In a report published this month, the Florida Policy Project advocates for the expansion and enhancement of housing voucher programs to help more families afford housing against the backdrop of rising costs and regulatory challenges.

Amid an ongoing influx of approximately 1,000 new residents daily, a report published this month by the Florida Policy Project (FPP) calls for expansions and enhancements to housing voucher programs as a solution to affordable housing scarcity.

Per the report, Florida’s median home price soared from $250,000 in 2020 to $400,000 by March 2023, placing financial strain on both middle-class professionals and lower-income families. The rental sector, a primary option for many new residents, reflects similar trends, with median rents significantly exceeding the national average.

The issue stems from a combination of high demand, regulatory constraints, and economic disruptions. New residents, many relocating from states with higher living costs, have surged the demand for housing. Simultaneously, zoning laws and permitting processes have limited development opportunities, while the COVID-19 pandemic and trade restrictions have slowed construction activities, further straining the housing supply.

“Unfortunately, affordable housing is becoming less and less accessible,” the report states. “These problems are becoming particularly acute in the rental housing market where new migrants often struggle to gain an economic foothold in the economy through entry-level jobs.”

The report urges lawmakers to optimize housing voucher programs, which assist low-income families in affording rent in the private market. Despite their potential, the publication states that the implementation has been hindered by insufficient funding, complex administrative processes, and limited landlord participation.

Once a household qualifies and is enrolled in the program, the voucher recipient is responsible for paying 30 percent of their income toward rent and utilities. The voucher then covers the remainder of the rent, up to a cap of 40 percent, in accordance with the U.S. Department of Housing and Urban Development’s fair market standards.

To mitigate past shortcomings, the report calls for an increase in state and federal investment to bridge the gap between the demand for vouchers and the available funding, ensuring that more households can access the support.

“The reasons for the shortfall in voucher allocation are complex, but a critical factor appears to be severe underfunding,” the document reads.

Administrative hurdles also represent a barrier to efficient voucher usage, the report notes, recommending a streamlining of the application and approval processes to make the system more accessible to renters and landlords alike.

“Leveraging technology such as online applications and software can streamline the management process,” FPP recommends, adding that Instead of placing the responsibility of vetting solely on landlords and disincentivizing participation, a streamlined voucher program could examine the potential for applicants to make rent payments and direct those who do not qualify to alternative programs.”

To encourage more landlords to participate in the voucher program, FPP further recommends enhancing incentives such as tax benefits, guaranteed timely payments, and support in meeting program requirements.

The group also suggests that the method for calculating fair market rents, which determines voucher amounts, should be adjusted to more accurately reflect local housing market conditions to ensure that voucher values are sufficient to cover rents across different regions of the state.