HomeMy WebLinkAboutSubmittal-Housing and Community Economic Development-PowerPoint PresentationSubmitted into the public
record f r ite s)
on City Clerk
Discussion on
Income and Rent Limits
Housing and Community
Development Department
January 10, 2019
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Submitted into the public
record f r it m(s) QY r'2
As the City moves forward with the creation of policies that promote the creat i City
affordable housing opportunities, it is necessary to consider the specific benefits
that the policies will provide the development community as well as its residents.
The current county median chart used and the level of incomes for some of our
policies are currently not benefiting our residents.
This presentation will
❑ Show how a City Median Income chart will be derived from the County
Median chart
❑ Determine the effect of replacing the County Median Income limits with
the City of Miami's Median income limits for a specific City of Miami
affordable housing zoning policy.
❑ Discuss the implementation of policies that will benefit the City on a per
neighborhood basis
1. 2018 HUD Income Chart Effective April 1, 2018 (based on county median)
2. Comparing City median income to County Median Income
3. Comparative Income Analysis Census Vs. HUD
4. Income and Rent Limit Chart with County and City Income
5. Recommendation
6. Project Examples
1. 12 unit project to be built as -of -right
2. 24 unit project to be built using attainable housing with county median
3. 24 unit project to be built using attainable housing with city median income
Submitted into the public
record fqr ite (S)
on 11inld °
City Clerk
County Income Chart from HUD
MIAMI - MIAMI BEACH - KENDALL MSA* - 2018 Income Chart
MFI:**
$52,300
Submitted into the public
record fir lie { s)
PROGRAM 1 PERSON 2 PEOPLE 3 PEOPLE 4 PEOPLE 5 PEOPLE 6 PEOPLE 7 PEOPLE 8 PEOPLE
Extr. Low $ 16,550 $ 18,900 $ 21,250 $ 25,100 $ 29,420 $ 33,740 $ 38,060 $ 42,380
Income
Very Low $ 27,550 $ 31,500 $ 35,450 $ 25,100 $ 39,350 $ 45,650 $ 48,800 $ 51,950
Income
Low Income $ 44,100 $ 50,400 $ 56,700 $ 62,950 $ 68,000 $ 73,050 $ 78,100 $ 83,100
FT. LAUDERDALE MSA* - 2018 Income Chart
MFI:**
$65,700
PROGRAM 1 PERSON 2 PEOPLE 3 PEOPLE 4 PEOPLE 5 PEOPLE 6 PEOPLE 7 PEOPLE 8 PEOPLE
Extr. Low $ 17,000 $ 19,400 $ 21,850 $ 24,250 $ 26,200 $ 28,150 $ 30,100 $ 32,050
Income
Very Low $ 28,300 $ 32,350 $ 36,400 $ 40,400 $ 43,650 $ 46,900 $ 50,100 $ 53,350
Income
Low Income $ 33,960 $ 38,820 $ 43,680 $ 48,480 $ 52,380 $ 56,280 $ 60,120 $ 64,020
* MSA ** MFI
Metropolitan Statistical Area Median Family Incomes
4
• Submitted into the public
record for it: m s)
City Income from Census Bureau
ALL TOPICS
0 Population per square mile, 2010
4
Miami city,
Florida
Ci
11,135.9
Q Miami -Dade
County, Florida
1,315.5
1, PEOPLE
Population
® Population estimates, July 1, 2018, (V2018)
® Population estimates, July 1, 2017, (V2017)
® Population estimates base, April 1, 2010, (V2018)
® Population estimates base, April 1, 2010, (V2017)
Transportation
Mean travel time to work (minutes), workers age 16 years+, 2013-2017
Income & Poverty
8 Median household income (in 2017 dollars), 2013-2017
® Per capita income in past 12 months (in 2017 dollars), 2013-2017
® Persons in poverty, percent
NA
463,347
NA
399,527
NA
2,751,796
NA
2,498,018
28.1 31.3
$33,9
99
$25,481
X 83,903
$25,067
& 25.8%
BUSINESSES
Businesses
0 Total employer establishments, 2016
73% of County
$46,338
Submitted into the public
record f rite
City
ty Vs County Income
1. Since only HUD provides income based on household size, any
attempt to use a City income table will be based on a ratio of the
County income chart produced by HUD.
2. Comparing 2017 ACS 5-Year Estimates, City's Median Income is about
73% that of the county
Submitted into the public
record for it (s)
Using HUD Income Chart to reflect
City Median income
City has two options:
1. Prepare an annual City Median Income Chart based on
city/county ratio from the HUD income chart. This will require
defining the ratio to be used by ordinance and replacing all
reference in the City code related to HUD income with City
Income chart except for HUD related programs.
2. Adjusting the percentage of income requirements based on HUD
income chart to reflect the City's median income. For Example,
Workforce income limit of 140% of County Median Income can
become 100% (73% of 140% is 102%).
Income and Rent Limit Chart
Based on County Median
Submitted into the public
record fpr it9m(s) ,
on i i i n i i't City Clerk
County (Metro)
Percentage
Category
Income Limit by Number of Persons in Household
Rent Limit by Number of Bedrooms in Unit
1
2
3
4
5
6
I 7
I 8
I 9
10
0
I 1
2
I 3
4
5
-Dade County
25%
13,775
15,750
17,725
19,675
21,250
22,825
24,400
25,975
27,545
29,119
344
369
443
511
570
629
(Miami -Miami Beach-
28%
15,428
17,640
19,852
22,036
23,800
25,564
27,328
29,092
30,850
32,613
385
413
496
572
639
705
Kendall HMFA;
30%
16,530
18,900
21,270
23,610
25,500
27,390
29,280
31,170
33,054
34,943
413
442
531
613
684
755
Miami -Fort Lauderdale-
33%
18,183
20,790
23,397
25,971
28,050
30,129
32,208
34,287
36,359
38,437
454
487
584
675
753
831
Pompano Beach MSA)
35%
19,285
22,050
24,815
27,545
29,750
31,955
34,160
36,365
38,563
40,767
482
516
620
716
798
881
40%
22,040
25,200
28,360
31,480
34,000
36,520
39,040
41,560
44,072
46,590
551
590
709
818
913
1,007
45%
24,795
28,350
31,905
35,415
38,250
41,085
43,920
46,755
49,581
52,414
619
664
797
920
1,027
1,133
50%
27,550
31,500
35,450
39,350
42,500
45,650
48,800
51,950
55,090
58,238
688
738
886
1,023
1,141
1,259
60%
33,060
37,800
42,540
47,220
51,000
54,780
58,560
62,340
66,108
69,886
826
885
1,063
1,227
1,369
1,511
Median: 52,300
80%
44,080
50,400
56,720
62,960
68,000
73,040
78,080
83,120
88,144
93,181
1,102
1,181
1,418
1,637
1,826
2,015
120%
66,120
75,600
85,080
94,440
102,000
109,560
117,120
124,680
132,216
139,771
1,653
1,771
2,127
2,455
2,739
3,022
140%
77,140
88,200
99,260
110,180
119,000
127,820
136,640
145,460
154,252
163,066
1,928
2,066
2,481
2,864
3,195
3,526
Source: 2018 Income and Rent Chart from Florida Housing Finance Corporation based on the 2018 HUD Income Chart
10
Income and Rent Limit Chart with
County and City Income
City of Miami Incomes based on household size
Extremely Low -Income (30% AMI)
Submitted into the public
record t i it r s) •1)
City Cl
IRent by number of bedrooms
1 person 2 people 3 people 4 people 5 people 6 people 7 people 8 people I 0 1 2 3 4
County $ 16,550.00 $ 18,900.00 $ 21,250.00 $ 25,100.00 $ 29,420.00 $ 33,740.00 $ 38,060.00 $ 47,3R).00 15 413.00 $ 443.00 $ 531.00 $ 681.00 $ 843 00
City $ 11,301.20 $ 12,905.90 $ 14,510.61 $ 17,139.59 $ 20,089.51 $ 23,039.43 $ 25,989.35 $ 28,939.2715 303.03 $ 325.04 $ 389.60 $ 499.66 $ 61.3.92
I
Very Low -Income (50% AMI)
2018 Median Income
1 person 2 people 3 people 4 people 5 people 6 people 7 people 8 people 0 1 2 3 4
$ 46,338.00 $ 27,550.00 $ 31,500.00 $ 35,450.00 $ 39,350.00 $ 42,500.00 $ 45,650.00 $ 48,800.00 $ 51,%C LiD 1$ 688.00 $ 738.00 $ 886.00 $ 1,023.00 $ 1,141.00
$ 33,999.00 $ 18,812.57 $ 21,509.84 $ 24,207.11 $ 26,870.23 $ 29,021.21 $ 31,172.20 $ 33,323.18 9 35,474.171$ 504.80 $ 541.48 $ 650.07 $ 750.59 $ 337.17
1
Low -Income (80% AMI)
1 person 2 people 3 people 4 people 5 people 6 people 7 people 8 people I 0 1 2 3 4
County $ 44,100.00 $ 50,400.00 $ 56,700.00 $ 62,950.00 $ 68,000.00 $ 73,050.00 $ 78,100.00 $ 83,100.0015 1,102.00 $ 1,181.00 $ 1,417.00 $ 1,636.00 $ 1,826.00
City $ 30,113.78 $ 34,415.75 $ 38,717.71 $ 42,985.54 $ 46,433.94 $ 49,882.34 $ 53,330.75 $ 56,M5,011$ 808.56 $ 866.52 $ 1,039.68 $ 1,200.36 $ 1,339.77
I
Workforce (120%AMI)
1 person 2 people 3 people 4 people 5 people 6 people 7 people 8 people I 0 1 2 3 4
County $ 66,120.00 $ 75,600.00 $ 85,080.00 $ 94,440.00 $ 102,000.00 $ 109,560.00 $ 117,120.00 $ 12 4,6311.001$ 1,653.00 $ 1,771.00 $ 2,127.00 $ 2,455.00 $ 2,739.00
City $ 45,150.18 $ 51,623.62 $ 58,097.06 $ 64,488.55 $ 69,650.91 $ 74,813.27 $ 79,975.64 $ 85,138.0015 1,212.83 $ 1,299.41 $ 1,560.62 $ 1,801.28 $ 2,009.65
Workforce (140%AMI)
1 person 2 people 3 people 4 people 5 people 6 people 7 people 8 people 0 1 2 3 4
County $ 77,140.00 $ 88,200.00 $ 99,260.00 $ 110,180.00 $ 119,000.00 $ 127,820.00 $ 136,640.00 $ 145,4bD.UU I S 1,928.00 $ 2,066.00 $ 2,481.00 $ 2,864.00 $ 3,195.00
City $ 56,598.97 $ 64,713.88 $ 72,828.80 $ 80,840.99 $ 87,312.38 $ 93,783.77 $ 100,255.15 $ 106726.54I$ 1,414 f1 . 1,ti15 36 $ 1,l120.35 $ 2,101 3+ $ 2,M4 23
11
City Median Income Vs
Neighborhood Median Income
Commission District
1501
3601
2800
5302
5 3100
1402
1801
2001
5 1004
5 3400
1 3001
2404
1401
2501
1 5104
Tract
Census Tract FIPS NMTC Qualified
12086001501
12086003601
12086002800
12086005302
12086003100
12086001402
12086001801
12086002001
12086001004
12086003400
12086003001
12086002404
12086001401
12086002501
12086005104
Yes
Yes
Yes
Yes
Yes
Yes
Yes
Yes
Yes
Yes
Yes
Yes
Yes
Yes
Yes
Submitted into the pubic
record f.r ite, (s)
1
Poverty Pct Median Family
Rate(%) Income (%) Unemployment Rate (%)
64.3
57.8
55.6
53.5
51.8
51.2
51.0
49.7
49.3
49.1
48.5
47.3
44.7
44.5
42.9
Source: CDFI Fund Opportunity Zone Demographic Data
18.92
34.41
40.76
32.01
40.13
39.18
39.09
44.62
38.00
37.41
65.01
34.57
41.66
43.48
42.16
30.0
27.6
11.5
5.8
36.5
24.2
24.4
17.1
28.5
32.1
15.8
20.6
24.4
15.2
3.0
City
on
• The City Continue to use HUD Published Income and Rent data
• The City Adjust percentage of county income to better reflect the
actual income of city residents
• Based on the great disparity on city median income by neighborhood,
a zoning system be established with different income levels to reflect
the income and rent levels of those zones
Submitted into the public
record foj itets) [» .
City Clerk
Development Feasibility for a
Small Multifamily Building
Submitted into the public
Project Example: record for it m(s) 'Q i . 3
on 1/IQII City Clerk
A hypothetical 12 unit property in Miami with unit mix as shown below.
Unit Mix
Studio
1 Bedroom
2 Bedroom
3 Bedroom
Totals
30%
50%
2
2
4
80%
4
4
8
120%
Total
0
6
6
0
12
Assumptions:
1. Average unit size is 941 Sq. Ft.
2. Operational Cost is based on the 2018 National Apartment Association Survey of
operational cost for garden style apartment developments.
3. Cost of construction based on a survey of an architectural firm for developments
4. Market rents from December 2018 Rent Survey for Miami from RentCafe.
5. This exercise is to show the contrast between revenues from income types used and
not an actual development feasibility
14
Development Feasibility for a Small
Multifamily Project Using Double Density
Submitted into the public
Project Example:
record fgr ite (s) 1)1.
on j 10 tg . City Clerk
A hypothetical 24 unit property in Miami with unit mix as shown below.
Unit Mix
Studio
1 Bedroom
2 Bedroom
3 Bedroom
Totals
30%
50%
80%
120%
3
6
2
10
3
2
3
19
Total Units
0
9
12
3
24
Assumptions:
1. 20/80 Double Density with 10% of units at 30% and another 10% at 50% and the rest at
120%
2. Average unit size is 941 Sq. Ft.
3. Operational Cost is based on the 2018 National Apartment Association Survey of
operational cost for garden style apartment developments.
4. Cost of construction based on a survey of an architectural firm for developments
5. Market rents from December 2018 Rent Survey for Miami from RentCafe.
6. This exercise is to show the contrast between revenues from income types used and
not an actual development feasibility
15
Submitted into the public
df1
o Iiie(s
Comparison between a 12 unit as -of -right project, 24 unit double density attainable housing using county median and
24 units attainable housing using City Median Income
Market Rate Project Built
As of Right
Project with Attainable
Housing Double Density
(20/80) Current Code
Project with Attainable Housing
Double Density (20/80) With
City Median Income
Number of Units
Monthly Revenue
Annual Rental Income less vacancy
Total Annual Operating Expenses
Net Operating Income
Mortgage Project Can Support
12
$19,620
$223,668
$62,796
$160,872
$1,997,833
24
$42,362.00
$482,927.00
$125,592.00
$357,334.00
$4,437,660.00
24
$21,472
$244,784
$125,592
$119,192
$1,480,213
Mortgage Project Can Support Per Unit
$166,486
$184,902.50
$61,676
16
Submitted into the public
record f r it ) fY (s. 5
on lit () q , City Clerk
17