section 8 cutbacks are widely seen as racist.

State and local housing agencies will have to reduce the number of families served by 600,000 by 2009. This is about 30 percent of the number of households presently served by the program.

Without Section 8 assistance, tenants across the country will have to come up with another $2,000 per year by 2009.

On Long Island, N.Y., where over 2,650 people are homeless, local agencies are worried. They have stopped taking names for housing assistance. This is the story everywhere.

One executive of a community housing program told the March 11 Newsday, "Many of the extremely poor will wind up in shelters." In New York City the Housing Authority estimates that $45 million will be lost, which will translate immediately into a loss of 5,500 homes.

Reprinted from the March 25, 2004, issue of Workers World newspaper

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