city government
Cantrell: Tax money intended for affordable housing spent on code enforcement that pressures the poor out of homes
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As the cost of living in New Orleans continue to rise, pressuring low-income families to give up homes they have held for years, the city has a dedicated tax that raises nearly $4 million a year intended to promote affordable housing. But that money, City Councilwoman LaToya Cantrell told a standing-room only crowd Wednesday night, is instead being spent by the city on code-enforcement efforts — which can actually increase the pressure on poor families to sell their homes in gentrifying neighborhoods. The city’s Neighborhood Housing Investment Fund was a created in 1991 by a 30-year property tax that at the time generated about $3 million per year, but now amounts to $3.9 million annually because of rising property values. It had three intended uses, according to the city code:
to “provide financing and other assistance for home-ownership opportunities for families and individuals” in their homes,
to “promote neighborhood stability by eliminating blight and unsafe and deteriorating conditions,”
and to “provide financing and other assistance for safe, affordable rental housing” for low-to-moderate-income residents. But instead, Cantrell told the audience at “The Big Issue” panel on gentrification Wednesday night at Tulane Hillel, that money is going to code-enforcement activities that can subtly encourage the poor to sell their homes.