A couple months ago over 300,000 low- and moderate-income Minnesota tenants who over-pay their share of property taxes got a Renters’ Credit refund. Many households report using the average $550 refund to cover essentials (e.g. food, school supplies, car repairs, medications, etc.).
This past July, in a rarely used move called “unallotment,” Governor Pawlenty decided to cut the average Renters’ Credit by $129 beginning next summer.
While this is not new news, we have begun looking at it differently. Imagine if the Governor proposed getting rid of Minnesota Housing (our state’s housing finance agency): no state effort to end homelessness … no rental assistance to those with severe and persistent mental illness … no Challenge Program to build and rehab workforce housing. Of course, there would be a public outcry, including from us at HOME Line.
Thankfully, no one has proposed such a harsh action. But wait …
Did you know that the $51 million the Governor has proposed slashing from the Renters’ Credit is more than the annual appropriation for the state housing finance agency?
Many Minnesota renters have no clue the Governor has made such a terrible decision; and thus, they haven’t asked their elected officials to intervene.
Thankfully, the Minnesota State Legislature can decide to override the Governor. So please, if you are a renter who usually gets the Renters’ Credit, send an email to homework@homelinemn.org. Tell us what you would use that $129 for next August. Not a renter? Call, write, or email any renters you know and tell them what’s being planned. Encourage them to tell us why they need a full Renters’ Credit.
Update: Thanks to everyone who everyone who is passing this story along to low income renters they know. For some stories on who needs the Renters’ Credit, click on the “Comments” link at the end of this post.
{ 8 comments… read them below or add one }
My husband and I get the renters’ credit. We use it for things like car repairs, to pay down outstanding bills, or to help us visit our families who live out of state. There have definitely been years when it really saved us from eminent disasters. It would be a shame to see this get cut for so many people who benefit from it even more than we do.
I’m a college student, the rent credit that I received last year I used to pay off some of my debt. Now thanks to scholarships and financial aid I was able this past August to pay off all of my debt. I am now debt free!!!! That may not seem like it’s going to good use to some, but to me I’m grateful for all the assistance I receive from the State and the Federal Government. One big burden of many has been lifted off of my shoulders. Now I am saving my money to join a Nutrition Plan and a Fitness Center. This may seem selfish but it’s true what they say….”You have to put the Oxygen mask on yourself first before you can put the Oxygen mask on anyone else.” In other words I must take care of myself before I can be of any assistance to the greater good of the community. I hope the Governor will realize that this cut to the Renter’s Credit is immoral. I truly believe that if we as a state can afford to finance three new stadiums then surely the state is able to protect the most vulnerable class of citizens the poor and disabled. Let’s all come together and speak up about the inequities of these cuts. It’s going to be people who care, and those who benefit from the renter’s credit to speak up about this unfairness. God Speed ahead….
I remember listening to this MPR story before Governor Pawlenty went after the renters credit:
http://minnesota.publicradio.org/collections/special/columns/news_cut/archive/2009/06/the_renters_credit_impact.shtml
Shame on Pawlenty!”
My household receives the Renters Credit and use it for car repairs,and going to the meat market to get ready for the winter. I don’t know what on earth we would do with out this money. It is such a huge help to us. I am very concerned about what the Gov. is doing to balance the state budget. It is not fair to take away from the low income people to do so. Shame, shame on him.
The yearly Rent Credit I have received has been a real blessing. With an extremely limited income (less than $800 a month), many uncovered “out-of-pocket” medical expenses (including medical doctors telling me that I must eat organic foods and foods that are not genetically modified/genetically engineered), there are always more bills to be paid than money to pay the bills. In years past, I have used the Rent Credit to get new tires (badly needed–tread was very worn and unsafe), purchase doctor prescribed (but uncovered) supplements, and stock up on organic fruits and vegetables (freezing and canning them for later use). The Rent Credit will be even more important to me now since the Governor’s unallotment has wiped out the monthly allowance for Special Diets (in my case around $250 per month).
I am a senior citizen living on Social Security with heart problems. I depend on the renters credit to catch me up on unpaid medical expense.
The things i would like to use renter rebate on is to pay some medical bills off and to put some anyway for my grandkids because life is getting harder for the next generation.
I use my yearly rental rebate to put more food in the house. All year I struggle with buying groceries to last a month. My rebate is never for much but, at least it gives me some breathing room once a year.