Rebranding, rethinkingHousing shortages are a drain on the local
economy.In Chicagos northern suburbs, just 13% of housing stock is
affordable 69% of local workforce.
Chart1
298301449
278353621
130206690
1287526358
Workers
Homes
Workers' Income Levels
# of Workers or Available Homes
Homes Affordable to Workers by Income Level
13,020 (16%)
29,830(36%)
27,835(33%)
12,875(15%)
1,449(4%)
3,621(9%)
6,690(18%)
26,358(69%)
Sheet1
WorkersHomes
Less than $25,00029,8301,449
$25,000 to $49,99927,8353,621
$50,000 to $74,99913,0206,690
$75,000 or Higher12,87526,358
Sheet1
Workers
Homes
Workers' Income Levels
# of Workers or Available Homes
Homes Affordable to Workers by Income Level
12,875(15%)
27,835(33%)
29,830(36%)
13,020 (16%)
26,358(69%)
6,690(18%)
3,621(9%)
1,449(4%)
More information is availableChicago Metropolitan Agency for
Planninghttp://www.cmap.illinois.gov/Bob
[email protected]
Metropolitan Planning
Councilhttp://www.metroplanning.org/eah/Samantha
[email protected]
Our region certainly doesnt have all the answers. Every day
feels like a mix of making progress and back to the drawing
board.
But we have seen some successes in applying thinking thats very
consistent with your framework a deep commitment to making
simultaneous progress on the three Es economy, equity, and
environment plus an insatiable appetite for the best data to drive
better decision-making, and a belief (informed by the school of
hard knocks) that unusual partnerships can unlock real
progress.
By sharing how programmatic and policy engagement of private
sector leaders and collaborations across municipalities have
delivered tangible results, I hope to pass on some proven tactics
that you can put to work in your regions.**Heres one early example
of data driving reforms, from a region-wide study that MPC led in
1999: Many were surprised to learn that over decade of 90s,
population and jobs increased in double digits, but the rental
stock actually shrunk. Traditional supply and demand were
malfunctioning. Multiple NON economic barriers were affecting our
market place:
Lack of private sector or governmental leadership, state
incentives, and mandates to inspire and guide action (NEED:
leadership) Negative public perceptions of affordable housing (=
Cabrini Green) and density (= four letter word) (NEED rebranding
and rethinkg) Balkanized local governments, 270 munis in our region
and 1300 statewide (NEED partnerships)
This data has inspired public-private initiatives and multiple
new statewide tools, but one fact that depressingly hasnt changed
much: apartments are in especially short supply in high job growth
areas. And we see that the areas where fast-paced, low-density,
transit-isolated growth occurred over the past decade are
struggling mightily with home foreclosures and bankrupts
governments today. Clearly, our job is not done.
*If what we NEED is leadership, rebranding/rethinking, and
partnerships, then our region attributes whatever success we have
had to some of the new and strengthened institutions. Concerns
about cost of uncoordinated growth (traffic, jobs-housing mismatch)
led to creation of: (name 4 and year)
Housing solutions may be the most dramatic example of strong,
collaborative institutions deploying data creatively to get things
done. Housing advocates are the usual suspect, but mayors and
employers advocating together for state workforce housing policy --
that grabbed attention. As a result:2002: IL A. H. Tax Credit which
gives investors a 50-cent income tax credit for every dollar
invested in a.h.2004: A.H. Planning and Appeals Act, modeled on a
MA law (one of the few sticks to go along with a bunch of carrots;
critical to getting some affluent suburbs to the table)2005:
statewide funding mechanism to expand support for rental housing
(timing is important)
We surprised ourselves with what we were able to achieve
together, all of this during the term of Illinois then-Governor Rod
Blagojevich, who is better known for being on trial for corruption
and for appearing on reality-TV shows, than for governing. It goes
to show you, that theres no one leadership structure that works and
even if youre lacking some public sector leadership, you can still
move an aggressive agenda with local employers adding their
influential voices.After identifying the lack of affordable housing
in the cluster of communities, and with the vocal support of local
employers, these towns agreed to work together to address the
housing needs. They have formed one of several interjurisdictional
efforts around the Chicago region. The clusters of communities
highlighted here show the several cross-jurisdictional sub-regional
partnerships that are working together to address local housing
issues. In all cases, the role of the private sector has been key-
providing their voice and committing to invest in EAH to support
local housing plans.Here, we used the same data to reframe the
debate in a cluster of five affluent suburbs. Being able to
document that only 13% of the housing stock (or 5,000 homes) is
affordable to people making $50,000 or less, and that those workers
comprise a majority of the total local workforce, or 60,000
individuals, really opened the eyes of decision makers.
Because of the trust we had built through Employer-Assisted
Housing direct partnerships, employers like Walgreens, Abbott, Lake
Forest College, and Lake Forest Hospital have all stepped up and
used their prestigious voices to blunt the predictable
not-in-my-backyard reaction when workforce housing developments
have been proposed locally. *Ive made a couple references to
Employer-Assisted Housing, one of the most powerful examples of an
innovative partnership in our region. I met my current Board Chair
in 2000 when MPC worked with his west suburban manufacturing plant
to customize a downpayment assistance benefit for his workers . . .
helped 35 in 1st year, recouped $150,000 cost within a year, plus
another $100,000 in savings.
This CEO talked to his local mayor, asking why am I paying
property taxes if youre not doing anything to help my workers
afford to live near the plant? Then he talked to the Mayors Caucus.
Then he talked to fellow employers, then to the media. Today, more
than 70 IL employers offer a similar benefit and weve help,ed 15
other states and regions set up something similar.
This graphic shows the impact of the University of Chicagos EAH
initiative pretty dramatic. Weve calculated pocketbook savings for
workers, recruitment and training savings for employers, and GHG
emission reductions for all of us. Stories like this attract more
companies like CVS.*
