May 20, 2020
There is no question. Michigan communities are encountering and will continue to feel the impacts of the COVID-19 public health and economic crisis. As unemployment skyrockets, state and local revenue sources diminish, and public health costs soar, immediate action must be taken to preserve homes and businesses now and into the future.
To help, the Community Progress Michigan Initiatives team has assembled a list of critical resources to support urban, suburban, and rural communities across Michigan in assessing risks, planning interventions, and staying tapped into important recovery information moving forward.
Prior to the crisis, many Michigan residents were already struggling to afford housing costs and many communities already faced with the challenges of vacant, abandoned, and deteriorated properties. Statewide unemployment is now above 20%, with some counties hit much harder and 8% who’ve filed are still without payment. Even as the state reopens, many tenants, homeowners, and businesses will struggle to pay rent, mortgages, and property taxes. Property owners strapped for cash, are more likely to defer property maintenance and needed repairs. These trends will only exacerbate Michigan’s current vacant property inventory, which exceeds more than 380,000 non-seasonal housing units, and add to the public health costs of poor–quality housing.
Source: Policymap, Census 2014-2018
Source: Center for Community Progress, Bureau of Labor Statistics and Michigan Department of Treasury Notes: This shows property tax forfeitures as the assumed tax year, meaning a property owner would have stopped paying on property taxes approximately two years prior to the recorded forfeiture.
Source: MSHDA Statewide Housing Needs Assessment, April 2019
As we point out in a recent blog, local governments should be thinking about what they can do now to limit the negative impacts this economic downturn could have on their community, and seeking out state level and private sector support in these efforts. The decisions made now will have lasting impacts on the health, safety and financial well-being of Michigan residents. While this represents only a sliver of what’s needed, below are some early examples of interventions implemented by state, county and local government to keep people housed and prevent future vacancy.
Community Progress is committed to providing communities with guidance, so you are well-equipped to mitigate community instability and vacant, abandoned, and deteriorated properties. Our COVID-19 Resource Center is updated regularly with information on local, state and federal actions being taken. For specific inquiries or to share how your community is addressing these challenges in Michigan, please contact: Payton Heins, Associate Director of Michigan Initiatives at pheins@communityprogress.org
Many Michigan and national organizations are advocating for critical funding at the state and federal level, as well as putting out informative webinars and other resources to support local community stabilization efforts.
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