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HomeMy WebLinkAboutExhibit LANALYSIS OF IMPEDIMENTS TO FAIR HOUSING CHOICE CITY OF MIAMI FY2015-2020 DATE CREATED: MAY 2015 TABLE OF CONTENTS INTRODUCTION 3 EXECUTIVE SUMMARY OF THE ANALYSIS PURPOSE 3 METHODOLOGY 5 JURISDICTIONAL BACKGROUND DATA 11 SOCIAL TRENDS 11 HOUSING 32 ECONOMIC TRENDS 58 LEGAL STATUS EVALUATION 62 FAIR HOUSING COMPLAINTS 64 COMPLIANCE 67 DISCRIMINATION SUITS FILED 71 CURRENT PROGRAMS 72 PROGRAMS 72 ACTIVITIES 77 AFFIRMATIVE FAIR HOUSING EFFORTS 89 IMPEDIMENTS 91 PRIVATE SECTOR 91 PUBLIC SECTOR 92 PUBLIC AND PRIVATE SECTOR 94 OTHER FINDINGS 96 CONCLUSIONS AND RECOMMENDATIONS 102 STRATEGY TO MAINTAIN RECORDS TO SUPPORT THE AFFIRMATIVE FURTHERING FAIR HOUSING (AFFH) CERTIFICATION 102 ACTIONS TO OVERCOME THE IMPEDIMENTS TO FAIR HOUSING CHOICE 104 INTRODUCTION EXECUTIVE SUMMARY OF THE ANALYSIS PURPOSE The Federal Fair Housing Act, Section 808(e)(5), requires the Secretary of the U.S. Department of Housing and Urban Development (HUD) to administer housing and urban programs in a manner affirmatively furthering fair housing (AFFH). Although the extent of the AFFH obligation is not defined statutorily, HUD establishes the following requirements': • Jurisdictions must conduct an analysis to identify impediments to fair housing choice within the jurisdiction; • Appropriate actions must be taken to overcome the effects of any impediments identified in the analysis; and • Jurisdictions must maintain records reflecting the analysis and actions taken in this regard. HUD interprets the objectives to "affirmatively further fair housing" to mean that the Jurisdiction will2: • Analyze and eliminate housing discrimination in the jurisdiction; • Promote fair housing for all persons; • Provide opportunities for inclusive patterns of housing occupancy regardless of race, color, religion, sex, familial status (pregnancy, family, or individual in the process of adopting or having legal custody of a child under the age of 18), disability (having a record of such impairment, persons diagnosed as being HIV - positive, and recovering substance abusers), and national origin; • Promote housing that is structurally accessible to, and useable by all persons, particularly persons with disabilities; and • Foster compliance with nondiscrimination provisions of the Fair Housing Act. The Analysis of the Impediments to Fair Housing Choice (Al) is required of state and local governments that receive federal funds from HUD. This includes Community Block Grants (CDBG), HOME Investment Partnerships Program (HOME) funds, and Neighborhood Stabilization Program (NSP) funds. The Al is an extension of the Consolidated Plan 2014-2018 filed with U.S. HUD in early 2014 and serves as an assessment of housing, housing related policies, and practices in use throughout the Jurisdiction that inadvertently or deliberately prevent its residents to choose where they live. The analysis includes a discussion of the barriers to housing choice within the City of Miami, a plan of action to overcome the identified impediments, and a strategy to maintain records and results of the actions taken. Although the AFFH obligation arises in connection with the receipt of federal funding, the obligation extends to all housing and housing related activities in the City of Miami whether publicly or privately funded.3 Factors that could restrict housing choice include, but are not limited to: 1 US Department of Housing and Urban Development, Office of Fair Housing and Equal Opportunity, Fair Housing Guide. Section 1 2 Ibid. 3 US Department of Housing and Urban Development, Office of Fair Housing and Equal Opportunity, Fair Housing Guide. DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 3 City of Miami • Discrimination based on race, color, national origin, sex, religion, familial status and disability as defined by Title VIII of the Civil Rights Act of 1968; • Discrimination in the sale or rental of housing and other prohibited practices on the basis of race, color, religion, ancestry, national origin, sex, pregnancy, age, disability, marital status, familial status, gender identity, gender expression, sexual orientation, source of income or actual or perceived status as a victim of domestic violence, dating violence or stalking, as defined by the Miami -Dade County Code Chapter 11A and recent amendments to the latter (2014); • Lack of affordable housing; • Severely cost burdened households; • Lack of housing that is accessible to the disabled; • Lack of reasonable and accessible transportation services; The City of Miami Department of Community and Economic Development (DCED) last conducted an Al in 2010. In May 2014, it filed its most recent Consolidated Plan with U.S. HUD to span the years of 2014-2018 incorporating new population data from the 2010 Census. In a complementary fashion, the City is now updating its Analysis of Impediments (Al) to Fair Housing to pick up where the previous Al left off. PLAN PERIOD This new Al will span from October 1, 2015 through September 30, 2020, and will further address where the City is presently in relation to fair housing matters, given the most recent demographic information available in both the 2010 U.S. Census and the subsequent American Community Surveys (ACS) that have been issued. MONITORING OF Al The City of Miami works throughout the year to implement its Analysis of Impediments to Fair Housing and is actively engaged in monitoring the actions outlined in this document to overcome the impediments to Fair Housing Choice within its purview. Based on yearly meetings with the Housing Unit and the Deputy Director overseeing all housing -related activities, the Assistant Director of the Reporting & Specialized Housing Division is in charge of this task and works in conjunction with the Public Information Officer to ensure that all tasks are being met within preset timelines. It should be noted that as part of this monitoring effort, many of the actions include input provided by HOPE, Inc. This entity is our local FHIP and conducts fair housing educational workshops in our City and County (Miami -Dade) aimed to educate community based organizations, disability advocacy agency staff and clientele, and local housing industry professionals. These seminars provide attendees with key information regarding fair housing laws and how to seek redress of grievances related to housing discrimination, issues regarding reasonable accommodations, dwelling unit modifications for the disabled, housing opportunities for people with AIDS, and compliance with fair housing laws that protect against housing discrimination due to race, color, religion, national origin, sex, disability, familial status, age, marital status, or sexual orientation. DRAFT— 2015-2020 Analysis of Impediments to Fair Housing Choice 4 City of Miami The DCED also provides individualized technical assistance in affirmative marketing and makes sure that federal, state and local fair housing policies are adhered to by its CDBG/HOME funded CDCs and CHDOs and its HOPWA and Section 8 sub -recipients (agencies, landlords and clients). It should be noted that CDBG dollars are distributed amongst the City's five districts. Besides the 15% allocated to public service activities, the remaining CDBG dollars are utilized as needed and at the City Commission's discretion for miscellaneous economic development activities, infrastructure needs (sidewalk and/or street improvements) and the improvement of public facilities (parks, fire stations) that serve lower -income census tracts. All the while, CDBG funding is meant to complement other ongoing activities in those areas, with preference always towards the Neighborhood Development Zones (NDZ) identified in the City of Miami's Consolidated Plan. This way, a more concentrated effort is implemented in particular areas by multiple City Departments. The latter is accomplished after extensive meetings and discussions between the Department (DCED), the City's Capital Improvements Department which is tasked with the identification and execution of necessary street efforts, and the particular Commissioner's office (five total). The DCED is responsible for distributing fair housing marketing materials (in English and Spanish) to the city's community Neighborhood Enhancement Team (NET) offices, which are located in all five city commission districts and accessible to city residents. The City's fair housing strategy is also reviewed on a yearly basis by the DCED's Assistant Director of the Reporting and Specialized Housing Division to ensure that it is meeting both its short- and long-term objectives; if it is determined that certain objectives are not being accomplished, then adjustments are made accordingly. METHODOLOGY WHO CONDUCTED THE ANALYSIS The City of Miami Department of Community & Economic Development (DCED) is the lead agency coordinating all aspects of the Al. PARTICIPANTS Key informant interviews were conducted with city and county officials; as well as community stakeholders and private organizations. The agencies involved in the interview process or that provided valuable information are: • The Florida Housing Finance Corporation • Housing Opportunities for Excellence, Inc. (HOPE, Inc.) — local FHIP • The Miami Realtors Association • University of Miami Office of Civic and Community Engagement • Citrus Health Network, Inc. • City of Miami Planning Department • The Office of the Manager (City of Miami) • Miami -Dade County's Public Housing and Community Development Department DRAFT— 2015-2020 Analysis of Impediments to Fair Housing Choice 5 City of Miami The Al began with a review of available social, economic, and housing data gathered from a variety of sources including: • U.S. Census Bureau - the 2010 Census and multiple years of the American Community Survey (ACS) • U.S. Department of Housing & Urban Development (HUD) website and One CPD maps • the University of Florida's Shimberg Center for Affordable Housing • The City of Miami Zoning Code (Miami 21) • Multiple local and national newspapers And from existing studies and reports, including but not limited to: • the 2014-2018 City of Miami Consolidated Plan, Public Housing Authority Plan, Annual Plan and CAPER • the HIV/AIDS Housing Needs Assessment & Strategic Planning documents for the HOPWA Program in the Miami -Miami -Dade County MSA • Financial lending institution data from the Home Mortgage Disclosure Act (HMDA) database • Public policies affecting the siting and development of housing (Miami 21— City of Miami Zoning Code) Research requests were conducted with State and local public and private sector representatives from area banking, lending, insurance, real estate, property management, educational, health, community service, and neighborhood organizations. The impediments to fair housing choice and the conclusions and recommendations were identified through analyzing the data previously mentioned, as well as by obtaining information through the key informant dialogues of the participants listed above and by additional public input gathered via a survey issued in early 2015 and at public meetings. The development of the Action Plan, and the Analysis of Impediments to Fair Housing Choice FY2015-2020 began in 2014. With the gathered data, several tables and maps were also created to give context to the issues discussed herein. PUBLIC NOTICE AND REVIEW As recommended by HUD, the DCED also utilized its Action Plan meetings (which it facilitates) to coincide with public meetings addressing fair housing. These public meetings were held as follows: Neighborhood -level Public Hearing Activities Tues., Aug. 12, 2014, District 2 Miami City Hall, Commission Chambers 6 p.m. Commissioner Marc Sarnoff 3500 Pan American Drive Wed., Aug. 13, 2014, District 4 Our Lady of Lebanon Church 6 p.m. Commissioner Francis Suarez 2055 Coral Way DRAFT— 2015-2020 Analysis of Impediments to Fair Housing Choice 6 City of Miami Thurs., Aug. 14, 2014, District 5 Charles Hadley Park, Community Room 6 p.m. Commissioner Keon Hardemon 1300 NW 50 Street, Miami, FL 33142 Tues., Aug. 19, 2014, 5 p.m. Fri., Sept. 5, 2014, 5 p.m. District 1 Allapattah Community Action, Inc. Commissioner Wifredo Gort 2257 NW North River Drive District 3 Commissioner Frank Carollo IllJose Marti Park Gymnasium 434 SW 3 Avenue Countywide Public Hearings for HOPWA Tues., Aug. 12, 2014, 4:30 p.m. Thurs., Aug. 21, 2014, 4 p.m. District Central Miami -Dade County South Miami -Dade County Joseph Caleb Center- Room 110 5400 NW 22nd Avenue, Miami, FL 33142 Sembrando Flores. 162 SW 1 Ave., Homestead, FL 33030 The following activities were carried out below to ensure public participation at said hearings: 1. Published notice of activities in general circulation newspapers; ■ Miami Herald advertisement published on July 28, 2014 (English). 2. Made notices (flyers) with public hearings dates/times available in English and Spanish to all funded public service agencies and developers, at all NET (neighborhood offices) locations, to all Commissioner offices (five); at the City Clerk's office located at City Hall in Coconut Grove and in the lobby of the main City of Miami administration building in downtown Miami; 3. Used the City of Miami website to convey information on the times and schedules of the public meetings; • Posting on City of Miami website, City's public meetings webpage, and Community & Economic Development website. 4. Worked in conjunction with miscellaneous community groups and neighborhood associations to help disseminate information and assure attendance at public meetings; • Emailed blast of Action Plan hearings schedule to current City of Miami funded public service agencies, housing developers, and constituents who have signed up to receive outbound departmental communications (approximately 1,000 subscribers combined). 5. Utilized the Neighborhood Enhancement Team (NET) Offices to advertise and market the public hearings to the local communities; • Action Plan schedule flyers sent to NET's list of community contacts which include their individual residents and community activists (approximately 500+ persons). 6. Channel 77 (City -run cable station) broadcast Public Service Announcements with Action Plan schedule, in English, Spanish, and Creole. DRAFT— 2015-2020 Analysis of Impediments to Fair Housing Choice 7 City of Miami On May 8th, an ad was published in the newspaper of greatest circulation, The Miami Herald, advising the public of the Al's draft being available at the DCED's main office and on the website, starting on that date and of the 30-day comment period and how to properly submit written comments to the draft (via e-mail or the U.S. Postal System). This assure the DCED that residents had an opportunity to provide input and review the proposed polices in the Al. The same ad also advised the public of the DCED presenting the final draft to the City Commission on June 11, 2015. PUBLIC INPUT SURVEY For the first time ever, the Department drafted and issued an 18-question general, fair housing survey for housing stakeholders in the City. It blasted the web -based survey link via e-mail to its list of developers, activists, community organizations and Departmental twitter — amounting to a total of 700 persons or so. It also posted the survey link on its main web page. It forwarded the link to the Miami Realtors Association for dissemination to their members as well. After 60 days, 57 surveys were received. The most interesting data gathered from the results is noted below -- • 50% felt that fair housing laws were not adequately enforced in the City; • 37% were Miami renters; 62% were homeowners; • close to 90% of respondents said they were familiar with fair housing laws; • 90% believe housing discrimination is an issue in Miami; • 34% said they thought they had personally experienced housing discrimination; • Over 50% had heard of recent fair housing violations in the news. REAL ESTATE PRACTICES The Miami Association of Realtors is the local organization of real estate brokers which encompasses both Miami -Dade and Broward County (including operating within the City of Miami) and includes more than 30,000 members (agents). It has an open membership policy and does not discriminate. Members are bound by the Code of Ethics and Standards of Practice of the National Association of Realtors (NAR). In order to become a Florida realtor, a 63-hour sales association pre-licensure course and subsequent exam are required. Following that, sales associates are required to complete a 45-hour post -license course within the licensee's first renewal cycle. After that, in order for realtors to maintain their licensing in the state, they must annually complete a 14-hour continuing education courses (every other year) which include fair housing education. Multiple options are provided to realtors as part of these CE courses related to affordable housing programs and fair housing requirements. NAR's Code of Ethics obligates its members to maintain professional standards including efforts to affirmatively further fair housing. Specifically, Article 10 of that Code elaborates on a relators' duties to the public which include: • Realtors° shall not deny equal professional services to any person for reasons of race, color, religion, sex, handicap, familial status, national origin, sexual orientation, or gender identity. Realtors° shall not be parties to any plan or agreement to discriminate against a person or persons on the basis of race, color, religion, sex, handicap, familial status, national origin, sexual orientation, or gender identity. (Amended 1/14) • Realtors®, in their real estate employment practices, shall not discriminate against any person or persons on the basis of race, color, religion, sex, handicap, familial status, national origin, sexual orientation, or gender identity. (Amended 1/14) DRAFT— 2015-2020 Analysis of Impediments to Fair Housing Choice 8 City of Miami The NAR enforces its Code of Ethics through a disciplinary commission consisting of NAR members. If a person believes that a realtor has violated one or more Articles of the Code of Ethics, they can file an ethics complaint alleging a violation(s) through the local association of realtors where the realtor holds membership. During the development of the AI, several communications were shared with administrators of the Miami Association of Realtors who reported that the organization is very conscious of Fair Housing Law and prohibited practices, such as steering. Members refer clients with sensitive questions on neighborhood features to sources of impartial data. While preparing for the updating of its AI, the City of Miami reached out to this organization for its input on any fair housing impediments they have identified in the City's real estate market. After discussions, it was agreed that the City would co -host a forum for those realtors interested in participating that would address fair housing concerns amidst other topics. An e-vite was issued to all realtors working the low- to middle market in the City of Miami by the Miami Realtors Association. The forum was held on Monday, November 24, 2014 at City Hall in Commission Chambers. Some 20 realtors attended and a meaningful dialogue was shared between DCED administrators and the realtors. All comments were noted and have been incorporated into this document and one particular impediment was identified based on these conversations and this public meeting. Laws — State and Local On a State level, Chapter 760 of Florida Statutes delineates that "it is against the law to discriminate in the sale, rental, financing, appraisal, or insuring of housing, in the provision of real estate brokerage service, or in the advertising of a dwelling on the basis of race, color, religion, sex, national origin, handicap or familial status (families with children under 18, pregnant women and people securing custody of children under 18). Steering and blockbusting are also illegal. In addition, it is against the law to fail to design and construct new multi -family housing in an accessible manner, or to refuse certain modifications or accommodations to persons with a mental or physical disability." The Florida Building Code, with a 2014 draft currently under public review, provides specific instructions on the legal requirements of making buildings accessible. Aside from this, the Florida Fair Housing Act, which parallels the Federal Fair Housing Act, declares it illegal to discriminate in the sale, rental, advertising, financing, or providing of brokerage services for housing. On a state level, discrimination complaints (including those related to fair housing) are filed with the Florida Commission on Human Relations, who are tasked with the investigation and resolution of discrimination complaints in the areas of: • Employment • Housing • Public Accommodations • Florida's Whistle -blower's Act The City of Miami does not have a fair housing ordinance in its Municipal Code, but looks and adheres to Miami -Dade County's Code to define unlawful housing practices. Miami -Dade County's civil and human rights ordinance, codified as Chapter 11A, (Article II, Sec. 11A-12) of the Miami - Dade County Code (as amended by the Miami -Dade County Commission in December 2014), specifies the classes protected from housing discrimination in Miami -Dade County (and as such, in DRAFT— 2015-2020 Analysis of Impediments to Fair Housing Choice 9 City of Miami the City of Miami). These are as follows: race, color, religion, ancestry, national origin, sex, pregnancy, age, disability, marital status, familial status, gender identity, gender expression, sexual orientation, or source of income. As an entitlement, the DCED already adhered to HUD's Equal Access Rule (NOTICE PIH 2O14-20 HA) as issued on August 20, 2014 which requires HUD's assisted and insured housing programs are open to all eligible individuals regardless of sexual orientation, gender identity or marital status. Also, the City adheres to the Violence Against Women Reauthorization Act of 2013 (VAWA 2013) While VAWA amendments in 2005 provided protections to eligible residents of public housing and residents of the Section 8 tenant -based and project -based programs, other HUD programs were not covered. VAWA 2013 expands protections to some other HUD programs. The programs newly covered by VAWA 2013 include HOPWA, HOME, Section 202, and McKinney-Vento Homeless Programs (Emergency Solutions Grant, Continuum of Care). The County unit responsible for adherence to the civil and human rights ordinance is the Office of Human Rights and Fair Employment Practices and its related Miami -Dade County Commission on Human Rights, a quasi-judicial advisory board of 18 volunteers, including attorneys. Residents of the County can file a complaint directly with this entity which has the legal rights to investigate it, mediate it, issue a probable cause finding, etc. The Commission also has under its purview fairness and equal opportunity in employment, public accommodations, credit and financing practices, family leave and domestic violence leave. We have reached out to this entity several times requesting data related to housing, but have received no response. DRAFT— 2015-2020 Analysis of Impediments to Fair Housing Choice 10 City of Miami JURISDICTIONAL BACKGROUND DATA CONTEXT FOR A FAIR HOUSING DISCUSSION Title VIII of the Civil Rights Act of 1968 (Fair Housing Act), as amended, prohibits discrimination in the sale, rental, and financing of dwellings, and in other housing -related transactions, based on race, color, national origin, religion, sex, familial status (including children under the age of 18 living with parents or legal custodians, pregnant women, and people securing custody of children under the age of 18), and handicap (disability). This section of the report provides a profile of the protected classes in the City of Miami and other related general information. SOCIAL TRENDS One aspect of assessing fair housing involves determining the representation of protected classes in the population and determining if any socio-economic disparities exist. Miami's residents are of an unusually diverse ethnic and racial background, with a large share of foreign born residents, among the poorest in the nation and an increasingly aging population of persons 65 and over. In the following sections, these and other social trends in the City of Miami will be reviewed, with most data pulled directly from the 2010 Census. Appendix 1 includes several maps providing visual representations of the distribution of the population throughout the City's limits. POPULATION GROWTH The entire state of Florida has seen significant population growth in the past decade. In December 2014, the Census released figures that indicate that Florida's population surpassed New York's, making it the nation's third largest state with an estimated population of 19.7 million persons. Miami -Dade County and the City of Miami have also seen significant growth and the 2010 Census showed early signs of a significant shift in the area's composition when compared to data from the 2000 Census, signaling what many predict will be steady population growth in the City during the next decade. According to the Census, 15% of the growth in Miami -Dade County between the 2000 and 2010 Censuses can be attributed to the City of Miami, whereas in prior decades the average population contribution from the City within the County was 4%. According to the latest population estimate from the Census' Population Estimates Program (PEP), the City's population (2014) sits at 408,750. It is difficult to anticipate if this population spike will continue and also to speculate if the demographic trends that emerged within the past decade — which are detailed further into this document —will continue or change. However, it bears mention that in terms of land area, Miami is one of the smallest major cities in the U.S., encompassing a total area of 55.27 square miles, with some 36 miles of land and the remainder being water. This means its reported population on just 36 miles makes it one of the most densely populated cities in the U.S., along with New York, San Francisco, Boston, Chicago and Philadelphia. It is important to address this congestion, because the DCED believes it relates directly to the recent massive wave of vertical development that has taken place in the City. DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 11 City of Miami Table 1 offers a comparison of the City's population in 2000 and 2010 amongst racial and ethnic populations. The data makes several things clear: (a) the City gained White, non - Hispanic population; (b) the City lost Black/African American population; (c) and, the City lost persons of two or more races (both Hispanic and non -Hispanic). In later sections, we will compare City statistics to the region (Miami -Dade County) and the State of Florida to understand if our area is unique. Table 1: RACE AND ETHNICITY, 2000 vs. 2010 Census City of Miami 2000 2010 Change 2000-2010 Number Percent Number Percent Number Percent Not Hispanic or Latino 124,119 34.2% 120,001 30.0% -4,118 -3.3% White 42,897 11.8% 47,622 11.9% 4,725 11.0% Black, African American 72,190 19.9% 64,993 16.3% -7,197 -10.0% Other Race 2,930 0.8% 4,744 1.2% 1,814 61.9% Two or More Races 6,102 1.7% 2,642 0.7% -3,460 -56.7% Hispanic or Latino 238,351 65.8% 279,456 70.0% 41,105 17.2% White 198,573 54.8% 242,298 60.7% 43,725 22.0% Black, African American 8,668 2.4% 11,887 3.0% 3,219 37.1% Other Race 20,030 5.5% 17,173 4.3% -2,857 -14.3% Two or More Races 11,080 3.1% 8,098 2.0% -2,982 -26.9% Total 362,470 100.0% 399,457 100.0% 36,987 10.2% White 241,470 66.6% 289,920 72.6% 48,450 20.1% Black, African American 80,858 22.3% 76,880 19.3% -3,978 -4.9% Other Race 22,960 6.3% 21,917 5.5% -1,043 -4.5% Two or More Races 17,182 4.7% 10,740 2.7% -6,442 -37.5% RACE & ETHNIC COMPOSITION The City of Miami's designation since the 1970s as a "majority minority" municipality adds a layer of complexity when analyzing data. Miami has a unique context for this discussion because it is among the nation's largest cities with a large share of non -white population. The growth in the minority population in the City of Miami is largely due to the increase in Hispanic and Latino populations. As such, the "majority minority" designation does not mean that Miami has become more racially diverse; rather it has become increasingly a city of immigrants from the Caribbean and Latin America. In 2010, the Census found that the growth of the Hispanic population continues and now comprises 70% of the city's population. This snapshot is not unique to our area. In fact, according to www.migrationpolicy.org, the U.S. Census Bureau's pooled 2008-2012 ACS indicates that Miami -Dade County's immigrant population is the second highest of any County in the nation with an approximate number of 1,286,200 persons. As noted by the non-profit, the term "immigrants" (or "foreign born") refers to people residing in the United States who were not U.S. citizens at birth. This population includes naturalized citizens, lawful permanent residents (LPRs), certain legal nonimmigrants (e.g., persons on student or work visas), those admitted under refugee or asylum status, and persons illegally residing in the United States. The State of Florida ranks DRAFT - 2015-2020 Analysis of Impediments to Fair Housing Choice 12 City of Miami fourth (of all U.S. states) in immigrant population with approximately 3.64 million persons total. The latter means that many of our residents come from countries where fair housing policies differ or don't exist at all. This lack of knowledge or awareness of fair housing rights creates an automatic impediment that other communities do not have to address. According to the most recent Census, the Hispanic population's growth over the past decade outpaced the growth rate of the city as a whole; the city's population grew by 10.2 percent, while the Hispanic population grew by 17.2 percent. Different from past decades, the White Non -Hispanic population also experienced growth, adding over 11,000 people to the city, to now make up 11.9 percent of the population. This is important because the only group to continue to lose population, when comparing the 2010 Census to the 2000 Census, is the Black community. In the last decade, Census figures indicate that the Black population in the City of Miami fell by almost 4,000 people to now make up 19.2 percent of the population. In addition to the changes described above, there is one other aspect to the racial and ethnic composition of the city that bears noting. Due to changes in the Census survey since 2000, race and ethnicity are two different categories. Since the Hispanic population in the City of Miami is significantly large and can additionally select a race in the census survey, the traditional racial categories become skewed. For example, the 2010 Census found that there is a White population of 289,920 (72.6%); however, 84 percent of that White population is Hispanic. To a much smaller degree, there is also a portion of the Black population that is Hispanic —approximately 15 percent. In Appendix 1, maps prepared by the City of Miami Planning Department illustrate the population distribution amongst major racial/ethnic groups in the City, based on the 2010 Census. The map shows that the Black population is clustered north of downtown Miami while the Hispanic population is concentrated in the Southern and Western areas of the City. Meanwhile, the white, non -Hispanic population seems to primarily be concentrated on the easternmost border of the City (near the water). This polarization — which has long existed — creates challenges for the City in furthering fair housing choice. Demographic patterns of income, race and ethnicity reveal great disparity and insular racial and ethnic enclaves. Table 2: Growth Rate by Race and Ethnicity, 2000 to 2010 RACE # Change % Change Total population 36,987 10.2% One race 43,429 12.6% White 48,450 20.1% Black or African American -3 978 -4.9% American Indian and Alaska Native 385 47.5% Asian 1,577 66.4% Native Hawaiian and Other Pacific Islander -45 -34.6% Some other race -2,960 -15.1% Two or more races -6 442 -37.5% HISPANIC OR LATINO Number Percent Total population 36,987 10.2% Hispanic or Latino (of any race) 41,105 17.2% DRAFT— 2015-2020 Analysis of Impediments to Fair Housing Choice 13 City of Miami Mexican 2,161 58.9% Puerto Rican 2,532 24.7% Cuban 13,538 10.9% Other Hispanic or Latino 22,874 22.7% Not Hispanic or Latino -4 118 -3.3% White alone 4,725 11.0% The bar graphs below take a closer look at the Hispanic and Black populations and their growth rates from 2000 to 2010, compared to the region and state. As noted, the City and County's growth rates in the Hispanic population from 2000 to 2010 are both outpaced by Florida's growth rate in this ethnic category, which saw a 57.4% as a state. Regionally, both the City (Miami) and County (Miami -Dade) lost Black population from the 2000 to 2010 Census, with Miami's drop much more significant. The State of Florida, however, saw solid growth in the Black population (25.9%). 70.0% 60.0% 50.0% 40.0% 30.0% 20.0% 10.0% 0.0% Hispanic or Latino Population by Region, 2000 to 2010 City of Miami Miami -Dade County State of Florida ■ 2010% of Population ■ Growth Rate 2000to 2010 30.0% 25.09% 20.09E 15.09E 10.09E 5.0% 0.0% -5.0% -10.09E Black, African American by Region, 2000to 2010 City of Miami -0.396 Miami -Dade County State of Florida ■ 2010 % of Population ■ Growth Rate 2000to 2010 DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 14 City of Miami Dissimilarity Dissimilarity (and/or the index of dissimilarity (aka segregation)) is a demographic measure of the evenness with which two groups are distributed across particular geographic areas that make up a larger area. The index score can also be interpreted as the percentage of one of the two groups included in the calculation that would have to move to different geographic areas in order to produce a distribution that matches that of the larger area. The index of dissimilarity can also be used as a measure of inequality. Avalue of 60 (or above) is considered very high. It means that 60% (or more) of the members of one group would need to move to a different tract in order for the two groups to be equally distributed. Values of 40 or 50 are usually considered moderate levels of segregation. For this particular topic, the City looked closely at Brown University's US 2010 research projecta, where it is noted that the Miami - Miami Beach —Kendall area scored a DI of 73, the 7th highest score amongst the top 50 metro areas in the U.S. with the largest Black populations in 2010. In 2010, the City of Miami's (jurisdiction alone) DI was 75.5. When further analyzing dissimilarity in Miami, the selected Index reveals that Black -White segregation in Miami has been consistently high since 1980 (first decade analyzed in the report*) and the value has oscillated around the mid-70s for over 30 years. The national average for metropolitan areas is in the range of 60-65. The U.S. national average of dissimilarity levels has been declining slowly but steadily, about 10 points in two decades, so it is unusual to see Miami's averages not follow suit and remain consistently higher than the norm. When analyzing White -Hispanic segregation, the number has also climbed 10 points in the past 30 years, from a 40.9 to 50.3 value. The current value is spot on with the national average of 50 for Hispanics which is considered a moderate level of segregation. The Hispanic - White DI in the City has also increased since 1980, and in the 2010 Census hit 50.3, which is considered a moderate level of segregation. Meanwhile, the DI in the Miami -Miami Beach - Kendall area for 2010 was much higher, 75.9 — making it the 5th of the 50 Metro Areas with the Largest Hispanic Populations in 2010. History indicates that "large southern cities provide examples of persistent segregation." 5 It has proven difficult for researchers to pinpoint why integration has seemingly slowed down across most of America. Some conjectures by researchers include: (1) a significant part of the white population that is unwilling to live in neighborhoods where minorities are close to the majority of the population (aka white flight); (2) possible self -segregation, such as particular choices immigrants may make about where they want to live based on areas where others of their ethnicity, national origin, and/or first language reside (the establishment of ethnic neighborhoods); (3) and affordability, and the often extremely disparate cost of housing in certain cities. 6 4 American Communities Project, Brown University, http://www.s4.brown.edu/us2010/seoregation2010/Default.aspx 5 John R. Logan and Brian Stults. 2011. "The Persistence of Segregation in the Metropolis: New Findings from the 2010 Census" Census Brief prepared for Project US2010. http://www.s4.brown.edu/us2010. 6 Segregation in America: Dragging on and on," Feb. 2011, http://www.npr.org/2011/02/18/133848837/segregation- in-america-dragging-on-and-on DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 15 City of Miami White-Blackf Black -White- White-Hispanief His pa n is-Wh ite- White-AsianfAsian-White- Black-HispanicIHispanic-Black- Black-Asian/Asian-Black - Hispanic-AsianfAsian-Hispanic- EDUCATION 20.2 9 55.1 59.3 4 5E.2 45.9 45 7 S 49.. 5.5 82.2 7Gg91 0 20 40 sa BD 100 Education is an area of great concern in the State of Florida and in Miami successful job placement, development, and resident retention. In the City of 30% of the population had less than a high school degree, much higher than both the County and State. The data indicates that 22.4% of the population h degree or higher with the majority of those persons being White or Asian. 1990 1990 2006 2065-29.ACS 2010 as it allows for Miami, close to the averages of ad a Bachelor's Table 3. Educational Attainment Miami Miami -Dade County Florida Less than High School 29.6% 21.4% 14.0% High School Degree or Higher 70.4% 78.6% 86.0% White 93.7% 93.7% 91.0% Black or African American 65.4% 75.3% 79.1% American Indian and Alaska Native - 68.7% 75.7% Asian 75.7% 86.0% 85.2% Hispanic or Latino 66.6% 75.1% 75.0% Associate's Degree (2-year) or Some College 18.2% 24.0% 29.8% Bachelor's Degree (4 year) or Higher 22.4% 26.1% 26.2% White 56.2% 47.8% 29.3% Black or African American 9.7% 14.3% 16.1% American Indian and Alaska Native - 16.6% 15.6% Asian 58.8% 50.6% 45.7% DRAFT - 2015-2020 Analysis of Impediments to Fair Housing Choice 16 City of Miami Hispanic or Latino 18.4% 22.9% 20.8% Graduate or Professional Degree 8.2% 9.6% 9.4% (Source: 2010-2012 ACS 3-year estimates). ISOLATION Isolation also merits a closer look. Defined as the percentage of a particular minority in neighborhoods where the average minority group member lives, the Miami -Miami Beach - Kendall area indicator is 56.6. In 1990, the level was 61.1. As reported by The Miami Herald in an article published in May 2014 ['], isolation is also widely found in the local school system operated by Miami -Dade County Public Schools, where an analysis showed that "close to half of Miami-Dade's roughly 460 traditional and charter schools now meet the bar the court once set to define 'isolated' — comprised of 85% of one racial group." The article further mentions that the diversity of many public schools is mostly defined by their surrounding neighborhoods which have also become increasingly isolated. white -White— Bleck-Black — Hispanic -Hispanic — Asian -Asian — T;4 -2:�:.- w. f` ' s f4.s 71.e.6 1980 8 — 1990 M 2060 812 M 2005-09 ACS gRs — 2010 20 40 60 S0 100 LINGUISTIC ISOLATION To understand linguistic isolation in Miami, we must first understand that the level of diversity in Miami is significantly higher than that seen across most other parts of the country. The Census estimates from 2007-2011 indicate that an astounding 58.4% of Miami's population is foreign born and 77.6% speak a language other than English at home (ages 5 and up). Meanwhile, the state of Florida's foreign -born population is drastically lower -- 19.2% -- and its population of persons speaking a language other than English at home is 27%. The national averages are even lower — and data indicates that approximately 20% to 21% of persons in the country speak a language other than English at home. Linguistic isolation is another thing all together. According to the Census, "a linguistically isolated household is one in which no person age 14 years or over speaks English at least "very well." That is no person age 14 or over speaks only English at home or speaks another David Smiley, May 19, 2014, `Re -segregation' trend: 60 years after ruling, dozens of Miami -Dade schools remain `isolated,' The Miami Herald. DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice City of Miami 17 language at home and speaks English "very well." It makes sense that in an area where many persons are foreign born, that levels of linguistic isolation will be higher. While the inability to speak English fluently is not itself a protected class, it is related to national origin and may affect an individual's ability to comprehend basic information pertaining to housing and housing opportunity if information is provided only in English. As indicated in the table below, ACS 2007-2009 estimates indicated that 35.4% of Miami's Spanish speaking population is linguistically isolated. Table 4: Household Language by Linguistic Isolation Miami, FL Household Language Total Households English only Spanish - -Linguistically Isolated - -Not linguistically isolated Other Indo-European languages - -Linguistically Isolated - -Not linguistically isolated Asian & Pacific Island languages - -Linguistically Isolated - -Not linguistically isolated Other languages - -Linguistically Isolated - -Not linguistically isolated Miami Share Households 162,726 38,224 23.5% 112,534 69.1% 57,525 35.4% 55,009 33.8% 10,170 6.2% 3,789 2.3% 6,381 3.9% 945 1.6% 352 0.2% 593 0.4% 853 0.5% 124 0.1% 729 0.4% Source: US Census Bureau, American Community Survey 2007-2009, 3-year estimate (B16002) LIMITED ENGLISH PROFICIENCY (LEP) PERSONS Persons who do not speak English as their primary language and who have a limited ability to read, write, speak, or understand English can be Limited English Proficient, or "LEP." To be clear, the Census Bureau does not define the limited English proficiency or non -limited English proficient populations. The Census Bureau reports data based on the four categories of English speaking ability - very well, well, not well and not at all. As indicated below, the Census indicates that 35.5% of the households in the City of Miami meet the criteria they define as "being a household where no one age 14 and over speaks English only or speaks English "very well"," with the bulk of that consisting of Spanish speaking households (47.4%), followed by other Indo-European languages (32.8%). Because as already explained, Miami is comprised of many immigrants and we are a "minority majority" City, the DCED followed HUD's recommendation and conducted a preliminary LEP assessment in accordance to the final guidance issued to Federal Financial Assistance Recipients Regarding Title VI Prohibition Against National Origin Discrimination Affecting Limited English Proficient Persons, Fed. Register, Vol. 72, No. 13, Jan. 22, 2007. That assessment utilizes the four factor method: (1) The number or proportion of LEP persons eligible to be served or likely to be encountered by the program or grantee; (2) the frequency with which LEP persons come in contact with the program; (3) the nature and importance of the program, activity, or service provided by the program to people's lives; (4) and the DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 18 City of Miami resources available to the grantee/recipient and costs. Based on our City's population, the DCED concluded that the different, existent (already in place) language assistance measures are sufficient for the different types of programs or activities in which the DCED engages. More specifically, all tenant -based rental assistance programs (Section 8 HCV, Section 8 moderate rehabilitation and HOPWA Long-term Rental Assistance (LTRA)) have all materials translated to Spanish and Creole. The City also makes every attempt to translate Housing materials for the public to both Spanish and Creole, as well. The DCED's automated program phone line provides up-to-date information in both English and Spanish, and a dial in option for Creole speakers. RACIALLY AND ETHNCIALLY CONCENTRATED AREAS OF POVERTY (RCAP/ECAP) The U.S. Department of Housing and Urban Development (HUD) defines a Racially Concentrated Area of Poverty (RCAP) as an area with one or more census tracts that contain the following characteristics: (1) a family poverty rate greater than or equal to 40 percent, or a family poverty rate greater than or equal to 300 percent of the metro region's tract average, whichever is lower; and (2) a non -white population that is greater than 50 percent (i.e., 51 percent or higher). Please note, because Miami is a minority -majority City where the bulk of our population is Hispanic, we DO NOT include census tracts where over 50% of the tract is Hispanic. Nine tracts in the City qualified as an RCAP based on data pulled from the 2010 Census: 14.02, 15.01, 15.02, 18.01, 20.03, 26.00, 34.00, 36.01, and 53.02. POVERTY Although poverty is not a protected class, it does fundamentally affect a person's/family's ability to rent or purchase a home and to become economically mobile. To that end, an analysis of poverty levels in the City of Miami bears mention. The U.S. Census Bureau, 2009- 2013 5-Year ACS estimates that 29.9% of Miami's population is below the poverty level, that's close to one-third of its residents. The national average is close to half of that -- 15.4%, while in Florida 16.3% of the total population is below the poverty level. As noted in table 6 below, nearly half of the population in the City determined to be below the poverty level is Black (46%). Hispanics (of any race) comprise approximately 28.5% of those persons in poverty. Table 6: POVERTY STATUS IN THE PAST Percent 12 MONTHS (INDIVIDUALS) below 2009-2013 ACS 5-YEAR ESTIMATES Poverty Level Total Population for who poverty status is determined Race and Hispanic or Latino Origin One race White Black or African American American Indian and Alaska Native Asian 29.9% 30.1% 26.0% 46.3% 28.3% 15.3% DRAFT— 2015-2020 Analysis of Impediments to Fair Housing Choice 19 City of Miami Native Hawaiian and Other Pacific Islander Some other race Two or more races Hispanic or Latino (of any race) White alone, not Hispanic or Latino 0.0% 31.1% 17.8% 28.5% 13.8% The table below provides data related to the family composition of those s living below poverty according to the 2009-2013 ACS 5-Year Estimate. As expected and as is most prevalent, poverty is most seen amongst female headed households with children under 18 years of age. Table 7: POVERTY STATUS IN THE PAST Percent 12 MONTHS (ALL FAMILIES) below 2009-2013 ACS 5-YEAR ESTIMATES Poverty Level All Families With related children under 18 years Married -couple families With related children under 18 years Families with female householder, no husband present With related children under 18 years 24.9% 36.9% 16.9% 22.7% 39.9% 54.2% Besides this, as noted in the Family Assets Count, a study issued in December 2014 by the Corporation for Enterprise Development (CFED) in partnership with City Community Development, 67% (roughly two-thirds) of Miami's residents are liquid asset poor. The latter means that there is no padding in the household budget and that the family is living from paycheck to paycheck. This also means that these households are unable to save for the future, as explained in the study, "the inability to bounce back from financial pitfalls not only hurts Miami families, it stifles the city's long-term economic growth."' City leaders and the City's five commissioners are aware of the City's poverty levels and have engaged in multiple public discussions on how to address the matter. In September 2014, the Commission set aside $1.25 million towards anti -poverty efforts for the following fiscal year. In early 2015 they approved a plan to allocate this earmarked anti -poverty money amongst the city's five districts, proportionate to the percentage of poverty levels based on the five- year poverty rate as determined by ACS data, thereby addressing need more directly. Concurrently, the city manager's office researched programs where money could be allocated including job training programs. 8 www.familvassetscount.orq DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice City of Miami 20 Outside of this effort, Miami continues to operate its much lauded ACCESS Miami program, Developed just over a decade ago out of what had been the then -Mayor's Anti -Poverty Initiative, City leaders united multiple poverty initiatives that had been successful or were showing potential, and combined these into one cohesive yet flexible program that could be tailored to respond to the demands of Miami's unique community where language and cultural differences abound. Known as ACCESS (Assets, Capital, Community, Education, Savings and Success) Miami, the program is a comprehensive, cost effective poverty reduction strategy aimed at increasing residents' access to the financial tools and education that are fundamental to economic prosperity and success. In order to meet these goals, ACCESS Miami runs several different programs. They are grouped around the program's four cornerstones:(1) Access to benefits: (a)tax preparation assistance (EITC campaign) at several locations; (b)The Benefit Bank;(c) Access Miami Jobs web site, www.miamigov.com/accessmiamijobs; (2)Access to Capital for Small Businesses: (a)Micro- lending in cooperation with the local Small Business Administration office; (b) Buy Miami marketing effort, www.miamigov.com/buymiami; (c) Minority Business Development Agency (MBDA) Business Center in cooperation with the U.S. Department of Commerce, www.mbda.gov/businesscenters/miami, which provides strategic business consulting services to minority -owned firms resulting in the creation and retention of jobs; (3) Accumulating Wealth & Assets: (a) Matched Savings Fund; (4) Improving Financial Literacy: (a) Access to Financial Education (free trainings for the public); (b) Pastoral Roundtable meetings (hosted quarterly in order to disseminate information to the public in the inner city); (c) Financial Coaching. INCOME INEQUALITY The latest U.S. Census Bureau data indicates that overall, big cities remain more unequal places by income than the rest of the country. As detailed in a recent Brookings Institute study where big cities' 95/20 ratios were analyzed, Miami was the City with the third highest 95/20 ratio — topped only by Atlanta, GA and San Francisco, CA. The 95/20 ratio is defined as the income at which a household earns more than 95 percent of all other households, divided by the income at which a household earns more than only 20 percent of all other households. The average 95/20 ratio for the country as a whole is 9.1, while Miami's clocked in at 15.7 based on an analysis by the Brookings Institute of 2012 American Community Survey (ACS) data. Cities with high income inequality "may struggle to maintain mixed -income school environments that produce better outcomes for low-income kids. It may have too narrow a tax base from which to sustainably raise revenues necessary for essential city services. And it may fail to produce housing and neighborhoods accessible to middle-class workers and families, so that those who move up or down the income ladder ultimately have no choice but to move out."9 The Brookings study went on to indicate that Miami's ratio is high primarily because its poor households have such low incomes -- a household in the bottom 20th income percentile earned approximately $10,400 a year in 2012. 9 All Cities are Not Created Unequal, Berube, Feb. 20, 2014 DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice City of Miami 21 0.0% Less than $10,000 $10,000 to $14,999 $15,000 to $24,999 $25,000 to $34,999 $35,000 to $49,999 $50,000 to $74,999 $75,000 to $99,999 $100,000 to $149,999 $150,000 to $199,999 $200,000 or more AGE 0116 5.0% 10.0% 15.0% 20.0% 25.0% 30.0% Income by Household City of Miami, 2000 & 2007-2011 Source: U.S. Census Bureau, 2000 Census & 2007-2011 ACS ■ 2000 Census ■ 2007-2011 ACS Of large cities of 100,000 persons or more, the City of Miami ranks as the 10th place10 in relation to the number of residents aged 65 and over, with the total amounting to 63,987 (16%) of the total City population. This percentage is high, but is in keeping with the age 65+ population across the state of Florida -- where an estimated 3.25 million persons aged 65 and older live (17.3% of the total population), giving the state the second highest number of persons in this age group of any of the states. This is worth noting because elderly populations are often limited as to public transportation options, tend to require more health -related services and potential in -home care or supportive housing. Furthermore, many elderly persons who are retired are on fixed incomes and may have a diminished ability to afford housing and a greater tendency to be in low-income categories. According to U.S. Census Bureau, 2007-2011 American Community Survey 5-Year Estimates, Selected Economic Characteristics (ACS), 32.4% of individuals age 65 and over in the City have income in the past 12 months that is below the poverty level. When looking specifically at the number of City residents who are aged 62 years and older group, the percentage hikes up to 18.9% of the population (75,474 people) in the City of Miami. While the City's higher age groups tend to climb in numbers, its younger age groups have not. In fact, persons aged 5 to 9, 10 to 14, and 15 to 19 years of age all dropped in the general population from 2000 to 2010. Table 8: Growth Rate by Age in Miami, 2000 to 2010 Subject # Change Change Total population 36,987 10.2% Under 5 years 2,660 12.5% 10 Note: places of 100,000 or more total population. Source: U.S. Census Bureau, 2010 Census Summary File 1 DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice City of Miami 22 5 to 9 years -2,890 -13.2% 10 to 14 years -3,818 -17.2% 15 to 19 years -1,259 -5.6% 20 to 24 years 5,605 24.3% 25 to 34 years 11,560 21.3% 35 to 44 years 3,787 6.8% 45 to 54 years 11,780 26.6% 55 to 59 years 5,244 29.2% 60 to 64 years 2,099 11.8% 65 to 74 years -158 -0.5% 75 to 84 years 1,607 7.6% 85 years and up 770 9.2% 18 years and up 42,338 14.9% 21 years and up 41,816 15.5% 62 years and up 3,292 4.6% 65 years and up 2,219 3.6% FAMILIAL STATUS According to the Fair Housing Act, unless a building or community qualifies as housing for older persons, it may not discriminate based on familial status. Familial status is defined as families with children under the age of 18 living with parents or legal custodians, pregnant women, and people securing custody of children under the age of 18. The decade between the two census in 2000 and 2010 represents a shift in the type of households in the City of Miami. The City lost family households. It is worthy to note that the family households did grow over the past ten years, but only modestly. On the other hand, non -family households grew at an impressive 34.1 percent during the same time period. In particular, the greatest gains in non -family households were among those living alone. Along this same vein, the only household type that lost population were families of married couples with children. This information is confirmed by the age table that illustrated how the number of children has fallen within the City of Miami. When compared to the region, the loss of this household type was most pronounced in the City. DRAFT— 2015-2020 Analysis of Impediments to Fair Housing Choice 23 City of Miami 200 0 201 0 Type of Households in the City of Miami, 2000 and 0% 20% 40% 60% 80% 100% ■ Family households ■ Nonfamily households Source: U.S. Census Bureau, 2000 & 2010 Census, Summary File 1 Table 9: Growth Rate by Household Type 2000 to 2010 2010 2000 Percent Change HOUSEHOLDS BY TYPE Number Percent Number Percent Number Percent Total households 158,317 100 134,198 100 24,119 18.0% Family households (families) 90,032 56.9 83,281 62.1 6,751 8.1% With own children under 18 years 35,903 22.7 35,277 26.3 626 1.8% Husband -wife family (2010)/Married-couple family (2000) 49,610 31.3 49,139 36.6 471 1.0% With own children under 18 years 18,515 11.7 19,741 14.7 -1,226 -6.2% Female householder, no husband present 28,633 18.1 25,029 18.7 3,604 14.4% With own children under 18 years 13,213 8.3 12,357 9.2 856 6.9% Nonfamily households 68,285 43.1 50,917 37.9 17,368 34.1% Householder living alone 52,644 33.3 40,834 30.4 11,810 28.9% Householder 65 years and over 17,812 33.2 16,723 12.5 1,089 6.5% Households with individuals under 18 years 43,304 27.4 42,360 31.6 944 2.2% Households with individuals 65 years and over 47,428 30 44,729 33.3 2,699 6.0% Average household size 2.47 (X) 2.61 (X) (X) (X) Average family size 3.15 (X) 3.25 (X) (X) (X) Compared to the region, the married couple household is exceptionally low in the City of Miami. The low growth rate (1.0%) in this household type between 2000 and 2010 signals that this trend will most probably remain steady. It is also interesting to note that the percent of single women households trends higher in the City than in both the County and the State. DRAFT - 2015-2020 Analysis of Impediments to Fair Housing Choice City of Miami 24 Table 10: Household Type by Region, 2010 City of Miami Miami -Dade County Florida Family households (families) 90,032 100.00% 602,911 100.0% 4,835,475 100.0% Husband -wife family (2010)/ Married -couple family (2000) 49,610 55.1% 380,241 63.1% 3,457,149 71.50% Female householder, no husband present 28,633 31.8% 162,937 27.0% 1,005,042 20.80% PERSONS WITH DISABILITIES The Fair Housing Act provides additional protection to those individuals that have a physical or mental disability (including hearing, mobility and visual impairments, chronic alcoholism, chronic mental illness, AIDS, AIDS Related Complex and mental retardation) that substantially limits one or more major life activities. The Fair Housing Act has three broad purposes in relation to people with disabilities: to end segregation of the housing available to people who have disabilities; to give people with disabilities greater opportunity to choose where they want to live; and to assure that reasonable accommodations be made to the individual needs of people with disabilities in securing and using housing. Sadly, there has been little research done on the disabled population in South Florida and/or Miami so it is difficult to truly identify housing need for this population and we further address this within this document. As indicated in the 2009-2011 American Community Survey (ACS) 3-Year Estimate, of the estimated 51,384 persons in the City of Miami who have a disability (13% of the total population), 40.6% are 65 years and over, 9.3% are aged 18 to 64, and 3.8% are ages 5 to 17. In the 65+ age group, the bulk of persons have ambulatory (28.6%) and independent (23.3%) living difficulty. Table 11: Disability Characteristics 2009-2011 ACS 3-Year Estimate* Miami, Florida Subject Total With a disability Percent with a disability Total civilian non -institutionalized population 394,466 51,384 13.0% Population under 5 years 24,150 0 0 Population 5 to 17 years 49,822 1916 3.8% With a hearing difficulty 239 0.5% With a vision difficulty 208 0.4% With a cognitive difficulty 1390 2.8% With an ambulatory difficulty 198 0.4% With a self -care difficulty 355 0.7% Population 18 to 64 years 257,389 23841 9.3% With a hearing difficulty 2952 1.1% With a vision difficulty 3798 1.5% With a cognitive difficulty 11460 4.5% With an ambulatory difficulty 12475 4.8% With a self -care difficulty 4200 1.6% With an independent living difficulty 9692 3.8% Population 65 years and over 63,105 25627 40.6% DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 25 City of Miami With a hearing difficulty 6290 10.0% With a vision difficulty 5437 8.6% With a cognitive difficulty 10551 16.7% With an ambulatory difficulty 18029 28.6% With a self -care difficulty 9162 14.5% With an independent living difficulty 14621 23.2% * Note: Individuals may have multiple difficulties Under Section 504 of the Rehabilitation Act, new federally funded multi -family housing projects (including public housing projects) shall be designed and constructed to be readily accessible to and usable by individuals with handicaps. A minimum of five percent (5%) of the total dwelling units or at least one unit in a multi -family housing project, whichever is greater, shall be made accessible for persons with mobility impairments. An additional two percent (2%) of the units (but not less than one unit) in such a project shall be accessible for persons with hearing or vision impairments (24 C.F.R. § 8.22.) This applies to multi -family housing projects (containing five or more dwelling units (24 C.F.R. § 8.3.) that are designed, constructed, or altered after July 11, 1988. As to local requirements, the Florida Department of Business and Professional Regulation indicates on its website that Florida is one of only five states whose accessibility codes have been certified by the federal Department of Justice as being in compliance with the Americans with Disabilities Act. The Florida Accessibility Code for Building is available on-line. Building owners may apply to the Florida Building Commission for waivers from the code if faced with extreme or unnecessary hardship in meeting the code requirements, and/or in the event their building qualifies as historical. The 2012 Florida Accessibility Code for Building Construction was adopted (Florida Statutes, Section 553.503) for consistency with the 2010 ADA standards for accessible design. It is 206 pages long. Because of the complexities of balancing the rights of the physically disabled and the technically specific requirements of the built environment, no single agency has been charged with enforcement of all issues pertaining to accessibility. In relation to the Florida Building Code's Accessibility Requirements, local governments and their code enforcement agencies are responsible for the enforcement of the requirements. Besides this, the City of Miami does have a designated ADA liaison who receives disability discrimination or accommodation grievance forms from the public in relation to accessing City programs, services or activities. After conferring with this liaison, she indicated that she received three formal complaints in 2014 related to parks, streets, sidewalks and the City's trolley service. There were no complaints related to housing. Please note that the City is not a landlord and operates no housing and so housing -related matters concerning "reasonable accommodations," are most frequently handled within the landlord -tenant relationship. The City does receive a handful of reasonable accommodation requests from its Section 8 moderate rehabilitation clients, who are based at specific buildings within the City. A chart below indicates a quick recap of those requests during the last several calendar years and their basis, in each case. The bulk of the cases are tied to the client's physical limitations, and a request to be transferred to a first -floor unit. Most of the Section 8 moderate rehabilitation contracts are in smaller/mid-size two-story buildings with no elevator. Aside from this, most of the City's Section 8 moderate rehabilitation clients are elderly, and it is not uncommon to find seniors that suffer from some type of physical ailment. DRAFT— 2015-2020 Analysis of Impediments to Fair Housing Choice 26 City of Miami Table 12: City of Miami Section 8 Mod rehab Reasonable Accommodation Requests (Mod - Rehab) Year Total Requests Request Mental Health Physical Disability (lst Floor) Allergies/Interi or Change to Unit 2011 4 3 1 2012 1 1 2013 4 1 3 2014 5 2 3 In June 2014, the Board of Miami -Dade County Commissioners approved an ordinance establishing disabled housing set aside incentives for County funded rental housing projects and homeownership projects, creating Chapter 17, Article XI of the Miami -Dade County Code. The Code addresses how "as part of any competitive process for the acquisition, constructions or rehabilitation of Rental Housing Projects of Homeownership projects, the County Mayor . .. shall provide additional incentives, including but not limited to awarding extra points to those developers and applicants who prosed up to five percent (5%) additional set aside units for the Disabled Households beyond that which may be required by applicable, federal, state or local fair housing laws or other applicable laws." In the County Code, a disabled household means any moderate, low, very low (as defined by Florida Statutes) or extremely low income households (as defined in 17-131 of the Miami -Dade County Code) that has one or more persons who (a) have a physical impairment or mental impairment that substantially limits one or more major life activities (b) have a record of such impairment; or (c) are regarded as having such an impairment in accordance with the Federal Fair Housing Act, State of Florida Fair Housing Act, and Chapter 11A of the Code of Miami -Dade County. COMMUNITY RESIDENCES (AKA COMMUNITY/GROUP HOMES) The Fair Housing Act makes it unlawful to utilize land use policies or actions that treat groups of persons with disabilities less favorably than groups of non -disabled persons. An example would be an ordinance prohibiting housing for persons with disabilities or a specific type of disability, such as mental illness, from locating in a particular area, while allowing other groups of unrelated individuals to live together in that area. In the Olmstead Supreme Court decision, Olmstead v. L.C., 527 U.S. 581 (1999), the Court ruled that "states are required to place persons with mental disabilities in community settings rather than in institutions when the State's treatment professionals have determined that community placement is appropriate, the transfer from institutional care to a less restrictive setting is not opposed by the affected individual, and the placement can be reasonably accommodated, taking into account the resources available to the State and the needs of others with mental disabilities." Two primary purposes of a group home —especially those for the disabled -- are community integration and providing a non -institutional experience in accordance with the Olmstead Supreme Court decision. By holding group residences to the DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 27 City of Miami same standards applied to other residential uses occupied by a family, housing choice for the disabled is not hindered. In accordance to State Law (Statute 419), Miami 21 (the City's master zoning code) specifies that Community Residences are allowed by right in the same areas (T3, T4, T5, T6) that allow single-family residences, but must satisfy State (Florida) established distance requirements, based on the number of persons (residents) living in the residence. The City of Miami Zoning Code (Miami21) defines these community residences as: (a) A Dwelling Unit of six or fewer residents that meet the definition in section 419.001, Florida Statutes for a "community residential home" of such size; or (b) A Dwelling Unit licensed to serve clients of the State Department of Children and Families, which provides a living environment for seven to fourteen unrelated residents who operate as the functional equivalent of family, including such supervision and care by supportive staff as may be necessary to meet the physical, emotional and social needs of the residents, as defined in section 419.001, Florida Statutes; or (c) An adult family - care home as defined in section 429.65, Florida Statutes, which provides a full-time, family -type living arrangement, in a private home, under which a person who owns or rents the home provides room, board, and personal care on a 24-hour basis, for no more than five disabled adults or frail elders who are not relatives. A "resident", for the purpose of a Community Residence, may include any persons as defined in the following statutes: • A disabled adult or frail elder as defined in section 429.65 (8) and (9), Florida Statutes • A physically disabled or handicapped person as defined in section 760.22(7), Florida Statutes • A developmentally disabled person as defined in section 393.063(9), Florida Statutes • A non -dangerous mentally ill person as defined in section 394.455(18), Florida Statutes; or • A child as defined in section 39.01(12), Florida Statutes Pursuant to FL Statutes Ch. 429.02(5), an assisted living facility means any building or building's section or distinct part of a building, private home, boarding home, home for the aged, or other residential facility, for a period exceeding 24 hours to one or more adults who are not relatives of the owner. The Agency for Persons with Disabilities (APD), which issues state licenses for group homes, serves people with the following disabilities: autism, cerebral palsy, spina bifida, intellectual disabilities, down syndrome, Prader-Willi syndrome, and children ages 3-5 who are at a high risk of a developmental disability. A Zoning verification approval is required in order to confirm State established distance requirements are being satisfied. The State Statutes indicates that, "a home that is located within a radius of 1,200 feet of another existing community residential home in a multifamily zone shall be an overconcentration of such homes that substantially alters the nature and character of the area. A home that is located within a radius of 500 feet of an area of single- family zoning substantially alters the nature and character of the area." All such facilities shall be required to provide a signed and sealed survey to the City's Office of Zoning which demonstrates that the distance limitations required pursuant to state statutes are met. To the extent applicable by state law and pursuant to Article 6.2 of Miami21, the location of a facility may be denied if it results in an over concentration of Community Residences in DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 28 City of Miami proximity to the site selected such that the nature and character of the Neighborhood would be substantially altered. The Department of Planning and Zoning works with the State's Agency for Health Care Administration (AHCA), which monitors community homes, and with Agency for Persons with Disabilities (APD), which monitors group homes. The State's Division of Health Quality Assurance licenses, and/or certifies, and regulates 40 different types of health care providers, including hospitals, nursing homes, assisted living facilities, and home health agencies. In 2013, the City Commission updated its Code via Ordinance 13393 (Ch. 62, Article 15, Sec. 62- 650) to further formalize a procedure for the establishment and regulation of Group Homes of seven to 14 persons, pursuant to Florida Statutes 419 and 429, as amended. The City's Planning and Zoning Department maintains an updated database of all Group Homes and Assisted Living Facilities within its boundaries that is updated monthly to reflect the latest information from all participating state agencies (AHCA, APD). Via GIS capabilities, the Planning & Zoning Department performs internal distance separation requirements to analyze and monitor location, number of beds, state license expiration dates, and certificates of use issued (when applicable) for ALFs and group homes. The City Commission adopted Resolution 15-0155 on March 2015 urging Florida Governor Rick Scott and the members of the Florida Legislature to adopt legislation preventing individuals diverted from the criminal justice system from entering assisted living facilities or community residential homes located in predominantly low -density, single-family and duplex neighborhoods. As of April 2015, the City had 174 community residential homes (ALFs and group homes) within its geographic limits with sites in all of the City's five districts. Approximately 40% of these homes were in District 4 of the City of Miami. Also, the bulk of these homes are defined as Assisted Living Facilities (count: 156); the remaining (count: 18) are group homes. PERSONS WITH HIV/AIDS The City of Miami serves as the administrator of the formula grant -funded Housing Opportunities for Persons with AIDS (HOPWA) program for the entire geographical area of Miami -Dade County. The Miami -Dade County metropolitan area has the fourth highest number of living AIDS cases in the country (the top ranked in order of highest number of cases are the metropolitan areas of New York City, Los Angeles, and Washington, D.C.). HIV/AIDS disproportionately affects minority populations in Miami -Dade County, as is the case nationally. The goal and intent of the local HOPWA Program is to ensure that a continuum of housing options and related housing services is available to low income persons with acquired immunodeficiency syndrome (AIDS) or related diseases (HIV) and their families to prevent homelessness of such individuals and their families. The City provides Long Term Rental Assistance (LTRA) to approximately 1,000 clients who have AIDS and are 80% area median income (AMI) or below. The HOPWA LTRA and project -based application and waitlist process is managed via one advertised application period, followed by a final waitlist established via a random computerized lottery. At time of application submission, prospective participants must submit a Client Medical Eligibility Form (Form H40), completed and signed by their physician, certifying that the applicant has received an AIDS diagnosis. Said form is part of the DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 29 City of Miami application packet. The opening of the waitlist is marketed through the county -wide HIV/AIDS care network to reach persons with AIDS, including but not limited to, Ryan White Case agencies, public hospitals and clinics. The City uses HOPWA monies to provide operational subsidies for24 set -aside, project based units for people living with AIDS (PLWAs) at three different developments throughout Miami - Dade County. The City makes every effort to support project based units at sites throughout the County to provide location options to HOPWA clients as a cost-effective permanent housing alternative. The City also offers Short -Term Rental and Mortgage Utility Assistance (STRMU) of no more than 21 weeks to approximately 100 persons each year who are HIV+, who are 80% AMI or below, and who are not participants in the LTRA program. This program is administered by a sub -recipient (non-profit) selected via an advertised, Request for Proposals process and STRMU applicants are processed on a first -come, first -eligible basis, requiring an HIV+ diagnosis by a licensed medical professional. Upon entrance into the HOPWA LTRA program, all clients are provided with the LTRA Client Handbook which provides the most important information concerning the HOPWA LTRA program, its requirements and potential violations. All clients must sign the last page indicating their review of the Handbook, which they keep for reference. Attachment B of the handbook includes a concise review on the federal Fair Housing Act and the local Miami -Dade County ordinance and all gender. The three -page Attachment also advises the HOPWA LTRA client of steps to follow in the event they feel their fair housing rights have been violated and notes the multiple locations where they can report the alleged fair housing violation for review by a proper authority. The November 2014 Monthly HIV/AIDS Surveillance Report issued by the Florida Department of Health in Miami -Dade County noted that there were a cumulative (since the year 2000) number of 35,274 reported AIDS cases in Miami -Dade County (excluding persons in the Department of Corrections (DOC)). Approximately 35% of the cases were Hispanic (all races); 50.4% of the cases were Black and 13% were White. A total of 14,638 cumulative (since the year 2000) HIV (not AIDS) cases were noted in the same report, again excluding DOC cases. Approximately 42.7% were Hispanic (all races), 42.6% were Black, and 13.3% were White. As required by federal law and state law, a person's HIV/AIDS status is exempt from all public record inquiries. To that end, all public materials (leases, payments, landlord packages) associated with the City's HOPWA LTRA and/or STRMU programs make no mention of the client's medical diagnosis of AIDS or HIV (respectively). Because of this, the City has had few issues and no reported cases of discrimination by landlords of its tenants due to their AIDS status. The City of Miami HOPWA Program Policies and Procedures Manual (Manual) provides guidance on tenant/client and landlord rights and responsibilities in relation to Fair Housing. Chapter XV of the Manual is entitled Equal Opportunity and Reasonable Accommodation and elaborates on federal and local laws related to this subject. The Manual defines disability as follows: Having one or more of the following: i. A physical or mental impairment that substantially limits one or more of the major life activities of an individual; DRAFT— 2015-2020 Analysis of Impediments to Fair Housing Choice 30 City of Miami ii. A record of such an impairment; iii. Being regarded as having such an impairment; To clarify the reference above to a physical or mental impairment that "substantially limits" a person in one or more of the "major life activities," this means that the physical or mental impairment causes substantial difficulty in a person's ability to: ■ See, hear, speak, or breathe ■ Learn, think, or read ■ Work, walk, or perform manual tasks ■ Care for himself or herself ■ Engage in some other "major life activity." As per the HOPWA Manual Chapter XV-5, three requirements must be met in order for a HOPWA client to be granted a reasonable accommodation and these are as follows — a. the subject of the request is a qualified "individual with a disability," as defined above; b. the requested accommodation is necessary, because of the disability, to provide an equal opportunity to use and enjoy the housing. To show that a requested accommodation may be necessary, there must be an identifiable relationship, or nexus, between the requested accommodation and the individual's disability (see Joint Statement of the Department of Housing and Urban Development and the Department of Justice on Reasonable Accommodations under the Fair Housing Act, May 14, 2004); c. and, the requested accommodation is reasonable. In 2014, the Miami -Dade County HIV/AIDS Housing Survey & Needs Assessment was carried out between the months of March and May 2014 for the purpose of determining the housing needs and preferences of persons living with HIV/AIDS in the Miami -Dade EMSA in order to establish a housing profile of this population and to assist the City in its strategic planning and resource allocation process in consultation with the Housing Committee and the Miami -Dade County HIV/AIDS Partnership, In total, 243 surveys were collected and analyzed at different HIV/AIDS care provider sites. The survey found that there is a need amongst PLWAs for 10,039 subsidized rental units or rent subsidies. Close to 84% of the respondents reported that they were NOT receiving housing assistance of any kind, compared to 59% of respondents in the 2012 survey. When asked if they were on a waiting list for housing assistance, 90% of respondents answered no, compared to 71% in the 2012 survey. The survey also found that the average income of respondents was $943 a month. As noted in the assessment, "The average rent of those without assistance is $673.13. Using this rent amount, persons with incomes of $1000 would be spending 67.4% of their income on rent. Of those surveyed, 60.2% have incomes less than $1000." To recap, below is important crucial data gathered through the 2014 survey of Persons Living With AIDS (PLWA) and Persons Living with HIV (PLWH) for purposes of this Al — ■ There was a significant increase in respondents expressing difficulty locating accessible units - 17.1% reported that it is not easy to find such housing as there are only some accessible apartments available and 22.5% stated that is almost impossible as there are very few accessible units; ■ There was a significant drop in respondents who reported experiencing housing discrimination. Close to 13% of respondents reported having experienced discrimination compared to 20% in 2012. The top four responses for the basis of the DRAFT— 2015-2020 Analysis of Impediments to Fair Housing Choice 31 City of Miami discrimination were HIV status (25%), alcohol or drug use, other (credit or income), and physical disability. HOUSING In the last few years, the City of Miami's urban core has undergone a transformation that was by most accounts, unexpected. When the last Al was drafted, the City had suffered the dire after effects of the collapse of the real estate market and U.S. economy in 2008, which triggered what was one of the largest foreclosure rates in the nation and dotted many City neighborhoods with vacant, abandoned properties leading to significant property devaluations. A significant uptick in multi -family building permits took place sometime in 2012 hinting at what ultimately has become a solid real estate rebound for the City of Miami. However, because Miami's real estate market is heavily influenced by foreigners and out-of- state residents who purchase investment, seasonal, and or second-, third- homes here, our real estate market is nothing but unique, and a closer analysis of the new housing stock is of importance. To begin with, Florida has no state income tax, which coupled with mild winters, has long been an attractive enticement for seasonal residents, snowbirds and persons/families seeking vacation homes. It is also important to note that just because additional housing is being built, this does not mean that the volume has made housing more accessible and/or affordable to Miami's permanent residents, who both live and work here. For the first time, the majority of the properties in the City of Miami are made up of structures of 20 or more units. According to the 2007-2011 ACS, 36.5% of the City's housing structures now feature 20 or more units. This is a significant departure from the 2000 Census, where the majority of the City's structures (30.6%) were one -unit, detached single-family homes. Based on recent permit data, this multi -family trend seems to continue, Table 13 shows the amount of building permits issued in the City of Miami from 2011 through 2014 as noted on the State of the Cities Data Systems (SOCDS) Building Permits Database (www.huduser.org), based on unit type. As noted in the table, the bulk of the permits during the past three years have been issued in the All Multi family category with the peak happening in 2013 (4371) and a slight leveling off in 2014 (3507). Table 13: Housing Unit Building Permits for Miami, FL (preliminary data) from the SOCDS building permits database Unit 2011 2012 2013 2014 In Single family Structures 21 40 115 65 In All Multi -family structure 266 911 4371 3507 In 2-unit Multi -family structures 30 14 58 68 In 3- and 4-unit Multi- family structures 4 0 8 0 In 5+ Unit Multi -family structures 232 897 4305 3439 Total 287 951 4486 3572 DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 32 City of Miami Miami's trend towards vertical growth (density) is not unusual when looking at other comparable cities, many of which have seen increased attention and focus on returning to, and/or living in, the urban core which typically has more accessibility to public transportation and business centers (jobs). Case in point, Downtown Miami's population has doubled in 10 years with reports indicating that as of 2014, the population was somewhere around 74,000 persons. As noted in Table 14 below, the greater Downtown Miami area is logging the greatest number of pre -construction units in all of South Florida. This Al's Attachment 2 provides up-to-date City maps of land use in Miami. As is evident in the maps, there is little vacant land remaining in the City presently, with the bulk of it located in the north/northeastern part of the City (Districts 2 & 5). Further review of current zoning maps demonstrates that the percentage of land dedicated to low -density, single-family housing is in fact equitably distributed with the exception being the southeastern most part of the City (District 2) which has historically been the City and County's business center where vertical commercial space dominates. Minimum lot size for single-family homes in Miami is 5,000-square-feet, which again compared to other cities, is not extremely large. As such, we believe that the change in the predominant housing type is a result of what is limited available, vacant land coupled with additional demand for housing in urban areas. There are other side effects related to the switch in the dominant housing type. Most notable, an analysis on HUD's website indicates that as of October 2014, only five condominium buildings within City limits were FHA approved. According to the Miami Association of Realtors' senior vice president of governmental affairs, South Florida "buyers need more financing options for condominiums."11 We will elaborate on the repercussions of the latter further this document. Additional data also reinforces the prevalence of planned multi -family developments in the Miami area. As of August 2014, 256 multi -family towers were planned in the in the tri-county area (these include Miami -Dade, Broward, and Palm Beach Counties). Of those towers, approximately 52% of these proposed new units (note: ultimately, not all of these planned units may be developed) are located in Greater Downtown Miami which is entirely within City of Miami limits. Table 14: South Florida Pre -construction condo projects market rankings as of August 18th 2014 Rank Market Towers Floors Units Share of Units South Florida 256 5059 35132 1 Greater Downtown Miami 61 2583 18267 52% 2 Hollywood/Hallandale Beach 20 235 3254 9.3% 3 West Palm Beach 12 261 2122 6% 4 Aventura 13 215 2108 6% 5 Sunny Isles Beach 14 547 1924 5.5% 6 Miami Beach 27 270 1355 3.9% 7 Bal Surf Bay 30 225 1286 3.7% 8 Coral Gables 9 48 1133 3.2% 9 Fort Lauderdale 15 178 789 2.2% 10 North Bay Village 4 93 549 1.6% 11 Miami (Coconut Grove) 7 130 435 1.2% 12 Pompano Beach 11 45 374 1.1% 11 Susan Danseyar, "Realtors push for more condo financing options," Miami Today, April 23, 2015. DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice City of Miami 33 13 Miami (Morningside) 2 23 230 .7% Source: CraneSpotters.com. Gray highlights indicate buildings within City of Miami limits. HOUSING STOCK AND TENURE Despite the market forces that have led to the increase in housing options in the City of Miami, data shows that nearly half the city households cannot find housing that would not cost - burden them. The high rates of cost burden indicate that the affordable housing supply is not meeting the demands of city residents. As previously discussed, the bulk of Miami's housing units are now in multi -family buildings — with close to 40% of Miami's housing stock found in multi -family buildings of 20 or more units. These multifamily developments include owner occupied condominiums, rental condominiums/apartment complexes. This is a significant change from the last Census (2000), where single-family homes still comprised the majority of the City's housing stock. The most recent data indicates that 26% of the city's housing stock is comprised of one -unit detached structures (single-family homes). Also new in the 2010 Census, data showing that the bulk of Miami's housing stock was built between 2000 and 2009 (19.3%), no doubt fueled by the recent wave of development. In the previous Census, the bulk of the City's housing stock had been built between 1970 to 1979, but now that date range approximates a more modest 13.5% of the total housing stock in the City. Table 15: MIAMI SELECTED HOUSING CHARACTERISTICS Estimate Percent TOTAL HOUSING UNITS Occupied housing units Vacant housing units UNITS IN STRUCTURE 1-unit detached structure 1-unit attached structure 2 units 3 or 4 units 187,938 150,974 36,964 80.3% 19.7% 48,816 26.0 18,578 9.9 9,291 4.9 9,673 5.1 5 to 9 units 10 to 19 units 20 or more units 13,939 13,624 72,879 7.4 7.2 38.8 Mobile home 1,029 0.5 Boat/RV/van etc. 109 0.1 *Source: 2009-2013 American Community Survey 5-Year Estimate HOUSING UNIT SIZE As noted in the table below, the majority of units in the City are two -bedrooms (38.8%) followed by one -bedrooms (31.8%). Together, one- and two -bedroom housing comprises close to 70% of the housing stock. This bears mention as it indicates that most households in the City are in fact smaller -sized households, and that larger families might have a more difficult time locating a residence that accommodates their size. DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 34 City of Miami Table 16: BEDROOMS Estimate Percent TOTAL HOUSING UNITS No bedroom 1 bedroom 2 bedrooms 3 bedrooms 4 bedrooms 5 or more bedrooms A CITY OF RENTERS 187,938 11515 6.1 59754 31.8 71991 38.3 34582 18.4 8037 4.3 2059 1.1 The City of Miami has long been a city of renters. One can especially appreciate the extent of this when comparing local data to the region. In the Census (2010), 65.3% of the total occupied housing units in Miami were made up of renters, while a lower 44.2 percent of Miami -Dade County's occupied units were renters and an even lower 32.6 percent of the State of Florida's residents were renters. According to a new report from New York University's Furman Center and Capital One Financial Corp, 65% of Miamians rented in 2013, making it the highest percentage of any major American city, even surpassing New York City.12 As noted in the table below, as housing supply grew, so did the number of renters. Data also indicates that renters tend to occupy smaller size units (one- and two -bedrooms) while homeowners tend to occupy larger units (2 and 3 or more bedroom properties. Indicators support that this trend will continue. This scenario is not uncommon , and as reported by the NYU Furman study in February 2013, nine cities of the 11 largest metro areas have more renters than homeowners, a trend that could be attributed to the real estate bust and many persons/families losing their homes to foreclosure, or persons being weary of owning a home given the consequences of the real estate bust, or finally first-time homebuyers inability to purchase a home due to slow income growth, a lack of savings, and higher -than -average rents. The U.S Census defines gross rent as the monthly amount of rent plus the estimated average monthly cost of utilities (electricity, gas, water, and sewer) and fuel (oil, coal, kerosene, wood, etc.). Gross rent as a percentage of income is defined as the ratio of gross rent to household income. It is used as a measure of housing affordability by policymakers and as a determinant of eligibility for federal housing programs and is often referred to as a housing cost burden. Below Table 18 analyzes gross rent as a percentage of household income. As indicated, approximately 65% of occupied units paying rent, are paying 30 percent or more towards rent as a percentage of their household income. HUD defines cost burdened households as families who pay more than 30 percent of their income for housing. Table 19 and the bar graph that follows it also show how gross rents for occupied units have changed in the City since the 2000 Census. Specifically, in 2000 the bulk of the rents being paid were on the lower side of the rental scale, some 78% was comprised of units paying $749 and below. However, 12 NYU Furman/Capital One National Affordable Rental Housing Landscape Research Study, www.furmancenter.ora/NationalRentalLandscape DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 35 City of Miami data from the 2007-2011 ACS Survey indicates that the bulk of units paying rent (67.3%) were HOUSINCiTENURE 2010 2000 Percent Change Number Percent Number Percent Number Percent Occupied housing units Owne r-occu pied Re me r-occu pied Average HH ske of owner -occupied unit Average HHsize of renter -occupied unit Source: US Census Bureau, 2000ond2010 Census Florida (Ala m i-Dade County City of Miami 158,317 100.0% 51,186 32.3% 107,131 653% 2.67 2.37 HetusingTenure by Region, 2010 1.111111 552% 32.3% 134,198 100.0% 46,836 34.9% 87,362 65.1% 2.79 ( X ) 252 (x) 3 2.6% 44.29E 65.3% 0% 21351, 24,119 18.0% 4,350 9.3% 19,769 22.6% 40% EU% 80% 10051, • Owner -occupied • Renter -occupied Source.: US Census tow paying $750 and above. The spike in rents also coincides with the spike in renters. According to NYU Furman Center's study titled "Renting in America's Largest Cities," five major American cities saw growth exceeding 20% in a seven-year period, with Miami being one of those. Miami's rental population grew 25% between 2006 and 2013, the report states. Table 17 Table 18: GROSS RENT AS A PERCENTAGE OF HOUSEHOLD INCOME (GRAPI), City of Miami, 2007-2011 ACS Number Percent Occupied units paying rent (excluding units where GRAPI cannot be computed) 92,656 100.0% Less than 15.0 percent 5,004 5.4% 15.0 to 19.9 percent 6,394 6.9% 20.0 to 24.9 percent 8,797 9.5% 25.0 to 29.9 percent 10,388 11.2% 30.0 to 34.9 percent 9,388 10.1% 35.0 percent or more 52,685 56.9% DRAFT- 2015-2020 Analysis of Impediments to Fair Housing Choice 36 City of Miami Table 19: GROSS RENT for Occupied Units paying rent 2007- 2011 ACS 2000 Census Less than $200 4.3% 8.8% $200 to $299 4.7% 4.8% $300 to $499 5.6% 28.5% $500 to $749 18.2% 36.5% $750 to $999 26.6% 11.8% $1,000 to $1,499 26.8% 5.6% $1,500 or more 13.9% 1.9% Median (dollars) 910 535 $1,500 or more $1,000 to $1,499 $750 to $999 $500 to $749 $300 to $499 $200 to $299 Less than $200 13.9% a 26.8% : 26.6% 18.2 % Gross Rent Units Paying of Miami, 2000 36.5' for Occupie Rent in th & 200i ..' 4.7k 28.5% 8.8% d e City -2011 0.0% 5.0% 10.0% 15 0% 20.0% 25.0% 30.0% 35.0% 40.0% CITY HOMEOWNERS The state of being a City homeowner has also changed in the past decade or so. As in the previous Al, the majority of owner -occupied housing units in the City (58%) have a mortgage on their housing unit. Table 20: Mortgage Status, Owner Occupied Units City of Miami Owner -occupied units Number Percent Owner -occupied units 48,403 100% Housing units with a mortgage 28,058 58% Housing units without a mortgage 20,345 42% Source: U.S. Census Bureau, 2011-2013 ACS 3-year estimate When looking at the selected monthly (home)owner costs of housing units with a mortgage as a percentage of household income, these too have risen. The bulk (57%) of City homeowners are paying more than 35% of their income towards their monthly owner costs as noted in Table 21. Table 22 indicates that the bulk of homeowners with a mortgage are now $1,500 and up (69%). Whereas in the 2000 Census, the bulk of owner costs was $1,500 and below. DRAFT- 2015-2020 Analysis of Impediments to Fair Housing Choice 37 City of Miami Table 21: SELECTED MONTHLY OWNER COSTS AS A PERCENTAGE OF HOUSEHOLD INCOME (SMOCAPI), City of Miami, 2007-Number 2011 ACS Percent Housing units with a mortgage (excluding units where SMOCAPI cannot be computed) 31,783 100.0% Less than 20.0 percent 5,022 15.8% 20.0 to 24.9 percent 3,521 11.1% 25.0 to 29.9 percent 2,557 8.0% 30.0 to 34.9 percent 2,576 8.1% 35.0 percent or more 18,107 57.0% Table 22: SELECTED MONTHLY OWNER COSTS (SMOC) 2007- 2011 ACS 2000 Census Less than $300 0.0% 0.3% $300 to $499 1.0% 2.5% $500 to $699 1.9% 6.0% $700 to $999 6.0% 14.6% $1,000 to $1,499 21.3% 22.5% $1,500 to $1,999 19.7% 9.4% $2,000 or more 49.9% 8.2% Median (dollars) 1,997 1,163 $2,000 or more $1,500 to $1,999 $1,000 to $1,499 $700 to $999 $500 to $699 $300 to $499 Less than $300 .9% 5% �1.0% 0.3% 0.0% Selected Monthly Owner Costs for Housing Units with a Mortgage in the City of Miami, 2000 & 2007-2011 0.0% 10.0% 20.0% 30.0% 40.0% 50.0% ■ 2000 Census ■ 2007-2011 ACS DRAFT - 2015-2020 Analysis of Impediments to Fair Housing Choice 38 City of Miami PUBLIC AND SUBSIDIZED HOUSING The City of Miami does not manage public housing (PH) units; The Miami -Dade Public Housing Agency (MDHA) is responsible for doing so throughout our City and the entire county. MDHA provides federal subsidies for about 9,141 units of public housing, which it manages, maintains, and inspects on an annual basis.13 However, an internal analysis by the DCED found that approximately 74% (@ 6,800 units) of the County's PH inventory is located within City of Miami limits at 65 different sites. Based on its most recent 5-year PHA plan, the MDHA is in the process of demolishing old, deficient PH units and replacing these with new ones. In January 2015, the Department announced a plan to demolish the Liberty Square Apartments (known as Pork and Beans), located within the City of Miami just off of 62nd Avenue in Liberty City and built in 1936. The 753-plus public housing project has been riddled with crime for several years and residents have long complained about the substandard conditions of the development. The redevelopment plan — which the County anticipates will take 5 years to roll out — will include $48 million in funds to build a new public housing development along with another $26 million towards job development, new single-family homes and other initiatives around Liberty City. County leaders also indicated that it would be built in phases so it would not require relocating residents. The County also indicated that it would include private investment but details on the latter had not been released as of January 2015. The plan would still require approval of the Miami -Dade County Commission and U.S. HUD. With regard to other subsidized housing (not including the Section 8 vouchers, Section 8 moderate rehabilitation program, or County VASH program), an analysis of all assisted rental units as provided by Shimberg Center for the University of Florida, along with the addition of a handful of buildings solely funded by the City, indicates that as of 2014 there are approximately 14,343 subsidized rental units in the City of Miami, contained in mostly multi- family rental developments that receive assistance under federal, state, and/or local government funding programs to offer affordable housing units with certain rent and income restrictions. As indicated in Table 23, the majority of assisted units in the City are in the category noted as Family/Family Link (44 percent) followed by the category of Elderly/Elderly Link (41 percent). Developments specifically serving other populations, such as the Homeless and Persons with Disabilities, make up a very small percent of the assisted affordable rental housing developments within the City. Table 23: Summary Table of Assisted Housing Units, City of Miami plot inclusive of public housing and/or Section 8 proj'rams)_ Number Number Population Served of Percentage projects of units Elderly I Elderly/Link 65 41% Elderly I Family 4 3% Family I Family/Link 70 44% Family/Homeless 5 3% Homeless 1 .5 Persons with Disabilities 1 .5 Could not confirm 13 8% Total 159 100% 13 Miami -Dade Housing Agency PHA Five -Year and Annual Plan for FY beginning 10/2015 DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice City of Miami 39 Source: The Shimberg Center for Housing Studies, Florida Housing Data Clearinghouse combined with the City's NSP lists. *Note of the total assisted units noted in all categories, units currently under development are included in the listing. This number amounts to 1,015 assisted units currently under construction. Last update 3/15. According to this same data report by Shimberg, within the next ten years exactly 33 assisted housing developments will have satisfied their affordability periods, 20 of which serve the elderly category. Below is a map plotting these 159 developments within City limits. As is seen, the majority of the projects are located near the City's urban core (on the east side). The DCED makes every effort to provide additional Request for Proposals (RFP) points to proposed projects in the Districts where the least assisted housing is seen (Districts 2 and 4). Historically, it has been difficult to develop new housing in those areas due to the higher costs of land, coupled with smaller vacant parcel sizes. DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 40 City of Miami City of Miami Assisted Housing Developments, 2014 a�1 Sl NE mom 31111111 --Egoarmit EtliMIlbtI�mi( iNt lifE 24107-1 minporr Ewa= day PM" Alearror Legend • Completed a Under Construction DRAFT— 2015-2020 Analysis of Impediments to Fair Housing Choice City of Miami 41 HOUSING CHOICE VOUCHER ADMINISTRATIVE PLAN The most recent City of Miami Section 8 Administrative Plan "the Plan" addresses fair housing and equal opportunity in Chapter 18 (page 177 - 184) in both the HCV Program and the Moderate Rehabilitation Program as overseen by the DCED. The Plan elaborates on the protected classes including race, color, religion, ancestry, national origin, age, sex, pregnancy, disability, marital status, familial status, sexual orientation, and gender identity. The City's policy for requesting reasonable accommodations is set forth here as well. Section 5.3 of the Plan states as follows, "The PHA will provide additional assistance on behalf of families that include persons with disabilities by attempting to collect a listing of available housing units that are handicap accessible units and providing this information to the family. Additional time may be granted as outlined in the "term of the voucher" section and a higher payment standard may be granted (if possible) as a reasonable accommodation due to a disability." Section 18.3 of the Plan addresses the City's services for persons and improving access to persons with Limited English Proficiency (LEP). LEP is defined as persons who do not speak English as their primary language and who have a limited ability to read, write, speak or understand English. The services provided include both oral and written translation by PHA staff members (at no cost to the LEP person) who speak English, Spanish and Creole. LEP persons will be permitted to use, at their own expense, an adult interpreter of their own choosing, in place of, or as a supplement to, the free language translation services offered by the PHA. Aside from this, the City advertises in both English and Spanish newspapers (one each) whenever a Section 8 program opens for applications, and translates the application to Spanish and Creole, with copies of these available at all application pick-up sites. Although the City has no formal LEP Plan in place, it does translate as much material as possible to Spanish and Creole. The City's waiting list preference is for persons who are disabled and/or elderly. The City retains the right to skip higher income families on the waiting list if necessary to meet the statutory requirement that 75% of newly admitted families in any fiscal year be families who are extremely low-income as defined by HUD. The local preference for the Section 8 programs application process is for persons/families who qualify as disabled or elderly. These preferences are defined in the Plan as follows: Elderly family: • A family whose head or spouse (or sole member) is 62 years or older and/or a family that includes an elderly person(s). Disabled family: • A family whose member(s) include a person(s) who is under a disability as defined in Section 223 of the Social Security Act (42 U. S. c. 423) or has a developmental disability as defined in sectionl02(7) of the Developmental Disabilities Assistance and Bill of Rights Act (42 U. S. C. 6001(7)); or • A family whose member(s) include a person(s) having a physical or mental impairment that (a) is expected to be of a long -continued and indefinite duration; (b) substantially impedes his or her ability to live independently; and (c) is of such nature that such ability could be improved by more suitable housing. DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 42 City of Miami WAITING LISTS FOR HCV AND THE MODERATE REHABILITATION PROGRAM As the PHA, the DCED opens and closes registration periods by announcing these via public notice advertised in a newspaper(s) of local general circulation and posted on the PHA's website. The notice always includes the Fair Housing logo and slogan and is otherwise in compliance with Fair Housing requirements. The local TDD/TTY phone number is included and a dedicated phone number for persons with a disability or mobility issue was included. The most recent Housing Choice Voucher (HCV) wait list, opened in October 2014, was advertised in both English and Spanish local newspapers. The application itself was posted on the City web site and distributed in the City's three main languages — English, Spanish, and Creole. Applications were made available at all City of Miami's 13 community offices (known as the Neighborhood Enhancement Team (NET) offices), which are spread throughout the City in 11 different neighborhoods and accessible by and to all City neighborhoods. Applications were also made available at the Miami -Dade County MAIN library in downtown Miami, accessible by bus, Metrorail and vehicle. Because the DCED operates a very small program (136 vouchers) and the program's level of attrition it extremely low, the City (via the DCED) establishes a small waitlist; the 2014 waitlist only had 100 slots available. The City received a total of 4,091 eligible applications via U.S. mail and a random computer lottery selected 100 from that group. The Plan was also recently updated to include all the guidelines set forth by HUD in its final rule on Equal Access to Housing in HUD Programs regardless of Sexual Orientation or Gender Identity (77FR 662) which applies to all HUD -assisted and HUD -insured housing, including the private owners who participate in housing programs funded under the U.S. Housing Act of 1937. Table 24 provides details on the demographics of the applicants during the last Section HCV Application period: Table 24: Characteristics of Applicants to City of Miami Section 8 HCV Program (2014) Total number of eligible applicants 4,091 100% Hispanic 2576 63% Gender --Female 2908 71% --Male 1183 29% Race --African American 1647 40.26% --American Indian 1 0.02% --Asian 8 0.20% --Other 19 0.46% --White 2416 59.06% American citizen --Yes 3288 80% --No 803 20% Preference Identified (Elderly/Disabled) --Yes 2097 51% --No 1994 49% *Note: Hispanic ethnicity is counted independently of race. Source: City of Miami, Dept. of Community & Economic Development DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice City of Miami 43 No study of the rejection rate for Housing Choice Vouchers (HCV) clients has been done, but HCV Section 8 clients do not report finding an available unit to be a problem. There were 9100/798 20,000 persons on the list for the City's Section 8 moderate rehabilitation (project - based) program, which closed in 2003. At that time, data collection did not include specific demographics on the applicants and so we cannot provide that information in this document. We are still working through this list. LOW INCOME HOUSING TAX CREDITS (LIHTC) The Federal Low -Income Housing Tax Credit (LIHTC) program is now the major source of federal support for affordable housing. The program provides developers with a federal income tax credit and in the case of non-profit developers, creates an incentive for private investors to participate in the construction and rehabilitation of low-income housing. In Florida, the LIHTC program is administered by the Florida Housing Finance Corporation (FHFC), started in 1987, and overseen by a nine member board of directors. FHFC administers a tax credit application process whereby it establishes an annual "Qualified Allocation Plan" (QAP), which defines the criteria for ranking applications. As noted on the FHFC website, "Each development must set aside a minimum percentage of the total units for eligible low or very low income residents for the duration of the compliance period, which is a minimum of 30 years with the option to convert to market rates after the 14th year. At least 20 percent of the housing units must be set aside for households earning 50 percent or less of the area median income (AMI), or 40 percent of the units must be set aside for households earning 60 percent or less of the AMI." In an analysis of the LIHTC projects within the City limits, the latter option dominates. Applicants that are requesting tax credits from Florida Housing are required to set aside for Extremely Low Income (ELI) households 10% of the total units for which they are applying. The municipalities within the state are in no way involved in the FHFC's QAP process (or the awards process for that matter) but in a state as diverse as Florida, a recent QAP merits a closer look. During an application period, it reviews different requests for funding from private/public developers and allocates funding to those developments that score highest based on specific criteria it defines for ranking applications. State municipalities (including Miami) do not have a direct role in the administration of the LIHTC program, which creates a unique set of issues. For example, in a recent QAP additional points were awarded for Transit Oriented Development (TODs) across the State. TOD is a planning and design trend that seeks to create walk -able communities centered on a transportation node (transit station, transit route, or bus stop). The positioning of affordable housing near transit locations makes perfect sense, but in a City laid out like Miami it created an unintended side effect that bunched five tax credit projects (not necessarily funded the same year) along one particular City corridor alone (SW 2 Avenue). Because parcels in that general area are zoned to allow for higher densities, many private developers focused their location search in the City within this area. Although the buildings added more than 350+ affordable units to the East Little Havana area, it also created another albeit unintended side effect -- the concentration of subsidized housing in a particular area. DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 44 City of Miami Although TOD makes sense, given the cost of transportation and its effects on household budgets and cost of living, it is important to address the existent transit system in Miami and Miami -Dade County, which is operated by Miami -Dade Transit (MDT), a County Department. Most importantly, the County's grid is such that the bulk of traffic travels north -south or east - west, along several major corridors. Miami is one of 34 cities located within Miami -Dade County, Florida's third largest county in terms of land area. Miami was settled in 1825 along the Miami River while Miami -Dade County (originally known as Dade County) was founded eleven years later in 1836. Because the bulk of early development in the area took place within what are now City limits, in 1844 Miami became the County seat, given that much of the County's population at the time lived in what is present day Miami. This historical significance continues today and the City of Miami is very much considered the County's urban core -- home to the area's main Performing Arts Center (Arsht Center), fine art museum (Perez Art Museum Miami), its Financial District (Brickell), the area's largest public hospital (Jackson Memorial Hospital) and more. First opened in May 1984, the area's Metrorail system (heavy rail metro line) opened its Green Line connecting Dadeland South (County) to Overtown (City). The Orange Line was introduced in 2012, but it shares much of its line with the green with an additional extension to Miami International Airport. An automatic downtown people mover known as the Metromover opened in downtown Miami in early 1986 and expanded further into downtown in the mid- 90s. As you'll notice in the map below, the bulk of the County's Metrorail stations are in fact, located within City of Miami limits (13 of 22) and all of the Metromover stations are in downtown Miami (City). This means that much of the mass transit in the entire County — not inclusive of rapid bus transit aside — has hubs within City of Miami limits. This fact leads us to the TOD bonus included in recent QAPs issued by the FHFC. DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 45 City of Miami MIAMI 21 ARTICLE 4. DIAGRAM 11 TRANSIT ORIENTED DEVELOPMENT - TOD AS ADOPTED • MAY 2014 METRORWL nFUTURE METRORW L MEmRMAOYER [CIS ROUTES STREETCAR HEALTH DISTRICT CIRCULATOR nHEALTH DISTRICT STOPS FUTURE TRANSIT SHEDS 1/2 M ILE TRANSIT SHED «I 114 M ILE PEDESTRIAN SHED Nole: The Metal Miami 21 TOD Diagram is maintained the Office of the Oty Clerk. IV28 More recently, the FHFC has limited Miami -Dade County to only two new funded construction projects per year. This limitation means projects from our County are carefully scrutinized which is a cause of concern for many local stakeholders. For example, current (2014) FHFC tiebreaker rules for competitive applications are based on proximity to a three -route express bus, a grocery, a medical center and a pharmacy. This means that Miami -Dade and Broward require a higher score (13.75 points) in the QAP in order to meet the "perfect" proximity caveat, while other large Florida counties (5) only require 12.25 points. This means certain potential applicants from the City will never meet that high score because their particular area lacks grocery stores or has a one- or two -bus stop. It has also meant that the bulk of the applicants from Miami -Dade have been high-rise communities versus lower density housing. DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 46 City of Miami In a report issued in the Fall of 2012 (OPPAGA Report #12-10) the Florida Legislature Office of Program Policy Analysis and Government Accountability indicated that it considered that the FHFC should reduce "the frequency of rule development workshops; revising the time allowed for applicants to identify problems with each other's projects; and increasing the emphasis on considering market feasibility and project costs." The report further indicated that "other states' tax credit allocation processes are more streamlined." LIHTC INVENTORY In order to have an accurate inventory of tax credit units located within City limits, the City requested a master listing of funded projects from the Florida Finance Housing Corporation (FHFC), who manages the tax credit program for the State of Florida. An analysis of the projects located within City limits found that a total of 117 had been funded dating back to 1990, 18 were no longer in the program, one had returned its credits, and four had swapped their credits, leaving the total project count at 91. To be clear, Miami -Dade County is comprised of multiple communities - all concentrated on the county's Eastern half, including 34 municipalities (including the City of Miami) and 16 unincorporated communities. See the Figure below for an illustration of where the tax credits projects are located in Miami -Dade County. As you'll note, the bulk are in the South Miami - Dade area or the northeastern part of the County. For reference purposes, the royal blue image in the top right corner of the figure encompasses the City of Miami's limits, whereas all the surrounding grey is the rest of Miami -Dade County. In the County, a total of 206 projects that have been funded are still in the program, while eight of these projects swapped their credits, leaving a total County count of 198 tax credit developments. This means that approximately 46% of the tax credit projects in all of Miami -Dade County are in fact located within the City of Miami. For reference purposes, it should be noted that the City of Miami is 35.68 sq. miles (land) and Miami -Dade County is 1,898 square miles (land). DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 47 City of Miami City of Miami Tax Credits in Miami (Blue) and Miami -Dade County (Gray) HOUSING MARKET Miami's housing market grew by 24% from 2000 to 2010, adding some 35,000 units to the City's available stock with the bulk of that activity centered in the Brickell/Downtown neighborhoods near the Bay. Historically, for the first time, the majority of the City's properties are now made up of structures with 20 or more units. Data also indicates that the bulk of the City's residents are in fact, renters. Qualifying that supply — its pricing and who the end -users will be — is what becomes difficult. To shed further light on the market, it is important to note that the City's current housing market has been strongly influenced by a combination of real estate supply conditions that are unique on both a state and national level. Recent demand factors have contributed to a significant increase in housing development activity, with the latter hinging on the major role that non-residents (in many cases, foreigners) play in our City's real estate market. According to Realtor.org, the website of the National Association of Realtors, Miami was the third most searched U.S. City by International consumers in 2015, behind New York (#1) and Los Angeles DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 48 City of Miami (#2). Additional local data seems to further reiterate that many local property owners are not necessarily full-time Miami residents. According to the Miami -Dade Property Appraiser's 2014 preliminary tax rolls (current up to 12/31/2013), only 37% of all condominium units in the County have a homestead exemption, which is remarkably low given that Florida law allows for homeowners to claim a homestead exemption (tax exemption) of up to $50,000 on a single-family home or condominium unit when the owner uses it as a primary residence. This would indicate that the bulk of condominium units in the County are NOT the primary residence of their owner and are either an investment property and/or a second/third home. Based on the County Property Appraisers' Just Value, the average just value of a single-family home in Miami is $200,882 while the State-wide average is $166,535. The average just value of a condominium was even higher in 2013, amounting to $243,414. However, when we look at average sales prices in Miami, the amounts are even more startling, with an average just value of $427,396 for a single-family home in 2013 with a median sales price of $235,000 compared to a statewide median sales price of $170,000. Source: Florida Department of Revenue, Sales Data Files. Even more startling is that based on Census data, the average household in the City of Miami cannot afford to purchase a single-family home or condominium without becoming cost -burdened. As recently as October 2014, the S&P Case-Shiller indices indicated that home prices in the metro Miami area rose 9.5 percent from a year earlier, making it the biggest gain amongst the 20 big cities tracked, meaning Miami home prices are at their highest levels since May 2008.14 This is in line with the state of Florida, which has seen single-family home prices rise 6% from January 2014 to January 2015, which is higher than the U.S. average of approximately 5.7%, according to the latest Home Price Index from CoreLogic. When distressed sales were excluded that increase jumped to 7.4%. Besides this, there is a tremendous disparity in housing prices from neighborhood to neighborhood in the Miami area. Below is a quick analysis of residential sales related data in major Miami neighborhoods as provided by Trulia in March 2015. Yet again, extremes are seen, with listing prices in Model City (Liberty City) averaging $110,000 vs. more than ten times that average in neighborhoods like Coconut Grove and the Upper East Side. Miami Avg. listing price Avg. sales price Median sales Price per sq ft neighborhoods Week ending Mar Dec '14 - Mar'15 price Dec '14 - Mar'15 4 Dec '14 - Mar'15 Name Amount w ° Amount y-o-y Amount y-o-y Amount y-o-y Model City $110,642 2 0% $76,668 Allapattah $226,920 Flaciami 0.5% $115,600 $72,000 $59 4L` $104,000 $88 $234,224 0 6 $194,266 10.0°k $207,500 East Little Havana $241,923 4.5' $180,246 $161 21.2% $112,000 $131 14 The Miami Herald, "Miami home prices No. 1 in yearly increase," Martha Brannigan. DRAFT— 2015-2020 Analysis of Impediments to Fair Housing Choice 49 City of Miami Miami Avg. listing price neighborhoods Week ending Mar 4 Name Amount W ° w Avg. sales price Dec '14 - Mar '15 Amount y-o-y Median sales Price per sq ft price Dec '14 - Mar '15 Dec'14 - Mar'15 Amount y-o-y Amount y-o-y West Little Havana $253,106 0.2% $190,655 24.2% $199,900 34.6% Overtown $261,597 Little Haiti $340,331 Wynwood - Edgewater $567,758 Coral Way $725,700 Upper East Side $1,195,704 $328,500 $164 29.1% 259.09 $328,500 245.8% $240 $126,814-23.86$101,800 -7,5% $381,162 $343,667 $581,746 150.0% $100 2.0% $355,000 $355 $305,000 $278 $448,250 73.1% $302 Northeast $1,801,890 $687,507 44.1% $530,000 41.3% Coconut Grove 0.8% Southwest $1,958,095 Coconut Grove 3.0% $769,843 16.6% $366 16.9% -23.4% $635,000 -29.1 % $347 Source: Trulia.com, y-o-y: year over year percentage changes, as printed on 3/17/2015 -15.4% The Miami -Fort Lauderdale -Miami Beach, FL area's housing affordability index continues to decline, as reported by Realtor.org, the website of the National Association of Realtors. The higher the growth of the housing affordability index, the more affordable the metro area is and vice versa. In 2014, there was -6.2% in growth in the area. Growth in 2013, was-21.3%. The housing affordability index is calculated based on the sales price of the Existing Single - Family Homes. The same negative growth is seen along most of Florida's east coast. Concurrently, the City's First-time Homebuyer Program has been significantly affected by the escalation in Miami home prices and the number of assisted households has dropped by more than 50% in the last four years. Even though construction has spiked in Miami, and additional housing options are now available, we have seen a significant decline in requests (general interest) in the City's available first-time homebuyer loans for low -to -moderate income persons/families (80% AMI and below) seeking to live in the City. We believe this drop in applications/requests is directly related to the City's escalating home prices and the inability of low -to -moderate income persons to find an eligible home, and afford to maintain it. The maximum sales price of a primary home that we can assist via the program (HOME funded), as established by U.S. HUD in 2014 for our MSA, is $176,000 for an existing home and $214,000 for a new construction home. Overinflated real estate prices have created what is by most accounts, an abnormal market. As identified in the most recent Consolidated Plan, these overinflated prices are also one of the two main contributors to what has become a stark mismatch between housing and local wages. The second critical variable leading to this large affordability gap is the high concentration of low median household incomes. DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 50 City of Miami Table 25: City of Miami Closed First- time Homebuyer Program Loans 2011 35 2012 22 2013 20 2014 13 *loans noted including funding provided via HOME, NSP, and state SHIP funding sources Table 26: Affordability Gap for Home Purchase, City of Miami Assumptions based on Median HH Income in the City of Miami Annual income $ 29,762 Planned loan term 30 Years Interest rate 4.55% Monthly debt $0 Percentage of down payment 5% Maximum value for affordable purchase $97,448 Affordability based on Median HH Income in the City of Miami Single Family Condo Median Sales Price (2012) $ 176,950 $ 295,000 Affordable Purchase $ 97,448 $ 97,448 Affordability Gap ($79,502) ($197,552) Sources: Median income -U. S. Census Bureau, American Community Survey, 5-YearEstimates; Percent down payment based on Fannie Mae rates and Maximum value of affordable home purchase calculated on the Fannie Mae's Mortgage Affordability Calculator, wvw.homepath.com; Interest Rate — Bankrate.com on 1-6-2014; Median sales price —Reinhold IV Wolff, Inc. RENTS The Fair Market Rents in Miami -Dade County are noted below. These actually dropped by a few dollars in each room -type from the 2014 rates. An analysis prepared by the National Low Income Housing Coalition (NLIHC), Out of Reach 2014, concentrated on dissecting FMRs and housing costs in MSAs across the nation, which led to some startling findings in our area. The report indicated that the hourly wage needed to afford a two -bedroom unit under the 2014 FMR for a two -bedroom ($1,166) in the Miami -Miami Beach -Kendall HMFA was $22.42. The annual income needed to afford the two -bedroom was $46,640 which would require at least 2.8 full-time jobs at minimum wage. However, the estimated hourly mean renter wage in 2014 for renter households in the same MSA is $15.01.15 (Source: http://nlihc.ore/oor/2014/MS) 15 http://nlihc.org/oor/2014/MS DRAFT— 2015-2020 Analysis of Impediments to Fair Housing Choice City of Miami 51 Miami/Miami Beach/Kendall HUD Metro FMR Areas for all bedroom sizes Studio 1-bedroom 2-bedroom 3-bedroom 4-bedroom 2014 $747 $910 $1166 $1600 $1869 2015 $745 $907 $1,162 $1,594 $1,863 Source. www.huduser.oru Utilizing 2014 FMR, the DCED ran a brief analysis to try and pinpoint the affordability gap in our marketplace based on unit sizes, and assuming $29,762 as the median household income. The graph below shows the gap in multiple categories including HOME assisted units and tax credit developments. Table 27: Rental Affordability Gap by Unit Size, City of Miami Assumptions based on Median HH Income in the City of Miami City of Miami Median HH Income $ 29,762 30% of Median HH Income divided by 12 Months $744.05 Unit Size Monthly Rent ($) Affordability Gap City of Miami Median Gross Rent - (2008-2012) 925 (180.95) Fair Market Rent, FY 2014 0 Bedroom 747 (2.50) 1 Bedroom 910 (165.50) 2 Bedroom 1,166 (421.50) 3 Bedroom 1,600 (855.50) 4 Bedroom 1,869 (1124.50) High HOME Rent 0 Bedroom 760 (15.50) 1 Bedroom 819 (74.50) 2 Bedroom 984 (239.50) 3 Bedroom 1,128 (383.50) 4 Bedroom 1,239 (494.50) Low HOME Rent 0 Bedroom 602 142.50 1 Bedroom 645 99.50 2 Bedroom 773 (28.50) 3 Bedroom 894 (149.50) 4 Bedroom 997 (252.50) Miami -Dade Affordable Rentals (Tax Credit Overall Developments) $819 (74.95) 0 Bedroom $519 225.05 1 Bedroom $711 33.05 2 Bedroom $829 (84.95) 3 Bedroom $943 (198.95) 4 Bedroom $986 (241.95) DRAFT— 2015-2020 Analysis of Impediments to Fair Housing Choice 52 City of Miami Sources: City Gross rent and Median Household Income, US Census Bureau American Community Survey; Fair Market Rent, US HUD; High/Low HOME Rent, CHAS Table 6; Miami Dade Affordable Rental from Tax Credit Developers, Reinhold P Wolff Economic Research. Median Contract Rent As per the Census ACS, 2011-2013 3-year estimates, the median contract rent in Miami is $838. Percent of Income Paid for Housing in the City of Miami ■ 0-30% ■ 30-50% 50% or more Source: Shimberg Center for Housing Studies INCOMES — GOOD NEWS AND BAD NEWS According to recent data released by the ACS in 2013, the median income for a household in the Miami -Ft. Lauderdale -West Palm Beach metro area was $46,946. This median income is the second lowest level in the nation's top 25 metro areas, with the lowest being Tampa's. When looking at the City of Miami on its own, average incomes don't fare much better. Even though there were gains in the share of all income brackets making $35,000 and above in the American Community Survey (2007-2011), data indicates that 67% of households in the City earn 80% AMI or less than the HUD Area Median Family Income (HAMFI) and that households making below the $35,000 income bracket make up over half (55.4%) of the City's households. The latter means the bulk of the City's families are still vulnerable to become cost -burdened given the rising costs of both homeownership and rental housing, along with the cost of living expenses. COST BURDEN IN MIAMI Cost -burdened households are defined as those spending more than 30 percent of their household incomes on housing costs, including utilities. As discussed in our most recent Consolidated Plan, according to the Shimberg Center for Housing Studies nearly HALF (46%) of the City's households are cost -burdened and projections estimate that the trend will continue through 2030. This is an issue for both City homeowners and renters. Research indicates that cost -burdened households must cut back on other expenses including food, healthcare, childcare and transportation. Cost burdened households also have an inability to save for the future, leaving them with a tentative foothold on household stability in the event DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 53 City of Miami of an unexpected setback, i.e. lay-off, injury, health issue, etc. As such, housing cost burden is the most common housing problem in the City across incomes, tenure, race and ethnicity. We will address both cost -burdened and severely cost -burdened households in this section. ■ Cost -burdened households: are defined as those spending 30.01 percent to 50 percent of their household incomes on housing costs, including utilities. According to the University of Florida's Shimberg Center for Housing Studies, 73,137 city households (46 percent) pay more than 30 percent of income for housing as noted in the pie chart below; by comparison, 29 percent of households statewide are cost -burdened. Upon analysis of the City's cost -burdened households, a significant majority (79%) are renters. As indicated in Table 29 below (based on CHAS Table 17), the Hispanic community presents the greatest share and number (based on population) of cost -burdened households in the city across all income brackets —but especially in sheer numbers in the 0-30 percent AMI cohort. However, when taking the HUD definition into consideration, only two household type emerges: Asian and White households in the 0-30 percent AMI bracket. ■ Severely Cost -burdened households: As per HUD, Households spending more than 50 percent are considered to be "severely cost -burdened." Of the City's 46 percent of cost - burdened households, about half (24 percent) meet the definition being severely cost - burdened. Also, as one would suspect, households with the lowest income brackets (0 to 30% AMI) are the most cost -burdened. It is important to note that yet again, a significant majority (65.5%) of the severely cost -burdened households in the City are renters. Percent of Income Paid for Housing in the City of Miami ■ 0-30% ■ 30-50% 50% or more Source: Shimberg Center for Housing Studies DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 54 City of Miami CO °, E ala) J CU >- w w 4J 0 0 10,000 20,000 30,000 40,000 50,000 60,000 70,000 80,000 17,950 Cost Burden by Tenure and Type of Household based on CHAS Tables 5 and 6 Renter Owner Table 28: Projected Number of severely cost burdened (50%+) households with income less than 80% AMI by tenure and income level, City of Miami (2009 to 2030) Tenure: Owner Household Income as of AMI 0-30% AM 30.1-50% AMI 50.1-80% AMI Total Severely Cost Burdened Owners 2009 2010 2015 2020 2025 2030 3,999 2,753 2,604 9,356 4,029 2,773 2,619 9,421 4,297 2,946 2,755 9,998 4,642 3,169 2,929 10,740 5,010 3,400 3,087 11,497 5,382 3,630 3,232 12,244 # Increase 2009-2030 1,383 877 628 2,888 Household Income as % # Increase 2009 2010 2015 2020 2025 2030 of AMI 2009-2030 0-30% AM 18,903 18,984 19,887 21,098 22,314 23,458 4,555 30.1-50% AMI 6,563 6,587 6,870 7,251 7,613 7,937 1,374 50.1-80% AMI 1,199 1,201 1,243 1,303 1,361 1,410 211 Total Severely Cost 26,665 26,772 28,000 29,652 31,288 32,805 6,140 Burdened Renters Total Severely Cost 36,021 36,193 37,998 40,392 42,785 45,049 9,028 Burdened Households Source: Shimberg Center for Housing Studies DRAFT- 2015-2020 Analysis of Impediments to Fair Housing Choice 55 City of Miami Table 29: DISPROPORTIONATE GREATER NEED: Percent of Cost -Burdened Households in the City of Miami by Race, Ethnicity and AMI — based on CHAS Table 17 Housing Cost Burden Jurisdiction as a w o White Black/African American Asian Hispanic 1 i 42% 45% 30-50% ■ Total 26% 32% 100% 229I1. 26% 100% I 22% 34% 100% 62% 17% 20% 100% 40% 27% 33% 100% Table 30: GREATER NEED BY TOTAL SHARE: Percent of Cost -Burdened Households in the City of Miami by Race, Ethnicity and AMI — based on CHAS Table 17 Housing Cost Burden White Black/African American Asian Hispanic 70,000 60,000 50,000 40,000 30,000 20,000 10,000 10,915 11,415 <=30% White <=30 100% 17% 30-50% >50% No / negative income 100% 100% 100% 12% 11% 19% 1 17% 13% 17% 29% 1% 1% 1% 1% 73% 71% Greater Need BY Total Share: Cost burden by Race -based on CHAS Table 17 5,260 4,835 35,200 8,245 5,640 30-50% >50% Black/African American • Asian iii Hispanic DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 56 City of Miami Table 31: City of Miami Housing Cost Burden Housing Cost Burden <=30% 30-50% >50% No / negative income (not computed) Jurisdiction as a whole 65,640 39,530 49,660 3,395 White 11,415 4,835 5,640 655 Black / African American 10,915 5,260 8,245 975 Asian 790 220 255 30 American Indian, Alaska Native 0 0 0 0 Pacific Islander 10 0 0 0 Hispanic 42,095 28,985 35,200 1,715 Source: 2006-2010 CHAS HOMEBUYER AFFORDABILITY FOR SPECIAL NEEDS POPULATION Several mechanisms have been set in place recently, both on a local and state level, to make additional affordable housing options available to special needs populations. Applicants that are requesting tax credits from Florida Housing are required to set aside for Extremely Low Income (ELI) households 10% of the total units for which they are applying. Starting with the 2009 FHFC Cycle, Florida Housing began requiring Applicants commit to reserving 50% of those ELI units for special needs households, defined as households consisting of homeless families, survivors of domestic violence, persons with a disability, or youth aging out of foster care —through a process called the LINK initiative. Referral Agencies throughout Florida have agreed to provide a coordinated system to assist special needs households with supportive services to obtain and retain permanent housing in their community. The LINK initiative requires that the tax credit developer and referral agency create a Memorandum of Understanding (MOU) and that this executed MOU is a component of Final Credit Underwriting Report. The Referral Agency creates and implements a referral system to produce a waiting list of eligible prospective tenants when units are completed. In Miami, there are two agencies serving this purpose and for the purpose of this AI, the DCED interviewed one of them — the Housing Assistance Network of Dade, Inc. (HAND) to inquire about the system and how it is working. As of February 2015, there were 188 units in Miami - Dade under the LINK program. The City sought additional information from the FHFC directly, but that was not provided in time for this report. The City utilizes its allocation of State Housing Initiative Partnership (SHIP) funds for strategies including (but not limited to) single-family rehabilitation assistance, emergency home repair assistance, the single-family replacement home program, and/or the SHIP Homebuyers Financing Program. Starting in FY 13-14, the State required that 20% of any SHIP allocation it made to an entitlement be utilized towards a special needs household. In its most recent Local Housing Assistance Plan (LHAP) spanning FY13-14, FY14-15, and FY15- 16 and filed by the DCED with the State of Florida, persons who have special housing needs are defined as "individuals who have incomes not exceeding moderate -income and because of particular social, economic, or health related circumstances, have a greater difficulty acquiring or maintaining affordable housing/' as stipulated in Chapter 67-37.002 (21), F.A.C. DRAFT— 2015-2020 Analysis of Impediments to Fair Housing Choice 57 City of Miami (page 8). In all cases, the persons being assisted must be very low, low or moderate income with the latter not exceeding 120% AMI as delineated by the State of Florida every year. In FI. Statues 420.0004 "persons with special needs" means an adult person requiring independent living services in order to maintain housing or develop independent living skills and who has a disabling condition; a young adult formerly in foster care ... ; a survivor of domestic violence as defined in the statutes; or a person receiving benefits under the Social Security Disability Insurance (SSDI) program or the Supplemental Security Income (SSI) program or from veterans' disability benefits. ECONOMIC TRENDS The City of Miami's economic indicators are mixed -- one area of concern is the wide disparities between race and ethnic groups. According to the 2011-2013 American Community Survey 3-Year Estimate, Blacks have the lowest median household income in the City of Miami followed by the Hispanic/Latino population (Table 32). Table 32: Median Household Income by Race, City of Miami Estimate Inflation Adjusted Dollars (2013) White alone (Not Hispanic or Latino) Black or African American alone Asian alone Some other race alone householder Two or more races Hispanic or Latino Householder (of any race) $64,849 $19,922 $59,659 $33,337 $38,340 $27,824 Source: U.S. Census Bureau, 2011-2013, , American Community Survey, Three -Year Estimate, Median Household Income in the past 12 months (in 2013, Inflation adjusted dollars) Income and employment are two essential characteristics that impact a household's sustainability and economic growth. Table 31 shows the City of Miami's general economic characteristics according to the 2011-2013 ACS (3-year estimates). The median household income is $30,126 while per capita income within the City of Miami was about eight thousand dollars less. Table 33: Selected Economic Characteristics in the City of Miami, 2011-2013 3-year estimate Number Percent In Labor Force (16 years and older) Mean travel time to work in minutes (16 years and older) Median Household Income (dollars) Median family income (dollars) Per capita income (dollars) 212,997 61.9% 25.9 (X) $30,126 (X) $33,475 (X) $21,416 (X) Somme: U.S. Census Bureau, 2011-2013 ACS three-year estimates. DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 58 City of Miami INCOME The median household income in Miami is $30,375 while Miami -Dade County's is $43,100 (ACS 2009-2013, 5-year estimate). Historically, this is usually the case — with the County's median income averaging significantly higher than the City's median income. Keep in mind that Miami -Dade County has significantly more households (estimated 828,031) when compared to Miami (estimated 150,974). When further analyzing Miami's household income brackets (see Table 34), it's easy to discern that the bulk of the renter -occupied units in the City correlate to the lower income brackets. In fact, just over 60% of the renter -occupied units are occupied by households making $34,999 and below (ACS 2011-2013, 3-year estimate). Table 34: Household Income by Income Brackets in the past 12 months in 2013 inflation- adiiusted dollars): City of Miami 2011-2013 City of Miami - Financial Characteristics (S2503) Occupied Housing Owner Occupied Housing Renter - occupied housing units Households 152,200 48,403 103,797 Income Brackets Estimated Percent Estimated Percent Estimated Percent Less than $14,999 26.9 14.9 32.4 $15,000 to $24,999 16.5 13.2 17.9 $25,000 to $34,999 12.5 12.2 12.6 $35,000 to $49,999 12.8 12.5 13.0 $50,000 to $74,999 12.5 14.1 11.8 $75,000 to $99,999 6.3 9.4 4.8 $100,000 to $149,999 6.6 11.4 4.3 $150,000 or more 6.0 12.3 3.1 Source: U.S. Census, 2011-2013 3-year Estimate ACS, When looking at how City incomes have changed within the past decade or so, specifically when comparing the 2000 Census data to that of the ACS 2007-2011, 5-year estimate — the data further reveals that the City of Miami is a city in flux, whose housing demands are changing in real time. The city's household wealth is also changing. According to a comparison between 2000 Census and the 2007-2011 ACS (see chart below), the city's share of household earnings less than $10,000 fell from 24% to 16%. In fact, during this same period, the share of every low-income category fell while the share of higher income households rose. It is important to understand that these figures do not say that the city lost residents in low- income categories as much as they reveal that the landscape of the city has changed by, quite possibly, adding more households to the higher income brackets, and, thereby changing the share of households in these income categories. DRAFT— 2015-2020 Analysis of Impediments to Fair Housing Choice 59 City of Miami 0.0% Less than $10,000 $10,000 to $14,999 $15,000 to $24,999 $25,000 to $34,999 $35,000 to $49,999 $50,000 to $74,999 $75,000 to $99,999 $100,000 to $149,999 $150,000 to $199,999 $200,000 or more LABOR FORCE 5.0% 10.0% 15.0% 20.0% 25.0% 30 0% Income by Household City of Miami, 2000 & 2007-2011 Source: U.S. Census Bureau, 2000 Census & 2007- ■ 2000 Census ■ 2007-2011 ACS The economic well-being of a community is largely determined by how well the residents are connected to the labor market. Currently, 61.9 percent of the population 16 years and over is in the labor force. The 2011-2013 Three -Year American Community Survey shows that about 7.9% percent of the City's workforce population is unemployed. This figure most likely does not reflect the current (actual) economic conditions. Therefore, an important proxy for the City's current unemployment data is the Agency for Workforce Innovation's (AWI) market statistics estimates. According to the Florida Department of Economic Opportunity's Local Area Unemployment Statistics I, in October 2014 (seasonally adjusted) the State of Florida had a 6 percent unemployment rate; a 6.5% was the unemployment rate determined for the Miami, Kendall, and Miami Beach Metropolitan Divisions. Please note that the data is not available solely for the City of Miami, the city is included in this larger metropolitan division. Table 35: City of Miami Employment (Labor Force) Status, 2011-2013 Population 16 years and over 344,289 100% In labor force 212,997 61.9% Civilian labor force 212,844 61.8% Employed 185,503 53.9% Unemployed 27,341 7.9% Not in labor force 131,292 38.1% Source: U.S. Census, ACS, 2011-2013, 3-year estimate DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 60 City of Miami WORK Labor force issues, industry challenges, and opportunities are important to understand together. It is essential to have a perspective about the industries and occupations in which the majority of a city's residents have found employment. Employment and income are directly correlated to economic sustainability and therefore also impact access to home ownership. It is important to note that more than 40% of Miami's employed civilians 16 years and over hold service and sales occupations. The bulk of individuals employed are in low end jobs mostly related to the service industry sector. Table 36: City of Miami Occupations by Sector 2009-2013 ACS Civilian employed population 16 years and over 180,453 100% Agriculture, forestry, fishing and hunting, and mining 484 .27 % Construction 17,372 9.62% Manufacturing 7,718 4.28% Wholesale trade 6,352 3.52% Retail trade 21,577 11.96% Transportation and warehousing, and utilities 10,854 6.01% Information 3,675 2.04% Finance and insurance, and real estate and rental and leasing 12,301 6.82% Professional, scientific, and management, and administrative and waste management services 22,850 12.66% Educational services, and health care and social assistance 30,475 16.89% Arts, entertainment, and recreation, and accommodation and food services 25,711 14.25% Other services, except public administration 16,027 8.88% Public administration 5,057 2.80% Sot rce: 2009-2013, 5-Year Estimates, American Community Survey As further broken down in the Table 37, the majority of the occupations in the Miami MSA are in retail sales with a low median hourly wage of $9.86; as of 2015, Florida's minimum wage is $7.93 per hour. The table shows the top fifteen occupations (by count) in the Miami MSA. The table mirrors the data collected by the 2009-2013 American Community survey with the fact that the majority of employment is found in service, low -end income jobs. Wages and wage growth is crucial to a household's capacity but according to the U.S. Bureau of Labor Statistics, South Florida's wage growth was running about 2% last year. DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 61 City of Miami Table 37: Miami -Miami Beach -Kendall MSA (Miami -Dade County) Leading Selected Occupations for 2014, based on 2013 surveys Occupation 2013 2014 Employment Median Hr. # of persons Wage ($) Retail Salespersons Registered Nurses Customer Service Representatives 47,220 9.86 26,220 29.09 25,650 13.77 Cashiers 25,120 9.21 Combined Food Preparation and Serving Workers, Including Fast Food 24,670 9.01 Waiters and Waitresses 23,700 8.96 Secretaries and Administrative Assistants, Except Legal, Medical, 22,580 14.18 Office Clerks, General 21,320 12.37 Laborers and Freight, Stock, and Material Movers, Hand 19,640 11.46 Security Guards 18,830 10.75 Sales Representatives, Wholesale and Manufacturing, Except Technical and Scientific Products 18,470 21.27 Stock Clerks and Order Fillers 18,110 10.57 Janitors and Cleaners, Except Maids and Housekeeping Cleaners 16,010 9.41 Bookkeeping, Accounting, and Auditing Clerks 13,180 16.85 Accountants and Auditors 12,500 30.27 Maids and Housekeeping Cleaners 11,400 9.25 First -Line Supervisors of Office and Administrative Support Workers 11,350 24.98 Total all occupations (not all included above) 1,023,360 $15.11 Source: Agency for Workforce Innovation, Florida Occupational Employment & Wages Miami, Miami Beach, Kendall MSA (www floridajobs.org) LEGAL STATUS EVALUATION CURRENT FAIR HOUSING LEGAL STATUS EVALUATION The Department of Community & Economic Development is actively engaged in promoting fair housing for City of Miami residents through the monitoring of fair housing complaints and promoting and securing compliance with fair housing regulations. The city's fair housing program is designed to affirmatively further fair housing objectives of Title VI of the Civil DRAFT— 2015-2020 Analysis of Impediments to Fair Housing Choice 62 City of Miami Rights Act of 1964, Title VIII of the Civil Rights Act of 1968, as amended, and other relevant federal, state, and local fair housing laws. In 2013, HUD asked all HOPWA administrators to document and collect information on the transgender population amongst the HOPWA clients we serve This data is important to the City, especially in relation to its operation of the Housing Opportunities for Persons with AIDS Program (HOPWA), as the City serves as the HOPWA administrator for all of Miami -Dade County and receives approximately $11 million dollars in HOPWA funding each year to assist approximately 1000 low-income persons living with AIDS with Long -Term Rental Assistance (LTRA). In order to facilitate said data collection, the City hosted a Transgender Sensitivity and Competency Training in September 2013 for all of its HOPWA staff and client support agencies which are located throughout Miami -Dade County. The training was underwritten by SAVE DADE, a local non-profit with a mission to promote, protect and defend equality for people in Miami -Dade County who are lesbian, gay, bisexual and transgender. The last three years, the City has publically acknowledged its commitment to Fair Housing during the month of April, issuing Proclamations recognizing the important for affirmatively furthering fair housing and acknowledging Housing Opportunities for Excellence, Inc. (HOPE, Inc.) for its commitment. In prior years the City had retained HOPE, Inc. to assist us in data gathering for our AI, specifically with the execution of a testing component. During the preparation of this AI, we could not contract with HOPE due to what has been a significant reduction in our CDBG funding, followed by a reduction in Departmental staffing, which started in 2009. The provision of fair housing services is eligible as either a program administration cost, per 24 CFR 570.206, or as a public service, per 24 CFR 570.201(e). Because of recent cuts in federal funding, the City does not currently allocate CDBG funds exclusively to undertake fair housing activities. Later in this document, we do identify the funding situation as one of our major impediments, specifically because we feel that good, anonymous testing is vital to recognizing the level of discrimination (of protected classes) taking place in any community. It is our goal, during the course of this current AI, to be able to fund a round of paired testing ultimately performed. However, we do want to thank HOPE, Inc. for their cooperation with this AI, as they have provided vital information and statistics and continue to be a vital partner in our fair housing efforts. HOPE, Inc. is a private fair housing not -for -profit organization dedicated to eliminating housing discrimination and promoting fair housing in South Florida. HOPE, Inc. employs a three -tiered system of private enforcement, education outreach, and counseling to achieve its mission to affirmatively further fair housing. Its programs are designed to ensure that residents, including those living in the City of Miami, are offered the right to select housing of their choice without discrimination based on race, religion, color, national origin, sex, disability, marital or familial status, or such other protected classes as may be conferred by federal, state, or local laws. DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 63 City of Miami FAIR HOUSING COMPLAINTS As a local FHIP, the private, not -for -profit Housing Opportunities Project for Excellence, Inc. (HOPE, Inc.), documents calls, e-mails, and takes in -person requests from persons throughout Miami -Dade County and its municipalities, that allege housing discrimination based on one of the protected classes. The City of Miami does not currently have a contract with HOPE, Inc. due to funding shortages. However, HOPE, Inc. accepts and processes fair housing inquiries and complaints from City residents providing said data in annual intake reports. HOPE, Inc. provides these public reports to us noting the complainant's zip code -- not their exact address, in order to protect the anonymity of the caller. We should note that some City zip codes do overlap with other jurisdictions so there is a possibility that some of the data we are attributing to persons in one of our City zip codes, might in fact fall within a neighboring community. Nonetheless, analyzing HOPE Inc.'s data allows the City's DCED to better understand any trends or concentrations of discrimination allegations/complaints within our boundaries. This allows us to better focus our fair housing information efforts in particular areas. As a disclaimer, we should also clarify that because an inquiry is filed, it does not mean that a discriminatory act occurred or that it was taken to court. As noted in Table 38 below, the bulk of the inquiries in the past three years have pretty consistently come from the same zip codes —these are 33125, 33138, 33142, and 33147. With one exception (zip code 33138), three of the noted zip codes run alongside one another in the northern end of the City of Miami. In the color coded map below, the two darker blue sections again illustrate the zips with the highest reported number of complaints (based on three-year average). DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 64 City of Miami City of Miami Fair Housing Complaints 3 year average (2012-2014) by Zip Code 33134 Legend — 3-10 E 11-20 ▪ 21-30 - 31 -100 When looking at the category of inquiries on any given year, the overwhelming majority (more than 75%) of these in each of the three given years identified in the table fall under category basis of discrimination that HOPE, Inc. identifies as "Other." According to HOPE, Inc., "Other" simply means the inquiry was based on a class other than one named in our federal, state, or local fair housing laws. The assumption that discrimination did not take place should not be made. The second largest number of inquiries falls under the basis of discrimination HOPE, Inc. identifies as "Disability," followed by "Race." DRAFT— 2015-2020 Analysis of Impediments to Fair Housing Choice 65 City of Miami Table 38: HOPE, Inc. Intake Reports — for City Zip Codes City Zip Code 33125 33126 33127 33128 33129 33130 33131 33132 33133 33134 33135 33136 33137 33138 33139 33142 33144 33145 33146 33147 33149 33150 Total cases in City zips Total cases in 263 County zips *The most recent fiscal year reported is incomplete, as 5 months remain. 4/1/2014- 4/1/2013- 4/1/2012- 10/31/2014* 3/31/2014 3/31/2013 13 16 11 2 4 3 Total per zip code 40 9 11 3 13 27 4 3 7 2 1 1 4 4 7 7 18 1 1 1 2 3 3 3 3 9 7 3 10 2 6 8 9 6 13 28 2 3 3 8 12 15 6 33 , 1 5 5 11 17 22 17 56 , 3 2 5 1 2 3 2 2 9 18 11 38 A 0 8 11 4 23 451 283 Table 39: HOPE, Inc. Basis of Discrimination for City zip code Based on intake reports Disability Familial Status National Origin Other Race Sexual Orientation Blank Rental Total 4/1/2014- 4/1/2013- 4/1/2012- 10/31/2014* 3/31/2014 3/31/2013 9 14 17 1 2 0 1 0 1 80 106 93 3 7 3 0 0 2 0 3 0 0 0 1 94 132 117 DRAFT— 2015-2020 Analysis of Impediments to Fair Housing Choice 66 City of Miami NATIONAL TRENDS According to the National Fair Housing Alliance's (NFHA) 2014 Fair Housing Trends report, "Expanding Opportunity: Systematic Approaches to Fair Housing," fair housing complaints (amounting to 27,352 filed in 2013, nationwide) have remained relatively steady compared to recent years. HUD estimates that the number of reported complaints represents less than one percent of the four million instances of housing discrimination that occur each year. The highest count of complaints reported by HUD in 2013 were disability related (53.5%), followed by 28.6% complaints reported to HUD that were race -related. It is interesting to note that although HUD witnessed an increase in six of the seven protected categories under the Fair Housing Act, race -based discrimination complaints have declined over the past two years (though it still remains the second -highest type of complaint). Discrimination complaints from renters with disabilities are the category with the highest number (44 percent) of complaints. COMPLIANCE The following section provides information outlining the actions taken since the last Al to address the fair housing complaints identified in the City of Miami. EDUCATION, OUTREACH, AND MONITORING The City of Miami continuously works throughout the year to implement the Affirmative Fair Housing Marketing Plan via seminars to multiple segments of the community, in conjunction with general outreach via the city's cable TV and radio operations and department. In addition, the city distributes free fair housing material at different city locations and at city sponsored events relevant to affordable housing. Aside from this, HOPE, Inc. conducts its own fair housing educational workshops within the County and City, also educating community based organizations, disability advocacy agency staff and clientele, and local housing industry professionals. These seminars provided attendees with key information regarding fair housing laws and how to seek redress of grievances related to housing discrimination, issues regarding reasonable accommodations, dwelling unit modifications for the disabled, housing opportunities for people with AIDS, and compliance with fair housing laws that protect against housing discrimination due to race, color, religion, national origin, sex, disability, familial status, age, marital status, or sexual orientation. Please see Table 20 for a complete listing of workshops. Specialized workshops for housing providers, including Community & Economic Development Block Grants (CDBG)/Home Investment Partnerships Program (HOME) funded Community & Economic Development Corporations (CDCs), and Community & Economic Development Housing Organizations (CHDOs), have also been provided through HOPE, Inc. In addition to the workshops, a media campaign was undertaken that provided an opportunity to outreach to the city's residents about fair housing rights. The city implemented a fair housing campaign, including HUD public service announcements on radio and television, and other public relations efforts. The campaign aired on the city -operated cable network (channel 77), with a potential viewership of over 64,000. Radio public service announcements are broadcast on the city -operated station (1680 AM). Fair Housing materials were distributed at city related events as well as included in the Department's quarterly DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 67 City of Miami newsletter and posted on the city's Community & Economic Development website. In addition, the City has issued proclamations for the last two years (2014, 2013) during National Fair Housing Month (April) further reinforce its commitment to upholding the Fair Housing Act and affirmatively furthering fair housing. It should be noted that fair housing marketing materials (in English and Spanish) are available at all of the city's NET offices, which are located in all five city commission districts and accessible to city residents. Table 40: Fair Housing Education and Outreach Activities, Date Description Address # Attendees February 19/20, 2013 Staff training on Affirmatively Furthering Fair Housing Training offered by the National Community Reinvestment Coalition 60 South Ivanhoe Blvd. Orlando, FL 32804 2 City employees September 4, 2013 Training for HOPWA agencies including fair housing review and working with the transgender community Lummus Park 404 NW 3 Street 40 January 24, 2014 HOPE FHC: Fair Housing &/or Predatory Lending Sessions (Creole) Haitian American CDC (Little Haiti) Varies February 11, 2014 HOPE FHC: Housing Provide Presentation South Florida Community Development Coalition Varies March 8, 2014 HOPE FHC: Community Fair Participation ConnectFamilias Fair: Miami -Dade College Interamerican Campus Varies March 11, 2014 HOPE FHC: Fair Housing &/or Predatory Lending Sessions Chapman Partnership families meeting Varies March 20, 2014 HOPE FHC, Fair Housing &/or Predatory Lending Sessions Accion Community Service Center Varies March 22, 2014 HOPE FHC, Fair Housing &/or Predatory Lending Sessions Neighborhood Housing Services Varies April 1, 2014 HOPE FHC: Fair Housing &/or Predatory Lending Sessions (Community Meeting) ConnectFamilias (Little Havana) Varies April 2, 2014 HOPE FHC, Fair Housing &/or Predatory Lending Sessions Miami Workers Center Varies April 9, 2014 HOPE FHC: Housing Provider Presentation Miami -Dade County Homeless Trust Varies May 5, 2014 HOPE: Housing Provider Presentation Miami Rescue Mission Varies DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice City of Miami 68 May 20, 2014 HOPE FHC, Fair Housing &/or Predatory Lending Sessions Wynwood Community Advisory Committee Varies May 21, 2014 Letter to all 100+ Section 8 HCV landlords including fair housing brochure and reminder Multiple N/A May 23, 2014 HOPE FHC, Fair Housing &/or Predatory Lending Sessions (Creole) Haitian American CDC Varies May 30, 2014 Periodic mailings to funded developers reminding them of alerting HUD (90 days prior) to initiation of rental marketing activities. Multiple developers @ 5-7 June 6, 2014 HOPE FHC: Community, Cultural, Health & Job Fairs Folk Life Friday (Overtown) Varies July 18, 2014 HOPE FHC: Community Fair Hosanna Community Baptist Church (Resource Fair) Varies July 19, 2014 HOPE FHC: Fair Housing &/or Predatory Lending Sessions Nieighborhood Housing Services Varies July 24, 2014 HOPE FHC: Community Fair Association of Agencies at Miami -Dade College Wolfson Campus/Miami- Dade County Commission on Disabilitiy Issues (ADA 25th anniversary celebration) Varies July 25, 2014 HOPE FHC: Community Fair Miami Rescue Mission Varies July 29, 2014 HOPE FHC: Fair Housing &/or Predatory Lending Sessions Hadley Park Homeowners Association (Liberty City) Varies August 2, 2014 HOPE FHC: Community Fair 54t" Street Medical Plaza Community Fair Varies August 6, 2014 HOPE FHC: Community Fair Fanm Ayisyen nan Miyami (FANM) Community Fair— Little Havana Varies August 7, 2014 HOPE FHC: Housing Provider Presentation Haitian American CDC Varies September 24, 2014 HOPE FHC: Community Fair Dade County Bar Association Young Lawyers Division (Hadley Park, Liberty City) Varies September 27, 2014 HOPE FHC: Community Fair CNC Community Fair, Marlins Park (Little Havana) Varies DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice City of Miami 69 September 19, 2014 HOPE FHC: Community fair Miami -Dade College Wolfson Campus (Downtown Miami) Varies October 25, 2014 HOPE FHC: Fair Housing & Predatory Lending Presentation (Creole) Haitian American CDC Varies November 8, 2014 HOPE FHC: Community, Culture, Health and/or Job Fair ConnectFamilias at Miami Dade Colllege Interamerican Campus Varies November 12, 2014 HOPE FHC: Fair Housing & Predatory Lending Presentation Liberty City Community Revitalization Trust Varies November 22, 2014 HOPE FHC: Fair Housing & Predatory Lending Presentation NHS at Coconut Grove Collaborative Development Corp. Varies November 24, 2014 Public Forum for Interested Miami Realtors addressing housing impediments of concern in the real estate market Miami City Hall, Commission Chambers 15 December 19, 2014 HOPE FHC: Community, Culture, Health and/or Job Fair (Holiday) Jessie Trice Community Health Center Varies January 26, 2015 thru March 26, 2015 Survey for the public on fair housing matters issued to over 1,000 stakeholders and posted on Department web site for 45 days Via e-mail mailing 57 April 25, 2015 Assistant Director of Policy attended HOPE, Inc.'s Fair housing luncheon and presented City Proclamation declaring April 2015, Fair Housing Month in the City of Miami. Jungle Island, City of Miami, FL 100+ May 14, 2015 Meeting with City Manager's staff and Economic Specialist concerning the draft of the Al DCED offices, City of Miami 4 May 21, 2015 Meeting with Spanish speakers from the Little Havana area and The Workers Center to discuss the draft Al's impediments in Spanish Iglesia del Espiritu Santo, 150 SW 13th Ave, Miami, FL May 28, 2015 DCED meeting with HOPE, Inc. concerning the Al draft DCED offices, City of Miami Source: Any event descriptions labeled HOPE, Inc. above are based on In Inc. orm ion provided by HOPE, Finally, in addition to education and outreach, HOPE, Inc. conducts continued monitoring of the following newspapers, apartment magazines, and books for housing discrimination and prohibited advertisement. • The Apartment For Rent • Senior Outlook DRAFT— 2015-2020 Analysis of Impediments to Fair Housing Choice 70 City of Miami ■ The Miami Herald ■ Homes By -Owner ■ The New Times ■ Harmon Homes ■ Casas Harmon South Florida ■ Coldwell Banker Real Estate Buyer's Guide ■ Greater Miami Apartment Guide ■ The Flyer ■ For Rent Magazine ■ South Florida Senior Outlook ■ El Flyer ■ New Times ■ El Clarin ■ Apartment Magazine and Street ■ Para Rentar DISCRIMINATION SUITS FILED HOPE, Inc. also conducts independent testing of advertised rental or sales properties to determine whether landlords, realtors or sellers comply with their responsibilities under the Fair Housing Act. Upon consulting with HOPE, three fair housing cases could be identified that have been litigated in the City of Miami since the last Al. Below is a brief description of these: 1. Wells Fargo— In early2012, the National Fair Housing alliance filed a formal complaint against three big banks with U.S. HUD. HOPE took part in a nationwide survey of foreclosed homes conducted by the National Fair Housing Alliance (NFHA). The alliance examined foreclosed properties controlled by three of the largest banks Wells Fargo, U.S. Bank, and Bank of America in the country — Wells Fargo, U.S. Bank, and Bank of America for failing to maintain its REO properties in minority neighborhoods . Evidence showed homes in predominately white neighborhoods received far more regular maintenance and efforts to sell than vacant homes in minority communities. More than 2400 REO properties in thirty major metropolitan areas were investigated and results were detailed in "Zip code Inequality: Discrimination by Banks in the Maintenance of Foreclosed Homes in Neighborhoods of Color." 2. Design Place in November 2012 and again in December 2014, 5175 NE 2 Ct. — HOPE, Inc. sued SPV Realty (property owner) of a 500 unit apartment complex, alleging that sales staff discriminated based on race (Blacks), telling them that units were not available while telling a second person (White) they were on the same day. The lawsuit also alleged the African -American renters were quoted higher rental rates than their Anglo counterparts. A settlement was reached. A second lawsuit against the same property was filed in December 2014 after recent testing found that the same discriminatory practices were still in place. HOPE is seeking financial damages for both the wrongdoing and because the site is a repeat offender. DRAFT— 2015-2020 Analysis of Impediments to Fair Housing Choice 71 City of Miami 3. Elite River View Apartments May 2014 — — HOPE, Inc. sued Elite River View Apartments for race -based discrimination at this apartment complex located at 1750 NW 27 Ave. After testing on three separate dates, it was found that the sales/leasing office staff systematically refusing to show vacant apartments to African -Americans. The rental complex settled the case out of court in November 2014. 4. In Dec. 2013 and mid-2014, the City of Miami filed separate lawsuits in Florida federal court claiming that Bank of America, JP Morgan Chase, Wells Fargo and Citigroup violated the 1968 Fair Housing Act by targeting minority communities with high - interest loans (predatory lending) dating back to 2004, thereby creating a foreclosure crisis that decreased tax revenues and increasing the need for municipal services. As of July 2014, Judge William Dimitrouleas of United States District Court for the Southern District of Florida had dismissed two of the lawsuits. 5. In April 2015, HOPE, Inc. filed a lawsuit against two South Florida apartment buildings, one which is located in the City of Miami neighborhood of Allapattah (1434 NW 19 Terrace). Both sites were tested for discrimination against protected classes — on three occasions --- between Aug. 2014 and Feb. 2015. The lawsuit alleges that both apartment complexes violated the Fair Housing Act of 1965 — specifically discriminating based on race in relation to offering housing at the sites -- and that the property owners/managers pay punitive and compensatory damages to HOPE and the Black plaintiffs, as well as attorney and court fees.16 CURRENT PROGRAMS A BRIEF SUMMARY OF CURRENT PROGRAMS AND ACTIVITES TO AFFIRMATIVELY FUTHER FAIR HOUSING IN THE CITY OF MIAMI This chapter briefly summarizes the current programs and activities carried out by the City of Miami. Both federal and non-federal programs are included in the assessment. The activities cited in this chapter were identified in the 2010 — 2011 Action Plan and are currently underway. In addition to the programs and activities, this chapter will also state the City's Affirmative Fair Housing policies pursuant to HUD regulations, 24 CFR 92.351 and consistent with Davis -Bacon and Section 3 protocols. Specifically, the City of Miami has adopted affirmative marketing procedures and requirements for rental and homebuyer projects containing five or more HOME/CDBG-assisted housing units. PROGRAMS FEDERALLY FUNDED PROGRAMS Community & Economic Development Block Grant Entitlement Program (CDBG): As an entitlement City, Miami receives an annual CDBG grant on a formula basis. The formula takes into account total population, overcrowding, and poverty. CDBG funds must be used for 16 The Miami Times, "Blacks turned away from housing — again," Jose Cassola, April 8, 2015. DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice City of Miami 72 activities that benefit low- and moderate -income persons. Eligible activities include affordable housing, public service, and economic development activities. The City (via the DCED) allocates most of its CDBG grant funding on a competitive basis, making funds available to non-profit agencies via a Request for Proposal (RFP) process held every two years. Priorities for these funds are established at annual public hearings, held in each of the five districts of the City of Miami. Different districts have different priorities and the priorities for each District are noted in the RFP issued by the City for agencies to respond to, and workshops are held to address any questions related to the RFP. All RFPs submitted are reviewed and scored and the DCED makes funding recommendations to the City of Miami Commission. The City updates (as needed) its CDBG Policies and Procedures Manual for all sub -recipients which is made available to them at the beginning and during the fiscal year. The last update to the manual was finalized in 2014. In the manual (page 23), the City details the different Civil Rights and Fair Housing requirements that all sub -recipients are bound to, including Title VI of the Civil Rights Act of 1964, the Fair Housing Act (Title VIII of the Civil Rights Act of 1968, Executive Order 11063/amended by 12259, and Section 104(b) and 109 of Title I of the Housing and Community Development Act of 1974. The manual (page 24-25) also addresses the requirements of Section 3 of the Housing and Community Development Act of 1968, Section 504 of the Rehabilitation Act of 1973, the Americans with Disabilities Act (ADA) of 1990, and the Age Discrimination Act of 1975 (as amended). In the last CDBG RFP competitive cycle (for FY 14-15), approximately 30 non -profits were awarded CDBG funds. Home Investment Partnerships Program (HOME): The purpose of the HOME Program is to increase the supply of safe, decent, sanitary, and affordable housing for low and very -low- income households. HOME also seeks to expand the capacity of nonprofit housing providers through CHDOs. Jurisdictions can use HOME funds to carry out a wide variety of housing activities for low- and very low-income families, including: • Homebuyer programs, which may include down payment and closing costs assistance, construction loans, rehabilitation, or new construction or soft cost pre -development. • Rental housing programs, consisting of construction loans, permanent mortgage loans, bridge loans, or loan guarantees for acquisition, rehabilitation, new construction, and refinancing. • Homeowner rehabilitation programs, including grants, loans, interest subsidies, and loan guarantees to pay for hard costs, related soft costs, and refinancing expenses. The City (via the DCED) also issues Requests for Proposals (RFP) for its HOME program based on funding availability and recommends RFPs based on a competitive basis. In each HOME proposal issued, the DCED addresses any priority housing needs the City may have based on its current Consolidated Plan. The DCED issued its last RFP in January 2014. In said RFP, an additional 20 points (out of a total 100 points) were awarded to any projects that were to be developed in District 2 or District 4 of the City of Miami. This preference was identified because these are the two districts of the City where land prices are highest and where we DRAFT— 2015-2020 Analysis of Impediments to Fair Housing Choice 73 City of Miami have historically seen the least amount of affordable housing development. The City believes in furthering fair housing choice whenever possible and saw this RFP as an opportunity to incentivize developers to seek locations where subsidized housing is lacking. We are happy to say that out of a total 21 RFPs received, the two recommended, and ultimately funded, projects were located in one of those two districts. All HOME related contracts require an Affirmative Fair Housing Marketing Plan AFHMP (HUD 935.2A) attachment/exhibit that developers must sign and attest to during the duration of the agreement with the City of Miami/DCED. Each recipient of HOME funds must comply with several requirements including, but not limited to: • Describe proposed method of advertising to be used to market to those least likely to apply • Display a Fair Housing Poster in any location where the sale/rental of assisted units (more than 5) takes place • Ensure that a City of Miami (standard) project site sign is displayed in a conspicuous position with the HUD -approved Equal Housing Opportunity logo included during the construction or renovation of the project including the amount of assistance provided to the site; the City provides all housing developers with uniform specifications for said sign which is an exhibit to their loan agreement/contract (exhibit)The developer must submit notification of intent to begin marketing to the Office of Housing in the HUD Office servicing the locality in which the proposed housing will be located no later than 90 days prior to the initiation of rental marketing activities Emergency Solutions Grant Program (ESG): The ESG program is a formula grant program that allocates monies to assist persons who are homeless or at -risk of homelessness via a variety of funding mechanisms including operating/improving emergency homeless shelters. The City utilizes its ESG allocation to aid in providing important street outreach and referral services via a City Department known as the Miami Homeless Assistance Program (MHAP), and funding rapid re -housing or homelessness prevention assistance for very low-income persons (30% AMI), which is managed by a sub -recipient. The latter recommendation/award is based on an RFP process. ESG provides a foundation for homeless people to begin moving towards independent living. The current level of funding is based on the yearly homeless assistance appropriation, as well as the demand of HUD's other McKinney-Vento Act programs. The City of Miami does not operate homeless shelters, as this is a function of the County — although one of the major shelters in the County is located in downtown Miami. The City uses ESG funds to provide outreach services to the homeless and to fund rapid re -housing and homelessness prevention activities which are both operated by a sub -recipient who is vetted via a Request for Proposal process. Housing Opportunities for Persons with AIDS (HOPWA): The City of Miami serves as the administrator of the formula grant -funded Housing Opportunities for Persons with AIDS (HOPWA) program for the entire geographical area of Miami -Dade County. The goal and intent of the local HOPWA Program is to ensure that a continuum of housing options and related housing services are available to low income persons with Acquired Immunodeficiency Syndrome (AIDS) or related diseases to prevent homelessness of such DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 74 City of Miami individuals and their families. We address this population in further detail elsewhere in this document. Neighborhood Stabilization Program (NSP): On July 30, 2008, the Housing and Economic Recovery Act of 2008 was signed into law to address the nation's severe housing crisis. Title III of the Act appropriates grant funds under NSP for states and local governments to purchase and redevelop abandoned or foreclosed properties. The Housing and Economic Recovery Act of 2008 directed the United States Department of Housing and Urban Development (HUD) to target funding to areas with the greatest needs based on the extent of foreclosures, subprime mortgages, and mortgage delinquencies and defaults. As part of the NSP allocations made to governments throughout the State of Florida, the City of Miami was awarded approximately $12.06 million. All activities funded by NSP must benefit low- and moderate -income persons whose income does not exceed 120% of area median income. NON -FEDERALLY FUNDED PROGRAMS Affordable Housing Trust Fund (AHTF): The City of Miami Planning & Zoning Departments also collect financial contributions (as stipulated by the current Zoning Ordinance) from private developers who opt for specific provisions allowed by the City of Miami Zoning Code (Miami21) to developments providing a certain number of affordable units in a given project, as defined by the Code. These collections are then dedicated to the City's Affordable Housing Trust Fund (AHTF), with funding from this source used to further the DCED's existent housing programs, aiding both homebuyers (first-time and existent) and for -profit or not -for -profit developers (multi -family rental and homeownership projects), as delineated in the Affordable Housing Trust guidelines approved by City Commission in Resolution #07-0203. In the case of homeownership housing, households must qualify as having income of up to 150%of the AMI; in the case of rental housing, the income of renters must be at or below 80% AMI. Building Better Bonds: The Miami -Dade County General Obligation Bonds (GOB Program), passed by County residents in November 2004, is the largest capital construction bond program in the County's history, encompassing over $2 billion and spanning total project completion between 15 to 20 years. The bonds are legally backed by the full faith and credit of the County which has committed future taxes over the next 40 years to repay the bonds. Bond awards are made to projects — including affordable housing projects — at the discretion of the Miami -Dade County Commission. Community Redevelopment Agencies (CRA): Two CRAs operate within City of Miami boundaries - one in the Southeast Overtown Park West neighborhood, and a second in the OMNI. Both are independent government agencies established by the City of Miami and Miami Dade County in the 1980s, pursuant to the Community Redevelopment Act of 1969. The main objective of the agencies is to eliminate slum and blight within their respective boundaries. The agency is governed by the Board of Commissioners of the City of Miami. The CRA funds its programs and projects primarily through Tax Increment Financing, which uses the increased property tax revenues collected by the City of Miami and Miami Dade County. In turn, the CRA reinvests these funds back into the Redevelopment Area by funding infrastructure and capital improvements, affordable housing and economic development projects. DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 75 City of Miami State Housing Initiatives Partnership program (SHIP): The State Housing Initiatives Partnership program is the first permanently funded state housing program in the nation to provide funds directly to local governments to increase affordable housing opportunities on a noncompetitive basis. The funds are used to produce and preserve affordable homeownership and multifamily housing for very low, low and moderate income families. The City of Miami uses SHIP dollars to fund emergency repairs, new construction, rehabilitation, down payment and closing cost assistance, construction and gap financing, mortgage buy -downs, matching dollars for federal housing grants and programs, and homeownership counseling. After a freeze on SHIP allocations for several years related to the national and state economic downturn, the City received @ $500,000 in FY2013-2014 and just over $1 million in 2014-2015. The program is funded by a documentary stamp program made possible by the State's Sadowski Act. Miami -Dade County Documentary Stamp Surtax Program: Under Section 201.02 and 201.131 of the Florida Statutes, certain counties are authorized to levy a surtax on documents that transfer interest in Florida real property (transfers of interest in single-family residences are exempt from this surtax). In 1984, Miami -Dade County exercised that authority, establishing a Housing Assistance Loan Trust Fund and implementing the Documentary Surtax Program ("Surtax Program"). This program requires that at least 75% of the funds are allocated to successful agencies to benefit low-income families with incomes of 80% or less of AMI for the County. The remaining 25% are to be made available to moderate income families with incomes of up to 140% AMI. Surtax awards are made based on application process handled entirely by the County's Public Housing & Community Development Department, and presented for the review and approval of the Miami -Dade County Board of County Commissioners. Typically, surtax funds are used for activities including rental housing development, rehabilitation, homeownership, and mortgage assistance. In 2014, approximately $48 million were recommended for funding throughout all of Miami -Dade County. Low -Income Housing Tax Credit Program: The Low -Income Housing Tax Credit Program is a tool for private developers and not -for -profit entities to construct or rehabilitate affordable rental units. This program is operated by the Florida Housing Finance Corporation (FHFC) based in the state capital (Tallahassee) and via a competitive application process awards developers 9% tax credits in exchange for substantially rehabilitating or constructing (new) rental housing projects that set aside either 40 percent of the units at 60% of AMI or 20 percent or more units at 50% AMI or below. Miami -Dade County Food and Beverage Tax Funds: The Food and Beverage (F&B) tax is a 1% sales tax levied on food and beverages to provide a dedicated source of funding collected County -wide to fund the County's two Homeless Assistance Centers (HAC) or supportive housing projects (for the formerly homeless) and/or homeless services but these funds are solely administered and managed by the Miami -Dade Homeless Trust (Trust), the main Continuum of Care (CoC) operator in our County (85% of the funds toward homeless and 15% toward domestic violence services). Again, F&B funds are awarded via a Request for Proposal (RFP) process. Approximately $18.4 million was collected in 2014, through October. DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 76 City of Miami ACTIVITIES The City of Miami stated in its FY 2015-2016 Action Plan that the current activities would focus on implementing policies that advance housing preservation and neighborhood revitalization, with the overall goal of improving the quality of life of the residents and preserving the social and historic character of low income neighborhoods threatened by gentrification. Specifically, the focus has been on the following activities: ■ Affordable housing preservation through single-family rehab and residential code compliance assistance, supportive fair housing activities, downpayment assistance, and funding affordable housing developments. ■ Neighborhood revitalization through supporting economic development activities in the Commercial Business Corridors (CBCs) and concentrating funding for projects that will stimulate revitalization within the Neighborhood Development Zones (NDZs). Other city areas are also being taken into consideration. PRESERVE AFFORDABLE RENTAL HOUSING ACTIVITIES In order to preserve affordable rental housing opportunities within the City of Miami, the Department of Community & Economic Development is encouraging the construction of new rental units within the target areas as specified in the 2014-2018 Consolidated Plan, as well as the funding of existent LIHTC and/or affordable rental buildings in need of upgrades/renovations. Through this initiative, the City seeks to increase and preserve the inventory of affordable rental housing available to low and moderate income households. As recommended in the Housing Needs Assessment in the Consolidated Plan, the focus will be on serving those that are most in need of rental assistance, namely low-, very -low-, and low to moderate income residents. Below is a description of the activities. Multi -Family Rental New Construction: To increase the inventory of affordable rental housing in the Model Blocks and the NDZs, the City of Miami encourages the construction of new rental units by partnering with non-profit and for -profit housing developers. The City provides construction loans, permanent mortgage loans, bridge loans, or loan guarantees for acquisition, rehabilitation, new construction, and refinancing. Multi -Family Rental Rehabilitation: To preserve the affordable rental housing inventory, the City of Miami provides multi -family rental rehabilitation loans and/or grants for the preservation of affordable rental housing available to extremely low-, very low-, and low to moderate -income residents. Housing Choice Voucher Assistance: The City of Miami provides rental subsidies to 136 low - and very -low, and moderate -income households through the Section 8 Program. Participants in the HCV program are free to choose any qualified housing in the private housing market located within the boundaries of Miami -Dade County. Generally, each participant pays at least 30% of their household income towards housing costs (including rent and utilities). A voucher that covers the rest of the costs, up to a limit, is issued by the administering housing agency. The DCED oversees the program from the City of Miami which serves households with incomes at or below 80 percent of the median income for the Metropolitan Statistical Area (MSA). Due to the high cost of rental units in Miami, the gap between what working poor, elderly and disabled people can afford in the rental market and what rents are has grown DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 77 City of Miami exponentially in recent years. This has placed even more demand on the program which has a very low level of attrition in our community. Section 8 Moderate Rehabilitation Program (Rental Assistance): The city's Housing Choice Voucher Assistance program allows qualifying households to choose and lease or purchase safe, decent, and affordable privately -owned rental housing. The City oversees moderate - rehabilitation units in 16 buildings located in two of the City's five districts. The bulk of the units in this program are one -bedrooms (227), with 38 units offering two bedrooms, and a total of 15 studio apartments. The last waitlist for the S8 Mod Rehab program was established in 2003. At that time, data on applicant's race, sex, ethnicity, was not logged so we cannot address the characteristics of that waitlist at this time. PRESERVE EXISTING AFFORDABLE HOUSING - HOMEOWNER RETENTION ACTIVITIES The City of Miami has focused on providing housing rehabilitation assistance to low and moderate income households in order to help them maintain and retain their homes, and prevent the existing housing stock from continuing to decline. This is important because there are a substantial number of the single family homes in the City that fall below minimum housing quality standards (disrepair). Many of these homes are owned by low and moderate income homeowners who lack the financial capacity and/or credit history required to obtain home repair financing from private lenders. The goal is to assist homeowners with rehabilitation of housing, the removal of code violations, and replacement of unsafe structures. Preference has been given to the elderly and disabled. Below are the specific activities used to implement this policy. Single -Family Rehabilitation Program and Code Enforcement Assistance: The City of Miami provides home improvement and rehabilitation assistance to homeowners throughout the City in order to improve the condition of existing housing stock. Under this rehab program, existing income -eligible homeowner(s) that reside and maintain a property as their principal residence in the City of Miami will be able to obtain a deferred loan to bring their property to decent, safe, and sanitary housing standards, or to correct existing code violations. Through this program, the City has been able to encourage low to moderate income owners that have illegal units to bring their properties up to code or to remove the illegal structures. The Department of Community & Economic Development plans to continue to work closely with the Code Enforcement Division of the city to target areas that have a high number of code violations. The intent is to provide incentives for homeowners to correct such code violations. Recently, the City had to up its maximum assistance amount under this program to $50,000, from the previously approved amount of $35,000, because of the serious conditions of the properties in the program, along with the rising local costs of construction materials. Housing Replacement: The City provides assistance to replace dilapidated owner -occupied housing units which are not suitable for rehabilitation due to the extent of their needed repairs. Funds are used to defray the cost of temporary relocation expenses, demolition of the dilapidated structure, and soft and hard construction costs associated with the reconstruction of the new home. In Miami, the maximum loan under this program is $150,000. Because of the shortage of housing funds, very few home replacements take place on any given year. DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 78 City of Miami HOMEOWNERSHIP ACTIVITIES The City of Miami continues working toward providing affordable homeownership opportunities for working class and moderate income families who are seeking to become homeowners, but need additional financial assistance to be able to afford their home. The City plans to continue to increase the inventory of affordable homeownership units through new construction of affordable housing units and its homeownership financing program. In addition, the City helps renters prepare for homeownership by referring them to Homebuyer Counseling Programs. The following describes the specific activities. Finance Construction of New Homeownership Units: The City of Miami promotes affordable homeownership opportunities for low and moderate income families by financing new construction. The City also provides hard and soft construction financing and permanent financing for affordable housing units. Provide Homeownership Financing: To assist homebuyers in the purchase of a home, the City of Miami provides down payment, closing cost, and/or second mortgage financing assistance to eligible persons and households who are first time homebuyers. Although this assistance is available to anyone who wants to purchase a home in the City of Miami, City residents have access to the maximum allowable subsidy. STIMULATE HOUSING DEVELOPMENT — OTHER NON -HUD ACTIVITIES In addition to the activities listed above, it has been important for the City of Miami to provide incentives to stimulate housing development. Such incentives help to off -set the barriers that make it difficult to undertake affordable housing projects. The following is a list of the incentives that the City of Miami provides in order to facilitate the development of affordable housing. Affordable Housing Incentives: The City of Miami continues to provide incentives to developers through the Affordable Housing Incentive Plan. This plan provides developers of affordable housing projects with a number of local incentives that are intended to expedite the pre -development process and reduce certain cost(s) in connection with the production of affordable housing projects in the City of Miami. The incentives — which are ongoing —include: ■ Expedited Permitting for Affordable Housing Projects. ■ Review of Legislation, Policies and Plans that Impact Affordable Housing. ■ Impact Fee Waiver/Deferral. ■ Reduction of Parking and Setback Requirements - Miami 21 allows for parking reduction for Low -Income Housing by process of exemption -- only up to fifty percent (50%) of the spaces generally required. ■ Lien Removals for Affordable Housing properties Training/Workshops for Developers on City Programs and Regulations: The Community & Economic Development Department seeks opportunities to work with other City departments and Miami -Dade County to provide training to developers on the rules and regulations that govern the development process. Such training may include workshops on the permitting process, zoning, and environmental clearances. DRAFT— 2015-2020 Analysis of Impediments to Fair Housing Choice 79 City of Miami Increase Capacity of Non-profit Housing Providers: To help improve the capacity of non- profit housing providers, the City of Miami provides various services intended to assist these organizations. Furthermore, the City encourages CDCs to partner with private developers by giving developers extra credit points in their RFP applications if they have a 51 percent partner that is a non-profit. SPECIAL NEEDS AFFORDABLE HOUSING ACTIVITIES The City of Miami is committed to assisting persons with special needs, and their families, obtain affordable housing. Special needs populations include the elderly, individuals living with HIV/AIDS, and persons with disabilities who are within the very low to moderate income range. The activities for special needs populations are described below. Housing Opportunities for the Elderly: The City continues to seek opportunities to fund rehabilitation and new construction of residential projects that are Section 202 Supportive Housing. Housing Opportunities for People with AIDS: Through the HOPWA Long Term Rental Assistance (LTRA) program, the City of Miami works to expand housing opportunities for county residents that are low to moderate income and have been diagnosed with AIDS with approximately 1,000 clients assisted per year. The City has also operated a Short Term Rental and Mortgage Utility (STRMU) program for the last 3 years for low- to moderate -income persons with AIDS —who are not HOPWA LTRA clients — and whom have had some emergency situation that has set them back in related housing expenses, STRMU assists approximately 100 households a year for a maximum of 21 weeks and helps stabilize their housing so they are not at risk of losing their place of residence. Homeless Program: The DCED continues its efforts in the prevention of homelessness by supporting the City of Miami's Homeless Program and its street outreach programs via Emergency Solutions Grant (ESG) funding. The City's Homeless Office provides outreach services in the form of referrals for a myriad of social services, including behavioral, mental, health, and supportive housing. The City also funds a sub -recipient to provide homelessness prevention and rapid re -housing assistance to very low-income persons and families who are homeless and/or at risk of homelessness (with a court ordered eviction notice). Operated under the programmatic name HAND, the City's funding assists some 110 households a year. AFFORDABLE HOMEOWNERSHIP OPPORTUNITIES An FHA mortgage is a loan provided by an FHA approved lender but backed by the Federal Housing Administration (providing additional security to the lender). This loan program only requires a 3.5% down payment (or equity for a refinance) for people with good credit scores. It is possible for someone with a weaker credit score to qualify for the FHA program with 10% down. The 3.5% down payment program is highly desirable to people that have the income to buy a home, but may not have much of a down payment (or those who just want to minimize their down payment). The inability to get certification hurts condos' affordability, since buyers who seek financing without it face greater interest rates, and down payments of around 20 percent, rather than the FHA's customary 3.5 percent. DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 80 City of Miami After the real estate collapse, and the tightening of FHA rules, many communities saw a sharp decline in the number of FHA approved condominium buildings and Miami was no exception. After conversations with the MIAMI Realtors association, the lack of FHA approved condominiums has become a housing impediment. Foremost, for one buyer in a condominium building to be approved for an FHA loan, the entire complex must follow specific guidelines including that at least 50% of the development's units must be owner - occupied, no more than 15% of the total units can be over 60 days late in their association fees, and the association cannot be party to a pending legal action. Getting FHA approved also requires extensive documentation — both financial and insurance documents (hazard, floor, liability, fidelity bond/insurance) and many developers opt to not go through that process. Aside from these difficulties, there is also a common misconception that FHA Loans are for the low-income although statistics indicate that some 60% of homebuyers use an FHA Loan. This too can create a "stigma" tied to FHA loans amongst condo owners (associations) who can opt to avoid the complicated FHA review/approval process altogether. Besides this, Florida law allows condominium boards to waive reserves and there is a ban of co-insurance on hazard insurance policies. The Miami Association of Realtors has also reported that estimates indicate that approximately 95% of condominiums in South Florida have co- insurance, as such making them ineligible for FHA insured loans. Moreover, the Association also points out that the FHA doesn't have a policy to accept pooled or state -run insurance companies. As already explained, the bulk of Miami's housing stock is comprised of condominium units, yet a short list of FIVE is FHA approved which affects the local buyer's ability to purchase a condo as a primary home under this program. Reports indicate that in the County's entire roster of 4760 condo projects, only 21 are approved. Upon discussions with the MIAMI Realtors Association, and the issues the latter creates for their business, several factors were brought up as potential reasons why most buildings' homeowners associations' are opting to NOT obtain FHA approval for their building including (but not limited to): 1.) the long and overall cumbersome process of acquiring the approval, and the need to hire someone to facilitate it at a heavy cost to the HOA; 2) the requirement of the ten percent of income that must be regularly deposited in a reserve account; 3.) the requirement of a minimum of a 50% owner occupancy rate; 4.) and finally, the misconception by many persons that household's wanting to use an FHA loan are in fact, low income, or receiving some type of government subsidy and will be a "liability" the building and become delinquent on their fees and/or their mortgage, creating a stigma in the marketplace associated with these types of loans. An FHA loan requires the loan applicant to live in the apartment as a principal residence (homestead property). Based on conversations with the local real estate industry, there is misinformation, or the misconception amongst some members of the public, that because the FHA insures loans with down payments of as little as 3 percent, and borrowers with less -than -perfect credit, that these factors always correlate to excessive risk. According to recent analysis from the Urban Institute, all else being equal, the default rates on loans with down payments of 3-5 percent are actually quite similar to the default rates on loans with down payments of 5-10 percent. Upon pulling a list from the HUD website for all FHA approved condominiums in Miami - Dade County as of January 2015, the table below indicates that only FIVE locations are eligible in the City. We also note the average price points of those locations for reference. DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 81 City of Miami Table 41: FHA Approved Multi family buildings in the City of Miami Project Name Project Address Description Start End Date Average Price point (1/15) BRICKELL ON THE RIVER NORTH 31 S.E. 5TH ST, MIAMI, FL 33131 404 units- 384 residential units, 20 commercial units, 1 building 4/22/2014 4/22/2016 $374,900 (2/2) BRICKELL PLACE PHASE II 1925 BRICKELL AVENUE, MIAMI, FL 33129 Three Buildings, two towers and townhomes: Bldg 1-1915 Brickell Avenue -Tower C(198); Bldg 2-1925 Brickell Avenue -Tower D(257); Bldg 3- 1915 Brickell Avenue-Townhomes(12) 7/23/2013 7/23/2015 $530,000 (2/2) CORAL WAY GARDENS 2160 SW 16TH AVE, MIAMI, FL 33145 Consists of 80 units 10/29/2013 10/29/2015 $132,900 (1 /2/) COSTA BELLA CONDOMINIUM 1450 BRICKELL BAY DR., MIAMI, FL 33131 High -Rise 19 story bldg consisting of 213 units; Missing all condominium legal documents, mgmt agreement, FEMA Flood map information and special assessment information. 8/7/2013 8/7/15 $359,000 (2/2) KEYSTONE VILLAS, A CONDOMINIUM 3590 CORAL WAY, MIAMI, FL 33145 1 Nine Story Building, 60 residential units, 1 commercial units. 4/14/2014 4/14/16 $349,000 (2/2) As listed on www.hud.gov (1/12/2015) *Providing lowest price on record for a 2/2 as listed on condo.com The DCED believes that FHA condo approvals can dramatically increase the pool of potential buyers in any community. Also, buyers who use FHA loans are more likely to reside in the unit, and not rent it out. This is a win for the building as they will not have absentee landlords renting their units. PUBLIC HOUSING As noted previously, all public housing within the City of Miami are operated by the Miami - Dade Public Housing & Community Development (PHCD) Department. In a 2004 review of Miami-Dade's public housing units, U.S. HUD determined that PHCD would need to bring an additional 478 public housing units into compliance with uniform federal accessibility standards (UFAS). In 2005, the county entered into a VCA agreement with U.S. HUD requiring the county to address deficiencies identified in the county's housing, non -housing, (i.e., common entrances, management offices, laundry rooms common areas, corridors, hallways, elevators, community programs and day care facilities,) and administrative offices as follows: (1) PHCD must select and hire a VCA administrator within 120 days of the execution of the VCA that shall report to the PHCD director to coordinate all compliance activities of the VCA. The county is required to procure a surveyor, architect/design firm(s) and contractors to perform the work specified under the VCA. The county shall construct or convert a minimum of 5%, i.e., 478 of its 9,543 total housing units to comply with section 504, title ii of the ADA, the uniform federal accessibility standards (UFAS), the fair housing act and the architecture barriers act. (2) the county shall ensure that non -housing programs are accessible to persons with disabilities, including, but not limited to all common areas, accessible routes, management and regional offices (including restrooms), laundry room mail delivery, trash disposal, meeting rooms, recreation rooms, community center (including restrooms) and day DRAFT— 2015-2020 Analysis of Impediments to Fair Housing Choice 82 City of Miami care centers (including restrooms).The county shall complete accessibility modifications to its central office, private rental housing division offices and administrative offices housing its ADA coordinator. (3) the County must meet all the terms and conditions of the VCA within six (6) years from the date it is executed. Based on a report dated February 5, 2013, PHCD has brought a total of 111 of the required 478 units up to the UFAS standard, with an additional 367 units to be completed by no later than FY 2015. Based on PHCD's current schedule, 94 additional units are to be completed in FY 2013; 75 units are to be completed in FY 2014; and, the remaining 198 units are to be completed during FY 2015. It is anticipated that all of the funds necessary to comply with the VCA agreement will be funded through the capital fund program (CFP) funds. THE HOME MORTGAGE DISCLOSURE ACT - HMDA HMDA was enacted by Congress in 1974 and requires that certain financial institutions (banks, savings associations, credit unions, and other mortgage lending institutions) make public information about their home loans by: 1) the applicant's race and income, 2) the type, purpose, and amount of the loan, 3) the loan application decision, and 4) the census tract of the property to be financed. The loan data discussed in this section was pulled directly from the Federal Financial Institutions Examination Council's website www.ffiec.gov. HUD recommends that HMDA data be included in an Al as an analysis of mortgage applications and their outcomes can identify possible discriminatory lending practices and patterns in a community. Home Mortgage Disclosure Act (HMDA) data contains records for all residential loan activity, reported by banks. Any commercial lending institution that makes five or more home mortgage loans annually must report all residential loan activity to the Federal Reserve Bank, including information on applications denied, withdrawn, or incomplete by race, sex, and income of the applicant. HMDA reports several types of housing loans including purchase loans, refinancing loans, and home improvement loans. Purchase loans are simply loans that are being used to purchase (transfer the title of) a home. This is distinct from home improvement loans which are loans being used to modify an existing home without having the property change hands. Finally, refinancing loans are utilized to take advantage of better interest rates, to consolidate loans, to reduce monthly payments amounts, and in some instances to reduce the risk level by switching from a variable -rate to a fixed-rate loan. The most recent free data available for our general area encompasses what the FFIEC reports refer to as the Miami -Miami Beach -Kendall MSA. The data included in this analysis encompasses data for the last three available years (2012-2014) across this entire MSA. To be clear, Miami is one of several municipalities within this area and as such, the data noted here encompasses a geographic area much wider and larger than that of our City alone. A more careful analysis of loans that would have solely focused on loans made within our City was not possible, as it would require both an indefinite research expense and a significant investment of time to sort through loans within particular tracts and the an additional qualification of the property address. Given our City and Department resources, our analysis here is more general. Please note that the demographic and income information provided in the loan tables below pertains to the primary applicant only. DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 83 City of Miami In order to address HMDA data accurately within our MSA, we would also need to stress the higher -than -average amount of real estate cash transactions the Miami MSA has experienced for several years, which would obviously not be reflected in the HMDA data below. For reasons already stated, Miami sees a large amount of foreign capital and many investors from outside the U.S. have elected to purchase property here, either for rental purposes or for second/third home purposes. These cash sales are difficult to track by a municipality (and our Department) and so we must rely on industry reports for some type of general data to better understand their role in our marketplace. Because South Florida had one of the largest foreclosure rates in the nation, there was a large supply of bank owned properties in 2012 and 2013. Many lenders (that might have been sitting on long lists of foreclosed homes and bad loans) were interested in selling said properties quickly to investors who paid cash versus waiting for traditional buyers to secure mortgage financing. Besides this, finding traditional buyers with good credit who could buy became more difficult as mortgage requirements were strengthened. Reports indicate that in 2012, cash sales made up 57% of Florida's home sales, while in 2013 the average climbed to the low 60% levels. According to a recent release by CoreLogic as recently as October 2014, "of the nation's largest 100 Core Based Statistical Areas (CBSAs) measured by population, Miami -Miami Beach -Kendall, Fla. had the highest share of cash sales at 56.6 percent."17 In the tables that follow, we look at conventional loans followed by FHA loans between 2011 and 2013. In comparing at Tables 42, 43, and 44, we first make some general observations. To begin, the largest number of loan applications received for our MSA in the conventional loan category was in the Refinancing category, with approximately 106,910 received in three years. That was followed up by the number of Home Purchase loans, which amounted to some 42,483 applications in three year. Finally, the fewest number of applications received was in the Home Improvement category with a total of some 8,759 in the last three years. Conversely, the highest denial rates are seen in the Home Improvement category with a three-year average of 67% denials. When focusing on Table 42 (Conventional Home Purchases), the amount of applications has steadily increased since 2011. The percentage issued has remained fairly steady with a slight hike in 2013 up to approximately 59%. The percent denied has also remained pretty steady, oscillating somewhere in, or around 24%. CONVENTIONAL LOAN THREE-YEAR BREAKDOWN Table 42: Results of Conventional (Home Purchase) Loans in Miami -Dade Reporting Year: 2013 Race /Ethnicity Total Applications Number Issued Percent Issued Approved Not Accepted Number Denied Percent Denied With- drawn Closed Incomplete American Indian or Alaskan 30 17 56.7% 2 9 30.0% 2 0 Asian 383 212 55.4% 16 99 25.8% 43 13 1- "Cash Sales Continue to Decline in US, Miami Still Top Market," World Property Journal, Michael Gerrity. DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice City of Miami 84 Black or African American 612 338 55.2% 24 169 27.6% 56 25 White 13872 8192 59.1% 836 2880 20.8% 1519 445 Other 169 94 55.6% 9 37 21.9% 22 7 Unknown 2243 1310 58.4% 142 456 20.3% 239 96 Total by Race 17309 10163 59.3% 1029 3650 24.4% 1881 586 Hispanic* 9427 5591 59.3% 563 2005 21.3% 977 291 Reporting Year: 2012 Race / Ethnicity Total Applications Number Issued Percent Issued Approved Not Accepted Number Denied Percent Denied With- drawn Closed Incomplete American Indian or Alaskan 23 8 34.8% 3 9 39.1% 1 2 Asian 291 163 56.0% 18 66 22.7% 33 11 Black or African American 509 251 49.3% 39 143 28.1% 55 21 White 10507 6242 59.4% 776 2135 20.3% 1047 307 Other 116 62 53.4% 10 32 27.6% 9 3 Unknown 1829 1050 57.4% 125 356 19.5% 232 66 Total by Race 13275 7776 51.7% 971 2741 26.2% 1377 410 Hispanic* 7006 4157 59.3% 479 1473 21.0% 690 207 Reporting Year: 2011 Race / Ethnicity Total Applications Number Issued Percent Issued Approved Not Accepted Number Denied Percent Denied With- drawn Closed Incomplete American Indian or Alaskan 22 14 63.6% 1 5 22.7% 2 Asian 265 131 49.4% 18 66 24.9% 36 14 Black or African American 524 246 46.9% 53 158 30.2% 50 17 White 9315 5151 55.3% 718 2099 22.5% 1027 320 Other 96 46 47.9% 11 22 22.9% 13 4 Unknown 1677 957 57.1% 114 327 19.5% 187 92 Total by Race 11899 6545 53.4% 915 2677 23.8% 1315 447 Hispanic* 6146 3388 55.1% 431 1479 24.1% 649 199 Source: FFIEC; *Hispanic ethnicity is counted independent of race. HOME REFINANCE LOANS There has also been a steady increase in the amount of applications submitted for home refinance loans (Table 43) from 2011 to 2013. Even though the amount of applications in 2013 was more than double the amount submitted in 2011, the percent issued in 2013 was just slightly above (46%) that of 2011's percentage (42%). The popularity of home refinance loans makes sense, given that interest rates have dropped to low levels below 4 percent. With industry insiders predicting that interest rates will climb, this trend might not stick. DRAFT- 2015-2020 Analysis of Impediments to Fair Housing Choice 85 City of Miami Table 43: Results of Home Refinance Loans in Miami -Dade Reporting Year: 2013 Race / Ethnicity Total Applications Number Issued Percent Issued Approved Not Accepted Number Denied Percent Denied With- drawn Closed Incomplete American Indian or Alaskan 119 45 37.8% 12 38 31.9% 15 9 Asian 815 429 52.6% 79 195 23.9% 59 53 Black or African American 3123 1367 43.8% 238 986 31.6% 312 220 White 32327 16781 51.9% 2558 8211 25.4% 2886 1891 Other** 522 261 50.0% 45 118 22.6% 58 40 Unknown(Race not available) 7387 3118 42.2% 509 2108 28.5% 949 703 Total by Race 44293 22001 46.4% 3441 11656 27.3% 4279 2916 Hispanic* 22917 11700 51.1% 1887 6059 26.4% 1954 1317 Reporting Year: 2012 Race / Ethnicity Total Applications Number Issued Percent Issued Approved Not Accepted Number Denied Percent Denied With- drawn Closed Incomplete American Indian or Alaskan 75 40 53.3% 5 19 25.3% 8 3 Asian 775 425 54.8% 41 185 23.9% 75 49 Black or African American 2567 1256 48.9% 164 768 29.9% 245 134 White 30441 16850 55.4% 1857 7428 24.4% 2779 1527 Other** 468 222 47.4% 32 138 29.5% 42 34 Unknown(Race not available) 6309 2971 47.1% 406 1705 27.0% 743 484 Total by Race 40635 21764 51.2% 2505 10243 26.7% 3892 2231 Hispanic* 20299 11166 55.0% 1240 5181 25.5% 1673 1039 Reporting Year: 2011 Race / Ethnicity Total Applications Number Issued Percent Issued Approved Not Accepted Number Denied Percent Denied With- drawn Closed Incomplete American Indian or Alaskan 53 19 35.8% 2 23 43.4% 6 3 Asian 402 169 42.0% 33 132 32.8% 41 27 Black or African American 1281 469 36.6% 83 493 38.5% 160 76 White 16230 7863 48.4% 1093 4696 28.9% 1749 829 Other** 261 127 48.7% 15 88 33.7% 20 11 Unknown(Race not available) 3755 1471 39.2% 220 1139 30.3% 500 425 Total by Race 21982 10118 41.8% 1446 6571 34.6% 2476 1371 Hispanic* 10182 4825 47.4% 658 3101 30.5% 1033 565 Source: FFIEC *Hispanic ethnicity is counted independent of race. DRAFT - 2015-2020 Analysis of Impediments to Fair Housing Choice City of Miami 86 HOME IMPROVEMENT LOANS In relation to home improvement loans (Table 44), although the applications for these have steadily climbed in the past three years, denial percentages continue to be high. These are in fact much higher than those seen amongst the other two conventional loan categories (purchase and refinancing). These overall higher denial rates could be attributed to the fact that many Miami -Dade homeowners are underwater and owe more on their homes than what they are worth. According to CoreLogic, negative equity continues to be an issue for nearly a third of Miami -Dade homeowners.18 Approximately 27% of Miami -Dade homes were underwater in the fourth quarter of 2014. Although that percentage is better than 2013's report, which indicated that some 34% of Miami -Dade homeowners were underwater. Table 44: Results of Home Improvement Loans in Miami -Dade Reporting Year: 2013 Race / Ethnicity Total Applications Number Issued Percent Issued Approved Not Accepted Number Denied Percent Denied With- drawn Closed Incomplete American Indian or Alaskan 33 8 24.2% 5 18 54.5% 2 0 Asian 63 16 25.4% 4 41 65.1% 2 0 Black or African American 563 83 14.7% 12 449 79.8% 13 6 White 2484 681 27.4% 176 1460 58.8% 119 48 Other** 47 12 25.5% 1 33 70.2% 1 0 Unknown(Race not available) 458 132 28.8% 42 247 53.9% 31 6 Total 3648 932 24.3% 240 2248 63.7% 168 60 Hispanic* 2030 486 23.9% 134 1308 64.4% 74 28 Reporting Year: 2012 Race / Ethnicity Total Applications Number Issued Percent Issued Approved Not Accepted Number Denied Percent Denied With- drawn Closed Incomplete American Indian or Alaskan 40 6 15.0% 1 33 82.5% 0 0 Asian 37 9 24.3% 2 23 62.2% 3 0 Black or African American 491 63 12.8% 9 402 81.9% 15 2 White 2001 551 27.5% 109 1240 62.0% 82 19 Other** 43 4 9.3% 2 35 81.4% 2 0 Unknown(Race not available) 552 114 20.7% 53 359 65.0% 21 5 Total 3164 747 18.3% 176 2092 72.5% 123 26 Hispanic* 1667 376 22.6% 76 1153 69.2% 49 13 18The Miami Herald, "Nearly a third of Miami -Dade homeowners owe more than their property is worth," Nicholas Nehamas, March 18, 2015. DRAFT - 2015-2020 Analysis of Impediments to Fair Housing Choice City of Miami 87 Reporting Year: 2011 Race / Ethnicity Total Applications Number Issued Percent Issued Approved Not Accepted Number Denied Percent Denied With- drawn Closed Incomplete American Indian or Alaskan 32 7 21.9% 1 23 71.9% 0 1 Asian 18 3 16.7% 1 13 72.2% 1 0 Black or African American 302 53 17.5% 8 234 77.5% 6 1 White 1315 344 26.2% 63 828 63.0% 53 27 Other** 33 13 39.4% 4 13 39.4% 2 1 Unknown(Race not available) 247 49 19.8% 11 156 63.2% 23 8 Total 1947 469 23.6% 88 1267 64.5% 85 38 Hispanic* 1130 258 22.8% 46 771 68.2% 38 17 Source: FFIEC *Hispanic ethnicity is counted independent of race. FHA LOAN THREE-YEAR BREAKDOWN When looking at the trends in applications for FHA loans in the Miami -Dade MSA from 2011 to 2013, data differs. First, the amount of applications has steadily declined with only 7,002 applications submitted in 2013. In this same year, the number of applications for conventional home purchase loans was more than twice that amount -17,309 total. Denial rates for the FHA loans remain fairly stable, with an average of 23.2% or so. Approval rates during those years have also remained fairly steady - in the mid-50% range. Table 45 : Results of FHA, FSA/RHS, and VA Home Purchase Loans in Miami -Dade Reporting Year: 2013 Race / Ethnicity Total Applications Number Issued Percent Issued Approved Not Accepted Number Denied Percent Denied With- drawn Closed Incomplete American Indian or Alaskan 10 7 70.0% 1 2 20.0% 0 0 Asian 48 32 66.7% 3 6 12.5% 2 5 Black or African American 878 446 50.8% 41 245 27.9% 118 28 White 5650 3508 62.1% 275 1084 19.2% 628 155 Other** 70 35 50.0% 6 19 27.1% 8 2 Unknown (Race not available) 346 147 42.5% 20 113 32.7% 50 16 Total 7002 4175 57.0% 346 1469 23.2% 806 206 Hispanic* 4975 3051 61.3% 236 989 19.9% 563 136 Reporting Year: 2012 Race / Ethnicity Total Applications Number Issued Percent Issued Approved Not Accepted Number Denied Percent Denied With- drawn Closed Incomplete American Indian or Alaskan 8 4 50.0% 0 1 12.5% 3 0 DRAFT - 2015-2020 Analysis of Impediments to Fair Housing Choice City of Miami 88 Asian 72 45 62.5% 7 14 19.4% 5 1 Black or African American 976 511 52.4% 55 246 25.2% 135 29 White 6199 3912 63.1% 262 1193 19.2% 664 168 Other** 73 44 60.3% 2 18 24.7% 7 2 Unknown(Race not available) 438 167 38.1% 33 118 26.9% 100 20 Total 7766 4683 54.4% 359 1590 21.3% 914 220 Hispanic 5517 3447 62.5% 233 1061 19.2% 623 153 Reporting Year: 2011 Race / Ethnicity Total Applications Number Issued Percent Issued Approved Not Accepted Number Denied Percent Denied With- drawn Closed Incomplete American Indian or Alaskan 23 15 65.2% 5 2 8.7% 1 0 Asian 75 39 52.0% 7 23 30.7% 3 3 Black or African American 1155 556 48.1% 72 313 27.1% 180 34 White 6636 3863 58.2% 433 1445 21.8% 752 143 Other** 84 38 45.2% 8 26 31.0% 9 3 Unknown(Race not available) 563 255 45.3% 29 149 26.5% 111 19 Total 8536 4766 52.3% 554 1958 24.3% 1056 202 Hispanic* 5779 3328 57.6% 382 1277 22.1% 657 135 Source: FFIEC *Hispanic ethnicity is counted independent of race. **Other indicates combined totals of Native Hawaiian/Pacific Islander, 2 or more minority races, and joint (white/minority race) AFFIRMATIVE FAIR HOUSING EFFORTS Pursuant to HUD regulations, 24 CFR 92.351, the City of Miami adopted affirmative marketing procedures and requirements for rental and homebuyer projects containing five or more HOME/CDBG-assisted housing units. Furthermore, the City's policies are consistent with Davis -Bacon and Section 3 protocols. Affirmative marketing consists of providing information and attracting eligible persons in the housing market area to available housing without regard to race, color, national original, sex, religion, familial status or disability. Affirmative marketing procedures do not apply to families with Section 8 tenant -based rental housing assistance or families with tenant -based rental assistance provided with HOME funds. The City's affirmative marketing policy and procedures addresses the following elements: 1. Informing the Public, Owners, and Potential Tenants: Acceptable methods for informing the public, owners, and potential tenants about the applicable Federal Fair Housing Laws and HOME Program's affirmative marketing policy may include, but are not limited to, using the Equal Opportunity logo OR slogan in relevant printed materials, project signage, posting this DRAFT - 2015-2020 Analysis of Impediments to Fair Housing Choice 89 City of Miami information on the Department's web site, and explaining the policy in general to property owners, and tenants involved with the HOME/HOPWA/Sec. 8 Programs. 2. Advertising Units and/or Community Outreach: In order to meet the obligations towards the City's/DCED's affirmative marketing policy requirements as required by 24CFR92.351, each property owner/developer who receives federal funding from the City/DCED must submit a completed and signed AFHMP Plan (HUD 935.2A/2B), as an exhibit to their executed contract with the DCED, that clearly specifies activities they will use to advertise vacant units, including but not limited to any printed advertisement(s), any local community contacts they will reach out to assist in informing the public of available units, and the use of any possible printed material (brochures, leaflets, etc.) This final AFHMP plan must also be submitted by the developer/owner with the local Fair Housing & Equal Opportunity Office and serves to satisfy the requirements of 24 CFR 200.620 which indicates that all FHA subsidized or unsubsidized programs shall require the applicant (developer) to carry out an affirmative program to attract buyers or tenants, regardless of sex, handicap or familial status, of all minority and majority groups to the housing for initial sale or rental. As indicated on the form itself, the advertisement(s) should be published/placed in a manner calculated to inform eligible persons who may otherwise be least likely to apply for the unit. 3. Recordkeeping: The City of Miami requires recipients to maintain records that describe efforts taken by the recipients and by the owners to affirmatively market units for the period covered by the loan agreement. The City will use those records to assess the results of these actions. The developer is responsible for updating the AFHMP with the local FHEO office as outlined by U.S. HUD, at a minimum of once every five years or if the property's circumstances change (changes to area demographics or local housing market area). 4. Limited English Proficiency (LEP) Requirements: Housing owners/developers must take reasonable steps to ensure meaningful access to the information and services they provide for persons with Limited English Proficiency (LEP). This may include interpreter services and/or written materials translated into other languages. HUD -specific LEP Guidance was published in the Federal Register on January 22, 2007, as "Final Guidance to Federal Financial Assistance Recipients Regarding Title VI Prohibition Against National Origin Discrimination Affecting Limited English Proficient Persons," as required by EO 13166. 5. Assessment of Affirmative Marketing Efforts of Owners: The City of Miami Housing unit requires that assisted owners/developers submit copies of their advertisement(s) for rental units and homeownership opportunities, correspondence and information, in advertising such units to the DCED for inclusion in the project file. Marketing efforts begin once the loan agreement is signed and executed (with the signed AFHMP an attached exhibit to said loan agreement). The DCED's Housing unit will assess the owner's affirmative marketing plan and the results of these efforts. Should an owner fail to follow these affirmative marketing efforts, the DCED will refer to the matter to the local FHEO office and to the local FHIP. DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 90 City of Miami IMPEDIMENTS IMPEDIMENTS TO FAIR HOUSING CHOICE AND THE RECOMMENDATIONS TO ADDRESS THEM The impediments that follow are based on the research, data and information presented in previous chapters of this Al. The impediments identified in the following section elaborate on data/information provided earlier in this document. We break up the Impediments as suggested by the HUD issued Fair Housing Planning Guide. Impediments are divided into three sections: 1.) Private Sector; 2.) Public Sector; and 3.) Public and Private Sector. PRIVATE SECTOR Impediment FH1: Increased Housing (Cost) Burden for approximately 46% of City households due to the rising costs of housing in the City of Miami combined with stagnant wages. A high percentage of City of Miami residents both homeowners and renters are paying more than 30 percent of their income for housing, defining them as cost burdened. This increased housing burden must be addressed on a City-wide level to prevent further loss of homeownership, increases in foreclosures, evictions, bankruptcies, and potential homelessness. Seek additional opportunities for the creation of other affordable housing options beyond LIHTC projects (i.e., Promise Zone applications, other grants, etc.) Engage, inform, and work with City leadership (elected officials) of the need to create additional housing opportunities for extremely low, very low, and low -to -moderate -income persons Advocate for policies requiring that a larger percentage of rental units financed by government capital dollars (LIHTC) be set aside for VLI households at 30% or below of median income. Research the possibility of ultimately using National Housing Trust Fund dollars (expected in early 2016) to expand the affordable rental housing stock available to very low-income persons/elderly. Continue to implement the actions to increase affordable housing as identified in the 2014-2018 Consolidated Plan. Continue to fund the Single -Family Rehabilitation and Replacement programs to aid in preservation of homeownership, as well as the first-time homebuyer program to encourage new homeownership. - Provide higher point consideration through City RFP processes, for developers/projects that provide a greater percentage of units aimed at serving incomes at 35% AMI in comparable rental projects. - Provide higher point consideration through City RFP processes, for developers/rental projects with lower total project cost per unit. DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 91 City of Miami Impediment FH2: Very Few Multi -Family Buildings in the City Seek FHA approval. Even though the bulk of Miami's housing stock is comprised of units in multi family buildings, there is a significant lack of FHA approved condominium buildings in the City. As of December 2014, there were a total of five buildings in the entire City. This means low-, moderate- and middle -income working class persons who are interested in purchasing a home with an FHA loan cannot purchase a unit (primary residence) in the majority of Miami's multi family buildings, even when approximately 36% of the City's entire housing stock is comprised of units in multi family buildings. Recommendations: - The DCED will work with the MIAMI Association of Realtors to further their efforts on a local and state level to address this issue on a federal level. - The DCED will execute a direct mailing to multi -family condominium associations, with information on how to become an FHA approved building, including the Miami Realtors rack brochure on this topic. PUBLIC SECTOR Impediment FH3: Scarcity of Developable Vacant Parcels Diminishing the new construction of single-family and/or smaller apartment developments thereby housing choice. There is a land shortage in the City of developable, residentially zoned vacant tracts and many of the available vacant parcels are scattered and situated in the City's most economically distressed neighborhoods, requiring development on an in fill basis. A property is determined to be developable for a single family dwelling if it meets the minimum lot criteria of 5,000 square feet, plus a minimum of 2 parking spaces per home are required. In addition, the city needs to consider how the application of zoning regulations and parking requirements can be "tweaked" to encourage the development of single-family homes and smaller -scale buildings (20 units or less) on these smaller parcels. Recommendation - The DCED will continue to manage a citywide Infill Program and will ensure that available city -owned parcels in that program are used for the provision of affordable housing. - The DCED will support any viable efforts by the City's planning and zoning board in relation to amending the City's zoning code to encourage small-scale development, thereby expanding housing choice for all City residents. A current effort being considered is: the potential exemption and/or reduction of the city's parking requirement for small new buildings within walking distance of corridors that are served by extensive public transit, including Metrorail or high -frequency bus service. DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 92 City of Miami - DCED will continue to prepare request for lien removals for eligible affordable housing properties Impediment FH4: There is a lack of adequate federal funding for rental assistance programs. Federal funding vehicles for low-income housing creation/preservation continue to be cut. Demand for Section 8 vouchers in all Miami -Dade communities, along with demand for public housing units, is startling. Unfortunately, for those who are not randomly selected for waitlists, there is no funding available to be able to assist them in meeting their monthly rental obligations. In addition, the latest HIV/AIDS Housing Needs Assessment conducted in 2014 estimated that there are approximately 10,000 individuals living with HIV/AIDS in Miami -Dade County in need of housing assistance. Recommendations - The DCED will continue to accommodate as many HOPWA clients as fiscally possible in the City's Long -Term Rental Assistance (LTRA) Program. - The DCED will continue to fund the HOPWA Short Term Rental Mortgage & Utility Assistance Program (STRMU) to assist HIV+ persons who are not LTRA recipients (on the LTRA waitlist) remain housed in the event of a valid emergency. - The DCED will continue to fund private developers to build affordable housing units within the limits of the City of Miami. In return for the City funding a portion of the total cost of the project, the developer provides a pre -determined number of affordable rental housing units to be rented to low -to -moderate income families. The number of affordable housing units in a project is based on the amount of subsidy provided by the City. Impediment FHS: There is a lack of adequate federal funding for the preparation of a comprehensive Analysis of Impediments. Presently, any monies spent on testing, studies, and/or potential consultant work related to an AI must come from the CDBG Program's Administration allowance. The latter is already stretched thin due to the overall CDBG funding cuts the City has suffered in the past five years. Consequently, less money is available to contract sub -recipients to conduct important research and testing related to the rental and/or sale of housing in the Miami market, in order to identify any disparities. Recommendation - The DCED will research and propose the possibility of a regional Al in cooperation with Miami -Dade County. This way, the combined funding of two more DRAFT— 2015-2020 Analysis of Impediments to Fair Housing Choice 93 City of Miami jurisdictions could be utilized for testing and more specific studies, which tend to be costly. PUBLIC AND PRIVATE SECTOR AFFORDABLE ORKFO CE HOUSING Impediment FH6: There is not Enough Affordable/Workforce Housing Units to Meet the Needs of City Residents. It is well-known that the term affordable housing is no longer just a euphemism for low income families. Recent studies reveal that many middle-class working citizens cannot afford to live in the communities where they live. The City of Miami's current housing market has been strongly influenced by a combination of real estate supply conditions occurring within the larger Miami -Dade market and by recent demand factors that have contributed to the escalation of rental rates. Recommendations - The City should explore options to create workforce housing opportunities/incentives/ bonuses to encourage private developers to build housing to serve these populations - Identify opportunities for intergovernmental collaboration to address housing affordability issues. In particular, examine the most effective manner to partner with the County, State, and Federal governments to coordinate activities and leverage funding. - Continue to support the City's Affordable Housing Trust Fund. - The DCED will research inclusionary zoning (IZ) in metro areas similar to Miami's and make recommendations to City leaders about how IZ could be incorporated into Miami21 (Zoning code) to add affordable housing stock to the City without any public funding contribution - The DCED will work with the City's Zoning Dept. to propose a resolution that provides deferral of impact fees for projects that provide rental units available to moderate/workforce incomes while increasing the level of units for 50% AMI. F R HOUSING RCENIENT Impediment FH7: Housing Discrimination on the Basis of Race, Color, National Origin, Religion, Sex, Familial Status, and Disability continues to take place. DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 94 City of Miami According to HOPE, Inc. there were 343 fair housing inquiries/complaints over a 31 month -period that originated in zip codes within (or partially within) the City of Miami's boundaries. These complaints represent approximately 34 percent of the complaints processed by HOPE countywide over the same time period. HUD research suggests that as much as 80 percent of housing discrimination goes unreported. As such, it is reasonable to conclude that there are many more cases of housing discrimination within the City of Miami that are left unreported. Recommendations - Conduct fair housing testing at least twice within the span of this Al. Retest in areas where trends (i.e. geographic concentration of complaints by zip code) are identified in the monitoring process. - Provide regular fair housing education and training to housing providers to ensure compliance with fair housing laws. - Continue to collaborate with other organizations in fair housing training events - Commence (DCED) to track race and ethnicity of holders of Section 8 vouchers in order to identify any segregative patterns of where Section 8 vouchers are being used. - Continue to implement a fair housing information campaign that specially targets City residents and clearly informs the public about fair housing rights. - Continue to ensure that marketing materials (i.e. brochures, post cards, Public Service Announcements (PSAs), web site) are available in in the City's official languages (including Spanish and Creole); all material should specify where a resident should call to report a complaint. Use HUD developed collateral (i.e. print, radio, and television ads). - Continue to include fair housing information during the Section 8 and HOPWA intake process and at the time of annual recertification. - Continue to make fair housing collateral available in a variety of location (i.e. Neighborhood Enhancement Team (NET) offices, public places such as libraries, and/or social agencies such as the welfare office). - Conduct an annual public informational campaign during the Fair Housing Month each April. Impediment FH8: Absentee Landlords in Low -Income Neighborhoods Disregard Code Violations and Fines, Leaving Tenants in Buildings/Units with Poor Living Conditions. Several absentee landlords (especially in low-income neighborhoods in the City) do not pay and/or ignore multiple code and building fines related to their privately owned rental buildings. Tenants claim that complaints to landlords about living conditions lead to targeted evictions. DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 95 City of Miami - As of January 2015, the City filed a lawsuit against six landlords in Miami who owe approximately $2.5 million in unpaid fines/utilities related to violations at their rental buildings including solid waste and code enforcement issues and it is pursuing action against them - The City should research how other communities attempt to correct said issues with an aim to pass necessary legislation to ban said landlords with possible measures including permit denial for habitual offenders, asset attachment to allow a municipality to garnish property owner's wages if building is deemed a danger, and potential threat of property seizure. OTHER FINDINGS The barriers listed below are beyond the scope of this plan, but were deemed important enough to mention as comments. State/local building codes increase the cost of affordable housing production: The South Florida Building Code is a series of standards and specifications designed to establish minimum safeguards in the construction of buildings to protect the health and safety of the public. Unfortunately, the more stringent building codes, especially in relation to hurricane - proofing, increase the costs of affordable housing production. The 50 percent rule increases the cost of affordable rehab: Another impediment includes a regulatory barrier known as the "50-percent rule," which mandates new construction standards if rehabilitation costs exceed 50 percent of the value of the home being renovated. Similar to the South Florida Building Code, the 50 percent rule ensures that rehabilitated buildings are safe (i.e. hurricane shutters are added, electricity updated, sprinklers added to multifamily housing). However, the increase in cost to rehabilitate these structures also affects the affordability of the units. This is particularly a concern with multifamily structures that do not have funds set aside, except for tax credits, to offset the cost of bringing the building to code. As stated in the housing section of the chapter "Jurisdictional Background" in this report, the City of Miami has lost a significant portion of its multifamily housing stock of structures containing 5 to 19 units; a housing stock size that the City considers ideal for affordable rentals. The loss in these structures is, in part, due to the fact that it is more profitable for the owner of the buildings to sell their properties to developers of market rate new construction, than it is to assume the expense of rehabilitating the building. There is an assumption that the Davis -Bacon prevailing wage increases the cost of affordable housing: Davis -Bacon Prevailing Wages (Davis -Bacon Act of 1931) are triggered when federal dollars are used to pay housing construction or rehabilitation labor costs in multifamily projects with more than 11 units. This prevailing wage, which is usually higher than competitive wages, must be paid to laborers and mechanics. Additionally, federal paperwork requirements are extensive, amounting to an increase in staff time required for preparation on both the owner (developer/general contractor) and city sides, which also increases housing costs. While the objective of the prevailing wage requirements is to protect workers, developers often complain that the increased cost results in higher housing construction expenses. A cost analysis would be necessary to determine how much costs are truly impacted by the Davis -Bacon Prevailing Wage. DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 96 City of Miami Absentee Landlords - Absentee landlords, especially in several low-income City neighborhoods, have become a serious issue in Miami, a trend seen in other big cities nationwide. Many reside out-of-state and take little to no action to correct serious code violations that lead to poor living conditions. In many situations, the landlords are difficult to locate and create various shell companies to avoid being fined or held accountable for damages and repairs on their structures, all while low income tenants continue to live there and pay rent because they allege they cannot find few - if any - buildings where they can relocate, paying comparable rental rates. Meanwhile, the City is limited in its role in landlord - tenant issues which are governed by Florida law (Chapter 83, Part II, Florida Statutes) and must be resolved in civil court. If however, buildings within City boundaries meet certain criteria as outlined by Miami's City Code of Ordinances, they can be condemned in accordance to the law. City administrators are looking closely at this serious issue and attempting to best address it (please see Impediment # 9). NIMBYism - As a large, high -density City, the Department generally does not experience public dissent to funded housing projects and/or NIMBYism (not in my backyard attitudes). In recent years, one particular development in Liberty City met with some public resistance from park conservationists given that one of the project's parcels had originally been zoned as a pocket park and was being re -zoned to become part of the development's build out. Ultimately, developers — who needed the small parcel to develop a multi -family project — purchased a nearby lot as a "swap" to preserve a neighborhood pocket park, which activists were most concerned about. Most of the community resistance seen in recent years has been in relation to historic preservation of certain City blocks/neighborhoods and/or potential disagreement in relation to proposed upzoning in particular areas of the City. Past credit problems - Credit problems lead to a person's/family's inability to secure a bank mortgage in order to purchase a home. When the City encounters persons/households who are dealing with this matter and are attempting to purchase a home, the City refers them to local associations that offer low-cost credit counseling. The City (DCED) does not fund credit counseling services at this time. Past criminal history - Many LIHTC developments in Miami have strict criminal background policies which prohibit admission for persons who have been charged with a felony — with no restrictions as to how far back that charge goes. Sadly, this type of policy prevents ex - offenders — whose incident might have happened years ago -- from accessing publically funded housing. Service/supportive housing needs of specific populations - The State of Florida has a long waiting list of low-income disabled persons seeking to access home and community -based services (Medicaid waiver) which is funded by the State of Florida and overseen by the state's Agency for Persons with Disabilities (APD). For the past three years Florida's governor has recommended state monies be used to serve the critical needs waiting list. The issue of community based care was an area that the DCED was not able to comprehensively review/research for this report and we recommend analysis in future reports. Foreclosures — According to RealtyTrac as of October 2014, the Miami -Fort Lauderdale - Pompano Beach area was identified as leading the pack in foreclosures amongst the 20 largest metro areas in the U.S., with foreclosure filings including default notices, scheduled auctions DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 97 City of Miami and bank repossessions. Figures released in January 2015 by RealtyTrac indicated that the state of Florida had a 2.3% foreclosure rate in 2014, making it the highest in the nation. Four metro areas in the state were among the top five cities in the country with the highest rates. These were Miami, Orlando, the Space Coast area and Tampa (Associated Press, January 19, 2015). Property Insurance — Recent reports indicate that Florida homeowners now pay more than double the national average for homeowners insurance, with coastal areas — including many parts of South Florida -- paying the highest rates. Data released by the National Association of Insurance Commissioners indicates that the most common type of policy rose nearly eight percent in 2012 to $2084. Price -wise, Louisiana sits as second in line with the highest premiums, but their average sits at $1742. The national average is $1034, which makes Florida's premiums 102% higher. In 2014, the state -run Citizens Property Insurance and private insurers reportedly cut rates for most property owners after what has been nine years of no hurricanes and lower reinsurance costs. These costs are an additional burden to homeowners or to persons looking at purchasing a home. Property Taxes - In Florida, real estate taxes are the primary source of government revenue. As mentioned elsewhere in this document, there is no state income tax. Obviously, tax increases can be burdensome to low-income homeowners, and increases are usually passed on to renters through rent increases. In 2014, the City of Miami had a millage rate of 7.6435.There were seven other municipalities in Miami -Dade County with higher millage rates. The millage rates (also called tax rates) and taxes are determined by each of the taxing authorities such as Miami -Dade County, the School Board, City and Regional authorities. The Tax Collector -- part of Miami -Dade County's Finance Department -- collects current and delinquent real and personal property taxes, special assessments for all local taxing authorities, local business tax receipts and convention and tourist taxes. The State of Florida offers some property tax relief in the form of Homestead Exemptions for qualifying homeowners. These are the Save Our Homes (SOH) exemption for homestead (primary) properties; the homestead exemption for persons 65 and older (also known as the senior exemption); and the exemption for civilian total and permanent disability; the deployed military exemption; the institutional exemption; and the widow/widower exemption. As required by state law, the Miami -Dade County Appraiser's Office determines the value of all properties as of the legal assessment date of Jan. 1 each year, these values are "established by nationally accepted valuation methods, which are sales comparison, cost, and income valuation approaches. Adjustments are made for size, condition and extra features of a property." IMPROVEMENTS SINCE THE LAST AI Land use and Zoning Regulations: After years of public meetings and research studies that started back in 2005, the City's new form -based Planning & Zoning code, guided by tenets of New Urbanism and Smart Growth — known as Miami 21— was approved by the City of Miami Commission in May 2010. The City made every attempt to establish a code that took the City's evolution and changing landscape into account. The Code allows for varied residential types which reduces potential impediments to housing choice by members of the protected classes. DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 98 City of Miami Miami 21 did not include any inclusionary zoning regulations, neither voluntary nor mandatory. Presently, it specifically addresses affordable housing by offering an incentive - based approach in all T6 (urban core) areas of the city, allowing for bonus Building Height and FLR (floor lot ratio) in exchange for the developer's contribution to one of several specified programs that provide public benefits (Miami 21, Article 3, Section 3.14). These specified programs are as follows: Affordable/workforce housing, Public Parks and Open Space, Green Buildings, Brownfields, and Civic Space or Civil Support space. The City also established a Miami 21 Public Benefits Trust Fund for the cash contributions for Affordable/Workforce Housing, Public Parks and Open Space, and Green Building certification shortfall penalty made under this section of the Zoning Code. The City Commission, upon the manager's recommendation, annually decides the allocation of funds from the Trust Fund collected under this section. All cash contributions thus allocated by the Commission to support affordable/workforce housing shall be deposited in the Affordable Housing Trust Fund for expenditures pursuant to the guidelines adopted by the City Commission. All cash contributions thus allocated by the Commission to support Parks and Open Space shall be deposited in the Parks and Open Space Trust Fund. For a cash contribution to the Miami 21 Public Benefit Trust Fund, the development shall be allowed additional Floor Area up to the bonus Height and FLR described in Section 3.14.1. The cash contribution shall be determined based on a percentage of the market value of the per square foot price being charged for units at projects within the market area where the proposed project seeking the bonus is located. The calculation assumes a land value per saleable or rentable square foot within market area to equate to between 10 (ten) to 15 (fifteen) percent of market area's weighted average sales price per square foot. The cash contributions shall be adjusted on an annual basis to reflect market conditions effective October 1st of every year. For purposes of complying with the public benefits program, see the multiple options available to developers (as abbreviated for brevity in A-F) below: A. Affordable/workforce housing -- the development project in a T6 zone may provide any of the following or combination thereof: 1. Affordable/workforce housing on site of the development. For each square foot of affordable/workforce housing (including pertaining shared space such as parking and circulation) provided on site, the development shall be allowed two square feet of additional area up to the bonus Height and FLR as described elsewhere in the code. 2. Affordable/Workforce housing off -site. For each square foot of affordable /workforce housing (including pertaining shared space such as parking and circulation) provided off site, in a location within the City approved by the City Manager, the development shall be allowed an equivalent square footage of additional area up to the bonus Height and FLR as described in Section 3.14.1. No additional allowance is given for the purchase of the site. 3. Trust Fund contributions. As discussed above. B. Public parks, open space or park improvements, the development project in a T6 zone may provide any of the following or combination thereof: 1. Public Park or Open Space provided through purchase and in an area of need identified by the City Parks and Open Space Master Plan and the City's Parks Department. In addition park improvements provided through donation for Public Parks with amenity levels that are Moderate or that Need Improvement as defined by the Parks Department Facilities' Assessment Report. (a)For each square foot of dedicated public Park or Open Space provided, the development shall be allowed two times the development Floor Area of provided land up to the bonus DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 99 City of Miami Height and FLR as described in Section 3.14.1. The Open Space may be a Park, Green or Square, as more fully described in Article 4, Table 7 of this Code. (b) Park improvements shall be valuated and for said value the development project shall be allowed additional Floor Area up to the bonus Height and FLR described in Section 3.14.1 and shall for all applicable purposes be treated as a Trust Fund contribution pursuant to Section 3.14.4, b, (3). (c) Park improvements for Public Parks in area below 50% median income threshold shall be allowed two times the valuation credit. d) Donations must meet all City requirements for design, equipment specifications, construction, warranties, etc. Park improvements are subject to review and approval by the City Manager or designee in accordance with Miami 21. 2. Public Open Space provided on -site in a location and of a design to be approved by the Planning Director. For each square foot of dedicated public Park or Open Space provided, the development shall be allowed an equivalent amount of development Floor Area up to the bonus Height and FLR as described in Section 3.14.1. 3. Trust fund contribution. As discussed above. C. Historic Preservation. Bonus Floor Area to the maximum bonus Height and FLR as described in Section 3.14.1 shall be allowed for additional square footage qualified under the city Transfer of Development Rights program established in Chapter 23, City Code. D. Green Building. In a T6 zone, additional Height and FLR shall be allowed for Buildings certified by the U.S. Green Building Council as Silver, Gold or Platinum. E. Brownfields. One additional Story of Height shall be permitted for redevelopment on a Brownfield Site as defined in the Code. F. Civic space and Civil Support space. For a development project in a T6 zone that donates a Civic space or Civil Support space on site to the City of Miami, an additional two square feet of area for each square foot of donated space, up to the bonus Height and FLR, shall be allowed. As noted above, developers are provided with multiple options to acquire more buildable living/housing space. However, it should be noted that the Public Benefits Trust Fund is presently at its lowest level in years and that most of the market -rate developers (developing properties with absolutely no federal/state/and or local public subsidy) who are seeking to access the public benefits program forego the affordable/workforce housing routes described above and opt to comply using another of the delineated methods. It should also be noted that prior to Miami 21, the only option extended under the previous City bonus density program was contributing to the affordable housing trust fund. Recent changes made to the existing Zoning code towards facilitating/incentivizing overall housing development — and furthering housing choice — in the City include the following: • In May 2011, the City Commission adopted Sec. 3.15 of Miami 21 to facilitate affordable housing development by modifying architectural/design standards and parking reductions, and this has been updated since then, as recently as early 2014. Parking costs can be a significant portion of facility development costs and rents, and are typically passed on to the resident. • In Feb. 2014, the City modified Ordinance No. 13114 to allow the Affordable Housing Special Benefit Program Supplemental Regulations to also address mixed income buildings, because the majority of existing and proposed affordable housing development was located in Miami neighborhoods that were removed from the major employment centers of the urban core of the City and the City Commission was DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 100 City of Miami desirous of encouraging the inclusion of affordable housing within the urban core in buildings serving a range of incomes that include market rate components. The ordinance required certification by the City's Community Development Department that the proposed Development will provide a minimum of eighty percent (80%) of the Dwelling Units (Multi -family or Elderly) as Affordable Housing serving residents at or below sixty percent (60%) of the area median income (AMI) as published by the HUD annually; or that the proposed Development is a mixed -income building providing at least forty percent (40%) of the units as Affordable Housing serving residents at or below sixty percent (60%) of AMI or providing at least twenty percent (20%) of the units as Affordable Housing serving residents at or below fifty percent (50%) of AMI, is not restricted to elderly residents, and is located within a Residential Density Increase Area as set forth in Article 4, Diagram 9 of the Miami 21 Code. • As of March 2015, the City Commission passed (second reading) an amendment to Ordinance #13114 by establishing a new zoning sub -classification known as T6-24(B) that will have a higher floor lot ratio (16) and percentage (40%) of public benefits bonus. City administrators hope this will encourage the development of much - needed workforce housing (and concurrently, mixed income projects) in these specifically zoned urban areas which are near mass transit options and numerous employment opportunities. The Planning and Zoning Department is currently researching and working on how developers could apply for this benefit (specific requirements of the developer) on a sliding scale basis, and they will be presenting that recommendation at a future City Commission meeting. Other ways to earn the extra square footage would be for developers to agree to build public improvements like a landscaped bike path or a new playground in a park, provide public open space, green buildings, Brownfield site rehabilitation, and civic space or civil support space, or to make cash contributions to the Miami 21 Public Benefits Trust. • The City of Miami Planning Department has been actively engaged in the development of a new zoning overlay, called a Neighborhood Revitalization District (NRD-1). The stated intent of this overlay district is to transition an industrial district into a mixed use, walkable neighborhood. A key component of the NRD-1 is a reduced parking requirement for residential units under 650 square feet, dropping from 1.5 per unit to 1 per unit, and allowing that one space to be paid into a parking trust fund in lieu of physically providing the space. This results in substantial cost savings for developers, and incentivizes small unit construction. These units are anticipated to be more affordable than the typical residential product currently being offered in the City of Miami. Although these efforts are all favorable, the DCED feels that in light of the statistics highlighted in this Al specifically related to the cost -burden more and more City residents are facing (both renters and homeowners alike), the City must continue searching for creative solutions to expand the inventory/supply of housing available to low- and very -low income persons (50% AMI and below). As mentioned, there are no inclusionary zoning policies in place in the City of Miami and the DCED continues to feel that finalizing some type of more aggressive, mandatory policy is a viable solution to further expanding the supply of affordable housing units, given that the demand for these particular units far outweighs the supply. In other words, explicit requirements designed to ensure that a share of newly developed housing incorporates — by law — some affordable unit(s) would create a local mechanism that adds new units to the existent stock, without relying on fluctuating and diminishing state and/or federal dollars. DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 101 City of Miami Finally, the Planning Department has recently researched and suggested upzoning in particular parts of the City. Although upzoning could lead to additional housing stock (density), the DCED believes that it should be considered carefully allowing for the public's input and that of the neighborhood(s) residents, so that consideration is given to the neighborhood's historic value and general look/character, and so that potential gentrification is thwarted and housing choice is preserved — especially the preservation of small/medium size apartment developments which historically, have provided Miami with neighborhood housing serving low- to middle -income residents. Based on recent discussions, the Planning Department is looking at coupling a neighborhood's potential upzoning with a specific designated historical section of the same neighborhood that must remain as is. The idea is that those buildings that lie within the "historic" area can transfer (sell) their development rights to other developers, and utilize those dollars to improve/update the historic property. CONCLUSIONS AND RECOMMENDATIONS IDENTIFIED ACTIONS AND TIMELINE FOR RECOMMENDATIONS This chapter provides the City of Miami's strategy to address fair housing from FY2015 to FY2020. In the first section, the City's fair housing program's strategy to maintain records to support the AFFH certification will be discussed. Afterwards, a table is provided that identifies the actions that the City plans to implement to overcome the impediments to fair housing choice which were identified in the previous chapter. STRATEGY TO MAINTAIN RECORDS TO SUPPORT THE AFFIRMATIVE FURTHERING FAIR HOUSING (AFFH) CERTIFICATION The Department of Community & Economic Development is actively engaged in monitoring fair housing complaints that occur within the City of Miami as well as promoting and securing compliance with fair housing regulations. The City's fair housing program is designed to affirmatively further fair housing objectives of Title VI of the Civil Rights Act of 1964, Title VIII of the Civil Rights Act of 1968, as amended, and other relevant federal, state, and local fair housing laws. ■ Monitoring of housing discrimination complaints received from residents of the City of Miami as compiled by HOPE, Inc. organized by basis, issues, disposition, and zip code. Such reports will allow the City to identify existent and/or emerging trends in fair housing. ■ The City will continue to educate the general public through communication vehicles available to it on Fair Housing laws and rights, and how/where to report alleged discrimination. DRAFT— 2015-2020 Analysis of Impediments to Fair Housing Choice 102 City of Miami ■ The City will continue to monitor the developers with which it has contracts (federal, state assistance) to assure that they are following their signed AFHMP plans. DRAFT— 2015-2020 Analysis of Impediments to Fair Housing Choice 103 City of Miami ACTIONS TO OVERCOME THE IMPEDIMENTS TO FAIR HOUSING CHOICE The following tables provide the action steps, timeline and measurable results that correspond to each recommendation. Please note that the action steps are intended to be implemented by the end of the calendar year referred to in the timeline. IMPEDIMENT City of # FH1: Increased Housing (Cost) Burden Miami combined with stagnant wages. Recommendation for 46% of City households due to Action Steps the rising costs Timeline of housing in the Measurable Results FH 1.1 Seek additional funding opportunities for the creation of additional affordable housing beyond LIHTC funded projects (i.e., Promise Zone applications, other grants) Assist the city's Grants Department in the completion of a City -sponsored Promise Zone application to revitalize city neighborhoods and generate economic opportunities to residents of designated areas 2015-2016 Application was submitted to HUD during the last quarter of FY2014-2015. FH 1.2 Continue advocating for affordable and workforce housing development by engaging and informing Cit officials of the need to create additional housing opportunities for extremely low, very low, and low - to -moderate -income persons Discuss matter with elected officials and City Manager's office when possible. Work/meet with Director of Planning/Zoning. 2015-2020 Bringing additional affordable housing units to the market FH 1.3 Research the possibility of ultimately using National Housing Trust Fund dollars (expected in early 2016) to expand the affordable rental housing stock available to very low-income persons/elderly Advocate to the State and maintain a close watch on the mechanisms the State will utilize to distribute the funding to local governments. 2015-2020 Receiving Housing Trust Fund dollars to further the City's affordable housing efforts FH 1.4 Continue to fund the Single -Family Rehabilitation and Replacement programs to aid in preservation of homeownership, as well as the first-time homebuye program to encourage new homeownership. Continue marketing the Single Family Rehabilitation and Replacement programs as viable alternatives to maintain affordable housing in the city. Continue funding the down payment assistance program to provide additional affordable housing opportunities 2015-2020 Single Family Rehab: 10 Households; Single Family Replacement: 4 Households; Down Payment Assistance: 40 Households FH 1.5 Better delineate Departmental housing related Proposals by providing higher point consideration through City RFP processes for: developers/projects that provide a greater percentage of units aimed at serving Award additional points through the department's Request for Proposals process to developers meeting this criteria 2015-2020 Additional Points added to the rating table for newly issued Housing -related RFPs DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice City of Miami 104 incomes at 35% AMI in comparable rental projects; developers/rental projects with lower total project cost per unit. IMPEDIMENT FH2: Very Few Multi -Family Buildings in the City Seek FHA approval, leaving potential buyers seeking to purchase a home with an FHA loan with fewer housing options. Recommendation Action Steps Timeline Measurable Results FH 2.1 Work with the MIAMI Association of Realtors to further their efforts on a local and state level to address this issue on a federal level. Support and join the MIAMI Association of Realtors' efforts to have more developments offer FHA units 2015-2020 Additional Multi -Family buildings in the City offering FHA units for sale FH 2.2 Execute a direct mailing to multi -family condominium associations, with information on how to become an FHA approved building, including the Miami Realtors rack brochure on this topic. Draft and develop marketing material Create a link in the department's website that provides more information on this topic for multi- family condo associations 2015-2020 Mailing of marketing material; Departmental website updated to reflect this information IMPEDIMENT FH3:There is a scarcity of Developable single-family homes and/or smaller apartment # Recommendation Vacant Parcels in the City Diminishing the construction developments thereby limiting housing choice. Action Steps Timeline of new, Measurable Results FH 3.1 Support any viable efforts by the City's planning and zoning board in relation to amending the City's zoning code to encourage small-scale development, thereby expanding housing choice for all City residents. Support the reduction of parking requirements on smaller lots to allow for the development of additional affordable housing units 2015-2020 Bringing additional affordable housing units to the market FH 3.2 DCED to continue to manage a citywide Infill Program and will ensure that available city -owned parcels in that program are used for the provision of affordable housing. Continue developing affordable housing units on city -owned vacant parcels; 2015-2020 Bringing additional affordable housing units to the market FH 3.3 DCED to continue to prepare request for lien removals for eligible affordable housing properties Continue preparing requests for lien removals 2015-2020 Bringing additional affordable housing units to the market DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice City of Miami 105 IMPEDIMENT # FH4: There is a lack of adequate federal Recommendation funding for rental assistance programs. Action Steps Timeline Measurable Results FH 4.1 DCED will continue to accommodate as many HOPWA clients as fiscally possible in the City's Long -Term Rental Assistance (LTRA) Program and to assist HIV+ persons who are income eligible via the HOPWA funded STRMU program (based on funding availability) 1) Continue to conduct rent comparables to ensure that rent paid corresponds to the on- going market rent. 2) Educate clients about looking for more affordable rental options. 3) Continue to market the availability of the STRMU program 2015-2020 All clients must have rent comparables in file and rents must be equal or below the fair market rent for any given year. Advertise STRMU program through the Miami -Dade HIV/AIDS Partnership and other proper channels. FH 4.2 DCED will continue to fund private developers to build affordable housing units within the limits of the City of Miami. In return for the City funding a portion of the total cost of the project, the developer provides a pre- determined number of affordable rental housing units to be rented to low -to -moderate income families. The department will continue to issue Request for Proposals to provide gap financing that will allow housing projects to include affordable housing units. 2015-2020 Bringing additional affordable housing units to the market IMPEDIMENT FH5: There is a lack of adequate federal funding for the preparation of a comprehensive Analysis of Impediments. Recommendation Action Steps Timeline Measurable Results FH 5.1 The DCED will research and propose the possibility of a regional Al in cooperation with Miami -Dade County. This way, the combined funding of two more jurisdictions could be utilized for testing and more specific studies, which tend to be costly. Contact Miami -Dade County Explore opportunities for joint efforts to plan and draft a comprehensive Analysis of Impediments 2015-2020 Join Analysis of Impediments to Fair Housing Choice DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice City of Miami 106 IMPEDIMENT # FH6: There are not Enough Affordable/Workforce Recommendation Housing Units in the City To Action Steps Meet The Needs Timeline Of City Residents. Measurable Results FH 6.1 The City should explore options to create workforce housing opportunities/incentives/bonuses to encourage private developers to build housing to serve the workforce (120 to 140%) Propose increasing the deferral of impact fees for every two market units in exchange for one workforce unit 2015-2020 Bringing workforce housing units to the market FH 6.2 Continue to support the City's Affordable Housing Trust Fund (AHTF) Continue advocating for city officials to consider having a % of the Public Benefit Trust Fund be distributed automatically to the Affordable Housing Trust Fund for housing development 2015-2020 Number of affordable housing units assisted with AHTF FH 6.3 Identify opportunities for intergovernmental collaboration to address housing affordability issues. In particular, examine the most effective manner to partner with the County, State, and Federal governments to coordinate activities and leverage funding Increase the level of collaboration between the city and the county. Specifically, improve coordination when it comes to funding opportunities 2015-2020 Bringing additional affordable housing units to the market FH 6.4 Continue to implement the actions to increase affordable housing identified in the current Consolidated Plan Implement affordable housing objectives identified in the 2014-2018 Consolidated Plan 2015-2020 Meet the goals and measurable results identified in the Consolidated Plan. IMPEDIMENT # FH7: Housing Discrimination On The Basis Of Race, Recommendation Color, National Origin, Religion, Sex, Familial Action Steps Status, And Timeline Disability Continues. Measurable Results FH 7.1 Continue fair housing rights campaign for City residents that will help them identify and challenge discrimination including material during the Section 8 and HOPWA LTRA programs intake/recertification processes Update fair housing material to include the newest protected classes and disseminate the material to all city of Miami Section 8 HCV and HOPWA LTRA clients at time of intake/ recertification. 2015-2020 Approximately 420 Section 8 and 1000 HOPWA LTRA clients receiving the newest fair housing material FH 7.2 Conduct fair housing testing at least twice within the span of this Al. Contract the services of an agency to perform housing discrimination testing concentrating our efforts on multifamily rental properties 2015-2020 Testing results and follow up FH 7.3 Continue to provide fair housing education and training to housing providers to ensure compliance with fair housing laws. Organize/host community workshops for residents and developers or other target audience as deemed appropriate by the city. 2015-2020 A workshop a year hosted/ led by DCED, besides those led by the area FHIP year- round DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice City of Miami 107 IMPEDIMENT FH8: Absentee Landlords in Low -Income Neighborhoods Disregard Code Violations and Fines, Leaving Tenants in Buildings/Units with Poor Living Conditions. Recommendation Action Steps Timeline Measurable Results FH 8.1 Pursue legal action/recourse so that bad landlords are banned from operating within City limits - Research efforts by other communities to blacklist bad landlords - look to pass necessary legislation to pursue landlords (with repeat violations) via legal mechanisms including permit denial, asset attachment to allow a municipality to garnish property owner's wages if building is deemed a danger, and/or potential threat of property seizure. 2015-2020 Reduce the number of incidents where landlords fail to provide decent, safe, and sanitary housing to city residents DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 108 City of Miami Appendix Attachment 1: Geographical Information System (GIS) Maps based on U.S. Census analyzing different groups 65 years old and up Commission Di sIC and Cammesbnsls Mime Nano guene POWLA7ICs1$ VEAPL CLOANOAEOVE DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice City of Miami 109 Black Population 2010 CITY OF MIAMI BLACK POPULATI9N-2010 -BY-CENSUS-BLOCKS WITH COMMISSION DISTRICT OVERLAY tit fl[I•111 l ■tdi 1i114h whir ,� olrl u�IIII�rIrl�iUl(�i11f1iElelE;! &a i°i! I eF_S IF ![llfi { dl 11.N � rEi=� ,t �' III. Il1II[i! �= ca.n,nysiw. PIFVk1 and Can rnNam. umaka !LAC% POPULATION PERCENTAGE I♦' I=� . Jf. DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice City of Miami 110 Hispanic Population 2010 CITY OF MIAMI HISPANIC POPULATION2010- 8Y C-ENSUS-BLOC-ICS WITH COMMISSION DISTRICT OVERt_ 0 MANIC POPULATION PERCENTAGE eef 1025 0.5 1 Wet DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice City of Miami 111 White, Non -Hispanic Population, 2010 CITY OF MIAM1 NOT HISPANIC WH1T-E-POPULATION 2010 -BY CENSUS -BLOCKS -WITH COMMISSION DISTRICT O ERLAY Cemm.sefn'Aletee[Mln Ca,Nllleuenen N.m. CGM7IS11P 0, ••,,,,,,,,,,,wy,C.1 a. KmlY u clew aleoa..1,-05 Y OT HISPANIC W MIE POPULATION 1,2514. • � -, G a 25 J 5 1 Miles DRAFT— 2015-2020 Analysis of Impediments to Fair Housing Choice City of Miami 112 Racial Dot Map — from the Cooper Center Axle Chiefty 2010 Census Block Data 1 Dot =1 Person • White • Black • Asian • Hispanic • ome�Alname amFri�n (M�In.aclal what am R looking at. DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 113 City of Miami .. _.... _.. Attachment 2: Land Use Maps 1. Vacant properties City of Miami Land Use - Vacant Properties Source: City of Miami, ARC GIS, as of 2015 DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 114 City of Miami 2. Single-family housing City of Miami Land Use - Single Family Housing Source: City of Miami, ARC GIS, as of 2015 DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 115 City of Miami 3. Multi family housing City of Miami Land Use - Multi Family Housing Source: City of Miami, ARC GIS, as of 2015 DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 116 City of Miami Appendix 3 Fair Housing Proclamations — City of Miami Flll elog ll TFIF CITY OF MIAMI, FLORIOA q�rq i_q�.e4 W e' oa kig46 (atop! l ru l eyeuGlr N 676 p s�1 .fir a -deal sikhn�e pnei.ip�11e# nm�ju�Tioa tav e11� writ rf" ,.� ena:l =ae6$• 6.1� Trv+if^i �°�u."'dI .�kkp t _ s@l; ply n(. �,in }rlimmh, t ! .s4 1.fu .lFwr i���1I.°Mk� �vlln�fIo"(,G'k�PJ"Jr�� a. si c�.l �i ee-apepµ "r�q�.��,ry4 p 4h pu6, 4 ll 4• bj P V, Y tYkkq {fiat u[v lot: ii WLLHHE t# F� J L. I F 6 Ci ,` 4 Y ' pyr�yatqse aa � etf..y . .W� p�{<4, tntl r" (y� 1� 1 IkaF q! {�u I�naL.¢ I. y aie,..7/atisifig "[.seta n¢ t`a, Con“,.nn,rk.. Rio.L 6y 810.6 HE�itt l�t9EAaFCa FUN-Fewa p upon, pon, �� market*: of the City of ..ppoc6er "ry,iu ii iee lhu odr6n Finof imy r[aol ar iq uEy�,e[ :,l goal !v`,ieeukq npprortunifuy. ilwii�lly� 1' 4n � ii.t :�W�W..{ my L.rrd ae.J w,... lLe *.,I /Hem. In f},. {iaa nr the Mayo, of are C*-y °I 11„6de. , ,J 4. 261.4 glands ,�#laypr DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice City of Miami THE CITY OF MIAMI 5frm&ian yal laitE.nt In th �a a&rfa pranore is rltuognsian m s e rt wil 'a a prMra4e 8°equaQi ftr3.'j� ca G l pn �yy e� a(�r WHJ -�{e 0 F,it iZel�iRlat n �,��ye�s an m1 3erua � the Frlah� 'm min sra clan arniinla6`rg� scnminaFion agakrUgiin ` i"- rro a was an ►IVY iFe z�tTO city. lltac g��m nnn��tnpamffigm11 irl mAmem to {ri,,rrtth�a�fnp1ar4ouµ9-�p a1I Pt u .osig IBS rd to grin NOY r al sTyrn np 0[,rktl morr1 i Slaa%ver r ��Ip1aery)p p un a'Io-'t"ro-s h". IpiO[OQCRafllranmS GJaM Prie�`annps n Ine yuPiiC a hghl�o c9 alh�ioua+ng erg W HERF.4 It i rttln a rognalsthgt of he Cis e W r j€[ aeNee. ott,pp,ro n wig WV; ra o-r cel canted r rA n +ri a'rid'qq Sv''�n�`"r`��gtarirpen pia 7.r�V ({ep,l i4af y a Pion g n iscryn n eitehv procfa m remHnn tt k of Mnf in Ehep r 2et Ss of the Crty Of Miami. Florida, do Fair Housing Month "Restoring Our Communities Block by Block" [he caelebfa to al lFois HenV k [all In sSoU equal ha n9 gP girern me m Vpip'E ile ►3 HEHY.OVs I hereunto net my hand and Cause the seal of the City of zmi to a 110,04 In the dhice of the Meryor of the City cf Miaml, FWrida. April 17, 2015 Tomas Regale Mayor —a ..ilea. .. < 117 Appendix 4 Spanish brief/translation about the main impediments identified in the DRAFT of the Analysis of Impediments to Fair Housing as requested by the Miami Workers Center presented at a meeting held on May 21, 2015. Reunion Publica — The Workers Center Ciudad de Miami, Departamento de Desarrollo Comunitario y Economico 21 de mayo del 2015 Iglesia del Espiritu Santo, 150 SW 13th Ave, Miami, FL c,QUE ES UN ANALISIS DE IMPEDIMENTOS PARA LA ELECCION DE VIVIENDA EQUITATIVA? WHAT IS AN ANALYSIS OF IMPEDIMENTS (Al) TO FAIR HOUSING? El Analisis de Impedimentos para la Eleccion de Vivienda Equitativa (Al) revisa las politicas publicas y privadas, las practicas y los procedimientos para identificar las posibles barreras a la eleccion de vivienda equitativa en una comunidad. El Departamento de Vivienda y Desarrollo Urbano de los Estados Unidos (conocido como HUD por sus siglas en ingles) requiere que los concesionarios locales que reciben subsidios federales, tales como la Ciudad de Miami, presenten una version actualizada del Al cada cinco aiios como parte del proceso del Plan Consolidado del concesionario/la jurisdiccion local. El Al sirve como base para la planificacion de vivienda equitativa por el suministro de informacion sobre los obstaculos y las maneras de disminuir las barreras para finalmente promover la eleccion de vivienda equitativa en la ciudad de acuerdo a las !eyes locales, estatales y federales sobre este mismo tema. La Ciudad de Miami toma alrededor de un ario en preparar un documento borrador tomando en cuenta las condiciones que HUD dicta y que deben incorporarse a todo Al. Estas condiciones son indicadas en un documento creado y transmitido por ellos (HUD) Ilamado el Fair Housing Planning Guide, accesible por Internet en la http://www.hud.gov/offices/fheo/images/fhpg.pdf. Tras analizar los datos mas recientes distribuidos por la Oficina del Census de los Estados Unidos y tras consultar con grupos locales tales como la Asociacion local de agentes de bienes raices, los administradores de la Ciudad, las organizaciones locales que se especializan en las !eyes de vivienda equitativa, urbanizadores, arrendadores, y residentes, el borrador se prepara, se le avisa al publico sobre la disponibilidad del DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 118 City of Miami borrador por medio de un anuncio en el periodico, extendiendole al publico en general 30 dias para someter comentarios al borrador del Al. Todos los comentarios que se reciban seran incorporados a la version final del AI, y este documento sera presentado a la Comision de la Ciudad para su consideracion, cambios y/o aprobacion antes de ser sometida a HUD para la evaluacion final del documento. La ley federal de equidad de vivienda (y sus modificaciones), prohibe a traves de la nacion la discriminacion en la yenta, alquiler, y financiamiento de viviendas, y en otras transacciones relacionadas con la vivienda, basada en •raza •color •nacionalidad •religion •sexo •tipo de familia (por ejemplo, tener hijos) •discapacidad Las !eyes del estado de la Florida proveen protecciones adicionales para •personas embarazadas *personas con VIH Las !eyes locales del Condado Miami -Dade proveen protecciones adicionales para •edad •linaje •victimas de violencia domestica •expresion de genero y/o identidad •estado civil •orientacion sexual •fuente de ingresos A continuacion elaboramos sobre los ocho impedimentos (barreras) que hemos identificado en la Ciudad de Miami, tales como se describen en el borrador en ingles. Impedimento #1: Aproximadamente el 46% de los hogares de la Ciudad de Miami estan viviendo con sobrecargos en gastos de vivienda dado a los costos crecientes para comprar y/o rentar viviendas dentro de la Ciudad, combinado con salarios locales estancados. HUD define a hogares viviendo con sobrecargos en gastos de vivienda como residentes—sean duenos de vivienda o inquilinos — que paguen mas del 30% de sus ingresos hacia los gastos de vivienda. Impedimento #2: Muy pocos edificios en la Ciudad de Miami se registran para ser aprobados para aceptar prestamos del Federal Housing Administration (FHA). Un prestamo de la FHA permite que el comprador de una vivienda ponga menos deposito hacia la compra de una unidad ya que la gran cantidad de bancos requieren un deposito inicial de 20%, que tipicamente no esta al alcance de las personas de ingresos bajos y/o moderados. Los datos indican que en el mes de diciembre del 2014, solamente habian cinco edificios en toda la Ciudad que estan aprobados para aceptar prestamos FHA. Impedimento #3: Hay poca tierra vacante y disponible en la Ciudad para desarrollar la construction de nuevas viviendas unifamiliares y/o edificios de apartamentos mas pequenos (de menos unidades). Esta deficiencia limita la variedad de viviendas que se encuentran en el mercado. Existe una escasez de tierra disponible para la construccion dentro de la Ciudad y muchas de las tierras que existen estan disperses en areas empobrecidas. Una propiedad tipicamente se puede desarrollar dentro de la Ciudad si el tote mide 5,000 pies cuadrados y puede tambien acomodar un minimo de dos espacios de estacionamiento, tat como es requerido por los codigos de la Ciudad. La Ciudad tiene que considerar como la aplicacion de regulaciones de zonificacion y los requerimientos de estacionamiento pueden modificarse en zonas especificas para estimular el desarrollo de viviendas unifamiliares y de edificios mas pequenos (de 20 unidades o menos), ya que muchos de los totes vacantes son muy pequenos en tamano. DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 119 City of Miami Impedimento #4: Hay una deficiencia (escasez) de fondos federales pars administrar programas de asistencia pars ayudar a pagar la rents. La demanda para vales del Plan 8 en toda la comunidad de Miami -Dade, tanto como la demanda para viviendas publicas, es alarmante. Desafortunadamente, para las personas de bajos recursos que no hayan aplicado y/o que no hayan sido seleccionadas al azar para ninguna lista de espera, no existe ningun otro fondo publico disponible para poder asistirlas con sus obligaciones de renta mensual. Tambien, un estudio efectuado en el condado indica que hay aproximadamente 10,000 individuos viviendo con VIH+/SIDA en el Condado de Miami -Dade que necesitan ayuda con la vivienda. Impedimento #5: Falta de fondos federales disponibles pars preparar el anolisis de impedimentos pars la eleccion de vivienda equitativa. En los ultimos cincos anos el gobierno federal ha cortado los fondos que distribuye a la Ciudad de Miami que se pueden utilizar para esfuerzos tales como la preparacion requerida de este documento (Al). A consecuencia, hay menos fondos disponibles para conseguir una agencia que se especialice en hacer pruebas anonimas, visitando a edificios de renta a traves de la Ciudad, para poder identificar violaciones a las leyes de vivienda equitativa. Impedimento #6: No hay suficiente viviendas costeables/de trabajadores pars satisfacer la necesidad de los residentes de la Ciudad de Miami. Estudios recientes indican que muchas familias con ingresos medianos no pueden razonablemente pagar para vivir en las comunidades en donde trabajan. Los gastos de vivienda estan fuera de su alcance, basondose sobre la definicion de 30% de ingresos totales que recomienda el gobierno. El mercado inmobiliario de la Ciudad de Miami ha sido seriamente afectado por factores de demanda que han contribuido hacia la escalacion continua de rentas. Impedimento #7: La discriminacion de vivienda a base de raza, color, nacionalidad, religion, sexo, estatus familiar y/o discapacidad existe y continua ocurriendo. De acuerdo a HOPE, Inc., una organizacion sin fines de lucro que monitorea las violaciones de equidad de vivienda a traves de los Condados Miami -Dade y Broward, hubieron 343 consultas/quejas durante 31 meses, de personas que residen en codigos postales dentro de la Ciudad de Miami. Estas consultas/quejas representan aproximadamente 34% de las quejas totales recibidas y evaluadas por HOPE, Inc., a traves del Condado Miami -Dade. Impedimento #8: Varios arrendadores ausentes de edificios de rents privados en barrios de personas de bajos ingresos ignoran violaciones de codigos dejando a muchos inquilinos en edificios/unidades con condiciones pobres. La Ciudad esta activamente intentando corregir este problema y le ha planteado una demanda a seis arrendadores dentro de la Ciudad que deben mos de $2 millones de dolares en multas por violaciones de codigo y otras razones. eTiene comentarios, ideas, opiniones sobre posibles impedimentos? -*Si usted tiene comentarios que le gustaria entregar acerca de la informacion relatada en el borrador del Analisis De Impedimentos Para La Eleccion De Vivienda Equitativa de la Ciudad de Miami, por favor mande esos comentarios por escrito, incluyendo su nombre y apellido, y una forma de contactarlo (numero de telefono o correo electronico) a la atencion de Roberto Tazoe, rtazoe@miamigov.com, o por escrito a la siguiente direccion: City of Miami, Dept. of Community & Economic Development, 444 SW 2 Ave., Second Floor, Miami, FL 33130. DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice City of Miami 120 —)Si usted siente haber sido discriminado(a) bajo una de las clases protegidas bajo la ley local, estatal o federal, a donde usted puede recurrir para presentar una queja? Puede recurrir a UNA de las agencias indicadas aqui. Por favor tenga en cuenta que toda queja por discriminacion de vivienda es revisada por un especialista de vivienda justa para determinar si en ella se alegan hechos que podrian violar la Ley de Equidad de Vivienda o la ley estatal o local sobre el mismo tema. Local — Housing Opportunities Project for Excellence, Inc., HOPE, Inc. Miami -Dade Location Bill Thompson Building 11501 NW 2 Ave. Miami, FL 33168 Telefono: 305-651-HOPE (4673) Fax: 305-759-2440 Website: http://www.hopefhc.com Estatal — Comision de Relaciones Humanas de le Florida 2009 Apalachee Parkway Suite 200, Oakland Building Tallahassee, FL 32301-4857 http://FCHR.state.fl.us Telefono: 850-488-8170 Correo de Voz: 1-800-342-8170 Appendix 5 Comments to the DRAFT of the Al DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice City of Miami Local - Condado Miami -Dade - Office of Human Rights and Fair Employment Practices Stephen P. Clark Center 111 NW 1st Street 22nd Floor Miami, Florida 33128 Telefono: 305-375-2784 Fax: 305-375-2114 Correo electronico: OFEP@miamidade.gov Federal — El Departamento de Vivienda y Desarrollo Urbano de los Estados Unidos (HUD) Para someter una queja por Internet: http://portal.hud.gov/hudportal/HUD?src=/topi cs/housing discrimination Para mas informacion sobre las !eyes federales: www.espanol.hud.gov/offices/fheo/ Telefono (800)669-9777 TTY (800)927-9275 121 V,f1�1�A Miami Ceollition terthe Homeless.hC. 140 West Flagler SM.. Saiie t05 H3ian,i, FL33130 Telephone: 786469.2060 Fax: 305372.6337 info ralamlhomelese.arg BOARD OF DIRECTORS Jason Pittman neeiseni Touching tiarri wen tog Marla Crisliina Barron VIIM Preaderit !Materiel* TrO ,rmr o Vance Ample Secretary The ChidRn'e %MOW N ei Fgrkle Anthony Brunson Treasurer shaven Brunson 1C repaey. PA. Monica Vigues-Pltan Itraadrihe Past Primitive. Legal Sa+ksn d riser Were! Ana Castilla Totem Judge Cindy Lederman 11. Judcial Gnarl Coln Barbara L. Romani CtarerA Curtis Taylor Camksr 9ucportte liousie Beni' Power McKenzie Ceos&uctiec Dr. Luther Brewster FU Herbal weoeirn 091 }e er Itadlahe Rev. Grey Magglane TrnityCancerai Donnovan Maginley, CPA McGladrey. LIP Alison Austin, P.A. 6/B/2014 Assistant Director Roberto Tazoe City of Miami Department of Community and Economic Development 444 SW 2.4 Avenue, Suite 2 Miami, FL 33130 Re: Comments on the City of Miami's AT FY2015.2020 Dear M. Tazoe: After thoroughly reviewing the draft FY2015-2020 City of Miami Analysis of Impediments, the Kam Coalition for the Homeless (MCH) world like to submit the following comments. C. impediment FH1: Increased Housing (Cost) Burden for 46°% of City households due to the rising costs of housing in the City of Miami combined with stagnant wages. MCH agrees that the City of Miami's high percentage of cost -burdened households is the primary impediment for fair housing choice, particularly among the City's lowest income households. According to the Center for Horsing Policy, the Miami memo area is the most expensive lousing market in the US for renters. The mismatch betweea local wages and housing costs is so high that a household earning the average center income of household in Miami would need 1.5 full-time minimum wage jobs to afford a 2-bedroom rental. This situation is particulady difficult for extremely low-income (ELI) renter households in the City of Miami. The Urban Institute indicates there are only 24 units available and affordable in Miami for every 100 ELI tenter households. Due to this significant shortage and limited household income, most of D iruni`s renters are spending more than half of their income on housing costs. According to the Shimberg Center for Housing Studies, there are roughly DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 122 City of Miami 51,000 ELI households in the City of Miami Of which 36,500 (71%u) are severely cost burdened Furthernare, the Shimberg Center also anticipates that l'.iA households in the City of Mianni will significantly increase by 2030. To meet this growing need, the City and County must explore creative solutions to expand the supply of affordable rental housing for Miami's lowest -income households. Recommendation FN 1.9: Seek additional funding opportunities for the creation of additional housing beyond LIHTC innded projects. MCH recommends that the City of Miami provide stronger leadership on creating new public/private partnerships that use innovative financing for affordable housing development like the City of Denver's metal impact bond program or the New York City Aequi rest fund. The City should explore best practices of successful partnerships between City governments, major foundations, nonprofits, and commercial lending institutions that have created additional fonts of capital for affordable housing development. Locally, the Miami Coalition for the Homeless has launched its affordable housing initiative, Miami Homes for All (MHFA). This initiative ores private capital to leverage public resources to increase the development of mixed -income rental housing with a percentage of the units set -aside for ELI households- MHFA anticipates producing between 530-1,000 units within a ten-year period by developing low -interest, flexible loan products that are responsive to the Miami market and meet the capital needs of local non-profit and for -profit and for -profit developers. The 1-2% interest nn MHFA loans will be used to replenish the loan pool. Brrielrr e Cif01114Barad Ptarsier Zone, the Deparfwrni of Cemarnai0 sad Ewnetmk Deertepmrat (l3C D) !hosed also colon pm aul:1g with ore-1iag initiarie Me MFIFA ar mating mow of rhw protxershipr bdurea for CO, wnrmnaity detrlopmeaf orgaeielraat, and fandatiosr to rest nay tattainable funding appommities for eartiabk Ian-aola r}rod,,penet. Recommendation FH 1.9: Better delineate Departmental housing related Proposals by providing higher point consideration through City RFP processes for: developerslprojecls that provide a greater percentage of units aimed of serving incomes at 35% AV in comparable rental projects. DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice City of Miami 123 MCH agrees that the additional points should be added to the rating table for newly issued housing -related RFPs that serve households at 35% f4MI. Hoavaer; then additional points must also iodide ;macho:* at or %a /has 33% AMI. Miami -Dade County's recently released "2015 Surtax/SHIP RFA" increased the minimum thresholds for ELI households and MCH recommends the City also adopt this practice. II. Impediment FH3: There is a scarcity of developable vacant parcels in the City diminishing the construction of new, single-family homes and/or smaller apartment developments thereby limiting housing choice. Recommendation FH 3.1: Support any viable efforts by the City's planning and zoning board in relation to amending the City's zoning code to encourage small-scale development, thereby expanding housing choice for all City residents. MCH agrees that exempting or reducing the parking requirements of smaller multifamily buildings is a viable Action Step to increasing housing affordability. The City will effectively encourage the development of much -needed infiill affordable housing development as well as decrease construction -related hard costs by exempting smaller buildings near public transit from the minimum parking requirements. Affordable mid -scale infill development near transit will also help to lower Miami's high combined housing/transportation cast burden. Ill. Impediment FH6: There are not enough affordable/workforce housing units in the City to meet the needs of City residents. On May 6 2015, MCI1 hosted a "Housing Summit" to bring together leaders in government, housing development, philanthropy, and advocacy to discuss how to address the current housing crisis through unique public/private partnerships and other creative solutions. The event had over 175 attendees, including the City of Miami Mayor Tomas Regalado and County officials, all of which discussed the high level of need of affordable/workforce units in Miami. The Housing Summit concluded with a list of policy recommendations for stakeholders to implement. A key policy recommendation presented by attendees was to establish a cross - sector taskforce to focus on creative responses to affordable housing development. This suggestion is u14 aligned milk Rrrsmmendatian FH 6.3 M0-I would aelemet the opportunity to csnist the t:iiy in the cocain, of this trskfere. DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 124 City of Miami wrens taalHWl1nr Ise Homeless. kW. MCH aLro suggests that DCED meet with the CR, [s located is the CO to dinars itnptnted partnershep to immerse the srrppij of ajjordabk rental Lousing la the urban core. The Cry should also further explore the use of linkage fees and impact fee daferrals to stimulate affordabk housing drado/went Fll 6.2 Continue to support the City's Affordable Housing Trust Fund (AHTF) Housing Summit attendees also recommended that the City explore making a percentage of the Miami 21 Public Benefit Trust Funds be distributed automatically to the Affordable Housing Trust Fund to finance the development of much -needed affordable housing. MCH supports DECD's recommended Action Step to continue advocating city officials to consider having monies be distributed automatically into the Affordable Housing Trust Fund_ The City mart consider adding idcturionary zoning regulations to Miami 21, ineluding the possibilipy of making the program mandatory to sigeriFcandy expand the snpp'y of affordable rental housing. Conclusion The Housing Summit also identified increased code enforcement (Impediment FH 8) as well as the transfer of publically owned buildings to developers (Impediment FH 3.2) as important policy tools to mitigate existing housing needs. Overall, MCH congratulates the City for the draft recommendations which we believe am viable and full responses to the City's housing needs. We hope that you will take out comments and suggestions into account while working on updating the FY2015-2020 Analysis of Impediments to Fair Housing Choice. We are happy to provide any additional information if necessary. Sincerely, (Bobbie) Ibarra, SPHR Executive Director DRAFT — 2015-20. City of Miami DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 126 City of Miami Disclaimer related to Census comparisons CAUTION: The Census Bureau cautions when comparing 2000 Census to ACS: Differences in the universe, question wording, residence rules, reference periods, and the way in which the data are tabulated can impact comparability with Census 2000. The strength of the American Community Survey is in estimating characteristic distributions. We recommend users compare derived measures such as percents, means, medians, and rates rather than estimates of population totals. http://www.census.gov/acs/www/guidance_for_data_users/estimates/ DRAFT — 2015-2020 Analysis of Impediments to Fair Housing Choice 127 City of Miami