Study Shows Positive Effects from Florida’s Affordable Housing Trust
The report shows that two affordable housing trust funds spent $1.33 billion and generated a total economic impact of $12.5 billion in revenue, 94,000 jobs and $3 billion in income for the state.
Impact to date
The state of Florida has two affordable housing trust funds: the State Housing Initiatives Partnership Program (SHIP) and State Apartment Incentive Loan (SAIL). The two funds received $1.33 billion from 2006 through 2016.
SHIP funding generated $7.18 billion in economic output, 54,969 jobs, and $1.7 billion in income impact.
SAIL funding generated $5.36 billion in economic output, 39,180 jobs, and $1.28 billion in income impact.
The total economic impacts from both programs were $12.54 billion in economic output, 94,149 jobs, and $2.97 billion in income impact.
From a benefit/cost perspective, for every dollar of state appropriated funds invested in the SHIP and SAIL Programs, $9.5 is generated by the SHIP and SAIL Programs in economic activity for the State of Florida.
Long-term impact
The 15-year economic impact results show that the programs will continue to have a positive impact on the Florida economy in output, income and employment through 2030.
The SHIP and SAIL program funding is expected to generate the following total economic impacts annually to year 2030:
- Employment increases by 4,433 jobs for the initial year of operation in 2016 and after additional increases each year, then returns to 3,846 in year 2030, averaging 4,178 per year.
- Annual output increases by $815 million for the initial year of operation in 2016, eventually rising to $1.2 billion in 2030, with an increasing trend at that time. The average annual output is $1 million.
- Personal income increases by $174 million for the initial year of operation in 2016 and continues to increase to $355 million in 2030. Personal Income averages $274 million annually to year 2030.
Background
Florida Realtors commissioned the Florida State University Center for Economic Forecasting and Analysis (FSU CEFA) to conduct a county-by-county economic impact analysis of the State Housing Initiatives Partnership Program (SHIP) and State Apartment Incentive Loan (SAIL) program funds.
FSU CEFA collected, compiled and verified the data from both programs for the 2006/07 to 2015/16 and conducted an economic impact analysis of the funding for each county.
The research team also conducted a longer-term statewide economic impact analysis (in REMI) of the SHIP and SAIL funding over the next 15 years (i.e., to Year 2030). The input data used for the analysis included the last 10 years of historical data.
The study reported the data for each county in Florida as well as the state overall.