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Council approves $300,000 housing-trust fund for eviction settlement assistance to help prevent homelessness
Summary
Ordinance 25-136 authorizes $300,000 from the New Castle County Housing Trust Fund to create an eviction settlement assistance program administered by Community Legal Aid and the Department of Community Services; Councilman Hollins and deputy director Sarah Rhine said the program is expected to help about 250 households with $1,000–$1,500 each.
New Castle County Council voted to adopt Ordinance 25-136 on Nov. 18, appropriating $300,000 from the county Housing Trust Fund to create an eviction settlement assistance program administered by the Department of Community Services.
Councilman Hollins, who sponsored the ordinance, said the measure uses housing-trust dollars to provide settlement assistance that can prevent imminent evictions and keep families housed. "This $300,000 is coming from the housing trust fund," Hollins said, explaining the trust fund mechanism and the history of inclusionary zoning and the fee structure that supports the fund.
Sarah Rhine, deputy director at Community Legal Aid Society, told the council the program would serve households under 200% of federal poverty who are eligible for legal-aid services and facing housing instability. "The fund would provide 250 eligible households with settlement assistance to prevent eviction," Rhine said. She said typical awards of $1,000 to $1,500 can prevent an eviction and that legal-aid organizations will take no administrative fee from the fund so money goes directly to households.
Rhine described target households as including elderly residents, people with disabilities and families with children. The program will route funds directly to households; Community Legal Aid will provide legal representation in eviction proceedings so that tenants have counsel when appearing in court.
Council members praised the initiative as practical homelessness prevention. Councilman Street said the program answered needs in both city and county neighborhoods; other members noted the program’s role alongside existing housing trust and inclusionary zoning policies.
The ordinance passed on a roll call (13 yes). The appropriation will be administered by the Department of Community Services and distributed by Community Legal Aid under terms to be set by the county. Next steps include establishing eligibility rules and program operations with Community Legal Aid and county staff.
What this does not do: the ordinance uses the housing trust fund to provide short-term settlement aid, not long-term rental subsidies. The county said legal aid will not retain any portion of the funds for administrative overhead.
