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HomeMy WebLinkAboutSubmittal-Statement of Objections and Evidence in Oppositionto Major Use Special Permit for Sawyers Walk-Crosswinds ProjectCITY COMMISSION CITY OF MIAMI, FLORIDA FILE NO. 06-00614mu SUBMITTED INTO THE PUBLIC RECORD FOR ITEM pziSON ia-ia-o2. IN RE: SAWYER'S WALK/CROSSWINDS APPLICATION FOR MAJOR USE SPECIAL PERMIT STATEMENT OF OBJECTIONS AND EVIDENCE IN OPPOSITION TO MAJOR USE SPECIAL PERMIT FOR SAWYER'S WALK/CROSSWINDS PROJECT POWER U Center for Social Change, Inc.' on behalf of itself and its members, and the following individual affected residents and homeowners in Overtown: Bea Gilbert, Joann Love, Reginald Munnings, Keith Ivory, Francis Knight, Carol Thomas, Howard Watts, Devonnaire Turner 2 submit the following statement of objections in opposition to the granting of the Major Use Special Permit ("MUSP") and subsidiary permits requested by the Developer. POWER U and the individual residents and homeowners object to the project itself for a number of reasons including the following: The Crosswinds project as presently configured is simply not a good deal for the City. It 'POWER U CENTER FOR SOCIAL CHANGE, INC., (hereafter POWER U) is a Florida Not for Profit Corporation and membership organization, located at 1633 NW 3rd Ave. in Overtown. It is dedicated to organizing and assisting residents in low income communities to advocate for their own needs. Its membership includes residents, tenants and homeowners, throughout the Overtown neighborhood, including in close proximity to the project. A substantial portion of POWER U's resources are currently devoted to organizing and assisting low income residents of the Overtown neighborhood of Miami in their advocacy for affordable housing and economic development for the current and former low income residents of the Overtown community. 2 These individuals will testify at the hearing and provide their names and addresses. Their interests in opposing the project are also expressed herein. 0(0 - 00i09 ttou +,s tct,i " u ': , o , � h ,SorUSA`�aLCi r2Crm f will significantly alter the cultural heritage and familial and neighborhood ties that currently exist in Overtown an historic center of Black culture in South Florida. The physical impact of the proposed development will dramatically change the land use in Overtown and preclude additional development of low and moderate income housing. The project will have significant environmental impacts which have not been presented by the applicant - including those outlined herein. The project will open up Overtown to massive high end development, which will eliminate remaining affordable housing and, with it, much of the traditional neighborhood. POWER U will be affected as an organization in that its neighborhood will be dramatically changed and its corporate purpose will have been undermined by this project. In addition, dramatically escalating land prices fueled specifically by this project, will affect the ability of POWER U and its members to remain in Overtown. The individuals named above are all home owners or renters living in Overtown in the immediate proximity of the project. Each of the individuals, in addition to concerns raised orally at the hearings, wish to register their direct and personal interest in the project well beyond that of the general public in that (1) increasing land prices directly and intentionally fueled by this project will decrease the present stock of available low income housing in the area and make it more difficult for them to continue to live in Overtown and, indeed, in Miami itself; (2) this project will destroy the general appearance, as well as the culture and character of the neighborhood network which they so deeply value; (2) the failure of the project to comply with basic City planning requirements will increase congestion and degrade the environment in their neighborhood and prevent their enjoyment of their community, including taking advantage of Submitted Into the public 2 reoor, in connection with item VZ11 onf2'f -07 Priscilla A. Thompson City Clerk parks, neighborhood shopping, enjoying the neighborhood atmosphere and character. POWER U and the individual residents and homeowners therefore request that the City Commission deny the request for the Major Use Special Permit and subsidiary permits for the following specific reasons: 1. The project fails to satisfy the MUSP criteria and should not be approved. 2. The project does not comply with the MUSP criteria with respect to environmental impact and the existing environmental impact study is insufficient. 3. The project is inconsistent with the City of Miami Comprehensive Plan and the Redevelopment Agency's Housing Policy for Overtown, and the Development of Regional Impact and this Commission should therefore deny the MUSP. 4. The project, as presently configured, requires a zoning variance. Because the project does not qualify for the variance required, this Board should recommend that the MUSP be denied. In addition, the project's request for a Class II Special Permit should be denied. 5. The review of the project should be delayed in that it is subject to a reverter which is due to expire shortly. HISTORY OF THE PROJECT This project should be subjected to heightened scrutiny because it is being built on publicly owned land. The property involved in this project, Blocks 45, 46, 55 and 56, were purchased with funds provided to Miami -Dade County and the City of Miami by the United States Department of Housing and Urban Development and the United States Department of Transportation (then the Urban Mass Transit Authority) and has remained essentially 3 Submitted Into the public recoil!in connection with Mtern (Z I1 on (Z-I'?- 07 444 easciiia A) Thompson undeveloped until the present.3 The Crosswinds project is one of the largest residential projects currently in the planning stages in the City of Miami. The currently proposed project involves 1,050 units (with a possible increase to 1200 units') in mid rise and high rise structures on Blocks 45, 46, 55 and 56 in the Overtown neighborhood. The units are "for sale" units with 80% of the units sold at market rate and 20% targeted to persons making 140% of County median income (approximately $83,000 for a family of four).5 An additional fifty units will be deeded to the City for families making up to 80% of median income (or $47,450 for a family of four). The project also involves 75,000 square feet of commercial/retail space. It is being built in an extremely low income African American community, desperately in need of affordable housing for its low income residents and in need of projects that will anchor the current community and not fuel speculation and unrestrained development. This project fails to meet those needs. The Sawyer's Walk partnership was initially given development rights to the property in 1990 by the City of Miami. Because this current proposal resulted from those initial 3 A small condominium project was developed on part of Block 45. Otherwise the four blocks remain exactly as they existed after being vacated and cleared in the 1980's. The Amended Settlement agreement allows for an increase to 1200 units upon payment to the City of an additional $15,000 per unit. 5 The Settlement Agreement states that the "affordable units" are to be available to household making up to 140% of area median income. Since it is impossible to construct a project without fixed prices, providing a range of incomes will always result in the units being priced to be affordable to families at the highest end of the spectrum. Any affordability to families making less than 140% of median is provided by individual subsidies - which are not discussed in the project description and would have to be provided through other existing City subsidy programs. 4 Submitted into the public recordin connection with item Z11 onl2-07 Priscilla A. Thompson City Clerk development rights - even though it is very different from that original proposal - it avoided the need to conduct any public bidding process or, indeed, any public process of any kind. This current project is essentially, an entirely new project being developed by an entirely new entity but with very limited public process. Power U, its members and the named individuals believe that this lack of process resulted in a project that not only fails to meet the needs of the community but will actually do substantial harm to it. OVERVIEW - THE CROSSWINDS PROJECT WILL RESULT IN THE DISPLACEMENT OF POOR FAMILIES AND SMALL BUSINESSES FROM OVERTOWN THROUGH GENTRIFICATION AND MASSIVE PROPERTY TAX INCREASES. The central and most serious concern is that the Crosswinds Project will result in massive displacement of poor families and small businesses from Overtown through gentrification and significant property tax increases. City of Miami's own Consolidated Plan,6developed in partnership with the U.S. Department of Housing and Urban Development, specifically documents the displacement of the current poor residents, caused by the impact of the up scale, market rate developments, such as the Crosswinds project, on the City's poorest communities. In the last five years, the City of Miami's urban core has undergone a dramatic transformation that has had a profound impact on the housing market. Once regarded as blighted high crime areas, many of the distressed urban core neighborhoods that were targeted during the last Consolidated Plan are now considered among the Nation's most sought-after real estate markets. Although this renewed interest in the urban core has led to a surge of new construction and a dramatic increase in property values, the lives of the low to moderate income residents living in or near these neighborhoods have not improved. In many ways, their living conditions have become more difficult. Indeed, all of the distressed neighborhoods in the City of Miami experienced the following in various degrees: 6 The Consolidated Plan is required by U.S. Department of Housing and Urban Development of local jurisdictions such as the City of Miami as the bedrock planning document for the use of all federal housing funds, including Community Development Block Grant Funds. 24 CFR. Part 91. It requires a certification that the local jurisdiction is following the plan with respect to projects utilizing Community Development Block Grant funds. 24 CFR § 91.225. 5 Submitted Into the public recordin connection with item v2 11 on IZ- I3-01 Priscilla A. Thompson City Clerk • Loss of businesses • Loss of residents • Loss of affordable housing All of these factors indicate that the City of Miami is experiencing signs of gentrification. This is evident by the dramatic increase in real estate values, the shortage of affordable housing, and the growing interest of investors in urban core communities, where many of the City's low income families reside. Clearly, the effects of gentrification have had a positive impact on some communities by helping to improve the housing stock, attracting new businesses and increasing the tax base; however, it has also lead to the displacement of low income residents, conflict among old and new residents and the disruption of the social fabric of existing neighborhoods in some communities. City of Miami Consolidated Plan, XII. Housing Strategy. The Plan continues: Severely cost burdened households are defined as those spending more than 50 percent of their household income on housing costs, including utilities. In 2000, 20% of households were severely cost burdened in the City of Miami. A total of 26,899 households were spending more than 50 percent of their household income on housing. That proportion is estimated to remain constant to 2010 when almost 30 thousand households are predicted to be severely cost -burdened. City of Miami Consolidated Plan, VI. General Housing Needs Assessment. The Consolidated Plan then states that the most serious obstacles that the City of Miami faces in trying to meet the underserved needs in the jurisdiction include: Housing • Growing shortage of affordable housing for very low income families (particularly rental) .. . • Low production of affordable housing compared to need • Scarcity of affordable sites due to escalating costs of real estate... City of Miami Consolidated Plan, XII. Housing Strategy. Lest there be any doubt as to the impact of the Crosswinds Project on Overtown, recent studies of the Midtown project document the tremendous gentrifying impact of such massive development. The following chart represents the appreciation in single family homes in the 6 Submitted Into the public recorsi in connection with itemVZi7 on1Zi3O? Ptsoilla A. Thompson four block groups immediately, west (2), south (1) and east (1) of the Midtown. Project.' Census Tract Block Group Median Price, SFH Sales 2000' Median Price, SFH Sales 2005 Price Increase Percent Change 200.1 % Population 1,00E 2600 2 $61,975 $186,000 $124,025 2600 3 $75,960 $235,000 $159,040 209.4% 1,754 2702 1 $93,236 $507,500 $414,264 444.3% 1,224 2800 1 $82,268 $220,000 $137,732 167.4% 59C 1 In 2005 dollars; SFH = Single Family Homes Total Population: 4,574 [Please refer to the map attached as ATTACHMENT D to see where the aforementioned 4 block groups lie in relation to the Midtown project. They are colored light orange. Attached as ATTACHMENT E is a map which graphically shows the appreciation surrounding Midtown.] As you can see property prices have increased dramatically there since 2000, over 400% in one case. Furthermore, looking at the map of the greater north central vicinity including Wynwood we can see the concentration of property value spikes around the Midtown project and the Design District. This is clearly no coincidence; rather it reflects the effects of large-scale development on the housing market as well as an active policy agenda for revitalization of the area. Looking at the median price in 2005, it is clear that lower -income households could not afford to purchase a home here. And Midtown, as currently approved and under construction, has less than the 1000 units presently approved for Crosswinds. Other examples of development and gentrification include East Little Havana, the part of Buena Vista near the Design District and the north east side, Village West or West Coconut Grove, and Miami Beach. They all show dramatic property value increases and demographic indications of gentrification over the last 15 years associated with intensified development ' The following data was provided by Marcos Feldman, Research Associate at RISEP, FIU and is part of a forthcoming study ( with Alex Angee, Emily Eisenhauer and Yue Zhang), " Gentrification and Neighborhood Change in Miami", RISEP-FIU, forthcoming. 7 Submitted Into the public record iinlcon a Zn" d item Priscilla A. Thonnpson activity. This is especially present right now in East Little Havana along the river and throughout the neighborhood.8 The Crosswinds Project is destined to have the same impact on Overtown. It would create over 1,000 upscale "for sale" units, in an area where the median family income is just $13,213 and 63 percent of the residents are renters. The property price increases will particularly impact small landlords, poor renters and small businesses. Unprotected from property tax increases, small landlords and small businesses will see their property taxes skyrocket. These costs will be passed along to tenants, requiring many small businesses and poor tenants to leave. These impacts - which are directly predicted by the City's Consolidated Plan and the City's experience with Midtown — have nowhere been considered. 1. THE SAWYER'S WALK/CROSSWINDS PROJECT FAILS TO DEMONSTRATE COMPLIANCE WITH THE MAJOR USE SPECIAL PERMIT CRITERIA AS SET FORTH IN THE CITY OF MIAMI ZONING CODE. The City of Miami Zoning Code requires special consideration of projects requiring Major Use Special Permits, specifically because of their impacts on the surrounding community. Because of their magnitude, character, or location, certain developments or redevelopments as defined, have a substantial effect upon the health, safety, and general welfare of the citizens and residents of the City, it is declared to require consideration and authorization by the City Commission before building permits to approve construction are issued. Section 1700. In the present case, this project should be rejected because of its failure to comply with the planning principles required for a Major Use Special Permit. Id. 8 Submitted Into the public recor in connection with item VZ 11 on l2-13 41 Priscilla A. Thompson ,.qCity A. The Major Use Special Permit for the Sawyer's Walk/Crosswinds Project Should Be Rejected Because the Project Fails to Integrate Itself Within the Area and with Respect to Surrounding Existing Uses. The Major Use Special Permit code requires that: The design and development plan shall demonstrate functional internal relationships within the area to be encompassed and in particular the relationships of the concept plan to surrounding existing and proposed uses, activities, systems, and facilities (transportation, recreation, view corridors, pedestrian systems, service systems, and similar uses). Section 1702.2(a). This current design of this project fails to fulfill this criteria. A project would have a "substantial" impact on urban design if it would result in buildings that are considerably different from those existing in the neighboring area. Similarly, visual resources could be substantially impacted if an action would result in or change above- ground development or would impair the public's ability to view and enjoy visual resources. All studies of Overtown continually refer to the need for buildings in keeping with the scale of Overtown, a neighborhood of limited height - three to four stories. This need for scale is echoed in the report of Dr. Vos:9 Community Character - Overtown consists of an interesting, eclectic mix of single family homes, small stores, restaurants and multifamily units. Most buildings are between 1 and 3 stories. There are people on the sidewalks and traffic is relatively modest with on street parking. There are no large parking garages, big box stores or large scale buildings and most structures are at a human scale. It is important that new development occurs at a scale level that is compatible with this. Given the characteristics, densities should not be increased vertically but horizontally, through infill and utilization of vacant lots.10 9 Dr. Vos received a Ph.D. in Regional Planning from the University of Illinois at Urbana - Champaign and a Master's degree in Environmental Science from Wageningen University in the Netherlands. A copy of his Curriculum Vitae is attached to his article at Attachment A. 10 "Jaap Vos, "Thoughts about an Environmental Assessment for Sawyer's Walk in Overtown"(Hereafter "Assessment") , p.11. A copy of the article is attached to this Statement as Attachment A. 9 recoc,oj in connection With et9m Z I1 on 12- 13- 0? A. Thompson City Clerk The planned buildings are dramatically taller - mid rise and high rise buildings - representing a fundamental change in the architectural scale of the Overtown neighborhood. The planned heavy building bulk and height will also diminish the quality of open space for current residents and workers by decreasing the availability of light and airflow while increasing uninviting shadows onto local streets, sidewalks, and playgrounds. In addition, the current plan appears to create open space that is only available to residents of the project in the interior courtyard of the buildings. This further reduces the open space available in the Overtown community and has the possibility of signaling the creation a two tiered system of open space - public and private - with private open space reserved for the "new" residents of the community. In addition the huge massing, little to no set -backs, no street flow through the Project, open space effectively limited to Project residents' use and stores geared primarily for residents, in essence, creates a "gated community", with an atmosphere of exclusion, unconnected with the surrounding neighborhood. These design impacts are inconsistent with the requirements for a Major Use Special Permit and the Permit should be rejected until the project is redrawn and these deficiencies are cured. B. The Major Use Special Permit for the Sawyer's Walk/Crosswinds Project Should Be Rejected Because the Project Will Have a Significant and Deleterious Effect on the Surrounding Community. Miami Zoning Code Section 1305.3 requires a careful review of the proposed project and the impact that the use of the project will have on the surrounding neighborhood. Just as noxious uses, such as those producing noise, fumes, etc., should be cause for rejection so also residential uses which will dramatically impact the surrounding neighborhood should also be 10 Submitted Into the public in connection yiith item Z ��_ Ptisdua A. Thomhom �� h �y. cause for rejection. Overtown is currently relatively low density, low rise residential community (particularly when compared with the neighboring downtown) characterized by buildings that are one to four floors in height. Despite its poverty and predominance of renters, it is a community characterized by long tenure. Indeed, the length of residency is extraordinary for such a poor population. The report of Dr. Vos, reveals that, according to the 2000 Census, while 89% of residents are renters, 48% of the renters had lived in the same unit for 6 years or more and 31 percent had lived in the same unit for over ten years." Moreover, for those households who had moved within the past five years many had simply moved from one unit in Overtown to another. As discussed in the report of Dr. Vos, it is hard to overestimate the degree to which Overtown is currently threatened with over development.12 Now, economic reality is that Overtown is an area with an economically and socially marginalized population that contains prime real estate. Under these circumstances large scale redevelopment will occur regardless of government incentives. The challenge is no longer how to attract private development interest to the area, the challenge is how to harness these private interests so that the 8178 remaining residents have an opportunity to remain in the area and improve their quality of life, and their educational and economic opportunities. Economic reality is such that, the residents' interests are no longer furthered by the requirements for affordable housing and minority business involvement that are described in the original plan. Any kind of redevelopment will most likely lead to indirect displacement of the current residents of Overtown. Given this impact of this project, an impact which is not ameliorated in any way by the project, the Major Use Special Permit should be rejected. 11 Jaap Vos, "Inventory of Basic Housing Needs For Current Residents of Overtown" (hereafter "Inventory"), p.7. A copy of the article is attached to Dr. Vos Declaration which is attached to this Statement, as Attachment A. 12 Assessment, p.7 11 Submitted Into the public recordinconn item VZ 11 o Priscilla Thompson C. The Project as Presently Configured Does Not Comply With The Design Review Criteria. Zoning Ordinance 1305.2 sets forth specific Design Review Criteria ("DRC") which MUSP applicants must satisfy in order to be granted a MUSP. Of particular relevance to this project are the following requirements: I. Site and Urban Planning (1) Respond to the Physical contextual environment taking into consideration urban form and natural features. II. Architecture and Landscape Architecture: (2) Respond to the neighborhood context. (3) Create a transition in bulk and scale. (4) Use architectural styles and details (such as roof lines and fenestration), colors and materials derivative from surrounding area. (5) Articulate the building facade vertically and horizontally in intervals that conform to the existing structures in the vicinity. III. Pedestrian Oriented Development: (2) Design facades that respond primarily to the human scale. V. Vehicular Access and Parking: (4) Use surface parking areas as district buffer. The proposed project fails to satisfy all of the above criteria and this Commission should deny the MUSP on that basis. As to DRC I(1) and II(2) and (3), the reports and testimony of Dr. Vos shows that the construction of this project threatens the historic, low rise and working class community character of Overtown, which is primarily a low density, low rise residential community characterized by buildings that are one to four floors in height. Plopping down four large buildings that will each exceed 120' in height and that are designed to house over 2,000 new residents clearly does not respond to the neighborhood context, create a transition in bulk 12 Submitted Into the public mooitem rIn n Zl�on�lZ�1 "U7 Priscilla A. C� i n and scale or respond to the physical contextual environment. With respect to DRC II(4) and (5), DRC III(2), these buildings do not in any way conform to or echo existing architecture which reflects the low rise nature of the community and the human scale. As previously noted, Overtown is, an interesting eclectic mix of single family homes, small stores, restaurants and multifamily units. Most buildings are between 1 and 3 stories. There are people on the sidewalks and traffic is relatively modest with on street parking. There are no large parking garages, big box stores or large scale buildings and most structures are at a human scale. It is important that new development occurs at a scale level that is compatible with this. Given the characteristics, densities should not be increased vertically but horizontally, through infill and utilization of vacant lots.13 Finally, the proposed project fails DRC V(4) in that it fails to use surface parking areas as a district buffer. 2. THE SAWYER'S WALK/CROSSWINDS PROJECT IS INCONSISTENT WITH THE HOUSING OBJECTIVES IDENTIFIED IN THE CITY'S COMPREHENSIVE PLAN AND CONSOLIDATED PLAN The City of Miami Comprehensive Plan Objective HO-1.2 states that a major objective of the Comprehensive Plan is to "[c]onserve the present stock of low and moderate income housing within the city..." The recent Evaluation and Appraisal Report (EAR) of the City of Miami Comprehensive Plan concedes that the City is failing to achieve this goal and is, in fact, losing affordable housing.14 Citing to the City's most recent Consolidated Plan the EAR finds that: [T]he Consolidated Plan found that the City of Miami experienced a loss in multi- family structure types between 1990 - 2000. The City lost 14 percent of its units in 10-19 unit structures (2,028 total units) and 4 percent of its units in 5-9 unit structures (581 units). These structure types typically support affordable rental housing in older urban neighborhoods; ... 13 Vos, Assessment, p. 11. 14 The City's Evaluation and Appraisal Report is available on the City website at http://www.ci.miami.fl.us/Planning/pages/community_planning/FULLREPORT 111405.pdf 13 00104f4 pubet 1,2;1.111 t cleat City of Miami Evaluation and Appraisal Report, September 2005, p. 90. The Report, again quoting the Consolidated Plan, then goes on to identify Overtown as the least affordable rental housing area of the City. [T]he Consolidated Plan found that existing contract rents within the NDZ [Neighborhood Development Zones] are above 30percent threshold for neighborhood residents. Lack of rental affordability is greatest in Overtown (38 percent) and Wynwood (36 percent). The lack of rent affordability within the NDZs is largely the result of low median household incomes as contract rents are substantially below the City's median contract rent..." City of Miami Evaluation and Appraisal Report, September 2005, p. 90. Despite the identification of these needs and the failure of the City to fulfill these plans, the City is undertaking a project which will utilize valuable City -controlled land for a project which not only fails to address the need but also will significantly exacerbate the affordability problem by fueling the indirect displacement of many more of these very low income residents. Dr. Vos in another study specifically described his conclusions regarding the impact of this very project on the Overtown neighborhood.15 The City's Consolidated Plan16, cited by the City in the EAR, paints a picture of severe housing need for the poorest households in the City. As is shown in the extended excerpt from the plan which is quoted at page five of this Memorandum, poor residents are suffering displacement, caused by the impact of the up scale, market rate developments, such as the Crosswinds project, on the City's poorest communities. This project is an express and planned choice by the City government to utilize this one 15 16 See quotation from Assessment, at page 11 of this Statement. The City's Consolidated Plan developed in partnership with the U.S. Department of Housing and Urban Development and utilized as the base data in its Evaluation and Assessment Report 14 tz �.. ��+��pb"ii1itinto '�1'ri}pubtie r , 4,.. in connection with VZ 11 o 12- (O._ �.----1 ease 11_ _l mpson time opportunity of City owned land in an area consistently identified as being in desperate need for rental housing for poor households instead of for needs directly contradicted by its own plans. Rather than developing a project consistent with those needs as set forth in its own land use plan, the City has developed a Plan that will simply induce and amplify the very obstacles that its planning documents complain of. Eighty percent of the 1050 units in Sawyer's Walk/Crosswinds will be market rate - most likely not affordable to anyone in Overtown. The remaining twenty percent (including the fifty units set aside for the City) will be affordable to families making 140% of median or approximately $83,000 a year." Few, if any, current residents of Overtown could afford any of these units. Moreover, even if these units were affordable they would be of little use to many of the current residents of Overtown. Overtown is a neighborhood of children. Thirty nine percent of the population of Overtown is under the age of nineteen - much higher than either the City of Miami or the County. However, only three of the units are larger than two bedrooms. They are designed for upscale, unmarried, young professionals who desire to, and can afford to, live downtown. 3. THE DISPLACING IMPACTS OF THE SAWYER'S WALK/CROSSWINDS PROJECT RENDER IT INCONSISTENT WITH THE HOUSING OBJECTIVES IDENTIFIED IN THE CITY'S COMPREHENSIVE PLAN, THE CONSOLIDATED PLAN AND THE REDEVELOPMENT AGENCY HOUSING POLICY REQUIRING RELOCATION ASSISTANCE. The original families displaced from this land in the mid-1980s received relocation assistance. But that original displacement did not identify any additional indirect displacement. However the development climate has changed dramatically since then. Dr. Vos now predicts 17 Most of these units will achieve affordability only through other City subsidy programs. 15 Submitted Into the public reco in connection with item VZ 11 on 12 1.3- 07 Priscilla A. Thompson City Clerk substantial induced displacement fueled by Crosswinds.]$ Indeed, the City's Consolidated Plan predicts as much. (See Section 2.) However, unlike the original project, the Crosswinds project makes no provision whatesoever for assistance for these indirectly displaced families. Indeed, it fails to even recognize their existence. The City of Miami Comprehensive Plan Objective HO-1.5 requires that the City "[p]rovide for assistance to displaced occupants where public redevelopment programs require relocation." A similar policy has been adopted as part of the Housing Policy of the South East Overtown Park West Community Redevelopment Agency (SEOPW CRA) which also requires: In the future, if any unforeseen redevelopment project involving the SEOPW CRA requires the involuntarily displacement of anyone from either a rented or owned housing unit, the project proposal must contain a Project Relocation Plan which adheres to all applicable laws and regulations. The Project Relocation Plan must be approved by the Board of the SEOPW CRA in a publicly noticed CRA Board meeting prior to any final approval of the project. Redevelopment Plan, Section 6. The Reports of Dr. Vos, the City's Consolidated Plan, and the recent history of development in the City of Miami, all demonstrate significant indirect displacement caused by market rate development such as the identified project. The City of Miami's Comprehensive Plan, recognizing the enormous impact that involuntary displacement has on communities and families and the consequent impact on land use planning, requires City assistance to such displaced occupants when the relocation is caused by public redevelopment. This project is public redevelopment and it will cause indirect displacement. Yet there has been no study, no identification of potential displacement and certainly no provision of any relocation assistance. As a result of this failure, these households will be forced out of the community and will be unable to 18 Assessment, p.8 16 Submitted Into the public recorA in connection with item V Z t-1 on IL-J111 Priscilla A. Thompson City Clerk secure adequate replacement housing. 4. THE SAWYER'S WALK/CROSSWINDS PROJECT REQUIRES A VARIANCE. WITHOUT A VARIANCE IT FAILS TO COMPLY WITH THE CITY'S ZONING ORDINANCE The Sawyer's Walk/Crosswinds Project is in an SD 16 and SD16.2 zone.19 City of Miami Zoning Code, Section 616.8.4.3, which describes special lot coverage requirements for those zones, sets out "upper level footprint maximums" for heights between 40' and 120' and also above 120'. The Section requires that for heights between 40' and 120' the "upper level footprint maximum" is 70% of the "net lot area." The submitted plans set out the "net lot area" and the "upper level footprint maximum" for the four lots as follows: Lot #1 Net Lot Area = 90,084 40' to 120' - upper level footprint maximum(70% of Net Lot Area) = 63,059 Actual 40' to 120' Upper Level Footprint = 75,120 Variance = 12,061 Lot #2 Net Lot Area = 90,084 40' to 120' - upper level footprint maximum(70% of Net Lot Area) = 63,013 Actual 40' to 120' Upper Level Footprint = 75,120 Variance = 12,061 Lot #3 Net Lot Area = 149,948 40' to 120' - upper level footprint maximum(70% of Net Lot Area) = 104,963 Actual 40' to 120' Upper Level Footprint = 123,758 Variance = 18,795 Therefore, this application does not meet the "upper level footprint maximums" of the City zoning ordinance. The application therefore requires a variance in order to proceed. However, no variance has been requested. Had a variance been requested, Zoning Code Section 1702.6 requires that it be heard first by the Zoning Board: 19 The application continually describes the zoning as SD 16 and SD 16.1. This is incorrect. The zoning is SD 16 and SD 16.2. 17 Submitted Intothe P recur in conne 0"1 item tiZ 11 on Priscit;a A. Thompson CIS Clerk For applications involving zoning changes, Special Exceptions and/or variances the Director of the Department of Planning and Zoning shall submit his/her recommendations first to the Zoning Board and then to the Planning Advisory Board at properly noticed regularly scheduled public hearings of the boards. Upon consideration of the application, the Zoning Board and the Planning Advisory Board may recommend approval or denial of the application and further concur or disagree with any or all of the recommendations of the Director of the Department of Planning and Zoning, and such actions of the board shall be included as part of the record for transmission to the City Commission. This application has not gone through the Zoning Board and no zoning variance has been requested. Therefore, this project must be rejected and must either be reconfigured to comply with the zoning code or a zoning variance must be requested and that zoning variance must be processed as set forth in Section 1702.6. (A) The Projects Request for a Class II Special Permit Also Should Be Denied. In addition, the Project requests a Class II Special Permit to allow it to transfer over 21,494 square feet of open space from the exterior to the interior of the building, specifically the interior of the upper floors. This would effectively exclude the community from the use of this open space and would be inconsistent with the Comprehensive Plan, the DRI plan and the Design Review Criteria which require open space that is usable and allows for convenient and visible pedestrian access from the public sidewalk. This Class II permit effectively insulates the open space from the public and further exacerbates the project is separateness from the existing community. This Class II permit fails to meet the requirements of the Zoning Code which requires conformity with the Comprehensive Plan, the DRI plan and the Design Review Criteria and therefore should be rejected. 18 Submitted Into the public recordin connection with item VZ 11 on 1Z- I -07 Priscilla A. Thompson City Clerk 5. THE SAWYER'S WALK/CROSSWINDS PROJECT IS INCONSISTENT WITH THE REDEVELOPMENT AGENCY'S HOUSING POLICY FOR OVERTOWN WHICH REQUIRES INCLUSIONARY HOUSING FOR LOW AND VERY LOW INCOME HOUSEHOLDS. The South East Overtown, Park West Community Redevelopment Agency (SEOPW CRA) Housing Policy requires the Agency to assist with the development of affordable housing by: c) Establish'ingI inclusionary zoning policies that will require a percentage of the units in all new rental and homeownership developments to be affordable to low and very low income families. with hest efforts being made to serve existing Overtown residents; and d) Assisting developers, who provide rental housing serving families, including seniors, earning below 50% of the area median income, to secure project based assistance for those units. The parcel being developed is the most significant publicly owned parcel in the Redevelopment Area targeted for residential. Despite that the land is being provided to the project, and that it is developing over 1000 units of housing, only fifty units are targeted for less than 140% of median and those will still require an income of over $47,000 a year. The Redevelopment Agency Plan was developed specifically to attempt to mitigate the impacts of over development on the current residents of Overtown. The failure to comply with those criteria in this project - one in which the City owns the land - will render it impossible to obtain such concessions from developers who are developing their own land. The failure of the Redevelopment Agency to comply with these guidelines on its own project, underscores the need for refusing the Major Use Special Permit. 6. THE PROPOSED PROJECT APPLICATION'S DEVELOPMENT IMPACT STUDY IS INSUFFICIENT AND FAILS TO COMPLY WITH THE MAJOR USE SPECIAL PERMIT CRITERIA AS SET FORTH IN THE CITY OF MIAMI ZONING CODE. City of Miami Zoning Code Section 1702.2.3 requires that each "applicant shall submit a development impact study which shall demonstrate whether the impact of the proposed Submitted Into the public 19 recordin,-nnection with item VZ II on 12'11-01 Priscilla A. Thompson City laic development is favorable, adverse or neutral on the economy, public services, environment and housing supply of the City." The Development Impact Study submitted by the applicant fails to address those required impacts. A. The Development Impact Study Submitted by the Developers Fails to Adequately Address the Impact of the Project on the Environment of the City. The City of Miami Zoning Code requires that the Development Impact Study address the impacts of the project on the environment and the impact of the environment on the project. The Development Impact Study fails to do so. There are numerous impacts which are not addressed at all and others which are inadequately addressed. a. The Major Use Special Permit Application Should Have Studied the Impact of Noise on the Project. The U.S. Department of Housing and Urban Development sets out criteria for studying the environmental impacts of residential developments. The current project fulfills both of the criteria posed by HUD for noise review of a residential project - proximity to a high traffic freeway (literally "across the street") and proximity to an elevated transit line. Indeed these uses border the project on two sides. The prime concern of a CDBG environmental impact assessment for noise should be the effect of existing and projected noise levels on the proposed activities and facilities. An assessment will be needed if housing or other noise sensitive uses are proposed and any of the following conditions are met: • • roadways within 1,000 feet of the site with such characteristics (e.g., high traffic levels, high speed, heavy truck/bus usage, slope gradients, etc. that would indicate high ambient vehicular noise levels. At -grade or elevated transit lines or railroads within 3,000 feet of the site. HUD Environmental Review Guide for Community Development Block Grant Programs, p.67 20 Submitted Into the public recorp4 in connection with dpm VZ I l on I Z 1. a) Priscilla A. Thompson City Cleric As early as 1982 this property was studied in an Environmental Study, which determined the area as a "very noisy urban environment" due particularly to the traffic flow on I-95.20 According to the 1982 EIS, at p. 3-13, the major noise sources affecting the community include Interstate-95 and the Miami International Airport Landing pattern. I-95 is immediately adjacent to the western boundary of the project area. No part of the community is more than 1000 feet from the expressway. Noise monitoring conducted by DERM in 1980 determined that peak noise levels can exceed 90 dBA. Since the writing of the original EIS, noise pollution has been recognized as a far more serious problem. And with the profound increase in both I-95 traffic and air traffic, the level of noise on the site has assuredly increased. It is HUD's policy to "generally prohibit HUD support for new construction of noise sensitive uses on sites having unacceptable noise exposure." 24 C.F.R. § 51.100. In support of this policy, HUD has provided certain national minimum noise standards applicable to HUD Programs. "The purpose of these standards is to protect citizens against excessive noise in their communities." 24 C.F.R. § 51.101. The HUD regulations define "unacceptable noise exposure" levels and "normally unacceptable noise exposure" levels for outdoors. 24 C.F.R. § 51.103(c) defines normally unacceptable noise level as consisting of above 65 Db Day -night average sound level (Ldn) and unacceptable noise level as consisting of above 75 Db Day -night average sound level (Ldn). In addition HUD regulations at 24 C.F.R. § 51.101(a)(8) and (9) provide that it is a HUD goal that exterior noise levels do not exceed a 55 Db Day -night average sound level and that interior noise levels do not exceed a 45 Db Day -night average sound level. The 1982 EIS cited to measurements that exceeded 90dBa. Traffic has certainly increased. 20 The elevated rail line was not yet a factor. 21 Submitted Into the public recorA in connection item rZ Li on 2- Priscilla A. Thompson City Cleric Yet the application contains no data with respect to noise. Given this data and the failure of the application to study the noise impacts, the Major Use Special Permit application should be rejected or deferred pending an intensive study of the noise levels. b. The Major Use Special Permit Application Should Have Studied the Environmental Impacts on the Human Environment, Such as the Socioeconomic and Demographic Changes Which Will Result from this Project and the Displacement it Will Cause. Affordable housing in Overtown and Miami is lacking and decreasing further at a rapid rate. The lack of affordable housing particularly for the lowest income households has reached well -documented crisis proportions. A recent study by the Research Institute on Social and Economic Policy at Florida International University found Overtown as the Miami neighborhood with the most severe housing affordability issues.21 This Project will only serve to reduce the existing supply and increase the existing demand for affordable housing in Overtown and Miami in general. As a result, once this Project is built, new affordable housing will have to be constructed elsewhere to meet all affordable housing needs of the area. As is acknowledged by the City and demonstrated by research,22 the 1050 units to be developed at the Crosswinds site will not be affordable to the vast majority of current Overtown residents. Indeed, the income needed to purchase one of the twenty percent affordable units is approximately eight times the median income of Overtown.23 And the increase in population 21 Feldman, Marcos and Jen-Wolfe-Borum (2005). Affordable Housing Cost for Families Residing in Low -Income Miami -Dade Neighborhoods. (Hereafter "FIU Study") Research Institute on Social and Economic Policy, CLR&S, University Park, Miami, Florida. A copy of the article is attached hereto as Attachment C. 22 23 FIU Study; Inventory; Assessment Assessment, pp 8 & 10. Submitted Into the pub repo .i.�n connection with item YL11 on IZ-13-O7 22 Priscilla A. Thompson City Clerk generated by these units will be substantial. Dr. Vos found that, using the average household size for the City of Miami, the project could result in up to 2,740 new residents, a thirty three percent increase in population. As Dr. Vos states:24 Such a dramatic and sudden increase in population can have negative consequences for the social fabric of any community. However, the negative consequences are especially severe if the new residents are significantly different than the existing residents. Given the composition of Overtown's population and the suggested price point for the units in the proposed development, the new residents will be very significantly different from the existing residents in both racial and ethnic background and socio-economic status. In addition to the direct impacts of this population, this population growth and the accompanying future development will result in the displacement of affordable housing in Overtown. As new, more affluent people move into the 1,000 units of market -rate housing, property values in the vicinity of the Project will increase, as anticipated by the City and developers. As the land becomes more valuable, many landlords will either raise rents or sell their property to make a profit, depleting Overtown's affordable housing supply. This is not a speculative proposition, but instead, is a data -driven scenario that has been experienced in similar urban developments. This will have a radically increasing cumulative impact, as the increased rents and new development spurred by this project in turn create further accelerated rents and new developments. Moreover, the increasing property values will also lead to the loss of subsidized units as project based Section 8 units "opt out" of their contracts and public housing units are "vouchered out" in the face of the development pressure. These are not mere market forces but rather conscious land use changes - from low rise, low density, low income housing to high density, high rise, high income housing - driven by a 24 Assessment, p. 10 Submitted Into the public reCOUir inconnection witho 23 item .on __-j1 .. -- Pri5Gib1a A. Thompson _. .. City Cleric specific public policy designed specifically to accomplish that goal. All of this leads to the indirect displacement of the current residents as their rents become unaffordable or their subsidized units are demolished for new development. This unregulated development particularly impacts lower - income communities such as Overtown where sixty one percent of the households have an income of less than $15,000 a year. With larger family sizes than many other communities in Miami, particularly as compared to the newly developed high rise communities, Overtown residents are especially vulnerable to increases in housing costs. As stated by Dr. Vos:25 The 1982 EIS [Environmental Impact Statement] discussed the displacement of 503 residents in 328 dwelling units. These 503 residents would consequently be given the opportunity to relocate back into the community. Since all these residents have already been displaced, the current proposal will no longer directly displace residents. However, the displacement consequences of the current proposal are even more daunting than in 1982. This time the threat is indirect displacement in the form of the secondary and cumulative consequences of redevelopment. As mentioned before, redevelopment pressure in Overtown is building, with housing prices at an all time high, rental properties in decline and a continued need for new housing for a growing population. At the same time, the residents of Overtown are now even more marginalized than in 1982. Redevelopment of Overtown without a clear plan that takes care of the needs of the current residents is likely to lead to the displacement of all 8178 residents in Overtown, probably within the next 5-10 years. Residents will be displaced either because they can no longer afford to live there or because the character of the community has changed so much that they are no longer welcome in their own community. Large scale displacement will likely start to occur soon since the current residents truly live at the very edge of existence, and as renters have no protection against eviction and quickly increasing property values. The displacement creates additional environmental ills in that it necessitates the creation of additional affordable housing which has significant physical impacts through (1) the actual construction; and (2) the need for new housing in more affordable communities, which induces the environmental ills of sprawl. All of these environmental impacts should have been assessed in the 25 Assessment, p. 10 etto i2- 01 Major Use Special Permit application but were not. c. The Major Use Special Permit Application's Housing Impact Study is wholly inadequate. The Major Use Special Permit Application's Housing Impact Study, which incorporates and summarizes the only evidence presented by the developer regarding the beneficial housing impacts of this project, is fundamentally inaccurate both factually and with respect to housing policy. The Developers' Study makes two fundamental claims. First, it argues that because a significant number of households in Overtown live in subsidized housing, there is little likelihood of harm from increased rents. This claim misunderstands that nature of the subsidized housing and the law with respect to its use. In fact, a careful analysis of the subsidized housing being utilized in Overtown reveals that the subsidized housing itself may be the most at risk of being lost due to rising rents. The Developers' report finds that the subsidized housing in Overtown consists largely of tenant based Section 8 vouchers, public housing, and tax credit housing. The tax credit housing is of the least benefit to the poorest families because it is largely targeted to families making 60% of median income (approximately $36,000 for a family of four). Thus the only subsidized housing actually of substantial benefit to an extremely low income neighborhood is tenant based Section 8 vouchers and public housing. However, both are subject to cancellation and will be put under enormous pressure to cancel as the neighborhood changes. While Section 8 vouchers pay a portion of the tenants' rent, the total rent that Section 8 vouchers can pay is limited by federal regulations. Once the market rent exceeds that amount, the landlord must terminate the voucher tenant. And landlords routinely terminate the vouchers if rents increase to even close to the voucher payment because the landlord can make the same or more money renting to a non - Submitted Into the public 25 recor in connection with itemZ [ on 12- I O Priscilla A. Thompson City Clerk subsidized family, without all of the cumbersome federal rules. And tenant based Section 8 vouchers provide no long term security as they can be terminated by the landlord at any time after the first year. Thus as Crosswinds increases the rents, the subsidized tenants using Tenant Based vouches will be forced out of the neighborhood. That is what happened around Midtown, and is currently happening in many other areas of the City. The other type of subsidized housing currently being utilized, "public housing", is possibly the most threatened type of subsidized housing in existence. U.S. HUD is putting enormous pressure on local housing agencies to demolish and "redevelop" public housing, particularly in redeveloping downtown areas. Already over 100,000 units of public housing have been lost nationwide. If Crosswinds is approved, it will affirm the City's desire to dramatically change the Overtown neighborhood and pressure will surely begin mount to demolish and replace the public housing projects - much as was done with Scott Homes. As with Scott Homes, that decision would be catastrophic. However, while the ultimate decision may rest with the County Housing Agency which administers public housing, the decision to approve Crosswinds will certainly light the fire that will almost surely lead to demolition of the existing public housing. The second fundamental claim made by the Developers in their impact study is that the City is already deeply engaged in subsidizing housing in the Overtown area. However, this claim is poorly researched, supported by inaccurate and misleading data. Indeed, an analysis of the supporting data actually demonstrates how little has been done to address the housing needs of the lowest income households. On page fourteen, the analysis lists projects which are supposedly to break ground in 2007 and which will contribute some additional units. There is no affordability criteria mentioned. Moreover, not a single one of the residential projects have begun Submitted Into the public 26 recor in connection with item'Z Il on l2 �0 O1 Priscilla A. Thompson City Clerk construction. Indeed, almost 25% of the rental units are attributed to "Solomon Yukon", almost certainly Salamon Yuken, who was recently written up in the Miami Herald as failing to perform on City contracts and currently owing the City almost $800,000 in defaulted loans. Finally, at Attachment B, the study lists a number of units which the report states have recently received City of Miami Housing Assistance. However, several of these properties do not exist. For example there is no 137 unit project at 230 N.W. 20`h St. In addition, the property at 200 NW. 16`h St. is boarded up and foreclosed on. Moreover, few show any recent building permits. But more importantly, the City chose to do nothing to protect the tenants. Thus, for example, the tenants at 439 NW 9`h St. have endured substantial recent rent increases. The rent for a one bedroom has increased by almost 25%. For these reasons and for the reasons argued throughout this memo, the Developers' Housing Impact study is wholly inadequate and should be rejected. 7. THE SAWYER'S WALK/CROSSWINDS PROJECT IS INCONSISTENT WITH THE DEVELOPMENT OF REGIONAL IMPACT REQUIREMENT THAT ALL LOW INCOME HOUSING LOST THROUGH REDEVELOPMENT BE REPLACED ELSEWHERE IN THE CITY In February, 1987 the City of Miami filed an Application for Development Approval for Southeast Overtown Park Development of Regional Impact (DRI) for the area designated as Southeast Overtown/Park West Community Redevelopment Area which includes the project area for this requested MUSP. In February, 1988 the City Commission held public hearing and issued a Master Development Order for the DRI. As part of the approval of that DRI the City agreed to certain replacement housing provisions, including the following: Monitor development and redevelopment activities to ensure that for each habitable unit of low income housing eliminated as a result of public action within the project area, the City will assist in the provision of standard low income housing through Submitted Into the public 27 recorA in.connectio ,yiit itemVZ ILonCZ-19 Priscilla A. Thompson City Clerk new construction and/or rehabilitation within the City of Miami. Master Development Order 9[13 City Resolution 88-110 and Any net loss of habitable low income units within the study area must be counterbalanced by a gain in another area of the City. Id. In addition the City took on certain reporting requirements, including: The City shall prepare an annual report and submit copies to the Council, the City Clerk and Florida Department of Community Affairs on or before each anniversary date of this Development Order.. . The annual report shall include, at a minimum: j. The number of low income housing units lost from demolition and conversion within the Project Area, as well as the total number of new low income housing units within the City. Master Development Order 125, City Resolution 88-110. The City of Miami has not complied with any of these requirements. 8. THERE IS NO NEED FOR COMMITTING SCARCE PUBLIC RESOURCES TO THE DEVELOPMENT OF HOUSING FOR HOUSEHOLDS EARNING 140% OF MEDIAN INCOME. When this project was first agreed to by the City the upper level targeting was 120% of median income. This past August, this Commission raised that targeting to 140% of median income. Calling condominium units priced for families making 140% of median "affordable" is ridiculous. 140% of area median income for a family of four is over $83,000 - for a family of three it is almost $75,000. According to the current UTD bargaining agreement a teacher with a bachelor's degree who worked for the Miami Dade school district for 22 years and has reached the very top of the pay scale, makes only $62,000. Starting teachers make $34,000. This is not housing for teachers. 28 Submitted Into the public recoryi in connection with item 1/2iI oni1-Q7 Priscilla A. Thompson City Clerk Just this past week in an article in the Florida Housing Coalition Journa126, Stan Fitterman analyzed the utility of subsidies for families making 130% of median in six Florida counties, including Palm Beach County.27 Using data from the Shimberg Center at the University of Florida, he found that in all of the counties studied a significant percentage of the housing sold - both single family and condominiums - were affordable to families making 130% of median without subsidy. His conclusion - jurisdictions should look very closely at the relative need before subsidizing families making 130% of median or more. I performed an identical analysis, also using data from the Shimberg Center, with respect to condominium sales in Miami -Dade County and in the City of Miami. For Miami -Dade County, 140% of median income for a family of four is $83,000. Using a standard mortgage calculator, the family should be able to afford a mortgage of approximately $230,000. In Miami -Dade County in 2006, according to the Shimberg Center, the median sales price for all condominiums was $252,000. Twenty five percent of the condominiums in Miami -Dade County as a whole (over 12,000 units) sold for less than $190,000 in 2006. Similarly, in 2006 in the City of Miami, over 25% of all condominiums sold for less than $230,000. Given these numbers, why are scarce government funds and scarce government owned land being used to subsidize these units. This is not the way the City should be spending scarce subsidy dollars. Indeed, the private market is currently creating condominiums of the same size and location for the same cost as Crosswinds without using any government subsidies. Related is now building a third LOFT 26 Better Subsidy Decisions Follow From Better Information, Stan Fitterman, 23 Housing News Network 9 (Fall 2007), (a copy is attached as Attachment F. 27 The analysis included Alachua, Escambia, Hillsborough, Palm Beach, Pinellas and St. Lucie Counties. 29 Submitted Into the public recce in connection with item_,on 42_ rb--01 Priscilla A. Thompson Clerk project and planning a fourth LOFT site. The pricing for the one bedroom units starts at $220,000. All are almost identical to the Crosswinds model, in size and their location is closer to downtown. And none require free government land, tax increment financing or the like. CONCLUSION For all of these reasons, my clients believe that the Major Use Special Permit and the subsidiary Class II Special Permit should be denied. Dated: December 13, 2007 By: CHARLES F. ELSESSER J Charles F. Elsesser, Jr. Florida Bar No. 971162 FLORIDA LEGAL SERVICES 3000 Biscayne Blvd. Miami FL 33137 Telephone (305) 573-0092 ext 208 Facsimile (305) 576-9664 Email: charles@floridalegal.org 30 Submitted Into the public record in connection with item VZ17 ontZ Priscilla A. Thompson City Clerk Thoughts about an Environmental Impact Assessment for Sawyer's Walk in Overtown Jaap Vos, Ph.D. For comments or questions please contact: Jaap Vos, Ph.D. Higher Education Complex, Suite 1008 E 111 East Las Olas Blvd Fort Lauderdale, FL 33301 e-mail: ivos(c'fau.edu phone: (954) 762 5652 Submitted Into the public orb in connection with item 1`Z ( on j 2-13=�� Priscilla A. pson Coy Clerk ATTACHMENT A INTRODUCTION Overtown was established at the turn of the century and became home to many African Americans working to build Henry Flagler's railroad. The neighborhood quickly grew and during the 1920's, 30's and 40's, the community enjoyed a vibrant entertainment district, shops, offices and a hospital. The neighborhood included a successful business district and provided a thriving social and civic life for its 40,000 residents. Overtown continued to prosper during the 1950's but the construction of interstate highways during the 1960s changed the character of the area. 1-95 and 1-395 were built right through the heart of Overtown, dividing it into four separated areas that exist today. As a result of the highways, residents were displaced and the neighborhood's local economy was devastated. During the 1970's, Urban Renewal projects caused further demolition of housing in the area, while the new development that was supposed to replace that housing was never constructed. TABLE 1 Basic Statistics' Area: 0.85 Square Miles 544 Acres Number of Housing Units: 3963 Housing Units: 29.5 % Vacant 63 % Renter Occupied 7.5 % Owner Occupied Total Population: 8178 Racial Composition: Gender: 88 % Black 7.5 % White 3 % Multi -Racial 1.5 % Other 9.4 % Hispanic2 47 % Male 53 % Female Median Household Income: $11,329 Median Family Income: $13,213 Residents below Poverty Level: 56 % Source: U.S. Census Bureau, SF-3, 2000 2 Reflects persons of Hispanic origin, not a race category Submitted Into the public recor�Z (Annection with on 1 Z 13 01 item Priscilla A. Thompson City Clerk Overtown today, is one of the poorest communities in South Florida with substandard housing, inadequate infrastructure, two Interstate's dividing up the community and residents that are among the poorest in Southeast Florida and probably the state. Yet, residents of Overtown face once again a threat to their community. With Miami -Dade County running out of vacant developable land, developers are looking at Overtown for the construction of condominiums and the popular mixed use developments. The rebirth of downtown Miami, the proximity of this area to downtown and the relatively inexpensive land make this a prime area for redevelopment. While Overtown is in desperate need of investment, it is unlikely that this development will have positive effects on current residents of Overtown. Table 1 shows that Overtown has just over 8000 residents remaining and that it is still a predominantly black community with 88 percent of the population identifying themselves as black. Despite its location just northwest of downtown Miami, less than 10 percent of the population is of Hispanic origin. Almost 30 percent, or 1169, of the total housing units in Overtown are vacant, while 63 percent, or 2479 units, are renter occupied. Only 297 of the housing units in Overtown are owner occupied. THE ORIGINAL ENVIRONMENTAL IMPACT ASSESSMENT In 1982, the Department of Transportation's Urban Mass Transportation Administration published the Final Impact Assessment for Overtown Station Redevelopment. In this Assessment, three alternatives for the four blocks in question were reviewed: 1. No action alternative. 2. Sole reliance upon private investments. 3. The use of public funds to acquire properties within the subject area for redevelopment by private interests in accordance with the redevelopment strategy set forth in the adopted Overtown Redevelopment PIan3. Based on the assessment, the decision was made to acquire the four blocks through the use of eminent domain and proceed with alternative three. This is not the time and place to question the validity of the three altematives, but the fact that now, 24 years after the Assessment, redevelopment of the four blocks has still not occurred begs the question whether the preparers of the Assessment fully understood the economic situation and challenges that Overtown faced and faces. Table 2 shows a summary of the consequences of the three alternatives according to the original Assessment. Negative items that have occurred since 1982 have been printed in italics. None of the positive impacts identified under scenario 3 or any of the other scenarios have occurred. It is safe to state that the scenario that was ultimately followed (public acquisition of lands without s U.S. Department of Transportation, Urban Mass Transit Administration, Ovcrtown Statiq��illed Into the public Redevelopment, Final Impacts Statement, March 1982, page ii. .7 recor(1 in connection with item �Zon1Z1 -01 Gila A. Thompson redevelopment) combined most of the negatives while not achieving any of the positives that were identified in the original Assessment. TABLE 2, Summary of consequences of alternative scenarios4 Positive Negative No action Remaining source of low cost housing Decrease of long term land values No large scale displacement Decrease of tax base Deterrence of investment and redevelopment No opportunities for minority business development and investment Potential rapid transit patronage will not be maximized No improvement of job market within community Full development of potential for community will not be realized Perpetuation of slum and blight Residents will not have benefit of public relocation assistance if private investment occurs Sole reliance upon private investments Socio-economic and physical conditions will be improved Minority business redevelopment opportunities will not be encouraged Land use compatibility with surrounding activity centers will be heightened No guarantee for minority business investment opportunities Transit patronage and security will be increased Probably no construction of lowfmoderate cost housing No guarantee that cultural aspects will be preserved No relocation assistance Minimized community involvement Use of public funds to acquire properties Enhancement of socio- economic and physical conditions Large scale displacement Heightening of compatibility with surrounding activity centers Short term Impact of construction and traffic congestion Transit patronage and security will be increased Existing residents will have opportunity to participate in shaping redevelopment plans Current property and business owners will have priority for locating back into community A U.S. Department of Transportation, Urban Mass Transit Administration, Overtown Station Area Redevelopment, Final Impacts Statement, March 1982, pages iii-v. Submitted Into the public record in connection with item QZ 11 on 12- (3 - 01 Priscilla A. Thompson City Clerk It is important to ask why redevelopment by private interests never occurred after public funds were used to acquire and clear the four block area. While it was probably a combination of several factors, a major reason was that the area was simply not interesting for developers and that even government subsidized land assembly and the presence of an incentive package for consequent development could not swing the balance. Overtown was an area that was too much of a risk for developers and there were many other opportunities in Miami -Dade County that were more profitable and far less risky. As the 1982 EIS stated: "it is unlikely that any development will occur in the short term. Market analysis of the area predicts that new development will take ten years or more to occur."5 In the early 2000s, the climate for developers started to change. Miami -Dade County started running out of developable land, housing prices increased rapidly and downtown Miami saw massive reinvestment and construction of high end condominiums. With this change came a renewed interest in redevelopment of the four block area that was acquired 24 years ago. It is pertinent to realize the fundamental difference of the situation in Overtown in 1982, compared to the current situation. The 1982 EIS was correct that redevelopment was unlikely to occur in Overtown without strong incentives to private development interests. Under "Adverse Effects" the 1982 EIS states about the future of Overtown under the no action alternative: As a high crime area which requires extensive social services, the neglect of environmental, social and physical problems, would likely permit the spiraling increase in crime and social decay with their attendant human and govemmental costs.6 On page 4-7 under a description of the All Private Investment Alternative the EIS states: Displacement under the private sector alternative would probably not begin to occur until the late 1980s. The period of active private sector development would first be preceded by speculation and then by land assemblage by major developers .. the major impact of the private sector altemative would be twofold: 1. All 503 individuals currently residing in the area would be displaced by private action and thus receive no relocation benefits. 2. The housing that would be built on this site would be market rate housing and as a result less than 8% of the current residents of the four block area would be able to live in the housing units to be constructed........ i U.S. Department of Transportation, Urban Mass Transit Administration, Overtown Station Area Redevelopment, Final Impacts Statement, March 1982, page. 4-2 6 U.S. Department of Transportation, Urban Mass Transit Administration, Overtown Redevelopment, Final Impacts Statement, March 1982, page. 2-4 Station Area Submitted into the public Irecoc� in connec�ionZith iternZ 11 on 2- 4J A Thompson .."1"'' + Clerk In view of the current high rate of decline in black business in Overtown, it is likely that few or none will remain when private development finally does occur. This will further reduce any opportunity for black business participation in redevelopment opportunities. Since redevelopment never occurred after the initial land assembly, all these negative consequences of the no action alternative actually took place. However, not only were residents displaced from the four block area, the rest of Overtown followed almost exactly the scenario as described under the no action alternative. The only thing that the writers of the 1982 report did not predict correctly was the timeframe, it actually took 20 years, not 10 years, before private development interests became interested in large scale development in Overtown. In these 20 years, there has been a further decline of the neighborhood, residents have been further marginalized and the amount of both black land owners and black business owners has declined. Extremely low rates of homeownership (see table 1) make redevelopment without displacement significantly more difficult since renters are the first to bear the burden of increased property values. While residents that own their home are protected from sharp increases in property taxes through Florida's "Save our Homes" program, this program does not extent to owners of rental property. Therefore, increases in assessed property values will lead to increases in property taxes which costs will be passed on to the renters. What we are faced with now for Overtown is an extreme version of the private investment alternative described in the 1982 EIS. CONSEQUENCES FOR AN ENVIRONMENTAL IMPACT ASSESSMENT The difference between Overtown in 1982 and Overtown in 2006 can be summarized as follows: Residents have been further marginalized and private development pressures have increased. Table 1 clearly shows the economic problems of Overtown's residents, both the median family and median household income are very Iowa and over half of the population lives below poverty level. It should be clear from table 1 that Overtown's residents live at the edge, if not beyond, the economic margins of existence. This makes the current residents in Overtown even more vulnerable to private redevelopment pressures than the residents in 1982. What makes the situation even more pressing is the fact that there are no longer alternatives for residents that would be displaced. Housing costs in southeast Florida have skyrocketed and there are no longer any viable alternatives for low and very low U.S. Department of Transportation, Urban Mass Transit Administration, Overtown Station Area Redevelopment, Final Impacts Statement, March 1982, page. 4-8 8 For comparison, the median household income for the City of Miami is about twice as high at $23,483, while the median income for Miami -Dade County is three times as high at $35,966 (based on 2000 US Census. Submitted Into the public record in connection with item YZ 11 on 12 I3 0- Priscilla A. Thompson City Clerk income residents. Meanwhile a 2005 study by FIU showed that Overtown's residents have the lowest incomes in Miami -Dade County.9 Meanwhile private redevelopment pressures have increased very significantly. Where development in southeast Florida has traditional moved from the eastern urban core on the coast to the west, we have reached the limits of westward expansion. Given the still increasing population growth, developers are now aggressively looking at those lands in the original eastern urban core that are underutilized and can be redeveloped at higher densities. Not only have areas such as downtown Fort Lauderdale and downtown Miami seen a remarkable renaissance but undesirable areas such as the Sistrunk area in Fort Lauderdale are also facing strong redevelopment pressures. Given these charges, it is of the utmost importance that any development in the current situation is based on the first three "primary tenets" of the Overtown Redevelopment Plan as referenced in the 1982 EIS: 1. Existing residents must be afforded the opportunity to reside in the community and share in the redevelopment process. 2. The programs aim at not only physical changes, but also improve job opportunities, income levels and business development. 3. Black business and community development institutions should be full participants in the process.10 Maybe most important is that redevelopment of the four blocks should be based on a vision for the future of the entire Overtown community (as described by he boundaries of the Overtown NET area). Redevelopment should not be based on a 25 year old plan, formulated by a CRA that was formed based on an economic reality that no longer exists and whose boundaries were based on economic development criteria in 1982. Evaluating the current proposal based on these criteria shows a total disregard for the needs an aspirations of the current residents of Overtown. The acquisition of the four blocks was based on an economic reality that no longer exists in 2006. 25 Years ago, the concern was how to bring sorely needed economic opportunities back into the community. Now, economic reality is that Overtown is an area with an economically and socially marginalized population that contains prime real estate. Under these circumstances large scale redevelopment will occur regardless of government incentives. The challenge is no longer how to attract private development interest to the area, the challenge is how to harness these private interests so ' Feldman, Marcos and Jen Wolfe-Borum (2005). Affordable Housing Cost for Families Residing in Low - Income Miami -Dade Neighborhoods. Research Institute on Social and Economic Policy, CLR&S, University Park, Miami, Florida. 1D U.S. Department of Transportation, Urban Mass Transit Administration, Overtown Station Area Redevelopment, Final Impacts Statement, March 1982, pages 1-3 and 1-4, emphasis added submitted-' tt�1 rublq item Y L I 0 Priscilla At Thompson that the 8178 remaining residents have an opportunity to remain in the area and improve their quality of life, and their educational and economic opportunities. Economic reality is such that the residents' interests are no longer furthered by the requirements for affordable housing and minority business involvement that are described in the original plan. Any kind of redevelopment will most likely lead to indirect displacement of the current residents of Overtown. Residents are not served by low income housing units' since these are out of their reach. A 2006 FAU study found that any redevelopment strategy for Overtown has to provide roughly for 522 extremely low income housing units (30% or Tess of median family income) and 2150 units that are well below extremely low income housing.12 According to the 2005 Settlement Agreement, the current proposal calls for 1,050 units in the form of mid rise and high rise structures with for sale units in the initial sales range of $130,000-$300,000 per unit. None of these units would be within the reach of current residents. Interestingly the settlement agreement states that not less than 20% of the units shall be sold to qualified buyers whose gross income is between 80.01% and 120 % of the Miami -Dade mean income.. Based on the previously mentioned FAU study, few if any of the current residents in Overtown could afford these affordable units. In addition, 89 percent of residents in Overtown are renters, and the current proposal states: `the Residential Units will be primarily for sale with the possibility of some rental units.14 ISSUES THAT SHOULD BE REVIEWED IN THE ENVIRONMENTAL IMPACT ASSESSMENT The scenarios that were reviewed in the 1982 EIS are no longer valid. The new EIS should review alternative redevelopment schemes for the site, regardless of whether the developments are private or public. There are at least four different scenarios that should be considered: 1. No action. 2. Construction of very low, low and moderate income residential units. 3. Creation of park/open space. 4. Sawyers Walk proposal. II The U.S. Department of Housing and Development states that "Families who pay more than 30 percent of their income for housing are considered cost burdened and may have difficulty affording necessities such as food, clothing. transportation and medical care.. Low income housing is identified as housing for those families making 80% or less of the median family income.. ''Susana Alonso, Ryan Correia, Aldo Fritz, Aaron Postak, Kelly Ray, Jennifer Rosenberg, Jaap Vos and Aivia Williams, March 2006, Inventory Of Basic Housing Needs For Current Residents Of Overtown. r' The use QS mean income is questionable, HUD uses median and the US Census does not report mean income levels:77- r4 Settlement.Agreement, January 27, 2005 between Sawyers Walk and Southeast Overtown/Park West Community Redevelopment Agency, p24 public Submitted Into the p in connection with item 2 l 1 on IZ- 3 -. 0_ Prilta A. Thompson • ...141.1 City CIeri TABLE 3 Factors to consider in environmental impact assessment15 CONSTRUCTION OPERATION POPULATION N • • • • • • New residents (# and %) Seasonal residents (# and %) Age and gender composition Racial and ethnic composition Family size, family structure Religion Other CHANGES RELOCATION • Direct displacement PEOPLE • Indirect displacement _OF COMMUNITY • Density CHARACTER • Bulk • Height • Parking • Open Space/Public Space • Other ENVIRONMENT • Short term health concems • Long term health concerns • Physical safety • Environmental degradation • Water retention • Flooding • Water quality • Other COMMUNITY • Police/Fire response time INFRA • Hospital Beds/Emergency units STRUCTURE • Libraries • Parks • Banks • Impervious surface • Public transit • Other LAND VALUES • Property taxes • Rent • Housing prices • Safety • Other DISRUPTION • Noise • Foul or unusual odors • Air pollution and dust • Vehicular traffic • Water pollution • Closed roads and bridges • Disruption of utilities • Other temporary closures 15 The factors in this table are hosed on: Rabel Budge, A Community Guide to Social Impact Assessment, University of Illinois at Urbana -Champaign, 1993. Submitted Into the public reco Un connection with item on 12- 19,.0_ Priscilla A. Thompson �_ :. City Clerk 10 Each scenario should at least be reviewed based on the seven categories of criteria in table 3: 1. Changes in population, 2. Relocation and displacement of people, 3. Community character, 4. Environment, 5. Community infrastructure, 6. Land values, 7. Temporary disruption. Most of these issues are standard for environmental impact assessment and speak for themselves. Several do however warrant additional attention in the context of Overtown. Changes in population According to the 2000 US Census, Overtown has 8178 residents and 3963 housing units. The current proposal adds 1050 units16, which represents a 26 percent increase in residential units. Using the average household size for the City of Miami17 that would mean 2740 new residents, a 33 percent increase in population. Such a dramatic and sudden increase in population can have negative consequences for the social fabric of any community. However, the negative consequences are especially severe if the new residents are significantly different than the existing residents. Given the composition of Overtown's population and the suggested price point for the units in the proposed development, the new residents will be very significantly different from the existing residents in both racial and ethnic background and socio-economic status. Based on the suggested price point of the units in the current development proposal, new residents will make at a minimum 4 times the salary of current Overtown residents.18 Relocation and displacement of people The 1982 EIS discussed the displacement of 503 residents in 328 dwelling units. These 503 residents would consequently be given the opportunity to relocate back into the community. Since all these residents have already been displaced, the current proposal will no longer directly displace residents. However, the displacement consequences of the current proposal are even more daunting than in 1982. This time the threat is indirect displacement in the form of the secondary and cumulative consequences of redevelopment. As mentioned before, redevelopment pressure in Overtown is building, with housing prices at an all time high, rental properties in decline and a continued need for new housing for a growing population. At the same time, the residents of Overtown are now even more marginalized than in 1982. Redevelopment of Overtown without a clear plan 16 The 1982 EIS is based on the addition of 520-670 new housing units, about half of the current proposals. 17 According to the 2000 US Census, the average household size for the City of Miami is 2.61. 19 Given the price points for the new residential units, the cheapest units will be for new residents at income levels between 80 and 120 % of the median family income for Miami -Dade County. The median family income for a family of 2 in Miami -Dade County is $44,700. Realistically units will be sold at the highest price which is 120% of median which means $53,600. Submitted Into the public reco in connection with item VZ f on IZ-l�-01 Priscilla A. Thompson City Clerk 11 that takes care of the needs of the current residents is likely to lead to the displacement of all 8178 residents in Overtown, probably within the next 5-10 years. Residents will be displaced either because they can no longer afford to live there or because the character of the community has changed so much that they are no longer welcome in their own community. Large scale displacement will likely start to occur soon since the current residents truly live at the very edge of existence, and as renters have no protection against eviction and quickly increasing property values. Community character Overtown consists of an interesting, eclectic mix of single family homes, small stores, restaurants and multi -family units. Most buildings are between 1 and 3 stories. There are people on the sidewalks and traffic is relatively modest with on - street parking. There are no large parking garages, big box stores or large scale buildings and most structures are at a human scale. It is important that new development occurs at a scale level that is compatible with this. Given the characteristics, densities should not be increased vertically but horizontally, through infill and utilization of vacant lots. Environment It should be clear that the residents of Overtown have faced more than their share of environmental concerns with the construction of 1-95 and 1-395. Any new development should try to mitigate these negative effects. In addition, high density development will decrease the amount of permeable surface and increase the risk of flooding as well as surface water pollution. Community infrastructure As mentioned before, Overtown is a true pedestrian community. The addition of 1050 units will have substantial impacts on road capacity and pedestrian safety. Since the site is currently open space it will reduce the amount of open space and pervious surface. Land values Redevelopment in Overtown will lead to an increase in property values. In cases of high home ownership this is typically a benefit for local residents since it increase the equity in their home while Florida's "Save our Homes" program limits increases in property taxes due to increases in property value to a small percentage each year. Unfortunately, 89 percent of residents are renters. Units that are rented out are not protected and therefore, while increases in property values are beneficial for homeowners and increase their equity, are almost instantly reflected in increases in rent. More than the sum of the parts It is important to realize that an assessment of the consequences of redevelopment is not simply a matter of adding up the positive and negative impacts. Great care should be given to the secondary and cumulative impacts Submitted Into the public' record in connection with _._..on 12-13 - 07 eta A. Thompson City Clerk 12 of any proposal for redevelopment in Overtown. While any of the impacts by itself can have a negative or positive impact, it is the combination of impacts that ultimately make for a good or bad proposal. The residents of Overtown have been marginalized and are extremely vulnerable. While redevelopment should occur in Overtown, it has to be based first and foremost on improving the quality of life for the residents of Overtown. Submitted Into the public record in connection with item QZ 1 I on ,1 Z- 13 -- 0/ Priscilla A. Thompson v. City Clerk. Vos Abridged Resume, only including publications between 2000-2006 JACOBUS J. "JAAP" VOS 111 East Las Olas Boulevard, HEC 1008E Fort Lauderdale, FL 33301 jvosfau.edu EDUCATION Ph.D. Regional Planning, University of Illinois at Urbana -Champaign, May 1996. Specialization environmental planning. Master of Agricultural and Environmental Sciences, Wageningen University, March 1989. Specialization environmental planning. ACADEMIC EXPERIENCE Associate Professor and Chair, Department of Urban and Regional Planning, Florida Atlantic University, May 2003 - present. Assistant Professor, Department of Urban and Regional Planning, Florida Atlantic University, August 1997 - May 2003. Visiting Assistant Professor, Department of Urban and Regional Planning, Florida Atlantic University, August 1995 - July 1997. Research Assistant, Institute for Environmental Studies, University of Illinois at Urbana - Champaign, September 1992 - July 1995. Conducted research on the role of minorities in environmental planning, concentrating on the role of blacks in solid waste management in Illinois. Instructor, Department of Environmental Studies, Agricultural College Delft, May 1991 - August 1992. Developed undergraduate program in Environmental Studies. Taught courses in environmental planning and management, environmental science, and environmental health for both environmental studies majors and non -majors. Developed environmental specialization for business school. Instructor, Department of Agriculture, Agricultural College Delft, September 1989 - April 1991. Developed Environmental Studies program for students in Agriculture. Taught courses in environmental science, environmental law and environmental policy. Research coordinator, Agricultural University Wageningen, January 1988 - January 1989. Advised students on the development and completion of interdisciplinary research projects. Acquired research projects and awarded finances to research groups. Submitted Into the pubit recor.p4 in, connection with _ item Z 7 on 12- i 3 O Priscilla A. Thompson Vos Abridged Resume, only including publications between 2000-2006 PUBLICATIONS Jaap Vos (2004), The Everglades: Where Will All the Water Go? In: Mark Lappen and Owen Furuseth, Big Places, Big Plans, Perspectives on Rural Policy and Planning, pages 97-114, Ashgate Publishing. Jaap Vos (2003), The Comprehensive Everglades Restoration Plan: The Missing Link With Land -Use, Natural Resources and Environmental Administration, Volume 24, Number 1, pages 1-4. Jaap Vos (2002), Segregation, Restoration, and Gentrification on the North Fork: Can Participation Prevent Another Injustice, Projections, the MIT Journal of Planning, Vol 3, pages 133-156. Alka Sapat, Jaap Vos and Khi Thai (2002), Environmental Injustice: An Emerging Issue in Public Policy, International Journal of Public Administration Volume 25, Numbers 2&3, pages 143-168. Jaap Vos, Alka Sapat and Khi Thai (2002), The Role of Local Officials in the Occurrence of Environmental Injustice: A Case Study, International Journal of Public Administration. Volume 25, Numbers 2&3, pages 305-332. Jaap Vos (2001), A Community Based Outreach Strategy for Environmental Justice: The COELT Program in Florida, Critical Planning, Summer 2001, pages 86-98. Jaap Vos (2000), Teaching Environmental Planning and Policy by Linking Theory and Praxis, Journal of Public Affairs Education, Volume 6, No 2, April 2000, pages 105-113. Grants Intermodal Transportation Safety & Security VPT Lab, Federal Transit Administration Grant # 812104, PI, $148,705. South Florida Regional Resource Center, Broward Design Collaborative, PI with Margi Glavovic Nothard and Peter Magyar, February 2004, $25,000. South Broward Drainage District Districting, South Broward Drainage District Grant # 812089, PI, $4,618. South Florida Water Management District, Environmental Studies and Community Outreach. Grant # C-14012, received by Broward Community College Consortium, April 2002-June 2003, PI.$31,000. Submitted Into the public recor in connection with item �Zr 1 on 12--6 01 Priscilla A. Thompson City Clerk Vos Abridged Resume, only including publications between 2000-2006 Broward Urban River Trails, New River Cultural and Environmental Survey Grant # F0128. PI with Ralph Johnson, September 2001-September 2002, $30,000. Florida Department of Transportation, Florida Trends and Conditions Grant # BD-171. In cooperation with Joint Center for Environmental and Urban Problems, PI, September 2001-June 2002, $87,500. Florida Department of Transportation, Florida Trends and Conditions Grant # BC-852. In cooperation with Joint Center for Environmental and Urban Problems, PI, November 2000-June 2001, $87,500. Kids Ecology Corps, Development of Environmental Curriculum and Tree Planting for High Schools. Class project for URP6421, Environment and Society. January -April 2000, $2000. Curriculum available at: http://www.kidsecologycorps.org/curriculum.html. Conference Papers Jaap Vos and Lorraine Guise (2004), Designing an Effective and Measurable Water Conservation Strategy for Water Utilities, Paper presented at the Annual Conference of the Association of Collegiate Schools of Planning, Portland, Oregon, October 21-24. Sayre Berman and Jaap Vos (2004), Redevelopment of Downtown Fort Lauderdale, Paper presented at the Annual Conference of the Florida Chapter of the American Planning Association, Gainesville, Florida, October 13-16. Sayre Berman and Jaap Vos (2004), Redevelopment of Downtown Fort Lauderdale: Modern Urban Renewal and Inverse Displacement, Paper presented at the Annual Conference of the American Planning Association, Washington, DC, April 24-28. Jaap Vos and Lorraine Guise (2003), A Challenge for South Florida Water Utilities: Meeting Urban Water Demands During Everglades Restoration, Paper presented at the ACSP- AESOP Joint Congress, Leuven, Belgium, July 8-12. Jaap Vos and Tykus Holloway (2002), Transportation and Air Quality in Florida, Paper presented at the Annual Conference of the Association of Collegiate Schools of Planning, Baltimore, November 21-24. Jaap Vos (2001), Community Environmental Outreach: A Proactive Environmental Justice Approach, Paper presented at the Annual Conference of the Association of Collegiate Schools of Planning, Cleveland, Ohio, November 8-11. Jaap Vos and Sara Stevenson (2000), Planning and Sustainable Development: Equity, Environment or Economy? Paper presented at the Annual Conference of the Association of Collegiate Schools of Planning, Atlanta, Georgia, November 2-5. Submitted Into the public recora in connection with item V2 li on t2 1 _0-) Priscilla A. Thompson City Clerk Vos Abridged Resume, only including publications between 2000-2006 Jaap Vos and Ron Nyhan (2000), Data Envelopment Analysis as an Environmental Justice Tool, Paper presented at the Annual Conference of the American Society for Public Administration, San Diego, California, April 1-4. Jaap Vos (2000), COELT: A Community Based Strategy for Environmental Justice, Paper presented at the Eighth Annual Symposium on Society and Resource Management, Bellingham, Washington, June 17-22. Jaap Vos (2000), Sustainable Development; Leading Principle of Public Policy or Paper Tiger? Paper presented at the Annual Meeting of the Florida Political Science Association, Miami, Florida, April 6-8. Book Reviews Jaap Vos (2003), Book Review in Journal of Planning Education and Research, Faludi, Andreas (2002). European Spatial Planning. Vol 23: 215-216 Jaap Vos (May 2001). Book Review in Journal of Political Ecology, McCally, David (1999) The Everglades: An Environmental History, http://dizzylibrary.arizona.eduJej/jpe/volume_8Nos-vol8.htm. Jaap Vos (Summer 2000), Book Review in Journal of the American Planning Association, de Jongh, P and S. Captain (1999), Our Common Journey: A Pioneering Approach to Cooperative Environmental Management. Technical Reports Jaap Vos (2006), Thoughts about an Environmental Assessment for Sawyer's Walk in Overtown, Report prepared for Power U Center for Social Change. Jaap Vos et.al. (2006), Inventory of Basic Housing Needs for Current Residents of Overtown, Report prepared for Power U Center for Social Change. Debra Works, Ralph Johnson, Jaap Vos and Kitty Oliver (2002), The Cultural and Environmental History of the North Fork of the New River, report prepared for Broward Urban River Trails, F-0128. Jaap Vos (2002), Trends in the Emission of Air Pollutants from On -Road Motor Vehicles in Florida, Anthony James Catanese Center for Urban and Environmental Solutions, Report prepared for Florida Department of Transportation, BD-171. Jaap Vos and Stella Quintero (2002), Transportation and Environmental Justice, Anthony James Catanese Center for Urban and Environmental Solutions, Report prepared for Florida Submitted Into the public reco i in connection with item r Z I- on I Z- Priscilla A. Thompson City Clerk Vos Abridged Resume, only including publications between 2000-2006 Department of Transportation, BD-171. Jaap Vos and Stella Quintero (2001), The Effects of Transportation on Water Quality, FAU/FIU Joint Center for Environmental & Urban Problems, Report prepared for Florida Department of Transportation, BC-852. Jaap Vos and Stella Quintero (2001), The Effects of Transportation on Ecosystems, FAU/FIU Joint Center for Environmental & Urban Problems, Report prepared for Florida Department of Transportation, BC-852. Jaap Vos and Tykus Holloway (2001), Transportation and Air Quality: Towards a Better Understanding of Trends in Emissions, FAU/FIU Joint Center for Environmental & Urban Problems, report prepared for Florida Department of Transportation, BC-852. Jaap Vos and John O'Brien (2000), An Exploration of Trends in Transportation, Air Quality and Energy in Florida, FAU/FIU Joint Center for Environmental & Urban Problems, Report prepared for Florida Department of Transportation, BC-450. Invited Presentations Interdisciplinary Forums on the Theories, Models, and Methods of Sustainable Development, Invited speaker, Towards a Spatial Theory of Sustainable Development, University of Cincinnati, November 11-12, 2005. Florida Planning Officials Training Program, Invited speaker, Engaging the Public, Schreiber Conference Center, Port St. Lucie, May 4, 2005. Defending Our Changing Community: Regional Gentrification Summit, Invited Panelist, Transition and Gentrification in Fort Lauderdale, African American Research Library & Cultural Center, April 2, 2005. 3th Annual Environmental Ethics Conference, Invited Panelist, Justice for All, A Story of Successfully Including the Community, March 26, 2004. Symposium International Approaches to Sustainable Development, Invited panelist, Sustainable Development: A Cautionary Tale, Catanese Center for Urban and Environmental Solutions, February 5, 2004. Symposium Art and the Environment, Invited panelist, The Role of the Arts in Environmental Protection, Florida Atlantic University, January 18, 2002. Annual Conference of the American Collegiate Schools of Planning, Invited panelist for session on growth management in Florida, Growth Management and the Environment in Florida: About Missed Opportunities, Cleveland, Ohio, November 9, 2001. Submitted Into the public recor in connection with item Z ► on 2i- I 07 Priscilla A. Thompson lerk Vos Abridged Resume, only including publications between 2000-2006 Broward County Department of Planning and Environmental Protection, Invited speaker for Brown Bag Seminar Series, Air Quality and Transportation: Making Sense of Non -Sense, Fort Lauderdale, Florida, April 11, 2001. 2" Annual Conference of the Center for Environmental Equity and Justice, Invited panelist workshop, Integrating Environmental Justice into Business, State and Local Government Activities: Policies, Rules and Legislation, Florida A&M, Tallahassee, Florida, August 10, 2000. Minority Economic Think Tank, Invited panelist, The Economic Implications of Everglades Restoration for South Florida's Minorities, Florida Atlantic University, Fort Lauderdale, Florida, February 18, 2000. HONORS, A WARDS AND FELLOWSHIPS FAU Broward Faculty of the Year 2004-2005, Florida Atlantic University, February 25, 2005. Who's Who Among America's Teachers, 2003-2004, 2004-2005, 2005-2006 2002 Star Award, ArtServe and the Culture Foundation of Broward, Thirteenth Annual Encore Awards, Broward County, April 2002 (for the work with the Kids Ecology Corps on Environmental Education). Finalist Broward Faculty AchievementAward, Florida Atlantic University, November 2001. 2001 Star Award, ArtServe and the Culture Foundation of Broward, Twelfth Annual Encore Awards, Broward County, April 2001 (for the work with the Kids Ecology Corps on Environmental Education). Professor of the Year, Florida Atlantic Planning Society, Florida Atlantic University, May, 2001. Nominated for Florida Atlantic Distinguished Professor of the Year Award, Florida Atlantic University, 2001. COMMUNITY SERVICE Wildlife Research Team, Board Member, May 2006, ongoing. Broward County Public Arts and Design Committee, Member, November 2005, ongoing. Florida Earth Foundation, Board Member, June 2005, ongoing. Submitted into the public recor in connection with item �Z 11 on i Z- (3 - 01 Priscilla A. Thompson City Clerk Vos Abridged Resume, only including publications between 2000-2006 Professional Designers Forum, Member, Broward County, May 2003- December 2004. Florida Planning Officials Advisory Committee, Member, May 2003- October 2004. Kids Ecology Corps, Board Member, April 2002, ongoing. African American Environmental Leadership Council, Facilitator for Workshop on the Comprehensive Everglades Restoration Plan, Fort Lauderdale, March 27, 2002. Broward County Adopt -a -Waterway -Program, Liaison for Department of' Urban and Regional Planning with The Broward County Department of Planning and Environmental Protection Water Resources Division, August 2001, ongoing. Moderator and Co-organizer of the Second Environmental Equity and Justice Conference, Florida Atlantic University, Fort Lauderdale, Florida, May 13, 2000. NAACP Environmental Justice Committee, Member of Committee of Fort Lauderdale Branch of NAACP, January 1999-2001. Submitted Into the public record in connection with item YZ llt on Priscilla A. CThompson INVENTORY OF BASIC HOUSING NEEDS FOR CURRENT RESIDENTS OF OVERTOWN Prepared for Power U Center for Social Change PREPARED BY: Susan Alonso Ryan Correia Aldo Fritz Aaron Postak Kelly Ray Jennifer Rosenberg Jaap Yoe Olivia Williams For comments or questions please contact Jaap Vos Associate Professor, Chair Department of Urban and Regional Planning Florida Atlantic University Higher Education Complex, Suits 1008 E 111 East Las Olas Blvd Fort Lauderdale, FL 33301 e-md: jvosSfau.edu phone: (954) 782 5852 March 2008 ATTACHMENT B Submitted into the public recor�j in con c�onl? with item 1/111—on Priscilla A. City Clerk TABLE OF CONTENTS Page INTRODUCTIOM 1 Figure 1 Aerial of Overtown 1 METHODOLOGY 3 BASIC CHARACTEFISTIC$ 3 Table 1 Basic Statistics 3 Figure 2 Mnual Household Income in Overtown 4 Figure 3 Mnual Household Income In the City of Miami 4 Figure 4 Mnual Household Income in Miami -Dade County 4 gCONOMIC CHARACTERISTICSAND HOUSING NEEDO S Figure 5 Household Income Distribution In Overtown 5 Table 2 Affordable Monthly Housing Costa Based on Median Household Income 5 Table 3 Comparison of Affordable Housing Definitions 8 Table 4 Fair Market Rent for Miami Dade County 8 Figure 8 Affordable Monthly Housing Cost In Overtown 8 Figure 7 Tenure of Renters In Overtow t 7 OTHER CHAR ACTERISTIC$ 7 Figure 8 Percentage of Population Ling Below Poverty Level In Overtown 8 Figure 9 Percentage of Population Ling Below Poverty Level in City of Miami 8 Figure 10 Percentage of Population Living Below Poverty Level in Mlaml-Dads County 8 Figure 11 Age of Population In Overtown 9 Figure 12 Age of Population in City of Miami 9 Figure 13 Age of Population In MIam -Dads County 9 Figure 14 Level of Education for Overtown 10 Figure 15 Level of Education for City of Miami 10 Figure 18 Level of Education for Miami -Dade County 10 Figure 17 Means of Transportation for Overtown Resident 11 Figure 18 Means of Transportation for City of Miami Resident 11 Figure 19 Means of Transportadon for Miami -Dade County Resident 11 DISCUSSION OF FINDINGS AND CONSEOUENCES FOR REDEVELOPME_NI PROPOSALS IN 12 OVEATOWN LIST OF MAPS 13 Submitted Into the public reco n connec i n with item L 11 on i Priscilla A. Thompson�lerk OVERTOWN, INVENTORY OF BASIC NEEDS April 14, 2006 INTRODUCTION( Ovewtown was established at the tuns of the century and became home to many African Americana worldng to build Henry Flag*** railroad. The neighborhood qulddy grew and during the 1920's, 30's and 40's, the community enjoyed a vibrant entertainment district, shops, offices and a hospitai. The neighborhood included a successful business district and provided a thriving social and civic life for its residents. Overtown continued b prosper during the 1950'e but the construction of interstate highways during the 1960e changed the character of the area. Figure 1 sham how 1-96 and 1-396 were built right through the heart of Ovenoms, dividing it into four separated areas that exist today. As a result of the highways, residents wen displaced and the neighborhood's local economy was devastated During the 1970's, Urban Renewal projects caused further demolition of housing In the area, while the new development that was supposed to replace that housing was never constructed Overtown today, le one of the poorest communities In South Florida wits substandard housing, inadequate Infrastructure, two Interstate's dividing up the community and residents that are among the poorest In Southeast Florida and probably the stab. Yet, residents of Oven ms face once again a direst to thsk community. With Miami -Dads County running out of vacant developable land, developers an looking at Overtown for de construction of condominiums and the popular mixed use developments. The rebirth of downbwn Miami, the proximity of this area to downtown and relatively Inexpensive land make this area a prime area for redevelopment While Ovenown Is M desperate need of Investment, it Is unlikely that this development will have positive effects an current residents of Overtown. Furthermore, 1-96 and 1.396 have dNided the neighborhood up In fax areas that have different physical characteristics and different levels of desirability for developers. It is Important to realise that The location of /-96 and I-396 In Overfown make redevelopment of Overfown as gag community unlikely. In fact one developer already suggested that Overbwners "could have' the section of Overtown west of 1-95, as long as they could redevelop some of the area east of 1-96. FIGURE 1 Aerial of Overtownt Submitted Into the public recor4 in connection with item a 11 on JZ- - 07 Priscilla A. Thompson City Clerk Source: Florida Cepartment or Transportation. 2003 Page 1 OVERTOWN, INVENTORY OF BASIC NEEDS April 14, 200e In the fall of 2005, a group of 24 graduate Urban and Reglonai Planning student at Florida Adandc University was asked by PowerU Center for Social Change. a local grassroots organization In Overown, b help them formulate a vision for the future of Overtown. PowsrU was concerned about the recent redevekopment proposals within Overtown and the consequences of these new development an the affordability and character of Overbwn. Tins most important requirement for this vision was that it would be first and foremost based on the needs of the current resident. In addition hi students formulated 7 mon basic requirements. Al redeveioprnent proposals within Overtown need to: 1) Increase economic opportunities for current and new residents of Overtown. 2) Ensure that the benefits of redevelopment an enjoyed by everybody. 3) Reduce harm to health. 4) Reduce poverty. 5) Reduce poor housing, increase "affordable' housing. 5) Reduce unemployment. 7) Reduce poludon. After visits to Overtown, interviews with residents, review of planning documents and a general literature review, the students concluded at the end of the fail semester that any redevelopment In Overtown would lead to displacement of most, if not al. of the current residents since the economic reality for resident in Overtovai is so desperate that any increase in housing costs will make housing unaffordable for them. The conclusion of the students was that the residents of Overbwrt find themselves in a very difficult dilemma Tit* structural nature of the problems in Overtown is such that in order For Overtown to compete with other neighborhoods for Mlanit major investments haw to be made whkdl in turn old probably end up destroying the essence of Overtown and lead to dlaplacentent of most of the CUMIN residents. . -"Submitted Into the public recorg in connection with item rz I `7 on 2,L 13 07 Priscilla a A. Thompson City Clerk The current quality of life In Overtovrrh, the reality of daily life and the lack of economic opportunities for residents need to be addressed In typical situations, such as was the case for Overtown until recently, it Is almost Impossible to attract Investment because of the risk and undesirability of the area for investors. The challenge In these situations Is to find anybody who le wiling to make Investments in the community. In these situations, Improvements In a community lead to increases In housing costs but these can be somewhat mitigated with careful planning and commitment from focal decision -makers. Even under these dreummatances, there is sudh a need to attract )nveebnent and such a lack of assets among resident that any vision often ends up acting In the interest of private developers and wealthier outsiders rather than existing residents. The current situation in Overtown Is however significantly different, in the past 5 years or so, the area has become of Interest to developers because of it's proximity to downtown Miami, relative inexpensive land and a poorly organized community that has very limited financial and political means to stop undesirable development In land use terms, Overtown is simply an underutilized place of prime real estate. Under this scenario, the problem is no longer how to attract inveeters, the challenge is: 1) to attract investors that are willing to Invest In the current residents, 2) that are committed to working with residents and bcal officlale, and 3) are willing to make suboptimal economic decisions based on a genuine concern for the current resident. The Issue that needs to be addressed in Overtown is: How to attract Investment that will improve the situation for currant (and new) residents of Overtown while reducing outside pressures for large scale redevelopment. The students concluded that it was Impossible to formulate a vision for Overtown without a solid understanding of the socio-economic situation and needs of the current residents. While M would have been possible to organize design charettes with residents and create graphic representations of a their vision for Overtown, any such activity would be a false promise to residents since economic reality would have forced them out of Overtown long before the vision is realzed. Any such vision would simply ignore the need to reduce the outside pressure for redevelopment. eased on this realization, a group of 7 graduate students decided to continue the work and to look for aitsrnatiw strategies for the redevelopment of Overtowrn. The approach that these students took is similar In that the starting point again is that any redevelopment needs to meet the needs of current residents. In addition, the second requirement i3 that redevelopment Nil not lead to the direct or indirect displacement of any resident in Overtown. While many studies discuss the reed for development without displacement and try to keep displacement b a minimum, few if any acknowledge botch the direct and indirect displacement of residents. Based on these two requirements, the goal of this report is to: Determine the basic need tor affordable housing units to accommodate the exlatlng population In Overtown while anticipating the imminent redevelopment of the neighborhood'. To accomplish this, this report gives a detailed description of the basic socioeconomic characteristics of Overtown's current residents. Based on these characteristics, the total number of units that need to be available at different price points to meet the needs of the current residents are determined In the next phase, the consequences for redevelopment based on a scenario for mixed income housing with opportunities and strong incentives for vertical mobility and economic empowerment will be determined ' AtbrdaMlly I defined as a monthly rant or mortgage ward (Including utilities and taxes) not exceeding 30% of a houssnold's income. The U.S. Department of Horning and Development stave that 'Families who pay more than 30 percent of their income for housing ars considered cost burdened and may have a,fanrty affording neced«tles such as food, clo5Mrq, transponatlon and medical care. Page 2 OVERTOWN, INVENTORY OF BASIC NEEDS Apra 14, 2008 This report also contains a set of maps of Miami and Overtow s. These maps an graphic representations of 2000 US Census data and are included to give the reader a better understanding of the characteristics d Overtown and allow the reader to understand the data for Overtown in the larger context of the City d Miami. METHODOLOGY Most of the data used for this report Is from the 2000 U.S. Census. Where possible the data was updated with information from the 2004 American Community Survey. For this study we used Census Tracts 31 and 34 and Block Groups 3601.01 and 3801.02. We used U.S. Census Summary File 1, which contains 100 % data, were possible. Some of the variables That are reported are only available In U.S. Census Summary File 3, which contains sample data in all cases, we haw ,dentified the data source that was used lo produce our maps and graphs. The data tables were transformed Into figures to better v suailze Overtovm's conditions. The 2000 U.S. Census data is relativey old and probably does not reflect the current situation exactly. Given the double digit Increases In property values In the past years In southeast Florida and the modsat Increases In wage Warne In Florida, it Is likely that the reality of Overtown Is even more severe than Indicated by the data It Is also likely that since the collection of the data, sane residents have been displaced. BASIC CHARACTERISTICS Table 1 gives some of the bask etstistics of Overtown. The table shows that Overtown has just over 8000 residents remaining and that it is still a predominantly black community with 88 percent of the population Identifying themselves as bladc. Despite its location Just northwest of downtown Miami, lea than 10 percent of the population is of Hispanic origin. AMnoet 30 percent, or 1169, of the btal housing units In Overto m an vacant, while 83 percent. or 2479 units, are renter occupied. Only 297 of the housing units in Overtown an owner occupied. TABLE 1 Basic Statistiw Area: Number of Housing Units: Housing Units: Total Population: Racal Composition: Gender. Median Household Income: Median Family Income: Residents below Poverty Level: swat u.s. Ctrilua &ts&. SF3. 2 * • • 0.85 Square Miles 544 Acres 3963 29.5 % Vacant 63 % Reiter Occupied 7.5 % Owner Occupied 8178 88 % Black 7.5 % White 3 % Mult -Racial 1.5 % Other 9.4 % Hispanics 47%Male 53 % Female $11,329 $13,213 56 % Low rates of homeownership make redevelopment without displacement significantly more difficult since renters are the first to bear the burden of increased property values. While residents that own their home are protected from sharp increases in property taxes through Florida's "Save our Homes' program, this program does not extent to owners of rental property. Therefore, increases in assessed property values will lead to increases in property taxes which costs will be passed on to the renters. Table 1 clearly shows the economic problems of Overtown's residents, both the median 'amity and median household income are very low' and over half of the population lives below poverty level. It should be clear from table 1 that Overtown's residents live at the edge, it not beyond, the economic margins of existence. This information alone is enough to conclude that The high percentage of renters /n Overtown, the extremely low Incomes and the high percentage of people living below poverty level, make 1t very difficult, if not Impossible, to prevent displacement of residents once redevelopment takes place. Redeem persons of Hispanic origin. cot a nil category Fa congarisoa the median household moms for the City of Miami is about twice as high at $23,483, while tins median income for Miami -Dade County is dune time. as high u $35,966. Submitted Into the public record,in connection with item Z 1`� on tZ-(3�01 Priscilla A. Thompson City Clerk Page 3 OVERTOWN, INVENTORY OF BASIC NEEDS Aptil 14, 2006 FIGURE 2 Annual Household Income In °velem, 11 • 11 Annual Household Income: Overtown NW t`' lif -:' 117! ;-•7-- '•• r--•7,-iT 4. 7,- 7;+7:',. 7--. s-7 ,f , :-..,4. . ' -c- 5- ..., 10-7f"-'ti:A 4-.4 1-7,=' 7--*-'7.1:',•;-.-- P...-:-. 4...; '*•••":4-: --!, --- - - f ! i k • i '''..,-1 .-.-.-.'"-. '.x.'-• '_ q.'; 1., '0",; '''-':r- "4: •': - 30% • 25% 4 j,i-F'P.-,-.i,,.-74- -- -0 " ti 4.-t IC c -fi ,i4 'AA ; ,.. 3: s.;,1,: 4,4,', -;-.,..:,,:.-..,,:,-••?,;.4. .,-E.,,,. .... •;*:- 1. A f4 .4.,e4.-.4,r,:ta: 4 .. ofr.?,,,-;,,t.i .--:,41. . it ,i1c. ;., - ,_-: , • . . • ,,4, , '7,441 Ilik,:,..1-4 r...,...r-1-..1-.6 1 ,-Ims Lou than $10,000 to 515,002 to S25,003 to 336,003- 5.50.01:0 $75,000 or Si 0,000 314,9411 324.901 34,9110 540,900 574,9110 mom Annual Income in Donets Sauna U.$. Gnus &Male 3F4.14ausehol0 Immo In lag (P81). 2099 FIGURE 3 Annual Household 111001110 In City Of Mieml 0 00 • Annual Household Income: City of Mlaml g.F., -.!. • T,,,• 1, .1 .:::1- , — , .'; , ,.1 tV.,:;;,' -'7,.: .. 7 '-• • , 45% , -,_ 1, .,, ;, 4. 7.,_.„ •-,:,•-•.,, ,,,!-i';.';$ i,,`• - . - .."- ''.'• • -'. :",.-,..:, i ,..:,f..;r7..,:;--' .,, .• 7% ,.' -; 40% ,,:- 0'?..:.;, -' •K ,;; !. ,4-k.,--.'.- ".-, .1 ..,. . • ...-:- --. - ,- . - _•. % , - , ,,•,• .7. :4`,1.• .: :,,,, 4 U:: .i '. r ',•±F4 ',..e; i•-,..i, ... •..,' 51:i-, • i -t - •,--.4 7:, 25% r ,..,,-::::.,'-:,.;,,..::: s;, ,;,A ..-!, if, ,; -' T,-:-:._. ' ' . c •••-- " ", ••+,.7:-': I. , ;-- , . „ •'' .':, "‘ '' :t.":"C' .....a.,'" 4'4'4 ,i i, 14'16:1; " 20% :,•, ••••• 8 .1.,, . --..„ le' • ' S . •••;,, 1;'• ' • 4,Slar 15% it *71.4litios,,,,, .0,,;,.- WWI. ' SW— t tr.... 1°14 5% II NI 44 .4 Z.11 xt. i :r..71 .01 U7 I ZI I MO it'll . la Wil fill Wil I Los tnan 510,000 to 315,000 tO $25.000 10 $35.000- $50,003- $75,000 or St 0,000 514,901 324,900 34,9110 340,900 314M* more Annual Income In Collets Scum U.& Census ewer% SP-3. Harialiold 141C011111 In I OS (P31). 2019 FIGURE 4 Annual Household Income In Mbunl-Dade County 3 I • 35% : o• 0 +.2 = 30% 5. 2 % 0 20% C u ; 6 15% 14% • 1 I 2. 5% 4--- 31 3% 50% 1 45% 40%1 Annual Household Income: fillaml-Dade County Ira IPS Submitted Into the public rccor in connection with item y2 /1 on lid -a Priscilla A. Thompson city Clerk Lau man S10,000 to 515,000 to S25,000 to $35,003- S50,000- 125, COO or $10,000 114,9011 324,900 34,99O $49,901 $74, NO more Annual Income In Dollars SG4ow u.S. Census Burma, SP-3, Hominoid usame es 1 9911 (PM 2000 Page 4 OVERTOWN, INVENTORY OF BASIC NEEDS April 14, 2008 ECONOMIC CHARACTERISTICSAND HOUSING NEEDS Figures 2 to 4 give a representation of annual househdd Incomes In Overbuy% the CIty of Miami and Mlaml-Dade County. The graphs show clearly that Overtown has a dlspropor1lonats percentage of residents with an extremely low household income. While both the City of Miami and Miami -Dade County have a relatively homogeneous distribution of income levels, 45 percent of households in Overtown have a yeary income below $10,000. Figure 5 shows that 81 percent of household have an annual income below $15,000 and 77 percent of households are below $25,000. Another indicator of the desperate economic situation for residents in Overtown is that 58 percent of Overtown's residents had income levels below poverty status, compared to 18 percent of Mlarni-Dads County's residents. FIGURE 6 Household Income Distribution In Overtown 1 Man' Household Inane 70% X7 MI MI 1 eo% IMil i 2 soxill 4111 MI WI i AEA Ilti 2-J NA 1 30% IL! SU EU WI i ii ir i 1 lox 111 14i Mil ice! $ :ill i NE11 OM # ox ■ U.7 MI rt.11 ■ WM41 10.000 16,000 46,000 36,000 60,000 75,000 income in Dollars Sand on U.& Cerwaeursau. SF-3. Nouns ntd ireono In tear rem 2030 The U.S. Departrnent of Housing and Development (HUD) defines affordability of housing as a monthly rent or mortgage amount (Including utilities and taxes) not exceeding 30% of a households income. Applying this definition to the median income In selected neighborhoods in the City of Miami, a study by Fill In the fall of 2005 showed that affordable housing for Overtown translates to a monthly housing coat of $354 whfie residents at the 80% of median income level could only afford $2835.The FIU study (which defines Overtown slightly different than this study) used median family income rather than household Income. Family Income only Includes those households were the members are related and excludes a significant percentage of households. In the cane of Overtown there are 2791 households but only 1648 family households. Typically family households have slightly higher incomes than non family households. TABLE 2 Affordable Monthly Housing Costs Based On Medlin Household Income Overtown City of Miami M laml-Dade County Affordable Monthly Housing Cost at Median Household Income Level $283 $587 $899 Median Household Income' $11,329 $23,483 $35,986 Table 2 shows the monthly affordable housing costs based on median household Income for Overtown, the Clty of Miami and Miami -Dada County. Table 2 shows a median monthly affordable housing cost of $283 (with a median household income of $11,329). Table 1 also shows that the affordable housing cost for the City of Miami is about twice as high at $587, and triple the amount of Overtown for Mlami-Dade County. The results In table 2 have far reacting consequences for Overtown. Typically. price points for affordable housing are determined at the County of City level. In the case of Overtown using either one of these price points will lead to the displacement of current residents. It is essential for redevelopment In Overtown b realize that Construction of affordable housing units based on the use of City or County Median incomes In the determination of what constitutes affordable housing will lead to the displacement of the current residents in Overtown. e importance of this can not be overstated. Residents of Ovenown are not helped by the construction of affordable housing units unless these units are at the lowest price pants. Table 3 shows the definitions from the State, the Department of Housing and Urban Development, and the City of Miami. The table cleary shows that the residents of Overtown will only be helped with the construction of housing for very low and extremely low income groups'. Submitted into the public recor in connection with item VZ ll on l2-6.01 es i�r'I,cilla A. Thompsol Feldman. Marcos lad loa Wolk-aarum 120051 irordah{e Naums Coat !or Families Retidine s Lnw-laeotee Nucor Dade Vetahho+tsooda 'agitate on Social sad Economic Policy. CLRatS. University Part. Miami. Fiords City Clerl based on U.S. Cetus Bureau. SE-3. Household locum in 1999 tP52tt 2000 Importan to nose is Mu family mconn is used to determoe the definition of income gap. As meaei000d before family incomes toad to be New than household iocoetea. According to the 2000 US Census. the mediae household income for Miami -Dade County was 535 966, the median family income was significantly bights as S4O260. The mediae household income for the City of Miami was $7.3. 3. the nadiaa family income was $27.225. Page 5 OVERTOWN, INVENTORY OF BASIC NEEDS April 14, 2008 TABLE 3 Comparison of Affordable Houakt4 Definitions ' of Median Inca ne HUD City of Miami 2000 County Household Income Levee 2000 City Household Income Level 2000 Overtown Household Incm oe Level, 2005 C°Inife 2008 HUDt° 30 % Extremely Low Extremely Low 510.789 $7.044 $3.399 511.750 $11.350 50 % Very Low Low S17.983 $11.742 55.685 $19.550 $18.950 $30.300 80 % Low Moderate 528.773 518.788 59.063 531.300 Table 4 shows the "monthly fair market rent' for Miami -Dads County. The table clearly shows that moat Overtown households can not only not afford fair market rant but also would have to more than double their annual household incams to be able to afford an efficiency. TABLE 4 Fair Market Rent for Miami Dade Coun Efficiency One Bedroom Two Bedroom Monthly Fair Market Rent $682 $775 _ 5929 , Annual Income Needed , S27,280 $31,000 $37,160 IaaSlat FM, 2006 The Fill study found that after correction for inflation, the median monthly affordable housing cost for Overtowrt Is 3354. For this study it is important to get an understandlg of the actual income dislribudan in Overtown. While the median income gives a good indication of the general needs of a community it Just means that 50 percent of the population has a higher income and 50 percent of the population has a lower income. Theoretically that means that means that at this price point 50 percent of the current residents cannot afford to live in Overlown Applying the HUD definition b the distribution of annual household incomes in Overlain, figure 5 shows the "acceptable' monk* housing costs for residents in Overtowm. According to the HUD definition 1257 households or 46 percent of the households lei Overbwn can afford Tess than 3250 a month for housing. These Wince are In sharp contrast with the fair market rent for Mlaml-Dads County In Tabu 4. In fact, according to the Census date, only about 25 percent of the households In Overtown can afford a "fair market rent" efficiency. In other words: 75 percent of the households In Overtown cannot afford any unit at fair market rent Figure 6 shows the affordable monthly housing coat for current Overtown residents (based on the HUD definition of affordability as meaning a monthly housing cost not exceeding 30 percent of household Income). From figure 8 It becomes clear that In order to provide for the housing needs of current residents in Overtown any redevelopment strategy needs to Include 1257 units with a monthly housing cost of tees than $250, 437 units with a monthly housing cost between $251 and 3375, 456 units with a monthly housing cost between 3378 and 3625, 282 units with a monthly cost between $626 and 3875, 149 units with a monthly housing cost between $878 and 31250 and finally 111 units with a monthly housing coat between 31251 and $1875. FIGURE 8 "Affordable" Monthly Housing Cost In Overtown a O = Affordable Monthly Housing Cost In Overtown 200 r e // '.a 4 "'1 .; } y `E bit {. : 200 iwaSue S260 1261•1371 s376-612e SUFISM 167641260 11261•s1ors Payment Range In Dollars Comparison of the data in figure 6 with the definitions of affordable housing in table 3 and using Miami -Dade County's median income level leads to the following conclusion: The redevelopment strategy needs to ensure the availability of roughly 260 units extremely low income housing unite and 2412 units that are well below extremely low income housing b�� Submitted! Into the pu o t with item r .,1► 2000 laic reflects t s Census 2000 household recur'tt neeoar d.� pIla A. Thompson This .feu reflects the family income kve4 far a famly of ane used by the County for Section 3 and Section 8 homeownership and rchabditan ^ (, ,rt 0 This dam Wiens the fiscal year 2006 HUD income level, published by the US Department of HUD. Office of Policy. Developmem and Restateh Ci V t711 Page 8 OVERTOWN, INVENTORY OF BASIC NEEDS April 14, 2008 Using the City of Miami's median incase level, the strategy has to ensure the availability of roughly 522 extremely low income housing units and 2150 units that are well below extremely low Inane housing. These results clearty show the severity of the situation for current Overbwn residents and illustrate that: The provision of some "affordable" housing units as part of a larger development proposal win not only not help current residents but In fact win moat likely lead to Indirect displacement of existing residents because of Increased housing expenses caused by Increases In property values, property taxes and rents. Since 89 percent of residents ars renters, increases In properly values will be direct, translated into Increases In property taxes for the owner of the unit, who in turn will have to pass this cost on to the renter" . While 86 percent of residents are renters, figure 7 shows that Ovatown Is by no means a transient community. In fact according to tie 2000 Census. 48 percent of the renters had lived In the same unit for 6 years or more, while 31 percent has lived In the same unit for over ten years. While 52 percent of people had moved In their units within the past fire years, the majority of thee* residents have most likely moved form one unit b another within n Overbwrt. FIGURE 7 Tenure of Renters in Overtown I j 3 Year Householder Moved Into Rental Unit In Overtown 30% 25% s ,ram c . t i 2. t 1 j d.aat,�� 4 r'�'a ,' ` !R 4; �,,' egf:r ,g"'"ey 15% lox - 5%El ox I }' , 19110 to Noah 1996 to 1900 1900 t0 1904 19e0 to 19e9 1070 to 1979 1960 or latter 2000 Range of Years Sarno UA. Carew Sweat 9F-31'NUS by Veil Householder Mame Into Unit (i741).2000 OTHER CHARACTERISTICS The net series of figures give additional information about the residents of Overtown In comparison to the City of Miami and Miami -Dads County. The Information is intended to give a better Idea about the needs in Overtown and specific challenges and opportunities that might arise because of the characteristics of the population. The information le also represented in a series of maps In the appendix d this report The firer sad of graphs, figures 8 to 10 gives an indication of poverty status. Table 1 already showed that 58 percent of residents. or 4330 residents, Iva below poverty level. In comparison 28 percent of the City of Miami's population lives below poverty level, and 18 percent of the population of Miami -Dade County. The series of figures clearly show that poverty rates in Overtown are much higher In all age ranges but that the differences are most striking in the below 18 age category. Figure 8 shows that 87 percent of the residents under 18 in Overtown live below poverty level, for the City of Miami this number is 39 percent and for the County it Is 23 percent Figures 11 to 13 show the age distribution for Overtowrn, the City and the County. The figures show that 'he distribution of age is very similar for the City d Miami and Miami -Dade County. The population of Overtown is slightly different in that it s has a higher percentage of young residents. Figure 11 shows that almost 40 percent of the population in Overtown a ..Inds(20 and 58 percent of the population is younger than 35. Fgures 14 to 16 give the educational attainment for Overtown, the City of Miami and Miami-0ade County. Figure 14 'ndkales that more than half of Ovedown's population over 25 did not receive a high school diploma. Further, only 4 percent of Overtown residents over 25 have obtained an education beyond high school. Finally. figures 17 to 19 provide information about the way residents get to work. Again there are significant differences between Overtown and the rest of the City of Miami and Mlaml-Dade County. 30 Percent d Overtown's workers use public transit to gat to work. while another 13 percent bliss to work: ;n comparison, 81 percent of the wotkere in the City of Miami and 88 percent of the workers in the County use a car to get to work. Florida's ..Save our Homo' proper pewees homeovoen again: increases is prapaty values by limicise increases in property ma due to atcteases a precuN' .air to a amW percesesp each year. However. den protection is ally is place for bomcoweas who use the uric as their primry retideece and have filed for a homesteade:emgiaa Lair In are reeled out are cot protected asd tbeefou:. while increases o property values are beneficial far bomaowness and ircnafe their equity, are almost isuasdy reflected m increases is rent Page 7 OVERTOWN, INVENTORY OF BASIC NEEDS Apr$ 14, 2006 FIGURE 8 Percentage of Population Living Blow Poverty LwM h Overtown Powity Straus by Agog OvertoMn L 1CU% e 90` } f y Emit 1 1 .' 17 30% 20% 10% 0% 4 .:• ,y t i.. VP �i'►4 -S .` Mill L NM 2 MI/ nil MU IS `") #! NI Lhdar /a 181054 861074 Age Flange In `Aare 75 and agar FIGURE 9 Percentage of Population Living Below Poverty Level In City of Wahl 1 Poverty statue biker Ctly d lAkard une ' ,.g 7� .r- R }• ,: _ ►� r 7 = sr �._ ; .: q z iv. R • - - - . 40% r -1--.. . , - 2 4 . , y;, .. M1 309E r t � 1094 Bider 18 Mole 55b74 Ago Rego h Yaws 75wdower FIGURE 10 Percentage of Population Living Below Poverty Level In Miami -Dade County Posey stale. by Aga Miri•Didr County icow 40% 33% 20% 10% 0% under18 18b04 631074 Aga Ringo In Yews Submitted Into the publidr record in connection with item- l onl2-I'3-01 Page 8 73 ww over Priscilla A. Thompson City Clerk OVERTOWN, INVENTORY OF BASIC NEEDS April 14, 200S Id 3 I1• - FIGURE 11 Aga of Population In Ovsrtown Age of Total Population: Overtown �w 40%MillarMIEMMINIttll 2 : III I : .514 I y014 a 1�1 .- I II If Si Slilliffittnitill Ox so: II Al i II Xi ill u t1 El 2� air - minima 1 i 3 3 2 undw 19 20 to 34 36 to 54 Sd 14364 94 to M SG and Orr Ago Range in Years Sang U.S. Craa Strew. SM. Sea 4 Age (r+a). 2000 FIGURE 12 Aga of Population In City of Ularnl 45% e 40% 35% 30% 25% 20% 15% 10% ax 0% Age of Total Population: City of Miami n ` , i 1 1 i 7 1NI MI nil = Undw 19 20 to 34 36 to 34 Sato M 64 to M 65 and ONr Age Range In Years Souee U.& Crew trurv. apt. Sea 4 AP (•+a. 2006 FIGURE 13 Age of Population In Mlarni-0ado County Aga of Total Population: Malml-Dads County 45% 40% 35% 30% 25% 20% 15% lax 5% 3% 2 -�fa�llk Uncle 16 20 to 34 35 to 54 56 to M ea to M 66 and Ow Aga Range In Years Sayer u.s. Caws &am SF -I. Sr by Aa (012). 2000 Page 9 Submitted Into the public recordin connection with item V2 11 on IZ-13- 07 Priscilla A. Thompson City Clerk OVERTOWN, INVENTORY OF BASIC NEEDS Aped 14, 2006 FIGURE 14 Leval of Education for Owrtown Level of Education for Ovsrtown Residents 25 years and over 4% eNo High School Diploma ■ High School Graduate ■ Collow or mom Sauesc u.s. Came !lures, S► 3. Sae W Sessional AaarinsI W MO Pt:4VM r 27 Yawl and OM (P071. 2000 FIGURE 15 Lavol of Education for Clty of Miami Level of Education for Clty of Miami Residents 25 years and over 47% 20% mNo 81yh School Diploma MHO School Graduate • •College or mom Soursi u.8. Came auto. Sri. Sea hr Educalional Adrdnard far dra PapUW w 2$ Years and Qr (P37). 2000 FIGURE 18 Laval of Education for MIaml-Dade County Level of Education for Mlaml-Dade County Residents 25 years and over 4S% 32% ONo High School Diploma ■ High School Graduate ■ Coltags ormow Sousa: u S. Ceres Ovaau. SI-], Si e, Eomronal Miming !erne Papuaron 2,1 Yam and a,. , P37), 2000 Si ib YeIted Into Lard in Connecto : 'ct horn?Z- 11 or►1Z213 01 Prised 8 A. Thompson cleric Page 10 OVERTOWN, INVENTORY OF BASIC NEEDS April 14, 2006 FIGURE 17 Mode of Transportation for Owtown Ruldnnts Mors d Trsrisportalfon liar VlkOfars fran O #stows 13% 3 a. trtdr. ar eapodd • ____________n ■ soydsWdk FIGURE 18 Mods of Transportation for City of Miami Residents FIGURE 19 Mode of Transportation for Mimi -Dads County Residents Marrs d Transportation tor Wtutars from Men'li-Dada thf 491. dr, tnak — v orpmd d ■ P bic tnro ortatkn ■ t3orcirWdt • Oro, mows Submitted into e ublic with record in connection item a D on Z �1 Priscilla A. Thompson lerk Page 11 OVERTOWN, INVENTORY OF BASIC NEEDS April 14, 2006 pisCUSsiON OF FlNOINGS_AND CONSEOUENCES FOR REDEVELOPMENT PROPOSALS IN OVERTOWt4 The data presented in tints report paints a bleak picture of Overly*" It is clear that residents of Overtown Ive at the outer margins of economic existence. While Overtown is desperate for investment and physical improvements, the ultimate challenge Is not about planning roads and buildings but about creatlrg opportunities fa Overbwn's residents. In fact, this report has made the argument that most redevelopment strategies are likely to displace most of Overtown's current residents if for no other reason than Increases in monthly Ivir g expenses. Since so many residents are renters, any inaeasas in properly values will directly be translated in increases in rent which residents are unlikely to be able b afford. The only way to recreate a viable community is to have a Tong term plan that in the first phase focuses solely on improving educational, economic and political opportunities for current residents. Traditional redevelopment should be prevented until current residents have had opportunitl s to improve their basic standard of living, What /s needed Is a community development strategy that focuses on human capital building not on the Import of capital through outside invsatmsnt and new residents. Placentae' redevelopment based on construction of new residential and commercial buildings on terse lands most desirable for economic interests wit lead to displacement Only a comprehensive community development strategy that focuses flat and foremost on improving the living situation and econanic opportunities for current residents might be able to prevent or at least minimize displacement. Such a strategy would Include the establishment of community bawd social programs. Its initial land use strategy would most likely focus on improvements and revitalizaton of existing buildings raver than the construction of new development The challenge for Overtown is to turn liabilities Into opportunities while controlling the outside pressure for large scaler condominium Mar redevelopment. While to community development literature offers insights Into tools that could turn liabilities into opportunities, none of these tools address how to control outside pressure for large scale redevelopment Based on our research, we strongly believe that control of this outside pressure 1s the most important issue facing the residents d Overtown. Submitted Into the public recordin connection with item Z 1 on 07 Priscilla A. Thompson City Clerk Page 12 OVERTOWN, INVENTORY OF BASIC NEEDS April 14, 2008 LIST OF MAPS Locator Maps Overtown Locator Map Overtown Aerial Overtown Aerial with overlay of Census Blocks Density Maps Overtown (excluding major roads) Overtown City of Miami Economics Median Household Income: Overtown Median Household Income: City of Miami Poverty Status: Overtown Poverty Status: City of Miami Affordable Housing: Ova/town Housing Housing Composition: Overtown Housing Composition: City of Miami Owner Occupied Housing: Ovefown OWner Occupied Housing: City of Mlaml Renter Occupied Housing Overbwn Renter Occupied Housing: City of Miami Vacant Housing: Overtown Vacant Housing: City of Miami Year Resident Moved In: Overbwn Average Household Size: Overbwn Average Household Size: City of Miami Transportation Means of Transportation: Overtown Vehicle Availability: Overbwn Commute Time:Overtown Commute Time: Miami Demographics Racial Composition: Overtown Racial Composition: City of Miami Hispanic Population: Overbwn Hispanic Population: City of Mlaml Education Levels: Overtown Male to Female Population: Overtown Male to Female Population: City of Miami Disability Status: Overtown Disability Status: City of Miami Age Composition: Overtown Age Composition: City of Miami Median Age: Overtown Median Age: City of Mlaml Submitted Into the public record in connection with -� item Z o Priscilla A. Thompson yClerk Page 13 Affordable Housing Cost for Families Residing in Low -Income Miami -Dade Neighborhoods Marcos Feldman (mfeld001 (1.flu.edu) and Jen Wolfe-Borum (iwolf003(flu.edu) August, 2005 Research Institute on Social and Economic Policy (RISEP) CLR&S Florida International University University Park Miami, FL 33199 www.risen-flu.org 305-348-2616 ATTACHMENT C Submitted Into the public recor91 in connection with item i'Z fl on IZ- I - 07 Priscilla A. Thompson City Clerk INTRODUCTION In recent years Miami has ranked among the most impoverished communities in the Untied States. In 2003 The City of Miami ranked 5th in persons living below poverty, an improvement from 1" place in the three previous years (ACS Ranking Tables, 2000-03). At the same time, Miami -Dade County has experienced a housing boom characterized by high rates of condominium conversion and an increasing shortage of affordable rental units. As local media continues to document the gentrification process by which renters are forced to make way for new high-rise condominium projects, concerned citizens wonder if the many low-income families in one of the nation's poorest metropolitan areas will be able to find affordable housing. In light of these circumstances, this report seeks to answer the following question: How much can low-income families in selected Miami -Dade neighborhoods afford to pay in monthly housing costs? The following analysis provides affordable housing costs for families within the City of Miami and selected low-income neighborhoods. We used data on the number of families and their median incomes from the 2000 Census to determine how much families can afford to pay in monthly rent or mortgage and utilities. Further, we used 80 percent of the median family income to determine how much low-income families can afford to pay in monthly rent or mortgage and utilities. In addition to the City of Miami, we selected six neighborhoods for analysis: Allapattah, East Little Havana, Liberty City, Little Haiti, Overtown, and Wynwood. Table 1 provides an estimate of the number of families residing in each of these neighborhoods. We chose these neighborhoods because they are home to some of Miami-Dade's poorest families and therefore are more vulnerable to the process of gentrification that is transforming many of Miami's low-income communities. Moreover, the central location of these neighborhoods makes them particularly attractive to developers, planners and public officials interested in "revitalizing" the urban core. As the wave of new housing development sweeps through these neighborhoods in the coming years, it is critical to understand how much these families can afford to pay for housing. Table 1 Number of Families in the City of Miami and Selected Neighborhoods, 2000 Area Number of Families City of Miami 84,174 Allapattah 8,224 East Little Havana 4,612 Liberty City 12,118 Little Haiti 6,181 Overtown 1,313 Wynwood 2,069 Source: U.S. Census Bureau, Census 2000 Summary File 3 1 Submitted Into the public record in connection item PZ 1.1 on 12 - I - 01 Priscilla A. Thompson City Clerk METHODS We chose to use family data as opposed to household data for this study because we are interested in what a family can afford without the help of other household members. Our focus on "neighborhoods" requires that we use data at the block group level. The most recent source that provides family income data for geographic units small enough for our purposes is the 2000 Census. The selected neighborhoods in this analysis are not defined as geographic units by the U.S. Census Bureau,' therefore we used data for Census defined block groups to determine the number of families and the median family income for each neighborhood. Geographic Information Systems (GIS) technology was used to layer neighborhood boundaries over Census defined block groups. For each neighborhood we selected the block groups whose centers were located within the boundaries of the neighborhood. The boundary for the City of Miami was adopted from Miami -Dade Information Technology Department's municipal boundary file.2 The neighborhood boundaries used to select block groups were adopted from the Miami -Dade County Property Appraiser's "major neighborhoods" boundary file.3 East Little Havana was not available in the Property Appraiser's data so it was necessary to create a new layer in GIS by adapting the neighborhood boundaries used by the Empowerment Zone Trust, Inc. and the Miami - Dade Police Department'sto the nearest appropriate Census defined block group boundaries to facilitate data analysis. To create the Liberty City boundary, the Property Appraiser's `Brownsville/Model City" and "Liberty City" neighborhoods were combined in accordance with the views of community organizers working in that area. Finally, the Property Appraiser's geographic definition of Overtown was extended eastward to NW 1' Avenue in accordance with boundaries used by the Empowerment Zone and the Miami -Dade Police Department. The 2000 Census reports the number of families and the median family income by block group. We weighted the median family incomes by the population of families for each block group to determine a weighted median family income for the selected neighborhoods. We then calculated a figure which defines low income families by taking 80 percent of the weighted median family income.3 A low income family would be making less than or equal to this 80 percent figure. All figures were adjusted to reflect inflation by using the Consumer Price Index (CPI) factor for April 1999 to April 2005. The Census defines Miami City as a "place" and while family income data is available for 2000 and 2003 we did not use this data and applied the same methods to the city as we did for the selected neighborhoods in order to maintain consistency. The block groups included in the Census defined boundary for Miami are identical to the ones used in this analysis and our weighted median family income diverged from the same Census statistic by less than S100. 2 For more information see the metadata at http:i 12islab. fiu. edwmetadata dadee 'n20itdpmunic.htrn. 3 For more information see the metadata at hup:. aislab.fiu.edwmetadatadade%20itdpallneig.htrn. For Empowerment Zone Trust neighborhood boundaries see http:/,www.ezonetrust.orei and for the Pol ice Department's neighborhood boundaries see hnp:/, wwtv.miami-police.org,net/neighborhoods.asp? s Eighty percent of the median is an established standard used for indicating low income (U.S. Department of HUD, 2005). 2 Submitted Into the public recor .in connection with item yZ Il on 1 07 Priscilla A. Thompson City Clerk Housing cost refers to monthly rent or monthly mortgage payments including utilities. In order to estimate the affordable housing cost we calculated 30 percent of the median family income divided by 12 months. Families that spend more than 30 percent of their income are considered to be "cost burdened" since they may not be able to afford basic necessities such as food, clothing, transportation and medical care.6 Thus we assert that the housing cost for a family should be no more than 30 percent of its income. One of the main data limitations in this study is that data on the size of the families we examined is not provided. Provided such data we would be able to more precisely define an affordable rent for a given family. For example, a family of four including two children may have the same income as a family of two adults, thus the family of four would need to be able to afford at least the housing costs of a two bedroom unit while the family of two would need to be able to afford at least a zero or one bedroom unit. Another limitation is the lack of a Census defined geographic variable for the neighborhoods used in this study. We relied on block group data which represents the neighborhoods quite well but not precisely. AFFORDABLE HOUSING COSTS Affordable cost for families at the median income level. How much can a family making the median family income afford to pay for monthly rent or mortgage (and utilities) in some ofMiami-Dade's poorest communities? Table 2 provides the weighted median family income and affordable monthly rent or mortgage cost (phis utilities) for the city and each of the selected neighborhoods. With the exception of the western section of Liberty City, the City of Miami contains all of the selected neighborhoods in this analysis in addition to other neighborhoods not considered here (see map 1 in appendix). The weighted median family income for the City of Miami is $32,453, and ranges from $14,161 to $27,227 for the selected neighborhoods. If families throughout the City of Miami and the selected neighborhoods were to spend no more than 30 percent of their income on housing costs, the corresponding affordable rent or monthly mortgage costs (including utilities) are $811 for the city and range from $354 to $681 for the selected neighborhoods. These figures imply that families making less than or equal to the weighted median family income, or the "bottom" half of families in the City of Miami and each of the selected neighborhoods, cannot afford more than the corresponding affordable monthly housing costs. For example, the 50 percent of families that earn less than or equal to the City of Miami's weighted median family income of $32,453 cannot afford monthly housing costs (rent or mortgage, plus utilities) of more than $811. In Allapattab, which 6 See the U.S. Department of Housing and Urban Development's (2005) discussion of affordable housing at ittp: wwwltudgoy, offices,cod, affordablehousing indexcfm. All of the findings presented in the following discussion are also displayed geographically in maps 2 through 12 in the appendix. 3 Submitted Into the public record � con io�Zn� 13��7 item Priscilla A. Thompson City Clerk has the highest median family income of the selected neighborhoods at $27,227, the "bottom" 50 percent of families can afford a maximum of $681 in monthly housing costs. In Overtown, where the median family income is the lowest of the selected neighborhoods at $14,161, the `bottom" half of families can afford monthly housing costs no greater than $354. Table 2 Housing Affordability for Families* in the City of Miami and Selected Neighborhoods, 2000 (in 2005 doilars**) Area Weighted Median Family Income*** Affordable**** Rent/Monthly Mortgage Payment at the Family Median Income City of Miami $32,453 $811 Allapattah $27,227 $681 East Little Havana $20,521 $513 Liberty City $23,896 $597 Little Haiti _ $25,496 $637 Overtown $14,161 $354 Wynwood $20,660 $517 Source: Authors' analysis of U.S. Census Bureau, Census 2000 Summary File 3 data *Data is collected on a household basis. A family includes a householder and one or more other people living in the same household who are related to the householder by birth, marriage, ar adoption. ** Dollar amounts reflect inflation from April 1999 to April 2005. ***Weighted family median income was derived by using the 1999 family median income for all block groups for which the center lies within the neighborhood boundary. To calculate a neighborhood median, the medians for the respective block groups were weighted based on number of families and the standard method of calculating a median was then applied. ****A unit is considered affordable if it costs no more than 30% of the family's income. How do the affordable housing costs compare to the prevailing costs of housing? One approach to this question is to examine what are considered to be "fair rents" for Miami - Dade County. Fair Market Rents (FMRs) are calculated annually by the U.S. Department of Housing and Urban Development (HUD) for metropolitan and non -metropolitan areas and are used to determine whether units are eligible for federal housing assistance programs. The FMR amounts include the cost of rent and utilities and are dependent upon the distribution of current rental prices for a given metropolitan area (set at the 50th percentile for Miami -Dade County), the location of the dwelling and the number of bedrooms. 4 Submitted Into the public record�i in connection with item 1'ZL_.on Priscilla A. Thompson City Clerk Can a family in the City of Miami or the selected neighborhoods afford a unit at Fair Market Rental rates for the county? Table 3 provides the monthly FMRs and the income needed to afford the FMR based on the standard that no more than 30 percent of income should be spent on housing costs. According to our analysis, at least 50 percent of the families in each of the selected neighborhoods (equivalent to at least 17,259 families) are not able to afford the Fair Market Rent for a zero bedroom or efficiency unit. In the City of Miami, at least 50 percent of the families (equivalent to at least 42,087 families) are not able to afford the Fair Market Rent for a two bedroom unit.8 Table 3 Fair Market Rents for Miami -Dade County by Number of Bedrooms, and Income Needed to Afford Fair Market Rents*, 2005 Zero Bedrooms One Bedroom Two Bedrooms Three Bedrooms Four Bedrooms Monthly Fair Market Rent (FMR) , $682 $775 $929 $1204 $1419 Annual Income needed to rent at FMR $27,280 $31,000 $37,160 $48,160 $56,760 Source: HUD 2005 Fair Market Rents *A unit is considered affordable if it costs no more than 30% of the renter's income. Affordable cost for families at 80% of the median income level. Median family incomes are substantially lower in the City of Miami and the neighborhoods selected for this study than throughout Miami -Dade County overal .9 We would now like to draw attention to low-income families within these low-income communities. Low-income families are defined as those whose income is less than or equal to 80 percent of the weighted median family income. How much can a low-income family afford to pay for housing in a low-income neighborhood within Miami -Dade? Table 4 provides the 80 percent of weighted median family income figures and affordable monthly rent/mortgage cost for the city and each of the selected neighborhoods. Eighty percent of the weighted median income (low income) in the City of Miami is $25,962 and ranges from $11,329 to $21,782 for the selected neighborhoods. If families were to pay no more than 30 percent of their income on housing costs, the maximum affordable monthly cost of rent or mortgage (including utilities) for the City of Miami is $650 and ranges from $283 to $545 for the selected neighborhoods. s The estimation of number of families is based on the population in 2000. 9 The median family income for Miami -Dade County, adjusted to reflect inflation from April 1999 to April 2005, is s48,103 (US Census 2000). Submitted Into the public recor in connection with_ 5 Ii item YZ on I 1 Priscilla A. Thompson - City Clerk Table 4 Housing Affordability for Low -Income Families* in the City of Miami and Selected Neighborhoods, 2000 (in 2005 dollars**) Area 80% of Weighted Family Median Income (Low Income) Affordable*** Rent/Monthly Mortgage Payment at 80% of Family Median Income City of Miami $25,962 $650 Allapattah $21,782 $545 East Little Havana $16,417 $410 Liberty City $19,117 $478 Little Haiti $20,397 $510 Overtown $11,329 $283 Wynwood $16,528 $413 Source: Authors' analysis of U.S. Census Bureau, Census 2000 Summary File 3 data *Data is collected on a household basis. A family includes a householder and one or mare other people living in the same household who are related to the householder by birth, marriage, or adoption. ** Dollar amounts reflect inflation from April 1999 to April 2005. ***A unit is considered affordable if it costs no more than 30% of the family's income. Consider the implications of these findings for low-income families within the selected neighborhoods. In Allapattah, the highest monthly housing cost a low-income family can afford is $545 if their income is at $21,782 (80% of the median). This means low-income families residing in Allapattah can afford at most $545 in monthly rent or mortgage and utility costs. In Overtown, the highest monthly housing cost a low-income family can afford is $283 if their income is at $11,329 (80% of the median). This means that low- income families residing in Overtown can afford at most $283 in monthly rent or mortgage and utility costs. Whereas families making the median income in the City of Miami can afford up to a one bedroom dwelling, low-income families throughout the city cannot afford the FMR for a zero bedroom or efficiency unit. 6 Submitted Into the public record in connection withon ? item. 1--- Thompson Priscilla A. City Clerk CONCLUSION This analysis illustrates that half of the families (those making no more than 50 percent of the median family income) residing in the selected low-income neighborhoods within Miami -Dade County can afford no more than $354 to $681 in monthly rent or mortgage, plus utilities, depending on the neighborhood. Throughout the City of Miami the "bottom" half of families can afford no more than $811 in monthly housing costs. Furthermore, low-income families in the selected neighborhoods, meaning those earning less than or equal to 80 percent of the neighborhood median family income, can afford n� more than $283 to $545 in monthly rent or mortgage, plus utilities, depending on the neighborhood. Throughout the City of Miami "low-income" families can afford no more than $650 in monthly rent or mortgage, plus utilities. The findings of this research have serious implications for many families in Miami -Dade County and especially those residing in central city locations. Although more than 42,000 families in the City of Miami cannot afford more than a one bedroom dwelling, the average family in the city in 2003 had at least 3 members (ACS, 2003), suggesting the need for at least two bedrooms. The implications are worse for families in the city's poorest communities, where a majority cannot afford a zero bedroom housing unit but also tend to have families consisting of at least 3 members. Without adequate affordable housing, the current wave of residential and commercial development will likely force the majority of these families out of their homes and neighborhoods. 7 Submitted Into the public recor4 in connection with item on IZ- - 0 % Prisalla A. Thompson REFERENCES United States Census Bureau, American Community Survey. Ranking Tables, 2000- 2003. [http://www.census.gov/acs/wwwiProductsiRanking/index.htm] United States Census Bureau, American Community Survey. Miami City Profile, 2003. United States Department of Housing and Urban Development (HUD), Office of Policy, Development, & Research. FY 2005 HUD Income Limits Briefing MateriaL [http://www.huduser. org/datasets/il/i 105BRIEFING-MATERIALs.pdf] United States Department of Housing and Urban Development (HUD). 2005 Fair Market Rents. [http://www.huduser.org/datasets/fmr.html] 8 Submitted Into the public recordin connection with item -I on Priscilla A. Thompson City Clerk APPENDIX Map 1. City of Miami and Selected Neighborhoods. LOW-INCOME COMMUNITIES OF METRO MIAMI MC4r r %.ug` %raWA Airil,. ti {fir' ��// //�aJ I aiI .�y.ih� �%�GL G�R/1/yrQ�i / �iGdl lulireior ���%/./GOSal._ J 'hr. `� ;i;;i Uligli / UTY O1 MIAMI %// / / 44.7240 mai Adeigill Cww Bos. ck Group f; tat bra. Homo Ubsny City E3UdeHAW *moot / Cdld d lilted all 1.8 1 2.7 9 Submitted Into the public recorsi in connection with item Z !� on 17 I - O1 __..--- Priscilla A. City �� Map 2. Median Family Income for the City of Miami and Selected Neighborhoods. MEDIAN FAMILY INCOME. Wawa larornotional Al rporl Little Havana a24521 mmIeaend monim-m•Loy11 ou 1121,121.(1404iP imarionfaro,.1..zr • ipslod to roloct Aliso from Aors 19Q GAmi 2035 10 Submitted Into the public record in connection with item KZ 11 on 12-13-07 Priscilla A. Thompson - -_ City Clerk Map 3. Affordable Housing Cost for Families in the City of Miami and Selected Neighborhoods. AFFORDABLE HOUSING COST FOR FAMILIES` r— Miami International Airport wow omme. _a -nil Census 81ocit Groups. mbpano Eji East Lida Havana r" IIIII.ubarty City Ij Little Held Ovartowr nwoott W�- CUy of Mist* r •IE#-f-2 4'a��'" 111117wirie 1111 Arl / „Iv��i"' • Based on the median tamity Income, adjusted to reRad inflation tromAprft 1999Io April 2005 11 Submitted Into the public record,in connection with item VZ I�1 on IL- I3 - of Priscilla A. Thompson City Clerk Map 4. 80 Percent of the Median Family Income for the City of Miami and Selected Neighborhoods. SO PERCENT OF THE MEDIAN FAMILY INCOME* War NifFettlidwimpywArezozdy;:-.A.1_.:._......, Leaend yintreff" rma4, -e•re, 111111111111riaw.oz92y4w,,/,,, 1111111111KA emr A 4tated to rtilact Sicn am Apni 1999 to Apnl 2009 12 Submitted Into the public record in connection Aith item 1 Ofl 2L1.1.:_127 Priscilla A. Thompson City Clerk Map S. Affordable Housing Cost for Low Income Families in the City of Maffei and Selected Neighborhoods. AFFORDABLE HOUSING COST FOR LOW-INCOME FAMILIES' INC rA Wrr# .;7 4 4 4 A r.,.Lepend ........sm.,irmlix"Nwz4.w.4wynwt.._-.. 2a r rjappgamakezalz§-,%,00 MIMED e' FdraarIV t Cs "'Are' riallimPla2L"-4---": - x ..4r4WZAIWZ' Aefr -,./ .., "11111111111W4704r EllireSOVP fiq .. ---1 Ai; 41,17- If . 3: It s.'g 411.1 A Almaimia,:,..i,: ;.. W&A ,.—rrolOw OW,* ii..;i t • Sand on 31314 Otte moan fun* owns acitatecl to reflect ,rration fromApni 1990 to Apia 3305 13 Submitted Into the public re.;orpi in connection itrri I/L-11_0n 1_07 Priscilla A. Thompson City Clerk Map 6. Affordable Housing Cost for Families in the City of MiamL AFFORDABLE HOUSING COST FOR FAMILIES 'vs 4111111111111111P11 mon MEMa mum: 34.•1''''' 1111111111 1101 11.1.iria tzif.4 islisAmmirjoggaimak r.r 24 Z.1 h 4.C.:1 t „ iact ICA 1 .4-44242 _4.4) lc men tirl'416`.1 II I, 111111111111111.111kiiiitz 12 III 111111.1110MMINNIm _111111111141w.1i1t —eZIldA.ii,. , ' iA 1Ki 4 •' Cohouu Block Groups • 121 CA, Of Law • 1.3.04 exams defined as ,ess than or equal to 90% a( ths median fan* mane for the nsgrasonsad Incomes are Auto, to ruflect slalom from AO 1990 to pri 2005 14 Submitted Into the public record inconnection with item Uji_on.7.-- 22 Priscilla A. Thompson City Clerk Map 7. Affordable Housing Cost for Families in Allapattah. AFFORDABLE HOUSING COST FOR FAMILIES n carious Meek Groups MI AIbpa ah: Data from US Census 2000 Analyse and Maps by RIS tow income b Mood as less than of equal to 30% of this n don tansy ncoma for Me neighborhood tnmmes are ad otsd to rend Mahon from Apre 1990 to Aprl 2005 Submitted Into the public recorcl, in connection ith item VZ 11 on JZ- i - Oi Priscilla A. Thompson City Clerk 15 Map 8. Affordable Housing Cost for Families in East Little Havana. AFFORDABLE HOUSING COST FOR FAMILIES i 01 112 3 SW 11 to 5t"�J. Data m US Census 2000 fir- s AnaWU and M aos by R I g law ncoms s dolma W as hiss Iran or aqua to 80% of the median famry income for the n.gitorhood incomes an adkusasd to rstlsd n0a0an f►an Apr01990 to A pr12005 16 Submitted Into the public recor4 in connection with item KZ 17 on 1Z- l 3 n Priscilla A. Thompson City Clerk. Map 9. Affordable Housing Cost for Families in Liberty City. AFFORDABLE HOUSING COST FOR FAMILIES MIN17ndCt Data frorn US Census 2000 0 02S Q11 I1TS .� maivsis and M aps by RISEP tow nCOnle a tithed as ISSethan or equal t0 80% of the nrtltan fan* ncorrr for the naiQftortlood Incomes are adjusted to rafted nsatlan Iran Apra 1999 to Apr12006 17 Submitted into the pt record o ,� _ p �-_ i n with item �-- 1L�-'—so=n Priscilla A. Thompson ty Clerk Map 10. Affordable Housing Cost for Families in Little HaitL AFFORDABLE HOUSING COST FOR FAMILIES tl u25 55 0:75 • ' `J.. ,.« ,t 1.r bit.ko.Ia CRnP s 2 NNrsitt indMaos RIS tow mon* s dsansd as ,ass than or equal to 20% of the mecum ►am r cams for the nagtbornood Lammas are adauledto reflect Mahon fronAprl 1999 to Aiwa 2005 18 Submitted Into the public recor in connection item Kwith Z 17 on I2- l 0-) Priscilla A. Thompson City Clerk Map 11. Affordable Housing Cost for Families in Overtown. AFFORDABLE HOUSING COST FOR FAMILIES 0 01 12 as s 6 1 ; : •an from us canals 2000 MMII=MINIMSAloo analv#s and Macs by RI tow income s OeMes ass.sss man or slum to 80% of fir median tam* income forme neprdornood incomes are adiur:sd to reflect neaaae frOm AO 139i to Apr12G 19 Submitted Into he pubic recor in connection - 0 7 �2 iith on LZ-_-- item Pris —A. Thompson City Clerk Hap 1l. Affordable Housing Cost for Families in Wynwood. AFFORDABLE HOUSING COST FOR FAMILIES Low ncorrr a *Ana! as Ills man or equal to 30% of the median tun* ncome for ms neighborhood Incomes are Whaled to reflect nllatlon fromAprl 1999 to April 2009 Submitted Into the public recor,d in connection wit item K2 17 on I Z- 20 Priscilla A. Thompson City Clerk a1tl ,, Sin Far 44th 4 m�. . 3rd y 42nd n�1d��i�r ha ®, Y.9elrla 1001 Pe�rrh, aOrA4P��' 23rd 17th of iwar�ml�xvmewnr�viiri .iiia�riu�l00,0ro000o 23ud 22E'vd M f Fnd 22nd 21 st. 23th 0 0.2 0.4 Mules 1eth Block groups colored white have too few data poitns tor mapping SDI iMnIPGW 010 b0 moo item 42 d 110 9Mrw 23rd rct; m r. ed into con n 0 RAW k Groups, '2 4.2rud �.wm11111101111 AVIV OULEON. (R..,,,,,,,,,,;,,„<,,;,;,.. 214 101 18fih NI 00 17th 1 Qth , A .1 17th 17th it 22 d 29th Data Source: Miami -Dade Property Appraiser w Maps by RISEP-FIU di 11111111111111111111' Price e 1-277.00€yo - o% o.ol% - 55% 55.01% - 105 50%, 105.51% - 126.10% 126.11% - 154.30% 154,31% - 198.00% 198.01°/0 - 287.30% 287.31% - 455.20% 455.21% - 937.70% d 000,0,10011 lloolloll00000000001110010001„ 1111111111111111111111111111111111111111 0000. 110000000000000000001 000,0111110000100001010101010000 0111111111111111111111111 loll looloonol000m0000loollo 1001 0110 '0,0a 1 7th J-fis 117th ck Gr ps, 2 1101101000 Hoop, Ii0101100101000111 o0000000000o0000000lllso00000000000000001i'0''110Iriml000001110'011! 11011l11 11111111111111111111111111111111 11?1 11111111111111111111111111111 ' 4 15th 111 "- 51H = ' 1311 1 , . ,1111, , . , 04,0 _,,_,70_, , t-71'005 firo 0,, eighborhood Boundary , 0 0.2 0.4 as milesoe , 1 eili4AI 1, I 1 1 1 1 Block groups colored white have too , Data SourcaWiami-badei3roperty Apraiser few data poltns tor mapping SUbMitted Into thz, putt) ic Maps by RISEP-FIU record in co 1 • ction with 4 Ale' 1 :--,11....-0 „1°2-- 1 '' '' a The) 0 1011111111111111111 lop 10110111111111111111111111110101011111111111111111011 „ 1 111111111'1'11111111111111111111111111111111111111I 11111 111111101111, 10101 0moom00000000111,11111111111,111,1,111111111111111111111111111 1111111 1 11111111 „„„„ „.„„„ 111111111111111111111111 11 all J11111111111 „II 1,11,111,111,111,111 11111111111111 1,m1,1vAr,,H, "illi000000000000000000'100 00000 10000000 00m00000011 11111111111"-IY1'1'1'1'111111 1111111111111111111111,1,1,1,1,1, 1 111111111111111111111 111111111111111111111 11111111111111 11 111 1111111111 1111111111111111111111111111111111111 1111111111 11111111111 1 1111111111111111 ,,,,,,,,,,,,11111111111111111111111111111111111111111111111111111111111111111111111VVVVVV111111111111111111111111111111111111111111 000001 0100000001111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111110„ 111010110001010110100000 11111111111111111111111111111111111111111111 111111111111111111111111111111111 ,,,,,,,,I1,1,1„1„11!,!,!,!,!,1,1,1,1,1,00000000000000000000101101'01'01'illlillill1111'100101011l0110l 2„1„1„1„1„1„1„1„1„loononnooll;„1„:„:„1„1„1„1„1„1„1„jjjjjjjjj„„„IIIIIIIII„„„1„110111111111111111 JJJ 2Thi• — 24:trf ard "23"1-22(iwd r 2nd - 1, at , 4 r- L2_1„. sk„ 213tf) Zitti 1111111111111111111111111111111111 111111111111111111111111111000011,, 1111111111111 III n11111111111111111111 111111 1111111 11111111,1,1,0111111111111111111111111111111111111111111101 011jj11,J'I'l ''??1 101011111111111111111000110110111,111000000000001 tfl 11111111111111111111111111111111110 1114111111v 11111111111111111111111111111111111111111111'11111111111111111111111111111111111111111111111111111,111 Ch 2 UL A RD, CH tte Subsi y Decisior 1 w Fr m I etter ormatio Fir E .L I CI FE 9A m,,,1 O Li E. m tN IY n e public policy response to the spike in housing prices from 2002-2005 , especially in already high housing cost parts of the state, was to create the Community Workforce Ilousing Innovation Pilot Program where income limits go as high I>40 percent, or, in certain high cost areas, 1.50 percent of area median income. `Hie trend toward using public funds to serve the needs of households that earn well above aver- age incomes was evident at a recent Florida Housing Finance Corporation board meeting, when a 1 III "C Board member proposed increasing the maximum income limit for the SHIP program statewide, from its current 120 percent cent of median to rninr-or the 140 percent, and 150 percent limits used in the t'wX HIP program. Even with the downturn in the housing market, housing prices in Florida are still well above what is affordable to Florida's workforce. many high cost co'mmunitie, the median sale price for a home is out of reach for families earning well over the median income for their respective community. With median sales prices being higher than what a familyearning t30 or even 1.40 percent of median can afford, increasing die income limits appears to be a reasonable response Hut before public policy changes the way scarce subsidies are allocated in Florida's housing programs„ a more careful assessment of median sales price is in osier,. k I ,r C. u'Itwt.a0 t F'RIC1Ii4 ID I ES 't' R t 13 IL LE ll L1 't N D F .3 AIt._ t,.. IFE R. II EL t.,:. 5 The median is only a measure of central tendency. It is the sales price at which one-half of the sales in a community are equal to or higher than, and one half are equal to or less than. It does not show Us the distribu- 1 At EL lo,,. 1 �a,t I1 t t Ni Sub 'recol 'item s att d to the pc Wl coo hectic) 7 on IL A. ha I ti n City tion of sales prices. While median prices may be high, we need to assess whether there is adequate unsubsidized housing stock afford- able to families earning above 120 percent of median in a given community. With this information in hand, public policy makers can make better decisions about financing affordable housing. AIFP'I AI l HEL RIn SIOIJE Since the median sales price is just the price in the middle, how do we obtain data on the distribution of sales prices in a community? In many counties, property appraiser Web sites have developed search tools that allow the user to search for all homes sold below a certain price point, during a specific time frame. By calculating the mortgage amount for which a family earning a certain income can qualify, these Web sites can he used to determine the number of home sales affordable to that family, over a given time. It is this data that should he used when determining whether the private market is failing to meet the housing needs of families in a given income category. c3 t'M t t ilww. , EEt tE IL E. "'° Table 1 shows the number and percentage of the single family sales affordable to families earning 150 percent of median, in six Horida counties January 1, 2007-June 30''' 2007. The same data can also he pulled for condominium sales. The Palm Beach County property appraiser's site did not appear to have a countywide search feature for sates, so this data is from 2006 property appraiser records via the Shinrherg Center. (continued) ATTACHMENT F 111111111111 1111111100 111,11 i iIVIUUIIIIIIii � "° plllli, 'bd�lllllllllll 11111111111111 11111 111111111111 °° °IIIII�I„1 Illilll 11111111111 111ilpiilRl 1111111111111 $54,20 1))1111117111 jipj 581,300 $91,800 $76,950 57'9',200 gad �ry t�3e'a���.a4tw (.r)e�nlrity wr'& troar 1�G $250,683 5243,000 $249',326 5282,375 $237,500 $244,345 2 )06 toe lllluuuum iIIINIININIII W,I I u it uiulm l liii IVIW uuupi�i� 2,574 6,344 1111,470 re r item 'te' ' into the 1I 6U cannecti G N n.j4 lla A. T 1�IG 11 City 3450 54% 3547 11039 1613 3V, 2006 Ditaw for Pinellas County Through October 31% 57% 66% ' 1,Y0 year term, 7 percent interest rate, 3,3/45 front and buck ratios, 51,000 down payment, 51.30 per month in non -mortgage monthly- debt. In rmu'ry one of th e counties selected., a•xcept for Palau Reach, more than hall" of all home sales were affordable„ to a family earning 1501nercent of median. In Escambia County, nearly 90 percent of all single family sales were affordable to a family earning 150 percent than one-third of single family sales in I'ahn Ike^tech (.:ouu.nty were,' affordable to a family earning 150 percent of median, Palm ach County has a cry strong condominium market. hi 2006, while there were 11,170 single faunily sales in Palm Beach County. there were 25,334 condominium sales, Of these condominium sales, 13.127, or nearly 53 percent were affordable to fatnilies earning 150 percent of median. This data shows that in these counties. families earning 1.50 percent of median already have a 1LIIg0 per- centage of the housing market available to them. ibis raises of median. While less Table 2 shows the number and percentage of the single family sales affordable to families earning 130 percent of median, in the same six Florida counties as above, January 1, 2007-June 30'h, 2007, with the Palm Beach county numbers again being from 2006. id Ito �IhlhulN°Iltlloltihl',YVNyINN'IINtl L'Iu "IlllIr Vo1Cu^1t1m114Vh ul' uINIi�Nyu�iiw��;�lli �a�IlllYlipgllU 2,500 561,200 551,300 $68,250 $211,300 0,070 $216,790 $79,560 5245,432 566,690 $206,600 $68,640 5212,473 'Diu: sr Pain. tihu COUnt ha tot tin h, 2)O6 .. I a 2h.:2 2Ca yflww Pllaax. County is Through October 2, 2, y yVfl' '130 year term, 7 percent interest rate, 33/45 front and back ratios, ai+1,000 down payment, ,5150 per month in non -mortgage monthly debt. 2089 2558 2342 8980 71% 87% 54% 11 57% the question of the need for public subsidy to assist these buyers, Even with the lov er sales price, five of the six counties still had close to 50 percent of their single family sales affordable I pw v II piml Into the public �nnection l pscpUa Thom City to families earning 1.30 pu n. Tnt of median. While only 20 per- cent of single family" home sales in. Palm Beach County were affordable to a family earning 130 percent of median, 10.657, or 42 percent of all condominium sales were af- fordable to families el.trning 130 percent of median. With nearly 50 percent of home stales affordable to families earning 30 percent of median„ this data also brings into question whether families in this income category in these counties need public subsidy to purchase housing. Table 3 shows the number and percentage of the single family sales affordable to fam- ilies earning 70 percent of me- dian, in the same si:r. Florida counties as above, January L 2007-June 301h,2007, with the I'I''alm Beach county num- bers again being from 2006. idisborough, Palo' Beach and ri.rie;•llas Counties all had Less than i percent of their single fau oily sales affordable to fam- ilies earning 70 percent of me- dian. 'Me condominium market in Palm bleach County was aadlso not very friendly to- ward these families. — only 1,907 units, or 7.5 percent of all c.''ondo sales were affordable to a family earning 70 percent of median. 'l'his data shows a contimwd need for subsidy for market. HOUSING NEWS N E 1. 0 As property appraiser's Web sites have evolved, housing administrators have more housing market information at their finger tips than ever before. This information enables the housing professional to determine whether the private housing market ismeeting the needs of families at various incomes. Local and state housing programs should be tar- geted to income levels at which the private housing market fails. When the private market is meeting the housing needs of a certain income level, there is no need for public subsidy. The monthly payment calculator developed by the nfltlllitt• um iUlm lum r !iiidopu Illlllllllllrrrrrrrrrrrrrrr ii rrrrrrrrrrrrrrrrrrrulll ' raa �swwi 1l11 1111, 14 III ulliuiuilllm' S54,200 S52,e500 $53,900 S6I,200 S51,300 S52,800 TABLE 3 '91R+11�14iP1 $37,940 $36,750 $37,730 S42,840 $35,910 $36,960 $ I12, 065 $I07,168 SIII,200 $I03,700 $108,032 ui u r ',°'� VUuullllllllMiu 1, li.11I(G1., MEI 3'rn 'Data for Paltrn Beach County is for Ii,aau t. '2006 - Dec;E1, 2006 '" Data. for Piaarallas. County, is Through 0crr•ber'22, 2007 '130 year term, 7 percent interest rote, 33/45 front and back ratios, $1,000 down payment, ,64.50 per month in non -mortgage monthly debt. families at this end of the 1-7 t_.t t „ ""1.1- m EL It;2 R L t t a��� a N t..a F, [: ,-a c The number of saa,A.es below a certain price point only tells a portion of the story:. It doesn't tell us the location, age or size of the units. Many property prop, rty appraiser WIA sites °allow users to search by the age. size., and location of the structure. For example, of the 820 homes. sold for less than $103,700 in Pinellas County this year, 387 (or 47%) were built prior to 1 r,tlltl. The search also gia-e;,s the location of each home sold, allowing someone, fatnniliar with the community to determine the neighborhoods in which these lower priced homes are located. Florida Ilousing Coalition can be used to calculate the mortgage amount a family can afford. The property ap- praiser data and the methodology outlined above can be used to determine the percentage of community's housing market that is affordable to families earning certain in- comes. This type of analysis should be clone prior to in- creasing the iucoane limits for a purchase assistance program. il,uMirirz. SPA FITTERIYIAIV is a Senior Technical Advisor with the Florida Hous- ing Coalition_ He is currently the program rnanagerfor delivering technical assistance under numerous contracts, including the .state al Floridas.AlJord- able Housing Catal yst program, He is recognized throughout the state as one of the foremost authorities on Florirlak State Housing Initiatia ' Part- nership (SHIP) program. Stan holds a masters degree in city planning from. Georgia Tech. He provided. research Jor the Pulitzer Prize winning newspaper series The Color of Money, and co-authored a chapter in the boob I'"ro n Redlining to Reiucrstmenl. aNh �iary