Politics & Government

Housing amendment fizzles, but state leaders say need in Eastern Ky. will be met

An amendment that would have added another $50 million in housing assistance for Eastern Kentuckians hit by historic deadly flooding failed to make its way onto the final relief package for the region.

Legislative leaders and Gov. Andy Beshear indicated that they opted to not support an amendment filed by Sen. Brandon Smith, R-Hazard, because there are enough funds available now.

Much of the largest bucket in the package passed Friday, $75 million of a nearly $213 million total package, can be used to address temporary housing needs, he and Senate President Robert Stivers, R-Manchester, said. That money is split between reimbursements for local governments, nonprofit and public utility providers, and school districts.

Beshear said “significant funding” in the bill would go toward intermediate housing and that FEMA will soon work on addressing the issue as well.

Currently, 104 travel trailers that can house families are in the region, with 28 more on the way, the governor said. “Hundreds more” are being finalized in a deal with Louisiana for a low price, Beshear said.

“I think we’re gonna be able to accomplish all of Senator Smith’s objectives. He’s passionate, he’s in an area that was hit really hard, and I understand,” Beshear said. “With that said, I believe that we have the flexibility within this to be getting people into intermediate housing.”

Senate Appropriations & Revenue Committee Chair Chris McDaniel, R-Ryland Heights, and Stivers both said that while housing is an issue they’re open to addressing later, they’re concerned the amendment would’ve threatened the ability to maximize money coming from the federal government.

Smith voted yes on the final version of the relief package, but said that he was “disappointed” his amendment was not eventually adopted.

“If this turns into a crisis, or we have deaths, from incidences of people being outside and out in the worst of weather, then we have got to come back in here and fix that. That’s the risk of not addressing this now,” Smith said.

But Beshear said that getting people out of the elements and into shelter is a priority of his administration, and that longer-term fixes should be carefully considered before a future allocation is made.

Smith’s amendment would have allocated the $50 million from the Budget Reserve Trust Fund to the Division of Emergency Management to collaborate with the Kentucky Housing Corporation (KHC) and other state agencies on an affordable housing program. $200 million of the current package that is slated to pass on Friday comes from the Budget Reserve Trust Fund, also known as the rainy day fund.

In response to criticisms that his amendment, in spending more state funds on moving flood victims toward stable housing, Smith said that he thought experienced housing organizations like KHC would have been able to navigate that concern.

“They don’t need me second guessing them. They came to us and expressed the willingness to help with the understanding this would be a critical issue. I did my best to get them funding so they could do the job that they’re really good at,” Smith said.

Rep. Angie Hatton, D-Whitesburg, echoed Beshear but also expressed sympathy with Smith’s concerns, wishing that the bill contained more money for housing.

“I know his heart was in the right place,” she said.

But she, too, emphasized there is money for temporary housing already. A longer-term vision will take more time to map out.

“I wish we could spend every dime we have on housing,” Hatton said. “But we don’t have plans for how we can repair personal homes or if we can, if that’s legal. And if it is legal, because we haven’t ever done that before, how do we do it equitably? How would it be done fairly?”

This story was originally published August 26, 2022 at 4:04 PM.

Austin Horn
Lexington Herald-Leader
Austin Horn is a politics reporter for the Lexington Herald-Leader. He previously worked for the Frankfort State Journal and National Public Radio. Horn has roots in both Woodford and Martin Counties.
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