Colorado State Representative Manny Rutinel has introduced a bill that would allow county clerks and recorders to award documentary funds to fund temporary and long-term housing for the homeless.
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Colorado is facing a major homelessness crisis, as the number of homeless families in the state increased by 134 percent from 2023 to 2024.
To close the funding gap for homeless services, Colorado state legislator Manny Rutinel proposed using real estate transfer funds to help his local and state housing agencies renovate or purchase short-term or long-term housing for homeless individuals and families.
The bill, Improving Infrastructure to Reduce Homelessness, would allow county clerks and recorders to set aside filing fees to fund affordable housing projects in their county. The current statewide filing fee is 0.01 percent of the property’s value, meaning a $500,000 home purchase generates a $50.00 fee. A report by the Colorado Fiscal Institute on real estate taxes estimated that clerk and recording offices will collect $10 million in filing fees in 2020 alone.
Attorney Manny Rutinel | Credit: Colorado General Assembly
“As the volume of real estate transactions has increased significantly, home prices and costs have also increased, impacting the availability and affordability of homes in Colorado,” the bill reads. “Local governments should be allowed to use documentation fees to reduce administrative costs associated with recording and maintaining housing records and the costs of building and maintaining affordable housing.”
In addition to reallocating funding for documentation, the bill calls for the creation of an interagency council on the homeless that includes the governor’s office and the departments of home affairs, education, corrections, health care policy and finance, behavioral health management, human resources, public health and the environment, and public safety. .
The council will meet at least once a month to provide statistical updates on homelessness in the state and guide an appropriate response, including homelessness prevention services, expanding current housing services, and developing different policies and procedures. The Interagency Council will work with another council of 11 people including housing advocates, community leaders and people who have been homeless.
The bill requires councils to file an annual report at the beginning of each regular session, which will include recommendations for legislative action.
In several discussions leading to the introduction of this bill on Jan. 8, Rutinel said Colorado’s biggest homelessness problem stems from a lack of funding and coordination between state agencies, local governments and nonprofits.
“The hope here is that through coordination, we can find where we might be inefficient and where we can use our resources more effectively so that every dollar can stretch,” Rutinel told KUNC News. “In order to make sure that the information we collect is used to properly implement programs that work and leave aside programs that don’t work so that we can better meet the needs of these people.”
“The sad thing is that if you don’t have the resources saved to be able to carry yourself in a difficult time or you don’t have the infrastructure of family or friends to accommodate you in those times, you end up on the street,” he added.
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