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Decree Law No. 29/2018


Publication: Republic Diary No. 86/2018, Series I of 2018-05-04
  • Issuer: Presidency of the Council of Ministers
  • Diploma Type: Decree Law
  • Number: 29/2018
  • Pages: 1797 - 1804

Summary in plain english

What is it?

This decree-law defines new rules to support urgent accommodation and housing.

What will change? 1. The Porta de Entrada (gateway) — Urgent Housing Support Programme will be created

This new public housing support programme will be designed to ensure urgent accommodation and housing for people who have lost their homes.

The Institute for Housing and Urban Renewal will manage the programme

Cash grants will be provided by the State through the Institute for Housing and Urban Renewal (IHRU — Instituto da Habitação e da Reabilitação Urbana), which will also manage the programme.

IHRU will:

  • manage grants for temporary accommodation and permanent housing
  • decide on allocating grants
  • monitor if the grants are being used properly
  • assess Porta de Entrada’s performance each year.

Municipalities will identify the support needs in their area and present them to the IHRU to allocate these grants.

By 30 June each year, the IHRU will file a report assessing the Porta de Entrada's performance in the previous year. This report will present necessary actions to be taken and what resources are needed for the planned support.

Who can ask for this support?

This support can be requested by people that a municipality considers need help due to an unpredicted event that could not be avoided and:

  • are homeless or at immediate risk of homelessness
  • have no alternative housing with appropriate conditions
  • cannot afford housing at the moment.

They can be people affected by catastrophes or fleeing political, ethnic or religious conflicts where they lived.

A person or family will be considered unable to pay for housing if their wealth (bank accounts, shares, savings certificates and other securities held in institutions) is less than 240 times the value of the social support index (IAS — Indexante dos Apoios Sociais). In 2018 the wealth limit will be 102,936 euros, because the value of the IAS is 428.90 euros.

The total financing amount can never exceed the necessary amount for the housing investment, even if the person or family receives several grants for temporary accommodation or permanent housing from Porta de Entrada.

The same applies in cases where the houses have to be restored and the insurance pays for part of the restoration. The grant is only intended to cover any remaining costs when the insurance payout is insufficient.

How will the grant be allocated?

The grant is intended to finance temporary or permanent housing. It will be allocated according to the needs and available resources and can include:

  • housing allocation
  • supply of materials to use in the reconstruction of the house that has been destroyed
  • help with documents and procedures needed to rent a house or reconstruct the destroyed house
  • cost sharing of temporary accommodation at a house or tourist accommodation
  • cost sharing or total rent payment of permanent housing
  • cost sharing, reconstruction or renovation of a house that has been destroyed
  • cost sharing of purchase, construction or renovation of a new house
  • a loan for the non-reimbursed part of the costs of reconstruction or renovation of a house that has been destroyed
  • a loan for the non-reimbursed part of the expenses with the purchase, construction or renovation of a new house.

The IHRU, the Autonomous Regions and the municipalities will provide housing using the vacant houses they have for unpredicted events that could not be avoided.

The co-funded rent will be transferred l by the 8th of each month to the account of the beneficiaries. People will have to send receipts to the IHRU proving they have paid the rent. If not, they will lose the grant.

How to apply?

Applications will be submitted to the municipality or Autonomous Region. These entities will send the cases they think should be supported to the IHRU for evaluation and will propose they receive a grant.

The IHRU will evaluate the applications and verify who meets all the criteria to receive the grants.

If there are not enough funds for all the candidates, the cases that most need help will be supported, giving priority to:

  • urgent or temporary housing needs
  • support to individuals or families
    • with less income
    • over 65 years old
    • responsible for the care of more people
    • caring for people with disabilities or chronic illness or underage children under their care.

The people selected to receive grants will sign a contract with the IHRU.

The IHRU will also monitor the beneficiaries and verify that they fulfil the obligations they commit to in order to receive this support.

If the beneficiaries do not fulfil the contract they will lose the right to the grant and may have to return the money they have received.

Homes obtained with this grant cannot be sold without notifying the municipality

Homes that are bought, renovated or built with help from the Porta de Entrada programme will have special sale rules for 15 years. If the owners want to sell these houses, the municipalities have to be warned and can demand that the houses be sold to them.

2. Part of the PROHABITA programme will finish

A part of the PROHABITA programme — Housing Fund Programme, created in 2007 will no longer be in effect.

What are its benefits?

This decree-law is intended to:

  • meet any urgent housing need
  • clarify and simplify procedures
  • diversify the forms of support
  • create solutions that bring together the public and private sectors.
When does it come into effect?

This decree-law comes into effect the day after being published.

Original Version

LEGAL TRANSLATOR

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CONSOLIDATED LEGISLATION

Legislative consolidation integrates the various amendments and rectifications made into an original legal diploma in order to make its consultation more accessible to the citizen.