Rents and other expenses are going up at low-income housing properties owned by the city with inflation helping to fuel expenses for 2023. However, government backstops will prevent most residents from feeling the pinch of the rent hikes.
Members of the Longmont Housing Authority Board of Commissioners —who are also city council members —Tuesday night were told about the rate increases during a discussion of the Longmont Housing Authority’s 2023 budget. The LHA budget includes $793,093.20 in total projected 2023 expenses with a net income of $123,070.80, said Kyndra Daniels, the city's accounting supervisor. The net income in 2023 is down $24,717.93 from 2022, Daniels said.
.Rent increases of 7.49% and 7.20% are on the way for the Lodge and Hearthstone at Hover Crossing properties. But most of the rent hikes will be absorbed by the federal Housing and Urban Development, LHA officials said Tuesday night.
Residents at Aspen Meadow Senior Apartments, Aspen Meadow Neighborhood, Briarwood Apartments, Fall River, Spring Creek and Village Place will see a 4% rent increase. Rents will not exceed the approved tax credit limits. If a tenant is already at the maximum tax rate credit for 2022, the percent of increases will be less than 4% officials said.
The rents are calculated to bring in new revenue but still provide affordable housing for residents, City Manager Harold Dominguez told the commissioners.
“The 4% is matching the expenses we are seeing,” Dominguez said.
The LHA budget includes raises and benefits for staff members from 6-to-12% that will help retain and get new employees, he said. Utilities are up an average of 5% while insurance rates are also climbing, officials said.
The LHA is also hiring a part-time police officer to handle issues on LHA properties. Dominguez said he had hoped to dedicate a full-time officer for LHA coverage but the 2023 budget fell short of that goal.
