HYANNIS — Staffing shortages have plagued early education for years, but the housing crisis has taken the squeeze to new heights, said Cindy Horgan, the executive director of Cape Cod's Children Place.
Child care workers and early educators occupy an in-between space where they make too much money to qualify for most affordable housing programs, but not enough to afford market-rate housing.
As an example of that housing affordability gap, one of Horgan’s teachers spends 50% of her pay on rent.
“I use the phrase 'white knuckling it.’ You know, ‘God, let’s hope nothing happens to the car,’” said Horgan.
The lack of manpower means she's had to shorten hours. The Children's Place now closes at 3 p.m., offering little flexibility when a teacher calls in sick or someone tests positive for COVID-19.
A new effort by Housing Assistance Corp. targeting childcare workers and those who work with people with developmental disabilities aims to provide a solution.
THRIVE – Tools to House Residents in a Vulnerable Economy – participants will receive a fixed subsidy ($450 per month for up to 24 months) paid to their landlords. They will also work with a housing counselor to set financial goals with the intention of reducing expenses and/or increasing household income.
The goal is to provide economic mobility, said HAC Chief Executive Officer Alisa Magnotta.
“It helps them get some breathing room in their budget and allows them to live with a little more peace and thoughtfulness and intentionality,” she said.
Donors at the Cape and Islands United Way’s Best Night event in late June pledged $75,000 during their "fund a need" portion of their signature annual event. It was immediately matched with $60,000 from the Cape and Islands United Way Ronald Reed Endowment Fund United Way and $50,000 from the Bilezikian Family Foundation, according to a press release.
The support from the United Way patrons, board of directors and the Bilezikian Family Foundation will help cover THRIVE’s funding during its first year. The United Way Board match comes from its Ronald Reed Endowment Fund. Reed was a longtime banker and philanthropist on Cape Cod.
The second year of THRIVE will be primarily funded through an ARPA grant secured by state Sens. Julian Cyr and Susan Moran.
Eligible THRIVE recipients are Cape Cod households paying more than 30% of their income toward rent; have a written lease or rental agreement; and live in a unit that is not subsidized through another program. Households have a member who is employed in one of the THRIVE target industries (childcare and serving people with disabilities).
Applications and more information are available at https://haconcapecod.org/thrive/.
The program follows a pilot program last year in which participants learned how to reduce debt, start savings accounts, improve their credit, or create plans for eventual home ownership. Eight companies were targeted in the pilot, with professions such as certified nursing assistants, bank tellers, restaurant workers, and child-care workers.
With THRIVE, Magnotta said HAC decided to target child-care workers and those who work with people with developmental disabilities because of the potential for “the multiplier effect.”
“I would not be where I am in my career without child care – we’re so dependent on it and it’s such an important part of our life and community, it really hit home in a personal way for me,” she said.
Horgan, who has been spreading the word about the program to colleagues, calls it “a model for the future.”
"We have to be creative in meeting this need," she said. "Think outside the box — that's the only answer."
Zane Razzaq writes about housing and real estate. Reach her at zrazzaq@wickedlocal.com. Follow her on Twitter @zanerazz.