Habitat Program Adjusts To Slumping U.S. Economy

TROY, Ohio—The U.S. recession has slowed construction at Habitat for Humanity, a nonprofit agency that builds affordable housing for people with low-incomes.  In some cities, the agency is seeing fewer volunteers and a slow down in fundraising - all at a time when the cost of construction materials continues to rise.
   
The high cost of housing lots has forced the agency’s Miami County chapter try something different: rehabilitating properties instead of building a new home.  “I think we will always build a house or two, but will be looking more at rehabilitation,“ president Karen Eliason said.  In Dayton, the agency this year anticipates fewer houses, with five new constructions and one rehabilitation planned in Dayton and Kettering.  Fundraising right now is real tough, said Diane Graham, executive director of the Montgomery County chapter.  “God bless our corporate and foundation sponsors,“ Graham said. “If a corporate sponsor has not made money, we cannot expect them to do what they have in the past. The same with foundations and their portfolios.“
   
Habitat is reviewing how to be more efficient and continues to search for partner families in anticipation of better times, Graham said.  Nationwide, the level of donations and the number of volunteers helping with projects has remained steady, said spokeswoman Katie Evans. But that varies from city to city.  E.J. Thomas, chief executive of Habitat for Humanity in Columbus, says the recession hasn’t adversely affected the number of volunteers or donations in central Ohio.  “We’re doing OK,“ Thomas said. “We seem to be maintaining the confidence of our donor base.“
   
The slumping economy is also hurting prospective homeowners.  Clients who’d otherwise qualify for a Habitat house might be working fewer hours at one job, but picking up hours at a second.  That cuts into time they’d have to work on Habitat projects for “sweat equity” credits required of Habitat home recipients.  Others have lost their job or had their work hours cut, meaning they can’t meet minimum Habitat participants’ financial requirements.
   
Habitat for Humanity operates more than 500 stores nationwide, including some that recycle building supplies, and they’re reporting a mixed bag of results.  At some, sales are up because customers are trying to save money. But some stores are having trouble stocking merchandise because donations are down as a result of people hanging onto items rather than replacing them.

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