Maricopa County's $800m drive has stabilized homelessness, but long-term solutions seem distant

From rent control to implementing TIF, activists belive not enough is being done by the state.

PUBLISHED JUL 11, 2024

Maricopa County leads the nation in eviction cases, with over 67,000 filings last year.

Phoenix, Arizona: The Maricopa Association of Governments (MAG) from the 2024 'Point in Time' homelessness count -- results of which were released earlier this year -- show approximately the same number of homeless compared to last year, but with significantly more people in shelter and fewer on the street.

As of 2023, approximately 14,200 people are experiencing homelessness in Arizona, marking a 30% increase since 2020, according to the Common Sense Institute of Arizona.

The MAG' 2024 'Point in Time' count reported 9,435 homeless individuals in Maricopa County alone, with 4,076 unsheltered and 5,359 sheltered. This reflects a regional effort to increase shelter capacity, resulting in a 17% decrease in street homelessness and a 13% increase in sheltered homelessness compared to the previous year.

Arizona's significant homelessness issue is driven by several factors, including rising housing costs and high eviction rates. Maricopa County, for example, leads the nation in eviction cases, with over 67,000 filings last year. Despite substantial financial investments in homelessness services, affordable housing remains a critical challenge, exacerbated by legal barriers such as prohibitions on rent control and inclusionary zoning.

The MAG' 2024 'Point in Time' (PIT) count reported 9,435 homeless individuals in Maricopa County alone, with 4,076 unsheltered and 5,359 sheltered.

Stable overall homelessness with shift in shelter usage

The 2024 'Point in Time' count by MAG shows a stable number of 9,435 people experiencing homelessness compared to last year, with 4,076 on the street and 5,359 in shelters, indicating a 17% decrease in street homelessness and a 13% increase in sheltered homelessness.

Increase in shelter beds

The region added 820 new or temporary shelter beds over the past year, reflecting a regional effort to increase shelter capacity, which contributed to the rise in sheltered homelessness.

Regional efforts and investments

According to Rachel Milne from the Maricopa Regional Continuum of Care Board, the investments in shelter resources are showing positive results, helping more people take the first step towards ending their homelessness.

National coordination and Federal initiatives

The count, required by the US Department of Housing and Urban Development, is part of a national effort coordinated by local Continuum of Care organizations. The Phoenix metro area is also participating in the ALL INside Initiative, aimed at lowering barriers to housing and support services.

Comprehensive data collection

In addition to the annual 'Point in Time' count, the Maricopa Regional Continuum of Care Board uses data from the Homeless Management Information System and produces quarterly trends reports to better understand and address homelessness in the region.

A breakdown of Arizona's homeless issue.

Is enough being done in the state to stem 'homelessness'?

The comprehensive ASU report 'The long way home: Insights into Arizona’s homelessness crisis' addressed just this question and finds the state lacking in three critical areas:

Inclusionary Zoning

Arizona prohibits mandatory inclusionary zoning due to legislation ostensibly aimed at protecting private property rights and preventing governmental overreach. The two primary legislative acts responsible are the Private Property Rights Protection Act (Proposition 207) and ARS 11-819.

Proposition 207: Restricts the use of eminent domain and requires compensation for landowners if a land use law reduces their property’s fair market value.

ARS 11-819: Statute explicitly prevents counties from adopting zoning regulations that set specific prices for residential housing units or require units to be designated for specific groups of residents, but it allows for voluntary incentives and bonuses to encourage affordable housing.

Rent Control

Arizona state laws prohibit cities and counties from implementing their own rent control policies. This prohibition is largely due to concerns that rent control can discourage investment in new housing developments and reduce the overall housing supply over time.

Tax increment financing (TIF)

Arizona does not allow TIF, which is used by every other state in the US to boost economic development by redirecting future property tax revenues to finance current infrastructure projects. Arizona's state's laws on property taxation and finance prohibit the use of TIF. This prohibition aims to prevent potential misuse and ensure transparency in public financing.

Based on Medical Examiner data, CSI estimates that 81% of deaths in people experiencing homelessness were drug-related, versus approximately 21% of overall deaths.

These are issues that have not gone unrecognized. United States Interagency Council on Homelessness Executive Director Jeff Olivet said, “While shelter is an important step in how we treat the crisis of unsheltered homelessness, housing is the ultimate cure. People staying in shelter still need homes they can afford and services to help them along the way."

Rachel Milne, co-chair of the Maricopa Regional Continuum of Care Board and director of the City of Phoenix Office of Homeless Solutions, said “We know we have a long way to go still, but it’s great to see that people experiencing homelessness in our region are taking advantage of the additional shelter resources, which can be the first step for many in ending their homelessness.”