Summary table - European Centre for Social Welfare Policy and

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Summary table
B - Social Assistance
Reference Vignette(s)
Country
Region
Name of the measure
Legal basis
All B vignettes
ITALY
LOMBARDY
Minimo Alimentare (Food Minimum) and Minimo Vitale (Life Minimum).
1) DPR 616/77 devolved to regions the competence of social assistance (in view of a national
framework law which has never been implemented up to 2000) 2) LR 1/86 (regional framework
law on Social Services). It defined the standards of social assistance at a regional level; 3) LN
328/00 (national framework law of social policies and services approved almost after 24 years
it was lacking). The latter should have changed the frame of reference in relation to social
assistance; however, the constitutional law 03/01 in 2001 devolved to the regions the exclusive
legislative power on social assistance, contributing to a further institutionalisation of the
regionalisation process.
Clear right or discretionary
The right is stated by the regional law, but the enforcement of the law is severely limited by the
measure?
implementation guidelines and regulations. The budgetary constraints – for instance – provide
the frame for a relevant discretionary power of both municipalities and social workers in limiting
(in most cases) or expanding (in very few cases) the rights of the claimants in need.
Enforcement of entitlements and The claimant has little options to claim his/her rights if they are not enforced by the local
negotiation with the social
authority in charge of delivering the services and the benefit. The negotiating power of the
workers?
claimant may play a role, but within a frame of high discretion.
The link with activation programmes is in Lombardy quite discretionary and based more on
good will rather than on institutionalised agreements among services.
The regulation and the implementation of contract-like arrangements between the social
worker and the recipient is rather an exception than the rule. Sanctions for not performing
according to the rules are defined more often by the single social worker rather than by clear
regulations and end up in the withdrawal of the benefits and services.
The case management is almost always carried out by the social worker. In some cases it is
externalised to third sector agencies which are contracted out through an open call for
competition.
Regional differences are extremely high and Milan has a very peculiar position in the region
being solely responsible for social services. In other medium and small sized cities
responsibility for social services is (according to the regulation foreseen by national law 328/00
that established social districts as efficient population size areas for the management of sociohealth services) more and more shared among associated municipalities and in some cases
the local Socio-Health Agencies.
Agencies which are responsible In most cases associated municipalities or the single municipality. In some cases third sector
for administering the measure
actors who manage externalised services. The most relevant problem is that social assistance
is not addressed by one single office, but it is organised according to categories (e.g. minors
and families; adults; elderly, disabled, …) rather than by need. Different offices deal with the
condition of need differently, despite often existing common rules (but different rules might
exist as well). Actors involved are: social workers, mediation operators, other social services,
Third Sector agencies, social cooperatives, for-profit firms, education centres.
Considering both horizontal and vertical relationships (scale; governance), from a vertical point
of view, and for what concerns planning, in Lombardy there is no specific place of coordination
between the region and local governments. At the local level, the associated municipalities
coordinated the local planning with the instruments of the Area Plans (Piani di Zona), that
foresee horizontally on the one hand a coordination between the different municipalities
belonging to the same social district and, on the other hand, an inclusion of private for
profit/non-profit actors in the process of decision making. For what concerns the horizontal
management and organization at the local level, the relationships between public actors and
private for-profit/non-profit actors are ruled by a set of bilateral agreements or through bids.
Within the single municipalities (and with particular reference to the case of Milan), the
fragmented – and categorical – organisation of social assistance in many offices is correlated
with a rather low degree of both coordination and exchange of information among them.
Financing
Regions receive resources from the National Social Fund, and distribute them to municipalities.
Funds are not earmarked so that each local context can decide how to allocate them, but the
implementation of the Lombardy Region’s social transfers are bounded for about 50% to the
municipal allocation of vouchers and “buoni” (cash allowances to pay in-kind support)., This
might be seen as a contradiction with the accent put on autonomy of local levels.
The local allocation, however, occurs according to political priorities, rather than existing
conditions of need. This brings to prioritise for instance the elderly instead of adults in need.
1
Target population
The typology of recipients and their number is difficult to estimate in total. Categorical data is
also not available for most social assistance services (just aggregated expenditure data).
Coverage varies according to target. Best coverage is achieved for the elderly, through a
national universalistic and continuous cash allowance (Assegno Sociale), paid from 65 years of
age on to persons with an income under a threshold (4.962,36€/year for a single person in
2006). In the Milan Municipality elderly between 60 and 65 years of age are generally taken up
by a specific service (Ufficio Anziani – Elderly Office) until they become eligible for the Social
check.
Families with children are also a priority.
Worst coverage is achieved for single adult males.
Target of Minimo Alimentare are single adults and families who already receive municipal inkind assistance (e.g. home assistance, residence admission, home meal service) and/or do not
have any documented income (salary, pension, etc.).
Target of Minimo Vitale are single adults and families with a documented income (salary,
pension, …).
Income thresholds below which Minimo Alimentare: Income threshold corresponds to the “Social Pension” (Social Pension. For
the entitlement is granted.
2006 = € 314/month),
Does the threshold vary in
Minimo Vitale: Income threshold corresponds to the Minimum old age pension (427,58€/month
particular cases?
in 2006).
In both cases, yet, the threshold is often used as a criteria to define who might be entitled to
the benefit, rather than being also the reference amount for the benefit itself. For example, in
the case of Milan the vignettes show a variation of the MV paid between € 150 and € 350,
depending on annual budgetary constraints and evaluation of need and deservedness of the
single case.
Monthly amount of basic measure Great variability even at regional level. No official data available. The evaluation of the RMI
for an individual
testing phase (1999-2004) provided some data about social assistance provision before RMI
(i.e. before 1999) in the Municipalities involved in the test. The data show, for example, a
difference of € 25,38 between the two municipalities in the Milan Province: Cologno Monzese
(monthly amount for one person = € 266,32) and Limbiate (monthly amount for one person = €
240,93). Additionally, there is also a great differentiation in the equivalence scales which define
different thresholds for differently sized households. The RMI testing phase foresaw a standard
equivalence scale for all Municipalities involved throughout the country.
Cologno Monzese
Limbiate
RMI test
(1999-2003)
Size
1
100
100
100
2
72
35
57
3
72
39
47
4
72
34
42
5
71
34
39
Basic amount increased to take The basic amount varies because of political and institutional reasons rather than because of
account of other costs (housing, contextually changing conditions of need. For instance housing costs not necessarily influence
heating costs, special needs…) the amount of the benefit.
Incentive schemes
No incentive schemes are foreseen institutionally.
Waiting time between request and It depends on the target population. Shorter waiting periods apply to the elderly under 65 years
first payment
of age.
In general 40-90 days. Reasons for that are related to slow bureaucratic processes and lack of
staff.
Type of services and in-kind
According to the target population different in-kind services might exist. Most of them are
supports foreseen
carried out by third sector agencies on the basis of agreements contracting out specific tasks:
training; professional (re)insertion; specialised support (e.g. in case of addiction), home
assistance also through vouchers, advance payment of bills (electricity, gas, water, …), etc.
Sanctions
In case of a refusal of a specific in-kind integration of the monetary transfers (for example, a
project of insertion/ re-insertion in the labour market, or a project aimed at overcoming a
specific addiction) the monetary benefit can be cut off partially or totally, at discretion of the
social worker.
Duration of entitlement
Duration depends on the target population and the budgetary constraints and not on the
persistence of the condition of need. 3-6 months for adults, 6 or more months for families with
children. Longer periods for the elderly under 65.
2
Criteria for keeping entitlement
(besides income criteria)?
Is there a monitoring system of
income support?
Policy debate
Able-bodied recipients are expected to be available for training and job insertion. However, just
being in a condition of economic need does not entitle claimants to access the benefits. In
most cases claimants cumulate different conditions of need besides the mere lack of an
income.
Yes, partly electronic, partly on paper, within single services and offices. The system, however
is not very efficient as it does not foresee a systematic collection of data with a related
periodical reporting. The heterogeneity of benefits and ways of implementing the measures,
makes the establishment of a monitoring system a “mission impossible”, yet improvements are
observed. The Milan Municipality has almost completed the installation of a specific software
for the electronic processing of social services’ cases (SISS – Information System for Social
Services).
There was a political debate at the turn of the century when the RMI (a nation-wide measure
aimed at overcoming all fragmented local schemes) was tested in 39 Municipalities in a first
phase (1999-2001) and in 300 in a second phase (less than 4% of 8100 Italian Municipalities).
However, the previous national government (ruled by a centre-right coalition in years 20012006) did not generalise the RMI and stopped the financing of the experimentation. The same
government proposed a new form of regionalised minimum income (RUI), that has not been
implemented either. After the political elections of April 2006, the new centre-left government
majority seems to show more “sensibility” to the possible introduction of a nationalised form of
minimum income, but nothing has been decided yet.
3
Summary table
B - Social Assistance
Reference Vignette(s)
Country
Region
Name of the measure
B.2.
ITALY
LOMBARDY – EMILIA ROMAGNA
Assegno ai nuclei famigliari con almeno tre figli minori (National cash allowance for family with
at least three children < 18).
This national cash allowance has been introduced with the annual state budget law 448/1998
(art. 65).
The right is stated by the law.
Legal basis
Clear right or discretionary
measure?
Enforcement of entitlements and No negotiation with social workers.
negotiation with the social
workers?
Agencies which are responsible The main agency which is responsible for administering the measure is INPS (Istituto
for administering the measure
Nazionale di Previdenza Sociale), the National Social Insurance Institute.
At the local level, the claimant submits the request (and the correlated documentation about
the income and wealth condition. See below) for the cash allowance to a specific central board
of the municipality that submits, after a first control, the request to INPS. After these steps, and
according to the condition of need, the allowance is allocated to the beneficiary by INPS.
Financing
The national cash allowance is funded trough resources deriving from the National Social Fund
(FNPS, Fondo Nazionale delle Politiche Sociali).
The FNPS (financed by general taxation) constitutes the central fund for the financing of socialassistance policies. In particular (see also: ITALY - WP1, p. 31), its resources are functional on
the one hand for the support of the implementation of social-assistance interventions at subnational level (supporting the regions and associated municipalities) and, on the other hand for
financing specific national cash allowances (like the considered measure) through a transfer of
resources to INPS that manages the implementation process of measures.
Target population
The low income threshold (see below) for the entitlement implies a very strong targeting effect
of the cash allowance (i.e. only for the very poor family). This strong targeting implies also a
strong territorial concentration (due to the highest incidence of poor families in the southern
regions) for what concerns the allocation of the measures.
Some data can explain these main characteristic (targeting and territorial concentration) of the
measure: for example in 2000, according to the data of the National Commission Research on
Social Exclusion, only 1,1% on the total Italian families has been entitled to this measure. Of
this 1,1%, about 80% of family were concentrated in only six regions of the South Italy (i.e.
Campania, Sicilia, Puglia, Calabria, Basilicata and Sardegna).
Due to this strong targeting, some authors have stressed how the cash allowance is functional
only for a reduction of the intensity of poverty and not for a reduction of the aggregate
incidence of poverty among families with minors.
Income thresholds below which For 2006, the income threshold for a family with five members (2 parents + 3 minors)
the entitlement is granted.
corresponds to € 21.671,69 (for different sizes, the income threshold is corrected with a
Does the threshold vary in
specific equivalence scale. In addition, for specific conditions of need the amount is corrected
particular cases?
with other coefficients).
The evaluation of the income threshold is provided by a specific indicator, i.e. ISE (Indicator for
economic situation). In order to test the economic situation of households, ISE takes in
consideration income as well as wealth. In the Italian case, the wealth component is very
important because – due to a widespread tax evasion – the income situation of a family is not a
good proxy to test the condition of need.
If the household pays a rent, a specific deduction is applied to ISE.
Monthly amount of basic measure For 2006, the maximum amount for a family constituted by five components (2 parents + 3
for an individual
minor s) is: € 120,39. This basic amount varies on the basis of the difference between the
income threshold (below which the entitlement is granted) and the family’s income tested by
ISE. A households with five members and an income level of 18.000€/year would be entitled to
the maximum amount (120,39€/month).
Basic amount increased to take No increase is foreseen for this cash allowance.
account of other costs (housing,
heating costs, special needs…)
Incentive schemes
No incentive schemes are foreseen institutionally.
4
Waiting time between request and
first payment
Type of services and in-kind
supports foreseen
Sanctions
Duration of entitlement
Criteria for keeping entitlement
(besides income criteria)?
Is there a monitoring system of
income support?
Policy debate
According to our interviews, in general, the waiting time is long (due to slow bureaucratic
process).
No services in kind connected to this cash allowance.
No sanctions foreseen.
The payment of the cash allowance is foreseen for 13 months. If the condition of need persists,
the payment can be renewed.
Besides the income criteria, the principal condition is the presence of at least three minors in
households.
Yes, the monitoring system and the data are provided by INPS (Istituto Nazionale di
Previdenza Sociale - National Social Insurance Institute).
As we have seen above, this national cash allowance is characterized only by a partial
efficiency in terms of contrast of poverty among households with minors. This partial efficiency
can be explained not only by the strong targeting of the measure but also, and in particular, by
the very low amount of aggregated expenditure implemented for it. In addition, the introduction
of the cash allowance (in the mid 90s, during a period of intense – even if low-budget – social
policy reform under the centre left governments) has not been accompanied by a structural reorganization of the consolidated system of cash transfers to households. So, in this sense, the
introduction of the measure has contributed to an overlap of interventions without any logic.
Recently, many authors have proposed a fusion of this cash allowance with the other existing
ones, with the aim to introduce in Italy a means-tested universal scheme of support for
households with children (i.e. for all households but filtered by a means-test, the so called
selective universalism). Also the present centre-left government has show particular interest in
this proposal even if, in the recent budget law approved by the Parliament (December 2006),
no act in this sense was undertaken.
5
Summary table
B – Social Assistance
Reference Vignette(s)
Lombardy: potentially all B vignettes
Emilia-Romagna: B.4 + variations with officially documented disability
Country
ITALY
Region
LOMBARDY – EMILIA ROMAGNA
Name of the measure
Borsa Lavoro (Job grant)
Legal basis
Originally introduced in order to increase the employability of young adults long-term
unemployed in the Southern Regions (National Law 196/1997, National Legislative Decree n.
280/1997).
Municipal regulation and routine for specific application within the social services.
Clear right or discretionary
Discretionary measure. Social workers of the Municipalities and/or mediators of job insertion
measure?
services decide after a first screening whether an applicant or a recipient has enough personal
resources (competencies, autonomy, …) to undertake a job experience.
Enforcement of entitlements and No enforcement. Some negotiation between social worker and applicant/recipient.
negotiation with the social
workers?
Agencies which are responsible Municipal social services; municipal job insertion service, where it exists (can be contracted-out
for administering the measure
to third sector agencies)
Financing
Target population
Income thresholds below which
the entitlement is granted.
Does the threshold vary in
particular cases?
Monthly amount of basic measure
for an individual
Basic amount increased to take
account of other costs (housing,
heating costs, special needs…)
Incentive schemes
Waiting time between request and
first payment
Type of services and in-kind
supports foreseen
Sanctions
Duration of entitlement
Criteria for keeping entitlement
(besides income criteria)?
Is there a monitoring system of
income support?
Municipal.
Social assistance applicants or recipients who are long-term unemployed, who are unskilled or
have obsolete skills, who are judged unable to search autonomously for a job on the primary
labour market. Also refugees and foreign immigrants in hard living conditions.
No specific income threshold. Anyway, the target population (see supra) is characterized by
very low, eventually zero income.
400 €/month.
Eventually serious health expenses or rent or gas and electricity bills are partly covered by the
social service on a spot basis, during the waiting time before a job grant contract is finalised.
Re-motivation and psychological support.
Linked to the beginning of job grant. Generally several months pass between the moment
when the social worker proposes a job insertion path to the applicant and the beginning of a
job grant. Social workers of the Milan Municipality report that waiting time for their applicants
has increased in last years.
Before job-grant, beneficiaries are generally provided an orientation service towards labour
market, and eventually a training opportunity.
If the recipient does not respect the social contract, the job grant can be suspended or ended,
at discretion of job mediator and/or social worker, in coordination with the firm representative.
Generally 3 months. Can be renewed once if the first one does not result in a non protected
work contract (even short-term one), in the same firm or in another one (with social contribution
benefits for firms hiring persons at the end of a Job Grant).
Respect of the content of the social contract signed by social worker, job mediator, recipient
and firm representative (working hours, tasks, relations with colleagues, etc.).
There is an effort to monitor the results of the job experiences. Some municipalities do better
than others in this. Generally, however, the monitoring does not go beyond the end of the job
experience, or maximum a few months later.
6
Policy debate
Lombardy
A few years ago, this issue was quite debated, due to a contested plan of the Milan
Municipality, the Pact for Milan (Patto per Milano) that intended to set special rules to hire on a
temporary basis immigrants, long-term unemployed and persons with social diseases, in order
to provide them with an income, but most of all with a work experience to be sent on the labour
market afterwards. This plan broke the forehead of Trade Unions. As a matter of fact, the
centre ones (CISL and UIL) signed it as an innovative tool to face the question of job insertion
of the persons difficult to place on the labour market, whereas the left one (CGIL) refused to
sign it, on the basis that it would institutionalise a situation of rights’ limitation for specific
categories. Although bitterly debated at the time (also due to the murder of one of the scholars
who had inspired it by extreme left terrorists in 2002), the Pact for Milan originated a very
limited number of contracts and the debate progressively faded away.
7
Summary table
B – Social Assistance
Reference Vignette(s)
Country
Region
Name of the measure
Legal basis
B.1; B.2, B.4
ITALY
LOMBARDY and EMILIA-ROMAGNA
Rent support
National law n. 431 created in 1998 the National Fund for the support to access to rented
dwellings.
The Lombardy Region, with the Regional law n. 2 created in 2000 the Regional Fund, for the
support to access to rented dwellings, integrating with regional funds the national financing, and
setting own criteria for payment
The Emilia-Romagna region, with the Regional law n. 24 (articles 38-39) created in 2001 the
Regional Fund, for the support to access to rented dwellings, integrating with regional funds the
national financing, and setting own criteria for payment.
Municipalities define the level and the payment details of benefits, and define through specific
bids the criteria for access, within the minimum criteria defined by the national law.
According to the regional law, the contribution is recognized as a right, i.e. the subjects that
respect specific requisites are entitled to the contribution. However, it’s important to note the on
the one hand the access’s criteria are defined annually by the regional government and, on the
other hand, it’s not compulsory for the municipalities to activate the bid for the implementation of
the economic contribution.
No negotiation with social workers.
Clear right or discretionary
measure?
Enforcement of entitlements and
negotiation with the social
workers?
Agencies which are responsible
for administering the measure
Financing
Target population
Income thresholds below which
the entitlement is granted.
Does the threshold vary in
particular cases?
The municipalities are responsible for administering the measure, according to the regional
guidelines.
The region, through a specific regional fund (in which are transferred also resources derived from
a specific central fund, i.e. the National Social Rent Fund – Fondo Sociale Affitto), transfers
annually the resources for the payment of the rent contribution to the municipality. The transfers
are correlated to the number of beneficiaries locally admitted to take advantage of the measure.
Residents (both EU and non-EU citizens with regular residence permit) in one of the
municipalities in the region of reference, with an income under a specific threshold (defined at the
Regional level within a minimum standard set at the national level – see below), with an official
rent contract, and according to a specific percentage incidence of the rent payment on the
disposable income
Lombardy
Income below 12.911€/year according to ISEE (to be calculated on the basis of an equivalence
scale according to the number of family members), property below 10.329€ according to ISEE.
Yearly rent must not exceed 8.000€ (very low compared to average rent level in the private
market). A “tolerable” rent level is calculated multiplying the ISEE income level by a specific
coefficient (see table in Annex 1 below). The benefit should correspond to the difference between
the actual rent level and the tolerable rent level.
Mr. E, the F family and Mr. H would be entitled if their rent contract is official.
Emilia-Romagna
For 2006, according to the regional act, there are two thresholds of reference:
a) Band A: income up to: 11.110,00€/year according to ISE, with a percentage incidence
of the annual rent payment not below 14%;
b) Band B: income included: 1) between 11.110,01€/year to 30.000,00€/year according to
ISE and 2) until 15.000,00€ year according to ISEE, with a percentage incidence of the
annual rent payment not below 24%.
According to the regional act, the ISEE value is subject to a reduction of the 20% percentage if
there is at least one of the conditions mentioned above:
1) presence of a unique income derived from dependent working condition or from
pension;
2) presence of one o more income derived from pension and presence of at least one
component aged more 65 year.
8
Monthly amount of basic measure The cash allowance is computed on the basis of the percentage incidence of the rent payment on
for an individual
the annual income according to ISE.
Lombardy
19 income ranges have been defined, each with a specific maximum ratio rent/income to be
reached after the housing benefit is paid. See the table below for details.
Nevertheless, it should be noted that the Lombardy Region has repeatedly refused to pay the
benefit to all applicants who satisfied the requirements, on the basis that available funds were not
enough to cover the demands.
In the case of the last bid (2006), for instance, only applicants with an ISEE income level up to
6.197€/year were effectively entitled to the benefit. Moreover, amounts were reduced: applicants
with an ISEE income level under 5.681€ were entitled to 50% of the amount fixed by both
regional and national law, whereas applicants with an ISEE income level between 5.681 and
6.197€/year only received 20% of the originally foreseen amount.
In such a situation, the F family would not receive the Rent Support (ISEE income level below
12.911€/year, but above 6.197€/year).
Emilia Romagna
a) Band A: the contribution is functional to the reduction of the rent payment to 14% on the
annual disposable income, for a maximum amount of: 3.100,00€;
b) Band B: the contribution is functional to the reduction of the rent payment to 24% on the
annual disposable income, for a maximum amount of: 2.325,00€.
However, it’s important to note that – according to the regional act - the municipality could vary
the definition of the amount.
Basic amount increased to take
account of other costs (housing,
heating costs, special needs…)
Incentive schemes
Waiting time between request and
first payment
Type of services and in-kind
supports foreseen
Sanctions
Duration of entitlement
Criteria for keeping entitlement
(besides income criteria)?
Is there a monitoring system of
income support?
Examples
First example: Mr X has a yearly income according to ISE equal to: 8.000,00€. His annual rent
payment is equal to: 4.000,00€ (50% on the annual income according to ISE). On the basis of
this condition, he is included in the band A, that implies a reduction of the percentage incidence
until 14% (see above). So, in the case of Mr A, he could be entitled to a total amount equal to:
2.880,00€ (the 14% of 8.000,00€ is 1.120,00€. The difference between 4.000,00€ and 1.120,00€
is 2.880,00€).
Second example: The F family (vignette B2) is composed by five persons. Only the father is
employed (subordinate worker) and the annual income of the F family according to ISE is equal
to: 18.000,00€. According to the equivalence scale correlated to ISE (for a family with 5
components a coefficient of 2,85 is foreseen) the annual income of the F family is equal to
6315,78€ ISEE (18.000,00/2,85). In addition, according to the subordinate working condition of
Mr F, the annual income ISEE is reduced of an additional 20%. So, their annual income ISEE is
equal to: 5.052,63€. We suppose that their annual rent payment is equal to 7.200,00€ (40% of
their annual income according to ISE). On the basis of this condition, the request of Mr F is
included into the band B, that implies a reduction of the percentage incidence of 24% (see
above). So, in this case, the F family could be entitled to the maximum amount available
according to the regional act.
Sanctions are not correlated to this measure.
1 year, with a possibility to be renewed if there is a congruity with the foreseen access criteria.
As we have said above, the entitlement to the contribution implies: the residence in one of the
municipalities in Emilia-Romagna (both EU and non-EU citizens with regular residence permit); a
specific percentage incidence of the rent payment on the annual disposable income; the not
presence of other public benefits like, housing apartment.
Yes, there is a specific electronic monitoring system provided by the region about the
implementation of the measure.
9
Policy debate
The purchasing power of Italian households has been heavily weakened in the last 5 years.
Housing costs, both rents and real estate value, have been increasing notably.
Lombardy
Milan is the most expensive town in Italy as to housing costs (both rent and purchasing). It should
be noted that 81,2% of Italian households lives in a dwelling that they own, or that they can use
for free (Istat, 2006). The rent market is limited in Italy, whereas social housing is extremely
inadequate (10% of all dwellings, 15% in Milan, Zajczyk 2005). Only households cumulating a
number of features of social and health diseases have a chance to access a social dwelling, after
a rather long waiting time (less than 10% of applications is accepted every year). Housing costs
(loans and private rents) weigh seriously on Italian households’ disposable income. In particular,
in Milan the persons in the main political and social positions (the bishop, the prefect, the trade
unions) have given official speeches and appeals about this. As a partial result, a plan was
launched by the Municipality, in order to build 20.000 new dwellings at social or moderate rent
level. The Regional Institute for Social Housing (Aler) has also started the building of 2.600 new
dwellings, with national and regional funds.
Emilia Romagna
In the regional context of Emilia Romagna the problem of rent payment and, more in general, of
housing is very relevant. According to estimated statistical projections provided by same centres
of research, in the next decade the region will be interested by the highest trend of housing
requirement in the centre-northern areas of Italy: more than 90.000 families will search for a
house (of this absolute amount, about 70% will be newly formed households) with a strong afflux
of new residents. These dynamic are very delicate because they will intersect with a regional
context characterized by structural problems. In fact, even if in Emilia-Romagna (according also
to a more general “Italian custom”) about the 70% of the population lived in a dwelling they
owned, in particular during the last years the purchasing power of the population has been
affected by a strong contraction, versus an increase of the housing costs. As a consequence,
difficulties in payment of loans and rents increased meaningfully.
This problem has been worsened by the structural retrenchment of the institutional action under
the centre-right government. In fact, on the one hand, the government has not implemented
adequate actions about the regulation of the private rent market; and, on the other hand, it has
progressively contracted the resources of support for the national public housing policies (for
example, the national social rent fund, the main financing source for the Rent Support, has been
cut down year by year).
In order to effectively tackle these problems, recently the major trade unions, provinces and
municipalities and the Emilia Romagna region have stipulated an agreement for a re-launching of
the public housing policies in the region. This agreement foresees: 1) the realization of 3.000
apartments; 2) new criteria about the distribution of the regional social rent fund; 3) incentives for
the restructuring of existing buildings.
10
Annex I. Lombardy Region, parameters to calculate the “tolerable”
rent level according to regional law 2/2000
ISEE yearly
income level
<= 3.100,00
Max ratio
rent/income
after benefit
10,0%
3.100,01 - 3.615,20
11,0%
3.615,21 - 4.131,66
12,0%
4.131,67 - 4.648,11
13,0%
4.648,12 - 5.164,57
14,0%
5.164,58 - 5.681,03
15,0%
5.681,04 - 6.197,48
16,0%
6.197,49 - 6.713,94
17,0%
6.713,95 - 7.230,40
18,0%
7.230,41 - 7.746,85
19,0%
7.746,86 - 8.263,31
20,0%
8.263,32 - 8.779,77
21,0%
8.779,78 - 9.296,22
22,0%
9.296,23 - 9.812,68
23,0%
9.812,69 - 10.329,14
24,0%
10.329,15 - 10.845,59
25,0%
10.845,60 - 11.362,05
26,0%
11.362,06 - 11.878,51
27,0%
11.878,52 - 12.911,42
28,0%
11
Summary table
B - Social Assistance
Reference Vignette(s)
Country
Region
Name of the measure
Legal basis
Clear right or discretionary
measure?
Enforcement of entitlements and
negotiation with the social
workers?
Agencies which are responsible
for administering the measure
B.2. – B.4.
ITALY
LOMBARDY
Municipal dwelling contribution (Milan Municipality).
National law 328/00 and applicative decrees.
Discretionary measure.
Financing
Target population
Income thresholds below which
the entitlement is granted.
Does the threshold vary in
particular cases?
Monthly amount of basic measure
for an individual
Basic amount increased to take
account of other costs (housing,
heating costs, special needs…)
Incentive schemes
Waiting time between request and
first payment
Type of services and in-kind
supports foreseen
Sanctions
Duration of entitlement
Criteria for keeping entitlement
(besides income criteria)?
Is there a monitoring system of
income support?
Municipal funds coming from the national law 328/00.
Social assistance applicants at risk of eviction because of default.
Below Minimo Alimentare € 381,72/month or Minimo Vitale 427,58€/month in 2006) for a single
person.
Policy debate
No enforcement, some negotiation with social .workers.
Municipal social services.
Maximum 250.00 €/month in 2004 (equal to the maximum rent level in Milan social housing).
Number of household members, handicap, etc.
None.
Several months.
None.
Una tantum.
Respecting requirements negotiated with the social workers (i.e. being available for a job
experience, actively seek a job, following training paths, etc.).
The Milan Municipality has recently began to use an electronic information system that has
long been prepared especially for the Milan municipal social services. In principle it should
keep track of all supports that recipients get, but the use of the software is still at the beginning.
The purchasing power of Italian households has been heavily weakened in the last 5 years.
Housing costs, both rents and real estate value, have been increasing notably. Milan is the
most expensive town in Italy as to housing costs (both rent and purchasing). It should be noted
that 81,2% of Italian households lives in a dwelling that they own, or that they can use for free
(Istat, 2006). The rent market is limited in Italy, whereas social housing is extremely inadequate
(10% of all dwellings, 15% in Milan, Zajczyk 2005). Only households cumulating a number of
features of social and health diseases have a chance to access a social dwelling, after a rather
long waiting time (less than 10% of applications is accepted every year). Housing costs (loans
and private rents) weigh seriously on Italian households’ disposable income. In particular, in
Milan the persons in the main political and social positions (the bishop, the prefect, the trade
unions) have given official speeches and appeals about this. As a partial result, a plan was
launched by the Municipality, in order to build 20.000 new dwellings at social or moderate rent
level. The Regional Institute for Social Housing (Aler) has also started the building of 2.600
new dwellings, with national and regional funds.
12
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