Cost for nonprofit staff to operate programs
Housing navigators, client advocates, and caseworkers should be paid a living wage so they can live here. According to a reputable living wage calculator, this amount is approximately $64,000 per year. According to an in-depth market survey conducted by Catholic Charities based on statewide data, a housing navigator should be paid $54,000-$66,500 per year, and a housing locator $49,000-$58,000 per year. To cover this cost, organizations need at least twice the wage cost to cover their overhead and indirect costs. Total cost per worker is then roughly $130,000 per year. Funds for 5 fulltime workers across all organizations would approximate $650,000 per year. This is for paid staff; recall that FISH is all volunteers.
Cash cost for rental assistance
A single rental assistance payment may range from $600 - $2000. Helping a household regain its footing over 4-6 months costs closer to $6000. Helping a renter catch up on months of unpaid rents and bills can cost several thousand dollars.
Maximum assistance was during COVID, when providers collectively gave out, very approximately, over $3 million per year. Current expenditures are probably under $800,000 per year.
It is difficult to estimate the total cash need for rental assistance across Sonoma Valley, because estimations use different methods and definitions of need vary. See Housing Needs Assessment.
Number of people who need rental assistance
La Luz estimates that ⅔ of our Latino population (about 2500 households) earn barely enough to meet basic needs and are one event away from disaster.
After the 2017 wildfires, the reputable firm Applied Survey Research did a phone survey concluding that 17,000 people were housing-insecure county-wide; since Sonoma Valley has roughly 10% of the county’s population, perhaps 1,700 people in Sonoma Valley are housing-insecure.
Amount of rental assistance funding needed
If $2000 checks were written to ¼ of the housing-insecure households or people in Sonoma Valley each year, that total might be $800,000 to $1.25 million.
Based on the number of people who applied to HomeFirst’s program and the amount they need, a rough estimate for the annual rental assistance need is $600,000.
Cost for programs that combine staff support and paying the rent
To keep someone housed in SHARE Sonoma County’s Shared Housing Program (master leasing), the average cost is $900/month/room, utilities included. Their Home Share Program averages $650/month for a bedroom or $0/month if exchanging services in lieu of rent.
Cost justification
These amounts may seem high, but these services cost vastly less on a per-household basis than building new housing. In our reality that new affordable housing gets built extremely slowly, these housing services are the only strategy available to keep vulnerable renters housed.
These programs do work. HomeFirst's Keep People Housed homelessness prevention program reports 100% of clients retain their housing after their subsidy ends; SHARE reports the large majority of their clients need only occasional support from staff after 6-24 months.
Funding sources for housing services
Funding is projected to continue to be from individual donors, foundations, and government grants and contracts. FISH is completely volunteer-run. Funds for other organizations are chronically insufficient. Sonoma Valley is a wealthy and generous community that will need to step up during this time of extreme need.