Regulatory barriers to affordable housing often arise out
of negative views and attitudes toward such housing. Local
government regulations, such as one-acre minimum lot sizes
and restrictions on multi-family housing densities, can often
be traced back to a collective fear of the unknown. Several
states and communities have recently undertaken campaigns
to combat these misconceptions and increase support for affordable
housing. In so doing, they hope to reduce opposition and the
Not-In-My-Backyard (NIMBY) worldview, thereby reducing the
tendency to create regulatory barriers. In this article, we’ll
look at two efforts in the ‘reality check’ school
of public opinion making: a long-term program in Minnesota
and a more recent effort in Phoenix, Arizona.
Purpose
Most communities that create affordable housing marketing
campaigns have a reason for undertaking the activity. In Minnesota,
there was no specific event that prompted state officials
to take action, but rather, a general impression that many
residents were opposed to affordable housing developments.
In Phoenix, officials had the overarching goal of reducing
NIMBYism, but it was being driven by a specific objective
of generating support for an upcoming affordable housing bond
issue.
Communication Strategy
One of the most important aspects to consider when developing
an information campaign is to identify the audience and consider
how best to deliver the message to that audience. According
to Chip Hallbach, Executive Director of HousingMinnesota,
the Minnesota
effort used a number of communication methods to highlight
the issue. According to Hallbach, “A variety of audiences
were targeted, including the general public, with messages
and images that highlighted the importance of housing for
family stability and community vitality.” HousingMinnesota
created a brochure, radio advertisements, advertisements on
public transportation vehicles, and about 25 billboards that
were strategically placed in four or five communities. As
part of the effort, Governor Jesse Ventura recorded a message
of support that was broadcast in several markets. According
to Manny González, Director of the City of Phoenix
Housing Department, Phoenix
is focusing on six similarly worded messages that are being
placed on 12 billboards strategically placed in high traffic
areas throughout the City. Phoenix has also created posters
for display in public buildings, nonprofit agencies, and campaign
partner businesses.
Partners/Funding Sources
Working with the Family Housing Fund, the Greater Minnesota
Housing Fund, and the state housing finance agency, the Minneapolis
Foundation secured the services of a professional marketing
firm to develop a viable outreach campaign. The state housing
agency and HUD funded a portion of this project. The Foundation
also enlisted a number of highly regarded business professionals
to serve as trustees. The overall campaign cost approximately
$400,000 over an 18-month period. Meanwhile, the City of Phoenix
launched its campaign with funding through HUD’s Community
Development Block Grant. Other sponsors included a consortium
of seven organizations: Bank of America, Bank One, Fannie
Mae Foundation, Harris Bank, Local Initiatives Support Corporation,
the Phoenix Industrial Development Authority, and Wells Fargo
Bank. To keep a lid on costs, Phoenix used city staff to create
the text and the city public information office to create
the layout of the billboards. When completed, the cost of
the Phoenix campaign will run to approximately $155,000.
Bringing the Message Home
Minnesota featured young teachers, firefighters, police officers,
seniors, cooks, day-care workers, and health-care attendants
who serve the community in many important ways, but can’t
afford to live there. One advertisement depicts a teacher
with the tag line, “Meet another member of your community
who needs an affordable place to live.” Phoenix’s
advertisements featured photos of a recent college graduate,
a city bus driver, a teacher, an elderly man, a disabled office
worker, and a daycare provider.
Successful marketing campaigns usually employ at least two
complementary strategies. They are not isolated activities,
but are part of an overall program to promote affordable housing.
In Minnesota, a public relations campaign was just one of
three phases devised to increase awareness of the issue. In
another phase, the outreach efforts were aimed at rallying
businesses and faith-based organizations to support the affordable
housing concept. One measure of their success is that more
than 1,300 people attended a state conference promoting the
development of affordable housing. HousingMinnesota is currently
working with a research firm to develop indicators of housing
success for a new housing program. They’re also looking
for innovative ways to invest in affordable housing and are
supporting a state tax credit for charitable donations that
support housing.
In Phoenix, the initial goal was simply to raise awareness
that those who need affordable housing include people from
all economic strata. Mr. González said that Arizona
State University, the State of Arizona, the City of Phoenix,
U.S. HUD, and other public, private, and nonprofit partners
have launched the Affordable Housing Initiative (AHI); a regional
effort to promote support for affordable housing. On June
14, 2004, the AHI sponsored a day-long ‘Housing Summit
2004’ for the Governor’s Office. The Summit’s
report describes affordable housing as “quality housing
for Arizona’s workforce,” and presents a strong
economic-based statement on the need for affordable housing.
Another important aspect of successful marketing campaigns
is that advertisements must suggest action on part of the
viewer. In the Minnesota campaign, the advertisements directed
readers to the HousingMinnesota website for information on
how to assist in the effort. The Phoenix billboard advertisements
also contain a link to the City’s affordable housing
website.
As hard as this may be for some of our younger readers to
believe, many inner-city properties were developed in the
days before mass production led to widespread use of the automobile.
As a result, many core city properties have little if any
parking for residents or guests. If owners do not enlarge
or remodel these structures, or if they maintain their intended
use as residential properties, most communities don’t
force owners to meet current parking requirements. However,
that tolerance ends when owners wish to convert, enlarge,
or reconstruct these buildings. In such cases, local governments
often require owners to meet existing parking requirements.
More parking may be great news for auto enthusiasts, but it
also tends to drive up the cost of housing. This is particularly
true in urban areas, where land costs are already at a premium.
In many communities, modern parking requirements often discourage
infill development by requiring the removal of landscaping,
the purchase of additional nearby land, or in the most severe
cases, a reduction in the number of units, in order to satisfy
the regulatory requirement. Many local governments have noticed
that these requirements are impeding revitalization efforts.
In response, they’ve been developing alternatives that
encourage redevelopment by easing the demand for parking when
the objective is to promote or maintain affordability.
Requirements for Rehabilitation
Rehabilitation, conversion, and reconstruction are three
widely used methods that owners and developers use to create
new or repair old, affordable, single- and multi-family housing
in urban neighborhoods. In an effort to minimize on-street
parking demand, local governments often require that these
improvements include parking for those who will occupy the
new or rehabbed structures. Spokane
requires that owners who increase the number of units in a
residence or other structure containing sleeping rooms must
provide parking spaces for all additional units. In addition,
should developers wish to move a building to a new location,
they must provide all required parking spaces. Las
Vegas; Allentown,
Pennsylvania; and Memphis
only require owners of residential structures undergoing rehabilitation
to provide parking for the increased demand that results from
the rehabilitation. In Nashville,
the rules are slightly different. If an expansion or change
will increase the parking requirement by less than 25 percent,
then the owner only has to provide the number of parking spaces
required by the expansion or change. If the change increases
the parking requirement by 25 percent or more, then the owner
must provide all of the required parking. Since strict enforcement
of these regs would discourage rehabilitation, many cities
create options that owners and developers can use to meet
the spirit of the requirements.
Proximate Parking Alternatives
Recognizing that many housing sites cannot provide adequate
parking, Hartford,
Memphis and Spokane offer a number of alternatives that strike
a balance between parking and affordability. These cities
each allow developers to secure space on other properties
when certain criteria are met. Allentown requires that off-street
parking must be on the same lot or on a lot directly abutting
the proposed use. In Hartford, the other property must be
within 500 feet of the development. The maximum distance in
Memphis and Spokane is 300 and 600 feet, respectively. Most
of these cities have multiple requirements for these alternative
sites. Memphis and Hartford specifically require that the
owner document in writing that the space will be available
for the duration (as long as the project’s intended
use remains the same). Hartford’s ordinance also requires
that the parking cannot be used to satisfy other parking requirements.
Shared Parking Alternatives
Some communities also allow parking requirements to be met
by sharing parking with other land uses. In Spokane, the statute
allows a 20 percent reduction in the parking requirement if
the owner shows that shared parking arrangements will reduce
demand for parking. In Dayton,
Ohio, the authors of a recent study recommend that the
city consider allowing shared parking arrangements, because
they recognize that various uses have different peak operating
hours.
Transit
Many communities have opted to waive parking requirements
for any type of housing, including affordable housing, where
the new units are close to public transit facilities. Nashville,
for example, allows the owner or developer to reduce the required
parking by 10 percent if the development is within 660 feet
of a transit facility.
Other Parking Alternatives and Issues
Spokane exempts any new building or addition with less than
3000 square feet from the parking requirement. Memphis addresses
situations where nonconforming buildings are damaged and need
to be repaired. In cases where the destruction does not exceed
75 percent of the value of the building, current parking requirements
do not apply. Where damage exceeds 75 percent, the current
requirements are brought into play. In the Dayton study, the
author suggests that developers be allowed to pay an in-lieu
fee that would be used to pay for city-provided public parking
facilities. The author also recommends that the city consider
deferring construction of required parking spaces if the applicant
anticipates the demand for parking will be less than the city’s
minimum requirement.
Level of Review
In addition to the statutory requirements, local governments
have created a number of devices to streamline the permission
process for adjusting parking requirements. In Hartford, the
City Council must vote to allow the reduction or elimination
of required parking, while Allentown lets the Zoning Hearing
Board waive some of the parking requirements. Spokane gives
the planning director authority to grant exemptions, while
Memphis provides the building official with authority to make
such decisions.
Conclusion
With the demand for both parking and affordable housing growing
each year, local governments are often faced with tough decisions
about which need is most important. Many communities are working
to balance these often-conflicting demands through innovative
programs that allow for some flexible parking options that
minimize any negative effects on affordable development and
rehabilitation. If your community has an interesting story
to tell about parking and affordable housing, please let us
know so that it can be included as a resource in our searchable
database.
Affordable Housing Task Forces and Regulatory Reform
As communities across the nation face increasingly high housing
costs, many have responded by establishing task forces to
examine affordability issues and identify what local governments
can do to help. This article is the first of a three-part
series that examines how local bodies have responded to the
challenge of providing affordable housing. In this first article,
we’ll look at administrative streamlining, building
codes, infill, and development fee reform efforts in Burlington,
Vermont; Pasadena, California; Columbus, Ohio; Minneapolis-St.
Paul, Minnesota; and Dallas, Texas. A second article, to be
published in December, will study these same communities’
efforts to reform zoning regulations, tax policies, and state
policies. The third article will examine how the task forces
propose to measure success in implementing their respective
approaches to regulatory reform.
Administrative Streamlining
Each of the task force reports we’ve examined recognizes
that lengthy processing time increases the cost of developing
affordable housing and needs to be addressed. The Burlington
task force suggests that zoning permit hearings be ‘on
the record’, so that any appeals would not have to restart
the entire permit application process from scratch. They also
recommend that the City not attempt to redesign projects under
review.
The Pasadena
and Columbus
task forces suggest that their cities create a single body
to approve affordable housing applications. Authorities in
Columbus further recommend that the City provide technical
assistance to developers and suggest that the City consider
on-line plan review. They also recommend that the City provide
developers with technical assistance and create a database
of information on affordable housing resources.
Meanwhile, the task force in Dallas is encouraging the City
to publish standard timelines for development reviews and
to establish a process for tracking all types of development
projects during the review process. Another suggestion is
that the City create a web-based tracking tool for permitting
information. Further, they say that Dallas should establish
a single point of contact between the City and the developer
during both the review and construction phases of development.
They also encourage acceptance of third-party engineering
work without extensive review, or perhaps eliminate outside
reviews and take the work in-house. For affordable housing
developments, they urge the adoption of a fast-track permitting
process for affordable housing similar to the SMART
process in Austin, Texas.
Building Codes
Many of the local task forces examine the role that building
codes and the inspection process play in determining housing
affordability. After a hard look at the way things have been,
most recommend the adoption of various reform strategies.
Burlington officials argue that the City should adopt a flexible
rehabilitation sub-code. They also observed that the Fire
Marshall’s approval of the initial plans indicates that
substantive issues have been resolved and that the City Engineer
be the final arbiter of any lingering differences. The Burlington
task force further recommends that the City not enforce its
life safety code until the City Council conducts an analysis
on the impact of such enforcement on housing affordability.
The Minneapolis-St
Paul regional study comes out in favor of easing the process
of accepting new building technologies. They support the idea
that the state and member governments streamline the review
process to encourage the adoption of new technologies. (New
building technologies often run up against established code,
despite the fact that they often yield reduced construction
times and materials costs, as well as improved energy performance
cost efficiencies to the eventual occupants.) Two specific
means for implementing this recommendation include developing
model ordinances for the approval process and establishing
a statewide uniform approval process for building codes. They
also suggest that member governments seek input from trade
associations as to the most effective incentives.
Rehabilitation and Infill
In most of the reports and plans reviewed, the task force
members agreed that reducing the time and effort to secure
land is a key strategy in any effort to redevelop deteriorating
neighborhoods. Authorities in Columbus suggest that the City
process properties that are tax delinquent or have been taken
over through the nuisance abatement process more quickly,
so they can be used to create affordable housing. They also
suggest that the City actively support owners who agree to
build affordable housing on infill properties. Further, they
say that the City may want to act as the applicant to secure
the necessary approvals for developing properties. The task
force also recommends that the City attempt to obtain release
of a tax delinquency collection account and use the money
to secure tax delinquent property on Columbus’ behalf.
Further south, the Dallas report recommends that the City
enter into an agreement where they could sell tax delinquent
properties for less than market value, or for less than the
judgments in place against the properties in certain designated
areas. The report also proposes that affordable housing properties
in a redevelopment plan area be sold to qualified buyers without
having to conduct a sheriff’s sale.
Fees and Exactions
Several of the task forces examined the issue of fees and
their impact on the cost of affordable housing. Those on the
Burlington task force ask the City to study whether removing
the fees on excavation and sewer connections would encourage
new affordable housing development. They also recommend that
the regional planning agency broker agreements between municipalities
where the communities would reduce demand for new water and
sewer facilities by sharing unused capacity.
The members of the Pasadena task force advise the City to
increase the number and types of fees waived for affordable
housing. To see the fees proposed, see
fees.
Those in Dallas suggest that the City assist the housing authority
by granting them waivers of building permit fees, just as
the city does for non-profit Community Housing Development
Organizations.
Conclusion
Local task forces recognize that slow approval processes,
outdated building codes, restrictive infill ordinances and
high fees have an impact on housing affordability. Many are
trying to overcome these barriers by urging local governments
to undertake reforms that will benefit those who build and
occupy affordable housing. Please read our December issue
to see how these bodies suggest how communities should attack
zoning barriers, tax burdens and state restrictions.
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