Affirmatively Furthering Fair Housing?

Transcription

1 1 Affirmatively Furthering Fair Housing? Jarrod Elwell Director Enterprise Advisors April 27, 2017

2 Overview Affirmatively Further Fair Housing (AFFH)? How did we get here? What is the duty to AFFH and what is the AFFH rule? How can the AFFH Rule be used to create new opportunities? 2

3 Reconstruction Era - Constitutional Amendments 13th Amendment Prohibits slavery Congress has the power to enforce through legislation 14 th Amendment Grants Citizenship Privileges and Immunities Equal Protection Due Process Congress passes civil rights laws pursuant to this amendment (e.g. Fair Housing Act) 15 th Amendment Right to vote cannot be denied because of Race, Color, or Previous Condition of Servitude 3

4 Reconstruction Era Civil Rights Laws Civil Rights Act of 1866 All citizens have the same contract and property rights as white citizens. Shall be subject to same punishments, pains, and penalties and no others 4

5 History Leading to Passage of the Fair Housing Act 150 year movement to combat government sponsored or sanctioned discrimination in housing What has been done through intentional policies and practices can only be remedied through intentional policies and practices 5

6 De jure Segregation - Separation Enforced by Law State Constitutions Prohibited Black migration into states Jim Crow Laws Separated Public Accommodations based on race Plessy v Ferguson (1896) Separate but Equal Doctrine. Overturned by Brown v BOE Racial Zoning Residency restricted to zones based on race Outlawed by Buchanan v Warley (1917) Racially Restrictive Covenants in deeds Prohibited the sale or disposition of property based on Race, National Origin, or Sex. Held to be unenforceable in Shelly v Kraemer (1948) 6

7 De jure Segregation - Separation Enforced by Law Redlining Residential Security Maps devised by FHA and HOLC. Denied loans and insurance to people of color or in concentrated areas of color Segregated Public Housing 1937 Act required Segregated Public Housing Segregation requirements for building suburban housing developments. Blacks denied ability to get government supported housing in suburbs Blockbusting Encouraging the change of the racial or ethnic make up of a neighborhood for profit Steering Denial of fair housing choice Discriminatory Advertising 7

8 Modern Civil Rights Laws & Executive Orders 19 th Amendment in 1920 grants woman the right to vote. Only national civil rights law passed between 1875 and 1957 Truman desegregates the Military in 1948 Local Civil Rights Laws passed in the 1950 s Civil Rights Act of 1957 Creates Commission on Civil Rights, Civil Rights Division in Department of Justice Executive Order (1962) Kennedy prohibits segregation in federally funded housing Civil Rights Act of 1964 Title VI Title VII 8

9 Events Preceding the Fair Housing Act Civil unrest related to denial of civil rights 1965 Watts riots 1966 Chicago, Detroit riots 1967 Newark riot Kerner Commission appointed 1968 extensive civil unrest Dr. King assassinated April 4, 1968 over 150 riots after Dr. King s assassination 9

10 Kerner Commission Report Report of the National Advisory Commission on Civil Disorders known as The Kerner Commission published on February 29, 1968 "Our nation is moving toward two societies, one black, one white separate and unequal. The report berated federal and state governments for failed housing, education and social-service policies. "Providing employment for the swelling Negro ghetto population will require...opening suburban residential areas to Negroes and encouraging them to move closer to industrial centers... "...we believe that the emphasis of the program should be changed from traditional publicly built slum based high rise projects to smaller units on scattered sites." 10

11 The Fair Housing Act The Fair Housing Act prohibits discrimination in the sale, rental, and financing of dwellings, and in other real estate-related transactions because of the following personal characteristics: Race; Color; Religion; Sex; Familial status; National origin; or Disability. The Fair housing Act also requires that HUD administer programs and activities relating to housing and urban development in a manner that affirmatively furthers the policies of the Act. HUD must do more than simply not discriminate itself; the Act reflects the desire to have HUD use its grant programs to assist in ending discrimination and segregation, to the point where the supply of genuinely open housing increases. 42 U.S.C &

12 Equality vs Equity Equality versus Equity In the first image, it is assumed that everyone will benefit from the same supports. They are being treated equally. In the second image, individuals are given different supports to make it possible for them to have equal access to the game. They are being treated equitably. In the third image, all three can see the game without any supports or accommodations because the cause of the inequity was addressed. The system barrier has been removed. 12

13 Purpose of the AFFH Rule Fair housing planning rule Clarify existing fair housing obligations Set locally-determined fair housing priorities and goals Connect fair housing planning to subsequent community planning and development via the Consolidated Plan, Annual Action Plans, and PHA Plans (as applicable) Set up a framework for taking meaningful actions to affirmatively further fair housing Identify applicable program participants AFFH Rule Guidebook: Preface: Empowering Program Participants in Fair Housing Planning 13

14 AFH Process 14

15 Benefits of the AFFH Rule The rule clarifies the fair housing planning process HUD-provided data and mapping tools Balanced approach Encourages collaboration Community participation 24 C.F.R through 5.180, Executive Summary, Summary of the Major Provisions of the Rule 15

16 Strategies to Expand Housing Opportunity for Low Income Families Sunia Zaterman Executive Director at the Council of Large Public Housing Authorities

17 About CLPHA 70 members represent virtually every major metropolitan area in the country. Members manage 40 percent of the public housing program and administer 26 percent of the Housing Choice Voucher program. Members serve 2 million people including 800,000 children.

18 Affordability Gap Nationally, for a family earning 100% of AMI, monthly rent of $1,690 or less is affordable. For a family earning 30% of AMI, monthly rent of $507 or less is affordable

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22 Expanding Housing Mobility In 2014, one in eight (12.9 percent) families with children participating in the HCV program used their vouchers to live in a low-poverty area, where fewer than 10 percent of residents are poor.

23 Place Matters Families that move to areas of opportunity have been shown to improve: Employment opportunities Health and educational outcomes

24 Administrative Strategies Adjust payment standards Landlord recruitment and retention incentives Lifting the 40% of gross income cap on initial rent level

25 Administrative Strategies

26 Administrative Strategies

27 Place-Based Strategies Regional Collaboration The Regional Housing Initiative of Chicago (RHI) RHI virtual pool of PBVs consists of vouchers contributed by 10 housing authorities The pooling and transferring of subsidies has allowed RHI to support 406 apartments in 28 developments in 19 quality communities around the region. 350 vouchers from Chicago Housing Authority 290 vouchers from Housing Authority of Cook County

28 Place-Based Strategies Regional Collaboration Baltimore Regional PBV Program Funded through three-year $550,000 seed grant from HUD. Based on RHI, in place since Converts existing tenantbased vouchers to projectbased vouchers. Developers apply to Baltimore Metropolitan Council and the region s PHA s make joint decision on awards, in coordination with Maryland DHCD.

29 Tenant-Based Strategies Chicago Housing Authority Pre-move counselling workshops, including: Budget/credit School choice Good tenant Housing Search Assistance Unit identification Neighborhood tours Facilitate HCV lease up process Lease negotiation Landlord Outreach Landlord recruitment Negotiate move in fees, credit requirements Landlord-tenant liaison to resolve issues post move Post Move Assistance 30 day check in with landlord and tenant On-going tenant check in. $500 incentive for security deposit

30 Tenant-Based Strategies Housing Authority of the City of Austin (HACA) Currently developing a web interface with mobile app integration to assist voucher recipients to find housing options in amenity-rich areas. Focus on: High-performing schools Strong employment and training opportunities Walkable neighborhoods Access to public transit HACA Critical Partners: City of Austin CityUp competition University of Texas at Austin.

31 Education is the ultimate mobility strategy Columbus Metropolitan Housing Authority (CMHA) Utilized 9% LIHTC to create 38 units in Phase II designed for parents with children who want to finish school, and co-locates childcare services. Additional financing provided by Community Properties of Ohio Development, Ohio Capital Corporation for Housing. Groundbreaking at the Scholar House in Columbus, Ohio, developed by the Columbus Metropolitan Housing Authority. Phase III of the scholar house, which recently broke ground, serves emancipated and foster care youth in a supportive housing environment so they may attend and complete college.

32 Strengthening Neighborhoods. Improving Lives. clpha.org

33 Jennifer Schwartz Assistant Director for Tax Policy and Advocacy Retrofitting Opportunity Starting at Home April 27

34 The Duty to Affirmatively Further Fair Housing 1968 Obligation under the Fair Housing Act Directs program participants to go beyond not discriminating to actively promote fair housing and equal opportunity. Meaningful actions, in addition to combating discrimination, that overcome patterns of segregation and foster inclusive communities free from barriers that restrict access to opportunity based on protected characteristics.

35 The AFFH Final Rule 2015 Replaces the Analysis of Impediments (AI) process with an Assessment of Fair Housing (AFH). Intended to be a data-driven approach to fair housing planning More structured framework for assessment Extensive public participation Incorporated into the Consolidated Plan and PHA Plan HUD to review and approve AFHs

36 Who must submit an AFH? Jurisdictions that submit a consolidated plan for: Community Development Blog Grant (CDBG) HOME Investment Partnerships Program (HOME) Emergency Solutions Grant (ESG) Housing Opportunities for Persons With AIDS (HOPWA) Public Housing Agencies 23 state HFAs are the lead agency for Con Plan development 42 state HFAs administer HOME

37 What does AFFH implementation entail? Use of data to identify Fair Housing Issues that may restrict housing choice or access to opportunity and determination of Contributing Factors that create or perpetuate fair housing issues Identification of fair housing priorities and goals how to overcome the identified fair housing issues Strategies and actions to implement goals Rigorous community participation process Assessment Tool will provide a template for program participants to follow

38 AFFH and the Housing Credit HUD program participants obligated to affirmatively further fair housing with all of the housing and community development resources at their disposal, not just with their HUD resources. Pending litigation: Inclusive Communities Project vs. U.S. Treasury and Office of the Comptroller of the Currency Other planning efforts (e.g. QAPs) should be addressed in the AFH. But, HUD does not mandate coordination between AFH and other planning processes. All program participants must analyze data that includes location of Housing Credit properties HUD PIS database.

39 Addressing Fair Housing in QAPs In 2010, five states included language in their QAPs encouraged development in opportunity areas In 2015, 26 states included such language. No universal definition of high opportunity area Indicators states are considering: Economic growth/job opportunities Good schools Community stability (low crime rate, transportation options, etc.) Low poverty Strategies: Threshold requirements, set-asides, points, priorities

40 Status of AFFH Implementation for States HUD must issue final State Assessment Tool before states can begin developing their AFH. Drafts released March and September 2016 Third draft sometime this year with 30-day comment period, followed by final state assessment tool publication Data and Mapping Tool States will need to submit an AFH 270 days before their next ConPlan is due (after final Assessment Tool has been published for at least 270 days).

41 Steps HUD has Taken to Improve Assessment Tool State agency focus group Separate opportunity to comment on Data and Mapping tool and additional (3 rd ) comment opportunity on state Assessment Tool Modified tool to be more relevant to state-level Clarified HUD s expectations. States should consider needs of rural areas and not limit investment due to fair housing planning

42 NCSHA s Ongoing Recommendations Do not require states to conduct analyses showing causal connection between contributing factors and housing issues Clarify course of action when there are discrepancies between state and local agencies findings Do not require states to analyze fair housing beyond their borders Do not require HFAs to have expertise in non-housing policy areas

43 NCSHA s Ongoing Recommendations 60 Day Comment Period on First Iteration of Tool: (May 10, 2016) 30 Day comment Period on Second Iteration of Tool: (October 27, 2016)