The state is mandating that Island County, along with other counties and municipalities, create a five-year plan to address low-income housing needs.

But at the same time, the county will have less money than usual to support its goals of supporting affordable housing and reducing homelessness.

Emily Wildeman, housing program manager for the county, gave a presentation to the commissioners this week about the quandary.

In 2021, the county received over $1 million in document reporting fees that it used to fund homelessness services and housing. In 2024, the county received just $447,000. The decrease is due to fewer real estate transactions.

This leaves the county in “dire straits,” Wildeman said, and leaders will have to be strategic in who and what they fund.

In addition, the state is cutting 20% of the consolidated homeless grant. The county will receive $2.7 million for two years compared to the old deal of $3.5 million.

This won’t mean a funding cut across the board, Island County Commissioner Jill Johnson said. Some services will likely get full funding, and some will get harsher cuts.

The state also provided new guidelines for receiving the grant, Wildeman said. Now, the Department of Commerce recommends no limit on the length of time someone stays or the amount of rent assistance for the most vulnerable people.

The recommendation means to identify the most vulnerable people and pay their rent indefinitely until they find stability, Wildeman said, and the rest of the population would not be served until it fell into one of those spaces.

Wildeman said her preference would be to help more people with different types of vulnerabilities.

A large majority of the grant, 80%, will now be used to fund low-barrier projects, she said, which is housing that doesn’t do background checks or drug screenings.

Finally, service providers can no longer boot people from programs due to lack of engagement. People can use these services as long as they want.

Johnson said Island County should be a “hard no” on the last condition.

“I choose to not go to jail by not breaking the law,” she said. “I choose to keep my job by not behaving in unethical ways. I choose good behavior to get good outcomes. I’m an absolute no on lack of engagement.”

Commissioner Melanie Bacon said she would support people who were not engaged if the county had unlimited resources, but it doesn’t.

Commissioner Janet St. Clair said the rule is designed for a larger, urban area.

Bacon said the Los Angeles fires may displace people with ties to this area and compound the issue of homelessness and affordable housing.

While the struggles to run programs with fewer dollars, officials are working on the update to the comprehensive plan, a state-mandated process meant to plan for growth. This time the state is requiring the local government to specifically plan housing for those who make 30% of the area median income and below, Wildeman said.

The state has five goals, she said: to promote equitable homelessness response, especially addressing racial disparity, to strengthen the workforce for homelessness services, to prevent homelessness, to prioritize the most vulnerable and to find individual plans.

Johnson agreed with taking the lens of dignity, but she disagreed with catering plans based on individual preference.

“I literally can’t even process that conversation,” she said. “You know what I would like to do? I would like to live in a mansion. I’d like to have a swimming pool and a sauna. I’d also like to have a maid. You know what I don’t have? Any of those things. Why? Because I can’t afford those things, so I don’t get those things. I don’t get what I choose. I get what I can have, and I don’t want a mentality of people who are like, ‘I want something else.’”

Wildeman said that a realistic example would be a senior on fixed income with no affordable housing available seeking permanent housing as opposed to emergency shelter. The county would work toward those goals based on availability.

The next step of drafting the plan is to check with cities and towns if they want to create their own homelessness plan as part of the process. If they do not, the county will invite them to collaborate. The board will also set priorities based on these new state parameters.

The plan is due in December.